Illinois General Assembly - Full Text of SB3189
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Full Text of SB3189  102nd General Assembly


Rep. Michael J. Zalewski

Filed: 3/22/2022





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2    AMENDMENT NO. ______. Amend Senate Bill 3189 by replacing
3everything after the enacting clause with the following:
4    "Section 5. The Property Tax Code is amended by adding
5Division 21 to Article 10 as follows:
6    (35 ILCS 200/Art. 10 Div. 21 heading new)
Division 21. Southland reactivation property

8    (35 ILCS 200/10-800 new)
9    Sec. 10-800. Southland reactivation property.
10    (a) For the purposes of this Section:
11    "Base year" means the last tax year prior to the date of
12the application for southland reactivation designation during
13which the property was occupied and assessed and had an
14equalized assessed value.
15    "Cook County Land Bank Authority" means the Cook County



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1Land Bank Authority created by ordinance of the Cook County
3    "Municipality" means a city, village, or incorporated town
4located in the State.
5    "Participating entity" means any of the following, either
6collectively or individually: the municipality in which the
7property is located; the South Suburban Land Bank and
8Development Authority; or the Cook County Land Bank
9Development Authority.
10    "Southland reactivation property" means property that:
11        (1) has been designated by the municipality by
12    resolution as a priority tax reactivation parcel, site, or
13    property due to its clear pattern of stagnation and
14    depressed condition or the decline in its assessed
15    valuation;
16        (2) is held by a participating entity; and
17        (3) meets all of the following criteria:
18            (A) the property is zoned for commercial or
19        industrial use;
20            (B) the property has had its past property taxes
21        cleared and is now classified as exempt, or the
22        property has not had a lawful occupant for at least 12
23        months immediately preceding the application for
24        certification as southland reactivation property, as
25        attested to by a supporting affidavit;
26            (C) the sale or transfer of the property,



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1        following southland reactivation designation, to a
2        developer would result in investment which would
3        result a higher assessed value;
4            (D) the property will be sold by a participating
5        entity to a buyer of property that has been approved by
6        the corporate authorities of the municipality or to a
7        developer that has been approved by the corporate
8        authorities of the municipality whose redevelopment of
9        the parcel, site, or property would reverse
10        long-standing divestment in the area, enhance
11        inclusive economic growth, create jobs or career
12        pathways, support equitable recovery of the community,
13        and stabilize the tax base through investments that
14        align with local government plans and priorities;
15            (E) an application for southland reactivation
16        designation is filed with the participating entity and
17        a resolution designating the property as southland
18        reactivation property is passed by the municipality
19        prior to the sale, rehabilitation, or reoccupation;
20            (F) if not for the southland reactivation
21        designation, development or redevelopment of the
22        property would not occur; and
23            (G) the property is located in any of the
24        following Townships in Cook County: Bloom, Bremen,
25        Calumet, Rich, Thornton, or Worth.
26    "South Suburban Land Bank and Development Authority" means



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1the South Suburban Land Bank and Development Authority created
2in 2012 by intergovernmental agreement.
3    "Tax year" means the calendar year for which assessed
4value is determined as of January 1 of that year.
5    (b) Within 5 years after the effective date of this
6amendatory Act of the 102nd General Assembly, purchasers of
7real property from any of the participating entities may apply
8to that entity to have the property certified as southland
9reactivation property if the property meets the criteria for
10southland reactivation property set forth in subsection (a).
11The participating entity has 5 years from the effective date
12of this amendatory Act of the 102nd General Assembly within
13which it may certify the property as southland reactivation
14property for the purposes of promoting rehabilitation of
15abandoned, vacant, or underutilized property to attract and
16enhance economic activities and investment that stabilize,
17restore, and grow the tax base in severely blighted areas
18within Chicago's south suburbs. This certification is
19nonrenewable and shall be transmitted by the municipality, or
20by the participating entity on behalf of the municipality, to
21the chief county assessment officer as soon as possible after
22the property is certified. Southland reactivation designation
23is limited to the original applicant unless expressly approved
24by the corporate authorities of the municipality and the
25property has no change in use.
26    Support by the corporate authorities of the municipality



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1for southland reactivation designation shall be considered in
2a lawful public meeting, and impacted taxing districts shall
3receive notification of the agenda item to consider southland
4reactivation of the site not less than 15 days prior to that
6    (c) Beginning with the first tax year after the property
7is certified as southland reactivation property and continuing
8through the twelfth tax year after the property is certified
9as southland reactivation property, for the purpose of
10taxation under this Code, the property shall be valued at 50%
11of the base year equalized assessed value as established by
12the chief county assessment officer, excluding all years with
13property tax exemptions applied as a result of the
14participating entity's ownership. For the first year after the
15property is certified as southland reactivation property, the
16aggregate property tax liability for the property shall be no
17greater than $100,000 per year. That aggregate property tax
18liability, once collected, shall be distributed to the taxing
19districts in which the property is located according to each
20taxing district's proportionate share of that aggregate
21liability. Beginning with the second tax year after the
22property is certified as southland reactivation property and
23continuing through the twelfth tax year after the property is
24certified as southland reactivation property, the property tax
25liability for the property for each taxing district in which
26the property is located shall be increased over the property



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1tax liability for the property for the preceding year by 10%.
2In no event shall the purchaser's annual tax liability
4    (d) No later than March 1 of each year, the municipality or
5the participating entity on behalf of the municipality shall
6certify to the county clerk of the county in which the property
7is located a percentage southland reactivation reduction to be
8applied to property taxes for that calendar year, as provided
9this Section.
10    (e) The participating entity shall collect the following
11information annually for the pilot program period: the number
12of program applicants; the street address of each certified
13property; the proposed use of certified properties; the amount
14of investment; the number of jobs created as a result of the
15certification; and copies of the certification of each
16southland reactivation site to allow for the evaluation and
17assessment of the effectiveness of southland reactivation
18designation. The participating entity responsible for seeking
19the southland reactivation designation shall present this
20information to the governing body of each taxing district
21affected by a southland reactivation designation on an annual
22basis, and the participating entity shall report the above
23information to any requesting members of the General Assembly
24at the conclusion of the 5-year designation period.
25    (f) Any southland reactivation certification granted under
26this Section shall be void if the property is conveyed to an



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1entity or person that is liable for any unpaid, delinquent
2property taxes associated with the property.
3    Section 99. Effective date. This Act takes effect upon
4becoming law.".