HB2275 103RD GENERAL ASSEMBLY

  
  

 


 
103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
HB2275

 

Introduced 2/14/2023, by Rep. Mary E. Flowers

 

SYNOPSIS AS INTRODUCED:
 
35 ILCS 200/18-185
35 ILCS 200/18-205
35 ILCS 200/18-213
35 ILCS 200/18-214
35 ILCS 200/18-242 new

    Amends the Property Tax Extension Limitation Law in the Property Tax Code. Provides that, for levy years 2024 through 2034, the term "taxing district" means all taxing districts in the State, including home rule units. Provides that, for levy years 2024 through 2034, the extension limitation is 0% or the rate of increase approved by the voters. Limits home rule powers. Effective immediately.


LRB103 25187 HLH 51526 b

 

 

A BILL FOR

 

HB2275LRB103 25187 HLH 51526 b

1    AN ACT concerning revenue.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Property Tax Code is amended by changing
5Sections 18-185, 18-205, 18-213, and 18-214 and by adding
6Section 18-242 as follows:
 
7    (35 ILCS 200/18-185)
8    Sec. 18-185. Short title; definitions. This Division 5
9may be cited as the Property Tax Extension Limitation Law. As
10used in this Division 5:
11    "Consumer Price Index" means the Consumer Price Index for
12All Urban Consumers for all items published by the United
13States Department of Labor.
14    "Extension limitation" means, for levy years other than
15levy years 2024 through 2034, (a) the lesser of 5% or the
16percentage increase in the Consumer Price Index during the
1712-month calendar year preceding the levy year or (b) the rate
18of increase approved by voters under Section 18-205. For levy
19years 2024 through 2034, "extension limitation" means the
20greater of 0% or the rate of increase approved by the voters
21under Section 18-205.
22    "Affected county" means a county of 3,000,000 or more
23inhabitants or a county contiguous to a county of 3,000,000 or

 

 

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1more inhabitants.
2    "Taxing district" has the same meaning provided in Section
31-150, except as otherwise provided in this Section. For the
41991 through 1994 levy years only, "taxing district" includes
5only each non-home rule taxing district having the majority of
6its 1990 equalized assessed value within any county or
7counties contiguous to a county with 3,000,000 or more
8inhabitants. Beginning with the 1995 levy year, "taxing
9district" includes only each non-home rule taxing district
10subject to this Law before the 1995 levy year and each non-home
11rule taxing district not subject to this Law before the 1995
12levy year having the majority of its 1994 equalized assessed
13value in an affected county or counties. Beginning with the
14levy year in which this Law becomes applicable to a taxing
15district as provided in Section 18-213, "taxing district" also
16includes those taxing districts made subject to this Law as
17provided in Section 18-213. For levy years 2024 through 2034,
18"taxing district" has the same meaning provided in Section
191-150 and includes home rule units.
20    "Aggregate extension" for taxing districts to which this
21Law applied before the 1995 levy year means the annual
22corporate extension for the taxing district and those special
23purpose extensions that are made annually for the taxing
24district, excluding special purpose extensions: (a) made for
25the taxing district to pay interest or principal on general
26obligation bonds that were approved by referendum; (b) made

 

 

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1for any taxing district to pay interest or principal on
2general obligation bonds issued before October 1, 1991; (c)
3made for any taxing district to pay interest or principal on
4bonds issued to refund or continue to refund those bonds
5issued before October 1, 1991; (d) made for any taxing
6district to pay interest or principal on bonds issued to
7refund or continue to refund bonds issued after October 1,
81991 that were approved by referendum; (e) made for any taxing
9district to pay interest or principal on revenue bonds issued
10before October 1, 1991 for payment of which a property tax levy
11or the full faith and credit of the unit of local government is
12pledged; however, a tax for the payment of interest or
13principal on those bonds shall be made only after the
14governing body of the unit of local government finds that all
15other sources for payment are insufficient to make those
16payments; (f) made for payments under a building commission
17lease when the lease payments are for the retirement of bonds
18issued by the commission before October 1, 1991, to pay for the
19building project; (g) made for payments due under installment
20contracts entered into before October 1, 1991; (h) made for
21payments of principal and interest on bonds issued under the
22Metropolitan Water Reclamation District Act to finance
23construction projects initiated before October 1, 1991; (i)
24made for payments of principal and interest on limited bonds,
25as defined in Section 3 of the Local Government Debt Reform
26Act, in an amount not to exceed the debt service extension base

 

 

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1less the amount in items (b), (c), (e), and (h) of this
2definition for non-referendum obligations, except obligations
3initially issued pursuant to referendum; (j) made for payments
4of principal and interest on bonds issued under Section 15 of
5the Local Government Debt Reform Act; (k) made by a school
6district that participates in the Special Education District
7of Lake County, created by special education joint agreement
8under Section 10-22.31 of the School Code, for payment of the
9school district's share of the amounts required to be
10contributed by the Special Education District of Lake County
11to the Illinois Municipal Retirement Fund under Article 7 of
12the Illinois Pension Code; the amount of any extension under
13this item (k) shall be certified by the school district to the
14county clerk; (l) made to fund expenses of providing joint
15recreational programs for persons with disabilities under
16Section 5-8 of the Park District Code or Section 11-95-14 of
17the Illinois Municipal Code; (m) made for temporary relocation
18loan repayment purposes pursuant to Sections 2-3.77 and
1917-2.2d of the School Code; (n) made for payment of principal
20and interest on any bonds issued under the authority of
21Section 17-2.2d of the School Code; (o) made for contributions
22to a firefighter's pension fund created under Article 4 of the
23Illinois Pension Code, to the extent of the amount certified
24under item (5) of Section 4-134 of the Illinois Pension Code;
25and (p) made for road purposes in the first year after a
26township assumes the rights, powers, duties, assets, property,

 

 

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1liabilities, obligations, and responsibilities of a road
2district abolished under the provisions of Section 6-133 of
3the Illinois Highway Code.
4    "Aggregate extension" for the taxing districts to which
5this Law did not apply before the 1995 levy year (except taxing
6districts subject to this Law in accordance with Section
718-213) means the annual corporate extension for the taxing
8district and those special purpose extensions that are made
9annually for the taxing district, excluding special purpose
10extensions: (a) made for the taxing district to pay interest
11or principal on general obligation bonds that were approved by
12referendum; (b) made for any taxing district to pay interest
13or principal on general obligation bonds issued before March
141, 1995; (c) made for any taxing district to pay interest or
15principal on bonds issued to refund or continue to refund
16those bonds issued before March 1, 1995; (d) made for any
17taxing district to pay interest or principal on bonds issued
18to refund or continue to refund bonds issued after March 1,
191995 that were approved by referendum; (e) made for any taxing
20district to pay interest or principal on revenue bonds issued
21before March 1, 1995 for payment of which a property tax levy
22or the full faith and credit of the unit of local government is
23pledged; however, a tax for the payment of interest or
24principal on those bonds shall be made only after the
25governing body of the unit of local government finds that all
26other sources for payment are insufficient to make those

 

 

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1payments; (f) made for payments under a building commission
2lease when the lease payments are for the retirement of bonds
3issued by the commission before March 1, 1995 to pay for the
4building project; (g) made for payments due under installment
5contracts entered into before March 1, 1995; (h) made for
6payments of principal and interest on bonds issued under the
7Metropolitan Water Reclamation District Act to finance
8construction projects initiated before October 1, 1991; (h-4)
9made for stormwater management purposes by the Metropolitan
10Water Reclamation District of Greater Chicago under Section 12
11of the Metropolitan Water Reclamation District Act; (h-8) made
12for payments of principal and interest on bonds issued under
13Section 9.6a of the Metropolitan Water Reclamation District
14Act to make contributions to the pension fund established
15under Article 13 of the Illinois Pension Code; (i) made for
16payments of principal and interest on limited bonds, as
17defined in Section 3 of the Local Government Debt Reform Act,
18in an amount not to exceed the debt service extension base less
19the amount in items (b), (c), and (e) of this definition for
20non-referendum obligations, except obligations initially
21issued pursuant to referendum and bonds described in
22subsections (h) and (h-8) of this definition; (j) made for
23payments of principal and interest on bonds issued under
24Section 15 of the Local Government Debt Reform Act; (k) made
25for payments of principal and interest on bonds authorized by
26Public Act 88-503 and issued under Section 20a of the Chicago

 

 

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1Park District Act for aquarium or museum projects and bonds
2issued under Section 20a of the Chicago Park District Act for
3the purpose of making contributions to the pension fund
4established under Article 12 of the Illinois Pension Code; (l)
5made for payments of principal and interest on bonds
6authorized by Public Act 87-1191 or 93-601 and (i) issued
7pursuant to Section 21.2 of the Cook County Forest Preserve
8District Act, (ii) issued under Section 42 of the Cook County
9Forest Preserve District Act for zoological park projects, or
10(iii) issued under Section 44.1 of the Cook County Forest
11Preserve District Act for botanical gardens projects; (m) made
12pursuant to Section 34-53.5 of the School Code, whether levied
13annually or not; (n) made to fund expenses of providing joint
14recreational programs for persons with disabilities under
15Section 5-8 of the Park District Code or Section 11-95-14 of
16the Illinois Municipal Code; (o) made by the Chicago Park
17District for recreational programs for persons with
18disabilities under subsection (c) of Section 7.06 of the
19Chicago Park District Act; (p) made for contributions to a
20firefighter's pension fund created under Article 4 of the
21Illinois Pension Code, to the extent of the amount certified
22under item (5) of Section 4-134 of the Illinois Pension Code;
23(q) made by Ford Heights School District 169 under Section
2417-9.02 of the School Code; and (r) made for the purpose of
25making employer contributions to the Public School Teachers'
26Pension and Retirement Fund of Chicago under Section 34-53 of

 

 

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1the School Code.
2    "Aggregate extension" for all taxing districts to which
3this Law applies in accordance with Section 18-213, except for
4those taxing districts subject to paragraph (2) of subsection
5(e) of Section 18-213, means the annual corporate extension
6for the taxing district and those special purpose extensions
7that are made annually for the taxing district, excluding
8special purpose extensions: (a) made for the taxing district
9to pay interest or principal on general obligation bonds that
10were approved by referendum; (b) made for any taxing district
11to pay interest or principal on general obligation bonds
12issued before the date on which the referendum making this Law
13applicable to the taxing district is held; (c) made for any
14taxing district to pay interest or principal on bonds issued
15to refund or continue to refund those bonds issued before the
16date on which the referendum making this Law applicable to the
17taxing district is held; (d) made for any taxing district to
18pay interest or principal on bonds issued to refund or
19continue to refund bonds issued after the date on which the
20referendum making this Law applicable to the taxing district
21is held if the bonds were approved by referendum after the date
22on which the referendum making this Law applicable to the
23taxing district is held; (e) made for any taxing district to
24pay interest or principal on revenue bonds issued before the
25date on which the referendum making this Law applicable to the
26taxing district is held for payment of which a property tax

 

 

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1levy or the full faith and credit of the unit of local
2government is pledged; however, a tax for the payment of
3interest or principal on those bonds shall be made only after
4the governing body of the unit of local government finds that
5all other sources for payment are insufficient to make those
6payments; (f) made for payments under a building commission
7lease when the lease payments are for the retirement of bonds
8issued by the commission before the date on which the
9referendum making this Law applicable to the taxing district
10is held to pay for the building project; (g) made for payments
11due under installment contracts entered into before the date
12on which the referendum making this Law applicable to the
13taxing district is held; (h) made for payments of principal
14and interest on limited bonds, as defined in Section 3 of the
15Local Government Debt Reform Act, in an amount not to exceed
16the debt service extension base less the amount in items (b),
17(c), and (e) of this definition for non-referendum
18obligations, except obligations initially issued pursuant to
19referendum; (i) made for payments of principal and interest on
20bonds issued under Section 15 of the Local Government Debt
21Reform Act; (j) made for a qualified airport authority to pay
22interest or principal on general obligation bonds issued for
23the purpose of paying obligations due under, or financing
24airport facilities required to be acquired, constructed,
25installed or equipped pursuant to, contracts entered into
26before March 1, 1996 (but not including any amendments to such

 

 

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1a contract taking effect on or after that date); (k) made to
2fund expenses of providing joint recreational programs for
3persons with disabilities under Section 5-8 of the Park
4District Code or Section 11-95-14 of the Illinois Municipal
5Code; (l) made for contributions to a firefighter's pension
6fund created under Article 4 of the Illinois Pension Code, to
7the extent of the amount certified under item (5) of Section
84-134 of the Illinois Pension Code; and (m) made for the taxing
9district to pay interest or principal on general obligation
10bonds issued pursuant to Section 19-3.10 of the School Code.
11    "Aggregate extension" for all taxing districts to which
12this Law applies in accordance with paragraph (2) of
13subsection (e) of Section 18-213 means the annual corporate
14extension for the taxing district and those special purpose
15extensions that are made annually for the taxing district,
16excluding special purpose extensions: (a) made for the taxing
17district to pay interest or principal on general obligation
18bonds that were approved by referendum; (b) made for any
19taxing district to pay interest or principal on general
20obligation bonds issued before March 7, 1997 (the effective
21date of Public Act 89-718); (c) made for any taxing district to
22pay interest or principal on bonds issued to refund or
23continue to refund those bonds issued before March 7, 1997
24(the effective date of Public Act 89-718); (d) made for any
25taxing district to pay interest or principal on bonds issued
26to refund or continue to refund bonds issued after March 7,

 

 

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11997 (the effective date of Public Act 89-718) if the bonds
2were approved by referendum after March 7, 1997 (the effective
3date of Public Act 89-718); (e) made for any taxing district to
4pay interest or principal on revenue bonds issued before March
57, 1997 (the effective date of Public Act 89-718) for payment
6of which a property tax levy or the full faith and credit of
7the unit of local government is pledged; however, a tax for the
8payment of interest or principal on those bonds shall be made
9only after the governing body of the unit of local government
10finds that all other sources for payment are insufficient to
11make those payments; (f) made for payments under a building
12commission lease when the lease payments are for the
13retirement of bonds issued by the commission before March 7,
141997 (the effective date of Public Act 89-718) to pay for the
15building project; (g) made for payments due under installment
16contracts entered into before March 7, 1997 (the effective
17date of Public Act 89-718); (h) made for payments of principal
18and interest on limited bonds, as defined in Section 3 of the
19Local Government Debt Reform Act, in an amount not to exceed
20the debt service extension base less the amount in items (b),
21(c), and (e) of this definition for non-referendum
22obligations, except obligations initially issued pursuant to
23referendum; (i) made for payments of principal and interest on
24bonds issued under Section 15 of the Local Government Debt
25Reform Act; (j) made for a qualified airport authority to pay
26interest or principal on general obligation bonds issued for

 

 

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1the purpose of paying obligations due under, or financing
2airport facilities required to be acquired, constructed,
3installed or equipped pursuant to, contracts entered into
4before March 1, 1996 (but not including any amendments to such
5a contract taking effect on or after that date); (k) made to
6fund expenses of providing joint recreational programs for
7persons with disabilities under Section 5-8 of the Park
8District Code or Section 11-95-14 of the Illinois Municipal
9Code; and (l) made for contributions to a firefighter's
10pension fund created under Article 4 of the Illinois Pension
11Code, to the extent of the amount certified under item (5) of
12Section 4-134 of the Illinois Pension Code.
13    "Aggregate extension" means, for taxing districts that
14became subject to this Law as a result of this amendatory Act
15of the 103rd General Assembly, the annual corporate extension
16for the taxing district and those special purpose extensions
17that are made annually for the taxing district, excluding
18special purpose extensions made for debt service or for
19contributions to a pension fund.
20    "Debt service extension base" means an amount equal to
21that portion of the extension for a taxing district for the
221994 levy year, or for those taxing districts subject to this
23Law in accordance with Section 18-213, except for those
24subject to paragraph (2) of subsection (e) of Section 18-213,
25for the levy year in which the referendum making this Law
26applicable to the taxing district is held, or for those taxing

 

 

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1districts subject to this Law in accordance with paragraph (2)
2of subsection (e) of Section 18-213 for the 1996 levy year,
3constituting an extension for payment of principal and
4interest on bonds issued by the taxing district without
5referendum, but not including excluded non-referendum bonds.
6For park districts (i) that were first subject to this Law in
71991 or 1995 and (ii) whose extension for the 1994 levy year
8for the payment of principal and interest on bonds issued by
9the park district without referendum (but not including
10excluded non-referendum bonds) was less than 51% of the amount
11for the 1991 levy year constituting an extension for payment
12of principal and interest on bonds issued by the park district
13without referendum (but not including excluded non-referendum
14bonds), "debt service extension base" means an amount equal to
15that portion of the extension for the 1991 levy year
16constituting an extension for payment of principal and
17interest on bonds issued by the park district without
18referendum (but not including excluded non-referendum bonds).
19A debt service extension base established or increased at any
20time pursuant to any provision of this Law, except Section
2118-212, shall be increased each year commencing with the later
22of (i) the 2009 levy year or (ii) the first levy year in which
23this Law becomes applicable to the taxing district, by the
24lesser of 5% or the percentage increase in the Consumer Price
25Index during the 12-month calendar year preceding the levy
26year. The debt service extension base may be established or

 

 

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1increased as provided under Section 18-212. "Excluded
2non-referendum bonds" means (i) bonds authorized by Public Act
388-503 and issued under Section 20a of the Chicago Park
4District Act for aquarium and museum projects; (ii) bonds
5issued under Section 15 of the Local Government Debt Reform
6Act; or (iii) refunding obligations issued to refund or to
7continue to refund obligations initially issued pursuant to
8referendum.
9    "Special purpose extensions" include, but are not limited
10to, extensions for levies made on an annual basis for
11unemployment and workers' compensation, self-insurance,
12contributions to pension plans, and extensions made pursuant
13to Section 6-601 of the Illinois Highway Code for a road
14district's permanent road fund whether levied annually or not.
15The extension for a special service area is not included in the
16aggregate extension.
17    "Aggregate extension base" means the taxing district's
18last preceding aggregate extension as adjusted under Sections
1918-135, 18-215, 18-230, 18-206, and 18-233. Beginning with
20levy year 2022, for taxing districts that are specified in
21Section 18-190.7, the taxing district's aggregate extension
22base shall be calculated as provided in Section 18-190.7. An
23adjustment under Section 18-135 shall be made for the 2007
24levy year and all subsequent levy years whenever one or more
25counties within which a taxing district is located (i) used
26estimated valuations or rates when extending taxes in the

 

 

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1taxing district for the last preceding levy year that resulted
2in the over or under extension of taxes, or (ii) increased or
3decreased the tax extension for the last preceding levy year
4as required by Section 18-135(c). Whenever an adjustment is
5required under Section 18-135, the aggregate extension base of
6the taxing district shall be equal to the amount that the
7aggregate extension of the taxing district would have been for
8the last preceding levy year if either or both (i) actual,
9rather than estimated, valuations or rates had been used to
10calculate the extension of taxes for the last levy year, or
11(ii) the tax extension for the last preceding levy year had not
12been adjusted as required by subsection (c) of Section 18-135.
13    Notwithstanding any other provision of law, for levy year
142012, the aggregate extension base for West Northfield School
15District No. 31 in Cook County shall be $12,654,592.
16    Notwithstanding any other provision of law, for levy year
172022, the aggregate extension base of a home equity assurance
18program that levied at least $1,000,000 in property taxes in
19levy year 2019 or 2020 under the Home Equity Assurance Act
20shall be the amount that the program's aggregate extension
21base for levy year 2021 would have been if the program had
22levied a property tax for levy year 2021.
23    "Levy year" has the same meaning as "year" under Section
241-155.
25    "New property" means (i) the assessed value, after final
26board of review or board of appeals action, of new

 

 

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1improvements or additions to existing improvements on any
2parcel of real property that increase the assessed value of
3that real property during the levy year multiplied by the
4equalization factor issued by the Department under Section
517-30, (ii) the assessed value, after final board of review or
6board of appeals action, of real property not exempt from real
7estate taxation, which real property was exempt from real
8estate taxation for any portion of the immediately preceding
9levy year, multiplied by the equalization factor issued by the
10Department under Section 17-30, including the assessed value,
11upon final stabilization of occupancy after new construction
12is complete, of any real property located within the
13boundaries of an otherwise or previously exempt military
14reservation that is intended for residential use and owned by
15or leased to a private corporation or other entity, (iii) in
16counties that classify in accordance with Section 4 of Article
17IX of the Illinois Constitution, an incentive property's
18additional assessed value resulting from a scheduled increase
19in the level of assessment as applied to the first year final
20board of review market value, and (iv) any increase in
21assessed value due to oil or gas production from an oil or gas
22well required to be permitted under the Hydraulic Fracturing
23Regulatory Act that was not produced in or accounted for
24during the previous levy year. In addition, the county clerk
25in a county containing a population of 3,000,000 or more shall
26include in the 1997 recovered tax increment value for any

 

 

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1school district, any recovered tax increment value that was
2applicable to the 1995 tax year calculations.
3    "Qualified airport authority" means an airport authority
4organized under the Airport Authorities Act and located in a
5county bordering on the State of Wisconsin and having a
6population in excess of 200,000 and not greater than 500,000.
7    "Recovered tax increment value" means, except as otherwise
8provided in this paragraph, the amount of the current year's
9equalized assessed value, in the first year after a
10municipality terminates the designation of an area as a
11redevelopment project area previously established under the
12Tax Increment Allocation Redevelopment Act in the Illinois
13Municipal Code, previously established under the Industrial
14Jobs Recovery Law in the Illinois Municipal Code, previously
15established under the Economic Development Project Area Tax
16Increment Act of 1995, or previously established under the
17Economic Development Area Tax Increment Allocation Act, of
18each taxable lot, block, tract, or parcel of real property in
19the redevelopment project area over and above the initial
20equalized assessed value of each property in the redevelopment
21project area. For the taxes which are extended for the 1997
22levy year, the recovered tax increment value for a non-home
23rule taxing district that first became subject to this Law for
24the 1995 levy year because a majority of its 1994 equalized
25assessed value was in an affected county or counties shall be
26increased if a municipality terminated the designation of an

 

 

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1area in 1993 as a redevelopment project area previously
2established under the Tax Increment Allocation Redevelopment
3Act in the Illinois Municipal Code, previously established
4under the Industrial Jobs Recovery Law in the Illinois
5Municipal Code, or previously established under the Economic
6Development Area Tax Increment Allocation Act, by an amount
7equal to the 1994 equalized assessed value of each taxable
8lot, block, tract, or parcel of real property in the
9redevelopment project area over and above the initial
10equalized assessed value of each property in the redevelopment
11project area. In the first year after a municipality removes a
12taxable lot, block, tract, or parcel of real property from a
13redevelopment project area established under the Tax Increment
14Allocation Redevelopment Act in the Illinois Municipal Code,
15the Industrial Jobs Recovery Law in the Illinois Municipal
16Code, or the Economic Development Area Tax Increment
17Allocation Act, "recovered tax increment value" means the
18amount of the current year's equalized assessed value of each
19taxable lot, block, tract, or parcel of real property removed
20from the redevelopment project area over and above the initial
21equalized assessed value of that real property before removal
22from the redevelopment project area.
23    Except as otherwise provided in this Section, "limiting
24rate" means a fraction the numerator of which is the last
25preceding aggregate extension base times an amount equal to
26one plus the extension limitation defined in this Section and

 

 

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1the denominator of which is the current year's equalized
2assessed value of all real property in the territory under the
3jurisdiction of the taxing district during the prior levy
4year. For those taxing districts that reduced their aggregate
5extension for the last preceding levy year, except for school
6districts that reduced their extension for educational
7purposes pursuant to Section 18-206, the highest aggregate
8extension in any of the last 3 preceding levy years shall be
9used for the purpose of computing the limiting rate. The
10denominator shall not include new property or the recovered
11tax increment value. If a new rate, a rate decrease, or a
12limiting rate increase has been approved at an election held
13after March 21, 2006, then (i) the otherwise applicable
14limiting rate shall be increased by the amount of the new rate
15or shall be reduced by the amount of the rate decrease, as the
16case may be, or (ii) in the case of a limiting rate increase,
17the limiting rate shall be equal to the rate set forth in the
18proposition approved by the voters for each of the years
19specified in the proposition, after which the limiting rate of
20the taxing district shall be calculated as otherwise provided.
21In the case of a taxing district that obtained referendum
22approval for an increased limiting rate on March 20, 2012, the
23limiting rate for tax year 2012 shall be the rate that
24generates the approximate total amount of taxes extendable for
25that tax year, as set forth in the proposition approved by the
26voters; this rate shall be the final rate applied by the county

 

 

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1clerk for the aggregate of all capped funds of the district for
2tax year 2012.
3(Source: P.A. 102-263, eff. 8-6-21; 102-311, eff. 8-6-21;
4102-519, eff. 8-20-21; 102-558, eff. 8-20-21; 102-707, eff.
54-22-22; 102-813, eff. 5-13-22; 102-895, eff. 5-23-22; revised
68-29-22.)
 
7    (35 ILCS 200/18-205)
8    Sec. 18-205. Referendum to increase the extension
9limitation.
10    (a) A taxing district is limited to an extension
11limitation as defined in Section 18-185 of 5% or the
12percentage increase in the Consumer Price Index during the
1312-month calendar year preceding the levy year, whichever is
14less. A taxing district may increase its extension limitation
15for one or more levy years if that taxing district holds a
16referendum before the levy date for the first levy year at
17which a majority of voters voting on the issue approves
18adoption of a higher extension limitation. Referenda shall be
19conducted at a regularly scheduled election in accordance with
20the Election Code.
21    (b) The question shall be presented in substantially the
22following manner for all elections held after March 21, 2006:
23        Shall the extension limitation under the Property Tax
24    Extension Limitation Law for (insert the legal name,
25    number, if any, and county or counties of the taxing

 

 

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1    district and geographic or other common name by which a
2    school or community college district is known and referred
3    to), Illinois, be increased from (applicable extension
4    limitation set forth in Section 18-185) the lesser of 5%
5    or the percentage increase in the Consumer Price Index
6    over the prior levy year to (insert the percentage of the
7    proposed increase)% per year for (insert each levy year
8    for which the increased extension limitation will apply)?
9    (c) The votes must be recorded as "Yes" or "No".
10If a majority of voters voting on the issue approves the
11adoption of the increase, the increase shall be applicable for
12each levy year specified.
13    (d) The ballot for any question submitted pursuant to this
14Section shall have printed thereon, but not as a part of the
15question submitted, only the following supplemental
16information (which shall be supplied to the election authority
17by the taxing district) in substantially the following form:
18        (1) For the (insert the first levy year for which the
19    increased extension limitation will be applicable) levy
20    year the approximate amount of the additional tax
21    extendable against property containing a single family
22    residence and having a fair market value at the time of the
23    referendum of $100,000 is estimated to be $....
24        (2) Based upon an average annual percentage increase
25    (or decrease) in the market value of such property of ...%
26    (insert percentage equal to the average annual percentage

 

 

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1    increase or decrease for the prior 3 levy years, at the
2    time the submission of the question is initiated by the
3    taxing district, in the amount of (A) the equalized
4    assessed value of the taxable property in the taxing
5    district less (B) the new property included in the
6    equalized assessed value), the approximate amount of the
7    additional tax extendable against such property for the
8    ... levy year is estimated to be $... and for the ... levy
9    year is estimated to be $....
10    Paragraph (2) shall be included only if the increased
11extension limitation will be applicable for more than one year
12and shall list each levy year for which the increased
13extension limitation will be applicable. The additional tax
14shown for each levy year shall be the approximate dollar
15amount of the increase over the amount of the most recently
16completed extension at the time the submission of the question
17is initiated by the taxing district. The approximate amount of
18the additional tax extendable shown in paragraphs (1) and (2)
19shall be calculated by multiplying $100,000 (the fair market
20value of the property without regard to any property tax
21exemptions) by (i) the percentage level of assessment
22prescribed for that property by statute, or by ordinance of
23the county board in counties that classify property for
24purposes of taxation in accordance with Section 4 of Article
25IX of the Illinois Constitution; (ii) the most recent final
26equalization factor certified to the county clerk by the

 

 

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1Department of Revenue at the time the taxing district
2initiates the submission of the proposition to the electors;
3(iii) the last known aggregate extension base of the taxing
4district at the time the submission of the question is
5initiated by the taxing district; and (iv) the difference
6between the percentage increase proposed in the question and
7the otherwise applicable extension limitation under Section
818-185 the lesser of 5% or the percentage increase in the
9Consumer Price Index for the prior levy year (or an estimate of
10the percentage increase for the prior levy year if the
11increase is unavailable at the time the submission of the
12question is initiated by the taxing district); and dividing
13the result by the last known equalized assessed value of the
14taxing district at the time the submission of the question is
15initiated by the taxing district. This amendatory Act of the
1697th General Assembly is intended to clarify the existing
17requirements of this Section, and shall not be construed to
18validate any prior non-compliant referendum language. Any
19notice required to be published in connection with the
20submission of the question shall also contain this
21supplemental information and shall not contain any other
22supplemental information. Any error, miscalculation, or
23inaccuracy in computing any amount set forth on the ballot or
24in the notice that is not deliberate shall not invalidate or
25affect the validity of any proposition approved. Notice of the
26referendum shall be published and posted as otherwise required

 

 

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1by law, and the submission of the question shall be initiated
2as provided by law.
3(Source: P.A. 97-1087, eff. 8-24-12.)
 
4    (35 ILCS 200/18-213)
5    Sec. 18-213. Referenda on applicability of the Property
6Tax Extension Limitation Law.
7    (a) The provisions of this Section do not apply to a taxing
8district subject to this Law because a majority of its 1990
9equalized assessed value is in a county or counties contiguous
10to a county of 3,000,000 or more inhabitants, or because a
11majority of its 1994 equalized assessed value is in an
12affected county and the taxing district was not subject to
13this Law before the 1995 levy year.
14    (b) The county board of a county that is not subject to
15this Law may, by ordinance or resolution, submit to the voters
16of the county the question of whether to make all non-home rule
17taxing districts that have all or a portion of their equalized
18assessed valuation situated in the county subject to this Law
19in the manner set forth in this Section.
20    For purposes of this Section only:
21    "Taxing district" has the same meaning provided in Section
221-150.
23    "Equalized assessed valuation" means the equalized
24assessed valuation for a taxing district for the immediately
25preceding levy year.

 

 

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1    (c) The ordinance or resolution shall request the
2submission of the proposition at any election, except a
3consolidated primary election, for the purpose of voting for
4or against making the Property Tax Extension Limitation Law
5applicable to all non-home rule taxing districts that have all
6or a portion of their equalized assessed valuation situated in
7the county.
8    The question shall be placed on a separate ballot and
9shall be in substantially the following form:
10        Shall the Property Tax Extension Limitation Law (35
11    ILCS 200/18-185 through 18-245), which limits annual
12    property tax extension increases, apply to non-home rule
13    taxing districts with all or a portion of their equalized
14    assessed valuation located in (name of county)?
15Votes on the question shall be recorded as "yes" or "no".
16    (d) The county clerk shall order the proposition submitted
17to the electors of the county at the election specified in the
18ordinance or resolution. If part of the county is under the
19jurisdiction of a board or boards of election commissioners,
20the county clerk shall submit a certified copy of the
21ordinance or resolution to each board of election
22commissioners, which shall order the proposition submitted to
23the electors of the taxing district within its jurisdiction at
24the election specified in the ordinance or resolution.
25    (e) (1) With respect to taxing districts having all of
26    their equalized assessed valuation located in the county,

 

 

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1    if a majority of the votes cast on the proposition are in
2    favor of the proposition, then this Law becomes applicable
3    to the taxing district beginning on January 1 of the year
4    following the date of the referendum.
5        (2) With respect to taxing districts that meet all the
6    following conditions this Law shall become applicable to
7    the taxing district beginning on January 1, 1997. The
8    districts to which this paragraph (2) is applicable
9            (A) do not have all of their equalized assessed
10        valuation located in a single county,
11            (B) have equalized assessed valuation in an
12        affected county,
13            (C) meet the condition that each county, other
14        than an affected county, in which any of the equalized
15        assessed valuation of the taxing district is located
16        has held a referendum under this Section at any
17        election, except a consolidated primary election, held
18        prior to the effective date of this amendatory Act of
19        1997, and
20            (D) have a majority of the district's equalized
21        assessed valuation located in one or more counties in
22        each of which the voters have approved a referendum
23        under this Section prior to the effective date of this
24        amendatory Act of 1997. For purposes of this Section,
25        in determining whether a majority of the equalized
26        assessed valuation of the taxing district is located

 

 

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1        in one or more counties in which the voters have
2        approved a referendum under this Section, the
3        equalized assessed valuation of the taxing district in
4        any affected county shall be included with the
5        equalized assessed value of the taxing district in
6        counties in which the voters have approved the
7        referendum.
8        (3) With respect to taxing districts that do not have
9    all of their equalized assessed valuation located in a
10    single county and to which paragraph (2) of subsection (e)
11    is not applicable, if each county other than an affected
12    county in which any of the equalized assessed valuation of
13    the taxing district is located has held a referendum under
14    this Section at any election, except a consolidated
15    primary election, held in any year and if a majority of the
16    equalized assessed valuation of the taxing district is
17    located in one or more counties that have each approved a
18    referendum under this Section, then this Law shall become
19    applicable to the taxing district on January 1 of the year
20    following the year in which the last referendum in a
21    county in which the taxing district has any equalized
22    assessed valuation is held. For the purposes of this Law,
23    the last referendum shall be deemed to be the referendum
24    making this Law applicable to the taxing district. For
25    purposes of this Section, in determining whether a
26    majority of the equalized assessed valuation of the taxing

 

 

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1    district is located in one or more counties that have
2    approved a referendum under this Section, the equalized
3    assessed valuation of the taxing district in any affected
4    county shall be included with the equalized assessed value
5    of the taxing district in counties that have approved the
6    referendum.
7    (f) Immediately after a referendum is held under this
8Section, the county clerk of the county holding the referendum
9shall give notice of the referendum having been held and its
10results to all taxing districts that have all or a portion of
11their equalized assessed valuation located in the county, the
12county clerk of any other county in which any of the equalized
13assessed valuation of any taxing district is located, and the
14Department of Revenue. After the last referendum affecting a
15multi-county taxing district is held, the Department of
16Revenue shall determine whether the taxing district is subject
17to this Law and, if so, shall notify the taxing district and
18the county clerks of all of the counties in which a portion of
19the equalized assessed valuation of the taxing district is
20located that, beginning the following January 1, the taxing
21district is subject to this Law. For each taxing district
22subject to paragraph (2) of subsection (e) of this Section,
23the Department of Revenue shall notify the taxing district and
24the county clerks of all of the counties in which a portion of
25the equalized assessed valuation of the taxing district is
26located that, beginning January 1, 1997, the taxing district

 

 

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1is subject to this Law.
2    (g) Referenda held under this Section shall be conducted
3in accordance with the Election Code.
4    (h) Notwithstanding any other provision of law, no
5referenda may be held under this Section that applies to a levy
6year beginning on or after January 1, 2024 and beginning prior
7to January 1, 2035.
8(Source: P.A. 89-510, eff. 7-11-96; 89-718, eff. 3-7-97.)
 
9    (35 ILCS 200/18-214)
10    Sec. 18-214. Referenda on removal of the applicability of
11the Property Tax Extension Limitation Law to non-home rule
12taxing districts.
13    (a) The provisions of this Section do not apply to a taxing
14district that is subject to this Law because a majority of its
151990 equalized assessed value is in a county or counties
16contiguous to a county of 3,000,000 or more inhabitants, or
17because a majority of its 1994 equalized assessed value is in
18an affected county and the taxing district was not subject to
19this Law before the 1995 levy year.
20    (b) For purposes of this Section only:
21    "Taxing district" means any non-home rule taxing district
22that became subject to this Law under Section 18-213 of this
23Law.
24    "Equalized assessed valuation" means the equalized
25assessed valuation for a taxing district for the immediately

 

 

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1preceding levy year.
2    (c) The county board of a county that became subject to
3this Law by a referendum approved by the voters of the county
4under Section 18-213 may, by ordinance or resolution, in the
5manner set forth in this Section, submit to the voters of the
6county the question of whether this Law applies to all
7non-home rule taxing districts that have all or a portion of
8their equalized assessed valuation situated in the county in
9the manner set forth in this Section.
10    (d) The ordinance or resolution shall request the
11submission of the proposition at any election, except a
12consolidated primary election, for the purpose of voting for
13or against the continued application of the Property Tax
14Extension Limitation Law to all non-home rule taxing districts
15that have all or a portion of their equalized assessed
16valuation situated in the county.
17    The question shall be placed on a separate ballot and
18shall be in substantially the following form:
19        Shall the Property Tax Extension Limitation Law (35
20    ILCS 200/18-185 through 35 ILCS 200/18-245), which limits
21    annual property tax extension increases, apply to non-home
22    rule taxing districts with all or a portion of their
23    equalized assessed valuation located in (name of county)?
24Votes on the question shall be recorded as "yes" or "no".
25    (e) The county clerk shall order the proposition submitted
26to the electors of the county at the election specified in the

 

 

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1ordinance or resolution. If part of the county is under the
2jurisdiction of a board or boards of election commissioners,
3the county clerk shall submit a certified copy of the
4ordinance or resolution to each board of election
5commissioners, which shall order the proposition submitted to
6the electors of the taxing district within its jurisdiction at
7the election specified in the ordinance or resolution.
8    (f) With respect to taxing districts having all of their
9equalized assessed valuation located in one county, if a
10majority of the votes cast on the proposition are against the
11proposition, then this Law shall not apply to the taxing
12district beginning on January 1 of the year following the date
13of the referendum.
14    (g) With respect to taxing districts that do not have all
15of their equalized assessed valuation located in a single
16county, if both of the following conditions are met, then this
17Law shall no longer apply to the taxing district beginning on
18January 1 of the year following the date of the referendum.
19        (1) Each county in which the district has any
20    equalized assessed valuation must either, (i) have held a
21    referendum under this Section, (ii) be an affected county,
22    or (iii) have held a referendum under Section 18-213 at
23    which the voters rejected the proposition at the most
24    recent election at which the question was on the ballot in
25    the county.
26        (2) The majority of the equalized assessed valuation

 

 

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1    of the taxing district, other than any equalized assessed
2    valuation in an affected county, is in one or more
3    counties in which the voters rejected the proposition. For
4    purposes of this Section, in determining whether a
5    majority of the equalized assessed valuation of the taxing
6    district is located in one or more counties in which the
7    voters have rejected the proposition under this Section,
8    the equalized assessed valuation of any taxing district in
9    a county which has held a referendum under Section 18-213
10    at which the voters rejected that proposition, at the most
11    recent election at which the question was on the ballot in
12    the county, will be included with the equalized assessed
13    value of the taxing district in counties in which the
14    voters have rejected the referendum held under this
15    Section.
16    (h) Immediately after a referendum is held under this
17Section, the county clerk of the county holding the referendum
18shall give notice of the referendum having been held and its
19results to all taxing districts that have all or a portion of
20their equalized assessed valuation located in the county, the
21county clerk of any other county in which any of the equalized
22assessed valuation of any such taxing district is located, and
23the Department of Revenue. After the last referendum affecting
24a multi-county taxing district is held, the Department of
25Revenue shall determine whether the taxing district is no
26longer subject to this Law and, if the taxing district is no

 

 

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1longer subject to this Law, the Department of Revenue shall
2notify the taxing district and the county clerks of all of the
3counties in which a portion of the equalized assessed
4valuation of the taxing district is located that, beginning on
5January 1 of the year following the date of the last
6referendum, the taxing district is no longer subject to this
7Law.
8    (i) Notwithstanding any other provision of law, no
9referenda may be held under this Section that applies to a levy
10year beginning on or after January 1, 2024 and beginning prior
11to January 1, 2035.
12(Source: P.A. 89-718, eff. 3-7-97.)
 
13    (35 ILCS 200/18-242 new)
14    Sec. 18-242. Home rule. This Division 5 is a limitation,
15under subsection (g) of Section 6 of Article VII of the
16Illinois Constitution, on the power of home rule units to tax.
 
17    Section 99. Effective date. This Act takes effect upon
18becoming law.