Full Text of HB3744 96th General Assembly
HB3744 96TH GENERAL ASSEMBLY
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96TH GENERAL ASSEMBLY
State of Illinois
2009 and 2010 HB3744
Introduced 2/25/2009, by Rep. Linda Chapa LaVia SYNOPSIS AS INTRODUCED: |
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65 ILCS 5/11-74.4-4 |
from Ch. 24, par. 11-74.4-4 |
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Amends the Tax Increment Allocation Redevelopment Act. Provides that a municipality may use revenues received under this Act from one redevelopment project area for eligible costs in another redevelopment area that is (i) located in a municipality with a population of less than 15,000 and (ii) located within 1.5 miles from the redevelopment project area from which the revenues are received by the municipality. Effective immediately.
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FISCAL NOTE ACT MAY APPLY | |
HOUSING AFFORDABILITY IMPACT NOTE ACT MAY APPLY |
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A BILL FOR
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HB3744 |
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LRB096 11186 RLJ 21575 b |
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| AN ACT concerning local government.
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| Be it enacted by the People of the State of Illinois,
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| represented in the General Assembly:
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| Section 5. The Illinois Municipal Code is amended by | 5 |
| changing Section 11-74.4-4 as follows:
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| (65 ILCS 5/11-74.4-4) (from Ch. 24, par. 11-74.4-4)
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| Sec. 11-74.4-4. Municipal powers and duties; redevelopment | 8 |
| project
areas. A municipality may:
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| (a) The changes made by this amendatory Act of the 91st | 10 |
| General Assembly
do not apply to a municipality that, (i) | 11 |
| before the effective date of this
amendatory Act of the 91st | 12 |
| General Assembly, has adopted an ordinance or
resolution fixing | 13 |
| a time and place for a
public hearing under Section 11-74.4-5 | 14 |
| or (ii) before July 1, 1999, has
adopted an ordinance or | 15 |
| resolution providing for a feasibility study under
Section | 16 |
| 11-74.4-4.1, but has not yet adopted an ordinance
approving | 17 |
| redevelopment plans and redevelopment projects or designating
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| redevelopment project areas under this Section, until after | 19 |
| that
municipality adopts an ordinance
approving redevelopment | 20 |
| plans and redevelopment projects or designating
redevelopment | 21 |
| project areas under this Section; thereafter the changes made | 22 |
| by
this amendatory Act of the 91st General Assembly apply to | 23 |
| the same extent that
they apply to
redevelopment plans and |
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HB3744 |
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| redevelopment projects that were approved and
redevelopment | 2 |
| projects that were designated before the effective date of this
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| amendatory Act of the 91st General Assembly.
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| By ordinance introduced in the
governing body of the | 5 |
| municipality within 14 to 90 days from the completion
of the | 6 |
| hearing specified in Section 11-74.4-5
approve redevelopment | 7 |
| plans and redevelopment projects, and designate
redevelopment | 8 |
| project areas pursuant to notice and hearing required by this
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| Act. No redevelopment project area shall be designated unless a | 10 |
| plan and
project are approved
prior to the designation of such | 11 |
| area and such area
shall include only those contiguous parcels | 12 |
| of real property and
improvements thereon substantially | 13 |
| benefited by the proposed redevelopment
project improvements.
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| Upon adoption of the ordinances, the municipality shall | 15 |
| forthwith transmit to
the county clerk of the county or | 16 |
| counties within which the redevelopment
project area is located | 17 |
| a certified copy of the ordinances, a legal description
of the | 18 |
| redevelopment project area, a map of the redevelopment project | 19 |
| area,
identification of the year that the county clerk shall | 20 |
| use for determining the
total initial equalized assessed value | 21 |
| of the redevelopment project area
consistent with subsection | 22 |
| (a) of Section 11-74.4-9, and a
list of the parcel or tax | 23 |
| identification number of each parcel of property
included in | 24 |
| the redevelopment project area.
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| (b) Make and enter into all contracts with property owners, | 26 |
| developers,
tenants, overlapping taxing bodies, and others |
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| necessary or incidental to the
implementation and furtherance | 2 |
| of its redevelopment plan and project.
Contract provisions | 3 |
| concerning loan repayment obligations in contracts
entered | 4 |
| into on or after the effective date of this amendatory Act
of
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| the 93rd
General Assembly shall terminate no later than the | 6 |
| last to occur of the
estimated dates of
completion of the
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| redevelopment project and retirement of the obligations issued | 8 |
| to finance
redevelopment
project costs as required by item (3) | 9 |
| of subsection (n) of Section 11-74.4-3.
Payments received under
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| contracts entered
into by the
municipality prior to the | 11 |
| effective date of this amendatory Act of the 93rd
General
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| Assembly that are received after the redevelopment project area | 13 |
| has been
terminated by
municipal ordinance shall be deposited | 14 |
| into a special fund of the municipality
to be used
for other | 15 |
| community redevelopment needs within the redevelopment project
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| area.
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| (c) Within a redevelopment project area, acquire by | 18 |
| purchase, donation,
lease or
eminent domain; own, convey, | 19 |
| lease, mortgage or dispose of land
and other property, real or | 20 |
| personal, or rights or interests therein, and
grant or acquire | 21 |
| licenses, easements and options with respect thereto, all
in | 22 |
| the manner and at such price the municipality determines is | 23 |
| reasonably
necessary to achieve the objectives of the | 24 |
| redevelopment plan and project.
No conveyance, lease, | 25 |
| mortgage, disposition of land or other property owned
by a | 26 |
| municipality, or
agreement relating to the development of such |
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| municipal property
shall be
made except
upon the adoption of an | 2 |
| ordinance by the corporate authorities of the
municipality. | 3 |
| Furthermore, no conveyance, lease, mortgage, or other
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| disposition of land owned by a municipality or agreement | 5 |
| relating to the
development of such municipal property
shall be | 6 |
| made without making public disclosure of the terms of the
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| disposition and all bids and proposals made in response to the
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| municipality's request. The procedures for obtaining such bids | 9 |
| and
proposals shall provide reasonable opportunity for any | 10 |
| person to submit
alternative proposals or bids.
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| (d) Within a redevelopment project area, clear any area by
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| demolition or removal of any existing buildings and structures.
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| (e) Within a redevelopment project area, renovate or | 14 |
| rehabilitate or
construct any structure or building, as | 15 |
| permitted under this Act.
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| (f) Install, repair, construct, reconstruct or relocate | 17 |
| streets, utilities
and site improvements essential to the | 18 |
| preparation of the redevelopment
area for use in accordance | 19 |
| with a redevelopment plan.
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| (g) Within a redevelopment project area, fix, charge and | 21 |
| collect fees,
rents and charges for the use of any building or | 22 |
| property owned or leased
by it or any part thereof, or facility | 23 |
| therein.
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| (h) Accept grants, guarantees and donations of property, | 25 |
| labor, or other
things of value from a public or private source | 26 |
| for use within a project
redevelopment area.
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| (i) Acquire and construct public facilities within a | 2 |
| redevelopment project
area, as permitted under this Act.
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| (j) Incur project redevelopment costs and reimburse | 4 |
| developers who incur
redevelopment project costs authorized by | 5 |
| a redevelopment agreement; provided,
however, that on and
after | 6 |
| the effective date of this amendatory
Act of the 91st General | 7 |
| Assembly, no municipality shall incur redevelopment
project | 8 |
| costs (except for planning costs and any other eligible costs
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| authorized by municipal ordinance or resolution that are | 10 |
| subsequently included
in the
redevelopment plan for the area | 11 |
| and are incurred by the municipality after the
ordinance or | 12 |
| resolution is adopted)
that are
not consistent with the program | 13 |
| for
accomplishing the objectives of the
redevelopment plan as | 14 |
| included in that plan and approved by the
municipality until | 15 |
| the municipality has amended
the redevelopment plan as provided | 16 |
| elsewhere in this Act.
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| (k) Create a commission of not less than 5 or more than 15 | 18 |
| persons to
be appointed by the mayor or president of the | 19 |
| municipality with the consent
of the majority of the governing | 20 |
| board of the municipality. Members of a
commission appointed | 21 |
| after the effective date of this amendatory Act of
1987 shall | 22 |
| be appointed for initial terms of 1, 2, 3, 4 and 5 years,
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| respectively, in such numbers as to provide that the terms of | 24 |
| not more than
1/3 of all such members shall expire in any one | 25 |
| year. Their successors
shall be appointed for a term of 5 | 26 |
| years. The commission, subject to
approval of the corporate |
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| authorities may exercise the powers enumerated in
this Section. | 2 |
| The commission shall also have the power to hold the public
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| hearings required by this division and make recommendations to | 4 |
| the
corporate authorities concerning the adoption of | 5 |
| redevelopment plans,
redevelopment projects and designation of | 6 |
| redevelopment project areas.
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| (l) Make payment in lieu of taxes or a portion thereof to | 8 |
| taxing districts.
If payments in lieu of taxes or a portion | 9 |
| thereof are made to taxing districts,
those payments shall be | 10 |
| made to all districts within a project redevelopment
area on a | 11 |
| basis which is proportional to the current collections of | 12 |
| revenue
which each taxing district receives from real property | 13 |
| in the redevelopment
project area.
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| (m) Exercise any and all other powers necessary to | 15 |
| effectuate the purposes
of this Act.
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| (n) If any member of the corporate authority, a member of a | 17 |
| commission
established pursuant to Section 11-74.4-4(k) of | 18 |
| this Act, or an employee
or consultant of the municipality | 19 |
| involved in the planning and preparation
of a redevelopment | 20 |
| plan, or project for a redevelopment project area or
proposed | 21 |
| redevelopment project area, as defined in Sections | 22 |
| 11-74.4-3(i)
through (k) of this Act, owns or controls an | 23 |
| interest, direct or indirect,
in any property included in any | 24 |
| redevelopment area, or proposed
redevelopment area, he or she | 25 |
| shall disclose the same in writing to the
clerk of the | 26 |
| municipality, and shall also so disclose the dates and terms
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| and conditions of any disposition of any such interest, which | 2 |
| disclosures
shall be acknowledged by the corporate authorities | 3 |
| and entered upon the
minute books of the corporate authorities. | 4 |
| If an individual
holds such an interest then that individual | 5 |
| shall refrain from any further
official involvement in regard | 6 |
| to such redevelopment plan, project or area,
from voting on any | 7 |
| matter pertaining to such redevelopment plan, project
or area, | 8 |
| or communicating with other members concerning corporate | 9 |
| authorities,
commission or employees concerning any matter | 10 |
| pertaining to said redevelopment
plan, project or area. | 11 |
| Furthermore, no such member or employee shall acquire
of any | 12 |
| interest direct, or indirect, in any property in a | 13 |
| redevelopment
area or proposed redevelopment area after either | 14 |
| (a) such individual obtains
knowledge of such plan, project or | 15 |
| area or (b) first public notice of such
plan, project or area | 16 |
| pursuant to Section 11-74.4-6 of this Division, whichever
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| occurs first.
For the
purposes of this subsection, a property | 18 |
| interest
acquired in a
single parcel of property by a member of | 19 |
| the corporate authority, which
property
is used
exclusively as | 20 |
| the member's primary residence, shall not be deemed to
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| constitute an
interest in any property included in a | 22 |
| redevelopment area or proposed
redevelopment area
that was | 23 |
| established before December 31, 1989, but the member must | 24 |
| disclose the
acquisition to the municipal clerk under the | 25 |
| provisions of this subsection.
A single property interest
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| acquired within one year after the effective date of this |
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| amendatory Act of the 94th General Assembly by a member of the | 2 |
| corporate authority does not
constitute an
interest in any | 3 |
| property included in any redevelopment area or proposed
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| redevelopment area, regardless of when the redevelopment area | 5 |
| was established, if (i) the
property
is used
exclusively as the | 6 |
| member's primary residence, (ii) the member discloses the | 7 |
| acquisition to the municipal clerk under the provisions of this | 8 |
| subsection, (iii) the acquisition is for fair market value, | 9 |
| (iv) the member acquires the property as a result of the | 10 |
| property being publicly advertised for sale, and (v) the member | 11 |
| refrains from voting on, and communicating with other members | 12 |
| concerning, any matter when the benefits to the redevelopment | 13 |
| project or area would be significantly greater than the | 14 |
| benefits to the municipality as a whole. For the purposes of | 15 |
| this subsection, a month-to-month leasehold interest
in a | 16 |
| single parcel of property by a member of the corporate | 17 |
| authority
shall not be deemed to constitute an interest in any | 18 |
| property included in any
redevelopment area or proposed | 19 |
| redevelopment area, but the member must disclose
the interest | 20 |
| to the municipal clerk under the provisions of this subsection.
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| (o) Create a Tax Increment Economic Development Advisory | 22 |
| Committee to
be appointed by the Mayor or President of the | 23 |
| municipality with the consent
of the majority of the governing | 24 |
| board of the municipality, the members of
which Committee shall | 25 |
| be appointed for initial terms of 1, 2, 3, 4 and 5
years | 26 |
| respectively, in such numbers as to provide that the terms of |
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LRB096 11186 RLJ 21575 b |
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| not
more than 1/3 of all such members shall expire in any one | 2 |
| year. Their
successors shall be appointed for a term of 5 | 3 |
| years. The Committee shall
have none of the powers enumerated | 4 |
| in this Section. The Committee shall
serve in an advisory | 5 |
| capacity only. The Committee may advise the governing
Board of | 6 |
| the municipality and other municipal officials regarding
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| development issues and opportunities within the redevelopment | 8 |
| project area
or the area within the State Sales Tax Boundary. | 9 |
| The Committee may also
promote and publicize development | 10 |
| opportunities in the redevelopment
project area or the area | 11 |
| within the State Sales Tax Boundary.
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| (p) Municipalities may jointly undertake and perform | 13 |
| redevelopment plans
and projects and utilize the provisions of | 14 |
| the Act wherever they have
contiguous redevelopment project | 15 |
| areas or they determine to adopt tax
increment financing with | 16 |
| respect to a redevelopment project area which
includes | 17 |
| contiguous real property within the boundaries of the
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| municipalities, and in doing so, they may, by agreement between
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| municipalities, issue obligations, separately or jointly, and | 20 |
| expend
revenues received under the Act for eligible expenses | 21 |
| anywhere within
contiguous redevelopment project areas or as | 22 |
| otherwise permitted in the Act.
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| (q) Utilize revenues, other than State sales tax increment | 24 |
| revenues,
received under this Act from one redevelopment | 25 |
| project area for
eligible
costs in another redevelopment | 26 |
| project area that is:
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| (i) contiguous to the redevelopment project area from | 2 |
| which the revenues are received; | 3 |
| (ii) separated only by a public right of way from the | 4 |
| redevelopment project area from which the revenues are | 5 |
| received; or | 6 |
| (iii) separated only by forest preserve property from | 7 |
| the redevelopment project
area from which the revenues are | 8 |
| received if the closest boundaries of the redevelopment | 9 |
| project areas that are separated by the forest preserve | 10 |
| property are less than one mile apart ; or . | 11 |
| (iv) located in a municipality with a population of | 12 |
| less than 15,000 and within 1.5 miles from the | 13 |
| redevelopment project area from which the revenues are | 14 |
| received.
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| Utilize tax increment revenues for eligible costs that are | 16 |
| received from a
redevelopment project area created under the | 17 |
| Industrial Jobs Recovery Law that
is either contiguous to, or | 18 |
| is separated only by a public right of way from,
the | 19 |
| redevelopment project area created under this Act which | 20 |
| initially receives
these revenues. Utilize revenues, other | 21 |
| than State sales tax increment
revenues, by transferring or | 22 |
| loaning such revenues to a redevelopment project
area created | 23 |
| under the Industrial Jobs Recovery Law that is either | 24 |
| contiguous
to, or separated only by a public right of way from | 25 |
| the redevelopment project
area that initially produced and | 26 |
| received those revenues; and, if the
redevelopment
project area |
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| (i) was established before the effective date of this | 2 |
| amendatory
Act of the 91st General Assembly and (ii) is located | 3 |
| within a municipality with
a population of more than 100,000,
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| utilize revenues or proceeds of obligations authorized by | 5 |
| Section 11-74.4-7 of
this
Act, other than use or occupation tax | 6 |
| revenues, to pay for any redevelopment
project costs as defined | 7 |
| by subsection (q) of Section 11-74.4-3 to the extent
that the | 8 |
| redevelopment project costs involve public property that is | 9 |
| either
contiguous to, or separated only by a public right of | 10 |
| way from, a redevelopment
project area whether or not | 11 |
| redevelopment project costs or the source of
payment for the | 12 |
| costs are specifically set forth in the redevelopment plan for
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| the redevelopment project area.
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| (r) If no redevelopment project has been initiated in a
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| redevelopment
project area within 7 years after the area was | 16 |
| designated by ordinance under
subsection (a), the municipality | 17 |
| shall adopt an ordinance repealing the area's
designation as a | 18 |
| redevelopment project area; provided, however, that if an area
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| received its
designation more than 3 years before the effective | 20 |
| date of this amendatory Act
of 1994 and no redevelopment | 21 |
| project has been initiated
within 4 years after the effective | 22 |
| date of this amendatory Act of 1994, the
municipality shall | 23 |
| adopt an ordinance repealing its designation as a
redevelopment | 24 |
| project area. Initiation of a redevelopment project shall be
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| evidenced by either a signed redevelopment agreement or | 26 |
| expenditures on
eligible redevelopment project costs |
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| associated with a redevelopment project.
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| (Source: P.A. 93-298, eff. 7-23-03; 93-961, eff. 1-1-05; | 3 |
| 93-1098, eff. 1-1-06; 94-1013, eff. 1-1-07.)
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| Section 99. Effective date. This Act takes effect upon | 5 |
| becoming law.
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