Full Text of HB5239 096th General Assembly
HB5239 96TH GENERAL ASSEMBLY
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96TH GENERAL ASSEMBLY
State of Illinois
2009 and 2010 HB5239
Introduced 2/3/2010, by Rep. Patricia R. Bellock SYNOPSIS AS INTRODUCED: |
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Amends the Property Tax Code. Creates a charitable exemption for property that is used as a domestic violence shelter.
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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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HB5239 |
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LRB096 18845 HLH 34231 b |
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| AN ACT concerning revenue.
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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 Property Tax Code is amended by changing | 5 |
| Section 15-65 as follows:
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| (35 ILCS 200/15-65)
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| Sec. 15-65. Charitable purposes. All property of the | 8 |
| following is exempt
when actually and exclusively used for | 9 |
| charitable or beneficent purposes, and
not leased or otherwise | 10 |
| used with a view to profit:
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| (a) Institutions of public charity.
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| (b) Beneficent and charitable organizations | 13 |
| incorporated in any state of
the United States, including | 14 |
| organizations whose owner, and no other person,
uses the | 15 |
| property exclusively for the distribution, sale, or resale | 16 |
| of donated
goods and related activities and uses all the | 17 |
| income from those activities to
support the charitable, | 18 |
| religious or beneficent activities of the owner,
whether or | 19 |
| not such activities occur on the property.
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| (c) Old people's homes, facilities for persons with a | 21 |
| developmental
disability, and not-for-profit organizations | 22 |
| providing services or facilities
related to the goals of | 23 |
| educational, social and physical development, if, upon
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HB5239 |
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LRB096 18845 HLH 34231 b |
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| making application for the exemption, the applicant | 2 |
| provides affirmative
evidence that the home or facility or | 3 |
| organization is an exempt organization
under paragraph (3) | 4 |
| of Section 501(c) of the Internal Revenue Code or its
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| successor, and either: (i) the bylaws of the home or | 6 |
| facility or not-for-profit
organization provide for a | 7 |
| waiver or reduction, based on an individual's
ability to | 8 |
| pay, of any entrance fee, assignment of assets, or fee for | 9 |
| services,
or (ii) the home or facility is qualified, built | 10 |
| or financed under Section 202
of the National Housing Act | 11 |
| of 1959, as amended.
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| An applicant that has been granted an exemption under | 13 |
| this subsection on
the basis that its bylaws provide for a | 14 |
| waiver or reduction, based on an
individual's ability to | 15 |
| pay, of any entrance fee, assignment of assets, or fee
for | 16 |
| services may be periodically reviewed by the Department to | 17 |
| determine if the
waiver or reduction was a past policy or | 18 |
| is a current policy. The Department
may revoke the | 19 |
| exemption if it finds that the policy for waiver or | 20 |
| reduction is
no longer current.
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| If a not-for-profit organization leases property that | 22 |
| is otherwise exempt
under this subsection to an | 23 |
| organization that conducts an activity on the
leased | 24 |
| premises that would entitle the lessee to an exemption from | 25 |
| real estate
taxes if the lessee were the owner of the | 26 |
| property, then the leased property
is exempt.
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HB5239 |
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LRB096 18845 HLH 34231 b |
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| (d) Not-for-profit health maintenance organizations | 2 |
| certified by the
Director of the Illinois Department of | 3 |
| Insurance under the Health Maintenance
Organization Act, | 4 |
| including any health maintenance organization that
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| provides services to members at prepaid rates approved by | 6 |
| the Illinois
Department of Insurance if the membership of | 7 |
| the organization is sufficiently
large or of indefinite | 8 |
| classes so that the community is benefited by its
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| operation. No exemption shall apply to any hospital or | 10 |
| health maintenance
organization which has been adjudicated | 11 |
| by a court of competent jurisdiction to
have denied | 12 |
| admission to any person because of race, color, creed, sex | 13 |
| or
national origin.
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| (e) All free public libraries.
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| (f) Historical societies.
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| (g) Domestic violence shelters. However, if a domestic | 17 |
| violence shelter is located on property that is used for 2 | 18 |
| or more purposes, only the portion of the property that is | 19 |
| used as a domestic violence shelter qualifies for the | 20 |
| exemption. | 21 |
| Property otherwise qualifying for an exemption under this | 22 |
| Section shall not
lose its exemption because the legal title is | 23 |
| held (i) by an entity that is
organized solely to hold that | 24 |
| title and that qualifies under paragraph (2) of
Section 501(c) | 25 |
| of the Internal Revenue Code or its successor, whether or not
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| that entity receives rent from the charitable organization for |
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LRB096 18845 HLH 34231 b |
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| the repair and
maintenance of the property, (ii) by an entity | 2 |
| that is organized as
a
partnership or limited liability | 3 |
| company, in which the charitable organization, or an affiliate | 4 |
| or
subsidiary of the charitable organization, is a general | 5 |
| partner of the partnership or managing member of the limited | 6 |
| liability company, for the
purposes of owning and operating a | 7 |
| residential rental property that has
received an allocation of | 8 |
| Low Income Housing Tax Credits for 100%
of the dwelling units | 9 |
| under Section 42 of the Internal Revenue
Code of 1986, as | 10 |
| amended, or (iii) for any assessment year including and | 11 |
| subsequent to
January 1, 1996 for which an application for | 12 |
| exemption has been filed and a
decision on which has not become | 13 |
| final and nonappealable, by a limited
liability company | 14 |
| organized under the Limited Liability Company Act provided
that | 15 |
| (A) the limited liability
company's sole member or
members, as | 16 |
| that term is used in Section 1-5 of the Limited Liability | 17 |
| Company
Act, are the institutions of public charity that | 18 |
| actually and exclusively use
the property for charitable and | 19 |
| beneficent purposes; (B) the limited liability company is a | 20 |
| disregarded entity for federal and Illinois income tax purposes | 21 |
| and, as a result, the limited liability company is deemed | 22 |
| exempt from income tax liability by virtue of the Internal | 23 |
| Revenue Code Section 501(c)(3) status of its sole member or | 24 |
| members; and (C) the limited
liability company does not lease | 25 |
| the property or otherwise use it with a view
to profit.
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| (Source: P.A. 96-763, eff. 8-25-09.)
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