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| [ House Amendment 001 ] |
90_HB1454
35 ILCS 200/18-185
Amends the Property Tax Extension Limitation Law in the
Property Tax Code. In the definition of aggregate extension
applicable to those taxing districts not subject to the Law
before the 1995 levy year (except for those taxing districts
subject to the law in accordance with Section 18-213 of this
Act), provides that the amount made for payments of principal
and interest on bonds issued under the Metropolitan Water
Reclamation District Act to finance certain construction
projects shall not be deducted in determining the exclusion
for payments of principal and interest on limited bonds in an
amount not to exceed the debt service extension base but
rather shall be excluded with obligations issued pursuant to
referendum.
LRB9002017KDsb
LRB9002017KDsb
1 AN ACT to amend the Property Tax Code by changing Section
2 18-185.
3 Be it enacted by the People of the State of Illinois,
4 represented in the General Assembly:
5 Section 5. The Property Tax Code is amended by changing
6 Section 18-185 as follows:
7 (35 ILCS 200/18-185)
8 Sec. 18-185. Short title; definitions. This Section and
9 Sections 18-190 through 18-245 may be cited as the Property
10 Tax Extension Limitation Law. As used in Sections 18-190
11 through 18-245:
12 "Consumer Price Index" means the Consumer Price Index for
13 All Urban Consumers for all items published by the United
14 States Department of Labor.
15 "Extension limitation" means (a) the lesser of 5% or the
16 percentage increase in the Consumer Price Index during the
17 12-month calendar year preceding the levy year or (b) the
18 rate of increase approved by voters under Section 18-205.
19 "Affected county" means a county of 3,000,000 or more
20 inhabitants or a county contiguous to a county of 3,000,000
21 or more inhabitants.
22 "Taxing district" has the same meaning provided in
23 Section 1-150, except as otherwise provided in this Section.
24 For the 1991 through 1994 levy years only, "taxing district"
25 includes only each non-home rule taxing district having the
26 majority of its 1990 equalized assessed value within any
27 county or counties contiguous to a county with 3,000,000 or
28 more inhabitants. Beginning with the 1995 levy year, "taxing
29 district" includes only each non-home rule taxing district
30 subject to this Law before the 1995 levy year and each
31 non-home rule taxing district not subject to this Law before
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1 the 1995 levy year having the majority of its 1994 equalized
2 assessed value in an affected county or counties. Beginning
3 with the levy year in which this Law becomes applicable to a
4 taxing district as provided in Section 18-213, "taxing
5 district" also includes those taxing districts made subject
6 to this Law as provided in Section 18-213.
7 "Aggregate extension" for taxing districts to which this
8 Law applied before the 1995 levy year means the annual
9 corporate extension for the taxing district and those special
10 purpose extensions that are made annually for the taxing
11 district, excluding special purpose extensions: (a) made for
12 the taxing district to pay interest or principal on general
13 obligation bonds that were approved by referendum; (b) made
14 for any taxing district to pay interest or principal on
15 general obligation bonds issued before October 1, 1991; (c)
16 made for any taxing district to pay interest or principal on
17 bonds issued to refund or continue to refund those bonds
18 issued before October 1, 1991; (d) made for any taxing
19 district to pay interest or principal on bonds issued to
20 refund or continue to refund bonds issued after October 1,
21 1991 that were approved by referendum; (e) made for any
22 taxing district to pay interest or principal on revenue bonds
23 issued before October 1, 1991 for payment of which a property
24 tax levy or the full faith and credit of the unit of local
25 government is pledged; however, a tax for the payment of
26 interest or principal on those bonds shall be made only after
27 the governing body of the unit of local government finds that
28 all other sources for payment are insufficient to make those
29 payments; (f) made for payments under a building commission
30 lease when the lease payments are for the retirement of bonds
31 issued by the commission before October 1, 1991, to pay for
32 the building project; (g) made for payments due under
33 installment contracts entered into before October 1, 1991;
34 (h) made for payments of principal and interest on bonds
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1 issued under the Metropolitan Water Reclamation District Act
2 to finance construction projects initiated before October 1,
3 1991; (i) made for payments of principal and interest on
4 limited bonds, as defined in Section 3 of the Local
5 Government Debt Reform Act, in an amount not to exceed the
6 debt service extension base less the amount in items (b),
7 (c), and (e), and (h) of this definition for non-referendum
8 obligations, except obligations initially issued pursuant to
9 referendum and bonds issued under item (h) of this
10 definition; and (j) made for payments of principal and
11 interest on bonds issued under Section 15 of the Local
12 Government Debt Reform Act.
13 "Aggregate extension" for the taxing districts to which
14 this Law did not apply before the 1995 levy year (except
15 taxing districts subject to this Law in accordance with
16 Section 18-213) means the annual corporate extension for the
17 taxing district and those special purpose extensions that are
18 made annually for the taxing district, excluding special
19 purpose extensions: (a) made for the taxing district to pay
20 interest or principal on general obligation bonds that were
21 approved by referendum; (b) made for any taxing district to
22 pay interest or principal on general obligation bonds issued
23 before March 1, 1995; (c) made for any taxing district to pay
24 interest or principal on bonds issued to refund or continue
25 to refund those bonds issued before March 1, 1995; (d) made
26 for any taxing district to pay interest or principal on bonds
27 issued to refund or continue to refund bonds issued after
28 March 1, 1995 that were approved by referendum; (e) made for
29 any taxing district to pay interest or principal on revenue
30 bonds issued before March 1, 1995 for payment of which a
31 property tax levy or the full faith and credit of the unit of
32 local government is pledged; however, a tax for the payment
33 of interest or principal on those bonds shall be made only
34 after the governing body of the unit of local government
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1 finds that all other sources for payment are insufficient to
2 make those payments; (f) made for payments under a building
3 commission lease when the lease payments are for the
4 retirement of bonds issued by the commission before March 1,
5 1995 to pay for the building project; (g) made for payments
6 due under installment contracts entered into before March 1,
7 1995; (h) made for payments of principal and interest on
8 bonds issued under the Metropolitan Water Reclamation
9 District Act to finance construction projects initiated
10 before October 1, 1991; (i) made for payments of principal
11 and interest on limited bonds, as defined in Section 3 of the
12 Local Government Debt Reform Act, in an amount not to exceed
13 the debt service extension base less the amount in items (b),
14 (c), (e), and (h) of this definition for non-referendum
15 obligations, except obligations initially issued pursuant to
16 referendum; (j) made for payments of principal and interest
17 on bonds issued under Section 15 of the Local Government Debt
18 Reform Act; (k) made for payments of principal and interest
19 on bonds authorized by Public Act 88-503 and issued under
20 Section 20a of the Chicago Park District Act for aquarium or
21 museum projects; and (l) made for payments of principal and
22 interest on bonds authorized by Public Act 87-1191 and issued
23 under Section 42 of the Cook County Forest Preserve District
24 Act for zoological park projects.
25 "Aggregate extension" for all taxing districts to which
26 this Law applies in accordance with Section 18-213 means the
27 annual corporate extension for the taxing district and those
28 special purpose extensions that are made annually for the
29 taxing district, excluding special purpose extensions: (a)
30 made for the taxing district to pay interest or principal on
31 general obligation bonds that were approved by referendum;
32 (b) made for any taxing district to pay interest or principal
33 on general obligation bonds issued before the date on which
34 the referendum making this Law applicable to the taxing
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1 district is held; (c) made for any taxing district to pay
2 interest or principal on bonds issued to refund or continue
3 to refund those bonds issued before the date on which the
4 referendum making this Law applicable to the taxing district
5 is held; (d) made for any taxing district to pay interest or
6 principal on bonds issued to refund or continue to refund
7 bonds issued after the date on which the referendum making
8 this Law applicable to the taxing district is held if the
9 bonds were approved by referendum after the date on which the
10 referendum making this Law applicable to the taxing district
11 is held; (e) made for any taxing district to pay interest or
12 principal on revenue bonds issued before the date on which
13 the referendum making this Law applicable to the taxing
14 district is held for payment of which a property tax levy or
15 the full faith and credit of the unit of local government is
16 pledged; however, a tax for the payment of interest or
17 principal on those bonds shall be made only after the
18 governing body of the unit of local government finds that all
19 other sources for payment are insufficient to make those
20 payments; (f) made for payments under a building commission
21 lease when the lease payments are for the retirement of bonds
22 issued by the commission before the date on which the
23 referendum making this Law applicable to the taxing district
24 is held to pay for the building project; (g) made for
25 payments due under installment contracts entered into before
26 the date on which the referendum making this Law applicable
27 to the taxing district is held; (h) made for payments of
28 principal and interest on limited bonds, as defined in
29 Section 3 of the Local Government Debt Reform Act, in an
30 amount not to exceed the debt service extension base less the
31 amount in items (b), (c), and (e) of this definition for
32 non-referendum obligations, except obligations initially
33 issued pursuant to referendum; (i) made for payments of
34 principal and interest on bonds issued under Section 15 of
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1 the Local Government Debt Reform Act; and (j) made for a
2 qualified airport authority to pay interest or principal on
3 general obligation bonds issued for the purpose of paying
4 obligations due under, or financing airport facilities
5 required to be acquired, constructed, installed or equipped
6 pursuant to, contracts entered into before March 1, 1996 (but
7 not including any amendments to such a contract taking effect
8 on or after that date).
9 "Debt service extension base" means an amount equal to
10 that portion of the extension for a taxing district for the
11 1994 levy year, or for those taxing districts subject to this
12 Law in accordance with Section 18-213 for the levy year in
13 which the referendum making this Law applicable to the taxing
14 district is held, constituting an extension for payment of
15 principal and interest on bonds issued by the taxing district
16 without referendum, but not including (i) bonds authorized by
17 Public Act 88-503 and issued under Section 20a of the Chicago
18 Park District Act for aquarium and museum projects; (ii)
19 bonds issued under Section 15 of the Local Government Debt
20 Reform Act; or (iii) refunding obligations issued to refund
21 or to continue to refund obligations initially issued
22 pursuant to referendum. The debt service extension base may
23 be established or increased as provided under Section 18-212.
24 "Special purpose extensions" include, but are not limited
25 to, extensions for levies made on an annual basis for
26 unemployment and workers' compensation, self-insurance,
27 contributions to pension plans, and extensions made pursuant
28 to Section 6-601 of the Illinois Highway Code for a road
29 district's permanent road fund whether levied annually or
30 not. The extension for a special service area is not
31 included in the aggregate extension.
32 "Aggregate extension base" means the taxing district's
33 last preceding aggregate extension as adjusted under Sections
34 18-215 through 18-230.
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1 "Levy year" has the same meaning as "year" under Section
2 1-155.
3 "New property" means (i) the assessed value, after final
4 board of review or board of appeals action, of new
5 improvements or additions to existing improvements on any
6 parcel of real property that increase the assessed value of
7 that real property during the levy year multiplied by the
8 equalization factor issued by the Department under Section
9 17-30 and (ii) the assessed value, after final board of
10 review or board of appeals action, of real property not
11 exempt from real estate taxation, which real property was
12 exempt from real estate taxation for any portion of the
13 immediately preceding levy year, multiplied by the
14 equalization factor issued by the Department under Section
15 17-30.
16 "Qualified airport authority" means an airport authority
17 organized under the Airport Authorities Act and located in a
18 county bordering on the State of Wisconsin and having a
19 population in excess of 200,000 and not greater than 500,000.
20 "Recovered tax increment value" means the amount of the
21 current year's equalized assessed value, in the first year
22 after a municipality terminates the designation of an area as
23 a redevelopment project area previously established under the
24 Tax Increment Allocation Development Act in the Illinois
25 Municipal Code, previously established under the Industrial
26 Jobs Recovery Law in the Illinois Municipal Code, or
27 previously established under the Economic Development Area
28 Tax Increment Allocation Act, of each taxable lot, block,
29 tract, or parcel of real property in the redevelopment
30 project area over and above the initial equalized assessed
31 value of each property in the redevelopment project area.
32 Except as otherwise provided in this Section, "limiting
33 rate" means a fraction the numerator of which is the last
34 preceding aggregate extension base times an amount equal to
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1 one plus the extension limitation defined in this Section and
2 the denominator of which is the current year's equalized
3 assessed value of all real property in the territory under
4 the jurisdiction of the taxing district during the prior levy
5 year. For those taxing districts that reduced their
6 aggregate extension for the last preceding levy year, the
7 highest aggregate extension in any of the last 3 preceding
8 levy years shall be used for the purpose of computing the
9 limiting rate. The denominator shall not include new
10 property. The denominator shall not include the recovered
11 tax increment value.
12 (Source: P.A. 88-455; 89-1, eff. 2-12-95; 89-138, eff.
13 7-14-95; 89-385, eff. 8-18-95; 89-436, eff. 1-1-96; 89-449,
14 eff. 6-1-96; 89-510, eff. 7-11-96.)