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90_HB3027
35 ILCS 200/18-55
35 ILCS 200/18-56
35 ILCS 200/18-60
35 ILCS 200/18-65
35 ILCS 200/18-66 new
35 ILCS 200/18-70
35 ILCS 200/18-80
35 ILCS 200/18-85
35 ILCS 200/18-90
35 ILCS 200/18-105
30 ILCS 805/8.22 new
Amends the Property Tax Code. Revises the purposes
Section of the Truth in Taxation Law in the Property Tax Code
to require taxing districts to hold public hearings on their
intention to adopt an aggregate levy and to publish their
intentions to adopt an aggregate levy in amounts more than 5%
or the percentage increase in the Consumer Price Index,
whichever is less, over the amount of property taxes extended
or estimated to be extended, including any amount abated by
the taxing district prior to such extension, upon the final
aggregate levy of the preceding year. Sets a uniform date
for filing appropriation ordinances. Amends the State
Mandates Act to require implementation without reimbursement.
Effective January 1, 1999.
LRB9008702KDpk
LRB9008702KDpk
1 AN ACT in relation to truth in taxation.
2 Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
4 Section 5. The Property Tax Code is amended by changing
5 Sections 18-55, 18-56, 18-60, 18-65, 18-70, 18-80, 18-85,
6 18-90, and 18-105 and adding Section 18-66 as follows:
7 (35 ILCS 200/18-55)
8 Sec. 18-55. Short title and definitions. This Section
9 and Sections 18-56 18-60 through 18-95 may be cited as the
10 Truth in Taxation Law. As used in Sections 18-56 18-60
11 through 18-95:
12 (a) "taxing district" has the meaning specified in
13 Section 1-150 and includes home rule units;
14 (b) "aggregate levy" means the annual corporate levy of
15 the taxing district and those special purpose levies which
16 are made annually (other than debt service levies and levies
17 made for the purpose of paying amounts due under public
18 building commission leases);
19 (c) "special purpose levies" include, but are not
20 limited to, levies made on an annual basis for contributions
21 to pension plans, unemployment and worker's compensation, or
22 self-insurance;
23 (d) "debt service" means levies made by any taxing
24 district pursuant to home rule authority, statute,
25 referendum, ordinance, resolution, indenture, agreement, or
26 contract to retire the principal or pay interest on bonds,
27 notes, debentures or other financial instruments which
28 evidence indebtedness;.
29 (e) "Consumer Price Index" has the meaning specified in
30 Section 18-185.
31 (Source: P.A. 86-957; 86-1475; 88-455.)
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1 (35 ILCS 200/18-56)
2 Sec. 18-56. Legislative purposes. The purposes of this
3 Law are (i) to require taxing districts to hold a public
4 hearing on their intention to adopt an aggregate levy on a
5 day certain each year and (ii) to require taxing districts to
6 disclose by publication their intention to adopt an aggregate
7 levy in amounts more than 5% or the percentage increase in
8 the Consumer Price Index, whichever is less, over the amount
9 of property taxes extended or estimated to be extended,
10 including any amount abated by the taxing district prior to
11 such extension, upon the final aggregate levy of the
12 preceding year. Legislative purpose. The purpose of this Law
13 is to require taxing districts to disclose by publication and
14 to hold a public hearing on their intention to adopt an
15 aggregate levy in amounts more than 105% of the amount of
16 property taxes extended or estimated to be extended,
17 including any amount abated by the taxing district prior to
18 such extension, upon the final aggregate levy of the
19 preceding year.
20 (Source: P.A. 88-660, eff. 9-16-94.)
21 (35 ILCS 200/18-60)
22 Sec. 18-60. Estimate of taxes to be levied. Not less
23 than 30 20 days prior to the adoption of its aggregate levy,
24 hereafter referred to as "levy", the corporate authority of
25 each taxing district shall determine the amounts of money,
26 exclusive of any portion of that levy attributable to the
27 cost of conducting an election required by the general
28 election law, hereafter referred to as "election costs",
29 estimated to be necessary to be raised by taxation for that
30 year upon the taxable property in its district.
31 (Source: P.A. 82-102; 88-455.)
32 (35 ILCS 200/18-65)
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1 Sec. 18-65. Restriction on extension. Until it has
2 complied with the notice and hearing provisions of this
3 Article, no taxing district shall levy an amount of ad
4 valorem tax which is more than 105% of the amount, exclusive
5 of election costs, which has been extended or is estimated
6 will be extended, plus any amount abated by the taxing
7 district before extension, upon the final aggregate levy of
8 the preceding year.
9 (Source: P.A. 86-957; 88-455.)
10 (35 ILCS 200/18-66 new)
11 Sec. 18-66. Intent to adopt an aggregate levy; hearing
12 required. Upon making the estimate as provided in Section
13 18-60, the corporate authority shall hold a hearing on its
14 intent to adopt an aggregate levy. Except as hereinafter
15 provided, hearings shall be held according to the following
16 schedule.
17 (1) First Monday in December: Park districts and
18 municipalities.
19 (2) First Tuesday in December: Townships, road
20 districts, and all school districts except high school
21 districts.
22 (3) First Wednesday in December: High school
23 districts and libraries.
24 (4) First Thursday in December: Counties and forest
25 preserve districts.
26 (5) First Friday in December: All other taxing
27 districts.
28 All hearings shall be open to the public. The corporate
29 authority of the taxing district shall explain the reasons
30 for the levy and any proposed increase and shall permit
31 persons desiring to be heard an opportunity to present
32 testimony within such reasonable time limits as it shall
33 determine. The hearing shall not coincide with the hearing
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1 on the proposed budget. The corporate authority may,
2 however, conduct any other business of the taxing district on
3 the same day. When separate notice of the hearing is not
4 required by Sections 18-56, 18-75, and 18-80, notice of the
5 time of the hearing shall be given in the taxing district's
6 agenda pursuant to Sections 2.02, 2.03, and 2.04 of the Open
7 Meetings Act. Failure of a taxing district to convene or
8 complete a public hearing on the day prescribed in this
9 Section due to physical perils such as natural disasters or
10 acts of God shall not constitute a failure to hold a public
11 hearing under this Act. In this event, a taxing district may
12 either hold a separate public hearing on its proposed tax
13 levy, or place the hearing on its proposed tax levy on the
14 agenda of the taxing district's next scheduled meeting. In
15 either case, a taxing district shall give notice of the
16 hearing pursuant to Sections 2.02, 2.03, and 2.04 of the Open
17 Meetings Act.
18 For the purpose of permitting the issuance of warrants or
19 notes in anticipation of the taxes to be levied, a taxing
20 district may hold (on any date prior to the first week in
21 December) a hearing on its intent to adopt an aggregate levy.
22 If the estimate of the aggregate levy is more than 5% or the
23 percentage increase in the Consumer Price Index, whichever is
24 less, over the amount extended or estimated to be extended,
25 plus any amount abated by the corporate authority prior to
26 the extension, upon the final aggregate levy of the preceding
27 year, exclusive of election costs, notice of this hearing
28 shall be given in the same manner as provided in Section
29 18-80 of this Act. If the estimate of the aggregate levy is
30 not more than 5% or the percentage increase in the Consumer
31 Price Index, whichever is less, over the amount extended or
32 estimated to be extended, plus any amount abated by the
33 corporate authority prior to the extension, upon the final
34 aggregate levy of the preceding year, exclusive of election
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1 costs, the reasonable content and timing of the notice of
2 this hearing shall be determined by the corporate authority
3 of the taxing district. This earlier hearing shall be in
4 addition to, and not instead of, the mandatory December
5 hearing, but may be conducted in conjunction with a regular
6 meeting of the taxing district.
7 Any taxing district with a fiscal year beginning on
8 December 1, for which the hearing day requirement of this
9 Section would conflict with the adoption of its tax levy and
10 annual appropriation ordinance, may hold a public hearing on
11 its proposed tax levy prior to and instead of the day
12 prescribed in this Section. Such public hearing shall be
13 restricted to the proposed tax levy and no other business of
14 the taxing district shall be discussed or transacted. Notice
15 of the hearing shall be given as provided in Section 18-80 of
16 this Act.
17 (35 ILCS 200/18-70)
18 Sec. 18-70. More than 5% increase or the percentage
19 increase in the Consumer Price Index, whichever is less;
20 notice and hearing required. If the estimate of the
21 corporate authority made as provided in Section 18-60 is more
22 than 5% or the percentage increase in the Consumer Price
23 Index, whichever is less, over 105% of the amount extended or
24 estimated to be extended, plus any amount abated by the
25 corporate authority prior to extension, upon the final
26 aggregate levy of the preceding year, exclusive of election
27 costs, the corporate authority shall give public notice of
28 and hold a public hearing on its intent to adopt an aggregate
29 levy in an amount which is more than 5% or the percentage
30 increase in the Consumer Price Index, whichever is less, over
31 105% of the amount extended or estimated to be extended upon
32 the final aggregate levy extensions, plus any amount abated,
33 exclusive of election costs, for the preceding year. The
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1 hearing shall not coincide with the hearing on the proposed
2 budget of the taxing district.
3 (Source: P.A. 86-957; 88-455.)
4 (35 ILCS 200/18-80)
5 Sec. 18-80. Time and form of notice. The notice shall
6 appear not more than 14 days nor less than 7 days prior to
7 the date of the public hearing. The notice shall be no less
8 than 1/8 page in size, and the smallest type used shall be 12
9 point and shall be enclosed in a black border no less than
10 1/4 inch wide. The notice shall not be placed in that portion
11 of the newspaper where legal notices and classified
12 advertisements appear. The notice shall be published in the
13 following form:
14 Notice of Proposed Property Tax Increase for ...
15 (commonly known name of taxing district).
16 I. A public hearing to approve a proposed property tax
17 levy increase for ... (legal name of the taxing district)...
18 for ... (year) ... will be held on ... (date) ... at ...
19 (time) ... at ... (location).
20 Any person desiring to appear at the public hearing and
21 present testimony to the taxing district may contact ...
22 (name, title, address and telephone number of an appropriate
23 official).
24 II. The corporate and special purpose property taxes
25 extended or abated for ... (preceding year) ... were ...
26 (dollar amount of the final aggregate levy as extended, plus
27 the amount abated by the taxing district prior to extension).
28 The proposed corporate and special purpose property taxes
29 to be levied for ... (current year) ... are ... (dollar
30 amount of the proposed aggregate levy). This represents a
31 ... (percentage) ... increase over the previous year.
32 III. The property taxes extended for debt service and
33 public building commission leases for ... (preceding year)
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1 ... were ... (dollar amount).
2 The estimated property taxes to be levied for debt
3 service and public building commission leases for ...
4 (current year) ... are ... (dollar amount). This represents
5 a ... (percentage increase or decrease) ... over the previous
6 year.
7 IV. The total property taxes extended or abated for ...
8 (preceding year) ... were ... (dollar amount).
9 The estimated total property taxes to be levied for ...
10 (current year) ... are ... (dollar amount). This represents
11 a ... (percentage increase or decrease) ... over the previous
12 year.
13 Any notice which includes any information not specified
14 and required by this Article shall be an invalid notice.
15 All hearings shall be open to the public. The corporate
16 authority of the taxing district shall explain the reasons
17 for the proposed increase and shall permit persons desiring
18 to be heard an opportunity to present testimony within
19 reasonable time limits as it determines.
20 (Source: P.A. 86-957; 88-455.)
21 (35 ILCS 200/18-85)
22 Sec. 18-85. Notice if adopted levy exceeds proposed
23 levy. If the final aggregate tax levy resolution or
24 ordinance adopted is more than 5% or the percentages increase
25 in the Consumer Price Index, whichever is less, over 105% of
26 the amount, exclusive of election costs, which was extended
27 or is estimated to be extended, plus any amount abated by the
28 taxing district prior to extension, upon the final aggregate
29 levy of the preceding year and is in excess of the amount of
30 the proposed levy stated in the notice published under
31 Section 18-70, or is more than 5% or the percentage increase
32 in the Consumer Price Index, whichever is less, over 105% of
33 that amount and no notice was required under Section 18-70,
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1 the corporate authority shall give public notice of its
2 action within 15 days of the adoption of the levy in the
3 following form:
4 Notice of Adopted Property Tax Increase for ... (commonly
5 known name of taxing district).
6 I. The corporate and special purpose property taxes
7 extended or abated for ... (preceding year) ... were ...
8 (dollar amount of the final aggregate levy as extended).
9 The adopted corporate and special purpose property taxes
10 to be levied for ... (current year) ... are ... (dollar
11 amount of the proposed aggregate levy). This represents a
12 ... (percentage) ... increase over the previous year.
13 II. The property taxes extended for debt service and
14 public building commission leases for ... (preceding year)
15 ... were ... (dollar amount).
16 The estimated property taxes to be levied for debt
17 service and public building commission leases for ...
18 (current year) ... are ... (dollar amount). This represents
19 a ... (percentage increase or decrease) ... over the previous
20 year.
21 III. The total property taxes extended or abated for ...
22 (preceding year) ... were ... (dollar amount).
23 The estimated total property taxes to be levied for ...
24 (current year) ... are ... (dollar amount). This represents
25 a ... (percentage increase or decrease) ... over the previous
26 year.
27 (Source: P.A. 86-957; 88-455.)
28 (35 ILCS 200/18-90)
29 Sec. 18-90. Limitation on extension of county clerk.
30 The tax levy resolution or ordinance approved in the manner
31 provided for in this Article shall be filed with the county
32 clerk in the manner and at the time otherwise provided by
33 law. No amount more than 105% of the amount, exclusive of
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1 election costs, which has been extended or is estimated to be
2 extended, plus any amount abated by the taxing district prior
3 to extension, upon the final aggregate levy of the preceding
4 year shall be extended unless the tax levy ordinance or
5 resolution is accompanied by a certification by the presiding
6 officer of the corporate authority certifying compliance with
7 or inapplicability of the provisions of Sections 18-60
8 through 18-85. An amount extended under Section 18-107 in
9 1994 for a multi-township assessment district that did not
10 file a certification of compliance with the Truth in Taxation
11 Law may not exceed 105% of the amount, exclusive of election
12 costs, that was extended in 1993, plus a proportional amount
13 abated before extension, upon the levy or portion of a levy
14 that is allocable to assessment purposes in each township
15 that is a member of that multi-township assessment district.
16 (Source: P.A. 88-455; 88-660, eff. 9-16-94.)
17 (35 ILCS 200/18-105)
18 Sec. 18-105. Extension exceeding authorized rate. No
19 county clerk shall extend a tax levy imposed by any taxing
20 district, other than a home rule unit, based on a rate that
21 exceeds the rate authorized by statute or referendum for that
22 taxing district. If a taxing district is in violation of
23 Section 18-90, no county clerk shall extend the final
24 aggregate levy, as defined in Section 18-55, in an amount
25 more than 105% of the final aggregate levy extended for the
26 preceding year.
27 (Source: P.A. 86-233; 86-953; 86-957; 86-1475; 87-17; 87-477;
28 87-895; 88-455.)
29 Section 10. The State Mandates Act is amended by adding
30 Section 8.22 as follows:
31 (30 ILCS 805/8.22 new)
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1 Sec. 8.22. Exempt mandate. Notwithstanding Sections 6
2 and 8 of this Act, no reimbursement by the State is required
3 for the implementation of any mandate created by this
4 amendatory Act of 1998.
5 Section 99. Effective date. This Act takes effect
6 January 1, 1999.