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Public Act 093-0612


 

Public Act 93-0612 of the 93rd General Assembly


Public Act 93-0612

SB1881 Enrolled                      LRB093 10910 SJM 11433 b

    AN ACT concerning taxes.

    Be it enacted by the People of  the  State  of  Illinois,
represented in the General Assembly:

    Section  5.  The Property Tax Code is amended by changing
Section 18-185 as follows:

    (35 ILCS 200/18-185)
    Sec. 18-185.  Short title; definitions.  This Division  5
may  be  cited  as the Property Tax Extension Limitation Law.
As used in this Division 5:
    "Consumer Price Index" means the Consumer Price Index for
All Urban Consumers for all items  published  by  the  United
States Department of Labor.
    "Extension  limitation" means (a) the lesser of 5% or the
percentage increase in the Consumer Price  Index  during  the
12-month  calendar  year  preceding  the levy year or (b) the
rate of increase approved by voters under Section 18-205.
    "Affected county" means a county  of  3,000,000  or  more
inhabitants  or  a county contiguous to a county of 3,000,000
or more inhabitants.
    "Taxing  district"  has  the  same  meaning  provided  in
Section 1-150, except as otherwise provided in this  Section.
For  the 1991 through 1994 levy years only, "taxing district"
includes only each non-home rule taxing district  having  the
majority  of  its  1990  equalized  assessed value within any
county or counties contiguous to a county with  3,000,000  or
more inhabitants.  Beginning with the 1995 levy year, "taxing
district"  includes  only  each non-home rule taxing district
subject to this Law  before  the  1995  levy  year  and  each
non-home  rule taxing district not subject to this Law before
the 1995 levy year having the majority of its 1994  equalized
assessed  value in an affected county or counties.  Beginning
with the levy year in which this Law becomes applicable to  a
taxing  district  as  provided  in  Section  18-213,  "taxing
district"  also  includes those taxing districts made subject
to this Law as provided in Section 18-213.
    "Aggregate extension" for taxing districts to which  this
Law  applied  before  the  1995  levy  year  means the annual
corporate extension for the taxing district and those special
purpose extensions that are  made  annually  for  the  taxing
district,  excluding special purpose extensions: (a) made for
the taxing district to pay interest or principal  on  general
obligation  bonds  that were approved by referendum; (b) made
for any taxing district  to  pay  interest  or  principal  on
general  obligation  bonds issued before October 1, 1991; (c)
made for any taxing district to pay interest or principal  on
bonds  issued  to  refund  or  continue to refund those bonds
issued before October  1,  1991;  (d)  made  for  any  taxing
district  to  pay  interest  or  principal on bonds issued to
refund or continue to refund bonds issued  after  October  1,
1991  that  were  approved  by  referendum;  (e) made for any
taxing district to pay interest or principal on revenue bonds
issued before October 1, 1991 for payment of which a property
tax levy or the full faith and credit of the  unit  of  local
government  is  pledged;  however,  a  tax for the payment of
interest or principal on those bonds shall be made only after
the governing body of the unit of local government finds that
all other sources for payment are insufficient to make  those
payments;  (f)  made for payments under a building commission
lease when the lease payments are for the retirement of bonds
issued by the commission before October 1, 1991, to  pay  for
the  building  project;  (g)  made  for  payments  due  under
installment  contracts  entered  into before October 1, 1991;
(h) made for payments of  principal  and  interest  on  bonds
issued  under the Metropolitan Water Reclamation District Act
to finance construction projects initiated before October  1,
1991;  (i)  made  for  payments  of principal and interest on
limited  bonds,  as  defined  in  Section  3  of  the   Local
Government  Debt  Reform  Act, in an amount not to exceed the
debt service extension base less the  amount  in  items  (b),
(c),  (e),  and  (h)  of  this  definition for non-referendum
obligations, except obligations initially issued pursuant  to
referendum;  (j)  made for payments of principal and interest
on bonds issued under Section 15 of the Local Government Debt
Reform  Act;  and  (k)  made  by  a  school   district   that
participates  in  the  Special  Education  District  of  Lake
County,  created  by  special education joint agreement under
Section 10-22.31 of the  School  Code,  for  payment  of  the
school  district's  share  of  the  amounts  required  to  be
contributed  by the Special Education District of Lake County
to the Illinois Municipal Retirement Fund under Article 7  of
the  Illinois Pension Code; the amount of any extension under
this item (k) shall be certified by the  school  district  to
the  county clerk; and (l) made to fund expenses of providing
joint recreational programs for the handicapped under Section
5-8 of the Park District Code  or  Section  11-95-14  of  the
Illinois Municipal Code.
    "Aggregate  extension"  for the taxing districts to which
this Law did not apply before  the  1995  levy  year  (except
taxing  districts  subject  to  this  Law  in accordance with
Section 18-213) means the annual corporate extension for  the
taxing district and those special purpose extensions that are
made  annually  for  the  taxing  district, excluding special
purpose extensions: (a) made for the taxing district  to  pay
interest  or  principal on general obligation bonds that were
approved by referendum; (b) made for any taxing  district  to
pay  interest or principal on general obligation bonds issued
before March 1, 1995; (c) made for any taxing district to pay
interest or principal on bonds issued to refund  or  continue
to  refund  those bonds issued before March 1, 1995; (d) made
for any taxing district to pay interest or principal on bonds
issued to refund or continue to  refund  bonds  issued  after
March  1, 1995 that were approved by referendum; (e) made for
any taxing district to pay interest or principal  on  revenue
bonds  issued  before  March  1,  1995 for payment of which a
property tax levy or the full faith and credit of the unit of
local government is pledged; however, a tax for  the  payment
of  interest  or  principal on those bonds shall be made only
after the governing body of  the  unit  of  local  government
finds  that all other sources for payment are insufficient to
make those payments; (f) made for payments under  a  building
commission   lease  when  the  lease  payments  are  for  the
retirement of bonds issued by the commission before March  1,
1995  to  pay for the building project; (g) made for payments
due under installment contracts entered into before March  1,
1995;  (h)  made  for  payments  of principal and interest on
bonds  issued  under  the  Metropolitan   Water   Reclamation
District  Act  to  finance  construction  projects  initiated
before  October  1,  1991; (i) made for payments of principal
and interest on limited bonds, as defined in Section 3 of the
Local Government Debt Reform Act, in an amount not to  exceed
the debt service extension base less the amount in items (b),
(c),   and   (e)   of   this  definition  for  non-referendum
obligations, except obligations initially issued pursuant  to
referendum  and  bonds  described  in  subsection (h) of this
definition; (j) made for payments of principal  and  interest
on bonds issued under Section 15 of the Local Government Debt
Reform  Act;  (k) made for payments of principal and interest
on bonds authorized by Public Act  88-503  and  issued  under
Section  20a of the Chicago Park District Act for aquarium or
museum projects; (l)  made  for  payments  of  principal  and
interest on bonds authorized by Public Act 87-1191 and issued
under  Section 42 of the Cook County Forest Preserve District
Act for zoological park projects; and (m)  made  pursuant  to
Section  34-53.5  of the School Code, whether levied annually
or not;   (n)  made  to  fund  expenses  of  providing  joint
recreational  programs  for the handicapped under Section 5-8
of the Park District Code or Section 11-95-14 of the Illinois
Municipal Code; and (o) made by the Chicago Park District for
recreational programs for the  handicapped  under  subsection
(c) of Section 7.06 of the Chicago Park District Act.
    "Aggregate  extension"  for all taxing districts to which
this Law applies in accordance with  Section  18-213,  except
for  those  taxing  districts  subject  to  paragraph  (2) of
subsection (e) of Section 18-213, means the annual  corporate
extension  for  the taxing district and those special purpose
extensions that are made annually for  the  taxing  district,
excluding special purpose extensions: (a) made for the taxing
district  to  pay interest or principal on general obligation
bonds that were approved by  referendum;  (b)  made  for  any
taxing  district  to  pay  interest  or  principal on general
obligation  bonds  issued  before  the  date  on  which   the
referendum  making this Law applicable to the taxing district
is held; (c) made for any taxing district to pay interest  or
principal  on  bonds  issued  to refund or continue to refund
those bonds issued before the date on  which  the  referendum
making  this  Law  applicable to the taxing district is held;
(d) made for any taxing district to pay interest or principal
on bonds issued to refund or continue to refund bonds  issued
after  the  date  on  which  the  referendum  making this Law
applicable to the taxing district is held if the  bonds  were
approved by referendum after the date on which the referendum
making  this  Law  applicable to the taxing district is held;
(e) made for any taxing district to pay interest or principal
on  revenue  bonds  issued  before  the  date  on  which  the
referendum making this Law applicable to the taxing  district
is  held for payment of which a property tax levy or the full
faith and credit of the unit of local government is  pledged;
however,  a  tax  for the payment of interest or principal on
those bonds shall be made only after the  governing  body  of
the unit of local government finds that all other sources for
payment are insufficient to make those payments; (f) made for
payments  under  a  building  commission lease when the lease
payments are for  the  retirement  of  bonds  issued  by  the
commission  before  the  date  on which the referendum making
this Law applicable to the taxing district is held to pay for
the  building  project;  (g)  made  for  payments  due  under
installment contracts entered into before the date  on  which
the  referendum  making  this  Law  applicable  to the taxing
district is held; (h) made  for  payments  of  principal  and
interest  on  limited  bonds,  as defined in Section 3 of the
Local Government Debt Reform Act, in an amount not to  exceed
the debt service extension base less the amount in items (b),
(c),   and   (e)   of   this  definition  for  non-referendum
obligations, except obligations initially issued pursuant  to
referendum;  (i)  made for payments of principal and interest
on bonds issued under Section 15 of the Local Government Debt
Reform Act; and (j) made for a qualified airport authority to
pay interest or principal on general obligation bonds  issued
for the purpose of paying obligations due under, or financing
airport  facilities  required  to  be  acquired, constructed,
installed or equipped pursuant  to,  contracts  entered  into
before  March  1,  1996  (but not including any amendments to
such a contract taking effect on or after that date); and (k)
made  to  fund  expenses  of  providing  joint   recreational
programs  for  the  handicapped under Section 5-8 of the Park
District Code or Section 11-95-14 of the  Illinois  Municipal
Code.
    "Aggregate  extension"  for all taxing districts to which
this  Law  applies  in  accordance  with  paragraph  (2)   of
subsection  (e)  of Section 18-213 means the annual corporate
extension for the taxing district and those  special  purpose
extensions  that  are  made annually for the taxing district,
excluding special purpose extensions: (a) made for the taxing
district to pay interest or principal on  general  obligation
bonds  that  were  approved  by  referendum; (b) made for any
taxing district to  pay  interest  or  principal  on  general
obligation  bonds  issued  before  the effective date of this
amendatory Act of 1997; (c) made for any taxing  district  to
pay  interest  or  principal  on  bonds  issued  to refund or
continue to refund those bonds issued  before  the  effective
date  of this amendatory Act of 1997; (d) made for any taxing
district to pay interest or  principal  on  bonds  issued  to
refund or continue to refund bonds issued after the effective
date  of  this  amendatory  Act  of  1997  if  the bonds were
approved by referendum  after  the  effective  date  of  this
amendatory  Act  of 1997; (e) made for any taxing district to
pay interest or principal on revenue bonds issued before  the
effective  date of this amendatory Act of 1997 for payment of
which a property tax levy or the full faith and credit of the
unit of local government is pledged; however, a tax  for  the
payment of interest or principal on those bonds shall be made
only after the governing body of the unit of local government
finds  that all other sources for payment are insufficient to
make those payments; (f) made for payments under  a  building
commission   lease  when  the  lease  payments  are  for  the
retirement of bonds  issued  by  the  commission  before  the
effective  date of this amendatory Act of 1997 to pay for the
building project; (g) made for payments due under installment
contracts entered into before  the  effective  date  of  this
amendatory  Act  of  1997; (h) made for payments of principal
and interest on limited bonds, as defined in Section 3 of the
Local Government Debt Reform Act, in an amount not to  exceed
the debt service extension base less the amount in items (b),
(c),   and   (e)   of   this  definition  for  non-referendum
obligations, except obligations initially issued pursuant  to
referendum;  (i)  made for payments of principal and interest
on bonds issued under Section 15 of the Local Government Debt
Reform Act; and (j) made for a qualified airport authority to
pay interest or principal on general obligation bonds  issued
for the purpose of paying obligations due under, or financing
airport  facilities  required  to  be  acquired, constructed,
installed or equipped pursuant  to,  contracts  entered  into
before  March  1,  1996  (but not including any amendments to
such a contract taking effect on or after that date); and (k)
made  to  fund  expenses  of  providing  joint   recreational
programs  for  the  handicapped under Section 5-8 of the Park
District Code or Section 11-95-14 of the  Illinois  Municipal
Code.
    "Debt  service  extension  base" means an amount equal to
that portion of the extension for a taxing district  for  the
1994 levy year, or for those taxing districts subject to this
Law  in  accordance  with  Section  18-213,  except for those
subject to paragraph (2) of subsection (e) of Section 18-213,
for the levy year in which the  referendum  making  this  Law
applicable  to  the  taxing  district  is  held, or for those
taxing districts subject  to  this  Law  in  accordance  with
paragraph  (2)  of  subsection  (e) of Section 18-213 for the
1996 levy year, constituting  an  extension  for  payment  of
principal and interest on bonds issued by the taxing district
without referendum, but not including (i) bonds authorized by
Public Act 88-503 and issued under Section 20a of the Chicago
Park  District  Act  for  aquarium  and museum projects; (ii)
bonds issued under Section 15 of the  Local  Government  Debt
Reform  Act;  or (iii) refunding obligations issued to refund
or  to  continue  to  refund  obligations  initially   issued
pursuant  to  referendum. The debt service extension base may
be established or increased as provided under Section 18-212.
    "Special purpose extensions" include, but are not limited
to, extensions  for  levies  made  on  an  annual  basis  for
unemployment   and   workers'  compensation,  self-insurance,
contributions to pension plans, and extensions made  pursuant
to  Section  6-601  of  the  Illinois Highway Code for a road
district's permanent road fund  whether  levied  annually  or
not.   The  extension  for  a  special  service  area  is not
included in the aggregate extension.
    "Aggregate extension base" means  the  taxing  district's
last preceding aggregate extension as adjusted under Sections
18-215 through 18-230.
    "Levy  year" has the same meaning as "year" under Section
1-155.
    "New property" means (i) the assessed value, after  final
board   of   review  or  board  of  appeals  action,  of  new
improvements or additions to  existing  improvements  on  any
parcel  of  real property that increase the assessed value of
that real property during the levy  year  multiplied  by  the
equalization  factor  issued  by the Department under Section
17-30 and (ii) the  assessed  value,  after  final  board  of
review  or  board  of  appeals  action,  of real property not
exempt from real estate taxation,  which  real  property  was
exempt  from  real  estate  taxation  for  any portion of the
immediately  preceding   levy   year,   multiplied   by   the
equalization  factor  issued  by the Department under Section
17-30. In addition, the county clerk in a county containing a
population of 3,000,000 or more shall  include  in  the  1997
recovered  tax  increment  value for any school district, any
recovered tax increment value that was applicable to the 1995
tax year calculations.
    "Qualified airport authority" means an airport  authority
organized  under the Airport Authorities Act and located in a
county bordering on the  State  of  Wisconsin  and  having  a
population in excess of 200,000 and not greater than 500,000.
    "Recovered   tax   increment   value"  means,  except  as
otherwise provided in  this  paragraph,  the  amount  of  the
current  year's  equalized  assessed value, in the first year
after a municipality terminates the designation of an area as
a redevelopment project area previously established under the
Tax Increment Allocation  Development  Act  in  the  Illinois
Municipal  Code,  previously established under the Industrial
Jobs  Recovery  Law  in  the  Illinois  Municipal  Code,   or
previously  established  under  the Economic Development Area
Tax Increment Allocation Act, of  each  taxable  lot,  block,
tract,  or  parcel  of  real  property  in  the redevelopment
project area over and above the  initial  equalized  assessed
value of each property in the redevelopment project area. For
the  taxes  which  are  extended  for the 1997 levy year, the
recovered tax increment value  for  a  non-home  rule  taxing
district  that  first became subject to this Law for the 1995
levy year because a majority of its 1994  equalized  assessed
value  was  in  an  affected  county  or  counties  shall  be
increased  if a municipality terminated the designation of an
area in 1993  as  a  redevelopment  project  area  previously
established  under  the  Tax Increment Allocation Development
Act in the Illinois Municipal  Code,  previously  established
under  the  Industrial  Jobs  Recovery  Law  in  the Illinois
Municipal Code, or previously established under the  Economic
Development  Area  Tax Increment Allocation Act, by an amount
equal to the 1994 equalized assessed value  of  each  taxable
lot,  block,  tract,  or  parcel  of  real  property  in  the
redevelopment   project  area  over  and  above  the  initial
equalized  assessed   value   of   each   property   in   the
redevelopment  project  area.  In  the  first  year  after  a
municipality  removes  a taxable lot, block, tract, or parcel
of  real  property  from   a   redevelopment   project   area
established  under  the  Tax Increment Allocation Development
Act in the  Illinois  Municipal  Code,  the  Industrial  Jobs
Recovery  Law in the Illinois Municipal Code, or the Economic
Development Area Tax Increment Allocation Act, "recovered tax
increment value" means  the  amount  of  the  current  year's
equalized  assessed  value of each taxable lot, block, tract,
or parcel of real property  removed  from  the  redevelopment
project  area  over  and above the initial equalized assessed
value  of  that  real  property  before  removal   from   the
redevelopment project area.
    Except  as  otherwise provided in this Section, "limiting
rate" means a fraction the numerator of  which  is  the  last
preceding  aggregate  extension base times an amount equal to
one plus the extension limitation defined in this Section and
the denominator of which  is  the  current  year's  equalized
assessed  value  of  all real property in the territory under
the jurisdiction of the taxing district during the prior levy
year.   For  those  taxing  districts  that   reduced   their
aggregate  extension  for  the  last preceding levy year, the
highest aggregate extension in any of the  last  3  preceding
levy  years  shall  be  used for the purpose of computing the
limiting  rate.   The  denominator  shall  not  include   new
property.   The  denominator  shall not include the recovered
tax increment value.
(Source: P.A. 91-357, eff.  7-29-99;  91-478,  eff.  11-1-99;
92-547, eff. 6-13-02.)

    Section  10.  The Chicago Park District Act is amended by
adding Section 7.06 as follows:

    (70 ILCS 1505/7.06 new)
    Sec. 7.06.  Recreational programs  for  the  handicapped;
tax.
    (a)  The   Chicago   Park   District   is  authorized  to
establish, maintain, and manage recreational programs for the
handicapped,   including   both   mentally   and   physically
handicapped, to provide transportation for the handicapped to
and from these programs, to provide for  the  examination  of
participants  in such programs as deemed necessary, to charge
fees for participating in the programs (the fee  charged  for
non-residents  of  the  district  need not be the same as the
fees charged the residents of the district),  and  to  charge
fees for transportation furnished to participants.
    (b)  For  the  purposes  of the recreational programs for
the handicapped established under this Section,  the  Chicago
Park  District is authorized to adopt procedures for approval
of  budgets,  authorization  of  expenditures,  location   of
recreational  areas,  acquisition  of  real  estate  by gift,
legacy, grant, or purchase, and employment of a director  and
other professional workers for the programs.
    (c)  For  the purposes of providing recreational programs
for the handicapped under  this  Section,  the  Chicago  Park
District may levy and collect annually a tax of not to exceed
.04% of the value, as equalized or assessed by the Department
of  Revenue,  of all taxable property in the district for the
purpose of funding the district's expenses of providing these
programs.  This tax shall be levied  and  collected  in  like
manner  as  the general taxes for the district. The tax shall
be in addition to all other taxes authorized  by  law  to  be
levied  and  collected  in  the  district  and  shall  not be
included within any limitation of rate contained in this  Act
or  any  other  law,  but  shall  be  excluded  therefrom, in
addition thereto, and in excess thereof.

    Section 99.  Effective date.  This Act takes effect  upon
becoming law.

Effective Date: 11/18/2003