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Full Text of HB3678  100th General Assembly

HB3678 100TH GENERAL ASSEMBLY

  
  

 


 
100TH GENERAL ASSEMBLY
State of Illinois
2017 and 2018
HB3678

 

Introduced , by Rep. Jerry Costello, II

 

SYNOPSIS AS INTRODUCED:
 
New Act

    Creates the Jobs Creation Finance Act. Provides that municipalities may designate job creation areas. Provides that businesses that undertake job creation projects in those designated areas are eligible for certain tax incentives. Provides that municipalities may issue bonds in connection with those projects. Contains provisions concerning public hearings. Contains numerous other provisions. Effective immediately.


LRB100 10619 MLM 20841 b

FISCAL NOTE ACT MAY APPLY
HOUSING AFFORDABILITY IMPACT NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB3678LRB100 10619 MLM 20841 b

1    AN ACT concerning jobs creation.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 1. Short title. This Act may be cited as the Jobs
5Creation Finance Act.
 
6    Section 5. Purpose. The purposes of this Act are to
7promote, stimulate, and develop the general and economic
8welfare of the communities of the State of Illinois and to
9promote the general welfare of the citizens of this State.
 
10    Section 10. Definitions. As used in this Act, the following
11words and phrases shall have the following meanings unless a
12different meaning clearly appears from the context:
13    "Base year" means the most recently ascertained equalized
14assessed value of each lot, block, tract, or parcel of real
15property within a jobs creation project area.
16    "County" means the county in which a proposed jobs creation
17project area is located.
18    "Department of Revenue" means the Department of Revenue of
19the State of Illinois.
20    "Developer" means an owner, builder, developer, or tenant
21who may be organized as a sole proprietorship, corporation,
22trust, estate, partnership, limited liability company, or

 

 

HB3678- 2 -LRB100 10619 MLM 20841 b

1other legal entity.
2    "Equalized assessed value of property" has the same meaning
3as set forth in Section 11-74.4-8 of the Tax Increment
4Allocation Redevelopment Act.
5    "Full-time jobs" means those jobs of 30 hours per week or
6more.
7    "Full-time equivalent jobs" means part-time jobs of less
8than 30 hours per week that in the aggregate equal full-time
9jobs.
10    "Jobs Creation Finance Fund" means the fund of the
11municipality for the deposit of all incremental revenues the
12municipality is entitled to receive pursuant to this Act for
13the purpose of paying jobs creation project costs and
14obligations incurred in the payment thereof.
15    "Jobs creation plan" means the written plan adopted by a
16municipality for the development of a jobs creation project
17area intended to increase employment and thereby enhance the
18tax bases of the taxing districts that extend into the jobs
19creation project area. The plan may include, but is not limited
20to:
21        (1) an itemized list of public and private job creation
22    project costs;
23        (2) evidence indicating that the job creation project
24    area has not been subject to growth and development through
25    prior investment and public enterprise;
26        (3) qualifications for the area to be designated as a

 

 

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1    jobs creation project area, which must include:
2            (A) eligibility of the area;
3            (B) the population of municipality based upon the
4        most recent federal decennial census prior to the
5        adoption of the plan;
6            (C) the unemployment rate within the municipality,
7        not seasonally adjusted;
8            (D) the number of part-time and full-time
9        equivalent jobs anticipated; and
10            (E) estimated salaries and wages on a part-time and
11        full-time equivalent basis;
12        (4) a general description of the jobs creation project
13    area;
14        (5) a boundary map of the jobs creation project area;
15        (6) the nature and term of the obligations to be
16    issued;
17        (7) an assessment of any financial impact of the jobs
18    creation project area on, or any increased demand for,
19    services from any taxing district affected by the plan and
20    any program to address that financial impact or increased
21    demand;
22        (8) the aggregate total of the most recent equalized
23    assessed valuation of all tax parcels within the jobs
24    creation project area;
25        (9) an estimate of the equalized assessed valuation of
26    the jobs creation project area after completion of the jobs

 

 

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1    creation project;
2        (10) a general identification of the proposed
3    developer for at least one jobs creation project;
4        (11) a description of the type, structure, and general
5    character of the facilities to be developed;
6        (12) a description of the type and number of new
7    full-time equivalent and part-time employees to be
8    employed by the jobs creation project;
9        (13) if applicable, a general description of other
10    potential jobs creation projects, their value, and their
11    general land uses as well as potential new full-time
12    equivalent and part-time jobs created by those projects;
13        (14) the estimated dates of completion of the jobs
14    creation projects and retirement of obligations issued to
15    finance jobs creation project costs; those dates may be no
16    later than 15 years after the date of the approval of the
17    jobs creation plan by the municipality or the dates set
18    forth in the job creation plan, whichever is earlier; and
19        (15) if property is to be annexed to the municipality,
20    a summary of the terms of the annexation agreement; and
21        (16) certification by an Illinois-licensed attorney
22    that the plan, project, and designation of the area
23    complies with all the legal requirements of this Act.
24    "Jobs creation project" means any public or private project
25within a jobs creation project area, including an expansion of
26an existing project, that qualifies as a jobs creation project

 

 

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1pursuant to this Act and includes, but is not limited to,
2industrial projects, commercial projects, technology based
3projects, medical projects, logistics projects, retail
4projects, office projects, alternative energy projects,
5environmental projects, senior housing and senior care
6projects, and residential development projects. For the
7purposes of this Act, the word "senior" is defined as at least
8one person over the age of 55 years per unit.
9    "Jobs creation project area" means an area within the
10municipality designated by ordinance by the municipality that
11is contiguous and is not, in the aggregate, more than 80 acres
12and meets the qualifications set forth in this Act.
13    "Jobs creation project costs" means and includes the sum
14total of all reasonable or necessary costs incurred or
15estimated to be incurred, and any such costs incidental to a
16jobs creation plan and a jobs creation project. These costs
17include, without limitation, the following:
18        (1) costs incurred by municipalities or developers for
19    studies, surveys, development of plans and specifications,
20    and implementation and administration of a jobs creation
21    plan and projects, including but not limited to
22    construction management fees and staff and professional
23    service costs for architectural, engineering, legal,
24    financial, planning or other services;
25        (2) the cost of marketing sites and buildings including
26    realtors' fees and sales incentives within the jobs

 

 

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1    creation project area to prospective businesses,
2    developers, investors, or buyers;
3        (3) property assembly costs, including but not limited
4    to acquisition of land, land leases, and other property,
5    real or personal, or rights or interests therein, located
6    within the boundaries of the jobs creation project area,
7    demolition of buildings, site preparation, site
8    improvements that serve as an engineered barrier
9    addressing ground level or below ground environmental
10    contamination, including, but not limited to, parking lots
11    and other concrete or asphalt barriers, and the clearing
12    and grading of land, and importing additional soil and fill
13    materials to, or removal of soil and fill materials from,
14    the site;
15        (4) costs of buildings and other vertical improvements
16    that are located within the boundaries of a jobs creation
17    project area and are owned by a municipality;
18        (5) costs of buildings and other vertical improvements
19    that are located within the boundary of a jobs creation
20    project area and are owned or leased by a developer;
21        (6) costs of the design and construction of the
22    following improvements located outside the boundaries of a
23    jobs creation project area, provided that the costs are
24    essential to further the purpose and development of a jobs
25    creation plan and are either part of and connected to
26    sewer, water, or utility service lines that physically

 

 

HB3678- 7 -LRB100 10619 MLM 20841 b

1    connect to the jobs creation project area or are outside
2    the area and necessary to the development of the project,
3    including but not limited to:
4            (A) improvements or extensions of sewer, water,
5        and storm sewer service lines, utilities, including
6        telecommunications equipment, and storm water
7        detention or retention facilities; and
8            (B) significant construction, extension, and
9        improvements for offsite highways, streets, roadways,
10        and interchanges that are approved by the Illinois
11        Department of Transportation or the municipalities'
12        engineers;
13        (7) costs of rehabilitation, reconstruction, repair,
14    or remodeling of existing public or private buildings,
15    fixtures, and leasehold improvements; and the cost of
16    replacing an existing public building, including new
17    municipal buildings, if pursuant to the implementation of a
18    jobs creation project the existing public building is to be
19    demolished to be used as a site requiring private
20    investment;
21        (8) costs of job training and retraining projects,
22    including the cost of "welfare to work" programs
23    implemented by businesses located within the jobs creation
24    project area;
25        (9) financing costs, including, but not limited to, all
26    necessary and incidental expenses related to the issuance

 

 

HB3678- 8 -LRB100 10619 MLM 20841 b

1    of obligations and which may include payment of all
2    interest on any obligations issued under this Act; those
3    costs include interest on any obligations, capitalized
4    interest of any jobs creation project for which bond
5    obligations are issued, and reasonable reserves related
6    thereto, provided that:
7            (A) the costs are paid directly from the Jobs
8        Creation Finance Fund pursuant to this Act;
9            (B) if there are not sufficient funds available in
10        the Jobs Creation Finance Fund to make the payment
11        pursuant to this paragraph, then the amounts so due
12        shall accrue and be payable when sufficient funds are
13        available in the Jobs Creation Finance Fund; and
14            (C) if there are not sufficient funds available in
15        the Jobs Creation Finance Fund and other funds are used
16        to pay financing costs, then those funds shall be
17        deemed financing costs and may be reimbursed at any
18        time by the Jobs Creation Finance Fund to any other
19        municipal fund from which costs were paid;
20        (10) to the extent the municipality by written
21    agreement accepts and approves the same, all or a portion
22    of an individual taxing district's costs, impact fees, or
23    salaries of district employees resulting from the jobs
24    creation project necessarily incurred or to be incurred
25    within a taxing district in furtherance of the objectives
26    of the jobs creation plan and project;

 

 

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1        (11) for jobs creation project areas that include job
2    creation financing assisted housing units, an elementary,
3    secondary, or unit school district's increased costs
4    attributable to assisted housing units located within the
5    jobs creation project area for which the developer receives
6    financial assistance through an agreement with the
7    municipality or because the municipality incurs the cost of
8    necessary infrastructure improvements within the
9    boundaries of the assisted housing sites necessary for the
10    completion of that housing as authorized by this Act, those
11    costs shall be paid by the municipality from the Jobs
12    Creation Finance Fund when the real estate tax increment
13    revenue is received as a result of the assisted housing
14    units and shall be calculated annually as follows:
15            (A) for foundation formula districts, excluding
16        any school district located within a municipality with
17        a population in excess of 1,000,000, by multiplying the
18        district's net increase in total attendance since the
19        designation of the jobs creation project area that
20        results from a net increase in new students enrolled in
21        that school district who reside in housing units within
22        the jobs creation project area where the housing
23        projects have received financial assistance through an
24        agreement with the municipality or because the
25        municipality incurs the cost of necessary
26        infrastructure improvements within the boundaries of

 

 

HB3678- 10 -LRB100 10619 MLM 20841 b

1        the housing project necessary for the completion of
2        that housing as authorized by this Act by the most
3        recently available per capita tuition cost as defined
4        in Section 10-20.12a of the School Code less any
5        increase in general State aid as defined in Section
6        18-8.05 of the School Code attributable to these added
7        new students subject to the following annual
8        limitations:
9                (I) for unit school districts with a district
10            average 1995-96 Per Capita Tuition Charge of less
11            than $5,900, no more than 25% of the total amount
12            of property tax increment revenue produced by
13            those housing units that have received tax
14            increment finance assistance under this Act;
15                (II) for elementary school districts with a
16            district average 1995-96 Per Capita Tuition Charge
17            of less than $5,900, no more than 17% of the total
18            amount of property tax increment revenue produced
19            by those housing units that have received tax
20            increment finance assistance under this Act; and
21                (III) for secondary school districts with a
22            district average 1995-96 Per Capita Tuition Charge
23            of less than $5,900, no more than 8% of the total
24            amount of property tax increment revenue produced
25            by those housing units that have received tax
26            increment finance assistance under this Act;

 

 

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1            (B) for alternate method districts, flat grant
2        districts, and foundation districts with a district
3        average 1995-96 Per Capita Tuition Charge equal to or
4        more than $5,900, excluding any school district
5        located within a municipality with a population in
6        excess of 1,000,000, by multiplying the district's
7        increase in attendance resulting from the net increase
8        in new students enrolled in that school district who
9        reside in housing units within the jobs creation
10        project area that have received financial assistance
11        through an agreement with the municipality or because
12        the municipality incurs the cost of necessary
13        infrastructure improvements within the boundaries of
14        the housing sites necessary for the completion of that
15        housing as authorized by this Act since the designation
16        of the jobs creation project area by the most recently
17        available per capita tuition cost as defined in Section
18        10-20.12a of the School Code less any increase in
19        general State aid as defined in Section 18-8.05 of the
20        School Code attributable to these added new students
21        subject to the following annual limitations:
22                (I) for unit school districts, no more than 40%
23            of the total amount of property tax increment
24            revenue produced by those housing units that have
25            received tax increment finance assistance under
26            this Act;

 

 

HB3678- 12 -LRB100 10619 MLM 20841 b

1                (II) for elementary school districts, no more
2            than 27% of the total amount of property tax
3            increment revenue produced by those housing units
4            that have received tax increment finance
5            assistance under this Act; and
6                (III) for secondary school districts, no more
7            than 13% of the total amount of property tax
8            increment revenue produced by those housing units
9            that have received tax increment finance
10            assistance under this Act; and
11            (C) for any school district in a municipality with
12        a population in excess of 1,000,000, the following
13        restrictions shall apply to the reimbursement of
14        increased costs under this paragraph:
15                (I) no increased costs shall be reimbursed
16            unless the school district certifies that each of
17            the schools affected by the assisted housing
18            project is at or over its student capacity;
19                (II) the amount reimbursable shall be reduced
20            by the value of any land donated to the school
21            district by the municipality or developer, and by
22            the value of any physical improvements made to the
23            schools by the municipality or developer; and
24                (III) the amount reimbursed may not affect
25            amounts otherwise obligated by the terms of any
26            bonds, notes, or other funding instruments, or the

 

 

HB3678- 13 -LRB100 10619 MLM 20841 b

1            terms of any redevelopment agreement.
2        Any school district seeking payment under this
3    paragraph shall, after July 1 and before September 30 of
4    each year, provide the municipality with reasonable
5    evidence to support its claim for reimbursement before the
6    municipality shall be required to approve or make the
7    payment to the school district. If the school district
8    fails to provide the information during this period in any
9    year, it shall forfeit any claim to reimbursement for that
10    year. School districts may adopt a resolution waiving the
11    right to all or a portion of the reimbursement otherwise
12    required by this paragraph. By acceptance of this
13    reimbursement the school district waives the right to
14    directly or indirectly set aside, modify, or contest in any
15    manner the establishment of the jobs creation project area
16    or projects;
17        (12) relocation costs of equipment and materials to the
18    project site;
19        (13) payment in lieu of taxes;
20        (14) costs of job training, retraining, advanced
21    vocational education, or career education, including but
22    not limited to courses in occupational, semi-technical, or
23    technical fields leading directly to employment, incurred
24    by one or more taxing districts, provided that those costs
25    (i) are related to the establishment and maintenance of
26    additional job training, advanced vocational education, or

 

 

HB3678- 14 -LRB100 10619 MLM 20841 b

1    career education programs for persons employed or to be
2    employed by employers located in a jobs creation project
3    area; and (ii) when incurred by a taxing district or taxing
4    districts other than the municipality, are set forth in a
5    written agreement by or among the municipality and the
6    taxing district or taxing districts, which agreement
7    describes the program to be undertaken, including but not
8    limited to the number of employees to be trained, a
9    description of the training and services to be provided,
10    the number and type of positions available or to be
11    available, itemized costs of the program and sources of
12    funds to pay for the same, and the term of the agreement;
13    these costs include, specifically, the payment by
14    community college districts of costs pursuant to Sections
15    3-37, 3-38, 3-40, and 3-40.1 of the Public Community
16    College Act and by school districts of costs pursuant to
17    Sections 10-22.20a and 10-23.3a of the School Code;
18        (15) costs of landscaping and plantings, retaining
19    walls and fences, man-made lakes and ponds, shelters,
20    benches, lighting, exercise paths and stops, parking lots,
21    and similar amenities located within the boundaries of a
22    jobs creation project area;
23        (16) if included in the jobs creation plan, salaries or
24    a portion of salaries for local government employees and
25    payments to consultants to the extent they are directly
26    attributable to the work of those employees or consultants

 

 

HB3678- 15 -LRB100 10619 MLM 20841 b

1    on the planning, establishment, management, maintenance,
2    and administration of the jobs creation plan, area, and
3    projects;
4        (17) all environmental improvement costs including,
5    but not limited to: alternative energy equipment using
6    solar, geothermal, wind power, hydro, bio-mass, or
7    ethanol; EPA clean-up; wetlands mitigation costs whether
8    within the jobs creation project area or required off-site
9    to serve the objectives of the jobs creation project area;
10    and LEEDS qualification costs;
11        (18) all maintenance, equipment, and repair costs
12    attributable to jobs creation projects or the jobs creation
13    project area;
14        (19) developer's worker's compensation contributions
15    limited to one-half the costs; and
16        (20) the cost of day care services for children of
17    employees from low-income families working for businesses
18    located within the jobs creation project area and all or a
19    portion of the cost of operation of day care centers
20    established by jobs creation project area businesses to
21    serve employees from low-income families working in
22    businesses located in the jobs creation project area; for
23    the purposes of this paragraph, "low-income families"
24    means families whose annual income does not exceed 80% of
25    the municipal, county, or regional median income, adjusted
26    for family size, as the annual income and municipal,

 

 

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1    county, or regional median income are determined from time
2    to time by the United States Department of Housing and
3    Urban Development.
4    "Jobs creation project costs" does not include:
5            (A) moving expenses for employees of the business
6        location within a jobs creation project area;
7            (B) property taxes for property located within the
8        jobs creation project area; and
9            (C) general overhead or administrative costs of
10        the municipality that would still have been incurred by
11        the municipality if the municipality had not
12        established a jobs creation project area.
13    "Jobs tax credit" is a tax credit of $500 per full-time
14equivalent employee against the developer's income, pursuant
15to Section 201 of the Illinois Income Tax Act.
16    "Local sales taxes" means any locally imposed taxes
17received by a municipality arising from sales by retailers and
18servicemen within a jobs creation project area as provided for
19in the Use Tax Act, Service Use Tax Act, Service Occupation Tax
20Act, and Retailers' Occupation Tax Act.
21    "Local sales tax increment" means an amount equal to the
22increase in the aggregate amount of taxes paid to a
23municipality from the Local Government Tax Fund arising from
24sales by retailers and servicemen, as the case may be, within
25the jobs creation project area for as long as the jobs creation
26project area exists, over and above the aggregate amount of

 

 

HB3678- 17 -LRB100 10619 MLM 20841 b

1taxes as certified by the Illinois Department of Revenue and
2paid by retailers and servicemen under the Retailers'
3Occupation Tax Act, the Service Occupation Tax Act, the Use Tax
4Act, and the Service Use Tax Act on transactions at places of
5business located in the jobs creation project area during the
6base year, which shall be the calendar year immediately prior
7to the year in which the municipality designated a jobs
8creation project area.
9    "Municipal hotel tax" shall have the same meaning for the
10purposes of this Act as set forth in the Hotel Operators'
11Occupation Tax Act.
12    "Municipality" means a city, village, or incorporated
13town.
14    "Obligations" means bonds, loans, debentures, notes,
15special certificates, or other evidence of indebtedness,
16including redevelopment agreements, issued or entered into by
17the municipality to carry out a jobs creation project or to
18refund outstanding obligations.
19    "Payment in lieu of taxes" means those estimated tax
20revenues from real property in a jobs creation project area
21derived from real property that has been acquired by a
22municipality that according to the jobs creation plan is to be
23used for a private use and where taxing districts would have
24received real estate taxes had a municipality not acquired the
25real property and adopted tax increment financing and that
26would result from levies made after the time of the adoption of

 

 

HB3678- 18 -LRB100 10619 MLM 20841 b

1tax increment allocation financing to the time the current
2equalized assessed value of real property in the jobs creation
3project area exceeds the total initial equalized value of real
4property in the area.
5    "Residential development benefits" means real estate tax
6increment benefits available to a developer of a jobs creation
7project for the purpose of reimbursing jobs creation project
8costs for (i) an existing residential development project
9qualified pursuant to paragraph (3) of Section 15 of this Act
10or (ii) a new residential development project whereby the
11project results in the construction of at least 10 new
12residential units.
13    "State income tax" means the tax imposed under the Illinois
14Income Tax Act.
15    "State sales tax" means all the net revenue realized under
16the Retailer's Occupation Act, the Use Tax Act, the Service Use
17Tax Act, and the Service Occupation Tax Act from transactions
18at places of business located within a jobs creation project
19area.
20    "State sales tax increment" has the meaning set forth in
21Section 11-74.4-3(s) of the Tax Increment Allocation
22Redevelopment Act.
23    "State utility tax" has the same meaning as set forth in
24Public Utilities Act.
25    "State utility tax increment" has the same meaning as set
26forth in subsection (j) of Section 11-74.4-3 of the Tax

 

 

HB3678- 19 -LRB100 10619 MLM 20841 b

1Increment Allocation Redevelopment Act.
2    "Surplus" means an amount in excess of those moneys
3pledged, earmarked, or otherwise designated or estimated for
4payment and securing of obligations or otherwise estimated for
5public or private projects in the jobs creation plan for future
6public and private costs.
7    "Tax increment financing" has the same meaning as set forth
8in Section 11-74.4-8 of the Tax Increment Allocation
9Redevelopment Act.
10    "Taxing districts" means counties, townships, cities, and
11incorporated towns and villages, school, road, park, sanitary,
12mosquito abatement, forest preserve, public health, fire
13protection, river conservancy, tuberculosis sanitarium, and
14any other municipal corporations or districts with the power to
15levy taxes in the proposed jobs creation project area.
16    "Taxing districts' costs" means the costs of taxing bodies,
17impact fees, and salaries that are found by the municipal
18authorities to be necessary and directly result from the jobs
19creation project.
20    "Telecommunications tax" has the same meaning as set forth
21in the Telecommunications Excise Tax Act.
22    "Three Year Job Attainment Report" means the report
23required to be submitted by a developer to a municipality on
24the third anniversary of date of the designation of a jobs
25creation project area, and on the anniversary date every 3
26years thereafter for the term of the jobs creation project

 

 

HB3678- 20 -LRB100 10619 MLM 20841 b

1area, as set forth in subsection (e) of Section 20 of this Act.
 
2    Section 15. Qualifications. An area is qualified as a jobs
3creation project area if the area:
4        (1) is contiguous and is not, in the aggregate, more
5    than 80 acres; and
6        (2) is located within the territorial limits of a
7    municipality in which, at any time during the 12 months
8    before the municipality, by ordinance, designates a jobs
9    creation project area, the unemployment rate, not
10    seasonally adjusted, was 6% or greater or was equal to or
11    greater than 75% of the national average unemployment rate
12    for that same time as published in the United States
13    Department of Labor Bureau of Labor Statistics publication
14    entitled the "The Employment Situation" or its successor
15    publication; for the purpose of this item (2), if
16    unemployment rate statistics for a municipality are not
17    available, the unemployment rate in the municipality shall
18    be deemed to be the same as the unemployment rate in the
19    principal county in which the municipality is located.
20    In addition, the municipality must establish one or more
21jobs creation projects within the area and must include the
22following in the jobs creation plan:
23            (A) the identification of at least one developer
24        who proposes to undertake a jobs creation project;
25            (B) a description of the buildings and facilities

 

 

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1        proposed to be constructed and improved in the jobs
2        creation project area;
3            (C) the estimated costs of construction of the
4        buildings and facilities to be constructed in the jobs
5        creation project area;
6            (D) a copy of letters of intent to locate within
7        the proposed jobs creation project area by the
8        developer and appropriate corporate officer, if
9        applicable;
10            (E) the estimated number of full-time equivalent
11        and part-time jobs anticipated to be created and
12        retained by the developer's jobs creation project; and
13            (F) any other information the municipality deems
14        reasonable and necessary to advise the public of the
15        intent of the jobs creation project.
16        (3) is an existing residential development project
17    site, for which 51% of the subdivided lots were (i) platted
18    and located within the territorial limits of a municipality
19    not less than 18 months prior to the designation of the
20    jobs creation project area and (ii) remain vacant or
21    unimproved.
 
22    Section 20. Levels of benefits.
23    (a) Jobs creation projects within a jobs creation project
24area created pursuant to this Act may qualify for incentives,
25tax credits, deductions, or exemptions as follows: (i) real

 

 

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1estate tax increment; (ii) local sales tax increment; (iii)
2State sales tax increment; (iv) municipal utility tax
3increment; (v) municipal hotel tax increment; (vi) State
4utility tax increment; (vii) income tax credit or deduction;
5and (viii) State and local telecommunications tax increment.
6    (b) Sources of incentives available for public and private
7projects in a jobs creation project area are defined by the
8following levels:
9        (1) Level "A" benefits are defined as real estate tax
10    increment, local sales tax increment, and municipal hotel
11    tax increment. Level "A" residential development benefits
12    are defined as real estate tax increment only. Job creation
13    projects receiving level "A" residential development
14    benefits pursuant to this Act are exempt from the
15    requirements set forth in subsection (e) of Section 20 of
16    this Act.
17        (2) Level "B" benefits are defined as real estate tax
18    increment; local sales tax increment; State sales tax
19    increment; municipal hotel tax increment; and municipal
20    utility tax increment.
21        (3) Level "C" benefits are defined as real estate tax
22    increment; local sales tax increment; municipal hotel tax
23    increment; State sales tax increment; municipal utility
24    tax increment; State utility tax increment; State and
25    municipal telecommunication tax increment; and a jobs
26    State income tax credit or deduction.

 

 

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1    (c) Incentive levels for jobs creation project areas are
2determined by the population of the municipality as of the most
3recent federal decennial census prior to the adoption of the
4jobs creation plan and the number of full-time equivalent jobs
5created as follows:
6        (1) Jobs creation project areas located in a
7    municipality with a population of up to 14,999 with a
8    project estimated to create the following full-time
9    equivalent jobs are eligible for the following benefits:
10            (A) If the project creates 25 jobs or more, the
11        jobs project area is eligible for level A benefits.
12            (B) If the project creates 75 jobs or more, the
13        jobs project area is eligible for level B benefits.
14            (C) If the project creates 100 jobs or more, the
15        jobs project area is eligible for level C benefits.
16        (2) Jobs creation project areas located in a
17    municipality with a population of 15,000 to 49,999 with a
18    project estimated to create the following full-time
19    equivalent jobs are eligible for the following benefits:
20            (A) If the project creates 75 jobs or more, the
21        jobs project area is eligible for level A benefits.
22            (B) If the project creates 100 jobs or more, the
23        jobs project area is eligible for level B benefits.
24            (C) If the project creates 150 jobs or more, the
25        jobs project area is eligible for level C benefits.
26        (3) Jobs creation project areas located in a

 

 

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1    municipality with a population over 50,000 with a project
2    estimated to create the following full-time equivalent
3    jobs are eligible for the following benefits:
4            (A) If the project creates 100 jobs or more, the
5        jobs project area is eligible for level A benefits.
6            (B) If the project creates 150 jobs or more, the
7        jobs project area is eligible for level B benefits.
8            (C) If the project creates 250 jobs or more, the
9        jobs project area is eligible for level C benefits.
10    (d) The municipality shall determine incentive levels
11available for a jobs creation project. Incentives offered to
12the developer or developers shall be at the discretion of the
13municipality and shall be set forth in a redevelopment
14agreement adopted by ordinance of the municipality. The
15redevelopment agreement shall contain a description of the
16benefit level the developer is eligible to receive and the
17requirements of the Three Year Job Attainment Report. The
18rights and obligations of the redevelopment agreement shall be
19fully assignable by the developer upon approval of the
20municipality.
21    (e) On the third anniversary of date of the designation of
22a jobs creation project area, the developer shall submit to the
23municipality a Three Year Job Attainment Report, which must
24include: (i) identification of the developer or developers and
25the jobs creation project or projects; (ii) a description of
26the incentives the developer has received since the designation

 

 

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1of the area; (iii) a sworn statement of the number of
2full-time, part-time, and full-time equivalent jobs that have
3been created by its project.
4    (f) If, on the third anniversary, the municipality finds
5that the number of jobs created within a jobs creation project
6area is not equal to or greater than the number of jobs
7required by the level of benefits the developer is receiving,
8the developer's level of benefits shall decrease to the
9appropriate level set forth in subsection (c). If the developer
10fails to meet the number of jobs required for level A benefits
11based upon the population of the municipality where the jobs
12creation project is located, the developer's incentives may be
13terminated by written notice from the municipality.
14    (g) If, on the third anniversary, the municipality finds
15that the jobs created within the jobs creation project area are
16greater than the number of jobs required by the level of
17benefits the developer is receiving, the developer may be
18eligible for additional benefits based upon the appropriate
19level set forth in subsection (c).
20    (h) A change in the level of benefits and incentives a
21developer receives shall require an amendment to the
22redevelopment agreement between the municipality and the
23developer approved by ordinance of the municipality. If the
24developer exceeds the number of full-time equivalent jobs
25required for the level of benefits the developer is receiving
26prior to the third anniversary date of the establishment of the

 

 

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1jobs creation project area, the developer may present to the
2municipality a sworn statement of the number of full-time
3equivalent jobs created, and the developer, at the discretion
4of the developer, may be eligible for additional benefits based
5upon the appropriate level set forth in subsection (c).
6    (i) Upon determination by the municipality that the
7requisite number of full-time equivalent jobs have been created
8within the jobs creation project area, the developer or
9developers shall be relieved of any liability with respect to
10job creation under this Section.
 
11    Section 25. Approval of a jobs creation plan and project;
12designation of a jobs creation project area.
13    (a) A municipality may, by ordinance, approve a jobs
14creation plan and project and designate a jobs creation project
15area. Prior to the adoption of an ordinance designating a jobs
16creation project area or approving a jobs creation plan or jobs
17creation project, the municipality by its corporate
18authorities shall adopt an ordinance fixing a time and place
19for a public hearing. The municipality shall hear all comments
20at the hearing and the hearing may be adjourned to another date
21without further notice other than a motion to be entered upon
22the minutes fixing the time and place of the subsequent
23hearing. At the public hearing or at any time prior to the
24adoption by the municipality of an ordinance approving a jobs
25creation plan, the municipality may make changes in the jobs

 

 

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1creation plan. Changes that (i) add additional parcels of
2property to the proposed jobs creation project area, (ii)
3substantially affect the general land uses proposed in the jobs
4creation plan, or (iii) substantially change the nature of or
5extend the life of the jobs creation project, shall be made
6only after the municipality gives notice, convenes a joint
7review board, and conducts a public hearing pursuant to the
8procedures set forth in this Section of this Act. Changes that
9do not (i) add additional parcels of property to the proposed
10jobs creation project area, (ii) substantially affect the
11general land uses proposed in the jobs creation plan, or (iii)
12substantially change the nature of or extend the life of the
13jobs creation project, may be made without further hearing,
14provided that the municipality shall give notice of any such
15changes by mail to each affected taxing district and by
16publication in a newspaper of general circulation within the
17affected taxing district. The notice by mail and by publication
18shall each occur not later than 14 business days following the
19adoption by ordinance of those changes. Hearings with regard to
20a jobs creation project area, project, or plan may be held
21simultaneously.
22    (b) Notice of the public hearing shall be given by
23publication and mailing. Notice by publication shall be given
24by publication at least twice, the first publication to be not
25more than 30 nor less than 10 days prior to the hearing in a
26newspaper of general circulation within the taxing districts

 

 

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1having property in the proposed jobs creation project area.
2Notice by mailing shall be given by depositing that notice in
3the United States mail by certified mail addressed to the
4person or persons in whose name the general taxes for the last
5preceding year were paid on each lot, block, tract, or parcel
6of land lying within the jobs creation project area. The notice
7shall be mailed not less than 10 days prior to the date set for
8the public hearing. If taxes for the last preceding year were
9not paid, the notice shall also be sent to the persons last
10listed on the tax rolls within the preceding 3 years as the
11owners of such property.
12    (c) The notices issued pursuant to this Section shall
13include the following:
14        (1) the time and place of public hearing;
15        (2) the boundaries of the proposed jobs creation
16    project area by legal description and by street location
17    where possible;
18        (3) a description of the jobs creation plan and jobs
19    creation project for the proposed jobs creation project
20    area; and
21        (4) such other matters as the municipality may deem
22    appropriate.
23    (d) Not less than 30 days prior to the date set for
24hearing, the municipality shall give notice by mail as provided
25in subsection (a) to all taxing districts of which taxable
26property is included in the jobs creation project area,

 

 

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1project, or plan and to the Department of Commerce and Economic
2Opportunity.
3    (e) Prior to holding a public hearing to approve or amend a
4jobs creation plan or to designate or add additional parcels of
5property to a jobs creation project area, the municipality
6shall convene a joint review board. The board shall consist of
7a representative selected by each community college district,
8local elementary school district and high school district or
9each local community unit school district, park district,
10library district, township, fire protection district, and
11county that will have the authority to directly levy taxes on
12the property within the proposed jobs creation project area at
13the time that the proposed jobs creation project area is
14approved, a representative selected by the municipality, and a
15public member who shall be a resident of the municipality. The
16public member shall first be selected and then the board's
17chairperson shall be selected by a majority of the board
18members present and voting.
19    All board members shall be appointed and the first board
20meeting shall be held at least 14 days but not more than 28
21days after the mailing of notice by the municipality to the
22taxing districts as required by this Act. Additional meetings
23of the board shall be held upon the call of any member. The
24municipality seeking designation of the jobs creation project
25area shall provide administrative support to the board.
26    The board shall review (i) the public record, planning

 

 

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1documents, and proposed ordinances approving the jobs creation
2plan and project and (ii) proposed amendments to the jobs
3creation plan or additions of parcels of property to a jobs
4creation project area to be adopted by the municipality. As
5part of its deliberations, the board may hold additional
6hearings on the proposal. The board's recommendation shall be
7an advisory, non-binding recommendation. The recommendation
8shall be adopted by a majority of those members present and
9voting. The recommendations shall be submitted to the
10municipality within 30 days after convening the board. Failure
11of the board to submit its report on a timely basis shall not
12be cause to delay the public hearing or any other step in the
13process of designating or amending the jobs creation project
14area but shall be deemed to constitute approval of the joint
15review board of the matters before it.
16     The board shall base its recommendation to approve or
17disapprove the jobs creation plan or addition of parcels of
18property to the jobs creation project area on the basis of the
19jobs creation project area satisfying the qualifications
20defined in Section 15 of this Act and the objectives of the
21Act.
22    The board shall issue a written report describing why the
23jobs creation plan and project area or the amendment meets or
24fails to meet one or more of the objectives of this Act and the
25plan requirements and eligibility criteria.
26    If the board recommends rejection of the matters before it,

 

 

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1the municipality shall have 30 days to resubmit the plan or
2amendment. During this period, the municipality shall meet and
3confer with the board and attempt to resolve those issues set
4forth in the board's written report that led to the rejection
5of the plan or amendment.
6    Notwithstanding the resubmission set forth in this
7subsection (e), the municipality may commence the scheduled
8public hearing and either adjourn the public hearing or
9continue the public hearing until a date certain. Prior to
10commencing any public hearing to a date certain, the
11municipality shall announce during the public hearing the time,
12date, and location for reconvening the public hearing. Any
13changes to the jobs creation plan necessary to satisfy the
14issues set forth in the joint review board report shall be the
15subject of a public hearing before the public hearing is
16adjourned if the changes would (i) substantially affect the
17general land uses proposed in the jobs creation plan or (ii)
18substantially change the nature of or extend the life of the
19jobs creation project area. Changes to the jobs creation plan
20necessary to satisfy the issues set forth in the joint review
21board report shall not require any further notice or convening
22of a joint review board meeting, except that any changes to the
23jobs creation plan that would add additional parcels of
24property to the proposed jobs creation project area shall be
25subject to the notice, public hearing, and joint review board
26meeting requirements established for changes by this Act.

 

 

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1    If the municipality and the board are unable to resolve
2those differences, or in the event that the resubmitted plan or
3amendment is rejected by the board, the municipality may
4proceed with the plan or amendment, but only upon a
5three-fifths vote of the corporate authority responsible for
6approval of the plan or amendment, excluding positions of
7members that are vacant and those members that arc ineligible
8to vote because of a conflict of interest.
9    (f) Upon conclusion of the public hearing, the municipality
10may, within 180 days after the public hearing, adopt an
11ordinance approving a jobs creation plan and project, and an
12ordinance designating a jobs creation project area. No jobs
13creation project area shall be designated unless a plan and
14project are approved prior to the designation of the area.
15    The plan and projects shall be approved by an ordinance
16that includes:
17        (1) a description of the jobs creation project area;
18        (2) the qualifications described in the jobs creation
19    plan that cause the area to be designated as a jobs
20    creation project area pursuant to Section 15 of this Act;
21        (3) a finding that the proposed jobs creation project
22    area on the whole has not been subject to growth and
23    development through investment by private enterprise and
24    would not be reasonably anticipated to be developed without
25    the adoption of the jobs creation plan;
26        (4) a finding that the jobs creation plan and project

 

 

HB3678- 33 -LRB100 10619 MLM 20841 b

1    conform to the land use and zoning and ordinances for the
2    development of the municipality as a whole;
3        (5) the anticipated completion date of the jobs
4    creation plan and projects;
5        (6) the estimated date for retirement of obligations,
6    if any, incurred to finance the jobs creation project; and
7        (7) a finding that the incremental revenues and
8    benefits pursuant to the act will be used exclusively for
9    development of or the benefit of the jobs creation project
10    area.
11    An ordinance designating a jobs creation project area shall
12set forth:
13        (1) a general description of the jobs creation project
14    area; and
15        (2) a boundary map of the jobs creation project area.
16    (g) Upon adoption of the ordinances and with regard to the
17real estate increment, as set forth in Section 11-74.4-8 of the
18Tax Increment Allocation Redevelopment Act, the municipality
19shall forthwith transmit to the county clerk of the county or
20counties within which the jobs creation project area is located
21a certified copy of the ordinance, a legal description of the
22jobs creation project area, a map of the jobs creation project
23area, identification of the year that the county clerk shall
24use for determining the total initial equalized assessed value
25of the jobs creation project area, and a list of the parcel or
26tax identification number of each parcel of property included

 

 

HB3678- 34 -LRB100 10619 MLM 20841 b

1in the jobs creation project area.
2    (h) Upon adoption of the ordinances and with regard to the
3State and local municipal sales taxes and use and service
4taxes, State income taxes, municipal hotel taxes, State and
5municipal telecommunications taxes, and State and municipal
6utility taxes, if such benefits are applicable, the
7municipality shall provide to the Illinois Department of
8Revenue a certified copy of the ordinances.
 
9    Section 30. Jobs Creation Finance Fund. Upon adoption of
10the ordinances approving a jobs creation plan and project and
11designating a jobs creation project area, a municipality shall
12create a special fund called the Jobs Creation Finance Fund for
13the deposit of real estate tax incremental revenues and any
14incremental tax revenues payable to the municipality pursuant
15to this Act. The moneys in the Jobs Creation Finance Fund shall
16be used for the purpose of paying jobs creation projects costs
17and obligations incurred from the payment of jobs creation
18project costs.
 
19    Section 35. Completion dates for jobs creation projects.
20The dates of completion of the jobs creation projects and
21retirement of obligations issued to finance jobs creation
22project cost may not be later than December 31st of the year in
23which the payment to the municipal treasurer is to be made with
24respect to ad valorem real estate taxes levied in the 15th

 

 

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1calendar year after the year in which the ordinance approving
2the jobs creation project area was adopted. A municipality may
3elect to extend the life of the jobs creation project area to
425 years by the adoption of an ordinance after at least 14 but
5no more than 30 days' written notice to the affected taxing
6bodies before the adoption of the ordinance.
 
7    Section 40. Municipal powers and duties; jobs creation
8project areas. A municipality may:
9    (a) Make and enter into all contracts with property owners,
10developers, tenants, individual overlapping taxing bodies, and
11others necessary or incidental to the implementation and
12furtherance of its jobs creation plan and projects.
13    (b) Acquire by purchase, donation, or lease or own, convey,
14lease, mortgage, or dispose of land and other property, real or
15personal, or rights or interests therein, and grant or acquire
16licenses, easements, and options with respect thereto, all in
17the manner and at the price the municipality determines is
18reasonably necessary to achieve the objectives of the jobs
19creation plan and project. No conveyance, lease, mortgage, or
20disposition of land or other property owned by a municipality,
21or agreement relating to the development of that municipal
22property, shall be made except upon the adoption of an
23ordinance by the corporate authorities of the municipality.
24Furthermore, no conveyance, lease, mortgage, or other
25disposition of land owned by a municipality or agreement

 

 

HB3678- 36 -LRB100 10619 MLM 20841 b

1relating to the development of such municipal property shall be
2made without making public disclosure of the terms of the
3disposition and all bids and proposals made in response to the
4municipality's request. The procedures for obtaining those
5bids and proposals shall provide reasonable opportunity for any
6person to submit alternative proposals or bids.
7    (c) Within a jobs creation project area, clear any area by
8demolition or removal of any existing buildings, equipment,
9underground tanks, structures, or other impediments to
10development.
11    (d) Within a jobs creation project area, renovate,
12rehabilitate, or construct any structure or building, as
13permitted under this Act.
14    (e) Install, repair, construct, reconstruct, or relocate
15streets, utilities, and site improvements essential to the
16preparation of the jobs creation project area for use in
17accordance with a jobs creation project plan.
18    (f) Within a jobs creation project area, fix, charge, and
19collect fees, rents, and charges for the use of any building or
20property owned or leased by it or any part thereof, or facility
21therein.
22    (g) Accept grants, guarantees, and donations of property,
23labor, or other things of value from a public or private source
24for use within a project jobs creation project area.
25    (h) Acquire and construct public facilities as permitted
26under this Act.

 

 

HB3678- 37 -LRB100 10619 MLM 20841 b

1    (i) Incur jobs creation project costs and reimburse
2developers who incur project costs as permitted under this Act.
3    (j) From municipal owned properties, make full or partial
4payment in lieu of taxes to taxing districts. If payments in
5lieu of taxes or a portion thereof are made to taxing
6districts, those payments shall be made to all districts within
7a jobs creation project area on a basis which is proportional
8to the then current collections of revenue which each taxing
9district receives from real property in the jobs creation
10project area.
11    (k) Exercise any and all other powers necessary to
12effectuate the purposes of this Act.
13    (l) Municipalities may undertake and perform jobs creation
14plans and projects and use the provisions of the Act wherever
15they have contiguous jobs creation project areas or tax
16increment redevelopment project areas. They may issue
17obligations and expend tax revenues received under this Act for
18eligible expenses anywhere within contiguous jobs creation
19project areas or tax increment redevelopment project areas, as
20otherwise permitted in the Act.
21    (m) Use revenues, other than State sales use or service tax
22increment revenues or State utilities tax increment revenues,
23received under this Act from one jobs creation project area for
24eligible costs in: (i) another contiguous jobs creation project
25area; (ii) a contiguous tax increment redevelopment project
26area created pursuant to the Tax Increment Allocation

 

 

HB3678- 38 -LRB100 10619 MLM 20841 b

1Redevelopment Act or Industrial Jobs Recovery Law; or (iii) a
2STAR Bonds District created pursuant to the Innovation
3Development and Economy Act. Job creation project areas, tax
4increment redevelopment project areas, or STAR bonds districts
5shall be deemed contiguous under this Act if they are:
6        (1) separated only by a public right-of-way from the
7    jobs creation project area or tax increment redevelopment
8    project area;
9        (2) separated only by property owned by another taxing
10    district; or
11        (3) separated only by forest preserve property from the
12    jobs creation project area.
13    (n) If a jobs creation project has not been initiated in a
14jobs creation project area within 3 years after the area was
15designated by ordinance, the municipality shall adopt an
16ordinance repealing the area's designation as a jobs creation
17project area.
 
18    Section 45. Distribution of surplus funds. Upon the
19determination of a surplus of increment in the Jobs Creation
20Finance Fund, the surplus shall be distributed to the taxing
21districts and to the Illinois Department of Revenue as follows:
22(i) surplus real estate increment shall be paid by the
23municipal treasurer to the County Collector, who shall
24distribute the surplus increment to the taxing bodies in
25proportion to the tax rates of the taxing bodies in the most

 

 

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1recent distribution by the County Collector to the affected
2districts; (ii) the municipal treasurer shall pay all surplus
3State sales, use, service, and utility taxes to the Department
4of Revenue; and (iii) the municipality shall retain all local
5taxes and deposit them into the municipality's general fund.
 
6    Section 50. Issuance of obligations for jobs creation
7project costs. Obligations in the form of bonds, loans, notes,
8or debentures, secured by the Jobs Creation Finance Fund for
9the jobs creation project area, may be issued to provide for
10jobs creation project costs.
11    Without limiting the foregoing in this Section, the
12municipality may pledge, in addition to obligations secured by
13the Jobs Creation Finance Fund and for a period not greater
14than the term of the obligations, towards payment of such
15obligations any part or any combination of the following: (i)
16net revenues of all or part of any jobs creation project; (ii)
17taxes levied and collected on any or all property in the
18municipality; (iii) the full faith and credit of the
19municipality; (iv) a mortgage on part or all of the jobs
20creation project; or (v) any other taxes or anticipated
21receipts that the municipality may lawfully pledge.
22    These obligations may be issued in one or more series
23bearing interest at a rate or rates that the corporate
24authorities of the municipality shall determine by ordinance.
25These obligations shall bear such date or dates, mature at such

 

 

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1time or times not exceeding 15 years, or 25 years if the area
2is extended, from their respective dates, be in such
3denomination, carry such registration privileges, be executed
4in such manner, be payable in such medium of payment at such
5place or places, contain such covenants, terms, and conditions,
6and be subject to redemption as the ordinance shall provide.
7Obligations issued pursuant to this Act may be sold at public
8or private sale at a price determined by the corporate
9authorities of the municipalities. No referendum approval of
10the electors shall be required as a condition to the issuance
11of obligations pursuant to this Act except as provided in this
12Section.
13    If the municipality authorizes issuance of obligations
14pursuant to the authority of this Act secured by the full faith
15and credit of the municipality, and if those obligations are
16other than obligations that may be issued under home rule
17powers provided by Article VII, Section 6 of the Illinois
18Constitution, or pledges taxes under this Section, the
19ordinance authorizing the issuance of those obligations or
20pledging those taxes shall be published in one or more
21newspapers, with general circulation within the municipality,
22within 10 days after the ordinance has been passed. The
23publication of the ordinance shall be accompanied by a notice
24of (i) the specific number of voters required to sign a
25petition requesting the question of the issuance of those
26obligations or pledging taxes to be submitted to the electors;

 

 

HB3678- 41 -LRB100 10619 MLM 20841 b

1(ii) the time in which the petition must be filed; and (iii)
2the date of the prospective referendum. The municipal clerk
3shall provide a petition form to any individual requesting one.
4    If no petition is filed with the municipal clerk, as
5provided in this Section, within 30 days after the publication
6of the ordinance, the ordinance shall be in effect. But, if
7within that 30-day period, a petition is filed with the
8municipal clerk, signed by electors in the municipality
9numbering 10% or more of the number of registered voters in the
10municipality, asking that the question of issuing obligations
11using full faith and credit of the municipality as security for
12the cost of paying for jobs creation project costs, or of
13pledging taxes for the payment of such obligations, or both, be
14submitted to the electors of the municipality, the corporate
15authorities of the municipality shall call a special election
16in the manner provided by law to vote upon that question, or,
17if a general, State, or municipal election is to be held within
18a period of not less than 30 or more than 90 days from the date
19the petition is filed, shall submit the question at the next
20general, State, or municipal election. If it appears upon the
21canvass of the election by the corporate authorities that a
22majority of electors voting upon the question voted in favor
23thereof, the ordinance shall be in effect, but if a majority of
24the electors voting upon the question are not in favor thereof,
25the ordinance shall not take effect.
26    The ordinance authorizing the obligations may provide that

 

 

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1the obligations shall contain a recital that they are issued
2pursuant to this Act, which recital shall be conclusive
3evidence of their validity and of the regularity of their
4issuance.
5    If the municipality authorizes issuance of obligations
6pursuant to this Section secured by the full faith and credit
7of the municipality, the ordinance authorizing the obligations
8may provide for the levy and collection of a direct annual tax
9upon all taxable property within the municipality sufficient to
10pay the principal thereof and interest thereon as it matures,
11which levy may be in addition to and exclusive of the maximum
12of all other taxes authorized to be levied by the municipality,
13which levy, however, shall be abated to the extent that moneys
14from other sources are available for payment of the obligations
15and the municipality certifies the amount of those moneys
16available to the county clerk.
17    A certified copy of the ordinance shall be filed with the
18county clerk of each county in which any portion of the
19municipality is situated, and shall constitute the authority
20for the extension and collection of the taxes to be deposited
21into the Jobs Creation Finance Fund.
22    A municipality may also issue its obligations to refund, in
23whole or in part, obligations theretofore issued by that
24municipality under the authority of this Act, whether at or
25prior to maturity; provided, however, that the last maturity of
26the refunding obligations may not be later than the dates set

 

 

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1forth in this Act.
2    If a municipality issues obligations under home rule powers
3or other legislative authority, the proceeds of which are
4pledged to pay for jobs creation project costs, the
5municipality may, if it has followed the procedures in
6conformance with this Act, retire those obligations from funds
7in the Jobs Creation Finance Fund in amounts and in such manner
8as if such obligations had been issued pursuant to the
9provisions of this Act.
10    All obligations issued pursuant to this Act shall not be
11regarded as indebtedness of the municipality issuing those
12obligations or any other taxing district for the purpose of any
13limitation imposed by law.
 
14    Section 55. Amendments. After a municipality has, by
15ordinance, approved a jobs creation plan, and designated a jobs
16creation project area, the plan may be amended and additional
17properties may be added to the jobs creation project area only
18as provided in this Section. Amendments that (i) add additional
19parcels of property to the proposed jobs creation project area,
20(ii) substantially affect the general land uses proposed in the
21jobs creation plan, (iii) substantially change the nature of
22the jobs creation project, (iv) increase the total estimated
23jobs creation project costs set out in the jobs creation plan
24by more than 5% after adjustment for inflation from the date
25the plan was adopted, or (v) add additional jobs creation

 

 

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1project costs to the itemized list of jobs creation project
2costs set out in the jobs creation plan shall be made only
3after the municipality gives notice, convenes a joint review
4board, and conducts a public hearing pursuant to the procedures
5set forth in this Act. Changes that do not (i) add additional
6parcels of property to the proposed jobs creation project area,
7(ii) substantially affect the general land uses proposed in the
8jobs creation plan, (iii) substantially change the nature of
9the jobs creation project, (iv) increase the total estimated
10jobs creation project cost set out in the jobs creation plan by
11more than 5% after adjustment for inflation from the date the
12plan was adopted, or (v) add additional jobs creation project
13costs to the itemized list of jobs creation project costs set
14out in the jobs creation plan may be made without further
15public hearing and related notices and procedures including the
16convening of a joint review board as set forth in this Act,
17provided that the municipality shall give notice of any such
18changes by mail to each affected taxing district and by
19publication in a newspaper of general circulation within the
20affected taxing district. That notice by mail and by
21publication shall each occur not later than 10 days following
22the adoption by ordinance of those changes.
 
23    Section 60. Annual reports; annual joint review board
24meetings. A municipality shall submit the following
25information for each jobs creation project area to (i) the

 

 

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1State Comptroller under Section 8-8-3.5 of the Illinois
2Municipal Code; (ii) the Illinois Department of Revenue, if
3applicable, and (iii) to all taxing districts overlapping the
4jobs creation project area no later than 180 days after the
5close of each municipal fiscal year or after the audited
6financial statements become available and, in any case, shall
7be submitted before the annual meeting of the Joint Review
8Board to each of the taxing districts that overlap the jobs
9creation project area:
10        (1) any amendments to the jobs creation plan or the
11    jobs creation project area;
12        (2) a list of the jobs creation project areas
13    administered by the municipality, the number of full time
14    equivalent jobs created by each jobs creation project
15    within the jobs creation project area, and, if applicable,
16    the date each jobs creation project area was designated or
17    terminated by the municipality;
18        (3) audited financial statements of the Jobs Creation
19    Finance Fund once a cumulative total of $100,000 has been
20    deposited into the fund;
21        (4) certification of the chief executive officer of the
22    municipality that the municipality has complied with all of
23    the requirements of this Act during the preceding fiscal
24    year;
25        (5) an opinion of legal counsel that the municipality
26    is in compliance with this Act;

 

 

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1        (6) an analysis of the Jobs Creation Finance Fund that
2    sets forth:
3            (A) the balance in the Jobs Creation Finance Fund
4        at the beginning of the fiscal year;
5            (B) all amounts deposited in the Jobs Creation
6        Finance Fund by source;
7            (C) an itemized list of all expenditures from the
8        Jobs Creation Finance fund by category of permissible
9        jobs creation project cost; and
10            (D) the balance in the Jobs Creation Finance Fund
11        at the end of the fiscal year including a breakdown of
12        that balance by: (i) source and use of funds by
13        increment; and (ii) identification of any surplus as
14        defined in Section 3 of this Act;
15        (7) a description of all property purchased by the
16    municipality within the jobs creation project area
17    including:
18            (A) street address;
19            (B) approximate size or description of property;
20            (C) purchase price; and
21            (D) seller of property;
22        (8) a statement setting forth all activities
23    undertaken in furtherance of the objectives of the jobs
24    creation plan, including:
25            (A) any project implemented in the preceding
26        fiscal year;

 

 

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1            (B) a description of the jobs creation activities
2        undertaken;
3            (C) a description of any agreements entered into by
4        the municipality with regard to the disposition or
5        redevelopment of any property within the jobs creation
6        project area or the area within the State Sales Tax
7        Boundary;
8            (D) any reports submitted to the municipality by
9        the joint review board; and
10            (E) a review of public and, to the extent possible,
11        private investment actually undertaken to date and
12        estimated to be undertaken during the following year;
13        this review shall, on a project-by-project basis, set
14        forth the estimated amounts of public and private
15        investment incurred;
16        (9) with regard to any obligations issued by the
17    municipality:
18            (A) copies of any official statements; and
19            (B) an analysis setting forth: (i) nature and term
20        of obligation; and (ii) projected debt service
21        including required reserves and debt coverage if (i)
22        and (ii) are not included in the official statements;
23        (10) for Jobs Creation Finance Funds that have
24    experienced cumulative deposits of incremental tax
25    revenues of $100,000 or more, a certified audit report
26    reviewing compliance with this Act performed by an

 

 

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1    independent public accountant certified and licensed by
2    the authority of the State of Illinois; the financial
3    portion of the audit must be conducted in accordance with
4    Standards for Audits of Governmental Organizations,
5    Programs, Activities, and Functions adopted by the
6    Comptroller General of the United States (1981), as
7    amended, or the standards specified by Section 8-8-5 of the
8    Illinois Municipal Auditing Law of the Illinois Municipal
9    Code; the audit report shall contain a letter from the
10    independent certified public accountant indicating
11    compliance or noncompliance with the requirements of the
12    Act; and
13        (11) the joint review board shall meet annually 180
14    days after the close of the municipal fiscal year or after
15    the jobs creation plan and project audit for that fiscal
16    year becomes available to review the effectiveness and
17    status of the jobs creation plan and project up to that
18    date.
 
19    Section 65. Overlapping tax increment financing districts;
20enterprise zones.
21    (a) A jobs creation project area may overlap an existing
22tax increment financing district created pursuant to the Tax
23Increment Allocation Redevelopment Act. If any portion of the
24property taxes attributable to the increase in equalized
25assessed value within a jobs creation project area are, at the

 

 

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1time of formation of the jobs creation project area, already
2subject to tax increment financing under the Tax Increment
3Allocation Redevelopment Act, then the tax increment for those
4tax parcels shall be frozen at the base year established in
5accordance with this Act, and all future incremental increases
6over the base year shall not be subject to tax increment
7financing under the Tax Increment Allocation Redevelopment
8Act, but rather, shall be subject to tax increment financing
9under this Act. Any party otherwise entitled to the receipt of
10incremental tax revenues pursuant to an existing tax increment
11redevelopment agreement shall be entitled to continue to
12receive those revenues. Nothing in this Act shall affect the
13prior qualification of existing redevelopment project costs
14incurred that are eligible for reimbursement under the Tax
15Increment Allocation Redevelopment Act.
16    (b) A jobs creation project area may overlap an existing
17enterprise zone created pursuant to the Enterprise Zone Act
18subject to the following:
19        (1) Developments that have been designated to receive
20    enterprise zone benefits shall continue to receive the
21    designated real estate benefits and any other designated
22    benefits until the expiration of the designated benefits.
23        (2) If a developer with a jobs creation project within
24    an existing enterprise zone is not receiving enterprise
25    zone benefits or elects to terminate its existing
26    enterprise zone benefits, the developer shall be eligible

 

 

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1    for benefits as set forth in this Act.
 
2    Section 70. Payment of project costs; revenues from
3municipal property. Revenues received by the municipality from
4any property, building, or facility owned, leased, or operated
5by the municipality or any agency or authority established by
6the municipality, or from repayments of loans, may be used to
7pay jobs creation project costs, or reduce outstanding
8obligations of the municipality incurred under this Act for
9jobs creation project costs. The municipality may place those
10revenues in the Jobs Creation Finance Fund, which shall be held
11by the municipal treasurer or other person designated by the
12municipality.
 
13    Section 75. Partial invalidity. If any Section,
14subdivision, paragraph, sentence, or clause of this Act is, for
15any reason, held to be invalid or unconstitutional, that
16decision shall not affect any remaining portion, Section, or
17part thereof that can be given effect without the invalid
18provision.
 
19    Section 99. Effective date. This Act takes effect upon
20becoming law.