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91_HB0587
LRB9101075PTmb
1 AN ACT in relation to property taxes, amending named
2 Acts.
3 Be it enacted by the People of the State of Illinois,
4 represented in the General Assembly:
5 Section 5. The Civil Administrative Code of Illinois is
6 amended by adding Section 38.4 as follows:
7 (15 ILCS 20/38.4 new)
8 Sec. 38.4. Fund Education First. The Governor shall
9 include in each State budget a transfer, and the Governor
10 shall direct the transfer of, as soon as practical after July
11 1, 1999 and each July 1 thereafter an amount equal to 25% of
12 the projected revenue growth in the State's general funds, as
13 estimated by the Bureau of the Budget, into the Education
14 Assistance Fund.
15 Section 10. The State Finance Act is amended by adding
16 Section 5.490 as follows:
17 (30 ILCS 105/5.490 new)
18 Sec. 5.490. The Property Tax Relief Fund.
19 Section 15. The State Revenue Sharing Act is amended by
20 adding Section 7 as follows:
21 (30 ILCS 115/7 new)
22 Sec. 7. Property Tax Relief Fund. There is hereby
23 created the Property Tax Relief Fund, a special fund in the
24 State Treasury.
25 (a) For purposes of this Section:
26 "Allocation basis levy year" is the levy year 2 years
27 prior to the distribution year.
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1 "Department" means the Department of Revenue.
2 "Levy year" has the same meaning as "year" under Section
3 1-155 of the Property Tax Code.
4 "Operating tax rate" shall consist of all school district
5 property taxes extended for all purposes, except community
6 college educational purposes for the payment of tuition under
7 Section 6-1 of the Public Community College Act, Bond and
8 Interest, Summer School, Rent, Capital Improvement, and
9 Vocational Education Building purposes.
10 (b) The Governor shall include in each State budget a
11 transfer, and the Governor shall direct the transfer of, into
12 the Property Tax Relief Fund (i) as soon as practical after
13 July 1, 1999 and each July 1 thereafter an amount equal to
14 25% of the projected revenue growth in the State's general
15 funds, as estimated by the Bureau of the Budget, and (ii) as
16 soon as practical after July 1, 2000 and each July 1
17 thereafter an amount equal to the amount that was deposited
18 into the Property Tax Relief Fund in the immediately
19 preceding fiscal year.
20 By December 1 of each year, beginning December 1, 1999,
21 the Bureau of the Budget shall certify to the Department of
22 Revenue its estimate of the funds that will be available for
23 distribution from the Property Tax Relief Fund in the next
24 calendar year.
25 The Department shall determine the amount to be
26 distributed to the County Treasurer of each county for each
27 school district subject to the School Code in the county from
28 the Property Tax Relief Fund for each calendar year,
29 beginning in 2000. On or before January 1, 2000 and each
30 January 1 thereafter, the Department shall certify to each
31 county clerk the amount to be distributed for each school
32 district in the county that year. The amount shall equal the
33 Bureau of the Budget's estimate of the funds available for
34 the Property Tax Relief Fund for the fiscal year in effect at
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1 the beginning of the calendar year in which the funds will be
2 distributed multiplied by an allocation factor for each
3 school district. The allocation factor shall equal the
4 amount extended for the operating tax rate of each county's
5 portion of each school district on the classes of property
6 eligible for the School Tax Abatement under Section 18-162 of
7 the Property Tax Code divided by the sum of the total of such
8 extensions for all school districts in the State. The data
9 used in determining this factor shall be the most recent
10 available to the Department submitted by the County Clerk of
11 each county pursuant to Section 18-255 of the Property Tax
12 Code by October 1 prior to the Department's certification to
13 the county clerks under this Section.
14 (c) On February 1, 2000 and on February 1 of each
15 calendar year thereafter, the Department shall certify to the
16 State Comptroller an amount to be paid over to the county
17 treasurer in any county with 3,000,000 or more inhabitants,
18 which is required by Section 21-30 of the Property Tax Code
19 to send an estimated property tax bill by January 31 annually
20 and an actual tax bill by June 30 annually, equal to 50% of
21 the amount certified by the Department to be distributed to
22 the school districts in that county under this Section. On
23 May 15, 2000 and on May 15 of each calendar year thereafter,
24 the Department shall certify to the State Comptroller an
25 amount to be paid over to the county treasurer in each county
26 of fewer than 3,000,000 inhabitants equal to 50% of the
27 amount certified by the Department to be distributed to the
28 school districts in each such county under this Section. On
29 August 15, 2000, and on August 15 of each calendar year
30 thereafter, the Department shall certify to the State
31 Comptroller an amount to be paid over to the county treasurer
32 of each county in the State equal to 50% of the amount
33 certified by the Department to be distributed to the school
34 districts in each county under this Section. The State
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1 Comptroller shall pay from the Property Tax Relief Fund all
2 amounts certified to the State Comptroller under this
3 Section.
4 The county treasurer shall promptly distribute the funds
5 to each school district based on the amount certified to the
6 county clerk by the Department under this Section.
7 (d) Beginning with the January 1, 2001 certification by
8 the Department to the county clerks under this Section, and
9 each January 1 thereafter, the Department shall recalculate
10 the previous year's allocation factor for each school
11 district using the most recent available extension
12 information supplied under Section 18-255 of the Property Tax
13 Code for property taxes extended for the allocation basis
14 levy year applicable to the previous year's allocation. The
15 current year's allocation shall be adjusted by the difference
16 between this recalculation of the previous year's allocation
17 and the actual allocation and distribution in the previous
18 year.
19 Section 20. The Property Tax Code is amended by changing
20 Sections 18-255, 20-15, and 21-30 and adding Section 18-162
21 as follows:
22 (35 ILCS 200/18-162 new)
23 Sec. 18-162. School Tax Abatement. Beginning with taxes
24 levied for 1999 and extended in 2000, after determining the
25 final extension for a parcel or that portion of a parcel that
26 is eligible for the General Homestead Exemption under Section
27 15-175, or for that parcel or that portion of a parcel or
28 farm improvement that is eligible for assessment as a farm
29 under Sections 10-110 through 10-140, the county clerk shall
30 abate part of that extension for each school district subject
31 to the School Code in which the parcel or portion of a parcel
32 or farm improvement is located. The rate for this abatement
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1 shall be calculated by the county clerk by dividing the
2 amount certified by the Department under Section 7 of the
3 State Revenue Sharing Act to be distributed from the Property
4 Tax Relief Fund for the county's portion of the school
5 district divided by the equalized assessed valuation used in
6 calculating tax rates under Section 18-45 in the school
7 district in the county of those parcels or portions of
8 parcels or farm improvements eligible for abatement under
9 this Section. In no event shall an abatement under this
10 Section reduce the taxpayer's liability under the Code by
11 more than 50% of his or her overall extension.
12 (35 ILCS 200/18-255)
13 Sec. 18-255. Abstract of assessments and extensions.
14 Within 30 days of completing the When the collector's books
15 are completed, the county clerk shall make a complete
16 statement of the assessment and extensions, in conformity to
17 the instructions of the Department. The clerk shall certify
18 the statement to the Department. Beginning with the 1999 levy
19 year, the Department shall require the statement to include a
20 separate listing of the extensions subject to abatement
21 pursuant to Section 18-162. If the county clerk is unable to
22 complete the statement for the 1999 levy year prior to
23 September 1, 2000, the county clerk shall provide such
24 separate listing for the 1998 levy year by September 1, 2000.
25
26 (Source: Laws 1943, vol. 1, p. 1136; P.A. 88-455.)
27 (35 ILCS 200/20-15)
28 Sec. 20-15. Information on bill or separate statement.
29 The amount of tax due and rates shown on the tax bill
30 pursuant to this Section shall be net of any abatement under
31 Section 18-162 of the Property Tax Code. There shall be
32 printed on each bill, or on a separate slip which shall be
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1 mailed with the bill:
2 (a) a statement itemizing the rate at which taxes
3 have been extended for each of the taxing districts in
4 the county in whose district the property is located, and
5 in those counties utilizing electronic data processing
6 equipment the dollar amount of tax due from the person
7 assessed allocable to each of those taxing districts,
8 including a separate statement of the dollar amount of
9 tax due which is allocable to a tax levied under the
10 Illinois Local Library Act or to any other tax levied by
11 a municipality or township for public library purposes,
12 (b) a separate statement for each of the taxing
13 districts of the dollar amount of tax due which is
14 allocable to a tax levied under the Illinois Pension Code
15 or to any other tax levied by a municipality or township
16 for public pension or retirement purposes,
17 (c) the total tax rate,
18 (d) the total amount of tax due, and
19 (e) the amount by which the total tax and the tax
20 allocable to each taxing district differs from the
21 taxpayer's last prior tax bill, and.
22 (f) the amount of tax abated under Section 18-162
23 labeled "Your School Tax Refund".
24 The county treasurer shall ensure that only those taxing
25 districts in which a parcel of property is located shall be
26 listed on the bill for that property.
27 In all counties the statement shall also provide:
28 (1) the property index number or other suitable
29 description,
30 (2) the assessment of the property,
31 (3) the equalization factors imposed by the county
32 and by the Department, and
33 (4) the equalized assessment resulting from the
34 application of the equalization factors to the basic
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1 assessment.
2 In all counties which do not classify property for
3 purposes of taxation, for property on which a single family
4 residence is situated the statement shall also include a
5 statement to reflect the fair cash value determined for the
6 property. In all counties which classify property for
7 purposes of taxation in accordance with Section 4 of Article
8 IX of the Illinois Constitution, for parcels of residential
9 property in the lowest assessment classification the
10 statement shall also include a statement to reflect the fair
11 cash value determined for the property.
12 In counties which use the estimated or accelerated
13 billing methods, these statements shall only be provided with
14 the final installment of taxes due, except that the statement
15 under item (f) shall be included with both installments in
16 those counties under estimated or accelerated billing
17 methods, the first billing showing the amount deducted from
18 the first installment, and the final billing showing the
19 total tax abated for the levy year under Section 18-162. The
20 provisions of this Section create a mandatory statutory duty.
21 They are not merely directory or discretionary. The failure
22 or neglect of the collector to mail the bill, or the failure
23 of the taxpayer to receive the bill, shall not affect the
24 validity of any tax, or the liability for the payment of any
25 tax.
26 (Source: P.A. 87-818; 88-455; incorporates 88-262; 88-670,
27 eff. 12-2-94.)
28 (35 ILCS 200/21-30)
29 Sec. 21-30. Accelerated billing. Except as provided in
30 this Section and Section 21-40, in counties with 3,000,000 or
31 more inhabitants, by January 31 annually, estimated tax bills
32 setting out the first installment of property taxes for the
33 preceding year, payable in that year, shall be prepared and
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1 mailed. The first installment of taxes on the estimated tax
2 bills shall be computed at 50% of the total of each tax bill
3 before the abatement of taxes under Section 18-162 for the
4 preceding year, less an estimate of half of the School Tax
5 Abatement for the current year for eligible parcels and
6 portions of parcels and farm improvements based on a rate
7 calculated by the county clerk by dividing 50% of the amount
8 certified by the Department under Section 7 of the State
9 Revenue Sharing Act to be distributed from the Property Tax
10 Relief Fund for the county's portion of the school district
11 by the equalized assessed valuation used in calculating tax
12 rates for the preceding year under Section 18-45 in the
13 school district in the county of those parcels or portions of
14 parcels or farm improvements eligible for an abatement under
15 this Section. By June 30 annually, actual tax bills shall be
16 prepared and mailed. These bills shall set out total taxes
17 due and the amount of estimated taxes billed in the first
18 installment, and shall state the balance of taxes due for
19 that year as represented by the sum derived from subtracting
20 the amount of the first installment from the total taxes due
21 for that year.
22 The county board may provide by ordinance, in counties
23 with 3,000,000 or more inhabitants, for taxes to be paid in 4
24 installments. For the levy year for which the ordinance is
25 first effective and each subsequent year, estimated tax bills
26 setting out the first, second, and third installment of taxes
27 for the preceding year, payable in that year, shall be
28 prepared and mailed not later than the date specified by
29 ordinance. Each installment on estimated tax bills shall be
30 computed at 25% of the total of each tax bill for the
31 preceding year. By the date specified in the ordinance,
32 actual tax bills shall be prepared and mailed. These bills
33 shall set out total taxes due and the amount of estimated
34 taxes billed in the first, second, and third installments and
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1 shall state the balance of taxes due for that year as
2 represented by the sum derived from subtracting the amount of
3 the estimated installments from the total taxes due for that
4 year.
5 The county board of any county with less than 3,000,000
6 inhabitants may, by ordinance or resolution, adopt an
7 accelerated method of tax billing. The county board may
8 subsequently rescind the ordinance or resolution and revert
9 to the method otherwise provided for in this Code.
10 Taxes levied on homestead property in which a member of
11 the National Guard or reserves of the armed forces of the
12 United States who was called to active duty on or after
13 August 1, 1990, and who has an ownership interest shall not
14 be deemed delinquent and no interest shall accrue or be
15 charged as a penalty on such taxes due and payable in 1991 or
16 1992 until one year after that member returns to civilian
17 status.
18 (Source: P.A. 87-17; 87-340; 87-895; 88-455.)
19 Section 99. Effective date. This Act takes effect July
20 1, 1999.