SB1845 EnrolledLRB102 11986 HLH 17322 b

1    AN ACT concerning revenue.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Property Tax Code is amended by changing
5Sections 21-260, 22-10, and 22-25 as follows:
 
6    (35 ILCS 200/21-260)
7    Sec. 21-260. Collector's scavenger sale. Upon the county
8collector's application under Section 21-145, to be known as
9the Scavenger Sale Application, the Court shall enter judgment
10for the general taxes, special taxes, special assessments,
11interest, penalties and costs as are included in the
12advertisement and appear to be due thereon after allowing an
13opportunity to object and a hearing upon the objections as
14provided in Section 21-175, and order those properties sold by
15the County Collector at public sale to the highest bidder for
16cash, notwithstanding the bid may be less than the full amount
17of taxes, special taxes, special assessments, interest,
18penalties and costs for which judgment has been entered.
19    (a) Conducting the sale - Bidding. All properties shall be
20offered for sale in consecutive order as they appear in the
21delinquent list. The minimum bid for any property shall be
22$250 or one-half of the tax if the total liability is less than
23$500. The successful bidder shall immediately pay the amount

 

 

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1of minimum bid to the County Collector in cash, by certified or
2cashier's check, by money order, or, if the successful bidder
3is a governmental unit, by a check issued by that governmental
4unit. If the bid exceeds the minimum bid, the successful
5bidder shall pay the balance of the bid to the county collector
6in cash, by certified or cashier's check, by money order, or,
7if the successful bidder is a governmental unit, by a check
8issued by that governmental unit by the close of the next
9business day. If the minimum bid is not paid at the time of
10sale or if the balance is not paid by the close of the next
11business day, then the sale is void and the minimum bid, if
12paid, is forfeited to the county general fund. In that event,
13the property shall be reoffered for sale within 30 days of the
14last offering of property in regular order. The collector
15shall make available to the public a list of all properties to
16be included in any reoffering due to the voiding of the
17original sale. The collector is not required to serve or
18publish any other notice of the reoffering of those
19properties. In the event that any of the properties are not
20sold upon reoffering, or are sold for less than the amount of
21the original voided sale, the original bidder who failed to
22pay the bid amount shall remain liable for the unpaid balance
23of the bid in an action under Section 21-240. Liability shall
24not be reduced where the bidder upon reoffering also fails to
25pay the bid amount, and in that event both bidders shall remain
26liable for the unpaid balance of their respective bids. A sale

 

 

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1of properties under this Section shall not be final until
2confirmed by the court.
3    (b) Confirmation of sales. The county collector shall file
4his or her report of sale in the court within 30 days of the
5date of sale of each property. No notice of the county
6collector's application to confirm the sales shall be required
7except as prescribed by rule of the court. Upon confirmation,
8except in cases where the sale becomes void under Section
922-85, or in cases where the order of confirmation is vacated
10by the court, a sale under this Section shall extinguish the in
11rem lien of the general taxes, special taxes and special
12assessments for which judgment has been entered and a
13redemption shall not revive the lien. Confirmation of the sale
14shall in no event affect the owner's personal liability to pay
15the taxes, interest and penalties as provided in this Code or
16prevent institution of a proceeding under Section 21-440 to
17collect any amount that may remain due after the sale.
18    (c) Issuance of tax sale certificates. Upon confirmation
19of the sale the County Clerk and the County Collector shall
20issue to the purchaser a certificate of purchase in the form
21prescribed by Section 21-250 as near as may be. A certificate
22of purchase shall not be issued to any person who is ineligible
23to bid at the sale or to receive a certificate of purchase
24under Section 21-265.
25    (d) Scavenger Tax Judgment, Sale and Redemption Record -
26Sale of parcels not sold. The county collector shall prepare a

 

 

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1Scavenger Tax Judgment, Sale and Redemption Record. The county
2clerk shall write or stamp on the scavenger tax judgment,
3sale, forfeiture and redemption record opposite the
4description of any property offered for sale and not sold, or
5not confirmed for any reason, the words "offered but not
6sold". The properties which are offered for sale under this
7Section and not sold or not confirmed shall be offered for sale
8annually thereafter in the manner provided in this Section
9until sold, except in the case of mineral rights, which after
1010 consecutive years of being offered for sale under this
11Section and not sold or confirmed shall no longer be required
12to be offered for sale. At any time between annual sales the
13County Collector may advertise for sale any properties subject
14to sale under judgments for sale previously entered under this
15Section and not executed for any reason. The advertisement and
16sale shall be regulated by the provisions of this Code as far
17as applicable.
18    (e) Proceeding to tax deed. The owner of the certificate
19of purchase shall give notice as required by Sections 22-5
20through 22-30, and may extend the period of redemption as
21provided by Section 21-385. At any time within 6 months prior
22to expiration of the period of redemption from a sale under
23this Code, the owner of a certificate of purchase may file a
24petition and may obtain a tax deed under Sections 22-30
25through 22-55. Within 30 days from filing of the petition, the
26owner of a certificate must file with the county clerk the

 

 

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1names and addresses of the owners of the property and those
2persons entitled to service of notice at their last known
3addresses. The clerk shall mail notice within 30 days from the
4date of the filing of addresses with the clerk. All
5proceedings for the issuance of a tax deed and all tax deeds
6for properties sold under this Section shall be subject to
7Sections 22-30 through 22-55. Deeds issued under this Section
8are subject to Section 22-70. This Section shall be liberally
9construed so that the deeds provided for in this Section
10convey merchantable title.
11    (f) Redemptions from scavenger sales. Redemptions may be
12made from sales under this Section in the same manner and upon
13the same terms and conditions as redemptions from sales made
14under the County Collector's annual application for judgment
15and order of sale, except that in lieu of penalty the person
16redeeming shall pay interest as follows if the sale occurs
17before September 9, 1993:
18        (1) If redeemed within the first 2 months from the
19    date of the sale, 3% per month or portion thereof upon the
20    amount for which the property was sold;
21        (2) If redeemed between 2 and 6 months from the date of
22    the sale, 12% of the amount for which the property was
23    sold;
24        (3) If redeemed between 6 and 12 months from the date
25    of the sale, 24% of the amount for which the property was
26    sold;

 

 

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1        (4) If redeemed between 12 and 18 months from the date
2    of the sale, 36% of the amount for which the property was
3    sold;
4        (5) If redeemed between 18 and 24 months from the date
5    of the sale, 48% of the amount for which the property was
6    sold;
7        (6) If redeemed after 24 months from the date of sale,
8    the 48% herein provided together with interest at 6% per
9    year thereafter.
10    If the sale occurs on or after September 9, 1993, the
11person redeeming shall pay interest on that part of the amount
12for which the property was sold equal to or less than the full
13amount of delinquent taxes, special assessments, penalties,
14interest, and costs, included in the judgment and order of
15sale as follows:
16        (1) If redeemed within the first 2 months from the
17    date of the sale, 3% per month upon the amount of taxes,
18    special assessments, penalties, interest, and costs due
19    for each of the first 2 months, or fraction thereof.
20        (2) If redeemed at any time between 2 and 6 months from
21    the date of the sale, 12% of the amount of taxes, special
22    assessments, penalties, interest, and costs due.
23        (3) If redeemed at any time between 6 and 12 months
24    from the date of the sale, 24% of the amount of taxes,
25    special assessments, penalties, interest, and costs due.
26        (4) If redeemed at any time between 12 and 18 months

 

 

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1    from the date of the sale, 36% of the amount of taxes,
2    special assessments, penalties, interest, and costs due.
3        (5) If redeemed at any time between 18 and 24 months
4    from the date of the sale, 48% of the amount of taxes,
5    special assessments, penalties, interest, and costs due.
6        (6) If redeemed after 24 months from the date of sale,
7    the 48% provided for the 24 months together with interest
8    at 6% per annum thereafter on the amount of taxes, special
9    assessments, penalties, interest, and costs due.
10    The person redeeming shall not be required to pay any
11interest on any part of the amount for which the property was
12sold that exceeds the full amount of delinquent taxes, special
13assessments, penalties, interest, and costs included in the
14judgment and order of sale.
15    Notwithstanding any other provision of this Section,
16except for owner-occupied single family residential units
17which are condominium units, cooperative units or dwellings,
18the amount required to be paid for redemption shall also
19include an amount equal to all delinquent taxes on the
20property which taxes were delinquent at the time of sale. The
21delinquent taxes shall be apportioned by the county collector
22among the taxing districts in which the property is situated
23in accordance with law. In the event that all moneys received
24from any sale held under this Section exceed an amount equal to
25all delinquent taxes on the property sold, which taxes were
26delinquent at the time of sale, together with all publication

 

 

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1and other costs associated with the sale, then, upon
2redemption, the County Collector and the County Clerk shall
3apply the excess amount to the cost of redemption.
4    (g) Bidding by county or other taxing districts. Any
5taxing district may bid at a scavenger sale. The county board
6of the county in which properties offered for sale under this
7Section are located may bid as trustee for all taxing
8districts having an interest in the taxes for the nonpayment
9of which the parcels are offered. The County shall apply on the
10bid the unpaid taxes due upon the property and no cash need be
11paid. The County or other taxing district acquiring a tax sale
12certificate shall take all steps necessary to acquire title to
13the property and may manage and operate the property so
14acquired.
15    When a county, or other taxing district within the county,
16is a petitioner for a tax deed, no filing fee shall be required
17on the petition. The county as a tax creditor and as trustee
18for other tax creditors, or other taxing district within the
19county shall not be required to allege and prove that all taxes
20and special assessments which become due and payable after the
21sale to the county have been paid. The county shall not be
22required to pay the subsequently accruing taxes or special
23assessments at any time. Upon the written request of the
24county board or its designee, the county collector shall not
25offer the property for sale at any tax sale subsequent to the
26sale of the property to the county under this Section. The lien

 

 

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1of taxes and special assessments which become due and payable
2after a sale to a county shall merge in the fee title of the
3county, or other taxing district, on the issuance of a deed.
4The County may sell the properties so acquired, or the
5certificate of purchase thereto, and the proceeds of the sale
6shall be distributed to the taxing districts in proportion to
7their respective interests therein. The presiding officer of
8the county board, with the advice and consent of the County
9Board, may appoint some officer or person to attend scavenger
10sales and bid on its behalf.
11    (h) Miscellaneous provisions. In the event that the tract
12of land or lot sold at any such sale is not redeemed within the
13time permitted by law and a tax deed is issued, all moneys that
14may be received from the sale of properties in excess of the
15delinquent taxes, together with all publication and other
16costs associated with the sale, shall, upon petition of any
17interested party to the court that issued the tax deed, be
18distributed by the County Collector pursuant to order of the
19court among the persons having legal or equitable interests in
20the property according to the fair value of their interests in
21the tract or lot. Section 21-415 does not apply to properties
22sold under this Section. Appeals may be taken from the orders
23and judgments entered under this Section as in other civil
24cases. The remedy herein provided is in addition to other
25remedies for the collection of delinquent taxes.
26    (i) The changes to this Section made by this amendatory

 

 

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1Act of the 95th General Assembly apply only to matters in which
2a petition for tax deed is filed on or after the effective date
3of this amendatory Act of the 95th General Assembly.
4(Source: P.A. 95-477, eff. 6-1-08.)
 
5    (35 ILCS 200/22-10)
6    Sec. 22-10. Notice of expiration of period of redemption.
7A purchaser or assignee shall not be entitled to a tax deed to
8the property sold unless, not less than 3 months nor more than
96 months prior to the expiration of the period of redemption,
10he or she gives notice of the sale and the date of expiration
11of the period of redemption to the owners, occupants, and
12parties interested in the property, including any mortgagee of
13record, as provided below. The clerk must mail notice in
14accordance with provisions of subsection (e) of Section
1521-260.
16    The Notice to be given to the parties shall be in at least
1710 point type in the following form completely filled in:
18TAX DEED NO. .................... FILED ....................
19
TAKE NOTICE
20    County of ...............................................
21    Date Premises Sold ......................................
22    Certificate No. ........................................
23    Sold for General Taxes of (year) ........................
24    Sold for Special Assessment of (Municipality)
25    and special assessment number ...........................

 

 

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1    Warrant No. ................ Inst. No. .................
2
THIS PROPERTY HAS BEEN SOLD FOR
3
DELINQUENT TAXES
4Property located at .........................................
5Legal Description or Property Index No. .....................
6.............................................................
7.............................................................
8    This notice is to advise you that the above property has
9been sold for delinquent taxes and that the period of
10redemption from the sale will expire on .....................
11.............................................................
12    The amount to redeem is subject to increase at 6 month
13intervals from the date of sale and may be further increased if
14the purchaser at the tax sale or his or her assignee pays any
15subsequently accruing taxes or special assessments to redeem
16the property from subsequent forfeitures or tax sales. Check
17with the county clerk as to the exact amount you owe before
18redeeming.
19    This notice is also to advise you that a petition has been
20filed for a tax deed which will transfer title and the right to
21possession of this property if redemption is not made on or
22before ......................................................
23    This matter is set for hearing in the Circuit Court of this
24county in ...., Illinois on .....
25    You may be present at this hearing but your right to redeem
26will already have expired at that time.

 

 

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1
YOU ARE URGED TO REDEEM IMMEDIATELY
2
TO PREVENT LOSS OF PROPERTY
3    Redemption can be made at any time on or before .... by
4applying to the County Clerk of ...., County, Illinois at the
5Office of the County Clerk in ...., Illinois.
6    For further information contact the County Clerk
7ADDRESS:....................
8TELEPHONE:..................
 
9
..........................
10
Purchaser or Assignee.
11
Dated (insert date).

 
12    In counties with 3,000,000 or more inhabitants, the notice
13shall also state the address, room number and time at which the
14matter is set for hearing.
15    The changes to this Section made by this amendatory Act of
16the 97th General Assembly apply only to matters in which a
17petition for tax deed is filed on or after the effective date
18of this amendatory Act of the 97th General Assembly.
19(Source: P.A. 97-557, eff. 7-1-12.)
 
20    (35 ILCS 200/22-25)
21    Sec. 22-25. Mailed notice. In addition to the notice
22required to be served not less than 3 months nor more than 6
23months prior to the expiration of the period of redemption,

 

 

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1the purchaser or his or her assignee shall prepare and deliver
2to the clerk of the Circuit Court of the county in which the
3property is located, the notice provided for in this Section,
4together with the statutory costs for mailing the notice by
5certified mail, return receipt requested, as provided in
6subsection (e) of Section 21-260. The form of notice to be
7mailed by the clerk shall be identical in form to that provided
8by Section 22-10 for service upon owners residing upon the
9property sold, except that it shall bear the signature of the
10clerk instead of the name of the purchaser or assignee and
11shall designate the parties to whom it is to be mailed. The
12clerk may furnish the form. The clerk shall promptly mail the
13notices delivered to him or her by certified mail, return
14receipt requested. The certificate of the clerk that he or she
15has mailed the notices, together with the return receipts,
16shall be filed in and made a part of the court record. The
17notices shall be mailed to the owners of the property at their
18last known addresses, and to those persons who are entitled to
19service of notice as occupants.
20    The changes to this Section made by this amendatory Act of
21the 97th General Assembly shall be construed as being
22declaratory of existing law and not as a new enactment.
23(Source: P.A. 97-557, eff. 7-1-12.)