Rep. Michael J. Zalewski

Filed: 5/24/2012

 

 


 

 


 
09700HB4239ham005LRB097 15221 HLH 70097 a

1
AMENDMENT TO HOUSE BILL 4239

2    AMENDMENT NO. ______. Amend House Bill 4239 by replacing
3everything after the enacting clause with the following:
 
4    "Section 5. The Property Tax Code is amended by changing
5Sections 15-175 and 21-205 as follows:
 
6    (35 ILCS 200/15-175)
7    Sec. 15-175. General homestead exemption.
8    (a) Except as provided in Sections 15-176 and 15-177,
9homestead property is entitled to an annual homestead exemption
10limited, except as described here with relation to
11cooperatives, to a reduction in the equalized assessed value of
12homestead property equal to the increase in equalized assessed
13value for the current assessment year above the equalized
14assessed value of the property for 1977, up to the maximum
15reduction set forth below. If however, the 1977 equalized
16assessed value upon which taxes were paid is subsequently

 

 

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1determined by local assessing officials, the Property Tax
2Appeal Board, or a court to have been excessive, the equalized
3assessed value which should have been placed on the property
4for 1977 shall be used to determine the amount of the
5exemption.
6    (b) Except as provided in Section 15-176, the maximum
7reduction before taxable year 2004 shall be $4,500 in counties
8with 3,000,000 or more inhabitants and $3,500 in all other
9counties. Except as provided in Sections 15-176 and 15-177, for
10taxable years 2004 through 2007, the maximum reduction shall be
11$5,000, for taxable year 2008, the maximum reduction is $5,500,
12and, for taxable years 2009 and thereafter, the maximum
13reduction is $6,000 in all counties. If a county has elected to
14subject itself to the provisions of Section 15-176 as provided
15in subsection (k) of that Section, then, for the first taxable
16year only after the provisions of Section 15-176 no longer
17apply, for owners who, for the taxable year, have not been
18granted a senior citizens assessment freeze homestead
19exemption under Section 15-172 or a long-time occupant
20homestead exemption under Section 15-177, there shall be an
21additional exemption of $5,000 for owners with a household
22income of $30,000 or less.
23    (c) In counties with fewer than 3,000,000 inhabitants, if,
24based on the most recent assessment, the equalized assessed
25value of the homestead property for the current assessment year
26is greater than the equalized assessed value of the property

 

 

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1for 1977, the owner of the property shall automatically receive
2the exemption granted under this Section in an amount equal to
3the increase over the 1977 assessment up to the maximum
4reduction set forth in this Section.
5    (d) If in any assessment year beginning with the 2000
6assessment year, homestead property has a pro-rata valuation
7under Section 9-180 resulting in an increase in the assessed
8valuation, a reduction in equalized assessed valuation equal to
9the increase in equalized assessed value of the property for
10the year of the pro-rata valuation above the equalized assessed
11value of the property for 1977 shall be applied to the property
12on a proportionate basis for the period the property qualified
13as homestead property during the assessment year. The maximum
14proportionate homestead exemption shall not exceed the maximum
15homestead exemption allowed in the county under this Section
16divided by 365 and multiplied by the number of days the
17property qualified as homestead property.
18    (e) An exemption shall not be granted under this Section
19for leasehold interests in property unless all of the following
20conditions are met:
21        (1) a notarized application, signed by the owner of the
22    property and the lessee of the property, for the exemption
23    is submitted each year during the application period in
24    effect for the county in which the property is located;
25        (2) a copy of the lease is filed with the chief county
26    assessment officer by the owner of the property at the time

 

 

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1    the notarized application is submitted;
2        (3) the lease expressly states that the lessee is
3    liable for the payment of property taxes; and
4        (4) the lease includes the following language in
5    substantially the following form:
6            "Lessee shall be liable for the payment of real
7        estate taxes with respect to the residence in
8        accordance with the terms and conditions of 35 ILCS
9        200/15-175. The permanent real estate index number for
10        the premises is (insert number), and, according to the
11        most recent property tax bill, the current amount of
12        real estate taxes associated with the premises is
13        (insert amount) per year. The parties agree that the
14        monthly rent set forth above shall be increased or
15        decreased pro rata (effective January 1 of each
16        calendar year) to reflect any increase or decrease in
17        real estate taxes. Lessee shall be deemed to be
18        satisfying Lessee's liability for the above mentioned
19        real estate taxes with the monthly rent payments as set
20        forth above (or increased or decreased as set forth
21        herein)."
22    If there is a change in lessee, or if the lessee vacates
23the property, then the owner of the property shall notify the
24chief county assessment officer within 30 days after the
25effective date of that change.
26    The requirements of this subsection (e) do not apply to

 

 

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1leasehold interests in property owned by a municipality.
2    This subsection (e) is a limitation under subsection (i) of
3Section 6 of Article VII of the Illinois Constitution on the
4concurrent exercise by home rule units of powers and functions
5exercised by the State.
6    (f) "Homestead property" under this Section includes
7residential property that is occupied by its owner or owners as
8his or their principal dwelling place, or that is a leasehold
9interest on which a single family residence is situated, which
10is occupied as a residence by a person who has an ownership
11interest therein, legal or equitable or as a lessee, and on
12which the person is liable for the payment of property taxes.
13For land improved with an apartment building owned and operated
14as a cooperative or a building which is a life care facility as
15defined in Section 15-170 and considered to be a cooperative
16under Section 15-170, the maximum reduction from the equalized
17assessed value shall be limited to the increase in the value
18above the equalized assessed value of the property for 1977, up
19to the maximum reduction set forth above, multiplied by the
20number of apartments or units occupied by a person or persons
21who is liable, by contract with the owner or owners of record,
22for paying property taxes on the property and is an owner of
23record of a legal or equitable interest in the cooperative
24apartment building, other than a leasehold interest. For
25purposes of this Section, the term "life care facility" has the
26meaning stated in Section 15-170.

 

 

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1    "Household", as used in this Section, means the owner, the
2spouse of the owner, and all persons using the residence of the
3owner as their principal place of residence.
4    "Household income", as used in this Section, means the
5combined income of the members of a household for the calendar
6year preceding the taxable year.
7    "Income", as used in this Section, has the same meaning as
8provided in Section 3.07 of the Senior Citizens and Disabled
9Persons Property Tax Relief and Pharmaceutical Assistance Act,
10except that "income" does not include veteran's benefits.
11    (g) In a cooperative where a homestead exemption has been
12granted, the cooperative association or its management firm
13shall credit the savings resulting from that exemption only to
14the apportioned tax liability of the owner who qualified for
15the exemption. Any person who willfully refuses to so credit
16the savings shall be guilty of a Class B misdemeanor.
17    (h) Where married persons maintain and reside in separate
18residences qualifying as homestead property, each residence
19shall receive 50% of the total reduction in equalized assessed
20valuation provided by this Section.
21    (i) In all counties, the assessor or chief county
22assessment officer may determine the eligibility of
23residential property to receive the homestead exemption and the
24amount of the exemption by application, visual inspection,
25questionnaire or other reasonable methods. The determination
26shall be made in accordance with guidelines established by the

 

 

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1Department, provided that the taxpayer applying for an
2additional general exemption under this Section shall submit to
3the chief county assessment officer an application with an
4affidavit of the applicant's total household income, age,
5marital status (and, if married, the name and address of the
6applicant's spouse, if known), and principal dwelling place of
7members of the household on January 1 of the taxable year. The
8Department shall issue guidelines establishing a method for
9verifying the accuracy of the affidavits filed by applicants
10under this paragraph. The applications shall be clearly marked
11as applications for the Additional General Homestead
12Exemption.
13    (j) In counties with fewer than 3,000,000 inhabitants, in
14the event of a sale of homestead property the homestead
15exemption shall remain in effect for the remainder of the
16assessment year of the sale. The assessor or chief county
17assessment officer may require the new owner of the property to
18apply for the homestead exemption for the following assessment
19year.
20    (k) Notwithstanding Sections 6 and 8 of the State Mandates
21Act, no reimbursement by the State is required for the
22implementation of any mandate created by this Section.
23(Source: P.A. 95-644, eff. 10-12-07.)
 
24    (35 ILCS 200/21-205)
25    (Text of Section before amendment by P.A. 97-557)

 

 

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1    Sec. 21-205. Tax sale procedures. The collector, in person
2or by deputy, shall attend, on the day and in the place
3specified in the notice for the sale of property for taxes, and
4shall, between 9:00 a.m. and 4:00 p.m., or later at the
5collector's discretion, proceed to offer for sale, separately
6and in consecutive order, all property in the list on which the
7taxes, special assessments, interest or costs have not been
8paid. However, in any county with 3,000,000 or more
9inhabitants, the offer for sale shall be made between 8:00 a.m.
10and 8:00 p.m. The collector's office shall be kept open during
11all hours in which the sale is in progress. The sale shall be
12continued from day to day, until all property in the delinquent
13list has been offered for sale. However, any city, village or
14incorporated town interested in the collection of any tax or
15special assessment, may, in default of bidders, withdraw from
16collection the special assessment levied against any property
17by the corporate authorities of the city, village or
18incorporated town. In case of a withdrawal, there shall be no
19sale of that property on account of the delinquent special
20assessment thereon.
21    In every sale of property pursuant to the provisions of
22this Code, the collector may employ any automated means that
23the collector deems appropriate, provided that bidders are
24required to personally attend the sale. The changes made by
25this amendatory Act of the 94th General Assembly are
26declarative of existing law.

 

 

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1(Source: P.A. 94-922, eff. 1-1-07.)
 
2    (Text of Section after amendment by P.A. 97-557)
3    Sec. 21-205. Tax sale procedures. The collector, in person
4or by deputy, shall attend, on the day and in the place
5specified in the notice for the sale of property for taxes, and
6shall, between 9:00 a.m. and 4:00 p.m., or later at the
7collector's discretion, proceed to offer for sale, separately
8and in consecutive order, all property in the list on which the
9taxes, special assessments, interest or costs have not been
10paid. However, in any county with 3,000,000 or more
11inhabitants, the offer for sale shall be made between 8:00 a.m.
12and 8:00 p.m. The collector's office shall be kept open during
13all hours in which the sale is in progress. The sale shall be
14continued from day to day, until all property in the delinquent
15list has been offered for sale. However, any city, village or
16incorporated town interested in the collection of any tax or
17special assessment, may, in default of bidders, withdraw from
18collection the special assessment levied against any property
19by the corporate authorities of the city, village or
20incorporated town. In case of a withdrawal, there shall be no
21sale of that property on account of the delinquent special
22assessment thereon.
23    Until January 1, 2013 the effective date of this amendatory
24Act of the 97th General Assembly, in every sale of property
25pursuant to the provisions of this Code, the collector may

 

 

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1employ any automated means that the collector deems
2appropriate. Beginning on January 1, 2013 the effective date of
3this amendatory Act of the 97th General Assembly, either (i)
4the collector shall employ an automated bidding system that is
5programmed to accept the lowest redemption price bid by an
6eligible tax purchaser, subject to the penalty percentage
7limitation set forth in Section 21-215, or (ii) all tax sales
8shall be digitally recorded with video and audio. All bidders
9are required to personally attend the sale and, if automated
10means are used, all hardware and software used with respect to
11those automated means must be certified by the Department and
12re-certified by the Department every 5 years. If the tax sales
13are digitally recorded and no automated bidding system is used,
14then the recordings shall be maintained by the collector for a
15period of at least 3 years from the date of the tax sale. The
16changes made by this amendatory Act of the 94th General
17Assembly are declarative of existing law.
18(Source: P.A. 97-557, eff. 7-1-12.)
 
19    Section 95. No acceleration or delay. Where this Act makes
20changes in a statute that is represented in this Act by text
21that is not yet or no longer in effect (for example, a Section
22represented by multiple versions), the use of that text does
23not accelerate or delay the taking effect of (i) the changes
24made by this Act or (ii) provisions derived from any other
25Public Act.
 

 

 

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1    Section 99. Effective date. This Act takes effect upon
2becoming law.".