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Full Text of HB0179  102nd General Assembly

HB0179 102ND GENERAL ASSEMBLY

  
  

 


 
102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
HB0179

 

Introduced 1/22/2021, by Rep. Rita Mayfield

 

SYNOPSIS AS INTRODUCED:
 
35 ILCS 200/20-15
65 ILCS 5/11-74.4-3  from Ch. 24, par. 11-74.4-3
65 ILCS 5/11-74.4-3.7 new
65 ILCS 5/11-74.4-4  from Ch. 24, par. 11-74.4-4
65 ILCS 5/11-74.4-5  from Ch. 24, par. 11-74.4-5

    Amends the Property Tax Code. Provides that there shall be printed on each tax bill, or on a separate slip mailed with a tax bill, each taxing district affected by revenues received by a tax increment financing district. Amends the Tax Increment Allocation Redevelopment Act of the Illinois Municipal Code. Revises the definition of "blighted area": (1) to require that a reasonable person would conclude that each factor of a blighted area is present to a meaningful extent so that a municipality may reasonably find that the factor is clearly present, is reasonably distributed throughout the improved or vacant part of the redevelopment project area, and that public intervention is necessary to address the factor; and (2) to provide that a "blighted area" does not include any area within another redevelopment project area. Provides that a municipality must reevaluate whether a redevelopment project area designated as a blighted area is still a blighted area every 10th calendar year after the year in which the ordinance approving the redevelopment project area was adopted, redesignating the redevelopment project area as a blighted area if it meets the requirements or discontinuing the redevelopment project area if it does not meet the requirements. Limits where municipalities may jointly undertake plans or utilize revenues in contiguous redevelopment projects areas.


LRB102 03584 AWJ 13597 b

FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB0179LRB102 03584 AWJ 13597 b

1    AN ACT concerning local government.
 
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
5Section 20-15 as follows:
 
6    (35 ILCS 200/20-15)
7    Sec. 20-15. Information on bill or separate statement.
8There shall be printed on each bill, or on a separate slip
9which shall be mailed with the bill:
10        (a) a statement itemizing the rate at which taxes have
11    been extended for each of the taxing districts in the
12    county in whose district the property is located, and in
13    those counties utilizing electronic data processing
14    equipment the dollar amount of tax due from the person
15    assessed allocable to each of those taxing districts,
16    including a separate statement of the dollar amount of tax
17    due which is allocable to a tax levied under the Illinois
18    Local Library Act or to any other tax levied by a
19    municipality or township for public library purposes,
20        (b) a separate statement for each of the taxing
21    districts of the dollar amount of tax due which is
22    allocable to a tax levied under the Illinois Pension Code
23    or to any other tax levied by a municipality or township

 

 

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1    for public pension or retirement purposes,
2        (b-5) a list of each tax increment financing (TIF)
3    district in which the property is located, and the dollar
4    amount of tax due that is allocable to the TIF district,
5    and each taxing district affected by revenues received by
6    a TIF district,
7        (c) the total tax rate,
8        (d) the total amount of tax due, and
9        (e) the amount by which the total tax and the tax
10    allocable to each taxing district differs from the
11    taxpayer's last prior tax bill.
12    The county treasurer shall ensure that only those taxing
13districts in which a parcel of property is located shall be
14listed on the bill for that property.
15    In all counties the statement shall also provide:
16        (1) the property index number or other suitable
17    description,
18        (2) the assessment of the property,
19        (3) the statutory amount of each homestead exemption
20    applied to the property,
21        (4) the assessed value of the property after
22    application of all homestead exemptions,
23        (5) the equalization factors imposed by the county and
24    by the Department, and
25        (6) the equalized assessment resulting from the
26    application of the equalization factors to the basic

 

 

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1    assessment.
2    In all counties which do not classify property for
3purposes of taxation, for property on which a single family
4residence is situated the statement shall also include a
5statement to reflect the fair cash value determined for the
6property. In all counties which classify property for purposes
7of taxation in accordance with Section 4 of Article IX of the
8Illinois Constitution, for parcels of residential property in
9the lowest assessment classification the statement shall also
10include a statement to reflect the fair cash value determined
11for the property.
12    In all counties, the statement must include information
13that certain taxpayers may be eligible for tax exemptions,
14abatements, and other assistance programs and that, for more
15information, taxpayers should consult with the office of their
16township or county assessor and with the Illinois Department
17of Revenue.
18    In counties which use the estimated or accelerated billing
19methods, these statements shall only be provided with the
20final installment of taxes due. The provisions of this Section
21create a mandatory statutory duty. They are not merely
22directory or discretionary. The failure or neglect of the
23collector to mail the bill, or the failure of the taxpayer to
24receive the bill, shall not affect the validity of any tax, or
25the liability for the payment of any tax.
26(Source: P.A. 100-621, eff. 7-20-18; 101-134, eff. 7-26-19.)
 

 

 

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1    Section 10. The Illinois Municipal Code is amended by
2changing Sections 11-74.4-3, 11-74.4-4, and 11-74.4-5 and by
3adding Section 11-74.4-3.7 as follows:
 
4    (65 ILCS 5/11-74.4-3)  (from Ch. 24, par. 11-74.4-3)
5    Sec. 11-74.4-3. Definitions. The following terms, wherever
6used or referred to in this Division 74.4 shall have the
7following respective meanings, unless in any case a different
8meaning clearly appears from the context.
9    (a) For any redevelopment project area that has been
10designated pursuant to this Section by an ordinance adopted
11prior to the effective date of this amendatory Act of the 102nd
12General Assembly November 1, 1999 (the effective date of
13Public Act 91-478), "blighted area" shall have the meaning set
14forth in this Section prior to that date.
15    On and after the effective date of this amendatory Act of
16the 102nd General Assembly November 1, 1999, "blighted area"
17means any improved or vacant area within the boundaries of a
18redevelopment project area located within the territorial
19limits of the municipality where:
20        (1) If improved, industrial, commercial, and
21    residential buildings or improvements are detrimental to
22    the public safety, health, or welfare because of a
23    combination of 5 or more of the following factors, each of
24    which a reasonable person would conclude is (i) is

 

 

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1    present, with that presence documented, to a meaningful
2    extent so that a municipality may reasonably find that the
3    factor is clearly present within the intent of the Act,
4    and (ii) is reasonably distributed throughout the improved
5    part of the redevelopment project area, and (iii) that
6    public intervention is necessary to address the factor:
7            (A) Dilapidation. An advanced state of disrepair
8        or neglect of necessary repairs to the primary
9        structural components of buildings or improvements in
10        such a combination that a documented building
11        condition analysis determines that major repair is
12        required or the defects are so serious and so
13        extensive that the buildings must be removed.
14            (B) Obsolescence. The condition or process of
15        falling into disuse. Structures have become ill-suited
16        for the original use.
17            (C) Deterioration. With respect to buildings,
18        defects including, but not limited to, major defects
19        in the secondary building components such as doors,
20        windows, porches, gutters and downspouts, and fascia.
21        With respect to surface improvements, that the
22        condition of roadways, alleys, curbs, gutters,
23        sidewalks, off-street parking, and surface storage
24        areas evidence deterioration, including, but not
25        limited to, surface cracking, crumbling, potholes,
26        depressions, loose paving material, and weeds

 

 

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1        protruding through paved surfaces.
2            (D) Presence of structures below minimum code
3        standards. All structures that do not meet the
4        standards of zoning, subdivision, building, fire, and
5        other governmental codes applicable to property, but
6        not including housing and property maintenance codes.
7            (E) Illegal use of individual structures. The use
8        of structures in violation of applicable federal,
9        State, or local laws, exclusive of those applicable to
10        the presence of structures below minimum code
11        standards.
12            (F) Excessive vacancies. The presence of buildings
13        that are unoccupied or under-utilized and that
14        represent an adverse influence on the area because of
15        the frequency, extent, or duration of the vacancies.
16            (G) Lack of ventilation, light, or sanitary
17        facilities. The absence of adequate ventilation for
18        light or air circulation in spaces or rooms without
19        windows, or that require the removal of dust, odor,
20        gas, smoke, or other noxious airborne materials.
21        Inadequate natural light and ventilation means the
22        absence of skylights or windows for interior spaces or
23        rooms and improper window sizes and amounts by room
24        area to window area ratios. Inadequate sanitary
25        facilities refers to the absence or inadequacy of
26        garbage storage and enclosure, bathroom facilities,

 

 

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1        hot water and kitchens, and structural inadequacies
2        preventing ingress and egress to and from all rooms
3        and units within a building.
4            (H) Inadequate utilities. Underground and overhead
5        utilities such as storm sewers and storm drainage,
6        sanitary sewers, water lines, and gas, telephone, and
7        electrical services that are shown to be inadequate.
8        Inadequate utilities are those that are: (i) of
9        insufficient capacity to serve the uses in the
10        redevelopment project area, (ii) deteriorated,
11        antiquated, obsolete, or in disrepair, or (iii)
12        lacking within the redevelopment project area.
13            (I) Excessive land coverage and overcrowding of
14        structures and community facilities. The
15        over-intensive use of property and the crowding of
16        buildings and accessory facilities onto a site.
17        Examples of problem conditions warranting the
18        designation of an area as one exhibiting excessive
19        land coverage are: (i) the presence of buildings
20        either improperly situated on parcels or located on
21        parcels of inadequate size and shape in relation to
22        present-day standards of development for health and
23        safety and (ii) the presence of multiple buildings on
24        a single parcel. For there to be a finding of excessive
25        land coverage, these parcels must exhibit one or more
26        of the following conditions: insufficient provision

 

 

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1        for light and air within or around buildings,
2        increased threat of spread of fire due to the close
3        proximity of buildings, lack of adequate or proper
4        access to a public right-of-way, lack of reasonably
5        required off-street parking, or inadequate provision
6        for loading and service.
7            (J) Deleterious land use or layout. The existence
8        of incompatible land-use relationships, buildings
9        occupied by inappropriate mixed-uses, or uses
10        considered to be noxious, offensive, or unsuitable for
11        the surrounding area.
12            (K) Environmental clean-up. The proposed
13        redevelopment project area has incurred Illinois
14        Environmental Protection Agency or United States
15        Environmental Protection Agency remediation costs for,
16        or a study conducted by an independent consultant
17        recognized as having expertise in environmental
18        remediation has determined a need for, the clean-up of
19        hazardous waste, hazardous substances, or underground
20        storage tanks required by State or federal law,
21        provided that the remediation costs constitute a
22        material impediment to the development or
23        redevelopment of the redevelopment project area.
24            (L) Lack of community planning. The proposed
25        redevelopment project area was developed prior to or
26        without the benefit or guidance of a community plan.

 

 

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1        This means that the development occurred prior to the
2        adoption by the municipality of a comprehensive or
3        other community plan or that the plan was not followed
4        at the time of the area's development. This factor
5        must be documented by evidence of adverse or
6        incompatible land-use relationships, inadequate street
7        layout, improper subdivision, parcels of inadequate
8        shape and size to meet contemporary development
9        standards, or other evidence demonstrating an absence
10        of effective community planning.
11            (M) The total equalized assessed value of the
12        proposed redevelopment project area has declined for 3
13        of the last 5 calendar years prior to the year in which
14        the redevelopment project area is designated or is
15        increasing at an annual rate that is less than the
16        balance of the municipality for 3 of the last 5
17        calendar years for which information is available or
18        is increasing at an annual rate that is less than the
19        Consumer Price Index for All Urban Consumers published
20        by the United States Department of Labor or successor
21        agency for 3 of the last 5 calendar years prior to the
22        year in which the redevelopment project area is
23        designated.
24        (2) If vacant, the sound growth of the redevelopment
25    project area is impaired by a combination of 2 or more of
26    the following factors, each of which a reasonable person

 

 

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1    would conclude is (i) is present, with that presence
2    documented, to a meaningful extent so that a municipality
3    may reasonably find that the factor is clearly present
4    within the intent of the Act, and (ii) is reasonably
5    distributed throughout the vacant part of the
6    redevelopment project area to which it pertains, and (iii)
7    that public intervention is necessary to address the
8    factor:
9            (A) Obsolete platting of vacant land that results
10        in parcels of limited or narrow size or configurations
11        of parcels of irregular size or shape that would be
12        difficult to develop on a planned basis and in a manner
13        compatible with contemporary standards and
14        requirements, or platting that failed to create
15        rights-of-ways for streets or alleys or that created
16        inadequate right-of-way widths for streets, alleys, or
17        other public rights-of-way or that omitted easements
18        for public utilities.
19            (B) Diversity of ownership of parcels of vacant
20        land sufficient in number to retard or impede the
21        ability to assemble the land for development.
22            (C) Tax and special assessment delinquencies exist
23        or the property has been the subject of tax sales under
24        the Property Tax Code within the last 5 years.
25            (D) Deterioration of structures or site
26        improvements in neighboring areas adjacent to the

 

 

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1        vacant land.
2            (E) The area has incurred Illinois Environmental
3        Protection Agency or United States Environmental
4        Protection Agency remediation costs for, or a study
5        conducted by an independent consultant recognized as
6        having expertise in environmental remediation has
7        determined a need for, the clean-up of hazardous
8        waste, hazardous substances, or underground storage
9        tanks required by State or federal law, provided that
10        the remediation costs constitute a material impediment
11        to the development or redevelopment of the
12        redevelopment project area.
13            (F) The total equalized assessed value of the
14        proposed redevelopment project area has declined for 3
15        of the last 5 calendar years prior to the year in which
16        the redevelopment project area is designated or is
17        increasing at an annual rate that is less than the
18        balance of the municipality for 3 of the last 5
19        calendar years for which information is available or
20        is increasing at an annual rate that is less than the
21        Consumer Price Index for All Urban Consumers published
22        by the United States Department of Labor or successor
23        agency for 3 of the last 5 calendar years prior to the
24        year in which the redevelopment project area is
25        designated.
26        (3) If vacant, the sound growth of the redevelopment

 

 

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1    project area is impaired by one of the following factors
2    that a reasonable person would conclude (i) is present,
3    with that presence documented, to a meaningful extent so
4    that a municipality may reasonably find that the factor is
5    clearly present within the intent of the Act, and (ii) is
6    reasonably distributed throughout the vacant part of the
7    redevelopment project area to which it pertains, and (iii)
8    that public intervention is necessary to address the
9    factor:
10            (A) The area consists of one or more unused
11        quarries, mines, or strip mine ponds.
12            (B) The area consists of unused rail yards, rail
13        tracks, or railroad rights-of-way.
14            (C) The area, prior to its designation, is subject
15        to (i) chronic flooding that adversely impacts on real
16        property in the area as certified by a registered
17        professional engineer or appropriate regulatory agency
18        or (ii) surface water that discharges from all or a
19        part of the area and contributes to flooding within
20        the same watershed, but only if the redevelopment
21        project provides for facilities or improvements to
22        contribute to the alleviation of all or part of the
23        flooding.
24            (D) The area consists of an unused or illegal
25        disposal site containing earth, stone, building
26        debris, or similar materials that were removed from

 

 

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1        construction, demolition, excavation, or dredge sites.
2            (E) Prior to November 1, 1999, the area is not less
3        than 50 nor more than 100 acres and 75% of which is
4        vacant (notwithstanding that the area has been used
5        for commercial agricultural purposes within 5 years
6        prior to the designation of the redevelopment project
7        area), and the area meets at least one of the factors
8        itemized in paragraph (1) of this subsection, the area
9        has been designated as a town or village center by
10        ordinance or comprehensive plan adopted prior to
11        January 1, 1982, and the area has not been developed
12        for that designated purpose.
13            (F) The area qualified as a blighted improved area
14        immediately prior to becoming vacant, unless there has
15        been substantial private investment in the immediately
16        surrounding area.
17    "Blighted area" does not include any area within another
18redevelopment project area.
19    (b) For any redevelopment project area that has been
20designated pursuant to this Section by an ordinance adopted
21prior to November 1, 1999 (the effective date of Public Act
2291-478), "conservation area" shall have the meaning set forth
23in this Section prior to that date.
24    On and after November 1, 1999, "conservation area" means
25any improved area within the boundaries of a redevelopment
26project area located within the territorial limits of the

 

 

HB0179- 14 -LRB102 03584 AWJ 13597 b

1municipality in which 50% or more of the structures in the area
2have an age of 35 years or more. Such an area is not yet a
3blighted area but because of a combination of 3 or more of the
4following factors is detrimental to the public safety, health,
5morals or welfare and such an area may become a blighted area:
6        (1) Dilapidation. An advanced state of disrepair or
7    neglect of necessary repairs to the primary structural
8    components of buildings or improvements in such a
9    combination that a documented building condition analysis
10    determines that major repair is required or the defects
11    are so serious and so extensive that the buildings must be
12    removed.
13        (2) Obsolescence. The condition or process of falling
14    into disuse. Structures have become ill-suited for the
15    original use.
16        (3) Deterioration. With respect to buildings, defects
17    including, but not limited to, major defects in the
18    secondary building components such as doors, windows,
19    porches, gutters and downspouts, and fascia. With respect
20    to surface improvements, that the condition of roadways,
21    alleys, curbs, gutters, sidewalks, off-street parking, and
22    surface storage areas evidence deterioration, including,
23    but not limited to, surface cracking, crumbling, potholes,
24    depressions, loose paving material, and weeds protruding
25    through paved surfaces.
26        (4) Presence of structures below minimum code

 

 

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1    standards. All structures that do not meet the standards
2    of zoning, subdivision, building, fire, and other
3    governmental codes applicable to property, but not
4    including housing and property maintenance codes.
5        (5) Illegal use of individual structures. The use of
6    structures in violation of applicable federal, State, or
7    local laws, exclusive of those applicable to the presence
8    of structures below minimum code standards.
9        (6) Excessive vacancies. The presence of buildings
10    that are unoccupied or under-utilized and that represent
11    an adverse influence on the area because of the frequency,
12    extent, or duration of the vacancies.
13        (7) Lack of ventilation, light, or sanitary
14    facilities. The absence of adequate ventilation for light
15    or air circulation in spaces or rooms without windows, or
16    that require the removal of dust, odor, gas, smoke, or
17    other noxious airborne materials. Inadequate natural light
18    and ventilation means the absence or inadequacy of
19    skylights or windows for interior spaces or rooms and
20    improper window sizes and amounts by room area to window
21    area ratios. Inadequate sanitary facilities refers to the
22    absence or inadequacy of garbage storage and enclosure,
23    bathroom facilities, hot water and kitchens, and
24    structural inadequacies preventing ingress and egress to
25    and from all rooms and units within a building.
26        (8) Inadequate utilities. Underground and overhead

 

 

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1    utilities such as storm sewers and storm drainage,
2    sanitary sewers, water lines, and gas, telephone, and
3    electrical services that are shown to be inadequate.
4    Inadequate utilities are those that are: (i) of
5    insufficient capacity to serve the uses in the
6    redevelopment project area, (ii) deteriorated, antiquated,
7    obsolete, or in disrepair, or (iii) lacking within the
8    redevelopment project area.
9        (9) Excessive land coverage and overcrowding of
10    structures and community facilities. The over-intensive
11    use of property and the crowding of buildings and
12    accessory facilities onto a site. Examples of problem
13    conditions warranting the designation of an area as one
14    exhibiting excessive land coverage are: the presence of
15    buildings either improperly situated on parcels or located
16    on parcels of inadequate size and shape in relation to
17    present-day standards of development for health and safety
18    and the presence of multiple buildings on a single parcel.
19    For there to be a finding of excessive land coverage,
20    these parcels must exhibit one or more of the following
21    conditions: insufficient provision for light and air
22    within or around buildings, increased threat of spread of
23    fire due to the close proximity of buildings, lack of
24    adequate or proper access to a public right-of-way, lack
25    of reasonably required off-street parking, or inadequate
26    provision for loading and service.

 

 

HB0179- 17 -LRB102 03584 AWJ 13597 b

1        (10) Deleterious land use or layout. The existence of
2    incompatible land-use relationships, buildings occupied by
3    inappropriate mixed-uses, or uses considered to be
4    noxious, offensive, or unsuitable for the surrounding
5    area.
6        (11) Lack of community planning. The proposed
7    redevelopment project area was developed prior to or
8    without the benefit or guidance of a community plan. This
9    means that the development occurred prior to the adoption
10    by the municipality of a comprehensive or other community
11    plan or that the plan was not followed at the time of the
12    area's development. This factor must be documented by
13    evidence of adverse or incompatible land-use
14    relationships, inadequate street layout, improper
15    subdivision, parcels of inadequate shape and size to meet
16    contemporary development standards, or other evidence
17    demonstrating an absence of effective community planning.
18        (12) The area has incurred Illinois Environmental
19    Protection Agency or United States Environmental
20    Protection Agency remediation costs for, or a study
21    conducted by an independent consultant recognized as
22    having expertise in environmental remediation has
23    determined a need for, the clean-up of hazardous waste,
24    hazardous substances, or underground storage tanks
25    required by State or federal law, provided that the
26    remediation costs constitute a material impediment to the

 

 

HB0179- 18 -LRB102 03584 AWJ 13597 b

1    development or redevelopment of the redevelopment project
2    area.
3        (13) The total equalized assessed value of the
4    proposed redevelopment project area has declined for 3 of
5    the last 5 calendar years for which information is
6    available or is increasing at an annual rate that is less
7    than the balance of the municipality for 3 of the last 5
8    calendar years for which information is available or is
9    increasing at an annual rate that is less than the
10    Consumer Price Index for All Urban Consumers published by
11    the United States Department of Labor or successor agency
12    for 3 of the last 5 calendar years for which information is
13    available.
14    (c) "Industrial park" means an area in a blighted or
15conservation area suitable for use by any manufacturing,
16industrial, research or transportation enterprise, of
17facilities to include but not be limited to factories, mills,
18processing plants, assembly plants, packing plants,
19fabricating plants, industrial distribution centers,
20warehouses, repair overhaul or service facilities, freight
21terminals, research facilities, test facilities or railroad
22facilities.
23    (d) "Industrial park conservation area" means an area
24within the boundaries of a redevelopment project area located
25within the territorial limits of a municipality that is a
26labor surplus municipality or within 1 1/2 miles of the

 

 

HB0179- 19 -LRB102 03584 AWJ 13597 b

1territorial limits of a municipality that is a labor surplus
2municipality if the area is annexed to the municipality; which
3area is zoned as industrial no later than at the time the
4municipality by ordinance designates the redevelopment project
5area, and which area includes both vacant land suitable for
6use as an industrial park and a blighted area or conservation
7area contiguous to such vacant land.
8    (e) "Labor surplus municipality" means a municipality in
9which, at any time during the 6 months before the municipality
10by ordinance designates an industrial park conservation area,
11the unemployment rate was over 6% and was also 100% or more of
12the national average unemployment rate for that same time as
13published in the United States Department of Labor Bureau of
14Labor Statistics publication entitled "The Employment
15Situation" or its successor publication. For the purpose of
16this subsection, if unemployment rate statistics for the
17municipality are not available, the unemployment rate in the
18municipality shall be deemed to be the same as the
19unemployment rate in the principal county in which the
20municipality is located.
21    (f) "Municipality" shall mean a city, village,
22incorporated town, or a township that is located in the
23unincorporated portion of a county with 3 million or more
24inhabitants, if the county adopted an ordinance that approved
25the township's redevelopment plan.
26    (g) "Initial Sales Tax Amounts" means the amount of taxes

 

 

HB0179- 20 -LRB102 03584 AWJ 13597 b

1paid under the Retailers' Occupation Tax Act, Use Tax Act,
2Service Use Tax Act, the Service Occupation Tax Act, the
3Municipal Retailers' Occupation Tax Act, and the Municipal
4Service Occupation Tax Act by retailers and servicemen on
5transactions at places located in a State Sales Tax Boundary
6during the calendar year 1985.
7    (g-1) "Revised Initial Sales Tax Amounts" means the amount
8of taxes paid under the Retailers' Occupation Tax Act, Use Tax
9Act, Service Use Tax Act, the Service Occupation Tax Act, the
10Municipal Retailers' Occupation Tax Act, and the Municipal
11Service Occupation Tax Act by retailers and servicemen on
12transactions at places located within the State Sales Tax
13Boundary revised pursuant to Section 11-74.4-8a(9) of this
14Act.
15    (h) "Municipal Sales Tax Increment" means an amount equal
16to the increase in the aggregate amount of taxes paid to a
17municipality from the Local Government Tax Fund arising from
18sales by retailers and servicemen within the redevelopment
19project area or State Sales Tax Boundary, as the case may be,
20for as long as the redevelopment project area or State Sales
21Tax Boundary, as the case may be, exist over and above the
22aggregate amount of taxes as certified by the Illinois
23Department of Revenue and paid under the Municipal Retailers'
24Occupation Tax Act and the Municipal Service Occupation Tax
25Act by retailers and servicemen, on transactions at places of
26business located in the redevelopment project area or State

 

 

HB0179- 21 -LRB102 03584 AWJ 13597 b

1Sales Tax Boundary, as the case may be, during the base year
2which shall be the calendar year immediately prior to the year
3in which the municipality adopted tax increment allocation
4financing. For purposes of computing the aggregate amount of
5such taxes for base years occurring prior to 1985, the
6Department of Revenue shall determine the Initial Sales Tax
7Amounts for such taxes and deduct therefrom an amount equal to
84% of the aggregate amount of taxes per year for each year the
9base year is prior to 1985, but not to exceed a total deduction
10of 12%. The amount so determined shall be known as the
11"Adjusted Initial Sales Tax Amounts". For purposes of
12determining the Municipal Sales Tax Increment, the Department
13of Revenue shall for each period subtract from the amount paid
14to the municipality from the Local Government Tax Fund arising
15from sales by retailers and servicemen on transactions located
16in the redevelopment project area or the State Sales Tax
17Boundary, as the case may be, the certified Initial Sales Tax
18Amounts, the Adjusted Initial Sales Tax Amounts or the Revised
19Initial Sales Tax Amounts for the Municipal Retailers'
20Occupation Tax Act and the Municipal Service Occupation Tax
21Act. For the State Fiscal Year 1989, this calculation shall be
22made by utilizing the calendar year 1987 to determine the tax
23amounts received. For the State Fiscal Year 1990, this
24calculation shall be made by utilizing the period from January
251, 1988, until September 30, 1988, to determine the tax
26amounts received from retailers and servicemen pursuant to the

 

 

HB0179- 22 -LRB102 03584 AWJ 13597 b

1Municipal Retailers' Occupation Tax and the Municipal Service
2Occupation Tax Act, which shall have deducted therefrom
3nine-twelfths of the certified Initial Sales Tax Amounts, the
4Adjusted Initial Sales Tax Amounts or the Revised Initial
5Sales Tax Amounts as appropriate. For the State Fiscal Year
61991, this calculation shall be made by utilizing the period
7from October 1, 1988, to June 30, 1989, to determine the tax
8amounts received from retailers and servicemen pursuant to the
9Municipal Retailers' Occupation Tax and the Municipal Service
10Occupation Tax Act which shall have deducted therefrom
11nine-twelfths of the certified Initial Sales Tax Amounts,
12Adjusted Initial Sales Tax Amounts or the Revised Initial
13Sales Tax Amounts as appropriate. For every State Fiscal Year
14thereafter, the applicable period shall be the 12 months
15beginning July 1 and ending June 30 to determine the tax
16amounts received which shall have deducted therefrom the
17certified Initial Sales Tax Amounts, the Adjusted Initial
18Sales Tax Amounts or the Revised Initial Sales Tax Amounts, as
19the case may be.
20    (i) "Net State Sales Tax Increment" means the sum of the
21following: (a) 80% of the first $100,000 of State Sales Tax
22Increment annually generated within a State Sales Tax
23Boundary; (b) 60% of the amount in excess of $100,000 but not
24exceeding $500,000 of State Sales Tax Increment annually
25generated within a State Sales Tax Boundary; and (c) 40% of all
26amounts in excess of $500,000 of State Sales Tax Increment

 

 

HB0179- 23 -LRB102 03584 AWJ 13597 b

1annually generated within a State Sales Tax Boundary. If,
2however, a municipality established a tax increment financing
3district in a county with a population in excess of 3,000,000
4before January 1, 1986, and the municipality entered into a
5contract or issued bonds after January 1, 1986, but before
6December 31, 1986, to finance redevelopment project costs
7within a State Sales Tax Boundary, then the Net State Sales Tax
8Increment means, for the fiscal years beginning July 1, 1990,
9and July 1, 1991, 100% of the State Sales Tax Increment
10annually generated within a State Sales Tax Boundary; and
11notwithstanding any other provision of this Act, for those
12fiscal years the Department of Revenue shall distribute to
13those municipalities 100% of their Net State Sales Tax
14Increment before any distribution to any other municipality
15and regardless of whether or not those other municipalities
16will receive 100% of their Net State Sales Tax Increment. For
17Fiscal Year 1999, and every year thereafter until the year
182007, for any municipality that has not entered into a
19contract or has not issued bonds prior to June 1, 1988 to
20finance redevelopment project costs within a State Sales Tax
21Boundary, the Net State Sales Tax Increment shall be
22calculated as follows: By multiplying the Net State Sales Tax
23Increment by 90% in the State Fiscal Year 1999; 80% in the
24State Fiscal Year 2000; 70% in the State Fiscal Year 2001; 60%
25in the State Fiscal Year 2002; 50% in the State Fiscal Year
262003; 40% in the State Fiscal Year 2004; 30% in the State

 

 

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1Fiscal Year 2005; 20% in the State Fiscal Year 2006; and 10% in
2the State Fiscal Year 2007. No payment shall be made for State
3Fiscal Year 2008 and thereafter.
4    Municipalities that issued bonds in connection with a
5redevelopment project in a redevelopment project area within
6the State Sales Tax Boundary prior to July 29, 1991, or that
7entered into contracts in connection with a redevelopment
8project in a redevelopment project area before June 1, 1988,
9shall continue to receive their proportional share of the
10Illinois Tax Increment Fund distribution until the date on
11which the redevelopment project is completed or terminated.
12If, however, a municipality that issued bonds in connection
13with a redevelopment project in a redevelopment project area
14within the State Sales Tax Boundary prior to July 29, 1991
15retires the bonds prior to June 30, 2007 or a municipality that
16entered into contracts in connection with a redevelopment
17project in a redevelopment project area before June 1, 1988
18completes the contracts prior to June 30, 2007, then so long as
19the redevelopment project is not completed or is not
20terminated, the Net State Sales Tax Increment shall be
21calculated, beginning on the date on which the bonds are
22retired or the contracts are completed, as follows: By
23multiplying the Net State Sales Tax Increment by 60% in the
24State Fiscal Year 2002; 50% in the State Fiscal Year 2003; 40%
25in the State Fiscal Year 2004; 30% in the State Fiscal Year
262005; 20% in the State Fiscal Year 2006; and 10% in the State

 

 

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1Fiscal Year 2007. No payment shall be made for State Fiscal
2Year 2008 and thereafter. Refunding of any bonds issued prior
3to July 29, 1991, shall not alter the Net State Sales Tax
4Increment.
5    (j) "State Utility Tax Increment Amount" means an amount
6equal to the aggregate increase in State electric and gas tax
7charges imposed on owners and tenants, other than residential
8customers, of properties located within the redevelopment
9project area under Section 9-222 of the Public Utilities Act,
10over and above the aggregate of such charges as certified by
11the Department of Revenue and paid by owners and tenants,
12other than residential customers, of properties within the
13redevelopment project area during the base year, which shall
14be the calendar year immediately prior to the year of the
15adoption of the ordinance authorizing tax increment allocation
16financing.
17    (k) "Net State Utility Tax Increment" means the sum of the
18following: (a) 80% of the first $100,000 of State Utility Tax
19Increment annually generated by a redevelopment project area;
20(b) 60% of the amount in excess of $100,000 but not exceeding
21$500,000 of the State Utility Tax Increment annually generated
22by a redevelopment project area; and (c) 40% of all amounts in
23excess of $500,000 of State Utility Tax Increment annually
24generated by a redevelopment project area. For the State
25Fiscal Year 1999, and every year thereafter until the year
262007, for any municipality that has not entered into a

 

 

HB0179- 26 -LRB102 03584 AWJ 13597 b

1contract or has not issued bonds prior to June 1, 1988 to
2finance redevelopment project costs within a redevelopment
3project area, the Net State Utility Tax Increment shall be
4calculated as follows: By multiplying the Net State Utility
5Tax Increment by 90% in the State Fiscal Year 1999; 80% in the
6State Fiscal Year 2000; 70% in the State Fiscal Year 2001; 60%
7in the State Fiscal Year 2002; 50% in the State Fiscal Year
82003; 40% in the State Fiscal Year 2004; 30% in the State
9Fiscal Year 2005; 20% in the State Fiscal Year 2006; and 10% in
10the State Fiscal Year 2007. No payment shall be made for the
11State Fiscal Year 2008 and thereafter.
12    Municipalities that issue bonds in connection with the
13redevelopment project during the period from June 1, 1988
14until 3 years after the effective date of this Amendatory Act
15of 1988 shall receive the Net State Utility Tax Increment,
16subject to appropriation, for 15 State Fiscal Years after the
17issuance of such bonds. For the 16th through the 20th State
18Fiscal Years after issuance of the bonds, the Net State
19Utility Tax Increment shall be calculated as follows: By
20multiplying the Net State Utility Tax Increment by 90% in year
2116; 80% in year 17; 70% in year 18; 60% in year 19; and 50% in
22year 20. Refunding of any bonds issued prior to June 1, 1988,
23shall not alter the revised Net State Utility Tax Increment
24payments set forth above.
25    (l) "Obligations" mean bonds, loans, debentures, notes,
26special certificates or other evidence of indebtedness issued

 

 

HB0179- 27 -LRB102 03584 AWJ 13597 b

1by the municipality to carry out a redevelopment project or to
2refund outstanding obligations.
3    (m) "Payment in lieu of taxes" means those estimated tax
4revenues from real property in a redevelopment project area
5derived from real property that has been acquired by a
6municipality which according to the redevelopment project or
7plan is to be used for a private use which taxing districts
8would have received had a municipality not acquired the real
9property and adopted tax increment allocation financing and
10which would result from levies made after the time of the
11adoption of tax increment allocation financing to the time the
12current equalized value of real property in the redevelopment
13project area exceeds the total initial equalized value of real
14property in said area.
15    (n) "Redevelopment plan" means the comprehensive program
16of the municipality for development or redevelopment intended
17by the payment of redevelopment project costs to reduce or
18eliminate those conditions the existence of which qualified
19the redevelopment project area as a "blighted area" or
20"conservation area" or combination thereof or "industrial park
21conservation area," and thereby to enhance the tax bases of
22the taxing districts which extend into the redevelopment
23project area, provided that, with respect to redevelopment
24project areas described in subsections (p-1) and (p-2),
25"redevelopment plan" means the comprehensive program of the
26affected municipality for the development of qualifying

 

 

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1transit facilities. On and after November 1, 1999 (the
2effective date of Public Act 91-478), no redevelopment plan
3may be approved or amended that includes the development of
4vacant land (i) with a golf course and related clubhouse and
5other facilities or (ii) designated by federal, State, county,
6or municipal government as public land for outdoor
7recreational activities or for nature preserves and used for
8that purpose within 5 years prior to the adoption of the
9redevelopment plan. For the purpose of this subsection,
10"recreational activities" is limited to mean camping and
11hunting. Each redevelopment plan shall set forth in writing
12the program to be undertaken to accomplish the objectives and
13shall include but not be limited to:
14        (A) an itemized list of estimated redevelopment
15    project costs;
16        (B) evidence indicating that the redevelopment project
17    area on the whole has not been subject to growth and
18    development through investment by private enterprise,
19    provided that such evidence shall not be required for any
20    redevelopment project area located within a transit
21    facility improvement area established pursuant to Section
22    11-74.4-3.3;
23        (C) an assessment of any financial impact of the
24    redevelopment project area on or any increased demand for
25    services from any taxing district affected by the plan and
26    any program to address such financial impact or increased

 

 

HB0179- 29 -LRB102 03584 AWJ 13597 b

1    demand;
2        (D) the sources of funds to pay costs;
3        (E) the nature and term of the obligations to be
4    issued;
5        (F) the most recent equalized assessed valuation of
6    the redevelopment project area;
7        (G) an estimate as to the equalized assessed valuation
8    after redevelopment and the general land uses to apply in
9    the redevelopment project area;
10        (H) a commitment to fair employment practices and an
11    affirmative action plan;
12        (I) if it concerns an industrial park conservation
13    area, the plan shall also include a general description of
14    any proposed developer, user and tenant of any property, a
15    description of the type, structure and general character
16    of the facilities to be developed, a description of the
17    type, class and number of new employees to be employed in
18    the operation of the facilities to be developed; and
19        (J) if property is to be annexed to the municipality,
20    the plan shall include the terms of the annexation
21    agreement.
22    The provisions of items (B) and (C) of this subsection (n)
23shall not apply to a municipality that before March 14, 1994
24(the effective date of Public Act 88-537) had fixed, either by
25its corporate authorities or by a commission designated under
26subsection (k) of Section 11-74.4-4, a time and place for a

 

 

HB0179- 30 -LRB102 03584 AWJ 13597 b

1public hearing as required by subsection (a) of Section
211-74.4-5. No redevelopment plan shall be adopted unless a
3municipality complies with all of the following requirements:
4        (1) The municipality finds that the redevelopment
5    project area on the whole has not been subject to growth
6    and development through investment by private enterprise
7    and would not reasonably be anticipated to be developed
8    without the adoption of the redevelopment plan, provided,
9    however, that such a finding shall not be required with
10    respect to any redevelopment project area located within a
11    transit facility improvement area established pursuant to
12    Section 11-74.4-3.3.
13        (2) The municipality finds that the redevelopment plan
14    and project conform to the comprehensive plan for the
15    development of the municipality as a whole, or, for
16    municipalities with a population of 100,000 or more,
17    regardless of when the redevelopment plan and project was
18    adopted, the redevelopment plan and project either: (i)
19    conforms to the strategic economic development or
20    redevelopment plan issued by the designated planning
21    authority of the municipality, or (ii) includes land uses
22    that have been approved by the planning commission of the
23    municipality.
24        (3) The redevelopment plan establishes the estimated
25    dates of completion of the redevelopment project and
26    retirement of obligations issued to finance redevelopment

 

 

HB0179- 31 -LRB102 03584 AWJ 13597 b

1    project costs. Those dates may not be later than the dates
2    set forth under Section 11-74.4-3.5.
3        A municipality may by municipal ordinance amend an
4    existing redevelopment plan to conform to this paragraph
5    (3) as amended by Public Act 91-478, which municipal
6    ordinance may be adopted without further hearing or notice
7    and without complying with the procedures provided in this
8    Act pertaining to an amendment to or the initial approval
9    of a redevelopment plan and project and designation of a
10    redevelopment project area.
11        (3.5) The municipality finds, in the case of an
12    industrial park conservation area, also that the
13    municipality is a labor surplus municipality and that the
14    implementation of the redevelopment plan will reduce
15    unemployment, create new jobs and by the provision of new
16    facilities enhance the tax base of the taxing districts
17    that extend into the redevelopment project area.
18        (4) If any incremental revenues are being utilized
19    under Section 8(a)(1) or 8(a)(2) of this Act in
20    redevelopment project areas approved by ordinance after
21    January 1, 1986, the municipality finds: (a) that the
22    redevelopment project area would not reasonably be
23    developed without the use of such incremental revenues,
24    and (b) that such incremental revenues will be exclusively
25    utilized for the development of the redevelopment project
26    area.

 

 

HB0179- 32 -LRB102 03584 AWJ 13597 b

1        (5) If: (a) the redevelopment plan will not result in
2    displacement of residents from 10 or more inhabited
3    residential units, and the municipality certifies in the
4    plan that such displacement will not result from the plan;
5    or (b) the redevelopment plan is for a redevelopment
6    project area located within a transit facility improvement
7    area established pursuant to Section 11-74.4-3.3, and the
8    applicable project is subject to the process for
9    evaluation of environmental effects under the National
10    Environmental Policy Act of 1969, 42 U.S.C. 4321 et seq.,
11    then a housing impact study need not be performed. If,
12    however, the redevelopment plan would result in the
13    displacement of residents from 10 or more inhabited
14    residential units, or if the redevelopment project area
15    contains 75 or more inhabited residential units and no
16    certification is made, then the municipality shall
17    prepare, as part of the separate feasibility report
18    required by subsection (a) of Section 11-74.4-5, a housing
19    impact study.
20        Part I of the housing impact study shall include (i)
21    data as to whether the residential units are single family
22    or multi-family units, (ii) the number and type of rooms
23    within the units, if that information is available, (iii)
24    whether the units are inhabited or uninhabited, as
25    determined not less than 45 days before the date that the
26    ordinance or resolution required by subsection (a) of

 

 

HB0179- 33 -LRB102 03584 AWJ 13597 b

1    Section 11-74.4-5 is passed, and (iv) data as to the
2    racial and ethnic composition of the residents in the
3    inhabited residential units. The data requirement as to
4    the racial and ethnic composition of the residents in the
5    inhabited residential units shall be deemed to be fully
6    satisfied by data from the most recent federal census.
7        Part II of the housing impact study shall identify the
8    inhabited residential units in the proposed redevelopment
9    project area that are to be or may be removed. If inhabited
10    residential units are to be removed, then the housing
11    impact study shall identify (i) the number and location of
12    those units that will or may be removed, (ii) the
13    municipality's plans for relocation assistance for those
14    residents in the proposed redevelopment project area whose
15    residences are to be removed, (iii) the availability of
16    replacement housing for those residents whose residences
17    are to be removed, and shall identify the type, location,
18    and cost of the housing, and (iv) the type and extent of
19    relocation assistance to be provided.
20        (6) On and after November 1, 1999, the housing impact
21    study required by paragraph (5) shall be incorporated in
22    the redevelopment plan for the redevelopment project area.
23        (7) On and after November 1, 1999, no redevelopment
24    plan shall be adopted, nor an existing plan amended, nor
25    shall residential housing that is occupied by households
26    of low-income and very low-income persons in currently

 

 

HB0179- 34 -LRB102 03584 AWJ 13597 b

1    existing redevelopment project areas be removed after
2    November 1, 1999 unless the redevelopment plan provides,
3    with respect to inhabited housing units that are to be
4    removed for households of low-income and very low-income
5    persons, affordable housing and relocation assistance not
6    less than that which would be provided under the federal
7    Uniform Relocation Assistance and Real Property
8    Acquisition Policies Act of 1970 and the regulations under
9    that Act, including the eligibility criteria. Affordable
10    housing may be either existing or newly constructed
11    housing. For purposes of this paragraph (7), "low-income
12    households", "very low-income households", and "affordable
13    housing" have the meanings set forth in the Illinois
14    Affordable Housing Act. The municipality shall make a good
15    faith effort to ensure that this affordable housing is
16    located in or near the redevelopment project area within
17    the municipality.
18        (8) On and after November 1, 1999, if, after the
19    adoption of the redevelopment plan for the redevelopment
20    project area, any municipality desires to amend its
21    redevelopment plan to remove more inhabited residential
22    units than specified in its original redevelopment plan,
23    that change shall be made in accordance with the
24    procedures in subsection (c) of Section 11-74.4-5.
25        (9) For redevelopment project areas designated prior
26    to November 1, 1999, the redevelopment plan may be amended

 

 

HB0179- 35 -LRB102 03584 AWJ 13597 b

1    without further joint review board meeting or hearing,
2    provided that the municipality shall give notice of any
3    such changes by mail to each affected taxing district and
4    registrant on the interested party registry, to authorize
5    the municipality to expend tax increment revenues for
6    redevelopment project costs defined by paragraphs (5) and
7    (7.5), subparagraphs (E) and (F) of paragraph (11), and
8    paragraph (11.5) of subsection (q) of Section 11-74.4-3,
9    so long as the changes do not increase the total estimated
10    redevelopment project costs set out in the redevelopment
11    plan by more than 5% after adjustment for inflation from
12    the date the plan was adopted.
13    (o) "Redevelopment project" means any public and private
14development project in furtherance of the objectives of a
15redevelopment plan. On and after November 1, 1999 (the
16effective date of Public Act 91-478), no redevelopment plan
17may be approved or amended that includes the development of
18vacant land (i) with a golf course and related clubhouse and
19other facilities or (ii) designated by federal, State, county,
20or municipal government as public land for outdoor
21recreational activities or for nature preserves and used for
22that purpose within 5 years prior to the adoption of the
23redevelopment plan. For the purpose of this subsection,
24"recreational activities" is limited to mean camping and
25hunting.
26    (p) "Redevelopment project area" means an area designated

 

 

HB0179- 36 -LRB102 03584 AWJ 13597 b

1by the municipality, which is not less in the aggregate than 1
21/2 acres and in respect to which the municipality has made a
3finding that there exist conditions which cause the area to be
4classified as an industrial park conservation area or a
5blighted area or a conservation area, or a combination of both
6blighted areas and conservation areas.
7    (p-1) Notwithstanding any provision of this Act to the
8contrary, on and after August 25, 2009 (the effective date of
9Public Act 96-680), a redevelopment project area may include
10areas within a one-half mile radius of an existing or proposed
11Regional Transportation Authority Suburban Transit Access
12Route (STAR Line) station without a finding that the area is
13classified as an industrial park conservation area, a blighted
14area, a conservation area, or a combination thereof, but only
15if the municipality receives unanimous consent from the joint
16review board created to review the proposed redevelopment
17project area.
18    (p-2) Notwithstanding any provision of this Act to the
19contrary, on and after the effective date of this amendatory
20Act of the 99th General Assembly, a redevelopment project area
21may include areas within a transit facility improvement area
22that has been established pursuant to Section 11-74.4-3.3
23without a finding that the area is classified as an industrial
24park conservation area, a blighted area, a conservation area,
25or any combination thereof.
26    (q) "Redevelopment project costs", except for

 

 

HB0179- 37 -LRB102 03584 AWJ 13597 b

1redevelopment project areas created pursuant to subsection
2(p-1) or (p-2), means and includes the sum total of all
3reasonable or necessary costs incurred or estimated to be
4incurred, and any such costs incidental to a redevelopment
5plan and a redevelopment project. Such costs include, without
6limitation, the following:
7        (1) Costs of studies, surveys, development of plans,
8    and specifications, implementation and administration of
9    the redevelopment plan including but not limited to staff
10    and professional service costs for architectural,
11    engineering, legal, financial, planning or other services,
12    provided however that no charges for professional services
13    may be based on a percentage of the tax increment
14    collected; except that on and after November 1, 1999 (the
15    effective date of Public Act 91-478), no contracts for
16    professional services, excluding architectural and
17    engineering services, may be entered into if the terms of
18    the contract extend beyond a period of 3 years. In
19    addition, "redevelopment project costs" shall not include
20    lobbying expenses. After consultation with the
21    municipality, each tax increment consultant or advisor to
22    a municipality that plans to designate or has designated a
23    redevelopment project area shall inform the municipality
24    in writing of any contracts that the consultant or advisor
25    has entered into with entities or individuals that have
26    received, or are receiving, payments financed by tax

 

 

HB0179- 38 -LRB102 03584 AWJ 13597 b

1    increment revenues produced by the redevelopment project
2    area with respect to which the consultant or advisor has
3    performed, or will be performing, service for the
4    municipality. This requirement shall be satisfied by the
5    consultant or advisor before the commencement of services
6    for the municipality and thereafter whenever any other
7    contracts with those individuals or entities are executed
8    by the consultant or advisor;
9        (1.5) After July 1, 1999, annual administrative costs
10    shall not include general overhead or administrative costs
11    of the municipality that would still have been incurred by
12    the municipality if the municipality had not designated a
13    redevelopment project area or approved a redevelopment
14    plan;
15        (1.6) The cost of marketing sites within the
16    redevelopment project area to prospective businesses,
17    developers, and investors;
18        (2) Property assembly costs, including but not limited
19    to acquisition of land and other property, real or
20    personal, or rights or interests therein, demolition of
21    buildings, site preparation, site improvements that serve
22    as an engineered barrier addressing ground level or below
23    ground environmental contamination, including, but not
24    limited to parking lots and other concrete or asphalt
25    barriers, and the clearing and grading of land;
26        (3) Costs of rehabilitation, reconstruction or repair

 

 

HB0179- 39 -LRB102 03584 AWJ 13597 b

1    or remodeling of existing public or private buildings,
2    fixtures, and leasehold improvements; and the cost of
3    replacing an existing public building if pursuant to the
4    implementation of a redevelopment project the existing
5    public building is to be demolished to use the site for
6    private investment or devoted to a different use requiring
7    private investment; including any direct or indirect costs
8    relating to Green Globes or LEED certified construction
9    elements or construction elements with an equivalent
10    certification;
11        (4) Costs of the construction of public works or
12    improvements, including any direct or indirect costs
13    relating to Green Globes or LEED certified construction
14    elements or construction elements with an equivalent
15    certification, except that on and after November 1, 1999,
16    redevelopment project costs shall not include the cost of
17    constructing a new municipal public building principally
18    used to provide offices, storage space, or conference
19    facilities or vehicle storage, maintenance, or repair for
20    administrative, public safety, or public works personnel
21    and that is not intended to replace an existing public
22    building as provided under paragraph (3) of subsection (q)
23    of Section 11-74.4-3 unless either (i) the construction of
24    the new municipal building implements a redevelopment
25    project that was included in a redevelopment plan that was
26    adopted by the municipality prior to November 1, 1999,

 

 

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1    (ii) the municipality makes a reasonable determination in
2    the redevelopment plan, supported by information that
3    provides the basis for that determination, that the new
4    municipal building is required to meet an increase in the
5    need for public safety purposes anticipated to result from
6    the implementation of the redevelopment plan, or (iii) the
7    new municipal public building is for the storage,
8    maintenance, or repair of transit vehicles and is located
9    in a transit facility improvement area that has been
10    established pursuant to Section 11-74.4-3.3;
11        (5) Costs of job training and retraining projects,
12    including the cost of "welfare to work" programs
13    implemented by businesses located within the redevelopment
14    project area;
15        (6) Financing costs, including but not limited to all
16    necessary and incidental expenses related to the issuance
17    of obligations and which may include payment of interest
18    on any obligations issued hereunder including interest
19    accruing during the estimated period of construction of
20    any redevelopment project for which such obligations are
21    issued and for not exceeding 36 months thereafter and
22    including reasonable reserves related thereto;
23        (7) To the extent the municipality by written
24    agreement accepts and approves the same, all or a portion
25    of a taxing district's capital costs resulting from the
26    redevelopment project necessarily incurred or to be

 

 

HB0179- 41 -LRB102 03584 AWJ 13597 b

1    incurred within a taxing district in furtherance of the
2    objectives of the redevelopment plan and project;
3        (7.5) For redevelopment project areas designated (or
4    redevelopment project areas amended to add or increase the
5    number of tax-increment-financing assisted housing units)
6    on or after November 1, 1999, an elementary, secondary, or
7    unit school district's increased costs attributable to
8    assisted housing units located within the redevelopment
9    project area for which the developer or redeveloper
10    receives financial assistance through an agreement with
11    the municipality or because the municipality incurs the
12    cost of necessary infrastructure improvements within the
13    boundaries of the assisted housing sites necessary for the
14    completion of that housing as authorized by this Act, and
15    which costs shall be paid by the municipality from the
16    Special Tax Allocation Fund when the tax increment revenue
17    is received as a result of the assisted housing units and
18    shall be calculated annually as follows:
19            (A) for foundation districts, excluding any school
20        district in a municipality with a population in excess
21        of 1,000,000, by multiplying the district's increase
22        in attendance resulting from the net increase in new
23        students enrolled in that school district who reside
24        in housing units within the redevelopment project area
25        that have received financial assistance through an
26        agreement with the municipality or because the

 

 

HB0179- 42 -LRB102 03584 AWJ 13597 b

1        municipality incurs the cost of necessary
2        infrastructure improvements within the boundaries of
3        the housing sites necessary for the completion of that
4        housing as authorized by this Act since the
5        designation of the redevelopment project area by the
6        most recently available per capita tuition cost as
7        defined in Section 10-20.12a of the School Code less
8        any increase in general State aid as defined in
9        Section 18-8.05 of the School Code or evidence-based
10        funding as defined in Section 18-8.15 of the School
11        Code attributable to these added new students subject
12        to the following annual limitations:
13                (i) for unit school districts with a district
14            average 1995-96 Per Capita Tuition Charge of less
15            than $5,900, no more than 25% of the total amount
16            of property tax increment revenue produced by
17            those housing units that have received tax
18            increment finance assistance under this Act;
19                (ii) for elementary school districts with a
20            district average 1995-96 Per Capita Tuition Charge
21            of less than $5,900, no more than 17% of the total
22            amount of property tax increment revenue produced
23            by those housing units that have received tax
24            increment finance assistance under this Act; and
25                (iii) for secondary school districts with a
26            district average 1995-96 Per Capita Tuition Charge

 

 

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1            of less than $5,900, no more than 8% of the total
2            amount of property tax increment revenue produced
3            by those housing units that have received tax
4            increment finance assistance under this Act.
5            (B) For alternate method districts, flat grant
6        districts, and foundation districts with a district
7        average 1995-96 Per Capita Tuition Charge equal to or
8        more than $5,900, excluding any school district with a
9        population in excess of 1,000,000, by multiplying the
10        district's increase in attendance resulting from the
11        net increase in new students enrolled in that school
12        district who reside in housing units within the
13        redevelopment project area that have received
14        financial assistance through an agreement with the
15        municipality or because the municipality incurs the
16        cost of necessary infrastructure improvements within
17        the boundaries of the housing sites necessary for the
18        completion of that housing as authorized by this Act
19        since the designation of the redevelopment project
20        area by the most recently available per capita tuition
21        cost as defined in Section 10-20.12a of the School
22        Code less any increase in general state aid as defined
23        in Section 18-8.05 of the School Code or
24        evidence-based funding as defined in Section 18-8.15
25        of the School Code attributable to these added new
26        students subject to the following annual limitations:

 

 

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1                (i) for unit school districts, no more than
2            40% of the total amount of property tax increment
3            revenue produced by those housing units that have
4            received tax increment finance assistance under
5            this Act;
6                (ii) for elementary school districts, no more
7            than 27% 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                (iii) for secondary school districts, no more
12            than 13% of the total amount of property tax
13            increment revenue produced by those housing units
14            that have received tax increment finance
15            assistance under this Act.
16            (C) For any school district in a municipality with
17        a population in excess of 1,000,000, the following
18        restrictions shall apply to the reimbursement of
19        increased costs under this paragraph (7.5):
20                (i) no increased costs shall be reimbursed
21            unless the school district certifies that each of
22            the schools affected by the assisted housing
23            project is at or over its student capacity;
24                (ii) the amount reimbursable shall be reduced
25            by the value of any land donated to the school
26            district by the municipality or developer, and by

 

 

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1            the value of any physical improvements made to the
2            schools by the municipality or developer; and
3                (iii) the amount reimbursed may not affect
4            amounts otherwise obligated by the terms of any
5            bonds, notes, or other funding instruments, or the
6            terms of any redevelopment agreement.
7        Any school district seeking payment under this
8        paragraph (7.5) shall, after July 1 and before
9        September 30 of each year, provide the municipality
10        with reasonable evidence to support its claim for
11        reimbursement before the municipality shall be
12        required to approve or make the payment to the school
13        district. If the school district fails to provide the
14        information during this period in any year, it shall
15        forfeit any claim to reimbursement for that year.
16        School districts may adopt a resolution waiving the
17        right to all or a portion of the reimbursement
18        otherwise required by this paragraph (7.5). By
19        acceptance of this reimbursement the school district
20        waives the right to directly or indirectly set aside,
21        modify, or contest in any manner the establishment of
22        the redevelopment project area or projects;
23        (7.7) For redevelopment project areas designated (or
24    redevelopment project areas amended to add or increase the
25    number of tax-increment-financing assisted housing units)
26    on or after January 1, 2005 (the effective date of Public

 

 

HB0179- 46 -LRB102 03584 AWJ 13597 b

1    Act 93-961), a public library district's increased costs
2    attributable to assisted housing units located within the
3    redevelopment project area for which the developer or
4    redeveloper receives financial assistance through an
5    agreement with the municipality or because the
6    municipality incurs the cost of necessary infrastructure
7    improvements within the boundaries of the assisted housing
8    sites necessary for the completion of that housing as
9    authorized by this Act shall be paid to the library
10    district by the municipality from the Special Tax
11    Allocation Fund when the tax increment revenue is received
12    as a result of the assisted housing units. This paragraph
13    (7.7) applies only if (i) the library district is located
14    in a county that is subject to the Property Tax Extension
15    Limitation Law or (ii) the library district is not located
16    in a county that is subject to the Property Tax Extension
17    Limitation Law but the district is prohibited by any other
18    law from increasing its tax levy rate without a prior
19    voter referendum.
20        The amount paid to a library district under this
21    paragraph (7.7) shall be calculated by multiplying (i) the
22    net increase in the number of persons eligible to obtain a
23    library card in that district who reside in housing units
24    within the redevelopment project area that have received
25    financial assistance through an agreement with the
26    municipality or because the municipality incurs the cost

 

 

HB0179- 47 -LRB102 03584 AWJ 13597 b

1    of necessary infrastructure improvements within the
2    boundaries of the housing sites necessary for the
3    completion of that housing as authorized by this Act since
4    the designation of the redevelopment project area by (ii)
5    the per-patron cost of providing library services so long
6    as it does not exceed $120. The per-patron cost shall be
7    the Total Operating Expenditures Per Capita for the
8    library in the previous fiscal year. The municipality may
9    deduct from the amount that it must pay to a library
10    district under this paragraph any amount that it has
11    voluntarily paid to the library district from the tax
12    increment revenue. The amount paid to a library district
13    under this paragraph (7.7) shall be no more than 2% of the
14    amount produced by the assisted housing units and
15    deposited into the Special Tax Allocation Fund.
16        A library district is not eligible for any payment
17    under this paragraph (7.7) unless the library district has
18    experienced an increase in the number of patrons from the
19    municipality that created the tax-increment-financing
20    district since the designation of the redevelopment
21    project area.
22        Any library district seeking payment under this
23    paragraph (7.7) shall, after July 1 and before September
24    30 of each year, provide the municipality with convincing
25    evidence to support its claim for reimbursement before the
26    municipality shall be required to approve or make the

 

 

HB0179- 48 -LRB102 03584 AWJ 13597 b

1    payment to the library district. If the library district
2    fails to provide the information during this period in any
3    year, it shall forfeit any claim to reimbursement for that
4    year. Library districts may adopt a resolution waiving the
5    right to all or a portion of the reimbursement otherwise
6    required by this paragraph (7.7). By acceptance of such
7    reimbursement, the library district shall forfeit any
8    right to directly or indirectly set aside, modify, or
9    contest in any manner whatsoever the establishment of the
10    redevelopment project area or projects;
11        (8) Relocation costs to the extent that a municipality
12    determines that relocation costs shall be paid or is
13    required to make payment of relocation costs by federal or
14    State law or in order to satisfy subparagraph (7) of
15    subsection (n);
16        (9) Payment in lieu of taxes;
17        (10) Costs of job training, retraining, advanced
18    vocational education or career education, including but
19    not limited to courses in occupational, semi-technical or
20    technical fields leading directly to employment, incurred
21    by one or more taxing districts, provided that such costs
22    (i) are related to the establishment and maintenance of
23    additional job training, advanced vocational education or
24    career education programs for persons employed or to be
25    employed by employers located in a redevelopment project
26    area; and (ii) when incurred by a taxing district or

 

 

HB0179- 49 -LRB102 03584 AWJ 13597 b

1    taxing districts other than the municipality, are set
2    forth in a written agreement by or among the municipality
3    and the taxing district or taxing districts, which
4    agreement describes the program to be undertaken,
5    including but not limited to the number of employees to be
6    trained, a description of the training and services to be
7    provided, the number and type of positions available or to
8    be available, itemized costs of the program and sources of
9    funds to pay for the same, and the term of the agreement.
10    Such costs include, specifically, the payment by community
11    college districts of costs pursuant to Sections 3-37,
12    3-38, 3-40 and 3-40.1 of the Public Community College Act
13    and by school districts of costs pursuant to Sections
14    10-22.20a and 10-23.3a of the School Code;
15        (11) Interest cost incurred by a redeveloper related
16    to the construction, renovation or rehabilitation of a
17    redevelopment project provided that:
18            (A) such costs are to be paid directly from the
19        special tax allocation fund established pursuant to
20        this Act;
21            (B) such payments in any one year may not exceed
22        30% of the annual interest costs incurred by the
23        redeveloper with regard to the redevelopment project
24        during that year;
25            (C) if there are not sufficient funds available in
26        the special tax allocation fund to make the payment

 

 

HB0179- 50 -LRB102 03584 AWJ 13597 b

1        pursuant to this paragraph (11) then the amounts so
2        due shall accrue and be payable when sufficient funds
3        are available in the special tax allocation fund;
4            (D) the total of such interest payments paid
5        pursuant to this Act may not exceed 30% of the total
6        (i) cost paid or incurred by the redeveloper for the
7        redevelopment project plus (ii) redevelopment project
8        costs excluding any property assembly costs and any
9        relocation costs incurred by a municipality pursuant
10        to this Act;
11            (E) the cost limits set forth in subparagraphs (B)
12        and (D) of paragraph (11) shall be modified for the
13        financing of rehabilitated or new housing units for
14        low-income households and very low-income households,
15        as defined in Section 3 of the Illinois Affordable
16        Housing Act. The percentage of 75% shall be
17        substituted for 30% in subparagraphs (B) and (D) of
18        paragraph (11); and
19            (F) instead of the eligible costs provided by
20        subparagraphs (B) and (D) of paragraph (11), as
21        modified by this subparagraph, and notwithstanding any
22        other provisions of this Act to the contrary, the
23        municipality may pay from tax increment revenues up to
24        50% of the cost of construction of new housing units to
25        be occupied by low-income households and very
26        low-income households as defined in Section 3 of the

 

 

HB0179- 51 -LRB102 03584 AWJ 13597 b

1        Illinois Affordable Housing Act. The cost of
2        construction of those units may be derived from the
3        proceeds of bonds issued by the municipality under
4        this Act or other constitutional or statutory
5        authority or from other sources of municipal revenue
6        that may be reimbursed from tax increment revenues or
7        the proceeds of bonds issued to finance the
8        construction of that housing.
9            The eligible costs provided under this
10        subparagraph (F) of paragraph (11) shall be an
11        eligible cost for the construction, renovation, and
12        rehabilitation of all low and very low-income housing
13        units, as defined in Section 3 of the Illinois
14        Affordable Housing Act, within the redevelopment
15        project area. If the low and very low-income units are
16        part of a residential redevelopment project that
17        includes units not affordable to low and very
18        low-income households, only the low and very
19        low-income units shall be eligible for benefits under
20        this subparagraph (F) of paragraph (11). The standards
21        for maintaining the occupancy by low-income households
22        and very low-income households, as defined in Section
23        3 of the Illinois Affordable Housing Act, of those
24        units constructed with eligible costs made available
25        under the provisions of this subparagraph (F) of
26        paragraph (11) shall be established by guidelines

 

 

HB0179- 52 -LRB102 03584 AWJ 13597 b

1        adopted by the municipality. The responsibility for
2        annually documenting the initial occupancy of the
3        units by low-income households and very low-income
4        households, as defined in Section 3 of the Illinois
5        Affordable Housing Act, shall be that of the then
6        current owner of the property. For ownership units,
7        the guidelines will provide, at a minimum, for a
8        reasonable recapture of funds, or other appropriate
9        methods designed to preserve the original
10        affordability of the ownership units. For rental
11        units, the guidelines will provide, at a minimum, for
12        the affordability of rent to low and very low-income
13        households. As units become available, they shall be
14        rented to income-eligible tenants. The municipality
15        may modify these guidelines from time to time; the
16        guidelines, however, shall be in effect for as long as
17        tax increment revenue is being used to pay for costs
18        associated with the units or for the retirement of
19        bonds issued to finance the units or for the life of
20        the redevelopment project area, whichever is later;
21        (11.5) If the redevelopment project area is located
22    within a municipality with a population of more than
23    100,000, the cost of day care services for children of
24    employees from low-income families working for businesses
25    located within the redevelopment project area and all or a
26    portion of the cost of operation of day care centers

 

 

HB0179- 53 -LRB102 03584 AWJ 13597 b

1    established by redevelopment project area businesses to
2    serve employees from low-income families working in
3    businesses located in the redevelopment project area. For
4    the purposes of this paragraph, "low-income families"
5    means families whose annual income does not exceed 80% of
6    the municipal, county, or regional median income, adjusted
7    for family size, as the annual income and municipal,
8    county, or regional median income are determined from time
9    to time by the United States Department of Housing and
10    Urban Development.
11        (12) Costs relating to the development of urban
12    agricultural areas under Division 15.2 of the Illinois
13    Municipal Code.
14    Unless explicitly stated herein the cost of construction
15of new privately-owned buildings shall not be an eligible
16redevelopment project cost.
17    After November 1, 1999 (the effective date of Public Act
1891-478), none of the redevelopment project costs enumerated in
19this subsection shall be eligible redevelopment project costs
20if those costs would provide direct financial support to a
21retail entity initiating operations in the redevelopment
22project area while terminating operations at another Illinois
23location within 10 miles of the redevelopment project area but
24outside the boundaries of the redevelopment project area
25municipality. For purposes of this paragraph, termination
26means a closing of a retail operation that is directly related

 

 

HB0179- 54 -LRB102 03584 AWJ 13597 b

1to the opening of the same operation or like retail entity
2owned or operated by more than 50% of the original ownership in
3a redevelopment project area, but it does not mean closing an
4operation for reasons beyond the control of the retail entity,
5as documented by the retail entity, subject to a reasonable
6finding by the municipality that the current location
7contained inadequate space, had become economically obsolete,
8or was no longer a viable location for the retailer or
9serviceman.
10    No cost shall be a redevelopment project cost in a
11redevelopment project area if used to demolish, remove, or
12substantially modify a historic resource, after August 26,
132008 (the effective date of Public Act 95-934), unless no
14prudent and feasible alternative exists. "Historic resource"
15for the purpose of this paragraph means (i) a place or
16structure that is included or eligible for inclusion on the
17National Register of Historic Places or (ii) a contributing
18structure in a district on the National Register of Historic
19Places. This paragraph does not apply to a place or structure
20for which demolition, removal, or modification is subject to
21review by the preservation agency of a Certified Local
22Government designated as such by the National Park Service of
23the United States Department of the Interior.
24    If a special service area has been established pursuant to
25the Special Service Area Tax Act or Special Service Area Tax
26Law, then any tax increment revenues derived from the tax

 

 

HB0179- 55 -LRB102 03584 AWJ 13597 b

1imposed pursuant to the Special Service Area Tax Act or
2Special Service Area Tax Law may be used within the
3redevelopment project area for the purposes permitted by that
4Act or Law as well as the purposes permitted by this Act.
5    (q-1) For redevelopment project areas created pursuant to
6subsection (p-1), redevelopment project costs are limited to
7those costs in paragraph (q) that are related to the existing
8or proposed Regional Transportation Authority Suburban Transit
9Access Route (STAR Line) station.
10    (q-2) For a redevelopment project area located within a
11transit facility improvement area established pursuant to
12Section 11-74.4-3.3, redevelopment project costs means those
13costs described in subsection (q) that are related to the
14construction, reconstruction, rehabilitation, remodeling, or
15repair of any existing or proposed transit facility.
16    (r) "State Sales Tax Boundary" means the redevelopment
17project area or the amended redevelopment project area
18boundaries which are determined pursuant to subsection (9) of
19Section 11-74.4-8a of this Act. The Department of Revenue
20shall certify pursuant to subsection (9) of Section 11-74.4-8a
21the appropriate boundaries eligible for the determination of
22State Sales Tax Increment.
23    (s) "State Sales Tax Increment" means an amount equal to
24the increase in the aggregate amount of taxes paid by
25retailers and servicemen, other than retailers and servicemen
26subject to the Public Utilities Act, on transactions at places

 

 

HB0179- 56 -LRB102 03584 AWJ 13597 b

1of business located within a State Sales Tax Boundary pursuant
2to the Retailers' Occupation Tax Act, the Use Tax Act, the
3Service Use Tax Act, and the Service Occupation Tax Act,
4except such portion of such increase that is paid into the
5State and Local Sales Tax Reform Fund, the Local Government
6Distributive Fund, the Local Government Tax Fund and the
7County and Mass Transit District Fund, for as long as State
8participation exists, over and above the Initial Sales Tax
9Amounts, Adjusted Initial Sales Tax Amounts or the Revised
10Initial Sales Tax Amounts for such taxes as certified by the
11Department of Revenue and paid under those Acts by retailers
12and servicemen on transactions at places of business located
13within the State Sales Tax Boundary during the base year which
14shall be the calendar year immediately prior to the year in
15which the municipality adopted tax increment allocation
16financing, less 3.0% of such amounts generated under the
17Retailers' Occupation Tax Act, Use Tax Act and Service Use Tax
18Act and the Service Occupation Tax Act, which sum shall be
19appropriated to the Department of Revenue to cover its costs
20of administering and enforcing this Section. For purposes of
21computing the aggregate amount of such taxes for base years
22occurring prior to 1985, the Department of Revenue shall
23compute the Initial Sales Tax Amount for such taxes and deduct
24therefrom an amount equal to 4% of the aggregate amount of
25taxes per year for each year the base year is prior to 1985,
26but not to exceed a total deduction of 12%. The amount so

 

 

HB0179- 57 -LRB102 03584 AWJ 13597 b

1determined shall be known as the "Adjusted Initial Sales Tax
2Amount". For purposes of determining the State Sales Tax
3Increment the Department of Revenue shall for each period
4subtract from the tax amounts received from retailers and
5servicemen on transactions located in the State Sales Tax
6Boundary, the certified Initial Sales Tax Amounts, Adjusted
7Initial Sales Tax Amounts or Revised Initial Sales Tax Amounts
8for the Retailers' Occupation Tax Act, the Use Tax Act, the
9Service Use Tax Act and the Service Occupation Tax Act. For the
10State Fiscal Year 1989 this calculation shall be made by
11utilizing the calendar year 1987 to determine the tax amounts
12received. For the State Fiscal Year 1990, this calculation
13shall be made by utilizing the period from January 1, 1988,
14until September 30, 1988, to determine the tax amounts
15received from retailers and servicemen, which shall have
16deducted therefrom nine-twelfths of the certified Initial
17Sales Tax Amounts, Adjusted Initial Sales Tax Amounts or the
18Revised Initial Sales Tax Amounts as appropriate. For the
19State Fiscal Year 1991, this calculation shall be made by
20utilizing the period from October 1, 1988, until June 30,
211989, to determine the tax amounts received from retailers and
22servicemen, which shall have deducted therefrom nine-twelfths
23of the certified Initial State Sales Tax Amounts, Adjusted
24Initial Sales Tax Amounts or the Revised Initial Sales Tax
25Amounts as appropriate. For every State Fiscal Year
26thereafter, the applicable period shall be the 12 months

 

 

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1beginning July 1 and ending on June 30, to determine the tax
2amounts received which shall have deducted therefrom the
3certified Initial Sales Tax Amounts, Adjusted Initial Sales
4Tax Amounts or the Revised Initial Sales Tax Amounts.
5Municipalities intending to receive a distribution of State
6Sales Tax Increment must report a list of retailers to the
7Department of Revenue by October 31, 1988 and by July 31, of
8each year thereafter.
9    (t) "Taxing districts" means counties, townships, cities
10and incorporated towns and villages, school, road, park,
11sanitary, mosquito abatement, forest preserve, public health,
12fire protection, river conservancy, tuberculosis sanitarium
13and any other municipal corporations or districts with the
14power to levy taxes.
15    (u) "Taxing districts' capital costs" means those costs of
16taxing districts for capital improvements that are found by
17the municipal corporate authorities to be necessary and
18directly result from the redevelopment project.
19    (v) As used in subsection (a) of Section 11-74.4-3 of this
20Act, "vacant land" means any parcel or combination of parcels
21of real property without industrial, commercial, and
22residential buildings which has not been used for commercial
23agricultural purposes within 5 years prior to the designation
24of the redevelopment project area, unless the parcel is
25included in an industrial park conservation area or the parcel
26has been subdivided; provided that if the parcel was part of a

 

 

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1larger tract that has been divided into 3 or more smaller
2tracts that were accepted for recording during the period from
31950 to 1990, then the parcel shall be deemed to have been
4subdivided, and all proceedings and actions of the
5municipality taken in that connection with respect to any
6previously approved or designated redevelopment project area
7or amended redevelopment project area are hereby validated and
8hereby declared to be legally sufficient for all purposes of
9this Act. For purposes of this Section and only for land
10subject to the subdivision requirements of the Plat Act, land
11is subdivided when the original plat of the proposed
12Redevelopment Project Area or relevant portion thereof has
13been properly certified, acknowledged, approved, and recorded
14or filed in accordance with the Plat Act and a preliminary
15plat, if any, for any subsequent phases of the proposed
16Redevelopment Project Area or relevant portion thereof has
17been properly approved and filed in accordance with the
18applicable ordinance of the municipality.
19    (w) "Annual Total Increment" means the sum of each
20municipality's annual Net Sales Tax Increment and each
21municipality's annual Net Utility Tax Increment. The ratio of
22the Annual Total Increment of each municipality to the Annual
23Total Increment for all municipalities, as most recently
24calculated by the Department, shall determine the proportional
25shares of the Illinois Tax Increment Fund to be distributed to
26each municipality.

 

 

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1    (x) "LEED certified" means any certification level of
2construction elements by a qualified Leadership in Energy and
3Environmental Design Accredited Professional as determined by
4the U.S. Green Building Council.
5    (y) "Green Globes certified" means any certification level
6of construction elements by a qualified Green Globes
7Professional as determined by the Green Building Initiative.
8(Source: P.A. 99-792, eff. 8-12-16; 100-201, eff. 8-18-17;
9100-465, eff. 8-31-17; 100-1133, eff. 1-1-19.)
 
10    (65 ILCS 5/11-74.4-3.7 new)
11    Sec. 11-74.4-3.7. 10-year reevaluation of blighted areas.
12    (a) Notwithstanding any other provision of law, a
13municipality must reevaluate whether a redevelopment project
14area designated as a blighted area is still a blighted area
15every 10th calendar year after the year in which the ordinance
16approving the redevelopment project area was adopted. In the
17reevaluation process, the joint review board and municipality
18shall evaluate if the redevelopment project area currently
19meets the required number of factors to be designated a
20blighted area. The joint review board and municipality may
21determine that a redevelopment project area is still a
22blighted area based upon the same factors or different factors
23from when the redevelopment project area was originally
24designated a blighted area. The joint review board and
25municipality shall use the definition of "blighted area" in

 

 

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1effect on the date in which the ordinance approving the
2redevelopment project area was adopted to evaluate whether or
3not the redevelopment project area remains a blighted area.
4    (b) If the municipality finds that a redevelopment project
5area remains a blighted area after the reevaluation process
6under Section 11-74.4-5, the corporate authorities of the
7municipality shall adopt an ordinance or resolution
8redesignating the redevelopment project area as a blighted
9area. If an ordinance or resolution is adopted under this
10subsection, the completion dates for the redevelopment project
11area shall remain the same as provided under Section
1211-74.4-3.5 based upon the year in which the ordinance
13originally approving the redevelopment project area was
14adopted.
15    (c) If the municipality finds that a redevelopment project
16area no longer meets the requirements to be a blighted area
17after the reevaluation process under Section 11-74.4-5, the
18corporate authorities of the municipality shall wind up the
19redevelopment project area and terminate the designation of
20the redevelopment project area by the process required under
21this Act.
 
22    (65 ILCS 5/11-74.4-4)  (from Ch. 24, par. 11-74.4-4)
23    Sec. 11-74.4-4. Municipal powers and duties; redevelopment
24project areas. The changes made by this amendatory Act of the
2591st General Assembly do not apply to a municipality that, (i)

 

 

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1before the effective date of this amendatory Act of the 91st
2General Assembly, has adopted an ordinance or resolution
3fixing a time and place for a public hearing under Section
411-74.4-5 or (ii) before July 1, 1999, has adopted an
5ordinance or resolution providing for a feasibility study
6under Section 11-74.4-4.1, but has not yet adopted an
7ordinance approving redevelopment plans and redevelopment
8projects or designating redevelopment project areas under this
9Section, until after that municipality adopts an ordinance
10approving redevelopment plans and redevelopment projects or
11designating redevelopment project areas under this Section;
12thereafter the changes made by this amendatory Act of the 91st
13General Assembly apply to the same extent that they apply to
14redevelopment plans and redevelopment projects that were
15approved and redevelopment projects that were designated
16before the effective date of this amendatory Act of the 91st
17General Assembly.
18    A municipality may:
19        (a) By ordinance introduced in the governing body of
20    the municipality within 14 to 90 days from the completion
21    of the hearing specified in Section 11-74.4-5 approve
22    redevelopment plans and redevelopment projects, and
23    designate redevelopment project areas pursuant to notice
24    and hearing required by this Act. No redevelopment project
25    area shall be designated unless a plan and project are
26    approved prior to the designation of such area and such

 

 

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1    area shall include only those contiguous parcels of real
2    property and improvements thereon substantially benefited
3    by the proposed redevelopment project improvements. Upon
4    adoption of the ordinances, the municipality shall
5    forthwith transmit to the county clerk of the county or
6    counties within which the redevelopment project area is
7    located a certified copy of the ordinances, a legal
8    description of the redevelopment project area, a map of
9    the redevelopment project area, identification of the year
10    that the county clerk shall use for determining the total
11    initial equalized assessed value of the redevelopment
12    project area consistent with subsection (a) of Section
13    11-74.4-9, and a list of the parcel or tax identification
14    number of each parcel of property included in the
15    redevelopment project area.
16        (b) Make and enter into all contracts with property
17    owners, developers, tenants, overlapping taxing bodies,
18    and others necessary or incidental to the implementation
19    and furtherance of its redevelopment plan and project.
20    Contract provisions concerning loan repayment obligations
21    in contracts entered into on or after the effective date
22    of this amendatory Act of the 93rd General Assembly shall
23    terminate no later than the last to occur of the estimated
24    dates of completion of the redevelopment project and
25    retirement of the obligations issued to finance
26    redevelopment project costs as required by item (3) of

 

 

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1    subsection (n) of Section 11-74.4-3. Payments received
2    under contracts entered into by the municipality prior to
3    the effective date of this amendatory Act of the 93rd
4    General Assembly that are received after the redevelopment
5    project area has been terminated by municipal ordinance
6    shall be deposited into a special fund of the municipality
7    to be used for other community redevelopment needs within
8    the redevelopment project area.
9        (c) Within a redevelopment project area, acquire by
10    purchase, donation, lease or eminent domain; own, convey,
11    lease, mortgage or dispose of land and other property,
12    real or personal, or rights or interests therein, and
13    grant or acquire licenses, easements and options with
14    respect thereto, all in the manner and at such price the
15    municipality determines is reasonably necessary to achieve
16    the objectives of the redevelopment plan and project. No
17    conveyance, lease, mortgage, disposition of land or other
18    property owned by a municipality, or agreement relating to
19    the development of such municipal property shall be made
20    except upon the adoption of an ordinance by the corporate
21    authorities of the municipality. Furthermore, no
22    conveyance, lease, mortgage, or other disposition of land
23    owned by a municipality or agreement relating to the
24    development of such municipal property shall be made
25    without making public disclosure of the terms of the
26    disposition and all bids and proposals made in response to

 

 

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1    the municipality's request. The procedures for obtaining
2    such bids and proposals shall provide reasonable
3    opportunity for any person to submit alternative proposals
4    or bids.
5        (d) Within a redevelopment project area, clear any
6    area by demolition or removal of any existing buildings
7    and structures.
8        (e) Within a redevelopment project area, renovate or
9    rehabilitate or construct any structure or building, as
10    permitted under this Act.
11        (f) Install, repair, construct, reconstruct or
12    relocate streets, utilities and site improvements
13    essential to the preparation of the redevelopment area for
14    use in accordance with a redevelopment plan.
15        (g) Within a redevelopment project area, fix, charge
16    and collect fees, rents and charges for the use of any
17    building or property owned or leased by it or any part
18    thereof, or facility therein.
19        (h) Accept grants, guarantees and donations of
20    property, labor, or other things of value from a public or
21    private source for use within a project redevelopment
22    area.
23        (i) Acquire and construct public facilities within a
24    redevelopment project area, as permitted under this Act.
25        (j) Incur project redevelopment costs and reimburse
26    developers who incur redevelopment project costs

 

 

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1    authorized by a redevelopment agreement; provided,
2    however, that on and after the effective date of this
3    amendatory Act of the 91st General Assembly, no
4    municipality shall incur redevelopment project costs
5    (except for planning costs and any other eligible costs
6    authorized by municipal ordinance or resolution that are
7    subsequently included in the redevelopment plan for the
8    area and are incurred by the municipality after the
9    ordinance or resolution is adopted) that are not
10    consistent with the program for accomplishing the
11    objectives of the redevelopment plan as included in that
12    plan and approved by the municipality until the
13    municipality has amended the redevelopment plan as
14    provided elsewhere in this Act.
15        (k) Create a commission of not less than 5 or more than
16    15 persons to be appointed by the mayor or president of the
17    municipality with the consent of the majority of the
18    governing board of the municipality. Members of a
19    commission appointed after the effective date of this
20    amendatory Act of 1987 shall be appointed for initial
21    terms of 1, 2, 3, 4 and 5 years, respectively, in such
22    numbers as to provide that the terms of not more than 1/3
23    of all such members shall expire in any one year. Their
24    successors shall be appointed for a term of 5 years. The
25    commission, subject to approval of the corporate
26    authorities may exercise the powers enumerated in this

 

 

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1    Section. The commission shall also have the power to hold
2    the public hearings required by this division and make
3    recommendations to the corporate authorities concerning
4    the adoption of redevelopment plans, redevelopment
5    projects and designation of redevelopment project areas.
6        (l) Make payment in lieu of taxes or a portion thereof
7    to taxing districts. If payments in lieu of taxes or a
8    portion thereof are made to taxing districts, those
9    payments shall be made to all districts within a project
10    redevelopment area on a basis which is proportional to the
11    current collections of revenue which each taxing district
12    receives from real property in the redevelopment project
13    area.
14        (m) Exercise any and all other powers necessary to
15    effectuate the purposes of this Act.
16        (n) If any member of the corporate authority, a member
17    of a commission established pursuant to Section
18    11-74.4-4(k) of this Act, or an employee or consultant of
19    the municipality involved in the planning and preparation
20    of a redevelopment plan, or project for a redevelopment
21    project area or proposed redevelopment project area, as
22    defined in Sections 11-74.4-3(i) through (k) of this Act,
23    owns or controls an interest, direct or indirect, in any
24    property included in any redevelopment area, or proposed
25    redevelopment area, he or she shall disclose the same in
26    writing to the clerk of the municipality, and shall also

 

 

HB0179- 68 -LRB102 03584 AWJ 13597 b

1    so disclose the dates and terms and conditions of any
2    disposition of any such interest, which disclosures shall
3    be acknowledged by the corporate authorities and entered
4    upon the minute books of the corporate authorities. If an
5    individual holds such an interest then that individual
6    shall refrain from any further official involvement in
7    regard to such redevelopment plan, project or area, from
8    voting on any matter pertaining to such redevelopment
9    plan, project or area, or communicating with other members
10    concerning corporate authorities, commission or employees
11    concerning any matter pertaining to said redevelopment
12    plan, project or area. Furthermore, no such member or
13    employee shall acquire of any interest direct, or
14    indirect, in any property in a redevelopment area or
15    proposed redevelopment area after either (a) such
16    individual obtains knowledge of such plan, project or area
17    or (b) first public notice of such plan, project or area
18    pursuant to Section 11-74.4-6 of this Division, whichever
19    occurs first. For the purposes of this subsection, a
20    property interest acquired in a single parcel of property
21    by a member of the corporate authority, which property is
22    used exclusively as the member's primary residence, shall
23    not be deemed to constitute an interest in any property
24    included in a redevelopment area or proposed redevelopment
25    area that was established before December 31, 1989, but
26    the member must disclose the acquisition to the municipal

 

 

HB0179- 69 -LRB102 03584 AWJ 13597 b

1    clerk under the provisions of this subsection. A single
2    property interest acquired within one year after the
3    effective date of this amendatory Act of the 94th General
4    Assembly or 2 years after the effective date of this
5    amendatory Act of the 95th General Assembly by a member of
6    the corporate authority does not constitute an interest in
7    any property included in any redevelopment area or
8    proposed redevelopment area, regardless of when the
9    redevelopment area was established, if (i) the property is
10    used exclusively as the member's primary residence, (ii)
11    the member discloses the acquisition to the municipal
12    clerk under the provisions of this subsection, (iii) the
13    acquisition is for fair market value, (iv) the member
14    acquires the property as a result of the property being
15    publicly advertised for sale, and (v) the member refrains
16    from voting on, and communicating with other members
17    concerning, any matter when the benefits to the
18    redevelopment project or area would be significantly
19    greater than the benefits to the municipality as a whole.
20    For the purposes of this subsection, a month-to-month
21    leasehold interest in a single parcel of property by a
22    member of the corporate authority shall not be deemed to
23    constitute an interest in any property included in any
24    redevelopment area or proposed redevelopment area, but the
25    member must disclose the interest to the municipal clerk
26    under the provisions of this subsection.

 

 

HB0179- 70 -LRB102 03584 AWJ 13597 b

1        (o) Create a Tax Increment Economic Development
2    Advisory Committee to be appointed by the Mayor or
3    President of the municipality with the consent of the
4    majority of the governing board of the municipality, the
5    members of which Committee shall be appointed for initial
6    terms of 1, 2, 3, 4 and 5 years respectively, in such
7    numbers as to provide that the terms of not more than 1/3
8    of all such members shall expire in any one year. Their
9    successors shall be appointed for a term of 5 years. The
10    Committee shall have none of the powers enumerated in this
11    Section. The Committee shall serve in an advisory capacity
12    only. The Committee may advise the governing Board of the
13    municipality and other municipal officials regarding
14    development issues and opportunities within the
15    redevelopment project area or the area within the State
16    Sales Tax Boundary. The Committee may also promote and
17    publicize development opportunities in the redevelopment
18    project area or the area within the State Sales Tax
19    Boundary.
20        (p) Municipalities may jointly undertake and perform
21    redevelopment plans and projects and utilize the
22    provisions of the Act wherever they have contiguous
23    redevelopment project areas or they determine to adopt tax
24    increment financing with respect to a redevelopment
25    project area which includes contiguous real property
26    within the boundaries of the municipalities, and in doing

 

 

HB0179- 71 -LRB102 03584 AWJ 13597 b

1    so, they may, by agreement between municipalities, issue
2    obligations, separately or jointly, and expend revenues
3    received under the Act for eligible expenses anywhere
4    within contiguous redevelopment project areas or as
5    otherwise permitted in the Act. With respect to
6    redevelopment project areas that are established within a
7    transit facility improvement area, the provisions of this
8    subsection apply only with respect to such redevelopment
9    project areas that are contiguous to each other.
10        Except for municipalities jointly undertaking and
11    performing redevelopment plans or otherwise utilizing the
12    provisions of this subsection on the effective date of
13    this amendatory Act of the 102nd General Assembly, a
14    municipality shall not utilize the provisions of this
15    subsection for any property that is more than one mile
16    from the border where the redevelopment project areas are
17    contiguous. A municipality utilizing this subsection on
18    the effective date of this amendatory Act of the 102nd
19    General Assembly shall conform to the requirements of this
20    paragraph as soon as is possible after the effective date
21    of this amendatory Act of the 102nd General Assembly.
22        (q) Utilize revenues, other than State sales tax
23    increment revenues, received under this Act from one
24    redevelopment project area for eligible costs in another
25    redevelopment project area that is:
26            (i) contiguous to the redevelopment project area

 

 

HB0179- 72 -LRB102 03584 AWJ 13597 b

1        from which the revenues are received;
2            (ii) separated only by a public right of way from
3        the redevelopment project area from which the revenues
4        are received; or
5            (iii) separated only by forest preserve property
6        from the redevelopment project area from which the
7        revenues are received if the closest boundaries of the
8        redevelopment project areas that are separated by the
9        forest preserve property are less than one mile apart.
10        Utilize tax increment revenues for eligible costs that
11    are received from a redevelopment project area created
12    under the Industrial Jobs Recovery Law that is either
13    contiguous to, or is separated only by a public right of
14    way from, the redevelopment project area created under
15    this Act which initially receives these revenues. Utilize
16    revenues, other than State sales tax increment revenues,
17    by transferring or loaning such revenues to a
18    redevelopment project area created under the Industrial
19    Jobs Recovery Law that is either contiguous to, or
20    separated only by a public right of way from the
21    redevelopment project area that initially produced and
22    received those revenues; and, if the redevelopment project
23    area (i) was established before the effective date of this
24    amendatory Act of the 91st General Assembly and (ii) is
25    located within a municipality with a population of more
26    than 100,000, utilize revenues or proceeds of obligations

 

 

HB0179- 73 -LRB102 03584 AWJ 13597 b

1    authorized by Section 11-74.4-7 of this Act, other than
2    use or occupation tax revenues, to pay for any
3    redevelopment project costs as defined by subsection (q)
4    of Section 11-74.4-3 to the extent that the redevelopment
5    project costs involve public property that is either
6    contiguous to, or separated only by a public right of way
7    from, a redevelopment project area whether or not
8    redevelopment project costs or the source of payment for
9    the costs are specifically set forth in the redevelopment
10    plan for the redevelopment project area.
11        Except for municipalities utilizing revenues under the
12    provisions of this subsection on the effective date of
13    this amendatory Act of the 102nd General Assembly, a
14    municipality shall not utilize revenue for any property
15    that is more than one mile from the border where the
16    redevelopment project areas are contiguous, separated by a
17    public right of way, or separated by forest preserve
18    property. A municipality utilizing revenues under the
19    provisions of this subsection on the effective date of
20    this amendatory Act of the 102nd General Assembly shall
21    conform to the requirements of this paragraph as soon as
22    is possible after the effective date of this amendatory
23    Act of the 102nd General Assembly.
24        (r) If no redevelopment project has been initiated in
25    a redevelopment project area within 7 years after the area
26    was designated by ordinance under subsection (a), the

 

 

HB0179- 74 -LRB102 03584 AWJ 13597 b

1    municipality shall adopt an ordinance repealing the area's
2    designation as a redevelopment project area; provided,
3    however, that if an area received its designation more
4    than 3 years before the effective date of this amendatory
5    Act of 1994 and no redevelopment project has been
6    initiated within 4 years after the effective date of this
7    amendatory Act of 1994, the municipality shall adopt an
8    ordinance repealing its designation as a redevelopment
9    project area. Initiation of a redevelopment project shall
10    be evidenced by either a signed redevelopment agreement or
11    expenditures on eligible redevelopment project costs
12    associated with a redevelopment project.
13        Notwithstanding any other provision of this Section to
14    the contrary, with respect to a redevelopment project area
15    designated by an ordinance that was adopted on July 29,
16    1998 by the City of Chicago, the City of Chicago shall
17    adopt an ordinance repealing the area's designation as a
18    redevelopment project area if no redevelopment project has
19    been initiated in the redevelopment project area within 15
20    years after the designation of the area. The City of
21    Chicago may retroactively repeal any ordinance adopted by
22    the City of Chicago, pursuant to this subsection (r), that
23    repealed the designation of a redevelopment project area
24    designated by an ordinance that was adopted by the City of
25    Chicago on July 29, 1998. The City of Chicago has 90 days
26    after the effective date of this amendatory Act to repeal

 

 

HB0179- 75 -LRB102 03584 AWJ 13597 b

1    the ordinance. The changes to this Section made by this
2    amendatory Act of the 96th General Assembly apply
3    retroactively to July 27, 2005.
4(Source: P.A. 99-792, eff. 8-12-16.)
 
5    (65 ILCS 5/11-74.4-5)  (from Ch. 24, par. 11-74.4-5)
6    Sec. 11-74.4-5. Public hearing; joint review board.
7    (a) The changes made by this amendatory Act of the 91st
8General Assembly do not apply to a municipality that, (i)
9before the effective date of this amendatory Act of the 91st
10General Assembly, has adopted an ordinance or resolution
11fixing a time and place for a public hearing under this Section
12or (ii) before July 1, 1999, has adopted an ordinance or
13resolution providing for a feasibility study under Section
1411-74.4-4.1, but has not yet adopted an ordinance approving
15redevelopment plans and redevelopment projects or designating
16redevelopment project areas under Section 11-74.4-4, until
17after that municipality adopts an ordinance approving
18redevelopment plans and redevelopment projects or designating
19redevelopment project areas under Section 11-74.4-4;
20thereafter the changes made by this amendatory Act of the 91st
21General Assembly apply to the same extent that they apply to
22redevelopment plans and redevelopment projects that were
23approved and redevelopment projects that were designated
24before the effective date of this amendatory Act of the 91st
25General Assembly.

 

 

HB0179- 76 -LRB102 03584 AWJ 13597 b

1    Prior to the adoption of an ordinance proposing the
2designation of a redevelopment project area, or approving a
3redevelopment plan or redevelopment project, the municipality
4by its corporate authorities, or as it may determine by any
5commission designated under subsection (k) of Section
611-74.4-4 shall adopt an ordinance or resolution fixing a time
7and place for public hearing. At least 10 days prior to the
8adoption of the ordinance or resolution establishing the time
9and place for the public hearing, the municipality shall make
10available for public inspection a redevelopment plan or a
11separate report that provides in reasonable detail the basis
12for the eligibility of the redevelopment project area. The
13report along with the name of a person to contact for further
14information shall be sent within a reasonable time after the
15adoption of such ordinance or resolution to the affected
16taxing districts by certified mail. On and after the effective
17date of this amendatory Act of the 91st General Assembly, the
18municipality shall print in a newspaper of general circulation
19within the municipality a notice that interested persons may
20register with the municipality in order to receive information
21on the proposed designation of a redevelopment project area or
22the approval of a redevelopment plan. The notice shall state
23the place of registration and the operating hours of that
24place. The municipality shall have adopted reasonable rules to
25implement this registration process under Section 11-74.4-4.2.
26The municipality shall provide notice of the availability of

 

 

HB0179- 77 -LRB102 03584 AWJ 13597 b

1the redevelopment plan and eligibility report, including how
2to obtain this information, by mail within a reasonable time
3after the adoption of the ordinance or resolution, to all
4residential addresses that, after a good faith effort, the
5municipality determines are located outside the proposed
6redevelopment project area and within 750 feet of the
7boundaries of the proposed redevelopment project area. This
8requirement is subject to the limitation that in a
9municipality with a population of over 100,000, if the total
10number of residential addresses outside the proposed
11redevelopment project area and within 750 feet of the
12boundaries of the proposed redevelopment project area exceeds
13750, the municipality shall be required to provide the notice
14to only the 750 residential addresses that, after a good faith
15effort, the municipality determines are outside the proposed
16redevelopment project area and closest to the boundaries of
17the proposed redevelopment project area. Notwithstanding the
18foregoing, notice given after August 7, 2001 (the effective
19date of Public Act 92-263) and before the effective date of
20this amendatory Act of the 92nd General Assembly to
21residential addresses within 750 feet of the boundaries of a
22proposed redevelopment project area shall be deemed to have
23been sufficiently given in compliance with this Act if given
24only to residents outside the boundaries of the proposed
25redevelopment project area. The notice shall also be provided
26by the municipality, regardless of its population, to those

 

 

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1organizations and residents that have registered with the
2municipality for that information in accordance with the
3registration guidelines established by the municipality under
4Section 11-74.4-4.2.
5    At the public hearing any interested person or affected
6taxing district may file with the municipal clerk written
7objections to and may be heard orally in respect to any issues
8embodied in the notice. The municipality shall hear all
9protests and objections at the hearing and the hearing may be
10adjourned to another date without further notice other than a
11motion to be entered upon the minutes fixing the time and place
12of the subsequent hearing. At the public hearing or at any time
13prior to the adoption by the municipality of an ordinance
14approving a redevelopment plan, the municipality may make
15changes in the redevelopment plan. Changes which (1) add
16additional parcels of property to the proposed redevelopment
17project area, (2) substantially affect the general land uses
18proposed in the redevelopment plan, (3) substantially change
19the nature of or extend the life of the redevelopment project,
20or (4) increase the number of inhabited residential units to
21be displaced from the redevelopment project area, as measured
22from the time of creation of the redevelopment project area,
23to a total of more than 10, shall be made only after the
24municipality gives notice, convenes a joint review board, and
25conducts a public hearing pursuant to the procedures set forth
26in this Section and in Section 11-74.4-6 of this Act. Changes

 

 

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1which do not (1) add additional parcels of property to the
2proposed redevelopment project area, (2) substantially affect
3the general land uses proposed in the redevelopment plan, (3)
4substantially change the nature of or extend the life of the
5redevelopment project, or (4) increase the number of inhabited
6residential units to be displaced from the redevelopment
7project area, as measured from the time of creation of the
8redevelopment project area, to a total of more than 10, may be
9made without further hearing, provided that the municipality
10shall give notice of any such changes by mail to each affected
11taxing district and registrant on the interested parties
12registry, provided for under Section 11-74.4-4.2, and by
13publication in a newspaper of general circulation within the
14affected taxing district. Such notice by mail and by
15publication shall each occur not later than 10 days following
16the adoption by ordinance of such changes. Hearings with
17regard to a redevelopment project area, project or plan may be
18held simultaneously.
19    (b) Prior to holding a public hearing to approve or amend a
20redevelopment plan, or to designate or add additional parcels
21of property to a redevelopment project area, or to reevaluate
22whether a redevelopment project area designed as a blighted
23area is still a blighted area under Section 11-74.4-3.7, the
24municipality shall convene a joint review board. The board
25shall consist of a representative selected by each community
26college district, local elementary school district and high

 

 

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1school district or each local community unit school district,
2park district, library district, township, fire protection
3district, and county that will have the authority to directly
4levy taxes on the property within the proposed redevelopment
5project area at the time that the proposed redevelopment
6project area is approved, a representative selected by the
7municipality and a public member. The public member shall
8first be selected and then the board's chairperson shall be
9selected by a majority of the board members present and
10voting.
11    For redevelopment project areas with redevelopment plans
12or proposed redevelopment plans that would result in the
13displacement of residents from 10 or more inhabited
14residential units or that include 75 or more inhabited
15residential units, the public member shall be a person who
16resides in the redevelopment project area. If, as determined
17by the housing impact study provided for in paragraph (5) of
18subsection (n) of Section 11-74.4-3, or if no housing impact
19study is required then based on other reasonable data, the
20majority of residential units are occupied by very low, low,
21or moderate income households, as defined in Section 3 of the
22Illinois Affordable Housing Act, the public member shall be a
23person who resides in very low, low, or moderate income
24housing within the redevelopment project area. Municipalities
25with fewer than 15,000 residents shall not be required to
26select a person who lives in very low, low, or moderate income

 

 

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1housing within the redevelopment project area, provided that
2the redevelopment plan or project will not result in
3displacement of residents from 10 or more inhabited units, and
4the municipality so certifies in the plan. If no person
5satisfying these requirements is available or if no qualified
6person will serve as the public member, then the joint review
7board is relieved of this paragraph's selection requirements
8for the public member.
9    Within 90 days of the effective date of this amendatory
10Act of the 91st General Assembly, each municipality that
11designated a redevelopment project area for which it was not
12required to convene a joint review board under this Section
13shall convene a joint review board to perform the duties
14specified under paragraph (e) of this Section.
15    All board members shall be appointed and the first board
16meeting shall be held at least 14 days but not more than 28
17days after the mailing of notice by the municipality to the
18taxing districts as required by Section 11-74.4-6(c).
19Notwithstanding the preceding sentence, a municipality that
20adopted either a public hearing resolution or a feasibility
21resolution between July 1, 1999 and July 1, 2000 that called
22for the meeting of the joint review board within 14 days of
23notice of public hearing to affected taxing districts is
24deemed to be in compliance with the notice, meeting, and
25public hearing provisions of the Act. Such notice shall also
26advise the taxing bodies represented on the joint review board

 

 

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1of the time and place of the first meeting of the board.
2Additional meetings of the board shall be held upon the call of
3any member. The municipality seeking reevaluation or
4designation of the redevelopment project area shall provide
5administrative support to the board.
6    The board shall review (i) the public record, planning
7documents and proposed ordinances approving the redevelopment
8plan and project, and (ii) proposed amendments to the
9redevelopment plan or additions of parcels of property to the
10redevelopment project area to be adopted by the municipality,
11and (iii) documents relating to the reevaluation of a
12redevelopment project area under Section 11-74.4-3.7. As part
13of its deliberations, the board may hold additional hearings
14on the proposal. A board's recommendation shall be an
15advisory, non-binding recommendation. The recommendation shall
16be adopted by a majority of those members present and voting.
17The recommendations shall be submitted to the municipality
18within 30 days after convening of the board. Failure of the
19board to submit its report on a timely basis shall not be cause
20to delay the public hearing or any other step in the process of
21designating or amending the redevelopment project area but
22shall be deemed to constitute approval by the joint review
23board of the matters before it.
24    The board shall base its recommendation to approve or
25disapprove the redevelopment plan and the designation of the
26redevelopment project area, or the amendment of the

 

 

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1redevelopment plan or addition of parcels of property to the
2redevelopment project area, or the redesignation of a
3redevelopment project area as a blighted area under Section
411-74.4-3.7 on the basis of the redevelopment project area and
5redevelopment plan satisfying the plan requirements, the
6eligibility criteria defined in Section 11-74.4-3, and the
7objectives of this Act.
8    The board shall issue a written report describing why the
9redevelopment plan and project area, or the amendment thereof,
10or the redesignation of a redevelopment project area as a
11blighted area under Section 11-74.4-3.7 meets or fails to meet
12one or more of the objectives of this Act and both the plan
13requirements and the eligibility criteria defined in Section
1411-74.4-3. In the event the Board does not file a report it
15shall be presumed that these taxing bodies find the
16redevelopment project area and redevelopment plan satisfy the
17objectives of this Act and the plan requirements and
18eligibility criteria.
19    If the board recommends rejection of the matters before
20it, the municipality will have 30 days within which to
21resubmit the plan, or amendment, or reevaluation
22documentation. During this period, the municipality will meet
23and confer with the board and attempt to resolve those issues
24set forth in the board's written report that led to the
25rejection of the plan or amendment.
26    Notwithstanding the resubmission set forth above, the

 

 

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1municipality may commence the scheduled public hearing and
2either adjourn the public hearing or continue the public
3hearing until a date certain. Prior to continuing any public
4hearing to a date certain, the municipality shall announce
5during the public hearing the time, date, and location for the
6reconvening of the public hearing. Any changes to the
7redevelopment plan necessary to satisfy the issues set forth
8in the joint review board report shall be the subject of a
9public hearing before the hearing is adjourned if the changes
10would (1) substantially affect the general land uses proposed
11in the redevelopment plan, (2) substantially change the nature
12of or extend the life of the redevelopment project, or (3)
13increase the number of inhabited residential units to be
14displaced from the redevelopment project area, as measured
15from the time of creation of the redevelopment project area,
16to a total of more than 10. Changes to the redevelopment plan
17necessary to satisfy the issues set forth in the joint review
18board report shall not require any further notice or convening
19of a joint review board meeting, except that any changes to the
20redevelopment plan that would add additional parcels of
21property to the proposed redevelopment project area shall be
22subject to the notice, public hearing, and joint review board
23meeting requirements established for such changes by
24subsection (a) of Section 11-74.4-5.
25    In the event that the municipality and the board are
26unable to resolve these differences, or in the event that the

 

 

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1resubmitted plan or amendment is rejected by the board, the
2municipality may proceed with the plan, or amendment, or
3redesignation, but only upon a three-fifths vote of the
4corporate authority responsible for approval of the plan, or
5amendment, or redesignation, excluding positions of members
6that are vacant and those members that are ineligible to vote
7because of conflicts of interest.
8    (c) After a municipality has by ordinance approved a
9redevelopment plan and designated a redevelopment project
10area, the plan may be amended and additional properties may be
11added to the redevelopment project area only as herein
12provided. Amendments which (1) add additional parcels of
13property to the proposed redevelopment project area, (2)
14substantially affect the general land uses proposed in the
15redevelopment plan, (3) substantially change the nature of the
16redevelopment project, (4) increase the total estimated
17redevelopment project costs set out in the redevelopment plan
18by more than 5% after adjustment for inflation from the date
19the plan was adopted, (5) add additional redevelopment project
20costs to the itemized list of redevelopment project costs set
21out in the redevelopment plan, or (6) increase the number of
22inhabited residential units to be displaced from the
23redevelopment project area, as measured from the time of
24creation of the redevelopment project area, to a total of more
25than 10, shall be made only after the municipality gives
26notice, convenes a joint review board, and conducts a public

 

 

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1hearing pursuant to the procedures set forth in this Section
2and in Section 11-74.4-6 of this Act. Changes which do not (1)
3add additional parcels of property to the proposed
4redevelopment project area, (2) substantially affect the
5general land uses proposed in the redevelopment plan, (3)
6substantially change the nature of the redevelopment project,
7(4) increase the total estimated redevelopment project cost
8set out in the redevelopment plan by more than 5% after
9adjustment for inflation from the date the plan was adopted,
10(5) add additional redevelopment project costs to the itemized
11list of redevelopment project costs set out in the
12redevelopment plan, or (6) increase the number of inhabited
13residential units to be displaced from the redevelopment
14project area, as measured from the time of creation of the
15redevelopment project area, to a total of more than 10, may be
16made without further public hearing and related notices and
17procedures including the convening of a joint review board as
18set forth in Section 11-74.4-6 of this Act, provided that the
19municipality shall give notice of any such changes by mail to
20each affected taxing district and registrant on the interested
21parties registry, provided for under Section 11-74.4-4.2, and
22by publication in a newspaper of general circulation within
23the affected taxing district. Such notice by mail and by
24publication shall each occur not later than 10 days following
25the adoption by ordinance of such changes.
26    (d) After the effective date of this amendatory Act of the

 

 

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191st General Assembly, a municipality shall submit in an
2electronic format the following information for each
3redevelopment project area (i) to the State Comptroller under
4Section 8-8-3.5 of the Illinois Municipal Code, subject to any
5extensions or exemptions provided at the Comptroller's
6discretion under that Section, and (ii) to all taxing
7districts overlapping the redevelopment project area no later
8than 180 days after the close of each municipal fiscal year or
9as soon thereafter as the audited financial statements become
10available and, in any case, shall be submitted before the
11annual meeting of the Joint Review Board to each of the taxing
12districts that overlap the redevelopment project area:
13        (1) Any amendments to the redevelopment plan, the
14    redevelopment project area, or the State Sales Tax
15    Boundary.
16        (1.5) A list of the redevelopment project areas
17    administered by the municipality and, if applicable, the
18    date each redevelopment project area was designated or
19    terminated by the municipality.
20        (2) Audited financial statements of the special tax
21    allocation fund once a cumulative total of $100,000 has
22    been deposited in the fund.
23        (3) Certification of the Chief Executive Officer of
24    the municipality that the municipality has complied with
25    all of the requirements of this Act during the preceding
26    fiscal year.

 

 

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1        (4) An opinion of legal counsel that the municipality
2    is in compliance with this Act.
3        (5) An analysis of the special tax allocation fund
4    which sets forth:
5            (A) the balance in the special tax allocation fund
6        at the beginning of the fiscal year;
7            (B) all amounts deposited in the special tax
8        allocation fund by source;
9            (C) an itemized list of all expenditures from the
10        special tax allocation fund by category of permissible
11        redevelopment project cost; and
12            (D) the balance in the special tax allocation fund
13        at the end of the fiscal year including a breakdown of
14        that balance by source and a breakdown of that balance
15        identifying any portion of the balance that is
16        required, pledged, earmarked, or otherwise designated
17        for payment of or securing of obligations and
18        anticipated redevelopment project costs. Any portion
19        of such ending balance that has not been identified or
20        is not identified as being required, pledged,
21        earmarked, or otherwise designated for payment of or
22        securing of obligations or anticipated redevelopment
23        projects costs shall be designated as surplus as set
24        forth in Section 11-74.4-7 hereof.
25        (6) A description of all property purchased by the
26    municipality within the redevelopment project area

 

 

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1    including:
2            (A) Street address.
3            (B) Approximate size or description of property.
4            (C) Purchase price.
5            (D) Seller of property.
6        (7) A statement setting forth all activities
7    undertaken in furtherance of the objectives of the
8    redevelopment plan, including:
9            (A) Any project implemented in the preceding
10        fiscal year.
11            (B) A description of the redevelopment activities
12        undertaken.
13            (C) A description of any agreements entered into
14        by the municipality with regard to the disposition or
15        redevelopment of any property within the redevelopment
16        project area or the area within the State Sales Tax
17        Boundary.
18            (D) Additional information on the use of all funds
19        received under this Division and steps taken by the
20        municipality to achieve the objectives of the
21        redevelopment plan.
22            (E) Information regarding contracts that the
23        municipality's tax increment advisors or consultants
24        have entered into with entities or persons that have
25        received, or are receiving, payments financed by tax
26        increment revenues produced by the same redevelopment

 

 

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1        project area.
2            (F) Any reports submitted to the municipality by
3        the joint review board.
4            (G) A review of public and, to the extent
5        possible, private investment actually undertaken to
6        date after the effective date of this amendatory Act
7        of the 91st General Assembly and estimated to be
8        undertaken during the following year. This review
9        shall, on a project-by-project basis, set forth the
10        estimated amounts of public and private investment
11        incurred after the effective date of this amendatory
12        Act of the 91st General Assembly and provide the ratio
13        of private investment to public investment to the date
14        of the report and as estimated to the completion of the
15        redevelopment project.
16        (8) With regard to any obligations issued by the
17    municipality:
18            (A) copies of any official statements; and
19            (B) an analysis prepared by financial advisor or
20        underwriter setting forth: (i) nature and term of
21        obligation; and (ii) projected debt service including
22        required reserves and debt coverage.
23        (9) For special tax allocation 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
8    the Illinois Municipal Auditing Law of the Illinois
9    Municipal Code. The audit report shall contain a letter
10    from the independent certified public accountant
11    indicating compliance or noncompliance with the
12    requirements of subsection (q) of Section 11-74.4-3. For
13    redevelopment plans or projects that would result in the
14    displacement of residents from 10 or more inhabited
15    residential units or that contain 75 or more inhabited
16    residential units, notice of the availability of the
17    information, including how to obtain the report, required
18    in this subsection shall also be sent by mail to all
19    residents or organizations that operate in the
20    municipality that register with the municipality for that
21    information according to registration procedures adopted
22    under Section 11-74.4-4.2. All municipalities are subject
23    to this provision.
24        (10) A list of all intergovernmental agreements in
25    effect during the fiscal year to which the municipality is
26    a party and an accounting of any moneys transferred or

 

 

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1    received by the municipality during that fiscal year
2    pursuant to those intergovernmental agreements.
3    (d-1) Prior to the effective date of this amendatory Act
4of the 91st General Assembly, municipalities with populations
5of over 1,000,000 shall, after adoption of a redevelopment
6plan or project, make available upon request to any taxing
7district in which the redevelopment project area is located
8the following information:
9        (1) Any amendments to the redevelopment plan, the
10    redevelopment project area, or the State Sales Tax
11    Boundary; and
12        (2) In connection with any redevelopment project area
13    for which the municipality has outstanding obligations
14    issued to provide for redevelopment project costs pursuant
15    to Section 11-74.4-7, audited financial statements of the
16    special tax allocation fund.
17    (e) The joint review board shall meet annually 180 days
18after the close of the municipal fiscal year or as soon as the
19redevelopment project audit for that fiscal year becomes
20available to review the effectiveness and status of the
21redevelopment project area up to that date.
22    (f) (Blank).
23    (g) In the event that a municipality has held a public
24hearing under this Section prior to March 14, 1994 (the
25effective date of Public Act 88-537), the requirements imposed
26by Public Act 88-537 relating to the method of fixing the time

 

 

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1and place for public hearing, the materials and information
2required to be made available for public inspection, and the
3information required to be sent after adoption of an ordinance
4or resolution fixing a time and place for public hearing shall
5not be applicable.
6    (h) On and after the effective date of this amendatory Act
7of the 96th General Assembly, the State Comptroller must post
8on the State Comptroller's official website the information
9submitted by a municipality pursuant to subsection (d) of this
10Section. The information must be posted no later than 45 days
11after the State Comptroller receives the information from the
12municipality. The State Comptroller must also post a list of
13the municipalities not in compliance with the reporting
14requirements set forth in subsection (d) of this Section.
15    (i) No later than 10 years after the corporate authorities
16of a municipality adopt an ordinance to establish a
17redevelopment project area, the municipality must compile a
18status report concerning the redevelopment project area. The
19status report must detail without limitation the following:
20(i) the amount of revenue generated within the redevelopment
21project area, (ii) any expenditures made by the municipality
22for the redevelopment project area including without
23limitation expenditures from the special tax allocation fund,
24(iii) the status of planned activities, goals, and objectives
25set forth in the redevelopment plan including details on new
26or planned construction within the redevelopment project area,

 

 

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1(iv) the amount of private and public investment within the
2redevelopment project area, and (v) any other relevant
3evaluation or performance data. Within 30 days after the
4municipality compiles the status report, the municipality must
5hold at least one public hearing concerning the report. The
6municipality must provide 20 days' public notice of the
7hearing.
8    (j) Beginning in fiscal year 2011 and in each fiscal year
9thereafter, a municipality must detail in its annual budget
10(i) the revenues generated from redevelopment project areas by
11source and (ii) the expenditures made by the municipality for
12redevelopment project areas.
13(Source: P.A. 98-922, eff. 8-15-14.)