093_SB1881enr

 
SB1881 Enrolled                      LRB093 10910 SJM 11433 b

 1        AN ACT concerning taxes.

 2        Be it enacted by the People of  the  State  of  Illinois,
 3    represented in the General Assembly:

 4        Section  5.  The Property Tax Code is amended by changing
 5    Section 18-185 as follows:

 6        (35 ILCS 200/18-185)
 7        Sec. 18-185.  Short title; definitions.  This Division  5
 8    may  be  cited  as the Property Tax Extension Limitation Law.
 9    As used in this Division 5:
10        "Consumer Price Index" means the Consumer Price Index for
11    All Urban Consumers for all items  published  by  the  United
12    States Department of Labor.
13        "Extension  limitation" means (a) the lesser of 5% or the
14    percentage increase in the Consumer Price  Index  during  the
15    12-month  calendar  year  preceding  the levy year or (b) the
16    rate of increase approved by voters under Section 18-205.
17        "Affected county" means a county  of  3,000,000  or  more
18    inhabitants  or  a county contiguous to a county of 3,000,000
19    or more inhabitants.
20        "Taxing  district"  has  the  same  meaning  provided  in
21    Section 1-150, except as otherwise provided in this  Section.
22    For  the 1991 through 1994 levy years only, "taxing district"
23    includes only each non-home rule taxing district  having  the
24    majority  of  its  1990  equalized  assessed value within any
25    county or counties contiguous to a county with  3,000,000  or
26    more inhabitants.  Beginning with the 1995 levy year, "taxing
27    district"  includes  only  each non-home rule taxing district
28    subject to this Law  before  the  1995  levy  year  and  each
29    non-home  rule taxing district not subject to this Law before
30    the 1995 levy year having the majority of its 1994  equalized
31    assessed  value in an affected county or counties.  Beginning
 
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 1    with the levy year in which this Law becomes applicable to  a
 2    taxing  district  as  provided  in  Section  18-213,  "taxing
 3    district"  also  includes those taxing districts made subject
 4    to this Law as provided in Section 18-213.
 5        "Aggregate extension" for taxing districts to which  this
 6    Law  applied  before  the  1995  levy  year  means the annual
 7    corporate extension for the taxing district and those special
 8    purpose extensions that are  made  annually  for  the  taxing
 9    district,  excluding special purpose extensions: (a) made for
10    the taxing district to pay interest or principal  on  general
11    obligation  bonds  that were approved by referendum; (b) made
12    for any taxing district  to  pay  interest  or  principal  on
13    general  obligation  bonds issued before October 1, 1991; (c)
14    made for any taxing district to pay interest or principal  on
15    bonds  issued  to  refund  or  continue to refund those bonds
16    issued before October  1,  1991;  (d)  made  for  any  taxing
17    district  to  pay  interest  or  principal on bonds issued to
18    refund or continue to refund bonds issued  after  October  1,
19    1991  that  were  approved  by  referendum;  (e) made for any
20    taxing district to pay interest or principal on revenue bonds
21    issued before October 1, 1991 for payment of which a property
22    tax levy or the full faith and credit of the  unit  of  local
23    government  is  pledged;  however,  a  tax for the payment of
24    interest or principal on those bonds shall be made only after
25    the governing body of the unit of local government finds that
26    all other sources for payment are insufficient to make  those
27    payments;  (f)  made for payments under a building commission
28    lease when the lease payments are for the retirement of bonds
29    issued by the commission before October 1, 1991, to  pay  for
30    the  building  project;  (g)  made  for  payments  due  under
31    installment  contracts  entered  into before October 1, 1991;
32    (h) made for payments of  principal  and  interest  on  bonds
33    issued  under the Metropolitan Water Reclamation District Act
34    to finance construction projects initiated before October  1,
 
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 1    1991;  (i)  made  for  payments  of principal and interest on
 2    limited  bonds,  as  defined  in  Section  3  of  the   Local
 3    Government  Debt  Reform  Act, in an amount not to exceed the
 4    debt service extension base less the  amount  in  items  (b),
 5    (c),  (e),  and  (h)  of  this  definition for non-referendum
 6    obligations, except obligations initially issued pursuant  to
 7    referendum;  (j)  made for payments of principal and interest
 8    on bonds issued under Section 15 of the Local Government Debt
 9    Reform  Act;  and  (k)  made  by  a  school   district   that
10    participates  in  the  Special  Education  District  of  Lake
11    County,  created  by  special education joint agreement under
12    Section 10-22.31 of the  School  Code,  for  payment  of  the
13    school  district's  share  of  the  amounts  required  to  be
14    contributed  by the Special Education District of Lake County
15    to the Illinois Municipal Retirement Fund under Article 7  of
16    the  Illinois Pension Code; the amount of any extension under
17    this item (k) shall be certified by the  school  district  to
18    the  county clerk; and (l) made to fund expenses of providing
19    joint recreational programs for the handicapped under Section
20    5-8 of the Park District Code  or  Section  11-95-14  of  the
21    Illinois Municipal Code.
22        "Aggregate  extension"  for the taxing districts to which
23    this Law did not apply before  the  1995  levy  year  (except
24    taxing  districts  subject  to  this  Law  in accordance with
25    Section 18-213) means the annual corporate extension for  the
26    taxing district and those special purpose extensions that are
27    made  annually  for  the  taxing  district, excluding special
28    purpose extensions: (a) made for the taxing district  to  pay
29    interest  or  principal on general obligation bonds that were
30    approved by referendum; (b) made for any taxing  district  to
31    pay  interest or principal on general obligation bonds issued
32    before March 1, 1995; (c) made for any taxing district to pay
33    interest or principal on bonds issued to refund  or  continue
34    to  refund  those bonds issued before March 1, 1995; (d) made
 
SB1881 Enrolled             -4-      LRB093 10910 SJM 11433 b
 1    for any taxing district to pay interest or principal on bonds
 2    issued to refund or continue to  refund  bonds  issued  after
 3    March  1, 1995 that were approved by referendum; (e) made for
 4    any taxing district to pay interest or principal  on  revenue
 5    bonds  issued  before  March  1,  1995 for payment of which a
 6    property tax levy or the full faith and credit of the unit of
 7    local government is pledged; however, a tax for  the  payment
 8    of  interest  or  principal on those bonds shall be made only
 9    after the governing body of  the  unit  of  local  government
10    finds  that all other sources for payment are insufficient to
11    make those payments; (f) made for payments under  a  building
12    commission   lease  when  the  lease  payments  are  for  the
13    retirement of bonds issued by the commission before March  1,
14    1995  to  pay for the building project; (g) made for payments
15    due under installment contracts entered into before March  1,
16    1995;  (h)  made  for  payments  of principal and interest on
17    bonds  issued  under  the  Metropolitan   Water   Reclamation
18    District  Act  to  finance  construction  projects  initiated
19    before  October  1,  1991; (i) made for payments of principal
20    and interest on limited bonds, as defined in Section 3 of the
21    Local Government Debt Reform Act, in an amount not to  exceed
22    the debt service extension base less the amount in items (b),
23    (c),   and   (e)   of   this  definition  for  non-referendum
24    obligations, except obligations initially issued pursuant  to
25    referendum  and  bonds  described  in  subsection (h) of this
26    definition; (j) made for payments of principal  and  interest
27    on bonds issued under Section 15 of the Local Government Debt
28    Reform  Act;  (k) made for payments of principal and interest
29    on bonds authorized by Public Act  88-503  and  issued  under
30    Section  20a of the Chicago Park District Act for aquarium or
31    museum projects; (l)  made  for  payments  of  principal  and
32    interest on bonds authorized by Public Act 87-1191 and issued
33    under  Section 42 of the Cook County Forest Preserve District
34    Act for zoological park projects; and (m)  made  pursuant  to
 
SB1881 Enrolled             -5-      LRB093 10910 SJM 11433 b
 1    Section  34-53.5  of the School Code, whether levied annually
 2    or not;   (n)  made  to  fund  expenses  of  providing  joint
 3    recreational  programs  for the handicapped under Section 5-8
 4    of the Park District Code or Section 11-95-14 of the Illinois
 5    Municipal Code; and (o) made by the Chicago Park District for
 6    recreational programs for the  handicapped  under  subsection
 7    (c) of Section 7.06 of the Chicago Park District Act.
 8        "Aggregate  extension"  for all taxing districts to which
 9    this Law applies in accordance with  Section  18-213,  except
10    for  those  taxing  districts  subject  to  paragraph  (2) of
11    subsection (e) of Section 18-213, means the annual  corporate
12    extension  for  the taxing district and those special purpose
13    extensions that are made annually for  the  taxing  district,
14    excluding special purpose extensions: (a) made for the taxing
15    district  to  pay interest or principal on general obligation
16    bonds that were approved by  referendum;  (b)  made  for  any
17    taxing  district  to  pay  interest  or  principal on general
18    obligation  bonds  issued  before  the  date  on  which   the
19    referendum  making this Law applicable to the taxing district
20    is held; (c) made for any taxing district to pay interest  or
21    principal  on  bonds  issued  to refund or continue to refund
22    those bonds issued before the date on  which  the  referendum
23    making  this  Law  applicable to the taxing district is held;
24    (d) made for any taxing district to pay interest or principal
25    on bonds issued to refund or continue to refund bonds  issued
26    after  the  date  on  which  the  referendum  making this Law
27    applicable to the taxing district is held if the  bonds  were
28    approved by referendum after the date on which the referendum
29    making  this  Law  applicable to the taxing district is held;
30    (e) made for any taxing district to pay interest or principal
31    on  revenue  bonds  issued  before  the  date  on  which  the
32    referendum making this Law applicable to the taxing  district
33    is  held for payment of which a property tax levy or the full
34    faith and credit of the unit of local government is  pledged;
 
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 1    however,  a  tax  for the payment of interest or principal on
 2    those bonds shall be made only after the  governing  body  of
 3    the unit of local government finds that all other sources for
 4    payment are insufficient to make those payments; (f) made for
 5    payments  under  a  building  commission lease when the lease
 6    payments are for  the  retirement  of  bonds  issued  by  the
 7    commission  before  the  date  on which the referendum making
 8    this Law applicable to the taxing district is held to pay for
 9    the  building  project;  (g)  made  for  payments  due  under
10    installment contracts entered into before the date  on  which
11    the  referendum  making  this  Law  applicable  to the taxing
12    district is held; (h) made  for  payments  of  principal  and
13    interest  on  limited  bonds,  as defined in Section 3 of the
14    Local Government Debt Reform Act, in an amount not to  exceed
15    the debt service extension base less the amount in items (b),
16    (c),   and   (e)   of   this  definition  for  non-referendum
17    obligations, except obligations initially issued pursuant  to
18    referendum;  (i)  made for payments of principal and interest
19    on bonds issued under Section 15 of the Local Government Debt
20    Reform Act; and (j) made for a qualified airport authority to
21    pay interest or principal on general obligation bonds  issued
22    for the purpose of paying obligations due under, or financing
23    airport  facilities  required  to  be  acquired, constructed,
24    installed or equipped pursuant  to,  contracts  entered  into
25    before  March  1,  1996  (but not including any amendments to
26    such a contract taking effect on or after that date); and (k)
27    made  to  fund  expenses  of  providing  joint   recreational
28    programs  for  the  handicapped under Section 5-8 of the Park
29    District Code or Section 11-95-14 of the  Illinois  Municipal
30    Code.
31        "Aggregate  extension"  for all taxing districts to which
32    this  Law  applies  in  accordance  with  paragraph  (2)   of
33    subsection  (e)  of Section 18-213 means the annual corporate
34    extension for the taxing district and those  special  purpose
 
SB1881 Enrolled             -7-      LRB093 10910 SJM 11433 b
 1    extensions  that  are  made annually for the taxing district,
 2    excluding special purpose extensions: (a) made for the taxing
 3    district to pay interest or principal on  general  obligation
 4    bonds  that  were  approved  by  referendum; (b) made for any
 5    taxing district to  pay  interest  or  principal  on  general
 6    obligation  bonds  issued  before  the effective date of this
 7    amendatory Act of 1997; (c) made for any taxing  district  to
 8    pay  interest  or  principal  on  bonds  issued  to refund or
 9    continue to refund those bonds issued  before  the  effective
10    date  of this amendatory Act of 1997; (d) made for any taxing
11    district to pay interest or  principal  on  bonds  issued  to
12    refund or continue to refund bonds issued after the effective
13    date  of  this  amendatory  Act  of  1997  if  the bonds were
14    approved by referendum  after  the  effective  date  of  this
15    amendatory  Act  of 1997; (e) made for any taxing district to
16    pay interest or principal on revenue bonds issued before  the
17    effective  date of this amendatory Act of 1997 for payment of
18    which a property tax levy or the full faith and credit of the
19    unit of local government is pledged; however, a tax  for  the
20    payment of interest or principal on those bonds shall be made
21    only after the governing body of the unit of local government
22    finds  that all other sources for payment are insufficient to
23    make those payments; (f) made for payments under  a  building
24    commission   lease  when  the  lease  payments  are  for  the
25    retirement of bonds  issued  by  the  commission  before  the
26    effective  date of this amendatory Act of 1997 to pay for the
27    building project; (g) made for payments due under installment
28    contracts entered into before  the  effective  date  of  this
29    amendatory  Act  of  1997; (h) made for payments of principal
30    and interest on limited bonds, as defined in Section 3 of the
31    Local Government Debt Reform Act, in an amount not to  exceed
32    the debt service extension base less the amount in items (b),
33    (c),   and   (e)   of   this  definition  for  non-referendum
34    obligations, except obligations initially issued pursuant  to
 
SB1881 Enrolled             -8-      LRB093 10910 SJM 11433 b
 1    referendum;  (i)  made for payments of principal and interest
 2    on bonds issued under Section 15 of the Local Government Debt
 3    Reform Act; and (j) made for a qualified airport authority to
 4    pay interest or principal on general obligation bonds  issued
 5    for the purpose of paying obligations due under, or financing
 6    airport  facilities  required  to  be  acquired, constructed,
 7    installed or equipped pursuant  to,  contracts  entered  into
 8    before  March  1,  1996  (but not including any amendments to
 9    such a contract taking effect on or after that date); and (k)
10    made  to  fund  expenses  of  providing  joint   recreational
11    programs  for  the  handicapped under Section 5-8 of the Park
12    District Code or Section 11-95-14 of the  Illinois  Municipal
13    Code.
14        "Debt  service  extension  base" means an amount equal to
15    that portion of the extension for a taxing district  for  the
16    1994 levy year, or for those taxing districts subject to this
17    Law  in  accordance  with  Section  18-213,  except for those
18    subject to paragraph (2) of subsection (e) of Section 18-213,
19    for the levy year in which the  referendum  making  this  Law
20    applicable  to  the  taxing  district  is  held, or for those
21    taxing districts subject  to  this  Law  in  accordance  with
22    paragraph  (2)  of  subsection  (e) of Section 18-213 for the
23    1996 levy year, constituting  an  extension  for  payment  of
24    principal and interest on bonds issued by the taxing district
25    without referendum, but not including (i) bonds authorized by
26    Public Act 88-503 and issued under Section 20a of the Chicago
27    Park  District  Act  for  aquarium  and museum projects; (ii)
28    bonds issued under Section 15 of the  Local  Government  Debt
29    Reform  Act;  or (iii) refunding obligations issued to refund
30    or  to  continue  to  refund  obligations  initially   issued
31    pursuant  to  referendum. The debt service extension base may
32    be established or increased as provided under Section 18-212.
33        "Special purpose extensions" include, but are not limited
34    to, extensions  for  levies  made  on  an  annual  basis  for
 
SB1881 Enrolled             -9-      LRB093 10910 SJM 11433 b
 1    unemployment   and   workers'  compensation,  self-insurance,
 2    contributions to pension plans, and extensions made  pursuant
 3    to  Section  6-601  of  the  Illinois Highway Code for a road
 4    district's permanent road fund  whether  levied  annually  or
 5    not.   The  extension  for  a  special  service  area  is not
 6    included in the aggregate extension.
 7        "Aggregate extension base" means  the  taxing  district's
 8    last preceding aggregate extension as adjusted under Sections
 9    18-215 through 18-230.
10        "Levy  year" has the same meaning as "year" under Section
11    1-155.
12        "New property" means (i) the assessed value, after  final
13    board   of   review  or  board  of  appeals  action,  of  new
14    improvements or additions to  existing  improvements  on  any
15    parcel  of  real property that increase the assessed value of
16    that real property during the levy  year  multiplied  by  the
17    equalization  factor  issued  by the Department under Section
18    17-30 and (ii) the  assessed  value,  after  final  board  of
19    review  or  board  of  appeals  action,  of real property not
20    exempt from real estate taxation,  which  real  property  was
21    exempt  from  real  estate  taxation  for  any portion of the
22    immediately  preceding   levy   year,   multiplied   by   the
23    equalization  factor  issued  by the Department under Section
24    17-30. In addition, the county clerk in a county containing a
25    population of 3,000,000 or more shall  include  in  the  1997
26    recovered  tax  increment  value for any school district, any
27    recovered tax increment value that was applicable to the 1995
28    tax year calculations.
29        "Qualified airport authority" means an airport  authority
30    organized  under the Airport Authorities Act and located in a
31    county bordering on the  State  of  Wisconsin  and  having  a
32    population in excess of 200,000 and not greater than 500,000.
33        "Recovered   tax   increment   value"  means,  except  as
34    otherwise provided in  this  paragraph,  the  amount  of  the
 
SB1881 Enrolled             -10-     LRB093 10910 SJM 11433 b
 1    current  year's  equalized  assessed value, in the first year
 2    after a municipality terminates the designation of an area as
 3    a redevelopment project area previously established under the
 4    Tax Increment Allocation  Development  Act  in  the  Illinois
 5    Municipal  Code,  previously established under the Industrial
 6    Jobs  Recovery  Law  in  the  Illinois  Municipal  Code,   or
 7    previously  established  under  the Economic Development Area
 8    Tax Increment Allocation Act, of  each  taxable  lot,  block,
 9    tract,  or  parcel  of  real  property  in  the redevelopment
10    project area over and above the  initial  equalized  assessed
11    value of each property in the redevelopment project area. For
12    the  taxes  which  are  extended  for the 1997 levy year, the
13    recovered tax increment value  for  a  non-home  rule  taxing
14    district  that  first became subject to this Law for the 1995
15    levy year because a majority of its 1994  equalized  assessed
16    value  was  in  an  affected  county  or  counties  shall  be
17    increased  if a municipality terminated the designation of an
18    area in 1993  as  a  redevelopment  project  area  previously
19    established  under  the  Tax Increment Allocation Development
20    Act in the Illinois Municipal  Code,  previously  established
21    under  the  Industrial  Jobs  Recovery  Law  in  the Illinois
22    Municipal Code, or previously established under the  Economic
23    Development  Area  Tax Increment Allocation Act, by an amount
24    equal to the 1994 equalized assessed value  of  each  taxable
25    lot,  block,  tract,  or  parcel  of  real  property  in  the
26    redevelopment   project  area  over  and  above  the  initial
27    equalized  assessed   value   of   each   property   in   the
28    redevelopment  project  area.  In  the  first  year  after  a
29    municipality  removes  a taxable lot, block, tract, or parcel
30    of  real  property  from   a   redevelopment   project   area
31    established  under  the  Tax Increment Allocation Development
32    Act in the  Illinois  Municipal  Code,  the  Industrial  Jobs
33    Recovery  Law in the Illinois Municipal Code, or the Economic
34    Development Area Tax Increment Allocation Act, "recovered tax
 
SB1881 Enrolled             -11-     LRB093 10910 SJM 11433 b
 1    increment value" means  the  amount  of  the  current  year's
 2    equalized  assessed  value of each taxable lot, block, tract,
 3    or parcel of real property  removed  from  the  redevelopment
 4    project  area  over  and above the initial equalized assessed
 5    value  of  that  real  property  before  removal   from   the
 6    redevelopment project area.
 7        Except  as  otherwise provided in this Section, "limiting
 8    rate" means a fraction the numerator of  which  is  the  last
 9    preceding  aggregate  extension base times an amount equal to
10    one plus the extension limitation defined in this Section and
11    the denominator of which  is  the  current  year's  equalized
12    assessed  value  of  all real property in the territory under
13    the jurisdiction of the taxing district during the prior levy
14    year.   For  those  taxing  districts  that   reduced   their
15    aggregate  extension  for  the  last preceding levy year, the
16    highest aggregate extension in any of the  last  3  preceding
17    levy  years  shall  be  used for the purpose of computing the
18    limiting  rate.   The  denominator  shall  not  include   new
19    property.   The  denominator  shall not include the recovered
20    tax increment value.
21    (Source: P.A. 91-357, eff.  7-29-99;  91-478,  eff.  11-1-99;
22    92-547, eff. 6-13-02.)

23        Section  10.  The Chicago Park District Act is amended by
24    adding Section 7.06 as follows:

25        (70 ILCS 1505/7.06 new)
26        Sec. 7.06.  Recreational programs  for  the  handicapped;
27    tax.
28        (a)  The   Chicago   Park   District   is  authorized  to
29    establish, maintain, and manage recreational programs for the
30    handicapped,   including   both   mentally   and   physically
31    handicapped, to provide transportation for the handicapped to
32    and from these programs, to provide for  the  examination  of
 
SB1881 Enrolled             -12-     LRB093 10910 SJM 11433 b
 1    participants  in such programs as deemed necessary, to charge
 2    fees for participating in the programs (the fee  charged  for
 3    non-residents  of  the  district  need not be the same as the
 4    fees charged the residents of the district),  and  to  charge
 5    fees for transportation furnished to participants.
 6        (b)  For  the  purposes  of the recreational programs for
 7    the handicapped established under this Section,  the  Chicago
 8    Park  District is authorized to adopt procedures for approval
 9    of  budgets,  authorization  of  expenditures,  location   of
10    recreational  areas,  acquisition  of  real  estate  by gift,
11    legacy, grant, or purchase, and employment of a director  and
12    other professional workers for the programs.
13        (c)  For  the purposes of providing recreational programs
14    for the handicapped under  this  Section,  the  Chicago  Park
15    District may levy and collect annually a tax of not to exceed
16    .04% of the value, as equalized or assessed by the Department
17    of  Revenue,  of all taxable property in the district for the
18    purpose of funding the district's expenses of providing these
19    programs.  This tax shall be levied  and  collected  in  like
20    manner  as  the general taxes for the district. The tax shall
21    be in addition to all other taxes authorized  by  law  to  be
22    levied  and  collected  in  the  district  and  shall  not be
23    included within any limitation of rate contained in this  Act
24    or  any  other  law,  but  shall  be  excluded  therefrom, in
25    addition thereto, and in excess thereof.

26        Section 99.  Effective date.  This Act takes effect  upon
27    becoming law.