HB0174 99TH GENERAL ASSEMBLY

LRB099 02873 AWJ 22881 b

99TH GENERAL ASSEMBLY
State of Illinois
2015 and 2016
HB0174

Introduced , by Rep. David McSweeney

SYNOPSIS AS INTRODUCED:

New Act
10 ILCS 5/28-7	from Ch. 46, par. 28-7

Creates the Local Government Dissolution Act. Provides that electors may petition for a referendum at the next general election to dissolve a non-home rule unit of local government. Sets forth the requirements for the petition, together with the form and requirements for the ballot referendum. Provides for the transfer of all real and personal property, and any other assets, together with all personnel, contractual obligations, and liabilities of the dissolving unit of local government to the receiving unit of local government. Amends the Election Code to provide exceptions for the Local Government Dissolution Act. Effective immediately.

A BILL FOR

AN ACT concerning local government.

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

Section 1. Short title. This Act may be cited as the Local Government Dissolution Act.

Section 5. Scope. The method of dissolution of a unit of local government under this Act shall be in addition to any other method of dissolving a unit of local government provided by law or otherwise.

Section 10. Definitions. As used in this Act:

"Dissolving unit of local government" means the unit of local government proposed to be dissolved by referendum under this Act.

"Electors" means the registered voters of the dissolving unit of local government and the registered voters of the receiving unit of local government.

"Receiving unit of local government" means the unit of local government receiving the rights, duties and liabilities of the unit of local government proposed be dissolved by referendum under this Act.

Section 15. Petitions requirements; notice.

(a) Subject to the petition requirements of Section 28-3 of the Election Code, petitions for a referendum to dissolve any unit of local government must be filed both with the governing board of the dissolving unit of local governmental and the governing board of the receiving unit of local government not less than 122 days prior to a general election. Petitions must include:

(1) the dissolving unit of local government;

(2) the receiving unit of local government;

(3) the date of dissolution;

(4) signatures of a number of electors equal to or greater than 5% of the total votes cast in the preceding general election; and

(5) an affidavit of publication, attesting that notice of the petition to dissolve a local unit of government was published in a newspaper of general circulation within the territory of the dissolving unit of local government and the receiving unit of local government at least 122 days and no more than 152 days prior to the general election at which the referendum is to be voted upon.

(b) The proposed date of dissolution shall be at least 90 days after the date of the election at which the referendum is to be voted upon.

(c) The parties filing a petition under this Section shall give notice in substantially the following form:

NOTICE OF PETITION TO DISSOLVE [dissolving unit of local government].

Residents of [dissolving unit of local government] and [receiving unit of local government] are notified that a petition will be filed with [dissolving unit of local government] and [receiving unit of local government] requesting a referendum to dissolve [dissolving unit of local government] on [date of dissolution] with all real and personal property, and any other assets, together with all personnel, contractual obligations, and liabilities being transferred to [receiving unit of local government].

Section 20. Ballot placement. A petition that meets the requirements of Section 15 shall be placed on the ballot in the form provided for in Section 25 at the general election next following. Failure to publish the required notice of petition shall render the petition, and the results of any referendum held on the petition, null and void.

Section 25. Referendum; voting.

(a) Subject to the requirements of Section 16-7 of the Election Code, the referendum described in Section 20 shall be in substantially the following form on the ballot:

-----------

Shall the [dissolving unit of local government] be dissolved on [date of dissolution] YES with all of its property, assets, personnel, obligations, and -------------------------

liabilities being transferred to [receiving unit of local government]? NO -------------------------------------------------------------

(b) The referendum is approved when:

(1) three-fifths of the electors of the dissolving unit of local government approve the referendum; and

(2) three-fifths of the electors of the receiving unit of local government approve the referendum.

Section 30. Dissolution; transfer of rights and duties. When the dissolution of a unit of local government has been approved under Section 25:

(a) On or before the date of dissolution, all real and personal property, and any other assets, together with all personnel, contractual obligations, and liabilities of the dissolving unit of local government shall be transferred to the receiving unit of local government.

(b) On the date of dissolution, the dissolving unit of local government is dissolved.

(c) On and after the date of dissolution, all rights and duties of the dissolved unit of local government, including, but not limited to, the authority to tax (if any), may be exercised by the governing board of the receiving unit of local government.

Section 98. Applicability. This Act does not apply to home rule units of government.

Section 100. The Election Code is amended by changing Section 28-7 as follows:

(10 ILCS 5/28-7) (from Ch. 46, par. 28-7)

Sec. 28-7. Except as provided in the Local Government Dissolution Act, in In any case in which Article VII or paragraph (a) of Section 5 of the Transition Schedule of the Constitution authorizes any action to be taken by or with respect to any unit of local government, as defined in Section 1 of Article VII of the Constitution, by or subject to approval by referendum, any such public question shall be initiated in accordance with this Section.

Any such public question may be initiated by the governing body of the unit of local government by resolution or by the filing with the clerk or secretary of the governmental unit of a petition signed by a number of qualified electors equal to or greater than at least 8% of the total votes cast for candidates for Governor in the preceding gubernatorial election, requesting the submission of the proposal for such action to the voters of the governmental unit at a regular election.

If the action to be taken requires a referendum involving 2 or more units of local government, the proposal shall be submitted to the voters of such governmental units by the election authorities with jurisdiction over the territory of the governmental units. Such multi-unit proposals may be initiated by appropriate resolutions by the respective governing bodies or by petitions of the voters of the several governmental units filed with the respective clerks or secretaries.

This Section is intended to provide a method of submission to referendum in all cases of proposals for actions which are authorized by Article VII of the Constitution by or subject to approval by referendum and supersedes any conflicting statutory provisions except those contained in the "County Executive Act" or the Local Government Dissolution Act.

Referenda provided for in this Section may not be held more than once in any 23-month period on the same proposition, provided that in any municipality a referendum to elect not to be a home rule unit may be held only once within any 47-month period.

(Source: P.A. 97-81, eff. 7-5-11.)

Section 999. Effective date. This Act takes effect upon becoming law.