Illinois General Assembly - Full Text of HB0571
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Full Text of HB0571  102nd General Assembly

HB0571 102ND GENERAL ASSEMBLY

  
  

 


 
102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
HB0571

 

Introduced 2/8/2021, by Rep. Jonathan Carroll

 

SYNOPSIS AS INTRODUCED:
 
65 ILCS 5/8-8-3.5
65 ILCS 5/11-74.4-5  from Ch. 24, par. 11-74.4-5
65 ILCS 5/11-74.6-22

    Amends the Illinois Municipal Code. Provides that a municipality reporting Tax Increment Financing information shall additionally report to the Comptroller: (1) the number of jobs, aspirational or otherwise, if any, projected to be created for each redevelopment project area at the time of approval of the redevelopment agreement; (2) the number of jobs, if any, created as a result of the development under the same guidelines and assumptions as was used for the projections used at the time of approval of the redevelopment agreement to date for that reporting period; (3) the amount of increment projected to be created at the time of approval of the redevelopment agreement for each redevelopment project area; (4) the amount of increment created as a result of the development to date for that reporting period using the same assumptions as was used for the projections used at the time of approval of the redevelopment agreement; and (5) the stated rate of return identified by the developer to the municipality for each redevelopment project area, if any. In provisions requiring a municipality to report an analysis prepared by a financial advisor or underwriter, provides that the advisor or underwriter shall be chosen by the municipality and that analysis shall additionally include actual debt service.


LRB102 10490 AWJ 15819 b

 

 

A BILL FOR

 

HB0571LRB102 10490 AWJ 15819 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 Illinois Municipal Code is amended by
5changing Sections 8-8-3.5, 11-74.4-5, and 11-74.6-22 as
6follows:
 
7    (65 ILCS 5/8-8-3.5)
8    Sec. 8-8-3.5. Tax Increment Financing Report. The reports
9filed under subsection (d) of Section 11-74.4-5 of the Tax
10Increment Allocation Redevelopment Act and the reports filed
11under subsection (d) of Section 11-74.6-22 of the Industrial
12Jobs Recovery Law in the Illinois Municipal Code must be
13separate from any other annual report filed with the
14Comptroller. The Comptroller must, in cooperation with
15reporting municipalities, create a format for the reporting of
16information described in paragraphs (1.5) and (5) and in
17subparagraph (G) of paragraphs paragraph (7) and (8) of
18subsection (d) of Section 11-74.4-5 of the Tax Increment
19Allocation Redevelopment Act and the information described in
20paragraphs (1.5) and (5) and in subparagraph (G) of paragraphs
21paragraph (7) and (8) of subsection (d) of Section 11-74.6-22
22of the Industrial Jobs Recovery Law that facilitates
23consistent reporting among the reporting municipalities. In

 

 

HB0571- 2 -LRB102 10490 AWJ 15819 b

1addition to information required to be reported under this
2Section, reporting municipalities shall also report to the
3Comptroller annually in a manner and format prescribed by the
4Comptroller: (1) the number of jobs, aspirational or
5otherwise, if any, projected to be created for each
6redevelopment project area at the time of approval of the
7redevelopment agreement; (2) the number of jobs, if any,
8created as a result of the development under the same
9guidelines and assumptions as was used for the projections
10used at the time of approval of the redevelopment agreement to
11date for that reporting period; (3) the amount of increment
12projected to be created at the time of approval of the
13redevelopment agreement for each redevelopment project area;
14(4) the amount of increment created as a result of the
15development to date for that reporting period using the same
16assumptions as was used for the projections used at the time of
17approval of the redevelopment agreement; and (5) the stated
18rate of return identified by the developer to the municipality
19for each redevelopment project area, if any. Stated rates of
20returns required to be reported in item (5) shall be
21independently verified by a third party chosen by the
22municipality. The Comptroller may allow these reports to be
23filed electronically and may display the report, or portions
24of the report, electronically via the Internet. All reports
25filed under this Section must be made available for
26examination and copying by the public at all reasonable times.

 

 

HB0571- 3 -LRB102 10490 AWJ 15819 b

1A Tax Increment Financing Report must be filed electronically
2with the Comptroller within 180 days after the close of the
3municipal fiscal year or as soon thereafter as the audit for
4the redevelopment project area for that fiscal year becomes
5available. If the Tax Increment Finance administrator provides
6the Comptroller's office with sufficient evidence that the
7report is in the process of being completed by an auditor, the
8Comptroller may grant an extension. If the required report is
9not filed within the time extended by the Comptroller, the
10Comptroller shall notify the corporate authorities of that
11municipality that the audit report is past due. The
12Comptroller may charge a municipality a fee of $5 per day for
13the first 15 days past due, $10 per day for 16 through 30 days
14past due, $15 per day for 31 through 45 days past due, and $20
15per day for the 46th day and every day thereafter. These
16amounts may be reduced at the Comptroller's discretion. In the
17event the required audit report is not filed within 60 days of
18such notice, the Comptroller shall cause such audit to be made
19by an auditor or auditors. The Comptroller may decline to
20order an audit and the preparation of an audit report if an
21initial examination of the books and records of the
22municipality indicates that books and records of the
23municipality are inadequate or unavailable to support the
24preparation of the audit report or the supplemental report due
25to the passage of time or the occurrence of a natural disaster.
26All fees collected pursuant to this Section shall be deposited

 

 

HB0571- 4 -LRB102 10490 AWJ 15819 b

1into the Comptroller's Administrative Fund. In the event the
2Comptroller causes an audit to be made in accordance with the
3requirements of this Section, the municipality shall pay to
4the Comptroller reasonable compensation and expenses to
5reimburse her for the cost of preparing or completing such
6report. Moneys paid to the Comptroller pursuant to the
7preceding sentence shall be deposited into the Comptroller's
8Audit Expense Revolving Fund.
9(Source: P.A. 101-419, eff. 1-1-20.)
 
10    (65 ILCS 5/11-74.4-5)  (from Ch. 24, par. 11-74.4-5)
11    Sec. 11-74.4-5. Public hearing; joint review board.
12    (a) The changes made by this amendatory Act of the 91st
13General Assembly do not apply to a municipality that, (i)
14before the effective date of this amendatory Act of the 91st
15General Assembly, has adopted an ordinance or resolution
16fixing a time and place for a public hearing under this Section
17or (ii) before July 1, 1999, has adopted an ordinance or
18resolution providing for a feasibility study under Section
1911-74.4-4.1, but has not yet adopted an ordinance approving
20redevelopment plans and redevelopment projects or designating
21redevelopment project areas under Section 11-74.4-4, until
22after that municipality adopts an ordinance approving
23redevelopment plans and redevelopment projects or designating
24redevelopment project areas under Section 11-74.4-4;
25thereafter the changes made by this amendatory Act of the 91st

 

 

HB0571- 5 -LRB102 10490 AWJ 15819 b

1General Assembly apply to the same extent that they apply to
2redevelopment plans and redevelopment projects that were
3approved and redevelopment projects that were designated
4before the effective date of this amendatory Act of the 91st
5General Assembly.
6    Prior to the adoption of an ordinance proposing the
7designation of a redevelopment project area, or approving a
8redevelopment plan or redevelopment project, the municipality
9by its corporate authorities, or as it may determine by any
10commission designated under subsection (k) of Section
1111-74.4-4 shall adopt an ordinance or resolution fixing a time
12and place for public hearing. At least 10 days prior to the
13adoption of the ordinance or resolution establishing the time
14and place for the public hearing, the municipality shall make
15available for public inspection a redevelopment plan or a
16separate report that provides in reasonable detail the basis
17for the eligibility of the redevelopment project area. The
18report along with the name of a person to contact for further
19information shall be sent within a reasonable time after the
20adoption of such ordinance or resolution to the affected
21taxing districts by certified mail. On and after the effective
22date of this amendatory Act of the 91st General Assembly, the
23municipality shall print in a newspaper of general circulation
24within the municipality a notice that interested persons may
25register with the municipality in order to receive information
26on the proposed designation of a redevelopment project area or

 

 

HB0571- 6 -LRB102 10490 AWJ 15819 b

1the approval of a redevelopment plan. The notice shall state
2the place of registration and the operating hours of that
3place. The municipality shall have adopted reasonable rules to
4implement this registration process under Section 11-74.4-4.2.
5The municipality shall provide notice of the availability of
6the redevelopment plan and eligibility report, including how
7to obtain this information, by mail within a reasonable time
8after the adoption of the ordinance or resolution, to all
9residential addresses that, after a good faith effort, the
10municipality determines are located outside the proposed
11redevelopment project area and within 750 feet of the
12boundaries of the proposed redevelopment project area. This
13requirement is subject to the limitation that in a
14municipality with a population of over 100,000, if the total
15number of residential addresses outside the proposed
16redevelopment project area and within 750 feet of the
17boundaries of the proposed redevelopment project area exceeds
18750, the municipality shall be required to provide the notice
19to only the 750 residential addresses that, after a good faith
20effort, the municipality determines are outside the proposed
21redevelopment project area and closest to the boundaries of
22the proposed redevelopment project area. Notwithstanding the
23foregoing, notice given after August 7, 2001 (the effective
24date of Public Act 92-263) and before the effective date of
25this amendatory Act of the 92nd General Assembly to
26residential addresses within 750 feet of the boundaries of a

 

 

HB0571- 7 -LRB102 10490 AWJ 15819 b

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

 

 

HB0571- 8 -LRB102 10490 AWJ 15819 b

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

 

 

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1shall convene a joint review board. The board shall consist of
2a representative selected by each community college district,
3local elementary school district and high school district or
4each local community unit school district, park district,
5library district, township, fire protection district, and
6county that will have the authority to directly levy taxes on
7the property within the proposed redevelopment project area at
8the time that the proposed redevelopment project area is
9approved, a representative selected by the municipality and a
10public member. The public member shall first be selected and
11then the board's chairperson shall be selected by a majority
12of the board members present and voting.
13    For redevelopment project areas with redevelopment plans
14or proposed redevelopment plans that would result in the
15displacement of residents from 10 or more inhabited
16residential units or that include 75 or more inhabited
17residential units, the public member shall be a person who
18resides in the redevelopment project area. If, as determined
19by the housing impact study provided for in paragraph (5) of
20subsection (n) of Section 11-74.4-3, or if no housing impact
21study is required then based on other reasonable data, the
22majority of residential units are occupied by very low, low,
23or moderate income households, as defined in Section 3 of the
24Illinois Affordable Housing Act, the public member shall be a
25person who resides in very low, low, or moderate income
26housing within the redevelopment project area. Municipalities

 

 

HB0571- 10 -LRB102 10490 AWJ 15819 b

1with fewer than 15,000 residents shall not be required to
2select a person who lives in very low, low, or moderate income
3housing within the redevelopment project area, provided that
4the redevelopment plan or project will not result in
5displacement of residents from 10 or more inhabited units, and
6the municipality so certifies in the plan. If no person
7satisfying these requirements is available or if no qualified
8person will serve as the public member, then the joint review
9board is relieved of this paragraph's selection requirements
10for the public member.
11    Within 90 days of the effective date of this amendatory
12Act of the 91st General Assembly, each municipality that
13designated a redevelopment project area for which it was not
14required to convene a joint review board under this Section
15shall convene a joint review board to perform the duties
16specified under paragraph (e) of this Section.
17    All board members shall be appointed and the first board
18meeting shall be held at least 14 days but not more than 28
19days after the mailing of notice by the municipality to the
20taxing districts as required by Section 11-74.4-6(c).
21Notwithstanding the preceding sentence, a municipality that
22adopted either a public hearing resolution or a feasibility
23resolution between July 1, 1999 and July 1, 2000 that called
24for the meeting of the joint review board within 14 days of
25notice of public hearing to affected taxing districts is
26deemed to be in compliance with the notice, meeting, and

 

 

HB0571- 11 -LRB102 10490 AWJ 15819 b

1public hearing provisions of the Act. Such notice shall also
2advise the taxing bodies represented on the joint review board
3of the time and place of the first meeting of the board.
4Additional meetings of the board shall be held upon the call of
5any member. The municipality seeking designation of the
6redevelopment project area shall provide administrative
7support to the board.
8    The board shall review (i) the public record, planning
9documents and proposed ordinances approving the redevelopment
10plan and project and (ii) proposed amendments to the
11redevelopment plan or additions of parcels of property to the
12redevelopment project area to be adopted by the municipality.
13As part of its deliberations, the board may hold additional
14hearings on 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

 

 

HB0571- 12 -LRB102 10490 AWJ 15819 b

1redevelopment plan or addition of parcels of property to the
2redevelopment project area on the basis of the redevelopment
3project area and redevelopment plan satisfying the plan
4requirements, the eligibility criteria defined in Section
511-74.4-3, and the objectives of this Act.
6    The board shall issue a written report describing why the
7redevelopment plan and project area or the amendment thereof
8meets or fails to meet one or more of the objectives of this
9Act and both the plan requirements and the eligibility
10criteria defined in Section 11-74.4-3. In the event the Board
11does not file a report it shall be presumed that these taxing
12bodies find the redevelopment project area and redevelopment
13plan satisfy the objectives of this Act and the plan
14requirements and eligibility criteria.
15    If the board recommends rejection of the matters before
16it, the municipality will have 30 days within which to
17resubmit the plan or amendment. During this period, the
18municipality will meet and confer with the board and attempt
19to resolve those issues set forth in the board's written
20report that led to the rejection of the plan or amendment.
21    Notwithstanding the resubmission set forth above, the
22municipality may commence the scheduled public hearing and
23either adjourn the public hearing or continue the public
24hearing until a date certain. Prior to continuing any public
25hearing to a date certain, the municipality shall announce
26during the public hearing the time, date, and location for the

 

 

HB0571- 13 -LRB102 10490 AWJ 15819 b

1reconvening of the public hearing. Any changes to the
2redevelopment plan necessary to satisfy the issues set forth
3in the joint review board report shall be the subject of a
4public hearing before the hearing is adjourned if the changes
5would (1) substantially affect the general land uses proposed
6in the redevelopment plan, (2) substantially change the nature
7of or extend the life of the redevelopment project, or (3)
8increase the number of inhabited residential units to be
9displaced from the redevelopment project area, as measured
10from the time of creation of the redevelopment project area,
11to a total of more than 10. Changes to the redevelopment plan
12necessary to satisfy the issues set forth in the joint review
13board report shall not require any further notice or convening
14of a joint review board meeting, except that any changes to the
15redevelopment plan that would add additional parcels of
16property to the proposed redevelopment project area shall be
17subject to the notice, public hearing, and joint review board
18meeting requirements established for such changes by
19subsection (a) of Section 11-74.4-5.
20    In the event that the municipality and the board are
21unable to resolve these differences, or in the event that the
22resubmitted plan or amendment is rejected by the board, the
23municipality may proceed with the plan or amendment, but only
24upon a three-fifths vote of the corporate authority
25responsible for approval of the plan or amendment, excluding
26positions of members that are vacant and those members that

 

 

HB0571- 14 -LRB102 10490 AWJ 15819 b

1are ineligible to vote because of conflicts of interest.
2    (c) After a municipality has by ordinance approved a
3redevelopment plan and designated a redevelopment project
4area, the plan may be amended and additional properties may be
5added to the redevelopment project area only as herein
6provided. Amendments which (1) add additional parcels of
7property to the proposed redevelopment project area, (2)
8substantially affect the general land uses proposed in the
9redevelopment plan, (3) substantially change the nature of the
10redevelopment project, (4) increase the total estimated
11redevelopment project costs set out in the redevelopment plan
12by more than 5% after adjustment for inflation from the date
13the plan was adopted, (5) add additional redevelopment project
14costs to the itemized list of redevelopment project costs set
15out in the redevelopment plan, or (6) increase the number of
16inhabited residential units to be displaced from the
17redevelopment project area, as measured from the time of
18creation of the redevelopment project area, to a total of more
19than 10, shall be made only after the municipality gives
20notice, convenes a joint review board, and conducts a public
21hearing pursuant to the procedures set forth in this Section
22and in Section 11-74.4-6 of this Act. Changes which do not (1)
23add additional parcels of property to the proposed
24redevelopment project area, (2) substantially affect the
25general land uses proposed in the redevelopment plan, (3)
26substantially change the nature of the redevelopment project,

 

 

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1(4) increase the total estimated redevelopment project cost
2set out in the redevelopment plan by more than 5% after
3adjustment for inflation from the date the plan was adopted,
4(5) add additional redevelopment project costs to the itemized
5list of redevelopment project costs set out in the
6redevelopment plan, or (6) increase the number of inhabited
7residential units to be displaced from the redevelopment
8project area, as measured from the time of creation of the
9redevelopment project area, to a total of more than 10, may be
10made without further public hearing and related notices and
11procedures including the convening of a joint review board as
12set forth in Section 11-74.4-6 of this Act, provided that the
13municipality shall give notice of any such changes by mail to
14each affected taxing district and registrant on the interested
15parties registry, provided for under Section 11-74.4-4.2, and
16by publication in a newspaper of general circulation within
17the affected taxing district. Such notice by mail and by
18publication shall each occur not later than 10 days following
19the adoption by ordinance of such changes.
20    (d) After the effective date of this amendatory Act of the
2191st General Assembly, a municipality shall submit in an
22electronic format the following information for each
23redevelopment project area (i) to the State Comptroller under
24Section 8-8-3.5 of the Illinois Municipal Code, subject to any
25extensions or exemptions provided at the Comptroller's
26discretion under that Section, and (ii) to all taxing

 

 

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1districts overlapping the redevelopment project area no later
2than 180 days after the close of each municipal fiscal year or
3as soon thereafter as the audited financial statements become
4available and, in any case, shall be submitted before the
5annual meeting of the Joint Review Board to each of the taxing
6districts that overlap the redevelopment project area:
7        (1) Any amendments to the redevelopment plan, the
8    redevelopment project area, or the State Sales Tax
9    Boundary.
10        (1.5) A list of the redevelopment project areas
11    administered by the municipality and, if applicable, the
12    date each redevelopment project area was designated or
13    terminated by the municipality.
14        (2) Audited financial statements of the special tax
15    allocation fund once a cumulative total of $100,000 has
16    been deposited in the fund.
17        (3) Certification of the Chief Executive Officer of
18    the municipality that the municipality has complied with
19    all of the requirements of this Act during the preceding
20    fiscal year.
21        (4) An opinion of legal counsel that the municipality
22    is in compliance with this Act.
23        (5) An analysis of the special tax allocation fund
24    which sets forth:
25            (A) the balance in the special tax allocation fund
26        at the beginning of the fiscal year;

 

 

HB0571- 17 -LRB102 10490 AWJ 15819 b

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

 

 

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1    undertaken in furtherance of the objectives of the
2    redevelopment plan, including:
3            (A) Any project implemented in the preceding
4        fiscal year.
5            (B) A description of the redevelopment activities
6        undertaken.
7            (C) A description of any agreements entered into
8        by the municipality with regard to the disposition or
9        redevelopment of any property within the redevelopment
10        project area or the area within the State Sales Tax
11        Boundary.
12            (D) Additional information on the use of all funds
13        received under this Division and steps taken by the
14        municipality to achieve the objectives of the
15        redevelopment plan.
16            (E) Information regarding contracts that the
17        municipality's tax increment advisors or consultants
18        have entered into with entities or persons that have
19        received, or are receiving, payments financed by tax
20        increment revenues produced by the same redevelopment
21        project area.
22            (F) Any reports submitted to the municipality by
23        the joint review board.
24            (G) A review of public and, to the extent
25        possible, private investment actually undertaken to
26        date after the effective date of this amendatory Act

 

 

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1        of the 91st General Assembly and estimated to be
2        undertaken during the following year. This review
3        shall, on a project-by-project basis, set forth the
4        estimated amounts of public and private investment
5        incurred after the effective date of this amendatory
6        Act of the 91st General Assembly and provide the ratio
7        of private investment to public investment to the date
8        of the report and as estimated to the completion of the
9        redevelopment project.
10        (8) With regard to any obligations issued by the
11    municipality:
12            (A) copies of any official statements; and
13            (B) an analysis prepared by financial advisor or
14        underwriter, chosen by the municipality, setting
15        forth: (i) nature and term of obligation; and (ii)
16        projected debt service including required reserves and
17        debt coverage; and (iii) actual debt service.
18        (9) For special tax allocation funds that have
19    experienced cumulative deposits of incremental tax
20    revenues of $100,000 or more, a certified audit report
21    reviewing compliance with this Act performed by an
22    independent public accountant certified and licensed by
23    the authority of the State of Illinois. The financial
24    portion of the audit must be conducted in accordance with
25    Standards for Audits of Governmental Organizations,
26    Programs, Activities, and Functions adopted by the

 

 

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1    Comptroller General of the United States (1981), as
2    amended, or the standards specified by Section 8-8-5 of
3    the Illinois Municipal Auditing Law of the Illinois
4    Municipal Code. The audit report shall contain a letter
5    from the independent certified public accountant
6    indicating compliance or noncompliance with the
7    requirements of subsection (q) of Section 11-74.4-3. For
8    redevelopment plans or projects that would result in the
9    displacement of residents from 10 or more inhabited
10    residential units or that contain 75 or more inhabited
11    residential units, notice of the availability of the
12    information, including how to obtain the report, required
13    in this subsection shall also be sent by mail to all
14    residents or organizations that operate in the
15    municipality that register with the municipality for that
16    information according to registration procedures adopted
17    under Section 11-74.4-4.2. All municipalities are subject
18    to this provision.
19        (10) A list of all intergovernmental agreements in
20    effect during the fiscal year to which the municipality is
21    a party and an accounting of any moneys transferred or
22    received by the municipality during that fiscal year
23    pursuant to those intergovernmental agreements.
24    (d-1) Prior to the effective date of this amendatory Act
25of the 91st General Assembly, municipalities with populations
26of over 1,000,000 shall, after adoption of a redevelopment

 

 

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1plan or project, make available upon request to any taxing
2district in which the redevelopment project area is located
3the following information:
4        (1) Any amendments to the redevelopment plan, the
5    redevelopment project area, or the State Sales Tax
6    Boundary; and
7        (2) In connection with any redevelopment project area
8    for which the municipality has outstanding obligations
9    issued to provide for redevelopment project costs pursuant
10    to Section 11-74.4-7, audited financial statements of the
11    special tax allocation fund.
12    (e) The joint review board shall meet annually 180 days
13after the close of the municipal fiscal year or as soon as the
14redevelopment project audit for that fiscal year becomes
15available to review the effectiveness and status of the
16redevelopment project area up to that date.
17    (f) (Blank).
18    (g) In the event that a municipality has held a public
19hearing under this Section prior to March 14, 1994 (the
20effective date of Public Act 88-537), the requirements imposed
21by Public Act 88-537 relating to the method of fixing the time
22and place for public hearing, the materials and information
23required to be made available for public inspection, and the
24information required to be sent after adoption of an ordinance
25or resolution fixing a time and place for public hearing shall
26not be applicable.

 

 

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1    (h) On and after the effective date of this amendatory Act
2of the 96th General Assembly, the State Comptroller must post
3on the State Comptroller's official website the information
4submitted by a municipality pursuant to subsection (d) of this
5Section. The information must be posted no later than 45 days
6after the State Comptroller receives the information from the
7municipality. The State Comptroller must also post a list of
8the municipalities not in compliance with the reporting
9requirements set forth in subsection (d) of this Section.
10    (i) No later than 10 years after the corporate authorities
11of a municipality adopt an ordinance to establish a
12redevelopment project area, the municipality must compile a
13status report concerning the redevelopment project area. The
14status report must detail without limitation the following:
15(i) the amount of revenue generated within the redevelopment
16project area, (ii) any expenditures made by the municipality
17for the redevelopment project area including without
18limitation expenditures from the special tax allocation fund,
19(iii) the status of planned activities, goals, and objectives
20set forth in the redevelopment plan including details on new
21or planned construction within the redevelopment project area,
22(iv) the amount of private and public investment within the
23redevelopment project area, and (v) any other relevant
24evaluation or performance data. Within 30 days after the
25municipality compiles the status report, the municipality must
26hold at least one public hearing concerning the report. The

 

 

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1municipality must provide 20 days' public notice of the
2hearing.
3    (j) Beginning in fiscal year 2011 and in each fiscal year
4thereafter, a municipality must detail in its annual budget
5(i) the revenues generated from redevelopment project areas by
6source and (ii) the expenditures made by the municipality for
7redevelopment project areas.
8(Source: P.A. 98-922, eff. 8-15-14.)
 
9    (65 ILCS 5/11-74.6-22)
10    Sec. 11-74.6-22. Adoption of ordinance; requirements;
11changes.
12    (a) Before adoption of an ordinance proposing the
13designation of a redevelopment planning area or a
14redevelopment project area, or both, or approving a
15redevelopment plan or redevelopment project, the municipality
16or commission designated pursuant to subsection (l) of Section
1711-74.6-15 shall fix by ordinance or resolution a time and
18place for public hearing. Prior to the adoption of the
19ordinance or resolution establishing the time and place for
20the public hearing, the municipality shall make available for
21public inspection a redevelopment plan or a report that
22provides in sufficient detail, the basis for the eligibility
23of the redevelopment project area. The report along with the
24name of a person to contact for further information shall be
25sent to the affected taxing district by certified mail within

 

 

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1a reasonable time following the adoption of the ordinance or
2resolution establishing the time and place for the public
3hearing.
4    At the public hearing any interested person or affected
5taxing district may file with the municipal clerk written
6objections to the ordinance and may be heard orally on any
7issues that are the subject of the hearing. The municipality
8shall hear and determine all alternate proposals or bids for
9any proposed conveyance, lease, mortgage or other disposition
10of land and all protests and objections at the hearing and the
11hearing may be adjourned to another date without further
12notice other than a motion to be entered upon the minutes
13fixing the time and place of the later hearing. At the public
14hearing or at any time prior to the adoption by the
15municipality of an ordinance approving a redevelopment plan,
16the municipality may make changes in the redevelopment plan.
17Changes which (1) add additional parcels of property to the
18proposed redevelopment project area, (2) substantially affect
19the general land uses proposed in the redevelopment plan, or
20(3) substantially change the nature of or extend the life of
21the redevelopment project shall be made only after the
22municipality gives notice, convenes a joint review board, and
23conducts a public hearing pursuant to the procedures set forth
24in this Section and in Section 11-74.6-25. Changes which do
25not (1) add additional parcels of property to the proposed
26redevelopment project area, (2) substantially affect the

 

 

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1general land uses proposed in the redevelopment plan, or (3)
2substantially change the nature of or extend the life of the
3redevelopment project may be made without further hearing,
4provided that the municipality shall give notice of any such
5changes by mail to each affected taxing district and by
6publication once in a newspaper of general circulation within
7the affected taxing district. Such notice by mail and by
8publication shall each occur not later than 10 days following
9the adoption by ordinance of such changes.
10    (b) Before adoption of an ordinance proposing the
11designation of a redevelopment planning area or a
12redevelopment project area, or both, or amending the
13boundaries of an existing redevelopment project area or
14redevelopment planning area, or both, the municipality shall
15convene a joint review board to consider the proposal. The
16board shall consist of a representative selected by each
17taxing district that has authority to levy real property taxes
18on the property within the proposed redevelopment project area
19and that has at least 5% of its total equalized assessed value
20located within the proposed redevelopment project area, a
21representative selected by the municipality and a public
22member. The public member and the board's chairperson shall be
23selected by a majority of other board members.
24    All board members shall be appointed and the first board
25meeting held within 14 days following the notice by the
26municipality to all the taxing districts as required by

 

 

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1subsection (c) of Section 11-74.6-25. The notice shall also
2advise the taxing bodies represented on the joint review board
3of the time and place of the first meeting of the board.
4Additional meetings of the board shall be held upon the call of
5any 2 members. The municipality seeking designation of the
6redevelopment project area may provide administrative support
7to the board.
8    The board shall review the public record, planning
9documents and proposed ordinances approving the redevelopment
10plan and project to be adopted by the municipality. As part of
11its deliberations, the board may hold additional hearings on
12the proposal. A board's recommendation, if any, shall be a
13written recommendation adopted by a majority vote of the board
14and submitted to the municipality within 30 days after the
15board convenes. A board's recommendation shall be binding upon
16the municipality. Failure of the board to submit its
17recommendation on a timely basis shall not be cause to delay
18the public hearing or the process of establishing or amending
19the redevelopment project area. The board's recommendation on
20the proposal shall be based upon the area satisfying the
21applicable eligibility criteria defined in Section 11-74.6-10
22and whether there is a basis for the municipal findings set
23forth in the redevelopment plan as required by this Act. If the
24board does not file a recommendation it shall be presumed that
25the board has found that the redevelopment project area
26satisfies the eligibility criteria.

 

 

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1    (c) After a municipality has by ordinance approved a
2redevelopment plan and designated a redevelopment planning
3area or a redevelopment project area, or both, the plan may be
4amended and additional properties may be added to the
5redevelopment project area only as herein provided. Amendments
6which (1) add additional parcels of property to the proposed
7redevelopment project area, (2) substantially affect the
8general land uses proposed in the redevelopment plan, (3)
9substantially change the nature of the redevelopment project,
10(4) increase the total estimated redevelopment project costs
11set out in the redevelopment plan by more than 5% after
12adjustment for inflation from the date the plan was adopted,
13or (5) add additional redevelopment project costs to the
14itemized list of redevelopment project costs set out in the
15redevelopment plan shall be made only after the municipality
16gives notice, convenes a joint review board, and conducts a
17public hearing pursuant to the procedures set forth in this
18Section and in Section 11-74.6-25. Changes which do not (1)
19add additional parcels of property to the proposed
20redevelopment project area, (2) substantially affect the
21general land uses proposed in the redevelopment plan, (3)
22substantially change the nature of the redevelopment project,
23(4) increase the total estimated redevelopment project cost
24set out in the redevelopment plan by more than 5% after
25adjustment for inflation from the date the plan was adopted,
26or (5) add additional redevelopment project costs to the

 

 

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1itemized list of redevelopment project costs set out in the
2redevelopment plan may be made without further hearing,
3provided that the municipality shall give notice of any such
4changes by mail to each affected taxing district and by
5publication once in a newspaper of general circulation within
6the affected taxing district. Such notice by mail and by
7publication shall each occur not later than 10 days following
8the adoption by ordinance of such changes.
9    Notwithstanding Section 11-74.6-50, the redevelopment
10project area established by an ordinance adopted in its final
11form on December 19, 2011 by the City of Loves Park may be
12expanded by the adoption of an ordinance to that effect
13without further hearing or notice to include land that (i) is
14at least in part contiguous to the existing redevelopment
15project area, (ii) does not exceed approximately 16.56 acres,
16(iii) at the time of the establishment of the redevelopment
17project area would have been otherwise eligible for inclusion
18in the redevelopment project area, and (iv) is zoned so as to
19comply with this Act prior to its inclusion in the
20redevelopment project area.
21    (d) After the effective date of this amendatory Act of the
2291st General Assembly, a municipality shall submit the
23following information for each redevelopment project area (i)
24to the State Comptroller under Section 8-8-3.5 of the Illinois
25Municipal Code, subject to any extensions or exemptions
26provided at the Comptroller's discretion under that Section,

 

 

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1and (ii) to all taxing districts overlapping the redevelopment
2project area no later than 180 days after the close of each
3municipal fiscal year or as soon thereafter as the audited
4financial statements become available and, in any case, shall
5be submitted before the annual meeting of the joint review
6board to each of the taxing districts that overlap the
7redevelopment project area:
8        (1) Any amendments to the redevelopment plan, or the
9    redevelopment project area.
10        (1.5) A list of the redevelopment project areas
11    administered by the municipality and, if applicable, the
12    date each redevelopment project area was designated or
13    terminated by the municipality.
14        (2) Audited financial statements of the special tax
15    allocation fund once a cumulative total of $100,000 of tax
16    increment revenues has been deposited in the fund.
17        (3) Certification of the Chief Executive Officer of
18    the municipality that the municipality has complied with
19    all of the requirements of this Act during the preceding
20    fiscal year.
21        (4) An opinion of legal counsel that the municipality
22    is in compliance with this Act.
23        (5) An analysis of the special tax allocation fund
24    which sets forth:
25            (A) the balance in the special tax allocation fund
26        at the beginning of the fiscal year;

 

 

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1            (B) all amounts deposited in the special tax
2        allocation fund by source;
3            (C) an itemized list of all expenditures from the
4        special tax allocation fund by category of permissible
5        redevelopment project cost; and
6            (D) the balance in the special tax allocation fund
7        at the end of the fiscal year including a breakdown of
8        that balance by source and a breakdown of that balance
9        identifying any portion of the balance that is
10        required, pledged, earmarked, or otherwise designated
11        for payment of or securing of obligations and
12        anticipated redevelopment project costs. Any portion
13        of such ending balance that has not been identified or
14        is not identified as being required, pledged,
15        earmarked, or otherwise designated for payment of or
16        securing of obligations or anticipated redevelopment
17        project costs shall be designated as surplus as set
18        forth in Section 11-74.6-30 hereof.
19        (6) A description of all property purchased by the
20    municipality within the redevelopment project area
21    including:
22            (A) Street address.
23            (B) Approximate size or description of property.
24            (C) Purchase price.
25            (D) Seller of property.
26        (7) A statement setting forth all activities

 

 

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1    undertaken in furtherance of the objectives of the
2    redevelopment plan, including:
3            (A) Any project implemented in the preceding
4        fiscal year.
5            (B) A description of the redevelopment activities
6        undertaken.
7            (C) A description of any agreements entered into
8        by the municipality with regard to the disposition or
9        redevelopment of any property within the redevelopment
10        project area.
11            (D) Additional information on the use of all funds
12        received under this Division and steps taken by the
13        municipality to achieve the objectives of the
14        redevelopment plan.
15            (E) Information regarding contracts that the
16        municipality's tax increment advisors or consultants
17        have entered into with entities or persons that have
18        received, or are receiving, payments financed by tax
19        increment revenues produced by the same redevelopment
20        project area.
21            (F) Any reports submitted to the municipality by
22        the joint review board.
23            (G) A review of public and, to the extent
24        possible, private investment actually undertaken to
25        date after the effective date of this amendatory Act
26        of the 91st General Assembly and estimated to be

 

 

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1        undertaken during the following year. This review
2        shall, on a project-by-project basis, set forth the
3        estimated amounts of public and private investment
4        incurred after the effective date of this amendatory
5        Act of the 91st General Assembly and provide the ratio
6        of private investment to public investment to the date
7        of the report and as estimated to the completion of the
8        redevelopment project.
9        (8) With regard to any obligations issued by the
10    municipality:
11            (A) copies of any official statements; and
12            (B) an analysis prepared by financial advisor or
13        underwriter, chosen by the municipality, setting
14        forth: (i) nature and term of obligation; and (ii)
15        projected debt service including required reserves and
16        debt coverage; and (iii) actual debt service.
17        (9) For special tax allocation funds that have
18    received cumulative deposits of incremental tax revenues
19    of $100,000 or more, a certified audit report reviewing
20    compliance with this Act performed by an independent
21    public accountant certified and licensed by the authority
22    of the State of Illinois. The financial portion of the
23    audit must be conducted in accordance with Standards for
24    Audits of Governmental Organizations, Programs,
25    Activities, and Functions adopted by the Comptroller
26    General of the United States (1981), as amended, or the

 

 

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1    standards specified by Section 8-8-5 of the Illinois
2    Municipal Auditing Law of the Illinois Municipal Code. The
3    audit report shall contain a letter from the independent
4    certified public accountant indicating compliance or
5    noncompliance with the requirements of subsection (o) of
6    Section 11-74.6-10.
7    (e) The joint review board shall meet annually 180 days
8after the close of the municipal fiscal year or as soon as the
9redevelopment project audit for that fiscal year becomes
10available to review the effectiveness and status of the
11redevelopment project area up to that date.
12(Source: P.A. 98-922, eff. 8-15-14; 99-792, eff. 8-12-16.)