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ILLINOIS LEGISLATIVE REVIEW
97th GENERAL ASSEMBLY
OCTOBER 2011

Revised: October 25, 2011
SUBJECT	BILL NUMBER	DESCRIPTION	LAST ACTION
TIF	HB0294	Amends the TIF Act to require a joint review board to appoint one of its members to preside over the meeting if a joint review board is formed.	3/17/11: Re-referred to Rules Committee

TIF	HB1099	Amends the TIF Act to require a joint review board to include a representative selected by the rescue squad district with the authority to levy taxes on the property within the proposed redevelopment project area at the time it is approved.	3/17/11: Re-referred to Rules Committee

TIF	HB1207 SB1626	Amends the TIF Act to require the portion of taxes levied by a school district located in a redevelopment project area established or extended by the City of Chicago on or after the effective date of this amendment be allocated and paid to the school district as if the City did not approve the creation or extension of the redevelopment project area.	3/17/11: Re-referred to Rules Committee (House) 3/18/11: Re-referred to Assignments (Senate)

TIF	HB1208 SB1620	Amends the TIF Act to require all TIF revenues not specifically appropriated for defined project costs within a redevelopment project area by the end of a municipality's fiscal year be considered surplus funds and requires the distribution of all surplus funds in the STAF to occur annually within 60 (rather than 180) days after the close of the municipality's fiscal year.	3/17/11: Re-referred to Rules Committee (House) 7/23/11: Referred to Assignments (Senate)

TIF	HB1234	Amends the TIF Act to require the portion of taxes levied by a school district located in the redevelopment project area to be allocated and paid to the school district if tax increment financing has not been adopted in a redevelopment project area within 3 years of the redevelopment project area designation.	3/17/11: Re-referred to Rules Committee

TIF	HB1575	Amends the TIF Act as follows: 1. Prohibits new redevelopment project areas from being designated if the EAV of all of the property in the redevelopment project area plus the total current EAV of all property located in a municipality and subject to TIF is greater than 10% of the total EAV of all of the property located in the municipality. 2. All TIF revenues not specifically appropriated for defined costs in a redevelopment project area at the end of a municipality's fiscal year be deemed "surplus" funds to be redistributed to taxing districts. 3. Adds to the definition of "blighted area" a requirement that redevelopment is unlikely to happen in the absence of TIF. 4. Requires a Redevelopment Plan to include a comprehensive purpose and goal statement designed to evaluate progress in the Redevelopment Area over time. 5. Prior to the designation of a redevelopment project area, would allow overlapping taxing bodies to opt out of the proposed designation and those taxes will be paid to the taxing body as if the redevelopment project area had not been created. 6. All redevelopment project areas must be approved by a majority vote of each county board and the governing authorities of all overlapping taxing districts that have not elected to opt out of the designation. 7. Initial EAV of all TIF districts must be increased over the initial EAV of the previous year by the annual rate of increase of the CPI (for increment calculation purposes).	3/17/11: Re-referred to Rules Committee

TIF	HB1613	Amends the TIF Act to add costs of "transit oriented development" to the definition of "redevelopment project costs." Transit oriented development means a compact area of development of no more than 250 acres that is within1/2 mile of an existing or proposed rail or bus station or an intermodal or multimodal passenger facility that is part of a public mass transportation system. Whether improved or vacant, area must be characterized by at least 2 of the following 3 factors: 1) Inadequate utilities or transportation or parking infrastructure; 2) Deletrious land use or layout; and 3) Lack of transit oriented development planning.	3/17/11: Re-referred to Rules Committee

TIF	HB1976	Amends the TIF Act: 1. Allows a municipality to pay up to 100% of the cost of construction of new housing units to be occupied by very low-income households from tax increment revenues. 2. Allows a municipality to reimburse an affiliate of a Developer as authorized by a redevelopment agreement.	3/17/11: Re-referred to Rules Committee

TIF	HB2913	Amends the State Comptroller Act to require that all municipalities file a TIF Report with the Comptroller within 180 days after the close of the municipality's fiscal year and requires a municipality to electronically submit financial statements to the State Comptroller and to all overlapping taxing bodies for each redevelopment project area. The State Comptroller is required to post the information submitted by the municipalities on the State Comptroller's website.	3/17/11: Re-referred to Rules Committee

TIF	HB3089	Amends the property tax code to require property tax bills to include a statement itemizing the amount and percentage of funds from each taxing district in which the property is located that are distributed into the TIF fund and the total amount and percentage of funds being allocated to the TIF Fund.	3/17/11: Re-referred to Rules Committee

TIF	HB3439	Amends the definition of "public works" in the Prevailing Wage Act to exclude projects that received TIF Funds before January 1, 2010.	3/17/11: Re-referred to Rules Committee

TIF	HB3599	Amends the definition of "redevelopment costs" in the TIF Act to include costs associated with lead-abatement activities for property that is contiguous to but not included within a redevelopment project area if those lead-abatement activities further the purpose of the redevelopment project.	3/17/11: Re-referred to Rules Committee

TIF	SB540	Amends the State Comptroller Act to require a training and certification program for TIF Administrators. Amendment No. 3 (which has passed the House but not been considered in the Senate) makes several revisions to the TIF Act, including: (i) A maximum of 25% of residential project costs can be repaid with TIF funds unless the residential project includes low-income or very low-income housing units; (ii) If TIF dollars are not designated for a specific purpose or they are designated for a specific purpose but they have not been used in 10 years, those funds are considered surplus funds; (iii) a municipality must receive a detailed list of both temporary and permanent jobs created by the redevelopment project in each year; and (iv) The creation of a limitation on the transfer of TIF funds between TIF Districts.	4/15/11: Original Bill passed in Senate 5/31/11: House Bill as amended passed in House 7/23/11: Referred to Assignments (Senate)

TIF	SB1449	Amends the TIF Act and the Industrial Jobs Recovery Law to require a municipality to submit to the State Comptroller and all overlapping taxing districts in a redevelopment project area a detailed list of jobs created during the fiscal year, including whether they are temporary or permanent or whether they are in the public or private sector, to the extent such information is required to be reported to a municipality pursuant to a Redevelopment Agreement or other agreement.	5/3/11: Passed in Senate 5/31/2011: Re-referred to Rules Committee (House)

TIF	SB1625	Amends the Illinois State Auditing Act to require the Auditor General to conduct financial and compliance audits of all TIF Districts in the City of Chicago by June 30, 2012. At a minimum, the audit is to include an examination of revenue, expenditures and fund transfers.	3/18/11: Re-referred to Assignments

TIF Extension	HB1215	Amends the TIF Act to provide that the redevelopment project in the TIF District created by an ordinance adopted on July 1, 1994 by the City of Markham be completed by December 31 of the 35th year after the year in which the ordinance was adopted.	7/11/11: Public Act 97-0093

TIF Extension	HB1486	Amends the TIF Act to provide that the redevelopment project in the TIF District created by an ordinance adopted on May 19, 1998 by the Village of Bensenville be completed by December 31 of the 35th year after the year in which the ordinance was adopted.	8/15/11: Public Act 97-0732

TIF Extension	HB3785	Amends the TIF Act to provide that the redevelopment project in the TIF District created by an ordinance adopted on October 15, 2002 in the City of Rockford be completed by December 31 of the 35th year after the year in which the ordinance was adopted.	5/24/11: Referred to Rules Committee

TIF Extension	HB3846	Amends the TIF Act to provide that the redevelopment project in the TIF District created by an ordinance adopted on November 12, 1987 by the City of Dixon must be completed by December 31 of the 35th year after the year in which the ordinance was adopted.	10/19/11: Referred to Rules Committee

TIF Extension	SB0165	Amends the TIF Act to provide that the redevelopment project in the TIF District created by an ordinance adopted on October 27, 1998 by the City of Moline be completed by December 31 of the 35th year after the year in which the ordinance was adopted.	3/3/11: Passed (Senate) 5/31/11: Re-referred to Rules Committee (House)

TIF Extension	SB1435	Amends the TIF Act to provide that the redevelopment project in the TIF District created by an ordinance adopted by the City of Lawrenceville be completed by December 31 of the 28th year after the year in which the ordinance was adopted.	8/26/11: Public Act 97-600

Economic Dev. Area TIF Act	HB3445	Amends the Economic Development Area TIF Act to provide that obligations secured by the special tax allocation fund for an economic development project shall mature not later than 38 years from the date of establishment of the economic development project area (rather than 23 years)	3/17/11: Re-referred to Rules Committee

Industrial Jobs Recovery Law	SB0539	Amends the Industrial Jobs Recovery Law to provide that two or more municipalities may designate a joint redevelopment project area if: (i) both municipalities are located within the same Metropolitan Statistical Area; (ii) the 4-year average unemployment rate for the Metropolitan Statistical Area was at least 11.3%; (iii) at least one participating municipality demonstrates that it has made commitments to acquire capital assets to commence the project and that the acquisition will occur before December 31, 2011; and (iv) the joint redevelopment project area encompasses an interstate highway exchange for access and be located, at least in part, adjacent to a landfill or other solid waste disposal facility.	8/26/11: Public Act 97-0591

SSA	HB0028 HB1329 HB3600 SB1657	The corporate authorities of a county or municipality may establish a green SSA that will include only property in which the owner of record has executed a contract or agreement consenting to the inclusion of the property in the green SSA. The owner of record of each parcel within a green SSA may arrange for specific energy efficiency improvements or renewable energy improvements. Counties and municipalities may levy additional taxes in connection with green SSAs to pay for green SSA costs. Counties and municipalities may sell green SSA Bonds.	3/17/11: Re-referred to Rules Committee (HB0028) 3/17/11: Re-referred to Rules Committee(HB1329) 3/17/11: Re-referred to Rules Committee(HB3600) 3/18/11: Re-referred to Assignments (Senate)

SSA	HB0269	Amends the Property Tax Code to provide that an SSA may not be created or enlarged nor may a tax be levied or imposed nor may bonds be issued unless that action is authorized by a petition signed by at least 51% of the electors residing within the SSA and by at least 51% of the owners of record of the land included within the boundaries of the SSA (currently, the action may be taken unless petition objecting to the action is filed).	3/17/11: Re-referred to Rules Committee

Sales Tax Agreement	HB3859	Amends FOIA to provide that tax revenue sharing agreements and reports are public records. Requires that retailers file with the Department of Revenue a return stating the amount of any retailers' occupation tax share, rebate or refund anticipated to be received pursuant to any tax sharing agreement, the governmental entity from the which the rebate or refund is anticipated, whether the tax revenue sharing agreement is directly with the governmental entity or with an intermediary, and, if applicable, the identity of the intermediary.	10/25/11: Referred to Rules Committee

Taxes	HB3769	Amends the Use Tax Act, the Service Use Tax Act, the Service Occupation Tax Act and the Retailers' Occupation Tax Act to provide that beginning on July 1, 2011 and through December 31, 2011, motor fuel be taxed at a rate of 1.25% (currently, the rate is 6.25%).	4/14/11: Filed with Clerk

Taxes	SB0157	Amends the Home Rule County Retailers' Occupation Tax Law and the Home Rule County Service Occupation Tax Law to provide that the maximum tax rate that is permitted under those laws is 0.75% unless a higher rate is authorized by referendum.	3/18/11: Re-referred to Assignments

Taxes	SB2078	Amends various tax acts to provide that beginning on July 1, 2011, the motor fuel tax imposed under the Use Tax Act, the Service Use Tax Act, the Service Occupation Tax Act and the Retailers' Occupation Tax Act be imposed at a rate of 1.25% (rather than 6.25%).	3/18/11: Re-referred to Assignments

Incentives (General)	HB1624 SB2186	Creates the Job Preservation Act of 2011 which prohibits companies that lose 100 or more employees in Illinois as a result of outsourcing from receiving tax incentives or other economic incentives for a period 7 years.	3/17/11: Re-referred to Rules Committee (House) 3/18/11: Re-referred to Assignments (Senate)

Incentives (General)	HB3101	Creates the Jobs Creation Finance Act which allows municipalities to designate job creation areas and businesses that undertake job creation activities in those designated areas are eligible for certain tax incentives, including a pledge of local sales taxes and real estate taxes.	3/17/11: Re-referred to Rules Committee

Other	HB0212	Provides that 2 adjoining disadvantaged municipalities may form a business corridor by intergovernmental agreement and provides that taxing districts may abate any portion of taxes on property located in a business corridor for a period of up to 10 years.	8/26/11: Public Act 97-0577

Other	SB1322	Creates the Capital Projects Revenue Act (does not provide a description of the Act, only the title of the Act)	7/23/11: Referred to Assignments
		Revised: October 25, 2011

The descriptions of the legislation included in this Legislative Review are for informational purposes only and should not be relied upon. Information included herein is current as of the date listed at the top of the page. For the most up-to-date information and to review any piece of legislation in its entirety, visit the Illinois General Assembly webpage at www.ilga.gov .