SB 701 — REVENUE-TECH

SB0701 *LRB09408537BDD38744b*Engrossed 94THLRB094 GENERAL08537 ASSEMBLYBDD State38744 ofb IllinoisAN andACT 2006concerning SB0701revenue. Introduced 2/18/2005, by Sen.

Don Harmon - Emil Jones, Jr.

SYNOPSIS AS INTRODUCED:

ILCS 200/1-150 Amends the Property Tax Code.

Makes a technical change in a Section concerning the definition of "taxing district".

LRB094 08537 BDD 38744 b A BILL FOR SB0701 LRB094 08537 BDD 38744 b AN ACT concerning revenue.

The Property Tax Code is amended by changing Section 1-15018-165 as follows:

(35 ILCS 200/1-150)200/18-165) Sec.

1-150.18-165.

TaxingAbatement District.of taxes.

(a) Any unittaxing ofdistrict, localupon government,a schoolmajority districtvote orof communityits collegegoverning districtauthority, withmay, after the determination of the powerassessed valuation of its property, order the clerk of that county to levyabate taxes.any portion of its taxes on the following types of property:

(1) Commercial and industrial.

(A) The property of any commercial or industrial firm, including but not limited to the property of (i) any firm that is used for collecting, separating, storing, or processing recyclable materials, locating within the taxing district during the immediately preceding year from another state, territory, or country, or having been newly created within this State during the immediately preceding year, or expanding an existing facility, or (ii) any firm that is used for the generation and transmission of electricity locating within the taxing district during the immediately preceding year or expanding its presence within the taxing district during the immediately preceding year by construction of a new electric generating facility that uses natural gas as its fuel, or any firm that is used for production operations at a new, expanded, or reopened coal mine within the taxing district, that has been certified as a High Impact Business by the Illinois Department of Commerce and SB0701 Engrossed - 2 - LRB094 08537 BDD 38744 b Economic Opportunity Community Affairs.

The property of any firm used for the generation and transmission of electricity shall include all property of the firm used for transmission facilities as defined in Section 5.5 of the Illinois Enterprise Zone Act.

The abatement shall not exceed a period of 10 years and the aggregate amount of abated taxes for all taxing districts combined shall not exceed $4,000,000.

(A-5) Any property in the taxing district of a new electric generating facility, as defined in Section 605-332 of the Department of Commerce and Economic Opportunity Community Affairs Law of the Civil Administrative Code of Illinois.

The abatement shall not exceed a period of 10 years.

The abatement shall be subject to the following limitations:

(i) if the equalized assessed valuation of the new electric generating facility is equal to or greater than $25,000,000 but less than $50,000,000, then the abatement may not exceed (i) over the entire term of the abatement, 5% of the taxing district’s aggregate taxes from the new electric generating facility and (ii) in any one year of abatement, 20% of the taxing district’s taxes from the new electric generating facility;

(ii) if the equalized assessed valuation of the new electric generating facility is equal to or greater than $50,000,000 but less than $75,000,000, then the abatement may not exceed (i) over the entire term of the abatement, 10% of the taxing district’s aggregate taxes from the new electric generating facility and (ii) in any one year of abatement, 35% of the taxing district’s taxes from the new electric generating facility;

(iii) if the equalized assessed valuation of the new electric generating facility is equal to or greater than $75,000,000 but less than SB0701 Engrossed - 3 - LRB094 08537 BDD 38744 b $100,000,000, then the abatement may not exceed (i) over the entire term of the abatement, 20% of the taxing district’s aggregate taxes from the new electric generating facility and (ii) in any one year of abatement, 50% of the taxing district’s taxes from the new electric generating facility;

(iv) if the equalized assessed valuation of the new electric generating facility is equal to or greater than $100,000,000 but less than $125,000,000, then the abatement may not exceed (i) over the entire term of the abatement, 30% of the taxing district’s aggregate taxes from the new electric generating facility and (ii) in any one year of abatement, 60% of the taxing district’s taxes from the new electric generating facility;

(v) if the equalized assessed valuation of the new electric generating facility is equal to or greater than $125,000,000 but less than $150,000,000, then the abatement may not exceed (i) over the entire term of the abatement, 40% of the taxing district’s aggregate taxes from the new electric generating facility and (ii) in any one year of abatement, 60% of the taxing district’s taxes from the new electric generating facility;

(vi) if the equalized assessed valuation of the new electric generating facility is equal to or greater than $150,000,000, then the abatement may not exceed (i) over the entire term of the abatement, 50% of the taxing district’s aggregate taxes from the new electric generating facility and (ii) in any one year of abatement, 60% of the taxing district’s taxes from the new electric generating facility.

The abatement is not effective unless the owner of the new electric generating facility agrees to repay to the taxing district all amounts previously abated, SB0701 Engrossed - 4 - LRB094 08537 BDD 38744 b together with interest computed at the rate and in the manner provided for delinquent taxes, in the event that the owner of the new electric generating facility closes the new electric generating facility before the expiration of the entire term of the abatement.

The authorization of taxing districts to abate taxes under this subdivision (a)(1)(A-5) expires on January 1, 2010.

(B) The property of any commercial or industrial development of at least 500 acres having been created within the taxing district.

The abatement shall not exceed a period of 20 years and the aggregate amount of abated taxes for all taxing districts combined shall not exceed $12,000,000.

For the commercial or industrial development, however, of at least 500 acres on undeveloped land that was transferred by the Secretary of the Army pursuant to the federal Illinois Land Conservation Act and that is owned by the Joliet Arsenal Development Authority or undeveloped land subsequently acquired by the Joliet Arsenal Development Authority, the abatement may not exceed a period of 20 years and the aggregate amount of the abated taxes for all taxing districts combined may not exceed $38,000,000.

(C) The property of any commercial or industrial firm currently located in the taxing district that expands a facility or its number of employees.

The abatement shall not exceed a period of 10 years and the aggregate amount of abated taxes for all taxing districts combined shall not exceed $4,000,000.

The abatement period may be renewed at the option of the taxing districts.

(2) Horse racing.

Any property in the taxing district which is used for the racing of horses and upon which capital improvements consisting of expansion, improvement or replacement of existing facilities have been made since SB0701 Engrossed - 5 - LRB094 08537 BDD 38744 b July 1, 1987.

The combined abatements for such property from all taxing districts in any county shall not exceed $5,000,000 annually and shall not exceed a period of 10 years.

(3) Auto racing.

Any property designed exclusively for the racing of motor vehicles.

Such abatement shall not exceed a period of 10 years.

(4) Academic or research institute.

The property of any academic or research institute in the taxing district that (i) is an exempt organization under paragraph (3) of Section 501(c) of the Internal Revenue Code, (ii) operates for the benefit of the public by actually and exclusively performing scientific research and making the results of the research available to the interested public on a non-discriminatory basis, and (iii) employs more than 100 employees.