Illinois 2023-2024 Regular Session

Illinois House Bill HB1271 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB1271 Introduced , by Rep. John M. Cabello SYNOPSIS AS INTRODUCED: New Act Creates the Prohibition of Closed-Door Tax Increases Act. Provides that a unit of local government may not increase a levied tax without authorization by referendum of the electors of the unit of local government. Provides that a referendum to increase a levied tax must include a sunset clause on which the tax increase authorized by the referendum measure shall expire. Provides that, if an increase in a levied tax is intended to generate a cash flow to service a debt, the increase must sunset no later than the date that the debt is scheduled to be paid off, and, if an increase in a levied tax is intended to generate a cash flow that will be spent for purposes other than debt service, the increase must sunset no later than 10 years after the date on which the tax increase begins. Provides that, to the extent this Act conflicts with any other provision of law, this Act controls. Provides that nothing in the Act infringes upon the right of a unit of local government to impose or increase non-tax fines or fees. Provides that the Department of Revenue shall adopt rules to enforce the Act. Limits concurrent exercise of home rule taxing powers. LRB103 05273 AWJ 50291 b A BILL FOR 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB1271 Introduced , by Rep. John M. Cabello SYNOPSIS AS INTRODUCED: New Act New Act Creates the Prohibition of Closed-Door Tax Increases Act. Provides that a unit of local government may not increase a levied tax without authorization by referendum of the electors of the unit of local government. Provides that a referendum to increase a levied tax must include a sunset clause on which the tax increase authorized by the referendum measure shall expire. Provides that, if an increase in a levied tax is intended to generate a cash flow to service a debt, the increase must sunset no later than the date that the debt is scheduled to be paid off, and, if an increase in a levied tax is intended to generate a cash flow that will be spent for purposes other than debt service, the increase must sunset no later than 10 years after the date on which the tax increase begins. Provides that, to the extent this Act conflicts with any other provision of law, this Act controls. Provides that nothing in the Act infringes upon the right of a unit of local government to impose or increase non-tax fines or fees. Provides that the Department of Revenue shall adopt rules to enforce the Act. Limits concurrent exercise of home rule taxing powers. LRB103 05273 AWJ 50291 b LRB103 05273 AWJ 50291 b A BILL FOR
2	2	103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB1271 Introduced , by Rep. John M. Cabello SYNOPSIS AS INTRODUCED:
3	3	New Act New Act
4	4	New Act
5	5	Creates the Prohibition of Closed-Door Tax Increases Act. Provides that a unit of local government may not increase a levied tax without authorization by referendum of the electors of the unit of local government. Provides that a referendum to increase a levied tax must include a sunset clause on which the tax increase authorized by the referendum measure shall expire. Provides that, if an increase in a levied tax is intended to generate a cash flow to service a debt, the increase must sunset no later than the date that the debt is scheduled to be paid off, and, if an increase in a levied tax is intended to generate a cash flow that will be spent for purposes other than debt service, the increase must sunset no later than 10 years after the date on which the tax increase begins. Provides that, to the extent this Act conflicts with any other provision of law, this Act controls. Provides that nothing in the Act infringes upon the right of a unit of local government to impose or increase non-tax fines or fees. Provides that the Department of Revenue shall adopt rules to enforce the Act. Limits concurrent exercise of home rule taxing powers.
6	6	LRB103 05273 AWJ 50291 b LRB103 05273 AWJ 50291 b
7	7	LRB103 05273 AWJ 50291 b
8	8	A BILL FOR
9	9	HB1271LRB103 05273 AWJ 50291 b HB1271 LRB103 05273 AWJ 50291 b
10	10	HB1271 LRB103 05273 AWJ 50291 b
11	11	1 AN ACT concerning local government.
12	12	2 Be it enacted by the People of the State of Illinois,
13	13	3 represented in the General Assembly:
14	14	4 Section 1. Short title. This Act may be cited as the
15	15	5 Prohibition of Closed-Door Tax Increases Act.
16	16	6 Section 5. Referendums required. A unit of local
17	17	7 government may not increase a levied tax as otherwise provided
18	18	8 by law without authorization by referendum of the electors of
19	19	9 the unit of local government as provided in this Act.
20	20	10 Section 10. Sunset of increased taxes. A referendum to
21	21	11 increase a levied tax must include a sunset clause on which the
22	22	12 tax increase authorized by the referendum measure shall
23	23	13 expire. If an increase in a levied tax is intended to generate
24	24	14 a cash flow to service a debt, the increase must sunset no
25	25	15 later than the date that the debt is scheduled to be paid off.
26	26	16 If an increase in a levied tax is intended to generate a cash
27	27	17 flow that will be spent for purposes other than debt service,
28	28	18 the increase must sunset no later than 10 years after the date
29	29	19 on which the tax increase begins.
30	30	20 Section 15. Referendum language.
31	31	21 (a) The governing body of a unit of local government that
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35	35	103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB1271 Introduced , by Rep. John M. Cabello SYNOPSIS AS INTRODUCED:
36	36	New Act New Act
37	37	New Act
38	38	Creates the Prohibition of Closed-Door Tax Increases Act. Provides that a unit of local government may not increase a levied tax without authorization by referendum of the electors of the unit of local government. Provides that a referendum to increase a levied tax must include a sunset clause on which the tax increase authorized by the referendum measure shall expire. Provides that, if an increase in a levied tax is intended to generate a cash flow to service a debt, the increase must sunset no later than the date that the debt is scheduled to be paid off, and, if an increase in a levied tax is intended to generate a cash flow that will be spent for purposes other than debt service, the increase must sunset no later than 10 years after the date on which the tax increase begins. Provides that, to the extent this Act conflicts with any other provision of law, this Act controls. Provides that nothing in the Act infringes upon the right of a unit of local government to impose or increase non-tax fines or fees. Provides that the Department of Revenue shall adopt rules to enforce the Act. Limits concurrent exercise of home rule taxing powers.
39	39	LRB103 05273 AWJ 50291 b LRB103 05273 AWJ 50291 b
40	40	LRB103 05273 AWJ 50291 b
41	41	A BILL FOR
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47	47	New Act
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66	66	1 wishes to submit a tax increase to the electors of the unit of
67	67	2 local government shall submit to the proper election
68	68	3 authorities referendum language substantially in the form
69	69	4 required under this Section.
70	70	5 (b) For a referendum to increase a levied tax to generate a
71	71	6 cash flow to service a debt, the referendum must be
72	72	7 substantially in the following form: "Shall the (name of the
73	73	8 tax) authorized under (statutory or ordinance authority) be
74	74	9 increased to (new tax rate) from (old tax rate) on (date of
75	75	10 increase) to pay the (description of debt), with the increased
76	76	11 rate ending on (the date that the debt is scheduled to be paid
77	77	12 off)?"
78	78	13 (c) For a referendum to increase a levied tax to generate a
79	79	14 cash flow that will be spent for purposes other than debt
80	80	15 service, the referendum must be substantially in the following
81	81	16 form: "Shall the (name of the tax) authorized under (statutory
82	82	17 or ordinance authority) be increased to (new tax rate) from
83	83	18 (old tax rate) on (date of increase) for (description of the
84	84	19 purpose for the tax increase), with the increased rate ending
85	85	20 on (a date no later than 10 years after the date on which the
86	86	21 tax increase begins)?"
87	87	22 Section 85. Conflict with other laws; exclusions.
88	88	23 (a) To the extent this Act conflicts with any other
89	89	24 provision of law, this Act controls.
90	90	25 (b) Nothing in this Act infringes upon the right of a unit
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101	101	1 of local government to impose or increase nontax fines or
102	102	2 fees.
103	103	3 Section 90. Rules. The Department of Revenue shall adopt
104	104	4 rules to enforce this Act.
105	105	5 Section 95. Home rule. A home rule unit may not regulate
106	106	6 the levy of taxes in a manner inconsistent with this Act. This
107	107	7 Act is a limitation under subsections (i) and (g) of Section 6
108	108	8 of Article VII of the Illinois Constitution on the concurrent
109	109	9 exercise by home rule units of powers and functions exercised
110	110	10 by the State.
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