Illinois 2023-2024 Regular Session

Illinois House Bill HB4657 Compare Versions

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

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1	1	103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB4657 Introduced , by Rep. Margaret Croke SYNOPSIS AS INTRODUCED: 35 ILCS 200/18-173 Amends the Property Tax Code. Provides that provisions creating a housing opportunity abatement program apply through tax year 2034 (currently, 2024). Effective immediately. LRB103 37270 HLH 67391 b A BILL FOR 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB4657 Introduced , by Rep. Margaret Croke SYNOPSIS AS INTRODUCED: 35 ILCS 200/18-173 35 ILCS 200/18-173 Amends the Property Tax Code. Provides that provisions creating a housing opportunity abatement program apply through tax year 2034 (currently, 2024). Effective immediately. LRB103 37270 HLH 67391 b LRB103 37270 HLH 67391 b A BILL FOR
2	2	103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB4657 Introduced , by Rep. Margaret Croke SYNOPSIS AS INTRODUCED:
3	3	35 ILCS 200/18-173 35 ILCS 200/18-173
4	4	35 ILCS 200/18-173
5	5	Amends the Property Tax Code. Provides that provisions creating a housing opportunity abatement program apply through tax year 2034 (currently, 2024). Effective immediately.
6	6	LRB103 37270 HLH 67391 b LRB103 37270 HLH 67391 b
7	7	LRB103 37270 HLH 67391 b
8	8	A BILL FOR
9	9	HB4657LRB103 37270 HLH 67391 b HB4657 LRB103 37270 HLH 67391 b
10	10	HB4657 LRB103 37270 HLH 67391 b
11	11	1 AN ACT concerning revenue.
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 5. The Property Tax Code is amended by changing
15	15	5 Section 18-173 as follows:
16	16	6 (35 ILCS 200/18-173)
17	17	7 Sec. 18-173. Housing opportunity area abatement program.
18	18	8 (a) For the purpose of promoting access to housing near
19	19	9 work and in order to promote economic diversity throughout
20	20	10 Illinois and to alleviate the concentration of low-income
21	21	11 households in areas of high poverty, a housing opportunity
22	22	12 area tax abatement program is created.
23	23	13 (b) As used in this Section:
24	24	14 "Housing authority" means either a housing authority
25	25	15 created under the Housing Authorities Act or other government
26	26	16 agency that is authorized by the United States government
27	27	17 under the United States Housing Act of 1937 to administer a
28	28	18 housing choice voucher program, or the authorized agent of
29	29	19 such a housing authority that is authorized to act upon that
30	30	20 authority's behalf.
31	31	21 "Housing choice voucher" means a tenant voucher issued by
32	32	22 a housing authority under Section 8 of the United States
33	33	23 Housing Act of 1937 and a tenant voucher converted to a
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37	37	103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB4657 Introduced , by Rep. Margaret Croke SYNOPSIS AS INTRODUCED:
38	38	35 ILCS 200/18-173 35 ILCS 200/18-173
39	39	35 ILCS 200/18-173
40	40	Amends the Property Tax Code. Provides that provisions creating a housing opportunity abatement program apply through tax year 2034 (currently, 2024). Effective immediately.
41	41	LRB103 37270 HLH 67391 b LRB103 37270 HLH 67391 b
42	42	LRB103 37270 HLH 67391 b
43	43	A BILL FOR
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49	49	35 ILCS 200/18-173
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68	68	1 project-based voucher by a housing authority.
69	69	2 "Housing opportunity area" means a census tract where less
70	70	3 than 10% of the residents live below the poverty level, as
71	71	4 defined by the United States government and determined by the
72	72	5 most recent United States census, that is located within a
73	73	6 qualified township, except for census tracts located within
74	74	7 any township that is located wholly within a municipality with
75	75	8 1,000,000 or more inhabitants. A census tract that is located
76	76	9 within a township that is located wholly within a municipality
77	77	10 with 1,000,000 or more inhabitants is considered a housing
78	78	11 opportunity area if less than 12% of the residents of the
79	79	12 census tract live below the poverty level.
80	80	13 "Housing opportunity unit" means a dwelling unit located
81	81	14 in residential property that is located in a housing
82	82	15 opportunity area, that is owned by the applicant, and that is
83	83	16 rented to and occupied by a tenant who is participating in a
84	84	17 housing choice voucher program administered by a housing
85	85	18 authority as of January 1st of the tax year for which the
86	86	19 application is made.
87	87	20 "Qualified units" means the number of housing opportunity
88	88	21 units located in the property with the limitation that no more
89	89	22 than 2 units or 20% of the total units contained within the
90	90	23 property, whichever is greater, may be considered qualified
91	91	24 units. Further, no unit may be considered qualified unless the
92	92	25 property in which it is contained is in substantial compliance
93	93	26 with local building codes, and, moreover, no unit may be
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104	104	1 considered qualified unless it meets the United States
105	105	2 Department of Housing and Urban Development's housing quality
106	106	3 standards as of the most recent housing authority inspection.
107	107	4 "Qualified township" means a township located within a
108	108	5 county with 200,000 or more inhabitants whose tax capacity
109	109	6 exceeds 80% of the average tax capacity of the county in which
110	110	7 it is located, except for townships located within a county
111	111	8 with 3,000,000 or more inhabitants, where a qualified township
112	112	9 means a township whose tax capacity exceeds 115% of the
113	113	10 average tax capacity of the county except for townships
114	114	11 located wholly within a municipality with 1,000,000 or more
115	115	12 inhabitants. All townships located wholly within a
116	116	13 municipality with 1,000,000 or more inhabitants are considered
117	117	14 qualified townships.
118	118	15 "Tax capacity" means the equalized assessed value of all
119	119	16 taxable real estate located within a township or county
120	120	17 divided by the total population of that township or county.
121	121	18 (c) The owner of property located within a housing
122	122	19 opportunity area who has a housing choice voucher contract
123	123	20 with a housing authority may apply for a housing opportunity
124	124	21 area tax abatement by annually submitting an application to
125	125	22 the housing authority that administers the housing choice
126	126	23 voucher contract. The application must include the number of
127	127	24 housing opportunity units as well as the total number of
128	128	25 dwelling units contained within the property. The owner must,
129	129	26 under oath, self-certify as to the total number of dwelling
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140	140	1 units in the property and must self-certify that the property
141	141	2 is in substantial compliance with local building codes. The
142	142	3 housing authority shall annually determine the number of
143	143	4 qualified units located within each property for which an
144	144	5 application is made.
145	145	6 The housing authority shall establish rules and procedures
146	146	7 governing the application processes and may charge an
147	147	8 application fee. The county clerk may audit the applications
148	148	9 to determine that the properties subject to the tax abatement
149	149	10 meet the requirements of this Section. The determination of
150	150	11 eligibility of a property for the housing opportunity area
151	151	12 abatement shall be made annually; however, no property may
152	152	13 receive an abatement for more than 10 tax years.
153	153	14 (d) The housing authority shall determine housing
154	154	15 opportunity areas within its service area and annually deliver
155	155	16 to the county clerk, in a manner determined by the county
156	156	17 clerk, a list of all properties containing qualified units
157	157	18 within that service area by December 31st of the tax year for
158	158	19 which the property is eligible for abatement; the list shall
159	159	20 include the number of qualified units and the total number of
160	160	21 dwelling units for each property.
161	161	22 The county clerk shall deliver annually to a housing
162	162	23 authority, upon that housing authority's request, the most
163	163	24 recent available equalized assessed value for the county as a
164	164	25 whole and for those taxing districts and townships so
165	165	26 specified by the requesting housing authority.
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176	176	1 (e) The county clerk shall abate the tax attributed to a
177	177	2 portion of the property determined to be eligible for a
178	178	3 housing opportunity area abatement. The portion eligible for
179	179	4 abatement shall be determined by reducing the equalized
180	180	5 assessment value by a percentage calculated using the
181	181	6 following formula: 19% of the equalized assessed value of the
182	182	7 property multiplied by a fraction where the numerator is the
183	183	8 number of qualified units and denominator is the total number
184	184	9 of dwelling units located within the property.
185	185	10 (f) Any municipality, except for municipalities with
186	186	11 1,000,000 or more inhabitants, may annually petition the
187	187	12 county clerk to be excluded from a housing opportunity area if
188	188	13 it is able to demonstrate that more than 2.5% of the total
189	189	14 residential units located within that municipality are
190	190	15 occupied by tenants under the housing choice voucher program.
191	191	16 Properties located within an excluded municipality shall not
192	192	17 be eligible for the housing opportunity area abatement for the
193	193	18 tax year in which the petition is made.
194	194	19 (g) Applicability. This Section applies to tax years 2004
195	195	20 through 2034 2024, unless extended by law.
196	196	21 (Source: P.A. 98-957, eff. 8-15-14.)
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