Illinois 2023-2024 Regular Session

Illinois Senate Bill SB3568

Introduced
2/9/24  
Refer
2/9/24  
Refer
2/20/24  

Caption

PROP TX-INDEMNITY FUND

Impact

Upon enactment, SB3568 will significantly alter the legal landscape concerning property tax matters in Illinois. By expressly entitling all affected property owners to indemnity, the bill provides a clear pathway for compensation, particularly for those individuals who may have previously felt disadvantaged or precluded from claiming rightful awards. Furthermore, the bill imposes a cap on indemnity awards, ensuring that the total amount does not exceed $99,000, which seeks to manage the financial implications of indemnification on the state’s budget and the Indemnity Fund itself.

Summary

SB3568 seeks to amend the Property Tax Code of Illinois, specifically addressing the provisions related to the Indemnity Fund. The bill stipulates that all property owners who experience loss or damage due to the issuance of a tax deed are entitled to payments from this fund. The legislation aims to streamline the process for property owners seeking compensation, ensuring that those affected by tax deed issuance are not left without recourse. Additionally, the bill emphasizes equitable entitlement, allowing the courts to interpret claims liberally in favor of compensation for property owners.

Contention

However, the introduction of SB3568 may also invite contention among lawmakers and stakeholders. Notably, the cap on indemnity payments could be a point of debate as stakeholders express concerns that the limit may not adequately reflect the true loss experienced by certain property owners, particularly in urban areas where property values might exceed the stipulated threshold. Additionally, the requirement for an owner to prove lack of fault or negligence for claims exceeding $99,000 could lead to interpretations that complicate claims processes and potentially limit the scope of recovery for property owners.

Companion Bills

No companion bills found.

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