PROP TX-AFFORDABLE HOUSING
The passage of SB3993 allows counties, particularly those with populations under 3 million, to adopt a special assessment program that reduces the assessed value for qualifying properties that meet specific criteria. Eligible properties must include newly constructed or rehabilitated multifamily buildings with 7 or more rental units. The assessed value reduction program will be in effect for up to 30 years, depending on compliance with rental affordability criteria, thus providing long-term benefits to both property developers and low-income tenants.
Senate Bill 3993 amends the Property Tax Code of Illinois to extend the timeline for applying for assessed value reductions for affordable rental housing from December 31, 2027, to December 31, 2037. This extension aims to address the continuing shortage of quality affordable rental units available to low-income and very-low-income households across the state. By allowing developers and owners more time to apply for these reductions, the bill seeks to incentivize the creation and maintenance of affordable housing in Illinois by reducing the financial burden experienced by property owners during construction or rehabilitation efforts.
One notable point of contention surrounding SB3993 is the potential for uneven implementation across counties, as counties with populations less than 3 million have the option to opt out of the program. This raises concerns regarding equitable access to affordable housing solutions within the state, as jurisdictions may differ in their commitment to local housing projects. Supporters argue that the bill fosters the development of affordable housing units and aids in the fight against housing insecurity, while critics warn that optional participation may lead to inconsistencies in availability and support for low-income residents across different areas.