Bill Text: IL HB0257 | 2017-2018 | 100th General Assembly | Introduced

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Bill Title: Amends the Property Tax Code. Contains provisions concerning valuation and taxation of keystone property. Provides that keystone property is property that has had a distinguished past and is a prominent property in the municipality but is not of historical significance or landmark status and meets certain criteria. Effective immediately.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Failed) 2019-01-08 - Session Sine Die [HB0257 Detail]

Download: Illinois-2017-HB0257-Introduced.html

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100TH GENERAL ASSEMBLY State of Illinois 2017 and 2018 HB0257 Introduced , by Rep. Anthony DeLuca SYNOPSIS AS INTRODUCED:
35 ILCS 200/10-705 new
Amends the Property Tax Code. Contains provisions concerning valuation and taxation of keystone property. Provides that keystone property is property that has had a distinguished past and is a prominent property in the municipality but is not of historical significance or landmark status and meets certain criteria. Effective immediately.
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FISCAL NOTE ACT MAY APPLY HOUSING AFFORDABILITY IMPACT NOTE ACT MAY APPLY
A BILL FOR
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AN ACT concerning revenue.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Property Tax Code is amended by adding
Section 10-705 as follows:
(35 ILCS 200/10-705 new)
Sec. 10-705. Keystone property.
(a) For the purposes of this Section:
"Base year" means the last tax year prior to the date
of the application during which the property was occupied
and assessed and taxes were collected.
"Tax year" means the calendar year for which assessed
value is determined as of January 1 of that year.
"Keystone property" means property that has had a
distinguished past and is a prominent property in the
municipality but is not of historical significance or
landmark status and meets the following criteria:
(1) the property contains an existing industrial
or medical structure consisting of more than 100,000
square feet;
(2) the property is located on a lot, parcel, or
tract of land that is more than 5 acres in area;
(3) the industrial or medical structure was

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originally built more than 30 years prior to the date
of the application;
(4) in the case of industrial property, the
property has been vacant for a period of more than 5
consecutive years immediately prior to the date of the
application;
(5) in the case of medical property, the property
became vacant during the 5 years immediately prior to
the date of the application or is likely to become
vacant no later than December 31 of the calendar year
immediately following the year of the application;
(6) for the base year, the portion of the
property's property tax liability that is attributable
to the municipality is in the top 10% when compared
with the municipal property tax liability for all other
properties in the municipality for that tax year; and
(7) the property is not located in a tax increment
financing district as of the date of the application.
(b) Beginning on July 1, 2017 and ending on July 1, 2029,
owners of real property may apply with the municipality in
which the property is located to have the property designated
as keystone property. If the property meets the criteria for
keystone property set forth in subsection (a), then the
corporate authorities of the municipality may certify the
property as keystone property for the purposes of promoting
rehabilitation of vacant property and fostering job creation in

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the fields of manufacturing, research and development, and
healthcare. The certification shall be transmitted to the chief
county assessment officer as soon as possible after the
property is certified.
(c) Beginning with the first tax year after the property is
certified as keystone property and continuing through the
twelfth tax year after the property is certified as keystone
property, for the purpose of taxation under this Code, the
property shall be valued at 33 1/3% of the fair cash value of
the land, without regard to buildings, structures,
improvements, and other permanent fixtures located on the
property. For the first 3 tax years after the property is
certified as keystone property, the aggregate tax liability for
the property shall be $75,000. That aggregate tax liability,
once collected, shall be distributed to the taxing districts in
which the property is located according to each taxing
district's proportionate share of that aggregate liability.
Beginning with the fourth tax year after the property is
certified as keystone property and continuing through the
twelfth tax year after the property is certified as keystone
property, the property's tax liability for each taxing district
in which the property is located shall be increased over the
tax liability for the preceding year by the percentage
increase, if any, in the total equalized assessed value of all
property in the taxing district.
Section 99. Effective date. This Act takes effect upon

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becoming law.