Bill Text: IL HB5050 | 2023-2024 | 103rd General Assembly | Introduced

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Bill Title: Amends the Decennial Committees on Local Government Efficiency Act. Provides that, after each decennial census and no later than 24 months after the formation of all of the committees of the governmental units in a county, the county board must prepare a report to the General Assembly that includes a plan to reduce the number of governmental units within the county by 10% to 20%.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced) 2024-04-19 - House Floor Amendment No. 3 Rule 19(c) / Re-referred to Rules Committee [HB5050 Detail]

Download: Illinois-2023-HB5050-Introduced.html

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103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB5050 Introduced , by Rep. Natalie A. Manley SYNOPSIS AS INTRODUCED:
55 ILCS 5/5-44020
55 ILCS 5/5-44027 new
55 ILCS 5/5-44030
55 ILCS 5/5-44035
55 ILCS 5/5-44040
55 ILCS 5/5-44043
55 ILCS 5/5-44045
55 ILCS 5/5-44050
55 ILCS 5/5-44055
Amends the Local Government Reduction and Efficiency Division of the Counties Code. Defines "district" as a township road and bridge district, sanitary district, drainage district, mosquito abatement district, or street light district. Provides that a county board may enact a resolution or ordinance or a county executive may issue an executive order to dissolve a district, but must first adopt or issue a plan that describes how the county will absorb and implement the services provided by the district, that provides a reason to discontinue the services provided, that describes how the county will pay for the transfer of services, and that shows long-term savings for taxpayers and file that plan with the State Comptroller. Provides that the State Comptroller may approve or deny the dissolution of the district based on the contents of the plan. Provides that, if the dissolution and transfer is approved by the State Comptroller, the county board may adopt a resolution or ordinance or a county executive may issue an executive order authorizing the dissolution of the district not less than 60 days following the court's appointment of a trustee-in-dissolution. Includes procedures for the dissolution of the district and designation of individuals to represent the district. Provides that the county must provide quarterly updates to the State Comptroller and that the State Comptroller shall publish those quarterly updates on the State Comptroller's local government Warehouse database. Makes conforming changes in the Division.
LRB103 36381 AWJ 66482 b
A BILL FOR
HB5050 LRB103 36381 AWJ 66482 b
AN ACT concerning local government.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Counties Code is amended by changing
Sections 5-44020, 5-44030, 5-44035, 5-44040, 5-44043, 5-44045,
5-44050, and 5-44055 and by adding Section 5-44027 as follows:
(55 ILCS 5/5-44020)
Sec. 5-44020. Definitions. In this Division 5-44:
"District" means a township road and bridge district,
sanitary district, drainage district, mosquito abatement
district, or street light district, notwithstanding how a
district's governing board is appointed or elected.
"Fire protection jurisdiction" means a fire protection
district, municipal fire department, or service organized
under Section 5-1056.1 of the Counties Code, Sections 195 and
200 of the Township Code, Section 10-2.1 of the Illinois
Municipal Code, or the Illinois Fire Protection District Act.
"Governing board" means the individual or individuals who
constitute the corporate authorities of a unit of local
government or district.
"Unit of local government" or "unit" means any unit of
local government located entirely within one county, to which
the county board chairman or county executive directly

HB5050 - 2 - LRB103 36381 AWJ 66482 b
appoints a majority of its governing board with the advice and
consent of the county board, but shall not include a fire
protection district that directly employs any regular
full-time employees, a conservation district organized under
the Conservation District Act, a special district organized
under the Water Commission Act of 1985, a community mental
health board established under the Community Mental Health
Board Act, or a board established under the Community Care for
Persons with Developmental Disabilities Act.
(Source: P.A. 99-709, eff. 8-5-16; 100-107, eff. 1-1-18;
100-1129, eff. 1-1-19.)
(55 ILCS 5/5-44027 new)
Sec. 5-44027. Dissolution of districts.
(a) A county board or county executive may dissolve a
district as provided in this Section.
(b) Before a county board may enact a resolution or
ordinance or a county executive may issue an executive order
to dissolve a district under this Section, the county board or
county executive must adopt or issue a plan that describes how
the county will absorb and implement the services provided by
the district, that provides a reason to discontinue the
services provided, that describes how the county will pay for
the transfer of services, and that shows long-term savings for
taxpayers. The plan must be filed with the State Comptroller.
The State Comptroller may approve or deny the dissolution of

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the district based on the contents of the plan.
(c) If the dissolution and transfer is approved by the
State Comptroller, the county board may adopt a resolution or
ordinance or a county executive may issue an executive order
authorizing the dissolution of the district not less than 60
days following the court's appointment of a
trustee-in-dissolution as provided in this subsection. Upon
adoption of the resolution or ordinance or the issuance of an
executive order, the chairperson of the county board or county
executive shall petition the circuit court for an order
designating a trustee-in-dissolution for the district,
immediately terminating the terms of the members of the
governing board of the district, and providing for the
compensation of the trustee-in-dissolution, which shall be
paid from the corporate funds of the district.
(d) Upon the court's appointment of a
trustee-in-dissolution, and notwithstanding any other
provision of law, the State's attorney, or the State's
attorney's designee, shall become the exclusive legal
representative of the dissolving district. The county
treasurer shall become the treasurer of the district and the
county clerk shall become the secretary of the district.
(e) The county must provide quarterly updates to the State
Comptroller, and the State Comptroller shall publish those
quarterly updates on the State Comptroller's local government
Warehouse database.

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(55 ILCS 5/5-44030)
Sec. 5-44030. Trustee-in-dissolution; powers and duties.
(a) The trustee-in-dissolution shall have the following
powers and duties:
(1) to execute all of the powers and duties of the
previous board;
(2) to levy and rebate taxes, subject to the approval
of the county board, for the purpose of paying the debts,
obligations, and liabilities of the unit or district that
are outstanding on the date of the dissolution and the
necessary expenses of closing up the affairs of the
district if these funds are not available from the unit of
local government's or district's general fund;
(3) to present, within 30 days of his or her
appointment, a plan for the consolidation and dissolution
of the unit of local government or district to the county
board for its approval. The plan shall identify what
functions, if any, of the unit of local government or
district shall be undertaken by the county upon
dissolution and whether any taxes previously levied for
the provision of these functions shall be maintained;
(4) to enter into an intergovernmental agreement with
one or more governmental entities to utilize existing
resources including, but not limited to, labor, materials,
and property, as may be needed to carry out the foregoing

HB5050 - 5 - LRB103 36381 AWJ 66482 b
duties;
(5) to enter into an intergovernmental agreement with
the county to combine or transfer any of the powers,
privileges, functions, or authority of the unit of local
government or district to the county as may be required to
facilitate the transition; and
(6) to sell the property of the unit or district and,
in case any excess remains after all liabilities of the
unit or district are paid, the excess shall be transferred
to a special fund created and maintained by the county
treasurer to be expended solely to defer the costs
incurred by the county in performing the duties of the
unit or district, subject to the requirements of Section
5-44035 of this Division. Nothing in this Section shall
prohibit the county from acquiring any or all real or
personal property of the unit or district.
(b) For fire protection jurisdictions, the
trustee-in-dissolution shall not have:
(1) the powers enumerated in this Section unless the
dissolution of that unit of local government shall not
increase the average response times nor decrease the level
of services provided; and
(2) the power to decrease the levy that is in effect on
or before the date of dissolution of the fire protection
jurisdiction that affects the provision of fire and
emergency medical services.

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(Source: P.A. 98-126, eff. 8-2-13.)
(55 ILCS 5/5-44035)
Sec. 5-44035. Outstanding indebtedness.
(a) In case any unit or district dissolved pursuant to
this Division has bonds or notes outstanding that are a lien on
funds available in the treasury at the time of consolidation,
such lien shall be unimpaired by such dissolution and the lien
shall continue in favor of the bond or note holders. The funds
available subject to such a lien shall be set apart and held
for the purpose of retiring such secured debt and no such funds
shall be transferred into the general funds of the county.
(b) In case any unit or district dissolved pursuant to
this Division has unsecured debts outstanding at the time of
dissolution, any funds in the treasury of such unit or
district or otherwise available and not committed shall, to
the extent necessary, be applied to the payment of such debts.
(c) All property in the territory served by the dissolved
unit of local government or district shall be subject to
taxation to pay the debts, bonds, and obligations of the
dissolved district. The county board shall abate this taxation
upon the discharge of all outstanding obligations.
(Source: P.A. 98-126, eff. 8-2-13.)
(55 ILCS 5/5-44040)
Sec. 5-44040. Effect of dissolution. Immediately upon the

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dissolution of a unit of local government or district pursuant
to this Division:
(a) Notwithstanding the provisions of the Special Service
Area Tax Law of the Property Tax Code that pertain to the
establishment of special service areas, all or part of the
territory formerly served by the dissolved unit of local
government or district may be established as a special service
area or areas of the county if the county board by resolution
determines that this designation is necessary for it to
provide services. The special service area, if created, shall
include all territory formerly served by the dissolved unit of
local government or district if the dissolved unit or district
has outstanding indebtedness. If the boundaries of a special
service area created under this subsection include territory
within a municipality, the corporate authorities of that
municipality may, with the consent of the county, assume
responsibility for the special service area and become its
governing body.
All or part of the territory formerly served by a
dissolved fire protection jurisdiction shall not be
established as a special service area unless the creation of
the special service area does not increase the average
response times nor decrease the level of service provided.
(b) In addition to any other powers provided by law, the
governing body of a special service area created pursuant to
this subsection shall assume and is authorized to exercise all

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the powers and duties of the dissolved unit or district with
respect to the special service area. The governing body is
also authorized to continue to levy any tax previously imposed
by the unit of local government or district within the special
service area. However, the governing board shall not have the
power to decrease the levy that is in effect on or before the
date of dissolution of the fire protection jurisdiction that
affects the provision of fire and emergency medical services.
(c) Subsequent increases of the current tax levy within
the special service area or areas shall be made in accordance
with the provisions of the Special Service Area Tax Law of the
Property Tax Code.
(Source: P.A. 98-126, eff. 8-2-13.)
(55 ILCS 5/5-44043)
Sec. 5-44043. Rights and obligations of employees.
(a) The status and rights of employees represented by an
exclusive bargaining representative shall not be affected by
the dissolution of a unit of local government or district
under this Division, except that this subsection does not
apply in DuPage, Lake, and McHenry Counties for actions taken
before the effective date of this amendatory Act of the 100th
General Assembly.
(b) Obligations of the dissolving unit of local government
or district assumed by the trustee-in-dissolution, county, or
governing body of a special service area include the

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obligation to honor representation rights under the Illinois
Public Labor Relations Act and any collective bargaining
agreements existing on the date of dissolution of the unit of
local government or district.
(c) The rights of employees under any pensions, retirement
plans, or annuity plans existing on the date of dissolution of
the unit of local government or district are not affected by
the dissolution of a unit of local government or district
under this Division.
(Source: P.A. 100-107, eff. 1-1-18.)
(55 ILCS 5/5-44045)
Sec. 5-44045. Abatement of levy. Whenever a county has
dissolved a unit of local government or district pursuant to
this Division, the county or municipality shall, within 6
months of the effective date of the dissolution and every year
thereafter, evaluate the need to continue any existing tax
levy until the county or municipality abates the levy in the
manner set forth by the Special Service Area Tax Law of the
Property Tax Code.
(Source: P.A. 98-126, eff. 8-2-13.)
(55 ILCS 5/5-44050)
Sec. 5-44050. Tax collection and enforcement. The
dissolution of a unit of local government or district pursuant
to this Division shall not adversely affect proceedings for

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the collection or enforcement of any tax. Those proceedings
shall continue to finality as though no dissolution had taken
place. The proceeds thereof shall be paid over to the
treasurer of the county to be used for the purpose for which
the tax was levied or assessed. Proceedings to collect and
enforce such taxes may be instituted and carried on in the name
of the unit or district.
(Source: P.A. 98-126, eff. 8-2-13.)