HB5680 98TH GENERAL ASSEMBLY

LRB098 18429 HLH 53566 b

98TH GENERAL ASSEMBLY
State of Illinois
2013 and 2014
HB5680

Introduced , by Rep. Linda Chapa LaVia

SYNOPSIS AS INTRODUCED:

New Act
35 ILCS 200/18-170.5 new

Creates the Entertainment District Act. Provides that a municipality may designate an entertainment district by ordinance. Provides that the District shall be subject to approval by the Director of Commerce and Economic Opportunity. Provides that certain entertainment facilities located in an entertainment district are entitled to a property tax abatement and other tax incentives specified by the municipality.

FISCAL NOTE ACT MAY APPLY

A BILL FOR

AN ACT concerning State government.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 1. Short title. This Act may be cited as the Entertainment District Act.

Section 5. Definitions. As used in this Act, the following words shall have the meanings ascribed to them, unless the context otherwise requires:

"Department" means the Department of Commerce and Economic Opportunity.

"Director" means the Director of Commerce and Economic Opportunity.

"Entertainment district" means an area of the State certified by the Department as an Entertainment District pursuant to this Act.

"Entertainment facility" means a facility that will be used in the production of entertainment products, including multimedia products, or as part of the airing, display, or provision of live entertainment for stage or broadcast, including support services such as set manufacturers, scenery makers, sound and video equipment providers, and manufacturers, stage and screen writers, providers of capital for the entertainment industry, and agents for talent, writers, producers and music properties and technological infrastructure support including, but not limited to, fiber optics, necessary to support multimedia and other entertainment formats, except entertainment provided by or shown at a gambling or gaming facility or a facility whose primary business is the sale or serving of alcoholic beverages.

Section 10. Initiation of Entertainment Districts by Municipalities.

(a) No area may be designated as an entertainment district except pursuant to an initiating ordinance adopted in accordance with this Section.

(b) A municipality may, by ordinance, designate an area within its jurisdiction as an entertainment district, subject to the certification of the Department in accordance with this Act, if the county or municipality has conducted at least one public hearing within the proposed district area on the question of whether to create the district, what local plans, tax incentives and other programs should be established in connection with the district, and what the boundaries of the district should be; public notice of such hearing shall be published in at least one newspaper of general circulation within the proposed district, not more than 20 days nor less than 5 days before the hearing.

(c) An ordinance designating an area as an entertainment district shall set forth:

(1) a precise description of the area comprising the district, either in the form of a legal description or by reference to roadways, lakes, and waterways, and township and county boundaries;

(2) provisions for any tax incentives or reimbursement for taxes that apply to entertainment facilities within the entertainment district and which are not applicable throughout the municipality;

(3) the duration of the entertainment district.

Section 15. Certification by the Director.

(a) Upon designation of an entertainment district under Section 10, the municipality may apply to the Director for State approval of the designation. The municipality shall file with the Department a preliminary application. Not later than 60 days after receipt of such a preliminary application, the Director shall indicate to the municipality, in writing, any recommendations for improving the municipality's application. Not later than 60 days after receipt of the Director's written response, the municipality shall file a final application with the commissioner.

(b) In approving an entertainment district designation, the Director shall evaluate the effect of the proposal on the economic development of the municipality, the region, and the State, taking into consideration market potential, specific development plans, and private commitments in the area.

Section 20. Tax incentives. Each entertainment facility located in an entertainment district is entitled to an abatement as provided in Section 18-170.5 of the Property Tax Code and any additional tax incentives and reimbursement of local taxes provided by the municipality in the designating ordinance.

Section 25. Rulemaking. The Department may adopt rules to administer this Section.

Section 80. The Property Tax Code is amended by changing Section 18-170.5 as follows:

(35 ILCS 200/18-170.5 new)

Sec. 18-170.5. Entertainment District. Any taxing district, upon a majority vote of its governing authority, may order the county clerk to abate any portion of its taxes on any entertainment facility, or any class thereof, located within an Entertainment District created under the Illinois Enterprise District Act.