Bill
SB 3541
The bill extends the completion and debt-retirement dates for the City of Paris TIF project and, in transit facility areas, allows further extensions through the 63rd year after ad
Title: TIF City of Paris
Jurisdiction: Illinois
Purpose
- The bill amends the Tax Increment Allocation Redevelopment Act of the Illinois Municipal Code to extend certain completion and debt retirement dates for a redevelopment project adopted by the City of Paris. It specifically targets an ordinance adopted on January 1, 2006.
Effective Date
- Immediate upon enactment.
What the bill does (Key Provisions)
- Section amended: 65 ILCS 5/11-74.4-3.5 (Completion dates for redevelopment projects)
- General rule (pre-existing framework):
- Redevelopment project dates and the retirement of obligations funding redevelopment costs (including refunding bonds) generally may not be later than December 31 of the year in which ad valorem tax payments to the municipal treasurer are due, according to a schedule tied to the calendar year after the ordinance approving the redevelopment area was adopted.
- Specific carve-outs and extensions added by SB3541:
- (a) City of Paris: Extends completion and debt retirement date for the Paris project beyond the default schedule, corresponding to the ordinance adopted on January 1, 2006.
- (a-5) Transit facility improvement area: If the redevelopment area is within a transit facility improvement area, the completion and debt retirement date may be extended to the December 31 of the year in which ad valorem tax payments are due in the 63rd calendar year after the ordinance approving the redevelopment area was adopted.
- (a-7) Mixed-area provision: If a redevelopment project area is located in a transit facility improvement area that also includes real property within an existing redevelopment area established before August 12, 2016, the statute’s application is staged:
- The Division’s rules apply to the previously established redevelopment area until the municipality dissolves the special tax allocation fund for that area, and terminates that area's designation as a redevelopment project area.
- After dissolution/termination, the Division’s rules apply to the newly established redevelopment area located in the transit facility improvement area.
- (b) Other existing, site-specific dates:
- The bill reiterates various objective date caps for districts that have specific histories (e.g., certain municipalities such as Downs, Wheeling, Tremont, Lawrenceville) and provides examples where the due date for ad valorem tax payments governs the latest permissible completion date.
- (c) Acknowledges multiple historical examples for extension under different circumstances, preserving long lists of pre-existing district-specific dates (the bill contains an extensive enumerated list of where and when completion dates can extend, tied to the adoption dates of numerous other municipalities’ TIF ordinances).
- (d)-(g) Administrative and transitional notes:
- The act permits extensions in certain cases and consolidates the completion date language with the long enumerated set of TIF areas and dates.
- Section (g) clarifies that consolidating these completion dates is not intended to change the substantive law, except as noted for specific extension provisions for Aurora, Milan, West Frankfort, Libertyville, and Hoffman Estates.
Affected Parties and Impacts
- City of Paris: Primary beneficiary; extended deadline for completion and debt retirement for its Jasper TIF Area (as indicated by the ordinance adopted January 1, 2006).
- Other TIF districts and municipalities listed in the historical extension provisions: The bill includes an extended framework that could affect various districts if they rely on the extended dates under specific conditions (and depending on alignment with transit facility improvement areas).
- Taxpayers and local government debt: The extension effectively lengthens the period during which tax increment financing can capture and allocate increment revenues toward redevelopment costs, potentially influencing property tax collections and debt timelines for affected districts.
Procedural/Timeline Highlights
- The act is introduced and references an ordinance adopted on January 1, 2006 (City of Paris) as the anchor for extension.
- The act takes effect immediately upon becoming law.
- Rulemaking/oversight: The bill references the Revenue/Joint Review Board framework and the consultant/approval processes that accompany TIF extensions, with the added flexibility for transit facility improvement areas.
- Legislative history notes: Introduced February 5, 2026 by Sen. Chapin Rose; assigned to Revenue; Rule 2-10 deadlines apply in the 2026 session.
Notes
- SB3541 explicitly weaves a broad set of historical extension provisions into a targeted expansion for Paris and transit-area TIFs, while preserving most of the existing statutory structure and procedures for TIF completion dates.
- The bill’s practical effect is to grant extended timelines for redevelopment and financing obligations in the affected areas, with a focus on the Paris TIF and transit-related areas.
Compiled from official sources — confirm details with the bill’s official record.
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