Legislation carried in the Illinois House of Representatives by Deputy House Minority Leader Ryan Spain has been signed into law by Governor JB Pritzger. The legislation, Senate Bill 2936, expands a property tax abatement process to improve investment opportunities.
“This legislation presents an opportunity to spur economic development and investment in our communities, particularly in older neighborhoods and areas that have experienced disinvestment,” said Spain. “I want to thank Peoria City Councilman John Kelly for his work over the past several years, to make this legislation a reality. It would not have been possible without him.”
Under previous law, property located in an area categorized as experiencing urban decay may be granted a property tax abatement (reduction in taxes) by a municipality only for new construction of single-family or duplex units. While this has proved helpful to communities in need of new investment, it does not apply to efforts to remodel existing homes or duplexes. SB 2936 expands the law to include remodeling projects, as well as removing a limitation in the law that reduced the granted abatements in the final four years of the abatement period.
As Spain referenced, At-Large Peoria City Councilman John Kelly (left) has been working on this issue for many years. Rep. Spain (right) was joined by Kelly, as SB 2936 was presented in a House committee this spring.
Most of the legislation signed into law by the Governor this summer does not take full effect until the start of the new year, on January 1, 2025. But SB 2936 had an “effective immediately” provision included in its language, and the law is now in full effect.