SB3494sam001 104TH GENERAL ASSEMBLY

Sen. Willie Preston

Filed: 3/4/2026

10400SB3494sam001 LRB104 20290 HLH 35183 a

AMENDMENT TO SENATE BILL 3494

AMENDMENT NO. ______. Amend Senate Bill 3494 by replacing everything after the enacting clause with the following:

"Section 5. The Property Tax Code is amended by changing Sections 21-115, 21-118, 21-135, 21-160, 21-350, 22-30, 22-5, and 22-10 as follows:

(35 ILCS 200/21-115)

Sec. 21-115. Times of publication of notice. The advertisement shall be published once at least 30 10 days before the day on which judgment is to be applied for, and shall contain a list of the delinquent properties upon which the taxes or any part thereof remain due and unpaid, the names of owners, if known, the total amount due, and the year or years for which they are due. In counties of less than 3,000,000 inhabitants, advertisement shall include notice of the registration requirement for persons bidding at the sale. Properties upon which taxes have been paid in full under protest shall not be included in the list.

The collector shall give notice that he or she will apply to the circuit court on a specified day for judgment against the properties for the taxes, and costs, and for an order to sell the properties for the satisfaction of the amount due.

The collector shall also give notice of a date within the next 5 business days after the date of application on which all the properties for the sale of which an order is made will be exposed to public sale at a location within the county designated by the county collector, for the amount of taxes, and cost due. The advertisement published according to the provisions of this Section shall be deemed to be sufficient notice of the intended application for judgment and of the sale of properties under the order of the court. A county with fewer than 3,000,000 inhabitants may, by joint agreement, combine its tax sale with the tax sale of one or more other contiguous counties; such a joint tax sale shall be held at a location in one of the participating counties. Notwithstanding the provisions of this Section and Section 21-110, in the 10 years following the completion of a general reassessment of property in any county with 3,000,000 or more inhabitants, made under an order of the Department, the publication shall be made not sooner than 10 days nor more than 90 days after the date when all unpaid taxes on property have become delinquent.

(Source: P.A. 101-379, eff. 1-1-20.)

(35 ILCS 200/21-118)

Sec. 21-118. Tax sale; online database. At least 30 10 days prior to any tax sale authorized under this Article 21, the county collector may post on his or her website a list of all properties that are eligible to be sold at the sale. The list shall include the street address on file with the county collector, if available, and shall include the PIN number assigned to the property. The list may not include the name of the property owner. The list may designate properties on which a sale in error has previously been declared, provided that those designations are posted at least 7 days before any tax sale authorized under this Article 21. If the list designates properties as properties on which a sale in error has previously been declared, the list shall also include the court case number or administrative number under which the declaration of the sale in error was made and the basis for the sale in error. No sale in error may be declared under this Code based upon an omission from or error on the list of designated properties.

(Source: P.A. 103-555, eff. 1-1-24.)

(35 ILCS 200/21-135)

Sec. 21-135. Mailed notice of application for judgment and sale. Not less than 30 15 days before the date of application for judgment and sale of delinquent properties and not less than 60 days nor more than 120 days before the commencement of the sale, the county collector shall mail, by registered or certified mail with return receipt requested, or by registered mail if mailed outside of the continental United States, a notice of the forthcoming application for judgment and sale to the person shown by the current collector's warrant book to be the party in whose name the taxes were last assessed or to the current owner of record and, if applicable, to the party specified under Section 15-170. Beginning on the effective date of this amendatory Act of the 104th General Assembly, the notice of forthcoming application shall also be mailed to the following:

(1) Any property owner of record of the property according to the records of the county recorder in the county in which the property is located. If notice to any property owner is returned undeliverable, a diligent search must be undertaken to locate and provide notice to that property owner.

(2) Any lienholder of record who has recorded a lien against the property if the lienholder's address appears on the recorded lien.

(3) Any mortgagee of record if the mortgagee's address appears on the recorded mortgage. Any vendee of a recorded contract for deed if the vendee's address appears on the recorded contract.

(4) Any other lienholder who has applied to the tax collector to receive notice with respect to the property if the lienholder's address is supplied to the collector.

(5) Any person to whom the property was assessed on the tax roll for the year in which the property was last assessed.

(6) Any lienholder of record who has recorded a lien against a mobile home located on the property if the lienholder's address appears on the recorded lien.

(7) Any legal titleholder of record of property that is contiguous to the property described in the tax certificate, if the property described is submerged land or common elements of a subdivision and if the address of the titleholder of contiguous property appears on the record of conveyance of the property to the legal titleholder. As used in this item (7), the term "contiguous" means touching, meeting, or joining at the surface or border, other than at a corner or a single point, and not separated by submerged lands.

The notice shall include the intended dates of application for judgment and sale and commencement of the sale, and a description of the properties. The county collector must present proof of the mailing to the court along with the application for judgement.

In counties with less than 3,000,000 inhabitants, a copy of this notice shall also be mailed by the county collector by registered or certified mail to any lienholder of record who annually requests a copy of the notice. The failure of the county collector to mail a notice or its non-delivery to the lienholder shall not affect the validity of the judgment.

In counties with 3,000,000 or more inhabitants, notice shall not be mailed to any person when, under Section 14-15, a certificate of error has been executed by the county assessor or by both the county assessor and board of appeals (until the first Monday in December 1998 and the board of review beginning the first Monday in December 1998 and thereafter), except as provided by court order under Section 21-120.

The collector shall collect $10 from the proceeds of each sale to cover the costs of registered or certified mailing and the costs of advertisement and publication. If a taxpayer pays the taxes on the property after the notice of the forthcoming application for judgment and sale is mailed but before the sale is made, then the collector shall collect $10 from the taxpayer to cover the costs of registered or certified mailing and the costs of advertisement and publication.

Costs incurred by the collector related to notice requirements under this Section shall be deducted from the proceeds of any tax sale resulting from the application of judgment for which notice is being given under this Section.

(Source: P.A. 93-899, eff. 8-10-04.)

(35 ILCS 200/21-160)

Sec. 21-160. Annual tax judgment, sale, redemption, and forfeiture record. The collector shall transcribe into a record prepared for that purpose, and known as the annual tax judgment, sale, redemption and forfeiture record, the list of delinquent properties. Before application for judgment is to be made, the collector shall contract with a title company or an abstract company authorized to do business in this State to provide a property information report. The collector may advertise and accept competing bids for the title or abstract company. On or before the day on which application for judgment is to be made, the record shall be made out in numerical order and contain all the information necessary to be recorded.

The record shall set forth the name of the owner, if known; the description of the property; the year or years for which the tax or, in counties with 3,000,000 or more inhabitants, the tax or special assessments is due; the valuation on which the tax is extended; the amount of the consolidated and other taxes or in counties with 3,000,000 or more inhabitants, the consolidated and other taxes and special assessments; the costs; and the total amount of charges against the property.

The final record shall also be ruled in columns, to show in counties with 3,000,000 or more inhabitants the withdrawal of any special assessments from collection and in all counties to show the amount paid before entry of judgment; the amount of judgment and a column for remarks; the amount paid before sale and after entry of judgment; the amount of the sale; amount of interest or penalty; amount of cost; amount forfeited to the State; date of sale; acres or part sold; name of purchaser; amount of sale and penalty; taxes of succeeding years; interest and when paid, interest and cost; total amount of redemption; date of redemption; when deed executed; by whom redeemed; and a column for remarks or receipt of redemption money.

The final record shall be kept in the office of the county clerk.

(Source: P.A. 95-269, eff. 8-17-07.)

(35 ILCS 200/21-350)

Sec. 21-350. Period of redemption. Property sold under this Code may be redeemed at any time before the expiration of 5 2.5 years from the date of sale, except that:

(a) If on the date of sale the property is vacant non-farm property or property containing an improvement consisting of a structure or structures with 7 or more residential units or that is commercial or industrial property, it may be redeemed at any time before the expiration of 3 1 year from the date of sale.

(b) (Blank).

(c) If the period of redemption has been extended by the certificate holder as provided in Section 21-385 or Section 22-5, the property may be redeemed on or before the extended redemption date. The changes made to this Section by this amendatory Act of the 103rd General Assembly apply to matters concerning tax certificates issued on or after January 1, 2024.

(Source: P.A. 103-555, eff. 1-1-24.)

(35 ILCS 200/22-5)

Sec. 22-5. Notice of sale and redemption rights. In order to be entitled to a tax deed, within 20 4 months and 15 days after any sale held under this Code, the purchaser or his or her assignee, and the county for all forfeited certificates from the annual sale, shall deliver to the county clerk a notice to be given to the party in whose name the taxes are last assessed as shown by the most recent tax collector's warrant books, in at least 10 point type in the following form completely filled in:

" TAKE NOTICE

County of ...........................................

Date Premises Sold or Forfeited .....................

Certificate No. .....................................

Sold for General Taxes of (year) ....................

Sold for Special Assessment of (Municipality)

and special assessment number .......................

Warrant No. ............... Inst. No. .................

THIS PROPERTY HAS BEEN SOLD FOR

DELINQUENT TAXES Property Address (as identified on the most recent tax bill, if available) .... Legal Description or Property Index No. .......... .......... ..............................

TOTAL AMOUNT OWED TO REDEEM .............................

REDEMPTION DEADLINE .....................................

This notice is to advise you that a foreclosure action may be filed in the circuit court forcing a judicial sale petition may be filed for a tax deed which will transfer title and the right to possession of the above-referenced property ("Property") if redemption is not made on or before the redemption deadline.

To determine the redemption deadline and the total amount you must pay to redeem the sold taxes, you must immediately contact the County Clerk at the address, phone number, or email address below. Check with the County Clerk for the exact amount you owe before redeeming. Payment must be made by certified check, cashier's check, money order, or in cash to the County Clerk.

YOU ARE URGED TO REDEEM IMMEDIATELY TO

PREVENT LOSS OF PROPERTY

Property sold under the Property Tax Code may be redeemed by any owner or person holding an interest in the Property at any time before the following deadlines (based on property classification as of the Date of Sale):

You must redeem your taxes within 3 years one year of the Date of Sale for the following classifications:

(1) vacant non-farm property;

(2) property containing an improvement consisting of a structure or structures with 7 or more residential units; and

(3) commercial or industrial property.

You must redeem your taxes within 5 2 1/2 years of the Date of Sale for the following classifications:

(1) all residential property with less than 6 units; and

(2) all other property not covered by the 3-year 1-year redemption period outlined above.

Redemption deadlines may have been extended by the certificate holder or pursuant to Illinois law. To confirm the redemption deadline, you must contact the County Clerk at the address, telephone number, or email address below. Redemption can be made at any time on or before .... by applying to the County Clerk of .... County, Illinois at the Office of the County Clerk in ...., Illinois. The address, telephone number, and email address for the County Clerk is as follows: ADDRESS:............................ TELEPHONE AND/OR EMAIL ADDRESS:..........................

For further information about the redemption deadline, redemption amount, or payment process, please contact the County Clerk.

IF THERE IS A FORCED SALE OF THE PROPERTY, YOU ARE ENTITLED TO ANY SURPLUS REMAINING AFTER DISTRIBUTION OF THE AMOUNT OWED FOR PAYMENT OF DELINQUENT TAXES AND SATISFACTION OF EXISTING TAX LIENS, PLUS REASONABLE PENALTIES, INTEREST, AND FEES.

Claims for any surplus remaining from the sale can be made by applying to the County Clerk of .... County, Illinois at the office of the County Clerk in ...., Illinois.

You may be eligible for free legal assistance if you reach out to [name of free legal services organization] at [address], [telephone number], for legal advice about how to respond to this notice.".

Within 10 days after receipt of the said notice, the county clerk shall mail to the addresses supplied by the purchaser or assignee, by registered or certified mail with return receipt requested, or by registered mail if mailed outside of the continental United States, copies of said notice to the party in whose name the taxes are last assessed as shown by the most recent tax collector's warrant books. With the exception of a county or taxing district acquiring certificates pursuant to Section 21-90 and 21-260, all purchasers or assignees shall pay to the clerk postage plus the sum of $10. The clerk shall write or stamp the date of receiving the notices upon the copies of the notices, and retain one copy. Costs incurred by the collector related to notice requirements under this Section shall be deducted from the proceeds of any forced sale resulting from the expiration of the redemption period for which notice is being given under this Section.

With the exception of forfeited tax liens or certificates held by the county pursuant to Section 21-90, all redemption periods shall begin on the date of sale. For forfeited tax liens or certificates held by the county pursuant to Section 21-90, the county may cure any defect in a notice, or failure to send a notice as required by this Section, by delivering to the county clerk a notice to be given to the party in whose name the taxes are last assessed as shown by the most recent tax collector's warrant books. The redemption period begins on the date the county delivered the corrected notice to the clerk, if such extension is otherwise permitted by law.

The changes to this Section made by this amendatory Act of the 97th General Assembly apply only to tax sales that occur on or after the effective date of this amendatory Act of the 97th General Assembly.

The changes made to this Section by this amendatory Act of the 103rd General Assembly apply to matters concerning tax certificates issued on or after the effective date of this amendatory Act of the 103rd General Assembly.

The changes to this Section made by this amendatory Act of the 104th General Assembly apply only to tax sales that occur on or after the effective date of this amendatory Act of the 104th General Assembly.

(Source: P.A. 102-815, eff. 5-13-22; 103-555, eff. 1-1-24.)

(35 ILCS 200/22-10)

Sec. 22-10. Notice of expiration of period of redemption. A purchaser or assignee shall not be entitled to a tax deed to the property sold unless, not less than 3 months nor more than 6 months prior to the expiration of the period of redemption, he or she gives notice of the sale and the date of expiration of the period of redemption to the owners, occupants, and parties interested in the property, including any mortgagee of record, as provided below. For counties or taxing districts holding certificates pursuant to Section 21-90, the date of expiration of the period of redemption shall be designated by the county or taxing district in its petition for tax deed and identified in the notice below, which shall be filed with the county clerk.

The Notice to be given to the parties shall be in at least 10-point type in the following form completely filled in: TAX DEED NO. .................... FILED ....................

TAKE NOTICE

County of ...........................................

Date Premises Sold or Forfeited .....................

Certificate No. .....................................

Sold or Forfeited for General Taxes of (year) .......

Sold for Special Assessment of (Municipality)

and special assessment number .......................

Warrant No. ................ Inst. No. .................

THIS PROPERTY HAS BEEN SOLD FOR

DELINQUENT TAXES Property Address (as identified on the most recent tax bill, if available) .... Legal Description or Property Index No. .......... .......... .............................. TOTAL AMOUNT OWED TO REDEEM ................................. REDEMPTION DEADLINE .........................................

This notice is to advise you that the above property has been sold for delinquent taxes and that the period of redemption from the sale will expire on .......... ..........

Check with the county clerk as to the exact amount you owe before redeeming.

This notice is also to advise you that a foreclosure action has been filed in the circuit court forcing a judicial sale petition has been filed for a tax deed which will transfer title and the right to possession of this property if redemption is not made on or before .....................

This matter is set for hearing in the Circuit Court of this county in ...., Illinois on .....

You may be present at this hearing but your right to redeem will already have expired at that time.

YOU ARE URGED TO REDEEM IMMEDIATELY

TO PREVENT LOSS OF PROPERTY

Redemption can be made at any time on or before .... by applying to the County Clerk of ...., County, Illinois at the Office of the County Clerk in ...., Illinois.

IF THERE IS A FORCED SALE OF THE PROPERTY, YOU ARE ENTITLED TO ANY SURPLUS REMAINING AFTER DISTRIBUTION OF THE AMOUNT OWED FOR PAYMENT OF DELINQUENT TAXES AND SATISFACTION OF EXISTING TAX LIENS, PLUS REASONABLE PENALTIES, INTEREST, AND FEES.

Claims for any surplus remaining from the sale can be made by applying to the County Clerk of .... County, Illinois at the office of the County Clerk in ...., Illinois.

You may be eligible for free legal assistance if you reach out to [name of free legal services organization] at [address], [telephone number], for legal advice about how to respond to this notice.

For further information contact the County Clerk ADDRESS:.................... TELEPHONE AND/OR EMAIL ADDRESS:..................

..........................

Purchaser or Assignee.

Dated (insert date).

In counties with 3,000,000 or more inhabitants, the notice shall also state the address, room number, and time at which the matter is set for hearing.

The changes to this Section made by Public Act 97-557 apply only to matters in which a petition for tax deed is filed on or after July 1, 2012 (the effective date of Public Act 97-557).

The changes to this Section made by Public Act 102-1003 apply to matters in which a petition for tax deed is filed on or after May 27, 2022 (the effective date of Public Act 102-1003). Failure of any party or any public official to comply with the changes made to this Section by Public Act 102-528 does not invalidate any tax deed issued prior to May 27, 2022 (the effective date of Public Act 102-1003).

The changes made to this Section by this amendatory Act of the 103rd General Assembly apply to matters concerning tax certificates issued on or after the effective date of this amendatory Act of the 103rd General Assembly.

The changes made to this Section by this amendatory Act of the 104th General Assembly apply only to tax sales that occur on or after the effective date of this amendatory Act of the 104th General Assembly.

(Source: P.A. 102-528, eff. 1-1-22; 102-813, eff. 5-13-22; 102-1003, eff. 5-27-22; 103-154, eff. 6-30-23; 103-555, eff. 1-1-24.)

(35 ILCS 200/22-30)

Sec. 22-30. Petition for deed. At any time within 6 months but not less than 3 months prior to the expiration of the redemption period for property sold pursuant to judgment and order of sale under Sections 21-110 through 21-120 or 21-260 or otherwise acquired by the county pursuant to Section 21-90, the purchaser, or the agent pursuant to Section 21-90, may file a foreclosure action forcing the sale of the tax deed in the same manner as a mortgagee pursuant to Sections 15-1501 through 15-1512 of the Code of Civil Procedure petition in the circuit court in the same proceeding in which the judgment and order of sale were entered, asking that the court direct the county clerk to issue a tax deed if the property is not redeemed from the sale. The petition shall be accompanied by the statutory filing fee.

Notice of filing the petition and a date for redemption, after which the petitioner intends to apply for an order to issue a tax deed if the taxes are not redeemed, shall be given to occupants, owners and persons interested in the property as part of the notice provided in Sections 22-10 through 22-25, except that only one publication is required. The county clerk shall be notified of the filing of the petition and any person owning or interested in the property may, if he or she desires, appear in the proceeding.

The judicial sale of property under this Section shall be made through an online bidding process in which bids are received electronically over the Internet in a real time, competitive bidding event.

The online sale shall be advertised, no later than 30 days before the date of the bidding event, through a multiple listing service website regularly advertising real estate for sale. The property shall be sold to the highest eligible bidder.

A seller under this Section may contract a private party to operate and advertise the bidding event and to advertise the property. The contract may provide that if the property sells for more than the amount of the taxes, penalties, interest, and costs charged against the property, the private party operating and advertising the auction and advertising the property may receive up to 3% of the amount of the sale price of the property that is more than the amount of the taxes, penalties, interest, and costs charged against the property.

Proceeds of judicial sales under this Section shall be distributed in the following order of priority:

(1) For payment of delinquent taxes and satisfaction of existing tax liens, plus reasonable penalties, interest, and fees;

(2) To governmental units holding a lien of record against the payment, including any tax debts not giving rise to the tax sale;

(3) Any surplus after the payments have been made under items (1) and (2) belongs to the owner of the property immediately prior to the tax sale and must be promptly returned to the owner or, if applicable, the owner's heirs or assigns. The county collector shall notify the owner of the existence of any surplus and that the owner is entitled to the surplus, and shall provide instructions for how the owner may claim the surplus. The owner of the surplus may claim it by contacting the county collector and providing proof of ownership of the parcel.

If the owner or the owner's heirs or assigns fail to claim the surplus, or if there are multiple claims for the surplus, within 120 days after the sale, the county collector shall file an interpleader action in circuit court or pay the surplus funds according to the collector's determination of the priority of claims. Fees and costs incurred by the tax collector related to the disbursement of the surplus, including fees and costs related to an interpleader action, shall be paid from the surplus funds. If the county collector files an interpleader action, the court shall determine the distribution of funds based upon the priority of liens filed. The court shall award reasonable fees and costs from the interpleaded funds. An action to require payment of surplus funds is not ripe until the claim and review periods expire.

The failure of any person, other than the owner or the owner's heirs or assigns, to file a claim for surplus funds within 120 days after the sale or the filing of an interpleader action, whichever is later, constitutes a waiver of interest in the surplus funds, and all claims thereto are forever barred. Any surplus that remains unclaimed after 120 days shall be administered by the state pursuant to the provisions of the Revised Uniform Unclaimed Property Act.

The changes to this Section made by this amendatory Act of the 95th General Assembly apply only to matters in which a petition for tax deed is filed on or after the effective date of this amendatory Act of the 95th General Assembly.

The changes to this Section made by this amendatory Act of the 104th General Assembly apply only to matters in which a petition for tax deed is filed on or after the effective date of this amendatory Act of the 104th General Assembly.

(Source: P.A. 103-555, eff. 1-1-24.)".