Gov. Pritzker Signs Local Government Consolidation Legislation

Statement

Governor JB Pritzker signed HB 348 today to allow taxpayers to decide if they want to consolidate local governments.

"Rising property taxes overburden homeowners across the state, and this administration is committed to exploring all options to provide communities with relief," said Governor JB Pritzker. "After hearing from local stakeholders on their desire for government consolidation, I am signing HB 348 and look forward to seeing how this bill works for the taxpayers of McHenry County."

House Bill 348

House Bill 348 allows for the petition-initiated dissolution of any township in McHenry County. All assets and obligations of the township would be transferred to McHenry County, but all proceeds from the sale of assets coming from the dissolution of a township can only be used within the geographic boundaries of the township. All road districts wholly within the boundaries of the dissolving township are dissolved, and those powers and responsibilities would go to McHenry County. The county board cannot extend a property tax levy greater than 90% of levy extended by the dissolved township or road district, and it can only be extended on the area within the geographic boundaries of the township.

The bill also abolishes road districts with less than 15 miles of road in Lake County and McHenry County, including Avon, Benton, Newport, Shields, Vernon and Waukegan. All the rights and responsibilities of the road district are absorbed by the township, which can enter an intergovernmental agreement to administer the roads.

HB 348 takes effect immediately.

"Government works best when it delivers quality services to its residents in the most efficient way possible," said Sen. Terry Link (D-Indian Creek). "Having a separate layer of government to take care of less than 15 miles of roadway simply doesn't make any sense. Government consolidation is long overdue, and eliminating wasteful road districts is the perfect place to start."

"I appreciate that the Governor signed this important consolidation bill," said Rep. David McSweeney (R-Barrington Hills). "Consolidation is one of the key components to reducing Illinois property taxes."

"Thank you to the Governor for allowing citizens to decide how they want to structure their government," said Jack Franks, chairman of the McHenry County Board. "This is a good step in the right direction."

The governor also signed SB 90, legislation to consolidate drainage districts.

Senate Bill 90

Senate Bill 90 allow for the dissolution of drainage districts if one or more municipalities account for at least 75% of a drainage district's territory. Illinois has nearly 900 drainage districts, and many in urban and suburban areas operate where overlying municipalities, counties, or sewer authorities (like MWRD in Cook County) could provide the same service more effectively.

The bill only applies to drainage districts wholly or partially contained within the Lake Michigan Watershed, Chicago/Calumet Watershed, Des Plaines River Watershed or Fox River Watershed.

SB 90 takes effect on January 1, 2020.

"Currently, there is an unnecessary number of drainage districts, especially in suburban areas. More and more of areas that were once agricultural land have been developed into subdivisions and commercial tracts, reducing the need for these districts," said Sen. Dan McConchie (R-Hawthorn Woods). "Unfortunately, many of these developed residential areas are still paying taxes to a drainage district, even though they are now part of a municipality that may already be taking on the drainage responsibilities."

"SB 90 will make it easier to consolidate some of Illinois' 7,000 units of local government and will save taxpayer money while ensuring that critical flood prevention infrastructure is overseen by professional stormwater management commissions," said Rep. Daniel Didech (D-Buffalo Grove). "I am grateful that Governor Pritzker shares my commitment to reducing property taxes, protecting our homes from flooding, and reforming government in Illinois."