Bill > SB1178

This bill creates a tax credit and tax exemption program to incentivize developers who invest in rehabilitating brownfield or grayfield properties in Illinois. Specifically, for taxable years ending between December 31, 2025 and December 31, 2028, developers can receive a tax credit against income taxes equal to 10% of up to $1,000,000 in rehabilitation costs for brownfield sites and 5% of up to $1,000,000 in rehabilitation costs for grayfield sites, with a total program cap of $20,000,000. The Department of Commerce and Economic Opportunity will determine project eligibility based on factors like total investment, projected jobs or housing units created, community impact, and cost-efficiency, with enhanced consideration for projects that include middle-income housing. If a municipality or county is the developer, they can receive the credit as a grant. The bill also creates a corresponding tax exemption for tangible personal property used in these rehabilitation projects. A "brownfield" is defined as a former industrial or commercial site affected by environmental contamination, while a "grayfield" is a commercial building vacant for at least 12 consecutive months, including vacant shopping malls and parking lots. Developers can be for-profit entities, nonprofits, land banks, municipalities, or counties.

Budget and Finance

https://www.ilga.gov/legislation/BillStatus.asp?DocNum=1178&GAID=18&DocTypeID=SB&SessionID=114&GA=104