summary
Introduced
02/04/2026
02/04/2026
In Committee
02/17/2026
02/17/2026
Crossed Over
Passed
Dead
Introduced Session
104th General Assembly
Bill Summary
Creates the Capital City Redevelopment Zone Act. Sets forth qualifications for an area to be designated as a Capital City Redevelopment Zone. Provides procedures and requirements for the initiation of a Capital City Redevelopment Zone by a municipality. Requires a municipality that has adopted an ordinance designating an area as a Capital City Redevelopment Zone to apply to the Department of Commerce and Economic Opportunity for certification of the zone. Sets forth requirements for certification. Provides for procedures and requirements for the review of Capital City Redevelopment Zone applications and the certification, amendment, and decertification of a Capital City Redevelopment Zone. Provides for adoption of tax increment financing. Describes the powers and duties of the Department of Commerce and Economic Opportunity. Provides requirements for administration of a Capital City Redevelopment Zone. Provides requirements for notice of cessation of business operations for businesses within a Capital City Redevelopment Zone. Provides for an income tax deduction. Sets forth accounting requirements regarding tax exemptions and other benefits under the Act. Provides for a capital city construction jobs income tax credit. Specifies the requirements that apply to taxpayers seeking capital city construction job tax credits. Creates the Capital City Development Fund as a special fund in the State treasury. Provides for grants to eligible developers. Makes findings. Defines terms. Makes conforming changes. Adds references to the Capital City Redevelopment Zone Act in the Corporate Accountability for Tax Expenditures Act, the Illinois Income Tax Act, the Retailers' Occupation Tax Act, the Property Tax Code, and the Environmental Protection Act. Effective immediately.
AI Summary
This bill establishes the Capital City Redevelopment Zone Act, creating a program to stimulate economic development in Springfield's downtown area by offering tax incentives and grants. To qualify as a Capital City Redevelopment Zone, an area must be contiguous, at least half a square mile but no more than four square miles, and located within Springfield's downtown. Municipalities can initiate a zone by ordinance after holding public hearings and then must apply to the Department of Commerce and Economic Opportunity (DCEO) for certification. The DCEO will review applications and can certify, amend, or decertify zones. Businesses within a certified zone may be eligible for various benefits, including an income tax deduction for contributions to designated zone organizations, a capital city construction jobs income tax credit for certain construction projects, and grants for infrastructure development from the Capital City Development Fund. The bill also includes provisions for businesses to notify the DCEO if they cease operations within a zone after receiving benefits and makes conforming changes to several other state laws, including the Illinois Income Tax Act and the Property Tax Code, to incorporate references to the new Redevelopment Zone Act.
Committee Categories
Budget and Finance
Sponsors (1)
Last Action
Assigned to Revenue (on 02/17/2026)
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