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PROPOSED RESOLUTION
URGING THE ILLINOIS STATE LEGISLATURE TO RESTORE COOK COUNTY'S 12-MONTH GRACE PERIOD BEFORE PROPERTIES ARE OFFERED TO TAX BUYERS
WHEREAS, second installment Cook County property taxes are due in early August each year; and
WHEREAS, taxpayers historically have had until August of the following year before the Cook County Treasurer was required to offer their unpaid taxes for sale to tax buyers; and
WHEREAS, tax buyers "purchase" the unpaid taxes at annually held tax sales. In exchange for fronting the money, tax buyers also buy a guarantee that indebted property owners will either repay them the full tax amount plus fees and interest, or else tax buyers have a right-two years later-to take title to the property; and
WHEREAS, as the law stands today, taxpayers will lose two months of the current twelve-month grace period for tax year 2014 (tax sale June 2016 instead of August 2016); they will lose two additional months for tax year 2015, and lose four additional months for tax year 2016. In tax year 2016 and in subsequent years, taxpayers will have only four months after the due date to pay their taxes in full before their taxes are offered to tax buyers; and
WHEREAS, the Cook County Treasurer currently receives 1.5% interest per month on delinquent taxes; and
WHEREAS, the Cook County Treasurer estimates that the aggregate loss of tax sale revenue to Cook County over the next three years alone will be $84 million. Specifically, in tax year 2014 when the sale is two months earlier the County is estimated to lose $12 million in revenue; in tax year 2015 when the sale is four months earlier the County is estimated to lose $24 million in revenue; and in tax year 2016 when the sale is eight months earlier the County is estimated to lose $48 million in revenue; and
WHEREAS, the property tax burden on Chicago residents and on all Cook County residents continues to rise even without this change; and
WHEREAS, although h...
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