(A) The city hereby makes the following findings as supported by the Business District Plan:
(1) The Business District, on the whole, has not been subject to growth and development through investment by private enterprise or would not reasonably be anticipated to be developed without the adoption of the Business District Development Plan;
(2) The Business District Plan conforms to the comprehensive plan for the development of the city as a whole; and
(3) The Business District is a blighted area due to the presence, individually and in combination, of several conditions representative of those outlined in the Act. These include:
(a) Defective, non-existent, or inadequate street layout.
(b) Existence of conditions which endanger property
(c) Deterioration of site improvements.
(d) Improper subdivision or obsolete platting.
(4) Thus, the District is found to be eligible, as it represents a blighted portion of the City of Troy by reason of the existence of defective, non-existent, or inadequate street layout, the existence of conditions which endanger property, the deterioration of site improvements, and the improper subdivision or obsolete platting. These factors, in combination, contribute to the economic underutilization of the area, as well as cause the area to be an economic liability to the city. Additionally, the property in the District would not be reasonably anticipated to be developed or without the establishment of the Troy Business District III and adoption of the Troy Business District III Plan.
(B) Approval of the District Plan. The Business District Plan, a copy of which is attached to the ordinance codified herein as Exhibit A and incorporated herein by this reference, is hereby approved.
(C) Establishment of the Business District. The Business District is hereby established pursuant to the Business District Plan and the Business District Law. The boundaries of the Business District are legally described in Appendix A of the Business District Plan and depicted in Exhibit A of the Business District Plan, which legal description and depiction are incorporated herein by this reference. The Business District includes two parcels of real property which are directly and substantially benefitted by the Business District Plan. The City Council shall have and possess, without limitation, such powers with respect to the Business District as authorized under the Business District Law and the Business District Plan.
(D) Imposition of Business District taxes.
(1) A Business District retailers’ occupation tax is hereby imposed upon all persons engaged in the business of selling tangible personal property, other than an item of tangible personal property titled or registered with an agency of the State of Illinois, at retail within the Business District at the rate of 1.00% of the gross receipts from such sales made in the course of such business; and a Business District service occupation tax is hereby imposed upon all persons engaged, in the Business District, in the business of making sales of service, at the rate of 1.00% of the selling price of all tangible personal property transferred by such serviceman as an incident to a sale of service. This “Business District retailers’ occupation tax” and this “Business District service occupation tax” shall not be applicable to the sale of food for human consumption that is to be consumed off the premises where it is sold (other than alcoholic beverages, soft drinks, and food that has been prepared for immediate consumption) and prescription and non-prescription medicines, drugs, medical appliances, modifications to a motor vehicle for the purpose of rendering it usable by a disabled person, and insulin, urine testing materials, syringes and needles used by diabetics, for human use.
(2) An occupation tax is hereby imposed upon all persons engaged in the business of renting, leasing, or letting rooms in a hotel, as defined in the Hotel Operators’ Occupation Tax Act, at a rate of 1.00% of the gross rental receipts from the renting, leasing, or letting of hotel rooms within the Business District, excluding, however, from gross rental receipts the proceeds of renting, leasing, or letting to permanent residents of a hotel, as defined in the Hotel Operators’ Occupation Tax Act, and proceeds from the tax imposed under subsection (c) of Section 13 of the Metropolitan Pier and Exposition Authority Act.
(3) The taxes imposed pursuant to divisions (D)(1) and (2) of this section shall be for the planning, execution and implementation of the Business District Plan and to pay for business district project costs as set forth in the Business District Plan, including payment of bonds, notes or other obligations (the “obligations”) issued to finance such business district project costs. These taxes shall be in full force and effect until the earlier of (i) payment of all obligations in accordance with the Business District Plan, or (ii) the dissolution date (as such term is defined in the Business District Law) of the Business District.
(4) The imposition of these Business District taxes is in accordance with the provisions of subsections (b), (c) and (d), respectively, of § 11-74.3-6 of the Business District Law (ILCS Ch. 65, Act 5, § 11-74.3-6(b), (c), and (d)).
(5) The taxes imposed pursuant to division (D)(1) of this section and all civil penalties that may be assessed as an incident thereto, shall be collected and enforced by the Department of Revenue of the State of Illinois. The Department of Revenue shall have full power to administer and enforce such provisions of this section. The taxes imposed pursuant to division (D)(2) of this section and all civil penalties that may be assessed as an incident thereto, shall be collected and enforced by the city. The city shall have full power to administer and enforce such provisions of this section.
(E) Business District Tax Allocation Fund. The city hereby establishes the Troy Business District III Tax Allocation Fund in the custody of the City Treasurer and each distribution of taxes imposed by this section to the city from the Department of Revenue shall be deposited in such fund for the purpose of paying or reimbursing business district project costs and obligations incurred in the payment of the costs.
(Ord. 2017-22, passed 9-18-2017)