IL HB0875

Creates the Financially Distressed Cities Fund to provide additional state revenue sharing to municipalities designated as financially distressed based on being in the highest 5% of tax rates and lowest 5% of per capita tax yield

Expands eligibility for the Financially Distressed City designation from home rule municipalities only to include both home rule and non-home rule municipalities

Requires monthly transfers to the fund calculated as 0.10% of net income tax revenue from individuals, trusts, estates, and corporations, minus amounts already distributed to distressed cities through the Local Government Distributive Fund

Prohibits the State from reducing revenues or imposing additional costs on financially distressed cities that are inconsistent with the city's Financial Plan and Budget

Exempts financially distressed cities from compliance with new state mandates that would impose additional costs during the period of their distressed designation, effective January 1, 2020