IL HB1589

Amends the Tax Increment Allocation Redevelopment Act to allow surplus tax revenues from tax increment financing (TIF) districts to be used for public school district costs, including special education, social services, and other expenses.

For municipalities with populations over 1,000,000, redevelopment project costs now include qualified workers for public schools, special educational facilities and services, school psychological services, and school social work services.

Requires that any surplus balance in the special tax allocation fund at the end of the fiscal year for large municipalities shall be used entirely for these public school district costs.

Removes provisions that allowed anticipated redevelopment project costs to be designated as surplus funds.

Applies to six sections of the Illinois Municipal Code governing tax increment allocation financing (Sections 11-74.4-2, 11-74.4-3, 11-74.4-5, 11-74.4-7, 11-74.4-8, and 11-74.4-8a).