IL HB4461

Amends the Fire Protection District Act to require municipalities to conduct response-time studies before annexed territory automatically disconnects from a fire protection district.

Requires annexing municipalities to make annual payments to disconnected fire protection districts over 5 years, declining from 100% to 20% of the previously collected real estate tax.

Municipalities that fail to make timely payments within 30 days of written demand must reimburse the fire protection district for all collection costs, including legal fees and court costs.

Fire protection districts may file a petition within 60 days of annexation to prevent disconnection if the loss of territory would make the remaining district noncontiguous or impair its ability to provide adequate fire protection services.

Disconnected territories remain liable for their proportionate share of any outstanding general obligation bonds until the bonds are retired.