IL SB1410

Territory annexed to a city, village, or incorporated town that provides fire protection is automatically disconnected from the fire protection district as of January 1 following annexation.

A fire protection district may file a petition within 60 days to prevent disconnection by proving the disconnection would make remaining territory noncontiguous or impair the district's ability to provide adequate fire protection service.

When disconnection occurs without a filed petition, the annexing municipality must pay the fire protection district declining percentages of previously collected real estate taxes over 5 years (100%, 80%, 60%, 40%, 20%).

A municipality that fails to make required payments within 30 days of written demand must reimburse the fire protection district for all collection costs, including reasonable legal fees and court costs.

Disconnected territory remains liable for its proportionate share of any outstanding general obligation bonds, and the fire protection district may continue levying taxes on that property to amortize the bonds.