SB2445 Summary: Build Illinois Homes Tax Credit Act

• Creates the Build Illinois Homes Tax Credit Act providing state income tax and insurance premium tax credits to owners of qualified low-income housing developments, with a 10-year credit period and maximum annual allocation of $35 million (75.5% to Illinois Housing Development Authority, 24.5% to City of Chicago Department of Housing).

• Exempts building materials for 100% affordable housing projects from retailers' occupation tax in disproportionately impacted areas, effective July 1, 2022, requiring an Affordable Housing Building Materials Exemption Certificate.

• Provides property tax assessment reductions for 10 years for newly constructed or rehabilitated affordable rental housing with at least 7 units, with reduction percentages based on percentage of affordable units (15-35% of units = 25-35% assessment reduction).

• Amends the Illinois Housing Development Act to require a standardized form summarizing financing agreement terms to be filed with county assessors and housing authorities to facilitate property tax reduction eligibility.

• Requires non-exempt local governments to provide public notice and hearing opportunity before adopting affordable housing plans and limits home rule units from regulating affordable housing activities more restrictively than state law.