IL SB1492

Creates the Financially Distressed Cities Fund and requires monthly transfers from the General Revenue Fund based on 10% of net income tax revenue from individuals, trusts, estates, and corporations, minus amounts already distributed to financially distressed cities.

Department of Revenue allocates funds from the Financially Distressed Cities Fund monthly to each financially distressed city proportional to its population relative to all financially distressed cities combined.

Expands the definition of "financially distressed city" to include both home rule and non-home rule municipalities meeting the highest 5% tax rate and lowest 5% per capita tax yield criteria and designated by joint General Assembly resolution.

Prohibits the State from reducing revenues or imposing additional costs on financially distressed cities unless consistent with their Financial Plan and Budget; State mandates enacted during the distressed designation that would increase costs are not enforceable during that period.

State agencies and units of local government may provide technical assistance to the Financial Advisory Authority upon request; effective January 1, 2024.