RISOLUIION
WHEREAS, Pursuant to its home rule authority, the City of Chicago enacted the Chicago Real Property Transfer Tax Ordinance, which imposes a tax upon the privilege of transferring title to, or beneficial interest in, real property located within the City; and
WHEREAS, Section 3-33-060(M) of the ordinance provides an exemption from payment of the tax for transfers in which the deed or other instrument of transfer is issued to the mortgagee or secured creditor pursuant to a mortgage or security interest foreclosure proceeding or sale or pursuant to a transfer in lieu of foreclosure (transfers as a result of foreclosures); and
WHEREAS, If the real estate transfers that involved transfers as a result of foreclosures were subject to the transfer tax, the transactions would raise much-needed revenue for the City and enable the City to provide more essential services, such as police and fire protection; and
WHEREAS, Those entities which are best able to pay the real property transfer tax should share in the responsibility to provide the resources for the protection of the health and welfare of the people; and
WHEREAS, In light of the above, the City Council is desirous of eliminating the exemption found in section 3-33-060(M) for transfers as a result of foreclosures; and
WHEREAS, Pursuant to the requirements of the Illinois Municipal Code (65 ILCS 5/8-3-19), which preempts home rule powers, in order to repeal the exemption for transfers as a result of foreclosures, the City must follow certain procedures, including the introduction of a resolution calling for a referendum to make such a change, then give notice and hold a public hearing prior to adoption of the resolution, adopt the resolution, and then certify the resolution and proposition to the proper election officials in accordance with the general election law for decision by the voters; and
WHEREAS, In an effort to make the law more equitable and to raise additional funds for the City and the Chic...
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