Illinois HB 1753: FINANCIALLY DISTRESSED CITIES

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104TH GENERAL ASSEMBLY 
State of Illinois 
2025 and 2026
HB1753

Introduced 1/28/2025, by Rep. Debbie Meyers-Martin 

SYNOPSIS AS INTRODUCED:

65 ILCS 5/8-12-2 from Ch. 24, par. 8-12-2

65 ILCS 5/8-12-3 from Ch. 24, par. 8-12-3

65 ILCS 5/8-12-4 from Ch. 24, par. 8-12-4

65 ILCS 5/8-12-4.5 new

65 ILCS 5/8-12-10.5 new

65 ILCS 5/8-12-21.5 new

65 ILCS 5/8-12-23 from Ch. 24, par. 8-12-23

 Amends the Financially Distressed City Law of the Illinois Municipal Code. Provides that, if a financially distressed city or the city's Financial Advisory Authority is awarded a State grant, any moneys the financially distressed city or Authority would be required to match under the grant are waived unless the moneys under the grant come from federal moneys that require the match. Provides that a municipality's status as a financially distressed city may not negatively impact a decision of whether or not to award a State grant to the municipality or negatively impact the amount of moneys received by the municipality from a State grant. Provides that, in addition to a request by the corporate authorities of a municipality to be certified and designated as a financially distressed city, the State Comptroller may conduct a preliminary review of the municipality's finances and establish a review team to make recommendations to the Governor for a municipality to be certified and designated as a financially distressed city. In the provisions concerning review by the State Comptroller, review team, and Governor, expands the categories allowing a municipality to become a financially distressed city. Includes provisions allowing the municipality's Financial Advisory Authority to commence an action in circuit co