Report: Bill draft may be key for Bears in Arlington Park originally appeared on NBC Sports Chicago
A new bill being drafted in Illinois could be the key for the Bears funding their redevelopment project at Arlington Park, according to Crain’s Business Journal. The measure would create a new type of tax subsidy: payment in lieu of taxes, or PILT.
A PILT is payment to a local government to offset property tax losses, the US Department of the Interior states. According to Crain’s, in the Illinois measure, the property tax in a PILT district would be frozen for 20 years and part of the revenue from the developments would help offset costs for the developers. PILTs are different from tax-increment financing, or TIFs, since the tax amount can be negotiated, rather than being appraised.
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Earlier this month, outgoing Bears president/CEO Ted Phillips cited property tax certainty as one of the hurdles that needs to be overcome before the Bears close on the Arlington Park property. Phillips said the Bears need to lock down infrastructure spending, as well.
According to Crain’s, several large bodies in Illinois are “generally supportive” of the bill, including the Illinois Chamber of Commerce and the Illinois Road & Transportation Builders Association. The report says there are some who question whether the Bears need public assistance at all to fund the project. In a town hall with local residents last September, the Bears stated they would pay for a stadium in Arlington Park themselves, but would need public money to develop the rest of the property.
Several states have PILT programs, and it has been used for NFL stadium development projects before, like at MetLife Stadium.
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The Bears said earlier this month that they intend to close on Arlington Park this quarter.
