Annexation Agreement Illinois

Annexation Agreement in Illinois: What You Need to Know

Annexation refers to the process of bringing unincorporated territories under the jurisdiction of a municipality or city. In Illinois, annexation is governed by the Illinois Municipal Code. An annexation agreement is a negotiated agreement between a municipality and a property owner that outlines the terms and conditions for the annexation of the owner`s property into the municipality.

As a property owner in Illinois, understanding what an annexation agreement is and how it works is essential. Here are a few things you need to know.

Process of Annexation in Illinois

Annexation in Illinois is a two-step process. The first step is the passage of an annexation ordinance by the municipality. The second step is the recording of the annexation ordinance with the county recorder`s office. Once the ordinance is recorded, the annexed territory becomes part of the municipality, and the property owner is subject to the jurisdiction of the municipality.

Negotiating an Annexation Agreement

Before the annexation ordinance is passed, the property owner and the municipality can negotiate an annexation agreement. An annexation agreement defines the terms and conditions for the annexation and protects the interests of the property owner and the municipality. Typically, the annexation agreement covers the following issues:

– Payment of annexation fees and other charges

– Zoning requirements and land use restrictions

– Property tax rates and assessments

– Provision of municipal services such as water, sewer, and garbage collection

– Obligation to comply with municipal ordinances and regulations

The annexation agreement may also include provisions for the future development of the annexed property, such as the construction of infrastructure and the provision of additional municipal services.

Benefits of Annexation

Annexation offers several benefits to property owners. First, annexed properties are subject to lower property tax rates than unincorporated properties. Second, municipal services such as water, sewer, and garbage collection are typically more reliable and more affordable than services provided by private companies. Third, annexation can increase the property value by making it more attractive to potential buyers and reducing insurance rates.

In addition, annexation can also provide benefits to the municipality. The increase in the tax base can help the municipality fund new projects and improve existing infrastructure. Also, the municipality can extend its services to a broader population, which can help improve the quality of life of its residents.


Annexation is an essential process in Illinois that ensures that unincorporated territories receive the benefits of municipal services and are subject to lower property tax rates. Property owners who are interested in annexing their properties should negotiate an annexation agreement that protects their interests and ensures that they comply with the municipal regulations. By understanding the process of annexation and negotiating an annexation agreement, property owners can enjoy the benefits of annexation while ensuring that their interests are protected.