97TH GENERAL ASSEMBLY
State of Illinois
2011 and 2012
SB1001

 

Introduced 2/8/2011, by Sen. John J. Cullerton

 

SYNOPSIS AS INTRODUCED:
 
605 ILCS 10/17  from Ch. 121, par. 100-17

    Amends the Toll Highway Act. Makes a technical change in a Section concerning bonds.


LRB097 04689 HEP 44728 b

 

 

A BILL FOR

 

SB1001LRB097 04689 HEP 44728 b

1    AN ACT concerning transportation.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Toll Highway Act is amended by changing
5Section 17 as follows:
 
6    (605 ILCS 10/17)  (from Ch. 121, par. 100-17)
7    Sec. 17. (a) The The Authority may from time to time issue
8bonds for any lawful purpose including, without limitation, the
9costs of issuance thereof and all such bonds or other
10obligations of the Authority issued pursuant to this Act shall
11be and are hereby declared to be negotiable for all purposes
12notwithstanding their payment from a limited source and without
13regard to any other law or laws.
14    (b) The bonds of every issue shall be payable solely out of
15revenues of the Authority, accumulated reserves or sinking
16funds, bond proceeds, proceeds of refunding bonds, or
17investment earnings as the Authority shall specify in a bond
18resolution.
19    (c) The bonds may be issued as serial bonds or as term
20bonds, or the Authority, in its discretion, may issue bonds of
21both types. The bonds shall be authorized by a bond resolution
22of the Authority, may be issued in one or more series and shall
23bear such date or dates, mature at such time or times not

 

 

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1exceeding 25 years from their respective date or dates of
2issue, bear interest at such rate or rates, fixed or variable,
3without regard to any limit contained in any other statute or
4law of the State of Illinois, be payable as to principal and
5interest at such time or times, be in such denominations, be in
6such form, either coupon or fully registered, carry such
7registration and conversion privileges, be payable in lawful
8money of the United States of America at such places, be
9subject to such terms of redemption and may contain such other
10terms and provisions, as such bond resolution or resolutions
11may provide. The bonds shall be executed by the manual or
12facsimile signatures of the Chairman and the Secretary. In case
13any of the officers whose signature appears on the bonds or
14coupons, if any, shall cease to be an officer before the
15delivery of such bonds, such signature shall nevertheless be
16valid and sufficient for all purposes, as if he had remained in
17office until such delivery. The bonds shall be sold in such
18manner as the Authority shall determine. The proceeds from the
19sale of such bonds shall be paid to the Treasurer of the State
20of Illinois as ex officio custodian. Pending preparation of the
21definitive bonds, the Authority may issue interim receipts or
22certificates which shall be exchanged for such definitive
23bonds.
24    (d) Any bond resolution, or trust indenture entered into
25pursuant to a bond resolution, may contain provisions, which
26shall be a part of the contract with the holders of the bonds

 

 

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1to be authorized, as to: (i) pledging or creating a lien upon
2all or part of the revenues of the Authority or any reserves,
3sinking funds, bond proceeds or investment earnings; (ii) the
4setting aside of reserves or sinking funds, and the regulation,
5investment and disposition thereof; (iii) the use and
6maintenance requirements for the toll highways; (iv) the
7purposes to which or the investments in which the proceeds of
8sale of any series or issue of bonds then or thereafter to be
9issued may be applied; (v) the issuance of additional bonds,
10the terms upon which additional bonds may be issued and
11secured, the purposes for such additional bonds, and the terms
12upon which additional bonds may rank on a parity with, or be
13subordinate or superior to other bonds; (vi) the refunding of
14outstanding bonds; (vii) the procedure, if any, by which the
15terms of any contract with bondholders may be amended or
16abrogated, the amount of bonds the holders of which must
17consent thereto, and the manner in which such consent may be
18given; (viii) defining the acts or omissions to act which shall
19constitute a default in the duties of the Authority to holders
20of its obligations and providing the rights and remedies of
21such holders in the event of a default; (ix) any other matters
22relating to the bonds which the Authority deems desirable.
23    (e) Neither the directors of the Authority nor any person
24executing the bonds shall be liable personally on the bonds or
25be subject to any personal liability or accountability by
26reason of the issuance thereof.

 

 

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1    (f) The Authority shall have power out of any funds
2available therefor to purchase its bonds. The Authority may
3hold, pledge, cancel or resell such bonds subject to and in
4accordance with agreements with bondholders.
5    (g) In the discretion of the Authority any bonds issued
6under the provisions of this Act may be secured by a trust
7indenture by and between the Authority and a trustee or
8trustees, which may be any trust company or bank in the State
9of Illinois having the powers of a trust company and possessing
10capital and surplus of not less than $50,000,000. The bond
11resolution or trust indenture providing for the issuance of
12bonds so secured shall pledge such revenues of the Authority,
13sinking funds, bond proceeds, or investment earnings as may be
14specified therein, may contain such provisions for protecting
15and enforcing the rights and remedies of the bondholders as may
16be reasonable and proper and not in violation of law, including
17particularly such provisions as have hereinabove been
18specifically authorized to be included in any bond resolution
19or trust indenture of the Authority, and may restrict the
20individual right of action by bondholders. In addition to the
21foregoing, any bond resolution or trust indenture may contain
22such other provisions as the Authority may deem reasonable and
23proper for the security of the bondholders, including, but not
24limited to, the purchase of bond insurance and the arrangement
25of letters of credit, lines of credit or other credit or
26liquidity enhancement facilities; provided there shall be no

 

 

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1pledge of the toll highway or any part thereof. All expenses
2incurred in carrying out the provisions of any bond resolution
3or trust indenture may be treated as a part of the cost of the
4operation of the toll highways.
5    (h) Bonds issued under the authority of this Act do not,
6and shall state upon the face of each bond that they do not,
7represent or constitute a debt of the Authority or of the State
8of Illinois within the meaning of any constitutional or
9statutory limitation or a pledge of the faith and credit of the
10Authority or the State of Illinois, or grant to the owners or
11holders thereof any right to have the Authority or the General
12Assembly levy any taxes or appropriate any funds for the
13payment of the principal thereof or interest thereon. Such
14bonds shall be payable and shall state that they are payable
15solely from the revenues and the sources authorized under this
16Act and pledged for their payment in accordance with the bond
17resolution or trust indenture.
18    Nothing in this Act shall be construed to authorize the
19Authority or any department, board, commission or other agency
20to create an obligation of the State of Illinois within the
21meaning of the Constitution or Statutes of Illinois.
22    (i) Any resolution or trust indenture authorizing the
23issuance of the bonds may include provision for the issuance of
24additional bonds. All resolutions of the Authority to carry
25such adopted bond resolutions into effect, to provide for the
26sale and delivery of the bonds, for letting of contracts for

 

 

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1the construction of toll highways and the acquisition of real
2and personal property deemed by the Authority necessary or
3convenient for the construction thereof, shall not require the
4approval of the Governor or of any other department, division,
5commission, bureau, board or other agency of the State.
6(Source: P.A. 83-1258.)