Section 1100.300  Purposes and Objectives; Compliance with Federal Law; Forms for Program

a)         This Subpart is established to accomplish the general purposes of Article 820 of the Act and in particular the purchasing of governmental units bonds in accordance with the program to achieve the following objectives:

1)         To foster and promote by all reasonable means the provision of adequate capital markets and facilities for borrowing money by rural units of local government, and for the financing of their respective public improvements and other governmental purposes within the State from proceeds of bonds or notes issued by those governmental units;

2)         To assist rural governmental units in fulfilling their needs for those purposes by use of creation of indebtedness;

3)         To the extent possible, to reduce the costs of indebtedness to taxpayers and residents of this State and to encourage continued investor interest in the purchase of bonds or notes of rural governmental units as sound and preferred securities for investment; and

4)         To encourage rural governmental units to continue their independent undertakings of public improvements and other governmental purposes and the financing thereof, and to assist them in those activities by making funds available at reduced interest costs for orderly financing of those purposes, especially during periods of restricted credit or money supply, and particularly for those rural governmental units not otherwise able to borrow for those purposes.

b)         This Subpart shall be construed in conformity and compliance with applicable federal law, including without limits Section 103A of the Internal Revenue Code (26 USC 103).

c)         The Executive Director shall prepare, use, supplement and amend such forms, agreements and other documents as may be necessary to implement the program.

(Source:  Recodified from 47 Ill. Adm. Code 400.103, 400.104 and 400.105 at 31 Ill. Reg. 12104)