Illinois General Assembly - Full Text of HB2909
Illinois General Assembly

  Bills & Resolutions  
  Compiled Statutes  
  Public Acts  
  Legislative Reports  
  IL Constitution  
  Legislative Guide  
  Legislative Glossary  

 Search By Number
 (example: HB0001)
Search Tips

Search By Keyword

Full Text of HB2909  103rd General Assembly




HB2909 EngrossedLRB103 05327 NHT 57083 b

1    AN ACT concerning education.
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4    Section 5. The State Finance Act is amended by changing
5Section 6a-6 as follows:
6    (30 ILCS 105/6a-6)  (from Ch. 127, par. 142a6)
7    Sec. 6a-6. (1) Unless otherwise provided for in this
8Section, all items of income received by the Illinois
9Mathematics and Science Academy shall be deposited in a local
10clearing account paid into the State Treasury without delay
11and not later than 10 days after the receipt of such items of
12income. All such moneys shall be paid into a special fund in
13the State Treasury to be known as the "IMSA Income Fund". The
14General Assembly shall from time to time make appropriations
15payable from the IMSA Income Fund for the support and
16improvement of the academy.
17    (2) The following items of income shall be retained by the
18Illinois Mathematics and Science Academy in its own treasury:
19endowment funds, gifts, and trust funds; alumni dues and
20contributions; funds of any alumni association or
21organization, or any foundation related to the Academy; monies
22of the IMSA Fund for the Advancement of Education; funds
23received in connection with the retention, receipt,



HB2909 Engrossed- 2 -LRB103 05327 NHT 57083 b

1assignment, license, sale or transfer of interests in, rights
2to, or income from discoveries, inventions, patents, or
3copyrightable works; laboratory fees, fees for testing;
4supplementary food service fees received for payment to a food
5service vendor; refundable deposits; funds received from
6student or staff health programs; and moneys received for
7student athletics or student activities.
8    The Academy may also retain in its own treasury all moneys
9received from the sale of any debt obligations, including
10bonds issued under the provisions of the Illinois Mathematics
11and Science Academy Law, and any tuition, fee, and room and
12board revenue pledged to the payment of such obligations or
13necessary to meet any financial covenants related thereto or,
14as determined by the Board of Trustees of the Academy,
15necessary to pay such obligations or for the support and
16improvement of the Academy.
17    Whenever such funds retained by the Academy in its own
18treasury or held in a local clearing account are deposited
19with a bank or savings and loan association and the amount of
20the deposit exceeds the amount of federal deposit insurance
21coverage, a bond or pledged securities shall be obtained. Only
22the types of securities which the State treasurer may, in his
23discretion, accept for amounts not insured by the Federal
24Deposit Insurance Corporation or the Federal Savings and Loan
25Insurance Corporation under Section 11 of "An Act in relation
26to State moneys", approved June 28, 1919, as amended, may be



HB2909 Engrossed- 3 -LRB103 05327 NHT 57083 b

1accepted as pledged securities. The market value of the bond
2or pledged securities shall at all times be equal to or greater
3than the uninsured portion of the deposit.
4    (3) For purposes of implementing this Amendatory act of
51989, the Academy is authorized to transfer monies held in its
6treasury at the time of the effective date of this Act into the
7IMSA Income Fund in the State Treasury.
8    (4) The IMSA Special Purposes Trust Fund, held outside the
9State Treasury by the State Treasurer as ex officio custodian,
10shall receive the following items of income: federal aid and
11funds received in connection with contracts with governmental,
12public or private agencies or persons. Disbursements from this
13fund shall be by warrants drawn by the State Comptroller on
14receipt of vouchers duly executed and certified by the
15Illinois Mathematics and Science Academy.
16    All federal monies received as reimbursement for
17expenditures from the General Revenue Fund and that were made
18for the purposes authorized for expenditures from the IMSA
19Special Purposes Trust Fund shall be deposited by the Academy
20into the General Revenue Fund.
21    For purposes of implementing this amendatory Act of 1991,
22the Academy is authorized to transfer monies held in the IMSA
23Income Fund on the effective date of this amendatory Act of
241991 into the IMSA Special Purposes Trust Fund; provided,
25monies so transferred shall not exceed the amount that would
26be in the IMSA Special Purposes Trust Fund had such Fund been



HB2909 Engrossed- 4 -LRB103 05327 NHT 57083 b

1in existence when the monies were received.
2(Source: P.A. 86-109; 87-142.)
3    Section 10. The Bond Authorization Act is amended by
4changing Section 1 as follows:
5    (30 ILCS 305/1)  (from Ch. 17, par. 6601)
6    Sec. 1. (a) As used in this Act, "public corporations"
7mean any body corporate organized by or pursuant to the laws of
8this State to carry out a public governmental or proprietary
9function, including, without limitation of the foregoing, the
10State state, the Illinois Mathematics and Science Academy, or
11any school district, park district, city, village,
12incorporated town, county, drainage or any other type of
13district, commission, authority, university, or public
14community college, or any combination thereof, acting through
15the corporate authorities thereof.
16    (b) "Bonds" or "other evidences of indebtedness" mean any
17instrument providing for the payment of money executed by or
18on behalf of a public corporation or which the public
19corporation has assumed or agreed to pay, including, without
20limitation of the foregoing, bonds, notes, contracts, leases,
21certificates and tax anticipation warrants.
22(Source: P.A. 82-622.)
23    Section 15. The Illinois Mathematics and Science Academy



HB2909 Engrossed- 5 -LRB103 05327 NHT 57083 b

1Law is amended by adding Section 4.5 as follows:
2    (105 ILCS 305/4.5 new)
3    Sec. 4.5. Revenue bond financing for facilities.
4    (a) The Board of Trustees is authorized to borrow money
5and issue and sell bonds in such amount, at such price, and
6redeemable prior to maturity with or without premium as the
7Board may determine for the purpose of acquiring, purchasing,
8completing, building, constructing, reconstructing,
9enlarging, improving, extending, or equipping buildings,
10structures, and facilities that, as determined by the Board,
11are required by or are necessary for the use or benefit of the
12Academy, including, without limiting the generality of the
13foregoing, school classrooms, science labs, or other
14instructional spaces; dormitories and student residence halls;
15apartments; staff housing facilities; facilities for student,
16staff, or administrative services; cafeteria and other food
17service areas; auditoriums; gymnasiums, field houses,
18stadiums, and other athletic facilities; and parking
19facilities and including the acquisition and improvement of a
20site or sites therefor. These bonds shall be payable only from
21tuition, fee, and room and board revenue and, if authorized by
22the Board, from other funds authorized by law to be used for
23such purpose and applied as a supplement to that revenue. The
24bonds shall be secured by a pledge of these revenues. The bonds
25may be issued in one or more series, and may bear such date or



HB2909 Engrossed- 6 -LRB103 05327 NHT 57083 b

1dates, may be in such denomination or denominations, may
2mature at such time or times not exceeding 40 years from the
3respective dates thereof, may mature in such amount or
4amounts, and may bear interest at such rate or rates,
5including variable rates, not exceeding the maximum rate
6authorized by the Bond Authorization Act at the time of the
7making of the contract for the sale of the bonds.
8    All bonds issued under the provisions of this Section
9shall be obligations of the Academy payable only in accordance
10with the terms thereof and shall not be obligations, general,
11special, or otherwise, of the State of Illinois. Such bonds
12shall not constitute a debt, legal or moral, of the State of
13Illinois and shall not be enforceable against the State of
15    (b) The Board shall have the power from time to time to
16execute and deliver trust agreements under this Section to a
17bank or trust company authorized by the laws of this State or
18the United States of America to accept and execute trusts in
19this State. These trust agreements may contain any provision
20for the deposit with the trustee and the disposition of the
21proceeds of the bonds issued under the provisions of this
22Section and secured thereby, provisions for the protection and
23the enforcement of the rights and remedies of the trustee and
24the holders of such bonds as the Board may approve, and
25provision for the direct payment to or deposit with the
26trustee of any revenues pledged to the payment of bonds issued



HB2909 Engrossed- 7 -LRB103 05327 NHT 57083 b

1under the provisions of this Section.
2    (c) Bonds issued under the provisions of this Section
3shall be signed by the chair of the Board and shall be attested
4by the Director of the Academy, and if the official who signed
5or attested the bonds or whose facsimile appears on the bonds
6ceases to be such an official before the bonds have been issued
7by the Academy, the bonds may nevertheless be validly issued
8by the Academy.
9    (d) Upon the determination by the Board to undertake one
10or more projects set forth in subsection (a), the Board shall
11adopt a resolution or resolutions describing in a general way
12the contemplated facility or facilities designated as the
13project or projects and the estimated cost thereof. The amount
14of bonds, the maturity or maturities, the interest rate, and
15all details in respect thereof shall be set forth in the
16resolution or resolutions or in a related trust agreement
17authorized in subsection (b). The resolution or resolutions or
18related trust agreement shall contain such covenants with
19respect to the creation of reserves or accounts and any
20restrictions upon the issuance of additional bonds that may
21thereafter be issued payable from tuition, fee, and room and
22board revenue and, if authorized by the Board, from other
23funds authorized by law to be used for such purpose and applied
24as a supplement to that revenue as may be deemed necessary or
25advisable for the assurance and payment of the bonds thereby
26authorized, and the resolution or resolutions or related trust



HB2909 Engrossed- 8 -LRB103 05327 NHT 57083 b

1agreement shall provide for the payment of the principal of
2and interest on the bonds and the creation of any reserves or
3accounts established by the resolution or resolutions.
4    (e) Whenever bonds are issued under the provisions of this
5Section, it shall be the duty of the Board to establish
6tuition, fee, and room and board revenue (i) sufficient at all
7times to pay the principal of and interest on the bonds and to
8meet any related financial covenants or (ii) sufficient at all
9times, if added to other funds authorized and allocated for
10such purpose, to pay such principal and interest and meet such
11financial covenants.
12    (f) The Board may refund and refinance bonds issued under
13the provisions of this Section from time to time and to this
14end may authorize and issue refunding bonds whenever the Board
15determines that it is in the best interests of the Academy to
16do so. The proceeds derived from the sale of any such refunding
17bonds shall be applied either to the payment or redemption and
18retirement of the bonds to be refunded, or, if such bonds are
19not then subject to payment or redemption, all proceeds
20received at the sale thereof shall be invested in direct
21obligations of or obligations the principal of and interest on
22which are fully guaranteed by the United States of America, so
23long as such investments mature at such time, with interest
24thereon or profit therefrom, to provide funds adequate to pay,
25when due or called for redemption prior to maturity, the bonds
26to be refunded, together with the interest accrued thereon and



HB2909 Engrossed- 9 -LRB103 05327 NHT 57083 b

1any redemption premium due thereon. Such proceeds or
2obligations of the United States of America shall, with all
3other funds legally available for such purpose, be deposited
4in escrow with any bank or trust company doing business in this
5State with power to accept and execute trusts, to be held in an
6irrevocable trust for the payment at maturity or redemption of
7the bonds refunded and accrued interest and the applicable
8premiums, if any, if the bonds are redeemable prior to
9maturity or upon earlier voluntary surrender with the consent
10of the holder thereof. Any balance remaining in such escrow
11after the payment and retirement of the bonds to be refunded
12shall be returned to the Academy, to be used as revenues
13pledged for the payment of the refunding bonds. All of the
14provisions of this Section, including covenants that may be
15entered into in connection with the issuance of bonds, shall
16be applicable to the authorization and issuance of any
17refunding bonds.
18    Section 99. Effective date. This Act takes effect upon
19becoming law.