Full Text of SB3597 103rd General Assembly
SB3597sam001 103RD GENERAL ASSEMBLY | Sen. Rachel Ventura Filed: 3/8/2024 | | 10300SB3597sam001 | | LRB103 38800 AWJ 70657 a |
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| 1 | | AMENDMENT TO SENATE BILL 3597
| 2 | | AMENDMENT NO. ______. Amend Senate Bill 3597 by replacing | 3 | | everything after the enacting clause with the following: | 4 | | "Section 5. The Counties Code is amended by changing | 5 | | Section 5-1135 as follows: | 6 | | (55 ILCS 5/5-1135) | 7 | | Sec. 5-1135. Borrowing from financial institutions. The | 8 | | county board of a county may borrow money for any corporate | 9 | | purpose from any bank or other financial institution provided | 10 | | such money shall be repaid within 2 years from the time the | 11 | | money is borrowed. The county board chairman or county | 12 | | executive, as the case may be, shall execute a promissory note | 13 | | or similar debt instrument, but not a bond, to evidence the | 14 | | indebtedness incurred by the borrowing. The obligation to make | 15 | | the payments due under the promissory note or other debt | 16 | | instrument shall be a lawful direct general obligation of the |
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| 1 | | county payable from the general funds of the county and such | 2 | | other sources of payment as are otherwise lawfully available. | 3 | | The promissory note or other debt instrument shall be | 4 | | authorized by an ordinance passed by the county board and | 5 | | shall be valid whether or not an appropriation with respect to | 6 | | that ordinance is included in any annual or supplemental | 7 | | appropriation adopted by the county board. The indebtedness | 8 | | incurred under this Section, when aggregated with the existing | 9 | | indebtedness of the county, may not exceed any debt limitation | 10 | | otherwise provided for by law. "Financial institution" means | 11 | | any bank subject to the Illinois Banking Act, any savings and | 12 | | loan association subject to the Illinois Savings and Loan Act | 13 | | of 1985, any savings bank subject to the Savings Bank Act, any | 14 | | credit union subject to the Illinois Credit Union Act, and any | 15 | | federally chartered commercial bank, savings and loan | 16 | | association, savings bank, or credit union organized and | 17 | | operated in this State pursuant to the laws of the United | 18 | | States , and the Illinois Finance Authority . | 19 | | (Source: P.A. 98-525, eff. 8-23-13; 98-756, eff. 7-16-14.) | 20 | | Section 10. The Township Code is amended by changing | 21 | | Section 240-5 as follows: | 22 | | (60 ILCS 1/240-5) | 23 | | Sec. 240-5. Borrowing money. The township board may | 24 | | borrow money (i) from any bank or financial institution if the |
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| 1 | | money is to be repaid within 10 years from the time it is | 2 | | borrowed or (ii) with the approval of the highway | 3 | | commissioner, from a township road district fund, if the money | 4 | | is to be repaid within one year from the time it is borrowed. | 5 | | "Financial institution" means any bank subject to the Illinois | 6 | | Banking Act, any savings and loan association subject to the | 7 | | Illinois Savings and Loan Act of 1985, and any federally | 8 | | chartered commercial bank or savings and loan association | 9 | | organized and operated in this State under the laws of the | 10 | | United States , and the Illinois Finance Authority . | 11 | | (Source: P.A. 93-743, eff. 7-15-04.) | 12 | | Section 15. The School Code is amended by adding Section | 13 | | 22-100 as follows: | 14 | | (105 ILCS 5/22-100 new) | 15 | | Sec. 22-100. Financing from the Illinois Finance | 16 | | Authority. | 17 | | (a) The school board of a school district may apply for and | 18 | | obtain a loan from the Illinois Finance Authority to build, | 19 | | purchase, or lease new clean energy infrastructure or perform | 20 | | maintenance or improvements on existing clean energy | 21 | | infrastructure. The school board may also issue bonds in | 22 | | association with the loan under subsection (e). Except as | 23 | | provided in subsection (e), before the school board may apply | 24 | | for a loan or issue a bond under this Section, the school board |
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| 1 | | must first adopt a resolution and receive approval by | 2 | | proposition under subsection (b). | 3 | | (b) The school board shall adopt a resolution for a | 4 | | proposition to apply for a loan with the Illinois Finance | 5 | | Authority or to have the Illinois Finance Authority issue | 6 | | bonds, or both, for the purposes described in subsection (a) | 7 | | and, after adoption of the resolution, shall certify the | 8 | | proposition to the proper election authority. The election | 9 | | authority shall submit the proposition to the voters of the | 10 | | district at an election in accordance with general election | 11 | | law. The proposition of financing moneys through the Illinois | 12 | | Finance Authority for the purpose of building, purchasing, or | 13 | | leasing new clean energy infrastructure or performing | 14 | | maintenance or improvements on existing clean energy | 15 | | infrastructure within the school district and issuing bonds in | 16 | | association with the loan may be combined into one or more | 17 | | propositions on the ballot. The form of the proposition | 18 | | submitted to the voters shall be substantially in one of the | 19 | | following forms: | 20 | | (1) If the proposition is requesting both a loan and | 21 | | bonds, the proposition shall be substantially as follows: | 22 | | "Shall (name of school district) borrow (amount) | 23 | | from the Illinois Finance Authority to (build, | 24 | | purchase, or lease new clean energy infrastructure or | 25 | | perform maintenance or improvements on existing clean | 26 | | energy infrastructure) and have the Illinois Finance |
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| 1 | | Authority issue bonds in the amount of (amount) in | 2 | | association with the loan?" | 3 | | The votes shall be recorded as "Yes" or "No". | 4 | | (2) If the proposition is requesting only a loan, the | 5 | | proposition shall be substantially as follows: | 6 | | "Shall (name of school district) borrow (amount) | 7 | | from the Illinois Finance Authority to (build, | 8 | | purchase, or lease new clean energy infrastructure or | 9 | | perform maintenance or improvements on existing clean | 10 | | energy infrastructure)?" | 11 | | The votes shall be recorded as "Yes" or "No". | 12 | | (3) If the proposition is requesting only a bond, the | 13 | | proposition shall be substantially as follows: | 14 | | "Shall (name of school district) have the Illinois | 15 | | Finance Authority issue bonds in the amount of | 16 | | (amount) in association with a loan obtained from the | 17 | | Illinois Finance Authority to (build, purchase, or | 18 | | lease new clean energy infrastructure or perform | 19 | | maintenance or improvements on existing clean energy | 20 | | infrastructure)?" | 21 | | The votes shall be recorded as "Yes" or "No". | 22 | | (c) If a majority of the votes on a proposition requesting | 23 | | bonding authority under subsection (b) are in favor of a | 24 | | proposition for bonds, the school board shall adopt a | 25 | | resolution authorizing the Illinois Finance Authority to issue | 26 | | the bonds, prescribing all the details of the issuance and |
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| 1 | | stating when the principal and interest shall become payable | 2 | | and the place of payment. These bonds shall be sold in a | 3 | | manner, at a price, and in denominations determined by the | 4 | | Illinois Finance Authority, with the approval of the school | 5 | | board. The amount of the bonds issued shall not exceed 2.3% of | 6 | | the value of the taxable property of the district as | 7 | | ascertained by the assessment for the State and county taxes | 8 | | for the preceding year, nor shall the amount of the bonds | 9 | | issued exceed, including the then existing indebtedness of the | 10 | | district, 5.75% of the value of the taxable property of the | 11 | | district as ascertained by the assessment for the State and | 12 | | county taxes for the preceding year. | 13 | | (d) Upon adoption of a resolution by the school board | 14 | | under subsection (c), the Illinois Finance Authority may issue | 15 | | bonds in an amount not to exceed that approved by the voters at | 16 | | the election. The bonds shall be signed by the Illinois | 17 | | Finance Authority, after the approval of the school board, | 18 | | shall mature not later than 20 years from the date of issuance, | 19 | | and shall bear interest at a rate not to exceed the maximum | 20 | | rate authorized by the Bond Authorization Act at the time of | 21 | | the making of the contract. The bonds shall be sold at no less | 22 | | than par. | 23 | | (e) Notwithstanding any provision of this Section to the | 24 | | contrary, the school board of a school district may, by | 25 | | resolution, apply for and obtain a loan from the Illinois | 26 | | Finance Authority to build, purchase, or lease new clean |
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| 1 | | energy infrastructure or perform maintenance or improvements | 2 | | on existing clean energy infrastructure within the district | 3 | | without proposal approval if the loan is paid or provided for | 4 | | with funds that are not the proceeds of bonds authorized under | 5 | | this Section. | 6 | | (f) The school board shall, in the resolution authorizing | 7 | | bonds under this subsection (c), provide for the collection of | 8 | | a direct annual tax sufficient to pay the interest and | 9 | | principal of the bonds as each falls due. A certified copy of | 10 | | the resolution authorizing the bonds and levying the tax shall | 11 | | be filed in the office of the county clerk or county clerks, as | 12 | | applicable, and the county clerk or county clerks shall extend | 13 | | annually against the property in the district a tax sufficient | 14 | | to raise in each year the amount provided in the resolution for | 15 | | the payment of principal and interest that year. | 16 | | (g) Before erecting, purchasing, leasing, or remodeling | 17 | | any clean energy infrastructure using revenue received by a | 18 | | loan or a bond under this Section, the school board shall | 19 | | submit the plans and specifications respecting heating, | 20 | | ventilating, lighting, seating, water supply, toilets, and | 21 | | safety against fire to the regional superintendent of schools | 22 | | having supervision and control over the district for approval | 23 | | in accordance with Section 2-3.12. ". |
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