Full Text of SB3086 100th General Assembly
SB3086enr 100TH GENERAL ASSEMBLY |
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| 1 | | AN ACT concerning government.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Section 5. The Intergovernmental Cooperation Act is | 5 | | amended by changing Sections 3.1 and 3.4 as follows:
| 6 | | (5 ILCS 220/3.1) (from Ch. 127, par. 743.1)
| 7 | | Sec. 3.1. Municipal Joint Action Water Agency.
| 8 | | (a) Any municipality or municipalities of
this State, any | 9 | | county
or counties of this State, any township in a county with | 10 | | a population under
700,000 of this State, any public water | 11 | | district or districts of this State, State university, or
any | 12 | | combination thereof may, by intergovernmental agreement, | 13 | | establish a
Municipal Joint Action Water Agency to provide | 14 | | adequate supplies of water on an
economical and efficient basis | 15 | | for member municipalities, public water
districts and other | 16 | | incorporated and unincorporated areas within such counties.
| 17 | | Any
such Agency shall itself be a municipal
corporation, public | 18 | | body politic and corporate. A Municipal Joint Action Water
| 19 | | Agency so created shall not itself have taxing power except as | 20 | | hereinafter
provided.
| 21 | | A Municipal Joint Action Water Agency shall be established | 22 | | by an
intergovernmental agreement among the various member | 23 | | municipalities,
public water districts, townships, State |
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| 1 | | universities, and counties, upon approval by an ordinance
| 2 | | adopted by the corporate authorities of each member | 3 | | municipality, public water
district, township, State | 4 | | university, or county. This agreement may be amended at any | 5 | | time upon
the adoption of concurring ordinances by the | 6 | | corporate authorities of all
member municipalities, public | 7 | | water districts, townships, State universities, and counties. | 8 | | The
agreement may provide for additional municipalities, | 9 | | public water districts, any State universities,
townships in | 10 | | counties with a population under 700,000, or counties to join | 11 | | the
Agency upon adoption of an ordinance by the corporate | 12 | | authorities of the
joining municipality, public water | 13 | | district, township, or county, and upon such
consents, | 14 | | conditions and approvals of the governing body of the Municipal | 15 | | Joint
Action Water Agency and of existing member | 16 | | municipalities, public water
districts, townships, State | 17 | | universities, and counties as shall be provided in the | 18 | | agreement. The
agreement shall provide the manner and terms on | 19 | | which any municipality, public
water district, township, or | 20 | | county may withdraw from membership in the
Municipal Joint | 21 | | Action Water Agency and on which the Agency may terminate and
| 22 | | dissolve in whole or in part. The agreement shall set forth the | 23 | | corporate name
of the Municipal Joint Action Water Agency and | 24 | | its duration. Promptly upon any
agreement establishing a | 25 | | Municipal Joint Action Water Agency being entered
into, or upon | 26 | | the amending of any such agreement, a copy of such agreement or
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| 1 | | amendment shall be filed in the office of the Secretary of | 2 | | State of Illinois.
Promptly upon the addition or withdrawal of | 3 | | any municipality, public water
district, township in a county | 4 | | with a population under 700,000, or county, or
upon the | 5 | | dissolution of a Municipal Joint Action Water Agency, that fact | 6 | | shall
be certified by an officer of the Agency to the Secretary | 7 | | of State of Illinois.
| 8 | | (b) The governing body of any Municipal Joint Action Water | 9 | | Agency
established pursuant to this Section 3.1 shall be a | 10 | | Board of Directors.
There shall be one Director from each | 11 | | member municipality, public water
district, township, State | 12 | | university, and county of the Municipal Joint Action Water | 13 | | Agency
appointed by ordinance of the corporate authorities of | 14 | | the municipality, public
water district, township, or county. | 15 | | Each Director shall have one vote , and shall meet the | 16 | | requirements of paragraphs (1) or (2), as applicable . | 17 | | (1) Each
Director shall be the Mayor or President of | 18 | | the member municipality, or the
chairman of the board of | 19 | | trustees of the member public water district, the
| 20 | | supervisor of the member township, the appointee of the | 21 | | State university, or the chairman of the county board or | 22 | | chief
executive officer of the member county or a county | 23 | | board member appointed by
the chairman of the county board | 24 | | of the member county, appointing the Director;
an elected | 25 | | member of the corporate authorities of that municipality, | 26 | | public
water district, township, or county; or other |
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| 1 | | elected official of the
appointing municipality, public | 2 | | water district, township, or county. Any
agreement | 3 | | establishing a Municipal Joint Action Water Agency shall | 4 | | specify the
period during which a Director shall hold | 5 | | office and may provide for the
appointment of Alternate | 6 | | Directors from member municipalities, public water
| 7 | | districts, townships, or counties. The Board of Directors | 8 | | shall elect one
Director to serve as Chairman, and shall | 9 | | elect persons, who need not be
Directors, to such other | 10 | | offices as shall be designated in the agreement.
| 11 | | (2) For any Municipal Joint Action Water Agency | 12 | | established after the effective date of this amendatory Act | 13 | | of the 100th General Assembly, each Director shall either: | 14 | | (i) meet the qualifications specified under paragraph (1); | 15 | | or (ii) be an appointed official of a member municipality, | 16 | | public water district, township, State university, or | 17 | | county, as designated by ordinance or other official | 18 | | action, from time to time by the corporate authorities of | 19 | | the member municipality, public water district, township, | 20 | | State university, or county. | 21 | | The Board of Directors shall determine the general policy | 22 | | of the Municipal
Joint Action Water Agency, shall approve the | 23 | | annual budget, shall make all
appropriations (which may include | 24 | | appropriations made at any time in
addition to those made in | 25 | | any annual appropriation document), shall approve
all | 26 | | contracts for the purchase or sale of water, shall adopt any |
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| 1 | | resolutions
providing for the issuance of bonds or notes by the | 2 | | Agency, shall adopt its
by-laws, rules and regulations, and | 3 | | shall have such other powers and duties as
may be prescribed in | 4 | | the agreement. Such agreement may further specify those
powers | 5 | | and actions of the Municipal Joint Action Water Agency which | 6 | | shall
be authorized only upon votes of greater than a majority | 7 | | of all Directors
or only upon consents of the corporate | 8 | | authorities of a certain number of
member municipalities, | 9 | | public water districts, townships, State universities, or | 10 | | counties.
| 11 | | The agreement may provide for the establishment of an | 12 | | Executive Committee
to consist of the municipal manager or | 13 | | other elected or appointed official of
each member | 14 | | municipality, public water district, township, State | 15 | | university, or county, as
designated by ordinance or other | 16 | | official action, from time to time by the corporate authorities | 17 | | of the
member municipality, public water district, township, | 18 | | State university, or county, and may
prescribe powers and | 19 | | duties of the Executive Committee for the efficient
| 20 | | administration of the Agency.
| 21 | | (c) A Municipal Joint Action Water Agency established | 22 | | pursuant to this
Section 3.1 may plan, construct, improve, | 23 | | extend, acquire, finance (including
the issuance of revenue | 24 | | bonds or notes as provided in this Section 3.1),
operate, | 25 | | maintain, and contract for a joint waterworks or water supply | 26 | | system
which may include, or may consist of, without |
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| 1 | | limitation, facilities for
receiving, storing, and | 2 | | transmitting water from any source for supplying water
to | 3 | | member municipalities, public water districts, townships, or
| 4 | | counties (including county special service areas created under | 5 | | the Special
Service Area Tax Act and county service areas | 6 | | authorized under the Counties
Code), or other public agencies, | 7 | | persons, or corporations. Facilities of the
Municipal Joint | 8 | | Action Water Agency may be located within or without the
| 9 | | corporate limits of any member municipality.
| 10 | | A Municipal Joint Action Water Agency shall have such | 11 | | powers as shall be
provided in the agreement establishing it, | 12 | | which may include, but need not
be limited to, the following | 13 | | powers:
| 14 | | (i) to sue or be sued;
| 15 | | (ii) to apply for and accept gifts or grants or loans | 16 | | of funds or property
or financial or other aid from any | 17 | | public agency or private entity;
| 18 | | (iii) to acquire, hold, sell, lease as lessor or | 19 | | lessee, transfer or
dispose of such real or personal | 20 | | property, or interests therein, as it
deems appropriate in | 21 | | the exercise of its powers, and to provide for the use
| 22 | | thereof by any member municipality, public water district, | 23 | | township, or county;
| 24 | | (iv) to make and execute all contracts and other | 25 | | instruments necessary
or convenient to the exercise of its | 26 | | powers (including contracts with
member municipalities, |
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| 1 | | with public water districts, with townships, and
with | 2 | | counties on behalf of county service areas); and
| 3 | | (v) to employ agents and employees and to delegate by | 4 | | resolution to
one or more of its Directors or officers such | 5 | | powers as it may deem proper.
| 6 | | Member municipalities, public water districts, townships, | 7 | | State universities, or counties may,
for the purposes of, and | 8 | | upon request by, the Municipal Joint Action Water
Agency, | 9 | | exercise the power of eminent domain available to them, convey | 10 | | property
so acquired to the Agency for the cost of acquisition, | 11 | | and be reimbursed for
all expenses related to this exercise of | 12 | | eminent domain power on behalf of the
Agency.
| 13 | | All property, income and receipts of or transactions by a | 14 | | Municipal Joint
Action Water Agency shall be exempt from all | 15 | | taxation, the same as if it
were the property, income or | 16 | | receipts of or transaction by the member
municipalities, public | 17 | | water districts, townships, State universities, or counties.
| 18 | | (d) A Municipal Joint Action Water Agency established | 19 | | pursuant to this
Section 3.1 shall have the power to buy water | 20 | | and to enter into contracts
with any person, corporation or | 21 | | public agency (including any member
municipality, public water | 22 | | district, township, or county) for that purpose.
Any such | 23 | | contract made by an Agency for a supply of water may contain
| 24 | | provisions whereby the Agency is obligated to pay for the | 25 | | supply of water
without setoff or counterclaim and irrespective | 26 | | of whether the supply of water
is ever furnished, made |
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| 1 | | available or delivered to the Agency or whether any
project for | 2 | | the supply of water contemplated by any such contract is | 3 | | completed,
operable or operating and notwithstanding any | 4 | | suspension, interruption,
interference, reduction or | 5 | | curtailment of the supply of water from such
project. Any such | 6 | | contract may provide that if
one or more of the other | 7 | | purchasers defaults in the payment of its
obligations under | 8 | | such contract or a similar contract made with the
supplier of | 9 | | the water one or more of the remaining purchasers party to such
| 10 | | contract or such similar contract shall be required to pay for | 11 | | all or a
portion of the obligations of the defaulting | 12 | | purchasers. No such contract
may have a term in excess of 50 | 13 | | years.
| 14 | | A Municipal Joint Action Water Agency shall have the power | 15 | | to sell water
and to enter into contracts with any person, | 16 | | corporation or public agency
(including any member | 17 | | municipality, any public water district, any township, any | 18 | | State university, or
any county on behalf of a county service | 19 | | area as set forth in this Section) for
that purpose. No such | 20 | | contract may have a term in excess of 50 years. Any
such | 21 | | contract entered into to sell water to a public agency may | 22 | | provide that
the payments to be made thereunder by such public | 23 | | agency shall be made solely
from revenues to be derived by such | 24 | | public agency from the operation of its
waterworks system or | 25 | | its combined waterworks and sewerage system. Any public
agency | 26 | | so contracting to purchase water shall establish from time to |
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| 1 | | time such
fees and charges for its water service or combined | 2 | | water and sewer service as
will produce revenues sufficient at | 3 | | all times to pay its obligations to the
Agency under the | 4 | | purchase contract. Any such contract so providing shall not
| 5 | | constitute indebtedness of such public agency so contracting to | 6 | | buy water
within the meaning of any statutory or constitutional | 7 | | limitation. Any such
contract of a public agency to buy water | 8 | | shall be a continuing, valid and
binding obligation of such | 9 | | public agency payable from such revenues.
| 10 | | A Municipal Joint Action Water Agency shall establish fees | 11 | | and charges
for the purchase of water from it or for the use of | 12 | | its facilities. No
prior appropriation shall be required by | 13 | | either the Municipal Joint Action
Water Agency or any public | 14 | | agency before entering into any contract authorized
by this | 15 | | paragraph (d).
| 16 | | The changes in this Section made by this amendatory Act of | 17 | | 1984 are intended
to be declarative of existing law.
| 18 | | (e) 1. A Municipal Joint Action Water Agency established | 19 | | pursuant to
this Section 3.1 may, from time to time, borrow | 20 | | money and, in evidence of
its obligation to repay the | 21 | | borrowing, issue its negotiable water revenue bonds
or notes | 22 | | pursuant to this paragraph (e) for any of the following | 23 | | purposes:
for paying costs of constructing, acquiring, | 24 | | improving or extending a joint
waterworks or water supply | 25 | | system; for paying other expenses incident to or
incurred in | 26 | | connection with such construction, acquisition, improvement or
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| 1 | | extension; for repaying advances made to or by the Agency for | 2 | | such purposes;
for paying interest on the bonds or notes until | 3 | | the estimated date of
completion of any such construction, | 4 | | acquisition, improvement or extension and
for such period after | 5 | | the estimated completion date as the Board of Directors
of the | 6 | | Agency shall determine; for paying financial, legal, | 7 | | administrative
and other expenses of the authorization, | 8 | | issuance, sale or delivery of bonds
or notes; for paying costs | 9 | | of insuring payment of the bonds or notes; for
providing or | 10 | | increasing a debt service reserve fund with respect to any or | 11 | | all
of the Agency's bonds or notes; and for paying, refunding | 12 | | or redeeming any of
the Agency's bonds or notes before, after | 13 | | or at their maturity, including
paying redemption premiums or | 14 | | interest accruing or to accrue on such bonds
or notes being | 15 | | paid or redeemed or for paying any other costs in connection
| 16 | | with any such payment or redemption.
| 17 | | 2. Any bonds or notes issued pursuant to this paragraph (e) | 18 | | by a Municipal
Joint Action Water Agency shall be authorized by | 19 | | a resolution of the Board
of Directors of the Agency adopted by | 20 | | the affirmative vote of Directors
from a majority of the member | 21 | | municipalities, public water districts,
townships, State | 22 | | universities, and counties, and any additional requirements as | 23 | | may be set forth in
the agreement establishing the Agency. The | 24 | | authorizing resolution may be
effective immediately upon its | 25 | | adoption. The authorizing resolution shall
describe in a | 26 | | general way any project contemplated to be financed by the |
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| 1 | | bonds
or notes, shall set forth the estimated cost of the | 2 | | project and shall determine
its period of usefulness. The | 3 | | authorizing resolution shall determine the
maturity or | 4 | | maturities of the bonds or notes, the rate or rates at which | 5 | | the
bonds or notes are to bear interest and all the other terms | 6 | | and details of the
bonds or notes. All such bonds or notes | 7 | | shall mature within the period of
estimated usefulness of the | 8 | | project with respect to which such bonds or notes
are issued, | 9 | | as determined by the Board of Directors, but in any event not | 10 | | more
than 50 years from their date of issue. The bonds and | 11 | | notes may bear interest,
payable at such times, at a rate or | 12 | | rates not exceeding the maximum rate
established in the Bond | 13 | | Authorization Act, as from time to time in effect.
Bonds or | 14 | | notes of a Municipal Joint Action Water Agency shall be sold in | 15 | | such
manner as the Board of Directors of the Agency shall | 16 | | determine, either at par
or at a premium or discount, but such | 17 | | that the effective interest cost
(excluding any redemption | 18 | | premium) to the Agency of the bonds or notes shall
not exceed a | 19 | | rate equal to the rate of interest specified in the Act | 20 | | referred
to in the preceding sentence.
| 21 | | The resolution authorizing the issuance of any bonds or | 22 | | notes pursuant
to this paragraph (e) shall constitute a | 23 | | contract with the holders of the
bonds and notes. The | 24 | | resolution may contain such covenants and restrictions
with | 25 | | respect to the purchase or sale of water by the Agency and the | 26 | | contracts
for such purchases or sales, the operation of the |
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| 1 | | joint waterworks system
or water supply system, the issuance of | 2 | | additional bonds or notes by the
Agency, the security for the | 3 | | bonds and notes, and any other matters, as
may be deemed | 4 | | necessary or advisable by the Board of Directors to assure
the | 5 | | payment of the bonds or notes of the Agency.
| 6 | | 3. The resolution authorizing the issuance of bonds or | 7 | | notes by a
Municipal
Joint Action Water Agency shall pledge and | 8 | | provide for the application of
revenues derived from the | 9 | | operation of the Agency's joint waterworks or
water supply | 10 | | system (including from contracts for the sale of water by the
| 11 | | Agency) and investment earnings thereon to the payment of the | 12 | | cost of operation
and maintenance of the system (including | 13 | | costs of purchasing water), to
provision of adequate | 14 | | depreciation, reserve or replacement funds with respect
to the | 15 | | system or the bonds or notes, and to the payment of principal, | 16 | | premium,
if any, and interest on the bonds or notes of the | 17 | | Agency (including amounts
for the purchase of such bonds or | 18 | | notes). The resolution shall provide
that revenues of the | 19 | | Municipal Joint Action Water Agency so derived from
the | 20 | | operation of the system, sufficient (together with other | 21 | | receipts of
the Agency which may be applied to such purposes) | 22 | | to provide for such purposes,
shall be set aside as collected | 23 | | in a separate fund or funds and used for
such purposes. The | 24 | | resolution may provide that revenues not required for
such | 25 | | purposes may be used for any proper purpose of the Agency or | 26 | | may be
returned to member municipalities.
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| 1 | | Any notes of a Municipal Joint Action Water Agency issued | 2 | | in anticipation
of the issuance of bonds by it may, in | 3 | | addition, be secured by a pledge
of proceeds of bonds to be | 4 | | issued by the Agency, as specified in the resolution
| 5 | | authorizing the issuance of such notes.
| 6 | | 4. (i) Except as provided in clauses (ii) and (iii) of this | 7 | | subparagraph 4
of this paragraph (e), all bonds and notes of | 8 | | the Municipal Joint Action
Water Agency issued pursuant to this | 9 | | paragraph (e) shall be revenue bonds or
notes. Such revenue | 10 | | bonds or notes shall have no claim for payment other than
from | 11 | | revenues of the Agency derived from the operation of its joint | 12 | | waterworks
or water supply system (including from contracts for | 13 | | the sale of water by the
Agency) and investment earnings | 14 | | thereon, from bond or note proceeds and
investment earnings | 15 | | thereon, or from such other receipts of the Agency as the
| 16 | | agreement establishing the Agency may authorize to be pledged | 17 | | to the payment of
revenue bonds or notes, all as and to the | 18 | | extent as provided in the resolution
of the Board of Directors | 19 | | authorizing the issuance of the revenue bonds or
notes. Revenue | 20 | | bonds or notes issued by a Municipal Joint Action Water Agency
| 21 | | pursuant to this paragraph (e) shall not constitute an | 22 | | indebtedness of the
Agency or of any member municipality, | 23 | | public water district, township, or
county within the meaning | 24 | | of any constitutional or statutory limitation. It
shall be | 25 | | plainly stated on each revenue bond and note that it does not
| 26 | | constitute an indebtedness of the Municipal Joint Action Water |
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| 1 | | Agency or of any
member municipality, public water district, | 2 | | township, or county within the
meaning of any constitutional or | 3 | | statutory limitation.
| 4 | | (ii) If the Agreement so provides and subject to the | 5 | | referendum
provided for in clause (iii) of this subparagraph 4 | 6 | | of this paragraph
(e), the Municipal Joint Action Water Agency | 7 | | may borrow money for corporate
purposes on the credit of the | 8 | | Municipal Joint Action Water Agency, and
issue general | 9 | | obligation bonds therefor, in such amounts and form and on
such | 10 | | conditions as it shall prescribe, but shall not become indebted | 11 | | in any
manner or for any purpose in an amount including | 12 | | existing indebtedness in
the aggregate which exceeds 5.75% of | 13 | | the aggregate value of the taxable
property within the | 14 | | boundaries of the participating municipalities, public
water | 15 | | districts, townships, and county service areas within a member | 16 | | county
determined by the governing body of the county by | 17 | | resolution to be served by
the Municipal Joint Action Water | 18 | | Agency (including any territory added to the
Agency after the | 19 | | issuance of such general obligation bonds), collectively
| 20 | | defined as the "Service Area", as equalized and assessed by the | 21 | | Department of
Revenue and as most recently available at the | 22 | | time of the issue of said bonds.
Before or at the time of | 23 | | incurring any such general obligation indebtedness,
the | 24 | | Municipal Joint Action Water Agency shall provide for the
| 25 | | collection of a direct annual tax, which shall be unlimited as | 26 | | to rate or
amount, sufficient to pay the interest on such debt |
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| 1 | | as it falls due and also to
pay and discharge the principal | 2 | | thereof at maturity, which shall be within 40
years after the | 3 | | date of issue thereof. Such tax shall be levied upon and
| 4 | | collected from all of the taxable property within the | 5 | | territorial boundaries of
such Service Area at the time of the | 6 | | referendum provided for in clause (iii)
and shall be levied | 7 | | upon and collected from all taxable property within the
| 8 | | boundaries of any territory subsequently added to the Service | 9 | | Area.
Dissolution of the Municipal Joint Action Water Agency | 10 | | for any reason shall not
relieve the taxable property within | 11 | | such Service Area from liability for such
tax. Liability for | 12 | | such tax for property transferred to or released from such
| 13 | | Service Area shall be determined in the same manner as for | 14 | | general obligation
bonds of such county, if in an | 15 | | unincorporated area, and of such municipality,
if within the | 16 | | boundaries thereof. The clerk or other officer of the Municipal
| 17 | | Joint Action Water Agency shall file a certified copy of the | 18 | | resolution or
ordinance by which such bonds are authorized to | 19 | | be issued and such tax is
levied with the County Clerk or | 20 | | Clerks of the county or counties containing the
Service Area, | 21 | | and such filing shall constitute, without the doing of any | 22 | | other
act, full and complete authority for such County Clerk or | 23 | | Clerks to extend such
tax for collection upon all the taxable | 24 | | property within the Service Area
subject to such tax in each | 25 | | and every year, as required, in amounts sufficient
to pay the | 26 | | principal of and interest on such bonds, as aforesaid, without |
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| 1 | | limit
as to rate or amount. Such tax shall be in addition to | 2 | | and in excess of all
other taxes authorized to be levied by the | 3 | | Municipal Joint Action Water Agency
or by such county, | 4 | | municipality, township, or public water district. The
issuance | 5 | | of such general obligation bonds shall be subject to the other
| 6 | | provisions of this paragraph (e), except for the provisions of | 7 | | clause (i) of
this subparagraph 4.
| 8 | | (iii) No issue of general obligation bonds of the Municipal | 9 | | Joint Action
Water Agency (except bonds to refund an existing | 10 | | bonded indebtedness) shall
be authorized unless the Municipal | 11 | | Joint Action Water Agency certifies the
proposition of issuing | 12 | | such bonds to the proper election authorities, who
shall submit | 13 | | the proposition to the voters in the Service Area at an
| 14 | | election in accordance with the general election law, and the | 15 | | proposition
has been approved by a majority of those voting on | 16 | | the proposition.
| 17 | | The proposition shall be substantially in the following | 18 | | form:
| 19 | | -------------------------------------------------------------
| 20 | | Shall general obligation
| 21 | | bonds for the purpose of (state
| 22 | | purpose), in the sum not to
| 23 | | exceed $....(insert amount), Yes
| 24 | | be issued by the ......... ------------------------
| 25 | | (insert corporate name of the No
| 26 | | Municipal Joint Action Water
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| 1 | | Agency)?
| 2 | | -------------------------------------------------------------
| 3 | | 5. As long as any bonds or notes of a Municipal Joint | 4 | | Action Water Agency
created pursuant to this Section 3.1 are | 5 | | outstanding and unpaid, the Agency
shall not terminate or | 6 | | dissolve and, except as permitted by the resolution
or | 7 | | resolutions authorizing outstanding bonds or notes, no member
| 8 | | municipality, public water district, township, or county
may | 9 | | withdraw from the Agency. While any such bonds or notes are | 10 | | outstanding,
all contracts for the sale of water by the Agency | 11 | | to member
municipalities, public water districts, townships, | 12 | | or counties
shall be irrevocable except as permitted by the | 13 | | resolution or resolutions
authorizing such bonds or notes. The | 14 | | Agency shall establish fees and charges
for its operations | 15 | | sufficient to provide adequate revenues to meet all of
the | 16 | | requirements under its various resolutions authorizing bonds | 17 | | or notes.
| 18 | | 6. A holder of any bond or note issued pursuant to this | 19 | | paragraph (e)
may, in any civil action, mandamus or other | 20 | | proceeding, enforce and compel
performance of all duties | 21 | | required to be performed by the Agency or such
counties, as | 22 | | provided in the authorizing resolution, or by any of the public
| 23 | | agencies contracting with the Agency to purchase water, | 24 | | including the
imposition of fees and charges, the collection of | 25 | | sufficient revenues and the
proper application of revenues as | 26 | | provided in this paragraph (e) and the
levying, extension and |
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| 1 | | collection of such taxes.
| 2 | | 7. In addition, the resolution authorizing any bonds or | 3 | | notes issued
pursuant to this paragraph (e) may provide for a | 4 | | pledge, assignment, lien or
security interest, for the benefit | 5 | | of the holders of any or all bonds or notes
of the Agency, (i) | 6 | | on any or all revenues derived from the operation of the
joint | 7 | | waterworks or water supply system (including from contracts for | 8 | | the sale
of water) and investment earnings thereon or (ii) on | 9 | | funds or accounts securing
the payment of the bonds or notes as | 10 | | provided in the authorizing resolution.
In addition, such a | 11 | | pledge, assignment, lien or security interest may be made
with | 12 | | respect to any receipts of the Agency which the agreement | 13 | | establishing the
Agency authorizes it to apply to payment of | 14 | | bonds or notes. Any such pledge,
assignment, lien or security | 15 | | interest for the benefit of holders of bonds or
notes shall be | 16 | | valid and binding from the time the bonds
or notes are issued, | 17 | | without any physical delivery or further act, and shall
be | 18 | | valid and binding as against or prior to any claims of any | 19 | | other party
having any claims of any kind against the Agency | 20 | | irrespective of whether
such other parties have notice of such | 21 | | pledge, assignment, lien or security
interest.
| 22 | | A resolution of a Municipal Joint Water Agency authorizing | 23 | | the issuance of
bonds or notes pursuant to this paragraph (e) | 24 | | may provide for the appointment
of a corporate trustee with | 25 | | respect to any or all of such bonds or notes
(which trustee may | 26 | | be any trust company or state or national bank having
the power |
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| 1 | | of a trust company within Illinois). In that event, the | 2 | | resolution
shall prescribe the rights, duties and powers of the | 3 | | trustee to be exercised
for the benefit of the Agency and the | 4 | | protection of the holders of such
bonds or notes. The | 5 | | resolution may provide for the trustee to hold in trust,
invest | 6 | | and use amounts in funds and accounts created as provided in | 7 | | the
resolution. The resolution authorizing the bonds or notes | 8 | | may provide for
the assignment and direct payment to the | 9 | | trustee of amounts owed by public
agencies to the Municipal | 10 | | Joint Action Water Agency under water sales contracts
for | 11 | | application by the trustee to the purposes for which such | 12 | | revenues are
to be used as provided in this paragraph (e) and | 13 | | as provided in the authorizing
resolution. Upon receipt of | 14 | | notice of such assignment, the public agency
shall thereafter | 15 | | make the assigned payments directly to such trustee.
| 16 | | Nothing in this Section authorizes a Joint Action Water | 17 | | Agency to provide
water service directly to residents within a | 18 | | municipality or in territory
within one mile or less of the | 19 | | corporate limits of a municipality that operates
a public water | 20 | | supply unless the municipality has consented in writing to
such | 21 | | service being provided.
| 22 | | (Source: P.A. 94-1007, eff. 1-1-07.)
| 23 | | (5 ILCS 220/3.4) (from Ch. 127, par. 743.4)
| 24 | | Sec. 3.4.
(a) Any 2 or more municipalities or counties, or | 25 | | any combination
thereof, may, by intergovernmental agreement, |
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| 1 | | establish a Municipal Joint
Sewage Treatment Agency to provide | 2 | | for the treatment, carrying off and
disposal of swamp, stagnant | 3 | | or overflow water, sewage, industrial wastes
and other drainage | 4 | | of member municipalities and counties. Any such Agency
shall | 5 | | itself be a municipal corporation and a public body politic and
| 6 | | corporate. | 7 | | (b) The governing body of any Municipal Joint Sewage
| 8 | | Treatment Agency shall be a Board of Directors. The composition | 9 | | and manner
of appointment of the Board of Directors shall be | 10 | | determined pursuant to
the intergovernmental agreement. | 11 | | However, for any Municipal Joint Sewage Treatment Agency | 12 | | established after the effective date of this amendatory Act of | 13 | | the 100th General Assembly, a Director sitting on the Board of | 14 | | Directors shall not be required to be an elected official of a | 15 | | member municipality or county, but may be an appointed official | 16 | | of a member municipality or county. The Board of Directors | 17 | | shall determine
the general policy of the Agency, shall approve | 18 | | the annual budget, shall
make all appropriations, shall approve | 19 | | all contracts, shall adopt all
resolutions providing for the | 20 | | issuance of bonds or notes by the Agency,
shall adopt its | 21 | | bylaws, rules and regulations, and shall have such other
powers | 22 | | and duties as may be prescribed in the intergovernmental | 23 | | agreement.
| 24 | | (c) A Municipal Joint Sewage Treatment Agency may plan, | 25 | | construct,
reconstruct, acquire, own, lease as lessor or | 26 | | lessee, equip, extend,
improve, operate, maintain, repair and |
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| 1 | | finance drainage and sewage
treatment projects, and may enter | 2 | | into agreements or contracts for the
provision of drainage or | 3 | | sewage treatment services for member municipalities or | 4 | | counties.
| 5 | | (d) A Municipal Joint Sewage Treatment Agency shall have | 6 | | such powers
as shall be provided in the agreement establishing | 7 | | it, which may include,
but need not be limited to, the | 8 | | following powers:
| 9 | | (1) to sue or be sued;
| 10 | | (2) to apply for and accept gifts, grants or loans of | 11 | | funds or property,
or financial or other aid, from any | 12 | | public agency or private entity;
| 13 | | (3) to acquire, hold, sell, lease as lessor or lessee, | 14 | | transfer or
dispose of such real or personal property, or | 15 | | interests therein, as it deems
appropriate in the exercise | 16 | | of its powers, and to provide for the use thereof
by any | 17 | | member municipality or county;
| 18 | | (4) to make and execute all contracts and other | 19 | | instruments necessary
or convenient to the exercise of its | 20 | | power; and
| 21 | | (5) to make and execute any contract with the federal | 22 | | government, a
state, or a unit of local government, | 23 | | relating to drainage and the treatment of sewage.
| 24 | | (e) A Municipal Joint Sewage Treatment Agency may, from | 25 | | time to time,
borrow money, and, in evidence of its obligation | 26 | | to repay the borrowing,
issue its negotiable revenue bonds or |
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| 1 | | notes for any of the following purposes:
for paying costs of | 2 | | planning, constructing, reconstructing, acquiring, leasing,
| 3 | | equipping, improving or extending a drainage and sewage | 4 | | treatment project;
for paying other expenses incident to or | 5 | | incurred in connection with such
project; for repaying advances | 6 | | made to or by the Agency for such purposes;
for paying interest | 7 | | on the bonds or notes until the estimated date of
completion of | 8 | | any such project and for such period after the estimated
| 9 | | completion date as the Board of Directors of the Agency shall | 10 | | determine;
for paying financial, legal, administrative and | 11 | | other expenses of the
authorization, issuance, sale or delivery | 12 | | of bonds or notes; for providing
or increasing a debt service | 13 | | reserve fund with respect to any or all of the
Agency's bonds | 14 | | or notes; and for paying, refunding or redeeming any of the
| 15 | | Agency's bonds or notes before, after or at their maturity, | 16 | | including
paying redemption premiums or interest accruing or to | 17 | | accrue on such bonds
or notes being paid or redeemed or for | 18 | | paying any other costs in connection
with any such payment or | 19 | | redemption.
| 20 | | The resolution authorizing the issuance of the bonds or | 21 | | notes shall pledge
and provide for the application of revenues | 22 | | derived from the operation of
the project to payment of the | 23 | | cost of operation and maintenance of the project,
to provision | 24 | | for adequate depreciation, reserve or replacement
funds with | 25 | | respect to the project, the bonds or notes, and to the payment
| 26 | | of principal, premium, if any, and interest on the bonds or |
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| 1 | | notes of the
Agency. All bonds or notes of the Agency shall be | 2 | | revenue bonds or notes
and shall have no claim for payment | 3 | | other than from revenues of the Agency
derived from operation | 4 | | of the drainage and sewage treatment project. Bonds
or notes | 5 | | issued by the Agency shall not constitute an indebtedness of | 6 | | any
member municipality or county.
| 7 | | (Source: P.A. 83-1423 .)
| 8 | | Section 99. Effective date. This Act takes effect upon | 9 | | becoming law.
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