Full Text of HB3551 103rd General Assembly
HB3551enr 103RD GENERAL ASSEMBLY |
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| 1 | | AN ACT concerning finance.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Article 1. | 5 | | Section 1-1. References to Act. This Act may be referred | 6 | | to as the Bond Authorization Act of 2023. | 7 | | Article 5. | 8 | | Section 5-1. The State Finance Act is amended by changing | 9 | | Section 6z-78 as follows: | 10 | | (30 ILCS 105/6z-78)
| 11 | | Sec. 6z-78. Capital Projects Fund; bonded indebtedness; | 12 | | transfers. Money in the Capital Projects Fund shall, if and | 13 | | when the State of Illinois incurs any bonded indebtedness | 14 | | using the bond authorizations for capital projects enacted in | 15 | | Public Act 96-36, Public Act 96-1554, Public Act 97-771, | 16 | | Public Act 98-94, and using the general obligation bond | 17 | | authorizations for capital projects enacted in Public Act | 18 | | 101-30 and in this amendatory Act of the 103rd General | 19 | | Assembly , be set aside and used for the purpose of paying and | 20 | | discharging annually the principal and interest on that bonded |
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| 1 | | indebtedness then due and payable. | 2 | | In addition to other transfers to the General Obligation | 3 | | Bond Retirement and Interest Fund made pursuant to Section 15 | 4 | | of the General Obligation Bond Act, upon each delivery of | 5 | | general obligation bonds for capital projects using bond | 6 | | authorizations enacted in Public Act 96-36, Public Act | 7 | | 96-1554, Public Act 97-771, Public Act 98-94, and Public Act | 8 | | 101-30 (except for amounts in Public Act 101-30 that increase | 9 | | bond authorization under paragraph (1) of subsection (a) of | 10 | | Section 4 and subsection (e) of Section 4 of the General | 11 | | Obligation Bond Act), and this amendatory Act of the 103rd | 12 | | General Assembly, the State Comptroller shall compute and | 13 | | certify to the State Treasurer the total amount of principal | 14 | | of, interest on, and premium, if any, on such bonds during the | 15 | | then current and each succeeding fiscal year. With respect to | 16 | | the interest payable on variable rate bonds, such | 17 | | certifications shall be calculated at the maximum rate of | 18 | | interest that may be payable during the fiscal year, after | 19 | | taking into account any credits permitted in the related | 20 | | indenture or other instrument against the amount of such | 21 | | interest required to be appropriated for the period. | 22 | | (a) Except as provided for in subsection (b), on or before | 23 | | the last day of each month, the State Treasurer and State | 24 | | Comptroller shall transfer from the Capital Projects Fund to | 25 | | the General Obligation Bond Retirement and Interest Fund an | 26 | | amount sufficient to pay the aggregate of the principal of, |
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| 1 | | interest on, and premium, if any, on the bonds payable on their | 2 | | next payment date, divided by the number of monthly transfers | 3 | | occurring between the last previous payment date (or the | 4 | | delivery date if no payment date has yet occurred) and the next | 5 | | succeeding payment date. Interest payable on variable rate | 6 | | bonds shall be calculated at the maximum rate of interest that | 7 | | may be payable for the relevant period, after taking into | 8 | | account any credits permitted in the related indenture or | 9 | | other instrument against the amount of such interest required | 10 | | to be appropriated for that period. Interest for which moneys | 11 | | have already been deposited into the capitalized interest | 12 | | account within the General Obligation Bond Retirement and | 13 | | Interest Fund shall not be included in the calculation of the | 14 | | amounts to be transferred under this subsection.
| 15 | | (b) On or before the last day of each month, the State | 16 | | Treasurer and State Comptroller shall transfer from the | 17 | | Capital Projects Fund to the General Obligation Bond | 18 | | Retirement and Interest Fund an amount sufficient to pay the | 19 | | aggregate of the principal of, interest on, and premium, if | 20 | | any, on the bonds issued prior to January 1, 2012 pursuant to | 21 | | Section 4(d) of the General Obligation Bond Act payable on | 22 | | their next payment date, divided by the number of monthly | 23 | | transfers occurring between the last previous payment date (or | 24 | | the delivery date if no payment date has yet occurred) and the | 25 | | next succeeding payment date. If the available balance in the | 26 | | Capital Projects Fund is not sufficient for the transfer |
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| 1 | | required in this subsection, the State Treasurer and State | 2 | | Comptroller shall transfer the difference from the Road Fund | 3 | | to the General Obligation Bond Retirement and Interest Fund; | 4 | | except that such Road Fund transfers shall constitute a debt | 5 | | of the Capital Projects Fund which shall be repaid according | 6 | | to subsection (c). Interest payable on variable rate bonds | 7 | | shall be calculated at the maximum rate of interest that may be | 8 | | payable for the relevant period, after taking into account any | 9 | | credits permitted in the related indenture or other instrument | 10 | | against the amount of such interest required to be | 11 | | appropriated for that period. Interest for which moneys have | 12 | | already been deposited into the capitalized interest account | 13 | | within the General Obligation Bond Retirement and Interest | 14 | | Fund shall not be included in the calculation of the amounts to | 15 | | be transferred under this subsection. | 16 | | (c) On the first day of any month when the Capital Projects | 17 | | Fund is carrying a debt to the Road Fund due to the provisions | 18 | | of subsection (b), the State Treasurer and State Comptroller | 19 | | shall transfer from the Capital Projects Fund to the Road Fund | 20 | | an amount sufficient to discharge that debt. These transfers | 21 | | to the Road Fund shall continue until the Capital Projects | 22 | | Fund has repaid to the Road Fund all transfers made from the | 23 | | Road Fund pursuant to subsection (b). Notwithstanding any | 24 | | other law to the contrary, transfers to the Road Fund from the | 25 | | Capital Projects Fund shall be made prior to any other | 26 | | expenditures or transfers out of the Capital Projects Fund. |
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| 1 | | (Source: P.A. 101-30, eff. 6-28-19; 101-604, eff. 12-13-19.) | 2 | | Article 10. | 3 | | Section 10-1. The General Obligation Bond Act is amended | 4 | | by changing Sections 2, 3, 6, 7, 7.6, 8, 9, 10, 11, and 16 as | 5 | | follows: | 6 | | (30 ILCS 330/2) (from Ch. 127, par. 652) | 7 | | Sec. 2. Authorization for Bonds. The State of Illinois is | 8 | | authorized to
issue, sell and provide for the retirement of | 9 | | General Obligation Bonds of
the State of Illinois for the | 10 | | categories and specific purposes expressed in
Sections 2 | 11 | | through 8 of this Act, in the total amount of $79,440,839,969 | 12 | | $79,256,839,969 . | 13 | | The bonds authorized in this Section 2 and in Section 16 of | 14 | | this Act are
herein called "Bonds". | 15 | | Of the total amount of Bonds authorized in this Act, up to | 16 | | $2,200,000,000
in aggregate original principal amount may be | 17 | | issued and sold in accordance
with the Baccalaureate Savings | 18 | | Act in the form of General Obligation
College Savings Bonds. | 19 | | Of the total amount of Bonds authorized in this Act, up to | 20 | | $300,000,000 in
aggregate original principal amount may be | 21 | | issued and sold in accordance
with the Retirement Savings Act | 22 | | in the form of General Obligation
Retirement Savings Bonds. | 23 | | Of the total amount of Bonds authorized in this Act, the |
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| 1 | | additional
$10,000,000,000 authorized by Public Act 93-2, the | 2 | | $3,466,000,000 authorized by Public Act 96-43, and the | 3 | | $4,096,348,300 authorized by Public Act 96-1497 shall be used | 4 | | solely as provided in Section 7.2. | 5 | | Of the total amount of Bonds authorized in this Act, the | 6 | | additional $6,000,000,000 authorized by Public Act 100-23 | 7 | | shall be used solely as provided in Section 7.6 and shall be | 8 | | issued by December 31, 2017. | 9 | | Of the total amount of Bonds authorized in this Act, | 10 | | $2,000,000,000 of the additional amount authorized by Public | 11 | | Act 100-587 and by Public Act 102-718 this amendatory Act of | 12 | | the 102nd General Assembly shall be used solely as provided in | 13 | | Section 7.7. | 14 | | The issuance and sale of Bonds pursuant to the General | 15 | | Obligation Bond
Act is an economical and efficient method of | 16 | | financing the long-term capital needs of
the State. This Act | 17 | | will permit the issuance of a multi-purpose General
Obligation | 18 | | Bond with uniform terms and features. This will not only lower
| 19 | | the cost of registration but also reduce the overall cost of | 20 | | issuing debt
by improving the marketability of Illinois | 21 | | General Obligation Bonds. | 22 | | (Source: P.A. 101-30, eff. 6-28-19; 102-718, eff. 5-5-22.)
| 23 | | (30 ILCS 330/3) (from Ch. 127, par. 653)
| 24 | | Sec. 3. Capital facilities. The amount of $18,745,011,269 | 25 | | $18,580,011,269 is authorized
to be used for the acquisition, |
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| 1 | | development, construction, reconstruction,
improvement, | 2 | | demolition, financing, architectural planning and installation | 3 | | of capital
facilities within the State, consisting of | 4 | | buildings, structures, durable
equipment, land, interests in | 5 | | land, and the costs associated with the purchase and | 6 | | implementation of information technology, including but not | 7 | | limited to the purchase of hardware and software, for the | 8 | | following specific purposes:
| 9 | | (a) $6,333,676,500 $6,268,676,500 for educational | 10 | | purposes by
State universities and
public community | 11 | | colleges, the Illinois Community College Board created by | 12 | | the Public
Community College Act and for grants to public | 13 | | community colleges as
authorized by Sections 5-11 and 5-12 | 14 | | of the Public Community College Act;
| 15 | | (b) $1,690,506,300 for correctional purposes at
State
| 16 | | prison and correctional centers;
| 17 | | (c) $688,492,300 for open spaces, recreational and
| 18 | | conservation purposes and the protection of land, | 19 | | including expenditures and grants for the Illinois | 20 | | Conservation Reserve Enhancement Program and for ecosystem | 21 | | restoration and for plugging of abandoned wells;
| 22 | | (d) $1,078,503,900 for State child care facilities, | 23 | | mental
and public health facilities, and facilities for | 24 | | the care of veterans with disabilities and their spouses, | 25 | | and for grants to public and private community health | 26 | | centers, hospitals, and other health care providers for |
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| 1 | | capital facilities;
| 2 | | (e) $7,568,753,300 $7,518,753,300 for use by the | 3 | | State, its
departments, authorities, public corporations, | 4 | | commissions and agencies, including renewable energy | 5 | | upgrades at State facilities;
| 6 | | (f) $818,100 for cargo handling facilities at port | 7 | | districts and for
breakwaters, including harbor entrances, | 8 | | at port districts in conjunction
with facilities for small | 9 | | boats and pleasure crafts;
| 10 | | (g) $425,457,000 $375,457,000 for water resource | 11 | | management
projects, including flood mitigation and State | 12 | | dam and waterway projects;
| 13 | | (h) $16,940,269 for the provision of facilities for | 14 | | food production
research and related instructional and | 15 | | public service activities at the
State universities and | 16 | | public community colleges;
| 17 | | (i) $75,134,700 for grants by the Secretary of State, | 18 | | as
State
Librarian, for central library facilities | 19 | | authorized by Section 8
of the Illinois Library System Act | 20 | | and for grants by the Capital
Development Board to units | 21 | | of local government for public library
facilities;
| 22 | | (j) $25,000,000 for the acquisition, development, | 23 | | construction,
reconstruction, improvement, financing, | 24 | | architectural planning and
installation of capital | 25 | | facilities consisting of buildings, structures,
durable | 26 | | equipment and land for grants to counties, municipalities |
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| 1 | | or public
building commissions with correctional | 2 | | facilities that do not comply with
the minimum standards | 3 | | of the Department of Corrections under Section 3-15-2
of | 4 | | the Unified Code of Corrections;
| 5 | | (k) $5,011,600 for grants by the Department of
| 6 | | Conservation for improvement or expansion of aquarium | 7 | | facilities located on
property owned by a park district;
| 8 | | (l) $599,590,000 to State agencies for grants to
local | 9 | | governments for
the acquisition, financing, architectural | 10 | | planning, development, alteration,
installation, and | 11 | | construction of capital facilities consisting of | 12 | | buildings,
structures, durable equipment, and land; and
| 13 | | (m) $237,127,300 for the Illinois Open Land Trust
| 14 | | Program
as defined by the
Illinois Open Land Trust Act.
| 15 | | The amounts authorized above for capital facilities may be | 16 | | used
for the acquisition, installation, alteration, | 17 | | construction, or
reconstruction of capital facilities and for | 18 | | the purchase of equipment
for the purpose of major capital | 19 | | improvements which will reduce energy
consumption in State | 20 | | buildings or facilities.
| 21 | | (Source: P.A. 100-587, eff. 6-4-18; 101-30, eff. 6-28-19.)
| 22 | | (30 ILCS 330/6) (from Ch. 127, par. 656)
| 23 | | Sec. 6. Anti-Pollution.
| 24 | | (a) The amount of $611,814,300 $581,814,300 is authorized | 25 | | for
allocation by the
Environmental Protection Agency for |
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| 1 | | grants or loans to units of local
government, including grants | 2 | | to disadvantaged communities without modern sewage systems, in | 3 | | such amounts, at such times and for such purpose as the Agency
| 4 | | deems necessary or desirable for the planning, financing, and | 5 | | construction of
sewage treatment works and solid waste | 6 | | disposal facilities and for
making of deposits into the Water | 7 | | Revolving Fund and
the U.S. Environmental Protection Fund to | 8 | | provide assistance in accordance
with the provisions of Title | 9 | | IV-A of the Environmental Protection Act.
| 10 | | (b) The amount of $236,500,000 is authorized for | 11 | | allocation by the
Environmental Protection Agency for payment | 12 | | of claims submitted to the State
and approved for payment | 13 | | under the Leaking Underground Storage Tank Program
established | 14 | | in Title XVI of the Environmental Protection Act.
| 15 | | (Source: P.A. 101-30, eff. 6-28-19.)
| 16 | | (30 ILCS 330/7) (from Ch. 127, par. 657) | 17 | | Sec. 7. Coal and Energy Development. The amount of | 18 | | $212,700,000 $242,700,000 is
authorized to be used by the | 19 | | Department of Commerce and Economic Opportunity (formerly | 20 | | Department of Commerce and Community Affairs) for
coal and | 21 | | energy development purposes, pursuant to Sections 2, 3 and 3.1 | 22 | | of the
Illinois Coal and Energy Development Bond Act, for the | 23 | | purposes
specified
in Section 8.1 of the Energy Conservation | 24 | | and Coal Development Act, for
the purposes specified in | 25 | | Section 605-332 of the Department of Commerce and
Economic |
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| 1 | | Opportunity Law of the Civil Administrative Code of Illinois, | 2 | | and for the purpose of facility cost reports prepared pursuant | 3 | | to Sections 1-58 or 1-75(d)(4) of the Illinois Power Agency | 4 | | Act and for the purpose of development costs pursuant to | 5 | | Section 8.1 of the Energy Conservation and Coal Development | 6 | | Act. Of this
amount: | 7 | | (a) $128,500,000 $143,500,000 is
for the specific purposes | 8 | | of acquisition,
development, construction, reconstruction, | 9 | | improvement, financing,
architectural and technical planning | 10 | | and installation of capital facilities
consisting of | 11 | | buildings, structures, durable equipment, and land for the
| 12 | | purpose of capital development of coal resources within the | 13 | | State and for the
purposes specified in Section 8.1 of the | 14 | | Energy Conservation and Coal
Development Act; | 15 | | (b) $20,000,000 $35,000,000 is for the purposes specified | 16 | | in Section 8.1 of the
Energy
Conservation and Coal Development | 17 | | Act and making grants to generating stations and coal | 18 | | gasification facilities within the State of Illinois and to | 19 | | the owner of a
generating station
located in Illinois and | 20 | | having at least three coal-fired generating units
with | 21 | | accredited summer capability greater than 500 megawatts each | 22 | | at such
generating station as provided in Section 6 of that | 23 | | Bond Act; | 24 | | (c) $13,200,000 is for research, development and | 25 | | demonstration
of forms of energy
other than that derived from | 26 | | coal, either on or off State property; |
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| 1 | | (d) $0 is for the purpose of providing financial | 2 | | assistance to
new
electric generating facilities as provided | 3 | | in Section 605-332 of the Department
of Commerce and Economic | 4 | | Opportunity Law of the Civil Administrative Code of
Illinois; | 5 | | and | 6 | | (e) $51,000,000 is for the purpose of facility cost | 7 | | reports prepared for not more than one facility pursuant to | 8 | | Section 1-75(d)(4) of the Illinois Power Agency Act and not | 9 | | more than one facility pursuant to Section 1-58 of the | 10 | | Illinois Power Agency Act and for the purpose of up to | 11 | | $6,000,000 of development costs pursuant to Section 8.1 of the | 12 | | Energy Conservation and Coal Development Act. | 13 | | (Source: P.A. 98-94, eff. 7-17-13; 98-781, eff. 7-22-14.) | 14 | | (30 ILCS 330/7.6) | 15 | | Sec. 7.6. Income Tax Proceed Bonds. | 16 | | (a) As used in this Act, "Income Tax Proceed Bonds" means | 17 | | Bonds (i) authorized by Public Act 100-23 this amendatory Act | 18 | | of the 100th General Assembly or any other Public Act of the | 19 | | 100th or 101st General Assembly authorizing the issuance of | 20 | | Income Tax Proceed Bonds and (ii) used for the payment of | 21 | | unpaid obligations of the State as incurred from time to time | 22 | | and as authorized by the General Assembly. | 23 | | (b) Income Tax Proceed Bonds in the amount of | 24 | | $6,000,000,000 are hereby authorized to be used for the | 25 | | purpose of paying vouchers incurred by the State prior to July |
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| 1 | | 1, 2017. Additional Income Tax Proceed Bonds in the amount of | 2 | | $1,200,000,000 are hereby authorized to be used for the | 3 | | purpose of paying vouchers incurred by the State and accruing | 4 | | interest payable by the State prior to the date on which the | 5 | | Income Tax Proceed Bonds are issued. | 6 | | (c) The Income Tax Bond Fund is hereby created as a special | 7 | | fund in the State treasury. All moneys from the proceeds of the | 8 | | sale of the Income Tax Proceed Bonds, less the amounts | 9 | | authorized in the Bond Sale Order to be directly paid out for | 10 | | bond sale expenses under Section 8, shall be deposited into | 11 | | the Income Tax Bond Fund. All moneys in the Income Tax Bond | 12 | | Fund shall be used for the purpose of paying vouchers incurred | 13 | | by the State prior to July 1, 2017 or for paying vouchers | 14 | | incurred by the State more than 90 days prior to the date on | 15 | | which the Income Tax Proceed Bonds are issued. For the purpose | 16 | | of paying such vouchers, the Comptroller has the authority to | 17 | | transfer moneys from the Income Tax Bond Fund to general funds | 18 | | and the Health Insurance Reserve Fund. "General funds" has the | 19 | | meaning provided in Section 50-40 of the State Budget Law.
| 20 | | (Source: P.A. 100-23, eff. 7-6-17; 101-30, eff. 6-28-19; | 21 | | 101-604, eff. 12-13-19.)
| 22 | | (30 ILCS 330/8) (from Ch. 127, par. 658)
| 23 | | Sec. 8. Bond sale expenses. | 24 | | (a)
An amount not to exceed
0.5 percent of the
principal | 25 | | amount of the proceeds of sale of each bond sale is authorized
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| 1 | | to be used to pay the reasonable costs of each issuance and | 2 | | sale , including, without limitation, underwriter's discounts | 3 | | and fees, but excluding bond insurance,
of State of
Illinois | 4 | | general obligation bonds authorized and sold pursuant to this | 5 | | Act, including, without limitation, underwriter's discounts | 6 | | and fees, but excluding bond insurance; provided that no | 7 | | salaries of State employees or other State office operating | 8 | | expenses shall be paid out of non-appropriated proceeds, and | 9 | | provided further that the percent shall be 1.0% for each sale | 10 | | of "Build America Bonds" or "Qualified School Construction | 11 | | Bonds" as defined in subsections (d) and (e) of Section 9, | 12 | | respectively. The Governor's Office of Management and Budget | 13 | | shall compile a summary of all costs of issuance on each sale | 14 | | (including both costs paid out of proceeds and those paid out | 15 | | of appropriated funds) and post that summary on its web site | 16 | | within 20 business days after the issuance of
the Bonds. The | 17 | | summary shall include, as applicable, the respective | 18 | | percentages of participation and compensation of each | 19 | | underwriter that is a member of the underwriting syndicate, | 20 | | legal counsel, financial advisors, and other professionals for | 21 | | the bond issue and an identification of all costs of issuance | 22 | | paid to minority-owned businesses, women-owned businesses, and | 23 | | businesses owned by persons with disabilities. The terms | 24 | | "minority-owned businesses", "women-owned businesses", and | 25 | | "business owned by a person with a disability" have the | 26 | | meanings given to those terms in the Business Enterprise for |
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| 1 | | Minorities, Women, and Persons with Disabilities Act. The | 2 | | summary That posting shall be posted maintained on the web | 3 | | site for a period of at least 30 days. In addition, the | 4 | | Governor's Office of Management and Budget shall provide a | 5 | | written copy of each summary of costs to the Speaker and | 6 | | Minority Leader of the House of Representatives, the President | 7 | | and Minority Leader of the Senate, and the Commission on | 8 | | Government Forecasting and Accountability within 20 business | 9 | | days after each issuance of the Bonds. In addition, the | 10 | | Governor's Office of Management and Budget shall provide | 11 | | copies of all contracts under which any costs of issuance are | 12 | | paid or to be paid to the Commission on Government Forecasting | 13 | | and Accountability within 20 business days after the issuance | 14 | | of Bonds for which those costs are paid or to be paid. Instead | 15 | | of filing a second or subsequent copy of the same contract, the | 16 | | Governor's Office of Management and Budget may file a | 17 | | statement that specified costs are paid under specified | 18 | | contracts filed earlier with the Commission. | 19 | | (b) The Director of the Governor's Office of Management | 20 | | and Budget shall not, in connection with the issuance of | 21 | | Bonds, contract with any underwriter, financial advisor, or | 22 | | attorney unless that underwriter, financial advisor, or | 23 | | attorney certifies that the underwriter, financial advisor, or | 24 | | attorney has not and will not pay a contingent fee, whether | 25 | | directly or indirectly, to a third party for having promoted | 26 | | the selection of the underwriter, financial advisor, or |
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| 1 | | attorney for that contract. In the event that the Governor's | 2 | | Office of Management and Budget determines that an | 3 | | underwriter, financial advisor, or attorney has filed a false | 4 | | certification with respect to the payment of contingent fees, | 5 | | the Governor's Office of Management and Budget shall not | 6 | | contract with that underwriter, financial advisor, or | 7 | | attorney, or with any firm employing any person who signed | 8 | | false certifications, for a period of 2 calendar years, | 9 | | beginning with the date the determination is made. The | 10 | | validity of Bonds issued under such circumstances of violation | 11 | | pursuant to this Section shall not be affected.
| 12 | | (Source: P.A. 100-391, eff. 8-25-17.)
| 13 | | (30 ILCS 330/9) (from Ch. 127, par. 659)
| 14 | | Sec. 9. Conditions for issuance and sale of Bonds; | 15 | | requirements for
Bonds. | 16 | | (a) Except as otherwise provided in this subsection, | 17 | | subsection (h), and subsection (i), Bonds shall be issued and | 18 | | sold from time to time, in one or
more series, in such amounts | 19 | | and at such prices as may be directed by the
Governor, upon | 20 | | recommendation by the Director of the
Governor's Office of | 21 | | Management and Budget.
Bonds shall be in such form (either | 22 | | coupon, registered or book entry), in
such denominations, | 23 | | payable within 25 years from their date, subject to such
terms | 24 | | of redemption with or without premium, bear interest payable | 25 | | at
such times and at such fixed or variable rate or rates, and |
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| 1 | | be dated
as shall be fixed and determined by the Director of
| 2 | | the
Governor's Office of Management and Budget
in the order | 3 | | authorizing the issuance and sale
of any series of Bonds, | 4 | | which order shall be approved by the Governor
and is herein | 5 | | called a "Bond Sale Order"; provided however, that interest
| 6 | | payable at fixed or variable rates shall not exceed that | 7 | | permitted in the
Bond Authorization Act, as now or hereafter | 8 | | amended. Bonds shall be
payable at such place or places, | 9 | | within or without the State of Illinois, and
may be made | 10 | | registrable as to either principal or as to both principal and
| 11 | | interest, as shall be specified in the Bond Sale Order. Bonds | 12 | | may be callable
or subject to purchase and retirement or | 13 | | tender and remarketing as fixed
and determined in the Bond | 14 | | Sale Order. Bonds, other than Bonds issued under Section 3 of | 15 | | this Act for the costs associated with the purchase and | 16 | | implementation of information technology, (i) except for | 17 | | refunding Bonds satisfying the requirements of Section 16 of | 18 | | this Act must be issued with principal or mandatory redemption | 19 | | amounts in equal amounts, with the first maturity issued | 20 | | occurring within the fiscal year in which the Bonds are issued | 21 | | or within the next succeeding fiscal year and (ii) must mature | 22 | | or be subject to mandatory redemption each fiscal year | 23 | | thereafter up to 25 years, except for refunding Bonds | 24 | | satisfying the requirements of Section 16 of this Act and sold | 25 | | during fiscal year 2009, 2010, or 2011 which must mature or be | 26 | | subject to mandatory redemption each fiscal year thereafter up |
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| 1 | | to 16 years. Bonds issued under Section 3 of this Act for the | 2 | | costs associated with the purchase and implementation of | 3 | | information technology must be issued with principal or | 4 | | mandatory redemption amounts in equal amounts, with the first | 5 | | maturity issued occurring with the fiscal year in which the | 6 | | respective bonds are issued or with the next succeeding fiscal | 7 | | year, with the respective bonds issued maturing or subject to | 8 | | mandatory redemption each fiscal year thereafter up to 10 | 9 | | years. Notwithstanding any provision of this Act to the | 10 | | contrary, the Bonds authorized by Public Act 96-43 shall be | 11 | | payable within 5 years from their date and must be issued with | 12 | | principal or mandatory redemption amounts in equal amounts, | 13 | | with payment of principal or mandatory redemption beginning in | 14 | | the first fiscal year following the fiscal year in which the | 15 | | Bonds are issued.
| 16 | | Notwithstanding any provision of this Act to the contrary, | 17 | | the Bonds authorized by Public Act 96-1497 shall be payable | 18 | | within 8 years from their date and shall be issued with payment | 19 | | of maturing principal or scheduled mandatory redemptions in | 20 | | accordance with the following schedule, except the following | 21 | | amounts shall be prorated if less than the total additional | 22 | | amount of Bonds authorized by Public Act 96-1497 are issued: | 23 | | Fiscal Year After Issuance Amount | 24 | | 1-2 $0 | 25 | | 3 $110,712,120 | 26 | | 4 $332,136,360 |
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| 1 | | 5 $664,272,720 | 2 | | 6-8 $996,409,080 | 3 | | Notwithstanding any provision of this Act to the contrary, | 4 | | Income Tax Proceed Bonds issued under Section 7.6 shall be | 5 | | payable 12 years from the date of sale and shall be issued with | 6 | | payment of principal or mandatory redemption. | 7 | | In the case of any series of Bonds bearing interest at a | 8 | | variable interest
rate ("Variable Rate Bonds"), in lieu of | 9 | | determining the rate or rates at which
such series of Variable | 10 | | Rate Bonds shall bear interest and the price or prices
at which | 11 | | such Variable Rate Bonds shall be initially sold or remarketed | 12 | | (in the
event of purchase and subsequent resale), the Bond | 13 | | Sale Order may provide that
such interest rates and prices may | 14 | | vary from time to time depending on criteria
established in | 15 | | such Bond Sale Order, which criteria may include, without
| 16 | | limitation, references to indices or variations in interest | 17 | | rates as may, in
the judgment of a remarketing agent, be | 18 | | necessary to cause Variable Rate Bonds
of such series to be | 19 | | remarketable from time to time at a price equal to their
| 20 | | principal amount, and may provide for appointment of a bank, | 21 | | trust company,
investment bank, or other financial institution | 22 | | to serve as remarketing agent
in that connection.
The Bond | 23 | | Sale Order may provide that alternative interest rates or | 24 | | provisions
for establishing alternative interest rates, | 25 | | different security or claim
priorities, or different call or | 26 | | amortization provisions will apply during
such times as |
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| 1 | | Variable Rate Bonds of any series are held by a person | 2 | | providing
credit or liquidity enhancement arrangements for | 3 | | such Bonds as authorized in
subsection (b) of this Section.
| 4 | | The Bond Sale Order may also provide for such variable | 5 | | interest rates to be
established pursuant to a process | 6 | | generally known as an auction rate process
and may provide for | 7 | | appointment of one or more financial institutions to serve
as | 8 | | auction agents and broker-dealers in connection with the | 9 | | establishment of
such interest rates and the sale and | 10 | | remarketing of such Bonds.
| 11 | | (b) In connection with the issuance of any series of | 12 | | Bonds, the State may
enter into arrangements to provide | 13 | | additional security and liquidity for such
Bonds, including, | 14 | | without limitation, bond or interest rate insurance or
letters | 15 | | of credit, lines of credit, bond purchase contracts, or other
| 16 | | arrangements whereby funds are made available to retire or | 17 | | purchase Bonds,
thereby assuring the ability of owners of the | 18 | | Bonds to sell or redeem their
Bonds. The State may enter into | 19 | | contracts and may agree to pay fees to persons
providing such | 20 | | arrangements, but only under circumstances where the Director | 21 | | of
the
Governor's Office of Management and Budget certifies | 22 | | that he or she reasonably expects the total
interest paid or to | 23 | | be paid on the Bonds, together with the fees for the
| 24 | | arrangements (being treated as if interest), would not, taken | 25 | | together, cause
the Bonds to bear interest, calculated to | 26 | | their stated maturity, at a rate in
excess of the rate that the |
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| 1 | | Bonds would bear in the absence of such
arrangements.
| 2 | | The State may, with respect to Bonds issued or anticipated | 3 | | to be issued,
participate in and enter into arrangements with | 4 | | respect to interest rate
protection or exchange agreements, | 5 | | guarantees, or financial futures contracts
for the purpose of | 6 | | limiting, reducing, or managing interest rate exposure.
The | 7 | | authority granted under this paragraph, however, shall not | 8 | | increase the principal amount of Bonds authorized to be issued | 9 | | by law. The arrangements may be executed and delivered by the | 10 | | Director
of the
Governor's Office of Management and Budget on | 11 | | behalf of the State. Net payments for such
arrangements shall | 12 | | constitute interest on the Bonds and shall be paid from the
| 13 | | General Obligation Bond Retirement and Interest Fund. The | 14 | | Director of the
Governor's Office of Management and Budget | 15 | | shall at least annually certify to the Governor and
the
State | 16 | | Comptroller his or her estimate of the amounts of such net | 17 | | payments to
be included in the calculation of interest | 18 | | required to be paid by the State.
| 19 | | (c) Prior to the issuance of any Variable Rate Bonds | 20 | | pursuant to
subsection (a), the Director of the
Governor's | 21 | | Office of Management and Budget shall adopt an
interest rate | 22 | | risk management policy providing that the amount of the | 23 | | State's
variable rate exposure with respect to Bonds shall not | 24 | | exceed 20%. This policy
shall remain in effect while any Bonds | 25 | | are outstanding and the issuance of
Bonds
shall be subject to | 26 | | the terms of such policy. The terms of this policy may be
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| 1 | | amended from time to time by the Director of the
Governor's | 2 | | Office of Management and Budget but in no
event shall any | 3 | | amendment cause the permitted level of the State's variable
| 4 | | rate exposure with respect to Bonds to exceed 20%.
| 5 | | (d) "Build America Bonds" in this Section means Bonds | 6 | | authorized by Section 54AA of the Internal Revenue Code of | 7 | | 1986, as amended ("Internal Revenue Code"), and bonds issued | 8 | | from time to time to refund or continue to refund "Build | 9 | | America Bonds". | 10 | | (e) Notwithstanding any other provision of this Section, | 11 | | Qualified School Construction Bonds shall be issued and sold | 12 | | from time to time, in one or more series, in such amounts and | 13 | | at such prices as may be directed by the Governor, upon | 14 | | recommendation by the Director of the Governor's Office of | 15 | | Management and Budget. Qualified School Construction Bonds | 16 | | shall be in such form (either coupon, registered or book | 17 | | entry), in such denominations, payable within 25 years from | 18 | | their date, subject to such terms of redemption with or | 19 | | without premium, and if the Qualified School Construction | 20 | | Bonds are issued with a supplemental coupon, bear interest | 21 | | payable at such times and at such fixed or variable rate or | 22 | | rates, and be dated as shall be fixed and determined by the | 23 | | Director of the Governor's Office of Management and Budget in | 24 | | the order authorizing the issuance and sale of any series of | 25 | | Qualified School Construction Bonds, which order shall be | 26 | | approved by the Governor and is herein called a "Bond Sale |
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| 1 | | Order"; except that interest payable at fixed or variable | 2 | | rates, if any, shall not exceed that permitted in the Bond | 3 | | Authorization Act, as now or hereafter amended. Qualified | 4 | | School Construction Bonds shall be payable at such place or | 5 | | places, within or without the State of Illinois, and may be | 6 | | made registrable as to either principal or as to both | 7 | | principal and interest, as shall be specified in the Bond Sale | 8 | | Order. Qualified School Construction Bonds may be callable or | 9 | | subject to purchase and retirement or tender and remarketing | 10 | | as fixed and determined in the Bond Sale Order. Qualified | 11 | | School Construction Bonds must be issued with principal or | 12 | | mandatory redemption amounts or sinking fund payments into the | 13 | | General Obligation Bond Retirement and Interest Fund (or | 14 | | subaccount therefor) in equal amounts, with the first maturity | 15 | | issued, mandatory redemption payment or sinking fund payment | 16 | | occurring within the fiscal year in which the Qualified School | 17 | | Construction Bonds are issued or within the next succeeding | 18 | | fiscal year, with Qualified School Construction Bonds issued | 19 | | maturing or subject to mandatory redemption or with sinking | 20 | | fund payments thereof deposited each fiscal year thereafter up | 21 | | to 25 years. Sinking fund payments set forth in this | 22 | | subsection shall be permitted only to the extent authorized in | 23 | | Section 54F of the Internal Revenue Code or as otherwise | 24 | | determined by the Director of the Governor's Office of | 25 | | Management and Budget. "Qualified School Construction Bonds" | 26 | | in this subsection means Bonds authorized by Section 54F of |
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| 1 | | the Internal Revenue Code and for bonds issued from time to | 2 | | time to refund or continue to refund such "Qualified School | 3 | | Construction Bonds". | 4 | | (f) Beginning with the next issuance by the Governor's | 5 | | Office of Management and Budget to the Procurement Policy | 6 | | Board of a request for qualifications quotation for the | 7 | | purpose of formulating a new pool of qualified underwriters | 8 | | underwriting banks list , all entities responding to such a | 9 | | request for qualifications quotation for inclusion on that | 10 | | list shall provide a written report to the Governor's Office | 11 | | of Management and Budget and the Illinois Comptroller. The | 12 | | written report submitted to the Comptroller shall (i) be | 13 | | published on the Comptroller's Internet website and (ii) be | 14 | | used by the Governor's Office of Management and Budget for the | 15 | | purposes of scoring such a request for qualifications | 16 | | quotation . The written report, at a minimum, shall: | 17 | | (1) disclose whether, within the past 3 months, | 18 | | pursuant to its credit default swap market-making | 19 | | activities, the firm has entered into any State of | 20 | | Illinois credit default swaps ("CDS"); | 21 | | (2) include, in the event of State of Illinois CDS | 22 | | activity, disclosure of the firm's cumulative notional | 23 | | volume of State of Illinois CDS trades and the firm's | 24 | | outstanding gross and net notional amount of State of | 25 | | Illinois CDS, as of the end of the current 3-month period; | 26 | | (3) indicate, pursuant to the firm's proprietary |
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| 1 | | trading activities, disclosure of whether the firm, within | 2 | | the past 3 months, has entered into any proprietary trades | 3 | | for its own account in State of Illinois CDS; | 4 | | (4) include, in the event of State of Illinois | 5 | | proprietary trades, disclosure of the firm's outstanding | 6 | | gross and net notional amount of proprietary State of | 7 | | Illinois CDS and whether the net position is short or long | 8 | | credit protection, as of the end of the current 3-month | 9 | | period; | 10 | | (5) list all time periods during the past 3 months | 11 | | during which the firm held net long or net short State of | 12 | | Illinois CDS proprietary credit protection positions, the | 13 | | amount of such positions, and whether those positions were | 14 | | net long or net short credit protection positions; and | 15 | | (6) indicate whether, within the previous 3 months, | 16 | | the firm released any publicly available research or | 17 | | marketing reports that reference State of Illinois CDS and | 18 | | include those research or marketing reports as | 19 | | attachments. | 20 | | (g) All entities included on a Governor's Office of | 21 | | Management and Budget's pool of qualified underwriters | 22 | | underwriting banks list shall, as soon as possible after March | 23 | | 18, 2011 (the effective date of Public Act 96-1554), but not | 24 | | later than January 21, 2011, and on a quarterly fiscal basis | 25 | | thereafter, provide a written report to the Governor's Office | 26 | | of Management and Budget and the Illinois Comptroller. The |
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| 1 | | written reports submitted to the Comptroller shall be | 2 | | published on the Comptroller's Internet website. The written | 3 | | reports, at a minimum, shall: | 4 | | (1) disclose whether, within the past 3 months, | 5 | | pursuant to its credit default swap market-making | 6 | | activities, the firm has entered into any State of | 7 | | Illinois credit default swaps ("CDS"); | 8 | | (2) include, in the event of State of Illinois CDS | 9 | | activity, disclosure of the firm's cumulative notional | 10 | | volume of State of Illinois CDS trades and the firm's | 11 | | outstanding gross and net notional amount of State of | 12 | | Illinois CDS, as of the end of the current 3-month period; | 13 | | (3) indicate, pursuant to the firm's proprietary | 14 | | trading activities, disclosure of whether the firm, within | 15 | | the past 3 months, has entered into any proprietary trades | 16 | | for its own account in State of Illinois CDS; | 17 | | (4) include, in the event of State of Illinois | 18 | | proprietary trades, disclosure of the firm's outstanding | 19 | | gross and net notional amount of proprietary State of | 20 | | Illinois CDS and whether the net position is short or long | 21 | | credit protection, as of the end of the current 3-month | 22 | | period; | 23 | | (5) list all time periods during the past 3 months | 24 | | during which the firm held net long or net short State of | 25 | | Illinois CDS proprietary credit protection positions, the | 26 | | amount of such positions, and whether those positions were |
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| 1 | | net long or net short credit protection positions; and | 2 | | (6) indicate whether, within the previous 3 months, | 3 | | the firm released any publicly available research or | 4 | | marketing reports that reference State of Illinois CDS and | 5 | | include those research or marketing reports as | 6 | | attachments. | 7 | | (h) Notwithstanding any other provision of this Section, | 8 | | for purposes of maximizing market efficiencies and cost | 9 | | savings, Income Tax Proceed Bonds may be issued and sold from | 10 | | time to time, in one or more series, in such amounts and at | 11 | | such prices as may be directed by the Governor, upon | 12 | | recommendation by the Director of the Governor's Office of | 13 | | Management and Budget. Income Tax Proceed Bonds shall be in | 14 | | such form, either coupon, registered, or book entry, in such | 15 | | denominations, shall bear interest payable at such times and | 16 | | at such fixed or variable rate or rates, and be dated as shall | 17 | | be fixed and determined by the Director of the Governor's | 18 | | Office of Management and Budget in the order authorizing the | 19 | | issuance and sale of any series of Income Tax Proceed Bonds, | 20 | | which order shall be approved by the Governor and is herein | 21 | | called a "Bond Sale Order"; provided, however, that interest | 22 | | payable at fixed or variable rates shall not exceed that | 23 | | permitted in the Bond Authorization Act. Income Tax Proceed | 24 | | Bonds shall be payable at such place or places, within or | 25 | | without the State of Illinois, and may be made registrable as | 26 | | to either principal or as to both principal and interest, as |
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| 1 | | shall be specified in the Bond Sale Order.
Income Tax Proceed | 2 | | Bonds may be callable or subject to purchase and retirement or | 3 | | tender and remarketing as fixed and determined in the Bond | 4 | | Sale Order. | 5 | | (i) Notwithstanding any other provision of this Section, | 6 | | for purposes of maximizing market efficiencies and cost | 7 | | savings, State Pension Obligation Acceleration Bonds may be | 8 | | issued and sold from time to time, in one or more series, in | 9 | | such amounts and at such prices as may be directed by the | 10 | | Governor, upon recommendation by the Director of the | 11 | | Governor's Office of Management and Budget. State Pension | 12 | | Obligation Acceleration Bonds shall be in such form, either | 13 | | coupon, registered, or book entry, in such denominations, | 14 | | shall bear interest payable at such times and at such fixed or | 15 | | variable rate or rates, and be dated as shall be fixed and | 16 | | determined by the Director of the Governor's Office of | 17 | | Management and Budget in the order authorizing the issuance | 18 | | and sale of any series of State Pension Obligation | 19 | | Acceleration Bonds, which order shall be approved by the | 20 | | Governor and is herein called a "Bond Sale Order"; provided, | 21 | | however, that interest payable at fixed or variable rates | 22 | | shall not exceed that permitted in the Bond Authorization Act. | 23 | | State Pension Obligation Acceleration Bonds shall be payable | 24 | | at such place or places, within or without the State of | 25 | | Illinois, and may be made registrable as to either principal | 26 | | or as to both principal and interest, as shall be specified in |
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| 1 | | the Bond Sale Order.
State Pension Obligation Acceleration | 2 | | Bonds may be callable or subject to purchase and retirement or | 3 | | tender and remarketing as fixed and determined in the Bond | 4 | | Sale Order. | 5 | | (Source: P.A. 100-23, Article 25, Section 25-5, eff. 7-6-17; | 6 | | 100-23, Article 75, Section 75-10, eff. 7-6-17; 100-587, | 7 | | Article 60, Section 60-5, eff. 6-4-18; 100-587, Article 110, | 8 | | Section 110-15, eff. 6-4-18; 100-863, eff. 8-14-18; 101-30, | 9 | | eff. 6-28-19; 101-81, eff. 7-12-19.)
| 10 | | (30 ILCS 330/10) (from Ch. 127, par. 660)
| 11 | | Sec. 10. Execution of Bonds. Bonds shall be signed by the | 12 | | Governor
and attested by the Secretary of State under the | 13 | | printed facsimile seal of the
State and countersigned by the | 14 | | State Treasurer by his manual signature or
by his duly | 15 | | authorized deputy. If Bonds are issued in registered form | 16 | | pursuant
to the Registered Bond Act, the signatures of the | 17 | | Governor, the Secretary
of State and the State Treasurer may | 18 | | be printed facsimile signatures. Unless
Bonds are issued in | 19 | | fully registered form, interest coupons with facsimile
| 20 | | signatures of the Governor, Secretary of State and State | 21 | | Treasurer may be
attached to the Bonds. The fact that an | 22 | | officer whose signature or facsimile
thereof appears on a Bond | 23 | | or interest coupon no longer holds such office
at the time the | 24 | | Bond or coupon is delivered shall not invalidate such Bond
or | 25 | | interest coupon.
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| 1 | | (Source: P.A. 83-1490.)
| 2 | | (30 ILCS 330/11) (from Ch. 127, par. 661)
| 3 | | Sec. 11. Sale of Bonds. Except as otherwise provided in | 4 | | this Section,
Bonds shall be sold from time to time pursuant to
| 5 | | notice of sale and public bid or by negotiated sale
in such | 6 | | amounts and at such
times as is directed by the Governor, upon | 7 | | recommendation by the Director of
the
Governor's Office of | 8 | | Management and Budget. At least 25%, based on total principal | 9 | | amount, of all Bonds issued each fiscal year shall be sold | 10 | | pursuant to notice of sale and public bid. At all times during | 11 | | each fiscal year, no more than 75%, based on total principal | 12 | | amount, of the Bonds issued each fiscal year, shall have been | 13 | | sold by negotiated sale. Failure to satisfy the requirements | 14 | | in the preceding 2 sentences shall not affect the validity of | 15 | | any previously issued Bonds; provided that all Bonds | 16 | | authorized by Public Act 96-43 and Public Act 96-1497 shall | 17 | | not be included in determining compliance for any fiscal year | 18 | | with the requirements of the preceding 2 sentences; and | 19 | | further provided that refunding Bonds satisfying the | 20 | | requirements of Section 16 of this Act shall not be subject to | 21 | | the requirements in the preceding 2 sentences.
| 22 | | The If
any Bonds, including refunding Bonds, are to be | 23 | | sold by negotiated
sale, the
Director of the
Governor's Office | 24 | | of Management and Budget
shall comply in the selection of any | 25 | | bond counsel with the
competitive request for proposal process |
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| 1 | | set forth in the Illinois
Procurement Code and all other | 2 | | applicable requirements of that Code. The Director of the | 3 | | Governor's Office of Management and Budget may select any | 4 | | financial advisor from a pool of qualified advisors | 5 | | established pursuant to a request for qualifications. If any | 6 | | Bonds, including refunding Bonds, are to be sold by negotiated | 7 | | sale, the Director of the Governor's Office of Management and | 8 | | Budget shall select any underwriter from a pool of qualified | 9 | | underwriters established pursuant to a request for | 10 | | qualifications.
| 11 | | If Bonds are to be sold pursuant to notice of sale and | 12 | | public bid, the
Director of the
Governor's Office of | 13 | | Management and Budget may, from time to time, as Bonds are to | 14 | | be sold, advertise
the sale of the Bonds in at least 2 daily | 15 | | newspapers, one of which is
published in the City of | 16 | | Springfield and one in the City of Chicago. The sale
of the | 17 | | Bonds shall also be
advertised in the BidBuy eProcurement | 18 | | System or any successor procurement platform maintained volume | 19 | | of the Illinois Procurement Bulletin that is
published by the | 20 | | Chief Procurement Officer for General Services Department of | 21 | | Central Management Services , and shall be published once at | 22 | | least
10 days prior to the date fixed
for the opening of the | 23 | | bids. The Director of the
Governor's Office of Management and | 24 | | Budget may
reschedule the date of sale upon the giving of such | 25 | | additional notice as the
Director deems adequate to inform | 26 | | prospective bidders of
such change; provided, however, that |
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| 1 | | all other conditions of the sale shall
continue as originally | 2 | | advertised.
| 3 | | Executed Bonds shall, upon payment therefor, be delivered | 4 | | to the purchaser,
and the proceeds of Bonds shall be paid into | 5 | | the State Treasury as directed by
Section 12 of this Act.
| 6 | | All Income Tax Proceed Bonds shall comply with this | 7 | | Section. Notwithstanding anything to the contrary, however, | 8 | | for purposes of complying with this Section, Income Tax | 9 | | Proceed Bonds, regardless of the number of series or issuances | 10 | | sold thereunder, shall be
considered a single issue or series. | 11 | | Furthermore, for purposes of complying with the competitive | 12 | | bidding requirements of this Section, the words "at all times" | 13 | | shall not apply to any such sale of the Income Tax Proceed | 14 | | Bonds. The Director of the Governor's Office of Management and | 15 | | Budget shall determine the time and manner of any competitive | 16 | | sale of the Income Tax Proceed Bonds; however, that sale shall | 17 | | under no circumstances take place later than 60 days after the | 18 | | State closes the sale of 75% of the Income Tax Proceed Bonds by | 19 | | negotiated sale. | 20 | | All State Pension Obligation Acceleration Bonds shall | 21 | | comply with this Section. Notwithstanding anything to the | 22 | | contrary, however, for purposes of complying with this | 23 | | Section, State Pension Obligation Acceleration Bonds, | 24 | | regardless of the number of series or issuances sold | 25 | | thereunder, shall be
considered a single issue or series. | 26 | | Furthermore, for purposes of complying with the competitive |
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| 1 | | bidding requirements of this Section, the words "at all times" | 2 | | shall not apply to any such sale of the State Pension | 3 | | Obligation Acceleration Bonds. The Director of the Governor's | 4 | | Office of Management and Budget shall determine the time and | 5 | | manner of any competitive sale of the State Pension Obligation | 6 | | Acceleration Bonds; however, that sale shall under no | 7 | | circumstances take place later than 60 days after the State | 8 | | closes the sale of 75% of the State Pension Obligation | 9 | | Acceleration Bonds by negotiated sale. | 10 | | (Source: P.A. 100-23, Article 25, Section 25-5, eff. 7-6-17; | 11 | | 100-23, Article 75, Section 75-10, eff. 7-6-17; 100-587, | 12 | | Article 60, Section 60-5, eff. 6-4-18; 100-587, Article 110, | 13 | | Section 110-15, eff. 6-4-18; 100-863, eff. 8-4-18; 101-30, | 14 | | eff. 6-28-19; 101-81, eff. 7-12-19.)
| 15 | | (30 ILCS 330/16) (from Ch. 127, par. 666)
| 16 | | Sec. 16. Refunding Bonds. The State of Illinois is | 17 | | authorized to issue,
sell, and provide for the retirement of | 18 | | General Obligation Bonds of the State
of Illinois in the | 19 | | amount of $4,839,025,000, at any time and
from time to time | 20 | | outstanding, for the purpose of refunding
any State of | 21 | | Illinois general obligation Bonds then outstanding, including
| 22 | | (i) the payment of any redemption premium thereon, (ii) any | 23 | | reasonable expenses of
such refunding, (iii) any interest | 24 | | accrued or to accrue to the earliest
or any subsequent date of | 25 | | redemption or maturity of such outstanding
Bonds, (iv) for |
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| 1 | | fiscal year 2019 only, any necessary payments to providers of | 2 | | interest rate exchange agreements in connection with the | 3 | | termination of such agreements by the State in connection with | 4 | | the refunding, and (v) any interest to accrue to the first | 5 | | interest payment on the
refunding Bonds; provided that all | 6 | | non-refunding Bonds in an issue that includes
refunding Bonds | 7 | | shall mature no later
than the final maturity date of Bonds | 8 | | being refunded; provided that no refunding Bonds shall be | 9 | | offered for sale unless the net present value of debt service | 10 | | savings to be achieved by the issuance of the refunding Bonds | 11 | | is 3% or more of the principal amount of the refunded Bonds or | 12 | | the principal amount of the refunding Bonds to be issued; | 13 | | refunding Bonds shall mature within the term of the Bonds | 14 | | being refunded in compliance with paragraph (e) of Section 9 | 15 | | of Article IX of the Illinois Constitution of 1970 and further | 16 | | provided that, except for refunding Bonds sold in fiscal year | 17 | | 2009, 2010, 2011, 2017, 2018, 2019, or 2022, the maturities of | 18 | | the refunding Bonds shall not extend beyond the maturities of | 19 | | the Bonds they refund, so that for each fiscal year in the | 20 | | maturity schedule of a particular issue of refunding Bonds, | 21 | | the total amount of refunding principal maturing and | 22 | | redemption amounts due in that fiscal year and all prior | 23 | | fiscal years in that schedule shall be greater than or equal to | 24 | | the total amount of refunded principal and redemption amounts | 25 | | that had been due over that year and all prior fiscal years | 26 | | prior to the refunding .
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| 1 | | The Governor shall notify the State Treasurer and
| 2 | | Comptroller of such refunding. The proceeds received from the | 3 | | sale
of refunding Bonds shall be used for the retirement at | 4 | | maturity or
redemption of such outstanding Bonds on any | 5 | | maturity or redemption date
and, pending such use, shall be | 6 | | placed in escrow, subject to such terms and
conditions as | 7 | | shall be provided for in the Bond Sale Order relating to the
| 8 | | Refunding Bonds. Proceeds not needed for deposit in an escrow | 9 | | account shall
be deposited in the General Obligation Bond | 10 | | Retirement and Interest Fund.
This Act shall constitute an | 11 | | irrevocable and continuing appropriation of all
amounts | 12 | | necessary to establish an escrow account for the purpose of | 13 | | refunding
outstanding general obligation Bonds and to pay the | 14 | | reasonable expenses of such
refunding and of the issuance and | 15 | | sale of the refunding Bonds. Any such
escrowed proceeds may be | 16 | | invested and reinvested
in direct obligations of the United | 17 | | States of America, maturing at such
time or times as shall be | 18 | | appropriate to assure the
prompt payment, when due, of the | 19 | | principal of and interest and redemption
premium, if any,
on | 20 | | the refunded Bonds. After the terms of the escrow have been | 21 | | fully
satisfied, any remaining balance of such proceeds and | 22 | | interest, income and
profits earned or realized on the | 23 | | investments thereof shall be paid into
the General Revenue | 24 | | Fund. The liability of the State upon the Bonds shall
| 25 | | continue, provided that the holders thereof shall thereafter | 26 | | be entitled to
payment only out of the moneys deposited in the |
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| 1 | | escrow account.
| 2 | | Except as otherwise herein provided in this Section, such | 3 | | refunding Bonds
shall in all other respects be subject to the | 4 | | terms and conditions of this Act.
| 5 | | (Source: P.A. 102-16, eff. 6-17-21.)
| 6 | | Article 15. | 7 | | Section 15-1. The Build Illinois Bond Act is amended by | 8 | | changing Sections 2, 4, 5, 8, and 15 as follows:
| 9 | | (30 ILCS 425/2) (from Ch. 127, par. 2802)
| 10 | | Sec. 2. Authorization for Bonds. The State of Illinois is
| 11 | | authorized to issue, sell and provide for the retirement of | 12 | | limited
obligation bonds, notes and other evidences of | 13 | | indebtedness of the State of
Illinois in the total principal | 14 | | amount of $10,019,681,100 $9,484,681,100
herein called | 15 | | "Bonds". Such amount of authorized Bonds
shall be exclusive of | 16 | | any refunding Bonds issued pursuant to Section 15 of
this Act | 17 | | and exclusive of any Bonds issued pursuant to this Section | 18 | | which
are redeemed, purchased, advance refunded, or defeased | 19 | | in accordance with
paragraph (f) of Section 4 of this Act. | 20 | | Bonds shall be issued for the
categories and specific purposes | 21 | | expressed in Section 4 of this Act.
| 22 | | (Source: P.A. 101-30, eff. 6-28-19; 102-1071, eff. 6-10-22.)
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| 1 | | (30 ILCS 425/4) (from Ch. 127, par. 2804)
| 2 | | Sec. 4. Purposes of Bonds. Bonds shall be issued for the | 3 | | following
purposes and in the approximate amounts as set forth | 4 | | below:
| 5 | | (a) $4,506,094,533 $4,372,761,200 for the expenses of | 6 | | issuance and
sale of Bonds, including bond discounts, and for | 7 | | planning, engineering,
acquisition, construction, | 8 | | reconstruction, development, improvement , demolition, and
| 9 | | extension of the public infrastructure in the State of | 10 | | Illinois, including: the
making of loans or grants to local | 11 | | governments for waste disposal systems,
water and sewer line | 12 | | extensions and water distribution and purification
facilities, | 13 | | rail or air or water port improvements, gas and electric | 14 | | utility
extensions, publicly owned industrial and commercial | 15 | | sites, buildings
used for public administration purposes and | 16 | | other public infrastructure capital
improvements; the making | 17 | | of loans or grants to units of local government
for financing | 18 | | and construction of wastewater facilities, including grants to | 19 | | serve unincorporated areas; refinancing or
retiring bonds | 20 | | issued between January 1, 1987 and January 1,
1990 by home rule | 21 | | municipalities, debt service on which is provided from a
tax | 22 | | imposed by home rule municipalities prior to January 1, 1990 | 23 | | on the
sale of food and drugs pursuant to Section 8-11-1 of the | 24 | | Home Rule
Municipal Retailers' Occupation Tax Act or Section | 25 | | 8-11-5 of the Home
Rule Municipal Service Occupation Tax Act; | 26 | | the making of deposits not
to exceed $70,000,000 in the |
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| 1 | | aggregate into
the Water Pollution Control Revolving Fund to | 2 | | provide assistance in
accordance with the provisions of Title | 3 | | IV-A of the Environmental
Protection Act; the planning, | 4 | | engineering, acquisition,
construction, reconstruction, | 5 | | alteration, expansion, extension and
improvement of highways, | 6 | | bridges, structures separating highways and
railroads, rest | 7 | | areas, interchanges, access
roads to and from any State or | 8 | | local highway and other transportation
improvement projects | 9 | | which are related to
economic development activities; the | 10 | | making of loans or grants for
planning, engineering, | 11 | | rehabilitation, improvement or construction of rail
and | 12 | | transit facilities; the planning, engineering, acquisition,
| 13 | | construction, reconstruction and improvement of watershed, | 14 | | drainage, flood
control, recreation and related improvements | 15 | | and facilities, including
expenses related to land and | 16 | | easement acquisition, relocation, control
structures, channel | 17 | | work and clearing and appurtenant work; the planning, | 18 | | engineering, acquisition, construction, reconstruction and | 19 | | improvement of State facilities and related infrastructure;
| 20 | | the making of Park and Recreational Facilities Construction | 21 | | (PARC) grants;
the making of grants to units of local | 22 | | government for community development capital projects; the | 23 | | making of
grants for improvement and development of zoos and | 24 | | park district field
houses and related structures; and the | 25 | | making of grants for improvement and
development of Navy Pier | 26 | | and related structures.
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| 1 | | (b) $2,474,636,967 $2,122,970,300 for fostering economic | 2 | | development and
increased employment and fostering the well | 3 | | being of the citizens of Illinois through community | 4 | | development, including:
the making of grants for improvement | 5 | | and development of McCormick Place and
related structures; the
| 6 | | planning and construction of a microelectronics research | 7 | | center, including
the planning, engineering, construction, | 8 | | improvement, renovation and
acquisition of buildings, | 9 | | equipment and related utility support systems;
the making of | 10 | | loans to businesses and investments in small businesses;
| 11 | | acquiring real properties for industrial or commercial site | 12 | | development;
acquiring, rehabilitating and reconveying | 13 | | industrial and commercial
properties for the purpose of | 14 | | expanding employment and encouraging private
and other public | 15 | | sector investment in the economy of Illinois; the payment
of | 16 | | expenses associated with siting the Superconducting Super | 17 | | Collider Particle
Accelerator in Illinois and with its | 18 | | acquisition, construction,
maintenance, operation, promotion | 19 | | and support; the making of loans for the
planning, | 20 | | engineering, acquisition, construction, improvement and
| 21 | | conversion of facilities and equipment which will foster the | 22 | | use of
Illinois coal; the payment of expenses associated with | 23 | | the
promotion, establishment, acquisition and operation of | 24 | | small business
incubator facilities and agribusiness research | 25 | | facilities, including the lease,
purchase, renovation, | 26 | | planning, engineering, construction and maintenance of
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| 1 | | buildings, utility support systems and equipment designated | 2 | | for such
purposes and the establishment and maintenance of | 3 | | centralized support
services within such facilities; the | 4 | | making of grants for transportation electrification | 5 | | infrastructure projects that promote use of clean and | 6 | | renewable energy;
the making of capital expenditures and | 7 | | grants for broadband development and for a statewide broadband | 8 | | deployment grant program;
the making of grants to public | 9 | | entities and private persons and entities for community | 10 | | development capital projects;
the making of grants to public | 11 | | entities and private persons and entities for capital projects | 12 | | in the context of grant programs focused on assisting | 13 | | economically depressed areas, expanding affordable housing, | 14 | | supporting the provision of human services, supporting | 15 | | emerging technology enterprises, and supporting minority owned | 16 | | businesses; and the making of grants or loans to
units of local | 17 | | government for Urban Development Action Grant and Housing
| 18 | | Partnership programs.
| 19 | | (c) $2,761,076,600 $2,711,076,600 for the development and
| 20 | | improvement of educational,
scientific, technical and | 21 | | vocational programs and facilities and the
expansion of health | 22 | | and human services for all citizens of Illinois,
including: | 23 | | the making of grants to school districts and not-for-profit | 24 | | organizations for early childhood construction projects | 25 | | pursuant to Section 5-300 of the School Construction Law;
the | 26 | | making of grants to educational institutions for educational, |
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| 1 | | scientific, technical and vocational program equipment and | 2 | | facilities; the making of grants to museums for equipment and | 3 | | facilities; the making of construction and improvement grants | 4 | | and loans
to public libraries
and library systems; the making | 5 | | of grants and loans for planning,
engineering, acquisition and | 6 | | construction
of a new State central library in Springfield; | 7 | | the planning, engineering,
acquisition and construction of an | 8 | | animal and dairy sciences facility; the
planning, engineering, | 9 | | acquisition and construction of a campus and all
related | 10 | | buildings, facilities, equipment and materials for Richland
| 11 | | Community College; the acquisition, rehabilitation and | 12 | | installation of
equipment and materials for scientific and | 13 | | historical surveys; the making of
grants or loans for | 14 | | distribution to eligible vocational education instructional
| 15 | | programs for the upgrading of vocational education programs, | 16 | | school shops
and laboratories, including the acquisition, | 17 | | rehabilitation and
installation of technical equipment and | 18 | | materials; the making of grants or
loans for distribution to | 19 | | eligible local educational agencies for the
upgrading of math | 20 | | and science instructional programs, including the
acquisition | 21 | | of instructional equipment and materials; miscellaneous | 22 | | capital
improvements for universities and community colleges | 23 | | including the
planning, engineering,
construction, | 24 | | reconstruction, remodeling, improvement, repair and
| 25 | | installation of capital facilities and costs of planning, | 26 | | supplies,
equipment, materials, services, and all other |
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| 1 | | required expenses; the
making of grants or loans for repair, | 2 | | renovation and miscellaneous capital
improvements for | 3 | | privately operated colleges and universities and community
| 4 | | colleges, including the planning, engineering, acquisition, | 5 | | construction,
reconstruction, remodeling,
improvement, repair | 6 | | and installation of capital facilities and costs of
planning, | 7 | | supplies, equipment, materials, services, and all other | 8 | | required
expenses; and the making of grants or loans for | 9 | | distribution to local
governments for hospital and other | 10 | | health care facilities including the
planning, engineering, | 11 | | acquisition, construction, reconstruction,
remodeling, | 12 | | improvement, repair and installation of capital facilities and
| 13 | | costs of planning, supplies, equipment, materials, services | 14 | | and all other
required expenses.
| 15 | | (d) $277,873,000 for protection, preservation,
restoration | 16 | | and conservation of environmental and natural resources,
| 17 | | including: the making of grants to soil and water conservation | 18 | | districts
for the planning and implementation of conservation | 19 | | practices and for
funding contracts with the Soil Conservation | 20 | | Service for watershed
planning; the making of grants to units | 21 | | of local government for the
capital development and | 22 | | improvement of recreation areas, including
planning and | 23 | | engineering costs, sewer projects, including planning and
| 24 | | engineering costs and water projects, including planning
and | 25 | | engineering costs, and for the acquisition of open space | 26 | | lands,
including the acquisition of easements and other |
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| 1 | | property interests of less
than fee simple ownership; the | 2 | | making of grants to units of local government through the | 3 | | Illinois Green Infrastructure Grant Program to protect water | 4 | | quality and mitigate flooding; the acquisition and related | 5 | | costs and development
and management of natural heritage | 6 | | lands, including natural areas and areas
providing habitat for
| 7 | | endangered species and nongame wildlife, and buffer area | 8 | | lands; the
acquisition and related costs and development and | 9 | | management of
habitat lands, including forest, wildlife | 10 | | habitat and wetlands;
and the removal and disposition of | 11 | | hazardous substances, including the cost of
project | 12 | | management, equipment, laboratory analysis, and contractual | 13 | | services
necessary for preventative and corrective actions | 14 | | related to the preservation,
restoration and conservation of | 15 | | the environment, including deposits not to
exceed $60,000,000 | 16 | | in the aggregate into the Hazardous Waste Fund and the
| 17 | | Brownfields Redevelopment Fund for improvements in accordance | 18 | | with the
provisions of Titles V and XVII of the Environmental | 19 | | Protection Act.
| 20 | | (e) The amount specified in paragraph (a) above
shall | 21 | | include an amount necessary to pay reasonable expenses of each
| 22 | | issuance and sale of the Bonds, as specified in the related | 23 | | Bond Sale Order
(hereinafter defined).
| 24 | | (f) Any unexpended proceeds from any sale of
Bonds which | 25 | | are held in the Build Illinois Bond Fund may be used to redeem,
| 26 | | purchase, advance refund, or defease any Bonds outstanding.
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| 1 | | (Source: P.A. 101-30, eff. 6-28-19.)
| 2 | | (30 ILCS 425/5) (from Ch. 127, par. 2805)
| 3 | | Sec. 5. Bond sale expenses. | 4 | | (a) Costs for advertising, printing, bond rating, travel | 5 | | of outside vendors, security, delivery, and legal and | 6 | | financial advisory services, initial fees of trustees, | 7 | | registrars, paying agents and other fiduciaries, initial costs | 8 | | of credit or liquidity enhancement arrangements, initial fees | 9 | | of indexing and remarketing agents, and initial costs of | 10 | | interest rate swaps, guarantees or arrangements to limit | 11 | | interest rate risk, as determined in the related Bond Sale | 12 | | Order, may be paid as reasonable costs of issuance and sale | 13 | | from the proceeds of each Bond sale. An amount not to exceed 1% | 14 | | 0.5% of the principal amount of the proceeds of the sale of | 15 | | each bond sale is authorized to be used to pay
additional | 16 | | reasonable costs of each issuance and sale of Bonds authorized | 17 | | and sold
pursuant to this Act, including, without limitation, | 18 | | underwriter's discounts and fees, but excluding bond | 19 | | insurance ; , advertising, printing, bond rating, travel of | 20 | | outside vendors,
security, delivery, legal and financial | 21 | | advisory services, initial fees
of trustees, registrars, | 22 | | paying agents and other fiduciaries, initial costs
of credit | 23 | | or liquidity enhancement arrangements, initial fees of | 24 | | indexing
and remarketing agents, and initial costs of interest | 25 | | rate swaps,
guarantees or arrangements to limit interest rate |
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| 1 | | risk, as determined in
the related Bond Sale Order,
from
the | 2 | | proceeds of each Bond sale, provided that no salaries of State | 3 | | employees or other State office operating expenses shall be | 4 | | paid out of non-appropriated proceeds , and provided further | 5 | | that the percent shall be 1.0% for each sale of "Build America | 6 | | Bonds" as defined in subsection (c) of Section 6 . The | 7 | | Governor's Office of Management and Budget shall compile a | 8 | | summary of all costs of issuance on each sale (including both | 9 | | costs paid out of proceeds and those paid out of appropriated | 10 | | funds) and post that summary on its web site within 20 business | 11 | | days after the issuance of the bonds. That posting shall be | 12 | | maintained on the web site for a period of at least 30 days. In | 13 | | addition, the Governor's Office of Management and Budget shall | 14 | | provide a written copy of each summary of costs to the Speaker | 15 | | and Minority Leader of the House of Representatives, the | 16 | | President and Minority Leader of the Senate, and the | 17 | | Commission on Government Forecasting and Accountability within | 18 | | 20 business days after each issuance of the bonds. The This | 19 | | summary shall include, as applicable, the respective | 20 | | percentage of participation and compensation of each | 21 | | underwriter that is a member of the underwriting syndicate, | 22 | | legal counsel, financial advisors, and other professionals for | 23 | | the Bond issue, and an identification of all costs of issuance | 24 | | paid to minority-owned businesses, women-owned businesses, and | 25 | | businesses owned by persons with disabilities. The terms | 26 | | "minority-owned businesses", "women-owned businesses", and |
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| 1 | | "business owned by a person with a disability" have the | 2 | | meanings given to those terms in the Business Enterprise for | 3 | | Minorities, Women, and Persons with Disabilities Act. The | 4 | | summary shall be posted on the website for a period of at least | 5 | | 30 days. In addition, the Governor's Office of Management and | 6 | | Budget shall provide a written copy of each summary of costs to | 7 | | the Speaker and Minority Leader of the House of | 8 | | Representatives, the President and Minority Leader of the | 9 | | Senate, and the Commission on Government Forecasting and | 10 | | Accountability within 20 business days after each issuance of | 11 | | the bonds. In addition, the Governor's Office of Management | 12 | | and Budget shall provide copies of all contracts under which | 13 | | any costs of issuance are paid or to be paid to the Commission | 14 | | on Government Forecasting and Accountability within 20 | 15 | | business days after the issuance of Bonds for which those | 16 | | costs are paid or to be paid. Instead of filing a second or | 17 | | subsequent copy of the same contract, the Governor's Office of | 18 | | Management and Budget may file a statement that specified | 19 | | costs are paid under specified contracts filed earlier with | 20 | | the Commission.
| 21 | | (b) The Director of the Governor's Office of Management | 22 | | and Budget shall not, in connection with the issuance of | 23 | | Bonds, contract with any underwriter, financial advisor, or | 24 | | attorney unless that underwriter, financial advisor, or | 25 | | attorney certifies that the underwriter, financial advisor, or | 26 | | attorney has not and will not pay a contingent fee, whether |
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| 1 | | directly or indirectly, to any third party for having promoted | 2 | | the selection of the underwriter, financial advisor, or | 3 | | attorney for that contract. In the event that the Governor's | 4 | | Office of Management and Budget determines that an | 5 | | underwriter, financial advisor, or attorney has filed a false | 6 | | certification with respect to the payment of contingent fees, | 7 | | the Governor's Office of Management and Budget shall not | 8 | | contract with that underwriter, financial advisor, or | 9 | | attorney, or with any firm employing any person who signed | 10 | | false certifications, for a period of 2 calendar years, | 11 | | beginning with the date the determination is made. The | 12 | | validity of Bonds issued under such circumstances of violation | 13 | | pursuant to this Section shall not be affected. | 14 | | (Source: P.A. 100-391, eff. 8-25-17.)
| 15 | | (30 ILCS 425/8) (from Ch. 127, par. 2808)
| 16 | | Sec. 8. Sale of Bonds. Bonds, except as otherwise provided | 17 | | in this Section, shall be sold from time to time pursuant to
| 18 | | notice of sale and public bid or by negotiated sale in such | 19 | | amounts and at such
times as are directed by the Governor, upon | 20 | | recommendation by the Director of
the Governor's Office of | 21 | | Management and Budget. At least 25%, based on total principal | 22 | | amount, of all Bonds issued each fiscal year shall be sold | 23 | | pursuant to notice of sale and public bid. At all times during | 24 | | each fiscal year, no more than 75%, based on total principal | 25 | | amount, of the Bonds issued each fiscal year shall have been |
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| 1 | | sold by negotiated sale. Failure to satisfy the requirements | 2 | | in the preceding 2 sentences shall not affect the validity of | 3 | | any previously issued Bonds; and further provided that | 4 | | refunding Bonds satisfying the requirements of Section 15 of | 5 | | this Act shall not be subject to the requirements in the | 6 | | preceding 2 sentences. | 7 | | The If any Bonds are to be sold pursuant to notice of sale | 8 | | and public bid, the Director of the
Governor's Office of | 9 | | Management and Budget shall comply in the selection of any | 10 | | bond counsel with the
competitive request for proposal process | 11 | | set forth in the Illinois
Procurement Code and all other | 12 | | applicable requirements of that Code. The Director of the | 13 | | Governor's Office of Management and Budget may select any | 14 | | financial advisor from a pool of qualified advisors | 15 | | established pursuant to a request for qualifications. If any | 16 | | Bonds, including refunding Bonds, are to be sold by negotiated | 17 | | sale, the Director of the Governor's Office of Management and | 18 | | Budget shall select any underwriters from a pool of qualified | 19 | | underwriters established pursuant to a request for | 20 | | qualifications. | 21 | | If Bonds are to be sold pursuant to notice of sale and | 22 | | public bid, the
Director of the
Governor's Office of | 23 | | Management and Budget may, from time to time, as Bonds are to | 24 | | be sold, advertise
the sale of the Bonds in at least 2 daily | 25 | | newspapers, one of which is
published in the City of | 26 | | Springfield and one in the City of Chicago. The sale
of the |
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| 1 | | Bonds shall also be
advertised in the BidBuy eProcurement | 2 | | System or any successor procurement platform maintained volume | 3 | | of the Illinois Procurement Bulletin that is
published by the | 4 | | Chief Procurement Officer for General Services Department of | 5 | | Central Management Services , and shall be published once at | 6 | | least 10 days prior to the date fixed
for the opening of the | 7 | | bids. The Director of the
Governor's Office of Management and | 8 | | Budget may
reschedule the date of sale upon the giving of such | 9 | | additional notice as the
Director deems adequate to inform | 10 | | prospective bidders of
the change; provided, however, that all | 11 | | other conditions of the sale shall
continue as originally | 12 | | advertised.
Executed Bonds shall, upon payment
therefor, be | 13 | | delivered to the purchaser, and the proceeds of Bonds shall be
| 14 | | paid into the State Treasury as
directed by Section 9 of this | 15 | | Act.
The
Governor or the Director of the
Governor's Office of | 16 | | Management and Budget are is hereby authorized
and directed to | 17 | | execute and
deliver contracts of sale with underwriters and to | 18 | | execute and deliver such
certificates, indentures, agreements | 19 | | and documents, including any
supplements or amendments | 20 | | thereto, and to take such actions and do such
things as shall | 21 | | be necessary or desirable to carry out the purposes of this
| 22 | | Act.
Any action authorized or permitted to be taken by the | 23 | | Director of the
Governor's Office of Management and Budget
| 24 | | pursuant to this Act is hereby authorized to be taken
by any | 25 | | person specifically designated by the Governor to take such | 26 | | action
in a certificate signed by the Governor and filed with |
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| 1 | | the Secretary of State.
| 2 | | (Source: P.A. 100-23, eff. 7-6-17; 100-587, eff. 6-4-18; | 3 | | 101-30, eff. 6-28-19.)
| 4 | | (30 ILCS 425/15) (from Ch. 127, par. 2815)
| 5 | | Sec. 15. Refunding Bonds. Refunding Bonds are hereby | 6 | | authorized for
the purpose of refunding any outstanding Bonds, | 7 | | including the payment of
any redemption premium thereon, any | 8 | | reasonable expenses of such refunding,
and any interest | 9 | | accrued or to accrue to the earliest or any subsequent
date of | 10 | | redemption or maturity of outstanding Bonds; provided that all | 11 | | non-refunding Bonds in an issue that includes
refunding Bonds | 12 | | shall mature no later than the final maturity date of Bonds
| 13 | | being refunded; provided that no refunding Bonds shall be | 14 | | offered for sale unless the net present value of debt service | 15 | | savings to be achieved by the issuance of the refunding Bonds | 16 | | is 3% or more of the principal amount of the refunded Bonds or | 17 | | the principal amount of the refunding Bonds to be issued; and | 18 | | further provided that refunding Bonds shall mature within the | 19 | | term of the Bonds being refunded in compliance with paragraph | 20 | | (e) of Section 9 of Article IX of the Illinois Constitution of | 21 | | 1970 , except for refunding Bonds sold in fiscal years 2009, | 22 | | 2010, 2011, 2017, 2018, 2019, or 2022 the maturities of the | 23 | | refunding Bonds shall not extend beyond the maturities of the | 24 | | Bonds they refund, so that for each fiscal year in the maturity | 25 | | schedule of a particular issue of refunding Bonds, the total |
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| 1 | | amount of refunding principal maturing and redemption amounts | 2 | | due in that fiscal year and all prior fiscal years in that | 3 | | schedule shall be greater than or equal to the total amount of | 4 | | refunded principal and redemption amounts that had been due | 5 | | over that year and all prior fiscal years prior to the | 6 | | refunding .
| 7 | | Refunding Bonds may be sold in such amounts and at such | 8 | | times, as
directed by the Governor upon
recommendation by the | 9 | | Director of the
Governor's Office of Management and Budget. | 10 | | The Governor
shall notify the State Treasurer and
Comptroller | 11 | | of such refunding. The proceeds received from the sale of
| 12 | | refunding Bonds shall be used
for the retirement at maturity | 13 | | or redemption of such outstanding Bonds on
any maturity or | 14 | | redemption date and, pending such use, shall be placed in
| 15 | | escrow, subject to such terms and conditions as shall be | 16 | | provided for in
the Bond Sale Order relating to the refunding | 17 | | Bonds. This Act shall
constitute an irrevocable and continuing
| 18 | | appropriation of all amounts necessary to establish an escrow | 19 | | account for
the purpose of refunding outstanding Bonds and to | 20 | | pay the reasonable
expenses of such refunding and of the | 21 | | issuance and sale of the refunding
Bonds. Any such escrowed | 22 | | proceeds may be invested and
reinvested in direct obligations | 23 | | of the United States of America, maturing
at such time or times | 24 | | as shall be appropriate to assure the prompt payment,
when | 25 | | due,
of the principal of and interest and redemption premium, | 26 | | if any, on the
refunded Bonds. After the terms of the escrow |
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| 1 | | have been fully satisfied,
any remaining balance of such | 2 | | proceeds and interest, income and profits
earned or realized | 3 | | on the investments thereof shall be paid into the
General | 4 | | Revenue Fund. The liability of the State upon the refunded | 5 | | Bonds
shall continue, provided that the holders thereof shall | 6 | | thereafter be
entitled to payment only out of the moneys | 7 | | deposited in the escrow account
and the refunded Bonds shall | 8 | | be deemed paid, discharged and no longer to be
outstanding.
| 9 | | Except as otherwise herein provided in this Section, such | 10 | | refunding Bonds
shall in all other respects be issued pursuant | 11 | | to and subject to the terms
and conditions of this Act and | 12 | | shall be secured by and payable from only the
funds and sources | 13 | | which are provided under this Act.
| 14 | | (Source: P.A. 102-16, eff. 6-17-21.)
| 15 | | Article 99.
| 16 | | Section 99-99. Effective date. This Act takes effect July | 17 | | 1, 2023.
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