(70 ILCS 3715/10) (from Ch. 111 2/3, par. 233)
Sec. 10.
For the purpose of paying the cost of the acquisition by
condemnation, purchase or otherwise and of the construction of any water
supply or other water properties of the authority and the improvement or
extension thereof from time to time, including engineering and all other
expenses, and also for reimbursing or paying the cost and expense of
creating the authority, the board of trustees of any such authority is
authorized to issue and sell revenue bonds of the authority, payable solely
from the income and revenue derived from the operation of the water supply
or other waterworks properties of the authority.
All such bonds shall be authorized by ordinance or resolution to be
adopted by the board of trustees, shall bear such date or dates, mature at
such time or times not exceeding 40 years from their respective dates, may
bear interest at such rate or rates not exceeding the maximum rate authorized
by the Bond Authorization Act, as amended at the time of the making of the
contract, may be in
such form, may carry such registration privileges, may be executed in such
manner, may be payable at such place or places, may be subject to
redemption in such manner, and upon such terms with or without premium as
is stated on the face thereof, and may be executed in such manner by such
officers of the authority, and may contain such terms and covenants, all as
provided by the ordinance or resolution authorizing their issue.
Such bonds shall be sold in such manner as the board of trustees shall
determine, and if issued to bear interest at the rate of the maximum rate
authorized by the Bond Authorization Act, as amended at the time of the
making of the contract,
shall be sold for not less than par and accrued interest; provided,
however, the selling price of any bonds bearing less than the maximum
rate authorized by the Bond Authorization Act, as amended at the time of
the making of the contract, shall
be such that the interest cost of the money received from the sale of said
bonds shall not exceed the maximum rate authorized by the Bond Authorization
Act, as amended at the time of the making of the contract,
computed to
absolute maturity,
according to standard tables of bond values.
Notwithstanding the form or tenure thereof, and in the absence of
expressed recitals on the face thereof that said bonds are nonnegotiable,
all such bonds shall be negotiable instruments.
To secure payment of any and all of such bonds such ordinance or
resolution shall set forth the covenants and undertakings of the authority
in connection with the issuance thereof and the issuance of additional
bonds payable from the revenues or income to be derived from the operation
of the water supply or the waterworks properties of such authority, as well
as the use and operation thereof.
In case any officer whose signature appears on said bonds or coupons
attached thereto shall cease to be such officer before the delivery of the
bonds to the purchaser, such signature shall nevertheless be valid and
sufficient for all purposes to the same effect as if he had remained in
office until the delivery of the bonds and the signature of any officer
holding office at the time any bond was signed shall be valid, regardless
of whether or not said officer held such office on the day on which the
bonds are dated.
Under no circumstances shall any bonds issued pursuant to the provisions
of this Act be or become an indebtedness or an obligation of the authority
payable from taxes and shall not in any event constitute an indebtedness of
such authority within the meaning of the constitutional provisions or
limitations, and such fact shall be plainly stated on the face of each
bond.
With respect to instruments for the payment of money issued under this
Section either before, on, or after the effective date of this amendatory
Act of 1989, it is and always has been the intention of the General
Assembly (i) that the Omnibus Bond Acts are and always have been
supplementary grants of power to issue instruments in accordance with the
Omnibus Bond Acts, regardless of any provision of this Act that may appear
to be or to have been more restrictive than those Acts, (ii) that the
provisions of this Section are not a limitation on the supplementary
authority granted by the Omnibus Bond Acts, and (iii) that instruments
issued under this Section within the supplementary authority granted
by the Omnibus Bond Acts are not invalid because of any provision of
this Act that may appear to be or to have been more restrictive than
those Acts.
(Source: P.A. 86-4.)
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