(110 ILCS 710/1) (from Ch. 144, par. 351)
Sec. 1.
Citation.
This Act shall be known and may be cited as the "Board of Regents Revenue Bond Act of 1967."
(Source: Laws 1967, p. 1252.)
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(110 ILCS 710/2) (from Ch. 144, par. 352)
Sec. 2.
Definitions.
In this Act, unless the context otherwise requires:
1. "Board" means the Board of Regents or its successor.
2. "University" means and includes Illinois State University, located at
Normal, Illinois, Northern Illinois University, located at DeKalb,
Illinois, and their branches.
3. "Federal Agency" means the United States of America, the President of
the United States of America, the Department of Housing and Urban
Development, or such other agency or agencies of the United States of
America as may be designated or created to make loans or grants or both.
4. "Acquire" includes to purchase, erect, build, construct, reconstruct,
complete, repair, replace, alter, extend, better, equip, develop, and
improve a project, including the acquisition and clearing of a site or
sites therefor.
5. "Project" means and includes revenue producing buildings, structures
and facilities which, as determined by the Board, are required by, or
necessary for the use or benefit of, each such University, including,
without limiting the generality of the foregoing, student residence halls;
apartments; staff housing facilities; dormitories; health, hospital or
medical facilities; dining halls; student union buildings; field houses;
stadiums; physical education installations and facilities; auditoriums;
facilities for student or staff services; any facility or building leased
to the United States of America; off-street parking facilities; heretofore,
or as may be hereafter, acquired, with all equipment and appurtenant
facilities; or any one, or more than one, or all, of the foregoing, or any
combination thereof, for each such University.
(Source: P.A. 89-24, eff. 7-1-95.)
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(110 ILCS 710/3) (from Ch. 144, par. 353)
Sec. 3.
Powers.
The Board shall have power for each such University to:
1. Acquire any project or projects, or any combination thereof, and
to own, operate and maintain the same.
2. Acquire by purchase, gift, or the exercise of eminent domain, and
hold or dispose of real or personal property or rights or interest
therein.
3. Accept grants of money or materials or property of any kind from
a Federal Agency, or others, upon such terms and conditions as may be
imposed.
4. Borrow money and issue bonds to acquire for each University any
one project, or more than one, or any combination thereof, or to refund
bonds heretofore or hereafter issued, for each such university, or for
either or both of said purposes, and to provide for the security and
payment of said bonds and for the rights of the holders thereof.
5. Make contracts and leases and execute all instruments and perform
all acts and do all things necessary or convenient to carry out the
powers granted in this Act.
6. Retain in its treasury (a) all moneys received from the sale of
all bonds issued under this Act, (b) all fees, rentals and other charges
from students, staff members and others using or being served by, or
having the right to use or the right to be served by, or to operate any
project, (c) all health, hospital, medical, laboratory, admission,
student activities, student services, and all other fees collected from
students matriculated, registered or otherwise enrolled at and attending
each such University pledged under the terms of any resolution
authorizing bonds pursuant to this Act, and (d) all rentals from any
facility or building leased to the United States of America, all of
which shall be considered always appropriated to the Board.
(7) The Board shall prepare an annual capital plan which details the
proposed budget year and 3 year capital needs of each university for capital
expenditures to finance revenue producing facilities through the issuance
of revenue bonds. This plan shall detail each project and the project cost
in current dollar amounts. The plan shall contain the appropriate detail
for the proposed budget year and the 3 year plan which will justify the
projects ability to meet; the debt service requirements by producing sufficient
revenue, life expectancy and maintenance requirements. Such annual capital
plans shall be submitted to the Board of Higher Education.
(Source: P.A. 81-660.)
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(110 ILCS 710/3.5) Sec. 3.5. Eminent domain. Notwithstanding any other provision of this Act, any power granted under this Act to acquire property by condemnation or eminent domain is subject to, and shall be exercised in accordance with, the Eminent Domain Act.
(Source: P.A. 94-1055, eff. 1-1-07.) |
(110 ILCS 710/4) (from Ch. 144, par. 354)
Sec. 4.
Issuance of Bonds.
(A) The Board shall have power, and is hereby authorized from time to
time, to issue negotiable bonds (i) to acquire any one project, or more
than one, or any combination thereof, for each such University, or (ii) to
refund bonds heretofore and hereafter issued as hereinafter provided for,
or (iii) for either or both of said purposes. The bonds shall be authorized
by resolution of the Board. The bonds may be issued in one or more series,
may bear such date or dates, may be in such denomination or denominations,
may mature at such time or times not exceeding forty years from the
respective dates thereof, may mature in such amount or amounts, may bear
interest at such rate or rates not exceeding
the greater of (i) the maximum rate authorized by the Bond Authorization Act,
as amended at the
time of the making of the contract, or (ii)
8% per annum for bonds issued
before January 1, 1972 and not exceeding
the maximum rate authorized by the Bond Authorization Act,
as amended at the
time of the making of the contract, for bonds issued
after January 1, 1972, payable semi-annually, may be in such form either
coupon or registered as to principal only or as to both principal and
interest, may carry such registration privileges (including the conversion
of a fully registered bond to a coupon bond or bonds and the conversion of
a coupon bond to a fully registered bond), may be executed in such manner
by the chairman and secretary, may be made payable in such medium of
payment, at such place or places within or without the state, may be
subject to such terms of redemption prior to their expressed maturity, with
or without premium, as such resolution or other resolutions may provide.
All bonds issued under this Act except refunding bonds as hereinafter
provided for, shall be sold in such manner as the Board may deem best in
the public interest; provided that such bonds shall be sold at such price
that the interest cost of the proceeds therefrom will not exceed
the greater of (i) the maximum rate authorized by the Bond Authorization Act,
as amended at the
time of the making of the contract, or (ii)
8% per
annum for bonds issued before January 1, 1972 or
the maximum rate authorized by the Bond Authorization Act, as amended at the
time of the making of the contract, for bonds
issued after January 1, 1972, based on the average maturity of such bonds
and computed according to standard tables of bond values. Such resolution
may provide that one of the officers of the Board shall sign such bonds
manually and that the other signatures may be printed, lithographed or
engraved thereon. The coupon bonds shall be fully negotiable within the
meaning of the Uniform Commercial Code, approved July 31, 1961, effective
July 1, 1962, as amended.
(B) The Board shall have power, and is hereby authorized from time to
time, to issue negotiable refunding bonds (a) to refund unpaid matured
bonds; (b) to refund unpaid matured coupons evidencing interest upon its
unpaid matured bonds; and (c) to refund interest at the coupon rate upon
its unpaid matured bonds that has accrued since the maturity of those
bonds. Said refunding bonds may be exchanged for the bonds to be refunded
on a par for par basis of the bonds, interest coupons and interest not
represented by coupons, if any, or may be sold at not less than par, or may
be exchanged in part and sold in part, and the proceeds received at any
such sale shall be used to pay the bonds, interest coupons and interest not
represented by coupons, if any. Bonds and interest coupons which have been
received in exchange or paid shall be cancelled and the obligation for
interest, not represented by coupons, which has been discharged, shall be
evidenced by a written acknowledgment of the exchange or payment thereof.
(C) The Board shall have power, and is hereby authorized from time to
time, to also issue negotiable refunding bonds hereunder, to refund bonds
at or prior to their maturity or which by their terms are subject to
redemption before maturity, or both, in an amount necessary to refund (a)
the principal amount of the bonds to be refunded, (b) the interest to
accrue up to and including the maturity date or dates, or to the next
succeeding redemption date, thereof, and (c) the applicable redemption
premiums, if any. Said refunding bonds may be exchanged for not less than
an equal principal amount of bonds to be refunded or may be sold at not
less than par, or may be exchanged in part and sold in part. All proceeds
received at the sale thereof (excepting the accrued interest received)
shall be used:
(i) if the bonds to be refunded are then due, for the payment thereof;
(ii) if the bonds to be refunded are voluntarily surrendered with the
consent of the holder or holders thereof, for the payment thereof;
(iii) if the bonds to be refunded are then subject to prior redemption
by their terms, for the redemption thereof;
(iv) if the bonds to be refunded are not then subject to payment or
redemption, to purchase direct obligations of the United States of America
so long as such obligations will mature at such time or times, with
interest thereon or the proceeds received therefrom, to provide funds
adequate to pay when due or called for redemption prior to maturity the
bonds to be refunded, together with the interest accrued thereon and any
redemption premium due thereon, and such proceeds or obligations of the
United States of America shall, with all other funds legally available for
such purpose, be deposited in escrow with a banking corporation, or
national banking association, located in and doing business in the State of
Illinois, with power to accept and execute trusts, or any successor
thereto, which is also a member of the Federal Deposit Insurance
Corporation and of the Federal Reserve System, to be held in an irrevocable
trust solely for and until the payment and redemption of the bonds so to be
refunded, and any balance remaining in said escrow after the payment and
retirement of the bonds to be refunded shall be returned to said Board to
be used and held for use as revenues pledged for the payment of said
refunding bonds; or (v) for any combination thereof.
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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(110 ILCS 710/5) (from Ch. 144, par. 355)
Sec. 5.
Security of
bonds.
In connection with the issuance of any bonds under this Act, and in
order to secure the payment of any such bonds and the interest thereon, the
Board shall have power for each such University:
1. To fix, maintain and collect (a) fees, rentals and other charges from
students, staff members and others using or being served by, or having the
right to use or the right to be served by, or to operate any project, (b)
health, hospital, medical, laboratory, admission, student activities,
student services, and all other fees collected from students matriculated,
registered or otherwise enrolled at and attending each such University and
(c) rentals from any facility or building leased to the United States of
America, the aggregate of which shall be sufficient at all times to pay all
necessary expenses of the operation and maintenance of any project, to pay
the bonds at maturity and accruing interest thereon in accordance with
their terms, and to create and maintain all reserves therefor as provided
by the resolution authorizing said bonds.
2. To provide that bonds issued under this Act, subject only to the
prior payment of the operation and maintenance expenses of any project,
shall be payable from and secured by a pledge of and lien on all or any
part of the income and revenues derived from, and to pledge and assign to,
or in trust for the benefit of, the holder or holders of bonds issued under
this Act all or any part of the income and revenues derived from (a) fees,
rentals and other charges from students, staff members and others using or
being served by, or having the right to use or the right to be served by,
or to operate, any project, (b) health, hospital, medical, laboratory,
admission, student activities, student services, and all other fees
collected from students matriculated, registered or otherwise enrolled at
and attending each such University and (c) rentals from any facility or
building leased to the United States of America; provided that, if said
Board provides that any bonds issued under this Act shall be payable from
the income and revenues of any project heretofore acquired, any such
provision for the payment of said bonds from the income and revenues of any
such project heretofore acquired shall be subject to, and in all respects
in full conformity and compliance with, the rights of the holders of any
bonds or obligations payable from the income and revenues of any such
project heretofore issued by the Board and then outstanding.
3. To covenant with or for the benefit of the holder or holders of the
bonds issued under this Act that so long as any such bonds shall remain
outstanding and unpaid the Board will fix, maintain and collect in such
installments as may be agreed upon (a) fees, rentals and other charges from
students, staff members and others using or being served by, or having the
right to use or the right to be served by, or to operate any project, (b)
health, hospital, medical, laboratory, admission, student activities,
student services, and all other fees collected from students matriculated,
registered or otherwise enrolled at and attending each such University
pledged under the terms of any resolution authorizing bonds pursuant to
this Act, and (c) rentals from any facility or building leased to the
United States of America, the aggregate of which shall be sufficient at all
times to pay all necessary expenses of the operation and maintenance of any
project, to pay the bonds at maturity and accruing interest thereon in
accordance with their terms, and to create and maintain all reserves
therefor as provided by the resolution authorizing said bonds, until said
bonds and accruing interest have been paid in accordance with their terms.
4. To covenant with or for the benefit of the holder or holders of bonds
issued under this Act as to all matters deemed advisable by the Board,
including:
(a) The purposes, terms and conditions for the issuance of additional
parity or junior lien bonds that may thereafter be issued, and for the
payment of the principal, redemption premiums and interest on such bonds.
(b) The kind and amount of all insurance to be carried, the cost of
which shall be charged as an operation and maintenance expense of any
project.
(c) The operation, maintenance and management of any project to assure
the maximum use and occupancy thereof; the accounting for, and the auditing
of, all income and revenue from, and all expenses of, any project; the
employment of engineers and consultants; and the keeping of records,
reports and audits of any project.
(d) The obligation of the Board to maintain any project in good
condition and to operate the same at all times in an economical and
efficient manner.
(e) The terms and conditions for creating and maintaining sinking funds,
reserve funds, and such other special funds as may be created in the
resolution authorizing said bonds, separate and apart from all other funds
and accounts of said Board and said University.
(f) The procedure by which the terms of any contract with the holders of
the bonds may be amended, the amount of bonds the holders of which must
consent thereto, and the manner in which consent may be given.
(g) Providing the procedure for refunding such bonds.
(h) Such other covenants as may be deemed necessary or desirable to
assure a successful operation of any project and the prompt payment of the
principal of and interest upon the bonds so authorized.
5. To make and enforce and agree to make and enforce parietal rules that
shall insure the use of any project to the maximum extent to which such
project is capable of serving students, staff members and others using or
being served by, or having the right to use or the right to be served by,
or to operate, any project.
6. To covenant that so long as any of the bonds issued under this Act
shall remain outstanding and unpaid, it will not, except upon such terms
and conditions as may be determined:
(i) Voluntarily create or cause to be created any debt, lien, mortgage,
pledge, assignment, encumbrance or other charge having priority to the lien
of the bonds issued under this Act upon any of the income and revenues
derived from (a) all fees, rentals and other charges from students, staff
members and others using or being served by, or having the right to use or
the right to be served by, or to operate, any project, (b) all health,
hospital, medical, laboratory, admission, student activities, student
services, and all other fees collected from students matriculated,
registered or otherwise enrolled at and attending each such University and
(c) all rentals from any facility or building leased to the United States
of America.
(ii) Convey or otherwise alienate any project or the real estate upon
which such project shall be located, except at a price sufficient to pay
all the bonds issued for such project then outstanding and interest accrued
thereon, and then only in accordance with any agreements with the holder or
holders of such bonds.
7. To vest in a trustee or trustees the right to receive all or any part
of the income and revenue pledged and assigned to, or for the benefit of
the holder or holders of bonds issued under this Act, and to hold, apply
and dispose of the same and the right to enforce any covenant made to
secure or pay or in relation to the bonds; execute and deliver a trust
agreement or trust agreements which may set forth the powers and duties and
the remedies available to such trustee or trustees and limiting the
liabilities thereof and describing what occurrences shall constitute events
of default and prescribing the terms and conditions upon which such trustee
or trustees or the holder or holders of any specified amount or percentage
of such bonds may exercise such rights and enforce any and all such
covenants and resort to such remedies as may be appropriate.
8. To covenant to perform any and all acts and to do any and all such
things as may be necessary or convenient or desirable in order to secure
its bonds, or as may in the judgment of the Board tend to make the bonds
more marketable, notwithstanding that such acts or things may not be
enumerated herein, it being the intention hereof to give the Board issuing
bonds pursuant to this Act power to make all covenants, to perform all acts
and to do all things not inconsistent with the constitution of the State of
Illinois.
(Source: Laws 1967, p. 1252.)
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(110 ILCS 710/6) (from Ch. 144, par. 356)
Sec. 6.
Enforcement
of Contract.
The provisions of this Act and of any resolution or other proceeding
authorizing the issuance of bonds shall constitute a contract with the
holders of such bonds and the provisions thereof shall be enforceable by
civil action, mandamus, injunction or other proceeding
in the appropriate circuit court to enforce and compel the
performance of all duties required by this Act and by any resolution
authorizing the issuance of bonds adopted responsive hereto.
(Source: P.A. 83-345.)
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(110 ILCS 710/7) (from Ch. 144, par. 357)
Sec. 7.
Moneys of
the Board.
No moneys derived from the sale of bonds issued under the provisions of
this Act, or pledged or assigned to or in trust for the benefit of the
holder or holders thereof, shall be required to be paid into the state
treasury but shall be deposited by the Treasurer or other fiscal officer of
the Board in one or more banks, savings and loan associations or trust
companies as may
be designated by the Board. Such moneys shall be disbursed as may be directed
by the Board
and in accordance with the terms of any agreements with the holder or
holders of any bonds. This Section shall not be construed as limiting the
power of the Board to agree in connection with the issuance of any of its
bonds as to the custody and disposition of the moneys received from the
sale of such bonds or from the income and revenues pledged or assigned to
or in trust for the benefit of the holder or holders thereof.
No bank or savings and loan association shall receive public funds as
permitted by this Section, unless it has complied with the requirements
established pursuant to Section 6 of "An Act relating to certain investments
of public funds by public agencies", approved July 23, 1943, as now or hereafter
amended.
(Source: P.A. 83-541.)
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(110 ILCS 710/8) (from Ch. 144, par. 358)
Sec. 8.
Validity of
bonds.
The bonds bearing the signatures of officers of the Board in office on
the date of the signing thereof shall be valid and binding obligations,
notwithstanding that before the delivery thereof and payment therefor any
or all persons whose signatures appear thereon shall have ceased to be such
officers. The validity of the bonds shall not be dependent on nor affected
by the validity or regularity of any proceedings to acquire any project
financed by the bonds, or to refund outstanding bonds, or taken in
connection therewith.
(Source: Laws 1967, p. 1252.)
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(110 ILCS 710/9) (from Ch. 144, par. 359)
Sec. 9.
Prohibitions against obligating the State of Illinois.
Nothing in this Act shall be construed to authorize the Board or any
University to contract a debt on behalf of, or in any way to obligate, the
State of Illinois, or to pledge, assign or encumber in any way, or to
permit the pledging, assigning or encumbering in any way, of appropriations
made by the General Assembly of the State of Illinois.
(Source: Laws 1967, p. 1252.)
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(110 ILCS 710/10) (from Ch. 144, par. 360)
Sec. 10.
Obligations of board.
All bonds issued pursuant to this Act shall be obligations of the Board
payable only in accordance with the terms thereof and shall not be
obligations general, special or otherwise, of the State of Illinois. Such
bonds shall not constitute a debt, legal or moral, of the State of
Illinois, and shall not be enforceable against the State, nor shall payment
thereof be enforceable out of any funds of the Board, or of any University,
other than the income and revenues pledged and assigned to, or in trust for
the benefit of, the holder or holders of such bonds.
(Source: Laws 1967, p. 1252.)
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(110 ILCS 710/11) (from Ch. 144, par. 361)
Sec. 11.
Bonds as
legal investments.
The State and all counties, cities, villages, incorporated towns and
other municipal corporations, political subdivisions and public bodies, and
public officers of any thereof, all banks, bankers, trust companies,
savings banks and institutions, building and loan associations, savings and
loan associations, investment companies and other persons carrying on a
banking business, all insurance companies, insurance associations and other
persons carrying on an insurance business, and all executors,
administrators, guardians, trustees and other fiduciaries may legally
invest any sinking funds, moneys or other funds belonging to them or within
their control in any bonds issued pursuant to this Act, it being the
purpose of this section to authorize the investment in such bonds of all
sinking, insurance, retirement, compensation, pension and trust funds,
whether owned or controlled by private or public persons or officers;
provided, however, that nothing contained in this section may be construed
as relieving any person, firm or corporation from any duty of exercising
reasonable care in selecting securities for purchase or investment.
(Source: Laws 1967, p. 1252.)
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(110 ILCS 710/12) (from Ch. 144, par. 362)
Sec. 12.
Excision
of unconstitutional and ineffective parts of Act.
It is hereby declared that the sections, clauses, sentences and parts of
this Act are severable, are not matters of mutual essential inducement, and
any of them may be excised by any court of competent jurisdiction if this
Act would otherwise be unconstitutional or ineffective. It is the intention
of this Act to confer upon the Board the whole or any part of the powers in
this Act provided for, and if any one or more sections, clauses, sentences
and parts of this Act shall for any reason be questioned in any court of
competent jurisdiction and shall be adjudged unconstitutional or invalid,
such judgment shall not affect, impair or invalidate the remaining
provisions thereof, but shall be confined in its operation to the specific
provision or provisions so held unconstitutional or invalid, and the
inapplicability or invalidity of any section, clause, sentence or part of
this Act in any one or more instances shall not be taken to affect or
prejudice its applicability or validity in any other instance.
(Source: Laws 1967, p. 1252.)
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(110 ILCS 710/13) (from Ch. 144, par. 363)
Sec. 13.
Supplemental nature of Act; construction and purpose.
The powers conferred by this Act shall be in addition to and
supplemental to the powers conferred by any other law, general or special,
and bonds may be issued under this Act notwithstanding the provisions of
any other such law and without regard to the procedure required by any
other such laws. Insofar as the provisions of this Act are inconsistent
with the provisions of any other law, general or special, the provisions of
this Act shall be controlling, except for the Act creating the Board of
Higher Education and defining its powers and duties, as amended.
(Source: Laws 1967, p. 1252.)
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(110 ILCS 710/14)
Sec. 14.
Assumption of obligations.
(a) All contracts and agreements entered into before July 1, 1995 by the
Board of Regents on behalf of the branch of the University of Illinois formerly
known as Sangamon State University and now known as the University of Illinois
at Springfield shall be valid and shall subsist notwithstanding the transfer
of the functions of the Board of Regents with respect to that University to the
Board of Trustees of the University of Illinois as provided by law. All bonds,
notes, and other evidences of indebtedness outstanding on July 1, 1995 issued
by the Board of Regents on behalf of the university formerly
known as Sangamon State University and now known as the University of Illinois
at Springfield shall become the bonds, notes, or other evidences of the
University of Illinois and shall be otherwise unaffected by the transfer of
functions to the Board of Trustees of the University of Illinois. Any action,
including without limitation, approvals of applications for bonds and
resolutions constituting official action under the Internal Revenue Code by the
Board of Regents with respect to the university formerly known as Sangamon
State University and now known as the University of Illinois at Springfield
before July 1, 1995 shall remain effective to the same extent as if that action
had been taken by the Board of Trustees of the University of Illinois and shall
be deemed to be action taken by the Board of Trustees of the University of
Illinois.
(b) All contracts and agreements entered into by the Board of Regents on
behalf of Illinois State University and Northern Illinois University prior to
January 1, 1996 shall be valid and shall subsist notwithstanding the abolition
of the Board of Regents and the repeal of the Regency Universities Act on
January 31, 1996 and notwithstanding the transfer of the functions of the Board
of Regents with respect to each such university to the board of trustees of
that university as provided by law. All bonds, notes, and other evidences of
indebtedness outstanding on January 1, 1996 issued by the Teachers College
Board, the Board of Governors of State Colleges and Universities, or the Board
of Regents on behalf of any such university shall become the bonds, notes, or
other evidences of indebtedness of that university
and shall be otherwise unaffected by the transfer of functions to the board of
trustees of that university. Any action, including without limitation,
approvals of applications for bonds and resolutions constituting official
action under the Internal Revenue Code by the Teachers College Board, Board of
Governors of State Colleges and Universities, or Board of Regents prior to
January 1, 1996 shall remain effective to the same extent as if that action had
been taken by the board of trustees of that university and shall be deemed to
be action taken by that university's board of trustees.
(Source: P.A. 89-4, eff. 7-1-95; 89-24, eff. 7-1-95.)
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