Public Act 095-0641
 		





HB0004 Enrolled
LRB095 03797 HLH 23827 b






    AN ACT concerning local government.


 
    Be it enacted by the People of the State of Illinois,
 
represented in the General Assembly:

 
    Section 5. The Airport Authorities Act is amended  by 
changing Sections 1, 3.1, 14.1, 14.2, and 14.3 and  by adding 
Sections 22.1, 22.2, 22.3, 22.4, 22.6, and 22.7 as follows:
 



    (70 ILCS 5/1)  (from Ch. 15 1/2, par. 68.1)



    Sec. 1. Definitions. When used in this Act:

    "Aeronautics" means the act or practice of the art and 
science of
transportation by aircraft and instruction therein, 
and establishment,
construction, extension, operation, 
improvement, repair or maintenance of
airports and airport 
facilities and air navigation facilities, and the
operation, 
construction, repair or maintenance of aircraft.

    "Aircraft" means any contrivance now known or hereafter 
invented, used
or designed for navigation of, or flight in, the 
air.

    "Airport" means any locality, either land or water, which 
is used or
designed for the landing and taking off of aircraft, 
or for the location of
runways, landing fields, airdromes, 
hangars, buildings, structures, airport
roadways and other 
facilities.

    "Airport hazard" means any structure, or object of natural 
growth,
located on or in the vicinity of an airport, or any use 
of land near an
airport, which is hazardous to the use of such 
airport for the landing and
take-off of aircraft.

    "Approach" means any path, course or zone defined by an 
ordinance of an
Authority, or by other lawful regulation, on 
the ground or in the air, or
both, for the use of aircraft in 
landing and taking off from an airport
located within an 
Authority.

    "Facilities" means and includes real estate and any and all 
forms of
tangible and intangible personal property and services 
used or useful as an
aid, or constituting an advantage or 
convenience to, the safe landing,
taking off and navigation of 
aircraft, or the safe and efficient operation
or maintenance of 
a public airport. In addition, for all airport
authorities, 
"facilities" means and includes real estate, tangible and

intangible personal property, and services used or useful for 
commercial
and recreational purposes.

    "Board of Commissioners" and "Board" mean the board of 
commissioners of
an established authority or an authority 
proposed to be established.

    "Commercial aircraft" means any aircraft other than public 
aircraft
engaged in the business of transporting persons or 
property.

    "Airport Authority" means a municipal corporation created 
and
established under Section 2 of this Act, and includes 
Metropolitan
Airport Authorities. "Authority" and "Airport

Authority" are synonymous, unless the context requires 
otherwise.

    "Metropolitan Airport Authority" and "Metropolitan 
Authority" mean an
airport authority established in the manner 
provided in Section 2.7 of
this Act.

    "Municipality" means any city, village or incorporated 
town of the State
of Illinois.

    "Public Agency" means any political subdivision, public 
corporation,
quasi-municipal corporation or municipal 
corporation of the State of
Illinois, excepting public 
corporations or agencies owning, operating or
maintaining a 
college or university with funds of the State of Illinois.

    "Private aircraft" means any aircraft other than public and 
commercial
aircraft.

    "Public aircraft" means an aircraft used exclusively in the 
governmental
service of the United States, or of any state or 
of any public agency,
including military and naval aircraft.

    "Public airport" means an airport owned by an airport 
authority or other
public agency which is used or is intended 
for use by public, commercial
and private aircraft and by 
persons owning, managing, operating or desiring
to use, inspect 
or repair any such aircraft or to use any such airport for

aeronautical purposes.

    "Public interest" means the protection, furtherance and 
advancement of
the general welfare and of public health and 
safety and public necessity
and convenience in respect to 
aeronautics.

    "Rail Authority" means a Rail Authority established as 
provided in Section 22.1 of this Act.
    "Rail facility" has the meaning set forth in Section 22.2 
of this Act.
    "Related facility" has the meaning set forth in Section 
22.2 of this Act.

(Source: P.A. 87-854.)

 



    (70 ILCS 5/3.1)  (from Ch. 15 1/2, par. 68.3a)


    Sec. 3.1. Boards of commissioners - Appointment. The Boards 
of
Commissioners of Authorities shall be appointed as follows:

    (1) In case there are one or more municipalities having a 
population of
5,000 or more within the Authority, the 
commissioners shall be appointed as
follows:


        (a) Where there is only one such municipality, 3 
    commissioners shall be
appointed from such municipality, 
    and 2 commissioners shall be appointed at
large.

        (a-5) Within 30 days after the effective date of this 
    amendatory Act of the 95th General Assembly, one additional 
    commissioner shall be appointed to the board of the 
    Springfield Airport Authority from each municipality 
    having a population of 5,000 or more within the Authority, 
    and one additional commissioner shall be appointed at 
    large.  The additional commissioners shall serve for a term 
    of 4 or 5 years, as determined by lot.  Their successors 
    shall serve for terms of 5 years.

        (b) Where there are 2 or more such municipalities, one 
    commissioner
shall be appointed from each municipality 
    with a population between 5,000 and 45,000, 2 commissioners 
    shall be appointed from each municipality with a population 
    of more than 45,000,
such municipality and 3 commissioners 
    shall be appointed at large; except
that when the physical 
    facilities of the airport of the Authority are located

    wholly within a single county with a population between 
    600,000 and
3,000,000 there shall be one commissioner 
    appointed from each municipality
within the corporate 
    limits of the Authority having 5,000 or more
population and 
    5 commissioners appointed at large. If the
Authority is 
    located wholly within the corporate limits of such

    municipalities, 2 commissioners shall be appointed from 
    the one of such
municipalities having the largest 
    population, and one commissioner shall be
appointed from 
    each of the other such municipalities, and 2 commissioners

    shall be appointed at large.


        (c) Commissioners representing the area within an 
    Authority located
outside of any municipality having 5,000 
    or more population and
commissioners appointed at large 
    when the authority is wholly contained
within a single 
    county shall be appointed by the presiding officer of the

    county board with the advice and consent of the county 
    board, and when the
physical facilities of the airport of 
    the Authority are located wholly within
a single county 
    with a population between 600,000 and 3,000,000 the

    commissioners appointed at large shall be appointed by the

    chairman of the county board of such county, and any

    commissioner representing the area within any such 
    municipality shall be
appointed by its mayor or the 
    presiding officer of its governing body. If
however the 
    district is located in more than one county other than a

    county with a population between 600,000 and 3,000,000, the 
    members of the
General Assembly whose legislative 
    districts encompass any portion of the
Authority shall 
    appoint the commissioners representing the area within an

    Authority located outside of any municipality having 5,000 
    or more
population and commissioners at large but any 
    commissioner representing the
area within any such 
    municipality shall be appointed by its mayor or the

    presiding officer of its governing body.


        (d) A commissioner representing the area within any 
    such municipality
shall reside within its corporate 
    limits. A commissioner appointed at large may reside
either 
    within or without any such municipality but must reside 
    within the
territory of the authority. Should any 
    commissioner cease to reside within
that part of the 
    territory he represents, or should the territory in which

    he resides cease to be a part of the authority, then his 
    office shall be
deemed vacated, and shall be filled by 
    appointment for the remainder of the
term as hereinafter 
    provided.

    (2) In case there are no municipalities having a population 
of 5,000 or
more within such authority located wholly within a 
single county, such
order shall so find, and in such case the 
Board shall consist of 5
commissioners who shall be appointed 
at large by the presiding officer of
the county board with the 
advice and consent of the county board. If
however the district 
is located in more than one county, the members of the
General 
Assembly whose legislative districts encompass any portion of 
the
Authority shall appoint the commissioners at large.

    (3) Should a municipality which is wholly within an 
authority attain, or
should such a municipality be established, 
having a population of 5,000 or
more after the entry of said 
order by the circuit court, the presiding
officer of such 
municipality may petition the circuit court for an order

finding and determining the population of such municipality 
and, if it is
found and determined upon the hearing of said 
petition that the population
of such municipality is 5,000 or 
more, the board of commissioners of such
authority as 
previously established shall be increased by one commissioner

who shall reside within the corporate limits of such 
municipality and shall
be appointed by its presiding officer. 
The initial commissioner so
appointed shall serve for a term of 
1, 2, 3, 4 or 5 years, as may be
determined by lot, and his 
successors shall be similarly appointed and
shall serve for 
terms of 5 years. All provisions of this section applicable
to 
commissioners representing municipal areas shall apply to any 
such
commissioner. Each such commissioner shall reside within 
the authority and
shall continue to reside therein.

    (4) Notwithstanding any other provision of this Section, 
the Board of
Commissioners of a Metropolitan Airport Authority 
shall consist of 9
commissioners.

    Seven commissioners shall be residents of the county with
a 
population between 600,000 and 3,000,000 within which the 
Metropolitan
Airport Authority was established.  These 
commissioners shall be
appointed by the county board chairman 
of the county
with a population between 600,000 and 3,000,000 
within which the
Metropolitan Airport Authority was 
established, with the advice and
consent of the county board of 
that county.

    Two commissioners shall be residents of the territory of 
the Authority
located outside the county with a population 
between 600,000 and 3,000,000.
These commissioners shall be 
appointed jointly by the mayors of the
municipalities having a 
population over 5,000 that are located outside the
county with 
a population between 600,000 and 3,000,000, with the advice and

consent of the governing bodies of those municipalities.

    The transition from the pre-existing composition of the 
Metropolitan
Airport Authority Board of Commissioners to the 
composition specified in
this amendatory Act of 1991 shall be 
accomplished as follows:


        (A) The  appointee who was required to be a resident of 
    the area
outside of the county with a population between 
    600,000 and 3,000,000 may
serve until his or her term 
    expires. The replacement shall be one of the 2
appointees 
    who shall be residents of the territory of the Authority 
    located
outside the county with a population between 
    600,000 and 3,000,000.


        (B) The other 8 commissioners may serve until their 
    terms expire. Upon
the occurrence of the second vacancy 
    among these 8 commissioners after the
effective date of 
    this amendatory Act of 1991, the replacement shall be the

    second of the 2 appointees who shall be residents of the 
    territory of the
Authority located outside of the county 
    with a population between 600,000
and 3,000,000. Upon the 
    expiration of the terms of the other 7
commissioners, the 
    replacements shall be residents of the county with a

    population between 600,000 and 3,000,000.


        (C) All commissioners appointed after the effective 
    date of this
amendatory Act of 1991, and their successors, 
    shall be appointed in the
manner set forth in this 
    amendatory Act of 1991.

(Source: P.A. 94-466, eff. 1-1-06.)

 



    (70 ILCS 5/14.1)  (from Ch. 15 1/2, par. 68.14a)



    Sec. 14.1. Bond limitation. An Authority may secure the 
necessary
funds to finance part or all of the cost of (i)

acquiring, establishing,
constructing, developing, expanding, 
extending or further improving a
public airport, public 
airports, or airport facilities within
or without its corporate 
limits or within or upon any body of water
adjacent thereto; 
and (ii) studying, designing, acquiring, constructing, 
developing, expanding, extending, or improving any rail 
facility or related facility as provided in this Act for a Rail 
Authority established by the Board of Commissioners of the 
Authority, upon a determination by the Board of Commissioners, 
that, in its judgment, the rail or other service to be provided 
by those rail facilities or related facilities will benefit the 
airport operated by the Airport Authority, through the issuance 
of bonds as hereinafter provided in
Sections 14.1 to 14.5 
inclusive, to the principal amount of which at any
one time 
outstanding, together with other outstanding indebtedness of 
the
Authority, shall not exceed 2.3% of the aggregate valuation 
of all taxable
property within the Authority, as equalized or 
assessed by the Department
of Revenue or, until January 1, 
1983, if greater, the sum that is produced
by multiplying the 
Authority's 1978 equalized assessed valuation by the
debt 
limitation percentage in effect on January 1, 1979. No such 
airport
project shall be financed by the issuance of bonds 
under this Section
unless such proposed airport project has 
been approved by the Department of
Transportation as to 
location and size and found by the Department to be in
the 
public interest; provided that the approval of the Department 
of
Transportation as provided in Sections 14.1 through 14.5 is 
not required in
the case of airport projects consisting solely 
of commercial or
recreational facilities or rail facilities or 
related facilities.

(Source: P.A. 87-854.)

 



    (70 ILCS 5/14.2)  (from Ch. 15 1/2, par. 68.14b)



    Sec. 14.2. General plans and cost estimate to be approved. 
Before the
adoption of any ordinance providing for the issuance 
of such bonds, the
board of commissioners of the authority 
shall cause a description and
general plan for the project to 
be prepared and submitted to the Department
of Transportation, 
together with an estimate of the cost of the project.
The 
project and the plans and estimate of cost may be changed with 
the
approval of the Department.  Prior to undertaking the 
project, the final
plans, specifications and estimate of cost 
must be approved by the
Department.  The requirements of this 
Section do not apply to airport
projects consisting solely of 
commercial or recreational facilities or rail facilities or 
related facilities.

(Source: P.A. 87-854; 87-895.)

 



    (70 ILCS 5/14.3)  (from Ch. 15 1/2, par. 68.14c)



    Sec. 14.3. Bond ordinance. Upon the approval of the general 
plan and
cost estimate for any such project by the Department 
of Transportation,
if required, the
Board of Commissioners of 
the authority shall provide by ordinance for the
acquisition or 
undertaking of such project, and for the issuance of bonds
of 
the authority payable from taxes to pay the cost of such 
project to the
authority or for costs with respect to rail 
facilities or related facilities as provided in Section 14.1. 
The ordinance shall prescribe all details of the bonds and 
shall
state the time or times when bonds, and the interest 
thereon, shall become
payable and the bonds shall be payable 
within not more than 20 years from
the  date thereof.  Any 
authority may agree or contract to sell, issue or
deliver bonds 
payable from taxes at such price and upon such terms as

determined by the Board of Commissioners of the Authority and 
as will not
cause the net effective interest rate to be paid by 
the Authority on the
issue of which such bonds are a part to 
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) the greater of 9% per annum
or 125% of 
the rate for the most recent date shown in the 20 G.O.  Bonds

Index of average municipal bond yields as published in the most 
recent
edition of The Bond Buyer, published in New York, New 
York, (or any
successor publication or index, or if such 
publication or index is no
longer published, then any index of 
long term municipal tax-exempt bond
yields then selected by the 
Board of Commissioners of the Authority), at
the time the 
contract is made for such sale of the bonds.  Subject to such

limitation, the interest rate or rates on such bonds may be 
established by
reference to an index or formula which may be 
implemented or administered
by persons appointed or retained 
therefor by the Authority.  A contract is
made with respect to 
the sale of bonds when an Authority is contractually
obligated 
to issue or deliver such bonds to a purchaser who is

contractually obligated to purchase them, and, with respect to 
bonds
bearing interest at a variable rate or subject to payment 
upon periodic
demand or put or otherwise subject to remarketing 
by or for an Authority, a
contract is made on each date of 
change in the variable rate or such
demand, put or remarketing.  
The ordinance shall provide for the levy and
collection of a 
direct annual tax upon all the taxable property within
the 
corporate limits of such Authority, sufficient to meet the 
principal
and interest of the bonds as same mature, which tax 
shall be in addition
to and in excess of any other tax 
authorized to be levied by the
Authority.
The bonds may be 
issued in part under the authority of, and may be
additionally 
secured as provided in, the Local Government Debt Reform Act. 
Proceeds of bonds issued with respect to rail facilities or 
related facilities shall be provided to, or expended by the 
Authority for the benefit of, the Rail Authority.


    A certified copy of the ordinance providing for the 
issuance of bonds
authorized by this Section shall be filed 
with the county clerk of each
county in which the authority or 
any portion thereof is situated and
shall constitute the basis 
for the extension and collection of the tax
necessary to pay 
the principal of and interest and premium, if any,
upon the 
bonds issued under the ordinance as the same mature.

    The provisions of this amendatory Act of 1985 shall be 
cumulative and in
addition to any powers or authority granted 
in any other laws of the State,
and shall not be deemed to have 
repealed any provisions of existing laws.
This amendatory Act 
of 1985 shall be construed as a grant of power to public

corporations and shall not act as a limitation upon any sale of 
bonds
authorized pursuant to any other law.  This amendatory Act 
of 1985 shall
not be construed as a limit upon any home rule 
unit of government.

(Source: P.A. 86-1017; 87-854.)

 
    (70 ILCS 5/22.1  new)
    Sec. 22.1. Establishment of a Rail Authority.
    (a) The Board of Commissioners of an airport authority in 
Winnebago County may, by resolution, establish a Rail Authority 
as provided in Sections 22.1 through 22.7 of this Act.  A 
certified copy of that resolution shall be filed with the 
Secretary of State of Illinois.  The Board of Commissioners of 
the airport authority shall not have the power to abolish such 
a Rail Authority.
    (b) A Rail Authority established pursuant to this Section 
shall be a body politic and corporate and a public corporation.
    (c) A Rail Authority shall be governed by a Board of 
Directors.  Except as provided in paragraph (d) of this Section, 
the Board of Directors shall consist of the members of the 
Board of Commissioners of the airport authority that 
establishes the Rail Authority.  The Board of Directors of the 
Rail Authority shall establish by-laws and procedures for their 
actions and may elect such officers of the Rail Authority and 
its Board of Directors as they shall determine, who shall serve 
terms as set by the by-laws of the Rail Authority, not to 
exceed 5 years.
    (d) The composition of the Board of Directors of the Rail 
Authority may be increased from time to time to include members 
appointed by the Chairman or President of the County Board of 
any county that has members on the Board of Directors, all as 
shall be agreed by the Board of Directors of the Rail 
Authority, the chairman of the county board of the county in 
which the establishing airport authority is located, and the 
county board of the county for which members shall be added; 
upon such agreement providing for financial contribution to the 
Rail Authority by the county for which members are added.
    (e) All non-procedural actions of the Board of Directors of 
the Rail Authority shall require the concurrence of the 
majority of members of the Board of Directors.  Members of the 
Board of Directors shall serve for terms as provided in the 
by-laws of the Rail Authority not to exceed 5 years, and until 
their successors are appointed and qualified.
    (f) There shall be no prohibitions on members of the Board 
of Directors of the Rail Authority holding any other 
governmental office or position.
 
    (70 ILCS 5/22.2  new)
    Sec. 22.2. Provision of rail and related transportation 
services. The Rail Authority shall also have the power to 
provide non-rail transportation services within the Counties, 
which may consist of shuttle bus service to or from an airport, 
needed storage facilities, and facilities to load, unload, or 
transfer freight from one mode of transportation to another 
such mode related to rail or highway transportation and any 
needed access roads for that  service, as the Board of Directors 
shall determine are appropriate to advance economic 
development in the Counties.  All property or facilities 
necessary or useful for such related transportation or economic 
development services are referred to in this Act as "related 
facilities".  The Authority, in providing rail related 
facilities, may not operate or perform as a rail carrier.
 
    (70 ILCS 5/22.3  new)
    Sec. 22.3. Further powers of the Rail Authority.
    (a) Except as otherwise limited by this Act, the Rail 
Authority shall have all powers to meet its responsibilities 
and to carry out its purposes, including, but not limited to, 
the following powers:
        (i) To sue and be sued.
        (ii) To invest any funds or any moneys not required for 
    immediate use or disbursement, as provided in the Public 
    Funds Investment Act.
        (iii) To make, amend, and repeal by-laws, rules and 
    regulations, and resolutions not inconsistent with 
    Sections 22.1 through 22.7 of this Act.
        (iv) To set and collect fares or other charges for the 
    use of rail or other facilities of the Rail Authority.
        (v) To conduct or contract for studies as to the 
    feasibility and costs of providing any particular service 
    as authorized by this Act.
        (vi) To publicize services of the Authority and to 
    enter into cooperative agreements with non-rail 
    transportation service providers, including airport 
    operations.
        (vii) To hold, sell, sell by installment contract, 
    lease as lessor, transfer, or dispose of such real or 
    personal property of the Rail Authority, including rail 
    facilities or related facilities, as the Board of Directors 
    deems appropriate in the exercise of its powers and to 
    mortgage, pledge, or otherwise grant security interests in 
    any such property.
        (viii) To enter at reasonable times upon such lands, 
    waters, or premises as, in the judgment of the Board of 
    Directors of the Rail Authority, may be necessary, 
    convenient, or desirable for the purpose of making surveys, 
    soundings, borings, and examinations to accomplish any 
    purpose authorized by Sections 22.1 through 22.7 of this 
    Act after having given reasonable notice of such proposed 
    entry to the owners and occupants of such lands, waters, or 
    premises, the Rail Authority being liable only for actual 
    damage caused by such activity.
        (ix) To enter into contracts of group insurance for the 
    benefit of its employees and to provide for retirement or 
    pensions or other employee benefit arrangements for such 
    employees, and to assume obligations for pensions or other 
    employee benefit arrangements for employees of 
    transportation agencies, all or part of the facilities of 
    which are acquired by the Rail Authority.
        (x) To provide for the insurance of any property, 
    directors, officers, employees, or operations of the Rail 
    Authority against any risk or hazard, and to self-insure or 
    participate in joint self-insurance pools or entities to 
    insure against such risk or hazard.
        (xi) To pass all resolutions and make all rules and 
    regulations proper or necessary to regulate the use, 
    operation, and maintenance of the property and facilities 
    of the Rail Authority and, by resolution, to prescribe 
    fines or penalties for violations of those rules and 
    regulations.  No fine or penalty shall exceed $1,000 per 
    offense.  Any resolution providing for any fine or penalty 
    shall be published in a newspaper of general circulation in 
    the metropolitan region.  No such resolution shall take 
    effect until 10 days after its publication.
        (xii) To enter into arbitration arrangements, which 
    may be final and binding.
        (xiii) To make and execute all contracts and other 
    instruments necessary or convenient to the exercise of its 
    powers.
    (b) In each case in which this Act gives the Rail Authority 
the power to construct or acquire rail facilities or related 
facilities or any other real or personal property, the Rail 
Authority shall have the power to acquire such property by 
contract, purchase, gift, grant, exchange for other property or 
rights in property, lease (or sublease), or installment or 
conditional purchase contracts, which leases or contracts may 
provide for consideration to be paid in installments during a 
period not exceeding 40 years, and to dispose of such property 
or rights by lease or sale as the Board of Directors shall 
determine.  Property may be acquired subject to such conditions, 
restrictions, liens, or security or other interests of other 
parties as the Board of Directors may deem appropriate, and in 
each case the Rail Authority may acquire a joint, leasehold, 
easement, license, or other partial interest in such property.  
Any such acquisition may provide for the assumption of, or 
agreement to pay, perform, or discharge outstanding or 
continuing duties, obligations, or liabilities of the seller, 
lessor, donor, or other transferor of or of the trustee with 
regard to such property.  In connection with the acquisition of 
Rail Facilities or Related Facilities, including, but not 
limited to, vehicles, buses, or rapid transit equipment, the 
Rail Authority may also execute agreements concerning such 
equipment leases, equipment trust certificates, conditional 
purchase agreements, and such other security agreements and may 
make such agreements and covenants as required, in the form 
customarily used in such cases appropriate to effect such 
acquisition.  The Rail Authority may not acquire property by 
eminent domain.
 
    (70 ILCS 5/22.4  new)
    Sec. 22.4. Bonds and notes.
    (a) The Rail Authority shall have the power to borrow money 
and to issue its negotiable bonds or notes as provided in this 
Section.  Unless otherwise indicated in this Section, the term 
"notes" also includes bond anticipation notes, which are notes 
that by their terms provide for their payment from the proceeds 
of bonds subsequently to be issued.  Bonds or notes of the Rail 
Authority may be issued for any or all of the following 
purposes:  to pay costs to the Rail Authority of constructing or 
acquiring any rail facilities or related facilities, to pay  
interest on bonds or notes during any period of construction or 
acquisition of rail facilities or related facilities, to 
establish a debt service reserve fund, to pay costs of issuance 
of the bonds or notes, and to refund its bonds or notes.
    (b) The issuance of any bonds or notes shall be authorized 
by a resolution of the Board of Directors of the Rail 
Authority.  The resolution providing for the issuance of any 
such bonds or notes shall fix their date or dates of maturity, 
the dates on which interest is payable, any sinking fund 
account or reserve fund account provisions, and all other 
details of the bonds or notes and may provide for such 
covenants or agreements necessary or desirable with regard to 
the issue, sale, and security of the bonds or notes.  The rate 
or rates of interest on the bonds or notes may be fixed or 
variable and the Rail Authority shall determine or provide for 
the determination of the rate or rates of interest of its bonds 
or notes issued under this Act in a resolution adopted prior to 
their issuance, none of which rates of interest shall exceed 
that permitted in the Bond Authorization Act.  Bonds and notes 
issued under this Section may be issued as serial or term 
obligations, shall be of such denomination or denominations and 
form, shall be executed in such manner, shall be payable at 
such place or places and bear such date as the Rail Authority 
shall fix by the resolution authorizing such bonds or notes and 
shall mature at such time or times, within a period not to 
exceed 40 years from their date of issue, and may be redeemable 
prior to maturity, with or without premium, at the option of 
the Rail Authority, upon such terms and conditions as the Rail 
Authority shall fix by the resolution authorizing the issuance 
of the bonds or notes.  In case any officer whose signature 
appears on any bonds or notes authorized pursuant to this 
Section shall cease to be an officer before delivery of such 
bonds or notes, the signature shall nevertheless be valid and 
sufficient for all purposes, the same as if the officer had 
remained in office until the delivery.
    (c) Bonds or notes of the Rail Authority issued pursuant to 
this Section shall have a claim for payment as to principal and 
interest from such sources as provided by the resolution 
authorizing such bonds or notes.  Such bonds or notes shall be 
secured as provided in the authorizing resolution of the Board 
of Directors of the Rail Authority, which may, notwithstanding 
any other provision of this Act, include in addition to any 
other security, a specific pledge or assignment of and lien on 
or security interest in any or all receipts of the Rail 
Authority and on any or all other revenues or money of the Rail 
Authority from whatever source, which may by law be utilized 
for debt service purposes, as well as any funds or accounts 
established or provided for the payment of such debt service, 
by the resolution of the Rail Authority authorizing the 
issuance of the bonds or notes.  Any such pledge, assignment, 
lien, or security interest for the benefit of holders of bonds 
or notes of the Rail Authority shall be valid and binding from 
the time the bonds or notes are issued without any physical 
delivery or further act and shall be valid and binding as 
against and prior to the claims of all other parties having 
claims of any kind against the Rail Authority or any other 
person irrespective of whether such other parties have notice 
of such pledge, assignment, lien, or security interest. The 
resolution of the Board of Directors of the Rail Authority 
authorizing the issuance of any bonds or notes may provide 
additional security for such bonds or notes by providing for 
appointment of a corporate trustee (which may be any trust 
company or bank having the powers of a trust company within 
Illinois) with respect to the bonds or notes.  The resolution 
shall prescribe the rights, duties, and powers of the trustee 
to be exercised for the benefit of the Rail Authority and the 
protection of the owners of such bonds or notes.  The resolution 
may provide for the trustee to hold in trust, invest, and use 
amounts in funds and accounts created as provided by the 
resolution with respect to the bonds or notes.
 
    (70 ILCS 5/22.6  new)
    Sec. 22.6. Exemption from taxation.  The Rail Authority and 
the Rail Corporation shall be exempt from all State and unit of 
local government taxes and registration and license fees.  All 
property of the Rail Authority or of the Rail Corporation shall 
be public property devoted to an essential public and 
governmental function and purpose and shall be exempt from all 
taxes and special assessments of the State, any subdivision of 
the State, or any unit of local government.
 
    (70 ILCS 5/22.7  new)
    Sec. 22.7. Federal, State, and other funds.  The Rail 
Authority shall have the power to apply for, receive, and 
expend grants, loans, or other funds from the State of Illinois 
or any of its departments or agencies, from any unit of local 
government, or from the federal government or any of its 
departments or agencies, for use in connection with any of the 
powers or purposes of the Rail Authority as set forth in this 
Act, and to enter into agreements with the lending or granting 
agency in connection with any such loan or grant.

 
    Section 99. Effective date. This Act takes effect upon 
becoming law.



Effective Date:  10/11/2007