Illinois General Assembly - Full Text of Public Act 096-0196
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Public Act 096-0196


 

Public Act 0196 96TH GENERAL ASSEMBLY



 


 
Public Act 096-0196
 
HB1089 Enrolled LRB096 07999 RLJ 18103 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 Quad Cities Regional Economic Development
Authority Act, approved September 22, 1987 is amended by
changing Section 9 as follows:
 
    (70 ILCS 510/9)  (from Ch. 85, par. 6209)
    Sec. 9. Bonds and notes. (a)(1) The Authority may, with the
written approval of the Governor, at any time and from time to
time, issue bonds and notes for any corporate purpose,
including the establishment of reserves and the payment of
interest. In this Act the term "bonds" includes notes of any
kind, interim certificates, refunding bonds or any other
evidence of obligation.
    (2) The bonds of any issue shall be payable solely from the
property or receipts of the Authority, including, without
limitation:
    (I) fees, charges or other revenues payable to the
Authority;
    (II) payments by financial institutions, insurance
companies, or others pursuant to letters or lines of credit,
policies of insurance, or purchase agreements;
    (III) investment earnings from funds or accounts
maintained pursuant to a bond resolution or trust agreement;
and
    (IV) proceeds of refunding bonds.
    (3) Bonds shall be authorized by a resolution of the
Authority and may be secured by a trust agreement by and
between the Authority and a corporate trustee or trustees,
which may be any trust company or bank having the powers of a
trust company within or without the State. Bonds shall:
    (I) be issued at, above or below par value, for cash or
other valuable consideration, and mature at time or times,
whether as serial bonds or as term bonds or both, not exceeding
40 years from their respective date of issue; however, the
length of the term of the bond should bear a reasonable
relationship to the value life of the item financed;
    (II) bear interest at the fixed or variable rate or rates
determined by the method provided in the resolution or trust
agreement;
    (III) be payable at a time or times, in the denominations
and form, either coupon or registered or both, and carry the
registration and privileges as to conversion and for the
replacement of mutilated, lost or destroyed bonds as the
resolution or trust agreement may provide;
    (IV) be payable in lawful money of the United States at a
designated place;
    (V) be subject to the terms of purchase, payment,
redemption, refunding or refinancing that the resolution or
trust agreement provides;
    (VI) be executed by the manual or facsimile signatures of
the officers of the Authority designated by the Authority,
which signatures shall be valid at delivery even for one who
has ceased to hold office; and
    (VII) be sold in the manner and upon the terms determined
by the Authority.
    (b) Any resolution or trust agreement may contain
provisions which shall be a part of the contract with the
holders of the bonds as to:
    (1) pledging, assigning or directing the use, investment or
disposition of receipts of the Authority or proceeds or
benefits of any contract and conveying or otherwise securing
any property or property rights;
    (2) the setting aside of loan funding deposits, debt
service reserves, capitalized interest accounts, cost of
issuance accounts and sinking funds, and the regulations,
investment and disposition thereof;
    (3) limitations on the purpose to which or the investments
in which the proceeds of sale of any issue of bonds may be
applied and restrictions to investment of revenues or bond
proceeds in government obligations for which principal and
interest are unconditionally guaranteed by the United States of
America;
    (4) limitations on the issue of additional bonds, the terms
upon which additional bonds may be issued and secured, the
terms upon which additional bonds may rank on a parity with, or
be subordinate or superior to, other bonds;
    (5) the refunding or refinancing of outstanding bonds;
    (6) the procedure, if any, by which the terms of any
contract with bondholders may be altered or amended and the
amount of bonds and holders of which must consent thereto, and
the manner in which consent shall be given;
    (7) defining the acts or omissions which shall constitute a
default in the duties of the Authority to holders of bonds and
providing the rights or remedies of such holders in the event
of a default which may include provisions restricting
individual right of action by bondholders;
    (8) providing for guarantees, pledges of property, letters
of credit, or other security, or insurance for the benefit of
bondholders; and
    (9) any other matter relating to the bonds which the
Authority determines appropriate.
    (c) No member of the Authority nor any person executing the
bonds shall be liable personally on the bonds or subject to any
personal liability by reason of the issuance of the bonds.
    (d) The Authority may enter into agreements with agents,
banks, insurers or others for the purpose of enhancing the
marketability of or as security for its bonds.
    (e)(1) A pledge by the Authority of revenues as security
for an issue of bonds shall be valid and binding from the time
when the pledge is made.
    (2) The revenues pledged shall immediately be subject to
the lien of the pledge without any physical delivery or further
act, and the lien of any pledge shall be valid and binding
against any person having any claim of any kind in tort,
contract or otherwise against the Authority, irrespective of
whether the person has notice.
    (3) No resolution, trust agreement or financing statement,
continuation statement, or other instrument adopted or entered
into by the Authority need be filed or recorded in any public
record other than the records of the authority in order to
perfect the lien against third persons, regardless of any
contrary provision of law.
    (f) The Authority may issue bonds to refund any of its
bonds then outstanding, including the payment of any redemption
premium and any interest accrued or to accrue to the earliest
or any subsequent date of redemption, purchase or maturity of
the bonds. Refunding bonds may be issued for the public
purposes of realizing savings in the effective costs of debt
service, directly or through a debt restructuring, for
alleviating impending or actual default and may be issued in
one or more series in an amount in excess of that of the bonds
to be refunded.
    (g) Bonds or notes of the Authority may be sold by the
Authority through the process of competitive bid or negotiated
sale.
    (h) At no time shall the total outstanding bonds and notes
of the Authority exceed $250 $100 million.
    (i) The bonds and notes of the Authority shall not be debts
of the State.
    (j) In no event may proceeds of bonds or notes issued by
the Authority be used to finance any structure which is not
constructed pursuant to an agreement between the Authority and
a party, which provides for the delivery by the party of a
completed structure constructed pursuant to a fixed price
contract, and which provides for the delivery of such structure
at such fixed price to be insured or guaranteed by a third
party determined by the Authority to be capable of completing
construction of such a structure.
(Source: P.A. 85-713.)
 
    Section 10. The Quad Cities Regional Economic Development
Authority Act, certified December 30, 1987 is amended by
changing Section 9 as follows:
 
    (70 ILCS 515/9)  (from Ch. 85, par. 6509)
    Sec. 9. Bonds and notes. (a)(1) The Authority may, with the
written approval of the Governor, at any time and from time to
time, issue bonds and notes for any corporate purpose,
including the establishment of reserves and the payment of
interest. In this Act the term "bonds" includes notes of any
kind, interim certificates, refunding bonds or any other
evidence of obligation.
    (2) The bonds of any issue shall be payable solely from the
property or receipts of the Authority, including, without
limitation:
    (I) fees, charges or other revenues payable to the
Authority;
    (II) payments by financial institutions, insurance
companies, or others pursuant to letters or lines of credit,
policies of insurance, or purchase agreements;
    (III) investment earnings from funds or accounts
maintained pursuant to a bond resolution or trust agreement;
and
    (IV) proceeds of refunding bonds.
    (3) Bonds shall be authorized by a resolution of the
Authority and may be secured by a trust agreement by and
between the Authority and a corporate trustee or trustees,
which may be any trust company or bank having the powers of a
trust company within or without the State. Bonds shall:
    (I) be issued at, above or below par value, for cash or
other valuable consideration, and mature at time or times,
whether as serial bonds or as term bonds or both, not exceeding
40 years from their respective date of issue; however, the
length of the term of the bond should bear a reasonable
relationship to the value life of the item financed;
    (II) bear interest at the fixed or variable rate or rates
determined by the method provided in the resolution or trust
agreement;
    (III) be payable at a time or times, in the denominations
and form, either coupon or registered or both, and carry the
registration and privileges as to conversion and for the
replacement of mutilated, lost or destroyed bonds as the
resolution or trust agreement may provide;
    (IV) be payable in lawful money of the United States at a
designated place;
    (V) be subject to the terms of purchase, payment,
redemption, refunding or refinancing that the resolution or
trust agreement provides;
    (VI) be executed by the manual or facsimile signatures of
the officers of the Authority designated by the Authority,
which signatures shall be valid at delivery even for one who
has ceased to hold office; and
    (VII) be sold in the manner and upon the terms determined
by the Authority.
    (b) Any resolution or trust agreement may contain
provisions which shall be a part of the contract with the
holders of the bonds as to:
    (1) pledging, assigning or directing the use, investment or
disposition of receipts of the Authority or proceeds or
benefits of any contract and conveying or otherwise securing
any property or property rights;
    (2) the setting aside of loan funding deposits, debt
service reserves, capitalized interest accounts, cost of
issuance accounts and sinking funds, and the regulations,
investment and disposition thereof;
    (3) limitations on the purpose to which or the investments
in which the proceeds of sale of any issue of bonds may be
applied and restrictions to investment of revenues or bond
proceeds in government obligations for which principal and
interest are unconditionally guaranteed by the United States of
America;
    (4) limitations on the issue of additional bonds, the terms
upon which additional bonds may be issued and secured, the
terms upon which additional bonds may rank on a parity with, or
be subordinate or superior to, other bonds;
    (5) the refunding or refinancing of outstanding bonds;
    (6) the procedure, if any, by which the terms of any
contract with bondholders may be altered or amended and the
amount of bonds and holders of which must consent thereto, and
the manner in which consent shall be given;
    (7) defining the acts or omissions which shall constitute a
default in the duties of the Authority to holders of bonds and
providing the rights or remedies of such holders in the event
of a default which may include provisions restricting
individual right of action by bondholders;
    (8) providing for guarantees, pledges of property, letters
of credit, or other security, or insurance for the benefit of
bondholders; and
    (9) any other matter relating to the bonds which the
Authority determines appropriate.
    (c) No member of the Authority nor any person executing the
bonds shall be liable personally on the bonds or subject to any
personal liability by reason of the issuance of the bonds.
    (d) The Authority may enter into agreements with agents,
banks, insurers or others for the purpose of enhancing the
marketability of or as security for its bonds.
    (e)(1) A pledge by the Authority of revenues as security
for an issue of bonds shall be valid and binding from the time
when the pledge is made.
    (2) The revenues pledged shall immediately be subject to
the lien of the pledge without any physical delivery or further
act, and the lien of any pledge shall be valid and binding
against any person having any claim of any kind in tort,
contract or otherwise against the Authority, irrespective of
whether the person has notice.
    (3) No resolution, trust agreement or financing statement,
continuation statement, or other instrument adopted or entered
into by the Authority need be filed or recorded in any public
record other than the records of the authority in order to
perfect the lien against third persons, regardless of any
contrary provision of law.
    (f) The Authority may issue bonds to refund any of its
bonds then outstanding, including the payment of any redemption
premium and any interest accrued or to accrue to the earliest
or any subsequent date of redemption, purchase or maturity of
the bonds. Refunding bonds may be issued for the public
purposes of realizing savings in the effective costs of debt
service, directly or through a debt restructuring, for
alleviating impending or actual default and may be issued in
one or more series in an amount in excess of that of the bonds
to be refunded.
    (g) Bonds or notes of the Authority may be sold by the
Authority through the process of competitive bid or negotiated
sale.
    (h) At no time shall the total outstanding bonds and notes
of the Authority exceed $250 $100 million.
    (i) The bonds and notes of the Authority shall not be debts
of the State.
    (j) In no event may proceeds of bonds or notes issued by
the Authority be used to finance any structure which is not
constructed pursuant to an agreement between the Authority and
a party, which provides for the delivery by the party of a
completed structure constructed pursuant to a fixed price
contract, and which provides for the delivery of such structure
at such fixed price to be insured or guaranteed by a third
party determined by the Authority to be capable of completing
construction of such a structure.
(Source: P.A. 85-988.)
 
    (70 ILCS 510/9.1 rep.)
    Section 15. The Quad Cities Regional Economic Development
Authority Act, approved September 22, 1987 is amended by
repealing Section 9.1.
 
    (70 ILCS 515/9.1 rep.)
    Section 20. The Quad Cities Regional Economic Development
Authority Act, certified December 30, 1987 is amended by
repealing Section 9.1.

Effective Date: 1/1/2010