Public Act 097-0717
 
HB4445 EnrolledLRB097 14628 KMW 59508 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 Southeastern Illinois
Economic Development 
Authority
Act is amended  by changing Sections 20, 25, and 35 as 
follows:
 
    (70 ILCS 518/20)

    Sec. 20. Creation.


    (a) There is created a political subdivision, body politic, 
and municipal
corporation named the Southeastern
Illinois 
Economic Development Authority. The territorial jurisdiction 
of the
Authority is that geographic
area within the boundaries 
of the following counties: Fayette, Cumberland, Clark, 
Effingham, Jasper, Crawford, Marion, Clay, Richland, Lawrence, 
Jefferson, Wayne, Edwards, Wabash, Hamilton, and White; 
Irvington Township in Washington County; and any
navigable 
waters and
air space located therein.


    (b) The governing and administrative powers of the 
Authority shall be vested
in a body consisting of 27 10
members 
as follows: 
        (1) Public members. Nine members shall be appointed by 
    the Governor
with the advice and
consent of the Senate. The 
    county board chairmen of the following counties shall each 
    appoint one member: Clark, Clay, Crawford, Cumberland, 
    Edwards, Effingham, Fayette, Hamilton, Jasper, Jefferson, 
    Lawrence, Marion, Richland, Wabash, Washington, Wayne, and 
    White. 
        (2) One member shall be appointed by the Director of 
    Commerce and Economic Opportunity. 
    All public members shall reside within
the territorial

jurisdiction of the Authority.
The public members shall be 
persons of recognized ability and experience in one
or more of 
the following
areas: economic development, finance, banking, 
industrial development, state or
local government, commercial 
agriculture, small
business management, real
estate 
development, community development, venture finance, organized 
labor, or
civic or community
organization.


    (c) Fourteen Six members shall constitute a quorum.


    (d) The chairman of the Authority shall be elected annually 
by the Board.


    (e) The terms of the all initial members of the Authority 
shall begin 30 days
after the effective date of this
Act. Of 
the 10 original members appointed by the Governor and the 
Director of Commerce and Economic Opportunity pursuant to 
subsection (b), one shall serve until the third Monday in 
January, 2005; one shall serve until the third Monday in 
January, 2006; 2 shall serve until the third Monday in January, 
2007; 2 shall serve until the third Monday in January, 2008; 2 
shall serve until the third Monday in January, 2009; and 2 
shall serve until the third Monday in January, 2010. The terms 
of the initial public members of the Authority appointed by the 
county board chairmen shall begin 30 days after the effective 
date of this amendatory Act of the 97th General Assembly.  The 
terms of the initial public members appointed by the county 
board chairmen shall be determined by lot, according to the 
following schedule: (i) 4 shall serve until the third Monday in 
January, 2013, (ii) 4 shall serve until the third Monday in 
January, 2014, (iii) 3 shall serve until the third Monday in 
January, 2015, (iv) 3 shall serve until the third Monday in 
January, 2016, and (v) 3 shall serve until the third Monday in 
January, 2017.  All successors to these initial members shall be 
appointed by the original appointing authority All successors 
to these original public members shall be appointed by the 
Governor with the advice and consent of the Senate, or by the 
Director of Commerce and Economic Opportunity, as the case may 
be, pursuant to subsection (b), and shall hold office for a 
term of 3 years commencing the third Monday in January of the 
year in which their term commences, except in the case of an 
appointment to fill a vacancy. Vacancies occurring among the 
public members shall be filled for the
remainder of the term. 
In case of
a vacancy in a Governor-appointed membership when 
the Senate is not in session,
the Governor may make a
temporary 
appointment until the next meeting of the Senate when a person 
shall
be nominated to fill the
office and, upon confirmation by 
the Senate, he or she shall hold office during
the remainder of 
the term
and until a successor is appointed and qualified. 
Members of the Authority are
not entitled to
compensation for 
their services as members but are  entitled to reimbursement
for 
all necessary expenses
incurred in connection with the 
performance of their duties as members.
Members of the Board 
may participate in Board meetings by teleconference or video 
conference.

    (f) The Governor may remove any public member of the 
Authority appointed by the Governor, and the Director of 
Commerce and Economic Opportunity may remove any public member 
appointed by the Director, in case of
incompetence, neglect of

duty, or malfeasance in office. The chairman of a county board, 
with the approval of a majority vote of the county board, may 
remove any public member appointed by that chairman in the case 
of incompetence, neglect of duty, or malfeasance in office. 

    (g) The Board shall appoint an Executive Director who shall 
have a
background in finance, including
familiarity with the 
legal and procedural requirements of issuing bonds, real

estate, or economic
development and administration. The 
Executive Director shall hold office at the
discretion of the 
Board.
The Executive Director shall be the chief administrative 
and operational
officer of the Authority, shall
direct and 
supervise its administrative affairs and general management, 
perform
such other duties as may
be prescribed from time to 
time by the members, and receive compensation fixed
by the 
Authority. The
Executive Director shall attend all meetings of 
the Authority. However, no
action of the Authority shall be

invalid on account of the absence of the Executive Director 
from a meeting. The
Authority may engage
the services of the 
Illinois Finance Authority, attorneys, appraisers,
engineers, 
accountants, credit
analysts, and other consultants, if the 
Southeastern Illinois Economic Development Authority deems it 
advisable.


(Source: P.A. 93-968, eff. 8-20-04; 94-613, eff. 8-18-05.)
 
    (70 ILCS 518/25)

    Sec. 25. Duty.  All official acts of the Authority shall 
require the
approval of at least 14 6 members. It
shall be the 
duty of the Authority to promote development within the 
territorial jurisdiction of the Authority. The Authority shall 
use the powers conferred upon it to assist in the
development, 
construction,
and acquisition of industrial, commercial, 
housing, or residential projects
within its territorial 
jurisdiction.


(Source: P.A. 93-968, eff. 8-20-04; 94-613, eff. 8-18-05.)
 
    (70 ILCS 518/35)

    Sec. 35. Bonds.


    (a) The Authority, with the written approval of the 
Governor, shall have the
continuing power to issue
bonds, 
notes, or other evidences of indebtedness in an aggregate 
amount not to
exceed $250,000,000 for the
following purposes: 
(i) development, construction, acquisition, or improvement
of 
projects, including those
established by business entities 
locating or expanding property within the
territorial 
jurisdiction of the
Authority; (ii) entering into venture 
capital agreements with businesses
locating or expanding 
within the
territorial jurisdiction of the Authority; (iii) 
acquisition and improvement of
any property necessary and

useful in connection therewith; and (iv) for the purposes of 
the Employee
Ownership Assistance Act. For
the purpose of 
evidencing the obligations of the Authority to repay any money

borrowed, the Authority
may, pursuant to resolution, from time 
to time, issue and dispose of its interest-bearing revenue 
bonds,
notes, or other evidences of indebtedness and may also 
from time to time issue and dispose of such bonds,
notes, or 
other evidences of indebtedness to refund, at maturity, at a 
redemption date or in advance of
either, any bonds, notes, or 
other evidences of indebtedness pursuant to redemption 
provisions or at any
time before maturity. All such bonds, 
notes, or other evidences of indebtedness shall be payable 
solely and
only from the revenues or income to be derived from 
loans made with respect to projects, from the leasing
or sale 
of the projects, or from any other funds available to the 
Authority for such purposes. The bonds,
notes, or other 
evidences of indebtedness may bear such date or dates, may 
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 permitted by the Bond Authorization 
Act, 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 made subject
to redemption in such 
manner and upon such terms, with or without premium, as is 
stated on the face
thereof, may be authenticated in such manner 
and may contain such terms and
covenants as may be
provided by 
an applicable resolution.


    (b) The holder or holders of any bonds, notes, or other 
evidences of
indebtedness issued by the
Authority may bring 
suits at law or proceedings in equity to compel the
performance 
and observance by
any corporation or person or by the Authority 
or any of its agents or employees
of any contract or covenant

made with the holders of the bonds, notes, or other evidences 
of indebtedness,
to compel such corporation,
person, the 
Authority, and any of its agents or employees to perform any 
duties
required to be performed
for the benefit of the holders 
of the bonds, notes, or other evidences of
indebtedness by the 
provision of the
resolution authorizing their issuance and to 
enjoin the corporation, person,
the Authority, and any of its

agents or employees from taking any action in conflict with any 
contract or
covenant.


    (c) If the Authority fails to pay the principal of or 
interest on any of the
bonds or premium, if any, as the
bond 
becomes due, a civil action to compel payment may be instituted 
in the
appropriate circuit court by
the holder or holders of 
the bonds on which the default of payment exists or by
an 
indenture trustee acting
on behalf of the holders. Delivery of 
a summons and a copy of the complaint to
the chairman of the 
Board
shall constitute sufficient service to give the circuit 
court jurisdiction over
the subject matter of the suit and

jurisdiction over the Authority and its officers named as 
defendants for the
purpose of compelling such
payment. Any 
case, controversy, or cause of action concerning the validity 
of
this Act relates to the
revenue of the State of Illinois.


    (d) Notwithstanding the form and tenor of any bond, note, 
or other evidence
of indebtedness and in
the absence of any 
express recital on its face that it is non-negotiable, all
such 
bonds, notes, and other
evidences of indebtedness shall be 
negotiable instruments. Pending the
preparation and execution 
of any
bonds, notes, or other evidences of indebtedness, 
temporary bonds, notes, or
evidences of indebtedness may
be 
issued as provided by ordinance.


    (e) To secure the payment of any or all of such bonds, 
notes, or other
evidences of indebtedness, the
revenues to be 
received by the Authority from a lease agreement or loan

agreement shall be pledged, and,
for the purpose of setting 
forth the covenants and undertakings of the
Authority in 
connection with the
issuance of the bonds, notes, or other 
evidences of indebtedness and the
issuance of any additional 
bonds,
notes or other evidences of indebtedness payable from 
such revenues, income, or other funds to be derived
from 
projects, the Authority may execute and deliver a mortgage or 
trust agreement. A remedy for any
breach or default of the 
terms of any mortgage or trust agreement by the Authority may 
be by mandamus
proceeding in the appropriate circuit court to 
compel performance and compliance under the terms of the

mortgage or trust agreement, but the trust agreement may 
prescribe by whom or on whose behalf the action
may be 
instituted.


    (f) Bonds or notes shall be secured as provided in the 
authorizing ordinance which may include,
notwithstanding any 
other provision of this Act, in addition to any other security, 
a specific pledge,
assignment of and lien on, or security 
interest in any or all revenues or money of the Authority, from

whatever source, which may, by law, be used for debt service 
purposes and a
specific pledge, or assignment
of and lien on, 
or security interest in any funds or accounts established or

provided for by ordinance of the
Authority authorizing the 
issuance of the bonds or notes.


    (g) In the event that the Authority determines that moneys 
of the Authority
will not be sufficient for the
payment of the 
principal of and interest on its bonds during the next State

fiscal year, the chairman, as soon
as practicable, shall 
certify to the Governor the amount required by the
Authority to 
enable it to pay the
principal of and interest on the bonds. 
The Governor shall submit the certified
amount to the General

Assembly as soon as practicable, but no later than the end of 
the current State
fiscal year. This Section shall
not apply to 
any bonds or notes to which the Authority determines, in the

resolution authorizing the
issuance of the bonds or notes, that 
this Section shall not apply. Whenever the
Authority makes this

determination, it shall be plainly stated on the face of the 
bonds or notes and
the determination shall also be
reported to 
the Governor.
 In the event of a withdrawal of moneys from a 
reserve fund established with
respect to any issue or
issues of 
bonds of the Authority to pay principal or interest on those 
bonds,
the chairman of the Authority,
as soon as practicable, 
shall certify to the Governor the amount required to
restore 
the reserve fund to the
level required in the resolution or 
indenture securing those bonds. The
Governor shall submit the 
certified
amount to the General Assembly as soon as 
practicable, but no later than the
end of the current State 
fiscal
year.
This subsection (g) shall not apply to any bond 
issued on or after the effective date of this amendatory Act of 
the 97th General Assembly. 

    (h) The State of Illinois pledges to and agrees with the 
holders of the
bonds and notes of the Authority
issued pursuant 
to this Section that the State will not limit or alter the 
rights and powers vested in the
Authority by this Act so as to 
impair the terms of any contract made by the Authority with the 
holders of
bonds or notes or in any way impair the rights and 
remedies of those holders until the bonds and notes,
together 
with interest thereon, with interest on any unpaid installments 
of interest, and all costs and
expenses in connection with any 
action or proceedings by or on behalf of the holders, are fully 
met and
discharged. In addition, the State pledges to and 
agrees with the holders of the bonds and notes of the
Authority 
issued pursuant to this Section that the State will not limit 
or alter the basis on which State funds
are to be paid to the 
Authority as provided in this Act, or the use of such funds, so 
as to impair the terms of
any such contract. The Authority is 
authorized to include these pledges and agreements of the State 
in any
contract with the holders of bonds or notes issued 
pursuant to this Section.



(Source: P.A. 93-968, eff. 8-20-04.)
 
 
    Section 99. Effective date. This Act takes effect upon 
becoming law. 
  


Effective Date:  06/29/2012