Public Act 90-0083 of the 90th General Assembly
Public Act 90-0083
HB2209 Enrolled LRB9002843DNmb
AN ACT to amend the Joliet Arsenal Development Authority
Act by changing Sections 10.20, 10.40, 10.45, 10.55, 25, and
35.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Joliet Arsenal Development Authority Act
is amended by changing Sections 10.20, 10.40, 10.45, 10.55,
25, and 35 as follows:
(70 ILCS 508/10.20)
Sec. 10.20. Costs incurred in connection with the
development, construction, acquisition, or improvement of a
project. "Costs incurred in connection with the development,
construction, acquisition, or improvement of a project" means
the following: the cost of purchase and construction of all
lands and related improvements, together with the equipment
and other property, rights, easements, and franchises
acquired that are deemed necessary for the construction;
financing charges; interest costs with respect to revenue
bonds, notes, and other evidences of indebtedness of the
Authority prior to and during construction and for a period
of 36 6 months thereafter; engineering and legal expenses;
the costs of plans, specifications, surveys, and estimates of
costs and other expenses necessary or incident to determining
the feasibility or practicability of any project, together
with such other expenses as may be necessary or incident to
the financing, insuring, acquisition, and construction of a
specific project and the placing of the project in operation.
(Source: P.A. 89-333, eff. 8-17-95.)
(70 ILCS 508/10.40)
Sec. 10.40. Lease agreement. "Lease agreement" means an
agreement under which a project acquired by the Authority by
purchase, gift, or lease is leased to any person or
governmental agency that will use or cause the project to be
used as a project upon terms providing for lease rental
payments at least sufficient to pay when due the lessee's pro
rata share of all principal of and interest and premium, if
any, on any revenue bonds, notes, or other evidences of
indebtedness of the Authority issued with respect to the
project, providing for the maintenance, insurance, and
operation of the project on terms satisfactory to the
Authority, and providing for disposition of the project upon
termination of the lease term, including purchase options or
abandonment of the premises, with such other terms as may be
deemed desirable by the Authority.
(Source: P.A. 89-333, eff. 8-17-95.)
(70 ILCS 508/10.45)
Sec. 10.45. Loan agreement. "Loan agreement" means any
agreement by which the Authority agrees to loan the proceeds
of its revenue bonds, notes, or other evidences of
indebtedness issued with respect to a project to any person
or governmental agency that will use or cause the project to
be used as a project upon terms providing for loan repayment
installments at least sufficient to pay when due the
borrower's pro rata share of all principal of and interest
and premium, if any, on any revenue bonds, notes, or other
evidences of indebtedness of the Authority issued with
respect to the project, providing for maintenance, insurance,
and operation of the project on terms satisfactory to the
Authority, and providing for other matters as may be deemed
advisable by the Authority.
(Source: P.A. 89-333, eff. 8-17-95.)
(70 ILCS 508/10.55)
Sec. 10.55. Project. "Project" means an industrial or,
commercial, or service project or any combination thereof
provided that all uses shall fall within one of those
categories. Any project shall automatically include all site
improvements and new construction involving sidewalks,
sewers, solid waste and wastewater treatment and disposal
sites and other pollution control facilities, resource or
waste reduction, recovery, treatment, and disposal
facilities, parks, open spaces, wildlife sanctuaries,
streets, highways, and runways.
(Source: P.A. 89-333, eff. 8-17-95.)
(70 ILCS 508/25)
Sec. 25. Powers.
(a) The Authority possesses all powers of a body
corporate necessary and convenient to accomplish the purpose
of this Act, including without limitation the following:
(1) to enter into loans, contracts, agreements, and
mortgages in any matter connected with any of its
corporate purposes and to invest its funds;
(2) to sue and be sued;
(3) to employ agents and employees necessary to
carry out its purposes;
(4) to have, use, and alter a common seal;
(5) to adopt all needful ordinances, resolutions,
by-laws, rules, and regulations for the conduct of its
business and affairs and for the management and use of
the projects developed, constructed, acquired, and
improved in furtherance of its purposes;
(6) to designate the fiscal year for the Authority;
(7) to accept and expend appropriations;
(8) to have and exercise all powers and be subject
to all duties usually incident to boards of directors of
corporations;
(9) to acquire, own, lease, sell, or otherwise
dispose of interests in and to real property and
improvements situated thereon and in personal property
necessary to fulfill the purposes of the Authority;
(10) to engage in any activity or operation that is
incidental to and in furtherance of efficient operation
to accomplish the Authority's primary purpose;
(11) to acquire, own, construct, lease, operate,
and maintain within its corporate limits terminals and
terminal facilities and to fix and collect just,
reasonable, and nondiscriminatory charges for the use of
those facilities;
(12) to collect fees and charges in connection with
its loans, commitments, and services;
(13) to use the charges and fees collected as
authorized under paragraphs (11) and (12) of this Section
to defray the reasonable expenses of the Authority and to
pay the principal and interest of any revenue bonds
issued by the Authority; and
(14) to use ground water resources of Will County;
and.
(15) to borrow money and to issue revenue bonds,
notes, or other evidences of indebtedness as provided in
Section 35 of this Act to evidence the obligation of the
Authority to repay the borrowings.
(Source: P.A. 89-333, eff. 8-17-95.)
(70 ILCS 508/35)
Sec. 35. Revenue Bonds.
(a) The Authority, with the written approval of the
Governor, shall have the continuing power to issue revenue
bonds, notes, or other evidences of indebtedness in an
aggregate amount not to exceed $100,000,000 for the purpose
of developing, constructing, acquiring, or improving
projects, including those established by business entities
locating or expanding property within the territorial
jurisdiction of the Authority, for entering into venture
capital agreements with businesses locating or expanding
within the territorial jurisdiction of the Authority, for
acquiring and improving any property necessary and useful in
connection therewith, and 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 revenue bonds,
notes, or other evidences of indebtedness pursuant to
redemption provisions or at any time before maturity. All
such revenue bonds, notes, or other evidences of indebtedness
shall be payable solely 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, including, when
so provided by ordinance of the Authority authorizing the
issuance of revenue bonds or notes. The revenue 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 revenue 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 such revenue
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 any such revenue
bonds, notes, or other evidences of indebtedness by the
provision of the resolution authorizing their issuance and to
enjoin such corporation, person, the Authority, and any of
its agents or employees from taking any action in conflict
with any such contract or covenant.
(c) If the Authority fails to pay the principal of or
interest on any of the revenue bonds or premium, if any, as
the same become due, a civil action to compel payment may be
instituted in the appropriate circuit court by the holder or
holders of the revenue bonds on which such default of payment
exists or by an indenture trustee acting on behalf of such
holders. Delivery of a summons and a copy of the complaint
to the Chairperson of the Board shall constitute sufficient
service to give the circuit court jurisdiction of the subject
matter of such a 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 such
revenue bonds, notes, or other evidences of indebtedness and
in the absence of any express recital on the face of any such
revenue bond, note, or other evidence of indebtedness that it
is non-negotiable, all such revenue bonds, notes, and other
evidences of indebtedness shall be negotiable instruments.
Pending the preparation and execution of any such revenue
bonds, notes, or other evidences of indebtedness, temporary
revenue bonds, notes, or evidences of indebtedness may be
issued as provided by ordinance.
(e) To secure the payment of any or all of such revenue
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 thereof and the
issuance of any additional revenue 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 such mortgage
or trust agreement by the Authority may be by mandamus
proceedings in the appropriate circuit court to compel the
performance and compliance therewith, but the trust agreement
may prescribe by whom or on whose behalf the action may be
instituted.
(f) The revenue bonds or notes shall be secured as
provided in the authorizing ordinance 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
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 such
revenue bonds or notes.
(g) Blank. 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 revenue bonds
during the next State fiscal year, the Chairperson, as soon
as practicable, shall certify to the Governor the amount
required by the Authority to enable it to pay such principal
of and interest on the revenue bonds. The Governor shall
submit the amount so certified to the General Assembly as
soon as practicable, but no later than the end of the current
State fiscal year. Neither the General Assembly, the
Governor, nor the State, however, has any obligation to
appropriate or otherwise provide funds for the payment of
such principal and interest. This subsection shall not apply
to any revenue bonds or notes as to which the Authority shall
have determined, in the resolution authorizing the issuance
of the revenue bonds or notes, that this subsection shall not
apply. Whenever the Authority makes such a determination,
that fact shall be plainly stated on the face of the bonds or
notes and that fact 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
revenue bonds, the Chairperson 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 revenue bonds. The
Governor shall submit the amount so certified to the General
Assembly as soon as practicable, but no later than the end of
the current State fiscal year. Neither the General Assembly,
the Governor, nor the State, however, has any obligation to
appropriate or otherwise provide funds to restore the reserve
fund.
(h) The State of Illinois pledges to and agrees with the
holders of the revenue 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 such holders or in any way impair the
rights and remedies of such holders until such revenue 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 such holders, are fully met and discharged. The
Authority is authorized to include these pledges and
agreements of the State in any contract with the holders of
revenue bonds or notes issued pursuant to this Section.
(i) The revenue bonds, notes, and other evidences of
indebtedness authorized by this Act are not, and shall not be
construed to be, "State debt" within the meaning of Section 9
of Article IX of the Illinois Constitution, are not secured
by the full faith and credit of the State, and are not
required to be repaid, directly or indirectly, from tax
revenue.
(Source: P.A. 89-333, eff. 8-17-95.)
Section 99. Effective date. This Act takes effect upon
becoming law.