Section 1650.1030  Funds

a)         The Board shall maintain "The Public Building Fund" as provided in [30 ILCS 105/5.37] and the Illinois Building Authority Act [20 ILCS 3110/8], to which shall be deposited all funds received from

1)         the sale of bonds,

2)         charges, fees or rentals, and

3)         all other revenue derived from any project undertaken pursuant to the Act.

            The State Treasurer is ex officio custodian of such fund. Disbursements shall be made from such fund upon the order of the Board.

b)         Special accounts created in "The Public Building Fund" for each separate project or any combination thereof undertaken pursuant to the Act are as follows:

1)         Building Fund Account:  Proceeds from the sale of bonds and any other funds received from others for credit to any specified account to pay the costs of any project;

2)         General Operation and Administrative Fund:  Proceeds from income and rents sufficient at all times to pay the proportionate share of the administrative expenses of the Authority as determined by the Board and provided for in each lease;

3)         Bond and Interest Sinking Fund:  Proceeds from income and rents sufficient at all times to pay the principal of and interest on the bonds due on and before the next succeeding April 1;

4)         Bond and Interest Sinking Fund Reserve Account:  A special account within the Bond and Interest Sinking Fund consisting of proceeds from income and rents in excess of the amounts required for current principal and interest payments and administrative expenses, which shall be held and used to the extent necessary for the purpose of paying interest or principal on all Bonds in the event no other revenues are available for such purpose.

c)         The Board shall effect net defeasance of all outstanding bonds of the Illinois Building Authority as soon as feasible.  Net defeasance is defined as the deposit in escrow of U.S. Treasury Securities in an amount sufficient, when added to guaranteed interest earnings from such securities, to pay all future debt service on the bonds and associated administrative expenses.

(Source:  Amended at 20 Ill. Reg. 9917, effective July 16, 1996)