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LRB095 15068 AMC 41028 b |
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| to operate or manage a casino.
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| "Executive director" means the person appointed by the |
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| Board to oversee the
daily operations of the Authority.
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| "Gaming Board" means the Illinois Gaming Board created by |
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| the Illinois Gambling Act.
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| "Mayor" means the Mayor of the City.
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| Section 1-12. Creation of the Authority. After the 5 |
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| members of the Illinois Gaming Board are appointed and |
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| qualified pursuant to this amendatory Act of the 95th General |
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| Assembly, there is hereby created a political subdivision, unit |
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| of local government with only the powers authorized by law, |
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| body politic, and municipal corporation, by the name and style |
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| of the Chicago Casino Development Authority. |
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| Section 1-13. Duties of the Authority. It shall be the duty |
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| of the Authority, as a casino licensee under the Illinois |
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| Gambling Act, to promote, operate, and maintain a casino in the |
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| City. The Authority shall construct, equip, and maintain |
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| grounds, buildings, and facilities for that purpose. The |
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| Authority has the right to contract with a casino operator |
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| licensee and other third parties in order to fulfill its |
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| purpose. The Authority is granted all rights and powers |
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| necessary to perform such duties. |
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| Section 1-15. Board. |
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HB4194 |
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LRB095 15068 AMC 41028 b |
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| (a) The governing and administrative powers of the |
| 2 |
| Authority shall be vested
in a body known as the Chicago Casino |
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| Development Board. The Board shall
consist of 3 members |
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| appointed by the Mayor. All appointees shall be subject to |
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| background investigation and approval by the Gaming Board. One |
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| of these
members shall be designated
by the Mayor to serve as |
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| chairperson.
All of the members
appointed by the Mayor shall be |
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| residents of the City.
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| (b) Board members shall receive $300 for each day the |
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| Authority meets and
shall be entitled to reimbursement of |
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| reasonable expenses incurred in the
performance of their |
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| official duties. A Board member who serves in the office
of |
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| secretary-treasurer may also receive compensation for services |
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| provided
as that officer.
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| Section 1-20. Terms of appointments; resignation and |
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| removal. |
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| (a) The Mayor shall appoint one member of the Board for an |
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| initial term expiring July 1 of the year following approval by |
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| the Gaming Board, one member for an initial term expiring July |
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| 1 three years following approval by the Gaming Board, and one |
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| member for an initial term expiring July 1 five years following |
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| approval by the Gaming Board.
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| (b) All successors shall hold office for a term of 5 years |
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| from the first day of July of the year in which they are |
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| appointed, except in the case of an appointment to fill a |
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HB4194 |
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LRB095 15068 AMC 41028 b |
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| vacancy. Each member, including the chairperson, shall hold |
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| office until the expiration of his or her term and until his or |
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| her successor is appointed and qualified. Nothing shall |
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| preclude a member from serving consecutive terms. Any member |
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| may resign from office, to take effect when a successor has |
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| been appointed and qualified. A vacancy in office shall occur |
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| in the case of a member's death or indictment, conviction, or |
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| plea of guilty to a felony. A vacancy shall be filled for the |
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| unexpired term by the Mayor with the approval of the Gaming |
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| Board.
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| (c) The Mayor or the Gaming Board may remove any member of |
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| the Board upon a finding of incompetence, neglect of duty, or |
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| misfeasance or malfeasance in office or for a violation of this |
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| Act. The Gaming Board may remove any member of the Board for |
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| any violation of the Illinois Gambling Act or the rules and |
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| regulations of the Gaming Board.
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| Section 1-25. Organization of Board; meetings. After |
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| appointment by the Mayor and approval of the Gaming Board, the |
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| Board shall organize for the transaction of business. The Board |
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| shall prescribe the time and place for meetings, the manner in |
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| which special meetings may be called, and the notice that must |
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| be given to members. All actions and meetings of the Board |
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| shall be subject to the provisions of the Open Meetings Act. |
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| Two members of the Board shall constitute a quorum. All |
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| substantive action of the Board shall be by resolution with an |
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HB4194 |
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LRB095 15068 AMC 41028 b |
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| affirmative vote of a majority of the members.
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| Section 1-30. Executive director; officers. |
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| (a) The Board shall appoint
an executive director, subject |
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| to completion of a background investigation and approval by the |
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| Gaming Board, who shall be the chief executive officer of the
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| Authority. The Board shall fix the compensation of the |
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| executive director.
Subject to the general control of the |
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| Board, the executive director shall be
responsible for the |
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| management of the business, properties, and
employees of the |
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| Authority. The executive director shall direct the
enforcement |
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| of all resolutions, rules, and regulations of the Board, and |
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| shall
perform such other duties as may be prescribed from
time |
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| to time by the Board. All employees and independent |
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| contractors,
consultants, engineers, architects, accountants, |
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| attorneys, financial experts,
construction experts and |
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| personnel, superintendents, managers, and other
personnel |
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| appointed or employed pursuant to this Act shall
report to the |
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| executive director. In addition to any other duties set forth |
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| in
this Act, the executive director shall do all of the |
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| following:
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| (1) Direct and supervise the administrative affairs |
| 22 |
| and activities of the
Authority in accordance with its |
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| rules, regulations, and policies.
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| (2) Attend meetings of the Board.
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| (3) Keep minutes of all proceedings of the Board.
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LRB095 15068 AMC 41028 b |
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| (4) Approve all accounts for salaries, per diem |
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| payments, and allowable
expenses of the Board and its |
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| employees and consultants.
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| (5) Report and make recommendations to the Board |
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| concerning the terms and
conditions of any casino |
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| management contract.
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| (6) Perform any other duty that the Board requires for |
| 8 |
| carrying out the
provisions of this Act.
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| (7) Devote his or her full time to the duties of the |
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| office and not hold
any other office or employment.
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| (b) The Board may select a secretary-treasurer to hold |
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| office at the pleasure of the Board. The Board
shall fix the |
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| duties of such officer.
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| Section 1-31. General rights and powers of the Authority. |
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| In addition to the duties and powers set forth in this Act, the |
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| Authority shall have the following rights and powers: |
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| (1) Adopt and alter an official seal. |
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| (2) Establish and change its fiscal year. |
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| (3) Sue and be sued, plead and be impleaded, all in its |
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| own name, and agree to binding arbitration of any dispute |
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| to which it is a party. |
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| (4) Adopt, amend, and repeal by-laws, rules, and |
| 23 |
| regulations consistent with the furtherance of the powers |
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| and duties provided for. |
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| (5) Maintain its principal office within the City and |
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HB4194 |
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LRB095 15068 AMC 41028 b |
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| such other offices as the Board may designate. |
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| (6) Select locations in the City for a temporary and a |
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| permanent casino, subject to final approval by the Gaming |
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| Board. |
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| (7) Conduct background investigations of potential |
| 6 |
| casino operator licensees, including its principals or |
| 7 |
| shareholders, and Authority staff. The Authority may |
| 8 |
| request the assistance of the Office of Gaming Enforcement. |
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| (8) Employ, either as regular employees or independent |
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| contractors, consultants, engineers, architects, |
| 11 |
| accountants, attorneys, financial experts, construction |
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| experts and personnel, superintendents, managers and other |
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| professional personnel, and such other personnel as may be |
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| necessary in the judgment of the Board, and fix their |
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| compensation. |
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| (9) Own, acquire, construct, equip, lease, operate, |
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| and maintain grounds, buildings, and facilities to carry |
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| out its corporate purposes and duties. |
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| (10) Enter into, revoke, and modify contracts, subject |
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| to final approval of the Gaming Board. |
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| (11) Enter into a casino management contract subject to |
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| the final approval of the Gaming Board. |
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| (12) Develop, or cause to be developed by a third |
| 24 |
| party, a master plan for the design, planning, and |
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| development of a casino. |
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| (13) Negotiate and enter into intergovernmental |
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HB4194 |
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LRB095 15068 AMC 41028 b |
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| agreements with the State and its agencies, the City, and |
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| other unites of local government, in furtherance of the |
| 3 |
| powers and duties of the Board. However, the Authority may |
| 4 |
| not enter into an agreement with the State Police. |
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| (14) Receive and disburse funds for its own corporate |
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| purposes or as otherwise specified in this Act. |
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| (15) Borrow money from any source, public or private, |
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| for any corporate purpose, including, without limitation, |
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| working capital for its operations, reserve funds, or |
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| payment of interest, and to mortgage, pledge, or otherwise |
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| encumber the property or funds of the Authority and to |
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| contract with or engage the services of any person in |
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| connection with any financing, including financial |
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| institutions, issuers of letters of credit, or insurers and |
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| enter into reimbursement agreements with this person or |
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| entity which may be secured as if money were borrowed from |
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| the person or entity. |
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| (16) Issue bonds as provided for under this Act. |
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| (17) Receive and accept from any source, private or |
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| public, contributions, gifts, or grants of money or |
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| property to the Authority. |
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| (18) Provide for the insurance of any property, |
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| operations, officers, members, agents, or employees of the |
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| Authority against any risk or hazard, to self-insure or |
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| participate in joint self-insurance pools or entities to |
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| insure against such risk or hazard, and to provide for the |
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HB4194 |
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LRB095 15068 AMC 41028 b |
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| indemnification of its officers, members, employees, |
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| contractors, or agents against any and all risks. |
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| (19) Exercise all the corporate powers granted |
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| Illinois corporations under the Business Corporation Act |
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| of 1983, except to the extent that powers are inconsistent |
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| with those of a body politic and corporate of the State. |
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| (20) Do all things necessary or convenient to carry out |
| 8 |
| the powers granted by this Act. |
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| Section 1-32. Ethical Conduct. |
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| (a) Board members and employees of the Authority must carry |
| 11 |
| out their duties and responsibilities in such a manner as to |
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| promote and preserve public trust and confidence in the |
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| integrity and conduct of gaming. |
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| (b) Except as may be required in the conduct of official |
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| duties, Board members and employees of the Authority shall not |
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| engage in gambling on any riverboat, in any casino, or in an |
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| electronic gaming facility licensed by the Illinois Gaming |
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| Board or engage in legalized gambling in any establishment |
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| identified by Board action that, in the judgment of the Board, |
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| could represent a potential for a conflict of interest. |
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| (c) A Board member or employee of the Authority shall not |
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| use or attempt to use his or her official position to secure or |
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| attempt to secure any privilege, advantage, favor, or influence |
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| for himself or herself or others. |
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| (d) Board members and employees of the Authority shall not |
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HB4194 |
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LRB095 15068 AMC 41028 b |
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| hold or pursue employment, office, position, business, or |
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| occupation that may conflict with his or her official duties. |
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| Employees may engage in other gainful employment so long as |
| 4 |
| that employment does not interfere or conflict with their |
| 5 |
| duties. Such employment must be disclosed to the Executive |
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| Director and approved by the Board. |
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| (e) Board members and employees of the Authority may not |
| 8 |
| engage in employment, communications, or any activity that may |
| 9 |
| be deemed a conflict of interest. This prohibition shall extend |
| 10 |
| to any act identified by Board action or Gaming Board action |
| 11 |
| that, in the judgment of the either entity, could represent the |
| 12 |
| potential for or the appearance of a conflict of interest. |
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| (f) Board members and employees of the Authority may not |
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| have a financial interest, directly or indirectly, in his or |
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| her own name or in the name of any other person, partnership, |
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| association, trust, corporation, or other entity in any |
| 17 |
| contract or subcontract for the performance of any work for the |
| 18 |
| Authority. This prohibition shall extend to the holding or |
| 19 |
| acquisition of an interest in any entity identified by Board |
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| action or Gaming Board action that, in the judgment of the |
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| either entity, could represent the potential for or the |
| 22 |
| appearance of a financial interest. The holding or acquisition |
| 23 |
| of an interest in such entities through an indirect means, such |
| 24 |
| as through a mutual fund, shall not be prohibited, expect that |
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| the Gaming Board may identify specific investments or funds |
| 26 |
| that, in its judgment, are so influenced by gaming holdings as |
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LRB095 15068 AMC 41028 b |
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| to represent the potential for or the appearance of a conflict |
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| of interest. |
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| (g) Board members and employees of the Authority may not |
| 4 |
| accept any gift, gratuity, service, compensation, travel, |
| 5 |
| lodging, or thing of value, with the exception of unsolicited |
| 6 |
| items of an incidental nature, from any person, corporation, or |
| 7 |
| entity doing business with the Authority. |
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| (h) No Board member or employee of the Authority may, |
| 9 |
| within a period of 2 years immediately after termination of |
| 10 |
| employment, knowingly accept employment or receive |
| 11 |
| compensation or fees for services from a person or entity, or |
| 12 |
| its parent or affiliate, that has engaged in business with the |
| 13 |
| Authority that resulted in contracts with an aggregate value of |
| 14 |
| at least $25,000 or made a decision that directly applied to |
| 15 |
| the person or entity, or its parent or affiliate. |
| 16 |
| (i) A spouse, child, or parent of a Board member or |
| 17 |
| employee of the Authority may not have a financial interest, |
| 18 |
| directly or indirectly, in his or her own name or in the name |
| 19 |
| of any other person, partnership, association, trust, |
| 20 |
| corporation, or other entity in any contract or subcontract for |
| 21 |
| the performance of any work for the Authority. This prohibition |
| 22 |
| shall extend to the holding or acquisition of an interest in |
| 23 |
| any entity identified by Board action or Gaming Board action |
| 24 |
| that, in the judgment of the either entity, could represent the |
| 25 |
| potential for or the appearance of a conflict of interest. The |
| 26 |
| holding or acquisition of an interest in such entities through |
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HB4194 |
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LRB095 15068 AMC 41028 b |
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| an indirect means, such as through a mutual fund, shall not be |
| 2 |
| prohibited, expect that the Gaming Board may identify specific |
| 3 |
| investments or funds that, in its judgment, are so influenced |
| 4 |
| by gaming holdings as to represent the potential for or the |
| 5 |
| appearance of a conflict of interest. |
| 6 |
| (j) A spouse, child, or parent of a Board member or |
| 7 |
| employee of the Authority may not accept any gift, gratuity, |
| 8 |
| service, compensation, travel, lodging, or thing of value, with |
| 9 |
| the exception of unsolicited items of an incidental nature, |
| 10 |
| from any person, corporation, or entity doing business with the |
| 11 |
| Authority. |
| 12 |
| (k) A spouse, child, or parent of a Board member or |
| 13 |
| employee of the Authority may not, within a period of 2 years |
| 14 |
| immediately after termination of employment, knowingly accept |
| 15 |
| employment or receive compensation or fees for services from a |
| 16 |
| person or entity, or its parent or affiliate, that has engaged |
| 17 |
| in business with the Authority that resulted in contracts with |
| 18 |
| an aggregate value of at least $25,000 or made a decision that |
| 19 |
| directly applied to the person or entity, or its parent or |
| 20 |
| affiliate. |
| 21 |
| (l) No Board member or employee of the Authority may |
| 22 |
| attempt, in any way, to influence any person or corporation |
| 23 |
| doing business with the Authority or any officer, agent, or |
| 24 |
| employee thereof to hire or contract with any person or |
| 25 |
| corporation for any compensated work. |
| 26 |
| (m) Any communication between an elected official of the |
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HB4194 |
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LRB095 15068 AMC 41028 b |
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| City and any applicant for or party to a casino management |
| 2 |
| contract with the Authority, or an officer, director, or |
| 3 |
| employee thereof, concerning any manner relating in any way to |
| 4 |
| gaming or the Authority shall be disclosed to the Board and the |
| 5 |
| Gaming Board. Such disclosure shall be in writing by the |
| 6 |
| official within 30 days of the communication and shall be filed |
| 7 |
| with the Board. Disclosure must consist of the date of the |
| 8 |
| communication, the identity and job title of the person with |
| 9 |
| whom the communication was made, a brief summary of the |
| 10 |
| communication, the action requested or recommended, all |
| 11 |
| responses made, the identity and job title of the person making |
| 12 |
| the response, and any other pertinent information. |
| 13 |
| (n) Any Board member or employee of the Authority who |
| 14 |
| violates any provision of this Section is guilty of a Class 4 |
| 15 |
| felony.
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| 16 |
| Section 1-45. Casino management contracts. |
| 17 |
| (a) The Board shall develop and administer a competitive |
| 18 |
| sealed bidding process
for the
selection of a potential casino |
| 19 |
| operator licensee to develop or operate a casino within the |
| 20 |
| City.
The Board shall issue one or more requests for proposals. |
| 21 |
| The Board may
establish minimum financial and investment |
| 22 |
| requirements to determine the
eligibility of persons to respond |
| 23 |
| to the Board's requests for proposal, and may
establish and |
| 24 |
| consider such other criteria as it deems appropriate. The Board
|
| 25 |
| may impose a fee upon persons who respond to requests for |
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HB4194 |
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LRB095 15068 AMC 41028 b |
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| proposal, in order to
reimburse the Board for its costs in |
| 2 |
| preparing and issuing the requests and
reviewing the proposals.
|
| 3 |
| (b) Within 5 days after the time limit for submitting bids |
| 4 |
| and proposals has passed, the Board shall make all bids and |
| 5 |
| proposals public. Thereafter, the Board shall evaluate the |
| 6 |
| responses to its requests for proposal and
the ability of all |
| 7 |
| persons or entities responding to its request for proposal
to |
| 8 |
| meet the requirements of this Act and to undertake and perform |
| 9 |
| the
obligations set forth in its requests for proposal.
|
| 10 |
| (c) After reviewing proposals and subject to Gaming Board |
| 11 |
| approval, the Board shall enter into a casino management |
| 12 |
| contract authorizing the development, construction, or |
| 13 |
| operation of a casino. Validity of the casino management |
| 14 |
| contract is contingent upon the issuance of a casino operator |
| 15 |
| license to the successful bidder. If the Gaming Board approves |
| 16 |
| the contract and grants a casino operator license, the Board |
| 17 |
| shall transmit a copy of the executed casino management |
| 18 |
| contract to the Gaming Board. |
| 19 |
| (d) After the Authority has been issued a casino license, |
| 20 |
| the Gaming Board has issued a casino operator license, and the |
| 21 |
| Gaming Board has approved the location of a temporary facility, |
| 22 |
| the Authority may conduct gaming operations at a temporary |
| 23 |
| facility for no longer than 12 months after gaming operations |
| 24 |
| begin. The Gaming Board may, after holding a public hearing, |
| 25 |
| grant an extension so long as a permanent facility is not |
| 26 |
| operational and the Authority is working in good faith to |
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HB4194 |
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LRB095 15068 AMC 41028 b |
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| complete the permanent facility. The Gaming Board may grant |
| 2 |
| additional extensions following a public hearing. Each |
| 3 |
| extension may be for a period of no longer than 6 months. |
| 4 |
| (e) Fifty percent of the total amount received by the |
| 5 |
| Authority pursuant to a bid for a casino management contract or |
| 6 |
| an executed casino management contract must be transmitted to |
| 7 |
| the State and deposited into the GROW Fund.
|
| 8 |
| Section 1-50. Transfer of funds. The revenues received by |
| 9 |
| the Authority (other than amounts required to be paid pursuant |
| 10 |
| to the Illinois Gambling Act and amounts required to pay the
|
| 11 |
| operating expenses of the Authority, to pay amounts due the |
| 12 |
| casino operator licensee pursuant to a casino management |
| 13 |
| contract, to repay any borrowing of the Authority
made pursuant |
| 14 |
| to Section 1-35, to pay debt service on any bonds issued under
|
| 15 |
| Section
1-75, and to pay any expenses in connection with the |
| 16 |
| issuance of such bonds
pursuant to Section 1-75 or derivative |
| 17 |
| products pursuant to Section 1-85) shall
be transferred
to the
|
| 18 |
| City by the Authority.
|
| 19 |
| Section 1-55. Municipal distributions of proceeds from a |
| 20 |
| casino; gaming endowment funds. At least 70% of the moneys that |
| 21 |
| a municipality in which a casino is located receives pursuant |
| 22 |
| to Section 1-50 of this Act shall be described as "gaming |
| 23 |
| endowment funds" and be expended or obligated by the |
| 24 |
| municipality for the following purposes and in the following |
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HB4194 |
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LRB095 15068 AMC 41028 b |
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| amounts: |
| 2 |
| (1) 40% of such gaming endowment funds shall be used |
| 3 |
| for or pledged for the construction and maintenance of |
| 4 |
| infrastructure within the municipality, including but not |
| 5 |
| limited to roads, bridges, transit infrastructure, and |
| 6 |
| municipal facilities. |
| 7 |
| (2) 60% of such gaming endowment funds shall be used |
| 8 |
| for or pledged for the construction and maintenance of |
| 9 |
| schools, parks and cultural institution facilities, and |
| 10 |
| museums within the municipality. |
| 11 |
| Section 1-60. Auditor General. |
| 12 |
| (a) Prior to the issuance of bonds under this Act, the |
| 13 |
| Authority shall submit to the Auditor General a certification |
| 14 |
| that: |
| 15 |
| (1) it is legally authorized to issue bonds; |
| 16 |
| (2) scheduled annual payments of principal and |
| 17 |
| interest on the bonds to be issued meet the requirements of |
| 18 |
| Section 1-75 of this Act; |
| 19 |
| (3) no bond shall mature later than 25 years; and |
| 20 |
| (4) after payment of costs of issuance and necessary |
| 21 |
| deposits to funds and accounts established with respect to |
| 22 |
| debt service on the bonds, the net bond proceeds (exclusive |
| 23 |
| of any proceeds to be used to refund outstanding bonds) |
| 24 |
| will be used only for the purposes set forth in this Act. |
| 25 |
| The Authority also shall submit to the Auditor General its |
|
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| projections on revenues to be generated and pledged to |
| 2 |
| repayment of the bonds as scheduled and such other information |
| 3 |
| as the Auditor General may reasonably request. |
| 4 |
| The Auditor General shall examine the certifications and |
| 5 |
| information submitted and submit a report to the Authority and |
| 6 |
| the Gaming Board indicating whether the required |
| 7 |
| certifications, projections, and other information have been |
| 8 |
| submitted by the Authority and that the assumptions underlying |
| 9 |
| the projections are not unreasonable in the aggregate. The |
| 10 |
| Auditor General shall submit the report no later than 60 days |
| 11 |
| after receiving the information required to be submitted by the |
| 12 |
| Authority. |
| 13 |
| The Authority shall not issue bonds until it receives the |
| 14 |
| report from the Auditor General indicating the requirements of |
| 15 |
| this Section have been met. The Auditor General's report shall |
| 16 |
| not be in the nature of a post-audit or examination and shall |
| 17 |
| not lead to the issuance of an opinion, as that term is defined |
| 18 |
| in generally accepted government auditing standards. The |
| 19 |
| Auditor General shall submit a bill to the Authority for costs |
| 20 |
| associated with the examinations and report required under this |
| 21 |
| Section. The Authority shall reimburse in a timely manner. |
| 22 |
| (b) The Auditor General has the authority and is required |
| 23 |
| to conduct a financial and management audit of the Authority |
| 24 |
| every 2 years. The Auditor General shall also conduct one |
| 25 |
| post-construction and financing audit of the casino after it is |
| 26 |
| completed and in operation. The Auditor General's audits must |
|
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| be posted on his or her Internet website. The Auditor General |
| 2 |
| shall submit a bill to the Authority for costs associated with |
| 3 |
| the audits required under this Section. The Authority shall |
| 4 |
| reimburse in a timely manner.
|
| 5 |
| Section 1-65. Acquisition of property; eminent domain |
| 6 |
| proceedings. For the lawful purposes of this Act, the City or |
| 7 |
| the Authority may acquire by eminent
domain or by condemnation |
| 8 |
| proceedings in the manner provided by the Eminent Domain Act, |
| 9 |
| real or personal property or interests in real
or personal |
| 10 |
| property located in the City, and the City may convey to the |
| 11 |
| Authority
property so acquired. The acquisition of property |
| 12 |
| under this Section is
declared to be for a public use.
|
| 13 |
| Section 1-70. Local regulation. The casino facilities and |
| 14 |
| operations therein
shall be subject to all ordinances and |
| 15 |
| regulations of the City. The
construction, development, and |
| 16 |
| operation of the casino shall comply with all
ordinances, |
| 17 |
| regulations, rules, and controls of the City, including but not
|
| 18 |
| limited to those relating to zoning and planned development, |
| 19 |
| building, fire
prevention, and land use. However, the |
| 20 |
| regulation of gaming operations is
subject to the exclusive |
| 21 |
| jurisdiction of the Gaming Board.
|
| 22 |
| Section 1-75. Borrowing. |
| 23 |
| (a) The Authority may borrow money and
issue bonds as |
|
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| provided in this Section. Bonds of the Authority may be issued
|
| 2 |
| to provide funds for land acquisition, site assembly and |
| 3 |
| preparation, and the design and construction of the casino, as |
| 4 |
| defined in the Illinois Gambling Act, all ancillary and related |
| 5 |
| facilities comprising the casino complex, and all on-site and |
| 6 |
| off-site infrastructure improvements required in connection |
| 7 |
| with the development of the casino; to refund (at the time or |
| 8 |
| in advance of any maturity or
redemption) or redeem any bonds |
| 9 |
| of the Authority; to provide or increase a
debt
service reserve |
| 10 |
| fund or other reserves with respect to any or all of its bonds;
|
| 11 |
| or to pay the legal, financial, administrative, bond
insurance, |
| 12 |
| credit enhancement, and other legal expenses of the |
| 13 |
| authorization,
issuance, or delivery of bonds. In this Act, the |
| 14 |
| term "bonds" also includes
notes of any kind, interim |
| 15 |
| certificates, refunding bonds, or any other evidence
of |
| 16 |
| obligation for borrowed money issued under this Section. Bonds |
| 17 |
| may be
issued in one or more series and may be payable and |
| 18 |
| secured either on a parity
with or separately from other bonds.
|
| 19 |
| (b) The bonds of the Authority shall be payable from one or |
| 20 |
| more of
the following sources: (i) the property or revenues of |
| 21 |
| the Authority; (ii)
revenues derived from the casino; (iii) |
| 22 |
| revenues derived from any casino
operator licensee; (iv) fees, |
| 23 |
| bid proceeds, charges, lease payments, payments required |
| 24 |
| pursuant to any
casino management contract or other revenues |
| 25 |
| payable to the
Authority, or any
receipts of the Authority; (v) |
| 26 |
| payments by financial institutions, insurance
companies, or |
|
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| others pursuant to letters or lines of credit, policies of
|
| 2 |
| insurance, or purchase agreements; (vi) investment earnings |
| 3 |
| from funds or
accounts maintained pursuant to a bond resolution |
| 4 |
| or trust indenture; (vii)
proceeds of refunding bonds; (viii) |
| 5 |
| any other revenues derived from or payments by the City; and |
| 6 |
| (ix) any payments by any casino operator licensee or others |
| 7 |
| pursuant to any guaranty agreement.
|
| 8 |
| (c) Bonds shall be authorized by a resolution of the |
| 9 |
| Authority and may be
secured by a trust indenture by and |
| 10 |
| between the Authority and a corporate
trustee or trustees, |
| 11 |
| which may be any trust company or bank having the powers
of a |
| 12 |
| trust company within or without the State. Bonds shall meet the |
| 13 |
| following requirements:
|
| 14 |
| (1) Bonds shall bear interest at a rate not to exceed |
| 15 |
| the maximum rate authorized by the Bond Authorization Act.
|
| 16 |
| (2) Bonds issued pursuant to this Section must be |
| 17 |
| issued with principal or mandatory redemption amounts in |
| 18 |
| equal amounts, with the first maturity issued occurring |
| 19 |
| within the fiscal year in which the bonds are issued or |
| 20 |
| within the next succeeding fiscal year, and with bonds |
| 21 |
| maturing or subject to mandatory redemption each fiscal |
| 22 |
| year thereafter up to 25 years. |
| 23 |
| (3) At least 25%, based on total principal amount, of |
| 24 |
| all bonds issued pursuant to this Section shall be sold |
| 25 |
| pursuant to notice of sale and public bid. No more than |
| 26 |
| 75%, based on total principal amount, of all bonds issued |
|
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| pursuant to this Section shall be sold by negotiated sale.
|
| 2 |
| (4) Bonds shall be payable at a time or times, in the |
| 3 |
| denominations and form,
including book entry form, either |
| 4 |
| coupon, registered, or both, and carry the
registration and |
| 5 |
| privileges as to exchange, transfer or conversion, and
|
| 6 |
| replacement of mutilated, lost, or destroyed bonds as the |
| 7 |
| resolution or trust
indenture may provide.
|
| 8 |
| (5) Bonds shall be payable in lawful money of the |
| 9 |
| United States at a designated
place.
|
| 10 |
| (6) Bonds shall be subject to the terms of purchase, |
| 11 |
| payment, redemption, refunding,
or refinancing that the |
| 12 |
| resolution or trust indenture provides.
|
| 13 |
| (7) Bonds shall be executed by the manual or facsimile |
| 14 |
| signatures of the officers
of the Authority designated by |
| 15 |
| the Board, which signatures shall be valid at
delivery even
|
| 16 |
| for one who has ceased to hold office.
|
| 17 |
| (8) Bonds shall be sold at public or private sale in |
| 18 |
| the manner and upon the terms
determined by the Authority.
|
| 19 |
| (9) Bonds shall be issued in accordance with the |
| 20 |
| provisions of the Local
Government Debt Reform Act.
|
| 21 |
| (d) The Authority shall adopt a procurement program with |
| 22 |
| respect to contracts relating to underwriters, bond counsel, |
| 23 |
| financial advisors, and accountants. The program shall include |
| 24 |
| goals for the payment of not less than 30% of the total dollar |
| 25 |
| value of the fees from these contracts to minority owned |
| 26 |
| businesses and female owned businesses as defined in the |
|
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| Business Enterprise for Minorities, Females, and Persons with |
| 2 |
| Disabilities Act. The Authority shall conduct outreach to |
| 3 |
| minority owned businesses and female owned businesses. |
| 4 |
| Outreach shall include, but is not limited to, advertisements |
| 5 |
| in periodicals and newspapers, mailings, and other appropriate |
| 6 |
| media. The Authority shall submit to the General Assembly a |
| 7 |
| comprehensive report that shall include, at a minimum, the |
| 8 |
| details of the procurement plan, outreach efforts, and the |
| 9 |
| results of the efforts to achieve goals for the payment of |
| 10 |
| fees. |
| 11 |
| (e) Subject to the Illinois Gambling Act and rules of the |
| 12 |
| Gaming Board regarding pledging
of interests in holders of |
| 13 |
| owners licenses, any resolution or trust indenture may contain |
| 14 |
| provisions that may be a part of
the contract with the holders |
| 15 |
| of the bonds as to the following:
|
| 16 |
| (1) Pledging, assigning, or directing the use, |
| 17 |
| investment, or disposition
of revenues of the Authority or |
| 18 |
| proceeds or benefits of any contract, including
without |
| 19 |
| limitation, any rights in any casino management
contract.
|
| 20 |
| (2) The setting aside of loan funding deposits, debt |
| 21 |
| service reserves, replacement or operating reserves, cost |
| 22 |
| of
issuance accounts and sinking funds, and the regulation, |
| 23 |
| investment, and
disposition thereof.
|
| 24 |
| (3) Limitations on the purposes to which or the |
| 25 |
| investments in which the
proceeds of sale of any issue of |
| 26 |
| bonds or the Authority's revenues and
receipts may be |
|
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| applied or made.
|
| 2 |
| (4) Limitations on the issue of additional bonds, the |
| 3 |
| terms upon which
additional bonds may be issued and |
| 4 |
| secured, the terms upon which additional
bonds may rank on |
| 5 |
| a parity with, or be subordinate or superior to, other |
| 6 |
| bonds.
|
| 7 |
| (5) The refunding, advance refunding, or refinancing |
| 8 |
| of outstanding bonds.
|
| 9 |
| (6) The procedure, if any, by which the terms of any |
| 10 |
| contract with
bondholders may be altered or amended and the |
| 11 |
| amount of bonds and holders of
which must consent thereto |
| 12 |
| and the manner in which consent shall be given.
|
| 13 |
| (7) Defining the acts or omissions which shall |
| 14 |
| constitute a default in the
duties of the Authority to |
| 15 |
| holders of bonds and providing the rights or
remedies of |
| 16 |
| such holders in the event of a default, which may include
|
| 17 |
| provisions
restricting individual rights of action by |
| 18 |
| bondholders.
|
| 19 |
| (8) Providing for guarantees, pledges of property, |
| 20 |
| letters of credit, or
other security,
or insurance for the |
| 21 |
| benefit of bondholders.
|
| 22 |
| (f) No member of the Board, nor any person executing the |
| 23 |
| bonds, shall be
liable personally on the bonds or subject to |
| 24 |
| any personal liability by reason
of the issuance of the bonds.
|
| 25 |
| (g) The Authority may issue and secure bonds in accordance |
| 26 |
| with the
provisions of the Local Government Credit Enhancement |
|
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| Act.
|
| 2 |
| (h) A pledge by the Authority of revenues and receipts as |
| 3 |
| security for an
issue of bonds or for the performance of its |
| 4 |
| obligations under any casino
management contract shall
be valid |
| 5 |
| and binding from the time when the pledge is made. The revenues |
| 6 |
| and
receipts pledged shall immediately be subject to the lien |
| 7 |
| of the pledge without
any physical delivery or further act,
and |
| 8 |
| the lien of any pledge shall be valid and binding against any |
| 9 |
| person having
any claim of any kind in tort, contract, or |
| 10 |
| otherwise against the Authority,
irrespective of whether the |
| 11 |
| person has notice. No resolution, trust indenture,
management |
| 12 |
| agreement or financing statement, continuation statement, or |
| 13 |
| other
instrument adopted or entered into by the Authority need |
| 14 |
| be filed or recorded
in any public record other than the |
| 15 |
| records of the Authority in order to
perfect the lien against |
| 16 |
| third persons, regardless of any contrary provision of
law.
|
| 17 |
| (i) Bonds that are being paid or retired by issuance, sale, |
| 18 |
| or delivery of
bonds, and bonds for which sufficient funds have |
| 19 |
| been deposited with the paying
agent or trustee to provide for |
| 20 |
| payment of principal and interest thereon, and
any redemption |
| 21 |
| premium, as provided in the authorizing resolution, shall not |
| 22 |
| be
considered outstanding for the purposes of this subsection.
|
| 23 |
| (j) The bonds of the Authority shall not be indebtedness of |
| 24 |
| the
State.
The bonds of the Authority are not general |
| 25 |
| obligations of the State and are not secured by a pledge of the |
| 26 |
| full faith and
credit of the State and the holders of bonds of |
|
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| the Authority may
not require, except as provided in this Act, |
| 2 |
| the application of State revenues or
funds to the payment of |
| 3 |
| bonds of the Authority.
|
| 4 |
| (k) The State of
Illinois pledges and agrees with the |
| 5 |
| owners of the bonds that it will not limit
or alter the rights |
| 6 |
| and powers vested in the Authority by this Act so as to
impair |
| 7 |
| the terms of any contract made by the Authority with the owners |
| 8 |
| or in
any way impair the rights and remedies of the owners |
| 9 |
| until the bonds, together
with interest on them, and all costs |
| 10 |
| and expenses in connection with any action
or proceedings by or |
| 11 |
| on behalf of the owners, are fully met and discharged.
The |
| 12 |
| Authority is authorized to include this pledge and
agreement in |
| 13 |
| any contract with the owners of bonds issued under this |
| 14 |
| Section.
|
| 15 |
| (l) No person holding an elective office in this State, |
| 16 |
| holding a seat in the General Assembly, or serving as a board |
| 17 |
| member, trustee, officer, or employee of the Authority, |
| 18 |
| including the spouse of that person, may receive a legal, |
| 19 |
| banking, consulting, or other fee related to the issuance of |
| 20 |
| bonds.
|
| 21 |
| Section 1-85. Derivative products. With respect to all or |
| 22 |
| part of any issue
of its bonds, the Authority may enter into |
| 23 |
| agreements or contracts with any
necessary or appropriate |
| 24 |
| person, which will have the benefit of providing to
the
|
| 25 |
| Authority an interest rate basis, cash flow basis, or other |
|
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|
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| basis different
from that provided in the bonds for the payment |
| 2 |
| of interest. Such agreements
or contracts may include, without |
| 3 |
| limitation, agreements or contracts commonly
known as |
| 4 |
| "interest rate swap agreements", "forward payment conversion
|
| 5 |
| agreements", "futures", "options", "puts", or "calls" and |
| 6 |
| agreements or
contracts providing for payments based on levels |
| 7 |
| of or changes in interest
rates, agreements or contracts to |
| 8 |
| exchange cash flows or a series of payments,
or to hedge |
| 9 |
| payment, rate spread, or similar exposure.
|
| 10 |
| Section 1-90. Legality for investment. The State of |
| 11 |
| Illinois, all
governmental entities, all public officers, |
| 12 |
| banks, bankers, trust companies,
savings banks and |
| 13 |
| institutions, building and loan associations, savings and
loan |
| 14 |
| associations, investment companies, and other persons carrying |
| 15 |
| on a
banking
business, insurance companies, insurance |
| 16 |
| associations, and other persons
carrying on an insurance |
| 17 |
| business, and all executors, administrators,
guardians, |
| 18 |
| trustees, and other fiduciaries may legally invest any sinking
|
| 19 |
| funds,
moneys, or other funds belonging to them or within their |
| 20 |
| control in
any bonds issued under this Act. However, nothing in |
| 21 |
| this Section shall be
construed as relieving any person, firm, |
| 22 |
| |