Sen. David Luechtefeld

Filed: 3/12/2007

 

 


 

 


 
09500SB0290sam002 LRB095 06244 HLH 33059 a

1
AMENDMENT TO SENATE BILL 290

2     AMENDMENT NO. ______. Amend Senate Bill 290, AS AMENDED, by
3 replacing everything after the enacting clause with the
4 following:
 
 
5     "Section 5. The Hospital District Law is amended by adding
6 Section 21.3 as follows:
 
7     (70 ILCS 910/21.3 new)
8     Sec. 21.3. Lines of credit.
9     (a) A hospital district may enter into a line of credit
10 secured by and payable from one or more of these sources:
11 property taxes, unencumbered accounts receivable, or other
12 revenues, in an amount not to exceed the greater of the
13 following amounts if the source is pledged: (i) 85% of the
14 amount of property taxes most recently levied, (ii) 85% of
15 unencumbered accounts receivable of the district (in

 

 

09500SB0290sam002 - 2 - LRB095 06244 HLH 33059 a

1 substantially the manner set forth in Section 21.1 of this
2 Act), (iii) 85% of other revenues (in substantially the manner
3 set forth in Section 21.2 of this Act), or (iv) 85% of amounts
4 unpaid under third-party reimbursement or payment programs
5 (including but not limited to State or federal Medicare or
6 Medicaid payments or programs). All moneys so borrowed shall be
7 repaid within 24 months.
8     (b) Before establishing a line of credit under this
9 Section, the hospital district shall authorize the line of
10 credit by ordinance. The ordinance shall set forth facts
11 demonstrating the need for the line of credit, state the amount
12 to be borrowed, establish a maximum interest rate limit not to
13 exceed the maximum rate authorized by the Bond Authorization
14 Act, and provide a date by which the borrowed funds shall be
15 repaid. The ordinance shall authorize and direct the relevant
16 officials to make arrangements to set apart and hold, as
17 applicable, the moneys that will be used to repay the
18 borrowing. In addition, the ordinance may authorize the
19 relevant officials to make partial repayments on the line of
20 credit as the moneys become available and may contain any other
21 terms, restrictions, or limitations desirable or necessary to
22 give effect to this Section 21.3.
 
23     Section 99. Effective date. This Act takes effect upon
24 becoming law.".