SB1430 EnrolledLRB098 08560 OMW 38674 b

1    AN ACT concerning local government.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Counties Code is amended by adding Section
55-1134 as follows:
 
6    (55 ILCS 5/5-1134 new)
7    Sec. 5-1134. Borrowing from financial institutions. The
8county board of a county may borrow money for any corporate
9purpose from any bank or other financial institution provided
10such money shall be repaid within 2 years from the time the
11money is borrowed. The county board chairman or county
12executive, as the case may be, shall execute a promissory note
13or similar debt instrument, but not a bond, to evidence the
14indebtedness incurred by the borrowing. The obligation to make
15the payments due under the promissory note or other debt
16instrument shall be a lawful direct general obligation of the
17county payable from the general funds of the county and such
18other sources of payment as are otherwise lawfully available.
19The promissory note or other debt instrument shall be
20authorized by an ordinance passed by the county board and shall
21be valid whether or not an appropriation with respect to that
22ordinance is included in any annual or supplemental
23appropriation adopted by the county board. The indebtedness

 

 

SB1430 Enrolled- 2 -LRB098 08560 OMW 38674 b

1incurred under this Section, when aggregated with the existing
2indebtedness of the county, may not exceed any debt limitation
3otherwise provided for by law. "Financial institution" means
4any bank subject to the Illinois Banking Act, any savings and
5loan association subject to the Illinois Savings and Loan Act
6of 1985, any savings bank subject to the Savings Bank Act, any
7credit union subject to the Illinois Credit Union Act, and any
8federally chartered commercial bank, savings and loan
9association, savings bank, or credit union organized and
10operated in this State pursuant to the laws of the United
11States.
 
12    Section 99. Effective date. This Act takes effect upon
13becoming law.