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91_SB0146enr
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1 AN ACT in relation to State bonds.
2 Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
4 Section 5. The General Obligation Bond Act is amended by
5 adding Section 1.5 and re-enacting Sections 2, 3, 16, and 20
6 as follows:
7 (30 ILCS 330/1.5 new)
8 Sec. 1.5. Re-enactment; findings; purpose; validation.
9 (a) The General Assembly finds and declares that:
10 (1) Article IV of Public Act 85-1135, effective
11 July 28, 1988, contained provisions amending or creating
12 Sections 2, 3, 16, and 20 of the General Obligation Bond
13 Act, Section 5.242 of the State Finance Act, and Section
14 4 of the Baccalaureate Savings Act, all of which pertain
15 to State general obligation bonds. These provisions (i)
16 increased the total authorization for State of Illinois
17 general obligation bonds and refunding bonds; (ii)
18 increased the limits on the amount of State general
19 obligation bond proceeds that may be used for various
20 purposes; and (iii) created the General Obligation Bond
21 Rebate Fund, authorized the transfer of money into that
22 Fund, and provided an irrevocable continuing
23 appropriation of amounts necessary to preserve the
24 tax-free status of interest earned by owners of State
25 general obligation bonds. Article IV also contained
26 other provisions.
27 (2) Section 8 of Article III of Public Act 85-1135,
28 effective September 1, 1988, contained provisions
29 amending Sections 2, 4, 11, and 13 of the Build Illinois
30 Bond Act. These provisions (i) increased the total
31 authorization for Build Illinois bonds; (ii) increased
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1 the limits on the amount of Build Illinois bond proceeds
2 that may be used for public infrastructure purposes; and
3 (iii) amended the Build Illinois bond repayment
4 schedules.
5 (3) In addition, Public Act 85-1135 contained
6 provisions relating to tax reform and creating the Water
7 Pollution Control Revolving Fund loan program.
8 (4) On August 26, 1998, the Cook County Circuit
9 Court entered an order in the case of Oak Park Arms
10 Associates v. Whitley (No. 92 L 51045), in which it found
11 that Public Act 85-1135 violates the single subject
12 clause of the Illinois Constitution (Article IV, Section
13 8(d)). However, on December 7, 1998, the Circuit Court
14 granted Defendant's motion to reconsider and dismissed
15 the Plaintiff's Single Subject claim with prejudice.
16 Nevertheless, the Circuit Court did not vacate its August
17 26, 1998 order declaring P.A. 85-1135 to be in violation
18 of the Single Subject clause of the Illinois
19 Constitution. In addition, the Plaintiffs have appealed
20 the Circuit Court's dismissal of their Single Subject
21 claim.
22 (5) The integrity of the State's contracts and
23 bonds, the protection of bondholders, and the State's
24 continued ability to issue bonds and borrow money are of
25 the greatest importance for the continued health, safety,
26 and welfare of the people of this State.
27 (6) The programs and projects funded with the
28 proceeds of State general obligation bonds and Build
29 Illinois bonds affect many areas of vital concern to the
30 people of this State. The disruption of those programs
31 could constitute a grave threat to the continued health,
32 safety, and welfare of the people of this State.
33 (b) It is the purpose of this amendatory Act of 1999 to
34 prevent or minimize any problems relating to State bonds that
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1 may result from challenges to the constitutional validity of
2 Public Act 85-1135, by (1) re-enacting the Sections relating
3 to State bonds that were included in Public Act 85-1135; (2)
4 validating all Build Illinois bonds, State general obligation
5 bonds, and refunding bonds issued pursuant to provisions
6 contained in Public Act 85-1135; (3) affirming the State's
7 obligations under those bonds and any contracts relating to
8 them; and (4) validating all actions taken in reliance on the
9 provisions contained in Public Act 85-1135 that relate to
10 those bonds or their proceeds.
11 (c) This amendatory Act of 1999 re-enacts Sections 2, 3,
12 16, and 20 of the General Obligation Bond Act, Section 5.242
13 of the State Finance Act, Sections 2, 4, 11, and 13 of the
14 Build Illinois Bond Act, and Section 4 of the Baccalaureate
15 Savings Act, as they have been amended. This re-enactment is
16 intended to remove any question as to the validity or content
17 of those Sections; it is not intended to supersede any other
18 Public Act that amends the text of a Section as set forth in
19 this amendatory Act. The material is shown as existing text
20 (i.e., without underscoring) because, as of the time this
21 amendatory Act of 1999 was prepared, the legal challenge to
22 P.A. 85-1135 under the Single Subject clause of the Illinois
23 Constitution was dismissed with prejudice.
24 (d) The re-enactment by this amendatory Act of 1999 of
25 certain Sections relating to State bonds that were enacted or
26 amended by Public Act 85-1135 is not intended, and shall not
27 be construed, to imply that P.A. 85-1135 is invalid or to
28 limit or impair any legal argument concerning whether those
29 provisions were substantially re-enacted by other Public
30 Acts.
31 (e) All Build Illinois bonds, State general obligation
32 bonds, and refunding bonds issued before the effective date
33 of this amendatory Act of 1999 in reliance on or pursuant to
34 the Sections re-enacted by this amendatory Act of 1999, as
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1 set forth in Public Act 85-1135 or as subsequently amended,
2 are hereby validated. All obligations of the State arising
3 under or in connection with those bonds are hereby affirmed.
4 (f) All otherwise lawful actions taken before the
5 effective date of this amendatory Act of 1999 in reliance on
6 or pursuant to the Sections re-enacted by this amendatory Act
7 of 1999, as set forth in Public Act 85-1135 or as
8 subsequently amended, by any officer, employee, or agency of
9 State government or by any other person or entity, are hereby
10 validated.
11 (g) This amendatory Act of 1999 applies, without
12 limitation, to actions pending on or after the effective date
13 of this amendatory Act.
14 (30 ILCS 330/2) (from Ch. 127, par. 652)
15 Sec. 2. Authorization for Bonds. The State of Illinois
16 is authorized to issue, sell and provide for the retirement
17 of General Obligation Bonds of the State of Illinois in the
18 total amount of $10,895,296,392 herein called "Bonds".
19 Of the total amount of bonds authorized above, up to
20 $2,200,000,000 in aggregate original principal amount may be
21 issued and sold in accordance with the Baccalaureate Savings
22 Act in the form of General Obligation College Savings Bonds.
23 Of the total amount of bonds authorized above, up to
24 $300,000,000 in aggregate original principal amount may be
25 issued and sold in accordance with the Retirement Savings Act
26 in the form of General Obligation Retirement Savings Bonds.
27 The issuance and sale of Bonds pursuant to the General
28 Obligation Bond Act is an economical and efficient method of
29 financing the capital needs of the State. This Act will
30 permit the issuance of a multi-purpose General Obligation
31 Bond with uniform terms and features. This will not only
32 lower the cost of registration but also reduce the overall
33 cost of issuing debt by improving the marketability of
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1 Illinois General Obligation Bonds.
2 Bonds shall be issued for the categories and specific
3 purposes expressed in Sections 2 through 8 and Section 16 of
4 this Act.
5 (Source: P.A. 90-1, eff. 2-20-97; 90-8, eff. 12-8-97; 90-549,
6 eff. 12-8-97; 90-586, eff. 6-4-98.)
7 (30 ILCS 330/3) (from Ch. 127, par. 653)
8 Sec. 3. Capital Facilities. The amount of $4,335,266,392
9 is authorized to be used for the acquisition, development,
10 construction, reconstruction, improvement, financing,
11 architectural planning and installation of capital facilities
12 within the State, consisting of buildings, structures,
13 durable equipment, land, and interests in land for the
14 following specific purposes:
15 (a) $1,189,517,246 for educational purposes by State
16 universities and colleges, the Illinois Community College
17 Board created by the Public Community College Act and for
18 grants to public community colleges as authorized by Sections
19 5-11 and 5-12 of the Public Community College Act;
20 (b) $1,126,370,168 for correctional purposes at State
21 prison and correctional centers;
22 (c) $379,711,786 for open spaces, recreational and
23 conservation purposes and the protection of land;
24 (d) $482,280,486 for child care facilities, mental and
25 public health facilities, and facilities for the care of
26 disabled veterans and their spouses;
27 (e) 895,189,341 for use by the State, its departments,
28 authorities, public corporations, commissions and agencies;
29 (f) $818,100 for cargo handling facilities at port
30 districts and for breakwaters, including harbor entrances, at
31 port districts in conjunction with facilities for small boats
32 and pleasure crafts;
33 (g) $147,267,796 for water resource management projects;
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1 (h) $16,940,269 for the provision of facilities for food
2 production research and related instructional and public
3 service activities at the State universities and public
4 community colleges;
5 (i) $34,000,000 for grants by the Secretary of State, as
6 State Librarian, for central library facilities authorized by
7 Section 8 of the Illinois Library System Act and for grants
8 by the Capital Development Board to units of local government
9 for public library facilities;
10 (j) $25,000,000 for the acquisition, development,
11 construction, reconstruction, improvement, financing,
12 architectural planning and installation of capital facilities
13 consisting of buildings, structures, durable equipment and
14 land for grants to counties, municipalities or public
15 building commissions with correctional facilities that do not
16 comply with the minimum standards of the Department of
17 Corrections under Section 3-15-2 of the Unified Code of
18 Corrections;
19 (k) $5,000,000 for grants in fiscal year 1988 by the
20 Department of Conservation for improvement or expansion of
21 aquarium facilities located on property owned by a park
22 district; and
23 (l) $33,171,200 to State agencies for grants to local
24 governments for the acquisition, financing, architectural
25 planning, development, alteration, installation, and
26 construction of capital facilities consisting of buildings,
27 structures, durable equipment, and land.
28 The amounts authorized above for capital facilities may
29 be used for the acquisition, installation, alteration,
30 construction, or reconstruction of capital facilities and for
31 the purchase of equipment for the purpose of major capital
32 improvements which will reduce energy consumption in State
33 buildings or facilities.
34 (Source: P.A. 90-1, eff. 2-20-97; 90-8, eff. 12-8-97; 90-549,
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1 eff. 12-8-97; 90-586, eff. 6-4-98.)
2 (30 ILCS 330/16) (from Ch. 127, par. 666)
3 Sec. 16. Refunding Bonds. The amount of $2,339,025,000
4 is authorized for the purpose of refunding any State of
5 Illinois general obligation Bonds then outstanding, including
6 the payment of any redemption premium thereon, any reasonable
7 expenses of such refunding, any interest accrued or to accrue
8 to the earliest or any subsequent date of redemption or
9 maturity of such outstanding Bonds and any interest to accrue
10 to the first interest payment on the refunding Bonds;
11 provided that such refunding Bonds shall mature no later than
12 the final maturity date of Bonds being refunded.
13 Refunding Bonds may be sold in such amounts and at such
14 times, as directed by the Governor, upon recommendation by
15 the Director of the Bureau of the Budget. The Governor shall
16 notify the State Treasurer and Comptroller of such refunding.
17 The proceeds received from the sale of refunding Bonds shall
18 be used for the retirement at maturity or redemption of such
19 outstanding Bonds on any maturity or redemption date and,
20 pending such use, shall be placed in escrow. Proceeds not
21 needed for deposit in an escrow account shall be deposited in
22 the General Obligation Bond Retirement and Interest Fund.
23 This Act shall constitute an irrevocable and continuing
24 appropriation of all amounts necessary to establish an escrow
25 account for the purpose of refunding outstanding general
26 obligation Bonds and to pay the reasonable expenses of such
27 refunding. Any such escrowed proceeds may be invested and
28 reinvested in direct obligations of the United States of
29 America, maturing at such time or times as shall be
30 appropriate to assure the prompt payment of the principal of
31 and interest and redemption premium, if any, on the refunded
32 Bonds. After the terms of the escrow have been fully
33 satisfied, any remaining balance of such proceeds and
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1 interest, income and profits earned or realized on the
2 investments thereof shall be paid into the general revenue
3 fund. The liability of the State upon the Bonds shall
4 continue, provided that the holders thereof shall thereafter
5 be entitled to payment only out of the moneys deposited in
6 the escrow account.
7 Except as otherwise herein provided in this Section, such
8 refunding Bonds shall in all other respects be subject to the
9 terms and conditions of this Act.
10 (Source: P.A. 87-836; 87-873; 88-93; 88-552.)
11 (30 ILCS 330/20) (from Ch. 127, par. 669a)
12 Sec. 20. A separate fund in the State treasury called
13 the "General Obligation Bond Rebate Fund" is hereby created.
14 The State Treasurer is hereby authorized to create such
15 separate accounts within the General Obligation Bond Rebate
16 Fund from time to time in connection with the issuance of
17 Bonds pursuant to this Act and to transfer moneys to the
18 General Obligation Bond Rebate Fund from the Funds described
19 in subsection (a) of Section 19 of this Act at such times and
20 in such amounts as shall be deemed necessary to preserve the
21 exclusion of the interest earned by the owners of Bonds
22 issued under this Act from the federal gross income of such
23 owners. This Act shall constitute an irrevocable and
24 continuing appropriation of all amounts necessary for the
25 purpose described in this Section.
26 (Source: P.A. 85-1135.)
27 Section 10. The State Finance Act is amended by
28 re-enacting Section 5.242 as follows:
29 (30 ILCS 105/5.242) (from Ch. 127, par. 141.242)
30 Sec. 5.242. The General Obligation Bond Rebate Fund.
31 (Source: P.A. 85-1135.)
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1 Section 15. The Build Illinois Bond Act is amended by
2 re-enacting Sections 2, 4, 11, and 13 as follows:
3 (30 ILCS 425/2) (from Ch. 127, par. 2802)
4 Sec. 2. Authorization for Bonds. The State of Illinois
5 is authorized to issue, sell and provide for the retirement
6 of limited obligation bonds, notes and other evidences of
7 indebtedness of the State of Illinois in the total principal
8 amount of $2,036,500,000 herein called "Bonds". Such
9 authorized amount of Bonds shall be reduced from time to time
10 by amounts, if any, which are equal to the moneys received by
11 the Department of Revenue in any fiscal year pursuant to
12 Section 3-1001 of the "Illinois Vehicle Code", as amended, in
13 excess of the Annual Specified Amount (as defined in Section
14 3 of the "Retailers' Occupation Tax Act", as amended) and
15 transferred at the end of such fiscal year from the General
16 Revenue Fund to the Build Illinois Purposes Fund as provided
17 in Section 3-1001 of said Code; provided, however, that no
18 such reduction shall affect the validity or enforceability of
19 any Bonds issued prior to such reduction. Such amount of
20 authorized Bonds shall be exclusive of any refunding Bonds
21 issued pursuant to Section 15 of this Act and exclusive of
22 any Bonds issued pursuant to this Section which are redeemed,
23 purchased, advance refunded, or defeased in accordance with
24 paragraph (f) of Section 4 of this Act. Bonds shall be
25 issued for the categories and specific purposes expressed in
26 Section 4 of this Act.
27 (Source: P.A. 86-44; 86-78; 86-1473.)
28 (30 ILCS 425/4) (from Ch. 127, par. 2804)
29 Sec. 4. Purposes of Bonds. Bonds shall be issued for the
30 following purposes and in the approximate amounts as set
31 forth below:
32 (a) $1,470,419,000 for the expenses of issuance and sale
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1 of Bonds, including bond discounts, and for planning,
2 engineering, acquisition, construction, reconstruction,
3 development, improvement and extension of the public
4 infrastructure in the State of Illinois, including: the
5 making of loans or grants to local governments for waste
6 disposal systems, water and sewer line extensions and water
7 distribution and purification facilities, rail or air or
8 water port improvements, gas and electric utility extensions,
9 publicly owned industrial and commercial sites, buildings
10 used for public administration purposes and other public
11 infrastructure capital improvements; the making of loans or
12 grants to units of local government for financing and
13 construction of wastewater facilities; refinancing or
14 retiring bonds issued between January 1, 1987 and January 1,
15 1990 by home rule municipalities, debt service on which is
16 provided from a tax imposed by home rule municipalities prior
17 to January 1, 1990 on the sale of food and drugs pursuant to
18 Section 8-11-1 of the Home Rule Municipal Retailers'
19 Occupation Tax Act or Section 8-11-5 of the Home Rule
20 Municipal Service Occupation Tax Act; the making of deposits
21 not to exceed $70,000,000 in the aggregate into the Water
22 Pollution Control Revolving Fund to provide assistance in
23 accordance with the provisions of Title IV-A of the
24 Environmental Protection Act; the planning, engineering,
25 acquisition, construction, reconstruction, alteration,
26 expansion, extension and improvement of highways, bridges,
27 structures separating highways and railroads, rest areas,
28 interchanges, access roads to and from any State or local
29 highway and other transportation improvement projects which
30 are related to economic development activities; the making of
31 loans or grants for planning, engineering, rehabilitation,
32 improvement or construction of rail and transit facilities;
33 the planning, engineering, acquisition, construction,
34 reconstruction and improvement of watershed, drainage, flood
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1 control, recreation and related improvements and facilities,
2 including expenses related to land and easement acquisition,
3 relocation, control structures, channel work and clearing and
4 appurtenant work; the making of grants for improvement and
5 development of zoos and park district field houses and
6 related structures; and the making of grants for improvement
7 and development of Navy Pier and related structures.
8 (b) $46,301,500 for fostering economic development and
9 increased employment and the well being of the citizens of
10 Illinois, including: the making of grants for improvement and
11 development of McCormick Place and related structures; the
12 planning and construction of a microelectronics research
13 center, including the planning, engineering, construction,
14 improvement, renovation and acquisition of buildings,
15 equipment and related utility support systems; the making of
16 loans to businesses and investments in small businesses;
17 acquiring real properties for industrial or commercial site
18 development; acquiring, rehabilitating and reconveying
19 industrial and commercial properties for the purpose of
20 expanding employment and encouraging private and other public
21 sector investment in the economy of Illinois; the payment of
22 expenses associated with siting the Superconducting Super
23 Collider Particle Accelerator in Illinois and with its
24 acquisition, construction, maintenance, operation, promotion
25 and support; the making of loans for the planning,
26 engineering, acquisition, construction, improvement and
27 conversion of facilities and equipment which will foster the
28 use of Illinois coal; the payment of expenses associated with
29 the promotion, establishment, acquisition and operation of
30 small business incubator facilities and agribusiness research
31 facilities, including the lease, purchase, renovation,
32 planning, engineering, construction and maintenance of
33 buildings, utility support systems and equipment designated
34 for such purposes and the establishment and maintenance of
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1 centralized support services within such facilities; and the
2 making of grants or loans to units of local government for
3 Urban Development Action Grant and Housing Partnership
4 programs.
5 (c) $461,128,600 for the development and improvement of
6 educational, scientific, technical and vocational programs
7 and facilities and the expansion of health and human services
8 for all citizens of Illinois, including: the making of
9 construction and improvement grants and loans to public
10 libraries and library systems; the making of grants and loans
11 for planning, engineering, acquisition and construction of a
12 new State central library in Springfield; the planning,
13 engineering, acquisition and construction of an animal and
14 dairy sciences facility; the planning, engineering,
15 acquisition and construction of a campus and all related
16 buildings, facilities, equipment and materials for Richland
17 Community College; the acquisition, rehabilitation and
18 installation of equipment and materials for scientific and
19 historical surveys; the making of grants or loans for
20 distribution to eligible vocational education instructional
21 programs for the upgrading of vocational education programs,
22 school shops and laboratories, including the acquisition,
23 rehabilitation and installation of technical equipment and
24 materials; the making of grants or loans for distribution to
25 eligible local educational agencies for the upgrading of math
26 and science instructional programs, including the acquisition
27 of instructional equipment and materials; miscellaneous
28 capital improvements for universities and community colleges
29 including the planning, engineering, construction,
30 reconstruction, remodeling, improvement, repair and
31 installation of capital facilities and costs of planning,
32 supplies, equipment, materials, services, and all other
33 required expenses; the making of grants or loans for repair,
34 renovation and miscellaneous capital improvements for
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1 privately operated colleges and universities and community
2 colleges, including the planning, engineering, acquisition,
3 construction, reconstruction, remodeling, improvement, repair
4 and installation of capital facilities and costs of planning,
5 supplies, equipment, materials, services, and all other
6 required expenses; and the making of grants or loans for
7 distribution to local governments for hospital and other
8 health care facilities including the planning, engineering,
9 acquisition, construction, reconstruction, remodeling,
10 improvement, repair and installation of capital facilities
11 and costs of planning, supplies, equipment, materials,
12 services and all other required expenses.
13 (d) $58,650,900 for protection, preservation,
14 restoration and conservation of environmental and natural
15 resources, including: the making of grants to soil and water
16 conservation districts for the planning and implementation of
17 conservation practices and for funding contracts with the
18 Soil Conservation Service for watershed planning; the making
19 of grants to units of local government for the capital
20 development and improvement of recreation areas, including
21 planning and engineering costs, sewer projects, including
22 planning and engineering costs and water projects, including
23 planning and engineering costs, and for the acquisition of
24 open space lands, including the acquisition of easements and
25 other property interests of less than fee simple ownership;
26 the acquisition and related costs and development and
27 management of natural heritage lands, including natural areas
28 and areas providing habitat for endangered species and
29 nongame wildlife, and buffer area lands; the acquisition and
30 related costs and development and management of habitat
31 lands, including forest, wildlife habitat and wetlands; and
32 the removal and disposition of hazardous substances,
33 including the cost of project management, equipment,
34 laboratory analysis, and contractual services necessary for
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1 preventative and corrective actions related to the
2 preservation, restoration and conservation of the
3 environment.
4 (e) The amount specified in paragraph (a) above shall
5 include an amount necessary to pay reasonable expenses of
6 each issuance and sale of the Bonds, as specified in the
7 related Bond Sale Order (hereinafter defined).
8 (f) Any unexpended proceeds from any sale of Bonds which
9 are held in the Build Illinois Bond Fund may be used to
10 redeem, purchase, advance refund, or defease any Bonds
11 outstanding.
12 (Source: P.A. 86-44; 86-78; 86-1028; 86-1473; 87-873.)
13 (30 ILCS 425/11) (from Ch. 127, par. 2811)
14 Sec. 11. Repayment. (a) To provide for the repayment of
15 Bonds and required deposits into reserve funds required to be
16 maintained as security for the Bonds, the Governor shall
17 include an appropriation in each annual State Budget of
18 moneys in the following amounts for the following fiscal
19 years 1986 through 1993:
20 Fiscal Year Amount Appropriated
21 1986 $15,000,000
22 1987 $25,000,000
23 1988 $40,000,000
24 1989 $54,000,000
25 1990 $ 85,400,000
26 1991 $133,600,000
27 1992 $164,400,000
28 1993 $188,900,000
29 To provide for the repayment of Bonds in fiscal years
30 1994 and thereafter, the Governor shall include an
31 appropriation in each annual State Budget of moneys in such
32 amount as shall be necessary and sufficient, for the period
33 covered by such Budget, to pay the interest, as it shall
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1 accrue, on all Bonds issued under this Act, to pay and
2 discharge the principal of such Bonds, including any sinking
3 fund redemptions, as shall fall due during such period, to
4 pay the premium, if any, on Bonds to be redeemed prior to
5 maturity and to make required deposits to any reserve funds
6 required to be maintained as security for Bonds or for the
7 purpose of retiring or defeasing Bonds, including any
8 replenishments in the event of deficiencies in any reserve
9 funds; provided, however, that amounts included in such
10 appropriations for payment of interest on Variable Rate Bonds
11 shall be the maximum amounts of interest which may be payable
12 for the period covered by such Budget after taking into
13 account any credits permitted in the related indenture
14 against the amount of such interest required to be
15 appropriated for such period; and, further provided that such
16 appropriated amount shall not be less than the Annual
17 Specified Amount (as defined in Section 3 of the "Retailers'
18 Occupation Tax Act", as amended) for any such fiscal year.
19 (b) A separate fund in the State Treasury called the
20 "Build Illinois Bond Retirement and Interest Fund" is hereby
21 created.
22 (c) The General Assembly shall annually make
23 appropriations to pay the principal of and interest and
24 premium, if any, on the Bonds sold under this Act and to make
25 required deposits into reserve funds required to be
26 maintained as security for the Bonds from the Build Illinois
27 Bond Retirement and Interest Fund in the following amounts
28 for the following fiscal years 1986 through 1993:
29 Fiscal Year Amount Appropriated
30 1986 $15,000,000
31 1987 $25,000,000
32 1988 $40,000,000
33 1989 $54,000,000
34 1990 $ 85,400,000
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1 1991 $133,600,000
2 1992 $164,400,000
3 1993 $188,900,000
4 To provide for the repayment of the Bonds and required
5 reserve fund deposits in fiscal years 1994 and thereafter the
6 General Assembly shall annually make appropriations from the
7 Build Illinois Bond Retirement and Interest Fund in such
8 amounts as shall be necessary and sufficient to pay the
9 principal of, premium, if any, and interest on the Bonds
10 coming due in each such fiscal year, including any sinking
11 fund redemptions, and to make required deposits to reserve
12 funds for the purpose of securing Bonds or retiring or
13 defeasing Bonds, including replenishment of any deficiencies
14 therein; provided, however, that amounts included in such
15 appropriations for payment of interest on Variable Rate Bonds
16 shall be the maximum amounts of interest which may be payable
17 during such fiscal year after taking into account any credits
18 permitted in the related indenture against the amount of such
19 interest required to be appropriated for such period; and,
20 further provided, that such appropriated amount shall not be
21 less than the Annual Specified Amount for any such fiscal
22 year. If for any reason the State Treasurer and Comptroller
23 fail to (i) credit amounts to the Build Illinois Bond Account
24 (the "Build Illinois Bond Account") in the Build Illinois
25 Fund in the State Treasury created under Section 6z-9 of "An
26 Act in relation to State finance", approved June 10, 1919, as
27 amended, (the "Finance Act") as required by Sections 6z-9 and
28 8.25 of the Finance Act or (ii) make transfers to the Build
29 Illinois Bond Retirement and Interest Fund from the Build
30 Illinois Bond Account as required by Section 8.25 of the
31 Finance Act or (iii) make payments from the Build Illinois
32 Bond Retirement and Interest Fund to the trustee under the
33 Master Indenture as required by Section 13 of this Act, or if
34 for any reason the General Assembly fails to make
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1 appropriations from the Build Illinois Bond Retirement and
2 Interest Fund sufficient to pay the principal of and interest
3 and premium, if any, on the Bonds, as the same by their terms
4 shall become due, and to make required deposits into reserve
5 funds required to be maintained as security for the Bonds or
6 to retire or defease Bonds, including replenishment of any
7 deficiencies, this Act shall constitute an irrevocable and
8 continuing appropriation of all amounts necessary for all of
9 the above purposes, and the irrevocable and continuing
10 authority for and direction to the State Treasurer and the
11 Comptroller to make the necessary transfers and deposits, as
12 directed by the Governor, from the sources specified in
13 Sections 6z-9 and 8.25 of the Finance Act to the Build
14 Illinois Bond Account and from the Build Illinois Bond
15 Account to the Build Illinois Bond Retirement and Interest
16 Fund and to make the necessary payments from the Build
17 Illinois Bond Retirement and Interest Fund to the trustee
18 under the Master Indenture.
19 (Source: P.A. 86-17; 86-44.)
20 (30 ILCS 425/13) (from Ch. 127, par. 2813)
21 Sec. 13. Computation of Principal and Interest; Transfer
22 from Build Illinois Bond Account; Payment from Build Illinois
23 Bond Retirement and Interest Fund. Upon each delivery of
24 Bonds authorized to be issued under this Act, the trustee
25 under the Master Indenture shall compute and certify to the
26 Director of the Bureau of the Budget, the Comptroller and the
27 Treasurer (a) the total amount of the principal of and the
28 interest and the premium, if any, on the Bonds then being
29 issued and on Bonds previously issued and outstanding that
30 will be payable in order to retire such Bonds at their stated
31 maturities or mandatory sinking fund payment dates and (b)
32 the amount of principal of and interest and premium, if any,
33 on such Bonds that will be payable on each principal,
SB146 Enrolled -18- LRB9100650EGfg
1 interest and mandatory sinking fund payment date according to
2 the tenor of such Bonds during the then current and each
3 succeeding fiscal year. Such certifications shall include
4 with respect to interest payable on Variable Rate Bonds the
5 maximum amount of interest which may be payable for the
6 relevant period after taking into account any credits
7 permitted in the related indenture against the amount of such
8 interest required to be appropriated for such period pursuant
9 to subsection (c) of Section 11 of this Act.
10 On or before June 20, 1993 and on or before each June 20
11 thereafter so long as Bonds remain outstanding, the trustee
12 under the Master Indenture shall deliver to the Director of
13 the Bureau of the Budget, the Comptroller and the Treasurer a
14 certificate setting forth the "Certified Annual Debt Service
15 Requirement" (hereinafter defined) for the next succeeding
16 fiscal year. If Bonds are issued subsequent to the delivery
17 of any such certificate, upon the issuance of such Bonds the
18 trustee under the Master Indenture shall deliver a
19 supplemental certificate setting forth the revisions, if any,
20 in the Certified Annual Debt Service Requirement resulting
21 from the issuance of such Bonds. The "Certified Annual Debt
22 Service Requirement" for any fiscal year shall be an amount
23 equal to (a) the aggregate amount of principal, interest and
24 premium, if any, payable on outstanding Bonds during such
25 fiscal year plus (b) the amount required to be deposited into
26 any reserve fund securing such Bonds or for the purpose of
27 retiring or defeasing such Bonds plus (c) the amount of any
28 deficiencies in required transfers of amounts described in
29 clauses (a) and (b) for any prior fiscal year, minus (d) the
30 amount, if any, of such interest to be paid from Bond
31 proceeds on deposit under any indenture; provided, however,
32 that interest payable on Variable Rate Bonds shall be
33 calculated at the maximum rate of interest which may be
34 payable during such fiscal year after taking into account any
SB146 Enrolled -19- LRB9100650EGfg
1 credits permitted in the related indenture against the amount
2 of such interest required to be appropriated for such period
3 pursuant to subsection (c) of Section 11 of this Act.
4 In each month during fiscal years 1986 through 1993, the
5 State Treasurer and Comptroller shall transfer, on the last
6 day of such month, from the Build Illinois Bond Account to
7 the Build Illinois Bond Retirement and Interest Fund and
8 shall make payment from the Build Illinois Bond Retirement
9 and Interest Fund to the trustee under the Master Indenture
10 of an amount equal to 1/12 of 150% of the amount set forth
11 below for each such fiscal year, plus any cumulative
12 deficiency in such transfers and payments for prior months;
13 provided that such transfers shall commence in October, 1985
14 and such amounts for fiscal year 1986 shall equal 1/9 of 150%
15 of the amount set forth below for such fiscal year:
16 Fiscal Year Amount
17 1986 $15,000,000
18 1987 $25,000,000
19 1988 $40,000,000
20 1989 $54,000,000
21 1990 $85,400,000
22 1991 $133,600,000
23 1992 $164,400,000
24 1993 $188,900,000
25 provided that payments of such amounts from the Build
26 Illinois Bond Retirement and Interest Fund to the trustee
27 under the Master Indenture shall commence on the last day of
28 the month in which Bonds are initially issued under this Act;
29 and, further provided, that the first such payment to said
30 trustee shall equal the entire amount then on deposit in the
31 Build Illinois Bond Retirement and Interest Fund; and,
32 further provided, that the aggregate amount of transfers and
33 payments for any such fiscal year shall not exceed the amount
34 set forth above for such fiscal year.
SB146 Enrolled -20- LRB9100650EGfg
1 In each month in which Bonds are outstanding during
2 fiscal year 1994 and each fiscal year thereafter, the State
3 Treasurer and Comptroller shall transfer, on the last day of
4 such month, from the Build Illinois Bond Account to the Build
5 Illinois Bond Retirement and Interest Fund and shall make
6 payment from the Build Illinois Bond Retirement and Interest
7 Fund to the trustee under the Master Indenture of an amount
8 equal to the greater of (a) 1/12th of 150% of the Certified
9 Annual Debt Service Requirement or (b) the Tax Act Amount (as
10 defined in Section 3 of the "Retailers' Occupation Tax Act",
11 as amended) deposited in the Build Illinois Bond Account
12 during such month, plus any cumulative deficiency in such
13 transfers and payments for prior months; provided that such
14 transfers and payments for any such fiscal year shall not
15 exceed the greater of (a) the Certified Annual Debt Service
16 Requirement or (b) the Tax Act Amount.
17 (Source: P.A. 86-17; 86-44; 86-1028.)
18 Section 20. The Baccalaureate Savings Act is amended by
19 re-enacting Section 4 as follows:
20 (110 ILCS 920/4) (from Ch. 144, par. 2404)
21 Sec. 4. Issuance and Sale of College Savings Bonds. In
22 order to provide investors with investment alternatives to
23 enhance their financial access to Institutions of Higher
24 Education located in the State of Illinois, and in
25 furtherance of the public policy of this Act, bonds
26 authorized by the provisions of the General Obligation Bond
27 Act, in a total aggregate original principal amount not to
28 exceed $2,200,000,000 may be issued and sold from time to
29 time, and as often as practicable, as College Savings Bonds
30 in such amounts as directed by the Governor, upon
31 recommendation by the Director of the Bureau of the Budget.
32 Bonds to be issued and sold as College Savings Bonds shall be
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1 designated by the Governor and the Director of the Bureau of
2 the Budget as "General Obligation College Savings Bonds" in
3 the proceedings authorizing the issuance of such Bonds, and
4 shall be subject to all of the terms and provisions of the
5 General Obligation Bond Act, except that College Savings
6 Bonds may bear interest payable at such time or times and may
7 be sold at such prices and in such manner as may be
8 determined by the Governor and the Director of the Bureau of
9 the Budget and except as otherwise provided in this Act. If
10 College Savings Bonds are sold at public sale, the public
11 sale procedures shall be as set forth in Section 11 of the
12 General Obligation Bond Act. College Savings Bonds may be
13 sold at negotiated sale if the Director of the Bureau of the
14 Budget determines that a negotiated sale will result in
15 either a more efficient and economic sale of such Bonds or
16 greater access to such Bonds by investors who are residents
17 of the State of Illinois. If any College Savings Bonds are
18 sold at a negotiated sale, the underwriter or underwriters to
19 which such Bonds are sold shall (a) be organized,
20 incorporated or have their principal place of business in the
21 State of Illinois, or (b) in the judgment of the Director of
22 the Bureau of the Budget, have sufficient capability to make
23 a broad distribution of such Bonds to investors resident in
24 the State of Illinois. In determining the aggregate
25 principal amount of College Savings Bonds that has been
26 issued pursuant to this Act, the aggregate original principal
27 amount of such Bonds issued and sold shall be taken into
28 account. Any bond issued under this Act shall be payable in
29 one payment on a fixed date, unless the Governor and the
30 Director of the Bureau of the Budget determine otherwise.
31 (Source: P.A. 90-1, eff. 2-20-97.)
SB146 Enrolled -22- LRB9100650EGfg
1 Section 99. Effective date. This Act takes effect upon
2 becoming law.
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