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91_SB1627enr
SB1627 Enrolled LRB9112143MWgc
1 AN ACT concerning local government debt.
2 Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
4 Section 5. The Local Government Debt Reform Act is
5 amended by changing Sections 5, 13, 15, and 17 and by adding
6 Section 16.5 as follows:
7 (30 ILCS 350/5) (from Ch. 17, par. 6905)
8 Sec. 5. Backdoor referendum procedure. (a) Whenever
9 applicable law provides that the authorization or the
10 issuance of bonds, or the becoming effective of an ordinance
11 providing for the authorization or issuance of bonds, may be
12 subject to a backdoor referendum, the provisions of this
13 Section may be used as an alternative to the specific
14 procedures as otherwise set forth by applicable law.
15 (b) The governing body may adopt an authorizing
16 ordinance describing briefly the authority under which bonds
17 are proposed to be issued, the nature of the project or
18 purpose to be financed, the estimated total costs of the
19 project or purpose, including in such costs all items related
20 to financing the project or purpose, and the maximum amount
21 of bonds authorized to be issued to pay such costs. No
22 further details or specifications are required in such
23 authorizing ordinance. Such authorizing ordinance, along
24 with any other notice as required by applicable law,
25 including any notice as to the right of electors to file a
26 petition and the number of voters required to sign any such
27 petition, shall be published at least once in a newspaper of
28 general circulation in the governmental unit. The governing
29 body may, but is not required to, post the notice
30 electronically on its World Wide Web pages or posted as
31 required by applicable law. A petition may be filed after
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1 such publication or posting during the period as provided by
2 applicable law; but upon the expiration of any such period
3 without the filing of a petition meeting the requirements of
4 the applicable law, the governing body shall be authorized to
5 issue such bonds as if they had followed all necessary
6 procedures set forth in such applicable law.
7 (c) If no petition meeting the requirements of
8 applicable law is filed during the petition period, then the
9 governing body may adopt additional ordinances or proceedings
10 supplementing or amending the authorizing ordinance so long
11 as the maximum amount of bonds as set forth in the
12 authorizing ordinance is not exceeded and there is no
13 material change in the project or purpose described in the
14 authorizing ordinance. Such additional ordinances or
15 proceedings shall in all instances become effective
16 immediately without publication or posting or any further act
17 or requirement. The authorizing ordinance, together with
18 such additional ordinance or proceedings, shall constitute
19 complete authority for the issuance of such bonds under
20 applicable law.
21 (d) If applicable law provides that notice alone shall
22 be given to commence a backdoor referendum, the notice shall
23 be published at least once in a newspaper of general
24 circulation in the governmental unit. The governing body
25 may, but is not required to, post the notice electronically
26 on its World Wide Web pages.
27 (Source: P.A. 85-1419.)
28 (30 ILCS 350/13) (from Ch. 17, par. 6913)
29 Sec. 13. Certain pledges. A governmental unit may
30 pledge, as security for the payment of its bonds, (1)
31 revenues derived from the operation of any utility system or
32 revenue producing enterprise, (2) moneys deposited or to be
33 deposited into any special fund of the governmental unit, (3)
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1 grants or other revenues or taxes expected to be received by
2 the governmental unit from the State or federal government,
3 including taxes imposed by the governmental unit pursuant to
4 grant of authority by the State, such as sales or use taxes
5 or utility taxes, (4) special assessments to be collected
6 with respect to a local improvement financed with the
7 proceeds of bonds, or (5) payments to be made by another
8 governmental unit pursuant to a service, user or other
9 similar agreement with such governmental unit.
10 Any such pledge made by a governmental unit shall be
11 valid and binding from the time such pledge is made. The
12 revenues, moneys and other funds so pledged and thereafter
13 received by the governmental unit shall immediately be
14 subject to the lien of such pledge without any physical
15 delivery thereof or further act; and, subject only to the
16 provisions of prior agreements, the lien of such pledge shall
17 be valid and binding as against all parties having claims of
18 any kind in tort, contract or otherwise against the
19 governmental unit irrespective of whether such parties have
20 notice thereof. Pursuant to any such pledge, a governmental
21 unit may bind itself to impose rates, charges or taxes to the
22 fullest extent permitted by applicable law. No ordinance,
23 resolution, trust agreement or other instrument by which such
24 pledge is created need be filed or recorded except in the
25 records of the governmental unit.
26 The State Treasurer, the State Comptroller, the
27 Department of Revenue, the Department of Transportation, the
28 State Superintendent of Education, or any Regional
29 Superintendent of Schools shall deposit or cause to be
30 deposited any amount of grants or other revenues or taxes
31 expected to be received by a governmental unit from that
32 official or entity that have been pledged to the payment of
33 bonds of the governmental unit, in accordance with the
34 authorization of the governmental unit, directly into a
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1 designated escrow account established by the governmental
2 unit. The ordinance authorizing that disposition shall,
3 within 10 days after adoption by the governing body of the
4 governmental unit, be filed with the official or entity
5 having custody of the pledged grants or other revenues or
6 taxes.
7 (Source: P.A. 85-1419.)
8 (30 ILCS 350/15) (from Ch. 17, par. 6915)
9 Sec. 15. Double-barrelled bonds. Whenever revenue bonds
10 have been authorized to be issued pursuant to applicable law
11 or whenever there exists for a governmental unit a revenue
12 source, the procedures set forth in this Section may be used
13 by a governing body. General obligation bonds may be issued
14 in lieu of such revenue bonds as authorized, and general
15 obligation bonds may be issued payable from any revenue
16 source. Such general obligation bonds may be referred to as
17 "alternate bonds". Alternate bonds may be issued without any
18 referendum or backdoor referendum except as provided in this
19 Section, upon the terms provided in Section 10 of this Act
20 without reference to other provisions of law, but only upon
21 the conditions provided in this Section. Alternate bonds
22 shall not be regarded as or included in any computation of
23 indebtedness for the purpose of any statutory provision or
24 limitation except as expressly provided in this Section.
25 Such conditions are:
26 (a) Alternate bonds shall be issued for a lawful
27 corporate purpose. If issued in lieu of revenue bonds,
28 alternate bonds shall be issued for the purposes for which
29 such revenue bonds shall have been authorized. If issued
30 payable from a revenue source in the manner hereinafter
31 provided, which revenue source is limited in its purposes or
32 applications, then the alternate bonds shall be issued only
33 for such limited purposes or applications. Alternate bonds
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1 may be issued payable from either enterprise revenues or
2 revenue sources, or both.
3 (b) Alternate bonds shall be subject to backdoor
4 referendum. The provisions of Section 5 of this Act shall
5 apply to such backdoor referendum, together with the
6 provisions hereof. The authorizing ordinance shall be
7 published in a newspaper of general circulation in the
8 governmental unit. Along with or as part of the authorizing
9 ordinance, there shall be published a notice of (1) the
10 specific number of voters required to sign a petition
11 requesting that the issuance of the alternate bonds be
12 submitted to referendum, (2) the time when such petition must
13 be filed, (3) the date of the prospective referendum, and
14 (4), with respect to authorizing ordinances adopted on or
15 after January 1, 1991, a statement that identifies any
16 revenue source that will be used to pay the principal of and
17 interest on the alternate bonds. The clerk or secretary of
18 the governmental unit shall make a petition form available to
19 anyone requesting one. If no petition is filed with the
20 clerk or secretary within 30 days of publication of the
21 authorizing ordinance and notice, the alternate bonds shall
22 be authorized to be issued. But if within this 30 days
23 period, a petition is filed with such clerk or secretary
24 signed by electors numbering the greater of (i) 7.5% of the
25 registered voters in the governmental unit or (ii) 200 of
26 those registered voters or 15% of those registered voters,
27 whichever is less, asking that the issuance of such alternate
28 bonds be submitted to referendum, the clerk or secretary
29 shall certify such question for submission at an election
30 held in accordance with the general election law. The
31 question on the ballot shall include a statement of any
32 revenue source that will be used to pay the principal of and
33 interest on the alternate bonds. The alternate bonds shall be
34 authorized to be issued if a majority of the votes cast on
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1 the question at such election are in favor thereof provided
2 that notice of the bond referendum, if held before July 1,
3 1999, has been given in accordance with the provisions of
4 Section 12-5 of the Election Code in effect at the time of
5 the bond referendum, at least 10 and not more than 45 days
6 before the date of the election, notwithstanding the time for
7 publication otherwise imposed by Section 12-5. Notices
8 required in connection with the submission of public
9 questions on or after July 1, 1999 shall be as set forth in
10 Section 12-5 of the Election Code. Backdoor referendum
11 proceedings for bonds and alternate bonds to be issued in
12 lieu of such bonds may be conducted at the same time.
13 (c) To the extent payable from enterprise revenues, such
14 revenues shall have been determined by the governing body to
15 be sufficient to provide for or pay in each year to final
16 maturity of such alternate bonds all of the following: (1)
17 costs of operation and maintenance of the utility or
18 enterprise, but not including depreciation, (2) debt service
19 on all outstanding revenue bonds payable from such enterprise
20 revenues, (3) all amounts required to meet any fund or
21 account requirements with respect to such outstanding revenue
22 bonds, (4) other contractual or tort liability obligations,
23 if any, payable from such enterprise revenues, and (5) in
24 each year, an amount not less than 1.25 times debt service of
25 all (i) alternate bonds payable from such enterprise revenues
26 previously issued and outstanding and (ii) alternate bonds
27 proposed to be issued. To the extent payable from one or
28 more revenue sources, such sources shall have been determined
29 by the governing body to provide in each year, an amount not
30 less than 1.25 times debt service of all alternate bonds
31 payable from such revenue sources previously issued and
32 outstanding and alternate bonds proposed to be issued. The
33 conditions enumerated in this subsection (c) need not be met
34 for that amount of debt service provided for by the setting
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1 aside of proceeds of bonds or other moneys at the time of the
2 delivery of such bonds.
3 (c-1) In the case of alternate bonds issued as variable
4 rate bonds (including refunding bonds), debt service shall be
5 projected based on the rate for the most recent date shown in
6 the 20 G.O. Bond Index of average municipal bond yields as
7 published in the most recent edition of The Bond Buyer
8 published in New York, New York (or any successor publication
9 or index, or if such publication or index is no longer
10 published, then any index of long-term municipal tax-exempt
11 bond yields selected by the governmental unit), as of the
12 date of determination referred to in subsection (c) of this
13 Section. Any interest or fees that may be payable to the
14 provider of a letter of credit, line of credit, surety bond,
15 bond insurance, or other credit enhancement relating to such
16 alternate bonds and any fees that may be payable to any
17 remarketing agent need not be taken into account for purposes
18 of such projection. If the governmental unit enters into an
19 agreement in connection with such alternate bonds at the time
20 of issuance thereof pursuant to which the governmental unit
21 agrees for a specified period of time to pay an amount
22 calculated at an agreed-upon rate or index based on a
23 notional amount and the other party agrees to pay the
24 governmental unit an amount calculated at an agreed-upon rate
25 or index based on such notional amount, interest shall be
26 projected for such specified period of time on the basis of
27 the agreed-upon rate payable by the governmental unit.
28 (d) The determination of the sufficiency of enterprise
29 revenues or a revenue source, as applicable, shall be
30 supported by reference to the most recent audit of the
31 governmental unit, which shall be for a fiscal year ending
32 not earlier than 18 months previous to the time of issuance
33 of the alternate bonds. If such audit does not adequately
34 show such enterprise revenues or revenue source, as
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1 applicable, or if such enterprise revenues or revenue source,
2 as applicable, are shown to be insufficient, then the
3 determination of sufficiency shall be supported by the report
4 of an independent accountant or feasibility analyst, the
5 latter having a national reputation for expertise in such
6 matters, demonstrating the sufficiency of such revenues and
7 explaining, if appropriate, by what means the revenues will
8 be greater than as shown in the audit. Whenever such
9 sufficiency is demonstrated by reference to a schedule of
10 higher rates or charges for enterprise revenues or a higher
11 tax imposition for a revenue source, such higher rates,
12 charges or taxes shall have been properly imposed by an
13 ordinance adopted prior to the time of delivery of alternate
14 bonds. The reference to and acceptance of an audit or
15 report, as the case may be, and the determination of the
16 governing body as to sufficiency of enterprise revenues or a
17 revenue source shall be conclusive evidence that the
18 conditions of this Section have been met and that the
19 alternate bonds are valid.
20 (e) The enterprise revenues or revenue source, as
21 applicable, shall be in fact pledged to the payment of the
22 alternate bonds; and the governing body shall covenant, to
23 the extent it is empowered to do so, to provide for, collect
24 and apply such enterprise revenues or revenue source, as
25 applicable, to the payment of the alternate bonds and the
26 provision of not less than an additional .25 times debt
27 service. The pledge and establishment of rates or charges
28 for enterprise revenues, or the imposition of taxes in a
29 given rate or amount, as provided in this Section for
30 alternate bonds, shall constitute a continuing obligation of
31 the governmental unit with respect to such establishment or
32 imposition and a continuing appropriation of the amounts
33 received. All covenants relating to alternate bonds and the
34 conditions and obligations imposed by this Section are
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1 enforceable by any bondholder of alternate bonds affected,
2 any taxpayer of the governmental unit, and the People of the
3 State of Illinois acting through the Attorney General or any
4 designee, and in the event that any such action results in an
5 order finding that the governmental unit has not properly set
6 rates or charges or imposed taxes to the extent it is
7 empowered to do so or collected and applied enterprise
8 revenues or any revenue source, as applicable, as required by
9 this Act, the plaintiff in any such action shall be awarded
10 reasonable attorney's fees. The intent is that such
11 enterprise revenues or revenue source, as applicable, shall
12 be sufficient and shall be applied to the payment of debt
13 service on such alternate bonds so that taxes need not be
14 levied, or if levied need not be extended, for such payment.
15 Nothing in this Section shall inhibit or restrict the
16 authority of a governing body to determine the lien priority
17 of any bonds, including alternate bonds, which may be issued
18 with respect to any enterprise revenues or revenue source.
19 In the event that alternate bonds shall have been issued
20 and taxes, other than a designated revenue source, shall have
21 been extended pursuant to the general obligation, full faith
22 and credit promise supporting such alternate bonds, then the
23 amount of such alternate bonds then outstanding shall be
24 included in the computation of indebtedness of the
25 governmental unit for purposes of all statutory provisions or
26 limitations until such time as an audit of the governmental
27 unit shall show that the alternate bonds have been paid from
28 the enterprise revenues or revenue source, as applicable,
29 pledged thereto for a complete fiscal year.
30 Alternate bonds may be issued to refund or advance refund
31 alternate bonds without meeting any of the conditions set
32 forth in this Section, except that the term of the refunding
33 bonds shall not be longer than the term of the refunded bonds
34 and that the debt service payable in any year on the
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1 refunding bonds shall not exceed the debt service payable in
2 such year on the refunded bonds.
3 Once issued, alternate bonds shall be and forever remain
4 until paid or defeased the general obligation of the
5 governmental unit, for the payment of which its full faith
6 and credit are pledged, and shall be payable from the levy of
7 taxes as is provided in this Act for general obligation
8 bonds.
9 The changes made by this amendatory Act of 1990 do not
10 affect the validity of bonds authorized before September 1,
11 1990.
12 (Source: P.A. 90-812, eff. 1-26-99; 91-57, eff. 6-30-99;
13 91-493, eff. 8-13-99; revised 10-9-99.)
14 (30 ILCS 350/16.5 new)
15 Sec. 16.5. Proposition for bonds. For all elections
16 held after July 1, 2000, the form of a proposition to
17 authorize the issuance of bonds pursuant to either a
18 referendum or backdoor referendum may be as set forth in this
19 Section as an alternative to the form of proposition as
20 otherwise set forth by applicable law. The proposition
21 authorized by this Section shall be in substantially the
22 following form:
23 Shall (name of governmental unit) (state purpose for
24 the bond issue) and issue its bonds to the amount of $
25 (state amount) for the purpose of paying the costs
26 thereof?
27 If a school district has received a grant entitlement
28 from the Illinois State Board of Education pursuant to the
29 School Construction Law for a school construction project to
30 be financed in part with proceeds of a bond authorized by
31 referendum, then the form of proposition may at the option of
32 the school district additionally contain substantially the
33 following language:
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1 (Name of school district) has received a grant
2 entitlement in the amount of $ (state amount) from the
3 Illinois State Board of Education pursuant to the School
4 Construction Law for the school construction project to
5 be financed in part with proceeds of the bonds.
6 (30 ILCS 350/17) (from Ch. 17, par. 6917)
7 Sec. 17. Leases and installment contracts.
8 (a) Interest not debt; debt on leases and installment
9 contracts. Interest on bonds shall not be included in any
10 computation of indebtedness of a governmental unit for the
11 purpose of any statutory provision or limitation. For bonds
12 consisting of leases and installment or financing contracts,
13 (1) that portion of payments made by a governmental unit
14 under the terms of a bond designated as interest in the bond
15 or the ordinance authorizing such bond shall be treated as
16 interest for purposes of this Section (2) where portions of
17 payments due under the terms of a bond have not been
18 designated as interest in the bond or the ordinance
19 authorizing such bond, and all or a portion of such payments
20 is to be used for the payment of principal of and interest on
21 other bonds of the governmental unit or bonds issued by
22 another unit of local government, such as a public building
23 commission, the payments equal to interest due on such
24 corresponding bonds shall be treated as interest for purposes
25 of this Section and (3) where portions of payments due under
26 the terms of a bond have not been designated as interest in
27 the bond or ordinance authorizing such bond and no portion of
28 any such payment is to be used for the payment of principal
29 of and interest on other bonds of the governmental unit or
30 another unit of local government, a portion of each payment
31 due under the terms of such bond shall be treated as interest
32 for purposes of this Section; such portion shall be equal in
33 amount to the interest that would have been paid on a
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1 notional obligation of the governmental unit (bearing
2 interest at the highest rate permitted by law for bonds of
3 the governmental unit at the time the bond was issued or, if
4 no such limit existed, 12%) on which the payments of
5 principal and interest were due at the same times and in the
6 same amounts as payments are due under the terms of the
7 bonds. The rule set forth in this Section shall be
8 applicable to all interest no matter when earned or accrued
9 or at what interval paid, and whether or not a bond bears
10 interest which compounds at certain intervals. For purposes
11 of bonds sold at amounts less than 95% of their stated value
12 at maturity, interest for purposes of this Section includes
13 the difference between the amount set forth on the face of
14 the bond as the original principal amount and the bond's
15 stated value at maturity.
16 This subsection may be made applicable to bonds issued
17 prior to the effective date of this Act by passage of an
18 ordinance to such effect by the governing body of a
19 governmental unit.
20 (b) Purchase or lease of property. The governing body
21 of each governmental unit may purchase or lease either real
22 or personal property, including investments, investment
23 agreements, or investment services, through agreements that
24 provide that the consideration for the purchase or lease may
25 be paid through installments made at stated intervals for a
26 period of no more than 20 years or another period of time
27 authorized by law, whichever is greater. Each governmental
28 unit may issue certificates evidencing the indebtedness
29 incurred under the lease or agreement. The governing body
30 may provide for the treasurer, comptroller, finance officer,
31 or other officer of the governing body charged with financial
32 administration to act as counter-party to any such lease or
33 agreement, as nominee lessor or seller. When the lease or
34 agreement is executed by the officer of the governmental unit
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1 authorized by the governing body to bind the governmental
2 unit thereon by the execution thereof and is filed with and
3 executed by the nominee lessor or seller, the lease or
4 agreement shall be sufficiently executed so as to permit the
5 governmental unit to issue certificates evidencing the
6 indebtedness incurred under the lease or agreement. The
7 certificates agreements. The certificate shall be valid
8 whether or not an appropriation with respect thereto is
9 included in any annual or supplemental budget adopted by the
10 governmental unit. From time to time, as the governing body
11 executes contracts for the purpose of acquiring and
12 constructing the services or real or personal property that
13 is a part of the subject of the lease or agreement, including
14 financial, legal, architectural, and engineering services
15 related to the lease or agreement, the governing body shall
16 order the contracts filed with its nominee officer, and that
17 officer shall identify the contracts to the lease or
18 agreement; that identification shall permit the payment of
19 the contract from the proceeds of the certificates; and the
20 nominee officer shall duly apply or cause to be applied
21 proceeds of the certificates to the payment of the contracts.
22 The governing body of each governmental unit may sell, lease,
23 convey, and reacquire either real or personal property, or
24 any interest in real or personal property, upon any terms and
25 conditions and in any manner, as the governing body shall
26 determine, if the governmental unit will lease, acquire by
27 purchase agreement, or otherwise reacquire the property, as
28 authorized by this subsection or any other applicable law.
29 All indebtedness incurred under this subsection, when
30 aggregated with the existing indebtedness of the governmental
31 unit, may not exceed the debt limits provided by applicable
32 law.
33 (Source: P.A. 91-493, eff. 8-13-99.)
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1 Section 10. The Public Library District Act of 1991 is
2 amended by changing Section 15-90 as follows:
3 (75 ILCS 16/15-90)
4 Sec. 15-90. Transfer of contiguous territory to adjoining
5 district.
6 (a) Territory that is in a public library district and
7 contiguous with another library district may be transferred
8 to the latter district. Upon the mutual agreement of the
9 boards of trustees of the contiguous districts to the
10 transfer of the territory, each board shall enact a transfer
11 ordinance containing identical language describing the
12 territory to be transferred, the effective date of the
13 transfer, a statement of the assets and liabilities, if any,
14 that are a responsibility of the transferred territory, and
15 the settlement of any excess of assets or liabilities.
16 (b) A copy of the transfer ordinance shall be filed with
17 the circuit court of the county that contains all or the
18 larger part of the territory. Upon receiving the ordinance,
19 the circuit court shall enter an order setting forth the
20 date, time, and place of a hearing upon the subject matter of
21 the ordinance, name the judge to hear the cause, and send
22 notice of the date, time, and place of the hearing and of the
23 judge assigned to the president of the board of trustees of
24 each of the involved public library districts and to the
25 secretary of the board of trustees of the public library
26 district containing the territory proposed to be transferred.
27 The date set for the hearing shall be not less than 30 days
28 nor more than 60 days after the circuit court enters the
29 order for the hearing. The secretary of the board of trustees
30 of the public library district containing the territory
31 proposed to be transferred shall, within 15 days of the
32 secretary's receipt of the circuit court's notice of the
33 hearing, publish notice of the hearing as provided in Section
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1 1-30.
2 (c) At the hearing before the assigned judge of the
3 circuit court, the validity of the ordinance, including
4 substantiation of the required allegations in the petition,
5 the appropriateness of the location and boundary of the
6 territory to be voted upon for transfer, and other relevant
7 matters shall be considered. All persons residing in the
8 territory to be transferred, all other persons having an
9 interest in the proposed transfer, and the boards of trustees
10 of the involved library districts shall have a reasonable
11 opportunity to be heard upon the subject of the proposed
12 transfer. The judge's determination of the appropriateness
13 of the boundary of the territory proposed to be transferred
14 shall include the following factors:
15 (1) The location of the residents in relationship
16 to the total territory proposed to be transferred.
17 (2) Maintaining the pre-existing non-residential
18 tax bases of both libraries so far as possible.
19 (3) Local traditional traffic, transportation, and
20 marketing routes and the convenience of the residents of
21 the territory proposed to be transferred.
22 The judge, after hearing the statements, evidence, and
23 suggestions of the persons appearing at the hearing, shall
24 determine (i) whether the ordinance is valid and sufficient
25 according to law and (ii) whether the territory to be
26 transferred would receive substantially equal or greater
27 benefits by being transferred. If the transfer ordinance is
28 found to be valid and sufficient, and the territory to be
29 transferred would receive substantially equal or greater
30 benefits by being so transferred, the judge shall enter a
31 final judgement to transfer the territory.
32 (d) The judge assigned to the case shall, after a
33 hearing upon the merits, enter an order revising the
34 boundaries of the district and setting forth the liability,
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1 if any, yet to be retired and paid by the property owners of
2 the transferred territory. The liability shall be collected
3 under Section 35-15.
4 (e) If there are any general obligation bonds of the
5 public library district (or other obligations incurred
6 instead of general obligation bonds under this Act) that are
7 outstanding and unpaid at the time the territory is
8 transferred from the public library district under this
9 Section, the territory shall remain liable for its
10 proportionate share of the bonded indebtedness or other
11 outstanding obligation incurred instead of bonded
12 indebtedness, and the public library district may continue to
13 levy and extend taxes upon the taxable property in the
14 territory for the purpose of amortizing the bonds or
15 satisfying the other outstanding obligations until sufficient
16 funds to retire the bonds or to satisfy the other outstanding
17 obligations have been collected.
18 (e-5) The county clerk must extend taxes to pay the
19 principal of and interest on any general obligation bonds
20 issued to refund any bond described in subsection (e), as
21 provided in the bond ordinances on file in the office of the
22 county clerk, against all taxable property in the district,
23 including taxable property that was in the district on the
24 date that the bonds being refunded were issued; provided,
25 however, that (i) the net interest rate on the refunding
26 bonds may not exceed the net interest rate on the refunded
27 bonds, (ii) the final maturity date of the refunding bonds
28 may not extend beyond the final maturity date of the refunded
29 bonds, and (iii) the debt service payable on the refunding
30 bonds in any year may not exceed the debt service that would
31 have been payable on the refunded bonds in that year. This
32 subsection is inoperative after December 31, 2000.
33 (f) The district secretary shall record a certified copy
34 of the transfer order with the recorder and file a certified
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1 copy with the county clerk of each county affected.
2 (Source: P.A. 87-1277.)
3 Section 99. Effective date. This Act takes effect upon
4 becoming law.
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