093_HB2245 LRB093 10871 MKM 11367 b 1 AN ACT in relation to municipalities. 2 Be it enacted by the People of the State of Illinois, 3 represented in the General Assembly: 4 Section 5. The Sanitary District Act of 1917 is amended 5 by changing Section 27 as follows: 6 (70 ILCS 2405/27) (from Ch. 42, par. 317i) 7 Sec. 27. Dissolution of sanitary district. 8 (a) Any sanitary district created under this Act which 9 does not have any outstanding and unpaid revenue bonds issued 10 under the provisions of this Act and which has a population 11 not in excess of 5000 persons and where that sanitary 12 district has entered into an intergovernmental agreement with 13 a municipality for the mutual expenditure of funds in joint 14 work and for the transfer of assets under the Municipality 15 and Sanitary District Mutual Expenditure Act may be dissolved 16 as follows: 17 The board of trustees of a sanitary district may petition 18 the circuit court to dissolve the district. Such petition 19 must show: (1) the reasons for dissolving the district; (2) 20 that there are no debts of the district outstanding or that 21 there are sufficient funds on hand or available to satisfy 22 such debts; (3) that no contract or federal or state permit 23 or grant will be impaired by the dissolution of the sanitary 24 district; (4) that all assets and responsibilities of the 25 sanitary district have been properly assigned to the 26 successor municipality; and (5) that the sanitary district 27 will pay any court costs incurred in connection with the 28 petition. 29 Upon adequate notice, including appropriate notice to the 30 Illinois Environmental Protection Agency, the circuit court 31 shall hold a hearing to determine whether there is good -2- LRB093 10871 MKM 11367 b 1 reason for dissolving the district and whether the 2 allegations of the petition are true. If the court finds for 3 the petitioners it shall order the district dissolved but if 4 the court finds against the petitioners the petition shall be 5 dismissed. In either event, the costs shall be taxed against 6 the sanitary district. The order shall be final. Separate 7 or joint appeals may be taken by any of the parties affected 8 thereby or by the trustees of the sanitary district, as in 9 other civil cases. 10 (b) Any municipality located in a county with a 11 population not in excess of 1,000,000 persons that (i) has 12 formed a sanitary district located wholly within the county 13 within which the municipality is located and (ii) contains 14 within its municipal limits at least 90% of the area serviced 15 by the existing sanitary district has the power to dissolve 16 the district and acquire all assets and responsibilities of 17 the district. The corporate authorities of the municipality, 18 after providing at least 60 days' prior written notice to the 19 sanitary district, may vote to dissolve and acquire an 20 existing sanitary district formed pursuant to this Act upon 21 showing: (1) the reasons for dissolving the district; (2) 22 that there are no outstanding debts of the district or that 23 the municipality has sufficient funds on hand or available to 24 satisfy the debts; (3) that no federal or State permit or 25 grant will be impaired by dissolution of the existing 26 sanitary district; (4) that all assets and responsibilities 27 of the district have been properly assigned to the 28 municipality; and (5) that adequate notice has been given to 29 the Illinois Environmental Protection Agency regarding the 30 dissolution of the sanitary district. Any costs associated 31 with the dissolution of the existing sanitary district may be 32 taxed against the district, once the municipality has 33 acquired all of the assets and responsibilities of the 34 district. The sanitary district may file an appeal with the -3- LRB093 10871 MKM 11367 b 1 circuit court, which shall hold a hearing to determine 2 whether the requirements of this Section have been met. If 3 the court finds that requirements of this Section have been 4 met, it shall uphold the action of the municipality to 5 dissolve the district. If the court finds that the 6 requirements have not been met, it shall order that the 7 sanitary district not be dissolved. 8 (Source: P.A. 88-572, eff. 8-11-94.) 9 Section 99. Effective date. This Act takes effect upon 10 becoming law.