Rep. Frank J. Mautino
Filed: 1/10/2011
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1 | AMENDMENT TO SENATE BILL 336
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2 | AMENDMENT NO. ______. Amend Senate Bill 336, AS AMENDED, by | ||||||
3 | replacing everything after the enacting clause with the | ||||||
4 | following:
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5 | "Section 5. The State Finance Act is amended by adding | ||||||
6 | Sections 5.786, 5.787, 6z-85, 6z-86, and 6z-87 as follows: | ||||||
7 | (30 ILCS 105/5.786 new) | ||||||
8 | Sec. 5.786. General Obligation Restructuring Bond Fund. | ||||||
9 | (30 ILCS 105/5.787 new) | ||||||
10 | Sec. 5.787. General Obligation Restructuring Bond Debt | ||||||
11 | Service Fund. | ||||||
12 | (30 ILCS 105/6z-85 new) | ||||||
13 | Sec. 6z-85. State General Obligation Restructuring Bonds. | ||||||
14 | If and when the State issues any State General Obligation |
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1 | Restructuring Bonds defined in Section 7.6 of the General | ||||||
2 | Obligation Bond Act, the Comptroller shall transfer into the | ||||||
3 | State General Obligation Restructuring Bond Debt Service Fund | ||||||
4 | the amounts set forth in this Section 6z-85. The Governor's | ||||||
5 | Office of Management and Budget shall certify to the | ||||||
6 | Comptroller and the Treasurer, on the date of issuance of any | ||||||
7 | State General Obligation Restructuring Bond and thereafter by | ||||||
8 | the last business day of each fiscal year, the amount of funds | ||||||
9 | sufficient to pay the aggregate of the principal of, interest | ||||||
10 | on, and premium, if any, on State General Obligation | ||||||
11 | Restructuring Bonds payable with respect to the prospective | ||||||
12 | fiscal year (or, in the case of a partial fiscal year, for the | ||||||
13 | remainder of that fiscal year). Interest payable on variable | ||||||
14 | rate bonds shall be calculated at the maximum rate of interest | ||||||
15 | that may be payable for the relevant period, after taking into | ||||||
16 | account any credits permitted in the related indenture or other | ||||||
17 | instrument against the amount of interest required to be | ||||||
18 | appropriated for that period pursuant to subsection (c) of | ||||||
19 | Section 14 of the General Obligation Bond Act. Commencing with | ||||||
20 | the first business day of the fiscal year to which such | ||||||
21 | certification relates (or, in the case of a partial fiscal | ||||||
22 | year, the first business day of the month following the month | ||||||
23 | in which State General Obligation Restructuring Bonds were | ||||||
24 | issued) and continuing on a monthly basis for each successive | ||||||
25 | month thereafter, the Treasurer and the Comptroller shall | ||||||
26 | transfer $129,000,000 into the State General Obligation |
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1 | Restructuring Bond Debt Service Fund. The Comptroller shall | ||||||
2 | continue making monthly transfers into the State General | ||||||
3 | Obligation Restructuring Bond Debt Service Fund until such time | ||||||
4 | as the aggregate amount of funds transferred into the State | ||||||
5 | General Obligation Restructuring Bond Debt Service Fund in a | ||||||
6 | fiscal year (or partial period) equals the amount of funds | ||||||
7 | necessary to service the debt for such fiscal year (or partial | ||||||
8 | period) on the Bonds, as certified by the Governor's Office of | ||||||
9 | Management and Budget. Such amounts shall be set aside and used | ||||||
10 | for the purpose of paying and discharging the principal and | ||||||
11 | interest on such bonds when due and payable and for no other | ||||||
12 | purpose. Interest on Bonds for which moneys have already been | ||||||
13 | deposited into the capitalized interest account within the | ||||||
14 | General Obligation Bond Retirement and Interest Fund shall not | ||||||
15 | be included in the calculation of the amounts to be transferred | ||||||
16 | under this subsection. | ||||||
17 | (30 ILCS 105/6z-86 new) | ||||||
18 | Sec. 6z-86. General Obligation Restructuring Bond Fund. | ||||||
19 | The General Obligation Restructuring Bond Fund is created as a | ||||||
20 | special fund in the State treasury for the purpose of receiving | ||||||
21 | and disbursing moneys in accordance with Section 7.6 of the | ||||||
22 | General Obligation Bond Act. All money in the General | ||||||
23 | Obligation Restructuring Bond Fund must be used to make the | ||||||
24 | transfers and payments required under that Section. |
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1 | (30 ILCS 105/6z-87 new) | ||||||
2 | Sec. 6z-87. General Obligation Restructuring Bond Debt | ||||||
3 | Service Fund. The General Obligation Restructuring Bond Debt | ||||||
4 | Service Fund is created as a special fund in the State | ||||||
5 | treasury. | ||||||
6 | Section 10. The General Obligation Bond Act is amended by | ||||||
7 | changing Sections 2, 2.5, 8, 9, 12, 13, 14, and 15 and by | ||||||
8 | adding Section 7.6 as follows: | ||||||
9 | (30 ILCS 330/2) (from Ch. 127, par. 652) | ||||||
10 | Sec. 2. Authorization for Bonds. The State of Illinois is | ||||||
11 | authorized to
issue, sell and provide for the retirement of | ||||||
12 | General Obligation Bonds of
the State of Illinois for the | ||||||
13 | categories and specific purposes expressed in
Sections 2 | ||||||
14 | through 8 of this Act, in the total amount of $45,967,777,443 | ||||||
15 | $37,217,777,443 $36,967,777,443 . | ||||||
16 | The bonds authorized in this Section 2 and in Section 16 of | ||||||
17 | this Act are
herein called "Bonds". | ||||||
18 | Of the total amount of Bonds authorized in this Act, up to | ||||||
19 | $2,200,000,000
in aggregate original principal amount may be | ||||||
20 | issued and sold in accordance
with the Baccalaureate Savings | ||||||
21 | Act in the form of General Obligation
College Savings Bonds. | ||||||
22 | Of the total amount of Bonds authorized in this Act, up to | ||||||
23 | $300,000,000 in
aggregate original principal amount may be | ||||||
24 | issued and sold in accordance
with the Retirement Savings Act |
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1 | in the form of General Obligation
Retirement Savings Bonds. | ||||||
2 | Of the total amount of Bonds authorized in this Act, the | ||||||
3 | additional
$10,000,000,000 authorized by Public Act 93-2 and | ||||||
4 | the $3,466,000,000 authorized by Public Act 96-43 shall be used | ||||||
5 | solely as provided in Section 7.2. | ||||||
6 | Of the total amount of Bonds authorized in this Act, | ||||||
7 | $8,750,000,000 of the additional amount of Bonds authorized by | ||||||
8 | this amendatory Act of the 96th General Assembly shall be used | ||||||
9 | solely as provided in Section 7.6 and shall be issued by July | ||||||
10 | 1, 2012. | ||||||
11 | The issuance and sale of Bonds pursuant to the General | ||||||
12 | Obligation Bond
Act is an economical and efficient method of | ||||||
13 | financing the long-term capital needs of
the State. This Act | ||||||
14 | will permit the issuance of a multi-purpose General
Obligation | ||||||
15 | Bond with uniform terms and features. This will not only lower
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16 | the cost of registration but also reduce the overall cost of | ||||||
17 | issuing debt
by improving the marketability of Illinois General | ||||||
18 | Obligation Bonds. | ||||||
19 | (Source: P.A. 95-1026, eff. 1-12-09; 96-5, eff. 4-3-09; 96-36, | ||||||
20 | eff. 7-13-09; 96-43, eff. 7-15-09; 96-885, eff. 3-11-10; | ||||||
21 | 96-1000, eff. 7-2-10; revised 9-3-10.) | ||||||
22 | (30 ILCS 330/2.5) | ||||||
23 | Sec. 2.5. Limitation on issuance of Bonds. | ||||||
24 | (a) Except as provided in subsections subsection (b) and | ||||||
25 | (c) , no Bonds may be issued if, after the issuance, in the next |
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1 | State fiscal year after the issuance of the Bonds, the amount | ||||||
2 | of debt service (including principal, whether payable at | ||||||
3 | maturity or pursuant to mandatory sinking fund installments, | ||||||
4 | and interest) on all then-outstanding Bonds, other than Bonds | ||||||
5 | authorized by this amendatory Act of the 96th General Assembly, | ||||||
6 | would exceed 7% of the aggregate appropriations from the | ||||||
7 | general funds (which consist of the General Revenue Fund, the | ||||||
8 | Common School Fund, the General Revenue Common School Special | ||||||
9 | Account Fund, and the Education Assistance Fund) and the Road | ||||||
10 | Fund for the fiscal year immediately prior to the fiscal year | ||||||
11 | of the issuance. | ||||||
12 | (b) If the Comptroller and Treasurer each consent in | ||||||
13 | writing, Bonds may be issued even if the issuance does not | ||||||
14 | comply with subsection (a). | ||||||
15 | (c) Subsection (a) shall not apply to bonds authorized in | ||||||
16 | Section 7.6, and the debt service, including principal, whether | ||||||
17 | payable at maturity or pursuant to mandatory sinking fund | ||||||
18 | installments, and interest, on Bonds authorized in Section 7.6 | ||||||
19 | shall be excluded from the calculation set forth in subsection | ||||||
20 | (a).
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21 | (Source: P.A. 96-43, eff. 7-15-09.) | ||||||
22 | (30 ILCS 330/7.6 new) | ||||||
23 | Sec. 7.6. State General Obligation Restructuring Bonds. | ||||||
24 | (a) The amount of $8,750,000,000 of Bonds authorized by | ||||||
25 | this amendatory Act of the 96th General Assembly is authorized |
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1 | to be used for the purposes of (i) paying, from time to time, | ||||||
2 | vouchers that are at least 60 days past due; (ii) paying | ||||||
3 | medical expenses and other obligations incurred by the State | ||||||
4 | under its health plans and programs; (iii) paying corporate | ||||||
5 | income tax refunds; and (iv) paying other unfunded liabilities | ||||||
6 | of the State as incurred from time to time. | ||||||
7 | (b) As used in this Act, "State General Obligation | ||||||
8 | Restructuring Bonds" means Bonds authorized by this amendatory | ||||||
9 | Act of the 96th General Assembly and issued under this Act for | ||||||
10 | the purposes authorized in this Section. References to Bonds | ||||||
11 | authorized under this Section 7.6 mean Bonds, the proceeds of | ||||||
12 | which are to be used as authorized in subsection (a). | ||||||
13 | (c) The proceeds of State General Obligation Restructuring | ||||||
14 | Bonds, less the amounts authorized in the Bond Sale Order to be | ||||||
15 | deposited directly into the capitalized interest account of the | ||||||
16 | General Obligation Bond Retirement and Interest Fund or | ||||||
17 | otherwise directly paid out for bond sale expenses under | ||||||
18 | Section 8, shall be deposited into the General Obligation | ||||||
19 | Restructuring Bond Fund, and the Comptroller and the Treasurer | ||||||
20 | shall, as soon as practical, (i) make transfers from the | ||||||
21 | General Obligation Restructuring Bond Fund to the General | ||||||
22 | Revenue Fund for the purpose of making the payments | ||||||
23 | contemplated by this Section and (ii) make such payments.
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24 | (30 ILCS 330/8) (from Ch. 127, par. 658)
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25 | Sec. 8. Bond sale expenses. |
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1 | (a)
An amount not to exceed
0.5 percent of the
principal | ||||||
2 | amount of the proceeds of sale of each bond sale is authorized
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3 | to be used to pay the reasonable costs of issuance and sale, | ||||||
4 | including, without limitation, underwriter's discounts and | ||||||
5 | fees, but excluding bond insurance,
of State of
Illinois | ||||||
6 | general obligation bonds authorized and sold pursuant to this | ||||||
7 | Act, provided that no salaries of State employees or other | ||||||
8 | State office operating expenses shall be paid out of | ||||||
9 | non-appropriated proceeds, provided further that the percent | ||||||
10 | shall be 1.0% for each sale of "Build America Bonds" or | ||||||
11 | "Qualified School Construction Bonds" as defined in | ||||||
12 | subsections (d) and (e) of Section 9, respectively , and for | ||||||
13 | each sale of Bonds authorized by Section 7.6 . The Governor's | ||||||
14 | Office of Management and Budget shall compile a summary of all | ||||||
15 | costs of issuance on each sale (including both costs paid out | ||||||
16 | of proceeds and those paid out of appropriated funds) and post | ||||||
17 | that summary on its web site within 20 business days after the | ||||||
18 | issuance of
the Bonds. The summary shall include, as | ||||||
19 | applicable, the respective percentages of participation and | ||||||
20 | compensation of each underwriter that is a member of the | ||||||
21 | underwriting syndicate, legal counsel, financial advisors, and | ||||||
22 | other professionals for the bond issue and an identification of | ||||||
23 | all costs of issuance paid to minority owned businesses, female | ||||||
24 | owned businesses, and businesses owned by persons with | ||||||
25 | disabilities. The terms "minority owned businesses", "female | ||||||
26 | owned businesses", and "business owned by a person with a |
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1 | disability" have the meanings given to those terms in the | ||||||
2 | Business Enterprise for Minorities, Females, and Persons with | ||||||
3 | Disabilities Act. That posting shall be maintained on the web | ||||||
4 | site for a period of at least 30 days. In addition, the | ||||||
5 | Governor's Office of Management and Budget shall provide a | ||||||
6 | written copy of each summary of costs to the Speaker and | ||||||
7 | Minority Leader of the House of Representatives, the President | ||||||
8 | and Minority Leader of the Senate, and the Commission on | ||||||
9 | Government Forecasting and Accountability within 20 business | ||||||
10 | days after each issuance of the Bonds. In addition, the | ||||||
11 | Governor's Office of Management and Budget shall provide copies | ||||||
12 | of all contracts under which any costs of issuance are paid or | ||||||
13 | to be paid to the Commission on Government Forecasting and | ||||||
14 | Accountability within 20 business days after the issuance of | ||||||
15 | Bonds for which those costs are paid or to be paid. Instead of | ||||||
16 | filing a second or subsequent copy of the same contract, the | ||||||
17 | Governor's Office of Management and Budget may file a statement | ||||||
18 | that specified costs are paid under specified contracts filed | ||||||
19 | earlier with the Commission. | ||||||
20 | (b) The Director of the Governor's Office of Management and | ||||||
21 | Budget shall not, in connection with the issuance of Bonds, | ||||||
22 | contract with any underwriter, financial advisor, or attorney | ||||||
23 | unless that underwriter, financial advisor, or attorney | ||||||
24 | certifies that the underwriter, financial advisor, or attorney | ||||||
25 | has not and will not pay a contingent fee, whether directly or | ||||||
26 | indirectly, to a third party for having promoted the selection |
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1 | of the underwriter, financial advisor, or attorney for that | ||||||
2 | contract. In the event that the Governor's Office of Management | ||||||
3 | and Budget determines that an underwriter, financial advisor, | ||||||
4 | or attorney has filed a false certification with respect to the | ||||||
5 | payment of contingent fees, the Governor's Office of Management | ||||||
6 | and Budget shall not contract with that underwriter, financial | ||||||
7 | advisor, or attorney, or with any firm employing any person who | ||||||
8 | signed false certifications, for a period of 2 calendar years, | ||||||
9 | beginning with the date the determination is made. The validity | ||||||
10 | of Bonds issued under such circumstances of violation pursuant | ||||||
11 | to this Section shall not be affected.
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12 | (Source: P.A. 96-828, eff. 12-2-09.)
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13 | (30 ILCS 330/9) (from Ch. 127, par. 659)
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14 | Sec. 9. Conditions for Issuance and Sale of Bonds - | ||||||
15 | Requirements for
Bonds. | ||||||
16 | (a) Except as otherwise provided in this subsection and as | ||||||
17 | provided for in subsection (f) , Bonds shall be issued and sold | ||||||
18 | from time to time, in one or
more series, in such amounts and | ||||||
19 | at such prices as may be directed by the
Governor, upon | ||||||
20 | recommendation by the Director of the
Governor's Office of | ||||||
21 | Management and Budget.
Bonds shall be in such form (either | ||||||
22 | coupon, registered or book entry), in
such denominations, | ||||||
23 | payable within 25 years from their date, subject to such
terms | ||||||
24 | of redemption with or without premium, bear interest payable at
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25 | such times and at such fixed or variable rate or rates, and be |
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1 | dated
as shall be fixed and determined by the Director of
the
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2 | Governor's Office of Management and Budget
in the order | ||||||
3 | authorizing the issuance and sale
of any series of Bonds, which | ||||||
4 | order shall be approved by the Governor
and is herein called a | ||||||
5 | "Bond Sale Order"; provided however, that interest
payable at | ||||||
6 | fixed or variable rates shall not exceed that permitted in the
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7 | Bond Authorization Act, as now or hereafter amended. Bonds | ||||||
8 | shall be
payable at such place or places, within or without the | ||||||
9 | State of Illinois, and
may be made registrable as to either | ||||||
10 | principal or as to both principal and
interest, as shall be | ||||||
11 | specified in the Bond Sale Order. Bonds may be callable
or | ||||||
12 | subject to purchase and retirement or tender and remarketing as | ||||||
13 | fixed
and determined in the Bond Sale Order. Bonds, other than | ||||||
14 | Bonds issued under Section 3 of this Act for the costs | ||||||
15 | associated with the purchase and implementation of information | ||||||
16 | technology, (i) except for refunding Bonds satisfying the | ||||||
17 | requirements of Section 16 of this Act and sold during fiscal | ||||||
18 | year 2009, 2010, or 2011, must be issued with principal or | ||||||
19 | mandatory redemption amounts in equal amounts, with the first | ||||||
20 | maturity issued occurring within the fiscal year in which the | ||||||
21 | Bonds are issued or within the next succeeding fiscal year and | ||||||
22 | (ii) must mature or be subject to mandatory redemption each | ||||||
23 | fiscal year thereafter up to 25 years, except for refunding | ||||||
24 | Bonds satisfying the requirements of Section 16 of this Act and | ||||||
25 | sold during fiscal year 2009, 2010, or 2011 which must mature | ||||||
26 | or be subject to mandatory redemption each fiscal year |
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1 | thereafter up to 16 years. Bonds issued under Section 3 of this | ||||||
2 | Act for the costs associated with the purchase and | ||||||
3 | implementation of information technology must be issued with | ||||||
4 | principal or mandatory redemption amounts in equal amounts, | ||||||
5 | with the first maturity issued occurring with the fiscal year | ||||||
6 | in which the respective bonds are issued or with the next | ||||||
7 | succeeding fiscal year, with the respective bonds issued | ||||||
8 | maturing or subject to mandatory redemption each fiscal year | ||||||
9 | thereafter up to 10 years. Notwithstanding any provision of | ||||||
10 | this Act to the contrary, the Bonds authorized by Public Act | ||||||
11 | 96-43 shall be payable within 5 years from their date and must | ||||||
12 | be issued with principal or mandatory redemption amounts in | ||||||
13 | equal amounts, with payment of principal or mandatory | ||||||
14 | redemption beginning in the first fiscal year following the | ||||||
15 | fiscal year in which the Bonds are issued.
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16 | In the case of any series of Bonds bearing interest at a | ||||||
17 | variable interest
rate ("Variable Rate Bonds"), in lieu of | ||||||
18 | determining the rate or rates at which
such series of Variable | ||||||
19 | Rate Bonds shall bear interest and the price or prices
at which | ||||||
20 | such Variable Rate Bonds shall be initially sold or remarketed | ||||||
21 | (in the
event of purchase and subsequent resale), the Bond Sale | ||||||
22 | Order may provide that
such interest rates and prices may vary | ||||||
23 | from time to time depending on criteria
established in such | ||||||
24 | Bond Sale Order, which criteria may include, without
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25 | limitation, references to indices or variations in interest | ||||||
26 | rates as may, in
the judgment of a remarketing agent, be |
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1 | necessary to cause Variable Rate Bonds
of such series to be | ||||||
2 | remarketable from time to time at a price equal to their
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3 | principal amount, and may provide for appointment of a bank, | ||||||
4 | trust company,
investment bank, or other financial institution | ||||||
5 | to serve as remarketing agent
in that connection.
The Bond Sale | ||||||
6 | Order may provide that alternative interest rates or provisions
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7 | for establishing alternative interest rates, different | ||||||
8 | security or claim
priorities, or different call or amortization | ||||||
9 | provisions will apply during
such times as Variable Rate Bonds | ||||||
10 | of any series are held by a person providing
credit or | ||||||
11 | liquidity enhancement arrangements for such Bonds as | ||||||
12 | authorized in
subsection (b) of this Section.
The Bond Sale | ||||||
13 | Order may also provide for such variable interest rates to be
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14 | established pursuant to a process generally known as an auction | ||||||
15 | rate process
and may provide for appointment of one or more | ||||||
16 | financial institutions to serve
as auction agents and | ||||||
17 | broker-dealers in connection with the establishment of
such | ||||||
18 | interest rates and the sale and remarketing of such Bonds.
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19 | (b) In connection with the issuance of any series of Bonds, | ||||||
20 | the State may
enter into arrangements to provide additional | ||||||
21 | security and liquidity for such
Bonds, including, without | ||||||
22 | limitation, bond or interest rate insurance or
letters of | ||||||
23 | credit, lines of credit, bond purchase contracts, or other
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24 | arrangements whereby funds are made available to retire or | ||||||
25 | purchase Bonds,
thereby assuring the ability of owners of the | ||||||
26 | Bonds to sell or redeem their
Bonds. The State may enter into |
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1 | contracts and may agree to pay fees to persons
providing such | ||||||
2 | arrangements, but only under circumstances where the Director | ||||||
3 | of
the
Governor's Office of Management and Budget certifies | ||||||
4 | that he or she reasonably expects the total
interest paid or to | ||||||
5 | be paid on the Bonds, together with the fees for the
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6 | arrangements (being treated as if interest), would not, taken | ||||||
7 | together, cause
the Bonds to bear interest, calculated to their | ||||||
8 | stated maturity, at a rate in
excess of the rate that the Bonds | ||||||
9 | would bear in the absence of such
arrangements.
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10 | The State may, with respect to Bonds issued or anticipated | ||||||
11 | to be issued,
participate in and enter into arrangements with | ||||||
12 | respect to interest rate
protection or exchange agreements, | ||||||
13 | guarantees, or financial futures contracts
for the purpose of | ||||||
14 | limiting, reducing, or managing interest rate exposure.
The | ||||||
15 | authority granted under this paragraph, however, shall not | ||||||
16 | increase the principal amount of Bonds authorized to be issued | ||||||
17 | by law. The arrangements may be executed and delivered by the | ||||||
18 | Director
of the
Governor's Office of Management and Budget on | ||||||
19 | behalf of the State. Net payments for such
arrangements shall | ||||||
20 | constitute interest on the Bonds and shall be paid from the
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21 | General Obligation Bond Retirement and Interest Fund. The | ||||||
22 | Director of the
Governor's Office of Management and Budget | ||||||
23 | shall at least annually certify to the Governor and
the
State | ||||||
24 | Comptroller his or her estimate of the amounts of such net | ||||||
25 | payments to
be included in the calculation of interest required | ||||||
26 | to be paid by the State.
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1 | (c) Prior to the issuance of any Variable Rate Bonds | ||||||
2 | pursuant to
subsection (a), the Director of the
Governor's | ||||||
3 | Office of Management and Budget shall adopt an
interest rate | ||||||
4 | risk management policy providing that the amount of the State's
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5 | variable rate exposure with respect to Bonds shall not exceed | ||||||
6 | 20%. This policy
shall remain in effect while any Bonds are | ||||||
7 | outstanding and the issuance of
Bonds
shall be subject to the | ||||||
8 | terms of such policy. The terms of this policy may be
amended | ||||||
9 | from time to time by the Director of the
Governor's Office of | ||||||
10 | Management and Budget but in no
event shall any amendment cause | ||||||
11 | the permitted level of the State's variable
rate exposure with | ||||||
12 | respect to Bonds to exceed 20%.
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13 | (d) "Build America Bonds" in this Section means Bonds | ||||||
14 | authorized by Section 54AA of the Internal Revenue Code of | ||||||
15 | 1986, as amended ("Internal Revenue Code"), and bonds issued | ||||||
16 | from time to time to refund or continue to refund "Build | ||||||
17 | America Bonds". | ||||||
18 | (e) Notwithstanding any other provision of this Section, | ||||||
19 | Qualified School Construction Bonds shall be issued and sold | ||||||
20 | from time to time, in one or more series, in such amounts and | ||||||
21 | at such prices as may be directed by the Governor, upon | ||||||
22 | recommendation by the Director of the Governor's Office of | ||||||
23 | Management and Budget. Qualified School Construction Bonds | ||||||
24 | shall be in such form (either coupon, registered or book | ||||||
25 | entry), in such denominations, payable within 25 years from | ||||||
26 | their date, subject to such terms of redemption with or without |
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1 | premium, and if the Qualified School Construction Bonds are | ||||||
2 | issued with a supplemental coupon, bear interest payable at | ||||||
3 | such times and at such fixed or variable rate or rates, and be | ||||||
4 | dated as shall be fixed and determined by the Director of the | ||||||
5 | Governor's Office of Management and Budget in the order | ||||||
6 | authorizing the issuance and sale of any series of Qualified | ||||||
7 | School Construction Bonds, which order shall be approved by the | ||||||
8 | Governor and is herein called a "Bond Sale Order"; except that | ||||||
9 | interest payable at fixed or variable rates, if any, shall not | ||||||
10 | exceed that permitted in the Bond Authorization Act, as now or | ||||||
11 | hereafter amended. Qualified School Construction Bonds shall | ||||||
12 | be payable at such place or places, within or without the State | ||||||
13 | of Illinois, and may be made registrable as to either principal | ||||||
14 | or as to both principal and interest, as shall be specified in | ||||||
15 | the Bond Sale Order. Qualified School Construction Bonds may be | ||||||
16 | callable or subject to purchase and retirement or tender and | ||||||
17 | remarketing as fixed and determined in the Bond Sale Order. | ||||||
18 | Qualified School Construction Bonds must be issued with | ||||||
19 | principal or mandatory redemption amounts or sinking fund | ||||||
20 | payments into the General Obligation Bond Retirement and | ||||||
21 | Interest Fund (or subaccount therefor) in equal amounts, with | ||||||
22 | the first maturity issued, mandatory redemption payment or | ||||||
23 | sinking fund payment occurring within the fiscal year in which | ||||||
24 | the Qualified School Construction Bonds are issued or within | ||||||
25 | the next succeeding fiscal year, with Qualified School | ||||||
26 | Construction Bonds issued maturing or subject to mandatory |
| |||||||
| |||||||
1 | redemption or with sinking fund payments thereof deposited each | ||||||
2 | fiscal year thereafter up to 25 years. Sinking fund payments | ||||||
3 | set forth in this subsection shall be permitted only to the | ||||||
4 | extent authorized in Section 54F of the Internal Revenue Code | ||||||
5 | or as otherwise determined by the Director of the Governor's | ||||||
6 | Office of Management and Budget. "Qualified School | ||||||
7 | Construction Bonds" in this subsection means Bonds authorized | ||||||
8 | by Section 54F of the Internal Revenue Code and for bonds | ||||||
9 | issued from time to time to refund or continue to refund such | ||||||
10 | "Qualified School Construction Bonds". | ||||||
11 | (f) Notwithstanding any other provision of this Section, | ||||||
12 | State General Obligation Restructuring Bonds shall be issued | ||||||
13 | and sold from time to time, in one or more series, in such | ||||||
14 | amounts and at such prices as may be directed by the Governor, | ||||||
15 | upon recommendation by the Director of the Governor's Office of | ||||||
16 | Management and Budget. State General Obligation Restructuring | ||||||
17 | Bonds shall be in such form, either coupon, registered or book | ||||||
18 | entry, in such denominations, payable within 15 years from | ||||||
19 | their date, subject to the following terms of redemption with | ||||||
20 | or without premium and in accordance with the following | ||||||
21 | schedule, except the following amounts shall be prorated if | ||||||
22 | less than the total additional amount of State General | ||||||
23 | Obligation Restructuring Bonds authorized by this amendatory | ||||||
24 | Act of the 96th General Assembly are issued: | ||||||
25 | For fiscal year 2012, $100,000,000; | ||||||
26 | For fiscal year 2013, $100,000,000; |
| |||||||
| |||||||
1 | For fiscal year 2014, $200,000,000; | ||||||
2 | For fiscal year 2015, $450,000,000; | ||||||
3 | For fiscal years 2016 through 2025, $765,000,000; and | ||||||
4 | For fiscal year 2026, $250,000,000. | ||||||
5 | The State General Obligation Restructuring Bonds shall bear | ||||||
6 | interest payable at such times and at such fixed or variable | ||||||
7 | rate or rates, and be dated as shall be fixed and determined by | ||||||
8 | the Director of the Governor's Office of Management and Budget | ||||||
9 | in the order authorizing the issuance and sale of any series of | ||||||
10 | State General Obligation Restructuring Bonds, which order | ||||||
11 | shall be approved by the Governor and is herein called a "Bond | ||||||
12 | Sale Order"; provided however, that interest payable at fixed | ||||||
13 | or variable rates shall not exceed that permitted in the Bond | ||||||
14 | Authorization Act, as now or hereafter amended. State General | ||||||
15 | Obligation Restructuring Bonds shall be payable at such place | ||||||
16 | or places, within or without the State of Illinois, and may be | ||||||
17 | made registrable as to either principal or as to both principal | ||||||
18 | and interest, as shall be specified in the Bond Sale Order. | ||||||
19 | State General Obligation Restructuring Bonds may be callable or | ||||||
20 | subject to purchase and retirement or tender and remarketing as | ||||||
21 | fixed and determined in the Bond Sale Order. | ||||||
22 | (Source: P.A. 96-18, eff. 6-26-09; 96-37, eff. 7-13-09; 96-43, | ||||||
23 | eff. 7-15-09; 96-828, eff. 12-2-09.)
| ||||||
24 | (30 ILCS 330/12) (from Ch. 127, par. 662)
| ||||||
25 | Sec. 12. Allocation of Proceeds from Sale of Bonds.
|
| |||||||
| |||||||
1 | (a) Proceeds from the sale of Bonds, authorized by Section | ||||||
2 | 3 of this Act,
shall be deposited in the separate fund known as | ||||||
3 | the Capital Development Fund.
| ||||||
4 | (b) Proceeds from the sale of Bonds, authorized by | ||||||
5 | paragraph (a) of Section
4 of this Act, shall be deposited in | ||||||
6 | the separate fund known as the
Transportation Bond, Series A | ||||||
7 | Fund.
| ||||||
8 | (c) Proceeds from the sale of Bonds, authorized by | ||||||
9 | paragraphs (b) and (c)
of Section 4 of this Act, shall be | ||||||
10 | deposited in the separate fund known
as the Transportation | ||||||
11 | Bond, Series B Fund.
| ||||||
12 | (c-1) Proceeds from the sale of Bonds, authorized by | ||||||
13 | paragraph (d) of Section 4 of this Act, shall be deposited into | ||||||
14 | the Transportation Bond Series D Fund, which is hereby created. | ||||||
15 | (d) Proceeds from the sale of Bonds, authorized by Section | ||||||
16 | 5 of this
Act, shall be deposited in the separate fund known as | ||||||
17 | the School Construction
Fund.
| ||||||
18 | (e) Proceeds from the sale of Bonds, authorized by Section | ||||||
19 | 6 of this Act,
shall be deposited in the separate fund known as | ||||||
20 | the Anti-Pollution Fund.
| ||||||
21 | (f) Proceeds from the sale of Bonds, authorized by Section | ||||||
22 | 7 of this Act,
shall be deposited in the separate fund known as | ||||||
23 | the Coal Development Fund.
| ||||||
24 | (f-2) Proceeds from the sale of Bonds, authorized by | ||||||
25 | Section 7.2 of this
Act, shall be deposited as set forth in | ||||||
26 | Section 7.2.
|
| |||||||
| |||||||
1 | (f-5) Proceeds from the sale of Bonds, authorized by | ||||||
2 | Section 7.5 of this
Act, shall be deposited as set forth in | ||||||
3 | Section 7.5. | ||||||
4 | (f-6) Proceeds from the sale of Bonds, authorized by | ||||||
5 | Section 7.6 of this Act, shall be deposited as set forth in | ||||||
6 | Section 7.6.
| ||||||
7 | (g) Proceeds from the sale of Bonds, authorized by Section | ||||||
8 | 8 of this Act,
shall be deposited in
the Capital Development | ||||||
9 | Fund.
| ||||||
10 | (h) Subsequent to the issuance of any Bonds for the | ||||||
11 | purposes described
in Sections 2 through 8 of this Act, the | ||||||
12 | Governor and the Director of the
Governor's Office of | ||||||
13 | Management and Budget may provide for the reallocation of | ||||||
14 | unspent proceeds
of such Bonds to any other purposes authorized | ||||||
15 | under said Sections of this
Act, subject to the limitations on | ||||||
16 | aggregate principal amounts contained
therein. Upon any such | ||||||
17 | reallocation, such unspent proceeds shall be
transferred to the | ||||||
18 | appropriate funds as determined by reference to
paragraphs (a) | ||||||
19 | through (g) of this Section.
| ||||||
20 | (Source: P.A. 96-36, eff. 7-13-09.)
| ||||||
21 | (30 ILCS 330/13) (from Ch. 127, par. 663)
| ||||||
22 | Sec. 13. Appropriation of Proceeds from Sale of Bonds.
| ||||||
23 | (a) At all times, the proceeds from the sale of Bonds | ||||||
24 | issued pursuant
to this Act are subject to appropriation by the | ||||||
25 | General Assembly and,
except as provided in Sections Section |
| |||||||
| |||||||
1 | 7.2 and 7.6 , may be obligated or expended only
with the written | ||||||
2 | approval of the Governor, in such amounts, at such times,
and | ||||||
3 | for such purposes as the respective
State agencies, as defined | ||||||
4 | in Section 1-7 of the Illinois State Auditing
Act, as amended, | ||||||
5 | deem necessary or desirable for the specific purposes
| ||||||
6 | contemplated in Sections 2 through 8 of this Act.
| ||||||
7 | (b) Proceeds from the sale of Bonds for the purpose of | ||||||
8 | development of
coal and alternative forms of energy shall be | ||||||
9 | expended in such amounts and
at such times as the Department of | ||||||
10 | Commerce and Economic Opportunity, with the
advice and | ||||||
11 | recommendation of the Illinois Coal Development Board for coal
| ||||||
12 | development projects, may deem necessary and desirable for the | ||||||
13 | specific
purpose contemplated by Section 7 of this Act. In | ||||||
14 | considering the approval
of projects to be funded, the | ||||||
15 | Department of Commerce and
Economic Opportunity shall give
| ||||||
16 | special
consideration to projects designed to remove sulfur and | ||||||
17 | other pollutants in
the preparation and utilization of coal, | ||||||
18 | and in the use and operation of
electric utility generating | ||||||
19 | plants and industrial facilities which utilize
Illinois coal as | ||||||
20 | their primary source of fuel.
| ||||||
21 | (c) Except as directed in subsection (c-1) or (c-2), any | ||||||
22 | monies received by any officer or employee of the state
| ||||||
23 | representing a reimbursement of expenditures previously paid | ||||||
24 | from general
obligation bond proceeds shall be deposited into | ||||||
25 | the General Obligation
Bond Retirement and Interest Fund | ||||||
26 | authorized in Section 14 of this Act.
|
| |||||||
| |||||||
1 | (c-1) Any money received by the Department of | ||||||
2 | Transportation as reimbursement for expenditures for high | ||||||
3 | speed rail purposes pursuant to appropriations from the | ||||||
4 | Transportation Bond, Series B Fund for (i) CREATE (Chicago | ||||||
5 | Region Environmental and Transportation Efficiency), (ii) High | ||||||
6 | Speed Rail, or (iii) AMTRAK projects authorized by the federal | ||||||
7 | government under the provisions of the American Recovery and | ||||||
8 | Reinvestment Act of 2009 or the Safe Accountable Flexible | ||||||
9 | Efficient Transportation Equity Act—A Legacy for Users | ||||||
10 | (SAFETEA-LU), or any successor federal transportation | ||||||
11 | authorization Act, shall be deposited into the Federal High | ||||||
12 | Speed Rail Trust Fund. | ||||||
13 | (c-2) Any money received by the Department of | ||||||
14 | Transportation as reimbursement for expenditures for transit | ||||||
15 | capital purposes pursuant to appropriations from the | ||||||
16 | Transportation Bond, Series B Fund for projects authorized by | ||||||
17 | the federal government under the provisions of the American | ||||||
18 | Recovery and Reinvestment Act of 2009 or the Safe Accountable | ||||||
19 | Flexible Efficient Transportation Equity Act—A Legacy for | ||||||
20 | Users (SAFETEA-LU), or any successor federal transportation | ||||||
21 | authorization Act, shall be deposited into the Federal Mass | ||||||
22 | Transit Trust Fund. | ||||||
23 | (Source: P.A. 96-1488, eff. 12-30-10.)
| ||||||
24 | (30 ILCS 330/14) (from Ch. 127, par. 664)
| ||||||
25 | Sec. 14. Repayment.
|
| |||||||
| |||||||
1 | (a) To provide for the manner of repayment of Bonds, the | ||||||
2 | Governor shall
include an appropriation in each annual State | ||||||
3 | Budget of monies in such amount
as shall be necessary and | ||||||
4 | sufficient, for the period covered by such budget,
to pay the | ||||||
5 | interest, as it shall accrue, on all Bonds issued under this | ||||||
6 | Act,
to pay and discharge the principal of such Bonds as shall, | ||||||
7 | by their terms,
fall due during such period, to pay a premium, | ||||||
8 | if any, on Bonds to be
redeemed prior to the maturity date, and | ||||||
9 | to pay sinking fund payments in connection with Qualified | ||||||
10 | School Construction Bonds authorized by subsection (e) of | ||||||
11 | Section 9. Amounts included in such appropriations
for the | ||||||
12 | payment of interest on variable rate bonds shall be the maximum | ||||||
13 | amounts
of interest that may be payable for the period covered | ||||||
14 | by the budget, after
taking into account any credits permitted | ||||||
15 | in the related indenture or other
instrument against the amount | ||||||
16 | of such interest required to be appropriated for
such period. | ||||||
17 | Amounts included in such appropriations for the payment of
| ||||||
18 | interest shall include the amounts certified by the Director of | ||||||
19 | the
Governor's Office of Management and Budget under subsection | ||||||
20 | (b) of Section 9 of this Act.
| ||||||
21 | (b) A separate fund in the State Treasury called the | ||||||
22 | "General Obligation
Bond Retirement and Interest Fund" is | ||||||
23 | hereby created.
| ||||||
24 | (c) The General Assembly shall annually make | ||||||
25 | appropriations to pay the
principal of, interest on, and | ||||||
26 | premium, if any, on Bonds sold under this
Act from the General |
| |||||||
| |||||||
1 | Obligation Bond Retirement and Interest Fund.
Amounts included | ||||||
2 | in such appropriations for the payment of interest on
variable | ||||||
3 | rate bonds shall be the maximum amounts of interest that may be
| ||||||
4 | payable during the fiscal year, after taking into account any | ||||||
5 | credits
permitted in the related indenture or other instrument | ||||||
6 | against the amount
of such interest required to be appropriated | ||||||
7 | for such period. Amounts included
in such appropriations for | ||||||
8 | the payment of interest shall include the amounts
certified by | ||||||
9 | the Director of the
Governor's Office of Management and Budget | ||||||
10 | under subsection (b) of
Section 9 of this Act.
| ||||||
11 | If for any reason there are insufficient funds in either | ||||||
12 | the General
Revenue Fund , or the Road Fund , or the State | ||||||
13 | General Obligation Restructuring Bond Debt Service Fund to make
| ||||||
14 | transfers to the General Obligation Bond Retirement and | ||||||
15 | Interest Fund as
required by Section 15 of this Act, or if for | ||||||
16 | any reason the General Assembly
fails to make appropriations | ||||||
17 | sufficient to pay the principal of, interest on,
and premium, | ||||||
18 | if any, on the Bonds, as the same by their terms shall become | ||||||
19 | due,
this Act shall constitute an irrevocable and continuing | ||||||
20 | appropriation of all
amounts necessary for that purpose, and | ||||||
21 | the irrevocable and continuing
authority for and direction to | ||||||
22 | the State Treasurer and the Comptroller to make
the necessary | ||||||
23 | transfers, as directed by the Governor, out of and | ||||||
24 | disbursements
from the revenues and funds of the
State.
| ||||||
25 | (d) If, because of insufficient funds in either the General | ||||||
26 | Revenue Fund , or the Road Fund, or the State General Obligation |
| |||||||
| |||||||
1 | Restructuring Bond Debt Service Fund, monies have been | ||||||
2 | transferred to the General Obligation
Bond Retirement and | ||||||
3 | Interest Fund, as required by subsection (c) of this
Section, | ||||||
4 | this Act shall constitute the irrevocable and continuing | ||||||
5 | authority
for and direction to the State Treasurer and | ||||||
6 | Comptroller to reimburse these
funds of the State from the | ||||||
7 | General Revenue Fund , or the Road Fund, or the State General | ||||||
8 | Obligation Restructuring Bond Debt Service Fund, as
| ||||||
9 | appropriate, by transferring, at such times and in such | ||||||
10 | amounts, as directed by
the Governor, an amount to these funds | ||||||
11 | equal to that transferred from them.
| ||||||
12 | (Source: P.A. 96-828, eff. 12-2-09.)
| ||||||
13 | (30 ILCS 330/15) (from Ch. 127, par. 665)
| ||||||
14 | Sec. 15. Computation of Principal and Interest; transfers.
| ||||||
15 | (a) Upon each delivery of Bonds authorized to be issued | ||||||
16 | under this Act,
the Comptroller shall compute and certify to | ||||||
17 | the Treasurer the total amount
of principal of, interest on, | ||||||
18 | and premium, if any, on Bonds issued that will
be payable in | ||||||
19 | order to retire such Bonds, the amount of principal of,
| ||||||
20 | interest on and premium, if any, on such Bonds that will be | ||||||
21 | payable on each
payment date according to the tenor of such | ||||||
22 | Bonds during the then current and
each succeeding fiscal year, | ||||||
23 | and the amount of sinking fund payments needed to be deposited | ||||||
24 | in connection with Qualified School Construction Bonds | ||||||
25 | authorized by subsection (e) of Section 9.
With respect to the |
| |||||||
| |||||||
1 | interest payable on variable rate bonds, such
certifications | ||||||
2 | shall be calculated at the maximum rate of interest that
may be | ||||||
3 | payable during the fiscal year, after taking into account any | ||||||
4 | credits
permitted in the related indenture or other instrument | ||||||
5 | against the amount
of such interest required to be appropriated | ||||||
6 | for such period pursuant to
subsection (c) of Section 14 of | ||||||
7 | this Act. With respect to the interest
payable, such | ||||||
8 | certifications shall include the amounts certified by the
| ||||||
9 | Director of the
Governor's Office of Management and Budget | ||||||
10 | under subsection (b) of Section 9 of
this Act.
| ||||||
11 | On or before the last day of each month the State Treasurer | ||||||
12 | and Comptroller
shall transfer from (1) the Road Fund with | ||||||
13 | respect to Bonds issued under
paragraph (a) of Section 4 of | ||||||
14 | this Act or Bonds issued for the purpose of
refunding such | ||||||
15 | bonds, (2) the State General Obligation Restructuring Bond Debt | ||||||
16 | Service Fund with respect to Bonds issued under Section 7.6 of | ||||||
17 | this Act or Bonds issued for the purpose of refunding such | ||||||
18 | bonds, and (3) from (2) the General
Revenue Fund, with respect | ||||||
19 | to all other Bonds issued under this Act, to the
General | ||||||
20 | Obligation Bond Retirement and Interest Fund an amount | ||||||
21 | sufficient to
pay the aggregate of the principal of, interest | ||||||
22 | on, and premium, if any, on
Bonds payable, by their terms on | ||||||
23 | the next payment date divided by the number of
full calendar | ||||||
24 | months between the date of such Bonds and the first such | ||||||
25 | payment
date, and thereafter, divided by the number of months | ||||||
26 | between each succeeding
payment date after the first. Such |
| |||||||
| |||||||
1 | computations and transfers shall be
made for each series of | ||||||
2 | Bonds issued and delivered. Interest payable on
variable rate | ||||||
3 | bonds shall be calculated at the maximum rate of interest that
| ||||||
4 | may be payable for the relevant period, after taking into | ||||||
5 | account any credits
permitted in the related indenture or other | ||||||
6 | instrument against the amount of
such interest required to be | ||||||
7 | appropriated for such period pursuant to
subsection (c) of | ||||||
8 | Section 14 of this Act. Computations of interest shall
include | ||||||
9 | the amounts certified by the Director of the
Governor's Office | ||||||
10 | of Management and Budget
under subsection (b) of Section 9 of | ||||||
11 | this Act. Interest for which moneys
have already been deposited | ||||||
12 | into the capitalized interest account within the
General | ||||||
13 | Obligation Bond Retirement and Interest Fund shall not be | ||||||
14 | included
in the calculation of the amounts to be transferred | ||||||
15 | under this subsection. Notwithstanding any other provision in | ||||||
16 | this Section, the transfer provisions provided in this | ||||||
17 | paragraph shall not apply to transfers made in fiscal year 2010 | ||||||
18 | with respect to Bonds issued in fiscal year 2010 pursuant to | ||||||
19 | Section 7.2 of this Act. In the case of transfers made in | ||||||
20 | fiscal year 2010 with respect to the Bonds issued in fiscal | ||||||
21 | year 2010 pursuant to Section 7.2 of this Act, on or before the | ||||||
22 | 15th day of the month prior to the required debt service | ||||||
23 | payment, the State Treasurer and Comptroller shall transfer | ||||||
24 | from the General Revenue Fund to the General Obligation Bond | ||||||
25 | Retirement and Interest Fund an amount sufficient to pay the | ||||||
26 | aggregate of the principal of, interest on, and premium, if |
| |||||||
| |||||||
1 | any, on the Bonds payable in that next month.
| ||||||
2 | The transfer of monies herein and above directed is not | ||||||
3 | required if monies
in the General Obligation Bond Retirement | ||||||
4 | and Interest Fund are more than
the amount otherwise to be | ||||||
5 | transferred as herein above provided, and if the
Governor or | ||||||
6 | his authorized representative notifies the State Treasurer and
| ||||||
7 | Comptroller of such fact in writing.
| ||||||
8 | (b) After the effective date of this Act, the balance of, | ||||||
9 | and monies
directed to be included in the Capital Development | ||||||
10 | Bond Retirement and
Interest Fund, Anti-Pollution Bond | ||||||
11 | Retirement and Interest Fund,
Transportation Bond, Series A | ||||||
12 | Retirement and Interest Fund, Transportation
Bond, Series B | ||||||
13 | Retirement and Interest Fund, and Coal Development Bond
| ||||||
14 | Retirement and Interest Fund shall be transferred to and | ||||||
15 | deposited in the
General Obligation Bond Retirement and | ||||||
16 | Interest Fund. This Fund shall be
used to make debt service | ||||||
17 | payments on the State's general obligation Bonds
heretofore | ||||||
18 | issued which are now outstanding and payable from the Funds | ||||||
19 | herein
listed as well as on Bonds issued under this Act.
| ||||||
20 | (c) The unused portion of federal funds received for a | ||||||
21 | capital
facilities project, as authorized by Section 3 of this | ||||||
22 | Act, for which
monies from the Capital Development Fund have | ||||||
23 | been expended shall be
deposited upon completion of the project | ||||||
24 | in the General Obligation Bond
Retirement and Interest Fund. | ||||||
25 | Any federal funds received as reimbursement
for the completed | ||||||
26 | construction of a capital facilities project, as
authorized by |
| |||||||
| |||||||
1 | Section 3 of this Act, for which monies from the Capital
| ||||||
2 | Development Fund have been expended shall be deposited in the | ||||||
3 | General
Obligation Bond Retirement and Interest Fund.
| ||||||
4 | (Source: P.A. 96-43, eff. 7-15-09; 96-828, eff. 12-2-09.)
| ||||||
5 | Section 99. Effective date. This Act takes effect upon | ||||||
6 | becoming law.".
|