97TH GENERAL ASSEMBLY
State of Illinois
2011 and 2012
HB5185

 

Introduced 2/8/2012, by Rep. Rita Mayfield

 

SYNOPSIS AS INTRODUCED:
 
20 ILCS 3501/825-80
20 ILCS 3501/825-81
20 ILCS 3501/825-85
20 ILCS 3501/825-87 new

    Amends the Illinois Finance Authority Act. Provides that the Illinois Finance Authority and the State Fire Marshal may (rather than shall) jointly administer a fire truck revolving loan program and an ambulance revolving loan program. Provides that the Authority may use loans and guarantees authorized by the fire truck revolving loan program, the fire station revolving loan program, and the ambulance revolving loan program to maximize the number of participants in those programs and to maximize the efficient use of taxpayer appropriated funds. Provides that the Authority may determine the financial structure of loans or guarantees authorized by those programs. Provides that the Authority and the State Fire Marshall may access the funds associated with those programs and may charge and collect fees in connection with those programs. Effective immediately.


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FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB5185LRB097 19623 PJG 64877 b

1    AN ACT concerning State government.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Illinois Finance Authority Act is amended by
5changing Sections 825-80, 825-81, and 825-85 and by adding
6Section 825-87 as follows:
 
7    (20 ILCS 3501/825-80)
8    Sec. 825-80. Fire truck revolving loan program.
9    (a) This Section is a continuation and re-enactment of the
10fire truck revolving loan program enacted as Section 3-27 of
11the Rural Bond Bank Act by Public Act 93-35, effective June 24,
122003, and repealed by Public Act 93-205, effective January 1,
132004. Under the Rural Bond Bank Act, the program was
14administered by the Rural Bond Bank and the State Fire Marshal.
15    (b) The Authority and the State Fire Marshal may shall
16jointly administer a fire truck revolving loan program. The
17program may shall provide zero-interest loans for the purchase
18of fire trucks by a fire department, a fire protection
19district, or a township fire department. The Authority shall
20make loans based on need, as determined by the State Fire
21Marshal.
22    (c) The loan funds, subject to appropriation, shall be paid
23out of the Fire Truck Revolving Loan Fund, a special fund in

 

 

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1the State Treasury. The Fund shall consist of any moneys
2transferred or appropriated into the Fund, as well as all
3repayments of loans made under the program and any balance
4existing in the Fund on the effective date of this Section. The
5Fund shall be used for loans to fire departments and fire
6protection districts to purchase fire trucks and for no other
7purpose. All interest earned on moneys in the Fund shall be
8deposited into the Fund.
9    (d) A loan for the purchase of fire trucks may not exceed
10$250,000 to any fire department or fire protection district.
11The repayment period for the loan may not exceed 20 years. The
12fire department or fire protection district shall repay each
13year at least 5% of the principal amount borrowed or the
14remaining balance of the loan, whichever is less. All
15repayments of loans shall be deposited into the Fire Truck
16Revolving Loan Fund.
17    (e) The Authority and the State Fire Marshal may shall
18adopt rules in accordance with the Illinois Administrative
19Procedure Act to administer the program.
20    (f) Notwithstanding the repeal of Section 3-27 of the Rural
21Bond Bank Act, all otherwise lawful actions taken on or after
22January 1, 2004 and before the effective date of this Section
23by any person under the authority originally granted by that
24Section 3-27, including without limitation the granting,
25acceptance, and repayment of loans for the purchase of fire
26trucks, are hereby validated, and the rights and obligations of

 

 

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1all parties to any such loan are hereby acknowledged and
2confirmed.
3(Source: P.A. 94-221, eff. 7-14-05.)
 
4    (20 ILCS 3501/825-81)
5    Sec. 825-81. Fire station revolving loan program.
6    (a) The Authority and the State Fire Marshal may jointly
7administer a fire station revolving loan program. The program
8may provide zero-interest loans for the construction,
9rehabilitation, remodeling, or expansion of a fire station or
10the acquisition of land for the construction or expansion of a
11fire station by a fire department, a fire protection district,
12or a township fire department. Once the program receives
13funding, the Authority shall make loans based on need, as
14determined by the State Fire Marshal.
15    (b) The loan funds, subject to appropriation, may be paid
16out of the Fire Station Revolving Loan Fund, a special fund in
17the State treasury. The Fund may consist of any moneys
18transferred or appropriated into the Fund, as well as all
19repayments of loans made under the program. Once the program
20receives funding, the Fund may be used for loans to fire
21departments and fire protection districts to construct,
22rehabilitate, remodel, or expand fire stations or acquire land
23for the construction or expansion of fire stations and for no
24other purpose. All interest earned on moneys in the Fund shall
25be deposited into the Fund.

 

 

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1    (c) A loan under the program may not exceed $2,000,000 to
2any fire department or fire protection district. The repayment
3period for the loan may not exceed 25 years. The fire
4department or fire protection district shall repay each year at
5least 4% of the principal amount borrowed or the remaining
6balance of the loan, whichever is less. All repayments of loans
7shall be deposited into the Fire Station Revolving Loan Fund.
8    (d) The Authority and the State Fire Marshal may adopt
9rules in accordance with the Illinois Administrative Procedure
10Act to administer the program.
11(Source: P.A. 96-135, eff. 8-7-09; 96-1172, eff. 7-22-10.)
 
12    (20 ILCS 3501/825-85)
13    Sec. 825-85. Ambulance revolving loan program.
14    (a) The Authority and the State Fire Marshal may shall
15jointly administer an ambulance revolving loan program. The
16program may shall provide zero-interest loans for the purchase
17of ambulances by a fire department, a fire protection district,
18a township fire department, or a non-profit ambulance service.
19The Authority shall make loans based on need, as determined by
20the State Fire Marshal.
21    (b) The loan funds, subject to appropriation, shall be paid
22out of the Ambulance Revolving Loan Fund, a special fund in the
23State treasury. The Fund shall consist of any moneys
24transferred or appropriated into the Fund, as well as all
25repayments of loans made under the program. The Fund shall be

 

 

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1used for loans to fire departments, fire protection districts,
2and non-profit ambulance services to purchase ambulances and
3for no other purpose. All interest earned on moneys in the Fund
4shall be deposited into the Fund.
5    (c) A loan for the purchase of ambulances may not exceed
6$100,000 to any fire department, fire protection district, or
7non-profit ambulance service. The repayment period for the loan
8may not exceed 10 years. The fire department, fire protection
9district, or non-profit ambulance service` shall repay each
10year at least 5% of the principal amount borrowed or the
11remaining balance of the loan, whichever is less. All
12repayments of loans shall be deposited into the Ambulance
13Revolving Loan Fund.
14    (d) The Authority and the State Fire Marshal may shall
15adopt rules in accordance with the Illinois Administrative
16Procedure Act to administer the program.
17(Source: P.A. 94-829, eff. 6-5-06.)
 
18    (20 ILCS 3501/825-87 new)
19    Sec. 825-87. Public life safety capital investment finance
20program.
21    (a) In addition to the powers set forth in Sections 825-80,
22825-81, and 825-85 of this Act and in furtherance of the
23purposes and programs set forth in those Sections, the
24Authority may use loans and guarantees as authorized in this
25Act to maximize the number of participants in the programs and

 

 

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1to maximize the efficient use of taxpayer appropriated funds.
2    (b) Subject to appropriation, loans or guarantees
3authorized by the programs under Sections 825-80, 825-81, and
4825-85 of this Act may finance: (i) the purchase of fire
5trucks, ambulances, brush trucks, or other depreciable capital
6equipment or vehicles that will assist a unit of local
7government, as defined in Section 820-10 of this Act, in
8furtherance of the unit of local government's essential public
9life safety purpose as determined by the State Fire Marshal;
10(ii) the purchase, construction, rehabilitation, remodeling,
11or expansion of fire stations or other structures that will
12assist a unit of local government, as defined in Section 820-10
13of this Act, in furtherance of the unit of local government's
14public life safety purpose as determined by the State Fire
15Marshal; or (iii) the purchase or acquisition of land for the
16construction or expansion of a fire station or other structure
17that will assist a unit of local government, as defined in
18Section 820-10 of this Act, in furtherance of the unit of local
19government's public life safety purpose as determined by the
20State Fire Marshal.
21    (c) The Authority may determine the financial structure,
22including but not limited to the terms, conditions, collateral,
23maturity, and interest rate, of loans or guarantees authorized
24by the programs under Sections 825-80, 825-81, and 825-85 of
25this Act.
26    (d) The Authority and the State Fire Marshall may access

 

 

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1the funds referenced in Sections 825-80, 825-81, and 825-85 of
2this Act and may fix, determine, charge, and collect fees, in
3connection with the programs under Sections 825-80, 825-81, and
4825-85 of this Act and in furtherance of the purposes set forth
5in this Section.
6    (e) The Authority and the State Fire Marshal may adopt
7rules in accordance with the Illinois Administrative Procedure
8Act to administer the programs under this Section.
 
9    Section 99. Effective date. This Act takes effect upon
10becoming law.