SB3183 EngrossedLRB097 19643 KMW 64897 b

1    AN ACT concerning local government.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Counties Code is amended by adding Section
55-1134 as follows:
 
6    (55 ILCS 5/5-1134 new)
7    Sec. 5-1134. Borrowing from financial institutions. The
8county board of a county may borrow money from any bank or
9other financial institution provided such money shall be repaid
10within 2 years from the time the money is borrowed. The County
11Board Chairman, County Executive, or County Board President, as
12the case may be, shall execute a promissory note or similar
13debt instrument, but not a bond, to evidence the indebtedness
14incurred by the borrowing. The obligation to make the payments
15due under the promissory note or other debt instrument shall be
16a lawful direct general obligation of the county payable from
17the general funds of the county and such other sources of
18payment as are otherwise lawfully available. The promissory
19note or other debt instrument shall be authorized by an
20ordinance passed by the county board and shall be valid whether
21or not an appropriation with respect to that ordinance is
22included in any annual or supplemental appropriation adopted by
23the county board. The indebtedness incurred under this Section,

 

 

SB3183 Engrossed- 2 -LRB097 19643 KMW 64897 b

1when aggregated with the existing indebtedness of the county,
2may not exceed any debt limitation otherwise provided for by
3law. This Section shall not be construed to grant any
4additional authority to a county to borrow money or to remove
5any referendum approval required of a county to borrow money.
6"Financial institution" means any bank subject to the Illinois
7Banking Act, any savings and loan association subject to the
8Illinois Savings and Loan Act of 1985, any savings bank subject
9to the Savings Bank Act, any credit union subject to the
10Illinois Credit Union Act, and any federally chartered
11commercial bank, savings and loan association, savings bank, or
12credit union organized and operated in this State pursuant to
13the laws of the United States.
 
14    Section 99. Effective date. This Act takes effect upon
15becoming law.