Illinois General Assembly - Full Text of HB4597
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Full Text of HB4597  98th General Assembly




HB4597 EnrolledLRB098 16791 JLK 51860 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 Park District Code is amended by changing
5Section 6-4 and by adding Section 6-7 as follows:
6    (70 ILCS 1205/6-4)  (from Ch. 105, par. 6-4)
7    Sec. 6-4. The issue of bonds or notes by any park district
8shall be authorized by ordinance, and a copy of that ordinance
9properly certified by the secretary shall be filed in the
10office of the clerk in each of the counties wherein such
11district lies. Except as otherwise provided in this Section,
12bonds and notes the aggregate outstanding unpaid principal
13balance of which exceeds 0.575% of the total assessed valuation
14of all taxable property in the district may not be issued by
15any park district, until the proposition to issue the same has
16been certified by the secretary to the proper election
17officials who shall submit the proposition at an election in
18accordance with the general election law. Notice of the
19referendum shall be given and the referendum shall be conducted
20in the manner provided by the general election law.
21    Submission of any proposition of issuing bonds or notes
22shall be authorized by resolution to be adopted by the board
23which shall designate the election at which the proposition is



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1to be submitted and designate the amount of bonds and purpose
2for which the bonds are to be issued.
3    Any proposition to issue bonds shall be in substantially
4the following form:
6    Shall bonds or notes of the
7..... Park District (name it) to     YES
8the amount of..... Dollars
9($.....) be issued for the        ---------------------------
10purpose of.....?  (Here insert
11any one or more of the               NO
12purposes authorized in
13Section 6-2 hereof)
15This Section shall not be construed to require a referendum for
16bonds issued under Section 9-2b nor for bonds to refund any
17maturing bond issues as provided in the Park District Refunding
18Bond Act, or to refund any judgment indebtedness including any
19unpaid public benefits and amounts assessed against any park
20district, whether due or not due under Division 2 of Article 9
21of the Illinois Municipal Code, but bonds may be issued for
22such purposes without referendum.
23    Bonds heretofore or hereafter issued and outstanding that
24are approved by referendum, refunding bonds issued under the
25Park District Refunding Bond Act (70 ILCS 1270/) that refund or
26continue to refund bonds approved by referendum, bonds issued



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1under this Section that have been paid in full or for which
2provisions for payment have been made by an irrevocable deposit
3of funds in an amount sufficient to pay the principal and
4interest on those bonds to their respective maturity date,
5non-referendum bonds issued under any other provision of this
6Act, promissory notes or similar debt instruments issued under
7Section 6-7, and bonded indebtedness assumed from another park
8district do not limit in any way the right of a park district
9to issue non-referendum bonds in accordance with this Section.
10    This Section shall not be construed to permit issuance of
11bonds for the purpose of refunding revenue bonds as provided in
12Section 6-2 until the proposition to issue the same has been
13submitted as herein provided at an election in accordance with
14the general election law.
15(Source: P.A. 94-628, eff. 1-1-06.)
16    (70 ILCS 1205/6-7 new)
17    Sec. 6-7. Borrowing from financial institutions. The board
18may borrow money for any corporate purpose from any bank or
19other financial institution provided such money shall be repaid
20within 2 years from the time the money is borrowed. The
21president and secretary shall execute a promissory note or
22similar debt instrument to evidence the indebtedness incurred
23by the borrowing. The obligation to make the payments due under
24the promissory note or other debt instrument shall be a lawful
25direct general obligation of the park district payable from the



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1general funds of that district and such other sources of
2payment as are otherwise lawfully available. The promissory
3note or other debt instrument shall be authorized by an
4ordinance passed by the board and shall be valid whether or not
5an appropriation with respect to that ordinance is included in
6any annual or supplemental appropriation adopted by the board.
7The indebtedness incurred under this Section, when aggregated
8with the existing indebtedness of the park district, may not
9exceed any debt limitation otherwise provided for by law.
10"Financial institution" means any bank subject to the Illinois
11Banking Act, any savings and loan association subject to the
12Illinois Savings and Loan Act of 1985, any savings bank subject
13to the Savings Bank Act, any credit union subject to the
14Illinois Credit Union Act, and any federally chartered
15commercial bank, savings and loan association, savings bank, or
16credit union organized and operated in this State pursuant to
17the laws of the United States.
18    Section 99. Effective date. This Act takes effect upon
19becoming law.