Full Text of SB0017 94th General Assembly
SB0017eng 94TH GENERAL ASSEMBLY
|
|
|
SB0017 Engrossed |
|
LRB094 05351 MKM 35395 b |
|
| 1 |
| AN ACT in relation to economic development.
| 2 |
| Be it enacted by the People of the State of Illinois, | 3 |
| represented in the General Assembly:
| 4 |
| Section 5. Short title. This Act may be cited as the | 5 |
| Southern Illinois
Economic Development Authority
Act.
| 6 |
| Section 10. Findings. The General Assembly determines and | 7 |
| declares the
following:
| 8 |
| (1) that labor surplus areas currently exist in southern | 9 |
| Illinois;
| 10 |
| (2) that the economic burdens resulting from involuntary | 11 |
| unemployment fall,
in part, upon the State in
the form of | 12 |
| increased need for public assistance and reduced tax revenues | 13 |
| and,
in the event that the
unemployed worker and his or her | 14 |
| family migrate elsewhere to find work, the
burden may also fall | 15 |
| upon
the municipalities and other taxing districts within the | 16 |
| areas of unemployment
in the form of reduced tax
revenues, | 17 |
| thereby endangering their financial ability to support | 18 |
| necessary
governmental services for their
remaining | 19 |
| inhabitants;
| 20 |
| (3) that the State has a responsibility to help create a | 21 |
| favorable climate
for new and improved job
opportunities for | 22 |
| its citizens by encouraging the development of commercial and
| 23 |
| service businesses and
industrial and manufacturing plants | 24 |
| within the southern region of Illinois;
| 25 |
| (4) that a lack of decent housing contributes to urban | 26 |
| blight, crime,
anti-social behavior, disease, a higher
need for | 27 |
| public assistance, reduced tax revenues, and the migration of | 28 |
| workers
and their families away from
areas which fail to offer | 29 |
| adequate, decent, and affordable housing;
| 30 |
| (5) that decent, affordable housing is a necessary | 31 |
| ingredient of life
affording each citizen basic human
dignity, | 32 |
| a sense of self-worth, confidence, and a firm foundation upon |
|
|
|
SB0017 Engrossed |
- 2 - |
LRB094 05351 MKM 35395 b |
|
| 1 |
| which to
build a family and educate
children;
| 2 |
| (6) that in order to foster civic and neighborhood pride, | 3 |
| citizens require
access to educational institutions,
| 4 |
| recreation, parks and open spaces, entertainment, sports, a | 5 |
| reliable
transportation network, cultural
facilities, and | 6 |
| theaters; and
| 7 |
| (7) that the main purpose of this Act is to promote | 8 |
| industrial, commercial,
residential, service,
transportation, | 9 |
| and recreational activities and facilities, thereby reducing
| 10 |
| the evils attendant upon
unemployment and enhancing the public | 11 |
| health, safety, morals, happiness, and
general welfare of the | 12 |
| State.
| 13 |
| Section 15. Definitions. In this Act:
| 14 |
| "Authority" means the Southern Illinois Economic | 15 |
| Development Authority.
| 16 |
| "Governmental agency" means any federal, State, or local | 17 |
| governmental body
and any agency or
instrumentality thereof, | 18 |
| corporate or otherwise.
| 19 |
| "Person" means any natural person, firm, partnership, | 20 |
| corporation, both
domestic and foreign,
company, association | 21 |
| or joint stock association and includes any trustee,
receiver, | 22 |
| assignee or personal
representative thereof.
| 23 |
| "Revenue bond" means any bond issued by the Authority, the | 24 |
| principal and
interest of which is payable
solely from revenues | 25 |
| or income derived from any project or activity of the
| 26 |
| Authority.
| 27 |
| "Board" means the Board of Directors of the Southern | 28 |
| Illinois Economic
Development Authority.
| 29 |
| "Governor" means the Governor of the State of Illinois.
| 30 |
| "City" means any city, village, incorporated town, or | 31 |
| township within the
geographical territory of the
Authority.
| 32 |
| "Industrial project" means the following:
| 33 |
| (1) a capital project, including one or more buildings and | 34 |
| other
structures, improvements,
machinery and equipment | 35 |
| whether or not on the same site or sites now existing
or |
|
|
|
SB0017 Engrossed |
- 3 - |
LRB094 05351 MKM 35395 b |
|
| 1 |
| hereafter acquired,
suitable for use by any manufacturing, | 2 |
| industrial, research, transportation or
commercial enterprise
| 3 |
| including but not limited to use as a factory, mill, processing | 4 |
| plant, assembly
plant, packaging plant,
fabricating plant, | 5 |
| ethanol plant, office building, industrial distribution
| 6 |
| center, warehouse,
repair, overhaul or service
facility, | 7 |
| freight terminal, research facility, test facility, railroad
| 8 |
| facility, port facility, solid waste and wastewater
treatment | 9 |
| and disposal sites and other pollution control facilities, | 10 |
| resource
or waste reduction, recovery,
treatment and disposal | 11 |
| facilities, and including also the sites thereof and
other | 12 |
| rights in land therefore
whether improved or unimproved, site | 13 |
| preparation and landscaping and all
appurtenances and | 14 |
| facilities
incidental thereto such as utilities, access roads, | 15 |
| railroad sidings, truck
docking and similar facilities,
| 16 |
| parking facilities, dockage, wharfage, railroad roadbed, | 17 |
| track, trestle, depot,
terminal, switching and
signaling | 18 |
| equipment or related equipment and other improvements | 19 |
| necessary or
convenient thereto; or
| 20 |
| (2) any land, buildings, machinery or equipment comprising | 21 |
| an addition to or
renovation,
rehabilitation or improvement of | 22 |
| any existing capital project.
| 23 |
| "Commercial project" means any project, including, but not | 24 |
| limited to, one or
more buildings and other
structures, | 25 |
| improvements, machinery, and equipment, whether or not on the | 26 |
| same
site or sites now existing
or hereafter acquired, suitable | 27 |
| for use by any retail or wholesale concern,
distributorship, or | 28 |
| agency.
| 29 |
| "Project" means an industrial, housing, residential, | 30 |
| commercial, or service
project, or any combination
thereof, | 31 |
| provided that all uses fall within one of the categories | 32 |
| described
above. Any project automatically
includes all site | 33 |
| improvements and new construction involving sidewalks,
sewers, | 34 |
| solid waste and
wastewater treatment and disposal sites and | 35 |
| other pollution control facilities,
resource or waste | 36 |
| reduction,
recovery, treatment and disposal facilities, parks, |
|
|
|
SB0017 Engrossed |
- 4 - |
LRB094 05351 MKM 35395 b |
|
| 1 |
| open spaces, wildlife
sanctuaries, streets, highways, and
| 2 |
| runways.
| 3 |
| "Lease agreement" means an agreement in which a project | 4 |
| acquired by the
Authority by purchase, gift,
or lease is leased | 5 |
| to any person or corporation that will use, or cause the
| 6 |
| project to be used, as a project,
upon terms providing for | 7 |
| lease rental payments at least sufficient to pay, when due, all | 8 |
| principal of and
interest and premium, if any, on any bonds, | 9 |
| notes, or other evidences of indebtedness of the Authority,
| 10 |
| issued with respect to the project, providing for the | 11 |
| maintenance, insurance, and operation of the project on
terms | 12 |
| satisfactory to the Authority and providing for disposition of | 13 |
| the project upon termination of the lease
term, including | 14 |
| purchase options or abandonment of the premises, with other | 15 |
| terms as may be deemed
desirable by the Authority.
| 16 |
| "Loan agreement" means any agreement in which the Authority | 17 |
| agrees to loan
the proceeds of its bonds,
notes, or other | 18 |
| evidences of indebtedness, issued with respect to a project, to
| 19 |
| any person or corporation
which will use or cause the project | 20 |
| to be used as a project, upon terms
providing for loan | 21 |
| repayment
installments at least sufficient to pay, when due, | 22 |
| all principal of and
interest and premium, if any, on any
| 23 |
| bonds, notes, or other evidences of indebtedness of the | 24 |
| Authority issued with
respect to the project,
providing for | 25 |
| maintenance, insurance, and operation of the project on terms
| 26 |
| satisfactory to the Authority
and providing for other terms | 27 |
| deemed advisable by the Authority.
| 28 |
| "Financial aid" means the expenditure of Authority funds or | 29 |
| funds provided by
the Authority for the
development, | 30 |
| construction, acquisition or improvement of a project, through | 31 |
| the
issuance of revenue bonds,
notes, or other evidences of | 32 |
| indebtedness.
| 33 |
| "Costs incurred in connection with
the development, | 34 |
| construction, acquisition or improvement of a
project" means | 35 |
| the following:
| 36 |
| (1) the cost of purchase and construction of all lands and |
|
|
|
SB0017 Engrossed |
- 5 - |
LRB094 05351 MKM 35395 b |
|
| 1 |
| improvements in
connection therewith and
equipment and other | 2 |
| property, rights, easements, and franchises acquired which
are | 3 |
| deemed necessary for
the construction;
| 4 |
| (2) financing charges;
| 5 |
| (3) interest costs with respect to bonds, notes, and other | 6 |
| evidences of
indebtedness of the Authority
prior to and during | 7 |
| construction and for a period of 6 months thereafter;
| 8 |
| (4) engineering and legal expenses; and
| 9 |
| (5) the costs of plans, specifications, surveys, and | 10 |
| estimates of costs and
other expenses necessary or
incident to | 11 |
| determining the feasibility or practicability of any project,
| 12 |
| together with such other expenses as
may be necessary or | 13 |
| incident to the financing, insuring, acquisition, and
| 14 |
| construction of a specific project
and the placing of the same | 15 |
| in operation.
| 16 |
| Section 20. Creation.
| 17 |
| (a) There is created a political subdivision, body politic, | 18 |
| and municipal
corporation named the Southern
Illinois Economic | 19 |
| Development Authority. The territorial jurisdiction of the
| 20 |
| Authority is that geographic
area within the boundaries of the | 21 |
| following counties: Franklin, Perry, Randolph, Jackson, | 22 |
| Williamson, Saline, Gallatin, Union, Johnson, Pope, Hardin, | 23 |
| Alexander, Pulaski, and Massac and any
navigable waters and
air | 24 |
| space located therein.
| 25 |
| (b) The governing and administrative powers of the | 26 |
| Authority shall be vested
in a body consisting of 21
members as | 27 |
| follows:
| 28 |
| (1) Ex officio member. The Director of Commerce and
| 29 |
| Economic Opportunity, or
a designee of that Department, | 30 |
| shall serve as an ex officio member.
| 31 |
| (2) Public members. Six members shall be appointed by | 32 |
| the Governor with the advice and
consent of the Senate. The | 33 |
| county board chairmen of the following counties
shall each | 34 |
| appoint one
member: Franklin, Perry, Randolph, Jackson, | 35 |
| Williamson, Saline, Gallatin, Union, Johnson, Pope, |
|
|
|
SB0017 Engrossed |
- 6 - |
LRB094 05351 MKM 35395 b |
|
| 1 |
| Hardin, Alexander, Pulaski, and Massac. All public members | 2 |
| shall reside within
the territorial
jurisdiction of the | 3 |
| Authority.
The public members shall be persons of | 4 |
| recognized ability and experience in one
or more of the | 5 |
| following
areas: economic development, finance, banking, | 6 |
| industrial development, state or
local government, | 7 |
| commercial agriculture, small
business management, real
| 8 |
| estate development, community development, venture | 9 |
| finance, organized labor, or
civic or community
| 10 |
| organization.
| 11 |
| (c) 11 members shall constitute a quorum.
| 12 |
| (d) The chairman of the Authority shall be elected annually | 13 |
| by the Board and must be a public member that resides within | 14 |
| the territorial jurisdiction of the Authority.
| 15 |
| (e) The terms of all initial members of the Authority shall | 16 |
| begin 30 days
after the effective date of this
Act.
Of the 6 | 17 |
| original public members appointed by the Governor, 2
shall | 18 |
| serve until the third Monday in January, 2007; 1 shall serve | 19 |
| until the
third Monday in January, 2008; 1 shall serve until | 20 |
| the third Monday in January,
2009; 1 shall serve until the | 21 |
| third Monday in January, 2010; and 1 shall serve
until the | 22 |
| third Monday in January, 2011. The initial terms of the | 23 |
| original public members appointed by the county board chairmen | 24 |
| shall be determined by lot, according to the following | 25 |
| schedule: (i) 3 shall serve until the third Monday in January, | 26 |
| 2007, (ii) 3 shall serve until the third Monday in January, | 27 |
| 2008, (iii) 3 shall serve until the third Monday in January, | 28 |
| 2009, (iv) 3 shall serve until the third Monday in January, | 29 |
| 2010, and (v) 2 shall serve until the third Monday in January, | 30 |
| 2011. All successors to these original
public
members shall be | 31 |
| appointed by the original appointing authority and all | 32 |
| appointments made by the Governor shall be made with the advice | 33 |
| and consent of the Senate, pursuant to subsection (b), and | 34 |
| shall hold office for a term of 6 years
commencing the third | 35 |
| Monday in January of the year in which their term
commences, | 36 |
| except in the case of an appointment to fill a vacancy.
|
|
|
|
SB0017 Engrossed |
- 7 - |
LRB094 05351 MKM 35395 b |
|
| 1 |
| Vacancies occurring among the public members shall be filled | 2 |
| for the
remainder of the term. In case of
vacancy in a | 3 |
| Governor-appointed membership when the Senate is not in | 4 |
| session,
the Governor may make a
temporary appointment until | 5 |
| the next meeting of the Senate when a person shall
be nominated | 6 |
| to fill the
office and, upon confirmation by the Senate, he or | 7 |
| she shall hold office during
the remainder of the term
and | 8 |
| until a successor is appointed and qualified. Members of the | 9 |
| Authority are
not entitled to
compensation for their services | 10 |
| as members but are entitled to reimbursement
for all necessary | 11 |
| expenses
incurred in connection with the performance of their | 12 |
| duties as members.
| 13 |
| (f) The Governor may remove any public member of the | 14 |
| Authority in case of
incompetence, neglect of
duty, or | 15 |
| malfeasance in office. The chairman of a county board may | 16 |
| remove any
public member appointed
by that chairman in the case | 17 |
| of incompetence, neglect of duty, or malfeasance
in office.
| 18 |
| (g) The Board shall appoint an Executive Director who shall | 19 |
| have a
background in finance, including
familiarity with the | 20 |
| legal and procedural requirements of issuing bonds, real
| 21 |
| estate, or economic
development and administration. The | 22 |
| Executive Director shall hold office at the
discretion of the | 23 |
| Board.
The Executive Director shall be the chief administrative | 24 |
| and operational
officer of the Authority, shall
direct and | 25 |
| supervise its administrative affairs and general management, | 26 |
| perform
such other duties as may
be prescribed from time to | 27 |
| time by the members, and receive compensation fixed
by the | 28 |
| Authority. The Department of Commerce and Community Affairs | 29 |
| shall pay
the compensation of the Executive Director from | 30 |
| appropriations received for
that purpose. The
Executive | 31 |
| Director shall attend all meetings of the Authority. However, | 32 |
| no
action of the Authority shall be
invalid on account of the | 33 |
| absence of the Executive Director from a meeting. The
Authority | 34 |
| may engage
the services of
the Illinois Finance Authority, | 35 |
| attorneys, appraisers, engineers, accountants,
credit | 36 |
| analysts, and other consultants if the Southern Illinois |
|
|
|
SB0017 Engrossed |
- 8 - |
LRB094 05351 MKM 35395 b |
|
| 1 |
| Economic
Development Authority deems it advisable.
| 2 |
| Section 25. Duty. All official acts of the Authority shall | 3 |
| require the
approval of at least 11 members. It
shall be the | 4 |
| duty of the Authority to promote development within the | 5 |
| geographic
confines of
Franklin, Perry, Randolph, Jackson, | 6 |
| Williamson, Saline, Gallatin, Union, Johnson, Pope, Hardin, | 7 |
| Alexander, Pulaski, and Massac
counties. The Authority shall | 8 |
| use the powers conferred upon it to assist in the
development, | 9 |
| construction,
and acquisition of industrial, commercial, | 10 |
| housing, or residential projects
within those counties.
| 11 |
| Section 30. Powers.
| 12 |
| (a) The Authority possesses all the powers of a body | 13 |
| corporate necessary and
convenient to accomplish
the purposes | 14 |
| of this Act, including, without any intended limitation upon | 15 |
| the
general powers hereby
conferred, the following powers:
| 16 |
| (1) to enter into loans, contracts, agreements, and | 17 |
| mortgages in any
matter connected with any of
its corporate | 18 |
| purposes and to invest its funds;
| 19 |
| (2) to sue and be sued;
| 20 |
| (3) to utilize services of the Illinois Finance | 21 |
| Authority necessary to
carry out its purposes;
| 22 |
| (4) to have and use a common seal and to alter the seal | 23 |
| at its discretion;
| 24 |
| (5) to adopt all needful ordinances, resolutions, | 25 |
| bylaws, rules, and
regulations for the conduct of
its | 26 |
| business and affairs and for the management and use of the | 27 |
| projects
developed, constructed, acquired,
and improved in | 28 |
| furtherance of its purposes;
| 29 |
| (6) to designate the fiscal year for the Authority;
| 30 |
| (7) to accept and expend appropriations;
| 31 |
| (8) to acquire, own, lease, sell, or otherwise dispose | 32 |
| of interests in and
to real property and
improvements | 33 |
| situated on that real property and in personal property | 34 |
| necessary
to fulfill the purposes of the
Authority;
|
|
|
|
SB0017 Engrossed |
- 9 - |
LRB094 05351 MKM 35395 b |
|
| 1 |
| (9) to engage in any activity or operation which is | 2 |
| incidental to and in
furtherance of efficient
operation to | 3 |
| accomplish the Authority's primary purpose;
| 4 |
| (10) to acquire, own, construct, lease, operate, and | 5 |
| maintain bridges,
terminals, terminal facilities,
and port | 6 |
| facilities and to fix and collect just, reasonable, and
| 7 |
| nondiscriminatory charges for the use of such
facilities. | 8 |
| These charges shall be used to defray the reasonable | 9 |
| expenses of
the Authority and to pay the
principal and | 10 |
| interest of any revenue bonds issued by the Authority;
| 11 |
| (11) subject to any applicable condition imposed by | 12 |
| this Act, to locate,
establish and maintain a
public | 13 |
| airport, public airports and public airport facilities | 14 |
| within its
corporate limits or within or upon any
body of | 15 |
| water adjacent thereto and to construct, develop, expand, | 16 |
| extend and
improve any such airport or
airport facility; | 17 |
| and
| 18 |
| (12) to have and exercise all powers and be subject to | 19 |
| all duties usually
incident to boards of
directors of | 20 |
| corporations.
| 21 |
| (b) The Authority shall not issue any bonds relating to the | 22 |
| financing of a
project located within the
planning and | 23 |
| subdivision control jurisdiction of any municipality or county
| 24 |
| unless: (i) notice, including a
description of the proposed | 25 |
| project and the financing for that project, is
submitted to the | 26 |
| corporate
authorities of the municipality or, in the case of a | 27 |
| proposed project in an
unincorporated area, to the county
board | 28 |
| and (ii) the corporate authorities of the municipality do not, | 29 |
| or the
county board does not, adopt a
resolution disapproving | 30 |
| the project within 45 days after receipt of the notice.
| 31 |
| (c) If any of the powers set forth in this Act are | 32 |
| exercised within the
jurisdictional limits of any
| 33 |
| municipality, all ordinances of the municipality remain in full | 34 |
| force and
effect and are controlling.
| 35 |
| Section 35. Tax avoidance. Notwithstanding any other |
|
|
|
SB0017 Engrossed |
- 10 - |
LRB094 05351 MKM 35395 b |
|
| 1 |
| provision of law, the
Authority shall not enter into
any | 2 |
| agreement providing for the purchase and lease of tangible | 3 |
| personal
property which results in the
avoidance of taxation | 4 |
| under the Retailers' Occupation Tax Act, the Use Tax Act,
the | 5 |
| Service Use Tax Act,
or the Service Occupation Tax Act, without | 6 |
| the prior written consent of the
Governor.
| 7 |
| Section 40. Bonds.
| 8 |
| (a) The Authority, with the written approval of the | 9 |
| Governor, shall have the
continuing power to issue
bonds, | 10 |
| notes, or other evidences of indebtedness in an aggregate | 11 |
| amount not to
exceed $250,000,000 for the
following purposes: | 12 |
| (i) development, construction, acquisition, or improvement
of | 13 |
| projects, including those
established by business entities | 14 |
| locating or expanding property within the
territorial | 15 |
| jurisdiction of the
Authority; (ii) entering into venture | 16 |
| capital agreements with businesses
locating or expanding | 17 |
| within the
territorial jurisdiction of the Authority; (iii) | 18 |
| acquisition and improvement of
any property necessary and
| 19 |
| useful in connection therewith; and (iv) for the purposes of | 20 |
| the Employee
Ownership Assistance Act. For
the purpose of | 21 |
| evidencing the obligations of the Authority to repay any money
| 22 |
| borrowed, the Authority
may, pursuant to resolution, from time | 23 |
| to time, issue and dispose of its interest-bearing revenue | 24 |
| bonds,
notes, or other evidences of indebtedness and may also | 25 |
| from time to time issue and dispose of such bonds,
notes, or | 26 |
| other evidences of indebtedness to refund, at maturity, at a | 27 |
| redemption date or in advance of
either, any bonds, notes, or | 28 |
| other evidences of indebtedness pursuant to redemption | 29 |
| provisions or at any
time before maturity. All such bonds, | 30 |
| notes, or other evidences of indebtedness shall be payable | 31 |
| solely and
only from the revenues or income to be derived from | 32 |
| loans made with respect to projects, from the leasing
or sale | 33 |
| of the projects, or from any other funds available to the | 34 |
| Authority for such purposes. The bonds,
notes, or other | 35 |
| evidences of indebtedness may bear such date or dates, may |
|
|
|
SB0017 Engrossed |
- 11 - |
LRB094 05351 MKM 35395 b |
|
| 1 |
| mature at such time or times not
exceeding 40 years from their | 2 |
| respective dates, may bear interest at such rate or rates not | 3 |
| exceeding the
maximum rate permitted by the Bond Authorization | 4 |
| Act, may be in such form, may carry such registration
| 5 |
| privileges, may be executed in such manner, may be payable at | 6 |
| such place or places, may be made subject
to redemption in such | 7 |
| manner and upon such terms, with or without premium, as is | 8 |
| stated on the face
thereof, may be authenticated in such manner | 9 |
| and may contain such terms and
covenants as may be
provided by | 10 |
| an applicable resolution.
| 11 |
| (b) The holder or holders of any bonds, notes, or other | 12 |
| evidences of
indebtedness issued by the
Authority may bring | 13 |
| suits at law or proceedings in equity to compel the
performance | 14 |
| and observance by
any corporation or person or by the Authority | 15 |
| or any of its agents or employees
of any contract or covenant
| 16 |
| made with the holders of the bonds, notes, or other evidences | 17 |
| of indebtedness,
to compel such corporation,
person, the | 18 |
| Authority, and any of its agents or employees to perform any | 19 |
| duties
required to be performed
for the benefit of the holders | 20 |
| of the bonds, notes, or other evidences of
indebtedness by the | 21 |
| provision of the
resolution authorizing their issuance and to | 22 |
| enjoin the corporation, person,
the Authority, and any of its
| 23 |
| agents or employees from taking any action in conflict with any | 24 |
| contract or
covenant.
| 25 |
| (c) If the Authority fails to pay the principal of or | 26 |
| interest on any of the
bonds or premium, if any, as the
bond | 27 |
| becomes due, a civil action to compel payment may be instituted | 28 |
| in the
appropriate circuit court by
the holder or holders of | 29 |
| the bonds on which the default of payment exists or by
an | 30 |
| indenture trustee acting
on behalf of the holders. Delivery of | 31 |
| a summons and a copy of the complaint to
the chairman of the | 32 |
| Board
shall constitute sufficient service to give the circuit | 33 |
| court jurisdiction over
the subject matter of the suit and
| 34 |
| jurisdiction over the Authority and its officers named as | 35 |
| defendants for the
purpose of compelling such
payment. Any | 36 |
| case, controversy, or cause of action concerning the validity |
|
|
|
SB0017 Engrossed |
- 12 - |
LRB094 05351 MKM 35395 b |
|
| 1 |
| of
this Act relates to the
revenue of the State of Illinois.
| 2 |
| (d) Notwithstanding the form and tenor of any bond, note, | 3 |
| or other evidence
of indebtedness and in
the absence of any | 4 |
| express recital on its face that it is non-negotiable, all
such | 5 |
| bonds, notes, and other
evidences of indebtedness shall be | 6 |
| negotiable instruments. Pending the
preparation and execution | 7 |
| of any
bonds, notes, or other evidences of indebtedness, | 8 |
| temporary bonds, notes, or
evidences of indebtedness may
be | 9 |
| issued as provided by ordinance.
| 10 |
| (e) To secure the payment of any or all of such bonds, | 11 |
| notes, or other
evidences of indebtedness, the
revenues to be | 12 |
| received by the Authority from a lease agreement or loan
| 13 |
| agreement shall be pledged, and,
for the purpose of setting | 14 |
| forth the covenants and undertakings of the
Authority in | 15 |
| connection with the
issuance of the bonds, notes, or other | 16 |
| evidences of indebtedness and the
issuance of any additional | 17 |
| bonds,
notes or other evidences of indebtedness payable from | 18 |
| such revenues, income, or other funds to be derived
from | 19 |
| projects, the Authority may execute and deliver a mortgage or | 20 |
| trust agreement. A remedy for any
breach or default of the | 21 |
| terms of any mortgage or trust agreement by the Authority may | 22 |
| be by mandamus
proceeding in the appropriate circuit court to | 23 |
| compel performance and compliance under the terms of the
| 24 |
| mortgage or trust agreement, but the trust agreement may | 25 |
| prescribe by whom or on whose behalf the action
may be | 26 |
| instituted.
| 27 |
| (f) Bonds or notes shall be secured as provided in the | 28 |
| authorizing ordinance which may include,
notwithstanding any | 29 |
| other provision of this Act, in addition to any other security, | 30 |
| a specific pledge,
assignment of and lien on, or security | 31 |
| interest in any or all revenues or money of the Authority, from
| 32 |
| whatever source, which may, by law, be used for debt service | 33 |
| purposes and a
specific pledge, or assignment
of and lien on, | 34 |
| or security interest in any funds or accounts established or
| 35 |
| provided for by ordinance of the
Authority authorizing the | 36 |
| issuance of the bonds or notes.
|
|
|
|
SB0017 Engrossed |
- 13 - |
LRB094 05351 MKM 35395 b |
|
| 1 |
| (g) In the event that the Authority determines that moneys | 2 |
| of the Authority
will not be sufficient for the
payment of the | 3 |
| principal of and interest on its bonds during the next State
| 4 |
| fiscal year, the chairman, as soon
as practicable, shall | 5 |
| certify to the Governor the amount required by the
Authority to | 6 |
| enable it to pay the
principal of and interest on the bonds. | 7 |
| The Governor shall submit the certified
amount to the General
| 8 |
| Assembly as soon as practicable, but no later than the end of | 9 |
| the current State
fiscal year. This Section shall
not apply to | 10 |
| any bonds or notes to which the Authority determines, in the
| 11 |
| resolution authorizing the
issuance of the bonds or notes, that | 12 |
| this Section shall not apply. Whenever the
Authority makes this
| 13 |
| determination, it shall be plainly stated on the face of the | 14 |
| bonds or notes and
the determination shall also be
reported to | 15 |
| the Governor.
In the event of a withdrawal of moneys from a | 16 |
| reserve fund established with
respect to any issue or
issues of | 17 |
| bonds of the Authority to pay principal or interest on those | 18 |
| bonds,
the chairman of the Authority,
as soon as practicable, | 19 |
| shall certify to the Governor the amount required to
restore | 20 |
| the reserve fund to the
level required in the resolution or | 21 |
| indenture securing those bonds. The
Governor shall submit the | 22 |
| certified
amount to the General Assembly as soon as | 23 |
| practicable, but no later than the
end of the current State | 24 |
| fiscal
year.
| 25 |
| (h) The State of Illinois pledges to and agrees with the | 26 |
| holders of the
bonds and notes of the Authority
issued pursuant | 27 |
| to this Section that the State will not limit or alter the | 28 |
| rights and powers vested in the
Authority by this Act so as to | 29 |
| impair the terms of any contract made by the Authority with the | 30 |
| holders of
bonds or notes or in any way impair the rights and | 31 |
| remedies of those holders until the bonds and notes,
together | 32 |
| with interest thereon, with interest on any unpaid installments | 33 |
| of interest, and all costs and
expenses in connection with any | 34 |
| action or proceedings by or on behalf of the holders, are fully | 35 |
| met and
discharged. In addition, the State pledges to and | 36 |
| agrees with the holders of the bonds and notes of the
Authority |
|
|
|
SB0017 Engrossed |
- 14 - |
LRB094 05351 MKM 35395 b |
|
| 1 |
| issued pursuant to this Section that the State will not limit | 2 |
| or alter the basis on which State funds
are to be paid to the | 3 |
| Authority as provided in this Act, or the use of such funds, so | 4 |
| as to impair the terms of
any such contract. The Authority is | 5 |
| authorized to include these pledges and agreements of the State | 6 |
| in any
contract with the holders of bonds or notes issued | 7 |
| pursuant to this Section.
| 8 |
| (i) Not less than 30 days prior to the commitment to issue | 9 |
| bonds, notes, or
other evidences of
indebtedness for the | 10 |
| purpose of developing, constructing, acquiring, or
improving | 11 |
| housing or residential
projects, as defined in this Act, the | 12 |
| Authority shall provide notice to the
Executive Director of the | 13 |
| Illinois
Housing Development Authority. Within 30 days after | 14 |
| the notice is provided, the
Illinois Housing
Development | 15 |
| Authority shall, in writing, either express interest in | 16 |
| financing
the project or notify the
Authority that it is not | 17 |
| interested in providing financing and that the
Authority may | 18 |
| finance the project or
seek alternative financing.
| 19 |
| Section 45. Bonds and notes; exemption from taxation. The | 20 |
| creation of the
Authority is in all respects for
the benefit of | 21 |
| the people of Illinois and for the improvement of their health,
| 22 |
| safety, welfare, comfort, and
security, and its purposes are | 23 |
| public purposes. In consideration thereof, the
notes and bonds | 24 |
| of the
Authority issued pursuant to this Act and the income | 25 |
| from these notes and bonds
may be free from all
taxation by the | 26 |
| State or its political subdivisions, exempt for estate,
| 27 |
| transfer, and inheritance taxes. The
exemption from taxation | 28 |
| provided by the preceding sentence shall apply to the
income on | 29 |
| any notes or
bonds of the Authority only if the Authority in | 30 |
| its sole judgment determines
that the exemption enhances
the | 31 |
| marketability of the bonds or notes or reduces the interest | 32 |
| rates that
would otherwise be borne by the
bonds or notes. For | 33 |
| purposes of Section 250 of the Illinois Income Tax Act, the
| 34 |
| exemption of the Authority
shall terminate after all of the | 35 |
| bonds have been paid. The amount of such income that shall be |
|
|
|
SB0017 Engrossed |
- 15 - |
LRB094 05351 MKM 35395 b |
|
| 1 |
| added and
then subtracted on the Illinois income tax return of | 2 |
| a taxpayer, subject to Section 203 of the Illinois Income
Tax | 3 |
| Act, from federal adjusted gross income or federal taxable | 4 |
| income in computing Illinois base income
shall be the interest | 5 |
| net of any bond premium amortization.
| 6 |
| Section 50. Acquisition.
| 7 |
| (a) The Authority may, but need not, acquire title to any | 8 |
| project with
respect to which it exercises its
authority.
| 9 |
| (b) The Authority shall have power to acquire by purchase, | 10 |
| lease, gift, or
otherwise any property or
rights therein from | 11 |
| any person or persons, the State of Illinois, any municipal
| 12 |
| corporation, any local unit of
government, the government of | 13 |
| the United States and any agency or
instrumentality of the | 14 |
| United States,
any body politic, or any county useful for its | 15 |
| purposes, whether improved for
the purposes of any
prospective | 16 |
| project or unimproved. The Authority may also accept any | 17 |
| donation
of funds for its purposes
from any of these sources.
| 18 |
| (c) The Authority shall have power to develop, construct, | 19 |
| and improve,
either under its own direction or
through | 20 |
| collaboration with any approved applicant, or to acquire, | 21 |
| through
purchase or otherwise, any
project, using for this | 22 |
| purpose the proceeds derived from its sale of revenue
bonds, | 23 |
| notes, or other
evidences of indebtedness or governmental loans | 24 |
| or grants and shall have the
power to hold title to those
| 25 |
| projects in the name of the Authority.
| 26 |
| (d) The Authority shall have the power to enter into | 27 |
| intergovernmental
agreements with the State of
Illinois, the | 28 |
| counties of Franklin, Perry, Randolph, Jackson, Williamson, | 29 |
| Saline, Gallatin, Union, Johnson, Pope, Hardin, Alexander, | 30 |
| Pulaski, or Massac, the Illinois
Finance Authority, the | 31 |
| Illinois Housing
Development Authority, the United States | 32 |
| government and any agency or instrumentality of the United
| 33 |
| States, any unit
of local government located within the | 34 |
| territory of the Authority, or any other
unit of government to | 35 |
| the
extent allowed by Article VII, Section 10 of the Illinois |
|
|
|
SB0017 Engrossed |
- 16 - |
LRB094 05351 MKM 35395 b |
|
| 1 |
| Constitution and the
Intergovernmental
Cooperation Act.
| 2 |
| (e) The Authority shall have the power to share employees | 3 |
| with other units
of government, including
agencies of the | 4 |
| United States, agencies of the State of Illinois, and agencies
| 5 |
| or personnel of any unit of
local government.
| 6 |
| (f) The Authority shall have the power to exercise powers | 7 |
| and issue bonds as
if it were a municipality so
authorized in | 8 |
| Divisions 12.1, 74, 74.1, 74.3, and 74.5 of Article 11 of the
| 9 |
| Illinois Municipal Code.
| 10 |
| Section 55. Enterprise zones. The Authority may by | 11 |
| ordinance designate a
portion of the territorial
jurisdiction | 12 |
| of the Authority for certification as an Enterprise Zone under | 13 |
| the
Illinois Enterprise Zone Act in
addition to any other | 14 |
| enterprise zones which may be created under that Act,
which | 15 |
| area shall have all the
privileges and rights of an Enterprise | 16 |
| Zone pursuant to the Illinois Enterprise
Zone Act, but which | 17 |
| shall not
be counted in determining the number of Enterprise | 18 |
| Zones to be created in any
year pursuant to that Act.
| 19 |
| Section 60. Designation of depository. The Authority shall | 20 |
| biennially
designate a national or State bank or
banks as | 21 |
| depositories of its money. Such depositories shall be | 22 |
| designated only
within the State and upon
condition that bonds | 23 |
| approved as to form and surety by the Authority and at
least | 24 |
| equal in amount to the
maximum sum expected to be on deposit at | 25 |
| any one time shall be first given by
such depositories to the
| 26 |
| Authority, such bonds to be conditioned for the safe keeping | 27 |
| and prompt
repayment of such deposits.
When any of the funds of | 28 |
| the Authority shall be deposited by the treasurer in
any such | 29 |
| depository, the
treasurer and the sureties on his official bond | 30 |
| shall, to such extent, be
exempt from liability for the loss of
| 31 |
| any such deposited funds by reason of the failure, bankruptcy, | 32 |
| or any other act
or default of such depository;
provided that | 33 |
| the Authority may accept assignments of collateral by any
| 34 |
| depository of its funds to secure
such deposits to the same |
|
|
|
SB0017 Engrossed |
- 17 - |
LRB094 05351 MKM 35395 b |
|
| 1 |
| extent and conditioned in the same manner as
assignments of | 2 |
| collateral are
permitted by law to secure deposits of the funds | 3 |
| of any city.
| 4 |
| Section 65. Taxation prohibited. The Authority shall have | 5 |
| no right or
authority to levy any tax or special
assessment, to | 6 |
| pledge the credit of the State or any other subdivision or
| 7 |
| municipal corporation thereof, or to
incur any obligation | 8 |
| enforceable upon any property, either within or without
the | 9 |
| territory of the Authority.
| 10 |
| Section 70. Fees. The Authority may collect fees and | 11 |
| charges in connection
with its loans, commitments,
and | 12 |
| servicing and may provide technical assistance in the | 13 |
| development of the
region.
| 14 |
| Section 75. Reports. The Authority shall annually submit a | 15 |
| report of its
finances to the Auditor General.
The Authority | 16 |
| shall annually submit a report of its activities to the | 17 |
| Governor
and to the General Assembly.
| 18 |
| Section 999. Effective date. This Act takes effect upon | 19 |
| becoming law.
|
|