Illinois General Assembly - Full Text of HB1551
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Full Text of HB1551  98th General Assembly

HB1551 98TH GENERAL ASSEMBLY

  
  

 


 
98TH GENERAL ASSEMBLY
State of Illinois
2013 and 2014
HB1551

 

Introduced , by Rep. Daniel J. Burke

 

SYNOPSIS AS INTRODUCED:
 
70 ILCS 2605/9.6c

    Provides that the district may borrow money and issue its assistance bonds for the purpose of funding the assistance program, and those bonds shall be alternate bonds (currently revenue bonds) payable from any lawfully available revenue source. Effective immediately.


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A BILL FOR

 

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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 Metropolitan Water Reclamation District Act
5is amended by changing Section 9.6c as follows:
 
6    (70 ILCS 2605/9.6c)
7    Sec. 9.6c. Local Government Assistance Program; bonds.
8    (a) The General Assembly finds that governmental units
9located within the boundaries of the district require
10assistance in financing the cost of repair, replacement,
11reconstruction, and rehabilitation of local sewer collection
12systems to reduce certain excessive sanitary sewer groundwater
13inflows; that such inflows ultimately result in increased need
14for treatment and storage facilities of the district; and that
15the district, in the discretion of its commissioners,
16advantageously may provide loan funds for such purposes.
17    (b) For purposes of this Section, the following terms shall
18have the meanings set forth, as follows:
19        The following terms shall have the meanings given to
20    them in the Local Government Debt Reform Act: (A)
21    "alternate bonds"; (B) "applicable law"; (C) "bonds"; (D)
22    "general obligation bonds"; (E) "governmental unit"; (F)
23    "ordinance"; and (G) "revenue source".

 

 

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1        "Assistance bonds" means the bonds to be issued by the
2    district to provide funds for the program as authorized in
3    subsection (f) of this Section.
4        "Assistance program" means the program authorized in
5    this Section by which the district may make loans to local
6    governmental units for any one or more of the following
7    undertaken with respect to the repair, replacement,
8    reconstruction, and rehabilitation of local sewer
9    collection systems: preliminary planning, engineering,
10    architectural, legal, fiscal or economic investigations or
11    studies, surveys, designs, plans, working drawings,
12    specifications, procedures or other necessary actions,
13    erection, building acquisition, alteration, remodeling, or
14    improvement of such collection systems, or the inspection
15    or supervision of any of the foregoing.
16        "Loan" means a loan made by the district to a local
17    governmental unit under the assistance program.
18        "Local governmental unit" means a governmental unit
19    within the boundaries of the district.
20        "Reconstruction" shall include the construction of
21    totally new lines or systems if reasonably designed to
22    replace obsolete lines or systems.
23    (c) The commissioners may establish an assistance program.
24    (d) The commissioners are authorized to do any one or more
25of the following with respect to the assistance program:
26        (1) Establish the assistance program as a use or

 

 

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1    appropriation within the corporate fund of the district.
2        (2) Accept grants, borrow funds, and appropriate
3    lawfully available funds for the purpose of funding the
4    assistance program.
5        (3) Make the loans as provided in subsection (e).
6        (4) Enforce loans with all available remedies as any
7    governmental unit or private person might have with respect
8    to such loans.
9    (e) The district shall have the power to make loans and
10local governmental units shall have the power to obtain loans
11from the district, but only if authorized to borrow under such
12powers as may be granted to such local governmental units under
13other applicable law. This Section does not grant local
14governmental units separate borrowing power. If authorized to
15issue bonds under such applicable law, however, the form of the
16borrowing may be such as the district and the local
17governmental unit may agree, including, without limitation, a
18loan agreement made between the district and local governmental
19unit to evidence the bond. Any such loan agreement shall state
20the statutory authority under applicable law for the bond it
21represents but otherwise need not be in any specific form. The
22district shall have all rights and remedies available to the
23holder of a bond otherwise issued in the form provided for same
24under applicable law and also such rights and remedies as may
25be additionally available under subsection (d)(4) of this
26Section. The loans may be made upon such terms and at such

 

 

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1rates, including expressly below market rates, representing a
2subsidy of funds from the district to the local governmental
3units, as the district may specify in the loan agreements.
4    (f) The district may borrow money and issue its assistance
5bonds under this Section 9.6c for the purpose of funding the
6assistance program, which bonds shall be alternate revenue
7bonds payable from any lawfully available revenue source,
8including without limitation receipts from the loans.
9Assistance bonds shall not be subject to any referendum
10requirement and shall not be treated as indebtedness under any
11applicable provision of law setting forth a limitation upon or
12requirement with respect to the legal indebtedness of the
13district.
14(Source: P.A. 90-690, eff. 7-31-98.)
 
15    Section 99. Effective date. This Act takes effect upon
16becoming law.