Illinois General Assembly - Full Text of HB0459
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Full Text of HB0459  100th General Assembly


Rep. Jeanne M Ives

Filed: 4/21/2017





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2    AMENDMENT NO. ______. Amend House Bill 459, AS AMENDED, by
3replacing everything after the enacting clause with the
5    "Section 1. Short title. This Act may be cited as the
6School District Debt Control and Taxpayer Protection Act.
7    Section 5. Definitions. As used in this Act:
8    "Capital appreciation bond" means debt issued without
9annual or semiannual payments of principal, interest, or both.
10    "Entire debt service" means principal, interest, and
11issuance costs of all debt and bonds.
12    "Equalized assessed value" means the assessed value as
13equalized by the Illinois Department of Revenue.
14    "Tax anticipation warrants" means tax anticipation
15warrants drawn and issued under the School Code.



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1    Section 10. Refinancing debt. Notwithstanding any other
2law to the contrary, a school district may not refinance debt
3past the repayment period of the debt when issued.
4    Section 15. Debt serviced more than 20 years.
5Notwithstanding any law to the contrary, a school district may
6not issue debt to be serviced over a period greater than 20
8    Section 20. Equalized assessed value. Notwithstanding any
9other law to the contrary, for the purpose of calculating the
10debt limit of a school district in relation to its equalized
11assessed value, debt shall include all debt issued and its
12associated interest and issuance costs.
13    Section 25. Debt limitation. Notwithstanding any other law
14to the contrary, no school district may become indebted in any
15manner or for any purpose in an amount, including the entire
16debt service, in the aggregate exceeding 13.8% for a unit
17district or 6.9% for an elementary or high school district of
18the value of the taxable property therein to be ascertained by
19the last assessment for State and county taxes or, if greater,
20the sum that is produced by multiplying the school district's
212016 equalized assessed value by the debt limitation percentage
22in effect on the effective date of this Act, previous to the
23incurring of such indebtedness.



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1    Section 30. New debt prohibited.
2    (a) Notwithstanding any other law to the contrary and on
3and after the effective date of this Act, a school district
4that exceeds the debt limitation of Section 25 of this Act may
5not incur any new debt, including, but not limited to, tax
6anticipation warrants, until the school district's aggregate
7debt limitation is below the debt limitation of Section 25.
8    (b) Notwithstanding subsection (a), a school district may
9issue new debt on or after the effective date of this Act if a
10referendum allowing new debt to be issued was passed before the
11effective date of this Act.
12    Section 35. Capital appreciation bonds. Notwithstanding
13any other law to the contrary and on and after the effective
14date of this Act, no school district may issue capital
15appreciation bonds.
16    Section 40. Additional debt. Nothing in this Act shall
17authorize any school district to issue additional debt above
18and beyond what is otherwise authorized by law.
19    Section 45. Bond referendum information. Notwithstanding
20any other law to the contrary, the referendum question allowing
21a school district to issue bonds must include the following:
22        (1) a description of the project for which the bonds



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1    will be issued;
2        (2) an estimate of the number of years during which the
3    bonds will be outstanding; and
4        (3) an estimate of the total debt service to be paid on
5    the bonds, including principal, interest, and costs of
6    issuing the bonds.
7    Section 50. Bond issuance information. If a school district
8presents information to the public about a bond issuance, then
9that information must include an estimate of the average annual
10property tax needed to pay the principal of and interest on the
11bonds extendable against property containing a median-priced
12home in the school district's boundaries at a fair market
14    Section 99. Effective date. This Act takes effect upon
15becoming law.".