Full Text of SB2357 100th General Assembly
SB2357sam001 100TH GENERAL ASSEMBLY | Sen. Scott M. Bennett Filed: 5/15/2018
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| 1 | | AMENDMENT TO SENATE BILL 2357
| 2 | | AMENDMENT NO. ______. Amend Senate Bill 2357 by replacing | 3 | | everything after the enacting clause with the following:
| 4 | | "Section 5. The State University Certificates of | 5 | | Participation Act is amended by changing Sections 30 and 90 and | 6 | | by adding Section 35 as follows: | 7 | | (110 ILCS 73/30)
| 8 | | Sec. 30. Debt limit. The maximum annual debt service for a | 9 | | State University's total outstanding certificate of | 10 | | participation obligation must not exceed the following: | 11 | | (1) For the University of Illinois, $100,000,000. | 12 | | (2) For Southern Illinois University, $40,000,000 | 13 | | $20,000,000 . | 14 | | (3) For Northern Illinois University, $40,000,000 | 15 | | $20,000,000 . | 16 | | (4) For Illinois State University, $20,000,000 |
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| 1 | | $10,000,000 . | 2 | | (5) For Western Illinois University, $20,000,000 | 3 | | $10,000,000 . | 4 | | (6) For Eastern Illinois University, $20,000,000 | 5 | | $10,000,000 . | 6 | | (7) For Northeastern Illinois University, $10,000,000 | 7 | | $5,000,000 . | 8 | | (8) For Chicago State University, $10,000,000 | 9 | | $5,000,000 . | 10 | | (9) For Governors State University, $10,000,000 | 11 | | $5,000,000 .
| 12 | | (Source: P.A. 96-15, eff. 6-22-09.) | 13 | | (110 ILCS 73/35 new) | 14 | | Sec. 35. Certificates of participation for capital | 15 | | improvements. | 16 | | (a) The power of the Board of any State University to enter | 17 | | into contracts shall include the power to enter into financing | 18 | | agreements in connection with the financing of capital | 19 | | improvements, including technology or other related | 20 | | improvements, by selling certificates of participation in the | 21 | | installment payments made under the financing agreements. | 22 | | These financing agreements may be entered into for any period | 23 | | of time not to exceed 30 years, but may not to exceed the | 24 | | useful life of the capital improvement. | 25 | | (b) Upon determination by the Board to undertake a |
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| 1 | | transaction for the sale of certificates of participation and | 2 | | to enter into related financing agreements in connection with | 3 | | the financing of capital improvements, the Board shall adopt a | 4 | | resolution or resolutions describing generally the | 5 | | contemplated facilities or a combination of facilities | 6 | | designated as the project, the estimated costs of the project, | 7 | | and any additional relevant information. | 8 | | (c) Before the issuance of any certificate of | 9 | | participation, the Board or its representative shall appear | 10 | | before the Commission and present the details of the proposal. | 11 | | This presentation shall include any information the Commission | 12 | | requests in relation to the proposed certificate of | 13 | | participation issuance. This information shall include, but is | 14 | | not limited to, the amount being financed, the nature of the | 15 | | project being financed, the proposed funding stream to pay for | 16 | | the certificate issuance, the current outstanding indebtedness | 17 | | of the State University, and the status of all currently issued | 18 | | certificates of participation. | 19 | | Upon receipt of a request by the Board for a certificate of | 20 | | participation presentation, the Commission shall hold a public | 21 | | hearing and, upon adoption by a vote of the majority of | 22 | | appointed members, issue a record of its findings no later than | 23 | | 60 days after the request. | 24 | | As part of the Commission's considerations and findings, | 25 | | the Commission shall consider the effect the issuance of a | 26 | | certificate of participation shall have on the State |
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| 1 | | University's annual debt service and overall fiscal condition. | 2 | | The Commission's findings must include a statement in which the | 3 | | Commission makes a recommendation to the Board as to how to | 4 | | proceed with the certificate of participation issuance. The | 5 | | recommendation shall be (i) "favorably recommended", (ii) | 6 | | "recommended with concerns", or (iii) "non-support of | 7 | | issuance". The Commission shall report the findings no later | 8 | | than 15 days after the hearing to all of the following: | 9 | | (1) The Speaker of the House of Representatives. | 10 | | (2) The Minority Leader of the House of | 11 | | Representatives. | 12 | | (3) The President of the Senate. | 13 | | (4) The Minority Leader of the Senate. | 14 | | (5) The Governor's Office of Management and Budget. | 15 | | (6) The President of the State University. | 16 | | The reports to the General Assembly shall be filed with the | 17 | | Clerk of the House of Representatives and the Secretary of the | 18 | | Senate in electronic form only, in the manner that the Clerk | 19 | | and the Secretary shall direct. | 20 | | Upon a finding of "non-support of issuance", the Board may | 21 | | not proceed with the issuance of the certificate of | 22 | | participation involved in the finding without the approval of | 23 | | the General Assembly through the adoption of a joint | 24 | | resolution. | 25 | | (d) Each year, upon receipt of its external Auditor General | 26 | | audit report, the Board shall file with the Commission a report |
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| 1 | | containing the status of all outstanding certificates of | 2 | | participation the Board has issued and a copy of the annual | 3 | | budget as approved by the Board. | 4 | | (e) Each issuance of a certificate of participation shall | 5 | | include within the appropriate documents related to its | 6 | | execution the following statement, which sets forth required | 7 | | limitations in relation to the certificate: | 8 | | "The Board of Trustees' obligation to make payments | 9 | | does not constitute a debt of the Board or the State of | 10 | | Illinois within the meaning of any constitutional or | 11 | | statutory limitation. The installment payments required by | 12 | | certificates of participation incurred by the Board of | 13 | | Trustees are not secured by the full faith and credit of | 14 | | the State, are not required to be repaid, and may not be | 15 | | repaid, directly or indirectly, from tax revenue." | 16 | | (f) The maximum annual debt service for the Board's total | 17 | | certificate of participation obligation must not exceed | 18 | | $100,000,000. | 19 | | (g) Nothing in this Section authorizes the Board to incur | 20 | | State debt, as defined under subsection (a) of Section 9 of | 21 | | Article IX of the Illinois Constitution. | 22 | | (110 ILCS 73/90)
| 23 | | Sec. 90. Expiration of Act. This Act applies until December | 24 | | 31, 2028 2014 . However, the refunding of certificates of | 25 | | participation issued prior to December 31, 2028 2014 in |
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| 1 | | accordance with the Act is permitted.
| 2 | | (Source: P.A. 96-15, eff. 6-22-09.) | 3 | | (110 ILCS 73/10 rep.) | 4 | | (110 ILCS 73/15 rep.) | 5 | | (110 ILCS 73/20 rep.) | 6 | | (110 ILCS 73/25 rep.) | 7 | | Section 10. The State University Certificates of | 8 | | Participation Act is amended by repealing Sections 10, 15, 20, | 9 | | and 25.
| 10 | | Section 99. Effective date. This Act takes effect upon | 11 | | becoming law.".
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