Full Text of HB0622 93rd General Assembly
HB0622enr 93RD GENERAL ASSEMBLY
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| AN ACT in relation to economic development.
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| Be it enacted by the People of the State of Illinois, | 3 |
| represented in the General Assembly:
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| Section 5. Short title. This Act may be cited as the | 5 |
| Southeastern Illinois
Economic Development Authority
Act .
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| Section 10. Findings. The General Assembly determines and | 7 |
| declares the
following:
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| (1) that labor surplus areas currently exist in | 9 |
| southeastern Illinois;
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| (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;
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| (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 tourism, | 23 |
| commercial, and
service businesses and
industrial and | 24 |
| manufacturing plants within the southeastern region of | 25 |
| Illinois;
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| (4) that a lack of decent housing contributes to urban | 27 |
| blight, crime,
anti-social behavior, disease, a higher
need for | 28 |
| public assistance, reduced tax revenues, and the migration of | 29 |
| workers
and their families away from
areas which fail to offer | 30 |
| adequate, decent, and affordable housing;
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| (5) that decent, affordable housing is a necessary | 32 |
| ingredient of life
affording each citizen basic human
dignity, |
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| a sense of self worth, confidence, and a firm foundation upon | 2 |
| which to
build a family and educate
children;
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| (6) that in order to foster civic and neighborhood pride, | 4 |
| citizens require
access to educational institutions,
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| recreation, parks and open spaces, entertainment, sports, a | 6 |
| reliable
transportation network, cultural
facilities, and | 7 |
| theaters; and
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| (7) that the main purpose of this Act is to promote | 9 |
| industrial, commercial,
residential, service,
transportation, | 10 |
| and recreational activities and facilities, thereby reducing
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| the evils attendant upon
unemployment and enhancing the public | 12 |
| health, safety, morals, happiness, and
general welfare of the | 13 |
| State.
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| Section 15. Definitions. In this Act:
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| "Authority" means the Southeastern Illinois Economic | 16 |
| Development Authority.
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| "Governmental agency" means any federal, State, or local | 18 |
| governmental body
and any agency or
instrumentality thereof, | 19 |
| corporate or otherwise.
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| "Person" means any natural person, firm, partnership, | 21 |
| corporation, both
domestic and foreign,
company, association | 22 |
| or joint stock association and includes any trustee,
receiver, | 23 |
| assignee or personal
representative thereof.
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| "Revenue bond" means any bond issued by the Authority, the | 25 |
| principal and
interest of which is payable
solely from revenues | 26 |
| or income derived from any project or activity of the
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| Authority.
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| "Board" means the Board of Directors of the Southeastern | 29 |
| Illinois Economic
Development Authority.
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| "Governor" means the Governor of the State of Illinois.
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| "City" means any city, village, incorporated town, or | 32 |
| township within the
geographical territory of the
Authority.
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| "Industrial project" means the following:
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| (1) a capital project, including one or more buildings and | 35 |
| other
structures, improvements,
machinery and equipment |
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| whether or not on the same site or sites now existing
or | 2 |
| hereafter acquired,
suitable for use by any manufacturing, | 3 |
| industrial, research, transportation or
commercial enterprise
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| including but not limited to use as a factory, mill, processing | 5 |
| plant, assembly
plant, packaging plant,
fabricating plant, | 6 |
| ethanol plant, office building, industrial distribution
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| center, warehouse,
repair, overhaul or service
facility, | 8 |
| freight terminal, research facility, test facility, power | 9 |
| generation facility, mining operation, railroad
facility, | 10 |
| solid waste and wastewater
treatment and disposal sites and | 11 |
| other pollution control facilities, resource
or waste | 12 |
| reduction, recovery,
treatment and disposal facilities, | 13 |
| tourism-related facilities, including hotels, theaters, water | 14 |
| parks, and amusement parks, and including also the sites | 15 |
| thereof and
other rights in land therefore
whether improved or | 16 |
| unimproved, site preparation and landscaping and all
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| appurtenances and facilities
incidental thereto such as | 18 |
| utilities, access roads, railroad sidings, truck
docking and | 19 |
| similar facilities,
parking facilities, dockage, wharfage, | 20 |
| railroad roadbed, track, trestle, depot,
terminal, switching | 21 |
| and
signaling equipment or related equipment and other | 22 |
| improvements necessary or
convenient thereto; or
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| (2) any land, buildings, machinery or equipment comprising | 24 |
| an addition to or
renovation,
rehabilitation or improvement of | 25 |
| any existing capital project.
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| "Commercial project" means any project, including, but not | 27 |
| limited to, one or
more buildings and other
structures, | 28 |
| improvements, machinery, and equipment, whether or not on the | 29 |
| same
site or sites now existing
or hereafter acquired, suitable | 30 |
| for use by any retail or wholesale concern,
distributorship, or | 31 |
| agency, or health facility or retirement facility.
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| "Project" means an industrial, housing, residential, | 33 |
| commercial, or service
project, or any combination
thereof, | 34 |
| provided that all uses fall within one of the categories | 35 |
| described
above. Any project automatically
includes all site | 36 |
| improvements and new construction involving sidewalks,
sewers, |
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| solid waste and
wastewater treatment and disposal sites and | 2 |
| other pollution control facilities,
resource or waste | 3 |
| reduction,
recovery, treatment and disposal facilities, parks, | 4 |
| open spaces, wildlife
sanctuaries, streets, highways, and
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| runways.
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| "Lease agreement" means an agreement in which a project | 7 |
| acquired by the
Authority by purchase, gift,
or lease is leased | 8 |
| to any person or corporation that will use, or cause the
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| project to be used, as a project,
upon terms providing for | 10 |
| lease rental payments at least sufficient to pay, when due, all | 11 |
| principal of and
interest and premium, if any, on any bonds, | 12 |
| notes, or other evidences of indebtedness of the Authority,
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| issued with respect to the project, providing for the | 14 |
| maintenance, insurance, and operation of the project on
terms | 15 |
| satisfactory to the Authority and providing for disposition of | 16 |
| the project upon termination of the lease
term, including | 17 |
| purchase options or abandonment of the premises, with other | 18 |
| terms as may be deemed
desirable by the Authority.
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| "Loan agreement" means any agreement in which the Authority | 20 |
| agrees to loan
the proceeds of its bonds,
notes, or other | 21 |
| evidences of indebtedness, issued with respect to a project, to
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| any person or corporation
which will use or cause the project | 23 |
| to be used as a project, upon terms
providing for loan | 24 |
| repayment
installments at least sufficient to pay, when due, | 25 |
| all principal of and
interest and premium, if any, on any
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| bonds, notes, or other evidences of indebtedness of the | 27 |
| Authority issued with
respect to the project,
providing for | 28 |
| maintenance, insurance, and operation of the project on terms
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| satisfactory to the Authority
and providing for other terms | 30 |
| deemed advisable by the Authority.
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| "Financial aid" means the expenditure of Authority funds or | 32 |
| funds provided by
the Authority for the
development, | 33 |
| construction, acquisition or improvement of a project, through | 34 |
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issuance of revenue bonds,
notes, or other evidences of | 35 |
| indebtedness.
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| "Costs incurred in connection with
the development, |
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| construction, acquisition or improvement of a
project" means | 2 |
| the following:
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| (1) the cost of purchase and construction of all lands and | 4 |
| improvements in
connection therewith and
equipment and other | 5 |
| property, rights, easements, and franchises acquired which
are | 6 |
| deemed necessary for
the construction;
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| (2) financing charges;
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| (3) interest costs with respect to bonds, notes, and other | 9 |
| evidences of
indebtedness of the Authority
prior to and during | 10 |
| construction and for a period of 6 months thereafter;
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| (4) engineering and legal expenses; and
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| (5) the costs of plans, specifications, surveys, and | 13 |
| estimates of costs and
other expenses necessary or
incident to | 14 |
| determining the feasibility or practicability of any project,
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| together with such other expenses as
may be necessary or | 16 |
| incident to the financing, insuring, acquisition, and
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| construction of a specific project
and the placing of the same | 18 |
| in operation.
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| Section 20. Creation.
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| (a) There is created a political subdivision, body politic, | 21 |
| and municipal
corporation named the Southeastern
Illinois | 22 |
| Economic Development Authority. The territorial jurisdiction | 23 |
| of the
Authority is that geographic
area within the boundaries | 24 |
| of the following counties: Fayette, Cumberland, Clark, | 25 |
| Effingham, Jasper, Crawford, Marion, Clay, Richland, Lawrence, | 26 |
| Jefferson, Wayne, Edwards, Wabash, Hamilton, and White and any
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| navigable waters and
air space located therein.
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| (b) The governing and administrative powers of the | 29 |
| Authority shall be vested
in a body consisting of 10
members as | 30 |
| follows: | 31 |
| (1) Nine members shall be appointed by the Governor
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| with the advice and
consent of the Senate. | 33 |
| (2) One member shall be appointed by the Director of | 34 |
| Commerce and Economic Opportunity. | 35 |
| All public members shall reside within
the territorial
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| jurisdiction of the Authority.
The public members shall be | 2 |
| persons of recognized ability and experience in one
or more of | 3 |
| the following
areas: economic development, finance, banking, | 4 |
| industrial development, state or
local government, commercial | 5 |
| agriculture, small
business management, real
estate | 6 |
| development, community development, venture finance, organized | 7 |
| labor, or
civic or community
organization.
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| (c) Six members shall constitute a quorum.
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| (d) The chairman of the Authority shall be elected annually | 10 |
| by the Board.
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| (e) The terms of all initial members of the Authority shall | 12 |
| begin 30 days
after the effective date of this
Act. Of the 10 | 13 |
| original members appointed pursuant to subsection (b), one | 14 |
| shall serve until the third Monday in January, 2005; one shall | 15 |
| serve until the third Monday in January, 2006; 2 shall serve | 16 |
| until the third Monday in January, 2007; 2 shall serve until | 17 |
| the third Monday in January, 2008; 2 shall serve until the | 18 |
| third Monday in January, 2009; and 2 shall serve until the | 19 |
| third Monday in January, 2010. All successors to these original | 20 |
| public members shall be appointed by the Governor with the | 21 |
| advice and consent of the Senate, or by the Director of | 22 |
| Commerce and Economic Opportunity, as the case may be, pursuant | 23 |
| to subsection (b), and shall hold office for a term of 3 years | 24 |
| commencing the third Monday in January of the year in which | 25 |
| their term commences, except in the case of an appointment to | 26 |
| fill a vacancy. Vacancies occurring among the public members | 27 |
| shall be filled for the
remainder of the term. In case of
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| vacancy in a Governor-appointed membership when the Senate is | 29 |
| not in session,
the Governor may make a
temporary appointment | 30 |
| until the next meeting of the Senate when a person shall
be | 31 |
| nominated to fill the
office and, upon confirmation by the | 32 |
| Senate, he or she shall hold office during
the remainder of the | 33 |
| term
and until a successor is appointed and qualified. Members | 34 |
| of the Authority are
not entitled to
compensation for their | 35 |
| services as members but are entitled to reimbursement
for all | 36 |
| necessary expenses
incurred in connection with the performance |
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| of their duties as members.
Members of the Board may | 2 |
| participate in Board meetings by teleconference or video | 3 |
| conference.
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| (f) The Governor may remove any public member of the | 5 |
| Authority appointed by the Governor, and the Director of | 6 |
| Commerce and Economic Opportunity may remove any public member | 7 |
| appointed by the Director, in case of
incompetence, neglect of
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| duty, or malfeasance in office.
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| (g) The Board shall appoint an Executive Director who shall | 10 |
| have a
background in finance, including
familiarity with the | 11 |
| legal and procedural requirements of issuing bonds, real
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| estate, or economic
development and administration. The | 13 |
| Executive Director shall hold office at the
discretion of the | 14 |
| Board.
The Executive Director shall be the chief administrative | 15 |
| and operational
officer of the Authority, shall
direct and | 16 |
| supervise its administrative affairs and general management, | 17 |
| perform
such other duties as may
be prescribed from time to | 18 |
| time by the members, and receive compensation fixed
by the | 19 |
| Authority. The
Executive Director shall attend all meetings of | 20 |
| the Authority. However, no
action of the Authority shall be
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| invalid on account of the absence of the Executive Director | 22 |
| from a meeting. The
Authority may engage
the services of the | 23 |
| Illinois Finance Authority, attorneys, appraisers,
engineers, | 24 |
| accountants, credit
analysts, and other consultants, if the | 25 |
| Southeastern Illinois Economic Development Authority deems it | 26 |
| advisable.
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| Section 25. Duty. All official acts of the Authority shall | 28 |
| require the
approval of at least 6 members. It
shall be the | 29 |
| duty of the Authority to promote development within the | 30 |
| territorial jurisdiction of the Authority. The Authority shall | 31 |
| use the powers conferred upon it to assist in the
development, | 32 |
| construction,
and acquisition of industrial, commercial, | 33 |
| housing, or residential projects
within those counties.
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| Section 30. Powers.
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| (a) The Authority possesses all the powers of a body | 2 |
| corporate necessary and
convenient to accomplish
the purposes | 3 |
| of this Act, including, without any intended limitation upon | 4 |
| the
general powers hereby
conferred, the following powers:
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| (1) to enter into loans, contracts, agreements, and | 6 |
| mortgages in any
matter connected with any of
its corporate | 7 |
| purposes and to invest its funds;
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| (2) to sue and be sued;
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| (3) to utilize services of the Illinois Finance | 10 |
| Authority;
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| (4) to have and use a common seal and to alter the seal | 12 |
| at its discretion;
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| (5) to adopt all needful ordinances, resolutions, | 14 |
| by-laws, rules, and
regulations for the conduct of
its | 15 |
| business and affairs and for the management and use of the | 16 |
| projects
developed, constructed, acquired,
and improved in | 17 |
| furtherance of its purposes;
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| (6) to own or finance communications projects such as | 19 |
| telecommunications, fiber optics, and data transfer | 20 |
| projects;
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| (7) to designate the fiscal year for the Authority;
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| (8) to accept and expend appropriations;
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| (9) to acquire, own, lease, sell, or otherwise dispose | 24 |
| of interests in and
to real property and
improvements | 25 |
| situated on that real property and in personal property | 26 |
| necessary
to fulfill the purposes of the
Authority;
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| (10) to engage in any activity or operation which is | 28 |
| incidental to and in
furtherance of efficient
operation to | 29 |
| accomplish the Authority's primary purpose;
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| (11) to acquire, own, construct, lease, operate, and | 31 |
| maintain bridges,
terminals, terminal facilities,
and port | 32 |
| facilities and to fix and collect just, reasonable, and
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| nondiscriminatory charges for the use of such
facilities. | 34 |
| These charges shall be used to defray the reasonable | 35 |
| expenses of
the Authority and to pay the
principal and | 36 |
| interest of any revenue bonds issued by the Authority;
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| (12) subject to any applicable condition imposed by | 2 |
| this Act, to locate,
establish and maintain a
public | 3 |
| airport, public airports and public airport facilities | 4 |
| within its
corporate limits or within or upon any
body of | 5 |
| water adjacent thereto and to construct, develop, expand, | 6 |
| extend and
improve any such airport or
airport facility; | 7 |
| and
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| (13) to have and exercise all powers and be subject to | 9 |
| all duties usually
incident to boards of
directors of | 10 |
| corporations.
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| (b) The Authority shall not issue any bonds relating to the | 12 |
| financing of a
project located within the
planning and | 13 |
| subdivision control jurisdiction of any municipality or county
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| unless notice, including a
description of the proposed project | 15 |
| and the financing for that project, is
submitted to the | 16 |
| corporate
authorities of the municipality or, in the case of a | 17 |
| proposed project in an
unincorporated area, to the county
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| board.
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| (c) If any of the powers set forth in this Act are | 20 |
| exercised within the
jurisdictional limits of any
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| municipality, all ordinances of the municipality remain in full | 22 |
| force and
effect and are controlling.
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| Section 35. Bonds.
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| (a) The Authority, with the written approval of the | 25 |
| Governor, shall have the
continuing power to issue
bonds, | 26 |
| notes, or other evidences of indebtedness in an aggregate | 27 |
| amount not to
exceed $250,000,000 for the
following purposes: | 28 |
| (i) development, construction, acquisition, or improvement
of | 29 |
| projects, including those
established by business entities | 30 |
| locating or expanding property within the
territorial | 31 |
| jurisdiction of the
Authority; (ii) entering into venture | 32 |
| capital agreements with businesses
locating or expanding | 33 |
| within the
territorial jurisdiction of the Authority; (iii) | 34 |
| acquisition and improvement of
any property necessary and
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| useful in connection therewith; and (iv) for the purposes of |
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| the Employee
Ownership Assistance Act. For
the purpose of | 2 |
| evidencing the obligations of the Authority to repay any money
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| borrowed, the Authority
may, pursuant to resolution, from time | 4 |
| to time, issue and dispose of its interest-bearing revenue | 5 |
| bonds,
notes, or other evidences of indebtedness and may also | 6 |
| from time to time issue and dispose of such bonds,
notes, or | 7 |
| other evidences of indebtedness to refund, at maturity, at a | 8 |
| redemption date or in advance of
either, any bonds, notes, or | 9 |
| other evidences of indebtedness pursuant to redemption | 10 |
| provisions or at any
time before maturity. All such bonds, | 11 |
| notes, or other evidences of indebtedness shall be payable | 12 |
| solely and
only from the revenues or income to be derived from | 13 |
| loans made with respect to projects, from the leasing
or sale | 14 |
| of the projects, or from any other funds available to the | 15 |
| Authority for such purposes. The bonds,
notes, or other | 16 |
| evidences of indebtedness may bear such date or dates, may | 17 |
| mature at such time or times not
exceeding 40 years from their | 18 |
| respective dates, may bear interest at such rate or rates not | 19 |
| exceeding the
maximum rate permitted by the Bond Authorization | 20 |
| Act, may be in such form, may carry such registration
| 21 |
| privileges, may be executed in such manner, may be payable at | 22 |
| such place or places, may be made subject
to redemption in such | 23 |
| manner and upon such terms, with or without premium, as is | 24 |
| stated on the face
thereof, may be authenticated in such manner | 25 |
| and may contain such terms and
covenants as may be
provided by | 26 |
| an applicable resolution.
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| (b) The holder or holders of any bonds, notes, or other | 28 |
| evidences of
indebtedness issued by the
Authority may bring | 29 |
| suits at law or proceedings in equity to compel the
performance | 30 |
| and observance by
any corporation or person or by the Authority | 31 |
| or any of its agents or employees
of any contract or covenant
| 32 |
| made with the holders of the bonds, notes, or other evidences | 33 |
| of indebtedness,
to compel such corporation,
person, the | 34 |
| Authority, and any of its agents or employees to perform any | 35 |
| duties
required to be performed
for the benefit of the holders | 36 |
| of the bonds, notes, or other evidences of
indebtedness by the |
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| provision of the
resolution authorizing their issuance and to | 2 |
| enjoin the corporation, person,
the Authority, and any of its
| 3 |
| agents or employees from taking any action in conflict with any | 4 |
| contract or
covenant.
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| (c) If the Authority fails to pay the principal of or | 6 |
| interest on any of the
bonds or premium, if any, as the
bond | 7 |
| becomes due, a civil action to compel payment may be instituted | 8 |
| in the
appropriate circuit court by
the holder or holders of | 9 |
| the bonds on which the default of payment exists or by
an | 10 |
| indenture trustee acting
on behalf of the holders. Delivery of | 11 |
| a summons and a copy of the complaint to
the chairman of the | 12 |
| Board
shall constitute sufficient service to give the circuit | 13 |
| court jurisdiction over
the subject matter of the suit and
| 14 |
| jurisdiction over the Authority and its officers named as | 15 |
| defendants for the
purpose of compelling such
payment. Any | 16 |
| case, controversy, or cause of action concerning the validity | 17 |
| of
this Act relates to the
revenue of the State of Illinois.
| 18 |
| (d) Notwithstanding the form and tenor of any bond, note, | 19 |
| or other evidence
of indebtedness and in
the absence of any | 20 |
| express recital on its face that it is non-negotiable, all
such | 21 |
| bonds, notes, and other
evidences of indebtedness shall be | 22 |
| negotiable instruments. Pending the
preparation and execution | 23 |
| of any
bonds, notes, or other evidences of indebtedness, | 24 |
| temporary bonds, notes, or
evidences of indebtedness may
be | 25 |
| issued as provided by ordinance.
| 26 |
| (e) To secure the payment of any or all of such bonds, | 27 |
| notes, or other
evidences of indebtedness, the
revenues to be | 28 |
| received by the Authority from a lease agreement or loan
| 29 |
| agreement shall be pledged, and,
for the purpose of setting | 30 |
| forth the covenants and undertakings of the
Authority in | 31 |
| connection with the
issuance of the bonds, notes, or other | 32 |
| evidences of indebtedness and the
issuance of any additional | 33 |
| bonds,
notes or other evidences of indebtedness payable from | 34 |
| such revenues, income, or other funds to be derived
from | 35 |
| projects, the Authority may execute and deliver a mortgage or | 36 |
| trust agreement. A remedy for any
breach or default of the |
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| terms of any mortgage or trust agreement by the Authority may | 2 |
| be by mandamus
proceeding in the appropriate circuit court to | 3 |
| compel performance and compliance under the terms of the
| 4 |
| mortgage or trust agreement, but the trust agreement may | 5 |
| prescribe by whom or on whose behalf the action
may be | 6 |
| instituted.
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| (f) Bonds or notes shall be secured as provided in the | 8 |
| authorizing ordinance which may include,
notwithstanding any | 9 |
| other provision of this Act, in addition to any other security, | 10 |
| a specific pledge,
assignment of and lien on, or security | 11 |
| interest in any or all revenues or money of the Authority, from
| 12 |
| whatever source, which may, by law, be used for debt service | 13 |
| purposes and a
specific pledge, or assignment
of and lien on, | 14 |
| or security interest in any funds or accounts established or
| 15 |
| provided for by ordinance of the
Authority authorizing the | 16 |
| issuance of the bonds or notes.
| 17 |
| (g) In the event that the Authority determines that moneys | 18 |
| of the Authority
will not be sufficient for the
payment of the | 19 |
| principal of and interest on its bonds during the next State
| 20 |
| fiscal year, the chairman, as soon
as practicable, shall | 21 |
| certify to the Governor the amount required by the
Authority to | 22 |
| enable it to pay the
principal of and interest on the bonds. | 23 |
| The Governor shall submit the certified
amount to the General
| 24 |
| Assembly as soon as practicable, but no later than the end of | 25 |
| the current State
fiscal year. This Section shall
not apply to | 26 |
| any bonds or notes to which the Authority determines, in the
| 27 |
| resolution authorizing the
issuance of the bonds or notes, that | 28 |
| this Section shall not apply. Whenever the
Authority makes this
| 29 |
| determination, it shall be plainly stated on the face of the | 30 |
| bonds or notes and
the determination shall also be
reported to | 31 |
| the Governor.
In the event of a withdrawal of moneys from a | 32 |
| reserve fund established with
respect to any issue or
issues of | 33 |
| bonds of the Authority to pay principal or interest on those | 34 |
| bonds,
the chairman of the Authority,
as soon as practicable, | 35 |
| shall certify to the Governor the amount required to
restore | 36 |
| the reserve fund to the
level required in the resolution or |
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| indenture securing those bonds. The
Governor shall submit the | 2 |
| certified
amount to the General Assembly as soon as | 3 |
| practicable, but no later than the
end of the current State | 4 |
| fiscal
year.
| 5 |
| (h) The State of Illinois pledges to and agrees with the | 6 |
| holders of the
bonds and notes of the Authority
issued pursuant | 7 |
| to this Section that the State will not limit or alter the | 8 |
| rights and powers vested in the
Authority by this Act so as to | 9 |
| impair the terms of any contract made by the Authority with the | 10 |
| holders of
bonds or notes or in any way impair the rights and | 11 |
| remedies of those holders until the bonds and notes,
together | 12 |
| with interest thereon, with interest on any unpaid installments | 13 |
| of interest, and all costs and
expenses in connection with any | 14 |
| action or proceedings by or on behalf of the holders, are fully | 15 |
| met and
discharged. In addition, the State pledges to and | 16 |
| agrees with the holders of the bonds and notes of the
Authority | 17 |
| issued pursuant to this Section that the State will not limit | 18 |
| or alter the basis on which State funds
are to be paid to the | 19 |
| Authority as provided in this Act, or the use of such funds, so | 20 |
| as to impair the terms of
any such contract. The Authority is | 21 |
| authorized to include these pledges and agreements of the State | 22 |
| in any
contract with the holders of bonds or notes issued | 23 |
| pursuant to this Section.
| 24 |
| Section 40. Bonds and notes; exemption from taxation. The | 25 |
| creation of the
Authority is in all respects for
the benefit of | 26 |
| the people of Illinois and for the improvement of their health,
| 27 |
| safety, welfare, comfort, and
security, and its purposes are | 28 |
| public purposes. In consideration thereof, the
notes and bonds | 29 |
| of the
Authority issued pursuant to this Act and the income | 30 |
| from these notes and bonds
may be free from all
taxation by the | 31 |
| State or its political subdivisions, exempt for estate,
| 32 |
| transfer, and inheritance taxes. The
exemption from taxation | 33 |
| provided by the preceding sentence shall apply to the
income on | 34 |
| any notes or
bonds of the Authority only if the Authority in | 35 |
| its sole judgment determines
that the exemption enhances
the |
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| marketability of the bonds or notes or reduces the interest | 2 |
| rates that
would otherwise be borne by the
bonds or notes. For | 3 |
| purposes of Section 250 of the Illinois Income Tax Act, the
| 4 |
| exemption of the Authority
shall terminate after all of the | 5 |
| bonds have been paid. The amount of such income that shall be | 6 |
| added and
then subtracted on the Illinois income tax return of | 7 |
| a taxpayer, subject to Section 203 of the Illinois Income
Tax | 8 |
| Act, from federal adjusted gross income or federal taxable | 9 |
| income in computing Illinois base income
shall be the interest | 10 |
| net of any bond premium amortization.
| 11 |
| Section 45. Acquisition.
| 12 |
| (a) The Authority may, but need not, acquire title to any | 13 |
| project with
respect to which it exercises its
authority.
| 14 |
| (b) The Authority shall have power to acquire by purchase, | 15 |
| lease, gift, or
otherwise any property or
rights therein from | 16 |
| any person or persons, the State of Illinois, any municipal
| 17 |
| corporation, any local unit of
government, the government of | 18 |
| the United States and any agency or
instrumentality of the | 19 |
| United States,
any body politic, or any county useful for its | 20 |
| purposes, whether improved for
the purposes of any
prospective | 21 |
| project or unimproved. The Authority may also accept any | 22 |
| donation
of funds for its purposes
from any of these sources.
| 23 |
| (c) The Authority shall have power to develop, construct, | 24 |
| and improve,
either under its own direction or
through | 25 |
| collaboration with any approved applicant, or to acquire, | 26 |
| through
purchase or otherwise, any
project, using for this | 27 |
| purpose the proceeds derived from its sale of revenue
bonds, | 28 |
| notes, or other
evidences of indebtedness or governmental loans | 29 |
| or grants and shall have the
power to hold title to those
| 30 |
| projects in the name of the Authority.
| 31 |
| (d) The Authority shall have the power to enter into | 32 |
| intergovernmental
agreements with the State of
Illinois, the | 33 |
| counties of Fayette, Cumberland, Clark, Effingham, Jasper, | 34 |
| Crawford, Marion, Clay, Richland, Lawrence, Jefferson, Wayne, | 35 |
| Edwards, Wabash, Hamilton, and White, the Illinois
Development |
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| Finance Authority, the Illinois Housing
Development Authority, | 2 |
| the Illinois Education Facilities Authority, the
Illinois
Farm
| 3 |
| Development Authority, the Rural Bond Bank,
the United States | 4 |
| government and any agency or instrumentality of the United
| 5 |
| States, any unit
of local government located within the | 6 |
| territory of the Authority, or any other
unit of government to | 7 |
| the
extent allowed by Article VII, Section 10 of the Illinois | 8 |
| Constitution and the
Intergovernmental
Cooperation Act.
| 9 |
| (e) The Authority shall have the power to share employees | 10 |
| with other units
of government, including
agencies of the | 11 |
| United States, agencies of the State of Illinois, and agencies
| 12 |
| or personnel of any unit of
local government.
| 13 |
| (f) The Authority shall have the power to exercise powers | 14 |
| and issue bonds as
if it were a municipality so
authorized in | 15 |
| Divisions 12.1, 74, 74.1, 74.3, and 74.5 of Article 11 of the
| 16 |
| Illinois Municipal Code.
| 17 |
| Section 50. Enterprise zones. The Authority may by | 18 |
| ordinance designate a
portion of the territorial
jurisdiction | 19 |
| of the Authority for certification as an Enterprise Zone under | 20 |
| the
Illinois Enterprise Zone Act in
addition to any other | 21 |
| enterprise zones which may be created under that Act,
which | 22 |
| area shall have all the
privileges and rights of an Enterprise | 23 |
| Zone pursuant to the Illinois Enterprise
Zone Act, but which | 24 |
| shall not
be counted in determining the number of Enterprise | 25 |
| Zones to be created in any
year pursuant to that Act.
| 26 |
| Section 55. Designation of depository. The Authority shall | 27 |
| biennially
designate a national or State bank or
banks as | 28 |
| depositories of its money. Such depositories shall be | 29 |
| designated only
within the State and upon
condition that bonds | 30 |
| approved as to form and surety by the Authority and at
least | 31 |
| equal in amount to the
maximum sum expected to be on deposit at | 32 |
| any one time shall be first given by
such depositories to the
| 33 |
| Authority, such bonds to be conditioned for the safekeeping and | 34 |
| prompt
repayment of such deposits.
When any of the funds of the |
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| Authority shall be deposited by the treasurer in
any such | 2 |
| depository, the
treasurer and the sureties on his official bond | 3 |
| shall, to such extent, be
exempt from liability for the loss of
| 4 |
| any such deposited funds by reason of the failure, bankruptcy, | 5 |
| or any other act
or default of such depository;
provided that | 6 |
| the Authority may accept assignments of collateral by any
| 7 |
| depository of its funds to secure
such deposits to the same | 8 |
| extent and conditioned in the same manner as
assignments of | 9 |
| collateral are
permitted by law to secure deposits of the funds | 10 |
| of any city.
| 11 |
| Section 60. Taxation prohibited. The Authority shall have | 12 |
| no right or
authority to levy any tax or special
assessment, to | 13 |
| pledge the credit of the State or any other subdivision or
| 14 |
| municipal corporation thereof, or to
incur any obligation | 15 |
| enforceable upon any property, either within or without
the | 16 |
| territory of the Authority.
| 17 |
| Section 65. Fees. The Authority may collect fees and | 18 |
| charges in connection
with its loans, commitments,
and | 19 |
| servicing and may provide technical assistance in the | 20 |
| development of the
region.
| 21 |
| Section 70. Reports and audit.
| 22 |
| (a) The Authority shall annually submit a report of its
| 23 |
| finances to the Auditor General. The Authority shall annually | 24 |
| submit a report of its activities to the Governor
and to the | 25 |
| General Assembly.
| 26 |
| (b) Beginning 5 years after the effective date of this Act | 27 |
| and every 5 years thereafter, the Auditor General shall conduct | 28 |
| a financial audit of the Authority.
| 29 |
| Section 99. The Illinois State Auditing Act is amended by | 30 |
| changing Section 3-1 as follows:
| 31 |
| (30 ILCS 5/3-1) (from Ch. 15, par. 303-1)
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| Sec. 3-1. Jurisdiction of Auditor General. The Auditor | 2 |
| General has
jurisdiction over all State agencies to make post | 3 |
| audits and investigations
authorized by or under this Act or | 4 |
| the Constitution.
| 5 |
| The Auditor General has jurisdiction over local government | 6 |
| agencies
and private agencies only:
| 7 |
| (a) to make such post audits authorized by or under | 8 |
| this Act as are
necessary and incidental to a post audit of | 9 |
| a State agency or of a
program administered by a State | 10 |
| agency involving public funds of the
State, but this | 11 |
| jurisdiction does not include any authority to review
local | 12 |
| governmental agencies in the obligation, receipt, | 13 |
| expenditure or
use of public funds of the State that are | 14 |
| granted without limitation or
condition imposed by law, | 15 |
| other than the general limitation that such
funds be used | 16 |
| for public purposes;
| 17 |
| (b) to make investigations authorized by or under this | 18 |
| Act or the
Constitution; and
| 19 |
| (c) to make audits of the records of local government | 20 |
| agencies to verify
actual costs of state-mandated programs | 21 |
| when directed to do so by the
Legislative Audit Commission | 22 |
| at the request of the State Board of Appeals
under the | 23 |
| State Mandates Act.
| 24 |
| In addition to the foregoing, the Auditor General may | 25 |
| conduct an
audit of the Metropolitan Pier and Exposition | 26 |
| Authority, the
Regional Transportation Authority, the Suburban | 27 |
| Bus Division, the Commuter
Rail Division and the Chicago | 28 |
| Transit Authority and any other subsidized
carrier when | 29 |
| authorized by the Legislative Audit Commission. Such audit
may | 30 |
| be a financial, management or program audit, or any combination | 31 |
| thereof.
| 32 |
| The audit shall determine whether they are operating in | 33 |
| accordance with
all applicable laws and regulations. Subject to | 34 |
| the limitations of this
Act, the Legislative Audit Commission | 35 |
| may by resolution specify additional
determinations to be | 36 |
| included in the scope of the audit.
|
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| In addition to the foregoing, the Auditor General must also | 2 |
| conduct a
financial audit of
the Illinois Sports Facilities | 3 |
| Authority's expenditures of public funds in
connection with the | 4 |
| reconstruction, renovation, remodeling, extension, or
| 5 |
| improvement of all or substantially all of any existing | 6 |
| "facility", as that
term is defined in the Illinois Sports | 7 |
| Facilities Authority Act.
| 8 |
| The Auditor General may also conduct an audit, when | 9 |
| authorized by
the Legislative Audit Commission, of any hospital | 10 |
| which receives 10% or
more of its gross revenues from payments | 11 |
| from the State of Illinois,
Department of Public Aid, Medical | 12 |
| Assistance Program.
| 13 |
| The Auditor General is authorized to conduct financial and | 14 |
| compliance
audits of the Illinois Distance Learning Foundation | 15 |
| and the Illinois
Conservation Foundation.
| 16 |
| As soon as practical after the effective date of this | 17 |
| amendatory Act of
1995, the Auditor General shall conduct a | 18 |
| compliance and management audit of
the City of
Chicago and any | 19 |
| other entity with regard to the operation of Chicago O'Hare
| 20 |
| International Airport, Chicago Midway Airport and Merrill C. | 21 |
| Meigs Field. The
audit shall include, but not be limited to, an | 22 |
| examination of revenues,
expenses, and transfers of funds; | 23 |
| purchasing and contracting policies and
practices; staffing | 24 |
| levels; and hiring practices and procedures. When
completed, | 25 |
| the audit required by this paragraph shall be distributed in
| 26 |
| accordance with Section 3-14.
| 27 |
| The Auditor General shall conduct a financial and | 28 |
| compliance and program
audit of distributions from the | 29 |
| Municipal Economic Development Fund
during the immediately | 30 |
| preceding calendar year pursuant to Section 8-403.1 of
the | 31 |
| Public Utilities Act at no cost to the city, village, or | 32 |
| incorporated town
that received the distributions.
| 33 |
| The Auditor General must conduct an audit of the Health | 34 |
| Facilities Planning
Board pursuant to Section 19.5 of the | 35 |
| Illinois Health Facilities Planning
Act.
| 36 |
| The Auditor General of the State of Illinois shall annually |
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| conduct or
cause to be conducted a financial and compliance | 2 |
| audit of the books and records
of any county water commission | 3 |
| organized pursuant to the Water Commission Act
of 1985 and | 4 |
| shall file a copy of the report of that audit with the Governor | 5 |
| and
the Legislative Audit Commission. The filed audit shall be | 6 |
| open to the public
for inspection. The cost of the audit shall | 7 |
| be charged to the county water
commission in accordance with | 8 |
| Section 6z-27 of the State Finance Act. The
county water | 9 |
| commission shall make available to the Auditor General its | 10 |
| books
and records and any other documentation, whether in the | 11 |
| possession of its
trustees or other parties, necessary to | 12 |
| conduct the audit required. These
audit requirements apply only | 13 |
| through July 1, 2007.
| 14 |
| The Auditor General must conduct audits of the Rend Lake | 15 |
| Conservancy
District as provided in Section 25.5 of the River | 16 |
| Conservancy Districts Act.
| 17 |
| The Auditor General must conduct financial audits of the | 18 |
| Southeastern Illinois Economic Development Authority as | 19 |
| provided in Section 70 of the Southeastern Illinois Economic | 20 |
| Development Authority Act.
| 21 |
| (Source: P.A. 93-226, eff. 7-22-03; 93-259, eff. 7-22-03; | 22 |
| 93-275, eff.
7-22-03; revised 8-25-03.)
| 23 |
| Section 999. Effective date. This Act takes effect upon | 24 |
| becoming law. |
|