(50 ILCS 320/8) (from Ch. 85, par. 7208)
Sec. 8.
Financial plan.
(a) Within 120 days after the first meeting of the commission, the
presiding officer of the governing body of the unit of local government, in
conjunction with the financial advisor provided by the commission, shall
submit to the commission a detailed financial plan, as approved or amended
by ordinance or resolution of the governing body, containing the following:
(1) Actions to be taken by the unit of local |
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(A) Eliminate all fiscal emergency conditions
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| determined to exist pursuant to this Act;
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(B) Satisfy any judgments, past due accounts
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| payable, and all past due and payable payroll and fringe benefits;
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(C) Eliminate the deficits in all deficit funds;
(D) Restore to construction funds and other
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| special funds moneys from such funds that were used for purposes not within the purposes of such funds, or missing from the construction funds or such special funds and not accounted for;
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(E) Balance the budgets, avoid future deficits in
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| any funds, and maintain current payments of payroll, fringe benefits, and all accounts;
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(F) Avoid any fiscal emergency condition in the
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(G) Restore the ability of the unit of local
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| government to market long-term general obligation bonds under provisions of law applicable to such local governmental units generally.
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(2) The legal authorities permitting the unit of
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| local government to take the action enumerated pursuant to paragraph (1) of this subsection (a).
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(3) The approximate dates of the commencement,
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| progress upon, and completion of the actions enumerated in paragraph (1) of this subsection (a) and a reasonable period of time expected to be required to implement the plan. The unit of local government, in consultation with the commission and the financial advisor, shall prepare a reasonable time schedule for progress toward and achievement of the requirements for the financial plan, and the financial plan shall be consistent with that time schedule.
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(4) The amount and purpose of any issue of debt
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| obligations that will be issued, together with assurances that any such debt obligations that will be issued will not exceed debt limits supported by appropriate certifications by the treasurer of the local governmental unit.
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(5) Assurances that the unit of local government will
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| establish monthly levels of expenditures and encumbrances.
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(6) Assurances that the municipality will conform to
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| statutes with respect to budgets and appropriation ordinances.
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(7) The detail, the form, and the supporting
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| information that the commission may direct.
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(b) The financial plan developed pursuant to subsection (a) of this
Section shall be filed with the financial advisor and the financial
planning and supervision commission. After consultation with the financial
advisor, and upon completing the procedures and findings required by
subsection (c) of this Section, the commission shall either approve or
reject any initial or subsequent financial plan. If the commission rejects
the initial or any subsequent financial plan, it shall forthwith inform the
governing body of the unit of local government of the reasons for its
rejection. Within 30 days after the rejection of any plan, the presiding
officer, with the approval of the governing body by the passage of an
ordinance or resolution, shall submit another plan meeting the requirements
of this Section to the commission and the financial advisor for approval or
rejection by the commission.
(c) Prior to the approval of any initial or subsequent financial plan, the
commission shall give reasonable notice and opportunity for a hearing to
all creditors of the unit of local government. Any initial or subsequent
financial plan passed by the unit of local government shall be approved by
the commission if it complies with the requirements of this Section, and if
the commission finds that (1) the plan is bona fide and can reasonably be
expected to be implemented within the period specified in the plan, (2) the
plan is a good faith plan reasonably anticipated to alleviate the fiscal
emergency of the unit of local government and (3) the plan is in the best
interest of the unit of local government and its creditors.
(d) The determination of the commission under this Section to approve or
deny approval of the financial plan shall be a final administrative
decision subject to the provisions of the Administrative Review Law.
(e) Any financial plan may be amended subsequent to its adoption in the
same manner as the passage and approval of the initial or subsequent plan
pursuant to this Section.
(Source: P.A. 86-1211.)
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