(105 ILCS 5/34A-503) (from Ch. 122, par. 34A-503)
Sec. 34A-503.
Tax levy.
(a) Before or at the time of issuing any Bonds, the Authority shall provide by resolution for the levy and collection of a direct annual tax upon all
the taxable property located within the school district without limit as
to rate or amount sufficient to pay
and discharge the principal thereof at maturity or on sinking fund installment
dates and to pay the interest thereon as it falls due. The taxes as levied
shall also include such additional amounts to the extent that the collections
in the prior years were insufficient to pay and discharge such principal
thereof at maturity, such sinking fund installments, if any, and interest
thereon as it fell due and the amount so collected shall be placed in the
debt service reserve fund. Such tax shall be in
addition to and exclusive of the maximum of all taxes
which the Authority, the Board or the City Council of the City is now, or
may hereafter be, authorized by law to levy for any and all school purposes.
Any such resolution shall be in force upon its adoption.
(b) Such levy shall be for the sole benefit of the holders of the Bonds
and the holders of the Bonds shall have a security interest in, and lien
upon, all rights, claims and interests of the Authority arising pursuant
to such levy and all present and future proceeds of such levy until principal
of and sinking fund installments and interest on the Bonds are paid in full.
All proceeds from such levy shall be deposited by each county collector
directly in the debt service funds established pursuant to Section
34A-504 hereof and shall be applied solely for the payment of principal of and
sinking fund installments and interest on the Bonds and shall not be used for
any other purpose.
A levy with respect to Bonds issued prior to July 1, 1993 (or to refund or
continue the refunding of Bonds issued prior to July 1, 1993) shall be for the
sole benefit of holders of Bonds issued prior to July 1, 1993 (or to refund or
continue the refunding of Bonds issued prior to July 1, 1993). A levy with
respect to Bonds issued on or after July 1, 1993 (other than to refund or to
continue the refunding of Bonds issued prior to July 1, 1993) shall be for the
sole benefit of owners of Bonds issued on or after July 1, 1993 (other than to
refund or to continue the refunding of Bonds issued prior to July 1, 1993).
Proceeds of taxes levied under this Section shall be deposited in the debt
service fund relating to the Bonds with respect to which the taxes were
levied.
(c) Upon the filing in the office of the county clerk of each county wherein
the Board is located of a duly certified copy of any such ordinance, it
shall be the duty of each such county clerk to extend the tax therein provided
for, including an amount determined by the Authority to cover loss and cost
of collection and also deferred collections thereof and abatements in the
amount of such taxes as extended on the collectors' books. The tax shall
be separate and apart from all other taxes of the Authority, the Board and
the City and shall be separately identified by the collectors.
(Source: P.A. 88-511.)
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