(110 ILCS 920/5) (from Ch. 144, par. 2405)
Sec. 5. Security of College Savings Bonds. Any College Savings Bonds
issued under the General Obligation Bond Act in accordance with this Act
shall be direct, general obligations of the State of Illinois and subject
to repayment as provided in the General Obligation Bond Act; however in the
proceedings of the Governor and the Director of the
Governor's Office of Management and Budget
authorizing the issuance of College Savings Bonds, such officials may
covenant on behalf of the State with or for the benefit of the holders of
such Bonds as to all matters deemed advisable by such officials, including
the terms and conditions for creating and maintaining sinking funds,
reserve funds and such other special funds as may be created in such
proceedings, separate and apart from all other funds and accounts of the
State, and such officials may make such other covenants as may be deemed
necessary or desirable to assure the prompt payment of the principal of and
interest on such Bonds. The transfers to and appropriations from the
General Obligation Bond Retirement and Interest Fund required by the
General Obligation Bond Act shall be made at such times and in such
amounts as shall be determined by the Governor and the Director of the
Governor's Office of Management and Budget and shall be made to and from any fund or funds
created pursuant to this Section for the payment of the principal of and
interest on any College Savings Bonds.
(Source: P.A. 94-793, eff. 5-19-06.)
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