(605 ILCS 5/6-520) (from Ch. 121, par. 6-520)
Sec. 6-520.
Money which becomes available from taxes that were levied for
prior years for payment of bonds or interest coupons that were paid or
refunded before those taxes were collected, after payment of all warrants
that may have been issued in anticipation of these taxes, shall be placed
in the sinking fund account provided in this section. It shall be used to
purchase, call for payment, or to pay at maturity refunding bonds and
interest thereon as herein provided.
Money received from the proceeds of taxes levied for the payment of the
principal of and interest upon refunding bonds shall be deposited in a
special fund of the road district, designated the "Refunding Bond and
Interest Sinking Fund Account of ....". This fund shall be applied to the
purchase or payment of refunding bonds and the interest thereon.
If the money in this fund is not immediately necessary for the payment
of refunding bonds or if refunding bonds can not be purchased before
maturity, then, under the direction of the highway commissioner and the
road district clerk of the road district, the money may be invested by the
treasurer of the road district in bonds or other interest bearing
obligations of the United States or in bonds of the State of Illinois, the
maturity date of which securities shall be prior to the due date of any
issue of refunding bonds of the road district. The highway commissioner and
the road district clerk may sell these securities whenever necessary to
obtain cash to meet bond and interest payments.
(Source: Laws 1959, p. 196.)
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