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91_HB1366
LRB9103402MWdv
1 AN ACT to amend the Illinois Municipal Code by changing
2 Sections 11-135-2, 11-135-3, and 11-135-4.
3 Be it enacted by the People of the State of Illinois,
4 represented in the General Assembly:
5 Section 5. The Illinois Municipal Code is amended by
6 changing Section 11-135-2, 11-135-3 and 11-135-4 as follows:
7 (65 ILCS 5/11-135-2) (from Ch. 24, par. 11-135-2)
8 Sec. 11-135-2. Upon the adoption of such an ordinance or
9 resolution by the corporate authorities of any such
10 municipality, the mayor or president, with the approval of
11 the corporate authorities, shall appoint a commissioner. If
12 under Section 11-135-3 a water commission meets the
13 participatory requirements, that water commission shall
14 appoint a commissioner. The commissioners so appointed by
15 each of such municipalities and participatory water
16 commissions together with a like commissioner appointed by
17 the presiding officer of the county board with the advice and
18 consent of the county board of the county in which the major
19 part of the works of the water commission are, or are to be,
20 located, shall constitute a commission and public corporation
21 with the powers and duties specified in this Division 135.
22 The corporate name of the commission shall be "(here insert
23 an appropriate name indicative of the area) Water Commission"
24 and as such the Commission may contract and be contracted
25 with, and sue and be sued.
26 The commissioners so appointed shall serve for a term of
27 6 years, or until their successors have been appointed and
28 have qualified in the same manner as the original
29 appointments, except that the commissioners first appointed
30 shall determine by lot at their first meeting the respective
31 commissioners whose terms shall be for 2, 4 and 6 years from
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1 the date of that meeting. Each commissioner appointed by a
2 mayor or president shall be an elector or the chief
3 administrator of the municipality for which he acts as
4 commissioner, and the commissioner appointed by the presiding
5 officer of the county board shall be an elector of the county
6 in which the major works of the water commission are, or are
7 to be, located. Any commissioner so appointed may be a
8 member of the governing board or officer or employee of the
9 municipality or county from which the appointment is made. A
10 commissioner is eligible for reappointment upon the
11 expiration of his term. A vacancy shall be filled for the
12 balance of the unexpired term of the person who has ceased to
13 hold office by the mayor, president or county board presiding
14 officer who initially made such appointment in the same
15 manner as the original appointment. Each commissioner shall
16 receive the same compensation, as determined by the
17 appointing authority, which shall not be more than $2,000 per
18 year, except that no commissioner who is a member of the
19 governing board or officer or employee of the municipality or
20 county from which the appointment is made may receive any
21 compensation for serving as commissioner. Each commissioner
22 shall furnish a bond for the faithful performance of his
23 official duties. This bond shall not be less than $5,000 and
24 its costs shall be paid by the commission.
25 Each commissioner may be removed for any cause for which
26 any other municipal officer may be removed. No commissioner,
27 or employee of the commission, and no mayor, or president, or
28 other member of the corporate authorities, or any employee of
29 any of the municipalities, shall be interested directly or
30 indirectly in any contract or job of work or materials, or
31 the profits thereof, or services to be performed for or by
32 the commission.
33 A violation of any of the foregoing provisions of this
34 section is a Class C misdemeanor. A conviction is cause for
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1 the removal of a person from his office or employment.
2 (Source: P.A. 90-517, eff. 8-22-97.)
3 (65 ILCS 5/11-135-3) (from Ch. 24, par. 11-135-3)
4 Sec. 11-135-3. Such a commission shall organize by
5 appointing a chairman from its own members and a clerk and
6 treasurer, who need not be commissioners. It shall adopt its
7 own rules of procedure and provide for its meetings. The
8 commission has full and complete supervision, management, and
9 control of the waterworks system, or the common source of
10 supply of water, or both, as provided in the ordinances or
11 resolutions for acquiring and operating the same, and in
12 their maintenance, operation, and extension. The commission
13 is authorized to contract with the municipalities which
14 established the commission for a supply of water to those
15 municipalities, for a period not exceeding 50 years, and the
16 corporate authorities of those municipalities are authorized
17 to enter into contracts with the commission.
18 The commission is authorized to develop, promote and
19 provide for recreational facilities on property acquired in
20 and for the operation of its common source of supply of water
21 and to include reasonable charges for such recreational
22 facilities as part of the cost of operation and maintenance
23 of the waterworks system.
24 Any 2 or more water commissions organized under this
25 Division 135 may, by resolution adopted by each commission
26 and ratified by the corporate authorities of each of the
27 municipalities comprising each of the water commissions agree
28 to the joint purchase, construction, operation, improvement
29 or extension, or any combination thereof, of either or both a
30 waterworks system and a common source of supply of water for
31 those commissions. When such an agreement has been executed,
32 the water commissions entering into that agreement may
33 jointly issue revenue bonds for the projects subject to the
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1 agreement in the same manner and subject to the same
2 conditions as are provided in this Division 135 in the case
3 of an individual water commission.
4 Any additional municipality or water commission may join
5 and become a part of the system provided for in this Division
6 135 in the same manner as if participating at the time of
7 formation if approved by majority vote of the water
8 commissioners and such approval is ratified by resolution of
9 the corporate authorities of a majority of the municipalities
10 or water commissions constituting the commission; except that
11 if a system is composed of two municipalities, only the
12 approval of a majority of the water commissioners is required
13 to accept an additional municipality or water commission to
14 the system. If a municipality or water commission has been a
15 continuous customer of the same water commission for a
16 minimum of 20 years, receives at least 90% of its water from
17 the water commission, or and the population of the
18 municipality or water commission exceeds 20% 25% of the
19 population of the then current member municipalities in the
20 water commission, that municipality or water commission shall
21 become a part of the system. In such event the name of the
22 water commission may shall be changed either to include the
23 joining municipality's or water commission's name or to
24 provide another name that is indicative of the area. The
25 membership of the water commission shall be enlarged to
26 include a member from such joining municipality or water
27 commission.
28 (Source: P.A. 81-1212.)
29 (65 ILCS 5/11-135-4) (from Ch. 24, par. 11-135-4)
30 Sec. 11-135-4. A commission may from time to time issue
31 its revenue bonds in such principal amounts as the commission
32 shall deem necessary to provide sufficient funds to carry out
33 any of its corporate purposes and powers, including, without
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1 limitation, developing, acquiring, constructing, extending or
2 improving a waterworks system or common source of supply of
3 water, or any combination thereof, the funding or refunding
4 of the principal of, redemption premium, if any, and interest
5 on, any bonds issued by it whether or not such bonds or
6 interest to be funded or refunded have or have not become
7 due, the payment of engineering, legal and other expenses,
8 together with interest to a date one year subsequent to the
9 estimated date of completion of the project, the
10 establishment or increase of reserves to secure or to pay
11 such bonds and interest thereon, the providing of working
12 capital and the payment of all other costs or expenses of the
13 commission incident to and necessary or convenient to carry
14 out its corporate purposes and powers. These bonds shall
15 have all the qualities of negotiable instruments under the
16 laws of this State and shall not constitute indebtedness of
17 any of the municipalities constituting the commission.
18 Every issue of bonds of such commission shall be payable
19 out of the revenues to be derived pursuant to contracts with
20 the specified municipalities and participating water
21 commissions or by virtue of the operation of any properties
22 acquired or to be acquired or constructed. A commission may
23 issue such types of bonds as it may determine, including
24 bonds as to which the principal and interest are payable
25 exclusively from the revenues from one or more projects, or
26 from an interest therein or a right to the products and
27 services thereof, or from one or more revenue producing
28 contracts made by the commission, or its revenues generally.
29 Any such bonds may be additionally secured by a pledge of any
30 grant, subsidy, or contribution from the United States, the
31 State of Illinois, or any unit of local government, or any
32 combination thereof.
33 Before the treasurer of the commission is entitled to
34 receive the proceeds of the sale of such a bond issue, he
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1 shall supply a corporate surety bond in an amount equivalent
2 to the amount of funds to be derived from the sale of the
3 bonds, and, in addition thereto, he shall supply a separate
4 corporate surety bond for the faithful accounting of any
5 funds that may come into his possession in an amount equal to
6 the amount of funds likely to come into his hands in any one
7 year from the revenue to be derived from the operation of any
8 of the properties of the commission. The cost of these surety
9 bonds shall be paid by the commission.
10 The revenue bonds shall be issued pursuant to an
11 ordinance or resolution and may be issued in one or more
12 series, and shall bear such date or dates, mature at such
13 time or times within the estimated period of usefulness of
14 the project involved and in any event not more than 50 years
15 from the date thereof, bear interest at such rate or rates as
16 authorized under Section 2 of "An Act to authorize public
17 corporations to issue bonds, other evidences of indebtedness
18 and tax anticipation warrants subject to interest rate
19 limitations set forth therein", approved May 26, 1970, as now
20 or hereafter amended, which rates may be fixed or variable,
21 be in such denominations, be in such form, either coupon or
22 registered, carry such conversion, registration, and exchange
23 privileges, have such rank or priority, be executed in such
24 manner, be payable in such medium of payment at such place or
25 places within or without the State of Illinois, be subject to
26 such terms of redemption with or without premium, and contain
27 or be subject to such other terms as the ordinance or
28 resolution may provide, and shall not be restricted by the
29 provisions of any other law limiting the amounts, maturities,
30 interest rates, or other terms of obligations of public
31 agencies or private persons. The bonds shall be sold in such
32 manner as the commission shall determine, at private or
33 public sale. It shall not be necessary that the ordinance or
34 resolution refer to plans and specifications nor that there
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1 be on file for public inspection prior to the adoption of
2 such ordinance detailed plans and specifications of the
3 project. This ordinance or resolution may contain such
4 covenants and restrictions in relation to the operation of
5 the properties under the control of the commission and the
6 issuance of additional revenue bonds thereafter as may be
7 deemed necessary or advisable for the assurance of payment of
8 the bonds thereby authorized and as may be thereafter issued.
9 It shall be plainly stated on the face of each bond that it
10 does not constitute an indebtedness of any municipality
11 represented by the commission within the meaning of any
12 statutory or constitutional limitation. Upon the issuance of
13 revenue bonds, the revenue of the commission derived pursuant
14 to contracts entered into for the sale of water to the
15 specified municipalities and from the operation of its
16 properties, shall be accounted for as provided in the
17 ordinance or resolution authorizing the issuance of the
18 bonds. Any commission created under the provisions of this
19 Division 135 may also issue new bonds for the purpose of
20 providing funds for the payment of unpaid bonds in accordance
21 with the procedure prescribed by this Division 135.
22 The amendatory Acts of 1971, 1972, 1973, 1975 and 1981
23 are not a limit upon any municipality which is a home rule
24 unit.
25 (Source: P.A. 82-641.)
26 Section 99. Effective date. This Act takes effect upon
27 becoming law.