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| [ Senate Amendment 001 ] |
91_HB1366eng HB1366 Engrossed 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 Sections 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 HB1366 Engrossed -2- LRB9103402MWdv 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 HB1366 Engrossed -3- LRB9103402MWdv 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 HB1366 Engrossed -4- LRB9103402MWdv 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, orandthe 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 mayshallbe 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 HB1366 Engrossed -5- LRB9103402MWdv 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 HB1366 Engrossed -6- LRB9103402MWdv 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 HB1366 Engrossed -7- LRB9103402MWdv 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.