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91_SB0146
LRB9100650EGfg
1 AN ACT in relation to State bonds.
2 Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
4 Section 5. The General Obligation Bond Act is amended by
5 adding Section 1.5 and re-enacting Sections 2, 3, 16, and 20
6 as follows:
7 (30 ILCS 330/1.5 new)
8 Sec. 1.5. Re-enactment; findings; purpose; validation.
9 (a) The General Assembly finds and declares that:
10 (1) Article IV of Public Act 85-1135, effective
11 July 28, 1988, contained provisions amending or creating
12 Sections 2, 3, 16, and 20 of the General Obligation Bond
13 Act, Section 5.242 of the State Finance Act, and Section
14 4 of the Baccalaureate Savings Act, all of which pertain
15 to State general obligation bonds. These provisions (i)
16 increased the total authorization for State of Illinois
17 general obligation bonds and refunding bonds; (ii)
18 increased the limits on the amount of State general
19 obligation bond proceeds that may be used for various
20 purposes; and (iii) created the General Obligation Bond
21 Rebate Fund, authorized the transfer of money into that
22 Fund, and provided an irrevocable continuing
23 appropriation of amounts necessary to preserve the
24 tax-free status of interest earned by owners of State
25 general obligation bonds. Article IV also contained
26 other provisions.
27 (2) Section 8 of Article III of Public Act 85-1135,
28 effective September 1, 1988, contained provisions
29 amending Sections 2, 4, 11, and 13 of the Build Illinois
30 Bond Act. These provisions (i) increased the total
31 authorization for Build Illinois bonds; (ii) increased
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1 the limits on the amount of Build Illinois bond proceeds
2 that may be used for public infrastructure purposes; and
3 (iii) amended the Build Illinois bond repayment
4 schedules.
5 (3) In addition, Public Act 85-1135 contained
6 provisions relating to tax reform and creating the Water
7 Pollution Control Revolving Fund loan program.
8 (4) On August 26, 1998, the Cook County Circuit
9 Court entered an order in the case of Oak Park Arms
10 Associates v. Whitley (No. 92 L 51045), in which it found
11 that Public Act 85-1135 violates the single subject
12 clause of the Illinois Constitution (Article IV, Section
13 8(d)). As of the time this amendatory Act of 1999 was
14 prepared, the order declaring P.A. 85-1135 invalid has
15 been vacated but the case is subject to appeal.
16 (5) The integrity of the State's contracts and
17 bonds, the protection of bondholders, and the State's
18 continued ability to issue bonds and borrow money are of
19 the greatest importance for the continued health, safety,
20 and welfare of the people of this State.
21 (6) The programs and projects funded with the
22 proceeds of State general obligation bonds and Build
23 Illinois bonds affect many areas of vital concern to the
24 people of this State. The disruption of those programs
25 could constitute a grave threat to the continued health,
26 safety, and welfare of the people of this State.
27 (b) It is the purpose of this amendatory Act of 1999 to
28 prevent or minimize any problems relating to State bonds that
29 may result from challenges to the constitutional validity of
30 Public Act 85-1135, by (1) re-enacting the Sections relating
31 to State bonds that were included in Public Act 85-1135; (2)
32 validating all Build Illinois bonds, State general obligation
33 bonds, and refunding bonds issued pursuant to provisions
34 contained in Public Act 85-1135; (3) affirming the State's
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1 obligations under those bonds and any contracts relating to
2 them; and (4) validating all actions taken in reliance on the
3 provisions contained in Public Act 85-1135 that relate to
4 those bonds or their proceeds.
5 (c) This amendatory Act of 1999 re-enacts Sections 2, 3,
6 16, and 20 of the General Obligation Bond Act, Section 5.242
7 of the State Finance Act, Sections 2, 4, 11, and 13 of the
8 Build Illinois Bond Act, and Section 4 of the Baccalaureate
9 Savings Act, as they have been amended. This re-enactment is
10 intended to remove any question as to the validity or content
11 of those Sections; it is not intended to supersede any other
12 Public Act that amends the text of a Section as set forth in
13 this amendatory Act. The material is shown as existing text
14 (i.e., without underscoring) because, as of the time this
15 amendatory Act of 1999 was prepared, the order declaring P.A.
16 85-1135 invalid has been vacated.
17 (d) The re-enactment by this amendatory Act of 1999 of
18 certain Sections relating to State bonds that were enacted or
19 amended by Public Act 85-1135 is not intended, and shall not
20 be construed, to imply that P.A. 85-1135 is invalid or to
21 limit or impair any legal argument concerning whether those
22 provisions were substantially re-enacted by other Public
23 Acts.
24 (e) All Build Illinois bonds, State general obligation
25 bonds, and refunding bonds issued before the effective date
26 of this amendatory Act of 1999 in reliance on or pursuant to
27 the Sections re-enacted by this amendatory Act of 1999, as
28 set forth in Public Act 85-1135 or as subsequently amended,
29 are hereby validated. All obligations of the State arising
30 under or in connection with those bonds are hereby affirmed.
31 (f) All otherwise lawful actions taken before the
32 effective date of this amendatory Act of 1999 in reliance on
33 or pursuant to the Sections re-enacted by this amendatory Act
34 of 1999, as set forth in Public Act 85-1135 or as
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1 subsequently amended, by any officer, employee, or agency of
2 State government or by any other person or entity, are hereby
3 validated.
4 (g) This amendatory Act of 1999 applies, without
5 limitation, to actions pending on or after the effective date
6 of this amendatory Act.
7 (30 ILCS 330/2) (from Ch. 127, par. 652)
8 Sec. 2. Authorization for Bonds. The State of Illinois
9 is authorized to issue, sell and provide for the retirement
10 of General Obligation Bonds of the State of Illinois in the
11 total amount of $10,895,296,392 herein called "Bonds".
12 Of the total amount of bonds authorized above, up to
13 $2,200,000,000 in aggregate original principal amount may be
14 issued and sold in accordance with the Baccalaureate Savings
15 Act in the form of General Obligation College Savings Bonds.
16 Of the total amount of bonds authorized above, up to
17 $300,000,000 in aggregate original principal amount may be
18 issued and sold in accordance with the Retirement Savings Act
19 in the form of General Obligation Retirement Savings Bonds.
20 The issuance and sale of Bonds pursuant to the General
21 Obligation Bond Act is an economical and efficient method of
22 financing the capital needs of the State. This Act will
23 permit the issuance of a multi-purpose General Obligation
24 Bond with uniform terms and features. This will not only
25 lower the cost of registration but also reduce the overall
26 cost of issuing debt by improving the marketability of
27 Illinois General Obligation Bonds.
28 Bonds shall be issued for the categories and specific
29 purposes expressed in Sections 2 through 8 and Section 16 of
30 this Act.
31 (Source: P.A. 90-1, eff. 2-20-97; 90-8, eff. 12-8-97; 90-549,
32 eff. 12-8-97; 90-586, eff. 6-4-98.)
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1 (30 ILCS 330/3) (from Ch. 127, par. 653)
2 Sec. 3. Capital Facilities. The amount of $4,335,266,392
3 is authorized to be used for the acquisition, development,
4 construction, reconstruction, improvement, financing,
5 architectural planning and installation of capital facilities
6 within the State, consisting of buildings, structures,
7 durable equipment, land, and interests in land for the
8 following specific purposes:
9 (a) $1,189,517,246 for educational purposes by State
10 universities and colleges, the Illinois Community College
11 Board created by the Public Community College Act and for
12 grants to public community colleges as authorized by Sections
13 5-11 and 5-12 of the Public Community College Act;
14 (b) $1,126,370,168 for correctional purposes at State
15 prison and correctional centers;
16 (c) $379,711,786 for open spaces, recreational and
17 conservation purposes and the protection of land;
18 (d) $482,280,486 for child care facilities, mental and
19 public health facilities, and facilities for the care of
20 disabled veterans and their spouses;
21 (e) 895,189,341 for use by the State, its departments,
22 authorities, public corporations, commissions and agencies;
23 (f) $818,100 for cargo handling facilities at port
24 districts and for breakwaters, including harbor entrances, at
25 port districts in conjunction with facilities for small boats
26 and pleasure crafts;
27 (g) $147,267,796 for water resource management projects;
28 (h) $16,940,269 for the provision of facilities for food
29 production research and related instructional and public
30 service activities at the State universities and public
31 community colleges;
32 (i) $34,000,000 for grants by the Secretary of State, as
33 State Librarian, for central library facilities authorized by
34 Section 8 of the Illinois Library System Act and for grants
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1 by the Capital Development Board to units of local government
2 for public library facilities;
3 (j) $25,000,000 for the acquisition, development,
4 construction, reconstruction, improvement, financing,
5 architectural planning and installation of capital facilities
6 consisting of buildings, structures, durable equipment and
7 land for grants to counties, municipalities or public
8 building commissions with correctional facilities that do not
9 comply with the minimum standards of the Department of
10 Corrections under Section 3-15-2 of the Unified Code of
11 Corrections;
12 (k) $5,000,000 for grants in fiscal year 1988 by the
13 Department of Conservation for improvement or expansion of
14 aquarium facilities located on property owned by a park
15 district; and
16 (l) $33,171,200 to State agencies for grants to local
17 governments for the acquisition, financing, architectural
18 planning, development, alteration, installation, and
19 construction of capital facilities consisting of buildings,
20 structures, durable equipment, and land.
21 The amounts authorized above for capital facilities may
22 be used for the acquisition, installation, alteration,
23 construction, or reconstruction of capital facilities and for
24 the purchase of equipment for the purpose of major capital
25 improvements which will reduce energy consumption in State
26 buildings or facilities.
27 (Source: P.A. 90-1, eff. 2-20-97; 90-8, eff. 12-8-97; 90-549,
28 eff. 12-8-97; 90-586, eff. 6-4-98.)
29 (30 ILCS 330/16) (from Ch. 127, par. 666)
30 Sec. 16. Refunding Bonds. The amount of $2,339,025,000
31 is authorized for the purpose of refunding any State of
32 Illinois general obligation Bonds then outstanding, including
33 the payment of any redemption premium thereon, any reasonable
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1 expenses of such refunding, any interest accrued or to accrue
2 to the earliest or any subsequent date of redemption or
3 maturity of such outstanding Bonds and any interest to accrue
4 to the first interest payment on the refunding Bonds;
5 provided that such refunding Bonds shall mature no later than
6 the final maturity date of Bonds being refunded.
7 Refunding Bonds may be sold in such amounts and at such
8 times, as directed by the Governor, upon recommendation by
9 the Director of the Bureau of the Budget. The Governor shall
10 notify the State Treasurer and Comptroller of such refunding.
11 The proceeds received from the sale of refunding Bonds shall
12 be used for the retirement at maturity or redemption of such
13 outstanding Bonds on any maturity or redemption date and,
14 pending such use, shall be placed in escrow. Proceeds not
15 needed for deposit in an escrow account shall be deposited in
16 the General Obligation Bond Retirement and Interest Fund.
17 This Act shall constitute an irrevocable and continuing
18 appropriation of all amounts necessary to establish an escrow
19 account for the purpose of refunding outstanding general
20 obligation Bonds and to pay the reasonable expenses of such
21 refunding. Any such escrowed proceeds may be invested and
22 reinvested in direct obligations of the United States of
23 America, maturing at such time or times as shall be
24 appropriate to assure the prompt payment of the principal of
25 and interest and redemption premium, if any, on the refunded
26 Bonds. After the terms of the escrow have been fully
27 satisfied, any remaining balance of such proceeds and
28 interest, income and profits earned or realized on the
29 investments thereof shall be paid into the general revenue
30 fund. The liability of the State upon the Bonds shall
31 continue, provided that the holders thereof shall thereafter
32 be entitled to payment only out of the moneys deposited in
33 the escrow account.
34 Except as otherwise herein provided in this Section, such
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1 refunding Bonds shall in all other respects be subject to the
2 terms and conditions of this Act.
3 (Source: P.A. 87-836; 87-873; 88-93; 88-552.)
4 (30 ILCS 330/20) (from Ch. 127, par. 669a)
5 Sec. 20. A separate fund in the State treasury called
6 the "General Obligation Bond Rebate Fund" is hereby created.
7 The State Treasurer is hereby authorized to create such
8 separate accounts within the General Obligation Bond Rebate
9 Fund from time to time in connection with the issuance of
10 Bonds pursuant to this Act and to transfer moneys to the
11 General Obligation Bond Rebate Fund from the Funds described
12 in subsection (a) of Section 19 of this Act at such times and
13 in such amounts as shall be deemed necessary to preserve the
14 exclusion of the interest earned by the owners of Bonds
15 issued under this Act from the federal gross income of such
16 owners. This Act shall constitute an irrevocable and
17 continuing appropriation of all amounts necessary for the
18 purpose described in this Section.
19 (Source: P.A. 85-1135.)
20 Section 10. The State Finance Act is amended by
21 re-enacting Section 5.242 as follows:
22 (30 ILCS 105/5.242) (from Ch. 127, par. 141.242)
23 Sec. 5.242. The General Obligation Bond Rebate Fund.
24 (Source: P.A. 85-1135.)
25 Section 15. The Build Illinois Bond Act is amended by
26 re-enacting Sections 2, 4, 11, and 13 as follows:
27 (30 ILCS 425/2) (from Ch. 127, par. 2802)
28 Sec. 2. Authorization for Bonds. The State of Illinois
29 is authorized to issue, sell and provide for the retirement
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1 of limited obligation bonds, notes and other evidences of
2 indebtedness of the State of Illinois in the total principal
3 amount of $2,036,500,000 herein called "Bonds". Such
4 authorized amount of Bonds shall be reduced from time to time
5 by amounts, if any, which are equal to the moneys received by
6 the Department of Revenue in any fiscal year pursuant to
7 Section 3-1001 of the "Illinois Vehicle Code", as amended, in
8 excess of the Annual Specified Amount (as defined in Section
9 3 of the "Retailers' Occupation Tax Act", as amended) and
10 transferred at the end of such fiscal year from the General
11 Revenue Fund to the Build Illinois Purposes Fund as provided
12 in Section 3-1001 of said Code; provided, however, that no
13 such reduction shall affect the validity or enforceability of
14 any Bonds issued prior to such reduction. Such amount of
15 authorized Bonds shall be exclusive of any refunding Bonds
16 issued pursuant to Section 15 of this Act and exclusive of
17 any Bonds issued pursuant to this Section which are redeemed,
18 purchased, advance refunded, or defeased in accordance with
19 paragraph (f) of Section 4 of this Act. Bonds shall be
20 issued for the categories and specific purposes expressed in
21 Section 4 of this Act.
22 (Source: P.A. 86-44; 86-78; 86-1473.)
23 (30 ILCS 425/4) (from Ch. 127, par. 2804)
24 Sec. 4. Purposes of Bonds. Bonds shall be issued for the
25 following purposes and in the approximate amounts as set
26 forth below:
27 (a) $1,470,419,000 for the expenses of issuance and sale
28 of Bonds, including bond discounts, and for planning,
29 engineering, acquisition, construction, reconstruction,
30 development, improvement and extension of the public
31 infrastructure in the State of Illinois, including: the
32 making of loans or grants to local governments for waste
33 disposal systems, water and sewer line extensions and water
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1 distribution and purification facilities, rail or air or
2 water port improvements, gas and electric utility extensions,
3 publicly owned industrial and commercial sites, buildings
4 used for public administration purposes and other public
5 infrastructure capital improvements; the making of loans or
6 grants to units of local government for financing and
7 construction of wastewater facilities; refinancing or
8 retiring bonds issued between January 1, 1987 and January 1,
9 1990 by home rule municipalities, debt service on which is
10 provided from a tax imposed by home rule municipalities prior
11 to January 1, 1990 on the sale of food and drugs pursuant to
12 Section 8-11-1 of the Home Rule Municipal Retailers'
13 Occupation Tax Act or Section 8-11-5 of the Home Rule
14 Municipal Service Occupation Tax Act; the making of deposits
15 not to exceed $70,000,000 in the aggregate into the Water
16 Pollution Control Revolving Fund to provide assistance in
17 accordance with the provisions of Title IV-A of the
18 Environmental Protection Act; the planning, engineering,
19 acquisition, construction, reconstruction, alteration,
20 expansion, extension and improvement of highways, bridges,
21 structures separating highways and railroads, rest areas,
22 interchanges, access roads to and from any State or local
23 highway and other transportation improvement projects which
24 are related to economic development activities; the making of
25 loans or grants for planning, engineering, rehabilitation,
26 improvement or construction of rail and transit facilities;
27 the planning, engineering, acquisition, construction,
28 reconstruction and improvement of watershed, drainage, flood
29 control, recreation and related improvements and facilities,
30 including expenses related to land and easement acquisition,
31 relocation, control structures, channel work and clearing and
32 appurtenant work; the making of grants for improvement and
33 development of zoos and park district field houses and
34 related structures; and the making of grants for improvement
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1 and development of Navy Pier and related structures.
2 (b) $46,301,500 for fostering economic development and
3 increased employment and the well being of the citizens of
4 Illinois, including: the making of grants for improvement and
5 development of McCormick Place and related structures; the
6 planning and construction of a microelectronics research
7 center, including the planning, engineering, construction,
8 improvement, renovation and acquisition of buildings,
9 equipment and related utility support systems; the making of
10 loans to businesses and investments in small businesses;
11 acquiring real properties for industrial or commercial site
12 development; acquiring, rehabilitating and reconveying
13 industrial and commercial properties for the purpose of
14 expanding employment and encouraging private and other public
15 sector investment in the economy of Illinois; the payment of
16 expenses associated with siting the Superconducting Super
17 Collider Particle Accelerator in Illinois and with its
18 acquisition, construction, maintenance, operation, promotion
19 and support; the making of loans for the planning,
20 engineering, acquisition, construction, improvement and
21 conversion of facilities and equipment which will foster the
22 use of Illinois coal; the payment of expenses associated with
23 the promotion, establishment, acquisition and operation of
24 small business incubator facilities and agribusiness research
25 facilities, including the lease, purchase, renovation,
26 planning, engineering, construction and maintenance of
27 buildings, utility support systems and equipment designated
28 for such purposes and the establishment and maintenance of
29 centralized support services within such facilities; and the
30 making of grants or loans to units of local government for
31 Urban Development Action Grant and Housing Partnership
32 programs.
33 (c) $461,128,600 for the development and improvement of
34 educational, scientific, technical and vocational programs
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1 and facilities and the expansion of health and human services
2 for all citizens of Illinois, including: the making of
3 construction and improvement grants and loans to public
4 libraries and library systems; the making of grants and loans
5 for planning, engineering, acquisition and construction of a
6 new State central library in Springfield; the planning,
7 engineering, acquisition and construction of an animal and
8 dairy sciences facility; the planning, engineering,
9 acquisition and construction of a campus and all related
10 buildings, facilities, equipment and materials for Richland
11 Community College; the acquisition, rehabilitation and
12 installation of equipment and materials for scientific and
13 historical surveys; the making of grants or loans for
14 distribution to eligible vocational education instructional
15 programs for the upgrading of vocational education programs,
16 school shops and laboratories, including the acquisition,
17 rehabilitation and installation of technical equipment and
18 materials; the making of grants or loans for distribution to
19 eligible local educational agencies for the upgrading of math
20 and science instructional programs, including the acquisition
21 of instructional equipment and materials; miscellaneous
22 capital improvements for universities and community colleges
23 including the planning, engineering, construction,
24 reconstruction, remodeling, improvement, repair and
25 installation of capital facilities and costs of planning,
26 supplies, equipment, materials, services, and all other
27 required expenses; the making of grants or loans for repair,
28 renovation and miscellaneous capital improvements for
29 privately operated colleges and universities and community
30 colleges, including the planning, engineering, acquisition,
31 construction, reconstruction, remodeling, improvement, repair
32 and installation of capital facilities and costs of planning,
33 supplies, equipment, materials, services, and all other
34 required expenses; and the making of grants or loans for
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1 distribution to local governments for hospital and other
2 health care facilities including the planning, engineering,
3 acquisition, construction, reconstruction, remodeling,
4 improvement, repair and installation of capital facilities
5 and costs of planning, supplies, equipment, materials,
6 services and all other required expenses.
7 (d) $58,650,900 for protection, preservation,
8 restoration and conservation of environmental and natural
9 resources, including: the making of grants to soil and water
10 conservation districts for the planning and implementation of
11 conservation practices and for funding contracts with the
12 Soil Conservation Service for watershed planning; the making
13 of grants to units of local government for the capital
14 development and improvement of recreation areas, including
15 planning and engineering costs, sewer projects, including
16 planning and engineering costs and water projects, including
17 planning and engineering costs, and for the acquisition of
18 open space lands, including the acquisition of easements and
19 other property interests of less than fee simple ownership;
20 the acquisition and related costs and development and
21 management of natural heritage lands, including natural areas
22 and areas providing habitat for endangered species and
23 nongame wildlife, and buffer area lands; the acquisition and
24 related costs and development and management of habitat
25 lands, including forest, wildlife habitat and wetlands; and
26 the removal and disposition of hazardous substances,
27 including the cost of project management, equipment,
28 laboratory analysis, and contractual services necessary for
29 preventative and corrective actions related to the
30 preservation, restoration and conservation of the
31 environment.
32 (e) The amount specified in paragraph (a) above shall
33 include an amount necessary to pay reasonable expenses of
34 each issuance and sale of the Bonds, as specified in the
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1 related Bond Sale Order (hereinafter defined).
2 (f) Any unexpended proceeds from any sale of Bonds which
3 are held in the Build Illinois Bond Fund may be used to
4 redeem, purchase, advance refund, or defease any Bonds
5 outstanding.
6 (Source: P.A. 86-44; 86-78; 86-1028; 86-1473; 87-873.)
7 (30 ILCS 425/11) (from Ch. 127, par. 2811)
8 Sec. 11. Repayment. (a) To provide for the repayment of
9 Bonds and required deposits into reserve funds required to be
10 maintained as security for the Bonds, the Governor shall
11 include an appropriation in each annual State Budget of
12 moneys in the following amounts for the following fiscal
13 years 1986 through 1993:
14 Fiscal Year Amount Appropriated
15 1986 $15,000,000
16 1987 $25,000,000
17 1988 $40,000,000
18 1989 $54,000,000
19 1990 $ 85,400,000
20 1991 $133,600,000
21 1992 $164,400,000
22 1993 $188,900,000
23 To provide for the repayment of Bonds in fiscal years
24 1994 and thereafter, the Governor shall include an
25 appropriation in each annual State Budget of moneys in such
26 amount as shall be necessary and sufficient, for the period
27 covered by such Budget, to pay the interest, as it shall
28 accrue, on all Bonds issued under this Act, to pay and
29 discharge the principal of such Bonds, including any sinking
30 fund redemptions, as shall fall due during such period, to
31 pay the premium, if any, on Bonds to be redeemed prior to
32 maturity and to make required deposits to any reserve funds
33 required to be maintained as security for Bonds or for the
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1 purpose of retiring or defeasing Bonds, including any
2 replenishments in the event of deficiencies in any reserve
3 funds; provided, however, that amounts included in such
4 appropriations for payment of interest on Variable Rate Bonds
5 shall be the maximum amounts of interest which may be payable
6 for the period covered by such Budget after taking into
7 account any credits permitted in the related indenture
8 against the amount of such interest required to be
9 appropriated for such period; and, further provided that such
10 appropriated amount shall not be less than the Annual
11 Specified Amount (as defined in Section 3 of the "Retailers'
12 Occupation Tax Act", as amended) for any such fiscal year.
13 (b) A separate fund in the State Treasury called the
14 "Build Illinois Bond Retirement and Interest Fund" is hereby
15 created.
16 (c) The General Assembly shall annually make
17 appropriations to pay the principal of and interest and
18 premium, if any, on the Bonds sold under this Act and to make
19 required deposits into reserve funds required to be
20 maintained as security for the Bonds from the Build Illinois
21 Bond Retirement and Interest Fund in the following amounts
22 for the following fiscal years 1986 through 1993:
23 Fiscal Year Amount Appropriated
24 1986 $15,000,000
25 1987 $25,000,000
26 1988 $40,000,000
27 1989 $54,000,000
28 1990 $ 85,400,000
29 1991 $133,600,000
30 1992 $164,400,000
31 1993 $188,900,000
32 To provide for the repayment of the Bonds and required
33 reserve fund deposits in fiscal years 1994 and thereafter the
34 General Assembly shall annually make appropriations from the
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1 Build Illinois Bond Retirement and Interest Fund in such
2 amounts as shall be necessary and sufficient to pay the
3 principal of, premium, if any, and interest on the Bonds
4 coming due in each such fiscal year, including any sinking
5 fund redemptions, and to make required deposits to reserve
6 funds for the purpose of securing Bonds or retiring or
7 defeasing Bonds, including replenishment of any deficiencies
8 therein; provided, however, that amounts included in such
9 appropriations for payment of interest on Variable Rate Bonds
10 shall be the maximum amounts of interest which may be payable
11 during such fiscal year after taking into account any credits
12 permitted in the related indenture against the amount of such
13 interest required to be appropriated for such period; and,
14 further provided, that such appropriated amount shall not be
15 less than the Annual Specified Amount for any such fiscal
16 year. If for any reason the State Treasurer and Comptroller
17 fail to (i) credit amounts to the Build Illinois Bond Account
18 (the "Build Illinois Bond Account") in the Build Illinois
19 Fund in the State Treasury created under Section 6z-9 of "An
20 Act in relation to State finance", approved June 10, 1919, as
21 amended, (the "Finance Act") as required by Sections 6z-9 and
22 8.25 of the Finance Act or (ii) make transfers to the Build
23 Illinois Bond Retirement and Interest Fund from the Build
24 Illinois Bond Account as required by Section 8.25 of the
25 Finance Act or (iii) make payments from the Build Illinois
26 Bond Retirement and Interest Fund to the trustee under the
27 Master Indenture as required by Section 13 of this Act, or if
28 for any reason the General Assembly fails to make
29 appropriations from the Build Illinois Bond Retirement and
30 Interest Fund sufficient to pay the principal of and interest
31 and premium, if any, on the Bonds, as the same by their terms
32 shall become due, and to make required deposits into reserve
33 funds required to be maintained as security for the Bonds or
34 to retire or defease Bonds, including replenishment of any
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1 deficiencies, this Act shall constitute an irrevocable and
2 continuing appropriation of all amounts necessary for all of
3 the above purposes, and the irrevocable and continuing
4 authority for and direction to the State Treasurer and the
5 Comptroller to make the necessary transfers and deposits, as
6 directed by the Governor, from the sources specified in
7 Sections 6z-9 and 8.25 of the Finance Act to the Build
8 Illinois Bond Account and from the Build Illinois Bond
9 Account to the Build Illinois Bond Retirement and Interest
10 Fund and to make the necessary payments from the Build
11 Illinois Bond Retirement and Interest Fund to the trustee
12 under the Master Indenture.
13 (Source: P.A. 86-17; 86-44.)
14 (30 ILCS 425/13) (from Ch. 127, par. 2813)
15 Sec. 13. Computation of Principal and Interest; Transfer
16 from Build Illinois Bond Account; Payment from Build Illinois
17 Bond Retirement and Interest Fund. Upon each delivery of
18 Bonds authorized to be issued under this Act, the trustee
19 under the Master Indenture shall compute and certify to the
20 Director of the Bureau of the Budget, the Comptroller and the
21 Treasurer (a) the total amount of the principal of and the
22 interest and the premium, if any, on the Bonds then being
23 issued and on Bonds previously issued and outstanding that
24 will be payable in order to retire such Bonds at their stated
25 maturities or mandatory sinking fund payment dates and (b)
26 the amount of principal of and interest and premium, if any,
27 on such Bonds that will be payable on each principal,
28 interest and mandatory sinking fund payment date according to
29 the tenor of such Bonds during the then current and each
30 succeeding fiscal year. Such certifications shall include
31 with respect to interest payable on Variable Rate Bonds the
32 maximum amount of interest which may be payable for the
33 relevant period after taking into account any credits
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1 permitted in the related indenture against the amount of such
2 interest required to be appropriated for such period pursuant
3 to subsection (c) of Section 11 of this Act.
4 On or before June 20, 1993 and on or before each June 20
5 thereafter so long as Bonds remain outstanding, the trustee
6 under the Master Indenture shall deliver to the Director of
7 the Bureau of the Budget, the Comptroller and the Treasurer a
8 certificate setting forth the "Certified Annual Debt Service
9 Requirement" (hereinafter defined) for the next succeeding
10 fiscal year. If Bonds are issued subsequent to the delivery
11 of any such certificate, upon the issuance of such Bonds the
12 trustee under the Master Indenture shall deliver a
13 supplemental certificate setting forth the revisions, if any,
14 in the Certified Annual Debt Service Requirement resulting
15 from the issuance of such Bonds. The "Certified Annual Debt
16 Service Requirement" for any fiscal year shall be an amount
17 equal to (a) the aggregate amount of principal, interest and
18 premium, if any, payable on outstanding Bonds during such
19 fiscal year plus (b) the amount required to be deposited into
20 any reserve fund securing such Bonds or for the purpose of
21 retiring or defeasing such Bonds plus (c) the amount of any
22 deficiencies in required transfers of amounts described in
23 clauses (a) and (b) for any prior fiscal year, minus (d) the
24 amount, if any, of such interest to be paid from Bond
25 proceeds on deposit under any indenture; provided, however,
26 that interest payable on Variable Rate Bonds shall be
27 calculated at the maximum rate of interest which may be
28 payable during such fiscal year after taking into account any
29 credits permitted in the related indenture against the amount
30 of such interest required to be appropriated for such period
31 pursuant to subsection (c) of Section 11 of this Act.
32 In each month during fiscal years 1986 through 1993, the
33 State Treasurer and Comptroller shall transfer, on the last
34 day of such month, from the Build Illinois Bond Account to
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1 the Build Illinois Bond Retirement and Interest Fund and
2 shall make payment from the Build Illinois Bond Retirement
3 and Interest Fund to the trustee under the Master Indenture
4 of an amount equal to 1/12 of 150% of the amount set forth
5 below for each such fiscal year, plus any cumulative
6 deficiency in such transfers and payments for prior months;
7 provided that such transfers shall commence in October, 1985
8 and such amounts for fiscal year 1986 shall equal 1/9 of 150%
9 of the amount set forth below for such fiscal year:
10 Fiscal Year Amount
11 1986 $15,000,000
12 1987 $25,000,000
13 1988 $40,000,000
14 1989 $54,000,000
15 1990 $85,400,000
16 1991 $133,600,000
17 1992 $164,400,000
18 1993 $188,900,000
19 provided that payments of such amounts from the Build
20 Illinois Bond Retirement and Interest Fund to the trustee
21 under the Master Indenture shall commence on the last day of
22 the month in which Bonds are initially issued under this Act;
23 and, further provided, that the first such payment to said
24 trustee shall equal the entire amount then on deposit in the
25 Build Illinois Bond Retirement and Interest Fund; and,
26 further provided, that the aggregate amount of transfers and
27 payments for any such fiscal year shall not exceed the amount
28 set forth above for such fiscal year.
29 In each month in which Bonds are outstanding during
30 fiscal year 1994 and each fiscal year thereafter, the State
31 Treasurer and Comptroller shall transfer, on the last day of
32 such month, from the Build Illinois Bond Account to the Build
33 Illinois Bond Retirement and Interest Fund and shall make
34 payment from the Build Illinois Bond Retirement and Interest
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1 Fund to the trustee under the Master Indenture of an amount
2 equal to the greater of (a) 1/12th of 150% of the Certified
3 Annual Debt Service Requirement or (b) the Tax Act Amount (as
4 defined in Section 3 of the "Retailers' Occupation Tax Act",
5 as amended) deposited in the Build Illinois Bond Account
6 during such month, plus any cumulative deficiency in such
7 transfers and payments for prior months; provided that such
8 transfers and payments for any such fiscal year shall not
9 exceed the greater of (a) the Certified Annual Debt Service
10 Requirement or (b) the Tax Act Amount.
11 (Source: P.A. 86-17; 86-44; 86-1028.)
12 Section 20. The Baccalaureate Savings Act is amended by
13 re-enacting Section 4 as follows:
14 (110 ILCS 920/4) (from Ch. 144, par. 2404)
15 Sec. 4. Issuance and Sale of College Savings Bonds. In
16 order to provide investors with investment alternatives to
17 enhance their financial access to Institutions of Higher
18 Education located in the State of Illinois, and in
19 furtherance of the public policy of this Act, bonds
20 authorized by the provisions of the General Obligation Bond
21 Act, in a total aggregate original principal amount not to
22 exceed $2,200,000,000 may be issued and sold from time to
23 time, and as often as practicable, as College Savings Bonds
24 in such amounts as directed by the Governor, upon
25 recommendation by the Director of the Bureau of the Budget.
26 Bonds to be issued and sold as College Savings Bonds shall be
27 designated by the Governor and the Director of the Bureau of
28 the Budget as "General Obligation College Savings Bonds" in
29 the proceedings authorizing the issuance of such Bonds, and
30 shall be subject to all of the terms and provisions of the
31 General Obligation Bond Act, except that College Savings
32 Bonds may bear interest payable at such time or times and may
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1 be sold at such prices and in such manner as may be
2 determined by the Governor and the Director of the Bureau of
3 the Budget and except as otherwise provided in this Act. If
4 College Savings Bonds are sold at public sale, the public
5 sale procedures shall be as set forth in Section 11 of the
6 General Obligation Bond Act. College Savings Bonds may be
7 sold at negotiated sale if the Director of the Bureau of the
8 Budget determines that a negotiated sale will result in
9 either a more efficient and economic sale of such Bonds or
10 greater access to such Bonds by investors who are residents
11 of the State of Illinois. If any College Savings Bonds are
12 sold at a negotiated sale, the underwriter or underwriters to
13 which such Bonds are sold shall (a) be organized,
14 incorporated or have their principal place of business in the
15 State of Illinois, or (b) in the judgment of the Director of
16 the Bureau of the Budget, have sufficient capability to make
17 a broad distribution of such Bonds to investors resident in
18 the State of Illinois. In determining the aggregate
19 principal amount of College Savings Bonds that has been
20 issued pursuant to this Act, the aggregate original principal
21 amount of such Bonds issued and sold shall be taken into
22 account. Any bond issued under this Act shall be payable in
23 one payment on a fixed date, unless the Governor and the
24 Director of the Bureau of the Budget determine otherwise.
25 (Source: P.A. 90-1, eff. 2-20-97.)
26 Section 99. Effective date. This Act takes effect upon
27 becoming law.