Public Act 90-0306 of the 90th General Assembly
Public Act 90-0306
SB180 Enrolled LRB9001612DNmb
AN ACT to amend the Local Government Debt Reform Act by
changing Sections 10 and 11.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Local Government Debt Reform Act is
amended by changing Sections 10 and 11 as follows:
(30 ILCS 350/10) (from Ch. 17, par. 6910)
Sec. 10. General provisions. Bonds authorized by
applicable law may be issued in one or more series, bear such
date or dates, become due at such time or times within 40
years, except as expressly limited by applicable law, bear
interest payable at such intervals and at such rate or rates
as authorized under applicable law, which rates may be fixed
or variable, be in such denominations, be in such form,
either coupon, registered or book-entry, carry such
conversion, registration, and exchange privileges, be subject
to defeasance upon such terms, have such rank or priority, be
executed in such manner, be payable in such medium of payment
at such place or places within or without the State of
Illinois, make provision for a corporate trustee within or
without the State with respect to such bonds, prescribe the
rights, powers and duties thereof to be exercised for the
benefit of the governmental unit and the protection of the
bondholders, provide for the holding in trust, investment and
use of moneys, funds and accounts held under an ordinance,
provide for assignment of and direct payment of the moneys to
pay such bonds or to be deposited into such funds or accounts
directly to such trustee, be subject to such terms of
redemption with or without premium, and be sold in such
manner at private or public sale and at such price, all as
the governing body shall determine. Whenever such bonds are
sold at price less than par, they shall be sold at such price
and bear interest at such rate or rates such that either the
true interest cost (yield) or the net interest rate, as may
be selected by the governing body, received upon the sale of
such bonds does not exceed the maximum rate otherwise
authorized by applicable law. Except for an ordinance
required to be published by applicable law in connection with
a backdoor referendum, any bond ordinance adopted by a
governing body under applicable law shall, in all instances,
become effective immediately without publication or posting
or any further act or requirement.
(Source: P.A. 85-1419.)
(30 ILCS 350/11) (from Ch. 17, par. 6911)
Sec. 11. Refundings and redemption premiums. Bonds may
be refunded or advance refunded upon such terms as the
governing body may set in accordance with this Act, for such
term of years, not in excess of the maximum term of years
permitted by applicable law for the bonds to be refunded, and
in such principal amount, all as may be deemed necessary by
the governing body. The ordinance adopted by a governing
body under applicable law authorizing the refunding or
advance refunding of revenue bonds shall in all instances
become effective immediately without publication or posting
or any further act or requirement. Revenue bonds may be
issued to refund general obligation bonds or alternate bonds
issued under this Act. General obligation bonds shall not be
issued to refund revenue bonds or alternate bonds except as
expressly permitted by applicable law. Any redemption
premium payable upon the redemption of bonds may be payable
from the proceeds of refunding bonds which may be issued for
the purpose of refunding such bonds, from any other lawfully
available source or from both proceeds and such other
sources.
(Source: P.A. 85-1419.)
Section 99. Effective date. This Act takes effect upon
becoming law.