State of Illinois
Public Acts
92nd General Assembly

[ Home ]  [ ILCS ] [ Search ] [ Bottom ]
 [ Other General Assemblies ]

Public Act 92-0596

HB2828 Enrolled                                LRB9206235REmg

    AN ACT concerning State finance.

    Be it enacted by the People of  the  State  of  Illinois,
represented in the General Assembly:

    Section  5.  The State Finance Act is amended by changing
Section 6z-43 as follows:

    (30 ILCS 105/6z-43)
    Sec. 6z-43. Tobacco Settlement Recovery Fund.
    (a)  There is created in the  State  Treasury  a  special
fund  to  be  known  as the Tobacco Settlement Recovery Fund,
into which shall be deposited all monies paid  to  the  State
pursuant  to  (1)  the Master Settlement Agreement entered in
the case of People of the State of Illinois v. Philip Morris,
et al. (Circuit Court of Cook County, No. 96-L13146) and  (2)
any  settlement  with or judgment against any tobacco product
manufacturer other  than  one  participating  in  the  Master
Settlement Agreement in satisfaction of any released claim as
defined  in  the  Master Settlement Agreement, as well as any
other monies as  provided  by  law.   All  earnings  on  Fund
investments  shall  be  deposited  into  the  Fund.  Upon the
creation of the Fund, the State Comptroller shall  order  the
State  Treasurer to transfer into the Fund any monies paid to
the State as described in item (1) or  (2)  of  this  Section
before  the  creation of the Fund plus any interest earned on
the investment of those monies.  The Treasurer may invest the
moneys in the Fund in the same manner, in the same  types  of
investments,  and subject to the same limitations provided in
the Illinois Pension Code for the investment of pension funds
other than those established under Article  3  or  4  of  the
Code.
    (b)  As  soon  as  may  be practical after June 30, 2001,
upon notification from and at the direction of the  Governor,
the  State  Comptroller  shall direct and the State Treasurer
shall  transfer  the  unencumbered  balance  in  the  Tobacco
Settlement Recovery Fund as of June 30, 2001,  as  determined
by  the  Governor,  into  the Budget Stabilization Fund.  The
Treasurer may invest the moneys in the  Budget  Stabilization
Fund  in  the  same manner, in the same types of investments,
and subject to the same limitations provided in the  Illinois
Pension  Code  for the investment of pension funds other than
those established under Article 3 or 4 of the Code.
    (c)  In addition to any other deposits authorized by law,
after any delivery of any bonds as authorized by Section  7.5
of  the  General  Obligation  Bond  Act  for  deposits to the
General  Revenue  Fund  and  the  Budget  Stabilization  Fund
(referred to as "tobacco  securitization  general  obligation
bonds"),  the  Governor  shall certify, on or before June 30,
2003 and June 30  of  each  year  thereafter,  to  the  State
Comptroller and State Treasurer the total amount of principal
of,  interest  on, and premium, if any, due on those bonds in
the next fiscal year beginning with  amounts  due  in  fiscal
year  2004.  As soon as practical after the annual payment of
tobacco settlement moneys to the Tobacco Settlement  Recovery
Fund  as  described  in item (1) of subsection (a), the State
Treasurer and  State  Comptroller  shall  transfer  from  the
Tobacco  Settlement  Recovery  Fund to the General Obligation
Bond Retirement and Interest Fund the amount certified by the
Governor, plus any cumulative deficiency in  those  transfers
for prior years.
(Source:  P.A.  91-646,  eff.  11-19-99; 91-704, eff. 7-1-00;
91-797,  eff.  6-9-00;  92-11,  eff.  6-11-01;  92-16,   eff.
6-28-01.)

    Section  10.   The General Obligation Bond Act is amended
by changing Sections 2 and 12,  and  adding  Section  7.5  as
follows:
    (30 ILCS 330/2) (from Ch. 127, par. 652)
    Sec.  2.  Authorization for Bonds.  The State of Illinois
is authorized to issue, sell and provide for  the  retirement
of  General Obligation Bonds of the State of Illinois for the
categories and specific  purposes  expressed  in  Sections  2
through 8 of this Act, in the total amount of $16,015,007,500
$15,265,007,500.
    The  bonds authorized in this Section 2 and in Section 16
of this Act are herein called "Bonds".
    Of the total amount of Bonds authorized in this  Act,  up
to  $2,200,000,000 in aggregate original principal amount may
be issued and  sold  in  accordance  with  the  Baccalaureate
Savings Act in the form of General Obligation College Savings
Bonds.
    Of  the  total amount of Bonds authorized in this Act, up
to $300,000,000 in aggregate original principal amount may be
issued and sold in accordance with the Retirement Savings Act
in the form of General Obligation Retirement Savings Bonds.
    The issuance and sale of Bonds pursuant  to  the  General
Obligation  Bond Act is an economical and efficient method of
financing the capital and  general  operating  needs  of  the
State.   This Act will permit the issuance of a multi-purpose
General Obligation Bond  with  uniform  terms  and  features.
This  will  not  only lower the cost of registration but also
reduce the overall cost of  issuing  debt  by  improving  the
marketability of Illinois General Obligation Bonds.
(Source:  P.A.  91-39,  eff.  6-15-99;  91-53,  eff  6-30-99;
91-710, eff. 5-17-00; 92-13, eff. 6-22-01.)

    (30 ILCS 330/7.5 new)
    Sec.   7.5.  Tobacco  securitization  general  obligation
bonds. The amount of $750,000,000 is authorized to be  issued
only  during  fiscal  year 2003 for the making of deposits of
50% of net proceeds to the General Revenue Fund to build  the
fiscal year ending general funds cash balance and to meet the
ordinary  and contingent expenses of the State and 50% of net
proceeds to the Budget Stabilization Fund.

    (30 ILCS 330/12) (from Ch. 127, par. 662)
    Sec. 12.  Allocation of Proceeds from Sale of Bonds.
    (a)  Proceeds from  the  sale  of  Bonds,  authorized  by
Section  3  of  this  Act, shall be deposited in the separate
fund known as the Capital Development Fund.
    (b)  Proceeds from  the  sale  of  Bonds,  authorized  by
paragraph (a) of Section 4 of this Act, shall be deposited in
the  separate fund known as the Transportation Bond, Series A
Fund.
    (c)  Proceeds from  the  sale  of  Bonds,  authorized  by
paragraphs  (b)  and  (c)  of Section 4 of this Act, shall be
deposited in the separate fund known  as  the  Transportation
Bond, Series B Fund.
    (d)  Proceeds  from  the  sale  of  Bonds,  authorized by
Section 5 of this Act, shall be  deposited  in  the  separate
fund known as the School Construction Fund.
    (e)  Proceeds  from  the  sale  of  Bonds,  authorized by
Section 6 of this Act, shall be  deposited  in  the  separate
fund known as the Anti-Pollution Fund.
    (f)  Proceeds  from  the  sale  of  Bonds,  authorized by
Section 7 of this Act, shall be  deposited  in  the  separate
fund known as the Coal Development Fund.
    (f-5)  Proceeds  from  the  sale  of Bonds, authorized by
Section 7.5 of this Act, shall be deposited as set  forth  in
Section 7.5.
    (g)  Proceeds  from  the  sale  of  Bonds,  authorized by
Section 8 of this Act, shall  be  deposited  in  the  Capital
Development Fund.
    (h)  Subsequent  to  the  issuance  of  any Bonds for the
purposes described in Sections 2 through 8 of this  Act,  the
Governor  and  the  Director  of the Bureau of the Budget may
provide for the reallocation  of  unspent  proceeds  of  such
Bonds to any other purposes authorized under said Sections of
this  Act,  subject to the limitations on aggregate principal
amounts  contained therein.  Upon any such reallocation, such
unspent proceeds shall  be  transferred  to  the  appropriate
funds  as  determined  by reference to paragraphs (a) through
(g) of this Section.
(Source: P.A. 90-549,  eff.  12-8-97;  90-586,  eff.  6-4-98;
90-653, eff. 7-29-98.)

    Section  99.  Effective date.  This Act takes effect upon
becoming law.
    Passed in the General Assembly June 02, 2002.
    Approved June 28, 2002.
    Effective June 28, 2002.

[ Top ]