Public Act 103-0007
HB3551 EnrolledLRB103 30888 HLH 57616 b HB3551 Enrolled LRB103 30888 HLH 57616 b
HB3551 Enrolled LRB103 30888 HLH 57616 b
AN ACT concerning finance.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Article 1.
Section 1-1. References to Act. This Act may be referred
to as the Bond Authorization Act of 2023.
Article 5.
Section 5-1. The State Finance Act is amended by changing
Section 6z-78 as follows:
(30 ILCS 105/6z-78)
Sec. 6z-78. Capital Projects Fund; bonded indebtedness;
transfers. Money in the Capital Projects Fund shall, if and
when the State of Illinois incurs any bonded indebtedness
using the bond authorizations for capital projects enacted in
Public Act 96-36, Public Act 96-1554, Public Act 97-771,
Public Act 98-94, and using the general obligation bond
authorizations for capital projects enacted in Public Act
101-30 and in this amendatory Act of the 103rd General
Assembly, be set aside and used for the purpose of paying and
discharging annually the principal and interest on that bonded
HB3551 Enrolled LRB103 30888 HLH 57616 b
indebtedness then due and payable.
In addition to other transfers to the General Obligation
Bond Retirement and Interest Fund made pursuant to Section 15
of the General Obligation Bond Act, upon each delivery of
general obligation bonds for capital projects using bond
authorizations enacted in Public Act 96-36, Public Act
96-1554, Public Act 97-771, Public Act 98-94, and Public Act
101-30 (except for amounts in Public Act 101-30 that increase
bond authorization under paragraph (1) of subsection (a) of
Section 4 and subsection (e) of Section 4 of the General
Obligation Bond Act), and this amendatory Act of the 103rd
General Assembly, the State Comptroller shall compute and
certify to the State Treasurer the total amount of principal
of, interest on, and premium, if any, on such bonds during the
then current and each succeeding fiscal year. With respect to
the interest payable on variable rate bonds, such
certifications shall be calculated at the maximum rate of
interest that may be payable during the fiscal year, after
taking into account any credits permitted in the related
indenture or other instrument against the amount of such
interest required to be appropriated for the period.
(a) Except as provided for in subsection (b), on or before
the last day of each month, the State Treasurer and State
Comptroller shall transfer from the Capital Projects Fund to
the General Obligation Bond Retirement and Interest Fund an
amount sufficient to pay the aggregate of the principal of,
interest on, and premium, if any, on the bonds payable on their
next payment date, divided by the number of monthly transfers
occurring between the last previous payment date (or the
delivery date if no payment date has yet occurred) and the next
succeeding payment date. Interest payable on variable rate
bonds shall be calculated at the maximum rate of interest that
may be payable for the relevant period, after taking into
account any credits permitted in the related indenture or
other instrument against the amount of such interest required
to be appropriated for that period. Interest for which moneys
have already been deposited into the capitalized interest
account within the General Obligation Bond Retirement and
Interest Fund shall not be included in the calculation of the
amounts to be transferred under this subsection.
(b) On or before the last day of each month, the State
Treasurer and State Comptroller shall transfer from the
Capital Projects Fund to the General Obligation Bond
Retirement and Interest Fund an amount sufficient to pay the
aggregate of the principal of, interest on, and premium, if
any, on the bonds issued prior to January 1, 2012 pursuant to
Section 4(d) of the General Obligation Bond Act payable on
their next payment date, divided by the number of monthly
transfers occurring between the last previous payment date (or
the delivery date if no payment date has yet occurred) and the
next succeeding payment date. If the available balance in the
Capital Projects Fund is not sufficient for the transfer
required in this subsection, the State Treasurer and State
Comptroller shall transfer the difference from the Road Fund
to the General Obligation Bond Retirement and Interest Fund;
except that such Road Fund transfers shall constitute a debt
of the Capital Projects Fund which shall be repaid according
to subsection (c). Interest payable on variable rate bonds
shall be calculated at the maximum rate of interest that may be
payable for the relevant period, after taking into account any
credits permitted in the related indenture or other instrument
against the amount of such interest required to be
appropriated for that period. Interest for which moneys have
already been deposited into the capitalized interest account
within the General Obligation Bond Retirement and Interest
Fund shall not be included in the calculation of the amounts to
be transferred under this subsection.
(c) On the first day of any month when the Capital Projects
Fund is carrying a debt to the Road Fund due to the provisions
of subsection (b), the State Treasurer and State Comptroller
shall transfer from the Capital Projects Fund to the Road Fund
an amount sufficient to discharge that debt. These transfers
to the Road Fund shall continue until the Capital Projects
Fund has repaid to the Road Fund all transfers made from the
Road Fund pursuant to subsection (b). Notwithstanding any
other law to the contrary, transfers to the Road Fund from the
Capital Projects Fund shall be made prior to any other
expenditures or transfers out of the Capital Projects Fund.
(Source: P.A. 101-30, eff. 6-28-19; 101-604, eff. 12-13-19.)
Article 10.
Section 10-1. The General Obligation Bond Act is amended
by changing Sections 2, 3, 6, 7, 7.6, 8, 9, 10, 11, and 16 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 $79,440,839,969
$79,256,839,969.
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.
Of the total amount of Bonds authorized in this Act, the
additional $10,000,000,000 authorized by Public Act 93-2, the
$3,466,000,000 authorized by Public Act 96-43, and the
$4,096,348,300 authorized by Public Act 96-1497 shall be used
solely as provided in Section 7.2.
Of the total amount of Bonds authorized in this Act, the
additional $6,000,000,000 authorized by Public Act 100-23
shall be used solely as provided in Section 7.6 and shall be
issued by December 31, 2017.
Of the total amount of Bonds authorized in this Act,
$2,000,000,000 of the additional amount authorized by Public
Act 100-587 and by Public Act 102-718 this amendatory Act of
the 102nd General Assembly shall be used solely as provided in
Section 7.7.
The issuance and sale of Bonds pursuant to the General
Obligation Bond Act is an economical and efficient method of
financing the long-term capital 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. 101-30, eff. 6-28-19; 102-718, eff. 5-5-22.)
(30 ILCS 330/3) (from Ch. 127, par. 653)
Sec. 3. Capital facilities. The amount of $18,745,011,269
$18,580,011,269 is authorized to be used for the acquisition,
development, construction, reconstruction, improvement,
demolition, financing, architectural planning and installation
of capital facilities within the State, consisting of
buildings, structures, durable equipment, land, interests in
land, and the costs associated with the purchase and
implementation of information technology, including but not
limited to the purchase of hardware and software, for the
following specific purposes:
(a) $6,333,676,500 $6,268,676,500 for educational
purposes by State universities and public community
colleges, the Illinois Community College Board created by
the Public Community College Act and for grants to public
community colleges as authorized by Sections 5-11 and 5-12
of the Public Community College Act;
(b) $1,690,506,300 for correctional purposes at State
prison and correctional centers;
(c) $688,492,300 for open spaces, recreational and
conservation purposes and the protection of land,
including expenditures and grants for the Illinois
Conservation Reserve Enhancement Program and for ecosystem
restoration and for plugging of abandoned wells;
(d) $1,078,503,900 for State child care facilities,
mental and public health facilities, and facilities for
the care of veterans with disabilities and their spouses,
and for grants to public and private community health
centers, hospitals, and other health care providers for
capital facilities;
(e) $7,568,753,300 $7,518,753,300 for use by the
State, its departments, authorities, public corporations,
commissions and agencies, including renewable energy
upgrades at State facilities;
(f) $818,100 for cargo handling facilities at port
districts and for breakwaters, including harbor entrances,
at port districts in conjunction with facilities for small
boats and pleasure crafts;
(g) $425,457,000 $375,457,000 for water resource
management projects, including flood mitigation and State
dam and waterway projects;
(h) $16,940,269 for the provision of facilities for
food production research and related instructional and
public service activities at the State universities and
public community colleges;
(i) $75,134,700 for grants by the Secretary of State,
as State Librarian, for central library facilities
authorized by Section 8 of the Illinois Library System Act
and for grants by the Capital Development Board to units
of local government for public library facilities;
(j) $25,000,000 for the acquisition, development,
construction, reconstruction, improvement, financing,
architectural planning and installation of capital
facilities consisting of buildings, structures, durable
equipment and land for grants to counties, municipalities
or public building commissions with correctional
facilities that do not comply with the minimum standards
of the Department of Corrections under Section 3-15-2 of
the Unified Code of Corrections;
(k) $5,011,600 for grants by the Department of
Conservation for improvement or expansion of aquarium
facilities located on property owned by a park district;
(l) $599,590,000 to State agencies for grants to local
governments for the acquisition, financing, architectural
planning, development, alteration, installation, and
construction of capital facilities consisting of
buildings, structures, durable equipment, and land; and
(m) $237,127,300 for the Illinois Open Land Trust
Program as defined by the Illinois Open Land Trust Act.
The amounts authorized above for capital facilities may be
used for the acquisition, installation, alteration,
construction, or reconstruction of capital facilities and for
the purchase of equipment for the purpose of major capital
improvements which will reduce energy consumption in State
buildings or facilities.
(Source: P.A. 100-587, eff. 6-4-18; 101-30, eff. 6-28-19.)
(30 ILCS 330/6) (from Ch. 127, par. 656)
Sec. 6. Anti-Pollution.
(a) The amount of $611,814,300 $581,814,300 is authorized
for allocation by the Environmental Protection Agency for
grants or loans to units of local government, including grants
to disadvantaged communities without modern sewage systems, in
such amounts, at such times and for such purpose as the Agency
deems necessary or desirable for the planning, financing, and
construction of sewage treatment works and solid waste
disposal facilities and for making of deposits into the Water
Revolving Fund and the U.S. Environmental Protection Fund to
provide assistance in accordance with the provisions of Title
IV-A of the Environmental Protection Act.
(b) The amount of $236,500,000 is authorized for
allocation by the Environmental Protection Agency for payment
of claims submitted to the State and approved for payment
under the Leaking Underground Storage Tank Program established
in Title XVI of the Environmental Protection Act.
(Source: P.A. 101-30, eff. 6-28-19.)
(30 ILCS 330/7) (from Ch. 127, par. 657)
Sec. 7. Coal and Energy Development. The amount of
$212,700,000 $242,700,000 is authorized to be used by the
Department of Commerce and Economic Opportunity (formerly
Department of Commerce and Community Affairs) for coal and
energy development purposes, pursuant to Sections 2, 3 and 3.1
of the Illinois Coal and Energy Development Bond Act, for the
purposes specified in Section 8.1 of the Energy Conservation
and Coal Development Act, for the purposes specified in
Section 605-332 of the Department of Commerce and Economic
Opportunity Law of the Civil Administrative Code of Illinois,
and for the purpose of facility cost reports prepared pursuant
to Sections 1-58 or 1-75(d)(4) of the Illinois Power Agency
Act and for the purpose of development costs pursuant to
Section 8.1 of the Energy Conservation and Coal Development
Act. Of this amount:
(a) $128,500,000 $143,500,000 is for the specific purposes
of acquisition, development, construction, reconstruction,
improvement, financing, architectural and technical planning
and installation of capital facilities consisting of
buildings, structures, durable equipment, and land for the
purpose of capital development of coal resources within the
State and for the purposes specified in Section 8.1 of the
Energy Conservation and Coal Development Act;
(b) $20,000,000 $35,000,000 is for the purposes specified
in Section 8.1 of the Energy Conservation and Coal Development
Act and making grants to generating stations and coal
gasification facilities within the State of Illinois and to
the owner of a generating station located in Illinois and
having at least three coal-fired generating units with
accredited summer capability greater than 500 megawatts each
at such generating station as provided in Section 6 of that
Bond Act;
(c) $13,200,000 is for research, development and
demonstration of forms of energy other than that derived from
coal, either on or off State property;
(d) $0 is for the purpose of providing financial
assistance to new electric generating facilities as provided
in Section 605-332 of the Department of Commerce and Economic
Opportunity Law of the Civil Administrative Code of Illinois;
and
(e) $51,000,000 is for the purpose of facility cost
reports prepared for not more than one facility pursuant to
Section 1-75(d)(4) of the Illinois Power Agency Act and not
more than one facility pursuant to Section 1-58 of the
Illinois Power Agency Act and for the purpose of up to
$6,000,000 of development costs pursuant to Section 8.1 of the
Energy Conservation and Coal Development Act.
(Source: P.A. 98-94, eff. 7-17-13; 98-781, eff. 7-22-14.)
(30 ILCS 330/7.6)
Sec. 7.6. Income Tax Proceed Bonds.
(a) As used in this Act, "Income Tax Proceed Bonds" means
Bonds (i) authorized by Public Act 100-23 this amendatory Act
of the 100th General Assembly or any other Public Act of the
100th or 101st General Assembly authorizing the issuance of
Income Tax Proceed Bonds and (ii) used for the payment of
unpaid obligations of the State as incurred from time to time
and as authorized by the General Assembly.
(b) Income Tax Proceed Bonds in the amount of
$6,000,000,000 are hereby authorized to be used for the
purpose of paying vouchers incurred by the State prior to July
1, 2017. Additional Income Tax Proceed Bonds in the amount of
$1,200,000,000 are hereby authorized to be used for the
purpose of paying vouchers incurred by the State and accruing
interest payable by the State prior to the date on which the
Income Tax Proceed Bonds are issued.
(c) The Income Tax Bond Fund is hereby created as a special
fund in the State treasury. All moneys from the proceeds of the
sale of the Income Tax Proceed Bonds, less the amounts
authorized in the Bond Sale Order to be directly paid out for
bond sale expenses under Section 8, shall be deposited into
the Income Tax Bond Fund. All moneys in the Income Tax Bond
Fund shall be used for the purpose of paying vouchers incurred
by the State prior to July 1, 2017 or for paying vouchers
incurred by the State more than 90 days prior to the date on
which the Income Tax Proceed Bonds are issued. For the purpose
of paying such vouchers, the Comptroller has the authority to
transfer moneys from the Income Tax Bond Fund to general funds
and the Health Insurance Reserve Fund. "General funds" has the
meaning provided in Section 50-40 of the State Budget Law.
(Source: P.A. 100-23, eff. 7-6-17; 101-30, eff. 6-28-19;
101-604, eff. 12-13-19.)
(30 ILCS 330/8) (from Ch. 127, par. 658)
Sec. 8. Bond sale expenses.
(a) An amount not to exceed 0.5 percent of the principal
amount of the proceeds of sale of each bond sale is authorized
to be used to pay the reasonable costs of each issuance and
sale, including, without limitation, underwriter's discounts
and fees, but excluding bond insurance, of State of Illinois
general obligation bonds authorized and sold pursuant to this
Act, including, without limitation, underwriter's discounts
and fees, but excluding bond insurance; provided that no
salaries of State employees or other State office operating
expenses shall be paid out of non-appropriated proceeds, and
provided further that the percent shall be 1.0% for each sale
of "Build America Bonds" or "Qualified School Construction
Bonds" as defined in subsections (d) and (e) of Section 9,
respectively. The Governor's Office of Management and Budget
shall compile a summary of all costs of issuance on each sale
(including both costs paid out of proceeds and those paid out
of appropriated funds) and post that summary on its web site
within 20 business days after the issuance of the Bonds. The
summary shall include, as applicable, the respective
percentages of participation and compensation of each
underwriter that is a member of the underwriting syndicate,
legal counsel, financial advisors, and other professionals for
the bond issue and an identification of all costs of issuance
paid to minority-owned businesses, women-owned businesses, and
businesses owned by persons with disabilities. The terms
"minority-owned businesses", "women-owned businesses", and
"business owned by a person with a disability" have the
meanings given to those terms in the Business Enterprise for
Minorities, Women, and Persons with Disabilities Act. The
summary That posting shall be posted maintained on the web
site for a period of at least 30 days. In addition, the
Governor's Office of Management and Budget shall provide a
written copy of each summary of costs to the Speaker and
Minority Leader of the House of Representatives, the President
and Minority Leader of the Senate, and the Commission on
Government Forecasting and Accountability within 20 business
days after each issuance of the Bonds. In addition, the
Governor's Office of Management and Budget shall provide
copies of all contracts under which any costs of issuance are
paid or to be paid to the Commission on Government Forecasting
and Accountability within 20 business days after the issuance
of Bonds for which those costs are paid or to be paid. Instead
of filing a second or subsequent copy of the same contract, the
Governor's Office of Management and Budget may file a
statement that specified costs are paid under specified
contracts filed earlier with the Commission.
(b) The Director of the Governor's Office of Management
and Budget shall not, in connection with the issuance of
Bonds, contract with any underwriter, financial advisor, or
attorney unless that underwriter, financial advisor, or
attorney certifies that the underwriter, financial advisor, or
attorney has not and will not pay a contingent fee, whether
directly or indirectly, to a third party for having promoted
the selection of the underwriter, financial advisor, or
attorney for that contract. In the event that the Governor's
Office of Management and Budget determines that an
underwriter, financial advisor, or attorney has filed a false
certification with respect to the payment of contingent fees,
the Governor's Office of Management and Budget shall not
contract with that underwriter, financial advisor, or
attorney, or with any firm employing any person who signed
false certifications, for a period of 2 calendar years,
beginning with the date the determination is made. The
validity of Bonds issued under such circumstances of violation
pursuant to this Section shall not be affected.
(Source: P.A. 100-391, eff. 8-25-17.)
(30 ILCS 330/9) (from Ch. 127, par. 659)
Sec. 9. Conditions for issuance and sale of Bonds;
requirements for Bonds.
(a) Except as otherwise provided in this subsection,
subsection (h), and subsection (i), Bonds shall be issued and
sold from time to time, in one or more series, in such amounts
and at such prices as may be directed by the Governor, upon
recommendation by the Director of the Governor's Office of
Management and Budget. Bonds shall be in such form (either
coupon, registered or book entry), in such denominations,
payable within 25 years from their date, subject to such terms
of redemption with or without premium, bear interest payable
at such times and at such fixed or variable rate or rates, and
be dated as shall be fixed and determined by the Director of
the Governor's Office of Management and Budget in the order
authorizing the issuance and sale of any series of Bonds,
which order shall be approved by the Governor and is herein
called a "Bond Sale Order"; provided however, that interest
payable at fixed or variable rates shall not exceed that
permitted in the Bond Authorization Act, as now or hereafter
amended. Bonds shall be payable at such place or places,
within or without the State of Illinois, and may be made
registrable as to either principal or as to both principal and
interest, as shall be specified in the Bond Sale Order. Bonds
may be callable or subject to purchase and retirement or
tender and remarketing as fixed and determined in the Bond
Sale Order. Bonds, other than Bonds issued under Section 3 of
this Act for the costs associated with the purchase and
implementation of information technology, (i) except for
refunding Bonds satisfying the requirements of Section 16 of
this Act must be issued with principal or mandatory redemption
amounts in equal amounts, with the first maturity issued
occurring within the fiscal year in which the Bonds are issued
or within the next succeeding fiscal year and (ii) must mature
or be subject to mandatory redemption each fiscal year
thereafter up to 25 years, except for refunding Bonds
satisfying the requirements of Section 16 of this Act and sold
during fiscal year 2009, 2010, or 2011 which must mature or be
subject to mandatory redemption each fiscal year thereafter up
to 16 years. Bonds issued under Section 3 of this Act for the
costs associated with the purchase and implementation of
information technology must be issued with principal or
mandatory redemption amounts in equal amounts, with the first
maturity issued occurring with the fiscal year in which the
respective bonds are issued or with the next succeeding fiscal
year, with the respective bonds issued maturing or subject to
mandatory redemption each fiscal year thereafter up to 10
years. Notwithstanding any provision of this Act to the
contrary, the Bonds authorized by Public Act 96-43 shall be
payable within 5 years from their date and must be issued with
principal or mandatory redemption amounts in equal amounts,
with payment of principal or mandatory redemption beginning in
the first fiscal year following the fiscal year in which the
Bonds are issued.
Notwithstanding any provision of this Act to the contrary,
the Bonds authorized by Public Act 96-1497 shall be payable
within 8 years from their date and shall be issued with payment
of maturing principal or scheduled mandatory redemptions in
accordance with the following schedule, except the following
amounts shall be prorated if less than the total additional
amount of Bonds authorized by Public Act 96-1497 are issued:
Fiscal Year After Issuance Amount
1-2 $0
3 $110,712,120
4 $332,136,360
5 $664,272,720
6-8 $996,409,080
Notwithstanding any provision of this Act to the contrary,
Income Tax Proceed Bonds issued under Section 7.6 shall be
payable 12 years from the date of sale and shall be issued with
payment of principal or mandatory redemption.
In the case of any series of Bonds bearing interest at a
variable interest rate ("Variable Rate Bonds"), in lieu of
determining the rate or rates at which such series of Variable
Rate Bonds shall bear interest and the price or prices at which
such Variable Rate Bonds shall be initially sold or remarketed
(in the event of purchase and subsequent resale), the Bond
Sale Order may provide that such interest rates and prices may
vary from time to time depending on criteria established in
such Bond Sale Order, which criteria may include, without
limitation, references to indices or variations in interest
rates as may, in the judgment of a remarketing agent, be
necessary to cause Variable Rate Bonds of such series to be
remarketable from time to time at a price equal to their
principal amount, and may provide for appointment of a bank,
trust company, investment bank, or other financial institution
to serve as remarketing agent in that connection. The Bond
Sale Order may provide that alternative interest rates or
provisions for establishing alternative interest rates,
different security or claim priorities, or different call or
amortization provisions will apply during such times as
Variable Rate Bonds of any series are held by a person
providing credit or liquidity enhancement arrangements for
such Bonds as authorized in subsection (b) of this Section.
The Bond Sale Order may also provide for such variable
interest rates to be established pursuant to a process
generally known as an auction rate process and may provide for
appointment of one or more financial institutions to serve as
auction agents and broker-dealers in connection with the
establishment of such interest rates and the sale and
remarketing of such Bonds.
(b) In connection with the issuance of any series of
Bonds, the State may enter into arrangements to provide
additional security and liquidity for such Bonds, including,
without limitation, bond or interest rate insurance or letters
of credit, lines of credit, bond purchase contracts, or other
arrangements whereby funds are made available to retire or
purchase Bonds, thereby assuring the ability of owners of the
Bonds to sell or redeem their Bonds. The State may enter into
contracts and may agree to pay fees to persons providing such
arrangements, but only under circumstances where the Director
of the Governor's Office of Management and Budget certifies
that he or she reasonably expects the total interest paid or to
be paid on the Bonds, together with the fees for the
arrangements (being treated as if interest), would not, taken
together, cause the Bonds to bear interest, calculated to
their stated maturity, at a rate in excess of the rate that the
Bonds would bear in the absence of such arrangements.
The State may, with respect to Bonds issued or anticipated
to be issued, participate in and enter into arrangements with
respect to interest rate protection or exchange agreements,
guarantees, or financial futures contracts for the purpose of
limiting, reducing, or managing interest rate exposure. The
authority granted under this paragraph, however, shall not
increase the principal amount of Bonds authorized to be issued
by law. The arrangements may be executed and delivered by the
Director of the Governor's Office of Management and Budget on
behalf of the State. Net payments for such arrangements shall
constitute interest on the Bonds and shall be paid from the
General Obligation Bond Retirement and Interest Fund. The
Director of the Governor's Office of Management and Budget
shall at least annually certify to the Governor and the State
Comptroller his or her estimate of the amounts of such net
payments to be included in the calculation of interest
required to be paid by the State.
(c) Prior to the issuance of any Variable Rate Bonds
pursuant to subsection (a), the Director of the Governor's
Office of Management and Budget shall adopt an interest rate
risk management policy providing that the amount of the
State's variable rate exposure with respect to Bonds shall not
exceed 20%. This policy shall remain in effect while any Bonds
are outstanding and the issuance of Bonds shall be subject to
the terms of such policy. The terms of this policy may be
amended from time to time by the Director of the Governor's
Office of Management and Budget but in no event shall any
amendment cause the permitted level of the State's variable
rate exposure with respect to Bonds to exceed 20%.
(d) "Build America Bonds" in this Section means Bonds
authorized by Section 54AA of the Internal Revenue Code of
1986, as amended ("Internal Revenue Code"), and bonds issued
from time to time to refund or continue to refund "Build
America Bonds".
(e) Notwithstanding any other provision of this Section,
Qualified School Construction Bonds shall be issued and sold
from time to time, in one or more series, in such amounts and
at such prices as may be directed by the Governor, upon
recommendation by the Director of the Governor's Office of
Management and Budget. Qualified School Construction Bonds
shall be in such form (either coupon, registered or book
entry), in such denominations, payable within 25 years from
their date, subject to such terms of redemption with or
without premium, and if the Qualified School Construction
Bonds are issued with a supplemental coupon, bear interest
payable at such times and at such fixed or variable rate or
rates, and be dated as shall be fixed and determined by the
Director of the Governor's Office of Management and Budget in
the order authorizing the issuance and sale of any series of
Qualified School Construction Bonds, which order shall be
approved by the Governor and is herein called a "Bond Sale
Order"; except that interest payable at fixed or variable
rates, if any, shall not exceed that permitted in the Bond
Authorization Act, as now or hereafter amended. Qualified
School Construction Bonds shall be payable at such place or
places, within or without the State of Illinois, and may be
made registrable as to either principal or as to both
principal and interest, as shall be specified in the Bond Sale
Order. Qualified School Construction Bonds may be callable or
subject to purchase and retirement or tender and remarketing
as fixed and determined in the Bond Sale Order. Qualified
School Construction Bonds must be issued with principal or
mandatory redemption amounts or sinking fund payments into the
General Obligation Bond Retirement and Interest Fund (or
subaccount therefor) in equal amounts, with the first maturity
issued, mandatory redemption payment or sinking fund payment
occurring within the fiscal year in which the Qualified School
Construction Bonds are issued or within the next succeeding
fiscal year, with Qualified School Construction Bonds issued
maturing or subject to mandatory redemption or with sinking
fund payments thereof deposited each fiscal year thereafter up
to 25 years. Sinking fund payments set forth in this
subsection shall be permitted only to the extent authorized in
Section 54F of the Internal Revenue Code or as otherwise
determined by the Director of the Governor's Office of
Management and Budget. "Qualified School Construction Bonds"
in this subsection means Bonds authorized by Section 54F of
the Internal Revenue Code and for bonds issued from time to
time to refund or continue to refund such "Qualified School
Construction Bonds".
(f) Beginning with the next issuance by the Governor's
Office of Management and Budget to the Procurement Policy
Board of a request for qualifications quotation for the
purpose of formulating a new pool of qualified underwriters
underwriting banks list, all entities responding to such a
request for qualifications quotation for inclusion on that
list shall provide a written report to the Governor's Office
of Management and Budget and the Illinois Comptroller. The
written report submitted to the Comptroller shall (i) be
published on the Comptroller's Internet website and (ii) be
used by the Governor's Office of Management and Budget for the
purposes of scoring such a request for qualifications
quotation. The written report, at a minimum, shall:
(1) disclose whether, within the past 3 months,
pursuant to its credit default swap market-making
activities, the firm has entered into any State of
Illinois credit default swaps ("CDS");
(2) include, in the event of State of Illinois CDS
activity, disclosure of the firm's cumulative notional
volume of State of Illinois CDS trades and the firm's
outstanding gross and net notional amount of State of
Illinois CDS, as of the end of the current 3-month period;
(3) indicate, pursuant to the firm's proprietary
trading activities, disclosure of whether the firm, within
the past 3 months, has entered into any proprietary trades
for its own account in State of Illinois CDS;
(4) include, in the event of State of Illinois
proprietary trades, disclosure of the firm's outstanding
gross and net notional amount of proprietary State of
Illinois CDS and whether the net position is short or long
credit protection, as of the end of the current 3-month
period;
(5) list all time periods during the past 3 months
during which the firm held net long or net short State of
Illinois CDS proprietary credit protection positions, the
amount of such positions, and whether those positions were
net long or net short credit protection positions; and
(6) indicate whether, within the previous 3 months,
the firm released any publicly available research or
marketing reports that reference State of Illinois CDS and
include those research or marketing reports as
attachments.
(g) All entities included on a Governor's Office of
Management and Budget's pool of qualified underwriters
underwriting banks list shall, as soon as possible after March
18, 2011 (the effective date of Public Act 96-1554), but not
later than January 21, 2011, and on a quarterly fiscal basis
thereafter, provide a written report to the Governor's Office
of Management and Budget and the Illinois Comptroller. The
written reports submitted to the Comptroller shall be
published on the Comptroller's Internet website. The written
reports, at a minimum, shall:
(1) disclose whether, within the past 3 months,
pursuant to its credit default swap market-making
activities, the firm has entered into any State of
Illinois credit default swaps ("CDS");
(2) include, in the event of State of Illinois CDS
activity, disclosure of the firm's cumulative notional
volume of State of Illinois CDS trades and the firm's
outstanding gross and net notional amount of State of
Illinois CDS, as of the end of the current 3-month period;
(3) indicate, pursuant to the firm's proprietary
trading activities, disclosure of whether the firm, within
the past 3 months, has entered into any proprietary trades
for its own account in State of Illinois CDS;
(4) include, in the event of State of Illinois
proprietary trades, disclosure of the firm's outstanding
gross and net notional amount of proprietary State of
Illinois CDS and whether the net position is short or long
credit protection, as of the end of the current 3-month
period;
(5) list all time periods during the past 3 months
during which the firm held net long or net short State of
Illinois CDS proprietary credit protection positions, the
amount of such positions, and whether those positions were
net long or net short credit protection positions; and
(6) indicate whether, within the previous 3 months,
the firm released any publicly available research or
marketing reports that reference State of Illinois CDS and
include those research or marketing reports as
attachments.
(h) Notwithstanding any other provision of this Section,
for purposes of maximizing market efficiencies and cost
savings, Income Tax Proceed Bonds may be issued and sold from
time to time, in one or more series, in such amounts and at
such prices as may be directed by the Governor, upon
recommendation by the Director of the Governor's Office of
Management and Budget. Income Tax Proceed Bonds shall be in
such form, either coupon, registered, or book entry, in such
denominations, shall bear interest payable at such times and
at such fixed or variable rate or rates, and be dated as shall
be fixed and determined by the Director of the Governor's
Office of Management and Budget in the order authorizing the
issuance and sale of any series of Income Tax Proceed Bonds,
which order shall be approved by the Governor and is herein
called a "Bond Sale Order"; provided, however, that interest
payable at fixed or variable rates shall not exceed that
permitted in the Bond Authorization Act. Income Tax Proceed
Bonds shall be payable at such place or places, within or
without the State of Illinois, and may be made registrable as
to either principal or as to both principal and interest, as
shall be specified in the Bond Sale Order. Income Tax Proceed
Bonds may be callable or subject to purchase and retirement or
tender and remarketing as fixed and determined in the Bond
Sale Order.
(i) Notwithstanding any other provision of this Section,
for purposes of maximizing market efficiencies and cost
savings, State Pension Obligation Acceleration Bonds may be
issued and sold from time to time, in one or more series, in
such amounts and at such prices as may be directed by the
Governor, upon recommendation by the Director of the
Governor's Office of Management and Budget. State Pension
Obligation Acceleration Bonds shall be in such form, either
coupon, registered, or book entry, in such denominations,
shall bear interest payable at such times and at such fixed or
variable rate or rates, and be dated as shall be fixed and
determined by the Director of the Governor's Office of
Management and Budget in the order authorizing the issuance
and sale of any series of State Pension Obligation
Acceleration Bonds, which order shall be approved by the
Governor and is herein called a "Bond Sale Order"; provided,
however, that interest payable at fixed or variable rates
shall not exceed that permitted in the Bond Authorization Act.
State Pension Obligation Acceleration Bonds shall be payable
at such place or places, within or without the State of
Illinois, and may be made registrable as to either principal
or as to both principal and interest, as shall be specified in
the Bond Sale Order. State Pension Obligation Acceleration
Bonds may be callable or subject to purchase and retirement or
tender and remarketing as fixed and determined in the Bond
Sale Order.
(Source: P.A. 100-23, Article 25, Section 25-5, eff. 7-6-17;
100-23, Article 75, Section 75-10, eff. 7-6-17; 100-587,
Article 60, Section 60-5, eff. 6-4-18; 100-587, Article 110,
Section 110-15, eff. 6-4-18; 100-863, eff. 8-14-18; 101-30,
eff. 6-28-19; 101-81, eff. 7-12-19.)
(30 ILCS 330/10) (from Ch. 127, par. 660)
Sec. 10. Execution of Bonds. Bonds shall be signed by the
Governor and attested by the Secretary of State under the
printed facsimile seal of the State and countersigned by the
State Treasurer by his manual signature or by his duly
authorized deputy. If Bonds are issued in registered form
pursuant to the Registered Bond Act, the signatures of the
Governor, the Secretary of State and the State Treasurer may
be printed facsimile signatures. Unless Bonds are issued in
fully registered form, interest coupons with facsimile
signatures of the Governor, Secretary of State and State
Treasurer may be attached to the Bonds. The fact that an
officer whose signature or facsimile thereof appears on a Bond
or interest coupon no longer holds such office at the time the
Bond or coupon is delivered shall not invalidate such Bond or
interest coupon.
(Source: P.A. 83-1490.)
(30 ILCS 330/11) (from Ch. 127, par. 661)
Sec. 11. Sale of Bonds. Except as otherwise provided in
this Section, Bonds shall be sold from time to time pursuant to
notice of sale and public bid or by negotiated sale in such
amounts and at such times as is directed by the Governor, upon
recommendation by the Director of the Governor's Office of
Management and Budget. At least 25%, based on total principal
amount, of all Bonds issued each fiscal year shall be sold
pursuant to notice of sale and public bid. At all times during
each fiscal year, no more than 75%, based on total principal
amount, of the Bonds issued each fiscal year, shall have been
sold by negotiated sale. Failure to satisfy the requirements
in the preceding 2 sentences shall not affect the validity of
any previously issued Bonds; provided that all Bonds
authorized by Public Act 96-43 and Public Act 96-1497 shall
not be included in determining compliance for any fiscal year
with the requirements of the preceding 2 sentences; and
further provided that refunding Bonds satisfying the
requirements of Section 16 of this Act shall not be subject to
the requirements in the preceding 2 sentences.
The If any Bonds, including refunding Bonds, are to be
sold by negotiated sale, the Director of the Governor's Office
of Management and Budget shall comply in the selection of any
bond counsel with the competitive request for proposal process
set forth in the Illinois Procurement Code and all other
applicable requirements of that Code. The Director of the
Governor's Office of Management and Budget may select any
financial advisor from a pool of qualified advisors
established pursuant to a request for qualifications. If any
Bonds, including refunding Bonds, are to be sold by negotiated
sale, the Director of the Governor's Office of Management and
Budget shall select any underwriter from a pool of qualified
underwriters established pursuant to a request for
qualifications.
If Bonds are to be sold pursuant to notice of sale and
public bid, the Director of the Governor's Office of
Management and Budget may, from time to time, as Bonds are to
be sold, advertise the sale of the Bonds in at least 2 daily
newspapers, one of which is published in the City of
Springfield and one in the City of Chicago. The sale of the
Bonds shall also be advertised in the BidBuy eProcurement
System or any successor procurement platform maintained volume
of the Illinois Procurement Bulletin that is published by the
Chief Procurement Officer for General Services Department of
Central Management Services, and shall be published once at
least 10 days prior to the date fixed for the opening of the
bids. The Director of the Governor's Office of Management and
Budget may reschedule the date of sale upon the giving of such
additional notice as the Director deems adequate to inform
prospective bidders of such change; provided, however, that
all other conditions of the sale shall continue as originally
advertised.
Executed Bonds shall, upon payment therefor, be delivered
to the purchaser, and the proceeds of Bonds shall be paid into
the State Treasury as directed by Section 12 of this Act.
All Income Tax Proceed Bonds shall comply with this
Section. Notwithstanding anything to the contrary, however,
for purposes of complying with this Section, Income Tax
Proceed Bonds, regardless of the number of series or issuances
sold thereunder, shall be considered a single issue or series.
Furthermore, for purposes of complying with the competitive
bidding requirements of this Section, the words "at all times"
shall not apply to any such sale of the Income Tax Proceed
Bonds. The Director of the Governor's Office of Management and
Budget shall determine the time and manner of any competitive
sale of the Income Tax Proceed Bonds; however, that sale shall
under no circumstances take place later than 60 days after the
State closes the sale of 75% of the Income Tax Proceed Bonds by
negotiated sale.
All State Pension Obligation Acceleration Bonds shall
comply with this Section. Notwithstanding anything to the
contrary, however, for purposes of complying with this
Section, State Pension Obligation Acceleration Bonds,
regardless of the number of series or issuances sold
thereunder, shall be considered a single issue or series.
Furthermore, for purposes of complying with the competitive
bidding requirements of this Section, the words "at all times"
shall not apply to any such sale of the State Pension
Obligation Acceleration Bonds. The Director of the Governor's
Office of Management and Budget shall determine the time and
manner of any competitive sale of the State Pension Obligation
Acceleration Bonds; however, that sale shall under no
circumstances take place later than 60 days after the State
closes the sale of 75% of the State Pension Obligation
Acceleration Bonds by negotiated sale.
(Source: P.A. 100-23, Article 25, Section 25-5, eff. 7-6-17;
100-23, Article 75, Section 75-10, eff. 7-6-17; 100-587,
Article 60, Section 60-5, eff. 6-4-18; 100-587, Article 110,
Section 110-15, eff. 6-4-18; 100-863, eff. 8-4-18; 101-30,
eff. 6-28-19; 101-81, eff. 7-12-19.)
(30 ILCS 330/16) (from Ch. 127, par. 666)
Sec. 16. Refunding Bonds. The State of Illinois is
authorized to issue, sell, and provide for the retirement of
General Obligation Bonds of the State of Illinois in the
amount of $4,839,025,000, at any time and from time to time
outstanding, for the purpose of refunding any State of
Illinois general obligation Bonds then outstanding, including
(i) the payment of any redemption premium thereon, (ii) any
reasonable expenses of such refunding, (iii) any interest
accrued or to accrue to the earliest or any subsequent date of
redemption or maturity of such outstanding Bonds, (iv) for
fiscal year 2019 only, any necessary payments to providers of
interest rate exchange agreements in connection with the
termination of such agreements by the State in connection with
the refunding, and (v) any interest to accrue to the first
interest payment on the refunding Bonds; provided that all
non-refunding Bonds in an issue that includes refunding Bonds
shall mature no later than the final maturity date of Bonds
being refunded; provided that no refunding Bonds shall be
offered for sale unless the net present value of debt service
savings to be achieved by the issuance of the refunding Bonds
is 3% or more of the principal amount of the refunded Bonds or
the principal amount of the refunding Bonds to be issued;
refunding Bonds shall mature within the term of the Bonds
being refunded in compliance with paragraph (e) of Section 9
of Article IX of the Illinois Constitution of 1970 and further
provided that, except for refunding Bonds sold in fiscal year
2009, 2010, 2011, 2017, 2018, 2019, or 2022, the maturities of
the refunding Bonds shall not extend beyond the maturities of
the Bonds they refund, so that for each fiscal year in the
maturity schedule of a particular issue of refunding Bonds,
the total amount of refunding principal maturing and
redemption amounts due in that fiscal year and all prior
fiscal years in that schedule shall be greater than or equal to
the total amount of refunded principal and redemption amounts
that had been due over that year and all prior fiscal years
prior to the refunding.
The Governor shall notify the State Treasurer and
Comptroller of such refunding. The proceeds received from the
sale of refunding Bonds shall be used for the retirement at
maturity or redemption of such outstanding Bonds on any
maturity or redemption date and, pending such use, shall be
placed in escrow, subject to such terms and conditions as
shall be provided for in the Bond Sale Order relating to the
Refunding Bonds. Proceeds not needed for deposit in an escrow
account shall be deposited in the General Obligation Bond
Retirement and Interest Fund. This Act shall constitute an
irrevocable and continuing appropriation of all amounts
necessary to establish an escrow account for the purpose of
refunding outstanding general obligation Bonds and to pay the
reasonable expenses of such refunding and of the issuance and
sale of the refunding Bonds. Any such escrowed proceeds may be
invested and reinvested in direct obligations of the United
States of America, maturing at such time or times as shall be
appropriate to assure the prompt payment, when due, of the
principal of and interest and redemption premium, if any, on
the refunded Bonds. After the terms of the escrow have been
fully satisfied, any remaining balance of such proceeds and
interest, income and profits earned or realized on the
investments thereof shall be paid into the General Revenue
Fund. The liability of the State upon the Bonds shall
continue, provided that the holders thereof shall thereafter
be entitled to payment only out of the moneys deposited in the
escrow account.
Except as otherwise herein provided in this Section, such
refunding Bonds shall in all other respects be subject to the
terms and conditions of this Act.
(Source: P.A. 102-16, eff. 6-17-21.)
Article 15.
Section 15-1. The Build Illinois Bond Act is amended by
changing Sections 2, 4, 5, 8, and 15 as follows:
(30 ILCS 425/2) (from Ch. 127, par. 2802)
Sec. 2. Authorization for Bonds. The State of Illinois is
authorized to issue, sell and provide for the retirement of
limited obligation bonds, notes and other evidences of
indebtedness of the State of Illinois in the total principal
amount of $10,019,681,100 $9,484,681,100 herein called
"Bonds". Such amount of authorized Bonds shall be exclusive of
any refunding Bonds issued pursuant to Section 15 of this Act
and exclusive of any Bonds issued pursuant to this Section
which are redeemed, purchased, advance refunded, or defeased
in accordance with paragraph (f) of Section 4 of this Act.
Bonds shall be issued for the categories and specific purposes
expressed in Section 4 of this Act.
(Source: P.A. 101-30, eff. 6-28-19; 102-1071, eff. 6-10-22.)
(30 ILCS 425/4) (from Ch. 127, par. 2804)
Sec. 4. Purposes of Bonds. Bonds shall be issued for the
following purposes and in the approximate amounts as set forth
below:
(a) $4,506,094,533 $4,372,761,200 for the expenses of
issuance and sale of Bonds, including bond discounts, and for
planning, engineering, acquisition, construction,
reconstruction, development, improvement, demolition, and
extension of the public infrastructure in the State of
Illinois, including: the making of loans or grants to local
governments for waste disposal systems, water and sewer line
extensions and water distribution and purification facilities,
rail or air or water port improvements, gas and electric
utility extensions, publicly owned industrial and commercial
sites, buildings used for public administration purposes and
other public infrastructure capital improvements; the making
of loans or grants to units of local government for financing
and construction of wastewater facilities, including grants to
serve unincorporated areas; refinancing or retiring bonds
issued between January 1, 1987 and January 1, 1990 by home rule
municipalities, debt service on which is provided from a tax
imposed by home rule municipalities prior to January 1, 1990
on the sale of food and drugs pursuant to Section 8-11-1 of the
Home Rule Municipal Retailers' Occupation Tax Act or Section
8-11-5 of the Home Rule Municipal Service Occupation Tax Act;
the making of deposits not to exceed $70,000,000 in the
aggregate into the Water Pollution Control Revolving Fund to
provide assistance in accordance with the provisions of Title
IV-A of the Environmental Protection Act; the planning,
engineering, acquisition, construction, reconstruction,
alteration, expansion, extension and improvement of highways,
bridges, structures separating highways and railroads, rest
areas, interchanges, access roads to and from any State or
local highway and other transportation improvement projects
which are related to economic development activities; the
making of loans or grants for planning, engineering,
rehabilitation, improvement or construction of rail and
transit facilities; the planning, engineering, acquisition,
construction, reconstruction and improvement of watershed,
drainage, flood control, recreation and related improvements
and facilities, including expenses related to land and
easement acquisition, relocation, control structures, channel
work and clearing and appurtenant work; the planning,
engineering, acquisition, construction, reconstruction and
improvement of State facilities and related infrastructure;
the making of Park and Recreational Facilities Construction
(PARC) grants; the making of grants to units of local
government for community development capital projects; the
making of grants for improvement and development of zoos and
park district field houses and related structures; and the
making of grants for improvement and development of Navy Pier
and related structures.
(b) $2,474,636,967 $2,122,970,300 for fostering economic
development and increased employment and fostering the well
being of the citizens of Illinois through community
development, including: the making of grants for improvement
and development of McCormick Place and related structures; the
planning and construction of a microelectronics research
center, including the planning, engineering, construction,
improvement, renovation and acquisition of buildings,
equipment and related utility support systems; the making of
loans to businesses and investments in small businesses;
acquiring real properties for industrial or commercial site
development; acquiring, rehabilitating and reconveying
industrial and commercial properties for the purpose of
expanding employment and encouraging private and other public
sector investment in the economy of Illinois; the payment of
expenses associated with siting the Superconducting Super
Collider Particle Accelerator in Illinois and with its
acquisition, construction, maintenance, operation, promotion
and support; the making of loans for the planning,
engineering, acquisition, construction, improvement and
conversion of facilities and equipment which will foster the
use of Illinois coal; the payment of expenses associated with
the promotion, establishment, acquisition and operation of
small business incubator facilities and agribusiness research
facilities, including the lease, purchase, renovation,
planning, engineering, construction and maintenance of
buildings, utility support systems and equipment designated
for such purposes and the establishment and maintenance of
centralized support services within such facilities; the
making of grants for transportation electrification
infrastructure projects that promote use of clean and
renewable energy; the making of capital expenditures and
grants for broadband development and for a statewide broadband
deployment grant program; the making of grants to public
entities and private persons and entities for community
development capital projects; the making of grants to public
entities and private persons and entities for capital projects
in the context of grant programs focused on assisting
economically depressed areas, expanding affordable housing,
supporting the provision of human services, supporting
emerging technology enterprises, and supporting minority owned
businesses; and the making of grants or loans to units of local
government for Urban Development Action Grant and Housing
Partnership programs.
(c) $2,761,076,600 $2,711,076,600 for the development and
improvement of educational, scientific, technical and
vocational programs and facilities and the expansion of health
and human services for all citizens of Illinois, including:
the making of grants to school districts and not-for-profit
organizations for early childhood construction projects
pursuant to Section 5-300 of the School Construction Law; the
making of grants to educational institutions for educational,
scientific, technical and vocational program equipment and
facilities; the making of grants to museums for equipment and
facilities; the making of construction and improvement grants
and loans to public libraries and library systems; the making
of grants and loans for planning, engineering, acquisition and
construction of a new State central library in Springfield;
the planning, engineering, acquisition and construction of an
animal and dairy sciences facility; the planning, engineering,
acquisition and construction of a campus and all related
buildings, facilities, equipment and materials for Richland
Community College; the acquisition, rehabilitation and
installation of equipment and materials for scientific and
historical surveys; the making of grants or loans for
distribution to eligible vocational education instructional
programs for the upgrading of vocational education programs,
school shops and laboratories, including the acquisition,
rehabilitation and installation of technical equipment and
materials; the making of grants or loans for distribution to
eligible local educational agencies for the upgrading of math
and science instructional programs, including the acquisition
of instructional equipment and materials; miscellaneous
capital improvements for universities and community colleges
including the planning, engineering, construction,
reconstruction, remodeling, improvement, repair and
installation of capital facilities and costs of planning,
supplies, equipment, materials, services, and all other
required expenses; the making of grants or loans for repair,
renovation and miscellaneous capital improvements for
privately operated colleges and universities and community
colleges, including the planning, engineering, acquisition,
construction, reconstruction, remodeling, improvement, repair
and installation of capital facilities and costs of planning,
supplies, equipment, materials, services, and all other
required expenses; and the making of grants or loans for
distribution to local governments for hospital and other
health care facilities including the planning, engineering,
acquisition, construction, reconstruction, remodeling,
improvement, repair and installation of capital facilities and
costs of planning, supplies, equipment, materials, services
and all other required expenses.
(d) $277,873,000 for protection, preservation, restoration
and conservation of environmental and natural resources,
including: the making of grants to soil and water conservation
districts for the planning and implementation of conservation
practices and for funding contracts with the Soil Conservation
Service for watershed planning; the making of grants to units
of local government for the capital development and
improvement of recreation areas, including planning and
engineering costs, sewer projects, including planning and
engineering costs and water projects, including planning and
engineering costs, and for the acquisition of open space
lands, including the acquisition of easements and other
property interests of less than fee simple ownership; the
making of grants to units of local government through the
Illinois Green Infrastructure Grant Program to protect water
quality and mitigate flooding; the acquisition and related
costs and development and management of natural heritage
lands, including natural areas and areas providing habitat for
endangered species and nongame wildlife, and buffer area
lands; the acquisition and related costs and development and
management of habitat lands, including forest, wildlife
habitat and wetlands; and the removal and disposition of
hazardous substances, including the cost of project
management, equipment, laboratory analysis, and contractual
services necessary for preventative and corrective actions
related to the preservation, restoration and conservation of
the environment, including deposits not to exceed $60,000,000
in the aggregate into the Hazardous Waste Fund and the
Brownfields Redevelopment Fund for improvements in accordance
with the provisions of Titles V and XVII of the Environmental
Protection Act.
(e) The amount specified in paragraph (a) above shall
include an amount necessary to pay reasonable expenses of each
issuance and sale of the Bonds, as specified in the related
Bond Sale Order (hereinafter defined).
(f) Any unexpended proceeds from any sale of Bonds which
are held in the Build Illinois Bond Fund may be used to redeem,
purchase, advance refund, or defease any Bonds outstanding.
(Source: P.A. 101-30, eff. 6-28-19.)
(30 ILCS 425/5) (from Ch. 127, par. 2805)
Sec. 5. Bond sale expenses.
(a) Costs for advertising, printing, bond rating, travel
of outside vendors, security, delivery, and legal and
financial advisory services, initial fees of trustees,
registrars, paying agents and other fiduciaries, initial costs
of credit or liquidity enhancement arrangements, initial fees
of indexing and remarketing agents, and initial costs of
interest rate swaps, guarantees or arrangements to limit
interest rate risk, as determined in the related Bond Sale
Order, may be paid as reasonable costs of issuance and sale
from the proceeds of each Bond sale. An amount not to exceed 1%
0.5% of the principal amount of the proceeds of the sale of
each bond sale is authorized to be used to pay additional
reasonable costs of each issuance and sale of Bonds authorized
and sold pursuant to this Act, including, without limitation,
underwriter's discounts and fees, but excluding bond
insurance; , advertising, printing, bond rating, travel of
outside vendors, security, delivery, legal and financial
advisory services, initial fees of trustees, registrars,
paying agents and other fiduciaries, initial costs of credit
or liquidity enhancement arrangements, initial fees of
indexing and remarketing agents, and initial costs of interest
rate swaps, guarantees or arrangements to limit interest rate
risk, as determined in the related Bond Sale Order, from the
proceeds of each Bond sale, provided that no salaries of State
employees or other State office operating expenses shall be
paid out of non-appropriated proceeds, and provided further
that the percent shall be 1.0% for each sale of "Build America
Bonds" as defined in subsection (c) of Section 6. The
Governor's Office of Management and Budget shall compile a
summary of all costs of issuance on each sale (including both
costs paid out of proceeds and those paid out of appropriated
funds) and post that summary on its web site within 20 business
days after the issuance of the bonds. That posting shall be
maintained on the web site for a period of at least 30 days. In
addition, the Governor's Office of Management and Budget shall
provide a written copy of each summary of costs to the Speaker
and Minority Leader of the House of Representatives, the
President and Minority Leader of the Senate, and the
Commission on Government Forecasting and Accountability within
20 business days after each issuance of the bonds. The This
summary shall include, as applicable, the respective
percentage of participation and compensation of each
underwriter that is a member of the underwriting syndicate,
legal counsel, financial advisors, and other professionals for
the Bond issue, and an identification of all costs of issuance
paid to minority-owned businesses, women-owned businesses, and
businesses owned by persons with disabilities. The terms
"minority-owned businesses", "women-owned businesses", and
"business owned by a person with a disability" have the
meanings given to those terms in the Business Enterprise for
Minorities, Women, and Persons with Disabilities Act. The
summary shall be posted on the website for a period of at least
30 days. In addition, the Governor's Office of Management and
Budget shall provide a written copy of each summary of costs to
the Speaker and Minority Leader of the House of
Representatives, the President and Minority Leader of the
Senate, and the Commission on Government Forecasting and
Accountability within 20 business days after each issuance of
the bonds. In addition, the Governor's Office of Management
and Budget shall provide copies of all contracts under which
any costs of issuance are paid or to be paid to the Commission
on Government Forecasting and Accountability within 20
business days after the issuance of Bonds for which those
costs are paid or to be paid. Instead of filing a second or
subsequent copy of the same contract, the Governor's Office of
Management and Budget may file a statement that specified
costs are paid under specified contracts filed earlier with
the Commission.
(b) The Director of the Governor's Office of Management
and Budget shall not, in connection with the issuance of
Bonds, contract with any underwriter, financial advisor, or
attorney unless that underwriter, financial advisor, or
attorney certifies that the underwriter, financial advisor, or
attorney has not and will not pay a contingent fee, whether
directly or indirectly, to any third party for having promoted
the selection of the underwriter, financial advisor, or
attorney for that contract. In the event that the Governor's
Office of Management and Budget determines that an
underwriter, financial advisor, or attorney has filed a false
certification with respect to the payment of contingent fees,
the Governor's Office of Management and Budget shall not
contract with that underwriter, financial advisor, or
attorney, or with any firm employing any person who signed
false certifications, for a period of 2 calendar years,
beginning with the date the determination is made. The
validity of Bonds issued under such circumstances of violation
pursuant to this Section shall not be affected.
(Source: P.A. 100-391, eff. 8-25-17.)
(30 ILCS 425/8) (from Ch. 127, par. 2808)
Sec. 8. Sale of Bonds. Bonds, except as otherwise provided
in this Section, shall be sold from time to time pursuant to
notice of sale and public bid or by negotiated sale in such
amounts and at such times as are directed by the Governor, upon
recommendation by the Director of the Governor's Office of
Management and Budget. At least 25%, based on total principal
amount, of all Bonds issued each fiscal year shall be sold
pursuant to notice of sale and public bid. At all times during
each fiscal year, no more than 75%, based on total principal
amount, of the Bonds issued each fiscal year shall have been
sold by negotiated sale. Failure to satisfy the requirements
in the preceding 2 sentences shall not affect the validity of
any previously issued Bonds; and further provided that
refunding Bonds satisfying the requirements of Section 15 of
this Act shall not be subject to the requirements in the
preceding 2 sentences.
The If any Bonds are to be sold pursuant to notice of sale
and public bid, the Director of the Governor's Office of
Management and Budget shall comply in the selection of any
bond counsel with the competitive request for proposal process
set forth in the Illinois Procurement Code and all other
applicable requirements of that Code. The Director of the
Governor's Office of Management and Budget may select any
financial advisor from a pool of qualified advisors
established pursuant to a request for qualifications. If any
Bonds, including refunding Bonds, are to be sold by negotiated
sale, the Director of the Governor's Office of Management and
Budget shall select any underwriters from a pool of qualified
underwriters established pursuant to a request for
qualifications.
If Bonds are to be sold pursuant to notice of sale and
public bid, the Director of the Governor's Office of
Management and Budget may, from time to time, as Bonds are to
be sold, advertise the sale of the Bonds in at least 2 daily
newspapers, one of which is published in the City of
Springfield and one in the City of Chicago. The sale of the
Bonds shall also be advertised in the BidBuy eProcurement
System or any successor procurement platform maintained volume
of the Illinois Procurement Bulletin that is published by the
Chief Procurement Officer for General Services Department of
Central Management Services, and shall be published once at
least 10 days prior to the date fixed for the opening of the
bids. The Director of the Governor's Office of Management and
Budget may reschedule the date of sale upon the giving of such
additional notice as the Director deems adequate to inform
prospective bidders of the change; provided, however, that all
other conditions of the sale shall continue as originally
advertised. Executed Bonds shall, upon payment therefor, be
delivered to the purchaser, and the proceeds of Bonds shall be
paid into the State Treasury as directed by Section 9 of this
Act. The Governor or the Director of the Governor's Office of
Management and Budget are is hereby authorized and directed to
execute and deliver contracts of sale with underwriters and to
execute and deliver such certificates, indentures, agreements
and documents, including any supplements or amendments
thereto, and to take such actions and do such things as shall
be necessary or desirable to carry out the purposes of this
Act. Any action authorized or permitted to be taken by the
Director of the Governor's Office of Management and Budget
pursuant to this Act is hereby authorized to be taken by any
person specifically designated by the Governor to take such
action in a certificate signed by the Governor and filed with
the Secretary of State.
(Source: P.A. 100-23, eff. 7-6-17; 100-587, eff. 6-4-18;
101-30, eff. 6-28-19.)
(30 ILCS 425/15) (from Ch. 127, par. 2815)
Sec. 15. Refunding Bonds. Refunding Bonds are hereby
authorized for the purpose of refunding any outstanding Bonds,
including the payment of any redemption premium thereon, any
reasonable expenses of such refunding, and any interest
accrued or to accrue to the earliest or any subsequent date of
redemption or maturity of outstanding Bonds; provided that all
non-refunding Bonds in an issue that includes refunding Bonds
shall mature no later than the final maturity date of Bonds
being refunded; provided that no refunding Bonds shall be
offered for sale unless the net present value of debt service
savings to be achieved by the issuance of the refunding Bonds
is 3% or more of the principal amount of the refunded Bonds or
the principal amount of the refunding Bonds to be issued; and
further provided that refunding Bonds shall mature within the
term of the Bonds being refunded in compliance with paragraph
(e) of Section 9 of Article IX of the Illinois Constitution of
1970 , except for refunding Bonds sold in fiscal years 2009,
2010, 2011, 2017, 2018, 2019, or 2022 the maturities of the
refunding Bonds shall not extend beyond the maturities of the
Bonds they refund, so that for each fiscal year in the maturity
schedule of a particular issue of refunding Bonds, the total
amount of refunding principal maturing and redemption amounts
due in that fiscal year and all prior fiscal years in that
schedule shall be greater than or equal to the total amount of
refunded principal and redemption amounts that had been due
over that year and all prior fiscal years prior to the
refunding.
Refunding Bonds may be sold in such amounts and at such
times, as directed by the Governor upon recommendation by the
Director of the Governor's Office of Management and Budget.
The Governor shall notify the State Treasurer and Comptroller
of such refunding. The proceeds received from the sale of
refunding Bonds shall be used for the retirement at maturity
or redemption of such outstanding Bonds on any maturity or
redemption date and, pending such use, shall be placed in
escrow, subject to such terms and conditions as shall be
provided for in the Bond Sale Order relating to the refunding
Bonds. This Act shall constitute an irrevocable and continuing
appropriation of all amounts necessary to establish an escrow
account for the purpose of refunding outstanding Bonds and to
pay the reasonable expenses of such refunding and of the
issuance and sale of the refunding Bonds. Any such escrowed
proceeds may be invested and reinvested in direct obligations
of the United States of America, maturing at such time or times
as shall be appropriate to assure the prompt payment, when
due, of the principal of and interest and redemption premium,
if any, on the refunded Bonds. After the terms of the escrow
have been fully satisfied, any remaining balance of such
proceeds and interest, income and profits earned or realized
on the investments thereof shall be paid into the General
Revenue Fund. The liability of the State upon the refunded
Bonds shall continue, provided that the holders thereof shall
thereafter be entitled to payment only out of the moneys
deposited in the escrow account and the refunded Bonds shall
be deemed paid, discharged and no longer to be outstanding.
Except as otherwise herein provided in this Section, such
refunding Bonds shall in all other respects be issued pursuant
to and subject to the terms and conditions of this Act and
shall be secured by and payable from only the funds and sources
which are provided under this Act.
(Source: P.A. 102-16, eff. 6-17-21.)
Article 99.
Section 99-99. Effective date. This Act takes effect July
1, 2023.