Statutes > Illinois Statutes > CHAPTER 30 FINANCE > 30 ILCS 330/ General Obligation Bond Act.

30 ILCS 330/ General Obligation Bond Act.

    (30 ILCS 330/1) (from Ch. 127, par. 651)
    Sec. 1. Short Title. This Act shall be known and may be cited as the "General Obligation Bond Act".
(Source: P.A. 92‑13, eff. 6‑22‑01.)

    (30 ILCS 330/1.5)
    Sec. 1.5. Re‑enactment; findings; purpose; validation.
    (a) The General Assembly finds and declares that:
        (1) Article IV of Public Act 85‑1135, effective July
     28, 1988, contained provisions amending or creating Sections 2, 3, 16, and 20 of the General Obligation Bond Act, Section 5.242 of the State Finance Act, and Section 4 of the Baccalaureate Savings Act, all of which pertain to State general obligation bonds. These provisions (i) increased the total authorization for State of Illinois general obligation bonds and refunding bonds; (ii) increased the limits on the amount of State general obligation bond proceeds that may be used for various purposes; and (iii) created the General Obligation Bond Rebate Fund, authorized the transfer of money into that Fund, and provided an irrevocable continuing appropriation of amounts necessary to preserve the tax‑free status of interest earned by owners of State general obligation bonds. Article IV also contained other provisions.
        (2) Section 8 of Article III of Public Act 85‑1135,
     effective September 1, 1988, contained provisions amending Sections 2, 4, 11, and 13 of the Build Illinois Bond Act. These provisions (i) increased the total authorization for Build Illinois bonds; (ii) increased the limits on the amount of Build Illinois bond proceeds that may be used for public infrastructure purposes; and (iii) amended the Build Illinois bond repayment schedules.
        (3) In addition, Public Act 85‑1135 contained
     provisions relating to tax reform and creating the Water Pollution Control Revolving Fund loan program.
        (4) On August 26, 1998, the Cook County Circuit
     Court entered an order in the case of Oak Park Arms Associates v. Whitley (No. 92 L 51045), in which it found that Public Act 85‑1135 violates the single subject clause of the Illinois Constitution (Article IV, Section 8(d)). However, on December 7, 1998, the Circuit Court granted Defendant's motion to reconsider and dismissed the Plaintiff's Single Subject claim with prejudice. Nevertheless, the Circuit Court did not vacate its August 26, 1998 order declaring P.A. 85‑1135 to be in violation of the Single Subject clause of the Illinois Constitution. In addition, the Plaintiffs have appealed the Circuit Court's dismissal of their Single Subject claim.
        (5) The integrity of the State's contracts and
     bonds, the protection of bondholders, and the State's continued ability to issue bonds and borrow money are of the greatest importance for the continued health, safety, and welfare of the people of this State.
        (6) The programs and projects funded with the
     proceeds of State general obligation bonds and Build Illinois bonds affect many areas of vital concern to the people of this State. The disruption of those programs could constitute a grave threat to the continued health, safety, and welfare of the people of this State.
    (b) It is the purpose of this amendatory Act of 1999 to prevent or minimize any problems relating to State bonds that may result from challenges to the constitutional validity of Public Act 85‑1135, by (1) re‑enacting the Sections relating to State bonds that were included in Public Act 85‑1135; (2) validating all Build Illinois bonds, State general obligation bonds, and refunding bonds issued pursuant to provisions contained in Public Act 85‑1135; (3) affirming the State's obligations under those bonds and any contracts relating to them; and (4) validating all actions taken in reliance on the provisions contained in Public Act 85‑1135 that relate to those bonds or their proceeds.
    (c) This amendatory Act of 1999 re‑enacts Sections 2, 3, 16, and 20 of the General Obligation Bond Act, Section 5.242 of the State Finance Act, Sections 2, 4, 11, and 13 of the Build Illinois Bond Act, and Section 4 of the Baccalaureate Savings Act, as they have been amended. This re‑enactment is intended to remove any question as to the validity or content of those Sections; it is not intended to supersede any other Public Act that amends the text of a Section as set forth in this amendatory Act. The material is shown as existing text (i.e., without underscoring) because, as of the time this amendatory Act of 1999 was prepared, the legal challenge to P.A. 85‑1135 under the Single Subject clause of the Illinois Constitution was dismissed with prejudice.
    (d) The re‑enactment by this amendatory Act of 1999 of certain Sections relating to State bonds that were enacted or amended by Public Act 85‑1135 is not intended, and shall not be construed, to imply that P.A. 85‑1135 is invalid or to limit or impair any legal argument concerning whether those provisions were substantially re‑enacted by other Public Acts.
    (e) All Build Illinois bonds, State general obligation bonds, and refunding bonds issued before the effective date of this amendatory Act of 1999 in reliance on or pursuant to the Sections re‑enacted by this amendatory Act of 1999, as set forth in Public Act 85‑1135 or as subsequently amended, are hereby validated. All obligations of the State arising under or in connection with those bonds are hereby affirmed.
    (f) All otherwise lawful actions taken before the effective date of this amendatory Act of 1999 in reliance on or pursuant to the Sections re‑enacted by this amendatory Act of 1999, as set forth in Public Act 85‑1135 or as subsequently amended, by any officer, employee, or agency of State government or by any other person or entity, are hereby validated.
    (g) This amendatory Act of 1999 applies, without limitation, to actions pending on or after the effective date of this amendatory Act.
(Source: P.A. 91‑53, eff. 6‑30‑99.)

    (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 $37,217,777,443.
    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 and the $3,466,000,000 authorized by Public Act 96‑43 shall be used solely as provided in Section 7.2.
    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. 95‑1026, eff. 1‑12‑09; 96‑5, eff. 4‑3‑09; 96‑36, eff. 7‑13‑09; 96‑43, eff. 7‑15‑09; 96‑885, eff. 3‑11‑10.)

    (30 ILCS 330/2.5)
    Sec. 2.5. Limitation on issuance of Bonds.
    (a) Except as provided in subsection (b), no Bonds may be issued if, after the issuance, in the next State fiscal year after the issuance of the Bonds, the amount of debt service (including principal, whether payable at maturity or pursuant to mandatory sinking fund installments, and interest) on all then‑outstanding Bonds, other than Bonds authorized by this amendatory Act of the 96th General Assembly, would exceed 7% of the aggregate appropriations from the general funds (which consist of the General Revenue Fund, the Common School Fund, the General Revenue Common School Special Account Fund, and the Education Assistance Fund) and the Road Fund for the fiscal year immediately prior to the fiscal year of the issuance.
    (b) If the Comptroller and Treasurer each consent in writing, Bonds may be issued even if the issuance does not comply with subsection (a).
(Source: P.A. 96‑43, eff. 7‑15‑09.)

    (30 ILCS 330/3)(from Ch. 127, par. 653)
    Sec. 3. Capital Facilities. The amount of $7,968,463,443 is authorized to be used for the acquisition, development, construction, reconstruction, improvement, 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) $2,511,228,000 for educational purposes by State
    universities and 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) $1,617,420,000 for correctional purposes at State
    prison and correctional centers;
        (c) $575,183,000 for open spaces, recreational and
    conservation purposes and the protection of land;
        (d) $664,917,000 for child care facilities, mental
    and public health facilities, and facilities for the care of disabled veterans and their spouses;
        (e) $1,630,990,000 for use by the State, its
    departments, authorities, public corporations, commissions and agencies;
        (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) $248,877,074 for water resource management
    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) $36,000,000 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) $5,000,000 for grants in fiscal year 1988 by the
    Department of Conservation for improvement or expansion of aquarium facilities located on property owned by a park district;
        (l) $432,590,000 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) $203,500,000 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. 96‑36, eff. 7‑13‑09; 96‑37, eff. 7‑13‑09; 96‑1000, eff. 7‑2‑10.)

    (30 ILCS 330/4)(from Ch. 127, par. 654)
    Sec. 4. Transportation. The amount of $9,948,799,000 is authorized for use by the Department of Transportation for the specific purpose of promoting and assuring rapid, efficient, and safe highway, air and mass transportation for the inhabitants of the State by providing monies, including the making of grants and loans, for the acquisition, construction, reconstruction, extension and improvement of the following transportation facilities and equipment, and for the acquisition of real property and interests in real property required or expected to be required in connection therewith as follows:
    (a) $5,432,129,000 for State highways, arterial highways, freeways, roads, bridges, structures separating highways and railroads and roads, and bridges on roads maintained by counties, municipalities, townships or road districts for the following specific purposes:
        (1) $3,330,000,000 for use statewide,
        (2) $3,677,000 for use outside the Chicago urbanized
     area,
        (3) $7,543,000 for use within the Chicago urbanized
     area,
        (4) $13,060,600 for use within the City of Chicago,
        (5) $58,987,500 for use within the counties of Cook,
     DuPage, Kane, Lake, McHenry and Will,
        (6) $18,860,900 for use outside the counties of
     Cook, DuPage, Kane, Lake, McHenry and Will, and
        (7) $2,000,000,000 for use on projects included in
     either (i) the FY09‑14 Proposed Highway Improvement Program as published by the Illinois Department of Transportation in May 2008 or (ii) the FY10‑15 Proposed Highway Improvement Program to be published by the Illinois Department of Transportation in the spring of 2009; except that all projects must be maintenance projects for the existing State system with the goal of reaching 90% acceptable condition in the system statewide and further except that all projects must reflect the generally accepted historical distribution of projects throughout the State.
    (b) $3,130,070,000 for rail facilities and for mass transit facilities, as defined in Section 2705‑305 of the Department of Transportation Law (20 ILCS 2705/2705‑305), including rapid transit, rail, bus and other equipment used in connection therewith by the State or any unit of local government, special transportation district, municipal corporation or other corporation or public authority authorized to provide and promote public transportation within the State or two or more of the foregoing jointly, for the following specific purposes:
        (1) $2,034,270,000 statewide,
        (2) $83,350,000 for use within the counties of Cook,
     DuPage, Kane, Lake, McHenry and Will,
        (3) $12,450,000 for use outside the counties of
     Cook, DuPage, Kane, Lake, McHenry and Will, and
        (4) $1,000,000,000 for use on projects that shall
     reflect the generally accepted historical distribution of projects throughout the State.
    (c) $371,600,000 for airport or aviation facilities and any equipment used in connection therewith, including engineering and land acquisition costs, by the State or any unit of local government, special transportation district, municipal corporation or other corporation or public authority authorized to provide public transportation within the State, or two or more of the foregoing acting jointly, and for the making of deposits into the Airport Land Loan Revolving Fund for loans to public airport owners pursuant to the Illinois Aeronautics Act.
    (d) $1,015,000,000 for use statewide for State or local highways, arterial highways, freeways, roads, bridges, and structures separating highways and railroads and roads, and for grants to counties, municipalities, townships, or road districts for planning, engineering, acquisition, construction, reconstruction, development, improvement, extension, and all construction‑related expenses of the public infrastructure and other transportation improvement projects which are related to economic development in the State of Illinois.
(Source: P.A. 96‑5, eff. 4‑3‑09; 96‑36, eff. 7‑13‑09; 96‑37, eff. 7‑13‑09.)

    (30 ILCS 330/5)(from Ch. 127, par. 655)
    Sec. 5. School Construction.
    (a) The amount of $58,450,000 is authorized to make grants to local school districts for the acquisition, development, construction, reconstruction, rehabilitation, improvement, financing, architectural planning and installation of capital facilities, including but not limited to those required for special education building projects provided for in Article 14 of The School Code, consisting of buildings, structures, and durable equipment, and for the acquisition and improvement of real property and interests in real property required, or expected to be required, in connection therewith.
    (b) $22,550,000, or so much thereof as may be necessary, for grants to school districts for the making of principal and interest payments, required to be made, on bonds issued by such school districts after January 1, 1969, pursuant to any indenture, ordinance, resolution, agreement or contract to provide funds for the acquisition, development, construction, reconstruction, rehabilitation, improvement, architectural planning and installation of capital facilities consisting of buildings, structures, durable equipment and land for educational purposes or for lease payments required to be made by a school district for principal and interest payments on bonds issued by a Public Building Commission after January 1, 1969.
    (c) $10,000,000 for grants to school districts for the acquisition, development, construction, reconstruction, rehabilitation, improvement, architectural planning and installation of capital facilities consisting of buildings structures, durable equipment and land for special education building projects.
    (d) $9,000,000 for grants to school districts for the reconstruction, rehabilitation, improvement, financing and architectural planning of capital facilities, including construction at another location to replace such capital facilities, consisting of those public school buildings and temporary school facilities which, prior to January 1, 1984, were condemned by the regional superintendent under Section 3‑14.22 of The School Code or by any State official having jurisdiction over building safety.
    (e) $3,050,000,000 for grants to school districts for school improvement projects authorized by the School Construction Law. The bonds shall be sold in amounts not to exceed the following schedule, except any bonds not sold during one year shall be added to the bonds to be sold during the remainder of the schedule:
    First year....................................$200,000,000
    Second year...................................$450,000,000
    Third year....................................$500,000,000
    Fourth year...................................$500,000,000
    Fifth year....................................$800,000,000
    Sixth year and thereafter.....................$600,000,000
    (f) $420,000,000 grants to school districts for school implemented projects authorized by the School Construction Law.
(Source: P.A. 96‑36, eff. 7‑13‑09.)

    (30 ILCS 330/6)(from Ch. 127, par. 656)
    Sec. 6. Anti‑Pollution.
    (a) The amount of $369,815,000 is authorized for allocation by the Environmental Protection Agency for grants or loans to units of local government in such amounts, at such times and for such purpose as the Agency deems necessary or desirable for the planning, financing, and construction of municipal 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 $215,500,000 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. 96‑36, eff. 7‑13‑09.)

    (30 ILCS 330/7)(from Ch. 127, par. 657)
    Sec. 7. Coal and Energy Development. The amount of $698,200,000 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 1‑56 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) $115,000,000 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) $35,000,000 is for the purposes specified in Section 8.1 of the Energy Conservation and Coal Development Act and making a grant 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) $500,000,000 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) $35,000,000 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 1‑56 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. 95‑1026, eff. 1‑12‑09; 96‑781, eff. 8‑28‑09.)

    (30 ILCS 330/7.2)
    Sec. 7.2. State pension funding.
    (a) The amount of $10,000,000,000 is authorized to be used for the purpose of making contributions to the designated retirement systems. For the purposes of this Section, "designated retirement systems" means the State Employees' Retirement System of Illinois; the Teachers' Retirement System of the State of Illinois; the State Universities Retirement System; the Judges Retirement System of Illinois; and the General Assembly Retirement System.
    The amount of $3,466,000,000 of Bonds authorized by this amendatory Act of the 96th General Assembly is authorized to be used for the purpose of making a portion of the State's Fiscal Year 2010 required contributions to the designated retirement systems.
    (b) The Pension Contribution Fund is created as a special fund in the State Treasury.
    The proceeds of the additional $10,000,000,000 of Bonds authorized by Public Act 93‑2, less the amounts authorized in the Bond Sale Order to be deposited directly into the capitalized interest account of the General Obligation Bond Retirement and Interest Fund or otherwise directly paid out for bond sale expenses under Section 8, shall be deposited into the Pension Contribution Fund and used as provided in this Section.
    The proceeds of the additional $