98TH GENERAL ASSEMBLY
State of Illinois
2013 and 2014
HB2572

 

Introduced , by Rep. Thaddeus Jones

 

SYNOPSIS AS INTRODUCED:
 
New Act

    Creates the Local Government Stabilization Authority Act. Authorizes the corporate authorities of a county, municipality, or township to create, by ordinance, a Local Government Stabilization Authority that shall use available funds to facilitate the return of vacant, abandoned, and tax-delinquent properties to productive use, combatting community deterioration and creating economic growth. Provides definitions. Sets forth procedure regarding the creation of the Authority and funding sources. Further provides for the following: (1) the Authority's tax-exempt status; (2) the appointment of the Board of Directors and Chairperson, their terms of office, their removal, and vacancies; (3) the responsibilities and powers of the Board of Directors; and (4) an Executive Director to administer the Authority on a day-to-day basis. Sets forth the powers of the Authority to implement the purpose of the Act, including the authority to borrow money, enter into partnerships and joint ventures, and contract for goods and services. Permits the Authority to acquire, hold, manage, and dispose of real property. Requires the Authority to prepare an annual budget and provide annual financial statements and reports to the corporate authorities. Permits the corporate authorities to dissolve the Authority and provides requirements regarding the Authority's debts, liabilities, and obligations. Effective immediately.


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A BILL FOR

 

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1    AN ACT concerning local government.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 1. Short title. This Act may be cited as the Local
5Government Stabilization Authority.
 
6    Section 5. Purpose. The purpose of this Act is to create a
7Local Government Stabilization Authority that shall use
8available resources to facilitate the return of vacant,
9abandoned, and tax-delinquent properties to productive use
10thereby combating community deterioration, creating economic
11growth, and stabilizing the housing and job market.
12    The Authority will acquire, hold, and transfer interest in
13real property throughout the township, municipality, or
14county, as applicable, as approved by the Board of Directors
15for the following purposes, in a way that is consistent with
16the goals and priorities established by this Act:
17        (a) to promote redevelopment and reuse of vacant,
18    abandoned, and tax-delinquent properties; and
19        (b) to support targeted efforts to stabilize
20    neighborhoods;
21        (c) to stimulate residential, commercial and
22    industrial development; and
23        (d) to repair and renovate the homes of senior citizens

 

 

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1    that have deteriorated over time.
 
2    Section 10. Definitions. The following words and terms
3shall have the meanings set forth in this Section, except where
4otherwise specifically indicated:
5    "Authority" means the Local Government Stabilization
6Authority;
7    "Board of Directors" means the Board of Directors of the
8Local Government Stabilization Authority;
9    "Chairperson" means the chairperson of the Local
10Government Stabilization Authority Board;
11    "Corporate authorities" means the board of trustees of a
12township, the board of trustees of a county, or the city
13council of a municipality, as applicable, with a population of
14at least 5,000 persons;
15    "Director" means the Executive Director of the Local
16Government Stabilization Authority;
17    "Fiscal Year" means the fiscal year of the Local Government
18Stabilization Authority, which shall begin on December 1st of
19each year and end on the following November 30th;
20    "Member" means a member of the Board of Directors.
21    "Person" means any individual, corporation, limited
22liability corporation, organization, government, governmental
23subdivision or agency, business trust, estate, trust,
24partnership, association and any other legal entity.
25    "Real Property" means all land and the buildings thereon,

 

 

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1all things permanently attached to land or to the buildings
2thereon, and any interest existing in, issuing out of, or
3dependent upon land or the buildings thereon.
 
4    Section 15. Creation; funding; assets.
5    (a) The corporate authorities may, by ordinance, establish
6the Local Government Stabilization Authority to be an agency of
7the township, municipality, or county, as applicable. All
8personnel, facilities, equipment and supplies within the
9Authority shall be governed by a Board of Directors as provided
10herein. The Board of Directors shall be accountable to the
11corporate authorities.
12    (b) The Local Government Stabilization Authority shall
13receive funding from the reserves of the school districts
14within the area governed by the corporate authorities enacting
15the ordinance. The Authority shall also apply for federal
16stabilization funding.
17    (c) Title to Local Government Stabilization Authority
18Assets. Except as otherwise provided in this Act, the corporate
19authorities shall hold title to all Real Property controlled by
20the Authority.
 
21    Section 20. Tax-exempt Status. The activities of the
22Authority pursuant to this Act are governmental functions
23carried out by an instrumentality or political subdivision of
24the State as described in Section 115 of Title 26 of the United

 

 

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1States Internal Revenue Code, or any corresponding provisions
2of any future tax code. The activities of the Authority shall
3be construed as governmental functions carried out by a
4political subdivision of this State, exempt to the extent
5provided under Illinois law from taxation by this State,
6including, but not limited to, ad valorem property tax
7exemption pursuant to the Property Tax Code.
 
8    Section 25. Authority Board of Directors; appointment. The
9Authority shall be governed by a Board of Directors that shall
10be appointed by the President or Chairman of the corporate
11authority, subject to approval by the corporate authority,
12within 45 days of the adoption of an ordinance pursuant to
13subsection (a) of Section 15 of this Act. The Board of
14Directors shall be residents of the township, municipality, or
15county, as applicable. The Board of Directors shall consist of
1612 members.
17    Candidates for the Board of Directors appointed by the
18corporate authorities shall be selected from the following
19categories:
20    (a) One corporate authority board member to serve as an
21Ex-Officio Member with voting rights. The Ex-Officio Member
22shall serve as a liaison between the corporate authority and
23the Board of Directors;
24    (b) Three representatives recommended by the mayor,
25president, or manager, as applicable.

 

 

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1    (c) One representative from the local economic development
2community;
3    (d) One representative from a community development
4finance institution;
5    (e) One representative from the banking community;
6    (f) One representative from a local or state Realtor
7Association;
8    (g) One representative from the non-profit development
9community;
10    (h) One representative from the commercial or industrial
11development community;
12    (i) One representative from the open space community; and
13    (j) One representative from a township, municipal, or
14county community organization.
 
15    Section 30. Term of office. Except as otherwise provided in
16this Section, the members of the Board of Directors appointed
17under Section 25 shall be appointed for a term of 3 years.
18    (a) Ex-Officio Member. The ex-officio member shall serve as
19the ex-officio member for the length of the board member's term
20on the board of the corporate authority.
21    (b) The Remaining Members. The remaining 12 members of the
22Board of Directors shall serve terms as follows:
23        (1) For the initial Members:
24            (a) Three of the Members, subject to the approval
25        of the corporate authorities, shall serve a term that

 

 

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1        expires on January, 1, 2015.
2            (b) Three of the Members, subject to the approval
3        of the corporate authority, shall serve a term that
4        expires on January, 1, 2016.
5            (c) Three of the Members, subject to the approval
6        of the corporate authorities, shall serve a term that
7        expires on January, 1, 2017.
8            (d) Three of the Members, subject to the approval
9        of the corporate authorities, shall serve a term that
10        expires on January 1, 2018.
11        (2) Thereafter, the Members, other than the ex-officio
12    member appointed, shall serve a term of 3 years.
13            (a) Each Member, whether initial or subsequent,
14        shall serve until a successor is appointed.
15            (b) Any Member who is appointed to fill a vacancy,
16        other than a vacancy caused by the expiration of the
17        predecessor's term, shall serve until the expiration
18        of his or her predecessor's term.
19        (3) Other than the Ex-Officio Commissioner, a Member
20    may not serve more than 2 consecutive full terms.
 
21    Section 35. Chairperson; members of the Board of Directors.
22    (a) The Board of Directors shall select the initial
23Chairperson of the Board from among the initial members. The
24Chairperson shall serve one 2-year term as Chairperson and,
25thereafter, the Board of Directors shall annually elect a

 

 

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1Chairperson from among the members.
2        (1) The Chairperson shall preside at meetings of the
3    Board of Directors and is entitled to vote on all matters
4    before the Board of Directors.
5        (2) A Member may be elected to serve successive terms
6    as Chairperson.
7    (b) The Board of Directors may appoint, from its Members, a
8Member to serve as the Local Government Stabilization Authority
9secretary and appoint additional officers from its Members as
10it may deem appropriate.
 
11    Section 40. Removal. A Member may be removed by the
12corporate authorities prior to the expiration of the Member's
13term of appointment for good cause. Good cause includes
14inefficiency, neglect of duty, malfeasance, or any cause which
15renders the member unfit for the position or unable to perform
16the duties of the position. The corporate authorities shall
17provide written notice to that Member and the Chairperson of
18the Board of the removal of that Member from the Board of
19Directors. The notice shall state the specific grounds which
20constitute cause for removal. The Member, in receipt of such
21notice, may request to appear before the corporate authorities
22and present reasons in support of his or her retention.
23Thereafter, the corporate authorities shall vote upon whether
24there are sufficient grounds to remove that Member from office.
25The chairperson of the corporate authorities shall notify the

 

 

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1Member of the final action of the corporate authorities.
 
2    Section 45. Vacancies. Any vacancy on the Board of
3Directors caused by death, resignation, disqualification, or
4removal shall be filled by the corporate authorities as soon as
5practicable, but not to exceed 60 days following the occurrence
6of the vacancy. The vacancy shall be filled for the remainder
7of the unexpired term in the same manner as the original
8appointment. Expired terms shall be filled by the corporate
9authorities within 60 days after the term's expiration in the
10same manner as the original appointment.
 
11    Section 50. Meetings. The Board of Directors shall conduct
12its first meeting no later than 60 days after the appointment
13of the Board of Directors. The place, date, and time of the
14Local Government Stabilization Authority meetings shall be
15determined at the discretion of the Board of Directors. All
16meetings of the Board of Directors shall comply with the
17Illinois Open Meetings Act.
 
18    Section 55. Bylaws; policies; procedures. The Board of
19Directors shall adopt bylaws, procedures and policies
20consistent with the provisions of this Act within 120 days
21after the first meeting of the Board of Directors.
 
22    Section 60. Quorum and voting. A quorum shall be necessary

 

 

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1for the transaction of any business by the Board of Directors.
2A majority of the Members of the Board of Directors shall
3constitute a quorum. The Board of Directors shall act by a
4majority vote of the Members at a meeting at which a quorum is
5present, except as otherwise provided in this Act. Presence for
6both quorum and voting at a Local Government Stabilization
7Authority meeting shall be articulated by the Board of
8Directors in its bylaws or procedures in a manner consistent
9with the Open Meetings Act.
 
10    Section 65. Records of meetings. Minutes of all meetings of
11the Board of Directors and its Committees shall be made and
12maintained as required by the Open Meetings Act.
 
13    Section 70. Board of Directors; responsibilities. The
14Board of Directors shall:
15    (a) ensure that all personnel matters are conducted free
16from any political interference and in accordance with the
17provisions of the Supplemental Relief Order and Consent Decree
18established in the federal civil litigation filed in the
19Northern District of Illinois under Case No. 69 C 2145 and
20titled Shakman, et al. v. Democratic Organization, et al. and
21all applicable laws;
22    (b) ensure that all operations, including contractual
23matters, are conducted free from any political interference;
24and

 

 

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1    (c) ensure efficiency in service delivery and sound fiscal
2management of all aspects of the Local Government Stabilization
3Authority including the collection of all revenues from all
4sources.
 
5    Section 75. Board of Directors; actions. The Board of
6Directors shall do all of the following that is consistent with
7Illinois law:
8    (a) adopt, amend or repeal rules and policies and
9procedures governing the Board of Directors and its actions and
10meetings, and adopt, amend or repeal policies and procedures to
11implement day-to-day operation of the Local Government
12Stabilization Authority, including policies governing any
13staff of the Local Government Stabilization Authority;
14    (b) elect additional officers, including, but not limited
15to, initial officers who shall be elected at the first meeting
16of the Board of Directors, in accordance with the bylaws;
17    (c) provide for a system of accounting;
18    (d) adopt or amend the Authority's budget to submit
19annually to the corporate authorities for approval and adoption
20in a time frame mandated by the corporate authorities;
21    (e) adopt, amend, or repeal policies and procedures for
22contracting and procurement which must be consistent with the
23provisions set forth in the local Code;
24    (f) commission, collect, and receive data from public,
25private, professional, and volunteer sources to compile an

 

 

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1inventory an analysis of desirable properties for acquisition;
2    (g) establish banking arrangements for the Authority
3pursuant to Section 160 of this Act;
4    (h) organize and reorganize the executive, administrative,
5clerical, and other departments of the Authority and fix the
6duties, powers, and compensation of all employees, agents and
7consultants of the Authority.
 
8    Section 80. Fiduciary duty. The Members of the Board of
9Directors are under a fiduciary duty to conduct the activities
10and affairs of the Authority in the best interests of the
11residents of the county, township, or municipality, as
12applicable, including the safekeeping and use of all Local
13Government Stabilization Authority monies and assets. The
14members of the Board of Directors shall discharge their duties
15in good faith, with the care an ordinarily prudent person in a
16like position would exercise under similar circumstances.
 
17    Section 85. Compensation. The Members of the Board of
18Directors shall receive no compensation for the performance of
19their duties. A Member may engage in private or public
20employment, or in a profession or business, except to the
21extent prohibited by Illinois law or local ordinance. The
22Authority may reimburse members of the Board of Directors for
23actual and necessary expenses incurred in the discharge of
24their official duties, as provided by the Board of Directors.
 

 

 

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1    Section 90. Executive Director. The Board of Directors
2shall be authorized to retain the professional services of an
3individual to perform the duties of an Executive Director on a
4contractual basis with the advice and consent of the corporate
5authorities. The Executive Director shall not be an employee of
6the Authority or of the county, municipality, or township. The
7Director shall administer the Authority in accordance with the
8operating budget approved by the corporate authorities,
9general policy guidelines established by the Board of
10Directors, other applicable governmental procedures and
11policies, and this Act.
12    The Director shall be responsible for the day-to-day
13operations of the Authority, the control, management, and
14oversight of the Authority's functions, and supervision of all
15of the Authority's contractual agreements. All terms and
16conditions of the Director's service shall be specified in a
17written contract between the Director and the Board of
18Directors. The Director may be removed by the corporate
19authorities or the Board of Directors for good cause, prior to
20the expiration of the Director's contract. Good cause includes
21inefficiency, neglect of duty, malfeasance, or any cause which
22renders the Director unfit or unable to perform the scope of
23work. The Board of Directors may delegate to the Director any
24powers or duties it considers proper, under such terms,
25conditions and to the extent that the Board of Directors may

 

 

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1specify.
 
2    Section 95. Staffing services. The Board of Directors may
3approve contracts for staffing as requested by the Executive
4Director that are deemed necessary to carry out the duties and
5responsibilities of the Authority and in accordance with the
6policies and procedures established by the Board. Such staff
7shall be retained pursuant to contracts entered into in
8accordance with the procurement rules established by the Board.
 
9    Section 100. Ethics. The Board of Directors shall be
10subject to the all State of Illinois ethics laws.
 
11    Section 105. Indemnification.
12    (a) The county, municipality, or township, as applicable,
13shall defend and indemnify the Authority and the Members Board
14of Directors with respect to all claims or judgments arising
15out of their activities as Members with respect to all
16negligence claims, and claims or judgments arising out of the
17Authority's activities performed on behalf of the county,
18municipality, or township.
19    (b) The county, municipality, or township shall not be
20obligated to indemnify the Authority or Member for:
21        (1) Punitive damages or liability arising out of
22    conduct which is based upon willful or wanton conduct.
23        (2) Conduct which is outside of the scope of the

 

 

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1    Authority's authority.
2        (3) Any settlement or judgment in which the county,
3    municipality, or township did not participate.
4        (4) The defense of any criminal or disciplinary
5    proceeding.
 
6    Section 110. General powers. The Authority has the power to
7do all things necessary or convenient to implement the
8purposes, objectives, and provisions of this Act including, but
9not limited to, the following:
10    (a) to adopt, amend, and repeal bylaws for the regulation
11of its affairs and the conduct of its business;
12    (b) to acquire by purchase, donation, or other transfers
13and to hold, lease, manage, and dispose of Real Property of
14every kind and character, or any interest therein, in
15furtherance of the public purposes of the Authority;
16    (c) to discharge and extinguish Real Property taxes owed to
17the county, township, municipality, or to a Party, pursuant to
18an Agreement with such Party, that encumber Real Property owned
19by the these entities through the Authority, as permitted by
20the Property Tax Code or other applicable law;
21    (d) to pay any tax or special assessment due on Real
22Property acquired or owned by the Authority;
23    (e) to acquire, accept, or retain equitable interests,
24security interests, or other interests in any Real Property or
25other fixtures by loan agreement, note, mortgage, deed to

 

 

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1secure debt, trust deed, security agreement, assignment,
2pledge, conveyance, contract, lien, or other consensual
3transfer in order to secure the repayment of any moneys loaned
4or credit extended by the Authority;
5    (f) to borrow money from private lenders, from cities or
6counties, from the State or from federal government funds,
7subject to the approval of the corporate authorities, to
8further or carry out the Authority's public purpose by
9executing leases, trust indentures, trust agreements,
10agreements for the sale notes, loan agreements, mortgages,
11deeds to secure debt, trust deeds, security agreements,
12assignments, and such other agreements or instruments as may be
13necessary or desirable, in the judgment of the Authority, to
14evidence and to provide security for such borrowing.
15    (g) to apply directly or indirectly to any federal, state,
16county, or municipal government or agency or to any other
17source, whether public or private, for loans, grants, gifts,
18guarantees, labor, or other aid or financial assistance in
19furtherance of the Authority's public purpose and to accept and
20use the same upon such terms and conditions as are prescribed
21by such federal, state, county, or municipal government or
22agency or other source;
23    (h) to enter into agreements with the federal government or
24any agency thereof to use the facilities or services of the
25federal government or any agency thereof in order to further or
26carry out the public purposes of the Authority;

 

 

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1    (i) to extend credit or make loans to any Person, subject
2to limitations established by the corporate authorities, for
3the costs of any Authority projects, or any part of the costs
4of any Authority projects which credit or loans may be
5evidenced or secured by loan agreements, notes, mortgages,
6deeds to secure debt, trust deeds, security agreements,
7assignments, or such other instruments, or by rentals,
8revenues, fees, or charges, upon such terms and conditions as
9the Authority shall determine to be reasonable in connection
10with such extension of credit or loans, including provision for
11the establishment and maintenance of reserve funds, and, in the
12exercise of powers granted by the corporate authorities through
13this Act in connection with any Authority projects, the
14Authority shall have the right and power to require the
15inclusion in any such loan agreement, note, mortgage, deed to
16secure debt, trust deed, security agreement, assignment, or
17other instrument such provisions or requirements, including
18but not limited to: guarantee any obligations, insurance,
19construction, use, operation, maintenance, and financing and
20such other terms and conditions, as the Authority may deem
21necessary or desirable;
22    (j) as security for repayment of any note, or other
23obligations of the Authority, to pledge, mortgage, convey,
24assign, hypothecate, or otherwise encumber any property of the
25Authority, including, but not limited to, Real Property,
26fixtures, and revenues or other funds, and to execute any

 

 

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1lease, trust indenture, trust agreement, agreement for the sale
2of the Authority's notes, or other obligations, loan agreement,
3mortgage, deed to secure debt, trust deed, security agreement,
4assignment, or other agreement or instrument as may be
5necessary or desirable, in the judgment of the Authority, to
6secure any such notes, or other obligations, which instruments
7or agreements may provide for foreclosure or forced sale of any
8Real Property of the Authority upon default in any obligation
9of the Authority, either in payment of principal, premium, if
10any, or interest or in the performance of any term or condition
11contained in any such agreement or instrument;
12    (k) to receive and administer gifts, grants, and bequests
13of money and Real Property consistent with the purpose of the
14Authority;
15    (l) to use any Real Property or fixtures or any interest
16therein or to rent, license or lease such Real Property to or
17from others or make contracts with respect to the use thereof,
18or to sell, lease, exchange, transfer, assign, pledge, or
19otherwise dispose of or grant options for any such Real
20Property in any manner as it deems to be in the best interests
21of the Authority and the public purpose thereof;
22    (m) to procure insurance or guarantees from the State
23Legislature or federal government of the payments of any debts
24or parts thereof incurred by the Authority, and to pay premiums
25in connection therewith;
26    (n) to procure, if required, insurance against losses in

 

 

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1connection with the Real Property, assets, or activities of the
2Authority;
3    (o) to enter into contracts and other instruments
4necessary, incidental, or convenient to the performance of its
5duties and the exercise of its powers, including, but not
6limited to, an Agreement with a Party for the joint exercise of
7powers. An Agreement with a Party may include contracts for the
8performance of services by a Party on behalf of the Local
9Government Stabilization Authority or by the Authority on
10behalf of a Party;
11    (p) to enter into partnerships, joint ventures, and other
12collaborative relationships with municipalities and other
13public and private entities for the ownership, management,
14development, and disposition of Real Property;
15    (q) to enter into contracts and other instruments
16necessary, incidental, or convenient to the performance of its
17duties and the exercise of its powers, including, but not
18limited to, agreements with a Party regarding the disposition
19of Authority properties located within their boundaries;
20    (r) to finance, by loan, grant, lease, or otherwise,
21refinance, construct, erect, assemble, purchase, acquire, own,
22repair, remodel, rehabilitate, modify, maintain, extend,
23improve, install, sell, equip, expand, add to, operate, or
24manage Real Property or rights or interests in Real Property,
25and to pay the costs of any such project from the proceeds of
26revenue bonds, loans by persons, corporations, partnerships,

 

 

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1whether limited or general, or other entities, all of which the
2Authority is authorized to receive, accept, and use;
3    (s) to fix, charge, and collect rents, fees, licenses and
4charges for the use of Real Property of the Authority and for
5services provided by the Local Government Stabilization
6Authority;
7    (t) to grant or acquire a license, easement, lease (as
8lessor or lessee), or option with respect to Real Property of
9the Authority;
10    (u) to enter into contracts with nonprofit community land
11trusts, including, but not limited to, long-term lease
12contracts;
13    (v) to contract for goods and services and engage personnel
14as necessary, to be paid from the funds of the Authority. The
15Board shall determine the qualifications, duties, and
16compensation of those it contracts with and employs;
17    (w) to organize and reorganize the executive,
18administrative, clerical, and other departments of the Local
19Government Stabilization Authority and to fix the duties,
20powers, and compensation of all employees, agents, and
21consultants of the Authority;
22    (x) to remediate environmental contamination on any Real
23Property held by the Authority;
24    (y) to acquire, hold and manage property pursuant to this
25Act;
26    (z) to dispose of property pursuant to this Act; and

 

 

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1    (aa) to do all other things necessary or convenient to
2achieve the objectives and purposes of the Authority or other
3laws that relate to the purposes and responsibilities of the
4Authority.
 
5    Section 115. No waiver of governmental immunity.Nothing in
6this Act is intended, nor shall be construed, as a waiver by
7the county, township, or municipality enacting an ordinance
8that creates a Local Government Stabilization Authority under
9this Act of any governmental immunity provided under any
10applicable law.
 
11    Section 120. Non-discrimination. The Authority shall
12comply with all applicable laws prohibiting discrimination.
 
13    Section 125. Acquisition of real property.
14    (a) The Authority may acquire real property or rights or
15interests in real property by gift, bequest, transfer,
16exchange, foreclosure, purchase, purchase contracts, lease
17purchase agreements, installment sales contracts, land
18contracts, tax sale, scavenger sale or otherwise, on terms and
19conditions and in a manner the Authority considers proper.
20    (b) The Authority may acquire any property conveyed to it
21by this State, a foreclosing governmental unit, a unit of local
22government, an intergovernmental entity created under the laws
23of this State, or any other public or private person,

 

 

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1including, but not limited to, property without clear title.
2    (c) All deeds, mortgages, contracts, leases, purchases, or
3other agreements regarding property of the Authority,
4including agreements to acquire or dispose of real property,
5shall be approved by and executed by the Authority, in the name
6of the county, municipality, or township.
7    (d) The Authority shall have the right to purchase
8properties, in the name of the county, municipality, or
9township, at tax sales conducted in accordance with the
10Property Tax Code. The Authority may tender a bid at a tax sale
11that is a credit bid, consisting of the obligation of the
12Authority to satisfy the component parts of the bid by payments
13to the respective political subdivisions.
14    (e) The Authority shall have the right to make offers to
15purchase properties that are subject to a listing agreement;
16said offer or purchase of a property by the Authority that is
17subject to a listing agreement shall not extinguish any legal
18rights existing under the listing agreement.
 
19    Section 130. Holding and managing property. The Authority
20may control, manage, maintain, operate, repair, lease as
21lessor, license, secure, prevent the waste or deterioration of,
22demolish, and take all other actions necessary to preserve the
23value of the Real Property it controls on behalf of the county,
24township, or municipality. The Authority shall maintain all
25such Real Property held by the Local Government Stabilization

 

 

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1Authority in accordance with applicable laws and codes. Such
2Real Property shall be inventoried and classified by the
3Authority according to suitability for use. The inventory shall
4be maintained as a public record and shall be filed
5electronically and in the principal office of the Authority.
 
6    Section 135. Property disposition. On terms and
7conditions, and in a manner and for an amount of consideration
8that the Authority considers proper, fair, and reasonable,
9including for no monetary consideration if appropriate, the
10Authority may convey, sell, transfer, exchange, lease as
11lessor, or otherwise dispose of Real Property or rights or
12interests in Real Property that the Authority controls and the
13county, township, or municipality holds a legal interest to any
14public or private Person. The transfer and use of property
15under this section and the exercise by the Authority of powers
16and duties under this Act shall be considered a necessary
17public purpose and for the benefit of the public.
 
18    Section 140. Criteria for conveyance. Real Property shall
19be conveyed by the Authority in accordance with this Act and
20according to criteria determined in the discretion of the Board
21and contained in the policies and procedures adopted by the
22Board. The Board may adopt policies and procedures that set
23forth priorities for a transferee's use of Real Property
24conveyed by the Authority, including, but not limited to,

 

 

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1affordable housing.
 
2    Section 145. Transactions. Transactions shall be
3structured in a manner that permits the Authority to enforce
4contractual agreements, real covenants, and the provisions of
5any subordinate financing held by the Authority pertaining to
6development and use of the Real Property.
 
7    Section 150. Disposition of proceeds. Any proceeds from the
8sale or transfer of Real Property by the Authority shall be
9retained, expended, or transferred by the Authority as
10determined by the Board in the best interests of the Authority
11and in accordance with applicable laws and Agreements.
 
12    Section 155. Intergovernmental agreements.
13    (a) The Board of Directors may negotiate and propose
14Agreements necessary, incidental, or convenient to the
15performance of its duties and the exercise of its powers with
16any unit of local government subject to the approval of the
17corporate authorities. An Agreement may include, but is not be
18limited to, contracts for the joint exercise of powers,
19contracts for the ownership, management, development, and
20disposition of Real Property, or contracts for the performance
21of services by a local unit of government on behalf of the
22Local Government Stabilization Authority or by the Local
23Government Stabilization Authority on behalf of a local unit of

 

 

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1government.
2    (b) The parties to the intergovernmental agreements shall
3agree that no party to an intergovernmental agreement shall be
4responsible, in whole or in part, for the acts of the
5employees, agents, and servants of any other party, whether
6acting separately or in conjunction with the implementation of
7an Agreement. The parties shall only be bound and obligated
8under an Agreement as expressly agreed to by each party.
9    (c) All agreements shall in all respects be interpreted,
10enforced, and governed under the laws of the State of Illinois
11without regard to the doctrines of conflict of laws. The
12language of all parts of an Agreement shall in all cases be
13construed as a whole according to its plain and fair meaning,
14and not construed strictly for or against any Party.
 
15    Section 160. Records. The Authority shall keep and maintain
16at the principal office of the Authority all documents and
17records of the Authority. The records of the Authority, which
18shall be available to the public, shall include, but not be
19limited to, a copy of this Act, a copy of the ordinance
20creating the Authority, the Authority's bylaws, and any
21agreements, along with any amendments thereto. The records and
22documents shall be maintained and shall be delivered to any
23successor entity.
 
24    Section 165. Financial statements and reports. The

 

 

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1Authority shall cause to be prepared, at the Authority's
2expense, audited financial statements, including a balance
3sheet, statement of revenue and expense, statement of cash
4flows, and changes in fund balance, on an annual basis. This
5financial statements shall be prepared in accordance with
6generally accepted accounting principles and accompanied by a
7written opinion of an independent certified public accounting
8firm.
 
9    Section 170. Annual budget.
10    (a) The Authority shall prepare an annual budget in a
11manner and under a time frame mandated by the corporate
12authorities.
13    (b) The obligations and expenditures of the Board of
14Directors shall conform to the any applicable local
15appropriation ordinance, provided that the corporate
16authorities retain the authority to impose additional
17limitations. Any commitment, contract or other obligation
18entered into by the Board in derogation of this Section shall
19be voidable by the corporate authorities.
 
20    Section 175. Deposits and investments. The Authority shall
21deposit funds of the Authority in a special fund to be held by
22the Treasurer of the county, municipality, or township, to be
23designated as the "Local Government Stabilization Authority
24Fund" and to be expended exclusively for the operation of the

 

 

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1Authority.
 
2    Section 180. Disbursements. Expenditures of funds from the
3Local Government Stabilization Authority Fund shall be in
4accordance with guidelines established by the Board of
5Directors.
 
6    Section 185. Performance objectives. Each Fiscal Year, the
7Director, or other individual designated by the Board of
8Directors, shall prepare, for review and approval by the Board
9of Directors, objectives for the Authority's performance.
 
10    Section 190. Annual report.
11    (a) The Board of Directors shall submit to the corporate
12authorities, within 6 months after the end of each Fiscal Year,
13a report that shall set forth a complete and detailed operating
14and financial statement of the Authority during such Fiscal
15Year.
16    (b) Included in the report shall be any recommendations for
17additional legislation or other action which may be necessary
18to carry out the mission, purpose and intent of the Authority.
 
19    Section 195. Management of funds. The Director, or other
20individual designated by the Board of Directors, shall be
21authorized to make deposits and withdraw funds from the Local
22Government Stabilization Authority Fund for the management of

 

 

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1sales proceeds, revenue, and other Authority funds as
2authorized by the Board of Directors. Standard accounting
3procedures shall be used in the management of accounts and
4approved by the corporate authorities.
 
5    Section 200. Authorized expenditures. The Authority shall
6in its sole discretion and within its budget, expend such funds
7as necessary to carry out the powers, duties, functions, and
8responsibilities of a Local Government Stabilization Authority
9under this Act.
 
10    Section 205. Dissolution of assets. Upon determining that
11the purposes of the Authority have been completed and that
12there is no longer a need for the Authority's continued
13existence, the corporate authorities may repeal the enacting
14ordinance and dissolve the Authority, provided, however, that
15the effective date of any such repeal shall provide sufficient
16time for the Authority to carry out the provisions set forth in
17Section 190.
18    As soon as possible after notice of the repeal of this Act
19or the repeal of a local enacting ordinance, the Authority
20shall finish its affairs as follows:
21    (a) all of the Authority's debts, liabilities, and
22obligations to its creditors and all expenses incurred in
23connection with the termination of the Authority and
24distribution of its assets shall be paid first; and

 

 

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1    (b) the remaining Real Property and personal property owned
2by the Authority, if any, shall be distributed to any successor
3entity, subject to approval by the corporate authorities. In
4the event that no successor entity exists, the remaining Real
5Property and personal property, and other assets of the
6Authority, shall become assets of the corporate authorities,
7unless provided otherwise in any applicable agreements.
 
8    Section 210. Interpretation. All powers granted to the
9Local Government Stabilization Authority under this Act shall
10be interpreted broadly to effectuate the intent and purposes of
11this Act and not to serve as a limitation of powers.
 
12    Section 215. Severability. The invalidity of any clause,
13sentence, paragraph, subdivision, section, or portion thereof,
14shall not affect the validity of the remaining provisions of
15this Act.
 
16    Section 999. Effective date. This Act takes effect upon
17becoming law.