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Full Text of SB1609  96th General Assembly

SB1609enr 96TH GENERAL ASSEMBLY



 


 
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1     AN ACT concerning finance.
 
2     Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
 
4     Section 5. The General Obligation Bond Act is amended by
5 changing Sections 9, 11, and 16 as follows:
 
6     (30 ILCS 330/9)  (from Ch. 127, par. 659)
7     Sec. 9. Conditions for Issuance and Sale of Bonds -
8 Requirements for Bonds.
9     (a) Except as otherwise provided in this subsection, Bonds
10 shall be issued and sold from time to time, in one or more
11 series, in such amounts and at such prices as may be directed
12 by the Governor, upon recommendation by the Director of the
13 Governor's Office of Management and Budget. Bonds shall be in
14 such form (either coupon, registered or book entry), in such
15 denominations, payable within 25 years from their date, subject
16 to such terms of redemption with or without premium, bear
17 interest payable at such times and at such fixed or variable
18 rate or rates, and be dated as shall be fixed and determined by
19 the Director of the Governor's Office of Management and Budget
20 in the order authorizing the issuance and sale of any series of
21 Bonds, which order shall be approved by the Governor and is
22 herein called a "Bond Sale Order"; provided however, that
23 interest payable at fixed or variable rates shall not exceed

 

 

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1 that permitted in the Bond Authorization Act, as now or
2 hereafter amended. Bonds shall be payable at such place or
3 places, within or without the State of Illinois, and may be
4 made registrable as to either principal or as to both principal
5 and interest, as shall be specified in the Bond Sale Order.
6 Bonds may be callable or subject to purchase and retirement or
7 tender and remarketing as fixed and determined in the Bond Sale
8 Order. Bonds (i) except for refunding Bonds satisfying the
9 requirements of Section 16 of this Act and sold during fiscal
10 year 2009, 2010, or 2011, must be issued with principal or
11 mandatory redemption amounts in equal amounts, with the first
12 maturity issued occurring within the fiscal year in which the
13 Bonds are issued or within the next succeeding fiscal year and
14 (ii) must mature or be , with Bonds issued maturing or subject
15 to mandatory redemption each fiscal year thereafter up to 25
16 years, except for refunding Bonds satisfying the requirements
17 of Section 16 of this Act and sold during fiscal year 2009,
18 2010, or 2011 which must mature or be subject to mandatory
19 redemption each fiscal year thereafter up to 16 years.
20     In the case of any series of Bonds bearing interest at a
21 variable interest rate ("Variable Rate Bonds"), in lieu of
22 determining the rate or rates at which such series of Variable
23 Rate Bonds shall bear interest and the price or prices at which
24 such Variable Rate Bonds shall be initially sold or remarketed
25 (in the event of purchase and subsequent resale), the Bond Sale
26 Order may provide that such interest rates and prices may vary

 

 

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1 from time to time depending on criteria established in such
2 Bond Sale Order, which criteria may include, without
3 limitation, references to indices or variations in interest
4 rates as may, in the judgment of a remarketing agent, be
5 necessary to cause Variable Rate Bonds of such series to be
6 remarketable from time to time at a price equal to their
7 principal amount, and may provide for appointment of a bank,
8 trust company, investment bank, or other financial institution
9 to serve as remarketing agent in that connection. The Bond Sale
10 Order may provide that alternative interest rates or provisions
11 for establishing alternative interest rates, different
12 security or claim priorities, or different call or amortization
13 provisions will apply during such times as Variable Rate Bonds
14 of any series are held by a person providing credit or
15 liquidity enhancement arrangements for such Bonds as
16 authorized in subsection (b) of this Section. The Bond Sale
17 Order may also provide for such variable interest rates to be
18 established pursuant to a process generally known as an auction
19 rate process and may provide for appointment of one or more
20 financial institutions to serve as auction agents and
21 broker-dealers in connection with the establishment of such
22 interest rates and the sale and remarketing of such Bonds.
23     (b) In connection with the issuance of any series of Bonds,
24 the State may enter into arrangements to provide additional
25 security and liquidity for such Bonds, including, without
26 limitation, bond or interest rate insurance or letters of

 

 

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1 credit, lines of credit, bond purchase contracts, or other
2 arrangements whereby funds are made available to retire or
3 purchase Bonds, thereby assuring the ability of owners of the
4 Bonds to sell or redeem their Bonds. The State may enter into
5 contracts and may agree to pay fees to persons providing such
6 arrangements, but only under circumstances where the Director
7 of the Governor's Office of Management and Budget certifies
8 that he or she reasonably expects the total interest paid or to
9 be paid on the Bonds, together with the fees for the
10 arrangements (being treated as if interest), would not, taken
11 together, cause the Bonds to bear interest, calculated to their
12 stated maturity, at a rate in excess of the rate that the Bonds
13 would bear in the absence of such arrangements.
14     The State may, with respect to Bonds issued or anticipated
15 to be issued, participate in and enter into arrangements with
16 respect to interest rate protection or exchange agreements,
17 guarantees, or financial futures contracts for the purpose of
18 limiting, reducing, or managing interest rate exposure. The
19 authority granted under this paragraph, however, shall not
20 increase the principal amount of Bonds authorized to be issued
21 by law. The arrangements may be executed and delivered by the
22 Director of the Governor's Office of Management and Budget on
23 behalf of the State. Net payments for such arrangements shall
24 constitute interest on the Bonds and shall be paid from the
25 General Obligation Bond Retirement and Interest Fund. The
26 Director of the Governor's Office of Management and Budget

 

 

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1 shall at least annually certify to the Governor and the State
2 Comptroller his or her estimate of the amounts of such net
3 payments to be included in the calculation of interest required
4 to be paid by the State.
5     (c) Prior to the issuance of any Variable Rate Bonds
6 pursuant to subsection (a), the Director of the Governor's
7 Office of Management and Budget shall adopt an interest rate
8 risk management policy providing that the amount of the State's
9 variable rate exposure with respect to Bonds shall not exceed
10 20%. This policy shall remain in effect while any Bonds are
11 outstanding and the issuance of Bonds shall be subject to the
12 terms of such policy. The terms of this policy may be amended
13 from time to time by the Director of the Governor's Office of
14 Management and Budget but in no event shall any amendment cause
15 the permitted level of the State's variable rate exposure with
16 respect to Bonds to exceed 20%.
17 (Source: P.A. 92-16, eff. 6-28-01; 93-9, eff. 6-3-03; 93-666,
18 eff. 3-5-04; 93-839, eff. 7-30-04.)
 
19     (30 ILCS 330/11)  (from Ch. 127, par. 661)
20     Sec. 11. Sale of Bonds. Except as otherwise provided in
21 this Section, Bonds shall be sold from time to time pursuant to
22 notice of sale and public bid or by negotiated sale in such
23 amounts and at such times as is directed by the Governor, upon
24 recommendation by the Director of the Governor's Office of
25 Management and Budget. At least 25%, based on total principal

 

 

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1 amount, of all Bonds issued each fiscal year shall be sold
2 pursuant to notice of sale and public bid. At all times during
3 each fiscal year, no more than 75%, based on total principal
4 amount, of the Bonds issued each fiscal year, shall have been
5 sold by negotiated sale. Failure to satisfy the requirements in
6 the preceding 2 sentences shall not affect the validity of any
7 previously issued Bonds; and further provided that refunding
8 Bonds satisfying the requirements of Section 16 of this Act and
9 sold during fiscal year 2009, 2010, or 2011 shall not be
10 subject to the requirements in the preceding 2 sentences.
11     If any Bonds, including refunding Bonds, are to be sold by
12 negotiated sale, the Director of the Governor's Office of
13 Management and Budget shall comply with the competitive request
14 for proposal process set forth in the Illinois Procurement Code
15 and all other applicable requirements of that Code.
16     If Bonds are to be sold pursuant to notice of sale and
17 public bid, the Director of the Governor's Office of Management
18 and Budget shall, from time to time, as Bonds are to be sold,
19 advertise the sale of the Bonds in at least 2 daily newspapers,
20 one of which is published in the City of Springfield and one in
21 the City of Chicago. The sale of the Bonds shall also be
22 advertised in the volume of the Illinois Procurement Bulletin
23 that is published by the Department of Central Management
24 Services. Each of the advertisements for proposals shall be
25 published once at least 10 days prior to the date fixed for the
26 opening of the bids. The Director of the Governor's Office of

 

 

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1 Management and Budget may reschedule the date of sale upon the
2 giving of such additional notice as the Director deems adequate
3 to inform prospective bidders of such change; provided,
4 however, that all other conditions of the sale shall continue
5 as originally advertised.
6     Executed Bonds shall, upon payment therefor, be delivered
7 to the purchaser, and the proceeds of Bonds shall be paid into
8 the State Treasury as directed by Section 12 of this Act.
9 (Source: P.A. 93-839, eff. 7-30-04.)
 
10     (30 ILCS 330/16)  (from Ch. 127, par. 666)
11     Sec. 16. Refunding Bonds. The State of Illinois is
12 authorized to issue, sell, and provide for the retirement of
13 General Obligation Bonds of the State of Illinois in the amount
14 of $4,839,025,000 $2,839,025,000, at any time and from time to
15 time outstanding, for the purpose of refunding any State of
16 Illinois general obligation Bonds then outstanding, including
17 the payment of any redemption premium thereon, any reasonable
18 expenses of such refunding, any interest accrued or to accrue
19 to the earliest or any subsequent date of redemption or
20 maturity of such outstanding Bonds and any interest to accrue
21 to the first interest payment on the refunding Bonds; provided
22 that all non-refunding Bonds in an issue that includes
23 refunding Bonds shall mature no later than the final maturity
24 date of Bonds being refunded; provided that no refunding Bonds
25 shall be offered for sale unless the net present value of debt

 

 

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1 service savings to be achieved by the issuance of the refunding
2 Bonds is 3% or more of the principal amount of the refunding
3 Bonds to be issued; and further provided that, except for
4 refunding Bonds sold in fiscal year 2009, 2010, or 2011, the
5 maturities of the refunding Bonds shall not extend beyond the
6 maturities of the Bonds they refund, so that for each fiscal
7 year in the maturity schedule of a particular issue of
8 refunding Bonds, the total amount of refunding principal
9 maturing and redemption amounts due in that fiscal year and all
10 prior fiscal years in that schedule shall be greater than or
11 equal to the total amount of refunded principal and redemption
12 amounts that had been due over that year and all prior fiscal
13 years prior to the refunding.
14      The Governor shall notify the State Treasurer and
15 Comptroller of such refunding. The proceeds received from the
16 sale of refunding Bonds shall be used for the retirement at
17 maturity or redemption of such outstanding Bonds on any
18 maturity or redemption date and, pending such use, shall be
19 placed in escrow, subject to such terms and conditions as shall
20 be provided for in the Bond Sale Order relating to the
21 Refunding Bonds. Proceeds not needed for deposit in an escrow
22 account shall be deposited in the General Obligation Bond
23 Retirement and Interest Fund. This Act shall constitute an
24 irrevocable and continuing appropriation of all amounts
25 necessary to establish an escrow account for the purpose of
26 refunding outstanding general obligation Bonds and to pay the

 

 

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1 reasonable expenses of such refunding and of the issuance and
2 sale of the refunding Bonds. Any such escrowed proceeds may be
3 invested and reinvested in direct obligations of the United
4 States of America, maturing at such time or times as shall be
5 appropriate to assure the prompt payment, when due, of the
6 principal of and interest and redemption premium, if any, on
7 the refunded Bonds. After the terms of the escrow have been
8 fully satisfied, any remaining balance of such proceeds and
9 interest, income and profits earned or realized on the
10 investments thereof shall be paid into the General Revenue
11 Fund. The liability of the State upon the Bonds shall continue,
12 provided that the holders thereof shall thereafter be entitled
13 to payment only out of the moneys deposited in the escrow
14 account.
15     Except as otherwise herein provided in this Section, such
16 refunding Bonds shall in all other respects be subject to the
17 terms and conditions of this Act.
18 (Source: P.A. 93-839, eff. 7-30-04.)
 
19     Section 10. The Build Illinois Bond Act is amended by
20 changing Sections 6, 8, and 15 as follows:
 
21     (30 ILCS 425/6)  (from Ch. 127, par. 2806)
22     Sec. 6. Conditions for Issuance and Sale of Bonds -
23 Requirements for Bonds - Master and Supplemental Indentures -
24 Credit and Liquidity Enhancement.

 

 

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1     (a) Bonds shall be issued and sold from time to time, in
2 one or more series, in such amounts and at such prices as
3 directed by the Governor, upon recommendation by the Director
4 of the Governor's Office of Management and Budget. Bonds shall
5 be payable only from the specific sources and secured in the
6 manner provided in this Act. Bonds shall be in such form, in
7 such denominations, mature on such dates within 25 years from
8 their date of issuance, be subject to optional or mandatory
9 redemption, bear interest payable at such times and at such
10 rate or rates, fixed or variable, and be dated as shall be
11 fixed and determined by the Director of the Governor's Office
12 of Management and Budget in an order authorizing the issuance
13 and sale of any series of Bonds, which order shall be approved
14 by the Governor and is herein called a "Bond Sale Order";
15 provided, however, that interest payable at fixed rates shall
16 not exceed that permitted in "An Act to authorize public
17 corporations to issue bonds, other evidences of indebtedness
18 and tax anticipation warrants subject to interest rate
19 limitations set forth therein", approved May 26, 1970, as now
20 or hereafter amended, and interest payable at variable rates
21 shall not exceed the maximum rate permitted in the Bond Sale
22 Order. Said Bonds shall be payable at such place or places,
23 within or without the State of Illinois, and may be made
24 registrable as to either principal only or as to both principal
25 and interest, as shall be specified in the Bond Sale Order.
26 Bonds may be callable or subject to purchase and retirement or

 

 

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1 remarketing as fixed and determined in the Bond Sale Order.
2 Bonds (i) except for refunding Bonds satisfying the
3 requirements of Section 15 of this Act and sold during fiscal
4 year 2009, 2010, or 2011, must be issued with principal or
5 mandatory redemption amounts in equal amounts, with the first
6 maturity issued occurring within the fiscal year in which the
7 Bonds are issued or within the next succeeding fiscal year and
8 (ii) must mature or be , with Bonds issued maturing or subject
9 to mandatory redemption each fiscal year thereafter up to 25
10 years, except for refunding Bonds satisfying the requirements
11 of Section 16 of this Act and sold during fiscal year 2009,
12 2010, or 2011 which must mature or be subject to mandatory
13 redemption each fiscal year thereafter up to 16 years.
14     All Bonds authorized under this Act shall be issued
15 pursuant to a master trust indenture ("Master Indenture")
16 executed and delivered on behalf of the State by the Director
17 of the Governor's Office of Management and Budget, such Master
18 Indenture to be in substantially the form approved in the Bond
19 Sale Order authorizing the issuance and sale of the initial
20 series of Bonds issued under this Act. Such initial series of
21 Bonds may, and each subsequent series of Bonds shall, also be
22 issued pursuant to a supplemental trust indenture
23 ("Supplemental Indenture") executed and delivered on behalf of
24 the State by the Director of the Governor's Office of
25 Management and Budget, each such Supplemental Indenture to be
26 in substantially the form approved in the Bond Sale Order

 

 

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1 relating to such series. The Master Indenture and any
2 Supplemental Indenture shall be entered into with a bank or
3 trust company in the State of Illinois having trust powers and
4 possessing capital and surplus of not less than $100,000,000.
5 Such indentures shall set forth the terms and conditions of the
6 Bonds and provide for payment of and security for the Bonds,
7 including the establishment and maintenance of debt service and
8 reserve funds, and for other protections for holders of the
9 Bonds. The term "reserve funds" as used in this Act shall
10 include funds and accounts established under indentures to
11 provide for the payment of principal of and premium and
12 interest on Bonds, to provide for the purchase, retirement or
13 defeasance of Bonds, to provide for fees of trustees,
14 registrars, paying agents and other fiduciaries and to provide
15 for payment of costs of and debt service payable in respect of
16 credit or liquidity enhancement arrangements, interest rate
17 swaps or guarantees or financial futures contracts and indexing
18 and remarketing agents' services.
19     In the case of any series of Bonds bearing interest at a
20 variable interest rate ("Variable Rate Bonds"), in lieu of
21 determining the rate or rates at which such series of Variable
22 Rate Bonds shall bear interest and the price or prices at which
23 such Variable Rate Bonds shall be initially sold or remarketed
24 (in the event of purchase and subsequent resale), the Bond Sale
25 Order may provide that such interest rates and prices may vary
26 from time to time depending on criteria established in such

 

 

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1 Bond Sale Order, which criteria may include, without
2 limitation, references to indices or variations in interest
3 rates as may, in the judgment of a remarketing agent, be
4 necessary to cause Bonds of such series to be remarketable from
5 time to time at a price equal to their principal amount (or
6 compound accreted value in the case of original issue discount
7 Bonds), and may provide for appointment of indexing agents and
8 a bank, trust company, investment bank or other financial
9 institution to serve as remarketing agent in that connection.
10 The Bond Sale Order may provide that alternative interest rates
11 or provisions for establishing alternative interest rates,
12 different security or claim priorities or different call or
13 amortization provisions will apply during such times as Bonds
14 of any series are held by a person providing credit or
15 liquidity enhancement arrangements for such Bonds as
16 authorized in subsection (b) of Section 6 of this Act.
17     (b) In connection with the issuance of any series of Bonds,
18 the State may enter into arrangements to provide additional
19 security and liquidity for such Bonds, including, without
20 limitation, bond or interest rate insurance or letters of
21 credit, lines of credit, bond purchase contracts or other
22 arrangements whereby funds are made available to retire or
23 purchase Bonds, thereby assuring the ability of owners of the
24 Bonds to sell or redeem their Bonds. The State may enter into
25 contracts and may agree to pay fees to persons providing such
26 arrangements, but only under circumstances where the Director

 

 

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1 of the Bureau of the Budget (now Governor's Office of
2 Management and Budget) certifies that he reasonably expects the
3 total interest paid or to be paid on the Bonds, together with
4 the fees for the arrangements (being treated as if interest),
5 would not, taken together, cause the Bonds to bear interest,
6 calculated to their stated maturity, at a rate in excess of the
7 rate which the Bonds would bear in the absence of such
8 arrangements. Any bonds, notes or other evidences of
9 indebtedness issued pursuant to any such arrangements for the
10 purpose of retiring and discharging outstanding Bonds shall
11 constitute refunding Bonds under Section 15 of this Act. The
12 State may participate in and enter into arrangements with
13 respect to interest rate swaps or guarantees or financial
14 futures contracts for the purpose of limiting or restricting
15 interest rate risk; provided that such arrangements shall be
16 made with or executed through banks having capital and surplus
17 of not less than $100,000,000 or insurance companies holding
18 the highest policyholder rating accorded insurers by A.M. Best &
19 Co. or any comparable rating service or government bond
20 dealers reporting to, trading with, and recognized as primary
21 dealers by a Federal Reserve Bank and having capital and
22 surplus of not less than $100,000,000, or other persons whose
23 debt securities are rated in the highest long-term categories
24 by both Moody's Investors' Services, Inc. and Standard & Poor's
25 Corporation. Agreements incorporating any of the foregoing
26 arrangements may be executed and delivered by the Director of

 

 

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1 the Governor's Office of Management and Budget on behalf of the
2 State in substantially the form approved in the Bond Sale Order
3 relating to such Bonds.
4 (Source: P.A. 93-839, eff. 7-30-04.)
 
5     (30 ILCS 425/8)  (from Ch. 127, par. 2808)
6     Sec. 8. Sale of Bonds. Bonds, except as otherwise provided
7 in this Section, shall be sold from time to time pursuant to
8 notice of sale and public bid or by negotiated sale in such
9 amounts and at such times as are directed by the Governor, upon
10 recommendation by the Director of the Governor's Office of
11 Management and Budget. At least 25%, based on total principal
12 amount, of all Bonds issued each fiscal year shall be sold
13 pursuant to notice of sale and public bid. At all times during
14 each fiscal year, no more than 75%, based on total principal
15 amount, of the Bonds issued each fiscal year shall have been
16 sold by negotiated sale. Failure to satisfy the requirements in
17 the preceding 2 sentences shall not affect the validity of any
18 previously issued Bonds; and further provided that refunding
19 Bonds satisfying the requirements of Section 15 of this Act and
20 sold during fiscal year 2009, 2010, or 2011 shall not be
21 subject to the requirements in the preceding 2 sentences.
22     If any Bonds are to be sold pursuant to notice of sale and
23 public bid, the Director of the Governor's Office of Management
24 and Budget shall comply with the competitive request for
25 proposal process set forth in the Illinois Procurement Code and

 

 

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1 all other applicable requirements of that Code.
2     If Bonds are to be sold pursuant to notice of sale and
3 public bid, the Director of the Governor's Office of Management
4 and Budget shall, from time to time, as Bonds are to be sold,
5 advertise the sale of the Bonds in at least 2 daily newspapers,
6 one of which is published in the City of Springfield and one in
7 the City of Chicago. The sale of the Bonds shall also be
8 advertised in the volume of the Illinois Procurement Bulletin
9 that is published by the Department of Central Management
10 Services. Each of the advertisements for proposals shall be
11 published once at least 10 days prior to the date fixed for the
12 opening of the bids. The Director of the Governor's Office of
13 Management and Budget may reschedule the date of sale upon the
14 giving of such additional notice as the Director deems adequate
15 to inform prospective bidders of the change; provided, however,
16 that all other conditions of the sale shall continue as
17 originally advertised. Executed Bonds shall, upon payment
18 therefor, be delivered to the purchaser, and the proceeds of
19 Bonds shall be paid into the State Treasury as directed by
20 Section 9 of this Act. The Governor or the Director of the
21 Governor's Office of Management and Budget is hereby authorized
22 and directed to execute and deliver contracts of sale with
23 underwriters and to execute and deliver such certificates,
24 indentures, agreements and documents, including any
25 supplements or amendments thereto, and to take such actions and
26 do such things as shall be necessary or desirable to carry out

 

 

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1 the purposes of this Act. Any action authorized or permitted to
2 be taken by the Director of the Governor's Office of Management
3 and Budget pursuant to this Act is hereby authorized to be
4 taken by any person specifically designated by the Governor to
5 take such action in a certificate signed by the Governor and
6 filed with the Secretary of State.
7 (Source: P.A. 93-839, eff. 7-30-04.)
 
8     (30 ILCS 425/15)  (from Ch. 127, par. 2815)
9     Sec. 15. Refunding Bonds. Refunding Bonds are hereby
10 authorized for the purpose of refunding any outstanding Bonds,
11 including the payment of any redemption premium thereon, any
12 reasonable expenses of such refunding, and any interest accrued
13 or to accrue to the earliest or any subsequent date of
14 redemption or maturity of outstanding Bonds; provided that all
15 non-refunding Bonds in an issue that includes refunding Bonds
16 shall mature no later than the final maturity date of Bonds
17 being refunded; provided that no refunding Bonds shall be
18 offered for sale unless the net present value of debt service
19 savings to be achieved by the issuance of the refunding Bonds
20 is 3% or more of the principal amount of the refunding Bonds to
21 be issued; and further provided that, except for refunding
22 Bonds sold in fiscal year 2009, 2010, or 2011, the maturities
23 of the refunding Bonds shall not extend beyond the maturities
24 of the Bonds they refund, so that for each fiscal year in the
25 maturity schedule of a particular issue of refunding Bonds, the

 

 

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1 total amount of refunding principal maturing and redemption
2 amounts due in that fiscal year and all prior fiscal years in
3 that schedule shall be greater than or equal to the total
4 amount of refunded principal and redemption amounts that had
5 been due over that year and all prior fiscal years prior to the
6 refunding.
7     Refunding Bonds may be sold in such amounts and at such
8 times, as directed by the Governor upon recommendation by the
9 Director of the Governor's Office of Management and Budget. The
10 Governor shall notify the State Treasurer and Comptroller of
11 such refunding. The proceeds received from the sale of
12 refunding Bonds shall be used for the retirement at maturity or
13 redemption of such outstanding Bonds on any maturity or
14 redemption date and, pending such use, shall be placed in
15 escrow, subject to such terms and conditions as shall be
16 provided for in the Bond Sale Order relating to the refunding
17 Bonds. This Act shall constitute an irrevocable and continuing
18 appropriation of all amounts necessary to establish an escrow
19 account for the purpose of refunding outstanding Bonds and to
20 pay the reasonable expenses of such refunding and of the
21 issuance and sale of the refunding Bonds. Any such escrowed
22 proceeds may be invested and reinvested in direct obligations
23 of the United States of America, maturing at such time or times
24 as shall be appropriate to assure the prompt payment, when due,
25 of the principal of and interest and redemption premium, if
26 any, on the refunded Bonds. After the terms of the escrow have

 

 

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1 been fully satisfied, any remaining balance of such proceeds
2 and interest, income and profits earned or realized on the
3 investments thereof shall be paid into the General Revenue
4 Fund. The liability of the State upon the refunded Bonds shall
5 continue, provided that the holders thereof shall thereafter be
6 entitled to payment only out of the moneys deposited in the
7 escrow account and the refunded Bonds shall be deemed paid,
8 discharged and no longer to be outstanding.
9     Except as otherwise herein provided in this Section, such
10 refunding Bonds shall in all other respects be issued pursuant
11 to and subject to the terms and conditions of this Act and
12 shall be secured by and payable from only the funds and sources
13 which are provided under this Act.
14 (Source: P.A. 93-839, eff. 7-30-04.)
 
15     Section 99. Effective date. This Act takes effect upon
16 becoming law.