(50 ILCS 320/3)
(from Ch. 85, par. 7203)
As used in this Act, unless the context requires
(a) "Commission" means a financial planning and supervision commission
created pursuant to this Act.
(b) "Fiscal emergency" means the existence of any one or more of the
(1) The existence of a continuing default in the
payment of principal and interest on any debt obligation for more than 180 days.
(2) The failure to make payment of over 20% of all
payroll to employees of the unit of local government in the amounts and at the times required by law, ordinances, resolutions, or agreements, which failure of payment has continued for more than 30 days after such time for payment, unless at least 2/3 of the employees affected by such failure to pay, acting individually or by their duly authorized representative, consent in writing to an extension.
(3) The insolvency of the unit of local government,
being a financial condition such that the unit is (A) generally not paying its debts as they come due unless they are the subject of a bona fide dispute or (B) unable to pay its debts as they become due.
(c) "Governing body" means the board or other body of officers having
authority to levy taxes, make appropriations, authorize the expenditure of
public funds or approve claims for any unit of local government.
(d) "Unit of local government" shall have the meaning provided as specified
in Article VII, Section 1 of the Illinois Constitution, and further means
only those units of local government which have a population under 25,000.
(Source: P.A. 86-1211.)