(65 ILCS 5/8-12-6)
(from Ch. 24, par. 8-12-6)
Purposes and powers.
(a) The purposes of the Authority shall be to provide a secure financial
basis for and to furnish assistance to a financially distressed city to which
this Division is applicable as provided in Section 8-12-4, and to request the
Illinois Finance Authority to issue its Obligations
on behalf of
and thereby provide financial aid to the city in accordance with applicable
provisions of the Illinois Finance Authority Act, so
that the city
can provide basic municipal services within its jurisdictional limits, while
permitting the distressed city to meet its obligations to its creditors and the
holders of its notes and bonds.
(b) Except as expressly limited by this Division, the Authority
shall have all powers necessary to meet its responsibilities and to carry
out its purposes and the purposes of this Division, including, but not
limited to, the following powers:
(1) To provide for its organization and internal
management, and to make rules and regulations governing the use of its property and facilities.
(2) To make and execute contracts, leases, subleases
and all other instruments or agreements necessary or convenient for the exercise of the powers and functions granted by this Division.
(3) To approve all loans, grants, or other financial
aid from any State agency.
(4) To appoint officers, agents, and employees of the
Authority, define their duties and qualifications and fix their compensation and employee benefits.
(5) To engage the services of consultants for
rendering professional and technical assistance and advice on matters within the Authority's power.
(6) To pay the expenses of its operations.
(7) To determine, in its discretion but consistent
with the requirements of this Division, the terms and conditions of any loans it may make to the financially distressed city.
(c) Any loan repayments received by the Authority from the distressed city
may be deposited by the Authority into a revolving fund under the control of
the Authority. Money in the revolving fund may be used by the Authority to
support activities leading to a restructuring of the distressed city's debt and
may be pledged by the Authority as security for any new debt incurred by the
distressed city with the approval of the Authority.
(d) From any funds appropriated to the Authority for the purpose of making
a loan to a distressed city, the Authority may expend not more than
$250,000 for the expenses of its operations in the fiscal year in which the
appropriation is made.
(Source: P.A. 93-205, eff. 1-1-04.)