Illinois Compiled Statutes
Chapter 30 - FINANCE
30 ILCS 425/ - Build Illinois Bond Act.

(30 ILCS 425/1) (from Ch. 127, par. 2801)
Sec. 1.
Short Title.
This Article (herein the "Act") shall be known
and may be cited as
the "Build Illinois Bond Act".

(Source: P.A. 84-111.)
 
(30 ILCS 425/2) (from Ch. 127, par. 2802)
Sec. 2. Authorization for Bonds. The State of Illinois is
authorized to issue, sell and provide for the retirement of limited
obligation bonds, notes and other evidences of indebtedness of the State of
Illinois in the total principal amount of $9,484,681,100
herein called "Bonds". Such amount of authorized Bonds
shall be exclusive of any refunding Bonds issued pursuant to Section 15 of
this Act and exclusive of any Bonds issued pursuant to this Section which
are redeemed, purchased, advance refunded, or defeased in accordance with
paragraph (f) of Section 4 of this Act. Bonds shall be issued for the
categories and specific purposes expressed in Section 4 of this Act.

(Source: P.A. 101-30, eff. 6-28-19; 102-1071, eff. 6-10-22.)
 
(30 ILCS 425/3) (from Ch. 127, par. 2803)
Sec. 3. Findings. The General Assembly hereby makes the following
findings and determinations:
(a) The issuance and sale of Bonds pursuant to this
Act is an economical and efficient method of financing long-term capital needs, including certain of the purposes
of the State, as set forth in Section 4 hereof.
(b) This Act will permit the issuance of Bonds, from time to time, for
various purposes and with varying terms, features and conditions in order
to enhance marketability and lower interest costs incurred by the State.
Subsection (a) of Section 6 of this Act authorizes the issuance, from time to
time, of
Bonds in one or more series, in such principal amounts, bearing interest at
such fixed rates or variable rates and having such other terms and
provisions as designated State officers may fix and determine pursuant to
the authority delegated under this Act. Subsection (b) of Section 6 of this
Act
authorizes, in connection with the issuance of and as security for any
series of Bonds, the purchase of bond or interest rate insurance, the
establishment of credit and liquidity enhancement arrangements with
financial institutions, and participation in interest rate swaps or
guarantee agreements or other arrangements to limit interest rate risk.
(c) The financing of the facilities and other purposes described in
Section 4 of this Act through the issuance of Bonds will involve numerous
expenditures over extended periods of time, all of which expenditures shall
be made only pursuant to and in conformity with appropriations from Bond
proceeds by the General Assembly prior to the making of such expenditures.
(d) Determinations with respect to (i) advantageous timing and amounts
of such expenditures for particular approved facilities or purposes, (ii)
establishing an advantageous mix of short-term and long-term
debt instruments under bond market conditions prevailing from time to time,
and (iii) specific allocations of Bond proceeds to particular facilities
and purposes should be based upon financial, engineering and construction
management judgments made from time to time.
(e) The State's ability to issue Bonds from time to time, without
further action by the General Assembly, in separate series, in various
principal amounts and with various interest rates, maturities, redemption
provisions and other terms will enhance the State's opportunities to obtain
such financing as needed, upon favorable terms.
In order to provide for flexibility in meeting the financial, engineering
and construction needs of the State and its agencies and departments and in
order to provide continuing and adequate financing for the aforesaid
purposes on favorable terms, the delegations of authority to the Governor,
the Director of the
Governor's Office of Management and Budget, the State Comptroller, the State
Treasurer and other officers
of the State which are contained in this Act are necessary and desirable
because this General Assembly cannot itself as understandingly,
advantageously, expeditiously or conveniently exercise such authority and
make such specific determinations.

(Source: P.A. 93-839, eff. 7-30-04.)
 
(30 ILCS 425/4) (from Ch. 127, par. 2804)
Sec. 4. Purposes of Bonds. Bonds shall be issued for the following
purposes and in the approximate amounts as set forth below:
(a) $4,372,761,200 for the expenses of issuance and
sale of Bonds, including bond discounts, and for planning, engineering,
acquisition, construction, reconstruction, development, improvement and
extension of the public infrastructure in the State of Illinois, including: the
making of loans or grants to local governments for waste disposal systems,
water and sewer line extensions and water distribution and purification
facilities, rail or air or water port improvements, gas and electric utility
extensions, publicly owned industrial and commercial sites, buildings
used for public administration purposes and other public infrastructure capital
improvements; the making of loans or grants to units of local government
for financing and construction of wastewater facilities, including grants to serve unincorporated areas; refinancing or
retiring bonds issued between January 1, 1987 and January 1,
1990 by home rule municipalities, debt service on which is provided from a
tax imposed by home rule municipalities prior to January 1, 1990 on the
sale of food and drugs pursuant to Section 8-11-1 of the Home Rule
Municipal Retailers' Occupation Tax Act or Section 8-11-5 of the Home
Rule Municipal Service Occupation Tax Act; the making of deposits not
to exceed $70,000,000 in the aggregate into
the Water Pollution Control Revolving Fund to provide assistance in
accordance with the provisions of Title IV-A of the Environmental
Protection Act; the planning, engineering, acquisition,
construction, reconstruction, alteration, expansion, extension and
improvement of highways, bridges, structures separating highways and
railroads, rest areas, interchanges, access
roads to and from any State or local highway and other transportation
improvement projects which are related to
economic development activities; the making of loans or grants for
planning, engineering, rehabilitation, improvement or construction of rail
and transit facilities; the planning, engineering, acquisition,
construction, reconstruction and improvement of watershed, drainage, flood
control, recreation and related improvements and facilities, including
expenses related to land and easement acquisition, relocation, control
structures, channel work and clearing and appurtenant work; the planning, engineering, acquisition, construction, reconstruction and improvement of State facilities and related infrastructure;
the making of Park and Recreational Facilities Construction (PARC) grants;
the making of grants to units of local government for community development capital projects; the making of
grants for improvement and development of zoos and park district field
houses and related structures; and the making of grants for improvement and
development of Navy Pier and related structures.
(b) $2,122,970,300 for fostering economic development and
increased employment and fostering the well being of the citizens of Illinois through community development, including:
the making of grants for improvement and development of McCormick Place and
related structures; the
planning and construction of a microelectronics research center, including
the planning, engineering, construction, improvement, renovation and
acquisition of buildings, equipment and related utility support systems;
the making of loans to businesses and investments in small businesses;
acquiring real properties for industrial or commercial site development;
acquiring, rehabilitating and reconveying industrial and commercial
properties for the purpose of expanding employment and encouraging private
and other public sector investment in the economy of Illinois; the payment
of expenses associated with siting the Superconducting Super Collider Particle
Accelerator in Illinois and with its acquisition, construction,
maintenance, operation, promotion and support; the making of loans for the
planning, engineering, acquisition, construction, improvement and
conversion of facilities and equipment which will foster the use of
Illinois coal; the payment of expenses associated with the
promotion, establishment, acquisition and operation of small business
incubator facilities and agribusiness research facilities, including the lease,
purchase, renovation, planning, engineering, construction and maintenance of
buildings, utility support systems and equipment designated for such
purposes and the establishment and maintenance of centralized support
services within such facilities; the making of grants for transportation electrification infrastructure projects that promote use of clean and renewable energy;
the making of capital expenditures and grants for broadband development and for a statewide broadband deployment grant program;
the making of grants to public entities and private persons and entities for community development capital projects;
the making of grants to public entities and private persons and entities for capital projects in the context of grant programs focused on assisting economically depressed areas, expanding affordable housing, supporting the provision of human services, supporting emerging technology enterprises, and supporting minority owned businesses; and the making of grants or loans to
units of local government for Urban Development Action Grant and Housing
Partnership programs.
(c) $2,711,076,600 for the development and
improvement of educational,
scientific, technical and vocational programs and facilities and the
expansion of health and human services for all citizens of Illinois,
including: the making of grants to school districts and not-for-profit organizations for early childhood construction projects pursuant to Section 5-300 of the School Construction Law;
the making of grants to educational institutions for educational, scientific, technical and vocational program equipment and facilities; the making of grants to museums for equipment and facilities; the making of construction and improvement grants and loans
to public libraries
and library systems; the making of grants and loans for planning,
engineering, acquisition and construction
of a new State central library in Springfield; the planning, engineering,
acquisition and construction of an animal and dairy sciences facility; the
planning, engineering, acquisition and construction of a campus and all
related buildings, facilities, equipment and materials for Richland
Community College; the acquisition, rehabilitation and installation of
equipment and materials for scientific and historical surveys; the making of
grants or loans for distribution to eligible vocational education instructional
programs for the upgrading of vocational education programs, school shops
and laboratories, including the acquisition, rehabilitation and
installation of technical equipment and materials; the making of grants or
loans for distribution to eligible local educational agencies for the
upgrading of math and science instructional programs, including the
acquisition of instructional equipment and materials; miscellaneous capital
improvements for universities and community colleges including the
planning, engineering,
construction, reconstruction, remodeling, improvement, repair and
installation of capital facilities and costs of planning, supplies,
equipment, materials, services, and all other required expenses; the
making of grants or loans for repair, renovation and miscellaneous capital
improvements for privately operated colleges and universities and community
colleges, including the planning, engineering, acquisition, construction,
reconstruction, remodeling,
improvement, repair and installation of capital facilities and costs of
planning, supplies, equipment, materials, services, and all other required
expenses; and the making of grants or loans for distribution to local
governments for hospital and other health care facilities including the
planning, engineering, acquisition, construction, reconstruction,
remodeling, improvement, repair and installation of capital facilities and
costs of planning, supplies, equipment, materials, services and all other
required expenses.
(d) $277,873,000 for protection, preservation,
restoration and conservation of environmental and natural resources,
including: the making of grants to soil and water conservation districts
for the planning and implementation of conservation practices and for
funding contracts with the Soil Conservation Service for watershed
planning; the making of grants to units of local government for the
capital development and improvement of recreation areas, including
planning and engineering costs, sewer projects, including planning and
engineering costs and water projects, including planning
and engineering costs, and for the acquisition of open space lands,
including the acquisition of easements and other property interests of less
than fee simple ownership; the making of grants to units of local government through the Illinois Green Infrastructure Grant Program to protect water quality and mitigate flooding; the acquisition and related costs and development
and management of natural heritage lands, including natural areas and areas
providing habitat for
endangered species and nongame wildlife, and buffer area lands; the
acquisition and related costs and development and management of
habitat lands, including forest, wildlife habitat and wetlands;
and the removal and disposition of hazardous substances, including the cost of
project management, equipment, laboratory analysis, and contractual services
necessary for preventative and corrective actions related to the preservation,
restoration and conservation of the environment, including deposits not to
exceed $60,000,000 in the aggregate into the Hazardous Waste Fund and the
Brownfields Redevelopment Fund for improvements in accordance with the
provisions of Titles V and XVII of the Environmental Protection Act.
(e) The amount specified in paragraph (a) above
shall include an amount necessary to pay reasonable expenses of each
issuance and sale of the Bonds, as specified in the related Bond Sale Order
(hereinafter defined).
(f) Any unexpended proceeds from any sale of
Bonds which are held in the Build Illinois Bond Fund may be used to redeem,
purchase, advance refund, or defease any Bonds outstanding.

(Source: P.A. 101-30, eff. 6-28-19.)
 
(30 ILCS 425/4.1)
Sec. 4.1.

Re-authorization of deposits into the Water Pollution Control
Revolving Fund. The making of deposits into the Water Pollution Control
Revolving Fund (now known as the Water Revolving Fund) to provide assistance
in accordance with the provisions of Title IV-A of the Environmental Protection
Act, in an aggregate amount not to exceed $70,000,000, which was originally
authorized in Section 4 of this Act by Public Act 85-1135, is hereby
re-authorized.

(Source: P.A. 91-52, eff. 6-30-99.)
 
(30 ILCS 425/5) (from Ch. 127, par. 2805)
Sec. 5. Bond sale expenses.
(a) An amount not to exceed 0.5% of the principal amount of the proceeds of the sale of each bond sale is authorized to be used to pay

reasonable costs of each issuance and sale of Bonds authorized and sold
pursuant to this Act, including, without limitation, underwriter's discounts and fees, but excluding bond insurance, advertising, printing, bond rating, travel of outside vendors,
security, delivery, legal and financial advisory services, initial fees
of trustees, registrars, paying agents and other fiduciaries, initial costs
of credit or liquidity enhancement arrangements, initial fees of indexing
and remarketing agents, and initial costs of interest rate swaps,
guarantees or arrangements to limit interest rate risk, as determined in
the related Bond Sale Order,
from
the proceeds of each Bond sale, provided that no salaries of State employees or other State office operating expenses shall be paid out of non-appropriated proceeds, and provided further that the percent shall be 1.0% for each sale of "Build America Bonds" as defined in subsection (c) of Section 6. The Governor's Office of Management and Budget shall compile a summary of all costs of issuance on each sale (including both costs paid out of proceeds and those paid out of appropriated funds) and post that summary on its web site within 20 business days after the issuance of the bonds. That posting shall be maintained on the web site for a period of at least 30 days. In addition, the Governor's Office of Management and Budget shall provide a written copy of each summary of costs to the Speaker and Minority Leader of the House of Representatives, the President and Minority Leader of the Senate, and the Commission on Government Forecasting and Accountability within 20 business days after each issuance of the bonds. This summary shall include, as applicable, the respective percentage of participation and compensation of each underwriter that is a member of the underwriting syndicate, legal counsel, financial advisors, and other professionals for the Bond issue, and an identification of all costs of issuance paid to minority-owned businesses, women-owned businesses, and businesses owned by persons with disabilities. The terms "minority-owned businesses", "women-owned businesses", and "business owned by a person with a disability" have the meanings given to those terms in the Business Enterprise for Minorities, Women, and Persons with Disabilities Act. In addition, the Governor's Office of Management and Budget shall provide copies of all contracts under which any costs of issuance are paid or to be paid to the Commission on Government Forecasting and Accountability within 20 business days after the issuance of Bonds for which those costs are paid or to be paid. Instead of filing a second or subsequent copy of the same contract, the Governor's Office of Management and Budget may file a statement that specified costs are paid under specified contracts filed earlier with the Commission.
(b) The Director of the Governor's Office of Management and Budget shall not, in connection with the issuance of Bonds, contract with any underwriter, financial advisor, or attorney unless that underwriter, financial advisor, or attorney certifies that the underwriter, financial advisor, or attorney has not and will not pay a contingent fee, whether directly or indirectly, to any third party for having promoted the selection of the underwriter, financial advisor, or attorney for that contract. In the event that the Governor's Office of Management and Budget determines that an underwriter, financial advisor, or attorney has filed a false certification with respect to the payment of contingent fees, the Governor's Office of Management and Budget shall not contract with that underwriter, financial advisor, or attorney, or with any firm employing any person who signed false certifications, for a period of 2 calendar years, beginning with the date the determination is made. The validity of Bonds issued under such circumstances of violation pursuant to this Section shall not be affected.
(Source: P.A. 100-391, eff. 8-25-17.)
 
(30 ILCS 425/6) (from Ch. 127, par. 2806)
Sec. 6. Conditions for issuance and sale of Bonds - requirements for
Bonds - master and supplemental indentures - credit and liquidity
enhancement.
(a) Bonds shall be issued and sold from time to time, in one
or more series, in such amounts and at such prices as directed by the
Governor, upon recommendation by the Director of the
Governor's Office of Management and Budget.
Bonds shall be payable only from the specific sources and secured in the
manner provided in this Act. Bonds shall be in such form, in such
denominations, mature on such dates within 25 years from their date of
issuance, be subject to optional or mandatory redemption, bear interest
payable at such times and at such rate or rates, fixed or variable, and be
dated as shall be fixed and determined by the Director of the
Governor's Office of Management and Budget

in an order authorizing the
issuance and sale of any series of
Bonds, which order shall be approved by the Governor and is herein called a
"Bond Sale Order"; provided, however, that interest payable at fixed rates
shall not exceed that permitted in "An Act to authorize public corporations
to issue bonds, other evidences of indebtedness and tax anticipation
warrants subject to interest rate limitations set forth therein", approved
May 26, 1970, as now or hereafter amended, and interest payable at variable
rates shall not exceed the maximum rate permitted in the Bond Sale Order.
Said Bonds shall be payable at such place or places, within or without the
State of Illinois,
and may be made registrable
as to either principal only or as to both principal and interest, as shall
be specified in the Bond Sale
Order. Bonds may be callable or subject to purchase and retirement or
remarketing as fixed and determined in the Bond Sale Order. Bonds (i) except for refunding Bonds satisfying the requirements of Section 15 of this Act must be issued with principal or mandatory redemption amounts in equal amounts, with the first maturity issued occurring within the fiscal year in which the Bonds are issued or within the next succeeding fiscal year and (ii) must mature or be subject to mandatory redemption each fiscal year thereafter up to 25 years, except for refunding Bonds satisfying the requirements of Section 15 of this Act and sold during fiscal year 2009, 2010, or 2011 which must mature or be subject to mandatory redemption each fiscal year thereafter up to 16 years.
All Bonds authorized under this Act shall be issued pursuant
to a master trust indenture ("Master Indenture") executed and delivered on
behalf of the State by the Director of the
Governor's Office of Management and Budget, such
Master Indenture to be in substantially the form approved in the Bond Sale
Order authorizing the issuance and sale of the initial series of Bonds
issued under this Act. Such initial series of Bonds may, and each
subsequent series of Bonds shall, also be issued pursuant to a supplemental
trust indenture ("Supplemental Indenture") executed and delivered on behalf
of the State by the Director of the
Governor's Office of Management and Budget, each such
Supplemental
Indenture to be in substantially the form approved in the Bond Sale Order
relating to such series. The Master Indenture and any Supplemental
Indenture shall be entered into with a bank or trust company in the State
of Illinois having trust powers and possessing capital and surplus of not
less than $100,000,000. Such indentures shall set forth the terms and
conditions of the Bonds and provide for payment of and security for the
Bonds, including the establishment and maintenance of debt service and
reserve funds, and for other protections for holders of the Bonds.
The term "reserve funds" as used in this Act shall include funds and
accounts established under indentures to provide for the payment of
principal of and premium and interest on Bonds, to provide for the purchase,
retirement or defeasance of Bonds, to provide for fees of
trustees, registrars, paying agents and other fiduciaries and to provide
for payment of costs of and debt service payable in respect of credit or
liquidity enhancement arrangements, interest rate swaps or guarantees or
financial futures contracts and
indexing and remarketing agents' services.
In the case of any series of Bonds bearing interest at a variable
interest rate ("Variable Rate Bonds"), in lieu of determining the rate or
rates at which such series of Variable Rate Bonds shall bear interest and
the price or prices
at which such Variable Rate Bonds shall be initially sold or remarketed (in
the event of purchase and subsequent resale), the Bond
Sale Order may provide that such interest rates and prices may vary from time to time
depending on criteria established in such Bond Sale Order, which criteria
may include, without limitation, references to indices or variations in
interest rates as may, in the judgment of a remarketing agent, be
necessary to cause Bonds of such series to be remarketable from time to
time at a price equal to their principal amount (or compound accreted
value in the case of original issue discount Bonds), and may provide for
appointment of indexing agents and a bank, trust company,
investment bank or other financial institution to serve as remarketing
agent in that connection. The Bond Sale Order may provide that alternative
interest rates or provisions for establishing alternative interest rates,
different security or claim priorities or different call or amortization provisions
will apply during such times as Bonds of any series are held by a person
providing credit or liquidity enhancement arrangements for such Bonds as
authorized in subsection (b) of Section 6 of this Act.
(b) In connection with the issuance of any series of Bonds, the State
may enter into arrangements to provide additional security and liquidity
for such Bonds, including, without limitation, bond or interest rate
insurance or letters of credit, lines of credit, bond purchase contracts or
other arrangements whereby funds are made
available to retire or purchase Bonds, thereby assuring the ability of
owners of the Bonds to sell or redeem their Bonds.
The State may enter into contracts and may agree to pay fees to persons
providing such arrangements, but only under circumstances where the
Director of the Bureau of the Budget
(now Governor's Office of Management and Budget)
certifies that he reasonably expects
the total interest paid or to be paid on the Bonds, together with the fees
for the arrangements (being treated as if interest), would not, taken
together, cause the Bonds to bear interest, calculated to their stated
maturity, at a rate in excess of the rate which the Bonds would bear in the
absence of such arrangements. Any bonds, notes or other evidences of
indebtedness issued pursuant to any such arrangements for the purpose of
retiring and discharging outstanding Bonds
shall constitute refunding Bonds
under Section 15 of this Act. The State may participate in and enter
into arrangements with respect to interest rate swaps or guarantees or
financial futures contracts for the
purpose of limiting or restricting interest rate risk; provided
that such arrangements shall be made with or executed through banks
having capital and surplus of not less than $100,000,000 or insurance
companies holding the
highest policyholder rating accorded insurers by A.M. Best & Co. or any
comparable rating service or government bond dealers reporting to, trading
with, and recognized as primary dealers by a Federal Reserve Bank and
having capital and surplus of not less than $100,000,000,
or other persons whose
debt securities are rated in the highest long-term categories by both
Moody's Investors' Services, Inc. and Standard & Poor's Corporation.
Agreements incorporating any of the foregoing arrangements may be executed
and delivered by the Director of the
Governor's Office of Management and Budget on behalf of the
State in substantially the form approved in the Bond Sale Order relating to
such Bonds.
(c) "Build America Bonds" in this Section means Bonds authorized by Section 54AA of the Internal Revenue Code of 1986, as amended ("Internal Revenue Code"), and bonds issued from time to time to refund or continue to refund "Build America Bonds".
(Source: P.A. 100-23, eff. 7-6-17; 100-587, eff. 6-4-18; 101-30, eff. 6-28-19.)
 
(30 ILCS 425/7) (from Ch. 127, par. 2807)
Sec. 7.
Execution of Bonds.
Bonds shall be signed by the Governor
and attested by the Secretary of State under the printed facsimile seal of
the State and countersigned by the State Treasurer by his manual signature
or by his duly authorized deputy. If Bonds are issued in registered form
pursuant to the Registered Bond Act, the signatures of the Governor, the
Secretary of State and the State Treasurer may be printed facsimile
signatures. The Master Indenture or any Supplemental Indenture may also
require that each Bond be authenticated by the manual signature of the
trustee thereunder or of a registrar or paying agent. Unless Bonds are
issued in fully registered form,
interest coupons with facsimile signatures of the Governor, Secretary of
State and State Treasurer may be attached to the Bonds. The fact that an
officer whose signature or facsimile thereof appears on a Bond, interest
coupon, indenture or agreement authorized under this Act no longer holds
such office at the time the Bond, coupon, indenture or agreement is
delivered shall not invalidate such Bond, coupon, indenture or agreement.

(Source: P.A. 84-111.)
 
(30 ILCS 425/8) (from Ch. 127, par. 2808)
Sec. 8. Sale of Bonds. Bonds, except as otherwise provided in this Section, shall be sold from time to time pursuant to
notice of sale and public bid or by negotiated sale in such amounts and at such
times as are directed by the Governor, upon recommendation by the Director of
the Governor's Office of Management and Budget. At least 25%, based on total principal amount, of all Bonds issued each fiscal year shall be sold pursuant to notice of sale and public bid. At all times during each fiscal year, no more than 75%, based on total principal amount, of the Bonds issued each fiscal year shall have been sold by negotiated sale. Failure to satisfy the requirements in the preceding 2 sentences shall not affect the validity of any previously issued Bonds; and further provided that refunding Bonds satisfying the requirements of Section 15 of this Act shall not be subject to the requirements in the preceding 2 sentences.
If any Bonds are to be sold pursuant to notice of sale and public bid, the Director of the
Governor's Office of Management and Budget shall comply with the
competitive request for proposal process set forth in the Illinois
Procurement Code and all other applicable requirements of that Code.
If Bonds are to be sold pursuant to notice of sale and public bid, the
Director of the
Governor's Office of Management and Budget may, from time to time, as Bonds are to be sold, advertise
the sale of the Bonds in at least 2 daily newspapers, one of which is
published in the City of Springfield and one in the City of Chicago. The sale
of the Bonds shall also be
advertised in the volume of the Illinois Procurement Bulletin that is
published by the Department of Central Management Services, and shall be published once at least 10 days prior to the date fixed
for the opening of the bids. The Director of the
Governor's Office of Management and Budget may
reschedule the date of sale upon the giving of such additional notice as the
Director deems adequate to inform prospective bidders of
the change; provided, however, that all other conditions of the sale shall
continue as originally advertised.

Executed Bonds shall, upon payment
therefor, be delivered to the purchaser, and the proceeds of Bonds shall be
paid into the State Treasury as
directed by Section 9 of this Act.
The
Governor or the Director of the
Governor's Office of Management and Budget is hereby authorized
and directed to execute and
deliver contracts of sale with underwriters and to execute and deliver such
certificates, indentures, agreements and documents, including any
supplements or amendments thereto, and to take such actions and do such
things as shall be necessary or desirable to carry out the purposes of this
Act.
Any action authorized or permitted to be taken by the Director of the
Governor's Office of Management and Budget

pursuant to this Act is hereby authorized to be taken
by any person specifically designated by the Governor to take such action
in a certificate signed by the Governor and filed with the Secretary of State.

(Source: P.A. 100-23, eff. 7-6-17; 100-587, eff. 6-4-18; 101-30, eff. 6-28-19.)
 
(30 ILCS 425/8.3)
Sec. 8.3. Compliance with the Business Enterprise for Minorities, Women, and Persons with Disabilities Act. Notwithstanding any other provision of law, the Governor's Office of Management and Budget shall comply with the Business Enterprise for Minorities, Women, and Persons with Disabilities Act.

(Source: P.A. 100-391, eff. 8-25-17.)
 
(30 ILCS 425/8.5)
Sec. 8.5. Truth in borrowing disclosures.
(a) Within 20 business days after the issuance of any Bonds under this Act, the Director of the Governor's Office of Management and Budget shall publish a truth in borrowing disclosure that discloses the total principal and interest payments to be paid on the Bonds over the full stated term of the Bonds. The disclosure also shall include principal and interest payments to be made by each fiscal year over the full stated term of the Bonds and total principal and interest payments to be made by each fiscal year on all other outstanding Bonds issued under this Act over the full stated terms of those Bonds.
(b) Within 20 business days after the issuance of any refunding bonds under Section 15 of this Act, the Director of the Governor's Office of Management and Budget shall publish a truth in borrowing disclosure that discloses the estimated present-valued savings to be obtained through the refunding, in total and by each fiscal year that the refunding Bonds may be outstanding.
(c) The disclosures required in subsections (a) and (b) shall be published by posting the disclosures for no less than 30 days on the web site of the Governor's Office of Management and Budget and by providing the disclosures in written form to the Commission on Government Forecasting and Accountability. These disclosures shall be calculated assuming Bonds are not redeemed or refunded prior to their stated maturities. Amounts included in these disclosures as payment of interest on variable rate Bonds shall be computed at an interest rate equal to the rate at which the variable rate Bonds are first set upon issuance, plus 2.5%, after taking into account any credits permitted in the related indenture or other instrument against the amount of such interest for each fiscal year. Amounts included in these disclosures as payments of interest shall include those amounts paid pursuant to arrangements authorized pursuant to subsection (b) of Section 6 of this Act.


(Source: P.A. 93-839, eff. 7-30-04; 93-1067, eff. 1-15-05.)
 
(30 ILCS 425/9) (from Ch. 127, par. 2809)
Sec. 9. Allocation of Proceeds from Sale of Bonds. Proceeds from
the sale of Bonds (other than refunding Bonds)
shall be deposited in the separate fund in the State Treasury
known as the Build Illinois Bond Fund and shall be expended only pursuant
to appropriation by the General Assembly.
Proceeds to be deposited into any debt service or reserve funds as may be
required under any trust indenture shall be paid from the Build Illinois
Bond Fund to the trustee under the trust indenture specified in the Bond
Sale Order at the time of the delivery of the Bonds as directed in the Bond Sale Order.
Accrued interest paid to the State at the time of the delivery of any
series of Bonds shall be deposited into the Build Illinois Bond Retirement
and Interest Fund in the State Treasury and shall be paid immediately
from that Fund to the trustee under the trust indenture specified in the
Bond Sale Order.

(Source: P.A. 93-839, eff. 7-30-04.)
 
(30 ILCS 425/10) (from Ch. 127, par. 2810)
Sec. 10.
Appropriation of Proceeds from Sale of Bonds.
Accrued
interest paid to the State at the time of the delivery of any series of
Bonds and any other proceeds
from the sale of Bonds issued pursuant to this Act
to make deposits into debt service or reserve funds as may be required
under any trust indenture are hereby
appropriated and authorized to be expended as provided in this Act and in
any trust indentures delivered pursuant to this Act. This Act shall
constitute an irrevocable and continuing appropriation of all amounts
necessary for such purposes and the irrevocable and continuing authority
for and direction to the State Treasurer and the Comptroller to make the
necessary transfers and deposits, as directed in the Bond Sale Order. All
other proceeds are,
at all times, subject to appropriation by the General Assembly and may be
obligated or expended only with the written approval of the Governor in
such amounts, at such times, and for such purposes as contemplated in
such appropriations and in Section 4 of this Act.

(Source: P.A. 86-44.)
 
(30 ILCS 425/11) (from Ch. 127, par. 2811)
Sec. 11.
Repayment.
(a) To provide for the repayment of Bonds and
required deposits into reserve funds required to be maintained as security
for the Bonds, the Governor shall include an appropriation in each annual
State Budget of moneys in the following amounts for the following fiscal
years 1986 through 1993:


To provide for the repayment of Bonds in fiscal years 1994 and
thereafter, the Governor shall include an appropriation in each annual
State Budget of moneys in
such amount as shall be necessary and sufficient, for the period covered by
such Budget, to pay the interest, as it shall accrue, on all Bonds issued
under this Act, to pay and discharge the principal of such Bonds, including
any sinking fund redemptions, as shall fall due during such period, to pay
the premium, if any, on Bonds to be redeemed prior to maturity and to make
required deposits to any reserve funds required to be maintained as
security for Bonds or for the purpose of retiring or defeasing Bonds,
including any replenishments in the event of
deficiencies in any reserve funds; provided, however, that amounts included
in such appropriations for payment of interest on Variable Rate Bonds shall
be the maximum amounts of interest which may be payable for the period
covered by such Budget after taking into account
any credits permitted in the
related indenture against the amount of such interest required to be
appropriated for such period; and, further provided that such appropriated
amount shall not be less than the Annual Specified Amount (as defined in
Section 3 of the "Retailers' Occupation Tax Act", as amended) for any such
fiscal year.
(b) A separate fund in the State Treasury called the "Build Illinois
Bond Retirement and Interest Fund" is hereby created.
(c) The General Assembly shall annually make appropriations to pay the
principal of and interest and premium, if any, on the Bonds sold under this
Act and to make required deposits into reserve funds required to be
maintained as security for the Bonds from the Build Illinois Bond
Retirement and Interest Fund in the following amounts for the following
fiscal years 1986 through 1993:


To provide for the repayment of the Bonds and required reserve fund
deposits in fiscal years 1994 and thereafter the General Assembly shall
annually make appropriations from the Build Illinois Bond Retirement and
Interest Fund in such amounts as shall be necessary and sufficient to pay
the principal of, premium, if any, and interest on the Bonds coming due in
each such fiscal year, including any sinking fund redemptions, and to make
required deposits to reserve funds for the purpose of securing Bonds or
retiring or defeasing Bonds, including replenishment of any
deficiencies therein; provided, however, that amounts included in such
appropriations for payment of interest on Variable Rate Bonds shall be the
maximum amounts of interest which may be payable during such fiscal year
after taking into account any credits permitted in the related
indenture against the amount of such interest required to be appropriated
for such period; and, further provided, that such appropriated amount shall
not be less than the Annual Specified Amount for any such fiscal year.
If for any reason the State Treasurer and Comptroller fail to (i) credit
amounts to the Build Illinois Bond Account (the "Build Illinois Bond
Account") in the Build Illinois Fund in the State Treasury created under
Section 6z-9 of "An Act in relation to State finance", approved June 10,
1919, as amended, (the "Finance Act") as required by Sections 6z-9 and 8.25
of the Finance Act or (ii)
make transfers to the Build Illinois Bond Retirement and Interest Fund from
the Build Illinois Bond Account as required by Section 8.25 of the Finance
Act or (iii) make payments from the Build Illinois Bond Retirement and
Interest Fund to the trustee under the Master Indenture as required by
Section 13 of this Act, or if for any reason the General Assembly fails to
make appropriations from the Build Illinois Bond Retirement and Interest
Fund sufficient to pay the principal of and interest and premium, if any,
on the Bonds, as the same by their terms shall become due, and to make
required deposits into reserve funds required to be maintained as security
for the Bonds or to retire or defease Bonds, including replenishment of any
deficiencies, this Act shall constitute an irrevocable and continuing
appropriation of all amounts necessary for all of the above purposes, and
the irrevocable and continuing authority
for and direction to the State Treasurer and the Comptroller to make the
necessary transfers and deposits, as directed by the Governor, from the
sources specified in Sections 6z-9 and 8.25 of the Finance Act to the Build
Illinois Bond Account and from the Build Illinois Bond Account to the Build
Illinois Bond Retirement and Interest Fund and to make the necessary
payments from the Build Illinois Bond Retirement and Interest Fund to the
trustee under the Master Indenture.

(Source: P.A. 91-53, eff. 6-30-99.)
 
(30 ILCS 425/12) (from Ch. 127, par. 2812)
Sec. 12.
Bonds as Limited Obligations of the State.
The Governor, on
behalf of the State, is authorized to direct the trustee under the Master
Indenture securing the outstanding Bonds to pay to the General Revenue Fund
on June 15, 1994, and each June 15th thereafter, all of the moneys on deposit
in the General Reserve Fund held under the Master Indenture for the purpose of
making distributive school aid payments in accordance with Section 18-11 of the
School Code; provided that such direction shall be in compliance with the
Master Indenture. All Bonds issued in accordance with this Act shall be
direct, limited obligations of the State of Illinois payable solely from and
secured by an irrevocable, first priority pledge of and lien on moneys on
deposit in (a) the Build Illinois Bond Retirement and Interest Fund and (b) any
fund or account maintained pursuant to any trust indenture securing any Bonds
to the extent so provided in such indenture; provided, however, that Bonds of
any series may be secured on a parity basis with, or on a senior or junior
basis with respect to, any other series of Bonds as provided in the Bond Sale
Order and trust indenture relating to such series. The State of Illinois
hereby pledges the tax revenues and other moneys from whatever source which by
law are required to be deposited into the Build Illinois Fund for the purposes
of making transfers to and payments from the Build Illinois Bond Retirement and
Interest Fund as required by Sections 6z-9 and 8.25 of the Finance Act, such
pledge constituting a first and prior claim against and charge on such tax
revenues and other moneys. The Bonds are not general obligations of the State
and are not secured by a pledge of the full faith and credit of the State and,
except as specifically provided in this Act and Sections 6z-9 and 8.25 of the
Finance Act, the holders of Bonds may not require the levy or imposition of any
taxes or the application of other State revenues or funds to the payment of
Bonds. Each Bond shall describe the limited nature of the State's obligation
on the face thereof. The Bonds shall be securities appropriate and acceptable
for collateral as described in Section 6 of "An Act relating to certain
investments of public funds by public agencies", approved July 23, 1943, as
amended, or in any similar act providing for the collateralization of public
funds.
The Bonds are hereby made securities in which all public officers and
bodies of the State and all political subdivisions of the State and other
persons carrying on an insurance business, all banks, bankers, trust
companies, saving banks and savings associations, including savings and
loan associations, building and loan associations, investment companies and
other persons carrying on a banking business, all credit unions, pension
funds, administrators, and guardians who are now or may hereafter be
authorized to invest in bonds or in other obligations of the State, may
properly and legally invest funds, including capital, in their control or
belonging to them. The Bonds are also hereby made securities which may be
deposited with and may be received by all public officers and bodies of the
State and all political subdivisions of the State and public corporations
for any purpose for which the deposit of bonds or other obligations of the
State is now or may hereafter be authorized.

(Source: P.A. 87-14; 87-860; 88-85.)
 
(30 ILCS 425/13) (from Ch. 127, par. 2813)
Sec. 13. Computation of principal and interest; transfer from Build
Illinois Bond Account; payment from Build Illinois Bond Retirement and
Interest Fund. Upon each delivery of Bonds authorized to be issued under
this Act, the trustee under the Master Indenture shall compute and certify
to the Director of the
Governor's Office of Management and Budget, the Comptroller and the
Treasurer (a) the total amount of the principal of and the interest and
the premium, if
any, on the Bonds then being issued and on Bonds previously issued and
outstanding that will be payable in order to retire such Bonds
at their stated maturities or mandatory sinking fund payment dates and (b)
the amount of principal of and interest and premium, if any, on such Bonds
that will be payable on each principal, interest and mandatory sinking fund
payment date according to the tenor of such Bonds during the then current
and each succeeding fiscal year. Such certifications shall include with
respect to interest payable on Variable Rate Bonds the maximum amount of
interest which may be payable for the relevant period after taking into
account any credits permitted in the related indenture against the amount
of such interest required to be appropriated for such period pursuant to
subsection (c) of Section 11 of this Act.
On or before June 20, 1993 and on or before each June 20 thereafter so
long as Bonds remain outstanding, the trustee under the Master Indenture
shall deliver to the Director of the
Governor's Office of Management and Budget (formerly
Bureau of the Budget), the Comptroller
and the Treasurer a certificate setting forth the
"Certified Annual Debt Service Requirement" (hereinafter defined) for the
next succeeding fiscal year. If Bonds are issued subsequent to the
delivery of any such certificate, upon the issuance of such Bonds the
trustee under the Master Indenture shall deliver a supplemental certificate
setting forth the revisions, if any, in the Certified Annual Debt Service
Requirement resulting from the issuance of such Bonds. The "Certified
Annual Debt Service Requirement" for any fiscal year shall be an amount
equal to (a) the aggregate amount of principal, interest and premium, if
any, payable on outstanding Bonds during such fiscal year plus (b) the amount
required to be deposited into any reserve fund securing such Bonds or for the
purpose of retiring or defeasing such Bonds plus (c) the
amount of any deficiencies in required transfers of amounts described in
clauses (a) and (b) for any prior fiscal year, minus (d) the
amount, if any, of such interest to be paid from Bond proceeds on deposit
under any indenture; provided, however, that interest payable on Variable
Rate Bonds shall be calculated at the maximum rate of interest which may be
payable during such fiscal year after taking into account any credits
permitted in the related indenture against
the amount of such interest required to be appropriated for such period
pursuant to subsection (c) of Section 11 of this Act.
In each month during fiscal years 1986 through 1993, the State Treasurer
and Comptroller shall transfer, on the last day
of such month, from the Build Illinois Bond Account to the Build Illinois Bond
Retirement and Interest Fund and shall make payment from the Build Illinois
Bond Retirement and Interest Fund to the trustee under the Master Indenture
of an amount equal to 1/12 of 150% of the amount set forth below for each
such fiscal year, plus any cumulative deficiency in such
transfers and payments for prior months; provided that such transfers shall
commence in October, 1985 and such amounts for fiscal year 1986 shall equal
1/9 of 150% of the amount set forth below for such fiscal year:


In each month in which Bonds are outstanding during fiscal year 1994 and
each fiscal year thereafter, the State Treasurer and Comptroller shall
transfer, on the last day of such month,
(i) with respect to Bonds constituting bonds issued pursuant to the bond authorization enacted pursuant to this amendatory Act of the 96th General Assembly (and any refunding Bonds issued to refund such Bonds), first from the Capital Projects Fund and second, if needed, from the Build Illinois Bond Account and (ii) with respect to all other Bonds not described in clause (i), from the Build Illinois Bond Account, in each case, to the Build Illinois Bond Retirement
and Interest Fund and shall make payment from the Build Illinois Bond
Retirement and Interest Fund to the trustee under the Master Indenture of an
amount equal to the greater of (a) 1/12th of 150% of the Certified Annual
Debt Service Requirement or (b) the Tax Act Amount (as defined in Section 3
of the "Retailers' Occupation Tax Act", as amended) deposited in the Build
Illinois Bond Account during such month, plus any cumulative deficiency in
such transfers and payments for prior months; provided that such transfers
and payments for any such fiscal year shall not exceed the greater of (a)
the Certified Annual Debt Service Requirement or (b) the Tax Act Amount.

(Source: P.A. 96-36, eff. 7-13-09.)
 
(30 ILCS 425/14) (from Ch. 127, par. 2814)
Sec. 14.
State Covenant.
The State of Illinois irrevocably
covenants and agrees with the holders of Bonds issued pursuant to this Act
that the State will not limit or alter (a) the basis on which the taxes and
revenues of the State are required to be
collected and deposited in the Build Illinois Fund created under "An
Act in relation to State finance", approved June 10, 1919, as amended,
pursuant to Section 6z-9 of that Act and
to be credited to and transferred from the Build Illinois Bond Account
pursuant to Section 8.25 of that
Act; (b) the basis on which transfers
of amounts credited to the Build Illinois Bond Account are required to be
made to the Build Illinois
Bond Retirement and Interest Fund;
(c) the purposes of the Build Illinois
Bond Retirement and Interest Fund; or (d)
the provisions of this Section 14, or of Sections 11, 12 and
13 of this Act or the provisions of Sections 6z-9 or 8.25 of "An Act in
relation to State finance", approved June 10, 1919, as amended,
so as to impair, in any of the foregoing respects, the obligations of
contract incurred by the State in favor of the holders of
Bonds issued under this Act. The covenant and
agreement set forth in this Section may be included in any Bond Sale Order,
trust indenture, agreement or Bond authorized under this Act.

(Source: P.A. 84-111.)
 
(30 ILCS 425/15) (from Ch. 127, par. 2815)
Sec. 15. Refunding Bonds. Refunding Bonds are hereby authorized for
the purpose of refunding any outstanding Bonds, including the payment of
any redemption premium thereon, any reasonable expenses of such refunding,
and any interest accrued or to accrue to the earliest or any subsequent
date of redemption or maturity of outstanding Bonds; provided that all non-refunding Bonds in an issue that includes

refunding Bonds shall mature no later than the final maturity date of Bonds
being refunded; provided that no refunding Bonds shall be offered for sale unless the net present value of debt service savings to be achieved by the issuance of the refunding Bonds is 3% or more of the principal amount of the refunding Bonds to be issued; and further provided that, except for refunding Bonds sold in fiscal years 2009, 2010, 2011, 2017, 2018, 2019, or 2022 the maturities of the refunding Bonds shall not extend beyond the maturities of the Bonds they refund, so that for each fiscal year in the maturity schedule of a particular issue of refunding Bonds, the total amount of refunding principal maturing and redemption amounts due in that fiscal year and all prior fiscal years in that schedule shall be greater than or equal to the total amount of refunded principal and redemption amounts that had been due over that year and all prior fiscal years prior to the refunding.
Refunding Bonds may be sold in such amounts and at such times, as
directed by the Governor upon
recommendation by the Director of the
Governor's Office of Management and Budget. The Governor
shall notify the State Treasurer and
Comptroller of such refunding. The proceeds received from the sale of
refunding Bonds shall be used
for the retirement at maturity or redemption of such outstanding Bonds on
any maturity or redemption date and, pending such use, shall be placed in
escrow, subject to such terms and conditions as shall be provided for in
the Bond Sale Order relating to the refunding Bonds. This Act shall
constitute an irrevocable and continuing
appropriation of all amounts necessary to establish an escrow account for
the purpose of refunding outstanding Bonds and to pay the reasonable
expenses of such refunding and of the issuance and sale of the refunding
Bonds. Any such escrowed proceeds may be invested and
reinvested in direct obligations of the United States of America, maturing
at such time or times as shall be appropriate to assure the prompt payment,
when due,
of the principal of and interest and redemption premium, if any, on the
refunded Bonds. After the terms of the escrow have been fully satisfied,
any remaining balance of such proceeds and interest, income and profits
earned or realized on the investments thereof shall be paid into the
General Revenue Fund. The liability of the State upon the refunded Bonds
shall continue, provided that the holders thereof shall thereafter be
entitled to payment only out of the moneys deposited in the escrow account
and the refunded Bonds shall be deemed paid, discharged and no longer to be
outstanding.
Except as otherwise herein provided in this Section, such refunding Bonds
shall in all other respects be issued pursuant to and subject to the terms
and conditions of this Act and shall be secured by and payable from only the
funds and sources which are provided under this Act.

(Source: P.A. 102-16, eff. 6-17-21.)
 
(30 ILCS 425/16) (from Ch. 127, par. 2816)
Sec. 16.
Compel Payment - Remedies of Bondholders.
If the State
fails to pay the principal of or interest on any of the Bonds or premium,
if any, as the same become due, a civil action to compel payment may be
instituted in the Supreme Court of Illinois as a court of original
jurisdiction by the holder or holders of the Bonds on which such default of
payment exists or by an indenture trustee acting on behalf of such holders.
Delivery of a summons and a copy of the complaint to the Attorney General
shall constitute sufficient service to give the Supreme Court of Illinois
jurisdiction of the subject matter of such a suit and jurisdiction over the
State and its officers named as defendants for the purpose of compelling
such payment. Any case, controversy or cause of action concerning the
validity of this Act relates to the revenue of the State of Illinois.
If the Supreme Court of Illinois denies the holder or holders of Bonds or
an indenture trustee acting on their behalf leave to file an original
action in the Supreme Court, the Bond holder or holders or such indenture
trustee may bring the action in the Circuit Court of Sangamon County.

(Source: P.A. 84-111.)
 
(30 ILCS 425/17) (from Ch. 127, par. 2817)
Sec. 17.
Investment of Money Not Needed for Current Expenditures -
Application of Earnings.
(a) The State Treasurer may, with the Governor's approval, invest and
reinvest any moneys on deposit in the Build Illinois Bond Fund and the
Build Illinois Bond Retirement and Interest Fund in the State Treasury
which are not needed for current expenditures due or about to become due
from such funds. Earnings or interest income from
investments in the Build Illinois Bond Fund shall be deposited by the
State Treasurer in the General Revenue Fund. Earnings or interest income
from investments in the Build Illinois Bond Retirement and
Interest Fund shall be deposited in the Build Illinois Bond Retirement and Interest Fund. Upon the direction of the Governor or his authorized representative, the State Treasurer and Comptroller shall transfer from the Build Illinois Bond Retirement and Interest Fund all such earnings or interest income derived from investments in the Build Illinois Bond Retirement and Interest Fund to the trustee under the Master Indenture.
(b) Moneys in the Build Illinois Bond Fund may be invested as permitted
in "An Act in relation to State moneys", approved June 28, 1919, as
amended, and in "An Act relating to certain investments of public funds by
public agencies", approved July 23, 1943, as amended. Moneys on deposit in
the Build Illinois Bond Retirement and Interest Fund may be invested in
securities constituting direct obligations of the United States Government,
or in obligations the principal of and interest on which are guaranteed by
the United States Government, or in certificates of deposit of any state or
national bank which are fully secured by
obligations of, or guaranteed as to principal and interest by, the United
States Government. Moneys on deposit with indenture trustees shall be
invested in accordance with the above laws and the provisions of the
respective indentures.

(Source: P.A. 98-674, eff. 6-30-14.)

Structure Illinois Compiled Statutes