1980-019ORDINANCE NO. 80 -
AN ORDINANCE AUTHORIZING THE ISSUANCE OF INDUSTRIAL
AND COMMERCIAL PROJECT REVENUE BONDS
WHEREAS, Section 6(a) of Article VII of the 1970 Constitution of the
State of Illinois provides that any municipality through referendum may become
a home rule unit of government; and
WHEREAS, the Village of Buffalo Grove on March 1, 1980 conducted and
had successfully passed such a referendum, and is therefore a home rule unit
and, pursuant to the provisions of Section 6(a) of Article VII may exercise
any power and perform and function pertaining to its government and affairs,
including, but not limited to, the power to tax and incur debt; and
WHEREAS, it is in the best interests of the Village of Buffalo Grove to
issue industrial and commercial project revenue bonds to finance in whole or
in part the cost of acquisition, purchase, construction, reconstruction,
improvement, equipping, betterment or extension of any industrial or commercial
development project in order to encourage the economic development of the Village
which is a public purpose and is a function pertaining to the government and
affairs of the Village;
WHEREAS, the Village does hereby determine that Division 74 and Division 74.2
of Article Il of the Illinois Municipal Code shall not be applicable to the
issuance of industrial revenue bonds or commercial revenue bonds by the Village.
NOW, THEREFORE, BE IT ORDAINED BY THE PRESIDENT AND BOARD OF TRUSTEES OF
THE VILLAGE OF BUFFALO GROVE, COOK AND LAKE COUNTIES, ILLINOIS, the following:
SECTION 1. There is hereby added to the Municipal Code of the Village
of Buffalo Grove to Title 3 a new chapter 3.24 to read as follows:
Chapter 3.24 Authorization for the Issuance of Industrial and Commercial
Project evenue Bonds
3.24_.010_ Declaration of Purpose The Village has enacted this Chapter
for the following specific purposes:
1. To provide a financing device that will aid in financing the
cost of industrial and commercial projects in order to relieve
conditions of unemployment and broaden the existing tax base.
2. To encourage the increase of industrial and commercial develop -
ment .in the Village leading to increased welfare and prosperity
of the residents of the Village.
3. To provide a financing device which will aid in financing the
cost of pollution control facilities in order to eliminate, abate,
or reduce the serious dangers to the public health and welfare
caused by environmental pollution.
3.24..020 Definitions Whenever used in this Ordinance, unless a different
meaning clearly appears from the context:
1. "Village" means the Village of Buffalo Grove, Cook and Lake
Counties, Illinois.
2. "Development project" includes any industrial or commercial
project which is a capital project comprising an industrial
or manufacturing plant or a commercial facility, including
one or more buildings and other structures, whether or.not
on the same site or sites; any rehabilitation, improvement,
renovation or enlargement of, or any addition to, any buildings
or structures for use as a commercial facility or factory, mill,
processing plant, assembly plant, fabricating plant, industrial
distribution center, repair, overhaul or service facility, test
facility, and other facilities, including research and develop-
ment for manufacturing, processing, assembling, repairing,
overhauling, servicing, testing or handling of any products
or commodities embraced in any industrial or manufacturing
plant; and including also the sites thereof and other rights
in land therefor, whether improved or unimproved, machinery,
equipment, site preparation and landscaping, and all appurtenances
and facilities incidental thereto such as warehouses, utilities,
access roads, railroad sidings, truck docking and similar,
facilities, parking facilities, dockage, wharfage, and other
improvements necessary or convenient for any manufacturing
or industrial plant.
3. "Person" means an individual, partnership, copartnership,
firm, company, corporation (including public utilities),
association, joint stock company, trust, estate, political
subdivision., state agency, or any other legal entity, or
its legal representative, agent or assigns.
4. "Pollution" means any form of environmental pollution
including, but not limited to, water pollution, air
pollution, land pollution, solid waste pollution, thermal
pollution, radiation contamination, or noise pollution
as determined by the various standards prescribed by
this state, the federal government -or other governmental
entities and including but not limited to, anything which
is considered as pollution or environmental damage_ in the
Environmental Protection Act, compiled as Sections 1001
through 1051 of Chapter 111 -1/2 Ill. Rev. Stats. 1971,
and any amendment thereto and substitution therefor.
5. "Pollution control facility" means any land, interest in
land, building, structure, facility, system, fixture,
improvement, appurtenance, addition, machinery or equip -
ment, or any combination thereof, and all real and .personal
property deemed necessary therewith, having to do with.or the
end purpose of which is, reducing, controlling or preventing
pollution.
6. "Project" means any economic development project or pollution
control facility or any combination thereof located within
the Village.
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7. "Project costs" means and includes the sum total of all
reasonable or necessary costs incidental' to the acquisition,
construction, reconstruction, repair, alteration, improve-
ment and extension of a project including without limitation
the cost of studies and surveys; plans, specifications,
architectural and engineering services; legal, marketing or
other special services; financing, acquisition, demolition,
construction, equipment and site development of new and
rehabilitated buildings, rehabilitation, reconstruction,
repair or remodeling of existing buildings and all other
necessary and incidental expenses including an initial bond
and interest reserve together with interest on bonds issued
to finance a project to a date six (6) months subsequent to
the estimated date of completion and any costs or expenses
which may be included under the provisions of Section 103(b)
of the Internal Revenue Code of 1954 as amended.
3.24.030 Additional Powers In addition to powers which it may now have,
't e Village has the power under this Section:
1. To construct, acquire by gift or purchase, reconstruct;
improve, better or extend any development project within
or without the Village or partially within or.partially
without the Village, but in no event further than 10 miles
from the territorial boundaries of the Village, and to
acquire by gift or purchase lands or rights in land in
connection therewith.
2. To issue its bonds to finance in whole or in part the
cost of the acquisition, purchase, construction, recon-
struction, improvement, betterment or extension of any
development project. In determining such cost, the Village
may include all cost and estimated cost of the issuance of
such bonds, all engineering, inspection, fiscal and legal
expenses, and interest which it is estimated will accrue
during the construction period and for 6 months thereafter
on money borrowed or which it is estimated will be borrowed
pursuant to this Section.
3. To rent or lease such development project to industrial or
commercial concerns in such manner that rents to be charged
for the use of the development project shall be fixed and
revised from time to time so as to produce income and.revenues
sufficient to provide for the prompt payment of interest upon
all bonds issued under this Section and to create a sinking fund
to pay the principal of such bonds when due, and to provide for
the operation and maintenance of such development project and
for an adequate depreciation account in connection therewith.
4. To pledge to the punctual payment of bonds authorized under
this Section and interest thereon the income and revenues
to be received from such development project (including
improvements, betterments or extensions thereto thereafter
constructed or acquired) sufficient to pay such bonds and
interest as they become due and to create and maintain
reasonable reserves therefor.
5. To mortgage such development project in favor of the holder
or holders of bonds issued therefore
6. To enter into.a loan agreement and accept a note or mortgage,..
or both, as security for payment of the proceeds of the revenue
bonds and to pledge said note or mortgage, or both, for the
benefit of the holders of the bonds.
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7. To sell and convey such development project, including
without limitation the sale and conveyance thereof subject to
a mortgage as provided in this Section, for such price and at
such time as the Board of Trustees of the Village may determine.
However, no sale or conveyance of such development project shall
ever be made in such manner as to impair the rights or interests
of the holder or holders of any bonds issued for the construction,
purchase, improvement or extension of any such development project.
8. To issue its bonds to refund in whole or in part, bonds thereto-
fore issued by the Village under authority of this Section.
3.24.040 Exercise of Powers - Bonds
1. The construction, acquisition, reconstruction, improvement,
betterment, or extension of any development project may be
authorized under this Section and bonds may be authorized to
be issued under this Section to provide funds for such purpose
or purposes or for the refunding*of bonds theretofore issued
under this Section, by an ordinance passed by a vote of a majority
of the co:rpora.t.e'autho.r.i ties.then holding office and shall take
effect immediately upon adoption.
2. Bonds shall bear interest at such rate or rates, payable at
such times, may be in one or more series, may bear such date
or dates, may mature at such time or times not exceeding 40
years from their respective dates, may be payable in such
medium of payment at such place or places, may carry such
registration privileges, may be subject to such terms of
redemption at such premiums, may be executed in such manner,
may contain such terms, covenants and conditions, and may be in
such form either coupon or registered, as such ordinance may
provide or as may be subsequently determined by the Board of
Trustees before the bonds are issued. Bonds may be sold at
public or private sale in such manner and upon such terms as
may be deemed advisable by the Board of Trustees. Pending the
preparation of the definitive bonds, interim receipts or
certificates in such form and with such provisions as the Board
of Trustees may determine, may be issued to the purchaser or
purchasers of bonds sold pursuant to this Section.
3.24.050 Covenants in Bonds
1. Any ordinance authorizing the issuance of bonds under this
Section may contain covenants as to any one or more of the
following:
a) a) The use and disposition of the income and revenues
from the development project for which the bonds are
to be issued, including the creation and maintenance
of reserves;
b) The issuance of-other or additional bonds payable from
the income and revenues from such development project;
c) The maintenance and handling of such project;
d) The insurance to be maintained thereon and the use and
disposition of insurance money;
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e) The appointment of any bank or trust company within or
outside the State of Illinois, having the necessary
trust powers as trustee for the benefit of the bondholders,
paying agent, and bond registrar;
f) The investment of any funds held by such trustee;
g) The terms and conditions upon which the holders of the
bonds or any portion thereof or any trustees therefor,
are entitled to the appointment of a receiver; and
h) Such additional terms as the Board of Trustees shall
deem necessary and proper.
2. Any ordinance authorizing the issuance of bonds under this
Section may provide that the principal of and interest on
any bonds issued under this Section shall be secured by a
mortgage or deed of trust covering such development project
for which the bonds are issued and may include any improve-
ments or extensions thereafter made. Such mortgage or deed
of trust may contain such covenants and agreements to safe-
guard properly the bonds as may be provided for in the
ordinance authorizing such bonds and shall be executed in such
manner as may be provided for in such ordinance. The provisions
of this Section and any such ordinance or ordinances and any
such mortgage or deed of trust shall constitute a contract
with the holder or holders of the bonds and continues in
effect until the principal of, the interest on, and the
redemption premiums, if any, on the bonds so issued have
been fully paid, and.the Village may in any such ordinance or
ordinances agree that the duties of the Village and its
corporate authorities and officers under this Section and
any such ordinance or ordinances and any such mortgage or
deed of trust shall be.enforceable by any bondholder by
mandamus, foreclosure of any such mortgage or deed of trust
or other appropriate suit, action or proceedings in any court
of competent jurisdiction; provided, that the ordinance or
any mortgage or deed of trust under which the bonds are issued
may provide that all such remedies and rights to enforcement
may be vested in a trustee for the benefit of all the bond-
holders, which trustee shall be subject to the control of a
majority of the holders or owners of any outstanding bonds.
3.24.060 Signatures of Officers on Bonds - Validity of Bonds. Bonds
shall bear the signatures of u
sch off—i _cTers of the Village as
may be designated in the ordinance authorizing such bonds,
and such signatures shall be the valid and binding signatures
of the officers of the Village notwithstanding that before the
delivery thereof and payments therefor any or all of the persons
whose signatures appear thereon have ceased to be officers of
the Village issuing such bonds validity of the bonds is not
dependent upon nor affected by the validity or popularity of
the proceedings relating to the acquisition, purchase, con -
struction, reconstruction, improvement, equipping, betterment
or extension of the development project for which the bonds
are issued. The ordinance authorizing the bonds may provide
that the bonds shall contain a recital that they are issued
pursuant to this Section, and that.no officer or agent of the
Village shall question or contest any such recital.
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3.24.070 Lien Bonds. All bonds issued under this Section shall have
a lien upon the revenues and receipts derived from the develop-
ment project for which the bonds have been issued, and the
corporate authoriities may provide in the ordinance or
ordinances authorizing such bonds for the issuance of
additional bonds to be equally and ratably secured by a lien
upon such income and revenues or may provide that the lien
upon such income and revenues is subordinate.
3.2.4.0130 Liability for Bonds. All bonds issued under and pursuant to
this Section shall not be general obligations of the Village,
but shall be limited obligations payable solely out of the
income and revenues derived from the development project with
respect to which such bonds are issued. No holder of any
bonds issued under. this Section shall have the right to
compel any exercise of taxing power of the Village to pay
the bonds, the interest or premium, if any, thereon, and
the bonds do not constitute an indebtedness of the Village
or a loan of credit thereof within the meaning of any
constitutional or statutory provision. It shall be plainly
stated on the face of each bond that is has been issued.under
the provisions of this Section °and that is does not constitute
an indebtedness of the Village or a loan of credit thereof
within the meaning of any constitutional or:statutory provisions.
3.24.030 Investment of Funds.
1. Funds held by the Village pursuant to this Section may,
to the extent not inconsistent with the laws of the State
of Illinois, be invested in
a) bonds, notes, certificates of indebtedness, treasury
bills or other securities constituting direct obligations
of or guaranteed by the United States of America;
b) certificates of deposit or time deposits constituting
direct .obligations of any bank as defined by the
Illinois Banking Act, as heretofore and hereafter
amended, provided, however, that investments under
this clause (b) may be made only in those certificates
of deposit or time deposits issued by banks which
are insured by the Federal Deposit Insurance Corpora-
tion, if then in existence;
c) short term discount obligations of the Federal National
Mortgage Association; and
d) any other debt obligation or obligations issued by
any corporation or corporations organized under the
laws of the United States or any state of the United
States, provided that in, each of the investments
under this clause (d) shall.be expressly authorized
by the Board of Trustees stating with particularity
the amount of such investment and the issuer of such
debt obligation, and expressly finding in each case
that such investment will not involve any undue risk
or loss of funds derived from the general revenues of
the Village. Any such securities may be purchased at the
offering or market price thereof at the time of such
purchase.
MW
2. The investment of funds authorized in subsection 1 of this
Section may be made on behalf of the Village by the Village's
Director of Finance, without further authorization, or such
other person, firm or corporation as may be authorized in a
lease, indenture, purchase contract or other contract
authorized by the corporate authorities provided such
other person, firm or corporation agrees in writing to bear
the risk of any loss that may occur as a result of such.
investment of funds, and further provided, the corporate
authorities expressly finds that such authorization will not
involve any unde risk or loss of funds derived from the
general revenue of the Village.
3.24.100 Rentals from Development Projects, The corporate authorities
of the Village issuing bonds pursuant to this Section shall
prescribe and collect rentals for a development project
and shall revise such from time to time whenever necessary
so that the income and revenues to be derived from such
rentals are always sufficient to pay when due all bonds and
interest thereon for the payment of which such revenues are
pledged, including reserves therefor, and to provide for all
expenses of operation, including maintenance, and depreciation
charges of such development project.
3.24.110 Exemption from Construction and Building Requirements for Public
Buildings. The acquisition and construction of a development
project shall not be subject to any requirements relating
to public buildings, structures, grounds, works or improve-
ments imposed by the Illinois Revised Statutes or any other
similar requirements which may be lawfully waived by this
Section and any requirement of competitive bidding or re-
striction imposed on the procedure for award of contracts
for such purpose of the lease, sale or other disposition
of property of the Village is not applicable to any action
taken under authority of this Section.
3.24.120 Powers Conferred as Additional and Supplemental - Limitations
Imposed - Effect. The powers conferred -
by this chapter are in
addition and supplemental to, and the limitations imposed by
this Section shall not attend the powers the Village may
have by any law or any other Section. Development projects
may be acquired, purchased, constructed, reconstructed,
improved, bettered, equipped, extended and financed and
bonds may be issued under this Section for such purposes, .
notwithstanding that any °law or any other ordinance may
provide for the acquisition, purchase, construction, recon-
struction, improvement, equipping, betterment, extension
and financing of a like project, or the issuance of bonds
for the purposes, and without regard to the requirements,
restrictions, limitations or rather provisions contained
in any law or any other ordinance.
3.24.130 Severability Clause. The provisions of this Section are
severable and if any of its provisions or any sentence,
clause or paragraph shall be held unconstitutional by
any court of competent jurisdiction, the decision of such
court shall not affect or impair any of the remaining pro-
visions.
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SECTION TWO: This ordinance shall be in full force and effect from
and after its passage and approval in the manner provided by law.
AYES: 4 - Marienthal, Stone, Hartstein, Gerschefske
NAYES: 0 - None
ABSENT: 2 - O'Reilly, Kavitt
PASSED: April 7 , 1980.
APPROVED: April 7 , 1980.
ATTEST:
V age Clerk'
Village President
M
VILLAGE OF BUFFALO GROVE
ORDINANCE NO.�
ADOPTED BY THE PRESIDENT
AND BOARD OF TRUSTEES OF THE VILLAGE
OF BUFFALO GROVE
TH I S Itt DAY OFQ46,4Z , 19 .
Published in pamphlet form by authority of the
President and Board of Trustees of the Village
of Buffalo Grove, Cook and Lake Counties, Illinois,
this day of 190
Village Clerk
4y 0-C cl-IA-;�-
'04 �'4"'n'tze
-- 11 a
ORDINANCE NO. 80 -
AN ORDINANCE AUTHORIZING THE ISSUANCE OF INDUSTRIAL
AND COMMERCIAL PROJECT REVENUE BONDS
WHEREAS, Section 6(a) of Article Vll of the 1970 Constitution of the
State of Illinois provides that any municipality through referendum may become
a home rule unit of government; and
WHEREAS, the Village of Buffalo Grove on March 1, 1980 conducted and
had successfully passed such a referendum, and is therefore a home rule unit
and, pursuant to the provisions of Section b(a) of Article VII may exercise
any.power and perform and function pertaining to its government and affairs,
including, but not limited to, the power to tax and incur debt; and
WHEREAS, it is in the best interests of the Village of Buffalo Grove to
issue industrial and commercial project revenue bonds to finance in whole or
in part the cost of acquisition, purchase, construction, reconstruction,
improvement, equipping, betterment or extension of any industrial or commercial
development project in order to encourage the economic development of the Village
which is a public purpose and is a function pertaining to the government and
affairs of the Village;
WHEREAS, the Village does hereby determine that Division 74 and Division 74.2
of Article II of the Illinois Municipal Code shall not be applicable to the
issuance of industrial revenue bonds or commercial revenue bonds by the Village.
NOW, THEREFORE, BE IT ORDAINED BY THE PRESIDENT AND BOARD OF TRUSTEES OF
THE VILLAGE OF BUFFALO GROVE, COOK AND LAKE COUNTIES, ILLINOIS, the following:
SECTION 1. There is hereby added to the Municipal Code of the Village
of Buffalo Grove to Title 3 a new chapter 3.24 to read as follows:
Chapter 3.24 Authorization for the Issuance of Industrial and Commercial
Project Revenue Bonds
3.24.010 Declaration of Purpose The Village has enactei this Chapter
for the following specific purposes:
1. To provide a financing device that will aid in financing the
cost of industrial and commercial projects in order to relieve
conditions of unemployment and broaden the existing tax base.
2. To encourage the increase of industrial and commercial develop-
ment in the Village leading to increased welfare and prosperity
of the residents of the Village.
3. To provide a financing device which will aid in financing the
cost of pollution control facilities in order to eliminate, abate,
or reduce the serious dangers to the public health and welfare
caused by environmental pollution.
J"
3.24.020 Definitions Whenever used in this Ordinance, unless a different
meaning clearly appears from the context:
.1. "Village" means the Village of Buffalo Grove, Cook and Lake
Counties, Illinois.
2. "Development project" includes any industrial or commercial
project which is a capital project comprising an industrial
or manufacturing plant or a commercial facility, including
one or more buildings and other structures, whether or not
on the same site or sites; any rehabilitation, improvement,
renovation or enlargement of, or any addition to, any buildings
or structures for use as a commercial facility or factory, mill,
processing plant, assembly plant, fabricating plant, industrial
distribution center, repair, overhaul or service facility, test
facility, and other facilities, including research and develop-
ment for manufacturing, processing, assembling, repairing,
overhauling, servicing, tes.ting or handling of any products
or commodities embraced in any industrial or manufacturing
plant; and including also the sites thereof and other rights
in land therefor, whether improved or unimproved, machinery,
equipment, site preparation and landscaping, and all appurtenances
and facilities incidental thereto such as warehouses, utilities,
access roads, railroad sidings, truck docking and similar
facilities, parking facilities, dockage, wharfage, and other
improvements necessary or convenient for any manufacturing
or industrial plant.
3. "Person" means an individual, partnership, copartnership,
firm, company, corporation (including public utilities),
association, joint stock company, trust, estate, political
subdivision, state agency, or any other legal entity, or
its legal representative, agent or assigns.
4. "Pollution" means any form of environmental pollution
including, but not limited to, water pollution, air
pollution, land pollution, solid waste pollution, thermal
pollution, radiation contamination, or noise pollution
as determined by the various standards prescribed by
this state, the federal government -'or other governmental
entities and including but not limited to, anything which
is considered as pollution or environmental damage in the
Environmental Protection Act, compiled as Sections 1001
through 1051 of Chapter 111 -1/2 Ill. Rev. Stats. 1971,
and any amendment thereto and substitution therefor.
5. "Pollution control facility" means any land, interest in
land, building, structure, facility, system, fixture,
improvement, appurtenance, addition, machinery or equip -
ment, or any combination thereof, and all real and personal
property deemed necessary therewith, having to do with or the
end purpose of which is, reducing, controlling or preventing
pollution.
6. "Project" means any economic development project or pollution
control facility or any combination thereof located within
the Village.
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7. "Project costs" means and includes the sum total of all
reasonable or necessary costs incidental to the acquisition,
construction, reconstruction, repair, alteration, improve-
ment and extension of a project including without limitation
the cost of studies and surveys; plans, specifications,
architectural and engineering services; legal, marketing or
other special services; financing, acquisition, demolition,
construction, equipment and site development of new and
rehabilitated buildings, rehabilitation, reconstruction,
repair or remodeling of existing buildings and all other
necessary and incidental expenses including an initial bond
and interest reserve together with interest on bonds issued
to finance a project to a date six (6) months subsequent to
the estimated date of completion and any costs or expenses
which may be included under the provisions of Section 103(b)
of the Internal Revenue Code of 1954 as amended.
3. 24.030 Additional Powers In addition to powers which it may now have,
ilie Village has the power under this Section:
1. To construct, acquire by gift or purchase, reconstruct;
improve, better or extend any development project within
or without the Village or partially within or partially
without the Village, but in no event further than 10 miles
from the territorial boundaries of the Village, and to
acquire by gift or purchase lands or rights in land in
connection therewith.
2. To issue its bonds to finance in whole or in part the
cost of the acquisition, purchase, construction, recon-
struction, improvement, betterment or extension of any
development project. In determining such cost, the Village
_may include all cost and estimated cost of the issuance of
such bonds, all engineering, inspection, fiscal and legal
expenses, and interest which it is estimated will accrue
during the construction period and for 6 months thereafter
on money borrowed or which it is estimated will be borrowed
pursuant to this Section.
3. To rent or lease such development project to industrial or
commercial concerns in such manner that rents to be charged
for the use of the development project shall be fixed and
revised from time to time so as to produce income and - revenues
sufficient to provide for the prompt payment of interest upon
all bonds issued under this Section and to create a sinking fund
to pay the principal of such bonds when due, and to provide for
the operation and maintenance of such development project and
for an-adequate depreciation account in connection therewith.
4. To pledge to the punctual payment-of bonds authorized under
this Section and interest thereon the income and revenues
to be received from such development project (including
improvements, betterments or extensions thereto thereafter
constructed or acquired) sufficient to pay such bonds and
interest as they become due and to create and maintain
reasonable reserves therefor.
5. To mortgage such development project in favor of the holder -
or holders of bonds issued therefor.
6. To enter into a loan agreement and accept a note or mortgage,.
or both, as security for payment of the proceeds of the revenue
bonds and to pledge said note or mortgage, or both,, for the
benefit of the holders of the bonds.
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7. To sell and convey such development project, including
without limitation the sale and conveyance thereof subject to
a mortgage as provided in this Section, for such price and at
such time as the Board of Trustees of the Village may determine.
However, no sale or conveyance of such development project shall
ever be made in such manner as to impair the rights or interests
of the holder or holders of any bonds issued for the construction,
purchase, improvement or extension of any such development project.
8. To issue its bonds to refund in whole or in part, bonds thereto -
fore issued by the Village under authority of this Section.
3.24.040 Exercise of Powers - Bonds
1. The construction, acquisition, reconstruction, improvement,
betterment, or extension of any development project may be
authorized under this Section and bonds may be authorized to
be issued under this Section to provide funds for such purpose
or purposes or for the refunding of bonds theretofore issued
under this Section, by an ordinance passed by a vote of a majority
of the co. rporat. eaut.hori ties then hol.ding off ice and shall take
effect immediately upon adoption.
2. Bonds shall bear interest at such rate or rates, payable at
such times, may be in-one or more series, may bear such date
or dates, may mature at such time or times not exceeding 40
years from their respective dates, may be payable in such
medium of payment at such place or places, may carry such
registration privileges, may be subject to such terms of
redemption at such premiums, may be executed in such manner,
may contain such .terms, covenants and conditions, and may be in
such form either coupon or registered, as such ordinance may
provide or as may be subsequently determined by the Board of
Trustees before the bonds are issued. Bonds may be sold at
public or private sale in such manner and upon such terms as
may be deemed advisable by the Board of Trustees. Pending the
preparation of the definitive bonds, interim receipts or
certificates in such form and with such provisions.as the Board
of Trustees may determine, may be issued to the purchaser or
purchasers of bonds sold pursuant to this Section.
3.24.050 Covenants in Bonds
1. Any ordinance authorizing the issuance of bonds under this
Section may contain covenants as to any one or more of the
fol lowing:
a) The use and disposition of the income and revenues
from the development project for which the bonds are
to be issued, including the creation and maintenance
of reserves;
b) The issuance of other or additional bonds payable from
the income and revenues from such development project;
c) The maintenance and handling of such project;
d) The insurance to be maintained thereon and the use and
disposition of insurance money;
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e) The appointment of any bank or trust company within or
outside the State of Illinois, having the necessary
trust powers as trustee for the benefit of the bondholders,
paying agent, and bond registrar;
f) The investment of any funds held by such trustee;
g) The terms and conditions upon which the holders of the
bonds or any portion thereof or any trustees therefor,
are entitled to the appointment of a receiver; and
h) Such additional terms as the Board of Trustees shall
deem necessary and proper.
2. Any ordinance authorizing the issuance of bonds under this
Section may provide that the principal of and interest on
any bonds issued under this Section shall be secured by a
mortgage or deed of trust covering such development project
for which the bonds are issued and may include any improve-
ments or extensions thereafter made. Such mortgage or deed
of trust may contain such covenants and agreements to safe-
guard properly the bonds as may be provided for in the
ordinance authorizing such bonds and shall be executed in such
manner as may be provided for in such ordinance. The provisions .
of this Section and any such ordinance or ordinances and any
such mortgage or deed of trust shall constitute a contract
with the holder or holders of the bonds and continues in
effect until the principal of, the interest on, and the
redemption premiums, if any, on the bonds so issued have
been fully paid, and the Village may in any such ordinance or
ordinances agree that the duties of the Village and its
corporate authorities and officers under this Section and
any such ordinance or ordinances and any such mortgage or
deed of trust shall be enforceable by any bondholder by
mandamus, foreclosure of any such mortgage or deed of trust
or other appropriate suit, action or proceedings in any court
of competent jurisdiction provided, that the ordinance or
any mortgage or deed of trust under which the bonds are issued
may provide that all such remedies and rights to enforcement
may be vested in a trustee for the benefit of all the bond-
holders, which trustee shall be subject to the .control of a
majority of the holders or owners of any outstanding bonds.
3.24.060 Signatures of Officers on Bonds - Validity of Bonds. Bonds
shall bear the signatures of such officers of the Village as
may be designated in the ordinance authorizing such bonds,
and such signatures shall be the valid and binding signatures
of the officers of the Village notwithstanding that before the
delivery thereof and payments therefor any or all of the persons
whose signatures appear thereon have ceased to be officers of
the Village issuing such bonds validity of the bonds is not
dependent upon nor affected by the validity or popularity of
the proceedings relating to the acquisition, purchase, con -
strUction, reconstruction, improvement, equipping, betterment
or extension of the development project for which the bonds
are issued. The ordinance authorizing the bonds may provide
that the bonds shall contain a recital that they are issued
pursuant to this Section, and that.no officer or agent of the
Village shall question or contest any such recital.
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3.24.070 Lien Bonds. All bonds issued under this Section shall have
a lien upon the revenues and receipts derived from the develop -
ment project for which the bonds have been issued, and the
corporate authorities may provide in the ordinance or
ordinances authorizing such bonds for the issuance of
additional bonds to be equally and ratably secured by a lien
upon such income and revenues or may provide that the lien
upon such income and revenues is subordinate.
3.24.030 Liability for Bonds. All bonds issued under and pursuant to
this Section shall not be general obligations of the Village,
but shall be limited obligations payable solely out of the
income and revenues derived from the development project with
respect to which such bonds are issued. No holder of any
bonds issued under. this Section shall have the right to
compel any exercise of taxing power of the Village to pay
the bonds, the interest or premium, if any, thereon, and
the bonds do not constitute an indebtedness of the Village
or a loan of credit thereof within the meaning of any
constitutional or statutory provision. It shall be plainly
stated on the face of each bond that is has been issued under
the provisions of this Section '_and that is does not constitute
an indebtedness of the Village or a loan of credit thereof
within the meaning of any constitutional or.statutory provisions.
3.24.090 Investment of Funds.
1. Funds held by the Village pursuant to this Section may,
to the extent not inconsistent with the laws of the State
of Illinois, be invested in
a) bonds,.notes, certificates of indebtedness, treasury
bills or other securities constituting direct obligations
of or guaranteed by the United States of America;
b) certificates of deposit or time deposits constituting
direct obligations of any bank as defined by the
Illinois Banking Act, as heretofore and hereafter
amended, provided, however, that investments under
this clause (b) may be made only in those certificates
of deposit or time deposits issued by banks which
are insured by the Federal Deposit Insurance Corpora -
tion, if then in existence;
c) short term discount obligations of the Federal National
Mortgage Association; and
d) any other debt obligation or obligations issued by
any corporation or corporations organized under the
Taws of the United States or any state of the United
States, provided that in each of the investments
under this clause (d) shall be expressly authorized
by the Board of Trustees stating with particularity
the amount of such investment and the issuer of such
debt obligation, and expressly finding in each case
that such investment will not involve any undue risk
or loss of funds derived from the general revenues of
the Village. Any such securities may be purchased at the
offering or market price thereof at the time of such
purchase.
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2. The investment of funds authorized in subsection 1 of this
Section may be made on behalf of the Village by the Village's
Director of Finance, without further authorization, or such
other person, firm or corporation as may be authorized in a
lease, indenture, purchase contract or other contract
authorized by the corpurate authorities;. provided such
other person, firm or corporation agrees in writing to bear
the risk of any loss that may occur as a result of such
investment of funds, and further provided, the corporate
authorities expressly finds that such authorization will not
involve any unde risk or loss of funds derived from the
general revenue of the Village.
3.24.100 Rentals from Development Projects. The corporate authorities
of the Village issuing bonds pursuant to this Section shall
prescribe and collect rentals for a development project
and shall revise such from time to time whenever necessary
so that the income and revenues to be derived from such
rentals are always sufficient to pay when due all bonds and
interest thereon for the payment of which such revenues are
_pledged, including reserves therefor, and to provide for all
expenses of operation, including maintenance, and depreciation
charges of such development project.
3.24.110 Exemption from Construction and Building Requirements for Public
Buildings. The acquisition and construction of a development
project shall not be subject to any requirements relating
to public buildings, structures, grounds, works or improve-
ments imposed by the Illinois Revised Statutes or any other
similar requirements which may be lawfully waived by this
Section and any requirement of competitive bidding or re-
striction imposed on the procedure for award of contracts
.for such purpose of the lease, sale or other disposition
of property of the Village is not applicable to any action
taken under authority of this Section.
3.24.120 Powers Conferred as Additional and Supplemental - Limitations
Imposed Effect. The powers conferred by this chapter are in
addition and supplemental to, and the limitations imposed by
this Section shall not attend the powers the Village may
have by any law or any other Section. Development projects
may be acquired, purchased, constructed, reconstructed,
improved, bettered, equipped, extended and financed and
bonds may be issued under this Section for such purposes,
notwithstanding that any law or any other ordinance may
provide for the acquisition, purchase, construction, recon-
struction, improvement, equipping, betterment, extension
and financing of a like project, or the issuance of bonds
for the purposes, and without regard to the requirements,
restrictions, limitations or other provisions contained
in any law or any other ordinance.
3.24.130 Severability Clause. The provisions of this Section are
severable and if any of its provisions or any sentence,
clause or paragraph shall be held unconstitutional by
any court of competent jurisdiction, the decision of such
court shall not affect or impair any of the remaining pro -
visions.
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SECTION TWO: This ordinance shall be in full force and effect from
and after its passage and approval in the manner provided by law.
AYES: 4 - Marienthal, Stone, Hartstein, Gerschefske
NAYES: 0 - None
ABSENT: 2 - O'Reilly, Kavitt
PASSED: April 7 1980.
APPROVED: Aril 7 1980.
-2 , rie.: 2
Village President
ATTEST:
V age Clerk
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