2001-5111
RESOLUTION 2001 - 51
0
A RESOLUTION RECOMMENDING THE FOLLOWING:
1) THE TRANSFER OF UNUSED PRIVATE ACTIVITY VOLUME CAP FROM LAKE COUNTY
HOME RULE COMMUNITIES TO THE VILLAGE OF BUFFALO GROVE FOR PROJECTS IN
LAKE COUNTY;
2) THE CREATION OF A PRIVATE ACTIVITY BOND ALLOCATION ADVISORY COMMITTEE.
WHEREAS, the Village of Buffalo Grove, Cook and Lake Counties, Illinois (the "Village ") is a
municipality and a home rule unit of government duly organized and validly existing under Section
6(a) of Article VII of the 1970 Constitution and laws of the State of Illinois; and
WHEREAS, the Village of Buffalo Grove desires to assist other Lake County home rule
communities; and
WHEREAS, the Lake County Partnership for Economic Development, Inc. ( "Lake County
Partners ") has offered Lake County home rule communities to participate in a program to combine
their Private Activity Bond ( "PAB ") allocations from the State of Illinois to create a Private Activity
Bond Clearinghouse Pool; and
WHEREAS, Lake County Partners has acted as the PAB processing agent for the Private
Activity Bond Clearinghouse Pool for the past two years under the auspices of the Lake County
Board; and,
WHEREAS, increasing the availability of job opportunities to relieve conditions of
unemployment and underemployment, as well as increasing business and commerce to reduce the
problems associated with unemployment and underemployment are essential to the health, safety,
and general welfare of Lake County and its residents; and
WHEREAS, Section 146 of the Internal Revenue Code of 1986 (the "Code "), as amended, and
Section 1301 of the Tax Reform Act of 1986, place a ceiling (the "State Ceiling ") on the aggregate
principal amount of private activity bonds that can be issued in the State of Illinois during each
calendar year; and
WHEREAS, it is in the best interest of home rule units in Lake County to transfer their
respective unused PAB allocations to the Village of Buffalo Grove to facilitate the issuance of tax -
exempt private activity bonds to finance projects in Lake County for economic development purposes;
and
WHEREAS, under the Illinois Private Activity Bond Allocation Act (30 ILCS 345/1 et seq.), a
home rule unit's unused PAB allocation, as of May 1 of each calendar year, shall be, on June 1 of
each calendar year, transferred automatically and reserved to the State for reallocation by the
Governor; and
WHEREAS, under the Illinois Private Activity Bond Allocation Act, home rule units may
reallocate to the Village their remaining, unused PAB allocations for projects in Lake County 'prior to
its being automatically transferred to the State; and
WHEREAS, it is in the best interest of the home rule units in Lake County to transfer and
reallocate their unused PAB allocations to Buffalo Grove to (1) further leverage the region's unused
home rule. PAB allocations to enable the financing of additional local projects; and (2) to increase the
probability of the Illinois Development Finance Authority ( "IDFA ") to finance projects in Lake County;
and
WHEREAS, it is in the best interest of Lake County that a Private Activity Bond Allocation
Advisory Committee be created and comprised of representatives from the Lake County Board, Lake
County Partners, the Lake County Municipal League, and the Village of Buffalo Grove (the "Advisory
Committee ") to assist in coordinating the use of unused private activity bond allocations; and
WHEREAS, in order to optimize the economic and financial benefit of the unused PAB
allocations to benefit Lake County communities, the Advisory Committee shall prioritize projects
based on agreed upon objective criteria; and
WHEREAS, it is in the best interest of the State of Illinois, the IDFA, the Village of Buffalo
Grove and Lake County to use all unused PAB allocations on or before December 31, of each
calendar year; and
WHEREAS, IDFA shall be encouraged to promptly notify Lake County Partners regarding all
Lake County projects eligible to use unused PAB allocations.
NOW, THEREFORE, BE IT RESOLVED BY THE PRESIDENT AND BOARD OF TRUSTEES
OF THE VILLAGE OF BUFFALO GROVE, COOK AND LAKE COUNTIES, ILLINOIS that:
Section 1: The aforementioned Whereas clauses shall be made a part hereof.
Section 2: That, during each calendar year, all home rule units in Lake County shall be
encouraged to transfer and reallocate their remaining, unused private activity bond
allocations to the Village of Buffalo Grove for the purpose of enabling the financing of
projects in Lake County.
Section 3: It is suggested that an Advisory Committee be created to designate priorities for
such projects.
Section 4: The Village President and Village Clerk are hereby authorized, empowered and
directed to take all necessary and advisable actions in connection with the execution and
implementation of this Resolution.
Section 5: This Resolution shall be in full force and effect from and after its passage and
approval.
AYES: 5 - Marienthal, Glover, Berman, Johnson, Kahn
NAYES: 0 - None
ABSENT: 0 - None
ADOPTED: December 17 ,2001
APPROVED: December 17 ,2001.
ATTEST:
Village rk
-_
Village President
12/12/2001
Neukirch / legal /LakeCountyl RBPoolResolution.doc