(70 ILCS 210/10) (from Ch. 85, par. 1230)
Sec. 10. The Authority shall have the continuing power to borrow
money for the purpose of carrying out and performing its duties and
exercising its powers under this Act.
For the purpose of evidencing the obligation of the Authority to
repay any money borrowed as aforesaid, the Authority may, pursuant to
ordinance adopted by the Board, from time to time issue and dispose of
its revenue bonds and notes (herein collectively referred to as bonds), and
may also from time to time issue and dispose of its revenue bonds to refund
any bonds at maturity or pursuant to redemption provisions or at any time
before maturity as provided for in Section 10.1. All such bonds shall be
payable solely from any one or more of the following sources: the revenues
or income to be derived from the fairs, expositions, meetings, and
conventions and other authorized activities of the
Authority; funds, if any, received and to be received by
the Authority from the Fair and Exposition Fund, as allocated by the
Department of Agriculture of this State; from the
Metropolitan Fair and Exposition Authority Improvement Bond
Fund pursuant to appropriation by the General Assembly; from the McCormick
Place Expansion Project Fund pursuant to appropriation by the
General Assembly; from any revenues or funds pledged or provided for such
purposes by any governmental agency; from any revenues of the Authority
from taxes it is authorized to impose; from the proceeds of refunding bonds
issued for that purpose; or from any other lawful source derived. Such
bonds may bear such date or dates, may mature at such time or times not
exceeding 40 years from their respective dates, may bear interest at
such
rate or rates payable at such times, may be in such form, may carry such
registration privileges, may be executed in such manner, may be payable at
such place or places, may be made subject to redemption in such manner and
upon such terms, with or without premium as is stated on the face thereof,
may be executed in such manner and may contain such terms and covenants,
all as may be provided in the ordinance adopted by the Board providing for
such bonds. In case any officer whose signature appears on any bond ceases
(after attaching his signature) to hold office, his signature shall
nevertheless be valid and effective for all purposes. The holder or holders
of any bonds or interest coupons appertaining thereto issued by the
Authority or any trustee on behalf of the holders may bring
civil actions to compel the performance and observance by the Authority
or any of its officers, agents or employees of any contract or covenant
made by the Authority with the holders of such bonds or interest coupons
and to compel the Authority and any of its officers, agents or employees
to perform any duties required to be performed for the benefit of the
holders of any such bonds or interest coupons by the provisions of the
ordinance authorizing their issuance and to enjoin the Authority and any of
its officers, agents or employees from taking any action in conflict
with any such contract or covenant.
Notwithstanding the form and tenor of any such bonds and in the
absence of any express recital on the face thereof that it is
non-negotiable, all such bonds shall be negotiable instruments under the
Uniform Commercial Code.
The bonds shall be sold by the corporate authorities of the Authority
in such manner as the corporate authorities shall determine.
From and after the issuance of any bonds as herein provided it shall
be the duty of the corporate authorities of the Authority to fix and
establish rates, charges, rents and fees for the use of its grounds,
buildings, and facilities that will be sufficient at all times,
together with other revenues of the Authority available for that purpose,
to pay:
(a) The cost of maintaining, repairing, regulating |
The Authority may provide that bonds issued under this Act
shall be payable from and secured by an assignment and pledge of and grant
of a lien on and a security interest in unexpended bond proceeds, the
proceeds of any refunding bonds, reserves or sinking funds and earnings
thereon, or all or any part of the moneys, funds, income and revenues of
the Authority from any source derived, including, without limitation, any
revenues of the Authority from taxes it is authorized to impose, the net
revenues of the Authority from its operations, payments from the
Metropolitan Fair and Exposition Authority Improvement Bond
Fund or from the McCormick Place Expansion Project Fund to the Authority or
upon its direction to any trustee or trustees under any trust agreement
securing such bonds, payments from any governmental agency, or any
combination of the foregoing. In no event shall a lien or security interest
upon the physical facilities of the Authority be created by any such lien,
pledge or security interest. The Authority may execute and deliver a trust
agreement or agreements to secure the payment of such bonds and for the
purpose of setting forth covenants and undertakings of the Authority in
connection with issuance thereof. Such pledge, assignment and grant of a
lien and security interest shall be effective immediately without any
further filing or action and shall be effective with respect to all persons
regardless of whether any such person shall have notice of such pledge,
assignment, lien or security interest.
In connection with the issuance of its bonds, the Authority may enter into
arrangements to provide additional security and liquidity for the bonds.
These may include, without limitation, municipal bond insurance, letters of
credit, lines of credit by which the Authority may borrow funds to pay or
redeem its bonds and purchase or remarketing arrangements for assuring the
ability of owners of the Authority's bonds to sell or to have redeemed their
bonds. The Authority may enter into contracts and may agree to pay fees to
persons providing such arrangements, including from bond proceeds. No
such arrangement or contract shall be considered a bond or note for
purposes of any limitation on the issuance of bonds or notes by the Authority.
The ordinance of the Board authorizing the issuance of its bonds may
provide that interest rates may vary from time to time depending upon
criteria established by the Board, which may include, without limitation, a
variation in interest rates as may be necessary to cause bonds to be
remarketable from time to time at a price equal to their principal amount,
and may provide for appointment of a national banking association, bank,
trust company, investment banker or other financial institution to serve as
a remarketing agent in that connection. The ordinance of the board
authorizing the issuance of its bonds may provide that alternative interest
rates or provisions will apply during such times as the bonds are held by a
person providing a letter of credit or other credit enhancement arrangement
for those bonds.
To secure the payment of any or all of such bonds and for the purpose of
setting forth the covenants and undertakings of the Authority in connection
with the issuance thereof and the issuance of any additional bonds payable
from moneys, funds, revenue and income of the Authority to be derived from
any source, the Authority may execute and deliver a trust
agreement or agreements; provided that no lien upon any real property
of the Authority shall be created thereby.
A remedy for any breach or default of the terms of any such trust
agreement by the Authority may be by mandamus proceedings in the circuit
court to compel performance and compliance therewith, but the trust
agreement may prescribe by whom or on whose behalf such action may be
instituted.
In connection with the issuance of its bonds under this Act, the
Authority may enter into contracts that it determines necessary or
appropriate to permit it to manage payment or interest rate risk. These
contracts may include, but are not limited to, interest rate exchange
agreements; contracts providing for payment or receipt of funds based on
levels of or changes in interest rates; contracts to exchange cash flows or
series of payments; and contracts incorporating interest rate caps,
collars, floors, or locks.
(Source: P.A. 94-91, eff. 7-1-05.)
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