Bill Text: IL HB5678 | 2013-2014 | 98th General Assembly | Chaptered


Bill Title: Amends the Western Illinois University Law to allow the Board of Trustees to sell, lease, or otherwise transfer and convey specified property in Rock Island County without compliance with the State Property Control Act and to retain the proceeds in the University treasury in a special, separate development fund account that the Auditor General shall examine. Allows revenues from the development fund account to be withdrawn by the University for certain purposes. Effective immediately.

Spectrum: Bipartisan Bill

Status: (Passed) 2014-08-18 - Public Act . . . . . . . . . 98-0998 [HB5678 Detail]

Download: Illinois-2013-HB5678-Chaptered.html



Public Act 098-0998
HB5678 EnrolledLRB098 18550 NHT 53688 b
AN ACT concerning education.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Western Illinois University Law is amended
by changing Sections 35-40 and 35-45 as follows:
(110 ILCS 690/35-40)
Sec. 35-40. Contracts, conveyances, expenditures. The
Board shall have power to enter into contracts and to sue and
be sued, provided that any suit against the Board based upon a
claim sounding in tort must be filed in the Court of Claims; to
acquire by purchase, eminent domain or otherwise, and to hold
and convey title to real property as it shall deem appropriate
and personal property in accordance with the State Property
Control Act, except as otherwise provided in item (14) of
Section 35-45 of this Law; and to expend the funds appropriated
to or lawfully belonging to the Western Illinois University,
provided that the Board in the exercise of the powers conferred
by this Article shall not create any liability or indebtedness
of funds from the State Treasury in excess of the funds
appropriated to Western Illinois University.
All real property acquired by the Board shall be held for
the People of the State of Illinois, for the use of Western
Illinois University.
Any lease to the Board of lands, buildings or facilities
which will support scientific research and development in such
areas as high technology, super computing, microelectronics,
biotechnology, robotics, physics and engineering shall be for a
term not to exceed 18 years, and may grant to the Board the
option to purchase the lands, buildings or facilities. The
lease shall recite that it is subject to termination and
cancellation in any year for which the General Assembly fails
to make an appropriation to pay the rent payable under the
terms of the lease.
Leases for the purposes described herein exceeding 5 years
shall have the approval of the Illinois Board of Higher
Education.
The Board's power to enter into contracts includes but is
not limited to the power to enter into contracts with
municipalities within which the University or any branch
thereof is located, in whole or in part, for such municipality
to provide fire protection or other essential municipal
services upon properties leased to for-profit entities the
title to which properties is held by the Board. The Board shall
pay to the municipality concerned such equitable portion of the
cost of providing such fire protection or other essential
municipal service as shall be agreed to by the Board, and as
part of the compensation for such fire protection the Board may
provide land and buildings, or either, for fire stations to be
used by the municipality.
(Source: P.A. 89-4, eff. 1-1-96.)
(110 ILCS 690/35-45)
Sec. 35-45. Powers and duties. The Board also shall have
power and it shall be its duty:
(1) To make rules, regulations and bylaws, not inconsistent
with law, for the government and management of Western Illinois
University and its branches;
(2) To employ, and, for good cause, to remove a President
of Western Illinois University, and all necessary deans,
professors, associate professors, assistant professors,
instructors, other educational and administrative assistants,
and all other necessary employees, and to prescribe their
duties and contract with them upon matters relating to tenure,
salaries and retirement benefits in accordance with the State
Universities Civil Service Act. Whenever the Board establishes
a search committee to fill the position of President of Western
Illinois University, there shall be minority representation,
including women, on that search committee. The Board shall,
upon the written request of an employee of Western Illinois
University, withhold from the compensation of that employee any
dues, payments or contributions payable by such employee to any
labor organization as defined in the Illinois Educational Labor
Relations Act. Under such arrangement, an amount shall be
withheld from each regular payroll period which is equal to the
pro rata share of the annual dues plus any payments or
contributions, and the Board shall transmit such withholdings
to the specified labor organization within 10 working days from
the time of the withholding;
(3) To prescribe the courses of study to be followed, and
textbooks and apparatus to be used at Western Illinois
University;
(4) To issue upon the recommendation of the faculty,
diplomas to such persons as have satisfactorily completed the
required studies of Western Illinois University, and confer
such professional and literary degrees as are usually conferred
by other institutions of like character for similar or
equivalent courses of study, or such as the Board may deem
appropriate;
(5) To examine into the conditions, management, and
administration of Western Illinois University, to provide the
requisite buildings, apparatus, equipment and auxiliary
enterprises, and to fix and collect matriculation fees; tuition
fees; fees for student activities; fees for student facilities
such as student union buildings or field houses or stadia or
other recreational facilities; student welfare fees;
laboratory fees; and similar fees for supplies and materials.
The expense of the building, improving, repairing and supplying
fuel and furniture and the necessary appliances and apparatus
for conducting Western Illinois University, the reimbursed
expenses of members of the Board, and the salaries or
compensation of the President, assistants, agents and other
employees of Western Illinois University, shall be a charge
upon the State Treasury. All other expenses shall be chargeable
against students, and the Board shall regulate the charges
accordingly;
(6) To succeed to and to administer all trusts, trust
property, and gifts now or hereafter belonging or pertaining to
Western Illinois University;
(7) To accept endowments of professorships or departments
in Western Illinois University from any person who may proffer
them and, at regular meetings, to prescribe rules and
regulations in relation to endowments and declare on what
general principles they may be accepted;
(8) To enter into contracts with the Federal government for
providing courses of instruction and other services at Western
Illinois University for persons serving in or with the military
or naval forces of the United States, and to provide such
courses of instruction and other services;
(9) To contract with respect to the Cooperative Computer
Center to obtain services related to electronic data
processing;
(10) To provide for the receipt and expenditures of Federal
funds paid to Western Illinois University by the Federal
government for instruction and other services for persons
serving in or with the military or naval forces of the United
States, and to provide for audits of such funds;
(11) To appoint, subject to the applicable civil service
law, persons to be members of the Western Illinois University
Police Department. Members of the Police Department shall be
conservators of the peace and as such have all powers possessed
by policemen in cities, and sheriffs, including the power to
make arrests on view or warrants of violations of State
statutes, University rules and regulations and city or county
ordinances, except that they may exercise such powers only
within counties wherein Western Illinois University and any of
its branches or properties are located when such is required
for the protection of University properties and interests, and
its students and personnel, and otherwise, within such
counties, when requested by appropriate State or local law
enforcement officials. However, such officers shall have no
power to serve and execute civil processes.
The Board must authorize to each member of the Western
Illinois University Police Department and to any other employee
of Western Illinois University exercising the powers of a peace
officer a distinct badge that, on its face, (i) clearly states
that the badge is authorized by Western Illinois University and
(ii) contains a unique identifying number. No other badge shall
be authorized by Western Illinois University;
(12) The Board may, directly or in cooperation with other
institutions of higher education, acquire by purchase or lease
or otherwise, and construct, enlarge, improve, equip,
complete, operate, control and manage research and high
technology parks, together with the necessary lands,
buildings, facilities, equipment, and personal property
therefor, to encourage and facilitate (i) the location and
development of business and industry in the State of Illinois,
and (ii) the increased application and development of
technology, and (iii) the improvement and development of the
State's economy. The Board may lease to nonprofit corporations
all or any part of the land, buildings, facilities, equipment
or other property included in a research and high technology
park upon such terms and conditions as the Board may deem
advisable and enter into any contract or agreement with such
nonprofit corporations as may be necessary or suitable for the
construction, financing, operation and maintenance and
management of any such park; and may lease to any person, firm,
partnership or corporation, either public or private, any part
or all of the land, building, facilities, equipment or other
property of such park for such purposes and upon such rentals,
terms and conditions as the Board may deem advisable; and may
finance all or part of the cost of any such park, including the
purchase, lease, construction, reconstruction, improvement,
remodeling, addition to, and extension and maintenance of all
or part of such high technology park, and all equipment and
furnishings, by legislative appropriations, government grants,
contracts, private gifts, loans, receipts from the operation of
such high technology park, rentals and similar receipts; and
may make its other facilities and services available to tenants
or other occupants of any such park at rates which are
reasonable and appropriate;
(13) To borrow money, as necessary, from time to time in
anticipation of receiving tuition, payments from the State of
Illinois, or other revenues or receipts of the University, also
known as anticipated moneys. The borrowing limit shall be
capped at 100% of the total amount of payroll and other expense
vouchers submitted and payable to the University for fiscal
year 2010 expenses, but unpaid by the State Comptroller's
office. Prior to borrowing any funds, the University shall
request from the Comptroller's office a verification of the
borrowing limit and shall include the estimated date on which
such borrowing shall occur. The borrowing limit cap shall be
verified by the State Comptroller's office not prior to 45 days
before any estimated date for executing any promissory note or
line of credit established under this item (13). The principal
amount borrowed under a promissory note or line of credit shall
not exceed 75% of the borrowing limit. Within 15 days after
borrowing funds under any promissory note or line of credit
established under this item (13), the University shall submit
to the Governor's Office of Management and Budget, the Speaker
of the House of Representatives, the Minority Leader of the
House of Representatives, the President of the Senate, and the
Minority Leader of the Senate an Emergency Short Term Cash
Management Plan. The Emergency Short Term Cash Management Plan
shall outline the amount borrowed, the terms for repayment, the
amount of outstanding State vouchers as verified by the State
Comptroller's office, and the University's plan for
expenditure of any borrowed funds, including, but not limited
to, a detailed plan to meet payroll obligations to include
collective bargaining employees, civil service employees, and
academic, research, and health care personnel. The
establishment of any promissory note or line of credit
established under this item (13) must be finalized within 90
days after the effective date of this amendatory Act of the
96th General Assembly. The borrowed moneys shall be applied to
the purposes of paying salaries and other expenses lawfully
authorized in the University's State appropriation and unpaid
by the State Comptroller. Any line of credit established under
this item (13) shall be paid in full one year after creation or
within 10 days after the date the University receives
reimbursement from the State for all submitted fiscal year 2010
vouchers, whichever is earlier. Any promissory note
established under this item (13) shall be repaid within one
year after issuance of the note. The Chairman, Comptroller, or
Treasurer of the Board shall execute a promissory note or
similar debt instrument to evidence the indebtedness incurred
by the borrowing. In connection with a borrowing, the Board may
establish a line of credit with a financial institution,
investment bank, or broker/dealer. The obligation to make the
payments due under any promissory note or line of credit
established under this item (13) shall be a lawful obligation
of the University payable from the anticipated moneys. Any
borrowing under this item (13) shall not constitute a debt,
legal or moral, of the State and shall not be enforceable
against the State. The promissory note or line of credit shall
be authorized by a resolution passed by the Board and shall be
valid whether or not a budgeted item with respect to that
resolution is included in any annual or supplemental budget
adopted by the Board. The resolution shall set forth facts
demonstrating the need for the borrowing, state an amount that
the amount to be borrowed will not exceed, and establish a
maximum interest rate limit not to exceed the maximum rate
authorized by the Bond Authorization Act or 9%, whichever is
less. The resolution may direct the Comptroller or Treasurer of
the Board to make arrangements to set apart and hold the
portion of the anticipated moneys, as received, that shall be
used to repay the borrowing, subject to any prior pledges or
restrictions with respect to the anticipated moneys. The
resolution may also authorize the Treasurer of the Board to
make partial repayments of the borrowing as the anticipated
moneys become available and may contain any other terms,
restrictions, or limitations not inconsistent with the powers
of the Board.
For the purposes of this item (13), "financial institution"
means any bank subject to the Illinois Banking Act, any savings
and loan association subject to the Illinois Savings and Loan
Act of 1985, and any federally chartered commercial bank or
savings and loan association or government-sponsored
enterprise organized and operated in this State pursuant to the
laws of the United States.
(14) To assist in the provision of lands, buildings, and
facilities that are supportive of University purposes and
suitable and appropriate for the conduct and operation of the
University's education programs, the Board may exercise the
following powers with regard to that part of the Southeast
Quarter of Section 11, Township 17 North, Range 1 West of the
4th Principal Meridian, the boundary which is described as
follows:
From the Northeast corner of Lot 33 of Homewood Terrace
Second Addition to the City of Moline in Rock Island
County, Illinois, said corner being the point of beginning
and being 1272.48 feet South and 526.23 feet East of the
center of Section 11; proceed thence South 00 deg.-00'-00"
West 179.04 feet along the East line of said Homewood
Terrace Second Addition; thence South 34 deg.-30'-00" West
l35.00 feet along the East line of said Homewood Terrace
Second Addition; thence South 34 deg.-22'-33" East 353.34
feet to the East line of the First Section of Homewood 5th
Addition to the City of Moline in Rock Island County,
Illinois; thence South 21 deg.-14'-01" East 448.00 feet
along the East line of said First Section of Homewood 5th
Addition to the North Right-of-Way line of Coaltown Road,
Moline; thence North 69 deg.-30'-59" East 13.39 feet along
the North Right-of-Way of Coaltown Road; thence
Northeasterly 302.69 feet along the North Right-of-Way of
Coaltown Road around a circular curve to the Right, said
curve having an initial tangent bearing of North 69
deg.-30'-59" East and a radius of 1950.08 feet; thence
North 49 deg.-29'-56" East 99.18 feet along the North
Right-of-Way line of Coaltown Road, Moline, to the West
Right-of-Way line of 60th Street, Moline; thence North 09
deg.-29'-20" West 366.24 feet along the West Right-of-Way
line of 60th Street, Moline Right-of-Way monument; thence
North 10 deg.-10'-03" West 263.50 feet along the West
Right-of-Way line of 60th Street, Moline Right-of-Way
monument; thence North 01 deg.-45'-57" West 81.37 feet
along the West line of 60th Street, Moline; thence
Northwesterly 581.39 feet around a circular curve to the
right, said curve having an initial tangent bearing of
South 89 deg.-27'-55" West and a radius of 1085.00 feet to
the point of beginning; Situated in Rock Island County,
Illinois.
(A) The Board may sell, lease, or otherwise transfer
and convey all or part of the real estate described in this
item (14), together with the improvements situated
thereon, to a bona fide purchaser for value, without
compliance with the State Property Control Act and on such
terms as the Board shall determine are in the best
interests of the University and consistent with its objects
and purposes.
(B) The Board may retain the proceeds from the sale,
lease, or other transfer of all or any part of the real
estate described in this item (14) in the University
treasury, in a special, separate development fund account
that the Auditor General shall examine to ensure the use or
deposit of those proceeds in a manner consistent with
subdivision (C) of this item (14).
(C) Revenues from the development fund account may be
withdrawn by the University for the purpose of demolition
and the processes associated with demolition; routine land
and property acquisition; streetscape work; landscape
work; lease and lease purchase arrangements and the
professional services associated with planning and
development; surface and structure parking; sidewalks,
recreational paths, and street construction; utility
infrastructure; historic preservation; and building
rehabilitation. Money from the development fund account
used for any other purpose must be deposited into and
appropriated from the General Revenue Fund. Buildings or
facilities leased to an entity or person other than the
University are not subject to any limitations applicable to
a State-supported college or university under any law. All
development on the land and all use of any buildings or
facilities is subject to the control and approval of the
Board.
(Source: P.A. 96-909, eff. 6-8-10; 97-333, eff. 8-12-11.)
Section 99. Effective date. This Act takes effect upon
becoming law.
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