Bill Amendment: IL HB5391 | 2025-2026 | 104th General Assembly

NOTE: For additional amemendments please see the Bill Drafting List

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Bill Title: GOV REPORT ENHANCEMENT ACT

Status: 2026-04-17 - Rule 19(a) / Re-referred to Rules Committee [HB5391 Detail]

Download: Illinois-2025-HB5391-House_Amendment_001.html

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Rep. Natalie A. Manley

Filed: 3/13/2026

 

 

 

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AMENDMENT TO HOUSE BILL 5391
AMENDMENT NO. ______. Amend House Bill 5391 by replacing
everything after the enacting clause with the following:
"Article 1. GENERAL PROVISIONS
Section 1-1. Short title. This Act may be cited as the
Government Reporting Enhancement and Transparency Act.
Section 1-5. Purpose. The purpose of this Act is to
establish a uniform, simplified reporting framework for local
government reporting requirements to the Comptroller with an
independent review process.
Section 1-10. Definitions. In this Act:
"Agreed-upon procedures" or "AUPs" is an attestation
engagement performed in accordance with attestation standards
established by the American Institute of Certified Public

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Accountants where a CPA firm performs specific procedures on
financial or non-financial information and reports the CPA
firm's findings without providing an opinion or conclusion.
"Annual cash receipts from all external sources" means all
cash received by a local government from sources outside of
the local government itself without duplication.
"Annual cash receipts from all external sources" includes,
but is not limited to, cash receipts from:
(1) all tax revenues of any kind, whether ad valorem,
sales, use, excise, special, or otherwise;
(2) all fees, charges, assessments, fines,
forfeitures, service charges, and other similar revenues;
(3) all grants, reimbursements, shared revenues, or
other intergovernmental revenues received from the federal
government, any state, or any other political subdivision
or public entity;
(4) all interest earnings and investment income;
(5) deposits and similar unearned income;
(6) all noncapital financing activities;
(7) all contributions, donations, gifts, and payments
received from private persons, entities, nonprofit
organizations, or other nongovernmental sources; and
(8) any other cash inflows received from third
parties:
(A) in exchange for goods or services;
(B) under applicable law; or

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(C) from activities not otherwise excluded under
this definition.
"Annual cash receipts from all external sources" does not
include cash receipts from:
(1) any entity included within the local government's
financial reporting entity, except for discretely
presented component units;
(2) the return of principal from investments or
similar financial arrangements, including, but not limited
to:
(A) certificates of deposit;
(B) money market accounts or money market funds;
(C) treasury bills, notes, or other government
securities;
(D) repurchase agreements;
(E) commercial paper;
(F) corporate bonds or other debt securities;
(G) guaranteed investment contracts;
(H) external investment pools;
(I) time deposits; or
(J) other interest-bearing financial instruments
held for income or capital preservation;
(3) collections of principal on outstanding loans or
advances made by the local government;
(4) proceeds of indebtedness, including the principal
amount and any premium received from the issuance of

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bonds, notes, or other debt obligations;
(5) refunds received related to an erroneous payment
or overpayment made by the local government;
(6) interfund activity, including, but not limited to,
transfers, reimbursements, loans, and interfund services
provided or used;
(7) any transaction that is a capital or
capital-related financing activity except for capital
grants; or
(8) any other transaction that constitutes a
conversion of assets rather than revenue.
"Attorney General" means the Attorney General of the State
of Illinois.
"Audit committee" means a subcommittee of the responsible
officials of a local government responsible for overseeing
financial reporting, monitoring internal controls, receiving
and reviewing internal audit reports and reports prepared by
an independent CPA firm, providing guidance on accounting,
auditing, and financial reporting matters, and recommending
the selection, retention, and compensation of the local
government's independent CPA firm.
"Cash basis of accounting" means a method of accounting
under which revenues are recognized only when cash is received
and expenses are recognized only when cash is paid, without
regard to when the related income is earned or obligations are
incurred. For an entity that qualifies as a government under

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applicable guidance issued by the American Institute of
Certified Public Accountants, the term means a method of
accounting applied within the framework of funds recognized
under GAAP promulgated by the Governmental Accounting
Standards Board, under which assets, liabilities, deferred
inflows of resources, and deferred outflows of resources that
do not involve cash are not recorded, inflows of resources are
recognized when cash is received by a fund, outflows of
resources are recognized when cash is disbursed by a fund, and
fund balances or net position categories reflect only
available cash classified in accordance with categories
prescribed by the Governmental Accounting Standards Board.
"Comptroller" means the Comptroller of the State of
Illinois.
"Compliance examination" means an assertion-based
examination engagement performed in accordance with
attestation standards established by the American Institute of
Certified Public Accountants where the objectives of a CPA
firm are to:
(1) obtain reasonable assurance about whether the
subject matter as measured or evaluated against the
criteria is free from material misstatement;
(2) express an opinion in a written report about
whether the subject matter is in accordance with or based
on the criteria, in all material respects, or the
responsible party's assertion is fairly stated, in all

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material respects; and
(3) communicate as required by the relevant sections
of the attestation standards.
"Consumer Price Index" means the Consumer Price Index for
All Urban Consumers (CPI-U) published by the U.S. Bureau of
Labor Statistics, or its successor index, used to adjust
dollar amounts for inflation.
"CPA" means a licensed certified public accountant.
"CPA firm" means a sole proprietorship, corporation,
registered limited liability partnership, professional limited
liability company, partnership, professional service
corporation, or any other form of organization issued a
license in accordance with the Illinois Public Accounting Act
or a CPA firm authorized to use the CPA firm title under
Section 5.2 of the Illinois Public Accounting Act.
"Corporate authorities" means:
(1) the mayor and alderpersons or similar body when
the reference is to cities;
(2) the president and trustees or similar body when
the reference is to villages or incorporated towns; and
(3) the council when the reference is to
municipalities under the commission form of municipal
government.
"Generally accepted accounting principles" or "GAAP" means
the body of accounting principles, standards, conventions,
rules, and procedures that are authoritatively established and

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generally accepted in the United States of America as of the
relevant date.
"Generally accepted auditing standards" or "GAAS" means
the professional standards governing the conduct of financial
statement audits in the United States of America, as
authoritatively established and generally accepted from time
to time by the Auditing Standards Board of the American
Institute of Certified Public Accountants as of the relevant
date.
"Generally accepted government auditing standards" or
"GAGAS" means the professional auditing standards applicable
in the United States of America for audits of government
organizations, government programs, activities, and functions,
and for audits of entities that receive government awards, as
authoritatively issued and maintained by the Comptroller
General of the United States through the U.S. Government
Accountability Office as of the relevant date.
"Guidelines" means the guidelines developed, maintained,
and published by the Comptroller under Section 15-25.
"Independent elector" means an individual who is a
qualified elector of the local government and who has no
direct or indirect financial interest in, and no familial
relationship with, any officer, employee, or vendor of the
local government other than their service as an independent
elector. For the purposes of this subsection, familial
interest means any direct or indirect relationship by blood,

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marriage, domestic partnership, or adoption between an
individual participating in the audit selection process and
any owner, partner, principal, or employee of a responding CPA
firm, including, but not limited to, a spouse or domestic
partner, parent, stepparent, child, stepchild, adopted child,
sibling, stepsibling, half-sibling, grandparent, grandchild,
or any relative residing in the same household.
"Licensed certified public accountant" means a certified
public accountant who holds a license issued by the Department
of Financial and Professional Regulation or an individual
authorized to use the CPA title under Section 5.2 of the
Illinois Public Accounting Act.
"Listing" means the listing of all local governments
within the State that are currently seeking an independent CPA
firm for auditing, attestation, or related professional
accounting services established under Section 5-10.
"Local government" means any general or special purpose
political subdivision of the State of Illinois, except for
school districts or an entity subject to mandatory annual or
biennial post-audits which are required to be audited by or
under the direction of the Auditor General.
"Local Government Advisory Board" means the State
Comptroller Local Government Advisory Board established under
Section 22.1 of the State Comptroller Act.
"Local Government Registry" means the local government
registry administered by the Comptroller created under Section

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15-5.
"Management" means the persons with the executive
responsibility for the conduct of the local government's
operations, which may include some or all of the Responsible
Officials.
"Request for qualifications" or "RFQ" means a solicitation
issued by the responsible officials of a local government to
identify CPA firms possessing the professional qualifications,
experience, and capability to provide high-quality auditing,
attestation, or related professional accounting services.
"Responsible and responsive firm" means a CPA firm that
meets all the requirements of the RFQ and demonstrates the
ability to perform the required services satisfactorily.
"Responsible officials" means the elected or appointed
persons charged with governance and the responsibility for
overseeing the strategic direction of the local government and
the obligations related to the accountability of the local
government.
"Single audit" means an engagement performed in accordance
with the audit requirements of Title 2 of the Code of Federal
Regulations Part 200, Uniform Administrative Requirements,
Cost Principles, and Audit Requirements for Federal Awards.
"Statewide CPA organization" means a professional
association organized and operating within the State whose
membership consists primarily of CPAs, and which is designated
by the Comptroller for purposes of professional consultation

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regarding accounting, auditing and attestation engagements,
financial reporting, and other related matters.
"Statewide organization representing circuit clerks" means
a professional association organized and operating within the
State whose membership consists primarily of circuit clerks
and is designated by the Comptroller for the purposes of
professional consultation regarding the fiscal and
administrative operations of circuit clerks.
"Template" means the template for the applicable fiscal
year created and published by the Comptroller under Section
15-10.
Article 5. SELECTION, RETENTION, AND COMPENSATION OF A CPA
FIRM
Section 5-5. Purpose. The purpose of this Article is to
establish a fair, transparent, and competitive process for the
selection of a local government's independent CPA firm,
ensuring the engagement team as a whole is qualified,
competent, and capable of providing high-quality auditing,
attestation, or related professional accounting services in
accordance with applicable laws, regulations, and professional
standards.
Section 5-10. Posting requests for CPA firms.
(a) The Comptroller shall maintain and publish on the

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Comptroller's official website a publicly accessible,
up-to-date listing of all local governments within the State
that are currently seeking an independent CPA firm for
auditing, attestation, or related professional accounting
services.
(b) The listing shall include, at a minimum, the name and
contact information of the local government, the local
government's RFQ, the deadline for the submission of responses
to the local government's audit committee or responsible
officials, and any other information deemed useful by the
Comptroller.
(c) The Comptroller shall provide guidance, technical
assistance, and other resources to responsible officials to
support the selection of a qualified independent CPA firm for
auditing, attestation, or related professional accounting
services at each local government. The assistance provided by
the Comptroller may include, but is not limited to, (i)
guidance on the preparation and posting of a RFQ, including a
draft fillable RFQ, (ii) best practices for evaluating the
qualifications, independence, and experience of prospective
CPA firms, (iii) sample engagement agreements, contract terms,
and compensation arrangements consistent with professional
standards and State law, (iv) guides or checklists for
documenting the selection process and rationale for CPA firm
retention, and (v) technical advice on compliance with
applicable professional auditing standards and ethical

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requirements.
(d) All guidance, checklists, and informational resources
provided by the Comptroller shall be made publicly available
on the Comptroller's official website to ensure transparency
and facilitate ease of access by responsible officials.
Section 5-15. Transition fiscal years.
(a) The Comptroller shall assign and publish on the
Comptroller's official website each local government a
transition fiscal year for fiscal years beginning after
December 31, 2027 through fiscal year beginning after December
31, 2033, inclusive, no later than June 30, 2027. In
determining a local government's transition year, the
Comptroller shall, to the extent practicable, consider (i) the
size of the local government, (ii) the scope and complexity of
the auditing, attestation, or related professional accounting
services required by the local government, (iii) the local
government's geographic region, (iv) the number of local
governments anticipated to need to issue a RFQ during the
earlier initial transition years, and (v) CPA firm capacity to
balance the amount of RFQs during each fiscal year.
(b) During the transition year assigned by the
Comptroller, the responsible officials of a local government
shall initiate the independent CPA firm selection process by
issuing a public RFQ for auditing, attestation, or related
professional accounting services under Section 5-20.

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(c) The responsible officials of a local government shall
initiate the independent CPA firm selection process by issuing
a public RFQ for auditing, attestation, or related
professional accounting services under Section 5-20 earlier
than the Comptroller's assigned transition year if the local
government's current auditor was not retained under Section
5-25 or the local government did not have an independent CPA
firm engaged for the immediately preceding fiscal year.
Section 5-20. Independent CPA firm selection process.
(a) At least once every 8 fiscal years, responsible
officials of a local government shall initiate the independent
CPA firm selection process by issuing a public RFQ for
auditing, attestation, or related professional accounting
services.
(b) The responsible officials or audit committee if
designated by the responsible officials shall develop a RFQ
which includes:
(1) a detailed description of the scope of services to
be provided;
(2) deadlines for the delivery of anticipated reports,
consistent with applicable laws, regulations, and
contractual requirements;
(3) minimum required qualifications for CPA firms;
(4) a request for responding CPA firms to provide
information demonstrating their qualifications,

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including, but not limited to, the CPA firm's (i)
professional qualifications and certifications, (ii)
independence and continuing professional education, (iii)
current peer review report and related letter of comments
or a description why the CPA firm is not required to have a
current peer review report, (iv) relevant governmental
experience, (v) relevant experience with similar entities
(vi) past performance and references, (vii) a description
of the anticipated scope of services, (viii) evidence
about the capacity of proposed team members to complete
the engagement within the required timelines, and (ix)
contact information for an individual authorized to
negotiate with the price negotiator on behalf of the CPA
firm; and
(5) the submission deadline, as well as the required
format and delivery method for responding CPA firms to
submit their written response to the RFQ, including all
requested documentation, to either the responsible
officials or audit committee, as determined by the
responsible officials.
(c) The responsible officials shall approve the RFQ
developed under subsection (b).
(d) The RFQ approved by the responsible officials shall be
posted to the listing on the Comptroller's website for no
fewer than 21 calendar days prior to the submission deadline.
(e) The responsible officials shall determine whether all

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submissions received shall be reviewed by either the entire
body of responsible officials or the audit committee.
(f) The responsible officials shall designate one of its
members to serve as the price negotiator who is not a member of
management, unless all of the responsible officials are also
members of management.
(g) All submissions received in response to the RFQ shall
be reviewed to determine responsible and responsive firms.
(h) Each responsible and responsive firm shall be ranked
and a shortlist of the most qualified CPA firms shall be
prepared for further consideration.
(i) Upon establishing the shortlist, the price negotiator
shall request detailed fixed-fee pricing proposals from each
shortlisted firm via electronic mail, directed to the
individual authorized to negotiate on behalf of the firm from
the RFQ. The price negotiator shall establish a submission
deadline for the pricing proposals, which shall be no fewer
than 5 calendar days from the date of the request, and shall
specify the required format and delivery method for the
proposals.
(j) After receiving pricing proposals, the price
negotiator may engage in further negotiations with the
highest-ranked respondent to achieve a fair and reasonable
fixed-fee price reflecting the scope, complexity, and
professional standards of the engagement. If a mutually
acceptable price cannot be reached, negotiations shall proceed

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down the shortlist until a fair and reasonable fixed-fee price
reflecting the scope, complexity, and professional standards
of the engagement is reached with the most qualified CPA firm.
(k) Upon recommendation of the price negotiator, the
responsible officials shall award a contract for auditing,
attestation, or related professional accounting services for
one fiscal year to the CPA firm determined to be both the most
qualified and offering a fair and reasonable fixed-fee price.
(l) No person participating in the selection process,
including members of the audit committee, responsible
officials, or any other individual involved in the review,
evaluation, or recommendation of CPA firms, shall have a
financial or familial interest in any responding CPA firm. For
the purposes of this subsection, familial interest means any
direct or indirect relationship by blood, marriage, domestic
partnership, or adoption between an individual participating
in the audit selection process and any owner, partner,
principal, or employee of a responding CPA firm, including,
but not limited to, a spouse or domestic partner, parent,
stepparent, child, stepchild, adopted child, sibling,
stepsibling, half-sibling, grandparent, grandchild, or any
relative residing in the same household. The Comptroller may
waive this requirement in writing for good cause.
Section 5-25. CPA firm retention.
(a) In any fiscal year in which the responsible officials

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do not initiate the independent CPA firm selection process
under Section 5-20, the responsible officials shall determine
whether to retain the local government's current independent
CPA firm prior to awarding a contract for the next fiscal
year's auditing, attestation, or related professional
accounting services.
(b) The responsible officials shall determine whether its
current independent CPA firm shall be evaluated by either the
entire body of responsible officials or the audit committee.
(c) The evaluation shall, at a minimum, assess the CPA
firm's (i) independence and interest in continuing as the CPA
firm serving the local government, (ii) compliance with
applicable professional standards and legal requirements,
including members of the assigned engagement team meeting
continuing professional education requirements, (iii) quality,
timeliness, and accuracy of reports and related
communications, (iv) responsiveness to inquiries and requests
from the local government, (v) current peer review report and
related letter of comments or a description why the CPA firm is
not required to have a current peer review report, (vi)
cost-effectiveness, and (vii) any other factors deemed
relevant to ensure continued competent auditing, attestation,
or related professional accounting services.
(d) The responsible officials shall consider the results
of the evaluation when determining whether to retain or
terminate its relationship with the independent CPA firm for

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the subsequent fiscal year. If the responsible officials
determine to retain the CPA firm, the responsible officials
shall designate one of its members to serve as the price
negotiator who is not a member of management, unless all of the
responsible officials are also members of management. If the
responsible officials determine to terminate its relationship
with the CPA firm or the CPA firm is not interested in
providing services to the local government during the upcoming
fiscal year, the responsible officials shall initiate the CPA
firm selection process by issuing a public RFQ for auditing,
attestation, or related professional accounting services under
Section 5-20.
(e) The price negotiator shall request a detailed
fixed-fee pricing proposal from the CPA firm by electronic
mail. The price negotiator shall establish a submission
deadline for the pricing proposal, which shall be no fewer
than 5 calendar days from the date of the request, and shall
specify the required format and delivery method for the
proposals.
(f) Following receipt of the pricing proposal, the price
negotiator may, at their discretion, engage in further
negotiations with the CPA firm to achieve a fair and
reasonable fixed-fee price that reflects the scope,
complexity, and professional standards of the engagement. If a
mutually acceptable price cannot be reached with the CPA firm,
the responsible officials shall initiate the CPA firm

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selection process by issuing a public RFQ for auditing,
attestation, or related professional accounting services under
Section 5-20.
(g) Upon recommendation of the price negotiator, the
responsible officials shall award a fixed-fee contract for
auditing, attestation, or related professional accounting
services for the next fiscal year to the CPA firm.
(h) No person or entity participating in the retention
process, including members of the audit committee, responsible
officials, or any other individual involved in the review,
evaluation, or recommendation of CPA firms, shall have a
financial or familial interest in the independent CPA firm.
For the purposes of this subsection, familial interest means
any direct or indirect relationship by blood, marriage,
domestic partnership, or adoption between an individual
participating in the audit selection process and any owner,
partner, principal, or employee of a responding CPA firm,
including, but not limited to, a spouse or domestic partner,
parent, stepparent, child, stepchild, adopted child, sibling,
stepsibling, half-sibling, grandparent, grandchild, or any
relative residing in the same household. The Comptroller may
waive this requirement in writing for good cause.
Section 5-30. Payments for auditing, attestation, or
related professional accounting services.
(a) The costs for auditing, attestation, or related

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professional accounting services incurred by a local
government to comply with the requirements of this Act shall
be paid by the local government. Responsible officials shall
make appropriate provisions for payment of these costs during
the local government's budget process.
(b) All invoices for payments for auditing, attestation,
or related professional accounting services incurred by a
local government to comply with the requirements of this Act
shall be reviewed and approved by the responsible officials
prior to payment.
Section 5-35. Other competitive procurement requirements.
Except as expressly provided in this Act, no other contracting
or competitive procurement requirements shall apply to
contracts let for auditing, attestation, or related
professional accounting services.
Section 5-40. Auditing tax.
(a) The responsible officials of any local government,
except the corporate authorities of a city, village, or
incorporated town, having taxing powers may levy an auditing
tax in an amount that shall not require extension of such tax
at a rate in excess of 0.005% of the value of all taxable
property in the unit as equalized or assessed by the
Department of Revenue. It is the intent of the General
Assembly for this Section to continue the authority for local

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governments to levy an auditing tax as provided under Section
9 of the Governmental Account Audit Act for fiscal years
beginning after December 31, 2027.
This auditing tax may be in excess of or in addition to any
statutory limitation of rate or amount. Money received from
the auditing tax shall be held in a special fund and used only
for the payment of costs for auditing, attestation, or related
professional accounting services incurred by a local
government to comply with the requirements of this Act.
(b) The corporate authorities of a city, village, or
incorporated town shall have the power to annually levy an
auditing tax upon all of the taxable property of the
municipalities at the rate on the dollar which shall produce
an amount which shall equal a sum sufficient to meet the cost
of all expenses for auditing, attestation, or related
professional accounting services incurred by a local
government to comply with the requirements of this Act. It is
the intent of the General Assembly for this Section to
continue the authority for local governments to levy an
auditing tax as provided under Section 8-8-8 of the Illinois
Municipal Code for fiscal years beginning after December 31,
2027.
This auditing tax may be in excess of or in addition to any
statutory limitation of rate or amount. Money received from
the auditing tax shall be held in a special fund and used only
for the payment of costs for auditing, attestation, or related

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professional accounting services incurred by a local
government to comply with the requirements of this Act.
Article 10. CATEGORIZATION AND REPORTING REQUIREMENTS
Section 10-5. Categories.
(a) Each local government shall annually determine its
category, as soon as practicable after the close of its fiscal
year. The local government shall determine its category using
its annual cash receipts from all external sources for each of
the 3 immediately preceding fiscal years.
A local government must at a minimum determine its
category to meet the threshold for the lowest category for
which it qualifies under subsection (b). The responsible
officials of the local government may, at their discretion,
determine that the local government qualifies for a higher
category than the minimum.
For purposes of this subsection, if a local government
does not meet the applicable dollar threshold for a higher
category in each of the 3 immediately preceding fiscal years,
the local government shall be classified in the lowest
category for which it qualifies based on those fiscal years.
(b) For each fiscal year beginning after December 31,
2027, the Comptroller shall, in accordance with subsections
(c) and (d), determine and publish on the Comptroller's
official website, no later than November 15 of the current

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calendar year, the category thresholds to be used by local
governments in determining their category for the fiscal year
beginning after December 31 of the current calendar year.
(c) For the fiscal year beginning after December 31, 2027,
a local government shall be classified into one of 4
categories based on its annual cash receipts from all external
sources for each of the 3 immediately preceding fiscal years:
Category 1: A local government with annual cash
receipts from all external sources of less than $100,000
during a fiscal year.
Category 2: A local government with annual cash
receipts from all external sources of at least $100,000
but less than $3,500,000 during a fiscal year.
Category 3: A local government with annual cash
receipts from all external sources of at least $3,500,000
but less than $35,000,000 during a fiscal year.
Category 4: A local government with annual cash
receipts from all external sources of $35,000,000 or more,
during a fiscal year.
(d) For each fiscal year beginning after December 31,
2028, the Comptroller shall calculate the percentage change in
the Consumer Price Index for the 12-month period ending on
September 30 of the current calendar year and shall adjust the
dollar thresholds for the 4 categories described in subsection
(c) to reflect that change.
(e) The Comptroller shall develop instructions and

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examples in plain language about how responsible officials or
management can determine a local government's category which
are reasonably designed to promote the uniform application of
this Section by local governments. All guidance, materials,
and informational resources provided by the Comptroller shall
be made publicly available on the Comptroller's official
website to ensure transparency and facilitate ease of access
by responsible officials.
Section 10-10. Category 1 Governments.
(a) For fiscal years beginning after December 31, 2027,
the responsible officials of a Category 1 local government
shall appoint an auditing committee composed of 3 independent
electors.
(b) The auditing committee shall inspect the Category 1
local government's records for the fiscal year under review,
using the template for that fiscal year published by the
Comptroller.
(c) All Category 1 local governments and their responsible
officials, other elected or appointed officers, management,
employees, and agents shall promptly comply with, and aid and
assist the auditing committee in the exercise of its duties
under the Act.
At the request of the auditing committee, each Category 1
local government shall, without delay, provide to the CPA
firm's representative any record or information requested and

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shall provide for examination or copying all records,
accounts, papers, reports, vouchers, correspondence, books and
other documentation in the custody of the local government,
including information stored in electronic data processing
systems, which is related to or within the scope of any
investigation under this Act.
(d) The auditing committee shall complete the template,
documenting the procedures performed and the committee's
findings, and submit it electronically to the responsible
officials and management of the Category 1 local government
for review. The auditing committee must ensure that the
template does not include any information exempt from public
disclosure under Section 7 of the Freedom of Information Act.
(e) The responsible officials and management of the
Category 1 local government may submit written views within 7
calendar days after receipt of the draft template from
subsection (c) regarding the findings and conclusions of the
auditing committee. Any comments received shall be included in
the appropriate section of the template. Any comments received
shall exclude information that is exempt from public
disclosure under Section 7 of the Freedom of Information Act.
(f) Upon receipt of any timely written views of the
responsible officials or management, the auditing committee
may respond to any written views that are inconsistent with or
in conflict with the results of the inspection. The committee
shall then finalize the template. The auditing committee's

10400HB5391ham001 - 26 - LRB104 18487 RTM 35239 a
response to the written views shall exclude information exempt
from public disclosure under Section 7 of the Freedom of
Information Act.
(g) Members of the auditing committee may be compensated
for their services, with each member receiving an amount not
exceeding $200, payable from the funds of the local
government.
(h) Each Category 1 local government shall electronically
submit the final template from the auditing committee to the
Comptroller no later than 7 months after the end of the local
government's fiscal year for inclusion within the Local
Government Registry. The Comptroller may grant extensions in
writing for good cause regarding this reporting deadline.
(i) For fiscal years beginning after December 31, 2027,
and all reporting periods thereafter, each Category 1 local
government shall electronically update its information within
the Local Government Registry for the preceding fiscal year no
later than 7 months after the conclusion of the local
government's fiscal year. The Comptroller may grant extensions
in writing for good cause regarding this reporting deadline.
(j) For fiscal years beginning after December 31, 2027,
and all reporting periods thereafter, each Category 1 local
government shall electronically submit a spreadsheet of the
names, positions, and amounts paid to every recipient of a
Form W-2 or a Form 1099 during the calendar year ended in a
format prescribed by the Comptroller during the fiscal year no

10400HB5391ham001 - 27 - LRB104 18487 RTM 35239 a
later than 7 months after the conclusion of the local
government's fiscal year for inclusion within the Local
Government Registry. The Comptroller may grant extensions in
writing for good cause regarding this reporting deadline.
(k) The Comptroller shall charge a Category 1 local
government a daily fee of no more than $100 and no less than $0
per day late for delinquent reporting under this Section. All
fees collected under this subsection shall be deposited into
the Comptroller's Administrative Fund.
(l) The Comptroller may waive, in whole or in part, the
requirements of subsections (h), (i), and (j), provided that
such waiver is granted in writing and sets forth the specific
grounds supporting the determination.
A written waiver may be granted upon a finding by the
Comptroller that exigent circumstances exist that materially
prevent the local government from complying with a requirement
of subsection (h), (i), or (j). Exigent circumstances may
include, but are not limited to, (i) the complete or
substantial destruction of the local government's financial or
administrative records due to fire, flood, natural disaster,
cyber incident, or other catastrophic event; (ii) the sudden
dissolution, closure, or legal incapacity of the local
government; (iii) the seizure, impoundment, or restriction of
access to records resulting from judicially authorized law
enforcement activity; (iv) the existence of conditions that
would materially limit, restrict, or impair the scope of the

10400HB5391ham001 - 28 - LRB104 18487 RTM 35239 a
auditing committee's activities such that it is impracticable
or impossible to satisfy the requirements prescribed by this
Act, or (v) any other extraordinary event or circumstance that
renders compliance impracticable.
Any written waiver granted by the Comptroller shall be
limited in duration to the period reasonably necessary to
address the exigent circumstances; to specify whether the
written waiver applies to all or only certain requirements of
subsection (h), (i), and (j); and to include any conditions,
alternative requirements, or remedial measures the Comptroller
deems appropriate to protect the public interest.
Any written waiver granted by the Comptroller shall be
posted in the location within the Local Government Registry
where the Category 1 local government's filing or filings
would have otherwise appeared and shall be delivered by
certified mail, return receipt requested, to (i) the
responsible officials of the Category 1 local government and
(ii) each member of the Illinois House of Representatives and
the Illinois Senate whose legislative district includes all or
any portion of the territory within the jurisdiction of the
Category 1 local government.
The Comptroller's determination under this subsection is
final.
Section 10-15. Category 2 Governments.
(a) The responsible officials of a Category 2 local

10400HB5391ham001 - 29 - LRB104 18487 RTM 35239 a
government shall enter into AUPs with the independent CPA firm
they have retained under Article 5. The AUPs must align with
the minimum AUPs for the relevant type of local government for
that fiscal year, as published by the Comptroller under
Section 15-15.
No Category 2 local government shall adopt procedures that
are less stringent than those provided by the Comptroller.
However, Category 2 local governments may include additional
procedures to customize the report's findings and
recommendations to better meet the needs of the responsible
officials.
(b) The independent CPA firm retained by the responsible
officials under Article 5 shall perform the AUPs agreed-upon
with the local government's responsible officials following
the applicable attestation standards established by the
American Institute of Certified Public Accountants.
(c) If a Category 2 local government has a redevelopment
project under Division 74.4 of the Illinois Municipal Code or
redevelopment project under Division 74.6 of the Illinois
Municipal Code, the responsible officials of a Category 2
local government shall enter into AUPs for each redevelopment
project with the independent CPA firm they have retained under
Article 5.
The AUPs shall be the AUPs designated by the Comptroller
under Section 15-20 for each project. No Category 2 local
government shall modify the AUPs published by the Comptroller.

10400HB5391ham001 - 30 - LRB104 18487 RTM 35239 a
(d) The independent CPA firm retained by the responsible
officials under Article 5 shall complete all of the AUPs and
electronically submit the AUP's to the responsible officials
and management of the Category 2 local government for review.
The independent CPA firm retained by the responsible officials
under Article 5 must ensure all of the AUPs do not include any
information exempt from public disclosure under Section 7 of
the Freedom of Information Act.
(e) The responsible officials and management of the
Category 2 local government may submit written views within 7
calendar days after receipt of the draft report from any AUPs
regarding the findings of the independent CPA firm retained by
the responsible officials under Article 5. Any comments
received shall be included in the appropriate section of the
report. Any comments received shall exclude information that
is exempt from public disclosure under Section 7 of the
Freedom of Information Act.
(f) Upon receipt of any timely written views from the
responsible officials or management, the independent CPA firm
retained by the responsible officials under Article 5 may
respond to any written views that are inconsistent with or in
conflict with the results of the inspection. The committee
shall then finalize the report. The response of the
independent CPA firm to the written views shall exclude
information exempt from public disclosure under Section 7 of
the Freedom of Information Act.

10400HB5391ham001 - 31 - LRB104 18487 RTM 35239 a
(g) A Category 2 local government may engage its
independent CPA firm retained by the responsible officials
under Article 5 to perform any additional auditing,
attestation, or other related professional accounting services
to the local government, provided the independent CPA firm
provides a written report at the conclusion of the engagement.
(h) All Category 2 local governments and their responsible
officials, other elected or appointed officers, management,
employees, and agents shall promptly comply with, and aid and
assist the CPA firm in the exercise of its duties under the
Act.
At the request of the CPA firm, each Category 2 local
government shall, without delay, provide to the CPA firm's
representative any record or information requested and shall
provide for examination or copying all records, accounts,
papers, reports, vouchers, correspondence, books and other
documentation in the custody of the local government,
including information stored in electronic data processing
systems, which is related to or within the scope of any
engagement under this Act.
(i) Each Category 2 local government shall electronically
submit any reports prepared by the independent CPA firm under
this Section to the Comptroller no later than 7 months after
the end of the local government's fiscal year for inclusion
within the Local Government Registry. The Comptroller may
grant extensions in writing for good cause regarding this

10400HB5391ham001 - 32 - LRB104 18487 RTM 35239 a
reporting deadline.
(j) Each Category 2 local government shall electronically
submit any known or suspected fraud or noncompliance with laws
or regulations communicated to those charged with governance
or management as that term is defined under the attestation
standards established by the American Institute of Certified
Public Accountants arising from the AUPs prepared by the
independent CPA firm for engagements performed under this
Section to the Comptroller no later than 7 months after the end
of the local government's fiscal year for inclusion within the
Local Government Registry. The Comptroller may grant
extensions in writing for good cause regarding this reporting
deadline.
(k) For fiscal years beginning after December 31, 2027,
and all reporting periods thereafter, each Category 2 local
government shall electronically update its information within
the Local Government Registry for the preceding fiscal year no
later than 7 months after the conclusion of the local
government's fiscal year. The Comptroller may grant extensions
in writing for good cause regarding this reporting deadline.
(l) For fiscal years beginning after December 31, 2027,
and all reporting periods thereafter, each Category 2 local
government shall electronically submit a spreadsheet of the
names, positions, and amounts paid to every recipient of a
Form W-2 or a Form 1099 during the calendar year ended in a
format prescribed by the Comptroller during the fiscal year no

10400HB5391ham001 - 33 - LRB104 18487 RTM 35239 a
later than 7 months after the conclusion of the local
government's fiscal year for inclusion within the Local
Government Registry. The Comptroller may grant extensions in
writing for good cause regarding this reporting deadline.
(m) The Comptroller shall charge a Category 2 local
government a daily fee of no more than $100 and no less than $0
per day late for delinquent reporting under this Section. All
fees collected under this subsection shall be deposited into
the Comptroller's Administrative Fund.
(n) The Comptroller may waive, in whole or in part, the
requirements of subsections (i), (j), (k), and (l), if the
waiver is granted in writing and sets forth the specific
grounds supporting the determination.
A written waiver may be granted upon a finding by the
Comptroller that exigent circumstances exist that materially
prevent the local government from complying with a requirement
of subsection (i), (j), (k), or (l). Exigent circumstances
include, but are not limited to, (i) the complete or
substantial destruction of the local government's financial or
administrative records due to fire, flood, natural disaster,
cyber incident, or other catastrophic event; (ii) the sudden
dissolution, closure, or legal incapacity of the local
government; (iii) the seizure, impoundment, or restriction of
access to records resulting from judicially authorized law
enforcement activity; (iv) the existence of conditions that
would materially limit, restrict, or impair the scope of the

10400HB5391ham001 - 34 - LRB104 18487 RTM 35239 a
CPA firm's activities such that it is impracticable or
impossible to satisfy the requirements prescribed by this Act;
or (v) any other extraordinary event or circumstance that
renders compliance impracticable.
Any written waiver granted by the Comptroller shall be
limited in duration to the period reasonably necessary to
address the exigent circumstances; to specify whether the
written waiver applies to all or only certain requirements of
subsection (i), (j), (k), or (l); and to include any
conditions, alternative requirements, or remedial measures the
Comptroller deems appropriate to protect the public interest.
Any written waiver granted by the Comptroller shall be
posted in the location within the Local Government Registry
where the Category 2 local government's filing or filings
would have otherwise appeared and shall be delivered by
certified mail, return receipt requested, to (i) the
responsible officials of the Category 2 local government and
(ii) each member of the Illinois House of Representatives and
the Illinois Senate whose legislative district includes all or
any portion of the territory within the jurisdiction of the
Category 2 local government.
The Comptroller's determination under this subsection is
final.
(o) Within 60 days after the date of any report completed
by the independent CPA firm pursuant to this Section, a
partner at the independent CPA firm and such additional

10400HB5391ham001 - 35 - LRB104 18487 RTM 35239 a
personnel from the CPA firm as deemed necessary by the
independent CPA firm shall attend a public meeting of the
responsible officials either in person or by a live phone or
online virtual meeting to answer questions posed by the
responsible officials about the engagement and present the
major findings of the report. A public body may hold a closed
session to consider internal control weaknesses,
identification of potential fraud risk areas, known or
suspected frauds, and fraud interviews with the independent
CPA firm's partner and such additional personnel from the CPA
firm as deemed necessary by the independent CPA firm under
Section 2 of the Open Meetings Act.
Section 10-20. Category 3 Governments.
(a) For fiscal years beginning after December 31, 2027,
the responsible officials of a Category 3 local government
shall oversee management's preparation of the local
government's draft financial statements following the cash
basis of accounting. The financial statements of a Category 3
local government shall, at a minimum, present the government
as a whole and its major funds, along with combining
statements displaying each of the government's nonmajor funds.
Upon completion of the draft financial statements, management
shall furnish the draft financial statements to the local
government's independent CPA firm for audit.
(b) The independent CPA firm retained by the responsible

10400HB5391ham001 - 36 - LRB104 18487 RTM 35239 a
officials under Article 5 shall not gather data, categorize
and organize data, or prepare the draft financial statements
of a local government.
(c) The independent CPA firm retained by the responsible
officials under Article 5 shall audit the local government's
draft financial statements following GAAS and GAGAS.
(d) The responsible officials of a Category 3 local
government shall enter into AUPs with the independent CPA firm
they have retained under Article 5. The AUPs must align with
the minimum AUPs for the relevant type of local government for
that fiscal year, as published by the Comptroller under
Section 15-15.
No Category 3 local government shall adopt procedures that
are less stringent than those provided by the Comptroller.
However, Category 3 local governments may include additional
procedures to customize the report's findings and
recommendations to better meet the needs of the responsible
officials.
(e) The independent CPA firm retained by the responsible
officials under Article 5 shall perform the AUPs agreed-upon
with the local government's responsible officials following
the applicable attestation standards established by the
American Institute of Certified Public Accountants.
(f) If a Category 3 local government has a redevelopment
project under Division 74.4 of the Illinois Municipal Code or
redevelopment project under Division 74.6 of the Illinois

10400HB5391ham001 - 37 - LRB104 18487 RTM 35239 a
Municipal Code, the responsible officials of a Category 3
local government shall enter into AUPs for each redevelopment
project with the independent CPA firm they have retained under
Article 5.
The AUPs shall be the AUPs designated by the Comptroller
under Section 15-20 for each project. No Category 3 local
government shall modify the AUPs published by the Comptroller.
(g) A Category 3 local government may engage its
independent CPA firm retained by the responsible officials
under Article 5 to perform any additional auditing,
attestation, or other related professional accounting
services, including, but not limited to, a Single Audit, to
the local government, provided the independent CPA firm
provides a written report at the conclusion of the engagement.
(h) All Category 3 local governments and their responsible
officials, other elected or appointed officers, management,
employees, and agents shall promptly comply with, and aid and
assist the CPA firm in the exercise of its duties under the
Act.
At the request of the CPA firm, each Category 3 local
government shall, without delay, provide to the CPA firm's
representative any record or information requested and shall
provide for examination or copying all records, accounts,
papers, reports, vouchers, correspondence, books and other
documentation in the custody of the local government,
including information stored in electronic data processing

10400HB5391ham001 - 38 - LRB104 18487 RTM 35239 a
systems, which is related to or within the scope of any
engagement under this Act.
(i) Each Category 3 local government shall electronically
submit any reports prepared by the independent CPA firm under
this Section to the Comptroller no later than 7 months after
the end of the local government's fiscal year for inclusion
within the Local Government Registry. The Comptroller may
grant extensions in writing for good cause regarding this
reporting deadline.
(j) Each Category 3 local government shall electronically
submit (i) the auditor's communication with those charged with
governance under GAAS, (ii) the auditor's communication of
deficiencies in internal control under GAAS to both those
charged with governance or management as that term is defined
under GAAS, (iii) any known or suspected fraud or
noncompliance with laws or regulations communicated to those
charged with governance or management as that term is defined
under GAAS arising from the financial audit, and (iv) any
known or suspected fraud or noncompliance with laws or
regulations communicated to those charged with governance or
management as that term is defined under the attestation
standards established by the American Institute of Certified
Public Accountants arising from the AUPs prepared by the
independent CPA firm for engagements performed under this
Section to the Comptroller no later than 7 months after the end
of the local government's fiscal year for inclusion within the

10400HB5391ham001 - 39 - LRB104 18487 RTM 35239 a
Local Government Registry. The Comptroller may grant
extensions in writing for good cause regarding this reporting
deadline.
(k) For fiscal years beginning after December 31, 2027,
and all reporting periods thereafter, each Category 3 local
government shall electronically update its information within
the Local Government Registry for the preceding fiscal year no
later than 7 months after the conclusion of the local
government's fiscal year. The Comptroller may grant extensions
in writing for good cause regarding this reporting deadline.
(l) For fiscal years beginning after December 31, 2027,
and all reporting periods thereafter, each Category 3 local
government shall electronically submit a spreadsheet of the
names, positions, and amounts paid to every recipient of a
Form W-2 or a Form 1099 during the calendar year ended in a
format prescribed by the Comptroller during the fiscal year no
later than 7 months after the conclusion of the local
government's fiscal year for inclusion within the Local
Government Registry. The Comptroller may grant extensions in
writing for good cause regarding this reporting deadline.
(m) The Comptroller shall charge a Category 3 local
government a daily fee of no more than $100 and no less than $0
per day late for delinquent reporting under this Section. All
fees collected under this subsection shall be deposited into
the Comptroller's Administrative Fund.
(n) The Comptroller may waive, in whole or in part, the

10400HB5391ham001 - 40 - LRB104 18487 RTM 35239 a
requirements of subsections (i), (j), (k), and (l), if the
waiver is granted in writing and sets forth the specific
grounds supporting the determination.
A written waiver may be granted upon a finding by the
Comptroller that exigent circumstances exist that materially
prevent the local government from complying with a requirement
of subsection (i), (j), (k), or (l). Exigent circumstances
include, but are not limited to, (i) the complete or
substantial destruction of the local government's financial or
administrative records due to fire, flood, natural disaster,
cyber incident, or other catastrophic event; (ii) the sudden
dissolution, closure, or legal incapacity of the local
government; (iii) the seizure, impoundment, or restriction of
access to records resulting from judicially authorized law
enforcement activity; (iv) the existence of conditions that
would materially limit, restrict, or impair the scope of the
CPA firm's activities such that it is impracticable or
impossible to satisfy the requirements prescribed by this Act;
or (v) any other extraordinary event or circumstance that
renders compliance impracticable.
Any written waiver granted by the Comptroller shall be
limited in duration to the period reasonably necessary to
address the exigent circumstances; to specify whether the
written waiver applies to all or only certain requirements of
subsection (i), (j), (k), or (l); and to include any
conditions, alternative requirements, or remedial measures the

10400HB5391ham001 - 41 - LRB104 18487 RTM 35239 a
Comptroller deems appropriate to protect the public interest.
Any written waiver granted by the Comptroller shall be
posted in the location within the Local Government Registry
where the Category 3 local government's filing or filings
would have otherwise appeared and shall be delivered by
certified mail, return receipt requested, to (i) the
responsible officials of the Category 3 local government and
(ii) each member of the Illinois House of Representatives and
the Illinois Senate whose legislative district includes all or
any portion of the territory within the jurisdiction of the
Category 3 local government.
The Comptroller's determination under this subsection is
final.
(o) Within 60 days after the date of any report completed
by the independent CPA firm pursuant to this Section, a
partner at the independent CPA firm and such additional
personnel from the CPA firm as deemed necessary by the
independent CPA firm shall attend a public meeting of the
responsible officials either in person or by a live phone or
online virtual meeting to answer questions posed by the
responsible officials about the engagement and present the
major findings of the report. A public body may hold a closed
session to consider internal control weaknesses,
identification of potential fraud risk areas, known or
suspected frauds, and fraud interviews with the independent
CPA firm's partner and such additional personnel from the CPA

10400HB5391ham001 - 42 - LRB104 18487 RTM 35239 a
firm as deemed necessary by the independent CPA firm under
Section 2 of the Open Meetings Act.
Section 10-25. Category 4 Governments.
(a) For fiscal years beginning after December 31, 2027,
the responsible officials of a Category 4 local government
shall oversee management's preparation of the local
government's draft financial statements following GAAP. The
financial statements of a Category 4 local government shall,
at a minimum, present the government as a whole and its major
funds, along with combining statements displaying each of the
government's nonmajor funds. Upon completion of the draft
financial statements, management shall furnish the draft
financial statements to the local government's independent CPA
firm for audit.
(b) The independent CPA firm retained by the responsible
officials under Article 5 shall not gather data, categorize
and organize data, or prepare the draft financial statements
of a local government.
(c) The independent CPA firm retained by the responsible
officials under Article 5 shall audit the local government's
draft financial statements following GAAS and GAGAS.
(d) The responsible officials of a Category 4 local
government shall enter into AUPs with the independent CPA firm
they have retained under Article 5. The AUPs must align with
the minimum AUPs for the relevant type of local government for

10400HB5391ham001 - 43 - LRB104 18487 RTM 35239 a
that fiscal year, as published by the Comptroller under
Section 15-15.
No Category 4 local government shall adopt procedures that
are less stringent than those provided by the Comptroller.
However, Category 4 local governments may include additional
procedures to customize the report's findings and
recommendations to better meet the needs of the responsible
officials.
(e) The independent CPA firm retained by the responsible
officials under Article 5 shall perform the AUPs agreed-upon
with the local government's responsible officials following
the applicable attestation standards established by the
American Institute of Certified Public Accountants.
(f) If a Category 4 local government has a redevelopment
project under Division 74.4 of the Illinois Municipal Code or
redevelopment project under Division 74.6 of the Illinois
Municipal Code, the responsible officials of a Category 4
local government shall enter into AUPs for each redevelopment
project with the independent CPA firm they have retained under
Article 5.
The AUPs shall be the AUPs designated by the Comptroller
under Section 15-20 for each project. No Category 4 local
government shall modify the AUPs published by the Comptroller.
(g) A Category 4 local government may engage its
independent CPA firm retained by the responsible officials
under Article 5 to perform any additional auditing,

10400HB5391ham001 - 44 - LRB104 18487 RTM 35239 a
attestation, or other related professional accounting
services, including, but not limited to, a Single Audit, to
the local government, provided the independent CPA firm
provides a written report at the conclusion of the engagement.
(h) All Category 4 local governments and their responsible
officials, other elected or appointed officers, management,
employees, and agents shall promptly comply with, and aid and
assist the CPA firm in the exercise of its duties under the
Act.
At the request of the CPA firm, each Category 4 local
government shall, without delay, provide to the CPA firm's
representative any record or information requested and shall
provide for examination or copying all records, accounts,
papers, reports, vouchers, correspondence, books and other
documentation in the custody of the local government,
including information stored in electronic data processing
systems, which is related to or within the scope of any
engagement under this Act.
(i) Each Category 4 local government shall electronically
submit any reports prepared by the independent CPA firm under
this Section to the Comptroller no later than 7 months after
the end of the local government's fiscal year for inclusion
within the Local Government Registry. The Comptroller may
grant extensions in writing for good cause regarding this
reporting deadline.
(j) Each Category 4 local government shall electronically

10400HB5391ham001 - 45 - LRB104 18487 RTM 35239 a
submit (i) the auditor's communication with those charged with
governance under GAAS, (ii) the auditor's communication of
deficiencies in internal control under GAAS to both those
charged with governance or management as that term is defined
under GAAS, (iii) any known or suspected fraud or
noncompliance with laws or regulations communicated to those
charged with governance or management as that term is defined
under GAAS arising from the financial audit, and (iv) any
known or suspected fraud or noncompliance with laws or
regulations communicated to those charged with governance or
management as that term is defined under the attestation
standards established by the American Institute of Certified
Public Accountants arising from the AUPs prepared by the
independent CPA firm for engagements performed under this
Section to the Comptroller no later than 7 months after the end
of the local government's fiscal year for inclusion within the
Local Government Registry. The Comptroller may grant
extensions in writing for good cause regarding this reporting
deadline.
(k) For fiscal years beginning after December 31, 2027,
and all reporting periods thereafter, each Category 4 local
government shall electronically update its information within
the Local Government Registry for the preceding fiscal year no
later than 7 months after the conclusion of the local
government's fiscal year. The Comptroller may grant extensions
in writing for good cause regarding this reporting deadline.

10400HB5391ham001 - 46 - LRB104 18487 RTM 35239 a
(l) For fiscal years beginning after December 31, 2027,
and all reporting periods thereafter, each Category 4 local
government shall electronically submit a spreadsheet of the
names, positions, and amounts paid to every recipient of a
Form W-2 or a Form 1099 during the calendar year ended in a
format prescribed by the Comptroller during the fiscal year no
later than 7 months after the conclusion of the local
government's fiscal year for inclusion within the Local
Government Registry. The Comptroller may grant extensions in
writing for good cause regarding this reporting deadline.
(m) The Comptroller shall charge a Category 4 local
government a daily fee of no more than $100 and no less than $0
per day late for delinquent reporting under this Section. All
fees collected under this subsection shall be deposited into
the Comptroller's Administrative Fund.
(n) The Comptroller may waive, in whole or in part, the
requirements of subsections (i), (j), (k), and (l), if the
waiver is granted in writing and sets forth the specific
grounds supporting the determination.
A written waiver may be granted upon a finding by the
Comptroller that exigent circumstances exist that materially
prevent the local government from complying with a requirement
of subsection (i), (j), (k), or (l). Exigent circumstances
include, but are not limited to, (i) the complete or
substantial destruction of the local government's financial or
administrative records due to fire, flood, natural disaster,

10400HB5391ham001 - 47 - LRB104 18487 RTM 35239 a
cyber incident, or other catastrophic event; (ii) the sudden
dissolution, closure, or legal incapacity of the local
government; (iii) the seizure, impoundment, or restriction of
access to records resulting from judicially authorized law
enforcement activity; (iv) the existence of conditions that
would materially limit, restrict, or impair the scope of the
CPA firm's activities such that it is impracticable or
impossible to satisfy the requirements prescribed by this Act;
or (v) any other extraordinary event or circumstance that
renders compliance impracticable.
Any written waiver granted by the Comptroller shall be
limited in duration to the period reasonably necessary to
address the exigent circumstances; to specify whether the
written waiver applies to all or only certain requirements of
subsection (i), (j), (k), or (l); and to include any
conditions, alternative requirements, or remedial measures the
Comptroller deems appropriate to protect the public interest.
Any written waiver granted by the Comptroller shall be
posted in the location within the Local Government Registry
where the Category 4 local government's filing or filings
would have otherwise appeared and shall be delivered by
certified mail, return receipt requested, to (i) the
responsible officials of the Category 4 local government and
(ii) each member of the Illinois House of Representatives and
the Illinois Senate whose legislative district includes all or
any portion of the territory within the jurisdiction of the

10400HB5391ham001 - 48 - LRB104 18487 RTM 35239 a
Category 4 local government.
The Comptroller's determination under this subsection is
final.
(o) Within 60 days after the date of any report completed
by the independent CPA firm pursuant to this Section, a
partner at the independent CPA firm and such additional
personnel from the CPA firm as deemed necessary by the
independent CPA firm shall attend a public meeting of the
responsible officials either in person or by a live phone or
online virtual meeting to answer questions posed by the
responsible officials about the engagement and present the
major findings of the report. A public body may hold a closed
session to consider internal control weaknesses,
identification of potential fraud risk areas, known or
suspected frauds, and fraud interviews with the independent
CPA firm's partner and such additional personnel from the CPA
firm as deemed necessary by the independent CPA firm under
Section 2 of the Open Meetings Act.
Article 15. LOCAL GOVERNMENT REGISTRY AND REPORTS
Section 15-5. Local government registry and report
database.
(a) The Comptroller shall establish and maintain a public
searchable electronic database of all local governments no
later than December 31, 2027, which shall include:

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(1) the name, address, contact information, and
website of the local government;
(2) the names of the elected or appointed office
holders of the local government and their positions,
including their dates of service and any periods of
vacancy within a position;
(3) links to access any reports filed by a local
government showing the names, positions, and amounts paid
to every recipient of a Form W-2 or a Form 1099 during a
calendar year; and
(4) links to access any reports filed by a local
government pursuant to this Act categorized by fiscal
year.
(b) No later than June 30, 2027, each county clerk shall
notify the Comptroller electronically in writing of the name
of each local government within their jurisdiction along with
contact information for the elected or appointed office
holders of the local government and their positions in a
manner and format determined by the Comptroller. The
Comptroller may grant extensions in writing for good cause for
this reporting requirement.
(c) Within 30 days following the creation or dissolution
of a local government within their jurisdiction after June 30,
2027, each county clerk shall notify the Comptroller
electronically in writing of the name of the local government
along with contact information for the elected or appointed

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office holders of the local government and their positions in
a manner and format determined by the Comptroller. The
Comptroller may grant extensions in writing for good cause for
this reporting requirement.
(d) The Comptroller shall charge a county clerk a daily
fee of no more than $10 and no less than $0 per day late for
delinquent reporting under this Section. All fees collected
under this subsection shall be deposited into the
Comptroller's Administrative Fund.
Section 15-10. Limited procedures.
(a) The Comptroller shall develop a template for the
auditing committees of Category 1 governments to perform and
report on their activities inspecting the local government's
records for the fiscal year under review, with the advice of
the Local Government Advisory Board and a statewide CPA
organization.
(b) The template shall be written in plain language with
procedures for the auditing committees of Category 1
governments to perform and document its:
(1) sampling of disbursements during the fiscal year
and the testing of the selected disbursements to determine
each sampled disbursement was properly recorded in the
financial records and was supported by adequate
documentation, including invoices, receipts, or contracts,
as applicable;

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(2) sampling of receipts during the fiscal year and
the testing of the selected receipts to determine each
sampled receipt was properly recorded in the financial
records, was supported by adequate documentation, and was
promptly deposited into the appropriate account no later
than 2 working days after receipt; and
(3) performing the local government's reconciliations
of its financial records to the records of third parties,
including, but not limited to, bank statements, investment
reports, and other external documents, during the fiscal
year.
(c) The template shall include a section for the
responsible officials and management of the local government
to submit their written views regarding the findings and
conclusions of the auditing committee. The template shall also
include a section for the auditing committee to respond to any
written views from the responsible officials and management,
particularly if those views are inconsistent with or in
conflict with the results of the inspection.
(d) For each fiscal year beginning after December 31,
2027, the Comptroller shall publish on the Comptroller's
official website, no later than November 15 of the current
calendar year, the template to be used by auditing committees
of Category 1 governments for inspecting the local
government's records for the fiscal year beginning after
December 31 of the current calendar year.

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Section 15-15. Agreed-upon procedures.
(a) The Comptroller shall develop minimum AUPs specific to
each type of local government subject to this Act for the
fiscal year under review, with the advice of the Local
Government Advisory Board and a statewide CPA organization.
(b) For all local governments, the AUPs shall be written
by the Comptroller using plain language, insofar as
practicable. The Comptroller shall write specific and
objective procedures designed to be performed by a CPA firm
over a completed fiscal year to provide factual findings
regarding:
(1) compliance by the local government and its
responsible officials and agents with the training
requirements and public records disclosures laws under the
Freedom of Information Act;
(2) compliance by the local government and its
responsible officials and agents with the training
requirements under the Open Meetings Act;
(3) compliance by the local government and its
responsible officials and agents with the records
retention requirements under the Local Records Act;
(4) accountability for capital assets and leased
assets;
(5) compliance with applicable laws, rules, and
regulations regarding the compensation of the local

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government's responsible officials and all other elected
or appointed officials;
(6) compliance with applicable laws, rules, and
regulations regarding accounts at banks or savings and
loan associations;
(7) compliance with bond requirements;
(8) testing of a sample of disbursements for
appropriate internal controls and compliance with
applicable laws, rules, and regulations;
(9) testing of a sample of receipts for appropriate
internal controls and compliance with applicable laws,
rules, and regulations, including timely deposit
requirements;
(10) compliance with significant statutory reporting
requirements;
(11) for community colleges, procedures regarding a
student enrollments and other bases upon which claims are
filed with the Illinois Community College Board, with the
advice of the Illinois Community College Board;
(12) for fire protection districts and municipalities,
procedures regarding disbursements to a foreign fire
insurance board were used by the foreign fire insurance
board only for the maintenance, use, and benefit of the
department under Section 11-10-2 of the Illinois Municipal
Code and Section 11i of the Fire Protection District Act;
and

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(13) for fire protection districts, when a district
purchases fire protection services from any organization,
procedures regarding compliance with the terms of the
contract as it relates to financial matters, including,
but not limited to, the amount charged to the purchasing
Fire Protection District.
The Comptroller may establish such other procedures as
deemed necessary to assess the accountability of responsible
officials and management at the local government, after
determining the perceived benefit of the additional
accountability procedures outweigh the perceived costs to be
incurred from implementing such procedures.
Section 15-20. Agreed-upon procedures.
(a) The Comptroller shall develop consistent AUPs specific
to each redevelopment project under Division 74.4 of the
Illinois Municipal Code or redevelopment project under
Division 74.6 of the Illinois Municipal Code for the fiscal
year under review, with the advice of the Local Government
Advisory Board and a statewide CPA organization.
(b) For all local governments, the AUPs shall be written
by the Comptroller using plain language, insofar as
practicable. The Comptroller shall write specific and
objective procedures designed to be performed by a CPA firm
over a completed fiscal year to provide factual findings
regarding:

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(1) the date each redevelopment project area was
designated or terminated;
(2) the balance in the special tax allocation fund at
the beginning of the fiscal year, all receipts deposited
into the special tax allocation fund by source, all
disbursements from the special tax allocation fund by
category of permissible redevelopment project cost, and
the balance in the special tax allocation fund at the end
of the fiscal year on the cash basis of accounting;
(3) a breakdown of the balance in the special tax
allocation fund at the end of the fiscal year identifying
any portion of the balance that is required, pledged,
earmarked, or otherwise designated for payment of or
securing of obligations and anticipated redevelopment
project costs or surplus; and
(4) the nature of outstanding obligations of the
special tax allocation fund, including the projected debt
service including required reserves and debt coverage and
actual debt service of the special tax allocation fund.
The Comptroller may establish such other procedures as
deemed necessary to assess the accountability of responsible
officials and management at the local government about a
redevelopment project under Division 74.4 of the Illinois
Municipal Code or redevelopment project under Division 74.6 of
the Illinois Municipal Code, after determining the perceived
benefit of the additional accountability procedures outweigh

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the perceived costs to be incurred from implementing such
procedures.
Section 15-25. Guidelines for circuit clerks.
(a) The Comptroller shall develop, maintain, and publish
the guidelines for circuit clerks, with the advice of the
Local Government Advisory Board, the Administrative Office of
the Illinois Courts, a Statewide organization representing
circuit clerks, and a Statewide CPA organization.
(b) For all fiscal years beginning after December 31,
2027, the Comptroller shall prescribe the format of the annual
written report submitted by each county's independent CPA firm
retained by the responsible officials under Article 5 prepared
in accordance with the guidelines.
(c) For all fiscal years beginning after December 31,
2027, the guidelines shall establish procedures for each
county's independent CPA firm to conduct, for each fiscal
year, a compliance examination under the attestation standards
and GAGAS to:
(1) examine whether fees, fines, surcharges, costs,
penalties, bonds, and judgments were properly collected
and disbursed to the appropriate entities in compliance
with applicable laws and other requirements, limited to
those situations in which applicable laws, rules,
regulations, and court orders require the circuit clerk to
collect, hold, and disburse moneys to applicable parties

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or entities, excluding moneys already on deposit in county
accounts controlled by other county officials or funds
used to finance the regular operations of the circuit
clerk's office;
(2) determine whether the circuit clerk has complied,
in all material respects, with applicable laws, rules,
regulations, and court orders in its financial and fiscal
operations;
(3) determine whether moneys or negotiable securities
or similar assets handled by the circuit clerk or held in
trust by the circuit clerk have been properly and legally
administered, and the accounting and recordkeeping thereto
is proper, accurate, and in accordance with law; and
(4) obtain a sufficient understanding of internal
control over compliance relevant to the specified
requirements to plan the engagement, assess control risk
for compliance with the specified requirements, and design
procedures to achieve the objectives of the attestation
engagement.
(d) For all fiscal years beginning after December 31,
2027, the guidelines shall require circuit clerks to prepare,
for each fiscal year, a schedule of accountabilities under the
cash basis of accounting which includes all accounts and funds
where applicable laws, rules, regulations, and court orders
require the circuit clerk to collect, hold, and disburse
moneys to applicable parties or entities, excluding moneys

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already on deposit in county accounts controlled by other
county officials or funds used to finance the regular
operations of the circuit clerk's office.
(e) The guidelines shall prohibit the local government's
independent CPA firm from gathering data, categorizing or
organizing data, or preparing the schedule of
accountabilities.
(f) For all fiscal years beginning after December 31,
2027, the guidelines shall require the circuit clerk to
furnish the draft schedule of accountabilities to the local
government's independent CPA firm to examine the schedule of
accountabilities. The guidelines shall require each county's
independent CPA firm to conduct, for each fiscal year, a
compliance examination to examine the schedule of
accountabilities to obtain reasonable assurance that the:
(1) schedule of accountabilities, including its
footnotes, is complete and accurately presented in
accordance with the guidelines, and the beginning and
ending balances reconcile to the circuit clerk's cash,
savings, and investment accounts;
(2) reported events and transactions are accurately
recorded, properly classified, complete, and occurred
within the fiscal year under examination; and
(3) reported balances of cash, savings, and investment
accounts exist, are completely reported, the circuit
clerk's rights and obligations related to those moneys are

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not in question, and account valuations are confirmed.
(g) For all fiscal years beginning after December 31,
2027, the guidelines shall require each county's independent
CPA firm to express an opinion on whether the schedule of
accountabilities is fairly stated, in all material respects,
in relation to the county's financial statements as a whole in
accordance with GAAS.
(h) For all fiscal years beginning after December 31,
2027, upon a written agreement between the Comptroller and the
Administrative Office of the Illinois Courts, the guidelines
may require each county's independent CPA firm to express an
opinion on whether other reports used by the Administrative
Office of the Illinois Courts are fairly stated, in all
material respects, in relation to the county's financial
statements as a whole in accordance with GAAS.
Article 20. MISCELLANEOUS PROVISIONS
Section 20-5. Assurances. Each local government shall
establish and maintain a system, or systems, of internal
fiscal and administrative controls, which shall provide
assurance that:
(1) resources are used efficiently, effectively, and
in compliance with applicable law;
(2) obligations and costs are in compliance with
applicable law;

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(3) funds, property, and other assets and resources
are safeguarded against waste, loss, unauthorized use, and
misappropriation; and
(4) revenues, receipts, expenses, disbursements,
expenditures, and transfers of assets, resources, or funds
applicable to operations are properly recorded and
accounted for to permit the preparation of accounts and
reliable financial and statistical reports and to maintain
accountability over the local government's resources.
Section 20-10. Conflicts of interest.
(a) Each local government shall maintain an appropriate
segregation of duties to prevent conflicts of interest and
ensure proper internal controls that its resources are used
appropriately and financial transactions are properly
authorized, recorded, and monitored.
(b) In instances where segregation of duties is not
feasible due to limited personnel or other operational
constraints, each local government shall implement
compensating controls to mitigate the risks associated with
the lack of segregation. Such compensating controls shall be
designed to provide a reasonable level of assurance that its
resources are used appropriately and financial transactions
are properly authorized, recorded, and monitored.
Section 20-15. Capitalization threshold.

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(a) The responsible officials of each local government
shall establish a capitalization threshold for the various
categories of capital assets and leased assets.
(b) The responsible officials of each local government
shall implement procedures for tracking, managing, and
disposing of capital assets and leased assets that either (i)
exceed the capitalization threshold established in subsection
(a), or (ii) are tangible and movable assets subject to theft,
regardless of original cost, including, but not limited to,
tools, vehicles, weapons, and items that store data.
(c) Each local government's responsible officials shall
establish procedures for tracking, managing, and disposing of
its capital assets and leased assets which either (i) exceed
the capitalization threshold set in subsection (a) or (ii) are
tangible and movable assets that are subject to theft
regardless of original cost, including, but not limited to,
tools, vehicles, and weapons or items that store data.
Section 20-20. Audit committees. The responsible officials
of a local government may establish and determine the duties
and membership of an audit committee, so long as any duties and
responsibilities of the audit committee do not conflict with
this Act.
Section 20-25. Delinquent reports.
(a) If a local government fails to comply with the

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requirements of this Act and is more than 270 days late in
meeting its reporting obligations, after considering any
extensions granted by the Comptroller, the Comptroller shall
review the local government's actions. The review shall assess
whether the local government is taking appropriate corrective
action to bring itself into compliance with the provisions of
this Act.
(b) If the Comptroller's review determines the local
government is implementing appropriate corrective action in a
timely manner, the Comptroller shall communicate the delay in
writing to the local government's responsible officials and
the Comptroller shall post the written letter in the location
where the local government's missing filing would otherwise
have been posted within the Local Government Registry.
Thereafter, the Comptroller shall review the local
government's actions taken at least every 28 days until either
(i) the local government comes into compliance with the Act or
(ii) the Comptroller determines the local government is not
implementing appropriate corrective action in a timely manner.
(c) If the Comptroller determines that the local
government is not implementing appropriate corrective action
in a timely manner, the Comptroller shall communicate the
delay in writing to the local government's responsible
officials and the Comptroller shall post the written letter in
the location where the local government's missing filing would
otherwise have been posted within the Local Government

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Registry.
(d) If the Comptroller determines that the local
government is not implementing appropriate corrective action
in a timely manner, the Comptroller shall request the Attorney
General to seek an appropriate judicial remedy to compel the
responsible officials and management of the local government
to perform their duties under this Act in a timely manner.
Section 20-30. Rules. The Comptroller shall adopt
administrative rules pursuant to the Illinois Administrative
Procedure Act to implement and enforce the provisions of this
Act.
Section 20-35. Other duties of responsible officials. This
Act does not relieve any member of the responsible officials
or management of a local government of any other duties
required by law of that person with respect to the auditing of
public accounts or the disbursement of public funds.
Section 20-40. Reports to other State agencies.
Notwithstanding any other provision to the contrary, any local
government that files reports with the Comptroller in
compliance with this Act shall not be required to file the same
report with any State agencies as defined in the Illinois
State Auditing Act. All state agencies may obtain copies of
any report filed with the Comptroller in compliance with this

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Act.
Section 20-45. Effect on taxes. Failure of the responsible
officials of any local government to comply with the
provisions of this Act does not affect the legality of taxes
levied for any of the funds of the local government.
Section 20-50. Home rule. A home rule municipality may not
regulate financial reporting in a manner inconsistent with
this Act. This Act is a limitation under subsection (i) of
Section 6 of Article VII of the Illinois Constitution on the
concurrent exercise by home rule units of powers and functions
exercised by the State.
Article 900.
Section 900-5. The Intergovernmental Cooperation Act is
amended by changing Section 3.1 and by adding Section 10 as
follows:
(5 ILCS 220/3.1) (from Ch. 127, par. 743.1)
Sec. 3.1. Municipal Joint Action Water Agency.
(a) Any municipality or municipalities of this State, any
county or counties of this State, any township in a county with
a population under 700,000 of this State, any public water
district or districts of this State, State university, or any

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combination thereof may, by intergovernmental agreement,
establish a Municipal Joint Action Water Agency to provide
adequate supplies of water on an economical and efficient
basis for member municipalities, public water districts and
other incorporated and unincorporated areas within such
counties. Any such Agency shall itself be a municipal
corporation, public body politic and corporate. A Municipal
Joint Action Water Agency so created shall not itself have
taxing power except as hereinafter provided.
A Municipal Joint Action Water Agency shall be established
by an intergovernmental agreement among the various member
municipalities, public water districts, townships, State
universities, and counties, upon approval by an ordinance
adopted by the corporate authorities of each member
municipality, public water district, township, State
university, or county. This agreement may be amended at any
time upon the adoption of concurring ordinances by the
corporate authorities of all member municipalities, public
water districts, townships, State universities, and counties.
The agreement may provide for additional municipalities,
public water districts, any State universities, townships in
counties with a population under 700,000, or counties to join
the Agency upon adoption of an ordinance by the corporate
authorities of the joining municipality, public water
district, township, or county, and upon such consents,
conditions and approvals of the governing body of the

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Municipal Joint Action Water Agency and of existing member
municipalities, public water districts, townships, State
universities, and counties as shall be provided in the
agreement. The agreement shall provide the manner and terms on
which any municipality, public water district, township, or
county may withdraw from membership in the Municipal Joint
Action Water Agency and on which the Agency may terminate and
dissolve in whole or in part. The agreement shall set forth the
corporate name of the Municipal Joint Action Water Agency and
its duration. Promptly upon any agreement establishing a
Municipal Joint Action Water Agency being entered into, or
upon the amending of any such agreement, a copy of such
agreement or amendment shall be filed in the office of the
Secretary of State of Illinois. Promptly upon the addition or
withdrawal of any municipality, public water district,
township in a county with a population under 700,000, or
county, or upon the dissolution of a Municipal Joint Action
Water Agency, that fact shall be certified by an officer of the
Agency to the Secretary of State of Illinois.
(b) The governing body of any Municipal Joint Action Water
Agency established pursuant to this Section 3.1 shall be a
Board of Directors. There shall be one Director from each
member municipality, public water district, township, State
university, and county of the Municipal Joint Action Water
Agency appointed by ordinance of the corporate authorities of
the municipality, public water district, township, or county.

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Each Director shall have one vote, and shall meet the
requirements of paragraphs (1) or (2), as applicable.
(1) Each Director shall be the Mayor or President of
the member municipality, or the chairman of the board of
trustees of the member public water district, the
supervisor of the member township, the appointee of the
State university, or the chairman of the county board or
chief executive officer of the member county or a county
board member appointed by the chairman of the county board
of the member county, appointing the Director; an elected
member of the corporate authorities of that municipality,
public water district, township, or county; or other
elected official of the appointing municipality, public
water district, township, or county. Any agreement
establishing a Municipal Joint Action Water Agency shall
specify the period during which a Director shall hold
office and may provide for the appointment of Alternate
Directors from member municipalities, public water
districts, townships, or counties. The Board of Directors
shall elect one Director to serve as Chairman, and shall
elect persons, who need not be Directors, to such other
offices as shall be designated in the agreement.
(2) For any Municipal Joint Action Water Agency
established after the effective date of this amendatory
Act of the 100th General Assembly, each Director shall
either: (i) meet the qualifications specified under

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paragraph (1); or (ii) be an appointed official of a
member municipality, public water district, township,
State university, or county, as designated by ordinance or
other official action, from time to time by the corporate
authorities of the member municipality, public water
district, township, State university, or county.
The Board of Directors shall determine the general policy
of the Municipal Joint Action Water Agency, shall approve the
annual budget, shall make all appropriations (which may
include appropriations made at any time in addition to those
made in any annual appropriation document), shall approve all
contracts for the purchase or sale of water, shall adopt any
resolutions providing for the issuance of bonds or notes by
the Agency, shall adopt its by-laws, rules and regulations,
and shall have such other powers and duties as may be
prescribed in the agreement. Such agreement may further
specify those powers and actions of the Municipal Joint Action
Water Agency which shall be authorized only upon votes of
greater than a majority of all Directors or only upon consents
of the corporate authorities of a certain number of member
municipalities, public water districts, townships, State
universities, or counties.
The agreement may provide for the establishment of an
Executive Committee to consist of the municipal manager or
other elected or appointed official of each member
municipality, public water district, township, State

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university, or county, as designated by ordinance or other
official action, from time to time by the corporate
authorities of the member municipality, public water district,
township, State university, or county, and may prescribe
powers and duties of the Executive Committee for the efficient
administration of the Agency.
(c) A Municipal Joint Action Water Agency established
pursuant to this Section 3.1 may plan, construct, improve,
extend, acquire, finance (including the issuance of revenue
bonds or notes as provided in this Section 3.1), operate,
maintain, and contract for a joint waterworks or water supply
system which may include, or may consist of, without
limitation, facilities for receiving, storing, and
transmitting water from any source for supplying water to
member municipalities, public water districts, townships, or
counties (including county special service areas created under
the Special Service Area Tax Act and county service areas
authorized under the Counties Code), or other public agencies,
persons, or corporations. Facilities of the Municipal Joint
Action Water Agency may be located within or without the
corporate limits of any member municipality.
A Municipal Joint Action Water Agency shall have such
powers as shall be provided in the agreement establishing it,
which may include, but need not be limited to, the following
powers:
(i) to sue or be sued;

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(ii) to apply for and accept gifts or grants or loans
of funds or property or financial or other aid from any
public agency or private entity;
(iii) to acquire, hold, sell, lease as lessor or
lessee, transfer or dispose of such real or personal
property, or interests therein, as it deems appropriate in
the exercise of its powers, and to provide for the use
thereof by any member municipality, public water district,
township, or county;
(iv) to make and execute all contracts and other
instruments necessary or convenient to the exercise of its
powers (including contracts with member municipalities,
with public water districts, with townships, and with
counties on behalf of county service areas); and
(v) to employ agents and employees and to delegate by
resolution to one or more of its Directors or officers
such powers as it may deem proper.
Member municipalities, public water districts, townships,
State universities, or counties may, for the purposes of, and
upon request by, the Municipal Joint Action Water Agency,
exercise the power of eminent domain available to them, convey
property so acquired to the Agency for the cost of
acquisition, and be reimbursed for all expenses related to
this exercise of eminent domain power on behalf of the Agency.
All property, income and receipts of or transactions by a
Municipal Joint Action Water Agency shall be exempt from all

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taxation, the same as if it were the property, income or
receipts of or transaction by the member municipalities,
public water districts, townships, State universities, or
counties.
(d) A Municipal Joint Action Water Agency established
pursuant to this Section 3.1 shall have the power to buy water
and to enter into contracts with any person, corporation or
public agency (including any member municipality, public water
district, township, or county) for that purpose. Any such
contract made by an Agency for a supply of water may contain
provisions whereby the Agency is obligated to pay for the
supply of water without setoff or counterclaim and
irrespective of whether the supply of water is ever furnished,
made available or delivered to the Agency or whether any
project for the supply of water contemplated by any such
contract is completed, operable or operating and
notwithstanding any suspension, interruption, interference,
reduction or curtailment of the supply of water from such
project. Any such contract may provide that if one or more of
the other purchasers defaults in the payment of its
obligations under such contract or a similar contract made
with the supplier of the water one or more of the remaining
purchasers party to such contract or such similar contract
shall be required to pay for all or a portion of the
obligations of the defaulting purchasers. No such contract may
have a term in excess of 50 years.

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A Municipal Joint Action Water Agency shall have the power
to sell water and to enter into contracts with any person,
corporation or public agency (including any member
municipality, any public water district, any township, any
State university, or any county on behalf of a county service
area as set forth in this Section) for that purpose. No such
contract may have a term in excess of 50 years. Any such
contract entered into to sell water to a public agency may
provide that the payments to be made thereunder by such public
agency shall be made solely from revenues to be derived by such
public agency from the operation of its waterworks system or
its combined waterworks and sewerage system. Any public agency
so contracting to purchase water shall establish from time to
time such fees and charges for its water service or combined
water and sewer service as will produce revenues sufficient at
all times to pay its obligations to the Agency under the
purchase contract. Any such contract so providing shall not
constitute indebtedness of such public agency so contracting
to buy water within the meaning of any statutory or
constitutional limitation. Any such contract of a public
agency to buy water shall be a continuing, valid and binding
obligation of such public agency payable from such revenues.
A Municipal Joint Action Water Agency shall establish fees
and charges for the purchase of water from it or for the use of
its facilities. No prior appropriation shall be required by
either the Municipal Joint Action Water Agency or any public

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agency before entering into any contract authorized by this
paragraph (d).
The changes in this Section made by this amendatory Act of
1984 are intended to be declarative of existing law.
(e) 1. A Municipal Joint Action Water Agency established
pursuant to this Section 3.1 may, from time to time, borrow
money and, in evidence of its obligation to repay the
borrowing, issue its negotiable water revenue bonds or notes
pursuant to this paragraph (e) for any of the following
purposes: for paying costs of constructing, acquiring,
improving or extending a joint waterworks or water supply
system; for paying other expenses incident to or incurred in
connection with such construction, acquisition, improvement or
extension; for repaying advances made to or by the Agency for
such purposes; for paying interest on the bonds or notes until
the estimated date of completion of any such construction,
acquisition, improvement or extension and for such period
after the estimated completion date as the Board of Directors
of the Agency shall determine; for paying financial, legal,
administrative and other expenses of the authorization,
issuance, sale or delivery of bonds or notes; for paying costs
of insuring payment of the bonds or notes; for providing or
increasing a debt service reserve fund with respect to any or
all of the Agency's bonds or notes; and for paying, refunding
or redeeming any of the Agency's bonds or notes before, after
or at their maturity, including paying redemption premiums or

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interest accruing or to accrue on such bonds or notes being
paid or redeemed or for paying any other costs in connection
with any such payment or redemption.
2. Any bonds or notes issued pursuant to this paragraph
(e) by a Municipal Joint Action Water Agency shall be
authorized by a resolution of the Board of Directors of the
Agency adopted by the affirmative vote of Directors from a
majority of the member municipalities, public water districts,
townships, State universities, and counties, and any
additional requirements as may be set forth in the agreement
establishing the Agency. The authorizing resolution may be
effective immediately upon its adoption. The authorizing
resolution shall describe in a general way any project
contemplated to be financed by the bonds or notes, shall set
forth the estimated cost of the project and shall determine
its period of usefulness. The authorizing resolution shall
determine the maturity or maturities of the bonds or notes,
the rate or rates at which the bonds or notes are to bear
interest and all the other terms and details of the bonds or
notes. All such bonds or notes shall mature within the period
of estimated usefulness of the project with respect to which
such bonds or notes are issued, as determined by the Board of
Directors, but in any event not more than 50 years from their
date of issue. The bonds and notes may bear interest, payable
at such times, at a rate or rates not exceeding the maximum
rate established in the Bond Authorization Act, as from time

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to time in effect. Bonds or notes of a Municipal Joint Action
Water Agency shall be sold in such manner as the Board of
Directors of the Agency shall determine, either at par or at a
premium or discount, but such that the effective interest cost
(excluding any redemption premium) to the Agency of the bonds
or notes shall not exceed a rate equal to the rate of interest
specified in the Act referred to in the preceding sentence.
The resolution authorizing the issuance of any bonds or
notes pursuant to this paragraph (e) shall constitute a
contract with the holders of the bonds and notes. The
resolution may contain such covenants and restrictions with
respect to the purchase or sale of water by the Agency and the
contracts for such purchases or sales, the operation of the
joint waterworks system or water supply system, the issuance
of additional bonds or notes by the Agency, the security for
the bonds and notes, and any other matters, as may be deemed
necessary or advisable by the Board of Directors to assure the
payment of the bonds or notes of the Agency.
3. The resolution authorizing the issuance of bonds or
notes by a Municipal Joint Action Water Agency shall pledge
and provide for the application of revenues derived from the
operation of the Agency's joint waterworks or water supply
system (including from contracts for the sale of water by the
Agency) and investment earnings thereon to the payment of the
cost of operation and maintenance of the system (including
costs of purchasing water), to provision of adequate

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depreciation, reserve or replacement funds with respect to the
system or the bonds or notes, and to the payment of principal,
premium, if any, and interest on the bonds or notes of the
Agency (including amounts for the purchase of such bonds or
notes). The resolution shall provide that revenues of the
Municipal Joint Action Water Agency so derived from the
operation of the system, sufficient (together with other
receipts of the Agency which may be applied to such purposes)
to provide for such purposes, shall be set aside as collected
in a separate fund or funds and used for such purposes. The
resolution may provide that revenues not required for such
purposes may be used for any proper purpose of the Agency or
may be returned to member municipalities.
Any notes of a Municipal Joint Action Water Agency issued
in anticipation of the issuance of bonds by it may, in
addition, be secured by a pledge of proceeds of bonds to be
issued by the Agency, as specified in the resolution
authorizing the issuance of such notes.
4. (i) Except as provided in clauses (ii) and (iii) of this
subparagraph 4 of this paragraph (e), all bonds and notes of
the Municipal Joint Action Water Agency issued pursuant to
this paragraph (e) shall be revenue bonds or notes. Such
revenue bonds or notes shall have no claim for payment other
than from revenues of the Agency derived from the operation of
its joint waterworks or water supply system (including from
contracts for the sale of water by the Agency) and investment

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earnings thereon, from bond or note proceeds and investment
earnings thereon, or from such other receipts of the Agency as
the agreement establishing the Agency may authorize to be
pledged to the payment of revenue bonds or notes, all as and to
the extent as provided in the resolution of the Board of
Directors authorizing the issuance of the revenue bonds or
notes. Revenue bonds or notes issued by a Municipal Joint
Action Water Agency pursuant to this paragraph (e) shall not
constitute an indebtedness of the Agency or of any member
municipality, public water district, township, or county
within the meaning of any constitutional or statutory
limitation. It shall be plainly stated on each revenue bond
and note that it does not constitute an indebtedness of the
Municipal Joint Action Water Agency or of any member
municipality, public water district, township, or county
within the meaning of any constitutional or statutory
limitation.
(ii) If the Agreement so provides and subject to the
referendum provided for in clause (iii) of this subparagraph 4
of this paragraph (e), the Municipal Joint Action Water Agency
may borrow money for corporate purposes on the credit of the
Municipal Joint Action Water Agency, and issue general
obligation bonds therefor, in such amounts and form and on
such conditions as it shall prescribe, but shall not become
indebted in any manner or for any purpose in an amount
including existing indebtedness in the aggregate which exceeds

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5.75% of the aggregate value of the taxable property within
the boundaries of the participating municipalities, public
water districts, townships, and county service areas within a
member county determined by the governing body of the county
by resolution to be served by the Municipal Joint Action Water
Agency (including any territory added to the Agency after the
issuance of such general obligation bonds), collectively
defined as the "Service Area", as equalized and assessed by
the Department of Revenue and as most recently available at
the time of the issue of said bonds. Before or at the time of
incurring any such general obligation indebtedness, the
Municipal Joint Action Water Agency shall provide for the
collection of a direct annual tax, which shall be unlimited as
to rate or amount, sufficient to pay the interest on such debt
as it falls due and also to pay and discharge the principal
thereof at maturity, which shall be within 40 years after the
date of issue thereof. Such tax shall be levied upon and
collected from all of the taxable property within the
territorial boundaries of such Service Area at the time of the
referendum provided for in clause (iii) and shall be levied
upon and collected from all taxable property within the
boundaries of any territory subsequently added to the Service
Area. Dissolution of the Municipal Joint Action Water Agency
for any reason shall not relieve the taxable property within
such Service Area from liability for such tax. Liability for
such tax for property transferred to or released from such

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Service Area shall be determined in the same manner as for
general obligation bonds of such county, if in an
unincorporated area, and of such municipality, if within the
boundaries thereof. The clerk or other officer of the
Municipal Joint Action Water Agency shall file a certified
copy of the resolution or ordinance by which such bonds are
authorized to be issued and such tax is levied with the County
Clerk or Clerks of the county or counties containing the
Service Area, and such filing shall constitute, without the
doing of any other act, full and complete authority for such
County Clerk or Clerks to extend such tax for collection upon
all the taxable property within the Service Area subject to
such tax in each and every year, as required, in amounts
sufficient to pay the principal of and interest on such bonds,
as aforesaid, without limit as to rate or amount. Such tax
shall be in addition to and in excess of all other taxes
authorized to be levied by the Municipal Joint Action Water
Agency or by such county, municipality, township, or public
water district. The issuance of such general obligation bonds
shall be subject to the other provisions of this paragraph
(e), except for the provisions of clause (i) of this
subparagraph 4.
(iii) No issue of general obligation bonds of the
Municipal Joint Action Water Agency (except bonds to refund an
existing bonded indebtedness) shall be authorized unless the
Municipal Joint Action Water Agency certifies the proposition

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of issuing such bonds to the proper election authorities, who
shall submit the proposition to the voters in the Service Area
at an election in accordance with the general election law,
and the proposition has been approved by a majority of those
voting on the proposition.
The proposition shall be substantially in the following
form:
--------------------------------------------------------
Shall general obligation
bonds for the purpose of (state
purpose), in the sum not to
exceed $....(insert amount), Yes
be issued by the ......... ------------------------
(insert corporate name of the No
Municipal Joint Action Water
Agency)?
-------------------------------------------------------------
5. As long as any bonds or notes of a Municipal Joint
Action Water Agency created pursuant to this Section 3.1 are
outstanding and unpaid, the Agency shall not terminate or
dissolve and, except as permitted by the resolution or
resolutions authorizing outstanding bonds or notes, no member
municipality, public water district, township, or county may
withdraw from the Agency. While any such bonds or notes are
outstanding, all contracts for the sale of water by the Agency
to member municipalities, public water districts, townships,

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or counties shall be irrevocable except as permitted by the
resolution or resolutions authorizing such bonds or notes. The
Agency shall establish fees and charges for its operations
sufficient to provide adequate revenues to meet all of the
requirements under its various resolutions authorizing bonds
or notes.
6. A holder of any bond or note issued pursuant to this
paragraph (e) may, in any civil action, mandamus or other
proceeding, enforce and compel performance of all duties
required to be performed by the Agency or such counties, as
provided in the authorizing resolution, or by any of the
public agencies contracting with the Agency to purchase water,
including the imposition of fees and charges, the collection
of sufficient revenues and the proper application of revenues
as provided in this paragraph (e) and the levying, extension
and collection of such taxes.
7. In addition, the resolution authorizing any bonds or
notes issued pursuant to this paragraph (e) may provide for a
pledge, assignment, lien or security interest, for the benefit
of the holders of any or all bonds or notes of the Agency, (i)
on any or all revenues derived from the operation of the joint
waterworks or water supply system (including from contracts
for the sale of water) and investment earnings thereon or (ii)
on funds or accounts securing the payment of the bonds or notes
as provided in the authorizing resolution. In addition, such a
pledge, assignment, lien or security interest may be made with

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respect to any receipts of the Agency which the agreement
establishing the Agency authorizes it to apply to payment of
bonds or notes. Any such pledge, assignment, lien or security
interest for the benefit of holders of bonds or notes shall be
valid and binding from the time the bonds or notes are issued,
without any physical delivery or further act, and shall be
valid and binding as against or prior to any claims of any
other party having any claims of any kind against the Agency
irrespective of whether such other parties have notice of such
pledge, assignment, lien or security interest.
A resolution of a Municipal Joint Water Agency authorizing
the issuance of bonds or notes pursuant to this paragraph (e)
may provide for the appointment of a corporate trustee with
respect to any or all of such bonds or notes (which trustee may
be any trust company or state or national bank having the power
of a trust company within Illinois). In that event, the
resolution shall prescribe the rights, duties and powers of
the trustee to be exercised for the benefit of the Agency and
the protection of the holders of such bonds or notes. The
resolution may provide for the trustee to hold in trust,
invest and use amounts in funds and accounts created as
provided in the resolution. The resolution authorizing the
bonds or notes may provide for the assignment and direct
payment to the trustee of amounts owed by public agencies to
the Municipal Joint Action Water Agency under water sales
contracts for application by the trustee to the purposes for

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which such revenues are to be used as provided in this
paragraph (e) and as provided in the authorizing resolution.
Upon receipt of notice of such assignment, the public agency
shall thereafter make the assigned payments directly to such
trustee.
Nothing in this Section authorizes a Joint Action Water
Agency to provide water service directly to residents within a
municipality or in territory within one mile or less of the
corporate limits of a municipality that operates a public
water supply unless the municipality has consented in writing
to such service being provided.
(f) For fiscal years beginning before January 1, 2028,
notwithstanding any other provision of law, the operations and
fiscal activities of each municipal joint action water agency
are subject to the Governmental Account Audit Act.
(g) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law, the operations and
fiscal activities of each municipal joint action water agency
are subject to the Government Reporting Enhancement and
Transparency Act.
(Source: P.A. 100-1076, eff. 8-24-18.)
(5 ILCS 220/10 new)
Sec. 10. Government Reporting Enhancement and Transparency
Act.
(a) Any separate legal entity, whether currently existing

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or created in the future, that is established by a public
agency subject to the Government Reporting Enhancement and
Transparency Act shall also be subject to the Government
Reporting Enhancement and Transparency Act for fiscal years
beginning after December 31, 2027.
(b) For fiscal years ending before January 1, 2028,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the wastewater
treatment authority established by the City of West Chicago
and Village of Winfield shall be subject to the Governmental
Account Audit Act.
(c) For fiscal years beginning after December 31, 2027,
the operations and fiscal activities of the wastewater
treatment authority established by the City of West Chicago
and Village of Winfield shall be subject to the Government
Reporting Enhancement and Transparency Act.
Section 900-10. The State Comptroller Act is amended by
changing Section 23.7 as follows:
(15 ILCS 405/23.7)
Sec. 23.7. Comptroller; local government and school
district registry.
(a) Through December 31, 2027, the The Comptroller shall
establish and maintain a registry of all units of local
government and school districts within the State. Within 60

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days following the creation or dissolution of a unit of local
government or school district, each county clerk shall provide
to the Comptroller information for the registry in a manner
prescribed by the Comptroller. Information in the registry may
include, but shall not be limited to, the name, address, and
type of government unit, the names of current elected or
appointed office holders, and such other information as the
Comptroller may determine. Each county clerk shall notify the
Comptroller upon learning of the creation or dissolution of
any unit of local government or school district.
(b) On and after January 1, 2028, the Comptroller shall
maintain a registry of local governments in accordance with
the Government Reporting Enhancement and Transparency Act.
(Source: P.A. 101-34, eff. 6-28-19.)
Section 900-15. The Property Tax Code is amended by adding
Section 2-23 as follows:
(35 ILCS 200/2-23 new)
Sec. 2-23. Government Reporting Enhancement and
Transparency Act.
(a) For fiscal years ending before January 1, 2028,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each multi-township
assessment district shall be subject to the Governmental
Account Audit Act.

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(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each multi-township
assessment district shall be subject to the Government
Reporting Enhancement and Transparency Act.
(35 ILCS 200/30-30 rep.)
(35 ILCS 200/30-31 rep.)
Section 900-17. The Property Tax Code is amended by
repealing Sections 30-30 and 30-31.
Section 900-20. The Public Building Commission Act is
amended by changing Section 10 as follows:
(50 ILCS 20/10) (from Ch. 85, par. 1040)
Sec. 10. Government Reporting Enhancement and Transparency
Act.
(a) A Public Building Commission shall provide for the
proper safekeeping of its records, subject to the provisions
of the "The Local Records Act", enacted by the Seventy-second
General Assembly, and shall keep a minute book for the
recording of the corporate action of the Board of
Commissioners. A complete record of the meetings and
proceedings of the Board of Commissioners shall be kept in
such minute book and such minutes shall be signed by the
Secretary of the Public Building Commission. The Commission

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shall keep a true and accurate account of its receipts and
disbursements and an annual audit shall be made of its books,
records and accounts for fiscal years ending before January 1,
2028. The audit shall be presented annually for review to each
governing body under whose resolution the Commission is
organized. If an audit is not presented on an annual basis, any
or all governing bodies under whose resolutions the Commission
is organized may order their own audit of the Commission's
books, records, and accounts. The Commission shall cooperate
by providing all requested documentation. When an audit is
conducted at the direction of a governing body, no more than
one audit shall be conducted for all governing bodies under
whose resolutions the Commission is organized and the audit
shall be paid for from Commission funds. All officers and
employees authorized to receive or retain the custody of money
or to sign vouchers, checks, warrants, or evidences of
indebtedness on behalf of the Commission, shall furnish surety
bond for the faithful performance of their duties and the
faithful accounting of all monies that may come into their
hands, in an amount to be fixed and in a form to be approved by
the Board of Commissioners.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of a Commission shall be
subject to the Government Reporting Enhancement and
Transparency Act.

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(Source: P.A. 90-702, eff. 8-7-98.)
Section 900-25. The Local Government Financial Statement
Act is amended by changing Section 1 as follows:
(50 ILCS 305/1) (from Ch. 85, par. 601)
Sec. 1. Through December 31, 2027, the The corporate
authorities of all counties and municipal corporations and all
public officers who in the discharge of their official duties
receive all or any part of their funds from the County
Collector or the County Treasurer and all fee officers other
than city or village treasurers or municipal officers who are
required to file an annual report, which report is required to
be published, shall furnish as herein provided, within 60 days
after January 1st and July 1st of each year a sworn, detailed
and itemized statement of all receipts and expenditures of any
character for the preceding 6 months and showing the names,
addresses, positions and salaries of every employee of the
county office or municipal corporation.
A copy of such statement shall be furnished for reference,
on request, to all daily newspapers published in each city, in
such county, and to the city library of each city. Copies shall
also be furnished to the clerk of the circuit court or to the
clerk of such municipal corporation, respectively, such copies
to be kept available for inspection by persons applying
therefor. The governing body of any such county or municipal

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corporation may direct the publication of such reports,
respectively, in one or more daily newspapers respectively
published therein, and the city council of cities of 300,000
or more population shall so direct the publication thereof.
Nothing in this Act shall apply to the corporate
authorities or any officer of a county which has a population
of more than 3,000,000.
(Source: P.A. 86-412.)
Section 900-30. The Governmental Account Audit Act is
amended by changing Section 4.5 and by adding Sections 7.5 and
10.5 as follows:
(50 ILCS 310/4.5)
Sec. 4.5. Comptroller's Audit Expense Revolving Fund.
There is created the Comptroller's Audit Expense Revolving
Fund as a special fund to be held by the State Treasurer, ex
officio, as custodian, but separate and apart from the funds
in the State treasury. The following moneys shall be deposited
into that Fund:
(1) All moneys received by the Comptroller for
reimbursement of the Comptroller's cost of performing
audits and preparing or completing reports under Section 4
of this Act, Section 6-31004 of the Counties Code, or
Section 8-8-4 of the Illinois Municipal Code.
(2) All moneys appropriated to that Fund by the

10400HB5391ham001 - 90 - LRB104 18487 RTM 35239 a
General Assembly.
Expenditures from the Fund shall be made on vouchers
signed by the Comptroller, for the sole purpose of paying the
Comptroller's cost of performing audits and preparing or
completing reports under Section 4 of this Act, Section
6-31004 of the Counties Code, or Section 8-8-4 of the Illinois
Municipal Code.
The State Treasurer shall invest moneys in the Fund in the
same manner and subject to the same restrictions as moneys in
the State treasury.
Notwithstanding any other provision of law to the
contrary, on June 30, 2030, or as soon thereafter as
practical, the State Comptroller shall direct and the State
Treasurer shall transfer the remaining balance from the
Comptroller's Audit Expense Revolving Fund into the
Comptroller's Administrative Fund. Upon completion of the
transfer, the Comptroller's Audit Expense Revolving Fund is
dissolved, and any future deposits due to that Fund and any
outstanding obligations or liabilities of that Fund shall pass
to the Comptroller's Administrative Fund.
(Source: P.A. 88-280.)
(50 ILCS 310/7.5 new)
Sec. 7.5. Delinquent reports.
(a) In this Section:
"CPA firm" means a sole proprietorship, corporation,

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registered limited liability company, partnership,
professional service corporation, or any other form of
organization issued a license in accordance with the Illinois
Public Accounting Act or a CPA firm authorized to use the CPA
firm title under Section 5.2 of the Illinois Public Accounting
Act.
"Responsible officials" means the elected or appointed
persons charged with governance and the responsibility for
overseeing the strategic direction of the governmental unit
and the obligations related to the accountability of the
governmental unit.
(b) On or after March 15, 2027, if a governmental unit
fails to comply with the requirements of this Act or any other
State law mandating the governmental unit to undergo an audit
and is more than 63 days late in meeting its reporting
obligations, after considering any extensions granted by the
Comptroller, the Comptroller shall review the governmental
unit's actions. The review shall assess whether the
governmental unit is taking appropriate corrective action to
bring itself into compliance with the provisions of this Act.
(c) If the Comptroller's review determines the
governmental unit is implementing appropriate corrective
action in a timely manner, then the Comptroller shall
(1) communicate the delay in writing to the
governmental unit's responsible officials and the
Comptroller shall post the written letter on the

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Comptroller's primary website;
(2) review the governmental unit's actions taken at
least every 28 days until either:
(A) the governmental unit complies with this Act;
or
(B) the Comptroller determines the governmental
unit is not implementing appropriate corrective action
in a timely manner.
(d) If the Comptroller determines that the governmental
unit is not implementing appropriate corrective action in a
timely manner, then the Comptroller shall communicate the
delay in writing to the governmental unit's responsible
officials and the Comptroller shall post the written letter on
the Comptroller's primary website.
(e) The Comptroller may waive, in whole or in part, the
requirements of this Act or any other State law, except the
requirements of the Government Reporting Enhancement and
Transparency Act mandating the governmental unit to undergo an
audit, if the waiver is granted in writing and sets forth the
specific grounds supporting the determination.
A written waiver may be granted upon a finding by the
Comptroller that exigent circumstances exist that materially
prevent the governmental unit from complying with the
requirements of this Act or any other State law except the
requirements of the Government Reporting Enhancement and
Transparency Act mandating the governmental unit to undergo a

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financial audit. Exigent circumstances include, but are not
limited to, (i) the complete or substantial destruction of the
governmental unit's financial or administrative records due to
fire, flood, natural disaster, cyber incident, or other
catastrophic event; (ii) the sudden dissolution, closure, or
legal incapacity of the governmental unit; (iii) the seizure,
impoundment, or restriction of access to records resulting
from judicial authorized law enforcement activity; (iv) the
existence of conditions that would materially limit, restrict,
or impair the scope of the engagement such that it is
impracticable or impossible to satisfy the requirements
prescribed by this Act; or (v) any other extraordinary event
or circumstance that renders compliance impracticable.
Any written waiver granted by the Comptroller shall be
limited in duration to the period reasonably necessary to
address the exigent circumstances; to specify whether the
written waiver applies to all or only certain requirements of
the requirements of this Act or any other State law, except the
requirements of the Government Reporting Enhancement and
Transparency Act mandating the governmental unit to undergo a
financial audit; and to include any conditions, alternative
requirements, or remedial measures the Comptroller deems
appropriate to protect the public interest.
Any written waiver granted by the Comptroller shall be
posted on the Comptroller's primary website and shall be
delivered by certified mail, return receipt requested, to (i)

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the responsible officials of the governmental unit and (ii)
each member of the General Assembly whose legislative district
includes all or any portion of the territory within the
jurisdiction of the governmental unit.
The Comptroller's determination under this Section is
final.
(50 ILCS 310/10.5 new)
Sec. 10.5. Operability. Notwithstanding any other
provision of this Act to the contrary, the provisions of this
Act shall only apply to reports for fiscal years ending before
January 1, 2028.
Section 900-35. The Counties Code is amended by changing
Sections 6-31003, 6-31004, 6-31005, 6-31006, 6-31008, 6-31009,
6-31010, 6-31011, 6-31012, and 6-31013 and by adding Section
6-31007 as follows:
(55 ILCS 5/6-31003) (from Ch. 34, par. 6-31003)
Sec. 6-31003. Annual audits and reports. For fiscal years
ending before January 1, 2028, The county board of each county
shall cause an audit of all of the funds and accounts of the
county to be performed annually by an auditor or auditors
chosen by the county board or by an auditor or auditors
retained by the Comptroller, as hereinafter provided. In
addition, each county shall file with the Comptroller a

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financial report containing information required by the
Comptroller. Such financial report shall be on a form so
designed by the Comptroller as not to require professional
accounting services for its preparation. All audits and
reports to be filed with the Comptroller under this Section
must be submitted electronically and the Comptroller must post
the audits and reports on the Internet no later than 45 days
after they are received. If the county provides the
Comptroller's Office with sufficient evidence that the audit
or report cannot be filed electronically, the Comptroller may
waive this requirement. The Comptroller must also post a list
of counties that are not in compliance with the reporting
requirements set forth in this Section.
Any financial report under this Section shall include the
name of the purchasing agent who oversees all competitively
bid contracts. If there is no purchasing agent, the name of the
person responsible for oversight of all competitively bid
contracts shall be listed.
The audit shall commence as soon as possible after the
close of each fiscal year and shall be completed within 180
days after the close of such fiscal year, unless an extension
of time is granted by the Comptroller in writing. Such
extension of time shall not exceed 60 days. When the auditor or
auditors have completed the audit a full report thereof shall
be made and not less than 2 copies of each audit report shall
be submitted to the county board. Each audit report shall be

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signed by the auditor performing the audit and shall include
only financial information, findings and conclusions that are
adequately supported by evidence in the auditor's working
papers to demonstrate or prove, when called upon, the basis
for the matters reported and their correctness and
reasonableness. In connection with this, each county board
shall retain the right of inspection of the auditor's working
papers and shall make them available to the Comptroller, or
his designee, upon request.
Within 60 days of receipt of an audit report, each county
board shall file one copy of each audit report and each
financial report with the Comptroller and any comment or
explanation that the county board may desire to make
concerning such audit report may be attached thereto. An audit
report which fails to meet the requirements of this Division
shall be rejected by the Comptroller and returned to the
county board for corrective action. One copy of each such
report shall be filed with the county clerk of the county so
audited.
This Section is a limitation under subsection (i) of
Section 6 of Article VII of the Illinois Constitution on the
concurrent exercise by home rule counties of powers and
functions exercised by the State.
(Source: P.A. 101-419, eff. 1-1-20.)
(55 ILCS 5/6-31004) (from Ch. 34, par. 6-31004)

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Sec. 6-31004. Overdue reports.
(a) In the event the required reports for a county are not
filed with the Comptroller in accordance with Section 6-31003
within 180 days after the close of the fiscal year of the
county, the Comptroller shall notify the county board in
writing that the reports are due, and may also grant an
extension of time of up to 60 days for the filing of the
reports. In the event the required reports are not filed
within the time specified in such written notice, the
Comptroller shall cause the audit to be performed and the
audit report prepared by an auditor or auditors.
(b) The Comptroller may decline to order an audit and the
preparation of an audit report if an initial examination of
the books and records of the governmental unit indicates that
the books and records of the governmental unit are inadequate
or unavailable due to the passage of time or the occurrence of
a natural disaster.
(c) The State Comptroller may grant extensions for
delinquent audits or reports. The Comptroller may charge a
county a fee for a delinquent audit or report of $5 per day for
the first 15 days past due, $10 per day for 16 through 30 days
past due, $15 per day for 31 through 45 days past due, and $20
per day for the 46th day and every day thereafter. These
amounts may be reduced at the Comptroller's discretion. All
fees collected under this subsection (c) shall be deposited
into the Comptroller's Administrative Fund.

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(d) This Section only applies to audits for fiscal years
ending before January 1, 2028.
(Source: P.A. 101-419, eff. 1-1-20.)
(55 ILCS 5/6-31005) (from Ch. 34, par. 6-31005)
Sec. 6-31005. Funds managed by county officials. For
officials that leave office prior to January 1, 2027, in In
addition to any other audit required by this Division, the
County Board shall cause an audit to be made of all funds and
accounts under the management or control of a county official
as soon as possible after such official leaves office for any
reason. The audit shall be filed with the county board not
later than 180 days after the official leaves office. The
audit shall be performed and the audit report shall be
prepared and filed with the Chairman of the County Board by an
auditor.
As used in this Section, "county official" means any
elected county officer or any officer appointed by the county
board who is charged with the management or control of any
county funds; and "audit" means a post facto examination of
books, documents, records, and other evidence relating to the
obligation, receipt, expenditure or use of public funds of the
county, including governmental operations relating to such
obligations, receipt, expenditure or use.
(Source: P.A. 101-419, eff. 1-1-20.)

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(55 ILCS 5/6-31006) (from Ch. 34, par. 6-31006)
Sec. 6-31006. Audit report.
(a) Prior to fiscal year 2019, the audit report shall
contain statements that are in conformity with generally
accepted public accounting principles or other comprehensive
basis of accounting and shall set forth the financial position
and the results of financial operations for each fund,
account, and office of the county government. The audit report
shall also include the professional opinion of the auditor or
auditors with respect to the financial status and operations
or, if an opinion cannot be expressed, a declaration that such
auditor is unable to express such opinion and an explanation
of the reasons he or she cannot do so. Each audit report shall
include the certification of the auditor or auditors making
the audit that the audit has been performed in compliance with
generally accepted auditing standards. Each audit report filed
with the Comptroller shall be accompanied by a copy of each
official statement or other offering of materials prepared in
connection with the issuance of indebtedness of the county
since the filing of the last audit report.
(b) For fiscal year 2019 and each fiscal year thereafter
through the fiscal year ending immediately preceding January
1, 2028, the audit report shall contain statements that set
forth the financial position and the results of financial
operations for financial statements for governmental
activities, business-type activities, discretely presented

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component units, and each major fund and aggregated nonmajor
funds for each fund, account, and office of the county
government. The audit report shall include the professional
opinion or opinions of an auditor or auditors with respect to
the financial status and statements or, if an opinion cannot
be expressed, a declaration that the auditor is unable to
express an opinion and an explanation of the reasons he or she
cannot do so. Each auditor's report shall include the
representation of the auditor or auditors conducting the audit
that the audit has been performed in accordance with generally
accepted auditing standards. Each audit report filed with the
Comptroller shall be accompanied by a copy of each official
statement or other offering of materials prepared in
connection with the issuance of indebtedness of the county
since the filing of the last audit report.
(c) For fiscal year 2019 and each fiscal year thereafter
through the fiscal year ending immediately preceding January
1, 2028, audit reports shall contain financial statements
prepared in accordance with generally accepted accounting
principles and audited in conformity with generally accepted
auditing standards if the last audit report filed preceding
fiscal year 2019 expressed an unmodified or modified opinion
by the auditor that the financial statements were presented in
accordance with generally accepted accounting principles.
(d) For fiscal year 2019 and each fiscal year thereafter
through the fiscal year ending immediately preceding January

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1, 2028, audit reports containing financial statements
prepared in accordance with an other comprehensive basis of
accounting may follow the best practices and guidelines
outlined by the American Institute of Certified Public
Accountants and shall be audited in accordance with generally
accepted auditing standards. If the county board of a county
submits an audit report containing financial statements
prepared in accordance with generally accepted accounting
principles, thereafter all future audit reports shall also
contain financial statements prepared in accordance with
generally accepted accounting principles.
(e) For fiscal years ending before January 1, 2028, audits
Audits may be made on financial statements prepared using
either an accrual or cash basis of accounting, depending upon
the system followed by the county, and audit reports shall
comply with this Section.
(Source: P.A. 100-837, eff. 8-13-18; 101-419, eff. 1-1-20.)
(55 ILCS 5/6-31007 new)
Sec. 6-31007. Transitional agreed-upon engagements.
(a) No later than 10 days after certification of the
election results after October 31, 2026, the county board
chairperson, county board president, or county executive shall
notify newly elected countywide officials of the option for an
independent CPA or CPA firm, as those terms are defined in
Section 0.03 of the Illinois Public Accounting Act, to conduct

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transitional agreed-upon procedures at the county's expense.
The county board shall pay all costs associated with these
agreed-upon procedures. The agreed-upon procedures shall
assist users in understanding if funds received or funds
expended during the current fiscal year by the official for
whom the newly elected official is taking over were consistent
with the county board's financial allocations to that official
and applicable laws, rules, and regulations.
(b) A home rule county shall not regulate transitional
agreed-upon engagements in a manner inconsistent with this
Section. This Section is a limitation under subsection (i) of
Section 6 of Article VII of the Illinois Constitution on the
concurrent exercise by home rule units of powers and functions
exercised by the State
(55 ILCS 5/6-31008) (from Ch. 34, par. 6-31008)
Sec. 6-31008. Expenses of audit. The expenses of
conducting the audit and making the required audit report or
financial statement for each county, whether ordered by the
county board or the Comptroller, shall be paid by the county
and the county board shall make provisions for such payment.
If the audit is made by an auditor or auditors retained by the
Comptroller, the county, through the county board, shall pay
to the Comptroller reasonable compensation and expenses to
reimburse him for the cost of making such audit. Moneys paid to
the Comptroller pursuant to the preceding sentence shall be

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deposited into the Comptroller's Audit Expense Revolving Fund.
Such expenses shall be paid from the general corporate
fund of the county.
Contracts for the performance of audits required by this
Division may be entered into without competitive bidding.
This Section only applies to fiscal years ending before
January 1, 2028.
(Source: P.A. 101-419, eff. 1-1-20.)
(55 ILCS 5/6-31009) (from Ch. 34, par. 6-31009)
Sec. 6-31009. Public records. For fiscal years ending
before January 1, 2028, all All audit reports and financial
statements are public records and shall be open to public
inspection. The clerk of the county board shall furnish a copy
of the audit report or financial statement to any person
making a request and paying the fee therefor. The fee shall be
set by the county board and shall not exceed $15.
(Source: P.A. 86-962.)
(55 ILCS 5/6-31010) (from Ch. 34, par. 6-31010)
Sec. 6-31010. Construction. The provisions of this
Division and the Government Reporting Enhancement and
Transparency Act shall not be construed to relieve any officer
of any duty otherwise required of him by law with relation to
the auditing, management, collection or disbursement of public
funds. Failure of the county board to comply with any of the

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provisions of this Division shall not affect the legality of
any taxes levied by the county board.
(Source: P.A. 86-962.)
(55 ILCS 5/6-31011) (from Ch. 34, par. 6-31011)
Sec. 6-31011. Audit committee. The corporate authorities
of a county may establish an audit committee, and may appoint
members of the corporate authority or other appropriate
officers to the committee, to review audit reports prepared
under this Division, the Government Reporting Enhancement and
Transparency Act, and any other financial reports and
documents, including management letters prepared by or on
behalf of the county.
(Source: P.A. 86-962.)
(55 ILCS 5/6-31012)
Sec. 6-31012. Audit report disclosure. Each fiscal year
through the fiscal year ending immediately preceding January
1, 2028, within 60 days of the close of an audit under this
Division, the auditor conducting the audit of all of the funds
and accounts of a county shall do each of the following:
(1) Provide a copy of any management letter and a copy
of any audited financial statements to each member of the
county board. If the county maintains an Internet website,
the county board shall post this information to its
website.

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(2) Present the information from the audit to the
county board either in person or by a live phone or web
connection during a public meeting.
(Source: P.A. 98-738, eff. 1-1-15.)
(55 ILCS 5/6-31013)
Sec. 6-31013. Transitional audits.
(a) No later than 10 days after certification of the
election results through October 31, 2026, the county board
chairperson, county board president, or county executive shall
notify newly elected countywide officials of the option for an
auditor to conduct a transitional audit at the county's
expense. An elected county auditor shall conduct the audit
upon a request of the newly elected countywide official. In a
county that does not have an elected county auditor, the newly
elected countywide official may hire a qualified auditing
firm. The county board shall pay all costs associated with an
audit. The transitional audit shall examine funds expended by
the official for whom the newly elected official is taking
over and report if the expended funds were consistent with the
county board's financial allocations to that official.
(b) A county board shall give the option for a
transitional financial audit to all county officials elected
in or after November 2016 through September 30, 2026.
(c) A home rule county shall not regulate transitional
audits in a manner inconsistent with this Section. This

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Section is a limitation under subsection (i) of Section 6 of
Article VII of the Illinois Constitution on the concurrent
exercise by home rule units of powers and functions exercised
by the State.
(Source: P.A. 101-544, eff. 8-23-19.)
Section 900-40. The Township Code is amended by changing
Sections 80-20, 80-65, and 205-90 as follows:
(60 ILCS 1/80-20)
Sec. 80-20. Independent audit of accounts.
(a) All accounts audited under this Article (and those
rejected, if any) shall be delivered with the certificate of
the trustees (or a majority of them) to the township clerk, who
shall keep them on file for the inspection of any of the
inhabitants of the township. They shall also be produced by
the township clerk at the next annual meeting and shall be read
at the meeting by the clerk.
(b) For fiscal years ending before January 1, 2028, in In
townships that receive revenue of $850,000 or more during any
fiscal year, exclusive of road funds, the township board shall
have the accounts and all records of the township thoroughly
audited by a certified public accountant within 6 months after
the close of each fiscal year. The board shall have a copy of
the accountant's report and recommendations filed with the
township clerk and another copy filed with the county clerk

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for public inspection.
(c) For fiscal years ending before January 1, 2028, in In
townships that receive revenue of less than $850,000 during
any fiscal year, exclusive of road funds, the township board
shall have the accounts and all records of the township
audited and inspected by an independent auditing committee
composed of 3 township electors chosen by the board. The audit
shall be completed within 6 months after the close of each
fiscal year. A copy of the auditing committee's report and
recommendations shall be filed with the township clerk and
another copy shall be filed with the county clerk for public
inspection. The auditing committee shall not contain any
member of the township board or any person related to a
trustee. Members of the auditing committee shall be proficient
in accounting principles and practices and shall be
compensated at a rate determined by the township board but not
to exceed $50 per day. In addition to the other audit
requirements imposed by law, in townships subject to this
subsection, the township board shall have the accounts and all
records of the township thoroughly audited by a certified
public accountant within 6 months after (i) the end of each
term of office of the township supervisor and (ii) a vacancy
occurs in the office of township supervisor. A copy of the
accountant's report and recommendations shall be filed with
the township clerk and another copy shall be filed with the
county clerk for public inspection.

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(d) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each township and road
district comprised of a single township shall be combined and
shall be subject to the Government Reporting Enhancement and
Transparency Act.
(Source: P.A. 92-582, eff. 7-1-02.)
(60 ILCS 1/80-65)
Sec. 80-65. Annual audit. The township board shall comply
with the Governmental Account Audit Act for fiscal years
ending before January 1, 2028.
(Source: P.A. 88-62.)
(60 ILCS 1/205-90)
Sec. 205-90. System of accounts; audits.
(a) The township board of each township availing itself of
the provisions of this Article shall maintain a proper system
of accounts showing the receipts from the operation of the
system and the application of those receipts and shall at
least once each year cause the accounts to be properly audited
by independent public accountants for fiscal years ending
before January 1, 2028. Copies of the audits shall be filed in
the office of the township clerk and shall be made available
for inspection at all proper times by any water user, township
board member, or other interested person.

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(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each waterworks
system, sewerage system, combined waterworks and sewerage
system, or system shall be combined with the township and
shall be subject to the Government Reporting Enhancement and
Transparency Act.
(Source: P.A. 82-783; 88-62.)
Section 900-45. The Illinois Municipal Code is amended by
changing Sections 3.1-35-115, 4-5-16, 8-8-3, 8-8-3.5, 8-8-4,
8-8-5, 8-8-7, 8-8-8, 8-8-10, 8-8-10.5, 8-12-15, 11-10-2,
11-65-9, 11-74.4-5, 11-74.4-8a, 11-74.6-22, 11-94-5,
11-117-13, 11-119.1-4, 11-119.2-4, 11-122-5, 11-123-14,
11-130-11, 11-139-10, and 11-141-8 as follows:
(65 ILCS 5/3.1-35-115) (from Ch. 24, par. 3.1-35-115)
Sec. 3.1-35-115. Comptroller; duties.
(a) The comptroller, if one is elected or appointed in a
municipality (and if not, then the municipal clerk), shall
exercise a general supervision over all the officers of the
municipality charged in any manner with the receipt,
collection, or disbursement of the municipal revenue, or with
the collection and return of the municipal revenue, or with
the collection and return of the municipal revenue into the
treasury.

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(b) The comptroller shall have custody and control of all
municipal documents, books, and papers designated by the
corporate authorities.
(c) On or before May 15 of each year, and before the annual
appropriation ordinance is prepared by the corporate
authorities, the comptroller shall submit to the corporate
authorities a report of the comptroller's estimate, as nearly
as may be, of the money necessary to defray the expenses of the
municipality during the current fiscal year. For the purpose
of making this report, the comptroller is authorized to
require all officers to submit statements of the condition and
expenses of their respective offices or departments, with any
proposed municipal improvements and the probable expense of
those improvements, all unperformed contracts, and the amount
of all unexpended appropriations of the preceding year.
(d) In this report, the comptroller shall (i) classify the
different objects and purposes of expenditure, giving, as
nearly as may be, the amount required for each, (ii) show the
aggregate income of the preceding fiscal year, from all
sources, (iii) show the amount of liabilities upon which
interest is to be paid, (iv) show the bonds and debts payable
during the year, when due and payable, and (v) give all other
information to the corporate authorities the comptroller deems
necessary, so that the corporate authorities may fully
understand the demands upon the municipality for the current
fiscal year.

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(e) In municipalities of 500,000 or more inhabitants, the
preparation of the report required by this Section and its
form and substance, including the classification of the
different objects and purposes of expenditures, shall be
performed by the budget director of the municipality. For
fiscal years ending before January 1, 2028, in In those
municipalities the comptroller shall prepare an annual
post-audit of all funds for the preceding year which shall be
known as the "comptroller's report", a copy of which shall be
sent by the municipal comptroller to the State Comptroller.
(Source: P.A. 87-1119.)
(65 ILCS 5/4-5-16) (from Ch. 24, par. 4-5-16)
Sec. 4-5-16. Statement of receipts and expenses;
examination of books and accounts; expenditure greater than
appropriation.
(a) For fiscal years ending before January 1, 2028, in In
municipalities with 25,000 or more inhabitants, the council
each month shall print in pamphlet form, a detailed itemized
statement of all receipts and expenses of the municipality and
a summary of its proceedings during the preceding month. For
fiscal years ending before January 1, 2028, in In
municipalities with fewer than 25,000 inhabitants, the council
shall print a similar statement annually instead of monthly.
The council shall furnish printed copies of each statement to
(i) the State Library, (ii) the city library, (iii) all the

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daily and weekly newspapers with a general circulation in the
municipality, and (iv) persons who apply for a copy at the
office of the municipal clerk.
(b) For fiscal years ending before January 1, 2028, at At
the end of each fiscal year, the council shall have licensed
Certified Public Accountants permitted to perform audits under
the Illinois Public Accounting Act make a full and complete
examination of all books and accounts of the municipality and
shall distribute the result of that examination in the manner
provided in this Section.
(c) It is unlawful for the council or any commissioner to
expend, directly or indirectly, a greater amount for any
municipal purpose than the amount appropriated for that
purpose in the annual appropriation ordinance passed for that
fiscal year. A violation of this provision by any member of the
council shall constitute a petty offense.
(Source: P.A. 93-486, eff. 1-1-04; 94-465, eff. 8-4-05.)
(65 ILCS 5/8-8-3) (from Ch. 24, par. 8-8-3)
Sec. 8-8-3. Audit requirements.
(a) The corporate authorities of each municipality coming
under the provisions of this Division 8 shall cause an audit of
the funds and accounts of the municipality to be made by an
auditor or auditors employed by such municipality or by an
auditor or auditors retained by the Comptroller, as
hereinafter provided.

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(b) Until Fiscal Year 2027, the accounts and funds of each
municipality having a population of 800 or more or having a
bonded debt or owning or operating any type of public utility
shall be audited annually. The audit herein required shall
include all of the accounts and funds of the municipality.
Such audit shall be begun as soon as possible after the close
of the fiscal year, and shall be completed and the report
submitted within 180 days after the close of such fiscal year,
unless an extension of time shall be granted by the
Comptroller in writing. The auditor or auditors performing
perform the audit shall submit not less than 2 copies of the
audit report to the corporate authorities of the municipality
being audited. Municipalities not operating utilities may
cause audits of the accounts of municipalities to be made more
often than herein provided, by an auditor or auditors. The
audit report of such audit when filed with the Comptroller
together with an audit report covering the remainder of the
period for which an audit is required to be filed hereunder
shall satisfy the requirements of this Section section. This
subsection (b) becomes inoperative inoperable in Fiscal Year
2027.
(c) Until Fiscal Year 2027, municipalities of less than
800 population which do not own or operate public utilities
and do not have bonded debt, shall file annually with the
Comptroller a financial report containing information required
by the Comptroller. Such annual financial report shall be on

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forms devised by the Comptroller in such manner as to not
require professional accounting services for its preparation.
This subsection (c) becomes inoperative inoperable in Fiscal
Year 2027.
(d) Until Fiscal Year 2027, in addition to any audit
report required, all municipalities, except municipalities of
less than 800 population which do not own or operate public
utilities and do not have bonded debt, shall file annually
with the Comptroller a supplemental report on forms devised
and approved by the Comptroller. This subsection (d) becomes
inoperative inoperable in Fiscal Year 2027.
(e) Until Fiscal Year 2027, notwithstanding any provision
of law to the contrary, if a municipality (i) has a population
of less than 200, (ii) has bonded debt in the amount of $50,000
or less, and (iii) owns or operates a public utility, then the
municipality shall cause an audit of the funds and accounts of
the municipality to be performed by an auditor employed by the
municipality or retained by the Comptroller for fiscal year
2011 and every fourth fiscal year thereafter or until the
municipality has a population of 200 or more, has bonded debt
in excess of $50,000, or no longer owns or operates a public
utility. Nothing in this subsection shall be construed as
limiting the municipality's duty to file an annual financial
report with the Comptroller or to comply with the filing
requirements concerning the county clerk. This subsection (e)
becomes inoperative inoperable in Fiscal Year 2027.

10400HB5391ham001 - 115 - LRB104 18487 RTM 35239 a
(f) All audits and reports to be filed with the
Comptroller under this Section must be submitted
electronically and the Comptroller must post the audits and
reports on the Internet no later than 45 days after they are
received. If the municipality provides the Comptroller's
Office with sufficient evidence that the audit or report
cannot be filed electronically, the Comptroller may waive this
requirement. The Comptroller must also post a list of
municipalities that are not in compliance with the reporting
requirements set forth in this Section.
(g) Subsection (f) of this Section is a limitation under
subsection (i) of Section 6 of Article VII of the Illinois
Constitution on the concurrent exercise by home rule
municipalities of powers and functions exercised by the State.
(h) Any financial report under this Section shall include
the name of the purchasing agent who oversees all
competitively bid contracts. If there is no purchasing agent,
the name of the person responsible for oversight of all
competitively bid contracts shall be listed.
(i) Beginning in Fiscal Year 2027, if a municipality has a
population of less than 1,000, does not own or operate public
utilities, and does not have bonded debt, then the
municipality shall file annually with the Comptroller an
annual financial report.
(j) Beginning in Fiscal Year 2027, a municipality with a
population of less than 1,000 shall annually file an annual

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financial report with the Comptroller if the municipality owns
or operates public utilities or has bonded debt. Additionally,
the municipality shall file an audit report once every 4 years
unless the latest audit report filed with the Comptroller
contains an adverse opinion or disclaimer of opinion. If the
audit report contains an adverse opinion or disclaimer of
opinion, then the municipality shall file an audit report
annually until the audit report shows no adverse opinion or
disclaimer of opinion.
(k) Beginning in Fiscal Year 2027, if a municipality has a
population of 1,000 or more, then the municipality shall file
annually with the Comptroller an audit report and annual
financial report.
(l) Beginning in Fiscal Year 2027, municipalities shall
submit completed audit reports and annual financial reports
within 180 days after the close of such fiscal year, unless an
extension is granted by the Comptroller in writing. The
auditor performing the audit shall submit not less than 2
copies of the audit report to the corporate authorities of the
municipality being audited. The audit report of such audit
when filed with the Comptroller together with an audit report
covering the remainder of the period for which an audit is
required to be filed under this Section shall satisfy the
requirements of this Section.
This Section only applies to fiscal years ending before
January 1, 2028.

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(Source: P.A. 104-167, eff. 1-1-26; revised 12-12-25.)
(65 ILCS 5/8-8-3.5)
Sec. 8-8-3.5. Tax Increment Financing Report. The reports
filed under subsection (d) of Section 11-74.4-5 of the Tax
Increment Allocation Redevelopment Act and the reports filed
under subsection (d) of Section 11-74.6-22 of the Industrial
Jobs Recovery Law in the Illinois Municipal Code must be
separate from any other annual report filed with the
Comptroller. The Comptroller must, in cooperation with
reporting municipalities, create a format for the reporting of
information described in paragraphs (1.5), (5), and (8) and in
subparagraph (G) of paragraph (7) of subsection (d) of Section
11-74.4-5 of the Tax Increment Allocation Redevelopment Act
and the information described in paragraphs (1.5), (5), and
(8) and in subparagraph (G) of paragraph (7) of subsection (d)
of Section 11-74.6-22 of the Industrial Jobs Recovery Law that
facilitates consistent reporting among the reporting
municipalities. The Comptroller may allow these reports to be
filed electronically and may display the report, or portions
of the report, electronically via the Internet. All reports
filed under this Section must be made available for
examination and copying by the public at all reasonable times.
A Tax Increment Financing Report must be filed electronically
with the Comptroller within 180 days after the close of the
municipal fiscal year or as soon thereafter as the audit for

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the redevelopment project area for that fiscal year becomes
available. If the Tax Increment Finance administrator provides
the Comptroller's office with sufficient evidence that the
report is in the process of being completed by an auditor, the
Comptroller may grant an extension. If the required report is
not filed within the time extended by the Comptroller, the
Comptroller shall notify the corporate authorities of that
municipality that the audit report is past due. The
Comptroller may charge a municipality a fee of $5 per day for
the first 15 days past due, $10 per day for 16 through 30 days
past due, $15 per day for 31 through 45 days past due, and $20
per day for the 46th day and every day thereafter. These
amounts may be reduced at the Comptroller's discretion. In the
event the required audit report is not filed within 60 days of
such notice, the Comptroller shall cause such audit to be made
by an auditor or auditors. The Comptroller may decline to
order an audit and the preparation of an audit report if an
initial examination of the books and records of the
municipality indicates that books and records of the
municipality are inadequate or unavailable to support the
preparation of the audit report or the supplemental report due
to the passage of time or the occurrence of a natural disaster.
All fees collected pursuant to this Section shall be deposited
into the Comptroller's Administrative Fund. In the event the
Comptroller causes an audit to be made in accordance with the
requirements of this Section, the municipality shall pay to

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the Comptroller reasonable compensation and expenses to
reimburse her for the cost of preparing or completing such
report. Moneys paid to the Comptroller pursuant to the
preceding sentence shall be deposited into the Comptroller's
Audit Expense Revolving Fund.
This Section only applies to fiscal years ending before
January 1, 2028.
(Source: P.A. 101-419, eff. 1-1-20; 102-127, eff. 7-23-21.)
(65 ILCS 5/8-8-4) (from Ch. 24, par. 8-8-4)
Sec. 8-8-4. Overdue reports.
(a) In the event the required audit report for a
municipality is not filed with the Comptroller in accordance
with Section 8-8-7 within 180 days after the close of the
fiscal year of the municipality, the Comptroller shall notify
the corporate authorities of that municipality in writing that
the audit report is due, and may also grant an extension of
time of 60 days, for the filing of the audit report. In the
event the required audit report is not filed within the time
specified in such written notice, the Comptroller shall cause
such audit to be made by an auditor or auditors. In the event
the required annual or supplemental report for a municipality
is not filed within 6 months after the close of the fiscal year
of the municipality, the Comptroller shall notify the
corporate authorities of that municipality in writing that the
annual or supplemental report is due and may grant an

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extension in time of 60 days for the filing of such annual or
supplemental report.
(b) In the event the annual or supplemental report is not
filed within the time extended by the Comptroller, the
Comptroller shall cause such annual or supplemental report to
be prepared or completed and the municipality shall pay to the
Comptroller reasonable compensation and expenses to reimburse
him for the cost of preparing or completing such annual or
supplemental report. Moneys paid to the Comptroller pursuant
to the preceding sentence shall be deposited into the
Comptroller's Audit Expense Revolving Fund.
(c) The Comptroller may decline to order an audit or the
completion of the supplemental report if an initial
examination of the books and records of the municipality
indicates that books and records of the municipality are
inadequate or unavailable to support the preparation of the
audit report or the supplemental report due to the passage of
time or the occurrence of a natural disaster.
(d) The State Comptroller may grant extensions for
delinquent audits or reports. The Comptroller may charge a
municipality a fee for a delinquent audit or report of $5 per
day for the first 15 days past due, $10 per day for 16 through
30 days past due, $15 per day for 31 through 45 days past due,
and $20 per day for the 46th day and every day thereafter.
These amounts may be reduced at the Comptroller's discretion.
All fees collected under this subsection (d) shall be

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deposited into the Comptroller's Administrative Fund.
(e) This Section only applies to fiscal years ending
before January 1, 2028.
(Source: P.A. 101-419, eff. 1-1-20.)
(65 ILCS 5/8-8-5) (from Ch. 24, par. 8-8-5)
Sec. 8-8-5. (a) Prior to fiscal year 2019, the audit shall
be made in accordance with generally accepted auditing
standards. Reporting on the financial position and results of
financial operations for each fund of the municipality shall
be in accordance with generally accepted accounting principles
or other comprehensive basis of accounting. Each audit report
shall include only financial information, findings, and
conclusions that are adequately supported by evidence in the
auditor's working papers to demonstrate or prove, when called
upon, the basis for the matters reported and their correctness
and reasonableness. In connection with this, each municipality
shall retain the right of inspection of the auditor's working
papers and shall make them available to the Comptroller, or
his or her designee, upon request. The audit report shall
consist of the professional opinion of the auditor or auditors
with respect to the financial statements or, if an opinion
cannot be expressed, a declaration that the auditor is unable
to express such opinion and an explanation of the reasons he or
she cannot do so. Municipal authorities shall not impose
limitations on the scope of the audit to the extent that the

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effect of such limitations will result in the qualification of
the opinion of the auditor or auditors. Each audit report
filed with the Comptroller shall be accompanied by a copy of
each official statement or other offering of materials
prepared in connection with the issuance of indebtedness of
the municipality since the filing of the last audit report.
(b) For fiscal year 2019 and each fiscal year thereafter,
the audit report shall include the financial statements for
governmental activities, business-type activities, discretely
presented component units, and each major fund and aggregated
nonmajor fund. The audit report shall also include the
professional opinion or opinions of the auditor or auditors
with respect to the financial statements or, if an opinion
cannot be expressed, a declaration that the auditor is unable
to express an opinion and an explanation of the reasons he or
she cannot do so. Each auditor's report shall include a
representation by the auditor or auditors conducting the audit
has been performed in accordance with generally accepted
auditing standards. Municipal authorities shall not impose
limitations on the scope of the audit to the extent that the
effect of the limitations will result in the modification of
the opinion or opinions of the auditor or auditors. Each audit
report filed with the Comptroller shall be accompanied by a
copy of each official statement or other offering of materials
prepared in connection with the issuance of indebtedness of
the municipality since the filing of the last audit report.

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(c) For fiscal year 2019 and each fiscal year thereafter,
audit reports shall contain financial statements prepared in
accordance with generally accepted accounting principles and
audited in accordance with generally accepted auditing
standards if the last audit report filed preceding fiscal year
2019 expressed an unmodified or modified opinion by the
auditor that the financial statements were prepared in
accordance with generally accepted accounting principles.
(d) For fiscal year 2019 and each fiscal year thereafter,
audit reports containing financial statements prepared in
accordance with an other comprehensive basis of accounting may
follow the best practices and guidelines outlined by the
American Institute of Certified Public Accountants and shall
be audited in accordance with generally accepted auditing
standards. If the corporate authority of a municipality
submits an audit report containing financial statements
prepared in accordance with generally accepted accounting
principles, thereafter all future audit reports shall also
contain financial statements prepared in accordance with
generally accepted accounting principles.
(e) Audits may be made on financial statements prepared
using either an accrual or cash basis of accounting, depending
upon the system followed by the municipality, and audit
reports shall comply with this Section.
(f) This Section only applies to fiscal years ending
before January 1, 2028.

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(Source: P.A. 100-837, eff. 8-13-18; 101-419, eff. 1-1-20.)
(65 ILCS 5/8-8-7) (from Ch. 24, par. 8-8-7)
Sec. 8-8-7.
(a) When the auditor or auditors have completed the audit,
not less than 2 copies of a report of the audit shall be made
and signed by the making such audit, and shall immediately be
filed with the municipality audited. Each audit report shall
include the certification of the auditor or auditors making
the audit that the audit has been performed in compliance with
generally accepted auditing standards. The municipality shall
immediately make one copy of the report, or one copy of the
report authorized by this Division 8 in lieu of an audit
report, a part of its public records and at all times
thereafter this copy shall be open to public inspection. In
addition, the municipality shall file one copy of the report
with the Comptroller. An audit report which fails to meet the
requirements of this Act shall be rejected by the Comptroller
and returned to the municipal authorities for corrective
action. Nothing in this Section shall be construed as
preventing a municipality, in filing its audit report with the
Comptroller, from transmitting with such report any comment or
explanation that it may desire to make concerning that report.
The audit report filed with the Comptroller, together with any
accompanying comment or explanation, shall immediately become
a part of his public records and shall at all times thereafter

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be open to public inspection. It shall be unlawful for the
auditor to make any disclosure of the result of any
examination of any public account excepting as he does so
directly to the corporate authorities of the municipality
audited.
(b) This Section only applies to fiscal years ending
before January 1, 2028.
(Source: P.A. 101-419, eff. 1-1-20.)
(65 ILCS 5/8-8-8) (from Ch. 24, par. 8-8-8)
Sec. 8-8-8. The expenses of the audit and investigation of
public accounts provided for in Division 8, whether ordered by
the corporate authorities or the Comptroller, shall be paid by
the municipality for which the audit is made. Payment shall be
ordered by the corporate authorities out of the funds of the
municipality and it shall be the duty of such authorities to
make provisions for payment. Contracts for the performance of
audits required by this Division 8 may be entered into without
competitive bidding. If the audit is made by an auditor or
auditors retained by the Comptroller, the municipality shall
pay to the Comptroller reasonable compensation and expenses to
reimburse him for the cost of making such audit.
The corporate authorities of all municipalities coming
under the provisions of this Division 8 shall have the power to
annually levy a "Municipal Auditing Tax" upon all of the
taxable property of the municipalities at the rate on the

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dollar which will produce an amount which will equal a sum
sufficient to meet the cost of all auditing and reports
thereunder. Such municipal auditing tax shall be held in a
special fund and used for no other purpose than the payment of
expenses occasioned by this Division 8.
The tax authorized by this Section shall be in addition to
taxes for general corporate purposes authorized under Section
8-3-1 of this Act.
This Section only applies to fiscal years ending before
January 1, 2028.
(Source: P.A. 101-419, eff. 1-1-20.)
(65 ILCS 5/8-8-10) (from Ch. 24, par. 8-8-10)
Sec. 8-8-10. The corporate authorities of a municipality
may establish an audit committee, and may appoint members of
the corporate authority or other appropriate officers to the
committee, to review audit reports prepared under this Act,
the Government Reporting Enhancement and Transparency Act, and
any other financial reports and documents, including
management letters prepared by or on behalf of the
municipality.
(Source: P.A. 82-644.)
(65 ILCS 5/8-8-10.5)
Sec. 8-8-10.5. Audit report disclosure. Each fiscal year
through the fiscal year ending immediately preceding January

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1, 2028, within 60 days of the close of an audit under this
Act, the auditor conducting the audit of all of the funds and
accounts of a municipality shall do each of the following:
(1) Provide a copy of any management letter and a copy
of any audited financial statements to each member of the
municipality's corporate authorities. If the municipality
maintains an Internet website, the corporate authorities
shall post this information to its website.
(2) Present the information from the audit to the
municipality's corporate authorities either in person or
by a live phone or web connection during a public meeting.
(Source: P.A. 98-738, eff. 1-1-15.)
(65 ILCS 5/8-12-15) (from Ch. 24, par. 8-12-15)
Sec. 8-12-15. The financially distressed city shall
develop, adopt and submit to the Authority, within 45 days
after this Division first becomes applicable to the city as
provided in Section 8-12-4, for approval by the Authority, an
initial Financial Plan with respect to the remaining portion
of what is the city's current fiscal year at the time this
Division first becomes applicable to the city as provided in
Section 8-12-4 and for the 2 succeeding fiscal years. The city
shall develop and adopt subsequent Financial Plans annually
and during interim periods as directed by the Authority.
Interim updates shall be directed only when the Authority in
its discretion determines that a change in circumstances

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warrants such an update. The Authority shall require that each
Financial Plan cover a period of at least 3 fiscal years. After
adoption by the city, the city shall submit each plan to the
Authority for its approval not later than 60 days prior to the
commencement of the first fiscal year to which the Financial
Plan relates. The Authority shall approve or reject the
Financial Plan not later than 30 days prior to the
commencement of the fiscal year. No Financial Plan shall have
force or effect without approval of the Authority. Each
Financial Plan shall be developed, submitted, approved and
monitored in accordance with the following procedures:
(1) The financially distressed city shall determine and
submit to the Authority, at a time and in a manner prescribed
by the Authority, estimates of revenues available to the city
during the period for which the Financial Plan is to be in
effect. The Authority shall approve, reject or amend the
revenue estimates. In the event the city fails, for any
reason, to submit to the Authority estimates of revenue as
required by this paragraph, the Authority may prepare such
estimates. The Financial Plan submitted by the city shall be
based upon revenue estimates approved or prepared by the
Authority. As soon as practicable following the establishment
of the Authority, the corporate authorities of the city shall,
at the request of the Chairperson of the Authority, make
available to such Chairperson copies of the audited financial
statements and of the books and records of account of the city

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for the preceding 3 fiscal years of the city.
(2) Each Financial Plan for each fiscal year or part
thereof to which it relates, shall contain: (i) a description
of revenues and expenditures, provision for debt service, cash
resources and uses, and capital improvements, each in such
manner and detail as the Authority shall prescribe; (ii) a
description of the means by which the Budget will be brought
into balance in accordance with Section 8-12-14; and (iii)
such other financial matters that the Authority, in its
discretion, requires. The Authority may prescribe any
reasonable time, standards, procedures or forms for
preparation and submission of the Financial Plan.
(3) The Authority shall approve the initial and each
subsequent Financial Plan if, in its judgement, the plan is
complete, is reasonably capable of being achieved, and meets
the requirement set forth in Section 8-12-14. Otherwise, the
Authority shall reject the Financial Plan. The Authority's
review of the Financial Plan shall be in accordance with
generally accepted accounting principles and standards. No
Financial Plan submitted by the financially distressed city
shall be arbitrarily or capriciously rejected by the
Authority. Any rejection by the Authority of any Financial
Plan submitted by the city shall be in writing and shall state
the reasons for the rejection. In the event of rejection, the
Authority may prescribe a procedure and standards for revision
of the Financial Plan by the financially distressed city.

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(4) The financially distressed city shall report to the
Authority, at such times and in such manner as the Authority
may direct, concerning the city's compliance with each
Financial Plan. The Authority may review the city's operation,
obtain budgetary data and financial statements, require the
city to produce reports, and have access to any other
information in the possession of the city that it deems
relevant to the Financial Plan and the city's compliance with
that Plan. The Authority may issue recommendations or
directives within its powers to the city to assure compliance
with the Financial Plan. The city shall produce such budgetary
data, financial statements, reports and other information and
comply with such directives.
(5) After approval of each Financial Plan, the financially
distressed city shall regularly reexamine the revenue and
expenditure estimates on which it was based and revise them as
necessary. The city shall promptly notify the Authority of any
material change in the revenue or expenditure estimates in the
Financial Plan. The city may submit to the Authority, or the
Authority may require the city to submit, modified Financial
Plans based upon revised revenue or expenditure estimates or
for any other good reason. The Authority shall approve or
reject each modified Financial Plan pursuant to paragraph (3)
of this Section.
(Source: P.A. 86-1211.)

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(65 ILCS 5/11-10-2) (from Ch. 24, par. 11-10-2)
Sec. 11-10-2. (a) A foreign fire insurance board shall be
created by and among the sworn members of the fire department
of each municipality with fewer than 500,000 inhabitants that
has an organized fire department. The board shall consist of 7
trustees; the fire chief, who shall hold office by virtue of
rank, and 6 members, who shall be elected at large by the sworn
members of the department. If there is an insufficient number
of candidates to fill all these positions, the number of board
members may be reduced, but not to fewer than 3 trustees. All
sworn members of the department shall be eligible to be
elected as officers of the foreign fire insurance board. The
members of this board shall annually elect officers. These
officers shall be a chairman, a treasurer, and any other
officers deemed necessary by the board. The members of the
foreign fire insurance board shall make all needful rules and
regulations with respect to the foreign fire insurance board
and the management of the funds to be paid to the board. The
foreign fire insurance board may establish, manage, and
maintain an account for the holding and expenditure of all
funds paid to the board. The foreign fire insurance board may
contract for the purchase of goods and services using funds
paid to the board. Contracting for services includes, but is
not limited to, the procurement and payment of all accounting,
legal, collection, or other professional services deemed by
the board to be necessary to the execution of its duties under

10400HB5391ham001 - 132 - LRB104 18487 RTM 35239 a
this Division using funds paid to the board. The foreign fire
insurance board may sue all parties necessary to enforce its
rights under this Section. The officers of the foreign fire
insurance board shall develop and maintain a listing of those
items that the board feels are appropriate expenditures under
this Act. The treasurer of the foreign fire insurance board
shall receive the funds paid as provided in Section 1 and shall
pay out the funds upon the order of the foreign fire insurance
board for the maintenance, use, and benefit of the department
or as otherwise permitted by this Division. For fiscal years
ending before January 1, 2028, these These funds shall be
audited to verify that the funds have been expended by that
board only for the maintenance, use, and benefit of the
department using funds paid to the board. Contracting for
services includes, but is not limited to, the procurement and
payment of all accounting, legal, collection, or other
professional services deemed by the board to be necessary to
the execution of its duties under this Division using funds
paid to the board.
Disputes between a fire chief and the remaining members of
a foreign fire insurance board concerning whether any
expenditure of funds by the board is for the maintenance, use,
or benefit of the department or for any other purpose
authorized by this Division shall be resolved through binding
arbitration, pursuant to a written arbitration agreement
established by the foreign fire insurance board, that is

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recognized under the Uniform Arbitration Act. Arbitrations
held pursuant to a written arbitration agreement are the
exclusive remedy available for resolving such disputes.
(b) As used in this subsection, "active member" means a
member of the Chicago Fire Department who is not receiving a
disability pension, retired, or a deferred pensioner of the
Firemen's Annuity and Benefit Fund of Chicago.
A department foreign fire insurance board is created
within the Chicago Fire Department. The board shall consist of
7 trustees who shall be initially elected on or before January
1, 2019: the fire commissioner, who shall hold office by
virtue of rank, and 6 elected trustees, who shall be elected at
large by the sworn members of the department. If there is an
insufficient number of candidates seeking election to each
vacant trustee position, the number of board members is
reduced to 5 trustees, including the fire commissioner of the
department, until the next election cycle when there are
enough active members seeking election to fill all 7 member
seats. All active members are eligible to be elected as
trustees of the department foreign fire insurance board. Of
the trustees first elected, 3 trustees shall be elected to a
2-year term and 3 trustees shall be elected to a 3-year term.
After the initial election, a trustee shall be elected for a
term of 3 years. If a member of the board resigns, is removed,
or is unable to continue serving on the board, the vacancy
shall be filled by special election of the active members or,

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in the case of a vacancy that will exist for fewer than 180
days until the term expires, by appointment by majority vote
of the members of the board.
The members of the board shall annually elect officers.
These officers shall be a chairman, treasurer, and secretary.
The trustees of the board shall make rules and regulations
with respect to the board and the management of the money
appropriated to the board. The officers of the board shall
develop and maintain a listing of those items that the board
believes are appropriate expenditures under this subsection.
The treasurer of the board shall give a sufficient bond to the
City of Chicago. The cost of the bond shall be paid out of the
moneys in the board's fund. The bond shall be conditioned upon
the faithful performance by the treasurer of his or her duties
under the rules and regulations provided for in this
subsection. The treasurer of the board shall receive the
appropriated proceeds and shall disburse the proceeds upon the
order of the board for the maintenance, use, and benefit of the
department consistent with this subsection. As part of the
annual municipal audit for fiscal years ending before January
1, 2028, these funds shall be audited to verify that the funds
have been expended lawfully by the board consistent with this
subsection.
Within 30 days after receipt of any foreign fire insurance
proceeds by the City of Chicago, the City of Chicago shall
transfer the proceeds to the board by depositing the proceeds

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into an account determined by the board, except that if the
effective date of this amendatory Act of the 100th General
Assembly is after July 31, 2018, then the City of Chicago
shall, for budget year 2019 only, transfer only 50% of the
proceeds to the board. Notwithstanding any other provision of
law: 50% of the foreign fire insurance proceeds received by
the board shall be used for the maintenance, use, benefit, or
enhancement of fire stations or training facilities used by
the active members of the fire department; 25% of the foreign
fire insurance proceeds received by the board shall be used
for the maintenance, use, benefit, or enhancement of emergency
response vehicles, tools, and equipment used by the active
members of the department; and 25% of the foreign fire
insurance proceeds received by the board shall be used for the
maintenance and enhancement of the department and for the use
and benefit of the active members of the department in a manner
otherwise consistent with this subsection. Foreign fire
insurance proceeds may not be used to purchase, maintain, or
enhance personal property of a member of the department,
except for personal property used in the performance of his or
her duties or training activities.
(c) The provisions of this Section shall be the exclusive
power of the State, pursuant to subsection (h) of Section 6 of
Article VII of the Constitution.
(Source: P.A. 102-740, eff. 1-1-23.)

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(65 ILCS 5/11-65-9) (from Ch. 24, par. 11-65-9)
Sec. 11-65-9. Every municipality owning and operating such
a municipal convention hall shall keep books of account for
the municipal convention hall separate and distinct from other
municipal accounts and in such manner as to show the true and
complete financial standing and results of the municipal
ownership and operation. These accounts shall be so kept as to
show: (1) the actual cost to the municipality of maintenance,
extension, and improvement, (2) all operating expenses of
every description, (3) if water or other service is furnished
for the use of the municipal convention hall without charge,
as nearly as possible, the value of that service, and also the
value of any use or service rendered by the municipal
convention hall to the municipality without charge, (4)
reasonable allowances for interest, depreciation, and
insurance, and (5) estimates of the amount of taxes that would
be chargeable against the property if owned by a private
corporation. The corporate authorities shall publish a report
annually showing the financial results, in the form specified
in this Section section, of the municipal ownership and
operation in one or more newspapers published in the
municipality, or, if no newspaper is published therein, then
in one or more newspapers with a general circulation within
the municipality.
For fiscal years ending before January 1, 2028, the The
accounts of the convention hall shall be examined at least

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once a year by a licensed Certified Public Accountant
permitted to perform audits under the Illinois Public
Accounting Act who shall report to the corporate authorities
the results of his examination. This accountant shall be
selected as the corporate authorities may direct, and he shall
receive for his services such compensation, to be paid out of
the revenue from the municipal convention hall, as the
corporate authorities may prescribe.
(Source: P.A. 94-465, eff. 8-4-05.)
(65 ILCS 5/11-74.4-5) (from Ch. 24, par. 11-74.4-5)
Sec. 11-74.4-5. Public hearing; joint review board.
(a) The changes made by this amendatory Act of the 91st
General Assembly do not apply to a municipality that, (i)
before the effective date of this amendatory Act of the 91st
General Assembly, has adopted an ordinance or resolution
fixing a time and place for a public hearing under this Section
or (ii) before July 1, 1999, has adopted an ordinance or
resolution providing for a feasibility study under Section
11-74.4-4.1, but has not yet adopted an ordinance approving
redevelopment plans and redevelopment projects or designating
redevelopment project areas under Section 11-74.4-4, until
after that municipality adopts an ordinance approving
redevelopment plans and redevelopment projects or designating
redevelopment project areas under Section 11-74.4-4;
thereafter the changes made by this amendatory Act of the 91st

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General Assembly apply to the same extent that they apply to
redevelopment plans and redevelopment projects that were
approved and redevelopment projects that were designated
before the effective date of this amendatory Act of the 91st
General Assembly.
Prior to the adoption of an ordinance proposing the
designation of a redevelopment project area, or approving a
redevelopment plan or redevelopment project, the municipality
by its corporate authorities, or as it may determine by any
commission designated under subsection (k) of Section
11-74.4-4 shall adopt an ordinance or resolution fixing a time
and place for public hearing. At least 10 days prior to the
adoption of the ordinance or resolution establishing the time
and place for the public hearing, the municipality shall make
available for public inspection a redevelopment plan or a
separate report that provides in reasonable detail the basis
for the eligibility of the redevelopment project area. The
report along with the name of a person to contact for further
information shall be sent within a reasonable time after the
adoption of such ordinance or resolution to the affected
taxing districts by certified mail. On and after the effective
date of this amendatory Act of the 91st General Assembly, the
municipality shall print in a newspaper of general circulation
within the municipality a notice that interested persons may
register with the municipality in order to receive information
on the proposed designation of a redevelopment project area or

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the approval of a redevelopment plan. The notice shall state
the place of registration and the operating hours of that
place. The municipality shall have adopted reasonable rules to
implement this registration process under Section 11-74.4-4.2.
The municipality shall provide notice of the availability of
the redevelopment plan and eligibility report, including how
to obtain this information, by mail within a reasonable time
after the adoption of the ordinance or resolution, to all
residential addresses that, after a good faith effort, the
municipality determines are located outside the proposed
redevelopment project area and within 750 feet of the
boundaries of the proposed redevelopment project area. This
requirement is subject to the limitation that in a
municipality with a population of over 100,000, if the total
number of residential addresses outside the proposed
redevelopment project area and within 750 feet of the
boundaries of the proposed redevelopment project area exceeds
750, the municipality shall be required to provide the notice
to only the 750 residential addresses that, after a good faith
effort, the municipality determines are outside the proposed
redevelopment project area and closest to the boundaries of
the proposed redevelopment project area. Notwithstanding the
foregoing, notice given after August 7, 2001 (the effective
date of Public Act 92-263) and before the effective date of
this amendatory Act of the 92nd General Assembly to
residential addresses within 750 feet of the boundaries of a

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proposed redevelopment project area shall be deemed to have
been sufficiently given in compliance with this Act if given
only to residents outside the boundaries of the proposed
redevelopment project area. The notice shall also be provided
by the municipality, regardless of its population, to those
organizations and residents that have registered with the
municipality for that information in accordance with the
registration guidelines established by the municipality under
Section 11-74.4-4.2.
At the public hearing any interested person or affected
taxing district may file with the municipal clerk written
objections to and may be heard orally in respect to any issues
embodied in the notice. The municipality shall hear all
protests and objections at the hearing and the hearing may be
adjourned to another date without further notice other than a
motion to be entered upon the minutes fixing the time and place
of the subsequent hearing. At the public hearing or at any time
prior to the adoption by the municipality of an ordinance
approving a redevelopment plan, the municipality may make
changes in the redevelopment plan. Changes which (1) add
additional parcels of property to the proposed redevelopment
project area, (2) substantially affect the general land uses
proposed in the redevelopment plan, (3) substantially change
the nature of or extend the life of the redevelopment project,
or (4) increase the number of inhabited residential units to
be displaced from the redevelopment project area, as measured

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from the time of creation of the redevelopment project area,
to a total of more than 10, shall be made only after the
municipality gives notice, convenes a joint review board, and
conducts a public hearing pursuant to the procedures set forth
in this Section and in Section 11-74.4-6 of this Act. Changes
which do not (1) add additional parcels of property to the
proposed redevelopment project area, (2) substantially affect
the general land uses proposed in the redevelopment plan, (3)
substantially change the nature of or extend the life of the
redevelopment project, or (4) increase the number of inhabited
residential units to be displaced from the redevelopment
project area, as measured from the time of creation of the
redevelopment project area, to a total of more than 10, may be
made without further hearing, provided that the municipality
shall give notice of any such changes by mail to each affected
taxing district and registrant on the interested parties
registry, provided for under Section 11-74.4-4.2, and by
publication in a newspaper of general circulation within the
affected taxing district. Such notice by mail and by
publication shall each occur not later than 10 days following
the adoption by ordinance of such changes. Hearings with
regard to a redevelopment project area, project or plan may be
held simultaneously.
(b) Prior to holding a public hearing to approve or amend a
redevelopment plan or to designate or add additional parcels
of property to a redevelopment project area, the municipality

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shall convene a joint review board. The board shall consist of
a representative selected by each community college district,
local elementary school district and high school district or
each local community unit school district, park district,
library district, township, fire protection district, and
county that will have the authority to directly levy taxes on
the property within the proposed redevelopment project area at
the time that the proposed redevelopment project area is
approved, a representative selected by the municipality and a
public member. The public member shall first be selected and
then the board's chairperson shall be selected by a majority
of the board members present and voting.
For redevelopment project areas with redevelopment plans
or proposed redevelopment plans that would result in the
displacement of residents from 10 or more inhabited
residential units or that include 75 or more inhabited
residential units, the public member shall be a person who
resides in the redevelopment project area. If, as determined
by the housing impact study provided for in paragraph (5) of
subsection (n) of Section 11-74.4-3, or if no housing impact
study is required then based on other reasonable data, the
majority of residential units are occupied by very low, low,
or moderate income households, as defined in Section 3 of the
Illinois Affordable Housing Act, the public member shall be a
person who resides in very low, low, or moderate income
housing within the redevelopment project area. Municipalities

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with fewer than 15,000 residents shall not be required to
select a person who lives in very low, low, or moderate income
housing within the redevelopment project area, provided that
the redevelopment plan or project will not result in
displacement of residents from 10 or more inhabited units, and
the municipality so certifies in the plan. If no person
satisfying these requirements is available or if no qualified
person will serve as the public member, then the joint review
board is relieved of this paragraph's selection requirements
for the public member.
Within 90 days of the effective date of this amendatory
Act of the 91st General Assembly, each municipality that
designated a redevelopment project area for which it was not
required to convene a joint review board under this Section
shall convene a joint review board to perform the duties
specified under paragraph (e) of this Section.
All board members shall be appointed and the first board
meeting shall be held at least 14 days but not more than 28
days after the mailing of notice by the municipality to the
taxing districts as required by Section 11-74.4-6(c).
Notwithstanding the preceding sentence, a municipality that
adopted either a public hearing resolution or a feasibility
resolution between July 1, 1999 and July 1, 2000 that called
for the meeting of the joint review board within 14 days of
notice of public hearing to affected taxing districts is
deemed to be in compliance with the notice, meeting, and

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public hearing provisions of the Act. Such notice shall also
advise the taxing bodies represented on the joint review board
of the time and place of the first meeting of the board.
Additional meetings of the board shall be held upon the call of
any member. The municipality seeking designation of the
redevelopment project area shall provide administrative
support to the board.
The board shall review (i) the public record, planning
documents and proposed ordinances approving the redevelopment
plan and project and (ii) proposed amendments to the
redevelopment plan or additions of parcels of property to the
redevelopment project area to be adopted by the municipality.
As part of its deliberations, the board may hold additional
hearings on the proposal. A board's recommendation shall be an
advisory, non-binding recommendation. The recommendation shall
be adopted by a majority of those members present and voting.
The recommendations shall be submitted to the municipality
within 30 days after convening of the board. Failure of the
board to submit its report on a timely basis shall not be cause
to delay the public hearing or any other step in the process of
designating or amending the redevelopment project area but
shall be deemed to constitute approval by the joint review
board of the matters before it.
The board shall base its recommendation to approve or
disapprove the redevelopment plan and the designation of the
redevelopment project area or the amendment of the

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redevelopment plan or addition of parcels of property to the
redevelopment project area on the basis of the redevelopment
project area and redevelopment plan satisfying the plan
requirements, the eligibility criteria defined in Section
11-74.4-3, and the objectives of this Act.
The board shall issue a written report describing why the
redevelopment plan and project area or the amendment thereof
meets or fails to meet one or more of the objectives of this
Act and both the plan requirements and the eligibility
criteria defined in Section 11-74.4-3. In the event the Board
does not file a report it shall be presumed that these taxing
bodies find the redevelopment project area and redevelopment
plan satisfy the objectives of this Act and the plan
requirements and eligibility criteria.
If the board recommends rejection of the matters before
it, the municipality will have 30 days within which to
resubmit the plan or amendment. During this period, the
municipality will meet and confer with the board and attempt
to resolve those issues set forth in the board's written
report that led to the rejection of the plan or amendment.
Notwithstanding the resubmission set forth above, the
municipality may commence the scheduled public hearing and
either adjourn the public hearing or continue the public
hearing until a date certain. Prior to continuing any public
hearing to a date certain, the municipality shall announce
during the public hearing the time, date, and location for the

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reconvening of the public hearing. Any changes to the
redevelopment plan necessary to satisfy the issues set forth
in the joint review board report shall be the subject of a
public hearing before the hearing is adjourned if the changes
would (1) substantially affect the general land uses proposed
in the redevelopment plan, (2) substantially change the nature
of or extend the life of the redevelopment project, or (3)
increase the number of inhabited residential units to be
displaced from the redevelopment project area, as measured
from the time of creation of the redevelopment project area,
to a total of more than 10. Changes to the redevelopment plan
necessary to satisfy the issues set forth in the joint review
board report shall not require any further notice or convening
of a joint review board meeting, except that any changes to the
redevelopment plan that would add additional parcels of
property to the proposed redevelopment project area shall be
subject to the notice, public hearing, and joint review board
meeting requirements established for such changes by
subsection (a) of Section 11-74.4-5.
In the event that the municipality and the board are
unable to resolve these differences, or in the event that the
resubmitted plan or amendment is rejected by the board, the
municipality may proceed with the plan or amendment, but only
upon a three-fifths vote of the corporate authority
responsible for approval of the plan or amendment, excluding
positions of members that are vacant and those members that

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are ineligible to vote because of conflicts of interest.
(c) After a municipality has by ordinance approved a
redevelopment plan and designated a redevelopment project
area, the plan may be amended and additional properties may be
added to the redevelopment project area only as herein
provided. Amendments which (1) add additional parcels of
property to the proposed redevelopment project area, (2)
substantially affect the general land uses proposed in the
redevelopment plan, (3) substantially change the nature of the
redevelopment project, (4) increase the total estimated
redevelopment project costs set out in the redevelopment plan
by more than 5% after adjustment for inflation from the date
the plan was adopted, (5) add additional redevelopment project
costs to the itemized list of redevelopment project costs set
out in the redevelopment plan, or (6) increase the number of
inhabited residential units to be displaced from the
redevelopment project area, as measured from the time of
creation of the redevelopment project area, to a total of more
than 10, shall be made only after the municipality gives
notice, convenes a joint review board, and conducts a public
hearing pursuant to the procedures set forth in this Section
and in Section 11-74.4-6 of this Act. Changes which do not (1)
add additional parcels of property to the proposed
redevelopment project area, (2) substantially affect the
general land uses proposed in the redevelopment plan, (3)
substantially change the nature of the redevelopment project,

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(4) increase the total estimated redevelopment project cost
set out in the redevelopment plan by more than 5% after
adjustment for inflation from the date the plan was adopted,
(5) add additional redevelopment project costs to the itemized
list of redevelopment project costs set out in the
redevelopment plan, or (6) increase the number of inhabited
residential units to be displaced from the redevelopment
project area, as measured from the time of creation of the
redevelopment project area, to a total of more than 10, may be
made without further public hearing and related notices and
procedures including the convening of a joint review board as
set forth in Section 11-74.4-6 of this Act, provided that the
municipality shall give notice of any such changes by mail to
each affected taxing district and registrant on the interested
parties registry, provided for under Section 11-74.4-4.2, and
by publication in a newspaper of general circulation within
the affected taxing district. Such notice by mail and by
publication shall each occur not later than 10 days following
the adoption by ordinance of such changes.
(d) After the effective date of this amendatory Act of the
91st General Assembly, for fiscal years ending before January
1, 2028, a municipality shall submit in an electronic format
the following information for each redevelopment project area
(i) to the State Comptroller under Section 8-8-3.5 of the
Illinois Municipal Code, subject to any extensions or
exemptions provided at the Comptroller's discretion under that

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Section, and (ii) to all taxing districts overlapping the
redevelopment project area no later than 180 days after the
close of each municipal fiscal year or as soon thereafter as
the audited financial statements become available and, in any
case, shall be submitted before the annual meeting of the
Joint Review Board to each of the taxing districts that
overlap the redevelopment project area:
(1) Any amendments to the redevelopment plan, the
redevelopment project area, or the State Sales Tax
Boundary.
(1.5) A list of the redevelopment project areas
administered by the municipality and, if applicable, the
date each redevelopment project area was designated or
terminated by the municipality.
(2) Audited financial statements of the special tax
allocation fund once a cumulative total of $100,000 has
been deposited in the fund for fiscal years ending before
January 1, 2028.
(3) Certification of the Chief Executive Officer of
the municipality that the municipality has complied with
all of the requirements of this Act during the preceding
fiscal year.
(4) An opinion of legal counsel that the municipality
is in compliance with this Act.
(5) An analysis of the special tax allocation fund
which sets forth:

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(A) the balance in the special tax allocation fund
at the beginning of the fiscal year;
(B) all amounts deposited in the special tax
allocation fund by source;
(C) an itemized list of all expenditures from the
special tax allocation fund by category of permissible
redevelopment project cost; and
(D) the balance in the special tax allocation fund
at the end of the fiscal year including a breakdown of
that balance by source and a breakdown of that balance
identifying any portion of the balance that is
required, pledged, earmarked, or otherwise designated
for payment of or securing of obligations and
anticipated redevelopment project costs. Any portion
of such ending balance that has not been identified or
is not identified as being required, pledged,
earmarked, or otherwise designated for payment of or
securing of obligations or anticipated redevelopment
projects costs shall be designated as surplus as set
forth in Section 11-74.4-7 hereof.
(6) A description of all property purchased by the
municipality within the redevelopment project area
including:
(A) Street address.
(B) Approximate size or description of property.
(C) Purchase price.

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(D) Seller of property.
(7) A statement setting forth all activities
undertaken in furtherance of the objectives of the
redevelopment plan, including:
(A) Any project implemented in the preceding
fiscal year.
(B) A description of the redevelopment activities
undertaken.
(C) A description of any agreements entered into
by the municipality with regard to the disposition or
redevelopment of any property within the redevelopment
project area or the area within the State Sales Tax
Boundary.
(D) Additional information on the use of all funds
received under this Division and steps taken by the
municipality to achieve the objectives of the
redevelopment plan.
(E) Information regarding contracts that the
municipality's tax increment advisors or consultants
have entered into with entities or persons that have
received, or are receiving, payments financed by tax
increment revenues produced by the same redevelopment
project area.
(F) Any reports submitted to the municipality by
the joint review board.
(G) A review of public and, to the extent

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possible, private investment actually undertaken to
date after the effective date of this amendatory Act
of the 91st General Assembly and estimated to be
undertaken during the following year. This review
shall, on a project-by-project basis, set forth the
estimated amounts of public and private investment
incurred after the effective date of this amendatory
Act of the 91st General Assembly and provide the ratio
of private investment to public investment to the date
of the report and as estimated to the completion of the
redevelopment project.
(8) With regard to any obligations issued by the
municipality:
(A) copies of any official statements; and
(B) an analysis prepared by financial advisor or
underwriter, chosen by the municipality, setting forth
the: (i) nature and term of obligation; (ii) projected
debt service including required reserves and debt
coverage; and (iii) actual debt service.
(9) For special tax allocation funds that have
experienced cumulative deposits of incremental tax
revenues of $100,000 or more, a certified audit report
reviewing compliance with this Act performed by an
independent public accountant certified and licensed by
the authority of the State of Illinois. The financial
portion of the audit must be conducted in accordance with

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Standards for Audits of Governmental Organizations,
Programs, Activities, and Functions adopted by the
Comptroller General of the United States (1981), as
amended, or the standards specified by Section 8-8-5 of
the Illinois Municipal Auditing Law of the Illinois
Municipal Code. The audit report shall contain a letter
from the independent certified public accountant
indicating compliance or noncompliance with the
requirements of subsection (q) of Section 11-74.4-3. For
redevelopment plans or projects that would result in the
displacement of residents from 10 or more inhabited
residential units or that contain 75 or more inhabited
residential units, notice of the availability of the
information, including how to obtain the report, required
in this subsection shall also be sent by mail to all
residents or organizations that operate in the
municipality that register with the municipality for that
information according to registration procedures adopted
under Section 11-74.4-4.2. All municipalities are subject
to this provision.
(10) A list of all intergovernmental agreements in
effect during the fiscal year to which the municipality is
a party and an accounting of any moneys transferred or
received by the municipality during that fiscal year
pursuant to those intergovernmental agreements.
In addition to information required to be reported under

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this Section, for Fiscal Year 2022 and each fiscal year
thereafter, reporting municipalities shall also report to the
Comptroller annually in a manner and format prescribed by the
Comptroller: (1) the number of jobs, if any, projected to be
created for each redevelopment project area at the time of
approval of the redevelopment agreement; (2) the number of
jobs, if any, created as a result of the development to date
for that reporting period under the same guidelines and
assumptions as was used for the projections used at the time of
approval of the redevelopment agreement; (3) the amount of
increment projected to be created at the time of approval of
the redevelopment agreement for each redevelopment project
area; (4) the amount of increment created as a result of the
development to date for that reporting period using the same
assumptions as was used for the projections used at the time of
the approval of the redevelopment agreement; and (5) the
stated rate of return identified by the developer to the
municipality for each redevelopment project area, if any.
Stated rates of return required to be reported in item (5)
shall be independently verified by a third party chosen by the
municipality. Reporting municipalities shall also report to
the Comptroller a copy of the redevelopment plan each time the
redevelopment plan is enacted, amended, or extended in a
manner and format prescribed by the Comptroller. These
requirements shall only apply to redevelopment projects
beginning in or after Fiscal Year 2022.

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(d-1) Prior to the effective date of this amendatory Act
of the 91st General Assembly, municipalities with populations
of over 1,000,000 shall, after adoption of a redevelopment
plan or project, make available upon request to any taxing
district in which the redevelopment project area is located
the following information:
(1) Any amendments to the redevelopment plan, the
redevelopment project area, or the State Sales Tax
Boundary; and
(2) In connection with any redevelopment project area
for which the municipality has outstanding obligations
issued to provide for redevelopment project costs pursuant
to Section 11-74.4-7, for fiscal years ending before
January 1, 2028, audited financial statements of the
special tax allocation fund.
(e) The joint review board shall meet annually 180 days
after the close of the municipal fiscal year, or, for fiscal
years ending before January 1, 2028, year or as soon as the
redevelopment project audit for that fiscal year becomes
available to review the effectiveness and status of the
redevelopment project area up to that date.
(f) (Blank).
(g) In the event that a municipality has held a public
hearing under this Section prior to March 14, 1994 (the
effective date of Public Act 88-537), the requirements imposed
by Public Act 88-537 relating to the method of fixing the time

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and place for public hearing, the materials and information
required to be made available for public inspection, and the
information required to be sent after adoption of an ordinance
or resolution fixing a time and place for public hearing shall
not be applicable.
(h) On and after the effective date of this amendatory Act
of the 96th General Assembly, the State Comptroller must post
on the State Comptroller's official website the information
submitted by a municipality pursuant to subsection (d) of this
Section. The information must be posted no later than 45 days
after the State Comptroller receives the information from the
municipality. The State Comptroller must also post a list of
the municipalities not in compliance with the reporting
requirements set forth in subsection (d) of this Section.
(i) No later than 10 years after the corporate authorities
of a municipality adopt an ordinance to establish a
redevelopment project area, the municipality must compile a
status report concerning the redevelopment project area. The
status report must detail without limitation the following:
(i) the amount of revenue generated within the redevelopment
project area, (ii) any expenditures made by the municipality
for the redevelopment project area including without
limitation expenditures from the special tax allocation fund,
(iii) the status of planned activities, goals, and objectives
set forth in the redevelopment plan including details on new
or planned construction within the redevelopment project area,

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(iv) the amount of private and public investment within the
redevelopment project area, and (v) any other relevant
evaluation or performance data. Within 30 days after the
municipality compiles the status report, the municipality must
hold at least one public hearing concerning the report. The
municipality must provide 20 days' public notice of the
hearing.
(j) Beginning in fiscal year 2011 and in each fiscal year
thereafter, a municipality must detail in its annual budget
(i) the revenues generated from redevelopment project areas by
source and (ii) the expenditures made by the municipality for
redevelopment project areas.
(Source: P.A. 102-127, eff. 7-23-21.)
(65 ILCS 5/11-74.4-8a) (from Ch. 24, par. 11-74.4-8a)
Sec. 11-74.4-8a. (1) Until June 1, 1988, a municipality
which has adopted tax increment allocation financing prior to
January 1, 1987, may by ordinance (1) authorize the Department
of Revenue, subject to appropriation, to annually certify and
cause to be paid from the Illinois Tax Increment Fund to such
municipality for deposit in the municipality's special tax
allocation fund an amount equal to the Net State Sales Tax
Increment and (2) authorize the Department of Revenue to
annually notify the municipality of the amount of the
Municipal Sales Tax Increment which shall be deposited by the
municipality in the municipality's special tax allocation

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fund. Provided that for purposes of this Section no amendments
adding additional area to the redevelopment project area which
has been certified as the State Sales Tax Boundary shall be
taken into account if such amendments are adopted by the
municipality after January 1, 1987. If an amendment is adopted
which decreases the area of a State Sales Tax Boundary, the
municipality shall update the list required by subsection
(3)(a) of this Section. The Retailers' Occupation Tax
liability, Use Tax liability, Service Occupation Tax liability
and Service Use Tax liability for retailers and servicemen
located within the disconnected area shall be excluded from
the base from which tax increments are calculated and the
revenue from any such retailer or serviceman shall not be
included in calculating incremental revenue payable to the
municipality. A municipality adopting an ordinance under this
subsection (1) of this Section for a redevelopment project
area which is certified as a State Sales Tax Boundary shall not
be entitled to payments of State taxes authorized under
subsection (2) of this Section for the same redevelopment
project area. Nothing herein shall be construed to prevent a
municipality from receiving payment of State taxes authorized
under subsection (2) of this Section for a separate
redevelopment project area that does not overlap in any way
with the State Sales Tax Boundary receiving payments of State
taxes pursuant to subsection (1) of this Section.
A certified copy of such ordinance shall be submitted by

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the municipality to the Department of Commerce and Economic
Opportunity and the Department of Revenue not later than 30
days after the effective date of the ordinance. Upon
submission of the ordinances, and the information required
pursuant to subsection 3 of this Section, the Department of
Revenue shall promptly determine the amount of such taxes paid
under the Retailers' Occupation Tax Act, Use Tax Act, Service
Use Tax Act, the Service Occupation Tax Act, the Municipal
Retailers' Occupation Tax Act and the Municipal Service
Occupation Tax Act by retailers and servicemen on transactions
at places located in the redevelopment project area during the
base year, and shall certify all the foregoing "initial sales
tax amounts" to the municipality within 60 days of submission
of the list required of subsection (3)(a) of this Section.
If a retailer or serviceman with a place of business
located within a redevelopment project area also has one or
more other places of business within the municipality but
outside the redevelopment project area, the retailer or
serviceman shall, upon request of the Department of Revenue,
certify to the Department of Revenue the amount of taxes paid
pursuant to the Retailers' Occupation Tax Act, the Municipal
Retailers' Occupation Tax Act, the Service Occupation Tax Act
and the Municipal Service Occupation Tax Act at each place of
business which is located within the redevelopment project
area in the manner and for the periods of time requested by the
Department of Revenue.

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When the municipality determines that a portion of an
increase in the aggregate amount of taxes paid by retailers
and servicemen under the Retailers' Occupation Tax Act, Use
Tax Act, Service Use Tax Act, or the Service Occupation Tax Act
is the result of a retailer or serviceman initiating retail or
service operations in the redevelopment project area by such
retailer or serviceman with a resulting termination of retail
or service operations by such retailer or serviceman at
another location in Illinois in the standard metropolitan
statistical area of such municipality, the Department of
Revenue shall be notified that the retailers occupation tax
liability, use tax liability, service occupation tax
liability, or service use tax liability from such retailer's
or serviceman's terminated operation shall be included in the
base Initial Sales Tax Amounts from which the State Sales Tax
Increment is calculated for purposes of State payments to the
affected municipality; provided, however, for purposes of this
paragraph "termination" shall mean a closing of a retail or
service operation which is directly related to the opening of
the same retail or service operation in a redevelopment
project area which is included within a State Sales Tax
Boundary, but it shall not include retail or service
operations closed for reasons beyond the control of the
retailer or serviceman, as determined by the Department.
If the municipality makes the determination referred to in
the prior paragraph and notifies the Department and if the

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relocation is from a location within the municipality, the
Department, at the request of the municipality, shall adjust
the certified aggregate amount of taxes that constitute the
Municipal Sales Tax Increment paid by retailers and servicemen
on transactions at places of business located within the State
Sales Tax Boundary during the base year using the same
procedures as are employed to make the adjustment referred to
in the prior paragraph. The adjusted Municipal Sales Tax
Increment calculated by the Department shall be sufficient to
satisfy the requirements of subsection (1) of this Section.
When a municipality which has adopted tax increment
allocation financing in 1986 determines that a portion of the
aggregate amount of taxes paid by retailers and servicemen
under the Retailers Occupation Tax Act, Use Tax Act, Service
Use Tax Act, or Service Occupation Tax Act, the Municipal
Retailers' Occupation Tax Act and the Municipal Service
Occupation Tax Act, includes revenue of a retailer or
serviceman which terminated retailer or service operations in
1986, prior to the adoption of tax increment allocation
financing, the Department of Revenue shall be notified by such
municipality that the retailers' occupation tax liability, use
tax liability, service occupation tax liability or service use
tax liability, from such retailer's or serviceman's terminated
operations shall be excluded from the Initial Sales Tax
Amounts for such taxes. The revenue from any such retailer or
serviceman which is excluded from the base year under this

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paragraph, shall not be included in calculating incremental
revenues if such retailer or serviceman reestablishes such
business in the redevelopment project area.
For State fiscal year 1992, the Department of Revenue
shall budget, and the Illinois General Assembly shall
appropriate from the Illinois Tax Increment Fund in the State
treasury, an amount not to exceed $18,000,000 to pay to each
eligible municipality the Net State Sales Tax Increment to
which such municipality is entitled.
Beginning on January 1, 1993, each municipality's
proportional share of the Illinois Tax Increment Fund shall be
determined by adding the annual Net State Sales Tax Increment
and the annual Net Utility Tax Increment to determine the
Annual Total Increment. The ratio of the Annual Total
Increment of each municipality to the Annual Total Increment
for all municipalities, as most recently calculated by the
Department, shall determine the proportional shares of the
Illinois Tax Increment Fund to be distributed to each
municipality.
Beginning in October, 1993, and each January, April, July
and October thereafter, the Department of Revenue shall
certify to the Treasurer and the Comptroller the amounts
payable quarter annually during the fiscal year to each
municipality under this Section. The Comptroller shall
promptly then draw warrants, ordering the State Treasurer to
pay such amounts from the Illinois Tax Increment Fund in the

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State treasury.
The Department of Revenue shall utilize the same periods
established for determining State Sales Tax Increment to
determine the Municipal Sales Tax Increment for the area
within a State Sales Tax Boundary and certify such amounts to
such municipal treasurer who shall transfer such amounts to
the special tax allocation fund.
The provisions of this subsection (1) do not apply to
additional municipal retailers' occupation or service
occupation taxes imposed by municipalities using their home
rule powers or imposed pursuant to Sections 8-11-1.3, 8-11-1.4
and 8-11-1.5 of this Act. A municipality shall not receive
from the State any share of the Illinois Tax Increment Fund
unless such municipality deposits all its Municipal Sales Tax
Increment and the local incremental real property tax
revenues, as provided herein, into the appropriate special tax
allocation fund. If, however, a municipality has extended the
estimated dates of completion of the redevelopment project and
retirement of obligations to finance redevelopment project
costs by municipal ordinance to December 31, 2013 under
subsection (n) of Section 11-74.4-3, then that municipality
shall continue to receive from the State a share of the
Illinois Tax Increment Fund so long as the municipality
deposits, from any funds available, excluding funds in the
special tax allocation fund, an amount equal to the municipal
share of the real property tax increment revenues into the

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special tax allocation fund during the extension period. The
amount to be deposited by the municipality in each of the tax
years affected by the extension to December 31, 2013 shall be
equal to the municipal share of the property tax increment
deposited into the special tax allocation fund by the
municipality for the most recent year that the property tax
increment was distributed. A municipality located within an
economic development project area created under the County
Economic Development Project Area Property Tax Allocation Act
which has abated any portion of its property taxes which
otherwise would have been deposited in its special tax
allocation fund shall not receive from the State the Net Sales
Tax Increment.
(2) A municipality which has adopted tax increment
allocation financing with regard to an industrial park or
industrial park conservation area, prior to January 1, 1988,
may by ordinance authorize the Department of Revenue to
annually certify and pay from the Illinois Tax Increment Fund
to such municipality for deposit in the municipality's special
tax allocation fund an amount equal to the Net State Utility
Tax Increment. Provided that for purposes of this Section no
amendments adding additional area to the redevelopment project
area shall be taken into account if such amendments are
adopted by the municipality after January 1, 1988.
Municipalities adopting an ordinance under this subsection (2)
of this Section for a redevelopment project area shall not be

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entitled to payment of State taxes authorized under subsection
(1) of this Section for the same redevelopment project area
which is within a State Sales Tax Boundary. Nothing herein
shall be construed to prevent a municipality from receiving
payment of State taxes authorized under subsection (1) of this
Section for a separate redevelopment project area within a
State Sales Tax Boundary that does not overlap in any way with
the redevelopment project area receiving payments of State
taxes pursuant to subsection (2) of this Section.
A certified copy of such ordinance shall be submitted to
the Department of Commerce and Economic Opportunity and the
Department of Revenue not later than 30 days after the
effective date of the ordinance.
When a municipality determines that a portion of an
increase in the aggregate amount of taxes paid by industrial
or commercial facilities under the Public Utilities Act, is
the result of an industrial or commercial facility initiating
operations in the redevelopment project area with a resulting
termination of such operations by such industrial or
commercial facility at another location in Illinois, the
Department of Revenue shall be notified by such municipality
that such industrial or commercial facility's liability under
the Public Utility Tax Act shall be included in the base from
which tax increments are calculated for purposes of State
payments to the affected municipality.
After receipt of the calculations by the public utility as

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required by subsection (4) of this Section, the Department of
Revenue shall annually budget and the Illinois General
Assembly shall annually appropriate from the General Revenue
Fund through State Fiscal Year 1989, and thereafter from the
Illinois Tax Increment Fund, an amount sufficient to pay to
each eligible municipality the amount of incremental revenue
attributable to State electric and gas taxes as reflected by
the charges imposed on persons in the project area to which
such municipality is entitled by comparing the preceding
calendar year with the base year as determined by this
Section. Beginning on January 1, 1993, each municipality's
proportional share of the Illinois Tax Increment Fund shall be
determined by adding the annual Net State Utility Tax
Increment and the annual Net Utility Tax Increment to
determine the Annual Total Increment. The ratio of the Annual
Total Increment of each municipality to the Annual Total
Increment for all municipalities, as most recently calculated
by the Department, shall determine the proportional shares of
the Illinois Tax Increment Fund to be distributed to each
municipality.
A municipality shall not receive any share of the Illinois
Tax Increment Fund from the State unless such municipality
imposes the maximum municipal charges authorized pursuant to
Section 9-221 of the Public Utilities Act and deposits all
municipal utility tax incremental revenues as certified by the
public utilities, and all local real estate tax increments

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into such municipality's special tax allocation fund.
(3) Within 30 days after the adoption of the ordinance
required by either subsection (1) or subsection (2) of this
Section, the municipality shall transmit to the Department of
Commerce and Economic Opportunity and the Department of
Revenue the following:
(a) if applicable, a certified copy of the ordinance
required by subsection (1) accompanied by a complete list
of street names and the range of street numbers of each
street located within the redevelopment project area for
which payments are to be made under this Section in both
the base year and in the year preceding the payment year;
and the addresses of persons registered with the
Department of Revenue; and, the name under which each such
retailer or serviceman conducts business at that address,
if different from the corporate name; and the Illinois
Business Tax Number of each such person (The municipality
shall update this list in the event of a revision of the
redevelopment project area, or the opening or closing or
name change of any street or part thereof in the
redevelopment project area, or if the Department of
Revenue informs the municipality of an addition or
deletion pursuant to the monthly updates given by the
Department.);
(b) if applicable, a certified copy of the ordinance
required by subsection (2) accompanied by a complete list

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of street names and range of street numbers of each street
located within the redevelopment project area, the utility
customers in the project area, and the utilities serving
the redevelopment project areas;
(c) certified copies of the ordinances approving the
redevelopment plan and designating the redevelopment
project area;
(d) a copy of the redevelopment plan as approved by
the municipality;
(e) an opinion of legal counsel that the municipality
had complied with the requirements of this Act; and
(f) a certification by the chief executive officer of
the municipality that with regard to a redevelopment
project area: (1) the municipality has committed all of
the municipal tax increment created pursuant to this Act
for deposit in the special tax allocation fund, (2) the
redevelopment projects described in the redevelopment plan
would not be completed without the use of State
incremental revenues pursuant to this Act, (3) the
municipality will pursue the implementation of the
redevelopment plan in an expeditious manner, (4) the
incremental revenues created pursuant to this Section will
be exclusively utilized for the development of the
redevelopment project area, and (5) the increased revenue
created pursuant to this Section shall be used exclusively
to pay redevelopment project costs as defined in this Act.

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(4) The Department of Revenue upon receipt of the
information set forth in paragraph (b) of subsection (3) shall
immediately forward such information to each public utility
furnishing natural gas or electricity to buildings within the
redevelopment project area. Upon receipt of such information,
each public utility shall promptly:
(a) provide to the Department of Revenue and the
municipality separate lists of the names and addresses of
persons within the redevelopment project area receiving
natural gas or electricity from such public utility. Such
list shall be updated as necessary by the public utility.
Each month thereafter the public utility shall furnish the
Department of Revenue and the municipality with an
itemized listing of charges imposed pursuant to Sections
9-221 and 9-222 of the Public Utilities Act on persons
within the redevelopment project area.
(b) determine the amount of charges imposed pursuant
to Sections 9-221 and 9-222 of the Public Utilities Act on
persons in the redevelopment project area during the base
year, both as a result of municipal taxes on electricity
and gas and as a result of State taxes on electricity and
gas and certify such amounts both to the municipality and
the Department of Revenue; and
(c) determine the amount of charges imposed pursuant
to Sections 9-221 and 9-222 of the Public Utilities Act on
persons in the redevelopment project area on a monthly

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basis during the base year, both as a result of State and
municipal taxes on electricity and gas and certify such
separate amounts both to the municipality and the
Department of Revenue.
After the determinations are made in paragraphs (b) and
(c), the public utility shall monthly during the existence of
the redevelopment project area notify the Department of
Revenue and the municipality of any increase in charges over
the base year determinations made pursuant to paragraphs (b)
and (c).
(5) The payments authorized under this Section shall be
deposited by the municipal treasurer in the special tax
allocation fund of the municipality, which for accounting
purposes shall identify the sources of each payment as:
municipal receipts from the State retailers occupation,
service occupation, use and service use taxes; and municipal
public utility taxes charged to customers under the Public
Utilities Act and State public utility taxes charged to
customers under the Public Utilities Act.
(6) Before the effective date of this amendatory Act of
the 91st General Assembly, any municipality receiving payments
authorized under this Section for any redevelopment project
area or area within a State Sales Tax Boundary within the
municipality shall submit to the Department of Revenue and to
the taxing districts which are sent the notice required by
Section 6 of this Act annually within 180 days after the close

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of each municipal fiscal year the following information for
the immediately preceding fiscal year:
(a) Any amendments to the redevelopment plan, the
redevelopment project area, or the State Sales Tax
Boundary.
(b) Audited financial statements of the special tax
allocation fund for fiscal years ending before January 1,
2028.
(c) Certification of the Chief Executive Officer of
the municipality that the municipality has complied with
all of the requirements of this Act during the preceding
fiscal year.
(d) An opinion of legal counsel that the municipality
is in compliance with this Act.
(e) An analysis of the special tax allocation fund
which sets forth:
(1) the balance in the special tax allocation fund
at the beginning of the fiscal year;
(2) all amounts deposited in the special tax
allocation fund by source;
(3) all expenditures from the special tax
allocation fund by category of permissible
redevelopment project cost; and
(4) the balance in the special tax allocation fund
at the end of the fiscal year including a breakdown of
that balance by source. Such ending balance shall be

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designated as surplus if it is not required for
anticipated redevelopment project costs or to pay debt
service on bonds issued to finance redevelopment
project costs, as set forth in Section 11-74.4-7
hereof.
(f) A description of all property purchased by the
municipality within the redevelopment project area
including:
1. Street address
2. Approximate size or description of property
3. Purchase price
4. Seller of property.
(g) A statement setting forth all activities
undertaken in furtherance of the objectives of the
redevelopment plan, including:
1. Any project implemented in the preceding fiscal
year
2. A description of the redevelopment activities
undertaken
3. A description of any agreements entered into by
the municipality with regard to the disposition or
redevelopment of any property within the redevelopment
project area or the area within the State Sales Tax
Boundary.
(h) With regard to any obligations issued by the
municipality:

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1. copies of bond ordinances or resolutions
2. copies of any official statements
3. an analysis prepared by financial advisor or
underwriter setting forth: (a) nature and term of
obligation; and (b) projected debt service including
required reserves and debt coverage.
(i) For fiscal years ending before January 1, 2028, a
A certified audit report reviewing compliance with this
statute performed by an independent public accountant
certified and licensed by the authority of the State of
Illinois. The financial portion of the audit must be
conducted in accordance with Standards for Audits of
Governmental Organizations, Programs, Activities, and
Functions adopted by the Comptroller General of the United
States (1981), as amended. The audit report shall contain
a letter from the independent certified public accountant
indicating compliance or noncompliance with the
requirements of subsection (q) of Section 11-74.4-3. If
the audit indicates that expenditures are not in
compliance with the law, the Department of Revenue shall
withhold State sales and utility tax increment payments to
the municipality until compliance has been reached, and an
amount equal to the ineligible expenditures has been
returned to the Special Tax Allocation Fund.
(6.1) After July 29, 1988 and before the effective date of
this amendatory Act of the 91st General Assembly, any funds

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which have not been designated for use in a specific
development project in the annual report shall be designated
as surplus. No funds may be held in the Special Tax Allocation
Fund for more than 36 months from the date of receipt unless
the money is required for payment of contractual obligations
for specific development project costs. If held for more than
36 months in violation of the preceding sentence, such funds
shall be designated as surplus. Any funds designated as
surplus must first be used for early redemption of any bond
obligations. Any funds designated as surplus which are not
disposed of as otherwise provided in this paragraph, shall be
distributed as surplus as provided in Section 11-74.4-7.
(7) Any appropriation made pursuant to this Section for
the 1987 State fiscal year shall not exceed the amount of $7
million and for the 1988 State fiscal year the amount of $10
million. The amount which shall be distributed to each
municipality shall be the incremental revenue to which each
municipality is entitled as calculated by the Department of
Revenue, unless the requests of the municipality exceed the
appropriation, then the amount to which each municipality
shall be entitled shall be prorated among the municipalities
in the same proportion as the increment to which the
municipality would be entitled bears to the total increment
which all municipalities would receive in the absence of this
limitation, provided that no municipality may receive an
amount in excess of 15% of the appropriation. For the 1987 Net

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State Sales Tax Increment payable in Fiscal Year 1989, no
municipality shall receive more than 7.5% of the total
appropriation; provided, however, that any of the
appropriation remaining after such distribution shall be
prorated among municipalities on the basis of their pro rata
share of the total increment. Beginning on January 1, 1993,
each municipality's proportional share of the Illinois Tax
Increment Fund shall be determined by adding the annual Net
State Sales Tax Increment and the annual Net Utility Tax
Increment to determine the Annual Total Increment. The ratio
of the Annual Total Increment of each municipality to the
Annual Total Increment for all municipalities, as most
recently calculated by the Department, shall determine the
proportional shares of the Illinois Tax Increment Fund to be
distributed to each municipality.
(7.1) No distribution of Net State Sales Tax Increment to
a municipality for an area within a State Sales Tax Boundary
shall exceed in any State Fiscal Year an amount equal to 3
times the sum of the Municipal Sales Tax Increment, the real
property tax increment and deposits of funds from other
sources, excluding state and federal funds, as certified by
the city treasurer to the Department of Revenue for an area
within a State Sales Tax Boundary. After July 29, 1988, for
those municipalities which issue bonds between June 1, 1988
and 3 years from July 29, 1988 to finance redevelopment
projects within the area in a State Sales Tax Boundary, the

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distribution of Net State Sales Tax Increment during the 16th
through 20th years from the date of issuance of the bonds shall
not exceed in any State Fiscal Year an amount equal to 2 times
the sum of the Municipal Sales Tax Increment, the real
property tax increment and deposits of funds from other
sources, excluding State and federal funds.
(8) Any person who knowingly files or causes to be filed
false information for the purpose of increasing the amount of
any State tax incremental revenue commits a Class A
misdemeanor.
(9) The following procedures shall be followed to
determine whether municipalities have complied with the Act
for the purpose of receiving distributions after July 1, 1989
pursuant to subsection (1) of this Section 11-74.4-8a.
(a) The Department of Revenue shall conduct a
preliminary review of the redevelopment project areas and
redevelopment plans pertaining to those municipalities
receiving payments from the State pursuant to subsection
(1) of Section 8a of this Act for the purpose of
determining compliance with the following standards:
(1) For any municipality with a population of more
than 12,000 as determined by the 1980 U.S. Census: (a)
the redevelopment project area, or in the case of a
municipality which has more than one redevelopment
project area, each such area, must be contiguous and
the total of all such areas shall not comprise more

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than 25% of the area within the municipal boundaries
nor more than 20% of the equalized assessed value of
the municipality; (b) the aggregate amount of 1985
taxes in the redevelopment project area, or in the
case of a municipality which has more than one
redevelopment project area, the total of all such
areas, shall be not more than 25% of the total base
year taxes paid by retailers and servicemen on
transactions at places of business located within the
municipality under the Retailers' Occupation Tax Act,
the Use Tax Act, the Service Use Tax Act, and the
Service Occupation Tax Act. Redevelopment project
areas created prior to 1986 are not subject to the
above standards if their boundaries were not amended
in 1986.
(2) For any municipality with a population of
12,000 or less as determined by the 1980 U.S. Census:
(a) the redevelopment project area, or in the case of a
municipality which has more than one redevelopment
project area, each such area, must be contiguous and
the total of all such areas shall not comprise more
than 35% of the area within the municipal boundaries
nor more than 30% of the equalized assessed value of
the municipality; (b) the aggregate amount of 1985
taxes in the redevelopment project area, or in the
case of a municipality which has more than one

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redevelopment project area, the total of all such
areas, shall not be more than 35% of the total base
year taxes paid by retailers and servicemen on
transactions at places of business located within the
municipality under the Retailers' Occupation Tax Act,
the Use Tax Act, the Service Use Tax Act, and the
Service Occupation Tax Act. Redevelopment project
areas created prior to 1986 are not subject to the
above standards if their boundaries were not amended
in 1986.
(3) Such preliminary review of the redevelopment
project areas applying the above standards shall be
completed by November 1, 1988, and on or before
November 1, 1988, the Department shall notify each
municipality by certified mail, return receipt
requested that either (1) the Department requires
additional time in which to complete its preliminary
review; or (2) the Department is issuing either (a) a
Certificate of Eligibility or (b) a Notice of Review.
If the Department notifies a municipality that it
requires additional time to complete its preliminary
investigation, it shall complete its preliminary
investigation no later than February 1, 1989, and by
February 1, 1989 shall issue to each municipality
either (a) a Certificate of Eligibility or (b) a
Notice of Review. A redevelopment project area for

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which a Certificate of Eligibility has been issued
shall be deemed a "State Sales Tax Boundary."
(4) The Department of Revenue shall also issue a
Notice of Review if the Department has received a
request by November 1, 1988 to conduct such a review
from taxpayers in the municipality, local taxing
districts located in the municipality or the State of
Illinois, or if the redevelopment project area has
more than 5 retailers and has had growth in State sales
tax revenue of more than 15% from calendar year 1985 to
1986.
(b) For those municipalities receiving a Notice of
Review, the Department will conduct a secondary review
consisting of: (i) application of the above standards
contained in subsection (9)(a)(1)(a) and (b) or
(9)(a)(2)(a) and (b), and (ii) the definitions of blighted
and conservation area provided for in Section 11-74.4-3.
Such secondary review shall be completed by July 1, 1989.
Upon completion of the secondary review, the
Department will issue (a) a Certificate of Eligibility or
(b) a Preliminary Notice of Deficiency. Any municipality
receiving a Preliminary Notice of Deficiency may amend its
redevelopment project area to meet the standards and
definitions set forth in this paragraph (b). This amended
redevelopment project area shall become the "State Sales
Tax Boundary" for purposes of determining the State Sales

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Tax Increment.
(c) If the municipality advises the Department of its
intent to comply with the requirements of paragraph (b) of
this subsection outlined in the Preliminary Notice of
Deficiency, within 120 days of receiving such notice from
the Department, the municipality shall submit
documentation to the Department of the actions it has
taken to cure any deficiencies. Thereafter, within 30 days
of the receipt of the documentation, the Department shall
either issue a Certificate of Eligibility or a Final
Notice of Deficiency. If the municipality fails to advise
the Department of its intent to comply or fails to submit
adequate documentation of such cure of deficiencies the
Department shall issue a Final Notice of Deficiency that
provides that the municipality is ineligible for payment
of the Net State Sales Tax Increment.
(d) If the Department issues a final determination of
ineligibility, the municipality shall have 30 days from
the receipt of determination to protest and request a
hearing. Such hearing shall be conducted in accordance
with Sections 10-25, 10-35, 10-40, and 10-50 of the
Illinois Administrative Procedure Act. The decision
following the hearing shall be subject to review under the
Administrative Review Law.
(e) Any Certificate of Eligibility issued pursuant to
this subsection 9 shall be binding only on the State for

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the purposes of establishing municipal eligibility to
receive revenue pursuant to subsection (1) of this Section
11-74.4-8a.
(f) It is the intent of this subsection that the
periods of time to cure deficiencies shall be in addition
to all other periods of time permitted by this Section,
regardless of the date by which plans were originally
required to be adopted. To cure said deficiencies,
however, the municipality shall be required to follow the
procedures and requirements pertaining to amendments, as
provided in Sections 11-74.4-5 and 11-74.4-6 of this Act.
(10) If a municipality adopts a State Sales Tax Boundary
in accordance with the provisions of subsection (9) of this
Section, such boundaries shall subsequently be utilized to
determine Revised Initial Sales Tax Amounts and the Net State
Sales Tax Increment; provided, however, that such revised
State Sales Tax Boundary shall not have any effect upon the
boundary of the redevelopment project area established for the
purposes of determining the ad valorem taxes on real property
pursuant to Sections 11-74.4-7 and 11-74.4-8 of this Act nor
upon the municipality's authority to implement the
redevelopment plan for that redevelopment project area. For
any redevelopment project area with a smaller State Sales Tax
Boundary within its area, the municipality may annually elect
to deposit the Municipal Sales Tax Increment for the
redevelopment project area in the special tax allocation fund

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and shall certify the amount to the Department prior to
receipt of the Net State Sales Tax Increment. Any municipality
required by subsection (9) to establish a State Sales Tax
Boundary for one or more of its redevelopment project areas
shall submit all necessary information required by the
Department concerning such boundary and the retailers therein,
by October 1, 1989, after complying with the procedures for
amendment set forth in Sections 11-74.4-5 and 11-74.4-6 of
this Act. Net State Sales Tax Increment produced within the
State Sales Tax Boundary shall be spent only within that area.
However expenditures of all municipal property tax increment
and municipal sales tax increment in a redevelopment project
area are not required to be spent within the smaller State
Sales Tax Boundary within such redevelopment project area.
(11) The Department of Revenue shall have the authority to
issue rules and regulations for purposes of this Section.
(12) If, under Section 5.4.1 of the Illinois Enterprise
Zone Act, a municipality determines that property that lies
within a State Sales Tax Boundary has an improvement,
rehabilitation, or renovation that is entitled to a property
tax abatement, then that property along with any improvements,
rehabilitation, or renovations shall be immediately removed
from any State Sales Tax Boundary. The municipality that made
the determination shall notify the Department of Revenue
within 30 days after the determination. Once a property is
removed from the State Sales Tax Boundary because of the

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existence of a property tax abatement resulting from an
enterprise zone, then that property shall not be permitted to
be amended into a State Sales Tax Boundary.
(Source: P.A. 100-201, eff. 8-18-17.)
(65 ILCS 5/11-74.6-22)
Sec. 11-74.6-22. Adoption of ordinance; requirements;
changes.
(a) Before adoption of an ordinance proposing the
designation of a redevelopment planning area or a
redevelopment project area, or both, or approving a
redevelopment plan or redevelopment project, the municipality
or commission designated pursuant to subsection (l) of Section
11-74.6-15 shall fix by ordinance or resolution a time and
place for public hearing. Prior to the adoption of the
ordinance or resolution establishing the time and place for
the public hearing, the municipality shall make available for
public inspection a redevelopment plan or a report that
provides in sufficient detail, the basis for the eligibility
of the redevelopment project area. The report along with the
name of a person to contact for further information shall be
sent to the affected taxing district by certified mail within
a reasonable time following the adoption of the ordinance or
resolution establishing the time and place for the public
hearing.
At the public hearing any interested person or affected

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taxing district may file with the municipal clerk written
objections to the ordinance and may be heard orally on any
issues that are the subject of the hearing. The municipality
shall hear and determine all alternate proposals or bids for
any proposed conveyance, lease, mortgage or other disposition
of land and all protests and objections at the hearing and the
hearing may be adjourned to another date without further
notice other than a motion to be entered upon the minutes
fixing the time and place of the later hearing. At the public
hearing or at any time prior to the adoption by the
municipality of an ordinance approving a redevelopment plan,
the municipality may make changes in the redevelopment plan.
Changes which (1) add additional parcels of property to the
proposed redevelopment project area, (2) substantially affect
the general land uses proposed in the redevelopment plan, or
(3) substantially change the nature of or extend the life of
the redevelopment project shall be made only after the
municipality gives notice, convenes a joint review board, and
conducts a public hearing pursuant to the procedures set forth
in this Section and in Section 11-74.6-25. Changes which do
not (1) add additional parcels of property to the proposed
redevelopment project area, (2) substantially affect the
general land uses proposed in the redevelopment plan, or (3)
substantially change the nature of or extend the life of the
redevelopment project may be made without further hearing,
provided that the municipality shall give notice of any such

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changes by mail to each affected taxing district and by
publication once in a newspaper of general circulation within
the affected taxing district. Such notice by mail and by
publication shall each occur not later than 10 days following
the adoption by ordinance of such changes.
(b) Before adoption of an ordinance proposing the
designation of a redevelopment planning area or a
redevelopment project area, or both, or amending the
boundaries of an existing redevelopment project area or
redevelopment planning area, or both, the municipality shall
convene a joint review board to consider the proposal. The
board shall consist of a representative selected by each
taxing district that has authority to levy real property taxes
on the property within the proposed redevelopment project area
and that has at least 5% of its total equalized assessed value
located within the proposed redevelopment project area, a
representative selected by the municipality and a public
member. The public member and the board's chairperson shall be
selected by a majority of other board members.
All board members shall be appointed and the first board
meeting held within 14 days following the notice by the
municipality to all the taxing districts as required by
subsection (c) of Section 11-74.6-25. The notice shall also
advise the taxing bodies represented on the joint review board
of the time and place of the first meeting of the board.
Additional meetings of the board shall be held upon the call of

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any 2 members. The municipality seeking designation of the
redevelopment project area may provide administrative support
to the board.
The board shall review the public record, planning
documents and proposed ordinances approving the redevelopment
plan and project to be adopted by the municipality. As part of
its deliberations, the board may hold additional hearings on
the proposal. A board's recommendation, if any, shall be a
written recommendation adopted by a majority vote of the board
and submitted to the municipality within 30 days after the
board convenes. A board's recommendation shall be binding upon
the municipality. Failure of the board to submit its
recommendation on a timely basis shall not be cause to delay
the public hearing or the process of establishing or amending
the redevelopment project area. The board's recommendation on
the proposal shall be based upon the area satisfying the
applicable eligibility criteria defined in Section 11-74.6-10
and whether there is a basis for the municipal findings set
forth in the redevelopment plan as required by this Act. If the
board does not file a recommendation it shall be presumed that
the board has found that the redevelopment project area
satisfies the eligibility criteria.
(c) After a municipality has by ordinance approved a
redevelopment plan and designated a redevelopment planning
area or a redevelopment project area, or both, the plan may be
amended and additional properties may be added to the

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redevelopment project area only as herein provided. Amendments
which (1) add additional parcels of property to the proposed
redevelopment project area, (2) substantially affect the
general land uses proposed in the redevelopment plan, (3)
substantially change the nature of the redevelopment project,
(4) increase the total estimated redevelopment project costs
set out in the redevelopment plan by more than 5% after
adjustment for inflation from the date the plan was adopted,
or (5) add additional redevelopment project costs to the
itemized list of redevelopment project costs set out in the
redevelopment plan shall be made only after the municipality
gives notice, convenes a joint review board, and conducts a
public hearing pursuant to the procedures set forth in this
Section and in Section 11-74.6-25. Changes which do not (1)
add additional parcels of property to the proposed
redevelopment project area, (2) substantially affect the
general land uses proposed in the redevelopment plan, (3)
substantially change the nature of the redevelopment project,
(4) increase the total estimated redevelopment project cost
set out in the redevelopment plan by more than 5% after
adjustment for inflation from the date the plan was adopted,
or (5) add additional redevelopment project costs to the
itemized list of redevelopment project costs set out in the
redevelopment plan may be made without further hearing,
provided that the municipality shall give notice of any such
changes by mail to each affected taxing district and by

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publication once in a newspaper of general circulation within
the affected taxing district. Such notice by mail and by
publication shall each occur not later than 10 days following
the adoption by ordinance of such changes.
Notwithstanding Section 11-74.6-50, the redevelopment
project area established by an ordinance adopted in its final
form on December 19, 2011 by the City of Loves Park may be
expanded by the adoption of an ordinance to that effect
without further hearing or notice to include land that (i) is
at least in part contiguous to the existing redevelopment
project area, (ii) does not exceed approximately 16.56 acres,
(iii) at the time of the establishment of the redevelopment
project area would have been otherwise eligible for inclusion
in the redevelopment project area, and (iv) is zoned so as to
comply with this Act prior to its inclusion in the
redevelopment project area.
(d) After the effective date of this amendatory Act of the
91st General Assembly, a municipality shall submit the
following information for each redevelopment project area (i)
to the State Comptroller under Section 8-8-3.5 of the Illinois
Municipal Code, subject to any extensions or exemptions
provided at the Comptroller's discretion under that Section,
and (ii) to all taxing districts overlapping the redevelopment
project area no later than 180 days after the close of each
municipal fiscal year, or, for fiscal years ending before
January 1, 2028, year or as soon thereafter as the audited

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financial statements become available and, in any case, shall
be submitted before the annual meeting of the joint review
board to each of the taxing districts that overlap the
redevelopment project area:
(1) Any amendments to the redevelopment plan, or the
redevelopment project area.
(1.5) A list of the redevelopment project areas
administered by the municipality and, if applicable, the
date each redevelopment project area was designated or
terminated by the municipality.
(2) Audited financial statements of the special tax
allocation fund once a cumulative total of $100,000 of tax
increment revenues has been deposited in the fund for
fiscal years ending before January 1, 2028.
(3) Certification of the Chief Executive Officer of
the municipality that the municipality has complied with
all of the requirements of this Act during the preceding
fiscal year.
(4) An opinion of legal counsel that the municipality
is in compliance with this Act.
(5) An analysis of the special tax allocation fund
which sets forth:
(A) the balance in the special tax allocation fund
at the beginning of the fiscal year;
(B) all amounts deposited in the special tax
allocation fund by source;

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(C) an itemized list of all expenditures from the
special tax allocation fund by category of permissible
redevelopment project cost; and
(D) the balance in the special tax allocation fund
at the end of the fiscal year including a breakdown of
that balance by source and a breakdown of that balance
identifying any portion of the balance that is
required, pledged, earmarked, or otherwise designated
for payment of or securing of obligations and
anticipated redevelopment project costs. Any portion
of such ending balance that has not been identified or
is not identified as being required, pledged,
earmarked, or otherwise designated for payment of or
securing of obligations or anticipated redevelopment
project costs shall be designated as surplus as set
forth in Section 11-74.6-30 hereof.
(6) A description of all property purchased by the
municipality within the redevelopment project area
including:
(A) Street address.
(B) Approximate size or description of property.
(C) Purchase price.
(D) Seller of property.
(7) A statement setting forth all activities
undertaken in furtherance of the objectives of the
redevelopment plan, including:

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(A) Any project implemented in the preceding
fiscal year.
(B) A description of the redevelopment activities
undertaken.
(C) A description of any agreements entered into
by the municipality with regard to the disposition or
redevelopment of any property within the redevelopment
project area.
(D) Additional information on the use of all funds
received under this Division and steps taken by the
municipality to achieve the objectives of the
redevelopment plan.
(E) Information regarding contracts that the
municipality's tax increment advisors or consultants
have entered into with entities or persons that have
received, or are receiving, payments financed by tax
increment revenues produced by the same redevelopment
project area.
(F) Any reports submitted to the municipality by
the joint review board.
(G) A review of public and, to the extent
possible, private investment actually undertaken to
date after the effective date of this amendatory Act
of the 91st General Assembly and estimated to be
undertaken during the following year. This review
shall, on a project-by-project basis, set forth the

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estimated amounts of public and private investment
incurred after the effective date of this amendatory
Act of the 91st General Assembly and provide the ratio
of private investment to public investment to the date
of the report and as estimated to the completion of the
redevelopment project.
(8) With regard to any obligations issued by the
municipality:
(A) copies of any official statements; and
(B) an analysis prepared by financial advisor or
underwriter, chosen by the municipality, setting
forth: (i) nature and term of obligation; (ii)
projected debt service including required reserves and
debt coverage; and (iii) actual debt service.
(9) For special tax allocation funds that have
received cumulative deposits of incremental tax revenues
of $100,000 or more, a certified audit report reviewing
compliance with this Act performed by an independent
public accountant certified and licensed by the authority
of the State of Illinois. The financial portion of the
audit must be conducted in accordance with Standards for
Audits of Governmental Organizations, Programs,
Activities, and Functions adopted by the Comptroller
General of the United States (1981), as amended, or the
standards specified by Section 8-8-5 of the Illinois
Municipal Auditing Law of the Illinois Municipal Code. The

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audit report shall contain a letter from the independent
certified public accountant indicating compliance or
noncompliance with the requirements of subsection (o) of
Section 11-74.6-10.
In addition to information required to be reported under
this Section, for Fiscal Year 2022 and each fiscal year
thereafter, reporting municipalities shall also report to the
Comptroller annually in a manner and format prescribed by the
Comptroller: (1) the number of jobs, if any, projected to be
created for each redevelopment project area at the time of
approval of the redevelopment agreement; (2) the number of
jobs, if any, created as a result of the development to date
for that reporting period under the same guidelines and
assumptions as was used for the projections used at the time of
approval of the redevelopment agreement; (3) the amount of
increment projected to be created at the time of approval of
the redevelopment agreement for each redevelopment project
area; (4) the amount of increment created as a result of the
development to date for that reporting period using the same
assumptions as was used for the projections used at the time of
the approval of the redevelopment agreement; and (5) the
stated rate of return identified by the developer to the
municipality for each redevelopment project area, if any.
Stated rates of return required to be reported in item (5)
shall be independently verified by a third party chosen by the
municipality. Reporting municipalities shall also report to

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the Comptroller a copy of the redevelopment plan each time the
redevelopment plan is enacted, amended, or extended in a
manner and format prescribed by the Comptroller. These
requirements shall only apply to redevelopment projects
beginning in or after Fiscal Year 2022.
(e) The joint review board shall meet annually 180 days
after the close of the municipal fiscal year, or, for fiscal
years ending before January 1, 2028, year or as soon as the
redevelopment project audit for that fiscal year becomes
available to review the effectiveness and status of the
redevelopment project area up to that date.
(Source: P.A. 102-127, eff. 7-23-21.)
(65 ILCS 5/11-94-5) (from Ch. 24, par. 11-94-5)
Sec. 11-94-5. Each municipality which issues bonds and
constructs or acquires or improves a facility under this
Division 94 shall charge for the use thereof at a rate which at
all times is sufficient to pay maintenance and operation
costs, depreciation and the principal and interest on the
bonds. Such a municipality may make, enact, and enforce all
needful rules and regulations for the construction,
acquisition, improvement, extension, management, maintenance,
care, and protection of its natatoriums or swimming pools,
indoor or outdoor tennis courts, handball, racquetball or
squash courts, artificial ice skating rinks or golf courses,
or any other recreational facility, or any combination of

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facilities, as the case may be, and for the use thereof.
Charges or rates for the use of the facility shall be
established, revised, maintained, and payable as the corporate
authorities may determine by ordinance.
While any bond issued under this Division 94 is
outstanding, such a municipality is required to maintain and
operate its natatoriums or swimming pools, indoor or outdoor
tennis courts, handball, racquetball or squash courts,
artificial ice skating rinks or golf courses, or any other
recreational facility, or any combination of facilities, as
long as it can do so out of the revenue derived from the
operation thereof. It shall not sell, lease, loan, mortgage or
in any other manner dispose of the natatoriums or swimming
pools, indoor or outdoor tennis courts, handball, racquetball
or squash courts, artificial ice skating rinks or golf
courses, or any other recreational facility, or any
combination of facilities, until all of the bonds so issued
have been paid in full, both principal and interest or until
provision has been made for the payment of all of the bonds and
interests thereon in full.
Such a municipality shall install and maintain a proper
system of accounts, showing the amount of revenue received
from the operation of its natatoriums or swimming pools,
indoor or outdoor tennis courts, handball, racquetball or
squash courts, artificial ice skating rinks or golf courses.
At least once each year, the municipality shall have the

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accounts properly audited for fiscal years ending before
January 1, 2028. A report of this audit shall be open for
inspection at all times to any taxpayer, or to a holder of any
bond or coupon of any bond issued under this Division 94, or to
their respective representatives.
This amendatory Act of 1973 is not a limit upon any
municipality which is a home rule unit.
This amendatory Act of 1975 is not a limit upon any
municipality which is a home rule unit.
(Source: P.A. 81-1509.)
(65 ILCS 5/11-117-13) (from Ch. 24, par. 11-117-13)
Sec. 11-117-13. Any municipality, owning a public utility,
shall keep the accounts for each public utility distinct from
other municipal accounts and in such manner as to show the true
and complete financial results of municipal ownership or
ownership and operation, as the case may be. These accounts
shall be so kept as to show (1) the actual cost of the
municipality of each public utility owned; (2) all costs of
maintenance, extension, and improvement; (3) all operating
expenses of every description, in case of municipal operation;
(4) the amounts set aside for sinking fund purposes; (5) if
water or other service is furnished for the use of a public
utility without charge, as nearly as possible, the value of
that service and also the value of any similar service
rendered by each public utility to any other municipal

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department without charge; (6) reasonable allowances for
interest, depreciation, and insurance; and (7) estimates of
the amount of taxes that would be chargeable against each
public utility if owned by a private corporation.
For fiscal years ending before January 1, 2028, the The
corporate authorities shall print annually for public
distribution, a report, in the form specified in this Section,
showing the financial results of the municipal ownership or
ownership and operation. The accounts of each public utility
shall be examined once each year by a licensed Certified
Public Accountant permitted to perform audits under the
Illinois Public Accounting Act who shall report to the
corporate authorities the results of his examination. This
accountant shall be selected in such manner as the corporate
authorities may direct, and he shall receive for his services
such compensation, to be paid out of the revenue from each
public utility, as the municipality may prescribe.
(Source: P.A. 94-465, eff. 8-4-05.)
(65 ILCS 5/11-119.1-4) (from Ch. 24, par. 11-119.1-4)
Sec. 11-119.1-4. Municipal Power Agencies.
A. Any 2 or more municipalities, contiguous or
noncontiguous, and which operate an electric utility system,
may form a municipal power agency by the execution of an agency
agreement authorized by an ordinance adopted by the governing
body of each municipality. The agency agreement may state:

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(1) that the municipal power agency is created and
incorporated under the provisions of this Division as a
body politic and corporate, municipal corporation and unit
of local government of the State of Illinois;
(2) the name of the agency and the date of its
establishment;
(3) that names of the municipalities which have
adopted the agency agreement and constitute the initial
members of the municipal power agency;
(4) the names and addresses of the persons initially
appointed in the ordinances adopting the agency agreement
to serve on the Board of Directors and act as the
representatives of the municipalities, respectively, in
the exercise of their powers as members;
(5) the limitations, if any, upon the terms of office
of the directors, provided that such directors shall
always be selected and vacancies in their offices declared
and filled by ordinances adopted by the governing body of
the respective municipalities;
(6) the location by city, village or incorporated town
in the State of Illinois of the principal office of the
municipal power agency;
(7) provisions for the disposition, division or
distribution of obligations, property and assets of the
municipal power agency upon dissolution; and
(8) any other provisions for regulating the business

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of the municipal power agency or the conduct of its
affairs which may be agreed to by the member
municipalities, consistent with this Division, including,
without limitation, any provisions for weighted voting
among the member municipalities or by the directors.
B. The presiding officer of the Board of Directors of any
municipal power agency established pursuant to this Division
or such other officer selected by the Board of Directors,
within 3 months after establishment, shall file a certified
copy of the agency agreement and a list of the municipalities
which have adopted the agreement with the recorder of deeds of
the county in which the principal office is located. The
recorder of deeds shall record this certified copy and list
and shall immediately transmit the certified copy and list to
the Secretary of State, together with his certificate of
recordation. The Secretary of State shall file these documents
and issue his certificate of approval over his signature and
the Great Seal of the State. The Secretary of State shall make
and keep a register of municipal power agencies established
under this Division.
C. Each municipality which becomes a member of the
municipal power agency shall appoint a representative to serve
on the Board of Directors, which representative may be a
member of the governing body of the municipality. Each
appointment shall be made by the mayor, or president, subject
to the confirmation of the governing body. The directors so

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appointed shall hold office for a term of 3 years, or until a
successor has been duly appointed and qualified, except that
the directors first appointed shall determine by lot at their
initial meeting the respective directors which shall serve for
a term of one, 2 or 3 years from the date of that meeting. A
vacancy shall be filled for the balance of the unexpired term
in the same manner as the original appointment.
The Board of Directors is the corporate authority of the
municipal power agency and shall exercise all the powers and
manage and control all of the affairs and property of the
agency. The Board of Directors shall have full power to pass
all necessary ordinances, resolutions, rules and regulations
for the proper management and conduct of the business of the
board, and for carrying into effect the objects for which the
agency was established.
At the initial meeting of the Board of Directors to be held
within 30 days after the date of establishment of the
municipal power agency, the directors shall elect from their
members a presiding officer to preside over the meetings of
the Board of Directors and an alternative presiding officer
and may elect an executive board. The Board of Directors shall
determine and designate in the agency's bylaws the titles for
the presiding officers. The directors shall also elect a
secretary and treasurer, who need not be directors. The board
may select such other officers, employees and agents as deemed
to be necessary, who need not be directors or residents of any

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of the municipalities which are members of the municipal power
agency. The board may designate appropriate titles for all
other officers, employees, and agents. All persons selected by
the board shall hold their respective offices during the
pleasure of the board, and give such bond as may be required by
the board.
D. The bylaws of the municipal power agency, and any
amendments thereto, shall be adopted by the Board of Directors
by a majority vote (adjusted for weighted voting, if provided
in the Agency Agreement) to provide the following:
(1) the conditions and obligations of membership, if
any;
(2) the manner and time of calling regular and special
meetings of the Board of Directors;
(3) the procedural rules of the Board of Directors;
(4) the composition, powers and responsibilities of
any committee or executive board;
(5) the rights and obligations of new members, and the
disposition of rights and obligations upon termination of
membership; and
(6) such other rules or provisions for regulating the
affairs of the municipal power agency as the board shall
determine to be necessary.
E. Every municipal power agency shall maintain an office
in the State of Illinois to be known as its principal office.
When a municipal power agency desires to change the location

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of such office, it shall file with the Secretary of State a
certificate of change of location, stating the new address and
the effective date of change. Meetings of the Board of
Directors may be held at any place within the State of
Illinois, designated by the Board of Directors, after notice.
Unless otherwise provided by the bylaws, an act of the
majority of the directors present at a meeting at which a
quorum is present is the act of the Board of Directors.
F. The Board of Directors shall hold at least one meeting
each year for the election of officers and for the transaction
of any other business. Special meetings of the Board of
Directors may be called for any purpose upon written request
to the presiding officer of the Board of Directors or
secretary to call the meeting. Such officer shall give notice
of the meeting to be held not less than 10 days and not more
than 60 days after receipt of such request. Unless the bylaws
provide for a different percentage, a quorum for a meeting of
the Board of Directors is a majority of all members then in
office. All meetings of the board shall be held in compliance
with the provisions of the Open Meetings Act "An Act in
relation to meetings", approved July 11, 1957, as amended.
G. The agency agreement may be amended as proposed at any
meeting of the Board of Directors for which notice, stating
the purpose, shall be given to each director and, unless the
bylaws prescribe otherwise, such amendment shall become
effective when ratified by ordinances adopted by a majority of

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the governing bodies of the member municipalities. Each
amendment, duly certified, shall be recorded and filed in the
same manner as for the original agreement.
H. Each member municipality shall have full power and
authority, subject to the provisions of its charter and laws
regarding local finance, to appropriate money for the payment
of the expenses of the municipal power agency and of its
representative in exercising its functions as a member of the
municipal power agency.
I. Any additional municipality which operates an electric
utility system may join the municipal power agency, or any
member municipality may withdraw therefrom upon the approval
by ordinance adopted by the governing body of the majority of
the municipalities which are then members of the municipal
power agency. Any new member shall agree to assume its
proportionate share of the outstanding obligations of the
municipal power agency and any member permitted to withdraw
shall remain obligated to make payments under any outstanding
contract or agreement with the municipal power agency. Any
such change in membership shall be recorded and filed in the
same manner as for the original agreement.
J. Any 2 or more municipal power agencies organized
pursuant to this Division may consolidate to form a new
municipal power agency when approved by ordinance adopted by
the governing body of each municipality which is a member of
the respective municipal power agency and by the execution of

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an agency agreement as provided in this Section.
K. For fiscal years ending before January 1, 2028,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of a municipal power
agency shall be subject to the Governmental Account Audit Act.
L. For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of a municipal power
agency shall be subject to the Government Reporting
Enhancement and Transparency Act.
(Source: P.A. 96-204, eff. 1-1-10.)
(65 ILCS 5/11-119.2-4) (from Ch. 24, par. 11-119.2-4)
Sec. 11-119.2-4. A. Any 2 or more municipalities,
contiguous or noncontiguous, and which operate a natural gas
plant or system, may form a municipal natural gas agency by the
execution of an agency agreement authorized by an ordinance
adopted by the governing body of each municipality. The agency
agreement may state:
(1) that the municipal natural gas agency is created
and incorporated under the provisions of this Division as
a body politic and corporate, municipal corporation and
unit of local government of the State of Illinois;
(2) the name of the agency and the date of its
establishment;
(3) the names of the municipalities which have adopted

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the agency agreement and constitute the initial members of
the municipal natural gas agency;
(4) the names and addresses of the persons initially
appointed in the ordinances adopting the agency agreement
to serve on the Board of Directors and act as the
representatives of the municipalities, respectively, in
the exercise of their powers as members;
(5) the limitations, if any, upon the terms of office
of the directors, provided that such directors shall
always be selected and vacancies in their offices declared
and filled by ordinances adopted by the governing body of
the respective municipalities;
(6) the location by city, village or incorporated town
in the State of Illinois of the principal office of the
municipal natural gas agency;
(7) provisions for the disposition, division or
distribution of obligations, property and assets of the
municipal natural gas agency upon dissolution; and
(8) any other provisions for regulating the business
of the municipal natural gas agency or the conduct of its
affairs which may be agreed to by the member
municipalities, consistent with this Division, including,
without limitation, any provisions for weighted voting
among the member municipalities or by the directors.
B. The presiding officer of the Board of Directors of any
municipal natural gas agency established pursuant to this

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Division or such other officer selected by the Board of
Directors, within 3 months after establishment, shall file a
certified copy of the agency agreement and a list of the
municipalities which have adopted the agreement with the
recorder of the county in which the principal office is
located. The recorder shall record this certified copy and
list and shall immediately transmit the certified copy and
list to the Secretary of State, together with his certificate
of recordation. The Secretary of State shall file these
documents and issue his certificate of approval over his
signature and the Great Seal of the State. The Secretary of
State shall make and keep a register of municipal natural gas
agencies established under this Division.
C. Each municipality which becomes a member of the
municipal natural gas agency shall appoint a representative to
serve on the Board of Directors, which representative may be a
member of the governing body of the municipality. Each
appointment shall be made by the mayor, or president, subject
to the confirmation of the governing body. The directors so
appointed shall hold office for a term of 3 years, or until a
successor has been duly appointed and qualified, except that
the directors first appointed shall determine by lot at their
initial meeting the respective directors which shall serve for
a term of one, 2 or 3 years from the date of that meeting. A
vacancy shall be filled for the balance of the unexpired term
in the same manner as the original appointment.

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The Board of Directors is the corporate authority of the
municipal natural gas agency and shall exercise all the powers
and manage and control all of the affairs and property of the
agency. The Board of Directors shall have full power to pass
all necessary ordinances, resolutions, rules and regulations
for the proper management and conduct of the business of the
board, and for carrying into effect the objects for which the
agency was established.
At the initial meeting of the Board of Directors to be held
within 30 days after the date of establishment of the
municipal natural gas agency, the directors shall elect from
their members a presiding officer to preside over the meetings
of the Board of Directors and an alternate presiding officer
and may elect an executive board. The Board of Directors shall
determine and designate in the agency's bylaws the titles for
the presiding officers. The directors shall also elect a
secretary and treasurer, who need not be directors. The board
may select such other officers, employees and agents as deemed
to be necessary, who need not be directors or residents of any
of the municipalities which are members of the municipal
natural gas agency. The board may designate appropriate titles
for all other officers, employees, and agents. All persons
selected by the board shall hold their respective offices
during the pleasure of the board, and give such bond as may be
required by the board.
D. The bylaws of the municipal natural gas agency, and any

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amendments thereto, shall be adopted by the Board of Directors
by a majority vote (adjusted for weighted voting, if provided
in the Agency Agreement) to provide the following:
(1) the conditions and obligations of membership, if
any;
(2) the manner and time of calling regular and special
meetings of the Board of Directors;
(3) the procedural rules of the Board of Directors;
(4) the composition, powers and responsibilities of
any committee or executive board;
(5) the rights and obligations of new members, and the
disposition of rights and obligations upon termination of
membership; and
(6) such other rules or provisions for regulating the
affairs of the municipal natural gas agency as the board
shall determine to be necessary.
E. Every municipal natural gas agency shall maintain an
office in the State of Illinois to be known as its principal
office. When a municipal natural gas agency desires to change
the location of such office, it shall file with the Secretary
of State a certificate of change of location, stating the new
address and the effective date of change. Meetings of the
Board of Directors may be held at any place within the State of
Illinois, designated by the Board of Directors, after notice.
Unless otherwise provided by the bylaws, an act of the
majority of the directors present at a meeting at which a

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quorum is present is the act of the Board of Directors.
F. The Board of Directors shall hold at least one meeting
each year for the election of officers and for the transaction
of any other business. Special meetings of the Board of
Directors may be called for any purpose upon written request
to the presiding officer of the Board of Directors or
secretary to call the meeting. Such officer shall give notice
of the meeting to be held not less than 10 days and not more
than 60 days after receipt of such request. Unless the bylaws
provide for a different percentage, a quorum for a meeting of
the Board of Directors is a majority of all members then in
office. All meetings of the board shall be held in compliance
with the provisions of the Open Meetings Act.
G. The agency agreement may be amended as proposed at any
meeting of the Board of Directors for which notice, stating
the purpose, shall be given to each director and, unless the
bylaws prescribe otherwise, such amendment shall become
effective when ratified by ordinances adopted by a majority of
the governing bodies of the member municipalities. Each
amendment, duly certified, shall be recorded and filed in the
same manner as for the original agreement.
H. Each member municipality shall have full power and
authority, subject to the provisions of its charter and laws
regarding local finance, to appropriate money for the payment
of the expenses of the municipal natural gas agency and of its
representative in exercising its functions as a member of the

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municipal natural gas agency.
I. Any additional municipality which operates a natural
gas plant or system may join the municipal natural gas agency,
or any member municipality may withdraw therefrom upon the
approval by ordinance adopted by the governing body of the
majority of the municipalities which are then members of the
municipal natural gas agency. Any new member shall agree to
assume its proportionate share of the outstanding obligations
of the municipal natural gas agency and any member permitted
to withdraw shall remain obligated to make payments under any
outstanding contract or agreement with the municipal natural
gas agency. Any such change in membership shall be recorded
and filed in the same manner as for the original agreement.
J. Any 2 or more municipal natural gas agencies organized
pursuant to this Division may consolidate to form a new
municipal natural gas agency when approved by ordinance
adopted by the governing body of each municipality which is a
member of the respective municipal natural gas agency and by
the execution of an agency agreement as provided in this
Section.
K. For fiscal years ending before January 1, 2028,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of a municipal natural
gas agency shall be subject to the Governmental Account Audit
Act.
L. For fiscal years beginning after December 31, 2027,

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notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of a municipal natural
gas agency shall be subject to the Government Reporting
Enhancement and Transparency Act.
(Source: P.A. 96-204, eff. 1-1-10.)
(65 ILCS 5/11-122-5) (from Ch. 24, par. 11-122-5)
Sec. 11-122-5. Every city owning, or owning and operating,
street railways, shall keep the books of account for these
street railways distinct from other city accounts and in such
manner as to show the true and complete financial results of
the city ownership, or ownership and operation, as the case
may be. These accounts shall be so kept as to show: (1) the
actual cost to the city of street railways owned, (2) all costs
of maintenance, extension, and improvement, (3) all operating
expenses of every description, in case of city operation, (4)
the amount set aside for sinking fund purposes, (5) if water or
other service is furnished for the use of the street railways
without charge, as nearly as possible, the value of this
service, and also the value of any similar service rendered by
the street railways to any other city department without
charge, (6) reasonable allowances for interest, depreciation,
and insurance, and (7) estimates of the amount of taxes that
would be chargeable against the property if owned by a private
corporation. The city council shall print annually for public
distribution, a report showing the financial results, in the

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form specified in this section, of the city ownership, or
ownership and operation.
For fiscal years ending before January 1, 2028, the The
accounts of those street railways, shall be examined at least
once a year by a licensed Certified Public Accountant
permitted to perform audits under the Illinois Public
Accounting Act, who shall report to the city council the
results of his examination. This accountant shall be selected
in such manner as the city council may direct, and he shall
receive for his services such compensation, to be paid out of
the income from those street railways, as the city council may
prescribe.
(Source: P.A. 94-465, eff. 8-4-05.)
(65 ILCS 5/11-123-14) (from Ch. 24, par. 11-123-14)
Sec. 11-123-14. Every city and village owning and
operating, or owning and leasing any portion of a utility,
shall keep the accounts for the utilities separate and
distinct from other municipal accounts and in such manner as
to show the true and complete financial standing and results
of the municipal ownership and operation or of the municipal
ownership and leasing, as the case may be. These accounts
shall be so kept as to show: (1) the actual cost of the
municipality of the utilities owned; (2) all costs of
maintenance, extension, and improvement; (3) all operating
expenses of every description, in case of municipal operation,

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whether of the whole or of a part of the utilities; (4) if
water or other service is furnished for the use of the
utilities without charge, as nearly as possible, the value of
that service, and also the value of any service rendered by the
utilities to any reasonable allowances for interest,
depreciation, and other municipal department without charge;
(5) insurance; and (6) estimates of the amount of taxes that
would be chargeable against the utilities if owned by a
private corporation. For fiscal years ending before January 1,
2028, the The corporate authorities of the municipality shall
have printed annually for public distribution, a report
showing the financial standing and results, in the form
specified in this section, of the municipal ownership and
operation, or of municipal ownership and leasing. This report
shall be published in one or more newspapers published in the
municipality, or, if no newspaper is published therein, then
in one or more newspapers with a general circulation within
the municipality. In municipalities with less than 500
population in which no newspaper is published, publication may
instead be made by posting a notice in 3 prominent places
within the municipality.
For fiscal years ending before January 1, 2028, the The
accounts of the utilities shall be examined at least once a
year by a licensed Certified Public Accountant permitted to
perform audits under the Illinois Public Accounting Act, who
shall report to the corporate authorities the results of his

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examination. This accountant shall be selected in such manner
as the corporate authorities may direct, and he shall receive
for his services such compensation, to be paid out of the
revenue from the utilities, as the corporate authorities may
prescribe.
(Source: P.A. 94-465, eff. 8-4-05.)
(65 ILCS 5/11-130-11) (from Ch. 24, par. 11-130-11)
Sec. 11-130-11. Any municipality issuing revenue bonds
under this Division 130 shall install and maintain a proper
system of accounts, showing the amount of revenue received and
its application. For fiscal years ending before January 1,
2028, at At least once a year the municipality shall have the
accounts properly audited by a competent auditor. The report
of that audit shall be open for inspection at all proper times
to any taxpayer, water-user, or any holder of bonds issued
under this Division 130, or to anyone acting for and on behalf
of the taxpayer, water-user, or bondholder.
The treasurer of the municipality shall be custodian of
the funds derived from income received from waterworks
purchased or constructed either in whole or in part under the
provisions of this Division 130. He shall give proper bond for
the faithful discharge of his duties as such custodian, and
this bond shall be fixed and approved by the corporate
authorities of the municipality.
All of the funds received as income from waterworks

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purchased or constructed in whole or in part under the
provisions of this Division 130, and all of the funds received
from the sale of revenue bonds issued to construct such a
waterworks system, shall be kept separate and apart from the
other funds of the municipality. The treasurer shall maintain
separate accounts in which shall be placed (1) the interest
and sinking fund, (2) the depreciation fund and (3) the
operating and maintenance fund. He shall also provide for
refunding outstanding certificates payable out of water
revenue.
(Source: Laws 1961, p. 576.)
(65 ILCS 5/11-139-10) (from Ch. 24, par. 11-139-10)
Sec. 11-139-10. Any municipality operating a combined
waterworks and sewerage system under this Division 139, shall
set up and maintain a proper system of accounts showing the
amount of revenue received from the combined waterworks and
sewerage system and the application of this revenue. For
fiscal years ending before January 1, 2028, at At least once
each year the municipality shall have these accounts properly
audited, and a report of this audit shall be open to the public
for inspection at all reasonable times.
(Source: Laws 1961, p. 576.)
(65 ILCS 5/11-141-8) (from Ch. 24, par. 11-141-8)
Sec. 11-141-8. Every municipality which issues bonds under

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this Division 141 shall install and maintain a proper system
of accounts showing the amount of revenue received from the
sewerage system and the application of that revenue. For
fiscal years ending before January 1, 2028, at At least once
each year the municipality shall have the accounts properly
audited. A report of that audit shall be open for inspection at
all proper times to any taxpayer, sewerage system user, or the
holder of any bond issued under this Division 141, or their
respective representatives.
(Source: Laws 1961, p. 576.)
Section 900-47. The Home Equity Assurance Act is amended
by changing Section 11 and by adding Section 5.5 as follows:
(65 ILCS 95/5.5 new)
Sec. 5.5. Government Reporting Enhancement and
Transparency Act.
(a) For fiscal years ending before January 1, 2028,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of a home equity program
and its related governing commission shall be subject to the
Governmental Account Audit Act.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of a home equity program
and its related governing commission shall be subject to the

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Government Reporting Enhancement and Transparency Act.
(65 ILCS 95/11) (from Ch. 24, par. 1611)
Sec. 11. Guarantee Fund.
(a) Each governing commission and program created by
referendum under the provisions of this Act shall maintain a
guarantee fund for the purposes of paying the costs of
administering the program and extending protection to members
pursuant to the limitations and procedures set forth in this
Act.
(b) The guarantee fund shall be raised by means of an
annual tax levied on all residential property within the
territory of the program having at least one, but not more than
6 dwelling units and classified by county ordinance as
residential. The rate of this tax may be changed from year to
year by majority vote of the governing commission but in no
case shall it exceed a rate of .12% of the equalized assessed
valuation of all property in the territory of the program
having at least one, but not more than 6 dwelling units and
classified by county ordinance as residential, or the maximum
tax rate approved by the voters of the territory at the
referendum which created the program or, in the case of a
merged program, the maximum tax rate approved by the voters at
the referendum authorizing the merger, whichever rate is
lower. The commissioners shall cause the amount to be raised
by taxation in each year to be certified to the county clerk in

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the manner provided by law, and any tax so levied and certified
shall be collected and enforced in the same manner and by the
same officers as those taxes for the purposes of the county and
city within which the territory of the commission is located.
Any such tax, when collected, shall be paid over to the proper
officer of the commission who is authorized to receive and
receipt for such tax. The governing commission may issue tax
anticipation warrants against the taxes to be assessed for the
calendar year in which the program is created and for the first
full calendar year after the creation of the program.
(c) The moneys deposited in the guarantee fund shall, as
nearly as practicable, be fully and continuously invested or
reinvested by the governing commission in investment
obligations which shall be in such amounts, and shall mature
at such times, that the maturity or date of redemption at the
option of the holder of such investment obligations shall
coincide, as nearly as practicable, with the times at which
monies will be required for the purposes of the program. For
the purposes of this Section investment obligation shall mean
direct general municipal, state, or federal obligations which
at the time are legal investments under the laws of this State
and the payment of principal of and interest on which are
unconditionally guaranteed by the governing body issuing them.
(d) Except as permitted by this subsection and subsection
(d-5), the guarantee fund shall be used solely and exclusively
for the purpose of providing guarantees to members of the

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particular Guaranteed Home Equity Program and for reasonable
salaries, expenses, bills, and fees incurred in administering
the program, and shall be used for no other purpose.
A governing commission, with no less than $4,000,000 in
its guarantee fund, may, if authorized (i) by referendum duly
adopted by a majority of the voters or (ii) by resolution of
the governing commission upon approval by two-thirds of the
commissioners, establish a Low Interest Home Improvement Loan
Program in accordance with and subject to procedures
established by a financial institution, as defined in the
Illinois Banking Act. Whenever the question of creating a Low
Interest Home Improvement Loan Program is initiated by
resolution or ordinance of the corporate authorities of the
municipality or by a petition signed by not less than 10% of
the total number of registered voters of each precinct in the
territory, the registered voters of which are eligible to sign
the petition, it shall be the duty of the election authority
having jurisdiction over the municipality to submit the
question of creating the program to the electors of each
precinct within the territory at the regular election
specified in the resolution, ordinance, or petition initiating
the question. A petition initiating a question described in
this subsection shall be filed with the election authority
having jurisdiction over the municipality. The petition shall
be filed and objections to the petition shall be made in the
manner provided in the Election Code. A resolution, ordinance,

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or petition initiating a question described in this subsection
shall specify the election at which the question is to be
submitted. The referendum on the question shall be held in
accordance with the Election Code. The question shall be in
substantially the following form:
"Shall the (name of the home equity program) implement
a Low Interest Home Improvement Loan Program with money
from the guarantee fund of the established guaranteed home
equity program?"
The votes must be recorded as "Yes" or "No".
Whenever a majority of the voters on the public question
approve the creation of the program as certified by the proper
election authorities or a resolution of the governing
commission is approved by a two-thirds majority, the
commission shall establish the program and administer the
program with funds collected under the Guaranteed Home Equity
Program, subject to the following conditions:
(1) At any given time, the cumulative total of all
loans and loan guarantees (if applicable) issued under
this program may not reduce the balance of the guarantee
fund to less than $3,000,000.
(2) Only eligible applicants may apply for a loan.
(3) The loan must be used for the repair, maintenance,
remodeling, alteration, or improvement of a guaranteed
residence. This condition is intended to include the
repair or maintenance of a guaranteed residence's water

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and sewer pipes and repair of a guaranteed residence,
including, but not limited to, basement repairs, following
flooding damage or other natural disaster damage to the
property. This condition is not intended to exclude the
repair, maintenance, remodeling, alteration, or
improvement of a guaranteed residence's landscape. This
condition is intended to exclude the demolition of a
current residence. This condition is also intended to
exclude the construction of a new residence.
(4) An eligible applicant may not borrow more than the
amount of equity value in his or her residence.
(5) A commission must ensure that loans issued are
secured with collateral that is at least equal to the
amount of the loan or loan guarantee.
(6) A commission shall charge an interest rate which
it determines to be below the market rate of interest
generally available to the applicant.
(7) A commission may, by resolution, establish other
administrative rules and procedures as are necessary to
implement this program including, but not limited to, loan
dollar amounts and terms. A commission may also impose on
loan applicants a one-time application fee for the purpose
of defraying the costs of administering the program.
(8) A commission may use loan funds to issue a grant or
rebate for repairs, maintenance, remodeling, alteration,
or improvement of a guaranteed residence for purposes of

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preventing or repairing damage as a result of a natural
disaster, including, but not limited to, flooding.
(d-5) A governing commission, with no less than $4,000,000
in its guarantee fund, may, if authorized by referendum duly
adopted by a majority of the voters, establish a Foreclosure
Prevention Loan Fund to provide low interest emergency loans
to eligible applicants that may be forced into foreclosure
proceedings.
Whenever the question of creating a Foreclosure Prevention
Loan Fund is initiated by resolution or ordinance of the
corporate authorities of the municipality or by a petition
signed by not less than 10% of the total number of registered
voters of each precinct in the territory, the registered
voters of which are eligible to sign the petition, it shall be
the duty of the election authority having jurisdiction over
the municipality to submit the question of creating the
program to the electors of each precinct within the territory
at the regular election specified in the resolution,
ordinance, or petition initiating the question. A petition
initiating a question described in this subsection shall be
filed with the election authority having jurisdiction over the
municipality. The petition shall be filed and objections to
the petition shall be made in the manner provided in the
Election Code. A resolution, ordinance, or petition initiating
a question described in this subsection shall specify the
election at which the question is to be submitted. The

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referendum on the question shall be held in accordance with
the Election Code. The question shall be in substantially the
following form:
"Shall the (name of the home equity program) implement a
Foreclosure Prevention Loan Fund with money from the guarantee
fund of the established guaranteed home equity program?"
The votes must be recorded as "Yes" or "No".
Whenever a majority of the voters on the public question
approve the creation of a Foreclosure Prevention Loan Fund as
certified by the proper election authorities, the commission
shall establish the program and administer the program with
funds collected under the Guaranteed Home Equity Program,
subject to the following conditions:
(1) At any given time, the cumulative total of all
loans and loan guarantees (if applicable) issued under
this program may not exceed $3,000,000.
(2) Only eligible applicants may apply for a loan. The
Commission may establish, by resolution, additional
criteria for eligibility.
(3) The loan must be used to assist with preventing
foreclosure proceedings.
(4) An eligible applicant may not borrow more than the
amount of equity value in his or her residence.
(5) A commission must ensure that loans issued are
secured as a second lien on the property.
(6) A commission shall charge an interest rate which

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it determines to be below the market rate of interest
generally available to the applicant.
(7) A commission may, by resolution, establish other
administrative rules and procedures as are necessary to
implement this program including, but not limited to,
eligibility requirements for eligible applicants, loan
dollar amounts, and loan terms.
(8) A commission may also impose on loan applicants a
one-time application fee for the purpose of defraying the
costs of administering the program.
(d-10) The Northwest Home Equity Assurance Program may, if
authorized (i) by referendum approved by a majority of the
voters or (ii) by resolution of the governing commission upon
approval by two-thirds of the commissioners, establish a
Delinquent Tax Repayment Loan Fund to provide low-interest
emergency loans to eligible applicants.
If the question of creating a Delinquent Tax Repayment
Loan Fund is initiated by resolution or ordinance of the
corporate authorities of the municipality or by a petition
signed by not less than 10% of the total number of registered
voters of each precinct in the territory, the registered
voters of which are eligible to sign the petition, it shall be
the duty of the election authority having jurisdiction over
the municipality to submit the question of creating the
program to the electors of each precinct within the territory
at the regular election specified in the resolution,

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ordinance, or petition initiating the question. A resolution,
ordinance, or petition initiating a question described in this
subsection shall be filed with the election authority having
jurisdiction over the municipality. The resolution, ordinance,
or petition shall be filed and objections to the resolution,
ordinance, or petition shall be made in the manner provided in
the Election Code. A resolution, ordinance, or petition
initiating a question described in this subsection shall
specify the election at which the question is to be submitted.
The referendum on the question shall be held in accordance
with the Election Code. The question shall be in substantially
the following form:
"Shall the (name of the home equity program) implement
a Delinquent Tax Repayment Loan Fund with money from the
guarantee fund of the Northwest Home Equity Assurance
Program?"
The votes must be recorded as "Yes" or "No".
If a majority of the voters on the question approve the
creation of a Delinquent Tax Repayment Loan Fund as certified
by the proper election authorities or two-thirds of the
commissioners, by resolution, approve the creation of a
Delinquent Tax Repayment Loan Fund, the commission shall
establish the program and administer the program with funds
collected under the program, subject to the following
conditions:
(1) At any given time, the cumulative total of all

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loans and loan guarantees (if applicable) issued under
this program may not exceed $3,000,000.
(2) Only eligible applicants may apply for a loan. The
commission may establish, by resolution, additional
criteria for eligibility.
(3) The loan must be used to assist with repayment of
delinquent property taxes and for those facing imminent
delinquency.
(4) An eligible applicant may not borrow more than the
amount due to the treasurer's office.
(5) A commission shall charge an interest rate which
it determines to be below the market rate of interest
generally available to the applicant.
(6) A commission may, by resolution, establish other
administrative rules and procedures as are necessary to
implement this program including, but not limited to,
eligibility requirements for eligible applicants, loan
dollar amounts, and loan terms.
(7) Where practicable, it shall be required that a
borrower obtain free housing counseling services prior to
applying to this tax program for the purpose of assisting
with budgeting and providing a recommendation as to
whether this client is suited for this program.
(8) A commission may also impose on loan applicants a
one-time application fee for the purpose of defraying the
costs of administering the program.

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(e) The guarantee fund shall be maintained, invested, and
expended exclusively by the governing commission of the
program for whose purposes it was created. Under no
circumstance shall the guarantee fund be used by any person or
persons, governmental body, or public or private agency or
concern other than the governing commission of the program for
whose purposes it was created. Under no circumstances shall
the guarantee fund be commingled with other funds or
investments.
(e-1) No commissioner or family member of a commissioner,
or employee or family member of an employee, may receive any
financial benefit, either directly or indirectly, from the
guarantee fund. Nothing in this subsection (e-1) shall be
construed to prohibit payment of expenses to a commissioner in
accordance with Section 4 or payment of salaries or expenses
to an employee in accordance with this Section.
As used in this subsection (e-1), "family member" means a
spouse, child, stepchild, parent, brother, or sister of a
commissioner or a child, stepchild, parent, brother, or sister
of a commissioner's spouse.
(f) For fiscal years ending before January 1, 2028, an An
independent audit of the guarantee fund and the management of
the program shall be conducted annually and made available to
the public through any office of the governing commission or a
public facility such as a local public library located within
the territory of the program.

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(Source: P.A. 102-599, eff. 1-1-22; 103-737, eff. 1-1-25.)
Section 900-50. The Airport Authorities Act is amended by
changing Section 11 as follows:
(70 ILCS 5/11) (from Ch. 15 1/2, par. 68.11)
Sec. 11. Records of authority and officers' bonds.
(a) For fiscal years ending before January 1, 2028, the
The Board shall provide for the proper and safe keeping of its
permanent records and for the recording of the corporate
action of the Authority. It shall keep a true and accurate
account of its receipts and an annual audit shall be made of
its books, records and accounts. All officers and employees
authorized to receive or retain the custody of money or to sign
vouchers, checks, warrants or evidences of indebtedness
binding upon the Authority shall furnish surety bond for the
faithful performance of their duties and the faithful
accounting for all moneys that may come into their hands in an
amount to be fixed and in a form to be approved by the Board.
(b) For fiscal years beginning after December 31, 2027,
the Board shall provide for the proper and safe keeping of its
permanent records and for the recording of the corporate
action of the Authority. It shall keep a true and accurate
account of its receipts and disbursements. All officers and
employees authorized to receive or retain the custody of money
or to sign vouchers, checks, warrants or evidences of

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indebtedness binding upon the Authority shall furnish surety
bond for the faithful performance of their duties and the
faithful accounting for all moneys that may come into their
hands in an amount to be fixed and in a form to be approved by
the Board.
(c) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the airport authority
shall be subject to the Government Reporting Enhancement and
Transparency Act.
(Source: Laws 1945, p. 290.)
Section 900-55. The Interstate Airport Authorities Act is
amended by changing Section 3 as follows:
(70 ILCS 10/3) (from Ch. 15 1/2, par. 253)
Sec. 3. (a) A party state shall not be obligated to
appropriate funds of the state for the development, support
and maintenance of the airport authority. All revenue received
from the air facility and the property, both real and
personal, within the jurisdiction and control of the airport
authority shall be applied to the maintenance and development
of the air facility. All limitations upon expenditures, which
may be an element of title to the real estate held by the
airport authority, shall be observed.
(b) Revenue bonds to be retired exclusively from income

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received from the operation of the air facility may be issued
by the airport authority and in the name of such authority in
accordance with the laws of the state in which the air facility
is located, which laws prescribe the terms and conditions for
the issuance of revenue bonds by airport authorities.
(c) The airport authority may secure loans from private
financing and offer as collateral those assets, real, personal
or mixed, not inconsistent with the laws of the state in which
the airport is located.
(d) Each year on or before the first day of July, the
airport authority shall prepare a budget of its estimated
expenditures for the fiscal year beginning on the first day of
January of the succeeding year and shall on or before the first
of July submit a copy of said report to the various combining
governmental units. The estimated expenditures shall be
allocated and prorated equally between the various combining
governmental units and a statement of the allocated amount
shall be included in the copy of the budgetary report
submitted to the combining governmental units. To provide
funds to pay its share of the proposed expenditures, each
combining governmental unit is authorized to annually levy a
tax on property located within the governmental unit at a rate
sufficient to raise funds to pay its prorated share of
estimated expenditures. Said tax shall be levied and collected
in the same manner as other property taxes are levied and
collected by the governmental unit and in accordance with the

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tax laws of the state in which such unit is located. The money
raised by the levying of such tax shall be appropriated and
distributed to the airport authority by the governmental unit:
Provided, That such funds so appropriated shall be used
exclusively for the development and maintenance of the air
facility.
(e) The airport authority may meet any of its obligations
in whole or in part with funds made available to it under the
provisions of section 2 of this Act: Provided, That the
airport authority takes specific action setting aside such
funds prior to the incurring of any obligation to be met in
whole or in part in this manner.
(f) The expenses and any other costs for each member of the
airport authority shall be met by the airport authority in
accordance with such standards and procedures as it may
establish under its bylaws and rules and regulations.
(g) For fiscal years ending before January 1, 2028, the
The airport authority shall be required to keep accurate
record of all accounts of receipts and disbursements. The
receipts and disbursements of the airport authority shall be
subject to an annual audit, and accounting procedures
established under its bylaws: Provided, That all receipts and
disbursements of funds handled by the airport authority shall
be audited by a qualified public accountant and the report of
the audit shall be incorporated into and become a part of the
annual report of the airport authority.

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(h) The accounts of the airport authority shall be open to
inspection by the general public at any reasonable time.
(i) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the airport authority
shall be subject to the Government Reporting Enhancement and
Transparency Act.
(Source: Laws 1963, P. 2121.)
Section 900-60. The Cemetery Maintenance District Act is
amended by changing Section 5 as follows:
(70 ILCS 105/5) (from Ch. 21, par. 64.24e)
Sec. 5. Report and financial statement.
(a) The trustees shall exercise all of the powers and
control all the affairs of such district. The board of
trustees, immediately after their appointment and at their
first meeting in May of each year thereafter, shall elect one
of their number as president and one of their number as
secretary. The board shall prescribe the duties and fix the
compensation of all of the officers and employees of the
cemetery maintenance district; but no member of the board of
trustees shall receive a sum to exceed $50.00 per annum. The
board of trustees shall have full power to pass all necessary
ordinances, rules and regulations for the proper management
and conduct of the business of the cemetery maintenance

10400HB5391ham001 - 233 - LRB104 18487 RTM 35239 a
district for carrying into effect the objects for which the
district was formed.
(b) The board of trustees may incur indebtedness on behalf
of the district not to exceed $50,000 in the aggregate for the
purpose of acquiring land for grave sites. The indebtedness
shall be evidenced by a promissory note of the district
requiring repayment in full no more than 20 years after the
date the indebtedness is incurred. The board of trustees may
give a mortgage on the land acquired to secure the
indebtedness.
(c) The board of trustees may accept gifts on behalf of the
district. The gifts may be in any form, from any source, and
for any legal purpose.
(d) The board of trustees shall keep a true and accurate
account of its receipts and disbursements.
(e) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the Board shall be
subject to the Government Reporting Enhancement and
Transparency Act.
(Source: P.A. 86-144; 86-396.)
Section 900-65. The Civic Center Code is amended by
changing Sections 2-135, 15-40, 20-70, 30-35, 50-35, 55-60,
100-55, 110-35, 125-50, 155-65, 175-30, 185-55, 190-55,
195-35, 200-65, 205-105, 250-40, 255-130, and 280-90 as

10400HB5391ham001 - 234 - LRB104 18487 RTM 35239 a
follows:
(70 ILCS 200/2-135)
Sec. 2-135. Report and financial statement.
(a) For fiscal years ending before January 1, 2028, as As
soon after the end of each fiscal year as may be expedient, the
Board shall cause to be prepared and printed a complete and
detailed report and financial statement of its operations and
of its assets and liabilities. A reasonably sufficient number
of copies of such report shall be printed for distribution to
persons interested upon request and a copy thereof shall be
filed with the county clerk and the appointing officers.
(b) For fiscal years ending before January 1, 2028,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the Board shall be
subject to the Governmental Account Audit Act.
(c) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the Board shall be
subject to the Government Reporting Enhancement and
Transparency Act.
(Source: P.A. 90-328, eff. 1-1-98.)
(70 ILCS 200/15-40)
Sec. 15-40. Standard civic center provisions incorporated
by reference. The following Sections of this Code are

10400HB5391ham001 - 235 - LRB104 18487 RTM 35239 a
incorporated by reference into this Article:
Section 2-3. Purpose.
Section 2-5. Definitions.
Section 2-10. Lawsuits; common seal.
Section 2-15. Duties; auditorium, recreational, and other
buildings; lease of space.
Section 2-20. Rights and powers, including eminent domain.
Section 2-25. Incurring obligations.
Section 2-30. Prompt payment.
Section 2-35. Acquisition of property from person, State,
or local agency.
Section 2-40. Federal money.
Section 2-45. Insurance.
Section 2-50. Borrowing; revenue bonds; suits to compel
performance.
Section 2-55. Bonds; nature of indebtedness.
Section 2-60. Investment in bonds.
Section 2-75. Board members; financial matters; conflict
of interest.
Section 2-80. Board members' oath.
Section 2-85. Board members; vacancy in office.
Section 2-90. Organization of the Board.
Section 2-95. Meetings; action by 5 Board members.
Section 2-100. Secretary; treasurer.
Section 2-105. Funds.
Section 2-110. Signatures on checks or drafts.

10400HB5391ham001 - 236 - LRB104 18487 RTM 35239 a
Section 2-115. General manager; other appointments.
Section 2-122. Rules and regulations; penalties.
Section 2-125. Contracts; award to other than highest or
lowest bidder by vote of 5 Board members.
Section 2-130. Bids and advertisements.
Section 2-135. Report and financial statement.
Section 2-140. State financial support.
Section 2-145. Anti-trust laws.
Section 2-150. Tax exemption.
(Source: P.A. 90-328, eff. 1-1-98.)
(70 ILCS 200/20-70)
Sec. 20-70. Standard civic center provisions incorporated
by reference. The following Sections of this Code are
incorporated by reference into this Article:
Section 2-3. Purpose.
Section 2-5. Definitions.
Section 2-10. Lawsuits; common seal.
Section 2-25. Incurring obligations.
Section 2-30. Prompt payment.
Section 2-35. Acquisition of property from person, State,
or local agency.
Section 2-45. Insurance.
Section 2-60. Investment in bonds.
Section 2-76. Board members; financial matters;
compensation for secretary or treasurer; conflict of interest.

10400HB5391ham001 - 237 - LRB104 18487 RTM 35239 a
Section 2-80. Board members' oath.
Section 2-83. Removal of Board member from office.
Section 2-85. Board members; vacancy in office.
Section 2-97. Board meetings; public records.
Section 2-101. Secretary; treasurer; funds deposited in
bank or savings and loan association.
Section 2-110. Signatures on checks or drafts.
Section 2-115. General manager; other appointments.
Section 2-120. Ordinances, rules, and regulations; fines
and penalties.
Section 2-128. Contracts; award to other than highest or
lowest bidder by three-fourths vote.
Section 2-130. Bids and advertisements.
Section 2-132. Bidders; civil action to compel compliance.
Section 2-135. Report and financial statement.
Section 2-140. State financial support.
Section 2-145. Anti-trust laws.
Section 2-150. Tax exemption.
(Source: P.A. 90-328, eff. 1-1-98.)
(70 ILCS 200/30-35)
Sec. 30-35. Standard civic center provisions incorporated
by reference. The following Sections of this Code are
incorporated by reference into this Article:
Section 2-5. Definitions.
Section 2-10. Lawsuits; common seal.

10400HB5391ham001 - 238 - LRB104 18487 RTM 35239 a
Section 2-17. Duties; auditorium and other buildings.
Section 2-21. Rights and powers.
Section 2-25. Incurring obligations.
Section 2-30. Prompt payment.
Section 2-36. Acquisition of property from person or
governmental agency.
Section 2-40. Federal money.
Section 2-45. Insurance.
Section 2-51. Borrowing; revenue bonds; mandamus or other
actions to compel performance.
Section 2-75. Board members; financial matters; conflict
of interest.
Section 2-90. Organization of the Board.
Section 2-95. Meetings; action by 5 Board members.
Section 2-101. Secretary; treasurer; funds deposited in
bank or savings and loan association.
Section 2-106. Funds; compliance with Public Funds
Investment Act.
Section 2-110. Signatures on checks or drafts.
Section 2-115. General manager; other appointments.
Section 2-120. Ordinances, rules, and regulations; fines
and penalties.
Section 2-127. Contracts; award to other than highest or
lowest bidder by four-fifths vote.
Section 2-130. Bids and advertisements.
Section 2-135. Report and financial statement.

10400HB5391ham001 - 239 - LRB104 18487 RTM 35239 a
Section 2-140. State financial support.
Section 2-145. Anti-trust laws.
Section 2-150. Tax exemption.
(Source: P.A. 90-328, eff. 1-1-98.)
(70 ILCS 200/50-35)
Sec. 50-35. Standard civic center provisions incorporated
by reference. The following Sections of this Code are
incorporated by reference into this Article:
Section 2-5. Definitions.
Section 2-10. Lawsuits; common seal.
Section 2-17. Duties; auditorium and other buildings.
Section 2-21. Rights and powers.
Section 2-25. Incurring obligations.
Section 2-30. Prompt payment.
Section 2-36. Acquisition of property from person or
governmental agency.
Section 2-40. Federal money.
Section 2-45. Insurance.
Section 2-76. Board members; financial matters;
compensation for secretary or treasurer; conflict of interest.
Section 2-80. Board members' oath.
Section 2-83. Removal of Board member from office.
Section 2-85. Board members; vacancy in office.
Section 2-90. Organization of the Board.
Section 2-95. Meetings; action by 5 Board members.

10400HB5391ham001 - 240 - LRB104 18487 RTM 35239 a
Section 2-101. Secretary; treasurer; funds deposited in
bank or savings and loan association.
Section 2-106. Funds; compliance with Public Funds
Investment Act.
Section 2-110. Signatures on checks or drafts.
Section 2-115. General manager; other appointments.
Section 2-120. Ordinances, rules, and regulations; fines
and penalties.
Section 2-127. Contracts; award to other than highest or
lowest bidder by four-fifths vote.
Section 2-130. Bids and advertisements.
Section 2-135. Report and financial statement.
Section 2-140. State financial support.
Section 2-145. Anti-trust laws.
Section 2-150. Tax exemption.
(Source: P.A. 90-328, eff. 1-1-98.)
(70 ILCS 200/55-60)
Sec. 55-60. Standard civic center provisions incorporated
by reference. The following Sections of this Code are
incorporated by reference into this Article:
Section 2-3. Purpose.
Section 2-5. Definitions.
Section 2-10. Lawsuits; common seal.
Section 2-15. Duties; auditorium, recreational, and other
buildings; lease of space.

10400HB5391ham001 - 241 - LRB104 18487 RTM 35239 a
Section 2-20. Rights and powers, including eminent domain.
Section 2-25. Incurring obligations.
Section 2-30. Prompt payment.
Section 2-35. Acquisition of property from person, State,
or local agency.
Section 2-40. Federal money.
Section 2-45. Insurance.
Section 2-50. Borrowing; revenue bonds; suits to compel
performance.
Section 2-55. Bonds; nature of indebtedness.
Section 2-60. Investment in bonds.
Section 2-75. Board members; financial matters; conflict
of interest.
Section 2-80. Board members' oath.
Section 2-97. Board meetings; public records.
Section 2-100. Secretary; treasurer.
Section 2-105. Funds.
Section 2-110. Signatures on checks or drafts.
Section 2-115. General manager; other appointments.
Section 2-122. Rules and regulations; penalties.
Section 2-130. Bids and advertisements.
Section 2-135. Report and financial statement.
Section 2-140. State financial support.
Section 2-145. Anti-trust laws.
Section 2-150. Tax exemption.
(Source: P.A. 90-328, eff. 1-1-98.)

10400HB5391ham001 - 242 - LRB104 18487 RTM 35239 a
(70 ILCS 200/100-55)
Sec. 100-55. Standard civic center provisions incorporated
by reference. The following Sections of this Code are
incorporated by reference into this Article:
Section 2-5. Definitions.
Section 2-10. Lawsuits; common seal.
Section 2-17. Duties; auditorium and other buildings.
Section 2-21. Rights and powers.
Section 2-25. Incurring obligations.
Section 2-30. Prompt payment.
Section 2-36. Acquisition of property from person or
governmental agency.
Section 2-40. Federal money.
Section 2-45. Insurance.
Section 2-75. Board members; financial matters; conflict
of interest.
Section 2-80. Board members' oath.
Section 2-83. Removal of Board member from office.
Section 2-85. Board members; vacancy in office.
Section 2-90. Organization of the Board.
Section 2-95. Meetings; action by 5 Board members.
Section 2-101. Secretary; treasurer; funds deposited in
bank or savings and loan association.
Section 2-106. Funds; compliance with Public Funds
Investment Act.

10400HB5391ham001 - 243 - LRB104 18487 RTM 35239 a
Section 2-110. Signatures on checks or drafts.
Section 2-115. General manager; other appointments.
Section 2-120. Ordinances, rules, and regulations; fines
and penalties.
Section 2-127. Contracts; award to other than highest or
lowest bidder by four-fifths vote.
Section 2-130. Bids and advertisements.
Section 2-135. Report and financial statement.
Section 2-140. State financial support.
Section 2-145. Anti-trust laws.
Section 2-150. Tax exemption.
(Source: P.A. 90-328, eff. 1-1-98.)
(70 ILCS 200/110-35)
Sec. 110-35. Standard civic center provisions incorporated
by reference. The following Sections of this Code are
incorporated by reference into this Article:
Section 2-3. Purpose.
Section 2-5. Definitions.
Section 2-10. Lawsuits; common seal.
Section 2-15. Duties; auditorium, recreational, and other
buildings; lease of space.
Section 2-20. Rights and powers, including eminent domain.
Section 2-25. Incurring obligations.
Section 2-30. Prompt payment.
Section 2-35. Acquisition of property from person, State,

10400HB5391ham001 - 244 - LRB104 18487 RTM 35239 a
or local agency.
Section 2-40. Federal money.
Section 2-45. Insurance.
Section 2-50. Borrowing; revenue bonds; suits to compel
performance.
Section 2-55. Bonds; nature of indebtedness.
Section 2-60. Investment in bonds.
Section 2-75. Board members; financial matters; conflict
of interest.
Section 2-80. Board members' oath.
Section 2-85. Board members; vacancy in office.
Section 2-90. Organization of the Board.
Section 2-95. Meetings; action by 5 Board members.
Section 2-100. Secretary; treasurer.
Section 2-105. Funds.
Section 2-110. Signatures on checks or drafts.
Section 2-115. General manager; other appointments.
Section 2-122. Rules and regulations; penalties.
Section 2-125. Contracts; award to other than highest or
lowest bidder by vote of 5 Board members.
Section 2-130. Bids and advertisements.
Section 2-132. Bidders; civil action to compel compliance.
Section 2-135. Report and financial statement.
Section 2-140. State financial support.
Section 2-145. Anti-trust laws.
Section 2-150. Tax exemption.

10400HB5391ham001 - 245 - LRB104 18487 RTM 35239 a
(Source: P.A. 90-328, eff. 1-1-98.)
(70 ILCS 200/125-50)
Sec. 125-50. Standard civic center provisions incorporated
by reference. The following Sections of this Code are
incorporated by reference into this Article:
Section 2-5. Definitions.
Section 2-10. Lawsuits; common seal.
Section 2-16. Duties; auditorium and other buildings;
lease of space.
Section 2-25. Incurring obligations.
Section 2-35. Acquisition of property from person, State,
or local agency.
Section 2-40. Federal money.
Section 2-45. Insurance.
Section 2-60. Investment in bonds.
Section 2-76. Board members; financial matters;
compensation for secretary or treasurer; conflict of interest.
Section 2-80. Board members' oath.
Section 2-83. Removal of Board member from office.
Section 2-85. Board members; vacancy in office.
Section 2-90. Organization of the Board.
Section 2-95. Meetings; action by 5 Board members.
Section 2-101. Secretary; treasurer; funds deposited in
bank or savings and loan association.
Section 2-106. Funds; compliance with Public Funds

10400HB5391ham001 - 246 - LRB104 18487 RTM 35239 a
Investment Act.
Section 2-110. Signatures on checks or drafts.
Section 2-115. General manager; other appointments.
Section 2-120. Ordinances, rules, and regulations; fines
and penalties.
Section 2-127. Contracts; award to other than highest or
lowest bidder by four-fifths vote.
Section 2-130. Bids and advertisements.
Section 2-135. Report and financial statement.
Section 2-140. State financial support.
Section 2-145. Anti-trust laws.
Section 2-150. Tax exemption.
(Source: P.A. 90-328, eff. 1-1-98.)
(70 ILCS 200/155-65)
Sec. 155-65. Standard civic center provisions incorporated
by reference. The following Sections of this Code are
incorporated by reference into this Article:
Section 2-5. Definitions.
Section 2-10. Lawsuits; common seal.
Section 2-17. Duties; auditorium and other buildings.
Section 2-25. Incurring obligations.
Section 2-30. Prompt payment.
Section 2-40. Federal money.
Section 2-45. Insurance.
Section 2-75. Board members; financial matters; conflict

10400HB5391ham001 - 247 - LRB104 18487 RTM 35239 a
of interest.
Section 2-90. Organization of the Board.
Section 2-96. Meetings; action by 4 Board members.
Section 2-101. Secretary; treasurer; funds deposited in
bank or savings and loan association.
Section 2-106. Funds; compliance with Public Funds
Investment Act.
Section 2-110. Signatures on checks or drafts.
Section 2-115. General manager; other appointments.
Section 2-120. Ordinances, rules, and regulations; fines
and penalties.
Section 2-130. Bids and advertisements.
Section 2-135. Report and financial statement.
Section 2-145. Anti-trust laws.
Section 2-150. Tax exemption.
(Source: P.A. 90-328, eff. 1-1-98.)
(70 ILCS 200/175-30)
Sec. 175-30. Standard civic center provisions incorporated
by reference. The following Sections of this Code are
incorporated by reference into this Article:
Section 2-5. Definitions.
Section 2-10. Lawsuits; common seal.
Section 2-17. Duties; auditorium and other buildings.
Section 2-21. Rights and powers.
Section 2-25. Incurring obligations.

10400HB5391ham001 - 248 - LRB104 18487 RTM 35239 a
Section 2-36. Acquisition of property from person or
governmental agency.
Section 2-40. Federal money.
Section 2-45. Insurance.
Section 2-51. Borrowing; revenue bonds; mandamus or other
actions to compel performance.
Section 2-75. Board members; financial matters; conflict
of interest.
Section 2-80. Board members' oath.
Section 2-83. Removal of Board member from office.
Section 2-85. Board members; vacancy in office.
Section 2-90. Organization of the Board.
Section 2-96. Meetings; action by 4 Board members.
Section 2-101. Secretary; treasurer; funds deposited in
bank or savings and loan association.
Section 2-106. Funds; compliance with Public Funds
Investment Act.
Section 2-110. Signatures on checks or drafts.
Section 2-115. General manager; other appointments.
Section 2-120. Ordinances, rules, and regulations; fines
and penalties.
Section 2-127. Contracts; award to other than highest or
lowest bidder by four-fifths vote.
Section 2-130. Bids and advertisements.
Section 2-135. Report and financial statement.
Section 2-140. State financial support.

10400HB5391ham001 - 249 - LRB104 18487 RTM 35239 a
Section 2-145. Anti-trust laws.
Section 2-150. Tax exemption.
(Source: P.A. 90-328, eff. 1-1-98.)
(70 ILCS 200/185-55)
Sec. 185-55. Standard civic center provisions incorporated
by reference. The following Sections of this Code are
incorporated by reference into this Article:
Section 2-5. Definitions.
Section 2-10. Lawsuits; common seal.
Section 2-16. Duties; auditorium and other buildings;
lease of space.
Section 2-25. Incurring obligations.
Section 2-35. Acquisition of property from person, State,
or local agency.
Section 2-40. Federal money.
Section 2-45. Insurance.
Section 2-60. Investment in bonds.
Section 2-76. Board members; financial matters;
compensation for secretary or treasurer; conflict of interest.
Section 2-80. Board members' oath.
Section 2-83. Removal of Board member from office.
Section 2-85. Board members; vacancy in office.
Section 2-90. Organization of the Board.
Section 2-95. Meetings; action by 5 Board members.
Section 2-101. Secretary; treasurer; funds deposited in

10400HB5391ham001 - 250 - LRB104 18487 RTM 35239 a
bank or savings and loan association.
Section 2-106. Funds; compliance with Public Funds
Investment Act.
Section 2-110. Signatures on checks or drafts.
Section 2-115. General manager; other appointments.
Section 2-120. Ordinances, rules, and regulations; fines
and penalties.
Section 2-127. Contracts; award to other than highest or
lowest bidder by four-fifths vote.
Section 2-130. Bids and advertisements.
Section 2-135. Report and financial statement.
Section 2-140. State financial support.
Section 2-145. Anti-trust laws.
Section 2-150. Tax exemption.
(Source: P.A. 90-328, eff. 1-1-98.)
(70 ILCS 200/190-55)
Sec. 190-55. Standard civic center provisions incorporated
by reference. The following Sections of this Code are
incorporated by reference into this Article:
Section 2-5. Definitions.
Section 2-10. Lawsuits; common seal.
Section 2-17. Duties; auditorium and other buildings.
Section 2-21. Rights and powers.
Section 2-25. Incurring obligations.
Section 2-30. Prompt payment.

10400HB5391ham001 - 251 - LRB104 18487 RTM 35239 a
Section 2-36. Acquisition of property from person or
governmental agency.
Section 2-40. Federal money.
Section 2-45. Insurance.
Section 2-51. Borrowing; revenue bonds; mandamus or other
actions to compel performance.
Section 2-75. Board members; financial matters; conflict
of interest.
Section 2-80. Board members' oath.
Section 2-83. Removal of Board member from office.
Section 2-85. Board members; vacancy in office.
Section 2-90. Organization of the Board.
Section 2-96. Meetings; action by 4 Board members.
Section 2-101. Secretary; treasurer; funds deposited in
bank or savings and loan association.
Section 2-106. Funds; compliance with Public Funds
Investment Act.
Section 2-110. Signatures on checks or drafts.
Section 2-120. Ordinances, rules, and regulations; fines
and penalties.
Section 2-127. Contracts; award to other than highest or
lowest bidder by four-fifths vote.
Section 2-130. Bids and advertisements.
Section 2-135. Report and financial statement.
Section 2-140. State financial support.
Section 2-145. Anti-trust laws.

10400HB5391ham001 - 252 - LRB104 18487 RTM 35239 a
Section 2-150. Tax exemption.
(Source: P.A. 90-328, eff. 1-1-98.)
(70 ILCS 200/195-35)
Sec. 195-35. Standard civic center provisions incorporated
by reference. The following Sections of this Code are
incorporated by reference into this Article:
Section 2-3. Purpose.
Section 2-5. Definitions.
Section 2-10. Lawsuits; common seal.
Section 2-15. Duties; auditorium, recreational, and other
buildings; lease of space.
Section 2-20. Rights and powers, including eminent domain.
Section 2-25. Incurring obligations.
Section 2-30. Prompt payment.
Section 2-35. Acquisition of property from person, State,
or local agency.
Section 2-40. Federal money.
Section 2-45. Insurance.
Section 2-50. Borrowing; revenue bonds; suits to compel
performance.
Section 2-55. Bonds; nature of indebtedness.
Section 2-60. Investment in bonds.
Section 2-75. Board members; financial matters; conflict
of interest.
Section 2-80. Board members' oath.

10400HB5391ham001 - 253 - LRB104 18487 RTM 35239 a
Section 2-85. Board members; vacancy in office.
Section 2-90. Organization of the Board.
Section 2-95. Meetings; action by 5 Board members.
Section 2-100. Secretary; treasurer.
Section 2-105. Funds.
Section 2-110. Signatures on checks or drafts.
Section 2-115. General manager; other appointments.
Section 2-122. Rules and regulations; penalties.
Section 2-125. Contracts; award to other than highest or
lowest bidder by vote of 5 Board members.
Section 2-130. Bids and advertisements.
Section 2-132. Bidders; civil action to compel compliance.
Section 2-135. Report and financial statement.
Section 2-140. State financial support.
Section 2-145. Anti-trust laws.
Section 2-150. Tax exemption.
(Source: P.A. 90-328, eff. 1-1-98.)
(70 ILCS 200/200-65)
Sec. 200-65. Standard civic center provisions incorporated
by reference. The following Sections of this Code are
incorporated by reference into this Article:
Section 2-5. Definitions.
Section 2-10. Lawsuits; common seal.
Section 2-16. Duties; auditorium and other buildings;
lease of space.

10400HB5391ham001 - 254 - LRB104 18487 RTM 35239 a
Section 2-25. Incurring obligations.
Section 2-30. Prompt payment.
Section 2-35. Acquisition of property from person, State,
or local agency.
Section 2-40. Federal money.
Section 2-45. Insurance.
Section 2-50. Borrowing; revenue bonds; suits to compel
performance.
Section 2-60. Investment in bonds.
Section 2-76. Board members; financial matters;
compensation for secretary or treasurer; conflict of interest.
Section 2-80. Board members' oath.
Section 2-83. Removal of Board member from office.
Section 2-85. Board members; vacancy in office.
Section 2-90. Organization of the Board.
Section 2-100. Secretary; treasurer.
Section 2-105. Funds.
Section 2-110. Signatures on checks or drafts.
Section 2-115. General manager; other appointments.
Section 2-120. Ordinances, rules, and regulations; fines
and penalties.
Section 2-130. Bids and advertisements.
Section 2-135. Report and financial statement.
Section 2-140. State financial support.
Section 2-145. Anti-trust laws.
Section 2-150. Tax exemption.

10400HB5391ham001 - 255 - LRB104 18487 RTM 35239 a
(Source: P.A. 90-328, eff. 1-1-98.)
(70 ILCS 200/205-105)
Sec. 205-105. Standard civic center provisions
incorporated by reference. The following Sections of this Code
are incorporated by reference into this Article:
Section 2-5. Definitions.
Section 2-10. Lawsuits; common seal.
Section 2-45. Insurance.
Section 2-135. Report and financial statement.
Section 2-140. State financial support.
Section 2-145. Anti-trust laws.
Section 2-150. Tax exemption.
(Source: P.A. 90-328, eff. 1-1-98.)
(70 ILCS 200/250-40)
Sec. 250-40. Standard civic center provisions incorporated
by reference. The following Sections of this Code are
incorporated by reference into this Article:
Section 2-5. Definitions.
Section 2-10. Lawsuits; common seal.
Section 2-17. Duties; auditorium and other buildings.
Section 2-21. Rights and powers.
Section 2-25. Incurring obligations.
Section 2-36. Acquisition of property from person or
governmental agency.

10400HB5391ham001 - 256 - LRB104 18487 RTM 35239 a
Section 2-40. Federal money.
Section 2-45. Insurance.
Section 2-51. Borrowing; revenue bonds; mandamus or other
actions to compel performance.
Section 2-75. Board members; financial matters; conflict
of interest.
Section 2-80. Board members' oath.
Section 2-83. Removal of Board member from office.
Section 2-85. Board members; vacancy in office.
Section 2-90. Organization of the Board.
Section 2-96. Meetings; action by 4 Board members.
Section 2-101. Secretary; treasurer; funds deposited in
bank or savings and loan association.
Section 2-106. Funds; compliance with Public Funds
Investment Act.
Section 2-110. Signatures on checks or drafts.
Section 2-115. General manager; other appointments.
Section 2-120. Ordinances, rules, and regulations; fines
and penalties.
Section 2-127. Contracts; award to other than highest or
lowest bidder by four-fifths vote.
Section 2-130. Bids and advertisements.
Section 2-135. Report and financial statement.
Section 2-140. State financial support.
Section 2-145. Anti-trust laws.
Section 2-150. Tax exemption.

10400HB5391ham001 - 257 - LRB104 18487 RTM 35239 a
(Source: P.A. 90-328, eff. 1-1-98.)
(70 ILCS 200/255-130)
Sec. 255-130. Standard civic center provisions
incorporated by reference. The following Sections of this Code
are incorporated by reference into this Article:
Section 2-5. Definitions.
Section 2-10. Lawsuits; common seal.
Section 2-25. Incurring obligations.
Section 2-30. Prompt payment.
Section 2-35. Acquisition of property from person, State,
or local agency.
Section 2-45. Insurance.
Section 2-60. Investment in bonds.
Section 2-76. Board members; financial matters;
compensation for secretary or treasurer; conflict of interest.
Section 2-101. Secretary; treasurer; funds deposited in
bank or savings and loan association.
Section 2-110. Signatures on checks or drafts.
Section 2-115. General manager; other appointments.
Section 2-120. Ordinances, rules, and regulations; fines
and penalties.
Section 2-128. Contracts; award to other than highest or
lowest bidder by three-fourths vote.
Section 2-130. Bids and advertisements.
Section 2-135. Report and financial statement.

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Section 2-140. State financial support.
Section 2-145. Anti-trust laws.
Section 2-150. Tax exemption.
Section 2-155. Partial invalidity.
(Source: P.A. 90-328, eff. 1-1-98.)
(70 ILCS 200/280-90)
Sec. 280-90. Standard civic center provisions incorporated
by reference. The following Sections of this Code are
incorporated by reference into this Article:
Section 2-3. Purpose.
Section 2-5. Definitions.
Section 2-10. Lawsuits; common seal.
Section 2-25. Incurring obligations.
Section 2-30. Prompt payment.
Section 2-35. Acquisition of property from person, State,
or local agency.
Section 2-45. Insurance.
Section 2-60. Investment in bonds.
Section 2-76. Board members; financial matters;
compensation for secretary or treasurer; conflict of interest.
Section 2-80. Board members' oath.
Section 2-101. Secretary; treasurer; funds deposited in
bank or savings and loan association.
Section 2-110. Signatures on checks or drafts.
Section 2-115. General manager; other appointments.

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Section 2-120. Ordinances, rules, and regulations; fines
and penalties.
Section 2-130. Bids and advertisements.
Section 2-132. Bidders; civil action to compel compliance.
Section 2-135. Report and financial statement.
Section 2-140. State financial support.
Section 2-145. Anti-trust laws.
Section 2-150. Tax exemption.
(Source: P.A. 90-328, eff. 1-1-98.)
(70 ILCS 200/15-35 rep.)
(70 ILCS 200/20-65 rep.)
(70 ILCS 200/30-30 rep.)
(70 ILCS 200/50-30 rep.)
(70 ILCS 200/55-55 rep.)
(70 ILCS 200/100-50 rep.)
(70 ILCS 200/110-30 rep.)
(70 ILCS 200/125-45 rep.)
(70 ILCS 200/155-60 rep.)
(70 ILCS 200/175-25 rep.)
(70 ILCS 200/185-50 rep.)
(70 ILCS 200/190-50 rep.)
(70 ILCS 200/195-30 rep.)
(70 ILCS 200/200-60 rep.)
(70 ILCS 200/205-85 rep.)
(70 ILCS 200/250-35 rep.)

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(70 ILCS 200/255-110 rep.)
(70 ILCS 200/280-85 rep.)
Section 900-70. The Civic Center Code is amended by
repealing Sections 15-35, 20-65, 30-30, 50-30, 55-55, 100-50,
110-30, 125-45, 155-60, 175-25, 185-50, 190-50, 195-30,
200-60, 205-85, 250-35, 255-110, and 280-85.
Section 900-75. The Metropolitan Pier and Exposition
Authority Act is amended by changing Section 26 as follows:
(70 ILCS 210/26) (from Ch. 85, par. 1246)
Sec. 26. Government Reporting Enhancement and Transparency
Act.
(a) For fiscal years ending before January 1, 2028, as As
soon after the end of each fiscal year as may be expedient, the
Board shall cause to be prepared and printed a complete and
detailed report and financial statement of its operations and
of its assets and liabilities. A reasonably sufficient number
of copies of such report shall be printed for distribution to
persons interested, upon request, and a copy thereof shall be
filed with the Governor, the Mayor, the General Assembly and
the Park District President. Within 6 months after the
effective date of this amendatory Act of 1985, or as soon
thereafter as is possible, the Authority shall adopt an
accounting system which shall not be implemented until it has
been approved by the Auditor General as appropriate for the

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Authority's operations.
(b) With respect to construction by the Authority funded
in whole or in part with State or borrowed funds, including the
Project, the Authority shall prepare a monthly report of the
progress of construction. The report shall include a
discussion of: (1) the status of construction; (2) delays or
anticipated delays in the completion of the construction; (3)
cost overruns; (4) funds available for construction and the
current construction budget; (5) the status of the
implementation of the Authority's affirmative action program
by contractor, trade and levels of skill; and (6) any
problems, or anticipated problems, with respect to
construction or costs of construction. The monthly reports
required by this Section shall be submitted to the Governor,
the Mayor and the General Assembly.
In connection with any construction by the Authority
funded in whole or in part by State or borrowed funds,
including the Project, the Authority will, when such
construction is to be done by a general contractor or a
construction manager operating in a general contractor
capacity, institute a quality assurance program, including
independent quality control inspections. The Authority will
file not less frequently than quarterly written reports on the
results of its quality assurance program with the Governor,
the Mayor and the General Assembly.
(c) For fiscal years beginning after December 31, 2027,

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notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the Authority shall be
subject to the Government Reporting Enhancement and
Transparency Act.
(Source: P.A. 84-1027.)
Section 900-80. The Soil and Water Conservation Districts
Act is amended by changing Section 7 as follows:
(70 ILCS 405/7) (from Ch. 5, par. 112)
Sec. 7. Employees and assistance of other agencies.
(a) Subject to the provisions of the "Personnel Code"
enacted by the 69th General Assembly, the Department may
employ an administrative officer, technical experts and such
other agents and employees, permanent and temporary, as it may
require. The Department may call upon the Attorney General of
the State for such legal services as it may require. The
Department shall require surety bonds for all its officers and
employees who are entrusted with funds or property under this
Act and shall provide for an annual audit of their accounts for
fiscal years ending before January 1, 2028. The Department may
establish and provide suitable office accommodations and the
necessary supplies and equipment.
(b) Upon request of the Department, for the purpose of
carrying out any of its functions, the supervising officer of
any State agency, or of any State institution of learning

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shall, in so far as may be possible under available
appropriations, and having due regard to the needs of the
agency to which the request is directed, assign or detail to
the Department members of the staff or personnel of such
agency or institution of learning and make such special
reports, surveys or studies as the Department may request.
(c) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the Board shall be
subject to the Government Reporting Enhancement and
Transparency Act.
(Source: Laws 1955, p. 2146.)
Section 900-85. The Conservation District Act is amended
by changing Sections 6 and 15.6 as follows:
(70 ILCS 410/6) (from Ch. 96 1/2, par. 7106)
Sec. 6. Officers and employees.
(a) As soon as possible after the initial election or the
initial appointments, as the case may be, the trustees shall
organize by selecting from their members a president,
secretary, treasurer, and other officers as are deemed
necessary, who shall hold office for 2 years in the case of an
elected board, or the fiscal year in which elected in the case
of an appointed board, and until their successors are selected
and qualify. Three trustees shall constitute a quorum of the

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board for the transaction of business if the district has 5
trustees. If the district has 7 trustees, 4 trustees shall
constitute a quorum of the board for the transaction of
business. The board shall hold regular monthly meetings.
Special meetings may be called by the president and shall be
called on the request of a majority of members, as may be
required.
(b) The board shall provide for the proper and safe
keeping of its permanent records and for the recording of the
corporate action of the district. It shall keep a proper
system of accounts showing a true and accurate record of its
receipts and disbursements, and it shall cause an annual audit
to be made of its books, records, and accounts for fiscal years
ending before January 1, 2028.
(c) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the board shall be
subject to the Government Reporting Enhancement and
Transparency Act.
(d) The records of the district shall be subject to public
inspection at all reasonable hours and under regulations as
the board may prescribe.
(e) The district shall annually make a full and complete
report to the county board of each county within the district
and to the Department of Natural Resources of its transactions
and operations for the preceding year. The report shall

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contain a full statement of its receipts, disbursements, and
the program of work for the period covered, and may include
recommendations as may be deemed advisable.
(f) Executive or ministerial duties may be delegated to
one or more trustees or to an authorized officer, employee,
agent, attorney, or other representative of the district.
(g) All officers and employees authorized to receive or
retain the custody of money or to sign vouchers, checks,
warrants, or evidences of indebtedness binding upon the
district shall furnish surety bond for the faithful
performance of their duties and the faithful accounting for
all moneys that may come into their hands in an amount to be
fixed and in a form to be approved by the board.
(h) All contracts for supplies, material, or work
involving an expenditure in excess of $60,000 for supplies or
materials and $30,000 for work, or a lower amount for any
contract for supplies, material, or work if required by board
policy, shall be let to the lowest responsible bidder, after
due advertisement, excepting work requiring personal
confidence or necessary supplies under the control of
monopolies, where competitive bidding is impossible, or as
otherwise provided in the Forest Preserve District and
Conservation District Design-Build Authorization Act. All
contracts for supplies, material, or work shall be signed by
the president of the board and by any other officer as the
board in its discretion may designate.

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(Source: P.A. 104-114, eff. 8-1-25.)
(70 ILCS 410/15.6) (from Ch. 96 1/2, par. 7122)
Sec. 15.6. Revenue and audits.
(a) All revenue derived from the operation of such
facility or facilities constructed, equipped, extended or
improved in whole or in part with the proceeds of any bonds
issued under Sections 15.2 through 15.9 of this Act for the
construction, equipping, extension, or improvement of such
facility or facilities shall be deposited in a separate fund.
Each fund shall be used only for paying the cost of operation
and maintenance of the recreational facility or facilities or
any combination thereof constructed, equipped, extended or
improved in whole or in part with the proceeds of such bonds so
issued for such facility or facilities, and for paying the
principal of and interest on the bonds so issued and creating
the accounts provided for by the ordinance authorizing their
issuance.
(b) The district shall install and maintain a proper
system of account for each fund, showing the amount received
and disbursed from the operation of such facility or
facilities.
(c) For fiscal years ending before January 1, 2028, at At
least once each year the district shall have such accounts for
bonds properly audited, and the report of this audit shall be
open to the public for inspection at all times.

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(d) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the Board shall be
subject to the Government Reporting Enhancement and
Transparency Act.
(Source: P.A. 77-1330.)
Section 900-90. The Illinois Drainage Code is amended by
changing Section 4-32 and by adding Section 4-50 as follows:
(70 ILCS 605/4-32) (from Ch. 42, par. 4-32)
Sec. 4-32. Financial Reports of Commissioners. On or
before the last day of November in each year, and more often if
the court so requires, the commissioners shall make a report,
under oath, to the court, showing the amount of money
collected by the district since the last preceding report and
the manner in which the funds of the district at the beginning
and the end of the period reported have been expended during
that period. Such report shall also contain an itemized
statement of the notes, bonds and orders, if any, outstanding
and unpaid at the close of the report period and the balance on
hand in the treasury of the district. Upon the filing of the
report with the clerk of the court, the same shall be presented
to the court, and the clerk of the court shall give notice of
the date on or before which objections must be filed by
publishing a notice thereof in a newspaper of general

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circulation in the county in which the district was organized.
Any owner of land within the district may file an objection to
the report with the clerk of the court within 10 days after the
publication of the notice. If any objections are filed within
the time prescribed, the court shall set a hearing at a time
not later than 4 weeks after the date of the filing of the
report. If no objection to the report is filed, the court may
approve the report without a hearing. At a hearing on the
report the court shall hear evidence on any and all objections
which may be urged against the report and evidence in support
thereof and may continue the hearing to a day certain or from
time to time. At the conclusion of a hearing, the court may
approve the report, disapprove the report or order the report
modified or amended. Upon the approval of a report, the same
shall be recorded in the drainage record. Copies of any the
financial reports covering any portion of the period since the
last annual meeting of the district report shall be available
at the annual meeting of the district under Section 4-12 of
this Code.
(Source: P.A. 86-129; 86-297; 86-1028.)
(70 ILCS 605/4-50 new)
Sec. 4-50. Government Reporting Enhancement and
Transparency Act.
(a) For fiscal years ending before January 1, 2028,
notwithstanding any other provision of law to the contrary,

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the operations and fiscal activities of the district shall be
subject to the Governmental Account Audit Act.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the district shall be
subject to the Government Reporting Enhancement and
Transparency Act.
Section 900-95. The Fire Protection District Act is
amended by changing Sections 6.1, 11a, and 11i as follows:
(70 ILCS 705/6.1) (from Ch. 127 1/2, par. 26.1)
Sec. 6.1. Government Reporting Enhancement and
Transparency Act.
(a) For fiscal years ending before January 1, 2028, when
When an audit is required under the Governmental Account Audit
Act, the trustees of the Fire Protection District created
under this Act shall employ a person licensed to practice
public accounting under the laws of this State to annually
audit the district's financial statements of all accounts,
funds, and other moneys in the care, custody, or control of the
trustees. The audit shall be conducted in accordance with
Generally Accepted Auditing Standards and in accordance with
the Governmental Account Audit Act. A fire protection district
receiving revenues of less than $850,000 for the fiscal year
shall prepare the financial report required by Section 3 of

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the Governmental Account Audit Act. In addition to any other
filing requirements, the audit report or financial report
shall be filed with the county clerk of the county in which the
Fire Protection District was organized as a public record and
a copy thereof shall be filed with the secretary of the
district as part of its corporate records.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of a fire protection
district created under this Act shall be subject to the
Government Reporting Enhancement and Transparency Act.
(Source: P.A. 93-126, eff. 1-1-04.)
(70 ILCS 705/11a) (from Ch. 127 1/2, par. 31a)
Sec. 11a. (a) The Board of Trustees of any fire protection
district organized hereunder may contract with any corporation
organized to furnish fire protection service or with any
association organized to furnish fire protection service or
with any city, village, incorporated town, or organized fire
protection district lying adjacent to such district for fire
protection service to be furnished by such corporation or such
association or such municipality or fire protection district
for the property within such district or to be furnished by
such district for the property within such municipality. The
board of trustees may also contract for the installation,
rental or use of fire hydrants within the fire protection

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district and for the furnishing of water to be used within such
district for fire protection purposes, and for mutual aid from
and to other fire protection districts, and for mutual aid
from and to corporations and associations organized to furnish
fire protection service and for mutual aid from and to
municipalities.
(b) For fiscal years ending before January 1, 2028, when
When the Board of Trustees of a Fire Protection District
purchases fire protection services from an organization
(specifically including without limitation a city, village,
incorporated town, or adjacent fire protection district) that
is required to be audited by "An Act in relation to audits of
the accounts of certain governmental units and to repeal an
Act therein named", approved May 10, 1967, or by The Illinois
Municipal Auditing Law, the scope of the audit of the
organization providing the fire protection services shall be
expanded to require the licensed public accountant performing
the audit to specifically report on compliance with the terms
of the contract as it relates to financial matters, including
but not limited to the amount charged to the purchasing Fire
Protection District. To the extent possible, the financial
statements of the providing organization shall segregate
accounts relating to fire protection service transactions and
present them as a separate fund or as a separate department
within a fund. A copy of the providing organization audit
report shall be furnished to the purchasing Fire Protection

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District within 6 months after the close of the fiscal year of
the organization providing the fire protection services.
(c) For fiscal years ending before January 1, 2028, when
When the Board of Trustees of a Fire Protection District
purchases fire protection services from an organization
(specifically including without limitation a not-for-profit
corporation or a for-profit corporation or association) that
is not required to be audited by "An Act in relation to audits
of the accounts of certain governmental units and to repeal an
Act therein named", approved May 10, 1967, or by The Illinois
Municipal Auditing Law, the organization providing the fire
protection services shall employ a person licensed to practice
public accounting under the laws of this State to annually
audit the providing organization's financial statements of all
accounts, funds, and other moneys in the care, custody, or
control of the providing organization. Such audit shall be
conducted in accordance with Generally Accepted Auditing
Standards and the scope of such audit shall be expanded to
require the licensed public accountant performing the audit to
specifically report on compliance with the terms of the
contract as it relates to financial matters, including but not
limited to the amount charged to the purchasing Fire
Protection District. To the extent possible, the financial
statements of the providing organization shall segregate
accounts relating to fire protection service transactions and
present them as a separate fund or as a separate department

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within a fund. A copy of the providing organization audit
report shall be furnished to the purchasing Fire Protection
District within 6 months after the close of the fiscal year of
the organization providing the fire protection services.
Within 15 days after the first meeting of the board of
directors or trustees of the organization providing the fire
protection services that occurs after receiving the audit
report, the organization providing the fire protection
services shall publish excerpts from the audit report that
relate to fire protection service operations in accordance
with Section 7 of this Act. When fire protection services are
rendered in more than one geographic area, publication or
distribution should be made in each geographic area served.
(Source: P.A. 86-216; 86-1023.)
(70 ILCS 705/11i)
Sec. 11i. Department foreign fire insurance board.
(a) A department foreign fire insurance board shall exist
within the fire department of each fire protection district
that has an organized fire department, employs full-time
firefighters, and is subject to a collective bargaining
agreement.
(b) The board shall consist of 7 trustees; the fire chief,
who shall hold office by virtue of rank, and 6 members, who
shall be elected at large by the sworn members of the
department. If there are an insufficient number of candidates

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to fill all these positions, the number of board members may be
reduced, but not to fewer than 3 trustees. All sworn members of
the department shall be eligible to vote for and be elected as
officers of the board.
(c) The members of the board shall annually elect
officers. These officers shall be a chairman and a treasurer.
(d) The trustees of the board shall make rules with
respect to the board and the management of the money to be
appropriated to the board.
(e) The treasurer of the board shall give a sufficient
bond to the board of trustees of the fire protection district,
conditioned upon the faithful performance by the treasurer of
his or her duties under this Section. This bond must be
approved by the board of trustees of the fire protection
district.
(f) The officers of the department foreign fire insurance
board shall develop and maintain a listing of those items that
the board feels are appropriate expenditures under this
Section. The officers shall make rules concerning the board
and the management of the money appropriated to the board.
(g) All of the money paid to the secretary of the fire
protection district under Section 11-10-1 of the Illinois
Municipal Code (65 ILCS 5/11-10-1) shall be set apart and
shall be appropriated annually by the board of trustees of the
fire protection district to the department foreign fire
insurance board.

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(h) The treasurer of the department foreign fire insurance
board shall receive the appropriated money and shall pay out
the money upon the order of the board for the maintenance, use,
and benefit of the department. For fiscal years ending before
January 1, 2028, as As part of the fire protection district's
annual audit, these funds shall be audited to verify that the
funds have been expended by the board only for the
maintenance, use, and benefit of the department.
(Source: P.A. 96-505, eff. 8-14-09.)
Section 900-100. The Flood Prevention District Act is
amended by changing Section 35 as follows:
(70 ILCS 750/35)
Sec. 35. Financial audit of the District.
(a) For fiscal years ending before January 1, 2028, a A
financial audit of the District shall be conducted annually by
a certified public accountant (CPA) that is licensed at the
time of the audit by the Illinois Department of Financial and
Professional Regulation. The CPA shall meet all of the general
standards concerning qualifications, independence, due
professional care, and quality control as required by the
Government Auditing Standards, 1994 Revision, Chapter 3,
including the requirements for continuing professional
education and external peer review. The financial audit is to
be performed in accordance with generally accepted auditing

10400HB5391ham001 - 276 - LRB104 18487 RTM 35239 a
standards issued by the American Institute of Certified Public
Accountants (AICPA) for field work and reporting, generally
accepted government auditing standards (GAGAS) and AICPA
Statements on Auditing Standards (SAS) current at the time the
audit is commenced. The audit shall be made publicly available
and sent to the county board chairman of the county in which
the district is situated and to the Illinois Secretary of
State.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the District created
under this Act shall be subject to the Government Reporting
Enhancement and Transparency Act.
(Source: P.A. 95-719, eff. 5-21-08; 95-723, eff. 6-23-08.)
Section 900-105. The Beardstown Regional Flood Prevention
District Act is amended by changing Section 30 as follows:
(70 ILCS 755/30)
Sec. 30. Financial audit of the district.
(a) For fiscal years ending before January 1, 2028, a A
financial audit of the district shall be conducted annually by
a certified public accountant (CPA) that is licensed at the
time of the audit by the Illinois Department of Financial and
Professional Regulation. The CPA shall meet all of the general
standards concerning qualifications, independence, due

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professional care, and quality control as required by the
Government Auditing Standards, 1994 Revision, Chapter 3,
including the requirements for continuing professional
education and external peer review. The financial audit is to
be performed in accordance with generally accepted auditing
standards issued by the American Institute of Certified Public
Accountants (AICPA) for field work and reporting, generally
accepted government auditing standards (GAGAS), and AICPA
Statements on Auditing Standards (SAS) current at the time the
audit is commenced. The audit shall be made publicly available
and sent to the county board chairperson and to the Secretary
of State.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the District created
under this Act shall be subject to the Government Reporting
Enhancement and Transparency Act.
(Source: P.A. 97-309, eff. 8-11-11.)
Section 900-110. The Downstate Forest Preserve District
Act is amended by changing Sections 13.3, 13.7, and 18.5 as
follows:
(70 ILCS 805/13.3) (from Ch. 96 1/2, par. 6326)
Sec. 13.3. (a) The board of each forest preserve district
organized under this Act shall fix a fiscal year for the

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district. The board shall, within or before the first quarter
of each fiscal year, adopt an annual appropriation ordinance
appropriating such sums of money as may be required to defray
all necessary expenses and liabilities of the district to be
paid or incurred during the fiscal year.
(b) The failure of the board to adopt an annual
appropriation ordinance or to otherwise comply with the
provisions of this Section shall not affect the validity of
any tax levy of the forest preserve district. The annual
appropriation ordinance for any fiscal year need not be
intended or required to be in support of or in relation to any
tax levy made during that fiscal year.
(c) For fiscal years ending before January 1, 2028,
nothing Nothing in this Act shall be construed as requiring
any forest preserve district to change or as preventing any
forest preserve district from changing from a cash basis of
financing to a surplus or deficit basis of financing, or as
requiring any forest preserve district to change or as
preventing any forest preserve district from changing its
system of accounting.
(d) Any forest preserve district that determines to change
its fiscal year may adopt an annual appropriation ordinance
for a transition period of more or less than 12 months as may
be necessary to effect such change, and appropriations made
for such transition period shall terminate with the close of
such period.

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(e) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of any conservancy
district organized under this Act created under this Act shall
be subject to the Government Reporting Enhancement and
Transparency Act.
(Source: P.A. 85-1165.)
(70 ILCS 805/13.7)
Sec. 13.7. Endowment Fund.
(a) Each forest preserve district may create, maintain,
and increase a separate fund to be known as the "Endowment
Fund" to pay all costs and expenses incurred or anticipated by
the forest preserve district for the long-term maintenance and
improvement of forest preserve facilities and lands, and for
the future purchase of real property. Only one "Endowment
Fund" may be created by a forest preserve district, but the
fund may provide for the collection, maintenance, investment,
and expenditure of monies for more than one purpose. All
revenues deposited in the Endowment Fund shall be designated
by purpose and appropriated and expended for the purpose for
which it was designated. No appropriation in the Endowment
Fund shall lapse, and the monies received and designated for a
specific purpose shall not become part of the general funds of
the district or considered an asset available for
appropriation for another purpose in a subsequent year unless

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the purpose for which the monies were originally appropriated
has been completed. Revenues deposited in the Endowment Fund
must come from private sources, whether received before, on,
or after the effective date of this amendatory Act of 1995. No
revenues shall come from any Federal, State, or local
government source, except for those received as a result of
agreements obligating the district to the long-term
maintenance of improvements constructed on district lands. For
fiscal years ending before January 1, 2028, the The Fund shall
be audited annually by a licensed certified public accountant.
(b) For fiscal years beginning after December 31, 2027, if
the Endowment Fund is a separate legal entity from the forest
preserve district, notwithstanding any other provision of law
to the contrary, the operations and fiscal activities of the
Endowment Fund shall be subject to the Government Reporting
Enhancement and Transparency Act.
(Source: P.A. 89-119, eff. 7-7-95.)
(70 ILCS 805/18.5) (from Ch. 96 1/2, par. 6339)
Sec. 18.5. All revenue derived from the operation of such
facility or facilities constructed, equipped, acquired,
extended or improved in whole or in part with the proceeds of
any bonds issued under Sections 18.1 through 18.10 of this Act
for the construction, equipping, acquisition, extension, or
improvement of such facility or facilities shall be deposited
in a separate fund. Each fund shall be used only for paying the

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cost of operation and maintenance of the recreational facility
or facilities or any combination thereof constructed,
equipped, acquired, extended or improved in whole or in part
with the proceeds of such bonds so issued for such facility or
facilities, and for paying the principal of and interest on
the bonds so issued and creating the accounts provided for by
the ordinance authorizing their issuance.
Such forest preserve district shall install and maintain a
proper system of account for each fund, showing the amount
received and disbursed from the operation of such facility or
facilities. For fiscal years ending before January 1, 2028, at
At least once each year, such district shall have such
accounts for bonds properly audited, and the report of this
audit shall be open to the public for inspection at all times.
(Source: Laws 1968, p. 228.)
Section 900-115. The Cook County Forest Preserve District
Act is amended by changing Sections 24 and 35 as follows:
(70 ILCS 810/24) (from Ch. 96 1/2, par. 6427)
Sec. 24. Government Reporting Enhancement and Transparency
Act.
(a) The fiscal year of each forest preserve district
subject to this Act shall extend from January 1, until
December 31. The forest preserve district shall, before the
commencement or within 60 days after the commencement of each

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fiscal year, adopt an annual appropriation ordinance, which
shall appropriate sums of money required to defray all
necessary expenses and liabilities of the district to be paid
or incurred during that fiscal year. Transfers from one
appropriation of any one fund to another of the same fund, not
affecting the total amount appropriated, may be made at any
meeting of the Board.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each forest preserve
district created under this Act shall be subject to the
Government Reporting Enhancement and Transparency Act.
(Source: P.A. 87-1191.)
(70 ILCS 810/35) (from Ch. 96 1/2, par. 6438)
Sec. 35. All revenue derived from the operation of such
facility or facilities constructed, equipped, acquired,
extended or improved in whole or in part with the proceeds of
any bonds issued under Sections 31 through 39 of this Act for
the construction, equipping, acquisition, extension, or
improvement of such facility or facilities shall be deposited
in a separate fund. Each fund shall be used only for paying the
cost of operation and maintenance of the recreational facility
or facilities or any combination thereof constructed,
equipped, acquired, extended or improved in whole or in part
with the proceeds of such bonds so issued for such facility or

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facilities, and for paying the principal of and interest on
the bonds so issued and creating the accounts provided for by
the ordinance authorizing their issuance.
Such forest preserve district shall install and maintain a
proper system of account for each fund, showing the amount
received and disbursed from the operation of such facility or
facilities. For fiscal years ending before January 1, 2028, at
At least once each year, such district shall have such
accounts for bonds properly audited, and the report of this
audit shall be open to the public for inspection at all times.
(Source: P.A. 80-320.)
Section 900-120. The Public Health District Act is amended
by changing Sections 15 and 18 and by adding Section 16 as
follows:
(70 ILCS 905/15) (from Ch. 111 1/2, par. 15)
Sec. 15. Each board of health shall:
1. Hold an annual meeting in April of each year, at which
meeting officers shall be elected for the ensuing year;
2. Hold meetings at least quarterly;
3. Hold special meetings upon a written request signed by
2 members and filed with the Secretary;
4. Levy, annually, subject to Section 21 in addition to
all other taxes which are now or hereafter may be authorized to
be levied on the aggregate valuation of all property within

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the public health district, a special "public health tax", not
to exceed .1% of the value, as equalized or assessed by the
Department of Revenue, of all taxable property embraced within
such public health district, according to the valuation of the
same as made for the purpose of State and county taxation,
which shall form, when collected, a fund to be known as the
"public health fund", (i) except that the tax authorized by
this subsection 4 may be levied at a rate over .1% but not to
exceed .15%, not subject to Section 21 of this Act, if the
board of health by resolution initiates a referendum to be
held in accordance with the general election law and the
question of authorizing a rate not to exceed .15% is approved
by a majority of the electors voting on the question, and (ii)
further except, if a public health district is situated within
any county or multiple-county health department for whose
benefit a tax is levied under "An Act in relation to the
establishment and maintenance of county and multiple-county
public health departments", approved July 9, 1943, as amended,
the county clerk shall reduce and abate from the tax levied by
the authority of this Act a rate which would produce an amount
equal to the amount of the tax accruing to the public health
district under the above-named Act. In any public health
district in which a health department was established by a
referendum prior to January 1, 1970, the board of health may,
by a resolution adopted by at least a three-fifths vote and
without subsequent referendum, levy a tax at a rate not to

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exceed the rate set forth above;
5. Appoint a medical health officer as the executive
officer of the board of health, who shall be a citizen of the
United States or has made declaration of intention to become a
citizen, who shall possess such qualifications as may be
prescribed by the State Department of Public Health, or
appoint a Public Health Administrator who shall possess such
qualifications as may be prescribed by the State Department of
Public Health as executive officer of the board of health,
provided that the board of health shall make available medical
supervision which is considered adequate by the Director of
the Department of Public Health;
6. Appoint, upon the advice and approval of the executive
officer, professional and technical personnel who meet the
qualifications established by the State Department of Public
Health and such clerical and other personnel as the executive
officer deems necessary;
7. Fix the compensation of the medical health officer or
administrator;
8. Provide, equip and maintain suitable offices,
facilities and appliances for the health officer or
administrator and his staff;
9. If determined necessary by the board of health,
establish, equip and maintain an analytical biological and
research laboratory;
10. Pay, from the "public health fund", the salary of the

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medical health officer or administrator and the salaries of
all appointees and employees and the expenses of maintenance
of the public health department, including therein the expense
of administering the sanitation and health laws and
ordinances;
11. Consult with other private and public health agencies
in the district on the development of local plans for the most
efficient performance of health services;
12. Acquire, hold, lease and sell, in the name of the
public health district, real estate and personal property;
13. Receive contributions of money or property and charge
fees for health services;
14. Publish, annually, on or soon after the second Tuesday
in April, in pamphlet form, for free distribution, an annual
report showing the condition of their trust on April 1, of that
year, the sums of money received from taxation and from other
sources, giving the name of the donor, how all moneys have been
expended and for what purpose, and such other statistics and
information in regard to the work of the health department as
they deem of general interest for fiscal years ending before
January 1, 2028.
(Source: P.A. 86-338.)
(70 ILCS 905/16 new)
Sec. 16. Government Reporting Enhancement and Transparency
Act.

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(a) For fiscal years ending before January 1, 2028,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each public health
district shall be subject to the Governmental Account Audit
Act.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each public health
district shall be subject to the Government Reporting
Enhancement and Transparency Act.
Section 900-125. The Hospital District Law is amended by
changing Section 18 as follows:
(70 ILCS 910/18) (from Ch. 23, par. 1268)
Sec. 18. Government Reporting Enhancement and Transparency
Act.
(a) The Board shall provide for the proper and safe
keeping of its permanent records and for the recording of the
corporate action of the District. It shall keep a true and
accurate account of its receipts and an annual audit shall be
made of its books, records and accounts for fiscal years
ending before January 1, 2028. All officers and employees
authorized to receive or retain the custody of money or to sign
vouchers, checks, warrants or evidences of indebtedness
binding upon the District shall furnish surety bond for the

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faithful performance of their duties and the faithful
accounting for all moneys that may come into their hands in an
amount to be fixed and in a form to be approved by the board.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the District shall be
subject to the Government Reporting Enhancement and
Transparency Act.
(Source: Laws 1949, p. 361.)
Section 900-130. The Mosquito Abatement District Act is
amended by adding Section 9.3 as follows:
(70 ILCS 1005/9.3 new)
Sec. 9.3. Government Reporting Enhancement and
Transparency Act.
(a) For fiscal years ending before January 1, 2028,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each district shall be
subject to the Governmental Account Audit Act.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each district shall be
subject to the Government Reporting Enhancement and
Transparency Act.

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Section 900-135. The Museum District Act is amended by
changing Section 20 as follows:
(70 ILCS 1105/20) (from Ch. 85, par. 6820)
Sec. 20. Fiscal year and appropriation ordinances.
(a) The board shall fix a fiscal year for the district. The
board shall, within or before the first quarter of each fiscal
year, adopt an annual appropriation ordinance appropriating
the sums of money that will be required to defray all necessary
expenses and liabilities of the district to be paid or
incurred during the fiscal year.
(b) The failure of the board to adopt an annual
appropriation ordinance or to otherwise comply with the
provisions of this Section shall not affect the validity of
any tax levy of the district. The annual appropriation
ordinance for any fiscal year need not be intended or required
to be in support of or in relation to any tax levy made during
that fiscal year.
(c) A district that determines to change its fiscal year
may adopt an appropriation ordinance for a transition period
of more or less than 12 months as may be necessary to effect
the change. Appropriations made for the transition period
shall end with the close of the transition period.
(d) For fiscal years ending before January 1, 2028,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the district shall be

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subject to the Governmental Account Audit Act.
(e) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the district shall be
subject to the Government Reporting Enhancement and
Transparency Act.
(Source: P.A. 86-477.)
Section 900-140. The Park District Code is amended by
changing Sections 9-1d, 9.1-5, 9.2-5, and 9.3-5 and by adding
Sections 2-29 and 8-58 as follows:
(70 ILCS 1205/2-29 new)
Sec. 2-29. Government Reporting Enhancement and
Transparency Act.
(a) For fiscal years ending before January 1, 2028,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each district shall be
subject to the Governmental Account Audit Act.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each district shall be
subject to the Government Reporting Enhancement and
Transparency Act.
(70 ILCS 1205/8-58 new)

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Sec. 8-58. Government Reporting Enhancement and
Transparency Act.
(a) For fiscal years ending before January 1, 2028,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the River Valley
Special Recreation Association shall be subject to the
Governmental Account Audit Act.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the River Valley
Special Recreation Association shall be subject to the
Government Reporting Enhancement and Transparency Act.
(70 ILCS 1205/9-1d) (from Ch. 105, par. 9-1d)
Sec. 9-1d. Each park district which issues bonds and
constructs a swimming pool, or an artificial ice skating rink,
under Section 9-1 hereof shall charge for the use thereof at a
rate which at all times is sufficient to pay maintenance and
operation cost, depreciation, and the principal and interest
on the bonds. Such district may make, enact, and enforce all
needful rules and regulations for the construction,
acquisition, improvement, extension, management, maintenance,
care and protection of its swimming pool, or its artificial
ice skating rink, and for the use thereof. Charges or rates for
the use of the swimming pool, or the artificial ice skating
rink, shall be such as the board may from time to time

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determine.
While any bond issued under Section 9-1 hereof is
outstanding, such district is required to maintain and operate
its swimming pool, or its artificial ice skating rink, as long
as it can do so, out of the revenue derived from the operation
thereof. It shall not sell, loan, mortgage, or in any other
manner dispose of the swimming pool, or the artificial ice
skating rink, until all of the bonds so issued have been paid
in full, both principal and interest, or until provision has
been made for the payment of all of the bonds and interest
thereon in full. Nothing in this paragraph shall, however,
prohibit any park district from leasing any such swimming pool
or artificial ice skating rink to any municipality, school
district, or other unit of local government, or from entering
into any other agreement with any municipality, school
district, or other unit of local government by which lease or
other agreement such swimming pool or artificial ice skating
rink may be operated and/or used in whole or in part by or for
such municipality, school district or other unit of local
government, where such lease or other agreement is not
prohibited by the terms of such revenue bonds or the ordinance
of the park district authorizing them and where the revenues
of the park district derived from such lease or other
agreement are deposited in the fund required by Section 9-1c
hereof in connection with such revenue bonds.
Such a park district shall install and maintain a proper

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system of accounts, showing the amount of revenue received
from the operation of its swimming pool, or its artificial ice
skating rink. For fiscal years ending before January 1, 2028,
at At least once each year, the district shall have the
accounts properly audited. A report of this audit shall be
open for public inspection at all times.
(Source: P.A. 79-356.)
(70 ILCS 1205/9.1-5) (from Ch. 105, par. 9.1-5)
Sec. 9.1-5. Each park district which issues bonds and
acquires or constructs, or extends or improves a golf course
and facilities shall charge for the use thereof at a rate which
at all times is sufficient to pay maintenance and operation
costs, depreciation, and the principal and interest on the
bonds. Such district may make, enact, and enforce all needful
rules and regulations for the construction, acquisition,
improvement, extension, management, maintenance, care and
protection of its golf course and for the use thereof. Charges
or rates for the use of the golf course or courses shall be
such as the board may from time to time determine.
While any bond issued under Section 9.1-1 of this Article
is outstanding such district is required to maintain and
operate its golf course or courses, as long as it can do so,
out of the revenue derived from the operation thereof. It
shall not sell, lease, loan, mortgage, or in any other manner
dispose of the golf course or courses until all of the bonds so

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issued have been paid in full, both principal and interest, or
until provision has been made for the payment of all of the
bonds and interest thereon in full. Nothing in this Section
prohibits any park district from leasing any such golf course
and facilities to any school district, municipality, or other
unit of local government, or from entering into any other
agreement with any school district, municipality, or other
unit of local government by which lease or other agreement
such golf course and facilities may be operated or used in
whole or in part by or for such school district, municipality,
or other unit of local government, where such lease or other
agreement is not prohibited by the terms of such revenue bonds
or the ordinance of the park district authorizing them and
where the revenues of the park district derived from such
lease or other agreement are deposited in the fund required by
Section 9.1-4 of this Act in connection with such revenue
bonds.
Such a park district shall install and maintain a proper
system of accounts, showing the amount of revenue received
from the operation of its golf course. For fiscal years ending
before January 1, 2028, at At least once each year, the
district shall have the accounts properly audited. A report of
this audit shall be open for public inspection at all times.
(Source: P.A. 79-1423.)
(70 ILCS 1205/9.2-5) (from Ch. 105, par. 9.2-5)

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Sec. 9.2-5. Each park district which issues bonds and
acquires or constructs or extends or improves indoor or
outdoor tennis courts, handball, racquetball, or squash
courts, or zoos and facilities shall charge for the use
thereof at a rate which at all times is sufficient to pay
maintenance and operation costs, depreciation, and the
principal and interest on the bonds. Such district may make,
enact and enforce all needful rules and regulations for the
construction, acquisition, improvement, extension,
management, maintenance, care and protection of its courts or
zoo and for the use thereof. Charges or rates for the use of
the courts or zoo facilities shall be such as the board may
from time to time determine.
While any bond issued under Section 9.2-1 of this Article
is outstanding such district is required to maintain and
operate its tennis, handball, racquetball, or squash courts or
zoo facilities as long as it can do so, out of the revenue
derived from the operation thereof. It shall not sell, lease,
loan, mortgage or in any other manner dispose of the courts or
zoo facilities until all of the bonds so issued have been paid
in full, both principal and interest, or until provision has
been made for the payment of all the bonds and interest thereon
in full. Nothing in this Section prohibits any park district
from leasing any such indoor or outdoor tennis courts,
handball, racquetball, or squash courts, or zoos and
facilities to any school district, municipality, or other unit

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of local government or from entering into any other agreement
with any school district, municipality, or other unit of local
government by which lease or other agreement such indoor or
outdoor tennis courts, handball, racquetball, or squash
courts, or zoos and facilities may be operated or used in whole
or in part by or for such school district, municipality, or
other unit of local government, where such lease or other
agreement is not prohibited by the terms of such revenue bonds
or the ordinance of the park district authorizing them and
where the revenues of the park district derived from such
lease or other agreement are deposited in the fund required by
Section 9.2-4 of this Act in connection with such revenue
bonds.
Such a park district shall install and maintain a proper
system of accounts, showing the amount of revenue received
from the operation of its tennis, handball, racquetball, or
squash courts or zoo. For fiscal years ending before January
1, 2028, at At least once each year, the district shall have
the accounts properly audited. A report of this audit shall be
open for public inspection at all times.
(Source: P.A. 79-1423.)
(70 ILCS 1205/9.3-5) (from Ch. 105, par. 9.3-5)
Sec. 9.3-5. Each park district which issues bonds and
acquires or constructs, extends or improves indoor or outdoor
recreational facilities under the provisions of this Article

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shall charge for the use thereof at a rate which at all times
is sufficient to pay maintenance and operation costs,
depreciation, and the principal and interest on the bonds.
Such district may make, enact and enforce all needful rules
and regulations for the construction, acquisition,
improvements, extension, management, maintenance, care and
protection of the facility and for the use thereof. Charges or
rates for the use of the facility shall be such as the board
may from time to time determine.
While any bond issued under Section 9.3-1 is outstanding
such district is required to maintain and operate the facility
as long as it can do so, out of the revenue derived from the
operation thereof. It shall not sell, lease, loan, mortgage or
in any other manner dispose of the facility or facilities
until all of the bonds so issued have been paid in full, both
principal and interest, or until provision has been made for
the payment of all of the bonds and interest thereon in full.
Such park district shall install and maintain a proper
system of accounts, showing the amount of revenue received
from the operation of the facility. For fiscal years ending
before January 1, 2028, at At least once each year, the
district shall have the accounts properly audited. A report of
this audit shall be open for public inspection at all times.
(Source: P.A. 78-1256.)
Section 900-145. The Chicago Park District Act is amended

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by changing Section 26.10-3 as follows:
(70 ILCS 1505/26.10-3) (from Ch. 105, par. 333.23u-3)
Sec. 26.10-3. Government Reporting Enhancement and
Transparency Act.
(a) For fiscal years ending before January 1, 2028, as As
soon after the end of each fiscal year as may be expedient, the
commissioners shall cause to be prepared and printed a
complete and detailed report and financial statement of the
district's operations and of the district's assets and
liabilities. A reasonably sufficient number of copies of such
report shall be delivered to the appropriate committee of the
Chicago City Council.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the district shall be
subject to the Government Reporting Enhancement and
Transparency Act.
(Source: P.A. 85-1411.)
Section 900-150. The Metro-East Park and Recreation
District Act is amended by changing Section 45 as follows:
(70 ILCS 1605/45)
Sec. 45. Report.
(a) For fiscal years ending before January 1, 2028, the

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The board shall, by the end of the District's fiscal year,
submit a financial report to the State Comptroller.
(b) For fiscal years ending before January 1, 2028,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the district shall be
subject to the Governmental Account Audit Act.
(c) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the district shall be
subject to the Government Reporting Enhancement and
Transparency Act.
(Source: P.A. 91-103, eff. 7-13-99.)
Section 900-155. The Alexander-Cairo Port District Act is
amended by changing Section 140 as follows:
(70 ILCS 1801/140)
Sec. 140. Report and financial statement.
(a) For fiscal years ending before January 1, 2028, within
Within 60 days after the end of each fiscal year, the Board
shall cause to be prepared and printed a complete and detailed
report and financial statement of the operations and assets
and liabilities of the Port District. A reasonably sufficient
number of copies of the report shall be printed for
distribution to persons interested, upon request, and a copy
thereof shall be filed with the Governor and the county clerk

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and the presiding officer of the County Board of Alexander
County. A copy of the report shall be addressed to and mailed
to the corporate authorities of each municipality within the
area of the District.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the district shall be
subject to the Government Reporting Enhancement and
Transparency Act.
(Source: P.A. 96-1015, eff. 7-8-10.)
Section 900-160. The Havana Regional Port District Act is
amended by changing Section 33 as follows:
(70 ILCS 1805/33) (from Ch. 19, par. 633)
Sec. 33. Government Reporting Enhancement and Transparency
Act.
(a) For fiscal years ending before January 1, 2028, as As
soon after the end of each fiscal year as may be expedient, the
Board shall cause to be prepared and printed a complete and
detailed report and financial statement of the Port District
operations and of its assets and liabilities and a copy
thereof shall be filed with the Governor, the county clerk of
each county which is partially or wholly within the Port
District, and a copy mailed to the Mayor and City Council or
President and Board of Trustees of each municipality within

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the Port District.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the district shall be
subject to the Government Reporting Enhancement and
Transparency Act.
(Source: Laws 1967, p. 3589.)
Section 900-170. The Heart of Illinois Regional Port
District Act is amended by changing Section 150 as follows:
(70 ILCS 1807/150)
Sec. 150. Report and financial statement.
(a) For fiscal years ending before January 1, 2028, as As
soon after the end of each fiscal year as may be expedient, the
Board shall prepare and print a complete and detailed report
and financial statement of its operations and of its assets
and liabilities. A reasonably sufficient number of copies of
the report shall be printed for distribution to persons
interested, upon request, and a copy of the report shall be
filed with the Governor and the county clerk of each county
that is within the area of the district. A copy of the report
shall be addressed to and mailed to the mayor and city council
or president and board of trustees of each municipality within
the area of the district.
(b) For fiscal years beginning after December 31, 2027,

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notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the district shall be
subject to the Government Reporting Enhancement and
Transparency Act.
(Source: P.A. 93-262, eff. 7-22-03.)
Section 900-175. The Illinois International Port District
Act is amended by changing Section 22 as follows:
(70 ILCS 1810/22) (from Ch. 19, par. 173)
Sec. 22. Government Reporting Enhancement and Transparency
Act.
(a) For fiscal years ending before January 1, 2028, as As
soon after the end of each fiscal year as may be expedient, the
Board shall cause to be prepared and printed a complete and
detailed report and financial statement of its operations and
of its assets and liabilities. A reasonably sufficient number
of copies of such report shall be printed for distribution to
persons interested, upon request, and a copy thereof shall be
filed with the Governor and the county clerk of each county
which is partially or wholly within the area of operation of
the District. A copy of such report shall be addressed to and
mailed to the Mayor and city council or president and board of
trustees of each municipality within the area of the District.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,

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the operations and fiscal activities of the District shall be
subject to the Government Reporting Enhancement and
Transparency Act.
(Source: Laws 1951, p. 256.)
Section 900-180. The Illinois Valley Regional Port
District Act is amended by changing Section 43 as follows:
(70 ILCS 1815/43) (from Ch. 19, par. 843)
Sec. 43. Government Reporting Enhancement and Transparency
Act.
(a) For fiscal years ending before January 1, 2028, as As
soon after the end of each fiscal year as may be expedient, the
Board shall cause to be prepared and printed a complete and
detailed report and financial statement of the Port District
operations and of its assets and liabilities. A reasonably
sufficient number of copies of such report shall be printed
for distribution to persons interested, upon request, and a
copy thereof shall be filed with the Governor, and the county
clerk of each county which is partially or wholly within the
Port District. A copy of such report shall be addressed and
mailed to the corporate authorities of each municipality
within the Port District.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the District shall be

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subject to the Government Reporting Enhancement and
Transparency Act.
(Source: P.A. 77-1799.)
Section 900-185. The Illinois Waterway Ports Commission
Act is amended by adding Section 20 as follows:
(70 ILCS 1816/20 new)
Sec. 20. Government Reporting Enhancement and Transparency
Act.
(a) For fiscal years ending before January 1, 2028,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the Commission shall
be subject to the Governmental Account Audit Act.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the Commission shall
be subject to the Government Reporting Enhancement and
Transparency Act.
Section 900-190. The Jackson-Union Counties Regional Port
District Act is amended by changing Section 25 as follows:
(70 ILCS 1820/25) (from Ch. 19, par. 875)
Sec. 25. Government Reporting Enhancement and Transparency
Act.

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(a) For fiscal years ending before January 1, 2028, within
Within 60 days after the end of each fiscal year, the Board
shall cause to be prepared and printed a complete and detailed
report and financial statement of the operations and assets
and liabilities of the Port District. A reasonably sufficient
number of copies of such report shall be printed for
distribution to persons interested, upon request, and a copy
thereof shall be filed with the Governor and the county clerks
and the presiding officer of the county boards of Jackson and
Union counties. A copy of such report shall be addressed to and
mailed to the corporate authorities of each municipality
within the area of the District.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the Port District
shall be subject to the Government Reporting Enhancement and
Transparency Act.
(Source: P.A. 79-1475.)
Section 900-195. The Joliet Regional Port District Act is
amended by changing Section 24 as follows:
(70 ILCS 1825/24) (from Ch. 19, par. 274)
Sec. 24. Government Reporting Enhancement and Transparency
Act.
(a) For fiscal years ending before January 1, 2028, within

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Within 60 days after the end of each fiscal year, the Board
shall cause to be prepared and printed a complete and detailed
report and financial statement of the operations and assets
and liabilities of the Port District. A reasonably sufficient
number of copies of such report shall be printed for
distribution to persons interested, upon request, and a copy
thereof shall be filed with the Governor and the county clerk
and the presiding officer of the county board of Will County. A
copy of such report shall be addressed to and mailed to the
Mayor and city council or president and board of trustees of
each municipality within the area of the District.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the Port District
shall be subject to the Government Reporting Enhancement and
Transparency Act.
(Source: Laws 1957, p. 1302.)
Section 900-200. The Kaskaskia Regional Port District Act
is amended by changing Section 44 as follows:
(70 ILCS 1830/44) (from Ch. 19, par. 544)
Sec. 44. Government Reporting Enhancement and Transparency
Act.
(a) For fiscal years ending before January 1, 2028, as As
soon after the end of each fiscal year as may be expedient, the

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Board shall cause to be prepared and printed a complete and
detailed report and financial statement of the Port District
operations and of its assets and liabilities. A reasonably
sufficient number of copies of such report shall be printed
for distribution to persons interested, upon request, and a
copy thereof shall be filed with the Governor, and the county
clerk of each county which is partially or wholly within the
Port District. A copy of such report shall be addressed and
mailed to the Mayor and City Council of President and Board of
Trustees of each municipality within the Port District.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the Port District
shall be subject to the Government Reporting Enhancement and
Transparency Act.
(Source: Laws 1965, p. 1013.)
Section 900-205. The Massac-Metropolis Port District Act
is amended by changing Section 140 as follows:
(70 ILCS 1831/140)
Sec. 140. Report and financial statement.
(a) For fiscal years ending before January 1, 2028, within
Within 60 days after the end of each fiscal year, the Board
shall cause to be prepared and printed a complete and detailed
report and financial statement of the operations and assets

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and liabilities of the Port District. A reasonably sufficient
number of copies of such report shall be printed for
distribution to persons interested, upon request, and a copy
thereof shall be filed with the Governor and the county clerk
and the presiding officer of the county board of Massac
County. A copy of such report shall be addressed to and mailed
to the corporate authorities of each municipality within the
area of the District.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the Port District
shall be subject to the Government Reporting Enhancement and
Transparency Act.
(Source: P.A. 96-838, eff. 12-16-09.)
Section 900-210. The Mid-America Intermodal Authority Port
District Act is amended by changing Section 150 as follows:
(70 ILCS 1832/150)
Sec. 150. Report and financial statement.
(a) For fiscal years ending before January 1, 2028, as As
soon after the end of each fiscal year as may be expedient, the
Board shall prepare and print a complete and detailed report
and financial statement of its operations and of its assets
and liabilities. A reasonably sufficient number of copies of
the report shall be printed for distribution to persons

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interested, upon request, and a copy of the report shall be
filed with the Governor and the county clerk of each county
that is within the area of the district. A copy of the report
shall be addressed to and mailed to the mayor and city council
or president and board of trustees of each municipality within
the area of the district.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the District shall be
subject to the Government Reporting Enhancement and
Transparency Act.
(Source: P.A. 90-636, eff. 7-24-98.)
Section 900-215. The Ottawa Port District Act is amended
by changing Section 140 as follows:
(70 ILCS 1837/140)
Sec. 140. Report and financial statement.
(a) For fiscal years ending before January 1, 2028, within
Within 60 days after the end of each fiscal year, the Board
shall prepare and print a complete and detailed report and
financial statement of the operations, assets, and liabilities
of the District. A reasonably sufficient number of copies of
the report shall be printed for distribution to persons
interested, upon request, and a copy of the report shall be
filed with the Governor, the county clerk, and the presiding

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officer of the county board of LaSalle County. A copy of the
report shall be mailed to the corporate authorities of each
municipality located within the District.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the District shall be
subject to the Government Reporting Enhancement and
Transparency Act.
(Source: P.A. 96-1522, eff. 2-14-11.)
Section 900-220. The Rock Island Regional Port District
Act is amended by changing Section 110 as follows:
(70 ILCS 1842/110)
Sec. 110. Report and financial statement.
(a) For fiscal years ending before January 1, 2028, within
Within 60 days after the end of a fiscal year, a participating
municipality's city council shall have prepared by a certified
public accountant a complete and detailed report and financial
statement of the operations and assets and liabilities of the
Port District within the municipality's corporate limits.
Copies of the report shall be prepared for distribution to
persons interested, upon request, and a copy of the report and
financial statement shall be filed with the Governor and with
the Rock Island County Clerk.
(b) For fiscal years beginning after December 31, 2027,

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notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the District shall be
subject to the Government Reporting Enhancement and
Transparency Act.
(Source: P.A. 103-242, eff. 1-1-24.)
Section 900-225. The Seneca Regional Port District Act is
amended by changing Section 25 as follows:
(70 ILCS 1845/25) (from Ch. 19, par. 375)
Sec. 25. Government Reporting Enhancement and Transparency
Act.
(a) For fiscal years ending before January 1, 2028, within
Within 60 days after the end of each fiscal year, the Board
shall cause to be prepared and printed a complete and detailed
report and financial statement of the operations and assets
and liabilities of the Port District. A reasonably sufficient
number of copies of such report shall be printed for
distribution to persons interested, upon request, and a copy
thereof shall be filed with the Governor and the county clerks
and the presiding officer of the county boards of La Salle and
Grundy counties. A copy of such report shall be addressed to
and mailed to the corporate authorities of each municipality
within the area of the District.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,

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the operations and fiscal activities of the District shall be
subject to the Government Reporting Enhancement and
Transparency Act.
(Source: Laws 1961, p. 2957.)
Section 900-230. The Shawneetown Regional Port District
Act is amended by changing Section 25 as follows:
(70 ILCS 1850/25) (from Ch. 19, par. 425)
Sec. 25. Government Reporting Enhancement and Transparency
Act.
(a) For fiscal years ending before January 1, 2028, within
Within 60 days after the end of each fiscal year, the Board
shall cause to be prepared and printed a complete and detailed
report and financial statement of the operations and assets
and liabilities of the Port District. A reasonably sufficient
number of copies of such report shall be printed for
distribution to persons interested, upon request, and a copy
thereof shall be filed with the Governor and the county clerks
and the presiding officer of the county boards of Gallatin and
Hardin counties. A copy of such report shall be addressed to
and mailed to the corporate authorities of each municipality
within the area of the District.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the District shall be

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subject to the Government Reporting Enhancement and
Transparency Act.
(Source: Laws 1961, p. 2975.)
Section 900-235. The America's Central Port District Act
is amended by changing Section 25 as follows:
(70 ILCS 1860/25) (from Ch. 19, par. 308)
Sec. 25. Government Reporting Enhancement and Transparency
Act.
(a) For fiscal years ending before January 1, 2028, within
Within 9 months after the end of each fiscal year, the Board
shall cause an independent auditor to prepare and print a
complete and detailed report and financial statement of the
operations and assets and liabilities of the Port District. A
reasonably sufficient number of copies of such report shall be
printed for distribution to persons interested, upon request,
and a copy of the report shall be filed with the Governor and
the county clerks of Madison and Jersey Counties. A copy of
such report or a summary of the report shall be addressed and
submitted to the Mayor or ranking official of each
municipality within the area of the District.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the Port District
shall be subject to the Government Reporting Enhancement and

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Transparency Act.
(Source: P.A. 104-206, eff. 1-1-26.)
Section 900-240. The Upper Mississippi River International
Port District Act is amended by changing Section 31 as
follows:
(70 ILCS 1863/31)
Sec. 31. Financial statement.
(a) For fiscal years ending before January 1, 2028, within
Within 60 days after the end of each fiscal year, the Board
shall prepare and print a complete and detailed report and
financial statement of the operations and assets and
liabilities of the Port District. A reasonably sufficient
number of copies of such report shall be printed for
distribution to persons interested, upon request, and a copy
shall be filed with the Governor and the County Clerk and the
County Board Chair of Jo Daviess and Carroll Counties.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the Port District
shall be subject to the Government Reporting Enhancement and
Transparency Act.
(Source: P.A. 96-636, eff. 8-24-09.)
Section 900-245. The Waukegan Port District Act is amended

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by changing Section 25 as follows:
(70 ILCS 1865/25) (from Ch. 19, par. 203)
Sec. 25. Government Reporting Enhancement and Transparency
Act.
(a) For fiscal years ending before January 1, 2028, within
Within 60 days after the end of each fiscal year, the Board
shall cause to be prepared and printed a complete and detailed
report and financial statement of the operations and assets
and liabilities of the Port District. A reasonably sufficient
number of copies of such report shall be printed for
distribution to persons interested, upon request, and a copy
thereof shall be filed with the Governor and the county clerk
and the presiding officer of the county board of each county
which is partially or wholly within the area of operation of
the District. A copy of such report shall be addressed to and
mailed to the Mayor and city council or president and board of
trustees of each municipality within the area of the District.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the Port District
shall be subject to the Government Reporting Enhancement and
Transparency Act.
(Source: Laws 1955, p. 657.)
Section 900-250. The Emergency Services Districts Act is

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amended by adding Section 16 as follows:
(70 ILCS 2005/16 new)
Sec. 16. Government Reporting Enhancement and Transparency
Act.
(a) For fiscal years ending before January 1, 2028,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each emergency
services district shall be subject to the Governmental Account
Audit Act.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each emergency
services district shall be subject to the Government Reporting
Enhancement and Transparency Act.
Section 900-255. The River Conservancy Districts Act is
amended by adding Section 24.5 as follows:
(70 ILCS 2105/24.5 new)
Sec. 24.5. Government Reporting Enhancement and
Transparency Act. For fiscal years beginning after December
31, 2027, notwithstanding any other provision of law to the
contrary, the operations and fiscal activities of any
conservancy district organized under this Act created under
this Act shall be subject to the Government Reporting

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Enhancement and Transparency Act.
Section 900-260. The Sanitary District Act of 1907 is
amended by changing Sections 26.1 and 27 as follows:
(70 ILCS 2205/26.1) (from Ch. 42, par. 272.1)
Sec. 26.1. The board of trustees, its clerk and treasurer,
prior to the 15th day of each month for fiscal years ending
before January 1, 2028, shall submit to the circuit court in
which such district was organized a verified statement showing
for the preceding month a listing of all persons employed by
the district and the total amount of money paid to each person
for services performed for the district during the preceding
month, including salary, wages, commissions, expenses or other
emolument.
(Source: P.A. 77-1299.)
(70 ILCS 2205/27) (from Ch. 42, par. 273)
Sec. 27. Government Reporting Enhancement and Transparency
Act.
(a) Said board, its clerk and treasurer, shall submit to
the circuit court of the county in which said district is
organized, annually for fiscal years ending before January 1,
2028, between the first and tenth days of April, or oftener, if
required by said court, verified reports, showing all moneys
received and the manner in which the same may have been

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expended. Three weeks' notice of the filing of such report
shall be given by publication in like manner as provided in
section 2 of this act, and any person interested may appear and
object to the approval of the same, in whole or in part, and
the court shall make such orders in reference thereto as shall
be just.
(b) For fiscal years ending before January 1, 2028,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each sanitary district
shall be subject to the Governmental Account Audit Act.
(c) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each sanitary district
shall be subject to the Government Reporting Enhancement and
Transparency Act.
(Source: Laws 1967, p. 3815.)
Section 900-265. The North Shore Water Reclamation
District Act is amended by changing Section 11 and by adding
Section 5.1 as follows:
(70 ILCS 2305/5.1 new)
Sec. 5.1. Government Reporting Enhancement and
Transparency Act.
(a) For fiscal years ending before January 1, 2028,
notwithstanding any other provision of law to the contrary,

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the operations and fiscal activities of each district shall be
subject to the Governmental Account Audit Act.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each district shall be
subject to the Government Reporting Enhancement and
Transparency Act.
(70 ILCS 2305/11) (from Ch. 42, par. 287)
Sec. 11. Except as otherwise provided in this Section, all
contracts for purchases or sales by the municipality, the
expense of which will exceed the mandatory competitive bid
threshold, shall be let to the lowest responsible bidder
therefor upon not less than 14 days' public notice of the terms
and conditions upon which the contract is to be let, having
been given by publication in a newspaper of general
circulation published in the district, and the board may
reject any and all bids and readvertise. In determining the
lowest responsible bidder, the board shall take into
consideration the qualities and serviceability of the articles
supplied, their conformity with specifications, their
suitability to the requirements of the district, the
availability of support services, the uniqueness of the
service, materials, equipment, or supplies as it applies to
network integrated computer systems, the compatibility of the
service, materials, equipment or supplies with existing

10400HB5391ham001 - 320 - LRB104 18487 RTM 35239 a
equipment, and the delivery terms. Contracts for services in
excess of the mandatory competitive bid threshold may, subject
to the provisions of this Section, be let by competitive
bidding at the discretion of the district board of trustees.
All contracts for purchases or sales that will not exceed the
mandatory competitive bid threshold may be made in the open
market without publication in a newspaper as above provided,
but whenever practical shall be based on at least 3
competitive bids. For purposes of this Section, the "mandatory
competitive bid threshold" is a dollar amount equal to 0.1% of
the total general fixed assets of the district as reported in
the most recent required audit report. In no event, however,
shall the mandatory competitive bid threshold dollar amount be
less than $10,000, nor more than $40,000.
Cash, a cashier's check, a certified check, or a bid bond
with adequate surety approved by the board of trustees as a
deposit of good faith, in a reasonable amount, but not in
excess of 10% of the contract amount, may be required of each
bidder by the district on all bids involving amounts in excess
of the mandatory competitive bid threshold and, if so
required, the advertisement for bids shall so specify.
Contracts which by their nature are not adapted to award
by competitive bidding, including, without limitation,
contracts for the services of individuals, groups or firms
possessing a high degree of professional skill where the
ability or fitness of the individual or organization plays an

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important part, contracts for financial management services
undertaken pursuant to "An Act relating to certain investments
of public funds by public agencies", approved July 23, 1943,
as now or hereafter amended, contracts for the purchase or
sale of utilities, contracts for commodities including supply
contracts for natural gas and electricity, contracts for
materials economically procurable only from a single source of
supply, contracts for services, supplies, materials, parts, or
equipment which are available only from a single source or
contracts for maintenance, repairs, OEM supplies, or OEM parts
from the manufacturer or from a source authorized by the
manufacturer, contracts for the use, purchase, delivery,
movement, or installation of data processing equipment,
software, or services and telecommunications and interconnect
equipment, software, or services, contracts for duplicating
machines and supplies, contracts for goods or services
procured from another governmental agency, purchases of
equipment previously owned by an entity other than the
district itself, purchases of used equipment, purchases at
auction or similar transactions which by their very nature are
not suitable to competitive bids, and leases of real property
where the sanitary district is the lessee shall not be subject
to the competitive bidding requirements of this Section.
The District may use a design-build procurement method for
any public project which shall not be subject to the
competitive bidding requirements of this Section provided the

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Board of Trustees approves the contract for the public project
by a vote of 4 of the 5 trustees. For the purposes of this
Section, "design-build" means a delivery system that provides
responsibility within a single contract for the furnishing of
architecture, engineering, land surveying and related services
as required, and the labor, materials, equipment, and other
construction services for the project.
In the case of an emergency affecting the public health or
safety so declared by the Board of Trustees of the
municipality at a meeting thereof duly convened, which
declaration shall require the affirmative vote of four of the
five Trustees, and shall set forth the nature of the danger to
the public health or safety, contracts totaling not more than
the emergency contract cap may be let to the extent necessary
to resolve such emergency without public advertisement or
competitive bidding. For purposes of this Section, the dollar
amount of an emergency contract shall not be less than
$40,000, nor more than $500,000. The Resolution or Ordinance
in which such declaration is embodied shall fix the date upon
which such emergency shall terminate which date may be
extended or abridged by the Board of Trustees as in their
judgment the circumstances require. A full written account of
any such emergency, together with a requisition for the
materials, supplies, labor or equipment required therefor
shall be submitted immediately upon completion and shall be
open to public inspection for a period of at least one year

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subsequent to the date of such emergency purchase.
To address operating emergencies not affecting the public
health or safety, the Board of Trustees shall authorize, in
writing, officials or employees of the sanitary district to
purchase in the open market and without advertisement any
supplies, materials, equipment, or services for immediate
delivery to meet the bona fide operating emergency, without
filing a requisition or estimate therefor, in an amount not in
excess of $100,000; provided that the Board of Trustees must
be notified of the operating emergency. A full, written
account of each operating emergency and a requisition for the
materials, supplies, equipment, and services required to meet
the operating emergency must be immediately submitted by the
officials or employees authorized to make purchases to the
Board of Trustees. The account must be available for public
inspection for a period of at least one year after the date of
the operating emergency purchase. The exercise of authority
with respect to purchases for a bona fide operating emergency
is not dependent on a declaration of an operating emergency by
the Board of Trustees.
The competitive bidding requirements of this Section do
not apply to contracts, including contracts for both materials
and services incidental thereto, for the repair or replacement
of a sanitary district's treatment plant, sewers, equipment,
or facilities damaged or destroyed as the result of a sudden or
unexpected occurrence, including, but not limited to, a flood,

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fire, tornado, earthquake, storm, or other natural or man-made
disaster, if the board of trustees determines in writing that
the awarding of those contracts without competitive bidding is
reasonably necessary for the sanitary district to maintain
compliance with a permit issued under the National Pollution
Discharge Elimination System (NPDES) or any successor system
or with any outstanding order relating to that compliance
issued by the United States Environmental Protection Agency,
the Illinois Environmental Protection Agency, or the Illinois
Pollution Control Board. The authority to issue contracts
without competitive bidding pursuant to this paragraph expires
6 months after the date of the writing determining that the
awarding of contracts without competitive bidding is
reasonably necessary.
No Trustee shall be interested, directly or indirectly, in
any contract, work or business of the municipality, or in the
sale of any article, whenever the expense, price or
consideration of the contract work, business or sale is paid
either from the treasury or by any assessment levied by any
Statute or Ordinance. No Trustee shall be interested, directly
or indirectly, in the purchase of any property which (1)
belongs to the municipality, or (2) is sold for taxes or
assessments of the municipality, or (3) is sold by virtue of
legal process in the suit of the municipality.
A contract for any work or other public improvement, to be
paid for in whole or in part by special assessment or special

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taxation, shall be entered into and the performance thereof
controlled by the provisions of Division 2 of Article 9 of the
"Illinois Municipal Code", approved May 29, 1961, as
heretofore or hereafter amended, as near as may be. However,
contracts may be let for making proper and suitable
connections between the mains and outlets of the respective
sanitary sewers in the district with any conduit, conduits,
main pipe or pipes that may be constructed by such sanitary
district.
(Source: P.A. 101-575, eff. 8-23-19.)
Section 900-270. The Sanitary District Act of 1917 is
amended by changing Sections 11 and 16.12 and by adding
Section 32 as follows:
(70 ILCS 2405/11) (from Ch. 42, par. 310)
Sec. 11. Except as otherwise hereinafter provided, all
contracts for purchases or sales by a sanitary district
organized under this Act, the expense of which will exceed the
mandatory competitive bid threshold, shall be let to the
lowest responsible bidder therefor upon not less than 14 days'
public notice of the terms and conditions upon which the
contract is to be let, having been given by publication in a
newspaper of general circulation published in the district,
and the board may reject any and all bids, and readvertise. In
determining the lowest responsible bidder, the board shall

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take into consideration the qualities and serviceability of
the articles supplied, their conformity with specifications,
their suitability to the requirements of the district, the
availability of support services, the uniqueness of the
service, materials, equipment, or supplies as it applies to
network integrated computer systems, the compatibility of the
service, materials, equipment or supplies with existing
equipment, and the delivery terms. Contracts for services in
excess of the mandatory competitive bid threshold may, subject
to the provisions of this Section, be let by competitive
bidding at the discretion of the district board of trustees.
Cash, a cashier's check, a certified check, or a bid bond
with adequate surety approved by the board of trustees as a
deposit of good faith, in a reasonable amount, but not in
excess of 10% of the contract amount, may be required of each
bidder by the district on all bids involving amounts in excess
of the mandatory competitive bid threshold and, if so
required, the advertisement for bids shall so specify.
All contracts for purchases or sales that will not exceed
the mandatory competitive bid threshold may be made in the
open market without publication in a newspaper as above
provided, but whenever practical shall be based on at least 3
competitive bids. For purposes of this Section, the "mandatory
competitive bid threshold" is a dollar amount equal to 0.1% of
the total general capital fixed assets of the district as
reported in the most recent required audit report. In no

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event, however, shall the mandatory competitive bid threshold
dollar amount be less than $10,000, nor more than $40,000.
If a unit of local government performs non-emergency
construction, alteration, repair, improvement, or maintenance
work on the public way, the sanitary district may enter into an
intergovernmental agreement with the unit of local government
allowing similar construction work to be performed by the
sanitary district on the same project, in an amount no greater
than $100,000, to save taxpayer funds and eliminate
duplication of government effort. The sanitary district and
the other unit of local government shall, before work is
performed by either unit of local government on a project,
adopt a resolution by a majority vote of both governing bodies
certifying work will occur at a specific location, the reasons
why both units of local government require work to be
performed in the same location, and the projected cost savings
if work is performed by both units of local government on the
same project. Officials or employees of the sanitary district
may, if authorized by resolution, purchase in the open market
any supplies, materials, equipment, or services for use within
the project in an amount no greater than $100,000 without
advertisement or without filing a requisition or estimate. A
full written account of each project performed by the sanitary
district and a requisition for the materials, supplies,
equipment, and services used by the sanitary district required
to complete the project must be submitted by the officials or

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employees authorized to make purchases to the board of
trustees of the sanitary district no later than 30 days after
purchase. The full written account must be available for
public inspection for at least one year after expenditures are
made.
Contracts which by their nature are not adapted to award
by competitive bidding, including, without limitation,
contracts for the services of individuals, groups or firms
possessing a high degree of professional skill where the
ability or fitness of the individual or organization plays an
important part, contracts for financial management services
undertaken pursuant to "An Act relating to certain investments
of public funds by public agencies", approved July 23, 1943,
as now or hereafter amended, contracts for the purchase or
sale of utilities, contracts for materials economically
procurable only from a single source of supply, contracts for
the use, purchase, delivery, movement, or installation of data
processing equipment, software, or services and
telecommunications and interconnect equipment, software, or
services, contracts for duplicating machines and supplies,
contracts for goods or services procured from another
governmental agency, purchases of equipment previously owned
by an entity other than the district itself, and leases of real
property where the sanitary district is the lessee shall not
be subject to the competitive bidding requirements of this
Section.

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The competitive bidding requirements of this Section do
not apply to contracts for construction of a facility or
structure for the sanitary district when the facility or
structure will be designed, built, and tested before being
conveyed to the sanitary district.
The competitive bidding requirements of this Section do
not apply to contracts, including contracts for both materials
and services incidental thereto, for the repair or replacement
of a sanitary district's treatment plant, sewers, equipment,
or facilities damaged or destroyed as the result of a sudden or
unexpected occurrence, including, but not limited to, a flood,
fire, tornado, earthquake, storm, or other natural or man-made
disaster, if the board of trustees determines in writing that
the awarding of those contracts without competitive bidding is
reasonably necessary for the sanitary district to maintain
compliance with a permit issued under the National Pollution
Discharge Elimination System (NPDES) or any successor system
or with any outstanding order relating to that compliance
issued by the United States Environmental Protection Agency,
the Illinois Environmental Protection Agency, or the Illinois
Pollution Control Board. The authority to issue contracts
without competitive bidding pursuant to this paragraph expires
6 months after the date of the writing determining that the
awarding of contracts without competitive bidding is
reasonably necessary.
Where the board of trustees declares, by a 2/3 vote of all

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members of the board, that there exists an emergency affecting
the public health or safety, contracts totaling not more than
the emergency contract cap may be let to the extent necessary
to resolve such emergency without public advertisement or
competitive bidding. For purposes of this Section, the
"emergency contract cap" is a dollar amount equal to 0.4% of
the total general capital fixed assets of the district as
reported in the most recent required audit report. In no
event, however, shall the emergency contract cap dollar amount
be less than $40,000, nor more than $100,000. The ordinance or
resolution embodying the emergency declaration shall contain
the date upon which such emergency will terminate. The board
of trustees may extend the termination date if in its judgment
the circumstances so require. A full written account of the
emergency, together with a requisition for the materials,
supplies, labor or equipment required therefor shall be
submitted immediately upon completion and shall be open to
public inspection for a period of at least one year subsequent
to the date of such emergency purchase. Within 30 days after
the passage of the resolution or ordinance declaring an
emergency affecting the public health or safety, the District
shall submit to the Illinois Environmental Protection Agency
the full written account of any such emergency along with a
copy of the resolution or ordinance declaring the emergency,
in accordance with requirements as may be provided by rule.
A contract for any work or other public improvement, to be

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paid for in whole or in part by special assessment or special
taxation, shall be entered into and the performance thereof
controlled by Division 2 of Article 9 of the "Illinois
Municipal Code", approved May 29, 1961, as heretofore and
hereafter amended, as near as may be. The contracts may be let
for making proper and suitable connections between the mains
and outlets of the respective sewers in the district with any
conduit, conduits, main pipe or pipes that may be constructed
by such sanitary district.
(Source: P.A. 100-882, eff. 8-14-18.)
(70 ILCS 2405/16.12) (from Ch. 42, par. 315.12)
Sec. 16.12. Any district issuing revenue bonds under this
Act of a waterworks shall install and maintain a proper system
of accounts, showing the amount of revenue received and its
application. For fiscal years ending before January 1, 2028,
at At least once a year the district shall have the accounts
properly audited by a competent auditor. The report of that
audit shall be open for inspection at all proper times to any
taxpayer, user, or any holder of bonds issued under this Act,
or to anyone acting for and on behalf of the taxpayer, user, or
bondholder. The treasurer of the district shall be custodian
and ex-officio collector of the funds derived from income
received from a waterworks purchased or constructed under the
provisions of this Act. He shall give proper bond for the
faithful discharge of his duties as such custodian, and this

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bond shall be fixed and approved by the trustees.
All of the funds received as income from a waterworks
purchased or constructed in whole or in part under the
provisions of this Act, and all of the funds received from the
sale of revenue bonds shall be kept separate and apart from the
other funds of the district.
(Source: Laws 1967, p. 950.)
(70 ILCS 2405/32 new)
Sec. 32. Government Reporting Enhancement and Transparency
Act.
(a) For fiscal years ending before January 1, 2028,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each sanitary district
shall be subject to the Governmental Account Audit Act.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each sanitary district
shall be subject to the Government Reporting Enhancement and
Transparency Act.
Section 900-275. The Metropolitan Water Reclamation
District Act is amended by changing Sections 5.12, 5.13, and
11.3 as follows:
(70 ILCS 2605/5.12) (from Ch. 42, par. 324v)

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Sec. 5.12. Annual audit. (a) For fiscal years ending
before January 1, 2028, each Each district shall cause an
independent audit to be made annually for the period beginning
January 1, and ending December 31. Such audit shall be made by
a Certified Public Accountant licensed to practice in the
State of Illinois, who shall examine and audit the accounts of
the district. A report thereof, together with any
recommendations as to changes in accounting procedure shall be
made to the board of trustees and shall be printed in the
official proceedings of the district. At least 3 copies of
such audit shall be made conveniently available for public
inspection at the office of the district and a copy of such
audit shall be made available to any person requesting a copy
thereof upon the payment of a reasonable charge. Copies of
such audit shall be furnished to such departments or agencies
of the State of Illinois as may be required by law and such
audit shall comply with such State laws as may regulate the
making of governmental audits. The reasonable expense of the
audit required to be made hereunder shall be paid by each such
sanitary district.
An annual audit of the Metropolitan Water Reclamation
District of Greater Chicago conducted in accordance with
Section 5.12a serves as that district's annual audit required
by this subsection Section.
(Source: P.A. 89-296, eff. 8-11-95.)

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(70 ILCS 2605/5.13) (from Ch. 42, par. 324w)
Sec. 5.13. For fiscal years ending before January 1, 2028,
the The clerk shall prepare on or before the first (1st) day of
July of each year after the year 1943, an annual financial
report which shall contain financial information required by
generally accepted accounting principles (GAAP) for
governments as promulgated and established by the Governmental
Accounting Standards Board (GASB).
Copies of the annual financial report shall be made
conveniently available in the office of the Sanitary District
to the public and shall be issued to any person upon payment of
a reasonable amount therefor. Nothing in this section shall be
construed to mean that the annual financial report may not be
combined with the annual audit report and the two published
simultaneously as one report.
(Source: P.A. 95-295, eff. 8-20-07.)
(70 ILCS 2605/11.3) (from Ch. 42, par. 331.3)
Sec. 11.3. Except as provided in Sections 11.4 and 11.5,
all purchase orders or contracts involving amounts in excess
of the mandatory competitive bid threshold and made by or on
behalf of the sanitary district for labor, services or work,
the purchase, lease or sale of personal property, materials,
equipment or supplies, or the granting of any concession,
shall be let by free and open competitive bidding after
advertisement, to the lowest responsible bidder or to the

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highest responsible bidder, as the case may be, depending upon
whether the sanitary district is to expend or receive money.
All such purchase orders or contracts which shall involve
amounts that will not exceed the mandatory competitive bid
threshold, shall also be let in the manner prescribed above
whenever practicable, except that after solicitation of bids,
such purchase orders or contracts may be let in the open
market, in a manner calculated to insure the best interests of
the public. The provisions of this section are subject to any
contrary provisions contained in "An Act concerning the use of
Illinois mined coal in certain plants and institutions", filed
July 13, 1937, as heretofore and hereafter amended. For
purposes of this Section, the "mandatory competitive bid
threshold" is a dollar amount equal to 0.1% of the total
general capital fixed assets of the district as reported in
the most recent required audit report. In no event, however,
shall the mandatory competitive bid threshold dollar amount be
less than $60,000.
If a unit of local government performs non-emergency
construction, alteration, repair, improvement, or maintenance
work on the public way, the sanitary district may enter into an
intergovernmental agreement with the unit of local government
allowing similar construction work to be performed by the
sanitary district on the same project, in an amount no greater
than $100,000, to save taxpayer funds and eliminate
duplication of government effort. The sanitary district and

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the other unit of local government shall, before work is
performed by either unit of local government on a project,
adopt a resolution by a majority vote of both governing bodies
certifying work will occur at a specific location, the reasons
why both units of local government require work to be
performed in the same location, and the projected cost savings
if work is performed by both units of local government on the
same project. Officials or employees of the sanitary district
may, if authorized by resolution, purchase in the open market
any supplies, materials, equipment, or services for use within
the project in an amount no greater than $100,000 without
advertisement or without filing a requisition or estimate. A
full written account of each project performed by the sanitary
district and a requisition for the materials, supplies,
equipment, and services used by the sanitary district required
to complete the project must be submitted by the officials or
employees authorized to make purchases to the board of
trustees of the sanitary district no later than 30 days after
purchase. The full written account must be available for
public inspection for at least one year after expenditures are
made.
Notwithstanding the provisions of this Section, the
sanitary district is expressly authorized to establish such
procedures as it deems appropriate to comply with state or
federal regulations as to affirmative action and the
utilization of small and minority businesses in construction

10400HB5391ham001 - 337 - LRB104 18487 RTM 35239 a
and procurement contracts.
(Source: P.A. 103-865, eff. 1-1-25.)
Section 900-280. The Sanitary District Act of 1936 is
amended by changing Sections 14, 26m, and 32n and by adding
Section 94 as follows:
(70 ILCS 2805/14) (from Ch. 42, par. 425)
Sec. 14. Except as otherwise provided in this Section, all
contracts for purchases or sales by the sanitary district, the
expense of which will exceed the mandatory competitive bid
threshold, shall be let to the lowest responsible bidder
therefor upon not less than 14 days' public notice of the terms
and conditions upon which the contract is to be let, having
been given by publication in a daily or weekly newspaper
published in the district or, if there is no newspaper
published in the district, in a newspaper published in the
county and having general circulation in the district, and the
board may reject any and all bids, and readvertise. Contracts
for services in excess of the mandatory competitive bid
threshold may, subject to the provisions of this Section, be
let by competitive bidding at the discretion of the district
board of trustees. All contracts for purchases or sales that
will not exceed the mandatory competitive bid threshold may be
made in the open market without publication in a newspaper as
above provided, but whenever practical shall be based on at

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least 3 competitive bids. For purposes of this Section, the
"mandatory competitive bid threshold" is a dollar amount equal
to 0.1% of the total general capital fixed assets of the
district as reported in the most recent required audit report.
In no event, however, shall the mandatory competitive bid
threshold dollar amount be less than $10,000, nor more than
$40,000.
If a unit of local government performs non-emergency
construction, alteration, repair, improvement, or maintenance
work on the public way, the sanitary district may enter into an
intergovernmental agreement with the unit of local government
allowing similar construction work to be performed by the
sanitary district on the same project, in an amount no greater
than $100,000, to save taxpayer funds and eliminate
duplication of government effort. The sanitary district and
the other unit of local government shall, before work is
performed by either unit of local government on a project,
adopt a resolution by a majority vote of both governing bodies
certifying work will occur at a specific location, the reasons
why both units of local government require work to be
performed in the same location, and the projected cost savings
if work is performed by both units of local government on the
same project. Officials or employees of the sanitary district
may, if authorized by resolution, purchase in the open market
any supplies, materials, equipment, or services for use within
the project in an amount no greater than $100,000 without

10400HB5391ham001 - 339 - LRB104 18487 RTM 35239 a
advertisement or without filing a requisition or estimate. A
full written account of each project performed by the sanitary
district and a requisition for the materials, supplies,
equipment, and services used by the sanitary district required
to complete the project must be submitted by the officials or
employees authorized to make purchases to the board of
trustees of the sanitary district no later than 30 days after
purchase. The full written account must be available for
public inspection for at least one year after expenditures are
made.
Cash, a cashier's check, a certified check, or a bid bond
with adequate surety approved by the board of trustees as a
deposit of good faith, in a reasonable amount, but not in
excess of 10% of the contract amount, may be required of each
bidder by the district on all bids involving amounts in excess
of the mandatory competitive bid threshold and, if so
required, the advertisement for bids shall so specify.
Contracts which by their nature are not adapted to award
by competitive bidding, including, without limitation,
contracts for the services of individuals, groups or firms
possessing a high degree of professional skill where the
ability or fitness of the individual or organization plays an
important part, contracts for financial management services
undertaken pursuant to the Public Funds Investment Act,
contracts for the purchase or sale of utilities, contracts for
materials economically procurable only from a single source of

10400HB5391ham001 - 340 - LRB104 18487 RTM 35239 a
supply and leases of real property where the sanitary district
is the lessee shall not be subject to the competitive bidding
requirements of this Section.
Where the board of trustees declares, by a 2/3 vote of all
members of the board, that there exists an emergency affecting
the public health or safety, contracts totaling not more than
the emergency contract cap may be let to the extent necessary
to resolve such emergency without public advertisement or
competitive bidding. For purposes of this Section, the
"emergency contract cap" is a dollar amount equal to 0.4% of
the total general capital fixed assets of the district as
reported in the most recent required audit report. In no
event, however, shall the emergency contract cap dollar amount
be less than $40,000, nor more than $100,000. The ordinance or
resolution embodying the emergency declaration shall contain
the date upon which such emergency will terminate. The board
of trustees may extend the termination date if in its judgment
the circumstances so require. A full written account of the
emergency, together with a requisition for the materials,
supplies, labor or equipment required therefor shall be
submitted immediately upon completion and shall be open to
public inspection for a period of at least one year subsequent
to the date of such emergency purchase. Within 30 days after
the passage of the resolution or ordinance declaring an
emergency affecting the public health or safety, the District
shall submit to the Illinois Environmental Protection Agency

10400HB5391ham001 - 341 - LRB104 18487 RTM 35239 a
the full written account of any such emergency along with a
copy of the resolution or ordinance declaring the emergency,
in accordance with requirements as may be provided by rule.
(Source: P.A. 100-882, eff. 8-14-18.)
(70 ILCS 2805/26m) (from Ch. 42, par. 437m)
Sec. 26m. Any district issuing revenue bonds under this
Act for a drainage system shall install and maintain a proper
system of accounts, showing the amount of revenue received and
its application. For fiscal years ending before January 1,
2028, at At least once a year the district shall have the
accounts properly audited by a competent auditor. The report
of that audit shall be open for inspection at all proper times
to any taxpayer, user, or any holder of bonds issued under this
Act, or to anyone acting for and on behalf of the taxpayer,
user, or bondholder. The treasurer of the district shall be
custodian and ex-officio collector of the funds derived from
income received from a drainage system purchased or
constructed under the provisions of this Act. He shall give
proper bond for the faithful discharge of his duties as such
custodian, and this bond shall be fixed and approved by the
trustees.
All of the funds received as income from a drainage system
purchased or constructed in whole or in part under the
provisions of this Act, and all of the funds received from the
sale of revenue bonds shall be kept separate and apart from the

10400HB5391ham001 - 342 - LRB104 18487 RTM 35239 a
other funds of the district.
(Source: Laws 1961, p. 3028.)
(70 ILCS 2805/32n) (from Ch. 42, par. 443n)
Sec. 32n. Any district issuing revenue bonds under this
Act shall install and maintain a proper system of accounts,
showing the amount of revenue received and its application.
For fiscal years ending before January 1, 2028, at At least
once a year the district shall have the accounts properly
audited by a competent auditor. The report of that audit shall
be open for inspection at all proper times to any taxpayer,
water-user, or any holder of bonds issued under this Article,
or to anyone acting for and on behalf of the taxpayer,
water-user, or bondholder. The treasurer of the district shall
be custodian and ex-officio collector of the funds derived
from income received from waterworks purchased or constructed
under the provisions of this Act. He shall give proper bond for
the faithful discharge of his duties as such custodian, and
this bond shall be fixed and approved by the trustees.
All of the funds received as income from waterworks
purchased or constructed in whole or in part under the
provisions of this Act, and all of the funds received from the
sale of revenue bonds shall be kept separate and apart from the
other funds of the district.
(Source: Laws 1945, p. 726.)

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(70 ILCS 2805/94 new)
Sec. 94. Government Reporting Enhancement and Transparency
Act.
(a) For fiscal years ending before January 1, 2028,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each sanitary district
shall be subject to the Governmental Account Audit Act.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each sanitary district
shall be subject to the Government Reporting Enhancement and
Transparency Act.
Section 900-285. The Metro-East Sanitary District Act of
1974 is amended by changing Section 4-2 and by adding Section
5-6 as follows:
(70 ILCS 2905/4-2) (from Ch. 42, par. 504-2)
Sec. 4-2. The Executive Director shall be the chief
executive and administrative officer of the district and shall
be responsible to the board for the proper administration of
all affairs of the district, including but not limited to, the
board's compliance with subsection (b) of Section 3-3, and to
that end he shall:
(1) Appoint and, when necessary for the good of the
service, remove all officers and employees of the district,

10400HB5391ham001 - 344 - LRB104 18487 RTM 35239 a
except as otherwise provided in this Act, and except as he may
authorize the head of a department or office to appoint
subordinates in such department or office.
(2) Prepare the budget annually and submit it to the Board
and be responsible for its administration after adoption.
(3) Prepare and submit to the board and the Department of
Natural Resources, as of the end of the fiscal year, a complete
report of the finances and administrative activities of the
district and all subdistricts for the year, and submit any
interim reports that the Department of Natural Resources
requests. For fiscal years ending before January 1, 2028, the
report to the board and the Department of Natural Resources
shall include a complete report of the finances of the
district and all subdistricts for the year.
(4) Keep the board advised of the financial condition of
the district and all subdistricts and make recommendations
concerning their future needs.
(5) Attend all meetings of the board and, in so far as
possible, its committees.
(6) Enforce all district ordinances and see that all
contracts are faithfully performed.
(7) Advise, assist, and cooperate in fostering the
interest of institutions of learning and civic, professional,
and employee organizations in the improvement of personnel
standards and conditions in the district.
(8) Perform such other duties as may be prescribed by this

10400HB5391ham001 - 345 - LRB104 18487 RTM 35239 a
Act or required of him by the board, not inconsistent with this
Act.
(Source: P.A. 91-357, eff. 7-29-99.)
(70 ILCS 2905/5-6 new)
Sec. 5-6. Government Reporting Enhancement and
Transparency Act.
(a) For fiscal years ending before January 1, 2028,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of a sanitary district
organized under this Act shall be subject to the Governmental
Account Audit Act.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of a sanitary district
organized under this Act shall be subject to the Government
Reporting Enhancement and Transparency Act.
Section 900-290. The Sanitary District Revenue Bond Act is
amended by changing Section 8 and by adding Section 23 as
follows:
(70 ILCS 3010/8) (from Ch. 42, par. 319.8)
Sec. 8. Every sanitary district which issues bonds under
this Act shall install and maintain a proper system of
accounts showing the amount of revenue received from the

10400HB5391ham001 - 346 - LRB104 18487 RTM 35239 a
sewerage system and the application of that revenue. For
fiscal years ending before January 1, 2028, at At least once
each year the sanitary district shall have the accounts
properly audited. A report of that audit shall be open for
inspection at all proper times to any taxpayer, sewerage
system user, or the holder of any bond issued under this Act,
or their respective representatives.
(Source: Laws 1941, vol. 2, p. 435.)
(70 ILCS 3010/23 new)
Sec. 23. Government Reporting Enhancement and Transparency
Act.
(a) For fiscal years ending before January 1, 2028,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each sanitary district
shall be subject to the Governmental Account Audit Act.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each sanitary district
shall be subject to the Government Reporting Enhancement and
Transparency Act.
Section 900-293. The Eastern Will Sanitary District Act is
amended by adding Section 25 as follows:
(70 ILCS 3020/25 new)

10400HB5391ham001 - 347 - LRB104 18487 RTM 35239 a
Sec. 25. Government Reporting Enhancement and Transparency
Act.
(a) For fiscal years ending before January 1, 2028,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each sanitary district
shall be subject to the Governmental Account Audit Act.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each sanitary district
shall be subject to the Government Reporting Enhancement and
Transparency Act.
Section 900-295. The Solid Waste Disposal District Act is
amended by changing Section 10 and by adding Sections 26 and 30
as follows:
(70 ILCS 3105/10) (from Ch. 85, par. 1660)
Sec. 10. Within 60 days after their selection, the
trustees shall organize by selecting from their members a
president, secretary, treasurer and such other officers as are
deemed necessary, who shall hold office for the fiscal year in
which elected and until their successors are selected and
qualify. Three trustees shall constitute a quorum of the board
for the transaction of business. The board shall hold regular
monthly meetings. Special meetings may be called by the
president and shall be called on the request of a majority of

10400HB5391ham001 - 348 - LRB104 18487 RTM 35239 a
members as may be required.
The board shall provide for the proper and safe keeping of
its permanent records and for the recording of the corporate
action of the district. It shall keep a proper system of
accounts showing a true and accurate record of its receipts
and disbursements and it shall cause an annual audit to be made
of its books, records and accounts for fiscal years ending
before January 1, 2028.
The records of the district shall be subject to public
inspection at all reasonable hours and under such regulations
as the board may prescribe.
The district shall annually make a full and complete
report to the county board of each county within the district
or, if the boundaries of the district are not coextensive with
a county or counties, to the board of township trustees of each
township within the district and to the Environmental
Protection Agency of its transactions and operations for the
preceding year. Such report shall contain a full statement of
its receipts, disbursements and the program of work for the
period covered, and may include such recommendations as may be
deemed advisable.
Executive or ministerial duties may be delegated to one or
more trustees or to an authorized officer, employee, agent,
attorney or other representative of the district.
All officers and employees authorized to receive or retain
the custody of money or to sign vouchers, checks, warrants or

10400HB5391ham001 - 349 - LRB104 18487 RTM 35239 a
evidences of indebtedness binding upon the district shall
furnish surety bond for the faithful performance of their
duties and the faithful accounting for all moneys that may
come into their hands in an amount to be fixed and in a form to
be approved by the board.
All contracts for supplies, material or work involving an
expenditure in excess of $1,500 shall be let to the lowest
responsible bidder, after due advertisement except work
requiring personal confidence or necessary supplies under the
control of monopolies, where competitive bidding is
impossible. All contracts for supplies, material or work shall
be signed by the president of the board and by any such other
office as the board in its discretion may designate.
(Source: P.A. 80-689.)
(70 ILCS 3105/26 new)
Sec. 26. Government Reporting Enhancement and Transparency
Act.
(a) For fiscal years ending before January 1, 2028,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each district shall be
subject to the Governmental Account Audit Act.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each district shall be
subject to the Government Reporting Enhancement and

10400HB5391ham001 - 350 - LRB104 18487 RTM 35239 a
Transparency Act.
(70 ILCS 3105/30 new)
Sec. 30. Government Reporting Enhancement and Transparency
Act.
(a) For fiscal years ending before January 1, 2028,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each district shall be
subject to the Governmental Account Audit Act.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each district shall be
subject to the Government Reporting Enhancement and
Transparency Act.
Section 900-300. The Street Light District Act is amended
by adding Section 5.2 as follows:
(70 ILCS 3305/5.2 new)
Sec. 5.2. Government Reporting Enhancement and
Transparency Act.
(a) For fiscal years ending before January 1, 2028,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each district shall be
subject to the Governmental Account Audit Act.
(b) For fiscal years beginning after December 31, 2027,

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notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each district shall be
subject to the Government Reporting Enhancement and
Transparency Act.
Section 900-305. The Surface Water Protection District Act
is amended by adding Section 30 as follows:
(70 ILCS 3405/30 new)
Sec. 30. Government Reporting Enhancement and Transparency
Act.
(a) For fiscal years ending before January 1, 2028,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the River Valley
Special Recreation Association shall be subject to the
Governmental Account Audit Act.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the River Valley
Special Recreation Association shall be subject to the
Government Reporting Enhancement and Transparency Act.
Section 900-310. The Metropolitan Transit Authority Act is
amended by changing Section 35 as follows:
(70 ILCS 3605/35) (from Ch. 111 2/3, par. 335)

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Sec. 35. Government Reporting Enhancement and Transparency
Act.
(a) For fiscal years ending before January 1, 2028, as As
soon after the end of each fiscal year as may be expedient, the
Board shall cause to be prepared and printed a complete and
detailed report and financial statement of its operations and
of its assets and liabilities. A reasonably sufficient number
of copies of such report shall be printed for distribution to
persons interested, upon request, and a copy thereof shall be
filed with the Governor, the county clerk of Cook County and
the clerk of each municipality which has adopted this Act, or
which has granted rights to the Authority by ordinance. A copy
of such report shall be addressed to and mailed to the Mayor
and City Council or President and Board of Trustees of such
municipality.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the Authority shall be
subject to the Government Reporting Enhancement and
Transparency Act.
(Source: P.A. 84-939.)
Section 900-315. The Local Mass Transit District Act is
amended by changing Section 7 as follows:
(70 ILCS 3610/7) (from Ch. 111 2/3, par. 357)

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Sec. 7. Government Reporting Enhancement and Transparency
Act.
(a) For fiscal years ending before January 1, 2028, it It
shall be the duty of the Board of Trustees of every District to
cause an annual audit of its accounts to be made by a certified
public accountant of Illinois. The audit shall be completed,
filed with the District within 4 months after the close of each
fiscal year of the District. Certified copies of annual audits
shall likewise be filed with the Secretary of State and with
the governing body or bodies which created the District.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each district shall be
subject to the Government Reporting Enhancement and
Transparency Act.
(Source: Laws 1959, p. 1635.)
Section 900-320. The Regional Transportation Authority Act
is amended by changing Section 4.05 and by adding Section 4.17
as follows:
(70 ILCS 3615/4.05) (from Ch. 111 2/3, par. 704.05)
Sec. 4.05. Financial Statements and Annual Reports.
(a) Within 7 six months after the end of each fiscal year,
the Board shall prepare a complete and detailed report
consolidating the financial statements audits of the Service

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Boards with the Authority's financial statements. The
consolidated financial statements shall set forth the
(1) revenues and expenses;
(2) cash flows where applicable;
(3) assets, deferred outflows of resources,
liabilities, deferred inflows of resources, fund balance
or net position of each entity and the combined total with
appropriate eliminations; and
(4) notes to the consolidated financial statements.
(b) In addition to consolidated financial statements, the
report prepared pursuant to subsection (a) shall review and
reviewing the state State of the Authority, the Service
Boards, and of the public transportation provided by the
various Service Boards and transportation agencies. The report
shall include evaluations of public transportation in the
metropolitan region and of the fiscal activities of the
Authority and the Service Boards Authority's activities, and
financial statements of the Authority's and the Service
Boards' revenues and expenditures for such year and of their
assets and liabilities, which financial statements shall have
been audited by an independent certified public accountant.
(c) In addition to consolidated financial statements, the
report prepared pursuant to subsection (a) The report shall
also set forth the financial results as reported to the
Service Boards from each transportation agency which during
such year had a purchase of service agreement with a Service

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Board or which received financial grants or financial
assistance from a Service Board, such results to be set forth
separately for each such agency.
(d) A sufficient number of copies of each annual report
shall be printed for distribution to anyone, upon request, and
a copy thereof shall be filed with the Governor, the State
Comptroller, the Speaker and Minority Leader of the Illinois
House of Representatives, the President and Minority Leader of
the Illinois Senate, the Mayor of the City of Chicago and the
President or Chairman of the county board of each county in the
metropolitan region, each Service Board, and with each
transportation agency which during such year had a purchase of
service agreement with a Service Board or which received
financial grants or other financial assistance from a Service
Board.
(Source: P.A. 83-1362.)
(70 ILCS 3615/4.17 new)
Sec. 4.17. Government Reporting Enhancement and
Transparency Act. For fiscal years beginning after December
31, 2027, notwithstanding any other provision of law to the
contrary, the operations and fiscal activities of each Service
Board and the Authority shall be subject to the Government
Reporting Enhancement and Transparency Act.
Section 900-325. The Public Water District Act is amended

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by changing Section 14 as follows:
(70 ILCS 3705/14) (from Ch. 111 2/3, par. 201)
Sec. 14. Government Reporting Enhancement and Transparency
Act.
(a) It shall be the duty of the board of trustees to
install and maintain a proper system of accounts showing
receipts from operation and the application of the same, and
the board shall at least once a year cause such accounts to be
properly audited by a licensed Certified Public Accountant
permitted to perform audits under the Illinois Public
Accounting Act for fiscal years ending before January 1, 2028.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of a water district shall
be subject to the Government Reporting Enhancement and
Transparency Act.
(Source: P.A. 94-465, eff. 8-4-05.)
Section 900-330. The Water Service District Act is amended
by adding Sections 14 as follows:
(70 ILCS 3710/14 new)
Sec. 14. Government Reporting Enhancement and Transparency
Act.
(a) For fiscal years ending before January 1, 2028,

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notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each district shall be
subject to the Governmental Account Audit Act.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each district shall be
subject to the Government Reporting Enhancement and
Transparency Act.
Section 900-333. The Water Authorities Act is amended by
adding Section 6d as follows:
(70 ILCS 3715/6d new)
Sec. 6d. Government Reporting Enhancement and Transparency
Act.
(a) For fiscal years ending before January 1, 2028,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each district shall be
subject to the Governmental Account Audit Act.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each district shall be
subject to the Government Reporting Enhancement and
Transparency Act.
Section 900-335. The Water Commission Act of 1985 is

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amended by changing Section 0.001b and by adding Section 6 as
follows:
(70 ILCS 3720/0.001b)
Sec. 0.001b. Powers and duties. A water commission has the
power and duty to:
(1) establish and define the responsibilities of the
commission and its committees;
(2) establish and define the responsibilities of the
commission's management and staff;
(3) establish a finance committee to conduct monthly
meetings to supervise staff's handling of financial
matters and budgeting;
(4) require the finance director and treasurer to
report to the finance committee the status of all
commission funds and obligations;
(5) require the treasurer to report to the commission
any improper or unnecessary expenditures, budgetary
errors, or accounting irregularities;
(6) require commission staff to document and comply
with standard accounting policies, procedures, and
controls to ensure accurate reporting to the finance
committee and commission and to identify improper or
unnecessary expenditures, budgetary errors, or accounting
irregularities;
(7) require the commission's finance director to

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provide monthly reports regarding the commission's cash
and investment position including whether the commission
has sufficient cash and investments to pay its debt
service, operating expenses, and capital expenditures and
maintain required reserve levels. The information shall
include the required funding levels for restricted funds
and unrestricted cash and investment balances with
comparisons to unrestricted reserves. The information
shall also include the type and performance of the
commission's investments and description as to whether
those investments are in compliance with the commission's
investment policies;
(8) require the commission's finance director to
provide the commission with detailed information
concerning the commission's operating performance
including the budgeted and actual monthly amounts for
water sales, water costs, and other operating expenses;
(9) require commission staff to provide the commission
with detailed information regarding the progress of
capital projects including whether the percentage of
completion and costs incurred are timely;
(10) require the commission's staff accountant to
perform bank reconciliations and general ledger account
reconciliations on a monthly basis; the finance director
shall review these reconciliations and provide them to the
treasurer and the finance committee on a monthly basis;

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(11) establish policies to ensure the proper
segregation of the financial duties performed by
employees;
(12) restrict access to the established accounting
systems and general ledger systems and provide for
adequate segregation of duties so that no single person
has sole access and control over the accounting system or
the general ledger system;
(13) require that the finance director review and
approve all manual journal entries and supporting
documentation; the treasurer shall review and approve the
finance director's review and approval of manual journal
entries and supporting documentation;
(14) require that the finance director closely monitor
the progress of construction projects;
(15) require that the finance director carefully
document any GAAP analysis or communications with GASB and
provide full and timely reports for the same to the
finance committee;
(16) retain an outside independent auditor to perform
a comprehensive audit of the water commission's financial
activities for each fiscal year in conformance with the
standard practices of the Association of Governmental
Auditors for fiscal years ending before January 1, 2028;
within 30 days after the independent audit is completed,
the results of the audit must be sent to the county

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auditor; and
(17) (blank).
(Source: P.A. 104-328, eff. 1-1-26.)
(70 ILCS 3720/6 new)
Sec. 6. Government Reporting Enhancement and Transparency
Act.
(a) For fiscal years ending before January 1, 2028,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each water commission
shall be subject to the Governmental Account Audit Act.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each water commission
shall be subject to the Government Reporting Enhancement and
Transparency Act.
Section 900-340. The Illinois Local Library Act is amended
by changing Section 4-10 as follows:
(75 ILCS 5/4-10) (from Ch. 81, par. 4-10)
Sec. 4-10. Reports and audits.
(a) Within 60 days after the expiration of each fiscal
year of the city, incorporated town, village or township, the
board of trustees shall make a report of the condition of their
trust on the last day of the fiscal year, to the city council,

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board of trustees or board of town trustees, as the case may
be. This report shall be made in writing and shall be verified
under oath by the secretary, or some other responsible officer
of the board of trustees. It shall contain (1) an itemized
statement of the various sums of money received from the
library fund and from other sources; (2) an itemized statement
of the objects and purposes for which those sums of money have
been expended; (3) a statement of the number of books and
periodicals available for use, and the number and character
thereof circulated; (4) a statement of the real and personal
property acquired by legacy, purchase, gift or otherwise; (5)
a statement of the character of any extensions of library
service which have been undertaken; (6) (blank); (7) a
statement as to the amount of accumulations and the reasons
therefor; (8) a statement as to any outstanding liabilities
including those for bonds still outstanding or amounts due for
judgments, settlements, liability insurance, or for amounts
due under a certificate of the board; (9) any other
statistics, information and suggestions that may be of
interest. A report shall also be filed, at the same time, with
the Illinois State Library.
(b) The board of trustees of a municipal library shall
also submit to the city council, board of trustees or board of
town trustees, along with the Illinois State Library, a
statement of financial requirements of the library for the
ensuing fiscal year for inclusion in the appropriation of the

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corporate authority, and of the amount of money which, in the
judgment of the board of library trustees, will be necessary
to levy for library purposes in the next annual tax levy
ordinance. This statement shall be submitted no less than 60
days prior to when the tax levy must be certified under
subsection (b) of Section 18-15 of the Property Tax Code.
(c)The board of trustees in a township shall also submit
its appropriation and levy determinations to the Board of
Township Trustees as provided in "The Illinois Municipal
Budget Law", as amended.
(d) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary, if
the library is a separate legal entity from a village,
incorporated town, or township, the operations and fiscal
activities of the library shall be subject to the Government
Reporting Enhancement and Transparency Act.
(Source: P.A. 100-245, eff. 8-22-17.)
Section 900-345. The Illinois Library System Act is
amended by changing Section 10 as follows:
(75 ILCS 10/10) (from Ch. 81, par. 120)
Sec. 10. Government Reporting Enhancement and Transparency
Act.
(a) Each library system receiving state aid shall furnish
an annual report and such information regarding its library

10400HB5391ham001 - 364 - LRB104 18487 RTM 35239 a
service as the State Librarian may from time to time require.
The State Librarian may revoke his approval of a library
system if he finds that it does not conform to the plan of
service or the regulations promulgated by the State Librarian;
or in case of a provisional approval, if such library system
does not fulfill the terms upon which provisional approval was
based. In such a case a library system shall not thereafter be
entitled to state aid until its bylaws or plan of service is
again approved by the State Librarian.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each library system
shall be subject to the Government Reporting Enhancement and
Transparency Act.
(Source: P.A. 83-411.)
Section 900-350. The Public Library District Act of 1991
is amended by changing Sections 30-45 and 30-65 as follows:
(75 ILCS 16/30-45)
Sec. 30-45. Duties of officers.
(a) The duties of the officers of the board are as provided
in this Section.
(b) The president shall preside over all meetings, appoint
members of committees authorized by the district's
regulations, and perform other duties specified by the

10400HB5391ham001 - 365 - LRB104 18487 RTM 35239 a
district's regulations, ordinances, or other appropriate
action. In the president's absence, the vice president shall
preside at meetings. The president shall not have or exercise
veto powers.
(c) The vice president's duties shall be prescribed by
regulations.
(d) The treasurer shall keep and maintain accounts and
records of the district during the treasurer's term in office,
indicating in those accounts and records a record of all
receipts, disbursements, and balances in any funds.
For fiscal years ending before January 1, 2028, annual
Annual audit and financial report requirements shall conform
with Section 3 of the Governmental Account Audit Act.
(e) The treasurer shall give bond to the district to
faithfully discharge the duties of the office and to account
to the district for all district funds coming into the
treasurer's hands. The bond shall be in an amount and with
sureties approved by the board. The amount of the bond shall be
based upon a minimum of 10% of the total funds received by the
district in the last previous fiscal year. The cost of any
surety bond shall be borne by the district. As an alternative
to a personal bond on the treasurer, the treasurer may secure
for the district an insurance policy or other insurance
instrument that provides the district with coverage for
negligent or intentional acts by district officials and
employees that could result in the loss of district funds. The

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coverage shall be in an amount at least equal to 10% of the
average amount of the district's operating fund from the prior
3 fiscal years. The coverage shall be placed with an insurer
approved by the board. The cost of any such coverage shall be
borne by the district. The system shall provide the Illinois
State Library a copy of the district's certificate of
insurance at the time the district's annual report is filed.
(f) Any person, entity, or public body or agency
possessing district funds, property, or records shall, upon
demand by any trustee, transfer and release the funds,
property, or records to the treasurer.
(g) The secretary shall keep and maintain appropriate
records for his or her term in office and shall include in
those records a record of the minutes of all meetings, the
names of those in attendance, the ordinances enacted, the
resolutions and regulations adopted, and all other pertinent
written matter affecting the operation of the district. The
secretary may administer oaths and affirmations for the
purposes of this Act.
(Source: P.A. 103-592, eff. 6-7-24.)
(75 ILCS 16/30-65)
Sec. 30-65. Reports and audits.
(a) For fiscal years ending before January 1, 2028, on On
or before September 1 of each year, the board shall prepare a
written report for the past fiscal year. The secretary shall

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file certified copies of the report on or before the due date
with the Illinois State Librarian and in the library or
libraries operated by the district, where the report shall be
available for public inspection. The report shall include the
following:
(1) The audit of the secretary and the secretary's
records as provided in subsection (c).
(2) A statement as to any change in the limits and
boundaries of the district.
(3) A statement as to property of any type acquired by
the district by purchase, legacy, gift, or otherwise.
(4) A statement as to the amount of accumulations and
the reasons for the accumulations.
(5) A statement as to any outstanding liabilities,
including those for bonds still outstanding.
(6) Any other pertinent information requested by the
Illinois State Librarian.
(b) For fiscal years ending before January 1, 2028, where
Where dissolution of the district has been approved, the board
shall prepare a final report.
(c) For fiscal years ending before January 1, 2028, the
The secretary's records shall be audited by 2 other trustees
appointed by the president. The audit shall be conducted each
fiscal year and upon the change of secretaries. The audit
report shall be filed not later than 90 days following the
completion of the fiscal year. The report shall certify the

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accuracy and completeness of the secretary's records and shall
list the discrepancies, if any. The report of the audit of the
secretary's records shall be made a part of the secretary's
records.
(d) The board shall take whatever action is deemed
necessary to cure the discrepancies reported to it by any
audit committee.
(e) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the district shall be
subject to the Government Reporting Enhancement and
Transparency Act.
(Source: P.A. 87-1277; 88-442; 88-670, eff. 12-2-94.)
Section 900-355. The Village Library and Gymnasium Tax Act
is amended by adding Section 3 as follows:
(75 ILCS 50/3 new)
Sec. 3. Government Reporting Enhancement and Transparency
Act. For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary, if
the library is a separate legal entity from the village, the
operations and fiscal activities of the library shall be
subject to the Government Reporting Enhancement and
Transparency Act.

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Section 900-360. The Public Community College Act is
amended by changing Sections 3-22.1, 3-22.2, and 7-24 as
follows:
(110 ILCS 805/3-22.1) (from Ch. 122, par. 103-22.1)
Sec. 3-22.1. Government Reporting Enhancement and
Transparency Act.
(a) For fiscal years ending before January 1, 2028, the
board shall To cause an audit to be made as of the end of each
fiscal year by an accountant licensed to practice public
accounting in Illinois and appointed by the board. The auditor
shall perform his or her examination in accordance with
generally accepted auditing standards and regulations
prescribed by the State Board, and submit his or her report
thereon in accordance with generally accepted accounting
principles. The examination and report shall include a
verification of student enrollments and any other bases upon
which claims are filed with the State Board. The audit report
shall include a statement of the scope and findings of the
audit and a professional opinion signed by the auditor. If a
professional opinion is denied by the auditor he or she shall
set forth the reasons for that denial. The board shall not
limit the scope of the examination to the extent that the
effect of such limitation will result in the qualification of
the auditor's professional opinion. The procedures for payment
for the expenses of the audit shall be in accordance with

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Section 9 of the Governmental Account Audit Act. Copies of the
audit report shall be filed with the State Board in accordance
with regulations prescribed by the State Board.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the Board shall be
subject to the Government Reporting Enhancement and
Transparency Act.
(Source: P.A. 99-655, eff. 7-28-16; 100-884, eff. 1-1-19.)
(110 ILCS 805/3-22.2) (from Ch. 122, par. 103-22.2)
Sec. 3-22.2. For fiscal years ending before January 1,
2028, the board shall To publish annually a financial
statement in accordance with rules and regulations issued by
the State Board. Such statement shall be published at least
once in a newspaper of general circulation in the community
college district.
(Source: P.A. 79-304.)
(110 ILCS 805/7-24) (from Ch. 122, par. 107-24)
Sec. 7-24. Government Reporting Enhancement and
Transparency Act.
(a) For fiscal years ending before January 1, 2028, the
The board shall yearly, and may as often as necessary, appoint
certified public accountants to examine the business methods
and audit the accounts of the board, and to submit a report of

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that examination and audit, together with any of their
recommendations as to changes in business methods of the board
or any of its departments, officers or employees. That report
shall be made to the mayor, the city council, and the board and
be filed in the records of the board. The board shall prepare,
publish and transmit to the mayor and the city council an
annual report including in detail all receipts and
expenditures, specifying the source of the receipts and the
objects of the expenditures.
(b) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the Board shall be
subject to the Government Reporting Enhancement and
Transparency Act.
(Source: P.A. 83-343.)
Section 900-365. The Housing Authorities Act is amended by
changing Section 8.10 as follows:
(310 ILCS 10/8.10) (from Ch. 67 1/2, par. 8.10)
Sec. 8.10. Government Reporting Enhancement and
Transparency Act.
(a) For fiscal years ending before January 1, 2028, as As a
part of its annual report, every Housing Authority shall
present statements setting forth for each project of the
Housing Authority a balance sheet, a classified statement of

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revenues and expenditures and of receipts and disbursements
and a surplus statement, and also a consolidated balance sheet
and consolidated classified statements of revenues and
expenditures, and of receipts and disbursements and a surplus
statement reflecting the financial status and condition of the
Housing Authority as a whole as of the close of the immediately
preceding fiscal year. All statements shall be made separately
for bond interest and retirement, capital and operating
accounts. The report for the Housing Authority in any
municipality containing over 500,000 inhabitants shall also
include a separate statement setting out the total amount of
rent received for, and the amount of money expended on, each
housing project as that term is defined in Section 17 (g) of
this Act under the jurisdiction of the Housing Authority and
shall also include a complete schedule of salaries in effect
on the date of the report and to whom such salaries are paid.
The report for Housing Authorities other than those in
municipalities containing over 500,000 inhabitants shall
include a separate statement setting out in detail the exact
amount of rent received for, and the amount of money expended
on, each housing project as that term is defined in Section 17
(g) of this Act under the jurisdiction of the Housing
Authority and shall also include a complete schedule of the
salaries in effect on the date of the report and to whom
salaries are being paid. All statements shall be made
separately for bond interest and retirement, capital and

10400HB5391ham001 - 373 - LRB104 18487 RTM 35239 a
operating accounts. The annual report of every Housing
Authority shall also include the amount or amounts of service
charge or charges paid or proffered to the County Collector or
to the appropriate officer or officers, of any municipal
corporation in lieu of normal real estate taxes, identified to
show the year or years and project or projects for which
payment was made or proffered. The requirements of this
Section can be fulfilled by the filing of an annual certified
audit conducted in accordance with federal Housing and Urban
Development requirements with the presiding officers and
legislative authorities of the city, village, incorporated
town or county.
(b) For fiscal years ending before January 1, 2028, in In
addition to all other information required herein, the Housing
Authority in any municipality or county containing over
500,000 inhabitants shall prepare and maintain a summary
tabulation for each project for the period covered by the
annual report showing the number of and size of individual
housing accommodations; the number of units occupied by
families in the various income groups; the total number of
persons; the age group of the head of the household of
move-ins; the number of persons comprising the household; the
rent schedules for determining contract rents; and the number
of workers per family moving in; the year of admission of
families to public housing; the number of move-ins with the
size of family; income groups of families moving in; size of

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unit occupied by families moving in or out; and information as
to family composition; and information as to number of
families receiving public assistance or social security
benefits. All information shall be a matter of public record
and shall be made available by the Housing Authority, on
request, at any reasonable time without fee or reward.
(c) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of the Housing Authority
shall be subject to the Government Reporting Enhancement and
Transparency Act.
(Source: P.A. 87-200.)
Section 900-370. The Illinois Highway Code is amended by
adding Section 6-145 as follows:
(605 ILCS 5/6-145 new)
Sec. 6-145. Government Reporting Enhancement and
Transparency Act.
(a) For fiscal years beginning after December 31, 2027,
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each township and road
district comprised of a single township shall be combined and
shall be subject to the Government Reporting Enhancement and
Transparency Act.
(b) For fiscal years beginning after December 31, 2027,

10400HB5391ham001 - 375 - LRB104 18487 RTM 35239 a
notwithstanding any other provision of law to the contrary,
the operations and fiscal activities of each road district
other than a road district comprised of a single township
shall be subject to the Government Reporting Enhancement and
Transparency Act.
Section 900-375. The Clerks of Courts Act is amended by
changing Section 27.8 as follows:
(705 ILCS 105/27.8)
Sec. 27.8. Annual audit.
(a) Beginning with fiscal years ending in 1999 and until
the fiscal year beginning before January 1, 2028 all fiscal
years thereafter, in addition to any other audits required by
law, the county board of each county shall cause an audit of
the office of the circuit clerk to be made annually at the
close of the county's fiscal year by a licensed public
accountant. The county auditor and his or her staff may assist
with the audit. The audit shall consist of a letter report that
expresses an opinion on the financial statements of the
circuit clerk, a letter report that expresses an opinion on
internal controls of the circuit clerk, a letter report on the
circuit clerk's compliance with applicable statutes, rules,
and procedures relating to assessment, collection, and
distribution of funds, including the timeliness of those
actions, any documentation or statements necessary to support

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the findings and opinions of the auditors, and any
supplemental schedules or other documents required by the
audit guidelines. A listing of applicable legal requirements
shall be compiled by the Administrative Office of the Illinois
Courts and made available to auditors for their compliance
testing.
The county board may include additional requirements in
the audit.
(b) The audits shall be completed in accordance with
generally accepted government auditing standards and generally
accepted auditing standards. The audit shall be completed
within 6 months after the end of the fiscal year. The county
board may grant an extension of up to 6 months for the
completion of the audit.
(c) The expenses of conducting and filing the audit shall
be paid by the county from the circuit clerk's appropriations,
and the county board shall make provisions for the payment
unless another person or entity agrees, in writing, to pay the
expenses.
(d) The audit shall be filed with the Administrative
Office of the Illinois Courts, the State Comptroller, the
circuit clerk, and the county board within one month after the
completion of the audit.
(e) The Administrative Office of the Illinois Courts shall
disseminate auditing guidelines to the county boards and the
circuit clerks. The Auditor General's Office shall update,

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with the assistance of the Administrative Office of the
Illinois Courts, the auditing guidelines as necessary from
time to time. Revised guidelines shall be available to the
Administrative Office of the Illinois Courts for dissemination
to the county boards and the circuit clerks.
(f) The auditing requirements of this Section may be
included in the audit required by Section 6-31003 of the
Counties Code.
(g) This Section is intended to require a comprehensive
audit of the circuit clerks and to eliminate duplicative
audits of the circuit clerk. The audit performed under this
Section shall be available, upon request, to the public.
(Source: P.A. 90-350, eff. 1-1-98; 90-655, eff. 7-30-98.)
ARTICLE 999
Section 999-99. Effective date. This Act takes effect upon
becoming law.".