Bill Text: IL HB0729 | 2017-2018 | 100th General Assembly | Introduced


Bill Title: Creates the Local Government Stabilization Authority Act. Authorizes the corporate authorities of Bloom Township, Bremen Township, Calumet Township, Rich Township, and Thornton Township in Cook County to establish, by ordinance, a Local Government Stabilization Authority that shall use available funds to facilitate the return of vacant, abandoned, and tax-delinquent properties to productive use, combatting community deterioration, and creating economic growth. Provides definitions. Sets forth procedure regarding the creation of an Authority and funding sources. Further provides for the following: (1) an Authority's tax-exempt status; (2) the appointment of the Board of Directors and Chairperson, their terms of office, their removal, and vacancies; (3) the responsibilities and powers of the Board of Directors; and (4) an Executive Director to administer an Authority on a day-to-day basis. Sets forth the powers of an Authority to implement the purpose of the Act, including the authority to borrow money, enter into partnerships and joint ventures, and contract for goods and services. Permits an Authority to acquire, hold, manage, and dispose of real property. Requires an Authority to prepare an annual budget and provide annual financial statements and reports to the corporate authorities. Permits the corporate authorities to dissolve an Authority and provides requirements regarding the transfer of an Authority's debts, liabilities, and obligations. Effective immediately.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced) 2017-03-31 - Rule 19(a) / Re-referred to Rules Committee [HB0729 Detail]

Download: Illinois-2017-HB0729-Introduced.html


100TH GENERAL ASSEMBLY
State of Illinois
2017 and 2018
HB0729

Introduced , by Rep. Thaddeus Jones

SYNOPSIS AS INTRODUCED:
New Act

Creates the Local Government Stabilization Authority Act. Authorizes the corporate authorities of Bloom Township, Bremen Township, Calumet Township, Rich Township, and Thornton Township in Cook County to establish, by ordinance, a Local Government Stabilization Authority that shall use available funds to facilitate the return of vacant, abandoned, and tax-delinquent properties to productive use, combatting community deterioration, and creating economic growth. Provides definitions. Sets forth procedure regarding the creation of an Authority and funding sources. Further provides for the following: (1) an Authority's tax-exempt status; (2) the appointment of the Board of Directors and Chairperson, their terms of office, their removal, and vacancies; (3) the responsibilities and powers of the Board of Directors; and (4) an Executive Director to administer an Authority on a day-to-day basis. Sets forth the powers of an Authority to implement the purpose of the Act, including the authority to borrow money, enter into partnerships and joint ventures, and contract for goods and services. Permits an Authority to acquire, hold, manage, and dispose of real property. Requires an Authority to prepare an annual budget and provide annual financial statements and reports to the corporate authorities. Permits the corporate authorities to dissolve an Authority and provides requirements regarding the transfer of an Authority's debts, liabilities, and obligations. Effective immediately.
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FISCAL NOTE ACT MAY APPLY

A BILL FOR

HB0729LRB100 05836 AWJ 15861 b
1 AN ACT concerning local government.
2 Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4 Section 1. Short title. This Act may be cited as the Local
5Government Stabilization Authority Act.
6 Section 5. Purpose. The purpose of this Act is to implement
7a pilot program and create Local Government Stabilization
8Authorities that shall use available resources to facilitate
9the return of vacant, abandoned, and tax-delinquent properties
10to productive use thereby combating community deterioration,
11creating economic growth, and stabilizing the housing and job
12market.
13 Section 7. Applicability. This Act shall apply only to
14Bloom Township, Bremen Township, Calumet Township, Rich
15Township, and Thornton Township in Cook County.
16 Section 10. Definitions. The following words and terms
17shall have the meanings set forth in this Act, except where
18otherwise specifically indicated:
19 "Authority" means a Local Government Stabilization
20Authority.
21 "Board of Directors" means the Board of Directors of a

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1Local Government Stabilization Authority.
2 "Chairperson" means the chairperson of a Local Government
3Stabilization Authority Board.
4 "Corporate authorities" means the board of trustees of
5Bloom Township, Bremen Township, Calumet Township, Rich
6Township, or Thornton Township.
7 "Director" means the Executive Director of a Local
8Government Stabilization Authority.
9 "Fiscal year" means the fiscal year of a Local Government
10Stabilization Authority, which shall begin on December 1st of
11each year and end on the following November 30th.
12 "Member" means a member of a Board of Directors.
13 "Person" means any individual, corporation, limited
14liability corporation, organization, government, governmental
15subdivision or agency, business trust, estate, trust,
16partnership, association, and any other legal entity.
17 "Real estate broker" has the meaning ascribed to it under
18the Real Estate License Act of 2000.
19 "Real property" means all land and the buildings thereon,
20all things permanently attached to land or to the buildings
21thereon, and any interest existing in, issuing out of, or
22dependent upon land or the buildings thereon.
23 Section 15. Creation; funding; assets.
24 (a) The corporate authorities may, by ordinance, establish
25a Local Government Stabilization Authority to be an agency of

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1the township. All personnel, facilities, equipment, and
2supplies within the Authority shall be governed by a Board of
3Directors as provided herein. The Board of Directors shall be
4accountable to the corporate authorities.
5 An Authority shall acquire, hold, and transfer interest in
6real property throughout the township, as approved by the Board
7of Directors for the following purposes, in a way that is
8consistent with Section 5 of this Act and the goals and
9priorities established by this Act:
10 (1) to promote redevelopment and reuse of vacant,
11 abandoned, and tax-delinquent properties; and
12 (2) to support targeted efforts to stabilize
13 neighborhoods;
14 (3) to stimulate residential, commercial and
15 industrial development; and
16 (4) to repair and renovate the homes of senior citizens
17 that have deteriorated over time.
18 (b) A Local Government Stabilization Authority shall apply
19for funding in the sum of up to $2,000,000 from the Abandoned
20Residential Property Municipality Relief Program under Section
217.31 of the Illinois Housing Development Act. The Authority may
22apply for funding from other State and federal programs, at the
23discretion of the Authority.
24 (c) Except as otherwise provided in this Act, the corporate
25authorities shall hold title to all real property controlled by
26an Authority.

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1 Section 20. Tax-exempt status. The activities of the
2Authority pursuant to this Act are governmental functions
3carried out by an instrumentality or political subdivision of
4the State as described in Section 115 of Title 26 of the United
5States Internal Revenue Code, or any corresponding provisions
6of any future tax code. The activities of the Authority shall
7be construed as governmental functions carried out by a
8political subdivision of this State, exempt to the extent
9provided under Illinois law from taxation by this State,
10including, but not limited to, ad valorem property tax
11exemption pursuant to the Property Tax Code.
12 Section 25. Authority Board of Directors; appointment. The
13Authority shall be governed by a Board of Directors that shall
14be appointed by the township supervisor, subject to approval by
15the corporate authority, within 45 days of the adoption of an
16ordinance pursuant to subsection (a) of Section 15 of this Act.
17The Board of Directors shall be residents of the township. The
18Board of Directors shall consist of 12 members.
19 Candidates for the Board of Directors appointed by the
20corporate authorities shall be selected from the following
21categories:
22 (1) One corporate authority board member to serve as an
23 ex-officio member with voting rights. The ex-officio
24 member shall serve as a liaison between the corporate

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1 authority and the Board of Directors;
2 (2) One representatives recommended by the township
3 supervisor;
4 (3) One representative from the local economic
5 development community;
6 (4) One representative from the banking community; and
7 (5) One representative from a local or State Realtor
8 Association.
9 Section 30. Term of office. Except as otherwise provided in
10this Section, the members of the Board of Directors appointed
11under Section 25 shall be appointed for the duration of the
12pilot program under this Act.
13 Section 35. Chairperson; members of the Board of Directors.
14 (a) The Board of Directors shall annually elect a
15Chairperson from among the members.
16 (1) The Chairperson shall preside at meetings of the
17 Board of Directors and is entitled to vote on all matters
18 before the Board of Directors.
19 (2) A member may be elected to serve successive terms
20 as Chairperson.
21 (b) The Board of Directors may appoint, from its members, a
22member to serve as the Authority secretary and such additional
23officers from its members as it may deem appropriate.

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1 Section 40. Removal. A member may be removed by the
2corporate authorities prior to the expiration of the member's
3term of appointment for good cause. Good cause includes
4inefficiency, neglect of duty, malfeasance, or any cause which
5renders the member unfit for the position or unable to perform
6the duties of the position. The corporate authorities shall
7provide written notice to that member and the Chairperson of
8the Board of the removal of that member from the Board of
9Directors. The notice shall state the specific grounds which
10constitute cause for removal. The member, in receipt of this
11notice, may request to appear before the corporate authorities
12and present reasons in support of his or her retention.
13Thereafter, the corporate authorities shall vote upon whether
14there are sufficient grounds to remove that member from office.
15The township clerk shall notify the member of the final action
16of the corporate authorities.
17 Section 45. Vacancies. Any vacancy on the Board of
18Directors caused by death, resignation, disqualification, or
19removal shall be filled by the corporate authorities as soon as
20practicable, but not to exceed 60 days following the occurrence
21of the vacancy. The vacancy shall be filled for the remainder
22of the unexpired term in the same manner as the original
23appointment.
24 Section 50. Meetings. The Board of Directors shall conduct

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1its first meeting no later than 60 days after the appointment
2of the Board of Directors. The place, date, and time of the
3Authority meetings shall be determined at the discretion of the
4Board of Directors. All meetings of the Board of Directors
5shall comply with the Open Meetings Act.
6 Section 55. Bylaws; policies; procedures. The Board of
7Directors shall adopt bylaws, procedures and policies
8consistent with the provisions of this Act within 120 days
9after the first meeting of the Board of Directors.
10 Section 60. Quorum and voting. A quorum shall be necessary
11for the transaction of any business by the Board of Directors.
12A majority of the members of the Board of Directors shall
13constitute a quorum. The Board of Directors shall act by a
14majority vote of the members at a meeting at which a quorum is
15present, except as otherwise provided in this Act. Presence for
16both quorum and voting at an Authority meeting shall be
17articulated by the Board of Directors in its bylaws or
18procedures in a manner consistent with the Open Meetings Act.
19 Section 65. Records of meetings. Minutes of all meetings of
20the Board of Directors and its Committees shall be made and
21maintained as required by the Open Meetings Act.
22 Section 70. Board of Directors; responsibilities. The

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1Board of Directors shall ensure:
2 (a) that all personnel matters are conducted free from any
3political interference and in accordance with the provisions of
4the Supplemental Relief Order and Consent Decree established in
5the federal civil litigation filed in the Northern District of
6Illinois under Case No. 69 C 2145 and titled Shakman, et al. v.
7Democratic Organization, et al. and all applicable laws;
8 (b) that all operations, including contractual matters,
9are conducted free from any political interference; and
10 (c) efficiency in service delivery and sound fiscal
11management of all aspects of the Authority including the
12collection of all revenues from all sources.
13 Section 75. Board of Directors; actions. The Board of
14Directors shall do all of the following that is consistent with
15Illinois law:
16 (1) adopt, amend, or repeal rules and policies and
17 procedures governing the Board of Directors and its actions
18 and meetings, and adopt, amend, or repeal policies and
19 procedures to implement day-to-day operation of the
20 Authority, including policies governing any staff of the
21 Authority;
22 (2) elect additional officers, including, but not
23 limited to, initial officers who shall be elected at the
24 first meeting of the Board of Directors in accordance with
25 the bylaws;

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1 (3) provide for a system of accounting;
2 (4) adopt or amend the Authority's budget to submit
3 annually to the corporate authorities for approval and
4 adoption in a time frame mandated by the corporate
5 authorities;
6 (5) adopt, amend, or repeal policies and procedures for
7 contracting and procurement which must be consistent with
8 the provisions set forth in the local Code;
9 (6) commission, collect, and receive data from public,
10 private, professional, and volunteer sources to compile an
11 inventory an analysis of desirable properties for
12 acquisition;
13 (7) establish banking arrangements for the Authority
14 pursuant to Section 160 of this Act; and
15 (8) organize and reorganize the executive,
16 administrative, clerical, and other departments of the
17 Authority and fix the duties, powers, and compensation of
18 all employees, agents, and consultants of the Authority.
19 Section 80. Fiduciary duty. The members of the Board of
20Directors are under a fiduciary duty to conduct the activities
21and affairs of the Authority in the best interests of the
22residents of the township, including the safekeeping and use of
23all Authority moneys and assets. The members of the Board of
24Directors shall discharge their duties in good faith, with the
25care an ordinarily prudent person in a like position would

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1exercise under similar circumstances.
2 The members of the Board of Directors shall not sell
3property to the Authority or buy property held by the
4Authority.
5 Section 85. Compensation. The members of the Board of
6Directors shall receive no compensation for the performance of
7their duties. A member may engage in private or public
8employment, or in a profession or business, except to the
9extent prohibited by Illinois law or local ordinance. The
10Authority may reimburse members of the Board of Directors for
11actual and necessary expenses incurred in the discharge of
12their official duties, as provided by the Board of Directors.
13 Section 90. Executive Director. The Board of Directors may
14retain the professional services of an individual to perform
15the duties of an Executive Director on a contractual basis with
16the advice and consent of the corporate authorities. The
17Executive Director shall not be an employee of the Authority or
18of the township. The Director shall administer the Authority in
19accordance with the operating budget approved by the corporate
20authorities, general policy guidelines established by the
21Board of Directors, other applicable governmental procedures
22and policies, and this Act.
23 The Director shall be responsible for the day-to-day
24operations of the Authority, the control, management, and

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1oversight of the Authority's functions, and supervision of all
2of the Authority's contractual agreements. All terms and
3conditions of the Director's service shall be specified in a
4written contract between the Director and the Board of
5Directors. The Director may be removed by the corporate
6authorities or the Board of Directors for good cause prior to
7the expiration of the Director's contract. Good cause includes
8inefficiency, neglect of duty, malfeasance, or any cause which
9renders the Director unfit or unable to perform the scope of
10work. The Board of Directors may delegate to the Director any
11powers or duties it considers proper under terms, conditions,
12and to the extent that the Board of Directors may specify.
13 Section 95. Staffing services. The Board of Directors may
14approve contracts for staffing as requested by the Executive
15Director that are deemed necessary to carry out the duties and
16responsibilities of the Authority and in accordance with the
17policies and procedures established by the Board. Such staff
18shall be retained pursuant to contracts entered into in
19accordance with the procurement rules established by the Board.
20 Section 100. Ethics. The Board of Directors shall be
21subject to the all State of Illinois ethics laws.
22 Section 105. Indemnification.
23 (a) The township shall defend and indemnify the Authority

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1and the members of the Board of Directors with respect to all
2claims or judgments arising out of their activities as members
3with respect to all negligence claims, and claims or judgments
4arising out of the Authority's activities performed on behalf
5of the township.
6 (b) The township shall not be obligated to indemnify the
7Authority or a member for:
8 (1) Punitive damages or liability arising out of
9 conduct that is willful or wanton.
10 (2) Conduct that is outside the scope of the
11 Authority's authority.
12 (3) Any settlement or judgment in which the township
13 did not participate.
14 (4) The defense of any criminal or disciplinary
15 proceeding.
16 Section 110. General powers. The Authority has the power to
17do all things necessary or convenient to implement the
18purposes, objectives, and provisions of this Act including, but
19not limited to, the following:
20 (1) adopt, amend, and repeal bylaws for the regulation
21 of its affairs and the conduct of its business;
22 (2) acquire by purchase, donation, or other transfers
23 and to hold, lease, manage, and dispose of real property of
24 every kind and character, or any interest therein, in
25 furtherance of the public purposes of the Authority;

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1 (3) pay any tax or special assessment due on real
2 property acquired or owned by the Authority;
3 (4) acquire, accept, or retain equitable interests,
4 security interests, or other interests in any real property
5 or other fixtures by loan agreement, note, mortgage, deed
6 to secure debt, trust deed, security agreement,
7 assignment, pledge, conveyance, contract, lien, or other
8 consensual transfer in order to secure the repayment of any
9 moneys loaned or credit extended by the Authority;
10 (5) borrow money from private lenders, from
11 municipalities or counties, from the State or from federal
12 government funds, subject to the approval of the corporate
13 authorities, to further or carry out the Authority's public
14 purpose by executing leases, trust indentures, trust
15 agreements, agreements for the sale notes, loan
16 agreements, mortgages, deeds to secure debt, trust deeds,
17 security agreements, assignments, and other agreements or
18 instruments as may be necessary or desirable, in the
19 judgment of the Authority, to evidence and to provide
20 security for such borrowing;
21 (6) apply directly or indirectly to any federal, state,
22 county, or municipal government or agency, or to any other
23 source, whether public or private, for loans, grants,
24 gifts, guarantees, labor, or other aid or financial
25 assistance in furtherance of the Authority's public
26 purpose and to accept and use the same upon such terms and

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1 conditions as are prescribed by such federal, state,
2 county, municipal government or agency, or other source;
3 (7) enter into agreements with the federal government
4 or any agency thereof to use the facilities or services of
5 the federal government or any agency thereof in order to
6 further or carry out the public purposes of the Authority;
7 (8) as security for repayment of any note, or other
8 obligations of the Authority, to pledge, mortgage, convey,
9 assign, hypothecate, or otherwise encumber any property of
10 the Authority, including, but not limited to, real
11 property, fixtures, and revenues or other funds, and to
12 execute any lease, trust indenture, trust agreement,
13 agreement for the sale of the Authority's notes, or other
14 obligations, loan agreement, mortgage, deed to secure
15 debt, trust deed, security agreement, assignment, or other
16 agreement or instrument as may be necessary or desirable,
17 in the judgment of the Authority, to secure any such notes,
18 or other obligations, which instruments or agreements may
19 provide for foreclosure or forced sale of any real property
20 of the Authority upon default in any obligation of the
21 Authority, either in payment of principal, premium, if any,
22 or interest or in the performance of any term or condition
23 contained in any such agreement or instrument;
24 (9) receive and administer gifts, grants, and bequests
25 of money and real property consistent with the purpose of
26 the Authority;

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1 (10) use any real property or fixtures or any interest
2 therein or to rent, license or lease such real property to
3 or from others or make contracts with respect to the use
4 thereof, or to sell, lease, exchange, transfer, assign,
5 pledge, or otherwise dispose of or grant options for any
6 such real property in any manner as it deems to be in the
7 best interests of the Authority and the public purpose
8 thereof;
9 (11) procure insurance or guarantees from the State or
10 federal government of the payments of any debts or parts
11 thereof incurred by the Authority, and to pay premiums in
12 connection therewith;
13 (12) procure, if required, insurance against losses in
14 connection with the real property, assets, or activities of
15 the Authority;
16 (13) enter into contracts and other instruments
17 necessary, incidental, or convenient to the performance of
18 its duties and the exercise of its powers, including, but
19 not limited to, an agreement with a party for the joint
20 exercise of powers. An agreement with a party may include
21 contracts for the performance of services by a party on
22 behalf of the Authority or by the Authority on behalf of a
23 party;
24 (14) enter into partnerships, joint ventures, and
25 other collaborative relationships with municipalities and
26 other public and private entities for the ownership,

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1 management, development, and disposition of real property;
2 (15) to enter into contracts and other instruments
3 necessary, incidental, or convenient to the performance of
4 its duties and the exercise of its powers, including, but
5 not limited to, agreements with a party regarding the
6 disposition of Authority properties located within their
7 boundaries;
8 (16) finance, by loan, grant, lease, or otherwise,
9 refinance, construct, erect, assemble, purchase, acquire,
10 own, repair, remodel, rehabilitate, modify, maintain,
11 extend, improve, install, sell, equip, expand, add to,
12 operate, or manage real property or rights or interests in
13 real property, and to pay the costs of any such project
14 from the proceeds of revenue bonds, loans by persons,
15 corporations, partnerships, whether limited or general, or
16 other entities, all of which the Authority is authorized to
17 receive, accept, and use;
18 (17) fix, charge, and collect rents, fees, licenses and
19 charges for the use of real property of the Authority and
20 for services provided by the Authority;
21 (18) grant or acquire a license, easement, lease (as
22 lessor or lessee), or option with respect to real property
23 of the Authority;
24 (19) enter into contracts with nonprofit community
25 land trusts, including, but not limited to, long-term lease
26 contracts;

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1 (20) contract for goods and services and engage
2 personnel as necessary, to be paid from the funds of the
3 Authority. The Board shall determine the qualifications,
4 duties, and compensation of those it contracts with and
5 employs;
6 (21) organize and reorganize the executive,
7 administrative, clerical, and other departments of the
8 Authority and to fix the duties, powers, and compensation
9 of all employees, agents, and consultants of the Authority;
10 (22) remediate environmental contamination on any real
11 property held by the Authority;
12 (23) acquire, hold, and manage property pursuant to
13 this Act;
14 (24) dispose of property pursuant to this Act;
15 (25) promulgate rules regarding the procurement of
16 contracts and services of local real estate brokers and
17 construction crews pursuant to Section 160 of this Act;
18 (26) submit a redevelopment plan to a municipality with
19 a redevelopment project area and comply with any
20 requirements of the municipality with regard to that plan;
21 and
22 (27) to do all other things necessary or convenient to
23 achieve the objectives and purposes of the Authority or
24 other laws that relate to the purposes and responsibilities
25 of the Authority.
26 To the extent that any power or duty of the Authority

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1created under this Act conflicts with the powers or duties of a
2county or township official, the powers or duties of that
3county or township official shall prevail.
4 Section 115. No waiver of governmental immunity. Nothing in
5this Act is intended, nor shall be construed, as a waiver by
6the township enacting an ordinance that creates an Authority
7under this Act of any governmental immunity provided under any
8applicable law.
9 Section 120. Non-discrimination. The Authority shall
10comply with all applicable laws prohibiting discrimination.
11 Section 125. Acquisition of real property.
12 (a) The Authority shall procure the services of local real
13estate brokers pursuant to Section 160 of this Act to assist in
14the acquisition of real property under this Section.
15 (b) The Authority may acquire real property or rights or
16interests in real property by gift, bequest, transfer,
17exchange, foreclosure, purchase, purchase contracts, lease
18purchase agreements, installment sales contracts, land
19contracts, tax sale, scavenger sale or otherwise, on terms and
20conditions and in a manner the Authority considers proper.
21 (c) The Authority may acquire any property conveyed to it
22by this State, a foreclosing governmental unit, a unit of local
23government, an intergovernmental entity created under the laws

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1of this State, or any other public or private person,
2including, but not limited to, property without clear title.
3 (d) All deeds, mortgages, contracts, leases, purchases, or
4other agreements regarding property of the Authority,
5including agreements to acquire or dispose of real property,
6shall be approved by and executed by the Authority, in the name
7of the township.
8 (e) The Authority shall have the right to purchase
9properties in the name of the township at tax sales conducted
10in accordance with the Property Tax Code. The Authority may
11tender a bid at a tax sale that is a credit bid, consisting of
12the obligation of the Authority to satisfy the component parts
13of the bid by payments to the respective political
14subdivisions.
15 (f) The Authority shall have the right to make offers to
16purchase properties that are subject to a listing agreement;
17said offer or purchase of a property by the Authority that is
18subject to a listing agreement shall not extinguish any legal
19rights existing under the listing agreement.
20 Section 130. Holding and managing property. The Authority
21may control, manage, maintain, operate, repair, lease as
22lessor, license, secure, prevent the waste or deterioration of,
23demolish, and take all other actions necessary to preserve the
24value of the real property it controls on behalf of the
25township. The Authority shall maintain all real property held

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1by the Authority in accordance with applicable laws and codes.
2real property shall be inventoried and classified by the
3Authority according to suitability for use. The inventory shall
4be maintained as a public record and shall be filed
5electronically and in the principal office of the Authority.
6 Section 135. Property disposition. On terms and
7conditions, and in a manner and for an amount of consideration
8that the Authority considers proper, fair, and reasonable,
9including for no monetary consideration if appropriate, the
10Authority may convey, sell, transfer, exchange, lease as
11lessor, or otherwise dispose of real property or rights or
12interests in real property that the Authority controls and the
13township holds a legal interest to any public or private
14person. The transfer and use of property under this Section and
15the exercise by the Authority of powers and duties under this
16Act shall be considered a necessary public purpose and for the
17benefit of the public.
18 Section 140. Criteria for conveyance. Real property shall
19be conveyed by the Authority in accordance with this Act and
20according to criteria determined in the discretion of the Board
21and contained in the policies and procedures adopted by the
22Board. The Board may adopt policies and procedures that set
23forth priorities for a transferee's use of real property
24conveyed by the Authority, including, but not limited to,

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1affordable housing.
2 Section 145. Transactions. Transactions shall be
3structured in a manner that permits the Authority to enforce
4contractual agreements, real covenants, and the provisions of
5any subordinate financing held by the Authority pertaining to
6development and use of the real property.
7 Section 150. Disposition of proceeds. Any proceeds from the
8sale or transfer of real property by the Authority shall be
9retained, expended, or transferred by the Authority as
10determined by the Board in the best interests of the Authority
11and in accordance with applicable laws and agreements.
12 Section 155. Intergovernmental agreements.
13 (a) The Board of Directors may negotiate and propose
14agreements necessary, incidental, or convenient to the
15performance of its duties and the exercise of its powers with
16any unit of local government subject to the approval of the
17corporate authorities. An agreement may include, but is not be
18limited to, contracts for the joint exercise of powers,
19contracts for the ownership, management, development, and
20disposition of real property, or contracts for the performance
21of services by a local unit of government on behalf of the
22Authority or by the Authority on behalf of a local unit of
23government.

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1 (b) The parties to the intergovernmental agreements shall
2agree that no party to an intergovernmental agreement shall be
3responsible, in whole or in part, for the acts of the
4employees, agents, and servants of any other party, whether
5acting separately or in conjunction with the implementation of
6an agreement. The parties shall only be bound and obligated
7under an agreement as expressly agreed to by each party.
8 (c) All agreements shall in all respects be interpreted,
9enforced, and governed under the laws of the State of Illinois
10without regard to the doctrines of conflict of laws. The
11language of all parts of an agreement shall in all cases be
12construed as a whole according to its plain and fair meaning,
13and not construed strictly for or against any party.
14 (d) All agreements with municipalities shall include
15language that the municipality consents to participation in the
16pilot program under this Act.
17 Section 160. Procurement.
18 (a) The Authority shall adopt rules regarding the
19procurement of contracts and services of local real estate
20brokers and construction crews.
21 (b) The Authority shall contract the services of 15 real
22estate brokers to sell or list homes after they are repaired
23under this Act. Bidding shall occur at an open meeting convened
24by the Authority in accordance with the Open Meetings Act. A
25real estate broker shall possess a real estate broker's license

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1and shall be in good standing with the Department of Financial
2and Professional Regulation.
3 For purposes of this Section, "local" means having a
4principal place of business within the boundaries of Bloom
5Township, Bremen Township, Calumet Township, Rich Township, or
6Thornton Township in Cook County.
7 (c) The Authority shall contract the services of
8construction crews composed of students from construction
9programs with an accredited community college or institute of
10higher education located within the boundaries of the township.
11 Section 165. Records. The Authority shall keep and maintain
12at the principal office of the Authority all documents and
13records of the Authority. The records of the Authority, which
14shall be available to the public, shall include, but not be
15limited to, a copy of this Act, a copy of the ordinance
16creating the Authority, the Authority's bylaws, and any
17agreements and amendments, as applicable. The records and
18documents shall be maintained and shall be delivered to any
19successor entity.
20 Section 170. Financial statements and quarterly reports.
21 (a) The Authority shall prepare, at the Authority's
22expense, audited financial statements, including a balance
23sheet, statement of revenue and expense, statement of cash
24flows, and changes in fund balance, on an annual basis. This

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1financial statements shall be prepared in accordance with
2generally accepted accounting principles and accompanied by a
3written opinion of an independent certified public accounting
4firm.
5 (b) The Authority shall submit reports under this Section
6to the Illinois Housing Development Authority. The reports
7shall include: (1) the number of foreclosed properties in the
8township; (2) the number of properties acquired pursuant to the
9pilot program under this Act; (3) the number of projects
10completed to date under the pilot program; and (4) financial
11details regarding the cost of the projects, the amount a
12project sold for, and whether there exists a net gain or loss
13for the Authority.
14 Section 175. Annual budget.
15 (a) The Authority shall prepare an annual budget in a
16manner and under a time frame mandated by the corporate
17authorities.
18 (b) The obligations and expenditures of the Board of
19Directors shall conform to the any applicable local
20appropriation ordinance, provided that the corporate
21authorities retain the authority to impose additional
22limitations. Any commitment, contract or other obligation
23entered into by the Board in derogation of this Section shall
24be voidable by the corporate authorities and the Illinois
25Housing Development Authority.

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1 Section 180. Deposits and investments. The Authority shall
2deposit funds of the Authority in a special fund to be held by
3the treasurer of the township, designated as the "Local
4Government Stabilization Authority Fund" and expended
5exclusively for the operation of the Authority.
6 Section 185. Disbursements. Expenditures of funds from the
7Local Government Stabilization Authority Fund shall be in
8accordance with guidelines established by the Board of
9Directors.
10 Section 190. Performance objectives. Each fiscal year, the
11Director, or other individual designated by the Board of
12Directors, shall prepare, for review and approval by the Board
13of Directors, objectives for the Authority's performance.
14 Section 195. Annual report.
15 (a) The Board of Directors shall submit to the corporate
16authorities, within 6 months after the end of each fiscal year,
17a report that shall set forth a complete and detailed operating
18and financial statement of the Authority during such Fiscal
19Year.
20 (b) Included in the report shall be any recommendations for
21additional legislation or other action that may be necessary to
22carry out the mission, purpose, and intent of the Authority.

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1 Section 200. Management of funds. The Director, or other
2individual designated by the Board of Directors, is authorized
3to make deposits and withdraw funds from the Local Government
4Stabilization Authority Fund for the management of sales
5proceeds, revenue, and other Authority funds as authorized by
6the Board of Directors. Standard accounting procedures shall be
7used in the management of accounts and approved by the
8corporate authorities.
9 Section 205. Authorized expenditures. The Authority shall
10in its sole discretion and within its budget, expend funds as
11necessary to carry out the powers, duties, functions, and
12responsibilities of an Authority under this Act.
13 Section 210. Dissolution of assets. Upon determining that
14the purposes of the Authority have been completed and that
15there is no longer a need for the Authority's continued
16existence, the corporate authorities may repeal the enacting
17ordinance and dissolve the Authority provided, however, that
18the effective date of a repeal shall provide sufficient time
19for the Authority to carry out the provisions set forth in
20Section 190.
21 As soon as possible after notice of the repeal of this Act
22or the repeal of a local enacting ordinance, the Authority
23shall finish its affairs as follows:

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1 (1) all of the Authority's debts, liabilities, and
2 obligations to its creditors and all expenses incurred in
3 connection with the termination of the Authority and
4 distribution of its assets shall be paid first; and
5 (2) the remaining real property and personal property
6 owned by the Authority, if any, shall be distributed to any
7 successor entity, subject to approval by the corporate
8 authorities. In the event that no successor entity exists,
9 the remaining real property and personal property, and
10 other assets of the Authority, shall become assets of the
11 corporate authorities, unless provided otherwise in any
12 applicable agreements.
13 Section 215. Interpretation. All powers granted to the
14Authority under this Act shall be interpreted broadly to
15effectuate the intent and purposes of this Act and not to serve
16as a limitation of powers.
17 Section 220. Severability. The provisions of this Act are
18severable under Section 1.31 of the Statute on Statutes.
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