65 ILCS 5/11-130-3
2021 Illinois Compiled Statutes|Chapter 65 - MUNICIPALITIES|65 ILCS 5/ - Illinois Municipal Code.|Article 11 - Corporate Powers and Functions

 (from Ch. 24, par. 11-130-3)Sec. 11-130-3.         Whenever the corporate authorities of any municipality  determine to purchase or construct waterworks under the provisions of this  Division 130, they shall have an estimate made of the cost thereof and, by  ordinance, shall provide for the issuance of revenue bonds under the  provisions of this Division 130. The ordinance shall set forth a brief  description of the contemplated purchase or construction, the estimated  cost thereof, the amount, rate of interest, time and place of payment, and  other details in connection with the issuance of the bonds. The bonds shall  bear interest at not more than the maximum rate authorized by the Bond  Authorization Act, as amended at the time of the making of the contract,  payable semi-annually, and shall be payable at such times and places not  exceeding 20 years from their date as shall be prescribed in the ordinance  providing for their issuance. This ordinance shall also declare that a  statutory mortgage lien exists upon the property  so to be purchased or constructed, fix minimum rates for water to be  collected prior to the payment of all of the revenue bonds so issued, and  shall pledge the revenue derived from the operation of the waterworks for  the purpose of paying those bonds and the interest thereon. This pledge  shall definitely fix and determine the amount of revenue which must be set  apart and applied to the payment of the principal of and interest on the  bonds and the proportion of the balance of the revenue which is to be set  aside as a proper and adequate depreciation account. The remainder of the  revenue shall be set aside for the reasonable and proper operation and  maintenance of the waterworks. The rates to be charged for the services  from the waterworks shall be sufficient to provide for the payment of  interest upon all bonds and to create a sinking fund to pay the principal  thereof as and when the bonds become due, to provide for the operation and  maintenance of the system and to provide an adequate depreciation fund.With respect to instruments for the payment of money issued under this  Section either before, on, or after the effective date of this amendatory  Act of 1989, it is and always has been the intention of the General  Assembly (i) that the Omnibus Bond Acts are and always have been  supplementary grants of power to issue instruments in accordance with the  Omnibus Bond Acts, regardless of any provision of this Act that may appear  to be or to have been more restrictive than those Acts, (ii) that the  provisions of this Section are not a limitation on the supplementary  authority granted by the Omnibus Bond Acts, and (iii) that instruments  issued under this Section within the supplementary authority granted  by the Omnibus Bond Acts are not invalid because of any provision of  this Act that may appear to be or to have been more restrictive than  those Acts.The amendatory Acts of 1971, 1972 and 1973 are not a limit upon any  municipality which is a home rule unit.    (Source: P.A. 86-4.)