2023 Illinois Compiled Statutes › Chapter 70 - SPECIAL DISTRICTS › 70 ILCS 3605/ - Metropolitan Transit Authority Act.

(70 ILCS 3605/1) (from Ch. 111 2/3, par. 301)
Sec. 1. 
		
		This Act shall be known and may be cited as the "Metropolitan Transit Authority Act."
(Source: Laws 1945, p. 1171.)
(70 ILCS 3605/2) (from Ch. 111 2/3, par. 302)
Sec. 2. When used in this Act:
"Transportation System" means all plants, equipment, property and rights
useful for transportation of passengers for hire except taxicabs and
includes, without limiting the generality of the foregoing, street
railways, elevated railroads, subways and underground railroads, motor
vehicles, trolley buses, motor buses and any combination thereof.
"Metropolitan area of Cook County" embraces all the territory in the
County of Cook, State of Illinois East of the east line of Range Eleven
(11), East of the Third Principal Meridian of the United States Government
survey.
"Metropolitan area" means the metropolitan area of Cook County, as above
defined.
"Authority" means Chicago Transit Authority created by this Act.
"Board" means Chicago Transit Board.
"Governor" means Governor of the State of Illinois.
"Mayor" means Mayor of the City of Chicago.
"Motor vehicle" means every vehicle which is self-propelled or which is
propelled by electric power obtained from overhead trolley wires but not
operated on rails.
"Municipal government" means a "municipality" as defined in Section 1 of Article VII of the Illinois Constitution.
"Unit of local government" has the meaning ascribed to it in Section 1 of Article VII of the Illinois Constitution.
(Source: P.A. 98-709, eff. 7-16-14.)
(70 ILCS 3605/3) (from Ch. 111 2/3, par. 303)
Sec. 3. 
		
		All the territory in the County of Cook, State of Illinois, lying
east of the east line of Range Eleven, East of the Third Principal Meridian
of the United States Government Survey is hereby created a political
subdivision, body politic and municipal corporation under the name of
Chicago Transit Authority.
(Source: Laws 1945, p. 1171.)
(70 ILCS 3605/4) (from Ch. 111 2/3, par. 304)
Sec. 4. 
		
		The Authority shall not exercise any of the powers granted by this
Act until it is adopted, in the manner provided in Section 44, by the
electors of one or more cities, villages and incorporated towns within the
metropolitan area having a population in the aggregate of at least 100,000
according to the Federal census of 1940.
(Source: Laws 1945, p. 1171.)
(70 ILCS 3605/5) (from Ch. 111 2/3, par. 305)
Sec. 5. 
		
		The Authority may sue and be sued in its corporate name but
execution shall not in any case issue against any property of the
Authority. It may adopt a common seal and change the same at pleasure. The
principal office of the Authority shall be in the City of Chicago.
(Source: Laws 1945, p. 1171.)
(70 ILCS 3605/6) (from Ch. 111 2/3, par. 306)
Sec. 6. 
		
		The Authority shall have power to acquire, construct, own, operate
and maintain for public service a transportation system in the metropolitan
area of Cook County and outside thereof to the extent herein provided and
all the powers necessary or convenient to accomplish the purposes of this
Act, including, without limiting the generality of the foregoing, the
specific powers enumerated herein.
(Source: Laws 1955, p. 1166.)
(70 ILCS 3605/6.1) (from Ch. 111 2/3, par. 306.1)
Sec. 6.1. 
		
		Within 5 years after the receipt of any assets transferred
to the Authority from an Urban Transportation District created under the
Urban Transportation District Act, such assets shall be used by the Authority,
exclusively within the area included in such District, for projects which
develop, maintain or improve capital improvements in public transportation.
(Source: P.A. 82-1048.)
(70 ILCS 3605/7) (from Ch. 111 2/3, par. 307)
Sec. 7. 
		
		The Authority shall have power to acquire by purchase,
condemnation, lease, gift or otherwise all or any part of the plant,
equipment, property, rights in property, reserve funds, employees' pension
or retirement funds, special funds, franchises, licenses, patents, permits
and papers, documents and records belonging to any public utility operating
a transportation system within the metropolitan area of Cook County,
together with all or any part of the right of way, equipment, fixed
facilities and other property of any kind of any such utility extending
beyond the boundaries of the metropolitan area of Cook County and forming
part of an integrated suburban rapid transit, rail transportation facility
or motor bus operation connecting with rapid transit or electric railway
lines in super highways of the Authority or leading to the unification and
integration of a unified rapid transit, rail, and motor bus operation in
and about the metropolitan area of Cook County. Such properties upon
acquisition by or lease to the Authority shall become and be operated as
part of the transportation system of the Authority and the Authority shall
have all powers in connection with such properties and such operations as
are conferred by this Act with respect to the transportation system of the
Authority located within the metropolitan area of Cook County. The
Authority shall also have the power to enter into agreements to operate any
such lines extending beyond the boundaries of the metropolitan area; such
agreements to be subject to all other provisions of this Act. The Authority
shall have power to contract for or lease for operation and maintenance by
the Authority, any municipally owned local transportation subways or other
municipally owned local transportation facilities or the facilities of any
common carrier or the facilities of any local Mass Transit District,
organized under the "Local Mass Transit Act", approved July 21, 1959, as
heretofore and hereafter amended, whether such subways or facilities are
within or without the metropolitan area of Cook County. The Authority shall
have the power to contract with any local Mass Transit District, organized
under the "Local Mass Transit Act", approved July 21, 1959, as heretofore
and hereafter amended, or with any common carrier for the construction and
operation of a transportation system, whether such transportation system is
within or without the metropolitan area of Cook County. However, the
Authority shall not have power to operate a motor bus facility, the major
part of which is used for local transportation of passengers in any city,
village or incorporated town, unless and until the Authority shall have
secured the right to operate motor buses in such municipality for local
transportation of passengers in the manner stated in Section 11 of this
Act.
(Source: P.A. 76-1548.)
(70 ILCS 3605/7a) (from Ch. 111 2/3, par. 307a)
Sec. 7a. 
		
		Purchases made pursuant to this Act shall be made in compliance
with the "Local Government Prompt Payment Act", approved by the
Eighty-fourth General Assembly.
(Source: P.A. 84-731.)
(70 ILCS 3605/8) (from Ch. 111 2/3, par. 308)
Sec. 8. 
		
		The Authority shall have power to acquire by purchase,
condemnation, lease, gift or otherwise any property and rights useful for
its purposes and to sell, lease, transfer or convey any property or rights
when no longer useful or exchange the same for other property or rights
which are useful for its purposes.
(Source: Laws 1945, p. 1171.)
(70 ILCS 3605/8.5)
Sec. 8.5. Eminent domain. Notwithstanding any other provision of this Act, any power granted under this Act to acquire property by condemnation or eminent domain is subject to, and shall be exercised in accordance with, the Eminent Domain Act.
(Source: P.A. 94-1055, eff. 1-1-07.)
(70 ILCS 3605/9) (from Ch. 111 2/3, par. 309)
Sec. 9. 
		
		The Authority shall have power to enter into agreements for the
joint use of any property and rights by the Authority and any public
utility operating a railroad; to enter into agreements with any public
utility operating any transportation facilities either within or without
the metropolitan area for the joint use of any property of the Authority or
public utility, or the establishment of through routes, joint fares and
transfer of passengers.
(Source: Laws 1945, p. 1171.)
(70 ILCS 3605/9a) (from Ch. 111 2/3, par. 309a)
Sec. 9a. 
		
		In addition to all its other powers, the Authority shall, in all its
dealings with the Regional Transportation Authority established by the
"Regional Transportation Authority Act", enacted by the 78th General
Assembly, have the following powers:
(a) to cooperate with the Regional Transportation Authority in the
exercise by the Regional Transportation Authority of all the powers granted
it by such Act;
(b) to receive funds from the Regional Transportation
Authority pursuant to Sections 2.02, 4.01, 4.02, 4.09 and 4.10 of the
"Regional Transportation Authority Act", all as provided
in the "Regional
Transportation Authority Act";
(c) to receive financial grants from the Regional Transportation
Authority or a Service Board, as defined in the "Regional Transportation
Authority Act", upon such terms and conditions as shall be set forth in a
grant contract between either the Authority and the Regional Transportation
Authority or the Authority and another Service Board, which contract or
agreement may be for such number of years or duration as the parties may
agree, all as provided in the "Regional Transportation Authority Act";
(d) to acquire from the Regional Transportation Authority any Public
Transportation Facility, as defined in the "Regional Transportation
Authority Act", by purchase contract, gift, grant, exchange for other
property or rights in property, lease (or sublease) or installment or
conditional purchase contracts, which contracts or leases may provide for
consideration to be paid in annual installments during a period not
exceeding 40 years; such property may be acquired subject to such
conditions, restrictions, liens or security or other interests of other
parties as the Authority may deem appropriate and in each case the
Authority may acquire or dispose of a joint, leasehold, easement, license
or other partial interest in such property;
(e) to sell, sell by installment contract, lease (or sublease) as
lessor, or transfer to, or grant to or provide for the use by the Regional
Transportation Authority any Public Transportation Facility, as defined in
the "Regional Transportation Authority Act", upon such terms and for such
consideration, or for no consideration, as the Authority may deem proper;
(f) to cooperate with the Regional Transportation Authority for the
protection of employees of the Authority and users of public transportation
facilities against crime and unsafe conditions and also to protect such
facilities; such
cooperation may include, without limitation, agreements for the
coordination or merger of police or security forces;
(g) to file such budgets, financial plans and reports with and transfer
such records, papers or
documents to the Regional Transportation Authority as may be agreed upon
with, or required by the Regional Transportation Authority, all as provided
in the "Regional Transportation Authority Act".
(Source: P.A. 90-273, eff. 7-30-97.)
(70 ILCS 3605/9b) (from Ch. 111 2/3, par. 309b)
Sec. 9b. 
The Authority shall comply with the requirements imposed upon a
Service Board in Sections 4.09(d) and 4.11 of the Regional Transportation
Authority Act and with the requirements of Section 2.11 of
the Regional Transportation Authority Act. The Authority shall present
evidence that it has complied
with Section 27a of this Act to the Regional Transportation Authority.
(Source: P.A. 102-559, eff. 8-20-21.)
(70 ILCS 3605/9c)
Sec. 9c. State safety oversight for rail fixed guideway public transportation systems. The Authority shall comply with the requirements of 49 U.S.C. 5329 and 49 U.S.C. 5330 as required by the Department of Transportation under paragraph (7) of Section 2705-300 of the Department of Transportation Law of the Civil Administrative Code of Illinois.
(Source: P.A. 102-559, eff. 8-20-21.)
(70 ILCS 3605/10) (from Ch. 111 2/3, par. 310)
Sec. 10. 
		
		The Authority shall have the right of eminent domain to acquire
private property and property devoted to any public use which is necessary
for the purposes of the Authority, provided, however, the Authority shall
have the right of eminent domain to acquire the property or properties
mentioned in Section 7 hereof extending beyond the boundaries of the
metropolitan area. However, the Authority shall have the right of eminent
domain to acquire property of any railroad which is not used for the
transportation of persons or property and to acquire rights and easements
across, under or over the right of way of such railroad. The Authority
shall have power to require persons or corporations owning or operating
public utility structures and appliances in, upon, under, over, across, or
along the public roads, streets, or other public ways in which the
Authority has the right to own, construct, operate or maintain
transportation facilities (1) to remove these public utility structures and
appliances from their locations, and (2) to relocate them in such places
elsewhere in the public roads, streets, or public ways as may be designated
by the corporate authorities having control of such public roads, streets
or public ways, either temporarily or for the remainder of the period of
the grant, license, or franchise which the specified persons or
corporations have to occupy such public roads, streets, or public ways for
public utility purposes. If any person or corporation owning or operating
public utility structures and appliances fails or refuses so to remove or
relocate them, the Authority may remove or relocate them. However, the
power of the Authority to so remove or relocate public utility structures
and appliances itself, or to require persons or corporations owning or
operating public utility structures and appliances to so remove or relocate
them, shall be exercised only upon such terms and conditions as the
Authority and these persons or corporations may agree upon, or in default
of such an agreement, upon such fair and reasonable terms and conditions as
the Authority may prescribe. These terms and conditions may include fair
and reasonable provisions as to how much of the expense of the removal, or
relocation shall be paid by the owners or operators of public utility
structures and appliances.
(Source: P.A. 76-1548.)
(70 ILCS 3605/11) (from Ch. 111 2/3, par. 311)
Sec. 11. 
		
		The Authority shall have the right, but not exclusive of the
public right, to use any public road, street or other public way in the
metropolitan area for interurban transportation of passengers. The
Authority shall not have the right to use any street or other public way in
any city, village or incorporated town, either within or without the
metropolitan area, for local transportation of passengers within any such
municipality, unless and until authorized so to do by an ordinance passed
by the corporate authorities of such municipality. In no case shall the
Authority construct or operate any street railroad in any city, village or
incorporated town until the corporate authorities thereof shall have passed
an ordinance consenting thereto.
(Source: P.A. 76-1548.)
(70 ILCS 3605/11.1) (from Ch. 111 2/3, par. 311.1)
Sec. 11.1. 
		Bikeways and trails. 
		The Authority may use its established
funds, personnel, and other resources to acquire, construct, operate, and
maintain bikeways and trails.  The Authority may cooperate with other
governmental and private agencies in bikeway and trail programs.
(Source: P.A. 87-985.)
(70 ILCS 3605/12) (from Ch. 111 2/3, par. 312)
Sec. 12. 
		
		The Authority shall have the continuing power to borrow
money for the purpose of acquiring any transportation system (including
any cash funds of such system reserved to replace worn out or obsolete
equipment and facilities), and for acquiring necessary cash working
funds, or for acquiring constructing, reconstructing, extending or
improving its transportation system or any part thereof, and for
acquiring any property and equipment useful for the construction,
reconstruction, extension, improvement or operation of its
transportation system or any part thereof. For the purpose of evidencing
the obligation of the Authority to repay any money borrowed as aforesaid
the Authority may pursuant to ordinance adopted by the Board from time
to time issue and dispose of its interest bearing revenue bonds or
certificates and may also from time to time issue and dispose of its
interest bearing revenue bonds or certificates to refund any bonds or
certificates at maturity or pursuant to redemption provisions or at any
time before maturity with the consent of the holders thereof. All such
bonds and certificates shall be payable solely from the revenues or
income or any other funds which the Authority may receive, may bear such date
or dates, may mature at such time or times not exceeding forty years
from their respective dates, may bear interest at such rate or rates,
not exceeding 9 per cent per annum or 70% of the prime commercial
rate in effect at the time the contract is made, whichever is greater,
payable semi-annually, may be in
such form, may carry such registration privileges, may be executed in
such manner, may be payable at such place or places, may be made subject
to redemption in such manner and upon such terms, with or without
premium as is stated on the face thereof, may be authenticated in such
manner and may contain such terms and covenants, all as may be provided
in such ordinance. Notwithstanding the form or tenor thereof and in the
absence of an express recital on the face thereof that it is
non-negotiable all such bonds and certificates shall be negotiable
instruments. Pending the preparation and execution of any such bonds or
certificates temporary bonds or certificates may be issued with or
without interest coupons as may be provided by ordinance. To secure the
payment of any or all of such bonds or certificates and for the purpose
of setting forth the covenants and undertakings of the authority in
connection with the issuance thereof and the issuance of any additional
bonds or certificates payable from such revenue or income as well as the
use and application of the revenue or income to be derived from the
transportation system the Authority may execute and deliver a trust
agreement or agreements; provided that no lien upon any physical
property of the Authority shall be created thereby. A remedy for any
breach or default of the terms of any such trust agreement by the
Authority may be by mandamus proceedings in any court of competent
jurisdiction to compel performance and compliance therewith, but the
trust agreement may prescribe by whom or on whose behalf such action may
be instituted. Under no circumstances shall any bonds or certificates
issued by the Authority or any other obligation of the Authority be or
become an indebtedness or obligation of the State of Illinois or of any
other political subdivision of or municipality within the State, nor
shall any such bond, certificate, or obligation be or become an
indebtedness of the Authority within the purview of any constitutional
limitation or provision, and it shall be plainly stated on the face of
each bond and certificate that it does not constitute such an
indebtedness or obligation but is payable solely from the revenues or
income as aforesaid.
Before any such bonds or certificates (excepting refunding bonds or
certificates) are sold the entire authorized issue, or any part thereof,
shall be offered for sale as a unit after advertising for bids at least
three times in a daily newspaper of general circulation published in the
metropolitan area, the last publication to be at least ten days before
bids are required to be filed. Copies of such advertisement may be
published in any newspaper or financial publication in the United
States. All bids shall be sealed, filed and opened as provided by
ordinance and the bonds or certificates shall be awarded to the highest
and best bidder or bidders therefor. The Authority shall have the right
to reject all bids and readvertise for bids in the manner provided for
the initial advertisement. However, if no bids are received such bonds
or certificates may be sold at not less than par value, without further
advertising, within sixty (60) days after the bids are required to be
filed pursuant to any advertisement.
Prime commercial rate means such prime rate as from time to time is publicly
announced by the largest commercial banking institution located in this State,
measured in terms of total assets.
(Source: P.A. 81-1504.)
(70 ILCS 3605/12a) (from Ch. 111 2/3, par. 312a)
Sec. 12a. 
(a) In addition to other powers provided in Section 12b,
the Authority may issue its notes from time to time, in anticipation of
tax receipts of the Regional Transportation Authority allocated to the Authority
or of other revenues or receipts of the Authority, in order to provide money
for the Authority to cover any cash flow deficit which the Authority anticipates
incurring. Provided, however, that no such notes may be issued unless the
annual cost thereof is incorporated in a budget or revised budget of the
Authority which has been approved by the Regional Transportation Authority.
Any such notes are referred to as "Working Cash Notes".
Provided further that, the board shall not issue and have outstanding or
demand and direct that the Board of the Regional Transportation Authority
issue and have outstanding more than an aggregate of $40,000,000 in Working Cash Notes.
No Working Cash
Notes shall be issued for a term of longer than 18 months. Proceeds of Working
Cash Notes may be used to pay day to day operating expenses of the Authority,
consisting of wages, salaries and fringe benefits, professional and technical
services (including legal, audit, engineering and other consulting services),
office rental, furniture, fixtures and equipment, insurance premiums, claims
for self-insured amounts under insurance policies, public utility obligations
for telephone, light, heat and similar items, travel expenses,
office supplies, postage,
dues, subscriptions, public hearings and information expenses, fuel purchases,
and payments of grants and payments under purchase of service agreements
for operations of transportation agencies, prior to the receipt by the Authority
from time to time of funds for paying such expenses. Proceeds of the Working
Cash Notes shall not be used (i) to increase or provide a debt service
reserve fund for any bonds or notes other than Working Cash Notes of the
same Series, or (ii) to pay principal of or interest or redemption premium
on any capital bonds or notes, whether as such amounts become due or by
earlier redemption, issued by the Authority or a transportation agency to
construct or acquire public transportation facilities, or to provide funds
to purchase such capital bonds or notes.
(b) The ordinance providing for the issuance of any such notes shall fix
the date or dates of maturity, the dates on which interest is payable, any sinking fund
account or reserve fund account provisions and all other details of such
notes and may provide for such covenants or agreements necessary or desirable
with regard to the issue, sale and security of such notes.  The Authority
shall determine and fix the rate or rates of interest of its notes issued
under this Act in an ordinance adopted by the Board prior to the issuance
thereof, none of which rates of interest shall exceed that permitted in the Bond Authorization Act.
Interest may be payable annually or semi-annually, or at such other times
as determined by the Board.  Notes issued under this Section may be issued
as serial or term obligations, shall be of such denomination or denominations
and form, including interest coupons to be attached thereto, be executed
in such manner, shall be payable at such place or places and bear such date
as the Board shall fix by the ordinance authorizing such note and shall
mature at such time or times, within a period not to exceed 18 months from
the date of issue, and may be redeemable prior to maturity with or without
premium, at the option of the Board, upon such terms and conditions as the
Board shall fix by the ordinance authorizing the issuance of such notes.
The Board may provide for the registration of notes in the name of the owner
as to the principal alone or as to both principal and interest, upon such
terms and conditions as the Board may determine.  The ordinance authorizing
notes may provide for the exchange of such notes which are fully registered,
as to both principal and interest, with notes which are registerable as
to principal only.  All notes issued under this Section by the Board shall
be sold at a price which may be at a premium or discount but such that the
interest cost (excluding any redemption premium) to the Board of the proceeds
of an issue of such notes, computed to stated maturity according to standard
tables of bond values, shall not exceed that permitted in the Bond Authorization Act.  Such notes
shall be sold at such time or times as the Board shall determine.  The notes
may be sold either upon competitive bidding or by negotiated sale (without
any requirement of publication of intention to negotiate the sale of such
notes), as the Board shall determine by ordinance adopted with the affirmative
votes of at least 4 Directors.  In case any officer whose signature appears
on any notes or coupons authorized pursuant to this Section shall cease
to be such officer before delivery of such notes, such signature shall nevertheless
be valid and sufficient for all purposes, the same as if such officer had remained
in office until such delivery.  Neither the Directors of the Regional Transportation
Authority, the Directors of the Authority nor any person executing any bonds
or notes thereof shall be liable personally on any such bonds or notes or
coupons by reason of the issuance thereof.
(c) All notes of the Authority issued pursuant to this Section shall be
general obligations of the Authority to which shall be pledged the full
faith and credit of the Authority, as provided in this Section.  Such notes
shall be secured as provided in the authorizing ordinance, which may, notwithstanding
any other provision of this Act, include in addition to any other security,
a specific pledge or assignment of and lien on or security interest in any
or all tax receipts of the Regional Transportation Authority allocated to
the Authority and on any or all other revenues or moneys of the Authority
from whatever source which may by law
be utilized for debt service purposes and a specific pledge or assignment
of and lien on or security interest in any funds or accounts established
or provided for by the ordinance of the Board authorizing the issuance of
such notes.  Any such pledge, assignment, lien or security interest for
the benefit of holders of notes of the Authority shall be valid and binding
from the time the notes are issued without any physical delivery or further
act, and shall be valid and binding as against and prior to the claims of
all other parties having claims of any kind against the
Authority or any other person irrespective of whether such other parties
have notice of such pledge, assignment, lien or security interest.  The
obligations of the Authority incurred pursuant to this Section shall be
superior to and have priority over any other obligations of the Authority
except for obligations under Section 12.  The Board may provide in the ordinance
authorizing the issuance of any notes issued pursuant to this Section for
the creation of, deposits in, and regulation and disposition of sinking
fund or reserve accounts relating to such notes.  The ordinance authorizing
the issuance of any notes pursuant to this Section may contain provisions
as part of the contract with the holders of the notes, for the creation
of a separate fund to provide for the payment of principal and interest
on such notes and for the deposit in such fund from any or all the tax receipts
of the Regional Transportation Authority allocated to the Authority and
from any or all such other moneys or revenues of the Authority from whatever
source which may by law be utilized for debt service purposes, all as provided
in such ordinance, of amounts to meet the debt service requirements on such
notes, including principal and interest, and any sinking fund or reserve
fund account requirements as may be provided by such ordinance, and all
expenses incident to or in connection with such fund and accounts or the
payment of such notes.  Such ordinance may also provide limitations on the
issuance of additional notes of the Authority.  No such notes of the Authority
shall constitute a debt of the State of Illinois.
(d) The ordinance of the Board authorizing the issuance of any notes may
provide additional security for such notes by providing for appointment
of a corporate trustee (which may be any trust company or bank having the
powers of a trust company within the State) with respect to such notes.
The ordinance shall prescribe the rights, duties and powers of the trustee
to be exercised for the benefit of the Authority and the protection of the
holders of such notes.  The ordinance may provide for the trustee to hold
in
 trust, invest and use amounts in funds and accounts created as provided
by the ordinance with respect to the notes.  The ordinance shall provide
that amounts so paid to the trustee which are not required to be deposited,
held or invested in funds and accounts created by the ordinance with respect
to notes or used for paying notes to be paid by the trustee to the Authority.
(e) Any notes of the Authority issued pursuant to this Section shall constitute
a contract between the Authority and the holders from time to time of such
notes.  In issuing any note, the Board may include in the ordinance authorizing
such issue a covenant as part of the contract with the holders of the notes,
that as long as such obligations are outstanding, it shall make such deposits,
as provided in paragraph (c) of this Section.  A certified copy of the ordinance
authorizing the issuance of any such obligations shall be filed at or prior
to the issuance of such obligations with the Regional Transportation Authority,
Comptroller of the State of Illinois and the Illinois Department of Revenue.
(f) The State of Illinois pledges to and agrees with the holders of the
notes of the Authority issued pursuant to this Section that the State will
not limit or alter the rights and powers vested in the Authority by this
Act or in the Regional Transportation Authority by the Regional Transportation
Authority Act so as to impair the terms of any contract made by the Authority
with such holders or in any way impair the rights and remedies of such holders
until such notes, together with interest thereon, with interest on any unpaid
installments of interest, and all costs and expenses in connection with
any action or proceedings by or on behalf of such holders, are fully met
and discharged.  In addition, the State pledges to and agrees with the holders
of the notes of the Authority issued pursuant to this Section that the State
will not limit or alter the basis on which State funds are to be paid to
the Authority as provided in the Regional Transportation Authority Act,
or the use of such funds, so as to impair the terms of any such contract.
The Board is authorized to include these pledges and agreements of the State
in any contract with the holders of bonds or notes issued pursuant to this Section.
(g) The Board shall not at any time issue, sell or deliver any Interim
Financing Notes pursuant to this Section which will cause it to have issued
and outstanding at any time in excess of $40,000,000
of Working Cash Notes.  Notes which are being paid or retired by such issuance,
sale or delivery of notes, and notes for which sufficient funds have been
deposited with the paying agency of such notes to provide for payment of
principal and interest thereon or to provide for the redemption thereof,
all pursuant to the ordinance authorizing the issuance of such notes, shall
not be considered to be outstanding for the purposes of this paragraph.
(h) The Board, subject to the terms of any agreements with noteholders
as may then exist, shall have power, out of any funds available therefor,
to purchase notes of the Authority which shall thereupon be cancelled.
(i) In addition to any other authority granted by law, the State Treasurer
may, with the approval of the Governor, invest or reinvest, at a price not
to exceed par, any State money in the State Treasury which is not needed
for current expenditures due or about to become due in Interim Financing Notes. In the event of a default on an interim financing note issued by the Chicago Transit Authority in which State money in the State treasury was invested, the Treasurer may, after giving notice to the Authority, certify to the Comptroller the amounts of the defaulted interim financing note, in accordance with any applicable rules of the Comptroller, and the Comptroller must deduct and remit to the State treasury the certified amounts or a portion of those amounts from the following proportions of payments of State funds to the Authority:
(1)   in the first year after default, one-third of     the total amount of any payments of State funds to the Authority;
(2)   in the second year after default, two-thirds of     the total amount of any payments of State funds to the Authority; and
(3)   in the third year after default and for each     year thereafter until the total invested amount is repaid, the total amount of any payments of State funds to the Authority. (Source: P.A. 100-201, eff. 8-18-17; 101-485, eff. 8-23-19.)
(70 ILCS 3605/12b) (from Ch. 111 2/3, par. 312b)
Sec. 12b. 
		Working Cash Borrowing. 
		In addition to the powers provided
in Section 12a, the Board with the affirmative vote of 5 of its
Directors may demand and direct the Board of the Regional Transportation
Authority to issue Working Cash Notes at such time and in such amounts and
having such maturities as the Authority deems proper, provided however any
such borrowing shall have been specifically identified in the budget of
the Authority as approved by the Board of the Regional Transportation Authority.
Provided further, that the Board may not issue and have outstanding or
demand and direct the Board of
the Regional Transportation Authority to issue and have outstanding more
than an aggregate of $40,000,000 in Working Cash Notes.
(Source: P.A. 83-885; 83-886.)
(70 ILCS 3605/12c)
Sec. 12c. Retiree Benefits Bonds and Notes.
(a)  In addition to all other bonds or notes that it is authorized to issue, the Authority is authorized to issue its bonds or notes for the purposes of providing funds for the Authority to make the deposits described in Section 12c(b)(1) and (2),  for refunding any bonds authorized to be issued under this Section, as well as for the purposes of paying costs of issuance, obtaining bond insurance or other credit enhancement or liquidity facilities, paying costs of obtaining related swaps as authorized in the Bond Authorization Act ("Swaps"), providing a debt service reserve fund, paying Debt Service (as defined in paragraph (i) of this Section 12c), and paying all other costs related to any such bonds or notes.
(b)(1)   After its receipt of a certified copy of a report of the Auditor General of the State of Illinois meeting the requirements of Section 3-2.3 of the Illinois State Auditing Act, the Authority may issue $1,348,550,000 aggregate original principal amount of bonds and notes.  After payment of the costs of issuance and necessary deposits to funds and accounts established with respect to debt service, the net proceeds of such bonds or notes shall be deposited only in the Retirement Plan for Chicago Transit Authority Employees and used only for the purposes required by Section 22-101 of the Illinois Pension Code.  Provided that no less than $1,110,500,000 has been deposited in the Retirement Plan, remaining proceeds of bonds issued under this subparagraph (b)(1) may be used to pay costs of issuance and make necessary deposits to funds and accounts with respect to debt service for bonds and notes issued under this  subparagraph or subparagraph (b)(2).
(2)   After its receipt of a certified copy of a report of the Auditor General of the State of Illinois meeting the requirements of Section 3-2.3 of the Illinois State Auditing Act, the Authority may issue $639,680,000 aggregate original principal amount of bonds and notes.  After payment of the costs of issuance and necessary deposits to funds and accounts established with respect to debt service, the net proceeds of such bonds or notes shall be deposited only in the Retiree Health Care Trust  and used only for the purposes required by Section 22-101B of the Illinois Pension Code. Provided that no less than $528,800,000 has been deposited in the Retiree Health Care Trust, remaining proceeds of bonds issued under this subparagraph (b)(2) may be used to pay costs of issuance and make necessary deposits to funds and accounts with respect to debt service for bonds and notes issued under this subparagraph or subparagraph (b)(1).
(3) In addition, refunding bonds are authorized to be issued for the purpose of refunding outstanding bonds or notes issued under this Section 12c.
(4) The bonds or notes issued under 12c(b)(1) shall be issued as soon as practicable after the Auditor General issues the report provided in Section 3-2.3(b) of the Illinois State Auditing Act.  The bonds or notes issued under 12c(b)(2) shall be issued as soon as practicable after the Auditor General issues the report provided in Section 3-2.3(c) of the Illinois State Auditing Act.
(5) With respect to bonds and notes issued under subparagraph (b), scheduled aggregate annual payments of interest or deposits into funds and accounts established for the purpose of such payment shall commence within one year after the bonds and notes are issued. With respect to principal and interest, scheduled aggregate annual payments of principal and interest or deposits into funds and accounts established for the purpose of such payment shall be not less than 70% in 2009, 80% in 2010, and 90% in 2011, respectively, of scheduled payments or deposits of principal and interest in 2012  and shall be substantially equal beginning in 2012 and each year thereafter.  For purposes of this subparagraph (b), "substantially equal" means that debt service in any full year after calendar year 2011 is not more than 115% of debt service in any other full year after calendar year 2011 during the term of the bonds or notes.  For the purposes of this subsection (b), with respect to bonds and notes that bear interest at a variable rate, interest shall be assumed at a rate equal to the rate for United States Treasury Securities - State and Local Government Series for the same maturity, plus 75 basis points.  If the Authority enters into a Swap with a counterparty requiring the Authority to pay a fixed interest rate on a notional amount, and the Authority has made a determination that such Swap was entered into for the purpose of providing substitute interest payments for variable interest rate bonds or notes of a particular maturity or maturities in a principal amount equal to the notional amount of the Swap, then during the term of the Swap for purposes of any calculation of interest payable on such bonds or notes, the interest rate on the bonds or notes of such maturity or maturities shall be determined as if such bonds or notes bore interest at the fixed interest rate payable by the Authority under such Swap.
(6) No bond or note issued under this Section 12c shall mature later than December 31, 2040.
(c) The Chicago Transit Board shall provide for the issuance of bonds or notes as authorized in this Section 12c by the adoption of an ordinance.  The ordinance, together with the bonds or notes, shall constitute a contract among the Authority, the owners from time to time of the bonds or notes, any bond trustee with respect to the bonds or notes, any related credit enhancer and any provider of any related Swaps.
(d) The Authority is authorized to cause the proceeds of the bonds or notes, and any interest or investment earnings on the bonds or notes, and of any Swaps, to be invested until the proceeds and any interest or investment earnings  have been deposited with the Retirement Plan or the Retiree Health Care Trust.
(e) Bonds or notes issued pursuant to this Section 12c may be general obligations of the Authority, to which shall be pledged the full faith and credit of the Authority, or may be obligations payable solely from particular sources of funds all as may be provided in the authorizing ordinance.  The authorizing ordinance for the bonds and notes, whether or not general obligations of the Authority, may provide for the Debt Service (as defined in paragraph (i) of this Section 12c) to have a claim for payment from particular sources of funds, including, without limitation, amounts to be paid to the Authority or a bond trustee.  The authorizing ordinance may provide for the means by which the bonds or notes (and any related Swaps) may be secured, which may include, a pledge of any revenues or funds of the Authority from whatever source which may by law be utilized for paying Debt Service. In addition to any other security, upon the written approval of the Regional Transportation Authority by the affirmative vote of 12 of its then Directors, the ordinance may provide a specific pledge or assignment of and lien on or security interest in amounts to be paid to the Authority by the Regional Transportation Authority and direct payment thereof to  the bond trustee for payment of Debt Service with respect to the bonds or notes, subject to the provisions of existing lease agreements of the Authority with any public building commission. The authorizing ordinance may also provide a specific pledge or assignment of and lien on or security interest in and direct payment to the trustee of all or a portion of the moneys otherwise payable to the Authority from the City of Chicago pursuant to an intergovernmental agreement with the Authority to provide financial assistance to the Authority.


Any such pledge, assignment, lien or security interest for the benefit of owners 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 and prior to the claims of all other parties having claims of any kind against the Authority or any other person, irrespective of whether such other parties have notice of such pledge, assignment, lien or security interest, all as provided in the Local Government Debt Reform Act, as it may be amended from time to time.  The bonds or notes of the Authority issued pursuant to this Section 12c shall have such priority of payment and as to their claim for payment from particular sources of funds, including their priority with respect to obligations of the Authority issued under other Sections of this Act, all as shall be provided in the ordinances authorizing the issuance of the bonds or notes.  The ordinance authorizing the issuance of any bonds or notes under this Section may provide for the creation of, deposits in, and regulation and disposition of sinking fund or reserve accounts relating to those bonds or notes and related agreements.  The ordinance authorizing the issuance of any such bonds or notes authorized under this Section 12c may contain provisions for the creation of a separate fund to provide for the payment of principal of and interest on those bonds or notes and related agreements.  The ordinance may also provide limitations on the issuance of additional bonds or notes of the Authority.
(f) Bonds or notes issued under this Section 12c shall not constitute an indebtedness of the Regional Transportation Authority, the State of Illinois, or of any other political subdivision of or municipality within the State, except the Authority.
(g) The ordinance of the Chicago Transit Board authorizing the issuance of bonds or notes pursuant to this Section 12c may provide for the appointment of a corporate trustee (which may be any trust company or bank having the powers of a trust company within Illinois) with respect to bonds or notes issued pursuant to this Section 12c.  The ordinance shall prescribe the rights, duties, and powers of the trustee to be exercised for the benefit of the Authority and the protection of the owners of bonds or notes issued pursuant to this Section 12c.  The ordinance may provide for the trustee to hold in trust, invest and use amounts in funds and accounts created as provided by the ordinance with respect to the bonds or notes in accordance with this Section 12c.  The Authority may apply, as it shall determine, any amounts received upon the sale of the bonds or notes to pay any Debt Service on the bonds or notes.  The ordinance may provide for a trust indenture to set forth terms of, sources of payment for and security for the bonds and notes.
(h) The State of Illinois pledges to and agrees with the owners of the bonds or notes issued pursuant to Section 12c that the State of Illinois will not limit the powers vested in the Authority by this Act to pledge and assign its revenues and funds as security for the payment of the bonds or notes, or vested in the Regional Transportation Authority by the Regional Transportation Authority Act or this Act, so as to materially impair the payment obligations of the Authority under the terms of any contract made by the Authority with those owners or to materially impair the rights and remedies of those owners until those bonds or notes, together with interest and any redemption premium, and all costs and expenses in connection with any action or proceedings by or on behalf of such owners are fully met and discharged.  The Authority is authorized to include these pledges and agreements of the State of Illinois in any contract with owners of bonds or notes issued pursuant to this Section 12c.
(i) For purposes of this Section, "Debt Service" with respect to bonds or notes includes, without limitation, principal (at maturity or upon mandatory redemption), redemption premium, interest, periodic, upfront, and termination payments on Swaps, fees for bond insurance or other credit enhancement, liquidity facilities, the funding of bond or note reserves, bond trustee fees, and all other costs of providing for the security or payment of the bonds or notes.
(j) The Authority shall adopt a procurement program with respect to contracts relating to the following service providers in connection with the issuance of debt for the benefit of the Retirement Plan for Chicago Transit Authority Employees: underwriters, bond counsel, financial advisors, and accountants.  The program shall include goals for the payment of not less than 30% of the total dollar value of the fees from these contracts to minority-owned businesses and women-owned businesses as defined in the Business Enterprise for Minorities, Women, and Persons with Disabilities Act.  The Authority shall conduct outreach to minority-owned businesses and women-owned businesses.  Outreach shall include, but is not limited to, advertisements in periodicals and newspapers, mailings, and other appropriate media.  The Authority shall submit to the General Assembly a comprehensive report that shall include, at a minimum, the details of the procurement plan, outreach efforts, and the results of the efforts to achieve goals for the payment of fees.  The service providers selected by the Authority pursuant to such program shall not be subject to approval by the Regional Transportation Authority, and the Regional Transportation Authority's approval pursuant to subsection (e) of this Section 12c related to the issuance of debt shall not be based in any way on the service providers selected by the Authority pursuant to this Section.
(k) No person holding an elective office in this State, holding a seat in the General Assembly, serving as a director, trustee, officer, or employee of the Regional Transportation Authority or the Chicago Transit Authority, including the spouse or minor child of that person, may receive a legal, banking, consulting, or other fee related to the issuance of any bond issued by the Chicago Transit Authority pursuant to this Section.
(Source: P.A. 100-391, eff. 8-25-17.)
(70 ILCS 3605/13) (from Ch. 111 2/3, par. 313)
Sec. 13. 
		
		The Authority shall have power to purchase equipment such as cars,
trolley buses and motor buses, and may execute agreements, leases and
equipment trust certificates in the form customarily used in such cases
appropriate to effect such purchase and may dispose of such equipment trust
certificates. All money required to be paid by the Authority under the
provisions of such agreements, leases and equipment trust certificates
shall be payable solely from the revenue or income to be derived from the
transportation system and from grants and loans as provided in Section 15
of this Act. Payment for such equipment, or rentals therefor, may be made
in installments, and the deferred installments may be evidenced by
equipment trust certificates payable solely from such revenue or income,
and title to such equipment shall not vest in the Authority until the
equipment trust certificates are paid.
The agreement to purchase may direct the vendor to sell and assign the
equipment to a bank or trust company, duly authorized to transact business
in the State of Illinois, as Trustee, for the benefit and security of the
equipment trust certificates and may direct the Trustee to deliver the
equipment to one or more designated officers of the Authority and may
authorize the Trustee simultaneously therewith to execute and deliver a
lease of the equipment to the Authority.
The agreements and leases shall be duly acknowledged before some person
authorized by law to take acknowledgements of deeds and in the form
required for acknowledgement of deeds and such agreements, leases and
equipment trust certificates shall be authorized by ordinance of the Board
and shall contain such covenants, conditions and provisions as may be
deemed necessary or appropriate to insure the payment of the equipment
trust certificates from the revenue or income to be derived from the
transportation system.
The covenants, conditions and provisions of the agreements, leases and
equipment trust certificates shall not conflict with any of the provisions
of any trust agreement securing the payment of bonds or certificates of the
Authority.
An executed copy of each such agreement and lease shall be filed in the
office of the Secretary of State, who shall be entitled to receive one
dollar for each such copy filed with him and which filing shall constitute
notice to any subsequent judgment creditor or any subsequent purchaser.
Each vehicle so purchased and leased shall have the name of the owner and
lessor plainly marked upon both sides thereof, followed by the words "Owner
and Lessor."
(Source: Laws 1945, p. 1171.)
(70 ILCS 3605/14) (from Ch. 111 2/3, par. 314)
Sec. 14. 
		
		The State and all counties, cities, villages, incorporated
towns and other municipal corporations, political subdivisions and
public bodies, and public officers of any thereof, all banks, bankers,
trust companies, saving banks and institutions, building and loan
associations, savings and loan associations, investment companies and
other persons carrying on a banking business, all insurance companies,
insurance associations and other persons carrying on an insurance
business, and all executors, administrators, guardians, trustees and
other fiduciaries may legally invest any sinking funds, moneys or other
funds belonging to them or within their control in any bonds or
certificates issued pursuant to this Act, it being the purpose of this
section to authorize the investment in such bonds or certificates of all
sinking, insurance, retirement, compensation, pension and trust funds,
whether owned or controlled by private or public persons or officers;
provided, however, that nothing contained in this section may be
construed as relieving any person, firm, or corporation from any duty of
exercising reasonable care in selecting securities for purchase or
investment.
(Source: Laws 1945, p. 1171.)
(70 ILCS 3605/15) (from Ch. 111 2/3, par. 315)
Sec. 15. The Authority shall have power to apply for and accept grants and
loans from the Federal Government or any agency or instrumentality thereof, from the State, or from any county, municipal corporation or other political subdivision of the State
to be used for any of the purposes of the Authority, including, but not by
way of limitation, grants and loans in aid of mass transportation and for
studies in mass transportation, and may provide matching funds when
necessary to qualify for such grants or loans. The Authority may enter into
any agreement with the Federal Government, the State, and any county, municipal corporation or other political subdivision of the State in relation to such grants or
loans; provided that such agreement does not conflict with any of the
provisions of any trust agreement securing the payment of bonds or
certificates of the Authority.
The Authority may also accept from the state, or from any county or
other political subdivision, or from any municipal corporation, or school
district, or school authorities, grants or other funds authorized by law to
be paid to the Authority for any of the purposes of this Act.
(Source: P.A. 95-708, eff. 1-18-08.)
(70 ILCS 3605/16) (from Ch. 111 2/3, par. 316)
Sec. 16. 
		
		The Authority shall have power to invest and reinvest any funds
held in reserve or sinking funds not required for immediate disbursement in
bonds or notes of the United States, bonds of the State of Illinois or of
Cook County or of the City of Chicago or of the Chicago Park District or of
the Sanitary District of Chicago, or of the Board of Education of the City
of Chicago and in bonds or certificates of the Authority at not to exceed
their par value or their call price and to sell these securities whenever
the funds are needed for disbursement. Such investment or reinvestment of
any fund shall not be in conflict with any provisions of any trust
agreement securing the payment of bonds or certificates of the Authority.
(Source: Laws 1945, p. 1171.)
(70 ILCS 3605/17) (from Ch. 111 2/3, par. 317)
Sec. 17. 
		
		The Authority shall have power to procure and enter into contracts
for any type of insurance and indemnity against loss or damage to property
from any cause, including loss of use and occupancy, against death or
injury of any person, against employers' liability, against any act of any
member, officer or employee of the Board or of the Authority in the
performance of the duties of his office or employment or any other
insurable risk, and may self-insure or participate in joint
self-insurance pools or entities to insure against such risk.
(Source: P.A. 84-1246.)
(70 ILCS 3605/18) (from Ch. 111 2/3, par. 318)
Sec. 18. 
		
		The Authority shall not have power to levy taxes for any purpose
whatsoever.
(Source: Laws 1945, p. 1171.)
(70 ILCS 3605/19) (from Ch. 111 2/3, par. 319)
Sec. 19. The governing and administrative body of the Authority shall be a
board consisting of seven members, to be known as Chicago Transit Board.
Members of the Board shall be residents of the metropolitan area and persons of
recognized business ability.  No member of the Board of the
Authority shall hold any other office or employment under the Federal,
State or any County or any municipal government, or any other unit of local government, except an honorary office
without compensation or an office in the National Guard. No employee of
the Authority shall hold any other office or employment under the Federal,
State or any County or any municipal government, or any other unit of local government, except an office with
compensation not exceeding $15,000 annually or a position in the National
Guard or the United States military reserves.  Provided, however,
that the Chairman may be a member of the Board of the Regional Transportation
Authority. No member of the
Board or employee of the Authority shall have any private financial
interest, profit or benefit in any contract, work or business of the
Authority nor in the sale or lease of any property to or from the
Authority.  The salary of each member of the initial Board shall be
$15,000.00 per annum, and such salary shall not be increased or diminished
during his or her term of office.  The salaries of successor members of the
Board shall be fixed by the Board and shall not be increased or diminished
during their respective terms of office.  No Board member shall be allowed
any fees, perquisites or emoluments, reward or compensation for his or her
services as a member or officer of the Authority aside from his or her
salary or pension, but he or she shall be reimbursed for actual expenses
incurred by him or her in the performance of his or her duties.
(Source: P.A. 98-709, eff. 7-16-14.)
(70 ILCS 3605/20) (from Ch. 111 2/3, par. 320)
Sec. 20. 
		
		Within sixty (60) days after the adoption of this Act by the
electors of one or more cities, villages and incorporated towns within the
metropolitan area having a population in the aggregate of at least 100,000
according to the Federal census of 1940, the Governor, by and with the
advice and consent of the Senate, shall appoint three members of the Board
for initial terms expiring September first of the years 1947, 1948 and
1949, respectively, at least one of which members shall be a resident of
that portion of the metropolitan area which is outside the corporate limits
of the City of Chicago, and the Mayor, with advice and consent of the City
Council of the City of Chicago, shall appoint four members of the Board for
initial terms expiring September first of the years 1946, 1950, 1951 and
1952, respectively.  At the expiration of the term of any member appointed
by the Governor his successor shall be appointed by the Governor, and at
the expiration of the term of any member appointed by the Mayor his
successor shall be appointed by the Mayor in like manner, and with like
regard as to the place of residence of the appointee, as appointments for
the initial terms.  All successors shall hold office for the term of seven
years from the first day of September of the year in which they are
appointed, except in case of an appointment to fill a vacancy.  In case of
vacancy in the office of any member appointed by the Governor during the
recess of the Senate, the Governor shall make a temporary appointment until
the next meeting of the Senate when he shall nominate some person to fill
such office; and any person so nominated, who is confirmed by the Senate,
shall hold his office during the remainder of the term and until his
successor shall be appointed and qualified.  If the Senate is not in session
at the time this Act takes effect, the Governor shall make temporary
appointments as in case of vacancies.  Each appointment by the Governor
shall be subject to approval by the Mayor, and each appointment by the
Mayor shall be subject to approval by the Governor and, when so approved,
the Governor and the Mayor shall certify their respective appointments and
approvals to the Secretary of State.  If the Governor or the Mayor does not
approve or disapprove the appointment by the Mayor or the Governor, respectively,
within 15 days after receipt thereof, the person is appointed.  Within thirty
days after certification
and approval of his appointment, and before entering upon the duties of his
office, each member of the Board shall take and subscribe the
constitutional oath of office and file it in the office of the Secretary of
State.
(Source: P.A. 79-938.)
(70 ILCS 3605/21) (from Ch. 111 2/3, par. 321)
Sec. 21. 
Members of the Board shall hold office until their respective
successors have been appointed and have qualified. Any member may resign
from his or her office, to take effect when his or her successor has been appointed and
has qualified. The Governor and the Mayor, respectively, may remove any
member of the Board appointed by him or her in case of incompetency, neglect of
duty, or malfeasance in office. They may give him or her a copy of the charges
against him or her and an opportunity to be publicly heard in person or by counsel
in his or her own defense upon not less than 10 days' notice. The Governor may remove any member in response to a summary report received from the Executive Inspector General in accordance with Section 20-50 of the State Officials and Employees Ethics Act, provided he or she has an opportunity to be publicly heard in person or by counsel prior to removal. In case of failure
to qualify within the time required, or of abandonment of his or her office, or in
case of death, conviction of a crime or removal from office, his or her office
shall become vacant. Each vacancy shall be filled for the unexpired term by
appointment in like manner, and with like regard as to the place of
residence of the appointee, as in case of expiration of the term of a
member of the Board.
(Source: P.A. 96-1528, eff. 7-1-11.)
(70 ILCS 3605/22) (from Ch. 111 2/3, par. 322)
Sec. 22. 
		
		As soon as possible after the appointment of the initial
members, the board shall organize for the transaction of business,
select a chairman and a temporary secretary from its own number, and
adopt by-laws, rules and regulations to govern its proceedings. The
initial chairman and successors shall be elected by the Board from time
to time for the term of his office as a member of the Board or for the
term of three years, whichever is shorter. The Board shall fix the salary
of the chairman in addition to his
salary as a member of the Board, which shall not be increased or
diminished during his term of office as chairman. But if the chairman is
engaged in any other business or employment during his term as chairman,
his annual salary shall be not more than $25,000.
(Source: P.A. 80-937.)
(70 ILCS 3605/23) (from Ch. 111 2/3, par. 323)
Sec. 23. 
Regular meetings of the Board shall be held at least once in each
calendar month, the time and place of such meetings to be fixed by the
Board. Four members of the Board shall constitute a quorum for the
transaction of business. All action of the Board shall be by ordinance or
resolution and the affirmative vote of at least four members shall be
necessary for the adoption of any ordinance or resolution. All such
ordinances and resolutions before taking effect shall be approved by the
chairman of the Board, and if he shall approve thereof he shall sign the
same, and such as he shall not approve he shall return to the Board with
his objections thereto in writing at the next regular meeting of the Board
occurring after the passage thereof. But in case the chairman shall fail to
return any ordinance or resolution with his objections thereto by the time
aforesaid, he shall be deemed to have approved the same and it shall take
effect accordingly. Upon the return of any ordinance or resolution by the
chairman with his objections, the vote by which the same was passed shall
be reconsidered by the Board, and if upon such reconsideration said
ordinance or resolution is passed by the affirmative vote of at least five
members, it shall go into effect notwithstanding the veto of the chairman.
All ordinances, resolutions and all proceedings of the Authority and all
documents and records in its possession shall be public records, and open
to public inspection, except such documents and records as shall be kept or
prepared by the Board for use in negotiations, action or proceedings to
which the Authority is a party.
Open meetings of the Board shall be broadcast to the public and maintained in real-time on the Board's website using a high-speed Internet connection. Recordings of each meeting broadcast shall be posted to the Board's website within a reasonable time after the meeting and shall be maintained as public records to the extent practicable, as determined by the Board. Compliance with the provisions of this amendatory Act of the 98th General Assembly does not relieve the Board of its obligations under the Open Meetings Act.
(Source: P.A. 98-1139, eff. 6-1-15.)
(70 ILCS 3605/24) (from Ch. 111 2/3, par. 324)
Sec. 24. 
		
		The Board shall appoint a secretary and a treasurer, who need not
be members of the Board, to hold office during the pleasure of the Board,
and fix their duties and compensation. The Secretary shall not be engaged
in any other business or employment during his tenure of office as
Secretary of the Board. Before entering upon the duties of their respective
offices they shall take and subscribe the constitutional oath of office,
and the treasurer shall execute a bond with corporate sureties to be
approved by the Board. The bond shall be payable to the Authority in
whatever penal sum may be directed by the Board conditioned upon the
faithful performance of the duties of the office and the payment of all
money received by him according to law and the orders of the Board. The
Board may, at any time, require a new bond from the treasurer in such penal
sum as may then be determined by the Board. The obligation of the sureties
shall not extend to any loss sustained by the insolvency, failure or
closing of any savings and loan association or national or State bank
wherein the treasurer has deposited
funds if the bank has been approved by the Board as a depositary for these
funds. The oaths of office and the treasurer's bond shall be filed in the
principal office of the Authority.
(Source: P.A. 83-541.)
(70 ILCS 3605/25) (from Ch. 111 2/3, par. 325)
Sec. 25. 
		
		All funds deposited by the treasurer in any bank, savings bank,
or savings
and loan association shall be placed
in the name of the Authority and shall be withdrawn or paid out only by
check or draft upon the bank, savings bank, or savings and loan
association, signed
by the treasurer or an assistant
treasurer and countersigned by the chairman of the Board or a vice-chairman
of the Board. The Board may designate any of its members or any officer or
employee of the Authority to affix the signature of the chairman and
another to affix the signature of the treasurer to any check or draft for
payment of salaries or wages and for the payment of any other obligation of
not more than $2500.00.
No bank, savings bank, or savings and loan association shall receive
public funds as
permitted by this Section, unless it has complied with the requirements
established pursuant to Section 6 of "An Act relating to certain investments
of public funds by public agencies", approved July 23, 1943, as now or
hereafter
amended.
(Source: P.A. 92-811, eff. 8-21-02.)
(70 ILCS 3605/26) (from Ch. 111 2/3, par. 326)
Sec. 26. 
		
		In case any officer whose signature appears upon any check, draft,
bond, certificate or interest coupon, issued pursuant to this Act, ceases
to hold his office before the delivery thereof to the payee or the
purchaser of any bond or certificate, his signature nevertheless shall be
valid and sufficient for all purposes with the same effect as if he had
remained in office until delivery thereof.
(Source: Laws 1945, p. 1171.)
(70 ILCS 3605/27) (from Ch. 111 2/3, par. 327)
Sec. 27. 
		
		The Board may appoint an Executive Director who shall be a person
of recognized ability and experience in the operation of transportation
systems to hold office during the pleasure of the Board.  The Executive
Director shall have management of the properties and business of the
Authority and the employees thereof, subject to the general control of the
Board, shall direct the enforcement of all ordinances, resolutions, rules
and regulations of the Board, and shall perform such other duties as may be
prescribed from time to time by the Board.  The Board may appoint a General
Counsel and a Chief Engineer, and shall provide for the appointment of
other officers, attorneys, engineers, consultants, agents and employees as
may be necessary for the construction, extension, operation, maintenance,
and policing of its properties.  It shall define their duties and require
bonds of such of them as the Board may designate. The Executive Director,
General Counsel, Chief Engineer, and all other officers provided for
pursuant to this section shall be exempt from taking and subscribing any
oath of office.  The compensation of the Executive Director, General
Counsel, Chief Engineer, and all other officers, attorneys, consultants,
agents and employees shall be fixed by the Board.
In the policing of its properties the Board may provide for the
appointment and maintenance, from time to time, of such police force as it
may find necessary and practicable to aid and supplement the police forces
of any municipality in the protection of its property and the protection of
the persons and property of its passengers and employees, or otherwise in
furtherance of the purposes for which such Authority was organized.  The
members of such police force shall have and exercise like police powers to
those conferred upon the police of cities.  Neither the Authority, the
members of its Board nor its officers or employees shall be held liable for
failure to provide a security or police force or, if a security or police
force is provided, for failure to provide adequate police protection or
security, failure to prevent the commission of crimes by fellow passengers
or other third persons or for the failure to apprehend criminals.
(Source: P.A. 84-939; 87-597.)
(70 ILCS 3605/27a) (from Ch. 111 2/3, par. 327a)
Sec. 27a. 
In addition to annually expending moneys equal to moneys
expended by the Authority in the fiscal year ending December 31, 1988 for
the protection against crime of its properties, employees and consumers of
its public transportation services, the Authority also shall annually
expend for the protection against crime of its employees and consumers, an
amount that is equal to not less than 15 percent of all direct grants it
receives from the State of Illinois as reimbursement for providing reduced
fares for mass transportation services to students, persons with disabilities, and
the elderly. The Authority shall provide to the Regional Transportation
Authority such information as is required by the Regional Transportation
Authority
in determining whether the Authority has expended moneys in compliance with
the provisions of this Section. The provisions of this Section shall apply in any fiscal year of the
Authority only after all debt service requirements are met for that fiscal
year.
(Source: P.A. 99-143, eff. 7-27-15.)
(70 ILCS 3605/28) (from Ch. 111 2/3, par. 328)
Sec. 28. 
The Board shall classify all the offices, positions and grades of
regular and exempt employment required, excepting that of the Chairman of
the Board,
the Executive Director, Secretary, Treasurer, General Counsel, and Chief
Engineer, with reference to the duties, job title, job schedule number, and the
compensation fixed
therefor, and adopt rules governing appointments to any of such offices or
positions on the basis of merit and efficiency.
The job title shall be generally descriptive of the duties performed in that
job, and the job schedule number shall be used to identify a job title and to
further classify positions within a job title.
No discrimination shall be
made in any appointment or promotion to any office, position, or grade of
regular employment because of race, creed, color, sex,
national origin, physical or mental disability unrelated to ability, or
political or religious affiliations.  No officer or employee in regular
employment shall be
discharged or demoted except for cause which is detrimental to the service.
Any officer or employee in regular employment who is discharged or demoted
may file a complaint
in writing with the Board within ten days after notice of his or her discharge
or demotion.  If an employee is a member of a labor organization the complaint
may be filed by such organization for and in behalf of such employee.  The
Board shall grant a hearing on such complaint within thirty (30) days after
it is filed.  The time and place of the hearing shall be fixed by the Board
and due notice thereof given to the complainant, the labor organization by
or through which the complaint was filed and the Executive Director. The
hearing shall be conducted by the Board, or any member thereof or any
officers' committee or employees' committee appointed by the Board.  The
complainant may be represented by counsel.  If the Board finds, or approves
a finding of the member or committee appointed by the Board, that the
complainant has been unjustly discharged or demoted, he or she shall be
restored to his or her office or position with back pay.  The decision of
the Board shall be final and not subject to review.
The Board may designate such offices, positions, and grades of employment as
exempt as it deems necessary for the efficient operation of the business of
the Authority.  The total number of employees occupying exempt offices,
positions, or grades of employment may not exceed 3% of the total employment of
the
Authority.  All exempt offices, positions, and grades of employment shall be at
will.  No discrimination shall be made in any appointment or promotion
to any office, position, or grade of exempt employment because of race, creed,
color, sex, national origin, physical or mental disability unrelated to
ability, or religious or political affiliation.
The Board may abolish any vacant or occupied office or position.
Additionally, the Board may reduce the force of employees
for lack of work or lack of funds as determined by the Board.
When the number of positions or employees holding positions of regular
employment within a particular
job title and job schedule number are reduced, those employees with the least
company seniority in that job title and job schedule number shall be first
released from regular employment service.  For a period of one year, an
employee released from
service shall be eligible for reinstatement to the job title and job schedule
number from which he or she was released, in order of company seniority, if
additional force of employees is required.  "Company seniority" as used in this
Section means the overall employment service credited to an employee by the
Authority since the employee's most recent date of hire irrespective of job
titles held.  If 2 or more employees have the same company seniority date, time
in the affected job title and job schedule
number shall be used to break the company seniority tie.  For purposes of this
Section, company seniority shall be considered a working condition.  When
employees are represented by a labor organization that has a labor agreement
with the Authority, the wages, hours, and working conditions (including, but
not limited to, seniority rights) shall be governed by the terms of
the agreement.
Exempt employment shall not include any employees who are represented by a
labor organization that has a labor agreement with the Authority.
No employee, officer, or agent of the Chicago Transit Board may receive a bonus that exceeds 10% of his or her annual salary unless that bonus has been reviewed for a period of 14 days by the Regional Transportation Authority Board. After 14 days, the bonus shall be considered reviewed. This Section does not apply to usual and customary salary adjustments.
(Source: P.A. 98-1027, eff. 1-1-15; 99-143, eff. 7-27-15.)
(70 ILCS 3605/28a) (from Ch. 111 2/3, par. 328a)
Sec. 28a. (a) The Board may deal with and enter into written contracts with the
employees of the Authority through accredited representatives of such
employees or representatives of any labor organization authorized to act
for such employees, concerning wages, salaries, hours, working conditions
and pension or retirement provisions; provided, nothing herein shall be
construed to permit hours of labor in excess of those provided by law or to
permit working conditions prohibited by law.  In case of dispute over wages,
salaries, hours, working conditions, or pension or retirement provisions
the Board may arbitrate any question or questions and may agree with such
accredited representatives or labor organization that the decision of a
majority of any arbitration board shall be final, provided each party shall
agree in advance to pay half of the expense of such arbitration.
No contract or agreement shall be made with any labor organization,
association, group or individual for the employment of members of such
organization, association, group or individual for the construction,
improvement, maintenance, operation or administration of any property,
plant or facilities under the jurisdiction of the Authority, where such
organization, association, group or individual denies on the ground of
race, creed, color, sex, religion, physical or mental disability unrelated
to ability, or national origin membership and equal opportunities for employment to
any citizen of Illinois.
(b)(1) The provisions of this paragraph (b) apply to collective bargaining
agreements (including extensions and amendments of existing agreements)
entered into on or after January 1, 1984.
(2) The Board shall deal with and enter into written contracts with their
employees, through accredited representatives of such employees authorized
to act for such employees concerning wages, salaries, hours, working conditions,
and pension or retirement provisions about which a collective bargaining
agreement has been entered prior to the effective date of this amendatory
Act of 1983.  Any such agreement of the Authority shall provide that the
agreement may be reopened if the amended budget submitted pursuant to Section
2.18a of the Regional Transportation Authority Act is not approved by the
Board of the Regional Transportation Authority.  The agreement may not include
a provision requiring the payment of
wage increases based on changes in the Consumer Price Index.
The Board shall not have the authority to enter into collective
bargaining agreements with respect to inherent management rights, which
include such areas of discretion or policy as the functions of the employer,
standards of services, its overall budget, the organizational structure
and selection of new employees and direction of personnel.  Employers, however,
shall be required to bargain collectively with regard to policy matters
directly affecting wages, hours and terms and conditions of employment,
as well as the impact thereon upon request by employee representatives.
To preserve the rights of employers and exclusive representatives which
have established collective bargaining relationships or negotiated collective
bargaining agreements prior to the effective date of this amendatory Act
of 1983, employers shall be required to bargain collectively with regard
to any matter concerning wages, hours or conditions of employment about
which they have bargained prior to the effective date of this amendatory Act of 1983.
(3) The collective bargaining agreement may not include a prohibition
on the use of part-time operators on any service operated by or funded by
the Board, except where prohibited by federal law.
(4) Within 30 days of the signing of any such collective bargaining agreement,
the Board shall determine the costs of each provision of the agreement,
prepare an amended
budget incorporating the costs of the agreement, and present the amended
budget to the Board of the Regional Transportation Authority for its approval
under Section 4.11 of the Regional Transportation Act.  The Board of the
Regional Transportation Authority may approve the amended budget by an affirmative
vote of 12
 of its then Directors.
 If the budget is not approved by the Board of the Regional Transportation
Authority, the agreement may
be reopened and its terms may be renegotiated.  Any amended budget which
may be prepared following renegotiation shall be presented to the Board of
the Regional Transportation Authority for its approval in like manner.
(Source: P.A. 99-143, eff. 7-27-15.)
(70 ILCS 3605/28b) (from Ch. 111 2/3, par. 328b)
Sec. 28b. Any person applying for a position as a driver of a vehicle
owned by a private carrier company which provides public transportation
pursuant to an agreement with the Authority shall be required to
authorize an investigation by the private carrier company to determine if
the applicant has been convicted of any of the following offenses:  (i) those
offenses defined in Sections 9-1, 9-1.2, 10-1, 10-2, 10-3.1, 10-4, 10-5,
10-6, 10-7, 11-1.20, 11-1.30, 11-1.40, 11-1.50, 11-1.60, 11-6, 11-9, 11-14, 11-14.3, 11-14.4, 11-15, 11-15.1, 11-16, 11-17, 11-18, 11-19,
11-19.1, 11-19.2, 11-20, 11-20.1, 11-20.1B, 11-20.3, 11-21, 11-22, 11-30, 12-4.3, 12-4.4, 12-4.5,
12-6, 12-7.1, 12-11, 12-13, 12-14, 12-14.1,
12-15, 12-16, 12-16.1, 18-1, 18-2, 19-6, 20-1,
20-1.1, 31A-1, 31A-1.1, and 33A-2, in subsection (a) and subsection (b),
clause (1), of Section 12-4, in subdivisions (a)(1), (b)(1), and (f)(1) of Section 12-3.05, and in subsection (a-5) of Section 12-3.1 of the Criminal Code of 1961 or the Criminal Code of 2012; (ii) those
offenses defined in the Cannabis Control Act except those offenses defined
in subsections (a) and (b) of Section 4, and subsection (a) of Section 5 of
the Cannabis Control Act (iii) those offenses defined in the Illinois
Controlled Substances Act; (iv) those offenses defined in the Methamphetamine Control and Community Protection Act; and (v) any offense committed or attempted in
any other state or against the laws of the United States, which if
committed or attempted in this State would be punishable as one or more of
the foregoing offenses.  Upon receipt of this authorization, the private
carrier company shall submit the applicant's name, sex, race, date of
birth, fingerprints and social security number to the Illinois State Police on forms prescribed by the Department.  The Illinois State Police shall conduct an investigation to ascertain if the applicant
has been convicted of any of the above enumerated offenses.  The Department
shall charge the private carrier company a fee for conducting the
investigation, which fee shall be deposited in the State Police Services
Fund and shall not exceed the cost of the inquiry; and the applicant shall not
be charged a fee for such investigation by the private carrier company.
The Illinois State Police shall furnish, pursuant to positive
identification, records of convictions, until expunged, to the private
carrier company which requested the investigation.  A copy of the record of
convictions obtained from the Department shall be provided to the applicant.
Any record of conviction received by the private carrier company shall be
confidential.  Any person who releases any confidential information
concerning any criminal convictions of an applicant shall be guilty of a
Class A misdemeanor, unless authorized by this Section.
(Source: P.A. 102-538, eff. 8-20-21.)
(70 ILCS 3605/28c)
Sec. 28c. 
		Power to deduct wages for debts. 
		Upon
receipt of
notice from the comptroller of a municipality with a population of 500,000 or
more, a county with a population of 3,000,000 or more, the Cook County Forest
Preserve District, the Chicago Park District, the
Metropolitan Water Reclamation District, the Chicago Board of Education, or a
housing authority of a municipality with a population of 500,000 or more
that a debt is due and owing the municipality, the county, the Cook County
Forest Preserve District, the Chicago Park District, the
Metropolitan Water Reclamation District, the Chicago Board of Education, or the
housing authority
by an employee of
the Authority,
the
Authority may withhold, from the compensation of that employee, the amount of
the
debt that is due and owing and pay the amount withheld to the municipality,
the
county, the Cook County Forest Preserve District, the Chicago Park District,
the
Metropolitan Water Reclamation District, the Chicago Board of Education, or the
housing authority;
provided, however, that the amount deducted from any one salary or wage payment
shall not exceed 25% of the net amount of the payment.  Before the Authority
deducts any amount from any salary or wage of an employee under this Section,
the
municipality, the county, the Cook County Forest Preserve District, the
Chicago Park District, the
Metropolitan Water Reclamation District, the Chicago Board of Education, or the
housing authority
shall certify that (i) the employee has been afforded an
opportunity
for a
hearing to dispute the debt that is due and owing the municipality, the
county, the Cook County Forest Preserve District, the Chicago Park District,
the
Metropolitan Water Reclamation District, the Chicago Board of Education, or the
housing authority and (ii) the employee has received notice of a wage deduction
order and has been afforded an opportunity for a hearing to object to the
order. For purposes of this Section, "net amount" means that part of the
salary or wage
payment remaining
after the deduction of any amounts required by law to be deducted and
"debt due
and owing" means (i) a specified sum of money owed to the municipality, the
county, the Cook County Forest Preserve District, the Chicago Park District,
the
Metropolitan Water Reclamation District, the Chicago Board of Education, or the
housing authority
for
services, work, or goods, after the period granted for payment has expired, or
(ii) a
specified sum of money owed to the municipality, the county, the Cook County
Forest Preserve District, the Chicago Park District, the
Metropolitan Water Reclamation District, the Chicago Board of Education, or the
housing authority
pursuant to a
court order or
order
of an administrative hearing officer after the exhaustion of, or the failure to
exhaust,
judicial review.
(Source: P.A. 92-109, eff. 7-20-01.)
(70 ILCS 3605/28d)
Sec. 28d. Employment contracts. Except as otherwise provided in Section 28a, before the Chicago Transit Board may enter into or amend any employment contract in excess of $100,000, the Chicago Transit Board must submit that contract or amendment to the Regional Transportation Authority Board for review for a period of 14 days. After 14 days, the contract shall be considered reviewed. This Section applies only to contracts entered into or amended on or after the effective date of this amendatory Act of the 98th General Assembly.
(Source: P.A. 98-1027, eff. 1-1-15.)
(70 ILCS 3605/29) (from Ch. 111 2/3, par. 329)
Sec. 29. If the Authority acquires a transportation system in operation by
a public utility, all of the employees in the operating and maintenance
divisions of such public utility and all other employees except executive
and administrative officers and employees, shall be transferred to and
appointed as employees of the Authority, subject to all rights and benefits
of this Act, and these employees shall be given seniority credit in
accordance with the records and labor agreements of the public utility.
Employees who left the employ of such a public utility to enter the
military service of the United States shall have the same rights as to the
Authority, under the provisions of the Service Member Employment and Reemployment Rights Act as they would have had thereunder as to
such public utility. After such acquisition the authority shall be required
to extend to such former employees of such public utility only the rights
and benefits as to pensions and retirement as are accorded other employees
of the Authority.
(Source: P.A. 100-1101, eff. 1-1-19.)
(70 ILCS 3605/30) (from Ch. 111 2/3, par. 330)
Sec. 30. 
The Board shall make all rules and regulations governing
the operation of the transportation system, shall determine all routings
and change the same whenever it is deemed advisable by the Board,
subject to the provisions of any ordinance granting rights to the
Authority. Except as provided in Sections 2.04 and 4.11(b)(5) of the Regional Transportation
Authority Act, the Board shall fix rates, fares and charges for
transportation, provided that they shall be at all times sufficient in
the aggregate to provide revenues (a) for the payment of the interest on
and principal of all bonds, certificates and other obligations payable
from said revenues and to meet all other charges upon such revenues as
provided by any trust agreement executed by the Authority in connection
with the issuance of bonds or certificates under this Act, (b) for the
payment of all operating costs including all charges which may be
incurred pursuant to Sections 29 and 39 of this Act and all other costs
and charges incidental to the operation of the transportation system,
(c) for the payment of all costs and charges incurred pursuant to
Sections 37 and 38 of this Act and any other costs and charges for
acquisition, installation, construction or for replacement or
reconstruction of equipment, structures or rights of way not financed
through issuance of bonds or certificates under Section 12 of this Act,
and (d) for any compensation required to be paid to any municipality for
the use of streets, subways and other public ways.  The Board may
provide free transportation within any municipality in and by which they
are employed for firemen and public health nurses, when in uniform, and
policemen when in uniform or, when not in uniform, upon presentation of
identification as policemen, and shall provide free transportation to
sworn law enforcement personnel of the Cook County Sheriff's Department
when in uniform or, when not in uniform, upon presentation of
identification as sworn law enforcement personnel of the Cook County
Sheriff's Department, and may provide free transportation for employees
of the Authority when in uniform or upon presentation of identification
as such employees, and may enter into agreements with the United States
Post Office Department for the transportation of mail, and the payment
of compensation to the Authority in lieu of fares for the transportation
of letter carriers, when in uniform at all times.
The Board may also provide free transportation, or transportation at
reduced fares, to all or designated classes of pupils in attendance at
public schools of school districts within or partly within the
territorial limits of the Authority, or in attendance at private schools
offering grades of instruction comparable to those offered in public
schools, under such conditions as shall be prescribed by the Board, and,
if otherwise authorized by law, the Board may contract with public
school boards and representatives of private schools, for reimbursement
of pupil transportation costs from public funds.
(Source: P.A. 97-85, eff. 7-7-11.)
(70 ILCS 3605/31) (from Ch. 111 2/3, par. 331)
Sec. 31. 
The Board shall have power to pass all ordinances and make
all rules and regulations proper or necessary to regulate the use,
operation and maintenance of its property and facilities, and to carry
into effect the powers granted to the Authority, with such fines or
penalties, including ordinances, rules, and regulations concerning the suspension of riding privileges or confiscation of fare media under Section 2.40 of the Regional Transportation Authority Act, as may be deemed proper.  No fine or penalty shall exceed
$300.00, and no imprisonment shall exceed six (6) months for one
offense.  All fines and penalties shall be imposed by ordinances, which
shall be published in a newspaper of
general circulation published in
the metropolitan area.  No such ordinance shall take effect until ten
days after its publication.
(Source: P.A. 103-281, eff. 1-1-24.)
(70 ILCS 3605/31.1) (from Ch. 111 2/3, par. 331.1)
Sec. 31.1. 
		Agreement to enforce municipal traffic ordinances. 
		The
Board may enter into an agreement with the corporate authorities of a
municipality with a population greater than 1,000,000 whereby supervisory
employees of the Authority are empowered to enforce certain traffic
ordinances enacted by the municipality.
(Source: P.A. 87-597.)
(70 ILCS 3605/32) (from Ch. 111 2/3, par. 332)
Sec. 32. 
The Board shall adopt regulations to insure that the
 acquisition by the Authority of services or public
transportation facilities (other than real estate) involving a cost of more
than the small purchase threshold set by the Federal Transit Administration and the disposition of all property of the Authority shall be
after public notice and with public bidding. The Board shall adopt regulations to ensure that the construction, demolition, rehabilitation, renovation, and building maintenance projects by the Authority for services or public transportation facilities involving a cost of more than $40,000 shall be after public notice and with public bidding. The regulations may provide
for exceptions to the requirements for the issuance and sale of bonds or
notes of the Authority, to the acquisition of professional or utility
services and to other matters for which public bidding is disadvantageous. The
regulations may also provide for the use of competitive negotiations or the
prequalification of responsible bidders consistent with applicable federal
regulations.  The requirements set forth therein shall not apply to
purchase of service agreements or other contracts, purchases or sales
entered into by the Authority with any transportation agency or unit of
local government.
(Source: P.A. 100-523, eff. 9-22-17.)
(70 ILCS 3605/33) (from Ch. 111 2/3, par. 333)
Sec. 33. 
		
		
		The Authority shall be exempt from all state, county, municipal and
other units of local government taxes and registration and license fees,
other than as required for motor vehicle registration in accordance with
"The Illinois Vehicle Code", as now or hereafter amended. All property of
the Authority is declared to be public property devoted to an essential
public and governmental function and purpose and shall be exempt from all
taxes and special assessments of the State, any subdivision thereof, or any
unit of local government.
(Source: P.A. 78-3rd S.S.-10.)
(70 ILCS 3605/34) (from Ch. 111 2/3, par. 334)
Sec. 34. Budget and Program. The Authority, subject to the powers of the
Regional Transportation Authority in Section 4.11 of the Regional
Transportation Authority Act, shall control the finances of the Authority. It
shall by ordinance appropriate money to perform the Authority's purposes and
provide for payment of debts and expenses of the Authority. Each year the
Authority shall prepare and publish a comprehensive annual budget and five-year capital program
document, and a financial plan for the 2 years thereafter describing the state
of the Authority and presenting for the forthcoming fiscal year and the two
following years the Authority's plans for such operations and capital
expenditures as it intends to undertake and the means by which it intends to
finance them. The proposed budget,
 financial plan, and five-year capital program shall be based on the
Regional Transportation Authority's estimate of funds to be made available to
the Authority by or through the Regional Transportation Authority and shall
conform in all respects to the requirements established by the Regional
Transportation Authority.  The proposed budget, financial plan, and five-year capital program shall contain a
statement of the funds estimated to be on hand at the beginning of the fiscal
year, the funds estimated to be received from all sources for such year and the
funds estimated to be on hand at the end of such year. The proposed budget, financial plan, and five-year capital program shall be available at no cost for public inspection at the
Authority's main office and at the Regional Transportation Authority's main
office at least 3 weeks prior to any public hearing. Before the proposed budget,
 financial plan, and five-year capital program
are submitted to the Regional Transportation
Authority, the Authority shall hold at least one public hearing thereon in each
of the counties in which the Authority provides service.  All Board members of
the Authority shall attend a majority of the public hearings unless reasonable
cause is given for their absence.  After the public hearings, the Board of the
Authority shall hold at least one meeting for consideration of the proposed
program and budget with the Cook County Board. After conducting such hearings
and holding such meetings and after making such changes in the proposed budget, financial plan, and five-year capital program as the Board deems appropriate, it shall adopt an annual budget
ordinance at least by November 15th preceding the beginning of each fiscal
year.  The budget,
 financial plan, and five-year capital program shall then be submitted to
the Regional Transportation Authority as provided in Section 4.11 of the
Regional Transportation Authority Act.  In the event that the Board of the
Regional Transportation Authority determines that the budget,

financial plan, and five-year capital program do not meet the standards of said Section 4.11, the Board of the
Authority shall make such changes as are necessary to meet such requirements
and adopt an amended budget ordinance.  The amended budget ordinance shall be
resubmitted to the Regional Transportation Authority pursuant to said Section
4.11.  The ordinance shall appropriate such sums of money as are deemed
necessary to defray all necessary expenses and obligations of the Authority,
specifying purposes and the objects or programs for which appropriations are
made and the amount appropriated for each object or program.
Additional appropriations, transfers between items and other changes in
such ordinance which do not alter the basis upon which the balanced budget
determination was made by the Regional Transportation Authority may be made
from time to time by the Board.
The budget shall:
(i) show a balance between (A) anticipated revenues     from all sources including operating subsidies and (B) the costs of providing the services specified and of funding any operating deficits or encumbrances incurred in prior periods, including provision for payment when due of principal and interest on outstanding indebtedness;
(ii) show cash balances including the proceeds of any     anticipated cash flow borrowing sufficient to pay with reasonable promptness all costs and expenses as incurred;
(iii) provide for a level of fares or charges and     operating or administrative costs for the public transportation provided by or subject to the jurisdiction of the Board sufficient to allow the Board to meet its required system generated revenue recovery ratio as determined in accordance with subsection (a) of Section 4.11 of the Regional Transportation Authority Act;
(iv) be based upon and employ assumptions and     projections which are reasonable and prudent;
(v) have been prepared in accordance with sound     financial practices as determined by the Board of the Regional Transportation Authority;
(vi) meet such other financial, budgetary, or fiscal     requirements that the Board of the Regional Transportation Authority may by rule or regulation establish; and
(vii) be consistent with the goals and objectives     adopted by the Regional Transportation Authority in the Strategic Plan.
The Board shall establish a fiscal operating year. At least thirty
days prior to the beginning of the first full fiscal year after the
creation of the Authority, and annually thereafter, the Board shall cause
to be prepared a tentative budget which shall include all operation and
maintenance expense for the ensuing fiscal year. The tentative budget shall
be considered by the Board and, subject to any revision and amendments as
may be determined, shall be adopted prior to the first day of the ensuing
fiscal year as the budget for that year. No expenditures for operations and
maintenance in excess of the budget shall be made during any fiscal year
except by the affirmative vote of at least five members of the Board. It
shall not be necessary to include in the annual budget any statement of
necessary expenditures for pensions or retirement annuities, or for
interest or principal payments on bonds or certificates, or for capital
outlays, but it shall be the duty of the Board to make provision for
payment of same from appropriate funds. The Board may not alter its fiscal year
without the prior approval of the Board of the Regional Transportation
Authority.
(Source: P.A. 95-708, eff. 1-18-08.)
(70 ILCS 3605/35) (from Ch. 111 2/3, par. 335)
Sec. 35. 
		
		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.
(Source: P.A. 84-939.)
(70 ILCS 3605/36) (from Ch. 111 2/3, par. 336)
Sec. 36. 
		
		In case the Authority acquires the plant, equipment, property and
rights in property of any public utility used or useful in the operation of
a transportation system, the Illinois Commerce Commission shall transfer
and deliver to the Board, upon its demand in writing, all books, papers and
records in control of said Commission affecting such public utility
exclusively.
(Source: Laws 1945, p. 1171.)
(70 ILCS 3605/37) (from Ch. 111 2/3, par. 337)
Sec. 37. 
		
		It shall be the duty of the Board, as promptly as possible, to
rehabilitate, reconstruct and modernize all portions of any transportation
system acquired by the Authority and to maintain at all times an adequate
and modern transportation system suitable and adapted to the needs of the
municipalities served by the Authority, and for safe, comfortable and
convenient service. To that end the Board shall establish a modernization
fund which shall include, but is not limited to, cash in renewal, equipment
or depreciation funds which are part of public utility transportation
systems acquired by the Authority and any excess cash derived from the sale
of revenue bonds or certificates. The moneys in the modernization fund
shall be disbursed for the purpose of acquiring or constructing extensions
and improvements and betterment of the system, to make replacements of
property damaged or destroyed or in necessary cases where depreciation fund
is insufficient, to purchase and cancel its revenue bonds and certificates
prior to their maturity at the price of not to exceed their par value, and
to redeem and cancel its revenue bonds and certificates according to their
terms. The Board may make temporary loans from the modernization fund for
use as initial working capital.
(Source: Laws 1945, p. 1171.)
(70 ILCS 3605/37a) (from Ch. 111 2/3, par. 337a)
Sec. 37a. 
		
		It shall be the duty of the Board to require installation of
safety glass made of safety glazing materials in all ticket fare booths
where an agent is stationed and use of such material shall be required in
the construction of all new ticket fare booths. The Board shall establish
a program for the installation of safety glass in existing stations.  Priority
is to be given to booths in which agents are stationed on a 24 hour basis.
Any employee of the Authority finding instances of noncompliance with
the requirements of this Section may file suit against the Authority, in
the appropriate court, to compel the Authority to comply.
For the purposes of this Section "safety glazing materials" means any glazing
materials so constructed, treated or combined with other materials
as to be mar resistant and shatterproof and capable of withstanding the
impact of a bullet fired from at least a medium power small arm weapon having
a muzzle energy of 475 foot-pounds, a muzzle velocity of 1,280 feet per
second, and which uses 130 grain ammunition.
(Source: P.A. 81-847.)
(70 ILCS 3605/38) (from Ch. 111 2/3, par. 338)
Sec. 38. 
		
		To assure modern, attractive transportation service the Board may
establish a depreciation policy which makes provision for the continuous
and prompt replacement of worn out and obsolete property and the Board may
make provision for such depreciation of the property of the Authority as is
not offset by current expenditures for maintenance, repairs and
replacements under such rules and regulations as may be prescribed by the
Board. The Board from time to time shall make a determination of the
relationship between the service condition of the properties of the
Authority and the then established depreciation rates and reserves and from
time to time may make adjustments or modifications of such rates in such
amounts as it may deem appropriate because of experienced and estimated
consumption of service life of road, plant, and equipment.
(Source: Laws 1945, p. 1171.)
(70 ILCS 3605/39) (from Ch. 111 2/3, par. 339)
Sec. 39. 
		
		The Board shall withdraw from the gross receipts of the Authority
and charge to operating expenses such an amount of money as in the opinion
of the Board shall be sufficient to provide for the adjustment, defense and
satisfaction of all suits, claims, demands, rights and causes of action and
the payment and satisfaction of all judgments entered against the Authority
for damage caused by injury to or death of any person and for damage to
property resulting from the construction, maintenance and operation of the
transportation system and the Board shall deposit such moneys in a fund to
be known and designated as Damage Reserve Fund. The Board shall use the
moneys in the Damage Reserve Fund to pay all expenses and costs arising
from the adjustment, defense and satisfaction of all suits, claims,
demands, rights and causes of action and the payment and satisfaction of
all judgments entered against the Authority for damages caused by injury to
or death of any person and for damage to property resulting from the
construction, maintenance and operation of the transportation system. At
any time and from time to time the Board may obtain and maintain insurance
coverage or protection partially or wholly insuring or indemnifying the
Authority against loss or liability on account of injury to or death of any
person and for damage to property resulting from the construction,
maintenance and operation of the transportation system. The cost of
obtaining and maintaining such insurance shall be paid out of the moneys in
the Damage Reserve Fund. All moneys received from such insurance coverage
or protection shall be paid into the Damage Reserve Fund.
(Source: Laws 1945, p.1171.)
(70 ILCS 3605/40) (from Ch. 111 2/3, par. 340)
Sec. 40. 
		
		The Authority pursuant to ordinances adopted from time to time by
the Board may establish and create such other and additional special funds
as may be found desirable by the Board and in and by such ordinances may
provide for payments into all special funds from specified sources with
such preferences and priorities as may be deemed advisable and may also by
any such ordinances provide for the custody, disbursement and application
of any moneys in any such special funds consistent with the provisions of
this Act.
(Source: Laws 1945, p. 1171.)
(70 ILCS 3605/41) (from Ch. 111 2/3, par. 341)
Sec. 41. No civil action shall be commenced in any court against the
Authority by any person for any injury to his person unless it is commenced
within one year from the date the cause of
action accrued.
The changes to this Section made by this amendatory Act of the 96th General Assembly apply to causes of action that accrue on or after the effective date of this amendatory Act of the 96th General Assembly.
(Source: P.A. 96-12, eff. 6-1-09.)
(70 ILCS 3605/42) (from Ch. 111 2/3, par. 342)
Sec. 42. 
		
		The Board may investigate all means of transportation and the
management thereof, the enforcement of its ordinances, rules and
regulations, and the action, conduct and efficiency of all officers, agents
and employees of the Authority. In the conduct of such investigations the
Board may hold public hearings on its own motion, and shall do so on
complaint or petition of any municipality which has adopted this Act or
which has granted rights to the Authority by ordinance. Each member of the
Board shall have power to administer oaths, and the Secretary, by order of
the Board, shall issue subpoenas to secure the attendance and testimony of
witnesses, and the production of books and papers relevant to such
investigations and to any hearing before the Board or any member thereof or
any officers' committee or employees' committee appointed by the Board to
hear any complaint of an officer or employee who has been discharged or
demoted.
Any circuit court of this State, upon application
of the Board, or any member thereof, may in its discretion compel
the attendance of witnesses, the production of books and papers, and giving of
testimony before the Board or before any member thereof or any officers'
committee or employees' committee appointed by the Board, by attachment for
contempt or otherwise in the same manner as the production of evidence may
be compelled before the court.
(Source: P.A. 83-334.)
(70 ILCS 3605/43) (from Ch. 111 2/3, par. 343)
Sec. 43. 
		
		If any provision of this Act is held invalid such provision
shall be deemed to be excised from this Act and the invalidity thereof
shall not affect any of the other provisions of this Act. If the
application of any provision of this Act to any person or circumstance is
held invalid it shall not affect the application of such provision to
persons or circumstances other than those as to which it is invalid.
(Source: Laws 1945, p. 1171.)
(70 ILCS 3605/44) (from Ch. 111 2/3, par. 344)
Sec. 44. 
		
		This Act may be adopted by any city, village or incorporated
town within the metropolitan area in the following manner: The city
council of any city, or the president and board of trustees of any
village or incorporated town, by ordinance, may direct that the question of the
adoption of this Act be submitted to the electors at any regular election.
The clerk of such municipality shall
promptly certify the passage of such ordinance and the proposition to
the proper election
officials and thereupon it shall be the duty of the election officials
to submit the question to popular vote. Public notice of the referendum
shall be given in the manner provided by the general election
law. If a majority of
those voting on the question vote in the affirmative thereon, this Act
shall be adopted in that city, village or incorporated town. The proposition
shall be in substantially the following form:
--------------------------------------------------------------
Shall "An Act to create a municipal
corporation for public ownership and           YES
operation of a transportation system in    -------------------
the metropolitan area of Cook County"          NO
be adopted?
--------------------------------------------------------------
The result of said election shall be certified to the Secretary of State.
(Source: P.A. 81-1489.)
(70 ILCS 3605/45) (from Ch. 111 2/3, par. 345)
Sec. 45. 
		
		(a) A member of the Board of the Authority is not liable for any
injury resulting from any act or omission in determining policy or exercising
discretion, except:  (1) for willful or wanton misconduct or (2) as otherwise
provided by statute.
(b) If any claim or action is instituted against a member of the Board
of the Authority based on an injury allegedly arising out of an act or omission
of such member occurring within the scope of the member's employment, the
Authority shall indemnify the member for all legal expenses and court costs
incurred in defending against the claim or action and shall indemnify the
member for any amount paid pursuant to any judgment on, or any good faith
settlement of, such claim, except for that portion of a judgment awarded
for willful or wanton misconduct.
(c) The Authority may purchase insurance to cover the costs of any legal
expenses, judgments, or settlements under this Section.
(Source: P.A. 81-1466.)
(70 ILCS 3605/46) (from Ch. 111 2/3, par. 346)
Sec. 46. Citizens Advisory Board. The Board shall establish a citizens
advisory board composed of 11 residents of those portions of the metropolitan
region in which the Authority provides service who have an interest in public
transportation, one of whom shall be at least 65 years of age. The members
of the advisory board shall be named for 2 year terms, shall select one of
their members to serve as chairman and shall serve without compensation.
The citizens advisory board shall meet with Board at least quarterly and
advise the Board of the impact of its policies and programs on the
communities it serves. Appointments to the citizens advisory board should, to the greatest extent possible, reflect the ethnic, cultural, and geographic diversity of all persons residing within the metropolitan region in which the Authority provides service.
(Source: P.A. 95-708, eff. 1-18-08.)
(70 ILCS 3605/47) (from Ch. 111 2/3, par. 347)
Sec. 47. 
		
		The Authority shall establish, maintain, administer and
enforce a comprehensive drug testing program for employees as provided
by Section 2.24 of the Regional Transportation Authority Act.
(Source: P.A. 86-906.)
(70 ILCS 3605/48) (from Ch. 111 2/3, par. 348)
Sec. 48. 
		
		Beginning 30 days after the effective date of this
amendatory Act of 1990, no person shall consume any food or drink,
excluding any medicine, upon any rapid transit train.  As used in this
Section "rapid transit train" means a high speed, high capacity, electric
powered public transport train that operates on exclusive rights of way
with limited stops.  The tracks may be in underground tunnels, in elevated
structures, in open cuts, at surface level, or any combination thereof.
This Section does not apply to commuter trains.  As used in this Section
"commuter train" means a passenger carrying train, multi-unit electrical
or diesel type, designed to operate a commuter service on railways forming
part of the general railway system.
A violation of this Section is a petty offense for which the offender
shall be fined $100.
(Source: P.A. 86-1277.)
(70 ILCS 3605/49) (from Ch. 111 2/3, par. 349)
Sec. 49. 
		Disclosure of information by employees; Disciplinary Actions.
(a) No disciplinary action shall be taken by the Authority against an
employee in any case involving the disclosure of information by an employee
that a reasonable individual believes concerns the following:
(1) a violation of any law, rule, or regulation; or
(2) mismanagement, a gross waste of funds, an abuse     of authority, or a substantial and specific danger to public health or safety.
(b) Violation of this Section shall be a petty offense.
(Source: P.A. 87-1249.)
(70 ILCS 3605/50)
Sec. 50. Disadvantaged Business Enterprise Contracting and Equal Employment Opportunity Programs.  The Authority shall, as soon as is practicable but in no event later than two years after the effective date of this amendatory Act of the 95th General Assembly, establish and maintain a disadvantaged business enterprise contracting program designed to ensure non-discrimination in the award and administration of contracts not covered under a federally mandated disadvantaged business enterprise program.  The program shall establish narrowly tailored goals for the participation of disadvantaged business enterprises as the Authority determines appropriate.  The goals shall be based on demonstrable evidence of the availability of ready, willing, and able disadvantaged business enterprises relative to all businesses ready, willing, and able to participate on the program's contracts.  The program shall require the Authority to monitor the progress of the contractors' obligations with respect to the program's goals.  Nothing in this program shall conflict with or interfere with the maintenance or operation of, or compliance with, any federally mandated disadvantaged business enterprise program.
The Authority shall establish and maintain a program designed to promote equal employment opportunity.  Each year, no later than October 1, the Authority shall report to the General Assembly on the number of employees of the Authority and the number of employees who have designated themselves as members of a minority group and gender.
Each year no later than October 1, and starting no later than the October 1 after the establishment of the disadvantaged business enterprise contracting program, the Authority shall submit a report with respect to such program to the General Assembly.  In addition, no later than October 1 of each year, the Authority shall submit a copy of its federally mandated semi-annual Uniform Report of Disadvantaged Business Enterprises Awards or Commitments and Payments to the General Assembly.
(Source: P.A. 95-708, eff. 1-18-08.)
(70 ILCS 3605/51)
(Text of Section from P.A. 103-241)
Sec. 51. Free services; eligibility.
(a) Notwithstanding any law to the contrary, no later than 60 days following the effective date of this amendatory Act of the 95th General Assembly and until subsection (b) is implemented, any fixed route public transportation services provided by, or under grant or purchase of service contracts of, the Board shall be provided without charge to all senior citizens of the Metropolitan Region (as such term is defined in 70 ILCS 3615/1.03) aged 65 and older, under such conditions as shall be prescribed by the Board.
(b) Notwithstanding any law to the contrary, no later than 180 days following the effective date of this amendatory Act of the 96th General Assembly, any fixed route public transportation services provided by, or under grant or purchase of service contracts of, the Board shall be provided without charge to senior citizens aged 65 and older who meet the income eligibility limitation set forth in subsection (a-5) of Section 4 of the Senior Citizens and Persons with Disabilities Property Tax Relief Act, under such conditions as shall be prescribed by the Board. The Department on Aging shall furnish all information reasonably necessary to determine eligibility, including updated lists of individuals who are eligible for services without charge under this Section. After an initial eligibility determination is made, an individual's eligibility for free services shall automatically renew every 5 years after receipt by the Authority of a copy of the individual's government-issued identification card validating Illinois residency. Nothing in this Section shall relieve the Board from providing reduced fares as may be required by federal law.
(Source: P.A. 103-241, eff. 1-1-24.)
(Text of Section from P.A. 103-281)
Sec. 51. Free and reduced fare services; eligibility.
(a) Notwithstanding any law to the contrary, no later than 60 days following the effective date of this amendatory Act of the 95th General Assembly and until subsection (b) is implemented, any fixed route public transportation services provided by, or under grant or purchase of service contracts of, the Board shall be provided without charge to all senior citizens of the Metropolitan Region (as such term is defined in 70 ILCS 3615/1.03) aged 65 and older, under such conditions as shall be prescribed by the Board.
(b) Notwithstanding any law to the contrary, no later than 180 days following the effective date of this amendatory Act of the 96th General Assembly, any fixed route public transportation services provided by, or under grant or purchase of service contracts of, the Board shall be provided without charge to senior citizens aged 65 and older who meet the income eligibility limitation set forth in subsection (a-5) of Section 4 of the Senior Citizens and Persons with Disabilities Property Tax Relief Act, under such conditions as shall be prescribed by the Board. The Department on Aging shall furnish all information reasonably necessary to determine eligibility, including updated lists of individuals who are eligible for services without charge under this Section. Nothing in this Section shall relieve the Board from providing reduced fares as may be required by federal law.
(c) The Board shall partner with the City of Chicago to provide transportation at reduced fares for participants in programs that offer employment and internship opportunities to youth and young adults ages 14 through 24.
(Source: P.A. 103-281, eff. 1-1-24.)
(70 ILCS 3605/52)
Sec. 52. Transit services for individuals with disabilities.  Notwithstanding any law to the contrary, no later than 60 days following the effective date of this amendatory Act of the 95th General Assembly, all fixed route public transportation services provided by, or under grant or purchase of service contract of, the Board shall be provided without charge to all persons  with disabilities who meet the income eligibility limitation set forth in subsection (a-5) of Section 4 of the Senior Citizens and Persons  with Disabilities Property Tax Relief Act, under such procedures as shall be prescribed by the Board. The Department on Aging shall furnish all information reasonably necessary to determine eligibility, including updated lists of individuals who are eligible for services without charge under this Section. After an initial eligibility determination is made, an individual's eligibility for free services shall automatically renew every 5 years after receipt by the Authority of a copy of the individual's government-issued identification card validating Illinois residency.  Individuals who have not submitted an Illinois Persons with a Disability Identification Card to the Authority shall also submit a document verifying the individual's disability.
(Source: P.A. 103-241, eff. 1-1-24.)
(70 ILCS 3605/53)
Sec. 53. Emergency protocols. Within 6 months after the effective date of this amendatory Act of the 96th General Assembly, the Board must develop written protocols to respond to medical and sanitation emergencies and to other safety hazards.
(Source: P.A. 96-677, eff. 8-25-09.)