HB 4110

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Full Text of HB4110
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	HB4110 - 104th General Assembly
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104TH GENERAL ASSEMBLY
State of Illinois
2025 and 2026
HB4110
Introduced 10/15/2025, by Rep. Katie Stuart
SYNOPSIS AS INTRODUCED:
70 ILCS 3610/5	  from Ch. 111 2/3, par. 355
Amends the Local Mass Transit District Act. Provides that the Board of Trustees of every local mass transit district may initiate transit-oriented developments and trail-oriented developments, including, but not limited to, residential, commercial, mixed-use, governmental, institutional, or childcare facilities located near a transit station, bus stop, transit hub, transit node, or trail. Provides that local mass transit district may partner with public bodies, private entities, non-profit organizations, or institutions for the purpose of those transit-oriented developments and trail-oriented developments.
LRB104 15125 RTM 28269 b
A BILL FOR
		HB4110		LRB104 15125 RTM 28269 b
1    AN ACT concerning local government.
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4    Section 5. The Local Mass Transit District Act is amended
5by changing Section 5 as follows:
6    (70 ILCS 3610/5)  (from Ch. 111 2/3, par. 355)
7    Sec. 5. (a) The Board of Trustees of every District may
8establish or acquire any or all manner of mass transit
9facility. The Board may engage in the business of
10transportation of passengers on scheduled routes and by
11contract on nonscheduled routes within the territorial limits
12of the counties or municipalities creating the District, by
13whatever means it may decide. Its routes may be extended
14beyond such territorial limits with the consent of the
15governing bodies of the municipalities or counties into which
16such operation is extended.
17    (b) The Board of Trustees of every District may for the
18purposes of the District, acquire by gift, purchase, lease,
19legacy, condemnation, or otherwise and hold, use, improve,
20maintain, operate, own, manage or lease, as lessor or lessee,
21such cars, buses, equipment, buildings, structures, real and
22personal property, and interests therein, and services, lands
23for terminal and other related facilities, improvements and
		HB4110	- 2 -	LRB104 15125 RTM 28269 b
1services, or any interest therein, including all or any part
2of the plant, land, buildings, equipment, vehicles, licenses,
3franchises, patents, property, service contracts and
4agreements of every kind and nature. Real property may be so
5acquired if it is situated within or partially within the area
6served by the District or if it is outside the area if it is
7desirable or necessary for the purposes of the District.
8    (c) The Board of Trustees of every District which
9establishes, provides, or acquires mass transit facilities or
10services may contract with any person or corporation or public
11or private entity for the operation or provision thereof upon
12such terms and conditions as the District shall determine.
13    (d) The Board of Trustees of every District shall have the
14authority to contract for any and all purposes of the
15District, including with an interstate transportation
16authority, or with another local Mass Transit District or any
17other municipal, public, or private corporation entity in the
18transportation business including the authority to contract to
19lease its or otherwise provide land, buildings, and equipment,
20and other related facilities, improvements, and services, for
21the carriage of passengers beyond the territorial limits of
22the District or to subsidize transit operations by a public or
23private or municipal corporation operating entity providing
24mass transit facilities.
25    (e) The Board of Trustees of every District shall have the
26authority to establish, alter and discontinue transportation
		HB4110	- 3 -	LRB104 15125 RTM 28269 b
1routes and services and any or all ancillary or supporting
2facilities and services, and to establish and amend rate
3schedules for the transportation of persons thereon or for the
4public or private use thereof which rate schedules shall,
5together with any grants, receipts or income from other
6sources, be sufficient to pay the expenses of the District,
7the repair, maintenance and the safe and adequate operation of
8its mass transit facilities and public mass transportation
9system and to fulfill the terms of its debts, undertakings,
10and obligations.
11    (f) The Board of Trustees of every District shall have
12perpetual succession and shall have the following powers in
13addition to any others in this Act granted:
14        (1) to sue and be sued;
15        (2) to adopt and use a seal;
16        (3) to make and execute contracts loans, leases,
17    subleases, installment purchase agreements, contracts,
18    notes and other instruments evidencing financial
19    obligations, and other instruments necessary or convenient
20    in the exercise of its powers;
21        (4) to make, amend and repeal bylaws, rules and
22    regulations not inconsistent with this Act, including
23    rules and regulations proper or necessary to regulate the
24    use, operation, and maintenance of its properties and
25    facilities and to carry into effect the powers granted to
26    the Board of Trustees, with any necessary fines or
		HB4110	- 4 -	LRB104 15125 RTM 28269 b
1    penalties, such as the suspension of riding privileges or
2    confiscation of fare media under Section 5.6, as the Board
3    deems proper;
4        (5) to sell, lease, sublease, license, transfer,
5    convey or otherwise dispose of any of its real or personal
6    property, or interests therein, in whole or in part, at
7    any time upon such terms and conditions as it may
8    determine, with public bidding if the value exceeds $1,000
9    at negotiated, competitive, public, or private sale;
10        (6) to invest funds, not required for immediate
11    disbursement, in property, agreements, or securities legal
12    for investment of public funds controlled by savings banks
13    under applicable law;
14        (7) to mortgage, pledge, hypothecate or otherwise
15    encumber all or any part of its real or personal property
16    or other assets, or interests therein;
17        (8) to apply for, accept and use grants, loans or
18    other financial assistance from any private entity or
19    municipal, county, State or Federal governmental agency or
20    other public entity;
21        (9) to borrow money from the United States Government
22    or any agency thereof, or from any other public or private
23    source, for the purposes of the District and, as evidence
24    thereof, to issue its revenue bonds, payable solely from
25    the revenue derived from the operation of the District.
26    These bonds may be issued with maturities not exceeding 40
		HB4110	- 5 -	LRB104 15125 RTM 28269 b
1    years from the date of the bonds, and in such amounts as
2    may be necessary to provide sufficient funds, together
3    with interest, for the purposes of the District. These
4    bonds shall bear interest at a rate of not more than the
5    maximum rate authorized by the Bond Authorization Act, as
6    amended at the time of the making of the contract of sale,
7    payable semi-annually, may be made registerable as to
8    principal, and may be made payable and callable as
9    provided on any interest payment date at a price of par and
10    accrued interest under such terms and conditions as may be
11    fixed by the ordinance authorizing the issuance of the
12    bonds. Bonds issued under this Section are negotiable
13    instruments. They shall be executed by the chairman and
14    members of the Board of Trustees, attested by the
15    secretary, and shall be sealed with the corporate seal of
16    the District. In case any Trustee or officer whose
17    signature appears on the bonds or coupons ceases to hold
18    that office before the bonds are delivered, such officer's
19    signature, shall nevertheless be valid and sufficient for
20    all purposes, the same as though such officer had remained
21    in office until the bonds were delivered. The bonds shall
22    be sold in such manner and upon such terms as the Board of
23    Trustees shall determine, except that the selling price
24    shall be such that the interest cost to the District of the
25    proceeds of the bonds shall not exceed the maximum rate
26    authorized by the Bond Authorization Act, as amended at
		HB4110	- 6 -	LRB104 15125 RTM 28269 b
1    the time of the making of the contract of sale, payable
2    semi-annually, computed to maturity according to the
3    standard table of bond values.
4        The ordinance shall fix the amount of revenue bonds
5    proposed to be issued, the maturity or maturities, the
6    interest rate, which shall not exceed the maximum rate
7    authorized by the Bond Authorization Act, as amended at
8    the time of the making of the contract of sale, and all the
9    details in connection with the bonds. The ordinance may
10    contain such covenants and restrictions upon the issuance
11    of additional revenue bonds thereafter, which will share
12    equally in the revenue of the District, as may be deemed
13    necessary or advisable for the assurance of the payment of
14    the bonds first issued. Any District may also provide in
15    the ordinance authorizing the issuance of bonds under this
16    Section that the bonds, or such ones thereof as may be
17    specified, shall, to the extent and in the manner
18    prescribed, be subordinated and be junior in standing,
19    with respect to the payment of principal and interest and
20    the security thereof, to such other bonds as are
21    designated in the ordinance.
22        The ordinance shall pledge the revenue derived from
23    the operations of the District for the purpose of paying
24    the cost of operation and maintenance of the District,
25    and, as applicable, providing adequate depreciation funds,
26    and paying the principal of and interest on the bonds of
		HB4110	- 7 -	LRB104 15125 RTM 28269 b
1    the District issued under this Section;
2        (10) subject to Section 5.1, to levy a tax on property
3    within the District at the rate of not to exceed .25% on
4    the assessed value of such property in the manner provided
5    in the Illinois Municipal Budget Law;
6        (11) to issue tax anticipation warrants;
7        (12) to contract with any school district in this
8    State to provide for the transportation of pupils to and
9    from school within such district pursuant to the
10    provisions of Section 29-15 of the School Code;
11        (13) to provide for the insurance of any property,
12    directors, officers, employees or operations of the
13    District against any risk or hazard, and to self-insure or
14    participate in joint self-insurance pools or entities to
15    insure against such risk or hazard;
16        (14) to use its established funds, personnel, and
17    other resources to acquire, construct, operate, and
18    maintain bikeways and trails. Districts may cooperate with
19    other governmental and private agencies in bikeway and
20    trail programs; [and]
21        (15) to acquire, own, maintain, construct,
22    reconstruct, improve, repair, operate or lease any
23    light-rail public transportation system, terminal,
24    terminal facility, public airport, or bridge or toll
25    bridge across waters with any city, state, or both; and
26        (16) to initiate transit-oriented developments and 
		HB4110	- 8 -	LRB104 15125 RTM 28269 b
1    trail-oriented developments, including, but not limited 
2    to, residential, commercial, mixed-use, governmental, 
3    institutional, or childcare facilities located near a 
4    transit station, bus stop, transit hub, transit node, or 
5    trail; districts may partner with public bodies, private 
6    entities, non-profit organizations, or institutions for 
7    the purpose of developments described in this item (16).
8    With respect to instruments for the payment of money
9issued under this Section either before, on, or after June 6,
101989 (the effective date of Public Act 86-4), it is and always
11has been the intention of the General Assembly (i) that the
12Omnibus Bond Acts are and always have been supplementary
13grants of power to issue instruments in accordance with the
14Omnibus Bond Acts, regardless of any provision of this Act
15that may appear to be or to have been more restrictive than
16those Acts, (ii) that the provisions of this Section are not a
17limitation on the supplementary authority granted by the
18Omnibus Bond Acts, and (iii) that instruments issued under
19this Section within the supplementary authority granted by the
20Omnibus Bond Acts are not invalid because of any provision of
21this Act that may appear to be or to have been more restrictive
22than those Acts.
23    This Section shall be liberally construed to give effect
24to its purposes.
25(Source: P.A. 103-281, eff. 1-1-24.)