093_HB0277

 
                                     LRB093 05884 JLS 05977 b

 1        AN ACT concerning the deposit of state moneys.

 2        Be  it  enacted  by  the People of the State of Illinois,
 3    represented in the General Assembly:

 4        Section 5.  The Deposit of State Moneys Act is amended by
 5    adding Sections 16.3 and 16.5 as follows:

 6        (15 ILCS 520/1.5 new)
 7        Sec. 16.3.  Compliance with  the  Community  Reinvestment
 8    Act of 1977.
 9        (a)  In  addition  to any other requirements of this Act,
10    the State Treasurer may not deposit State moneys in financial
11    institutions that do not meet the requirements of subsections
12    (b) and (c) of this Section.
13        (b)  If  the  depositary  is  subject  to   the   federal
14    Community  Reinvestment  Act of 1977, the State Treasurer may
15    not deposit State  moneys  with  the  depositary  unless  the
16    depositary  has  an  overall rating of satisfactory or better
17    under the Community Reinvestment Act of 1977. If, after State
18    moneys have been deposited, the depositary's rating under the
19    Community Reinvestment Act of 1977 falls below a satisfactory
20    rating, the State  Treasurer  may  not  make  any  additional
21    deposits  of  State  moneys  with  that  depositary. Existing
22    deposits,  however,  may  remain  at  the  depositary   until
23    maturity.
24        (c)  In  addition  to the requirements of subsection (b),
25    the State Treasurer may  not  deposit  State  moneys  with  a
26    depositary   unless   that   depositary   has   a  rating  of
27    satisfactory  or  better  for  each   of   the   depositary's
28    performance  tests for lending, investment, and service under
29    the Community Reinvestment  Act  of  1977.  If,  after  State
30    moneys have been deposited, the depositary's rating under the
31    Community Reinvestment Act of 1977 falls below a satisfactory
 
                            -2-      LRB093 05884 JLS 05977 b
 1    rating   for  any  of  its  performance  tests  for  lending,
 2    investment, or service, the State Treasurer may not make  any
 3    additional  deposits  of  State  moneys with that depositary.
 4    Existing deposits, however,  may  remain  at  the  depositary
 5    until maturity.

 6        (15 ILCS 520/16.5 new)
 7        Sec.  16.5.  Review of fair lending complaints. The State
 8    Treasurer shall review complaints alleging violation of  fair
 9    lending  requirements  applicable to depositary institutions.
10    If the State Treasurer finds that a depositary has  committed
11    violations  of fair lending requirements, the State Treasurer
12    may remove the depositary from the list of depositaries.
13        The State Treasurer shall issue rules necessary  for  the
14    implementation of this Section.

15        Section  10.  The  Public Funds Investment Act is amended
16    by adding Section 8 as follows:

17        (30 ILCS 235/8 new)
18        Sec. 8.  Compliance with the Community  Reinvestment  Act
19    of 1977.
20        (a)  In addition to any other requirements of this Act, a
21    public  agency  may  not  deposit  public  funds in financial
22    institutions that do not meet the requirements of subsections
23    (b) and (c) of this Section.
24        (b)  If  the  depositary  is  subject  to   the   federal
25    Community  Reinvestment  Act of 1977, a public agency may not
26    deposit  public  funds  with  the   depositary   unless   the
27    depositary  has  an  overall rating of satisfactory or better
28    under the Community  Reinvestment  Act  of  1977.  If,  after
29    public  funds  have  been  deposited, the depositary's rating
30    under the Community Reinvestment Act of 1977  falls  below  a
31    satisfactory  rating,  the  public  agency  may  not make any
 
                            -3-      LRB093 05884 JLS 05977 b
 1    additional deposits of public  funds  with  that  depositary.
 2    Existing  deposits,  however,  may  remain  at the depositary
 3    until maturity.
 4        (c)  In addition to the requirements of subsection (b), a
 5    public agency may not deposit public funds with a  depositary
 6    unless that depositary has a rating of satisfactory or better
 7    for  each  of the depositary's performance tests for lending,
 8    investment, and service under the Community Reinvestment  Act
 9    of  1977.  If,  after  public  funds have been deposited, the
10    depositary's rating under the Community Reinvestment  Act  of
11    1977  falls  below  a  satisfactory  rating  for  any  of its
12    performance tests for lending, investment,  or  service,  the
13    public  agency may not make any additional deposits of public
14    funds with that depositary. Existing deposits,  however,  may
15    remain at the depositary until maturity.