Sen. Edward D. Maloney

Filed: 11/27/2012

 

 


 

 


 
09700HB4666sam003LRB097 15724 JDS 72404 a

1
AMENDMENT TO HOUSE BILL 4666

2    AMENDMENT NO. ______. Amend House Bill 4666 by replacing
3everything after the enacting clause with the following:
 
4    "Section 5. The Illinois Pension Code is amended by
5changing Sections 1-109.3 and 1-113.18 as follows:
 
6    (40 ILCS 5/1-109.3)
7    Sec. 1-109.3. Training requirement for pension trustees.
8    (a) All elected and appointed trustees under Article 3 and
94 of this Code must participate in a mandatory trustee
10certification training seminar that consists of at least 32
11hours of initial trustee certification at a training facility
12that is accredited and affiliated with a State of Illinois
13certified college or university. This training must include
14without limitation all of the following:
15        (1) Duties and liabilities of a fiduciary under Article
16    1 of the Illinois Pension Code.

 

 

09700HB4666sam003- 2 -LRB097 15724 JDS 72404 a

1        (2) Adjudication of pension claims.
2        (3) Basic accounting and actuarial training.
3        (4) Trustee ethics.
4        (5) The Illinois Open Meetings Act.
5        (6) The Illinois Freedom of Information Act.
6    The training required under this subsection (a) must be
7completed within the first 2 years after the year that a
8trustee takes office is elected or appointed under an Article 3
9or 4 pension fund. At least 8 hours of training during the
10first year of training must cover trustee ethics and the
11fiduciary duties and liabilities of pension trustees. The
12elected and appointed trustees of an Article 3 or 4 pension
13fund who are police officers (as defined in Section 3-106 of
14this Code) or firefighters (as defined in Section 4-106 of this
15Code) or are employed by the municipality shall be permitted
16time away from their duties to attend such training without
17reduction of accrued leave or benefit time. Active or appointed
18trustees serving on August 13, 2009 (the effective date of
19Public Act 96-429) this amendatory Act of the 96th General
20Assembly shall not be required to attend the training required
21under this subsection (a).
22    (b) Upon completion of, and in In addition to, the initial
23trustee certification training required under subsection (a),
24all elected and appointed trustees under Article 3 and 4 of
25this Code, including trustees serving on August 13, 2009 (the
26effective date of Public Act 96-429) this amendatory Act of the

 

 

09700HB4666sam003- 3 -LRB097 15724 JDS 72404 a

196th General Assembly, shall also complete at least an
2additional participate in a minimum of 16 hours of continuing
3trustee education during (i) the 2 years following the date by
4which the training required under subsection (a) must be
5completed and (ii) every 2 years thereafter. At least 4 hours
6of training during each of those years shall be devoted to
7trustee ethics and the fiduciary duties and liabilities of
8pension trustees. At least 8 hours of the biennial training
9required under this subsection (b) must be in the form of a
10live lecture or classroom training forum or, if taken online,
11must be in an interactive form with ascertainable verification
12of participation and learning by the trustee in the online
13training program. The balance of biennial trustee training
14required under this subsection (b) may take the form of
15participation in other training opportunities incident to the
16functioning of the pension board, such as participation in
17board hearings on the award of disability or other benefits or
18training opportunities associated with other organizations or
19employment that are applicable to the duties of a pension fund
20trustee each year after the first year that the trustee is
21elected or appointed.
22    (c) The training required under this Section shall be paid
23for by the pension fund.
24    (d) Any board member who does not timely complete the
25training required under this Section is not eligible to serve
26on the board of trustees of an Article 3 or 4 pension fund,

 

 

09700HB4666sam003- 4 -LRB097 15724 JDS 72404 a

1unless the board member completes the missed training within 6
2months after the date the member failed to complete the
3required training. In the event of a board member's failure to
4complete the required training, a successor shall be appointed
5or elected, as applicable, for the unexpired term. A successor
6who is elected under such circumstances must be elected at a
7special election called by the board and conducted in the same
8manner as a regular election under Article 3 or 4, as
9applicable.
10(Source: P.A. 96-429, eff. 8-13-09.)
 
11    (40 ILCS 5/1-113.18)
12    Sec. 1-113.18. Ethics training. All board members of a
13retirement system, pension fund, or investment board created
14under this Code must attend ethics training of at least 8 hours
15per year. The training required under this Section shall
16include training on ethics, fiduciary duty, and investment
17issues and any other curriculum that the board of the
18retirement system, pension fund, or investment board
19establishes as being important for the administration of the
20retirement system, pension fund, or investment board. The
21Supreme Court of Illinois shall be responsible for ethics
22training and curriculum for judges designated by the Court to
23serve as members of a retirement system, pension fund, or
24investment board. Each board shall annually certify its
25members' compliance with this Section and submit an annual

 

 

09700HB4666sam003- 5 -LRB097 15724 JDS 72404 a

1certification to the Division of Insurance of the Department of
2Financial and Professional Regulation. Judges shall annually
3certify compliance with the ethics training requirement and
4shall submit an annual certification to the Chief Justice of
5the Supreme Court of Illinois. Fulfillment of the requirements
6of Section 1-109.3 by elected and appointed trustees under
7Articles 3 and 4 of this Code constitutes compliance with the
8requirements of this Section.
9(Source: P.A. 96-6, eff. 4-3-09.)".