SB1613 EngrossedLRB097 07600 JDS 47711 b

1    AN ACT concerning public employee benefits.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Illinois Pension Code is amended by changing
5Section 1-107 as follows:
 
6    (40 ILCS 5/1-107)  (from Ch. 108 1/2, par. 1-107)
7    Sec. 1-107. Indemnification of trustees, consultants and
8employees of retirement systems and pension funds.
9    (a) Every retirement system, pension fund, or other system
10or fund established under this Code, other than a retirement
11system established under Article 2, 14, 15, 16, or 18 of this
12Code or the investment board established under Article 22A of
13this Code, must indemnify and protect the trustees against all
14damage claims and suits, including defense thereof, when
15damages are sought for negligent or wrongful acts alleged to
16have been committed in the scope of their powers and duties as
17trustees.
18    Every retirement system established under Article 2, 14,
1915, 16, or 18 of this Code may indemnify and protect the
20trustees against all damage claims and suits, including defense
21thereof, when damages are sought for negligent or wrongful acts
22alleged to have been committed in the scope of their powers and
23duties as trustees.

 

 

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1    The investment board established under Article 22A of this
2Code may indemnify and protect its members against all damage
3claims and suits, including defense thereof, when damages are
4sought for negligent or wrongful acts alleged to have been
5committed in the scope of their powers and duties as members.
6    Notwithstanding any other provision of this subsection
7(a), trustees and board members shall not be indemnified for
8willful misconduct and gross negligence.
9    (b) Except as provided in subsection (a), every Every
10retirement system, pension fund or other system or fund
11established under this Code may indemnify and protect the
12trustees, staff and consultants against all damage claims and
13suits, including defense thereof, when damages are sought for
14negligent or wrongful acts alleged to have been committed in
15the scope of employment or under the direction of the trustees.
16However, the trustees, staff and consultants shall not be
17indemnified for willful wilful misconduct and gross
18negligence. Each board is authorized to insure against loss or
19liability of the trustees, staff and consultants which may
20result from these damage claims. This insurance shall be
21carried in a company which is licensed to write such coverage
22in this State.
23(Source: P.A. 80-1364.)
 
24    Section 90. The State Mandates Act is amended by adding
25Section 8.35 as follows:
 

 

 

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1    (30 ILCS 805/8.35 new)
2    Sec. 8.35. Exempt mandate. Notwithstanding Sections 6 and 8
3of this Act, no reimbursement by the State is required for the
4implementation of any mandate created by this amendatory Act of
5the 97th General Assembly.
 
6    Section 99. Effective date. This Act takes effect upon
7becoming law.