Full Text of SB0670 94th General Assembly
SB0670 94TH GENERAL ASSEMBLY
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94TH GENERAL ASSEMBLY
State of Illinois
2005 and 2006 SB0670
Introduced 2/18/2005, by Sen. Ira I. Silverstein - Emil Jones, Jr. SYNOPSIS AS INTRODUCED: |
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30 ILCS 230/2c |
from Ch. 127, par. 173a |
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Amends the State Officers and Employees Money Disposition Act. Makes
a technical change in a Section concerning the deposit of State money.
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A BILL FOR
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SB0670 |
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LRB094 04392 RCE 34421 b |
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| AN ACT concerning finance.
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| Be it enacted by the People of the State of Illinois, | 3 |
| represented in the General Assembly:
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| Section 5. The State Officers and Employees Money | 5 |
| Disposition Act is amended by changing Section 2c as follows:
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| (30 ILCS 230/2c) (from Ch. 127, par. 173a)
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| Sec. 2c. Every such officer, board, commission, | 8 |
| commissioner, department,
institution, arm or agency is | 9 |
| authorized to demand and
and receive a bond and
securities in | 10 |
| amount and kind satisfactory to him from any bank or savings
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| and loan association in which moneys held by such officer, | 12 |
| board, commission,
commissioner, department, institution, arm | 13 |
| or agency for or on behalf of
the State of Illinois, may be on | 14 |
| deposit, such securities to be held by the
officer, board, | 15 |
| commission, commissioner, department, institution, arm or
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| agency for the period that such moneys are so on deposit and | 17 |
| then returned
together with interest, dividends and other | 18 |
| accruals to the bank or savings
and loan association. The
bond | 19 |
| or undertaking and such securities shall be conditioned for the | 20 |
| return
of the moneys deposited in conformity with the terms of | 21 |
| the deposit. | 22 |
| Whenever funds deposited with a bank or savings and loan | 23 |
| association
exceed the amount of federal deposit insurance | 24 |
| coverage, a bond,
pledged
securities, or other eligible | 25 |
| collateral shall be obtained.
Only the types of securities or | 26 |
| other eligible collateral which the State
Treasurer may, in his
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| or her discretion, accept for amounts not insured by the | 28 |
| Federal Deposit
Insurance
Corporation or the Federal Savings | 29 |
| and Loan Insurance Corporation under
Section 11 of "An Act in | 30 |
| relation to State moneys", approved June 28, 1919,
as amended, | 31 |
| may be accepted as pledged securities.
The market value of the | 32 |
| bond or pledged
securities shall at all times be equal to or |
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SB0670 |
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LRB094 04392 RCE 34421 b |
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| greater than the uninsured
portion of the deposit
unless the | 2 |
| funds deposited are collateralized pursuant to a system
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| established by the State Treasurer to aggregate permissible | 4 |
| securities
received as collateral from financial institutions | 5 |
| in a collateral pool
to secure State deposits of the | 6 |
| institution that have pledged
securities to the pool.
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| All securities deposited by a bank or savings and loan | 8 |
| association
under the provisions of this
Section shall remain | 9 |
| the property of the depositary and may be stamped by
the | 10 |
| depositary so as to indicate that such securities are deposited | 11 |
| as
collateral. Should the bank or savings and loan association
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| fail or refuse to pay over the moneys, or
any part thereof, | 13 |
| deposited with it, the officer, board, commission,
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| commissioner, department, institution, arm or agency may sell | 15 |
| such
securities upon giving 5 days notice to the depositary of | 16 |
| his intention to
so sell such securities. Such sale shall | 17 |
| transfer absolute ownership of the
securities so sold to the | 18 |
| vendee thereof. The surplus, if any, over the
amount due to the | 19 |
| State and the expenses of the sale shall be paid to the
bank or | 20 |
| savings and loan association. Actions may be brought in the
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| name of the People of the State
of Illinois to enforce the | 22 |
| claims of the State with respect to any
securities deposited by | 23 |
| a bank or savings and loan association.
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| No bank or savings and loan association shall receive | 25 |
| public funds as
permitted by this Section, unless it has | 26 |
| complied with the requirements
established pursuant to Section | 27 |
| 6 of "An Act relating to certain investments of
public
funds by | 28 |
| public agencies", approved July 23, 1943, as
now or hereafter | 29 |
| amended.
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| (Source: P.A. 93-561, eff. 1-1-04.)
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