Rep. Robert Martwick

Filed: 5/9/2019

 

 


 

 


 
10100SB1264ham001LRB101 07891 LNS 60466 a

1
AMENDMENT TO SENATE BILL 1264

2    AMENDMENT NO. ______. Amend Senate Bill 1264 by replacing
3everything after the enacting clause with the following:
 
4    "Section 5. The Revised Uniform Unclaimed Property Act is
5amended by adding Sections 15-1505 and 15-1506 as follows:
 
6    (765 ILCS 1026/15-1505 new)
7    Sec. 15-1505. Application.
8    (a) Except as provided in this Section and Section 15-1506,
9this Act does not apply to any annuity, pension, or benefit
10fund held in a fiduciary capacity by or on behalf of a
11retirement system, pension fund, or investment board created
12pursuant to any Article of the Illinois Pension Code.
13    (b) Beginning on the effective date of this amendatory Act
14of the 101st General Assembly, property presumed abandoned in
15an annuity, pension, or benefit fund held in a fiduciary
16capacity by or on behalf of a retirement system, pension fund,

 

 

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1or investment board created pursuant to any Article of the
2Illinois Pension Code shall be reported by the retirement
3system, pension fund, or investment board to the administrator
4within the time in subsection (a) of Section 15-403 by
5providing: (i) the name of the owner and the names of any
6beneficiaries; (ii) the last known address, if known; (iii) the
7Social Security number or taxpayer identification number, if
8known or readily ascertainable; and (iv) the dollar amount.
9    (c) Beginning on the effective date of this amendatory Act
10of the 101st General Assembly, a retirement system, pension
11fund, or investment board created pursuant to Article 3, 4, or
1222 of the Illinois Pension Code shall also comply with the
13provisions of Section 15-1506.
14    (d) Notwithstanding any provision of law to the contrary,
15no retirement system, pension fund, or investment board created
16pursuant to any Article of the Illinois Pension Code shall pay
17or deliver any annuity, pension, or benefit fund held in a
18fiduciary capacity to the administrator.
19    (e) For the purposes of this Section and Section 15-1506,
20property is presumed abandoned in accordance with Article 2 of
21this Act.
22    (f) Except for subsections (b) and (c), this Section is
23operative retroactively to January 1, 2018.
 
24    (765 ILCS 1026/15-1506 new)
25    Sec. 15-1506. Compliance provisions.

 

 

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1    (a) This Section applies only to a retirement system,
2pension fund, or investment board created pursuant to Article
33, 4, or 22 of the Illinois Pension Code.
4    (b) Each retirement system, pension fund, or investment
5board shall meet or exceed the minimum standards for due
6diligence specified in this Section. If an annuity, pension, or
7benefit fund held in a fiduciary capacity by the retirement
8system, pension fund, or investment board would otherwise be
9presumed abandoned in accordance with Section 15-202, then the
10retirement system, pension fund, or investment board shall
11engage in the following due diligence:
12        (1) Use mail, telephone, and electronic mail. The
13    retirement system, pension fund, or investment board shall
14    attempt, not less than 90 days before filing the report
15    under subsection (b) of Section 15-1505, to contact the
16    apparent owner using, in any order, first-class United
17    States mail, telephone, and electronic mail. The
18    retirement system, pension fund, or investment board shall
19    use the most current contact information available for the
20    apparent owner. The retirement system, pension fund, or
21    investment board shall use these routine methods in its
22    initial attempts to contact the apparent owner. If the
23    apparent owner does not respond or otherwise indicate
24    interest in the property in response to these routine
25    methods, then the retirement system, pension fund, or
26    investment board shall take the additional due diligence

 

 

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1    steps outlined in this Section to locate the apparent owner
2    or a beneficiary.
3        (2) Use certified mail. The retirement system, pension
4    fund, or investment board shall send to the apparent owner
5    a notice using certified United States mail not less than
6    60 days before filing the report under subsection (b) of
7    Section 15-1505.
8        (3) Check related plan and employer records. The
9    retirement system, pension fund, or investment board shall
10    ask any employer, and any former employer, of the apparent
11    owner and any other retirement system, pension fund, or
12    investment board to search its records for more current
13    contact information for the apparent owner as well as for
14    more current contact information for any beneficiaries.
15    Unless prohibited by law of this State other than this Act,
16    on request of a retirement system, pension fund, or
17    investment board pursuant to this Section, each officer,
18    agency, board, commission, division, and department of
19    this State, body politic and corporate created by this
20    State for a public purpose, and political subdivision of
21    this State shall make its books and records available to
22    the retirement system, pension fund, or investment board
23    and cooperate with such retirement system, pension fund, or
24    investment board to determine the current address of an
25    apparent owner of property covered by Section 15-1505.
26        (4) Attempt to contact designated beneficiaries. The

 

 

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1    retirement system, pension fund, or investment board shall
2    try to identify and contact any individual that the
3    apparent owner has designated as a beneficiary to find
4    updated contact information for the apparent owner. The
5    retirement system, pension fund, or investment board shall
6    attempt to contact beneficiaries, if any, using, in any
7    order, first-class United States mail, telephone calls,
8    and electronic mail if the retirement system, pension fund,
9    or investment board has the relevant contact information
10    for such beneficiaries.
11        (5) Use electronic search tools. The retirement
12    system, pension fund, or investment board shall make
13    reasonable use of Internet search tools that do not charge
14    a fee to search for an apparent owner, including Internet
15    search engines, public record databases, obituaries, and
16    social media.
17        (6) Use additional steps if the property is over
18    $1,000. The retirement system, pension fund, or investment
19    board shall take additional due diligence steps if the
20    apparent owner's property is valued at more than $1,000.
21    Such additional due diligence includes the use of Internet
22    search tools, commercial locator services, credit
23    reporting agencies, information brokers, investigation
24    databases, and analogous services that may involve
25    charges.
26    (c) If the property is no longer presumptively abandoned

 

 

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1because an apparent owner responds or otherwise indicates
2interest in the property in response to the due diligence
3efforts of the retirement system, pension fund, or investment
4board, then the retirement system, pension fund, or investment
5board does not need to engage in further due diligence.
6    (d) Notwithstanding any provision of this Section to the
7contrary, a retirement system, pension fund, or investment
8board does not need to engage in due diligence for property
9with a value of less than $50, and a retirement system, pension
10fund, or investment board does not need to send due diligence
11mail or electronic mail to an address that it knows to be
12invalid.
13    (e) The administrator and each retirement system, pension
14fund, and investment board to which this Section applies shall
15enter into an interagency agreement concerning the
16implementation of this Section. The interagency agreement
17shall specify that the retirement system, pension fund, or
18investment board shall certify at least annually that it meets
19or exceeds the minimum standards for due diligence required by
20this Section.
21    (f) If the United States Department of Labor issues
22guidance or regulations that conflict with this Section, then
23the retirement system, pension fund, or investment board shall
24comply with that guidance or those regulations.".