99TH GENERAL ASSEMBLY
State of Illinois
2015 and 2016
SB1655

 

Introduced 2/20/2015, by Sen. Thomas Cullerton

 

SYNOPSIS AS INTRODUCED:
 
New Act

    Creates the Higher Education Executive Compensation Oversight Act. Provides that before the board of trustees of a community college district may enter into or amend a severance agreement with the president of a community college, the board must provide public notice of the severance agreement. Allows a petition to be filed objecting to the terms of the severance agreement, signed by 5% of the eligible voters that reside within the district. Provides that if such a petition is filed, the severance agreement is null and void. Provides that before the board of trustees of a public university may enter into or amend a severance agreement with an executive of the university, the board must provide public notice of the severance agreement and must submit the severance agreement to various committees of the General Assembly. Provides that the committees shall have 30 calendar days to review the severance agreement, and the severance agreement shall not become effective if, within 30 calendar days after its delivery to the committees, either chamber of the General Assembly disapproves the severance agreement. Provides that a severance agreement not so disapproved shall become effective by its terms, but not less than 30 calendar days after its delivery to the committees. Allows a board to enter into an executive severance agreement only if it has been reviewed by the committees and not otherwise disapproved. Effective immediately.


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FISCAL NOTE ACT MAY APPLY
STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT

 

 

A BILL FOR

 

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1    AN ACT concerning education.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 1. Short title. This Act may be cited as the Higher
5Education Executive Compensation Oversight Act.
 
6    Section 5. Definitions. In this Act:
7    "Community college" means a community college included in
8the definition of "Community Colleges" under the Public
9Community College Act.
10    "Community college board" means the board of trustees of a
11community college district.
12    "Community college district" means a community college
13district included in the definition of "Community College
14Districts" under the Public Community College Act.
15    "Executive" means any person holding the office of
16president or chancellor at the University of Illinois, Southern
17Illinois University, Chicago State University, Eastern
18Illinois University, Governors State University, Illinois
19State University, Northeastern Illinois University, Northern
20Illinois University, Western Illinois University, or any other
21public university now or hereafter established or authorized by
22the General Assembly.
23    "Public university board" means the board of trustees of

 

 

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1the University of Illinois, Southern Illinois University,
2Chicago State University, Eastern Illinois University,
3Governors State University, Illinois State University,
4Northeastern Illinois University, Northern Illinois
5University, Western Illinois University, or any other public
6university now or hereafter established or authorized by the
7General Assembly.
8    "Severance agreement" means any contract, contract
9extension, document, or understanding establishing rights and
10responsibilities upon termination of employment. "Severance
11agreement" includes, but is not limited to, the payment of the
12remainder of an employment contract not to be performed, such
13as an employment contract buyout. "Severance agreement" does
14not include prior established bonuses, benefits, and
15compensation provided in consideration for work performed.
 
16    Section 10. Community colleges. Before a community college
17board may enter into or amend a severance agreement with the
18president of a community college, the community college board
19must provide public notice of the severance agreement. Public
20notice shall be provided by posting the severance agreement in
21full on the Internet website of the community college for 30
22days. Within the 30-day period, a petition may be filed with
23the community college board objecting to the terms of the
24severance agreement. The petition must be signed by 5% of the
25eligible voters that reside within the community college

 

 

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1district. If such a petition is filed, the severance agreement
2is null and void.
 
3    Section 15. Public universities.
4    (a) Before a public university board may enter into or
5amend a severance agreement with an executive of the
6university, the public university board must provide public
7notice of the severance agreement in full. Notice shall be
8provided by posting the severance agreement on the Internet
9website of the public university for 30 days.
10    (b) Before a public university board may enter into or
11amend a severance agreement with an executive of the
12university, the public university board must submit the
13severance agreement to the chairperson and minority
14spokesperson of the higher education committee and the higher
15education appropriations committee, or their successor
16committees, of the House of Representatives and to the
17chairperson and minority spokesperson of the higher education
18committee and the appropriate appropriations committee, or
19their successor committees, of the Senate.
20    The committees shall have 30 calendar days to review the
21severance agreement. The severance agreement shall not become
22effective if, within 30 calendar days after its delivery to the
23committees, either chamber of the General Assembly disapproves
24the severance agreement by a record vote of a majority of the
25members elected. A severance agreement not so disapproved shall

 

 

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1become effective by its terms, but not less than 30 calendar
2days after its delivery to the committees. A public university
3board may enter into an executive severance agreement only if
4it has been reviewed by the committees and not otherwise
5disapproved.
 
6    Section 99. Effective date. This Act takes effect upon
7becoming law.