Full Text of HB0019 101st General Assembly
HB0019 101ST GENERAL ASSEMBLY |
| | 101ST GENERAL ASSEMBLY
State of Illinois
2019 and 2020 HB0019 Introduced 1/9/2019, by Rep. Mary E. Flowers SYNOPSIS AS INTRODUCED: |
| New Act | | 30 ILCS 5/3-1 | from Ch. 15, par. 303-1 | 735 ILCS 30/15-5-46 | |
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Creates the Community Bank of Illinois Act. Provides that the Department of Financial and Professional Regulation shall operate The Community Bank of Illinois. Specifies the authority of the advisory board of directors to the Bank. Provides that the Secretary of Financial and Professional Regulation is to employ a president and employees. Contains provisions concerning the removal and discharge of appointees. Provides that State funds must be deposited in the Bank. Contains provisions concerning the nonliability of officers and sureties after deposit. Specifies the powers of the Bank. Contains provisions concerning the guaranty of deposits and the Bank's role as a clearinghouse, the authorization of loans the General Revenue Fund, bank loans to farmers, limitations on loans by the Bank, the name in which business is conducted and titles taken, civil actions, surety on appeal, audits, electronic fund transfer systems, confidentiality of bank records, the sale and leasing of acquired agricultural real estate, and the Illinois higher education savings plan. Provides that the Bank is the custodian of securities. Amends the Illinois State Auditing Act to require that the Auditor General must contract with an independent certified public accounting firm for an annual audit of The Community Bank of Illinois as provided in the Community Bank of Illinois Act. Amends the Eminent Domain Act to allow the Bank to acquire property by eminent domain.
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| | A BILL FOR |
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| 1 | | AN ACT concerning financial regulation.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Section 1. Short title. This Act may be cited as the | 5 | | Community Bank of Illinois Act. | 6 | | Section 5. Purpose. For the purpose of
encouraging and | 7 | | promoting agriculture, commerce, and industry, the State shall
| 8 | | engage in the business of banking, and for that purpose shall | 9 | | maintain a system of banking
owned, controlled, and operated by | 10 | | it, under the name of The Community Bank of Illinois. | 11 | | Section 10. Definitions. As used in this Act: | 12 | | "Bank" means The Community Bank of Illinois. | 13 | | "Department" means the Department of Financial and | 14 | | Professional Regulation. | 15 | | "Secretary" means the Secretary of Financial and | 16 | | Professional Regulation. | 17 | | Section 15. Department to operate Bank; business of Bank. | 18 | | The Department shall operate, manage, and control The Community | 19 | | Bank of Illinois, locate and maintain its
places of business, | 20 | | of which the principal place must be within the State, and make | 21 | | and enforce
orders, rules, regulations, and bylaws for the |
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| 1 | | transaction of its business. The business and
financial | 2 | | transactions of the Bank, in addition to other matters | 3 | | specified in this Act, may
include anything that any bank or | 4 | | bank holding company lawfully may do, except as it is
| 5 | | restricted by the provisions of this Act. This Section may not | 6 | | be held in any way to limit or
qualify either the powers of the | 7 | | Department granted by or the functions of the Bank as
defined | 8 | | in this Act. The powers of the Department and the functions of | 9 | | the Bank
must be implemented through actions taken and policies | 10 | | adopted by the Department of Financial and Professional | 11 | | Regulation. | 12 | | Section 20. Declaration and finding of public purpose; | 13 | | Community Bank of Illinois
advisory board of directors. To | 14 | | enlist the help of private enterprise and to encourage more
| 15 | | active use of the purposes of this Act, the Governor shall
| 16 | | appoint an advisory board of directors to The Community Bank of | 17 | | Illinois consisting of 7 persons,
at least 2 of whom must be | 18 | | officers of banks, the majority of the stock of which is owned | 19 | | by
Illinois residents, and at least one of whom must be an | 20 | | officer of a State-chartered or
federally chartered financial | 21 | | institution. The Governor shall appoint a chairman, | 22 | | vice-chairman,
and secretary from the advisory board of | 23 | | directors. The term of a director is 4 years. The
Department | 24 | | shall define the duties of the advisory board of directors. |
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| 1 | | Section 25. Authority of the advisory board of directors to | 2 | | The Community Bank of Illinois.
The advisory board of | 3 | | directors to The Community Bank of Illinois shall do all of the | 4 | | following: | 5 | | (1) Meet regularly with the management of The Community | 6 | | Bank of Illinois to review the
Bank's operations to | 7 | | determine whether recommendations should be made by the
| 8 | | board to the Department relating to improved management | 9 | | performance,
better customer service, and overall | 10 | | improvement in internal methods, procedures,
and operating | 11 | | policies of the Bank. | 12 | | (2) Make recommendations to the Department relating to | 13 | | the establishment of
additional objectives for the | 14 | | operation of The Community Bank of Illinois. | 15 | | (3) Make recommendations to the Department concerning | 16 | | the appointment of
officers of The Community Bank of | 17 | | Illinois. | 18 | | (4) Meet regularly with the Secretary to present any | 19 | | recommendations
concerning The Community Bank of Illinois. | 20 | | (5) In addition to the foregoing and pursuant to | 21 | | authorization from the Secretary, act on behalf of the Bank | 22 | | with respect to the powers and functions of
the Bank. | 23 | | Section 30. Secretary to employ president and employees; | 24 | | compensation,
operation, and maintenance expenditures limited | 25 | | to appropriations, revenue, or capital.
The Secretary shall |
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| 1 | | appoint a president, and may appoint and employ subordinate | 2 | | officers, employees, and agents as he or she may judge | 3 | | expedient and in the interests of the
State, and shall define | 4 | | the duties, designate the titles, and fix the compensation of | 5 | | all such
persons. The Secretary may designate the president or | 6 | | other officers or employees as its
agent in respect to the | 7 | | functions of the Bank, subject to its supervision, limitation, | 8 | | and control.
The total compensation of such appointees and | 9 | | employees, together with other expenditures for
the operation | 10 | | and maintenance of the Bank, shall remain within the | 11 | | appropriation, revenues, or
capital lawfully available for | 12 | | those purposes. | 13 | | Section 35. Removal and discharge of appointees. The | 14 | | Secretary may
remove and discharge any and all persons | 15 | | appointed in the exercise of the powers granted by
this Act, | 16 | | whether by the Secretary or by the president of the Bank. All | 17 | | appointments and
removals contemplated by this Act must be made | 18 | | as the Secretary deems fit to promote
the efficiency of the | 19 | | public service. | 20 | | Section 40. State funds must be deposited in The Community | 21 | | Bank of Illinois; income of the
Bank. All State funds and funds | 22 | | of all State penal, educational, and industrial institutions | 23 | | must be
deposited in The Community Bank of Illinois by the | 24 | | persons having control of those funds or must be
deposited in |
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| 1 | | accordance with constitutional and statutory provisions. All | 2 | | income earned by the
Bank for its own account on State moneys | 3 | | that are deposited in or invested with the Bank to the
credit | 4 | | of the State must be credited to and become a part of the | 5 | | revenues and income of the
Bank. | 6 | | Section 45. Nonliability of officers and sureties after | 7 | | deposit. Whenever any public funds are deposited in The | 8 | | Community Bank of Illinois, the official having control of the | 9 | | public funds and the sureties on the bond of every such | 10 | | official
shall be exempt from all liability by reason of loss | 11 | | of any such funds while so deposited. | 12 | | Section 50. Guaranty of deposits; exemption from all | 13 | | taxation. All deposits in The Community Bank of Illinois are | 14 | | guaranteed by the State. Those deposits are exempt from State, | 15 | | county, and
municipal taxes of any and all kinds. | 16 | | Section 55. Bank as a clearinghouse. For banks that make | 17 | | The Community Bank of Illinois a
reserve depositary, it may | 18 | | perform the functions and render the services of a | 19 | | clearinghouse,
including all facilities for providing domestic | 20 | | and foreign exchange, and may rediscount paper, on
those terms | 21 | | as the Department shall provide. | 22 | | Section 60. Powers. The Community Bank of Illinois may: |
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| 1 | | (1) make, purchase, guarantee, or hold loans: | 2 | | (A) to State-chartered or federally chartered | 3 | | lending agencies or institutions or any
other | 4 | | financial institutions; | 5 | | (B) to holders of Bank certificates of deposit and | 6 | | savings accounts
up to 90% of the value of the | 7 | | certificates and savings accounts
offered as security; | 8 | | (C) to actual farmers who are residents of this | 9 | | State, if the loans are secured by
recorded mortgages | 10 | | giving the Bank a first lien on real estate
in Illinois | 11 | | in amounts not to exceed 80% of the value of the
| 12 | | security; | 13 | | (D) that are insured or guaranteed in whole or in | 14 | | part by the United States, its
agencies, or | 15 | | instrumentalities; | 16 | | (E) that are eligible to be guaranteed under | 17 | | education. Loans made
pursuant to this paragraph (E) | 18 | | may provide for interest that remains unpaid at the
end | 19 | | of any period specified in the loan to be added to the | 20 | | principal amount of
the debt and thereafter accumulate | 21 | | interest; | 22 | | (F) to individuals or bank holding companies for | 23 | | the purpose of purchasing or
refinancing the purchase | 24 | | of bank stock of a bank located in the State; | 25 | | (G) under U.S. Public Law No. 99-198 as
amended | 26 | | through December 31, 1996, to nonprofit corporations |
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| 1 | | for the purpose
of relending loan funds to rural | 2 | | businesses; | 3 | | (H) under Title 7, Code of Federal Regulations, | 4 | | part 1948, subpart C; part 1951,
subparts F and R; and | 5 | | part 1955, subparts A, B, and C, as amended through
| 6 | | December 31, 1996, to finance businesses and community | 7 | | development
projects in rural areas; | 8 | | (I) obtained as security pledged for or originated | 9 | | in the restructuring of any other
loan properly | 10 | | originated or participated in by the Bank; | 11 | | (J) to instrumentalities of this State; | 12 | | (K) to an investment company created for | 13 | | completing a trust preferred securities
transaction | 14 | | for the benefit of a financial institution located in | 15 | | this State; and | 16 | | (L) as otherwise provided by this Act or other | 17 | | statutes; | 18 | | (2) if the Bank is participating in the loan and the | 19 | | Bank deems it is in the best
interests of the Bank to do | 20 | | so, purchase the remaining portion of the loan
from a | 21 | | participating lender that is closed by regulatory action or | 22 | | from the
receiver of the participating lender's assets; | 23 | | (3) make agricultural real estate loans in order to | 24 | | participate in the agricultural mortgage
secondary market | 25 | | program established pursuant to the federal Agricultural | 26 | | Credit Act amended through
December 31, 1996; |
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| 1 | | (4) purchase participation interests in loans made or | 2 | | held by banks, bank holding
companies, State-chartered or | 3 | | federally chartered lending agencies or institutions,
any | 4 | | other financial institutions, or any other entity that | 5 | | provides financial services and meets underwriting | 6 | | standards that are generally accepted by State or federal
| 7 | | financial regulatory agencies; | 8 | | (5) invest its funds: | 9 | | (A) in conformity with policies of the Department; | 10 | | (B) in a public venture capital corporation | 11 | | organized and doing business in this
State through the | 12 | | purchase of shares of stock; and | 13 | | (C) in Illinois alternative and venture capital | 14 | | investments and early-stage
capital funds; | 15 | | (6) buy and sell federal funds; | 16 | | (7) lease, assign, sell, exchange, transfer, convey, | 17 | | grant, pledge, or mortgage all real
and personal property, | 18 | | title to which has been acquired in any manner; | 19 | | (8) acquire real or personal property or property | 20 | | rights by purchase, lease, or, subject to
applicable law, | 21 | | the exercise of the right of eminent domain and may | 22 | | construct,
remodel, and repair buildings; | 23 | | (9) receive deposits from any source and deposit its | 24 | | funds in any bank or other
financial institution. | 25 | | (10) perform all acts and do all things necessary, | 26 | | convenient, advisable, or desirable to
carry out the powers |
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| 1 | | expressly granted or necessarily implied in this Act | 2 | | through
or by means of its president, officers, agents, or | 3 | | employees or by contracts with any
person, firm, or | 4 | | corporation; and | 5 | | (11) purchase mortgage loans on residential real | 6 | | property originated by financial
institutions. | 7 | | Section 65. Loans to General Revenue Fund authorized; | 8 | | continuing appropriation. The State
Treasurer and the Director | 9 | | of the Governor's Office of Management and Budget may, when the | 10 | | balance in the
General Revenue Fund is insufficient to meet | 11 | | legislative appropriations, execute and issue on behalf of
the | 12 | | State evidences of indebtedness on the State General Revenue | 13 | | Fund that at no time may exceed the total
principal amount of | 14 | | $10,000,000 with principal maturity of not more than 12 months. | 15 | | As
a condition precedent to the issuance and sale of the | 16 | | evidences of indebtedness, the State
Treasurer must request and | 17 | | obtain a statement from the Director of the Governor's Office | 18 | | of Management and
Budget and the Director of Revenue certifying | 19 | | that anticipated General Revenue Fund revenues for the
balance | 20 | | of the fiscal year in which the evidences of indebtedness are | 21 | | to be issued will exceed the
principal amount and interest on | 22 | | the evidences of indebtedness to be issued. The Department may | 23 | | in turn direct The Community Bank of Illinois to make loans to | 24 | | the General Revenue Fund
by the purchase of the evidences of | 25 | | indebtedness at those rates of interest as the Department may |
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| 1 | | prescribe. After evidences of indebtedness have been issued and | 2 | | sold
pursuant to this Section, the Treasurer shall establish a | 3 | | fund for the repayment of the
principal upon maturity and the | 4 | | interest when due. The Treasurer shall place all available
| 5 | | General Revenue Fund revenues into this fund until the fund | 6 | | contains a sufficient balance for the repayment of the | 7 | | principal at maturity and interest when due, which moneys are | 8 | | hereby appropriated for this
purpose. | 9 | | Section 70. Bank loans to beginning farmers; revolving loan | 10 | | fund; requirements.
| 11 | | (a) A revolving loan fund must be maintained in The | 12 | | Community Bank of Illinois for the
purpose of making or | 13 | | participating in loans to Illinois beginning farmers for the
| 14 | | purchase of agricultural real estate, equipment, and | 15 | | livestock. All moneys
transferred into the fund, interest upon | 16 | | moneys in the fund, and payments to the
fund of principal and | 17 | | interest on loans made from the fund are appropriated for the
| 18 | | purpose of providing loans and to supplement the interest rate | 19 | | on loans to beginning
farmers made by this Act under applicable | 20 | | law and in accordance with this Section. | 21 | | (b) The revolving loan fund and loans made from the fund | 22 | | must be administered and
supervised by the Bank. The Bank may | 23 | | deduct a service fee for
administering the fund from interest | 24 | | payments received on loans. An application for
a loan from the | 25 | | fund must be made to the Bank and, upon approval, a loan must |
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| 1 | | be
made from the fund in accordance with this Section. | 2 | | (c) A loan made from the fund may not exceed 80% of the | 3 | | appraised value of
the agricultural collateral, with the actual | 4 | | percentage to be determined by the Bank.
The Bank may do all | 5 | | things and acts and may establish additional terms and
| 6 | | conditions necessary to make a loan under this Section. A loan | 7 | | made from the fund
must have a first security interest. | 8 | | (d) A loan made from the fund must have the interest rate | 9 | | fixed at 1% below
the Bank's then current base rate for the | 10 | | first 5 years with a maximum rate of 6% per year and variable | 11 | | at 1% below the Bank's then current base
rate for the second 5 | 12 | | years. During the second 5 years, the variable rate must
be | 13 | | adjusted annually on the anniversary date. The rate during the | 14 | | remaining term of
the loan floats at the Bank's base rate as in | 15 | | effect from time to time. | 16 | | (e) The maximum term of a real estate loan is 25 years. The | 17 | | maximum term of
a farm equipment or livestock loan is 7 years. | 18 | | (f) The Department shall contract with a certified public | 19 | | accounting firm to
audit the fund as necessary. The cost of the | 20 | | audit, and any other actual costs
incurred by the Bank on | 21 | | behalf of the fund, must be paid for by the fund. | 22 | | (g) The Bank shall adopt rules necessary to implement this | 23 | | Section. | 24 | | Section 75. Name in which business conducted and titles | 25 | | taken; execution of
instruments. All business of the Bank must |
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| 1 | | be conducted under the name of "The Community Bank of | 2 | | Illinois". Title to property pertaining to the operation of the | 3 | | Bank must be obtained and
conveyed in the name of "The State of | 4 | | Illinois, doing business as The Community Bank of Illinois". | 5 | | Instruments must be executed in the name of the State. Within | 6 | | the
scope of authority granted by the Department, the president | 7 | | may execute instruments
on behalf of the Bank, including any | 8 | | instrument granting, conveying, or otherwise affecting any
| 9 | | interest in or lien upon real or personal property. Other | 10 | | officers or employees of, and legal
counsel to, the Bank may | 11 | | execute instruments on behalf of the Bank when authorized by | 12 | | the
Department. | 13 | | Section 80. Civil actions. Civil actions may be brought | 14 | | against the State on account of claims for relief
claimed to | 15 | | have arisen out of transactions connected with the operation of | 16 | | The Community Bank of Illinois upon condition that the | 17 | | provisions of this Section are complied with. In such actions, | 18 | | the
State must be designated as "The State of Illinois, doing | 19 | | business as The Community Bank of Illinois". The actions may be | 20 | | brought in the same manner and are subject to the same
| 21 | | provisions of law as other civil actions. | 22 | | Section 85. Surety on appeal, attachment, claim and | 23 | | delivery, and other cases in
which undertaking required. | 24 | | Provisions of law
requiring that a surety or sureties be given |
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| 1 | | on undertakings in actions on appeal, attachment,
claim and | 2 | | delivery, and other cases in which an undertaking is required, | 3 | | are not applicable to the
State of Illinois, doing business as | 4 | | The Community Bank of Illinois, as the party seeking relief. It | 5 | | is required to give its own undertaking without surety and to | 6 | | reimburse the adverse party
when required by law. | 7 | | Section 90. Examinations and audit reports. The Auditor | 8 | | General shall contract with an
independent certified public | 9 | | accounting firm for an annual audit of The Community Bank of | 10 | | Illinois in
accordance with generally accepted government | 11 | | auditing standards. The Auditor General shall audit
annually or | 12 | | contract for an annual audit of the separate programs and funds | 13 | | administered by The
Community Bank of Illinois. On request of | 14 | | the Auditor General, the Department shall assist the
Auditor | 15 | | General in the auditing firm selection process, but the | 16 | | selection of the auditing firm is the
Auditor General's | 17 | | responsibility. The auditor selected shall prepare an audit | 18 | | report that includes
financial statements presented in | 19 | | accordance with the audit and accounting guide for banks and
| 20 | | savings institutions issued by the American Institute of | 21 | | Certified Public Accountants. The auditor
also shall prepare | 22 | | audited financial statements for inclusion in the | 23 | | comprehensive annual
financial report for the State. The State | 24 | | auditor may conduct performance audits of The Community Bank of | 25 | | Illinois, including the separate programs and funds |
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| 1 | | administered by the Bank. The Auditor General
shall report the | 2 | | results of the audit to the Department and to the General | 3 | | Assembly.
The Community Bank of Illinois or its separate | 4 | | programs and funds shall pay the costs of the audit.
The | 5 | | Department shall examine The Community Bank of Illinois at | 6 | | least once each 24 months and conduct any investigation of the | 7 | | Bank
that may be necessary. The Secretary shall report the | 8 | | examination results, and the results
of any necessary | 9 | | investigation, to the Department as soon as practicable and to | 10 | | the
legislative assembly. The Department shall charge a fee for | 11 | | any
examination or investigation at an hourly rate to be set by | 12 | | the Secretary, sufficient to cover
all reasonable expenses of | 13 | | the Department associated with the examinations and | 14 | | investigations
provided for by this Section.
| 15 | | Section 95. Electronic fund transfer systems. The | 16 | | Community Bank of Illinois may establish,
by rule adopted by | 17 | | the Department, a system to provide
fund transfer services to | 18 | | its customers and to the customers of State-chartered and | 19 | | federally
chartered banks located within the State of Illinois, | 20 | | and to other financial institutions
otherwise authorized to | 21 | | utilize the services of electronic fund transfer systems. The | 22 | | Bank may acquire such
equipment as is necessary to establish | 23 | | electronic fund transfer systems and may impose
reasonable | 24 | | charges for services rendered to other banks under this Act as | 25 | | may be established by
the Department. |
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| 1 | | Section 100. Confidentiality of Bank records. The | 2 | | following records of The Community Bank of Illinois are | 3 | | confidential: | 4 | | (1) Commercial or financial information of a customer, | 5 | | whether obtained directly or
indirectly, except for | 6 | | routine credit inquiries or unless required by due legal | 7 | | process.
As used in this item (1), "customer" means any | 8 | | person who has transacted or is
transacting business with, | 9 | | or has used or is using the services of, The Community Bank | 10 | | of Illinois, or for whom The Community Bank of Illinois has | 11 | | acted as a fiduciary with respect
to trust property. | 12 | | (2) Internal or inter-agency memorandums or letters | 13 | | that would not be available by law
to a party other than in | 14 | | litigation with the Bank. | 15 | | (3) Information contained in or related to | 16 | | examination, operating, or condition reports
prepared by, | 17 | | on behalf of, or for the use of a State or federal agency | 18 | | responsible for
the regulation or supervision of any Bank | 19 | | activity. | 20 | | (4) Information obtained from the Department that | 21 | | would
not be available from that agency under applicable | 22 | | law. | 23 | | (5) The report by a Bank officer or member of the | 24 | | Bank's advisory board of directors
concerning personal | 25 | | financial statements. |
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| 1 | | Section 105. Custodian of securities. Notwithstanding any | 2 | | other
provision of law to the contrary, The Community Bank of | 3 | | Illinois shall replace the Treasurer as the
custodian of all | 4 | | securities that are required to be deposited with the State | 5 | | except that the Treasurer is the custodian of all securities | 6 | | resulting from the investment of funds by the Treasurer, or | 7 | | except as otherwise required by this Section and by law. | 8 | | Section 110. Sale and leasing of acquired agricultural real | 9 | | estate. The sale and leasing
of agricultural real estate with | 10 | | an appraised value of $10,000 or more acquired by The
Community | 11 | | Bank of Illinois through foreclosure or deed in lieu of | 12 | | foreclosure must be done in
accordance with law and policies | 13 | | adopted by the Department. The
sale and leasing of agricultural | 14 | | real estate with an appraised value of less than $10,000, | 15 | | acquired by The Community Bank of Illinois through foreclosure | 16 | | or deed in lieu of foreclosure,
may be done in a manner as the | 17 | | Bank determines is appropriate given the circumstances. In the
| 18 | | case of a lease by the party holding the right of redemption, | 19 | | that party has the right to purchase
at any time. | 20 | | Section 115. Illinois higher education savings plan; | 21 | | administration; rules;
continuing appropriation. The | 22 | | Community Bank of Illinois shall adopt rules to administer, | 23 | | manage,
promote, and market a Illinois higher education savings |
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| 1 | | plan. The Bank shall ensure that
the Illinois higher education | 2 | | savings plan is maintained in compliance with Internal
Revenue | 3 | | Service standards for qualified State tuition programs. The | 4 | | Bank, as trustee of the Illinois higher education savings plan, | 5 | | may impose an annual administrative fee to recover
expenses | 6 | | incurred in connection with operation of the plan or for other | 7 | | programs deemed to
promote attendance at an institution of | 8 | | higher education. Administrative fees received by the
Bank are | 9 | | appropriated on a continuing basis to be used as provided in | 10 | | this Section. Contributions
made during the taxable year to a | 11 | | higher education savings plan administered by the Bank,
| 12 | | pursuant to the provisions of the plan, are eligible for an | 13 | | income tax deduction as provided by law. Information related to | 14 | | contributions is confidential except as is needed by the | 15 | | Director of Revenue for determining compliance with the income | 16 | | tax deduction as provided by law. | 17 | | Section 900. The Illinois State Auditing Act is amended by | 18 | | changing Section 3-1 as follows:
| 19 | | (30 ILCS 5/3-1) (from Ch. 15, par. 303-1)
| 20 | | Sec. 3-1. Jurisdiction of Auditor General. The Auditor | 21 | | General has
jurisdiction over all State agencies to make post | 22 | | audits and investigations
authorized by or under this Act or | 23 | | the Constitution.
| 24 | | The Auditor General has jurisdiction over local government |
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| 1 | | agencies
and private agencies only:
| 2 | | (a) to make such post audits authorized by or under | 3 | | this Act as are
necessary and incidental to a post audit of | 4 | | a State agency or of a
program administered by a State | 5 | | agency involving public funds of the
State, but this | 6 | | jurisdiction does not include any authority to review
local | 7 | | governmental agencies in the obligation, receipt, | 8 | | expenditure or
use of public funds of the State that are | 9 | | granted without limitation or
condition imposed by law, | 10 | | other than the general limitation that such
funds be used | 11 | | for public purposes;
| 12 | | (b) to make investigations authorized by or under this | 13 | | Act or the
Constitution; and
| 14 | | (c) to make audits of the records of local government | 15 | | agencies to verify
actual costs of state-mandated programs | 16 | | when directed to do so by the
Legislative Audit Commission | 17 | | at the request of the State Board of Appeals
under the | 18 | | State Mandates Act.
| 19 | | In addition to the foregoing, the Auditor General may | 20 | | conduct an
audit of the Metropolitan Pier and Exposition | 21 | | Authority, the
Regional Transportation Authority, the Suburban | 22 | | Bus Division, the Commuter
Rail Division and the Chicago | 23 | | Transit Authority and any other subsidized
carrier when | 24 | | authorized by the Legislative Audit Commission. Such audit
may | 25 | | be a financial, management or program audit, or any combination | 26 | | thereof.
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| 1 | | The audit shall determine whether they are operating in | 2 | | accordance with
all applicable laws and regulations. Subject to | 3 | | the limitations of this
Act, the Legislative Audit Commission | 4 | | may by resolution specify additional
determinations to be | 5 | | included in the scope of the audit.
| 6 | | In addition to the foregoing, the Auditor General must also | 7 | | conduct a
financial audit of
the Illinois Sports Facilities | 8 | | Authority's expenditures of public funds in
connection with the | 9 | | reconstruction, renovation, remodeling, extension, or
| 10 | | improvement of all or substantially all of any existing | 11 | | "facility", as that
term is defined in the Illinois Sports | 12 | | Facilities Authority Act.
| 13 | | The Auditor General may also conduct an audit, when | 14 | | authorized by
the Legislative Audit Commission, of any hospital | 15 | | which receives 10% or
more of its gross revenues from payments | 16 | | from the State of Illinois,
Department of Healthcare and Family | 17 | | Services (formerly Department of Public Aid), Medical | 18 | | Assistance Program.
| 19 | | The Auditor General is authorized to conduct financial and | 20 | | compliance
audits of the Illinois Distance Learning Foundation | 21 | | and the Illinois
Conservation Foundation.
| 22 | | As soon as practical after the effective date of this | 23 | | amendatory Act of
1995, the Auditor General shall conduct a | 24 | | compliance and management audit of
the City of
Chicago and any | 25 | | other entity with regard to the operation of Chicago O'Hare
| 26 | | International Airport, Chicago Midway Airport and Merrill C. |
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| 1 | | Meigs Field. The
audit shall include, but not be limited to, an | 2 | | examination of revenues,
expenses, and transfers of funds; | 3 | | purchasing and contracting policies and
practices; staffing | 4 | | levels; and hiring practices and procedures. When
completed, | 5 | | the audit required by this paragraph shall be distributed in
| 6 | | accordance with Section 3-14.
| 7 | | The Auditor General shall conduct a financial and | 8 | | compliance and program
audit of distributions from the | 9 | | Municipal Economic Development Fund
during the immediately | 10 | | preceding calendar year pursuant to Section 8-403.1 of
the | 11 | | Public Utilities Act at no cost to the city, village, or | 12 | | incorporated town
that received the distributions.
| 13 | | The Auditor General must conduct an audit of the Health | 14 | | Facilities and Services Review Board pursuant to Section 19.5 | 15 | | of the Illinois Health Facilities Planning
Act.
| 16 | | The Auditor General of the State of Illinois shall annually | 17 | | conduct or
cause to be conducted a financial and compliance | 18 | | audit of the books and records
of any county water commission | 19 | | organized pursuant to the Water Commission Act
of 1985 and | 20 | | shall file a copy of the report of that audit with the Governor | 21 | | and
the Legislative Audit Commission. The filed audit shall be | 22 | | open to the public
for inspection. The cost of the audit shall | 23 | | be charged to the county water
commission in accordance with | 24 | | Section 6z-27 of the State Finance Act. The
county water | 25 | | commission shall make available to the Auditor General its | 26 | | books
and records and any other documentation, whether in the |
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| 1 | | possession of its
trustees or other parties, necessary to | 2 | | conduct the audit required. These
audit requirements apply only | 3 | | through July 1, 2007.
| 4 | | The Auditor General must conduct audits of the Rend Lake | 5 | | Conservancy
District as provided in Section 25.5 of the River | 6 | | Conservancy Districts Act.
| 7 | | The Auditor General must conduct financial audits of the | 8 | | Southeastern Illinois Economic Development Authority as | 9 | | provided in Section 70 of the Southeastern Illinois Economic | 10 | | Development Authority Act.
| 11 | | The Auditor General shall conduct a compliance audit in | 12 | | accordance with subsections (d) and (f) of Section 30 of the | 13 | | Innovation Development and Economy Act. | 14 | | The Auditor General must contract with an independent | 15 | | certified public accounting firm for an annual audit of The | 16 | | Community Bank of Illinois as provided in Section 90 of the | 17 | | Community Bank of Illinois Act. | 18 | | (Source: P.A. 95-331, eff. 8-21-07; 96-31, eff. 6-30-09; | 19 | | 96-939, eff. 6-24-10.)
| 20 | | Section 905. The Eminent Domain Act is amended by changing | 21 | | Section 15-5-46 as follows: | 22 | | (735 ILCS 30/15-5-46) | 23 | | Sec. 15-5-46. Eminent domain powers in new Acts. The | 24 | | following provisions of law may include express grants of the |
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| 1 | | power to acquire property by condemnation or eminent domain: | 2 | | Community Bank of Illinois Act; The Community Bank of Illinois; | 3 | | for purposes of the Act. | 4 | | (Reserved).
| 5 | | (Source: P.A. 96-1522, eff. 2-14-11; 97-813, eff. 7-13-12.)
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