(110 ILCS 947/110)
Sec. 110.
Disposition of moneys received by Commission; Appropriations;
Insufficient appropriations.
(a) All moneys received by the Commission in furtherance of its guarantee
loan program for guaranteeing loans for attendance at institutions of higher
education shall be paid into the account established by the Comptroller for
that purpose.
(b) Moneys received by the Commission from the United States Department of
Education by way of any agreement between the Commission and the federal
government for advance payments, reinsurance reimbursements, or reimbursement
of allowable administrative costs shall be available to
the Commission as authorized by federal law and regulation subject to the
appropriation of the General Assembly. Moneys not so employed in a fiscal
year may be retained by the Commission in the account established for that
purpose beyond the close of a fiscal year or may be returned to the federal
government as required by federal law or regulation.
(c) Moneys received by the Commission from collection and recoupment of
losses paid by the Commission under its guaranty shall be returned to the
Federal government as required by Federal law or regulation. Where a portion
of those funds represents collections on loans on which the Commission was
reimbursed by the federal government under a reinsurance agreement for less
than 100% of the amount of the Commission's guaranty, an amount equal to the
pro-rata share of the non-reinsured portion of those collections shall be paid
into the General Revenue Fund at the close of each fiscal year. Moneys received
by the Commission from collection and recoupment of losses paid by the
Commission under its guaranty which are not payable to the General Revenue Fund
but which under Federal law are available to the Commission for payment of
allowable administrative expenses shall be available to the Commission as
authorized by federal law and regulation subject to the appropriation of the
General Assembly.
(d) The Governor shall include, in each annual State budget, a proposal
for an appropriation in such amount as shall be necessary and
sufficient for the period covered by the budget for the purpose of
paying the obligations of the Commission for the guaranteed portion of
losses on insured loans resulting from the death, default, or total and
permanent disability of student borrowers.
If for any reason the General Assembly fails to make appropriations
of amounts sufficient for the State to pay those obligations, this
Section shall constitute an irrevocable and continuing appropriation of
all amounts necessary for that purpose, and the irrevocable and
continuing authority for and direction to the Comptroller and to the
Treasurer of the State to make the necessary transfers out of and
disbursements from the revenues and funds of the State for that purpose,
and the full faith and credit of the State of Illinois is pledged for
the punctual payment of such obligations.
(Source: P.A. 87-997.)
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