Bill Text: IL HB2022 | 2021-2022 | 102nd General Assembly | Introduced
Bill Title: Amends the Public Funds Deposit Act. Makes a technical change in a Section concerning deposits.
Sponsorship: Partisan Bill (Republican 1)
Status: (Introduced - Dead) 2021-04-23 - Rule 19(a) / Re-referred to Rules Committee [HB2022 Detail]
Download: Illinois-2021-HB2022-Introduced.html
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| 1 | AN ACT concerning finance.
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| 2 | Be it enacted by the People of the State of Illinois, | |||||||||||||||||||
| 3 | represented in the General Assembly:
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| 4 | Section 5. The Public Funds Deposit Act is amended by | |||||||||||||||||||
| 5 | changing Section 1 as follows:
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| 6 | (30 ILCS 225/1) (from Ch. 102, par. 34)
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| 7 | Sec. 1. Deposits. Any treasurer or other custodian of | |||||||||||||||||||
| 8 | public funds may
deposit
such funds in a savings and and loan | |||||||||||||||||||
| 9 | association, savings bank, or State or
national bank
in this | |||||||||||||||||||
| 10 | State, or deposit those funds into demand deposit accounts in | |||||||||||||||||||
| 11 | accordance with Section 6.5 of the Public Funds Investment | |||||||||||||||||||
| 12 | Act. When such deposits become collected funds and are not | |||||||||||||||||||
| 13 | needed
for immediate disbursement, they shall be invested | |||||||||||||||||||
| 14 | within 2 working days
at prevailing rates or better. The | |||||||||||||||||||
| 15 | treasurer or other custodian of public
funds may require
such | |||||||||||||||||||
| 16 | bank, savings bank, or savings and loan association to deposit | |||||||||||||||||||
| 17 | with
him or her securities
guaranteed by agencies and | |||||||||||||||||||
| 18 | instrumentalities of the federal government
equal in market | |||||||||||||||||||
| 19 | value to the
amount by which the funds deposited exceed the | |||||||||||||||||||
| 20 | federally insured amount.
Any treasurer or other custodian of | |||||||||||||||||||
| 21 | public funds may accept as
security for public funds deposited | |||||||||||||||||||
| 22 | in such bank, savings bank, or
savings and loan association | |||||||||||||||||||
| 23 | any securities or other eligible
collateral authorized by | |||||||||||||||||||
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| 1 | Sections 11 and 11.1 of the Deposit of State
Moneys Act (15 | ||||||
| 2 | ILCS 520/11 and 11.1) or Section 6 of the Public Funds
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| 3 | Investment Act (30 ILCS 235/6).
Such treasurer or other | ||||||
| 4 | custodian is
authorized to enter into an agreement with any | ||||||
| 5 | such bank, savings bank,
or savings
and
loan association, with | ||||||
| 6 | any federally insured financial institution or trust
company, | ||||||
| 7 | or with any agency of the U.S. government relating to the
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| 8 | deposit of such securities.
Any such treasurer or other | ||||||
| 9 | custodian shall
be discharged from responsibility for any | ||||||
| 10 | funds for which securities are
so deposited with him or her, | ||||||
| 11 | and the funds for which securities are so
deposited shall not | ||||||
| 12 | be subject to any otherwise applicable limitation as
to | ||||||
| 13 | amount.
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| 14 | No bank, savings bank, or savings and loan association | ||||||
| 15 | shall receive
public funds as
permitted by this Section, | ||||||
| 16 | unless it has complied with the requirements
established | ||||||
| 17 | pursuant to Section 6 of the Public Funds Investment Act or is | ||||||
| 18 | otherwise exempt from compliance as authorized by Section 6.5 | ||||||
| 19 | of that Act.
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| 20 | (Source: P.A. 98-703, eff. 7-7-14.)
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