Bill Text: IL HB5556 | 2011-2012 | 97th General Assembly | Introduced
Bill Title: Creates the Division of Financial Reporting Act. Provides that the Division will serve under the direction of the State Chief Information Officer, subject to the oversight of the Board of Trustees. Sets forth the responsibilities of the Division, including, but not limited to: implementing a modernized financial accounting system for the State of Illinois in the form of an Enterprise Resource Planning or "ERP" System and conducting management and operational evaluations of each executive branch agency. Creates a Board of Trustees to oversee the Division. Effective immediately.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Failed) 2013-01-08 - Session Sine Die [HB5556 Detail]
Download: Illinois-2011-HB5556-Introduced.html
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1 | AN ACT concerning State government.
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2 | Be it enacted by the People of the State of Illinois,
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3 | represented in the General Assembly:
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4 | Section 1. Short title. This Act may be cited as the | ||||||||||||||||||||||||||||||||
5 | Division of Financial Reporting Act.
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6 | Section 5. Findings. The General Assembly finds that: | ||||||||||||||||||||||||||||||||
7 | (1) Addressing the State's inability to produce | ||||||||||||||||||||||||||||||||
8 | Generally Accepted Accounting Principles (GAAP)-compliant | ||||||||||||||||||||||||||||||||
9 | financial reports in a timely manner is an urgent priority. | ||||||||||||||||||||||||||||||||
10 | (2) The Auditor General's recent findings on the | ||||||||||||||||||||||||||||||||
11 | State's financial accounting systems provide a unique | ||||||||||||||||||||||||||||||||
12 | opportunity for key stakeholders to make policy choices | ||||||||||||||||||||||||||||||||
13 | that can materially improve the State's likelihood of | ||||||||||||||||||||||||||||||||
14 | success in addressing this problem. | ||||||||||||||||||||||||||||||||
15 | (3) The State's problems in financial reporting | ||||||||||||||||||||||||||||||||
16 | represent the cumulative effect of a multitude of systemic | ||||||||||||||||||||||||||||||||
17 | challenges, including: archaic technology, insufficient | ||||||||||||||||||||||||||||||||
18 | staff resources in the areas of accounting, technology, | ||||||||||||||||||||||||||||||||
19 | training, financial analysis, and other fields, disparate | ||||||||||||||||||||||||||||||||
20 | approaches to financial reporting among dozens of | ||||||||||||||||||||||||||||||||
21 | agencies. | ||||||||||||||||||||||||||||||||
22 | (4) Implementing a modern, agile process for | ||||||||||||||||||||||||||||||||
23 | collecting, assembling, in a uniform fashion, financial |
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1 | information such that the State can produce timely, | ||||||
2 | GAAP-compliant financial reports through an Enterprise | ||||||
3 | Resource Planning (ERP) system will involve not only | ||||||
4 | significant monetary investment in software acquisition | ||||||
5 | and implementation services, but also, preliminarily, | ||||||
6 | changes to the structure and internal management of State | ||||||
7 | government.
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8 | Section 10. Division of Financial Reporting; creation. | ||||||
9 | There is hereby created a Division of Financial Reporting. The | ||||||
10 | Division will serve under the direction of the State Chief | ||||||
11 | Information Officer, subject to the oversight of the Board of | ||||||
12 | Trustees. The Division shall have the following | ||||||
13 | responsibilities: | ||||||
14 | (1) to implement a modernized financial accounting | ||||||
15 | system for the State of Illinois in the form of an | ||||||
16 | Enterprise Resource Planning or "ERP" System; | ||||||
17 | (2) to assemble a group of management professionals, | ||||||
18 | having both public and private sector experience, in | ||||||
19 | addition to experience in ERP implementation and financial | ||||||
20 | reporting needs of agencies in the executive branch; the | ||||||
21 | Division shall be staffed with professionals having | ||||||
22 | high-level skill sets in accounting, financial reporting | ||||||
23 | and management, enterprise systems implementation, and | ||||||
24 | business process reengineering; these professionals will | ||||||
25 | provide assistance to executive branch agencies engaged in |
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1 | financial reporting, technology, and ERP implementation; | ||||||
2 | (3) to provide certification and continuing education | ||||||
3 | in the areas of accounting financial reporting and | ||||||
4 | technology; | ||||||
5 | (4) to conduct management and operational evaluations | ||||||
6 | of each executive branch agency; and to submit a | ||||||
7 | recommended plan for personnel changes, operational | ||||||
8 | changes, and policy modifications to the Office of the | ||||||
9 | Governor, the General Assembly, and the Comptroller's | ||||||
10 | office; all executive branch agencies directly responsible | ||||||
11 | to the Governor shall align their respective technology | ||||||
12 | strategies and operations to the plan and render full | ||||||
13 | cooperation in its implementation | ||||||
14 | (5) to work, in cooperation with the Executive Ethics | ||||||
15 | Commission, the Chief Procurement Officers appointed | ||||||
16 | pursuant to P.A. 96-795, the Department of Central | ||||||
17 | Management Services, the Office of the Comptroller, and | ||||||
18 | other stakeholders on an optimal procurement strategy for | ||||||
19 | acquiring the software and services for ERP implementation | ||||||
20 | and for the implementation of other enterprise wide | ||||||
21 | systems; | ||||||
22 | (6) to employ the individuals that are necessary to | ||||||
23 | carry out the duties and functions of the Office; | ||||||
24 | (7) to obligate and expend monetary resources | ||||||
25 | essential for carrying out the duties and responsibilities | ||||||
26 | of the Office; |
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1 | (8) to work in cooperation with the Governor's Office | ||||||
2 | of Management and Budget, agency directors, and the Office | ||||||
3 | of the Comptroller to address agency needs and the delivery | ||||||
4 | of timely information; | ||||||
5 | (9) to assemble a team of management professionals as | ||||||
6 | staff for the Division and for the performance of other | ||||||
7 | duties set forth in this Act; | ||||||
8 | (10) to undertake any other act essential for the | ||||||
9 | performance of the duties and responsibilities of the | ||||||
10 | Office. | ||||||
11 | (11) to direct the State's financial reporting and | ||||||
12 | related technology policies, practices, and objectives | ||||||
13 | with respect to all State agencies directly responsible to | ||||||
14 | the Governor.
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15 | Section 15. Board of Trustees. There is hereby created a | ||||||
16 | Board of Trustees for the Division, consisting of 7 members. | ||||||
17 | The Governor, the Comptroller, the Speaker of the House of | ||||||
18 | Representatives, the Minority Leader of the House of | ||||||
19 | Representatives, the Senate President, and the Senate Minority | ||||||
20 | Leader shall each appoint one. The Governor and the Comptroller | ||||||
21 | will each designate a person to serve as co-chairperson. The | ||||||
22 | purpose of the Board of Trustees is to ensure transparency, | ||||||
23 | open communication, and ongoing collaboration between the | ||||||
24 | legislative and executive branches, as well as within and among | ||||||
25 | the executive branch constitutional officers and agencies. At |
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1 | each meeting the Director of the Division of Financial | ||||||
2 | Reporting will present a detailed report to the trustees | ||||||
3 | outlining all the activities of the Division during the | ||||||
4 | preceding months and will solicit input advice and consultation | ||||||
5 | from the trustees. Meetings of the board shall be subject to | ||||||
6 | the provisions of the Open Meetings Act.
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7 | Section 20. Exemptions. Notwithstanding any laws, rules, | ||||||
8 | or regulations to the contrary, the Division of Financial | ||||||
9 | Reporting is exempt from all provisions of the Personnel Code | ||||||
10 | and the Illinois Public Labor Relations Act.
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11 | Section 30. Cooperation. All executive branch agencies | ||||||
12 | must render full cooperation to the Division and its employees.
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13 | Section 50. The Illinois Public Labor Relations Act is | ||||||
14 | amended by changing Section 15 as follows:
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15 | (5 ILCS 315/15) (from Ch. 48, par. 1615)
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16 | Sec. 15. Act Takes Precedence. | ||||||
17 | (a) In case of any conflict between the
provisions of this | ||||||
18 | Act and any other law (other than Section 5 of the State | ||||||
19 | Employees Group Insurance Act of 1971 , and other than the | ||||||
20 | changes made to the Illinois Pension Code by this amendatory | ||||||
21 | Act of the 96th General Assembly , and other than the Division | ||||||
22 | of Financial Reporting Act ), executive order or administrative
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1 | regulation relating to wages, hours and conditions of | ||||||
2 | employment and employment
relations, the provisions of this Act | ||||||
3 | or any collective bargaining agreement
negotiated thereunder | ||||||
4 | shall prevail and control.
Nothing in this Act shall be | ||||||
5 | construed to replace or diminish the
rights of employees | ||||||
6 | established by Sections 28 and 28a of the Metropolitan
Transit | ||||||
7 | Authority Act, Sections 2.15 through 2.19 of the Regional | ||||||
8 | Transportation
Authority Act. The provisions of this Act are | ||||||
9 | subject to Section 5 of the State Employees Group Insurance Act | ||||||
10 | of 1971. Nothing in this Act shall be construed to replace the | ||||||
11 | necessity of complaints against a sworn peace officer, as | ||||||
12 | defined in Section 2(a) of the Uniform Peace Officer | ||||||
13 | Disciplinary Act, from having a complaint supported by a sworn | ||||||
14 | affidavit.
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15 | (b) Except as provided in subsection (a) above, any | ||||||
16 | collective bargaining
contract between a public employer and a | ||||||
17 | labor organization executed pursuant
to this Act shall | ||||||
18 | supersede any contrary statutes, charters, ordinances, rules
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19 | or regulations relating to wages, hours and conditions of | ||||||
20 | employment and
employment relations adopted by the public | ||||||
21 | employer or its agents. Any collective
bargaining agreement | ||||||
22 | entered into prior to the effective date of this Act
shall | ||||||
23 | remain in full force during its duration.
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24 | (c) It is the public policy of this State, pursuant to | ||||||
25 | paragraphs (h)
and (i) of Section 6 of Article VII of the | ||||||
26 | Illinois Constitution, that the
provisions of this Act are the |
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1 | exclusive exercise by the State of powers
and functions which | ||||||
2 | might otherwise be exercised by home rule units. Such
powers | ||||||
3 | and functions may not be exercised concurrently, either | ||||||
4 | directly
or indirectly, by any unit of local government, | ||||||
5 | including any home rule
unit, except as otherwise authorized by | ||||||
6 | this Act.
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7 | (Source: P.A. 95-331, eff. 8-21-07; 96-889, eff. 1-1-11 .)
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8 | Section 55. The Personnel Code is amended by adding Section | ||||||
9 | 26 as follows:
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10 | (20 ILCS 415/26 new) | ||||||
11 | Sec. 26. Division of Financial Reporting Act. This Code is | ||||||
12 | subject to the provisions of the Division of Financial | ||||||
13 | Reporting Act.
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14 | Section 90. The State Finance Act is amended by adding | ||||||
15 | Sections 5.811 and 6z-93 as follows:
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16 | (30 ILCS 105/5.811 new) | ||||||
17 | Sec. 5.811. The Division of Financial Reporting Revolving | ||||||
18 | Fund.
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19 | (30 ILCS 105/6z-93 new) | ||||||
20 | Sec. 6z-93. Division of Financial Reporting Revolving | ||||||
21 | Fund; creation. There is hereby created in the State treasury a |
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1 | revolving fund as a dedicated fund to receive funds payable to | ||||||
2 | the Division of Financial Reporting for services provided to | ||||||
3 | State agencies. Moneys may be expended from the Fund for the | ||||||
4 | operations of the Division of Financial Reporting.
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5 | Section 99. Effective date. This Act takes effect upon | ||||||
6 | becoming law.
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