093_SB0102sam001 SDS093 00004 LMT 00004 a 1 AMENDMENT TO SENATE BILL 102 2 AMENDMENT NO. . Amend Senate Bill 102 by replacing 3 everything after the enacting clause with the following: 4 "Section 5. The State Finance Act is amended by changing 5 Section 6z-43 as follows: 6 (30 ILCS 105/6z-43) 7 Sec. 6z-43. Tobacco Settlement Recovery Fund. 8 (a) There is created in the State Treasury a special 9 fund to be known as the Tobacco Settlement Recovery Fund, 10 into which shall be deposited all monies paid to the State 11 pursuant to (1) the Master Settlement Agreement entered in 12 the case of People of the State of Illinois v. Philip Morris, 13 et al. (Circuit Court of Cook County, No. 96-L13146) and (2) 14 any settlement with or judgment against any tobacco product 15 manufacturer other than one participating in the Master 16 Settlement Agreement in satisfaction of any released claim as 17 defined in the Master Settlement Agreement, as well as any 18 other monies as provided by law. All earnings on Fund 19 investments shall be deposited into the Fund. Upon the 20 creation of the Fund, the State Comptroller shall order the 21 State Treasurer to transfer into the Fund any monies paid to 22 the State as described in item (1) or (2) of this Section -2- SDS093 00004 LMT 00004 a 1 before the creation of the Fund plus any interest earned on 2 the investment of those monies. The Treasurer may invest the 3 moneys in the Fund in the same manner, in the same types of 4 investments, and subject to the same limitations provided in 5 the Illinois Pension Code for the investment of pension funds 6 other than those established under Article 3 or 4 of the 7 Code. 8 (b) As soon as may be practical after June 30, 2001, 9 upon notification from and at the direction of the Governor, 10 the State Comptroller shall direct and the State Treasurer 11 shall transfer the unencumbered balance in the Tobacco 12 Settlement Recovery Fund as of June 30, 2001, as determined 13 by the Governor, into the Budget Stabilization Fund. The 14 Treasurer may invest the moneys in the Budget Stabilization 15 Fund in the same manner, in the same types of investments, 16 and subject to the same limitations provided in the Illinois 17 Pension Code for the investment of pension funds other than 18 those established under Article 3 or 4 of the Code. 19 (c) In addition to any other deposits authorized by law, 20 after any delivery of any bonds as authorized by Section 7.5 21 of the General Obligation Bond Act for deposits to the 22 General Revenue Fund and the Budget Stabilization Fund 23 (referred to as "tobacco securitization general obligation 24 bonds"), the Governor shall certify, on or before June 30, 25 2003 and June 30 of each year thereafter, to the State 26 Comptroller and State Treasurer the total amount of principal 27 of, interest on, and premium, if any, due on those bonds in 28 the next fiscal year beginning with amounts due in fiscal 29 year 2004. As soon as practical after the annual payment of 30 tobacco settlement moneys to the Tobacco Settlement Recovery 31 Fund as described in item (1) of subsection (a), the State 32 Treasurer and State Comptroller shall transfer from the 33 Tobacco Settlement Recovery Fund to the General Obligation 34 Bond Retirement and Interest Fund the amount certified by the -3- SDS093 00004 LMT 00004 a 1 Governor, plus any cumulative deficiency in those transfers 2 for prior years. 3 (d)(c)All federal financial participation moneys 4 received pursuant to expenditures from the Fund shall be 5 deposited into the Fund. 6 (e) In any civil litigation under any legal theory in 7 which a judgment is entered against a signatory or a 8 successor to a signatory of the Master Settlement Agreement, 9 as defined in Section 10 of the Tobacco Product 10 Manufacturers' Escrow Act, the appeal bond that the signatory 11 or successor or any other defendant may be required to post 12 to stay execution on the judgment during the time that an 13 appeal or discretionary review of the judgment is pending 14 shall be set in accordance with the law and the rules of the 15 court, unless a signatory or successor or any other defendant 16 demonstrates to the court by a preponderance of the evidence 17 undue financial hardship, in which case the total amount of 18 the appeal bond may be limited to $100,000,000, regardless of 19 the total amount of the judgment. 20 (f) If it is proved by a preponderance of the evidence 21 that an appellant for whom an appeal bond has been limited 22 under subsection (e) is intentionally dissipating or 23 diverting assets outside the ordinary course of its business 24 for the purpose of avoiding payment of the judgment, the 25 court shall enter any orders that are necessary to prevent 26 the dissipation or diversion of assets. 27 (g) The changes made by this amendatory Act of the 93rd 28 General Assembly apply to any action pending on or after the 29 effective date of this amendatory Act of the 93rd General 30 Assembly. 31 (Source: P.A. 91-646, eff. 11-19-99; 91-704, eff. 7-1-00; 32 91-797, eff. 6-9-00; 92-11, eff. 6-11-01; 92-16, eff. 33 6-28-01; 92-596, eff. 6-28-02; 92-597, eff. 6-28-02; revised 34 9-3-02.) -4- SDS093 00004 LMT 00004 a 1 Section 99. Effective date. This Act takes effect upon 2 becoming law.".