Illinois General Assembly - Full Text of HB0353
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Full Text of HB0353  98th General Assembly



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1    AN ACT concerning finance.
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4    Section 1. Short title. This Act may be cited as the Fiscal
5Integrity of Special State Funds Commission Act.
6    Section 5. Findings and purpose. The General Assembly finds
8    (a) The State of Illinois currently has over 700 special
9funds within the State treasury, collecting funds from a wide
10range of sources specified in their respective enabling laws.
11    (b) From Fiscal Years 2004 through 2007, the Illinois State
12Budget was funded in part by administrative chargebacks
13totaling over $700 million. From Fiscal Years 2003 through
142010, legislatively authorized transfers known as fund sweeps
15totaled over $1.2 billion, with an additional $1 billion in
16other fund transfers being made during those same fiscal years.
17In Fiscal Year 2011, consolidated services transfers exceeded
18$179 million, and inter-fund borrowing exceeded $496 million.
19    (c) Currently, four statutes protect specific funds from
20transfers, chargebacks and other forms of fund sweeps. In the
212013 Spring Session of the 98th General Assembly, 2
22constitutional amendment resolutions and 34 bills and
23amendments have been filed that include language protecting



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1certain funds from transfers, chargebacks and other forms of
2fund sweeps.
3    (d) Notwithstanding the impact of Public Act 96-958, which
4requires the repayment of certain fund transfers within 18
5months from the date of transfer, the annual budget of the
6State of Illinois remains dependent in part on various forms of
7transfers and borrowing from special funds in the State
9    Section 10. Fiscal Integrity of Special State Funds
11    (a) There is created the Fiscal Integrity of Special State
12Funds Commission. The Commission shall have 10 voting members
13appointed as follows:
14        One member of the General Assembly, who shall serve as
15    co-chairperson, and one member of the public appointed by
16    the President of the Senate;
17        One member of the General Assembly and one member of
18    the public appointed by the Minority Leader of the Senate;
19        One member of the General Assembly, who shall serve as
20    co-chairperson, and one member of the public appointed by
21    the Speaker of the House of Representatives;
22        One member of the General Assembly and one member of
23    the public appointed by the Minority Leader of the House of
24    Representatives; and
25        2 members appointed by the Governor.



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1        The State Comptroller, or his or her designee, the
2    State Treasurer, or his or her designee, and the Director
3    of the Department of Revenue, or his or her designee, shall
4    serve as non-voting, ex-officio members of the Commission.
5    (b) The co-chairpersons may appoint such other individuals
6as they may deem helpful as non-voting members of the
8    (c) The members of the Commission shall serve without
9compensation, but may be reimbursed for expenses from funds
10appropriated for that purpose.
11    (d) The Department of Revenue shall provide administrative
12support, together with meeting space, to assist the Commission
13in fulfilling its mission. The Governor's Office of Management
14and Budget and the Commission on Government Forecasting and
15Accountability shall provide information and assistance, as
16requested, to the Commission in fulfilling its mission.
17    Section 15. Meetings.
18    (a) The Commission shall conduct monthly meetings,
19conference calls, or both, and shall conduct at least 2 public
20hearings, as the co-chairpersons shall direct, before filing
21its final written findings and recommendations as provided in
22Section 25 of this Act. Additional public hearings may be held
23at the discretion of the co-chairpersons.
24    (b) The public hearings shall be held at geographically
25convenient locations around the State. The locations, dates,



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1and times of the hearings shall be determined by the
2co-chairpersons on a schedule that is publicly announced no
3less than 3 weeks in advance of each hearing. All hearings
4shall be completed at least 2 months prior to the time for
5submission of the final written findings and recommendations as
6provided in Section 25 of this Act.
7    (c) At the public hearings, the Commission shall allow
8interested persons to present their views and comments and to
9present any written literature, statements, articles, or
10comments. Based on attendance and time frames, the Commission
11may set limits on the time each speaker may comment. These
12hearings may be continued if all persons cannot be heard.
13    Section 20. Activities and purpose.
14    (a) The Commission shall conduct a thorough review of the
15use of various forms of transfers and borrowing from special
16funds in the State treasury in constructing the annual budget
17for the State of Illinois.
18    (b) The Commission shall also conduct an analysis of the
19effect of Public Act 96-958 on special fund transfers since it
20took effect on July 1, 2010.
21    (c) The Commission shall also conduct a review of the use
22of various forms of fund transfers by other states in their
23annual budgeting processes.
24    (d) Through a review of budget documents including budget
25implementation legislation, the public hearings required in



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1Section 15 of this Act and otherwise, the Commission shall
2gather information, review studies, evaluate testimony, and
3consider and summarize written comments received, and shall
4make written findings and recommendations as required in
5Section 25 of this Act.
6    Section 25. Report; legislation.
7    (a) The Commission shall make its report to the General
8Assembly on or before December 31, 2014. The report of the
9Commission shall detail those findings and recommendations
10supported by a majority of the voting members.
11    (b) The findings and recommendations shall include, but are
12not limited to:
13        (1) A comparison of the specific purposes (as set forth
14    in statute or rule) for which funds are being collected
15    with the purposes for which funds are being used upon
16    transfer out of their respective special funds in the State
17    treasury.
18        (2) A determination of whether certain special funds
19    should be consolidated, and the findings and criteria upon
20    which such recommendations were made.
21        (3) A determination of whether adjustments should be
22    made to the collection of moneys through special funds,
23    identifying the specific funds and the findings and
24    criteria upon which such recommendations were made.
25        (4) Identification of replacement sources of revenue



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1    to balance any loss of revenue that would result from the
2    Commission's other recommendations.
3        (5) A determination of whether a consolidated budget
4    including some or all of the special funds should be
5    prepared and publicly available on an annual basis.
6    (c) In addition to the report, the Commission shall provide
7to the General Assembly its recommendations in the form of
8legislation. The Legislative Reference Bureau shall provide
9drafting assistance to the Commission.
10    Section 30. Repealer. This Act is repealed on December 31,
12    Section 99. Effective date. This Act takes effect upon
13becoming law.