Full Text of HB5685 98th General Assembly
HB5685eng 98TH GENERAL ASSEMBLY |
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| 1 | | AN ACT concerning regulation.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Section 5. The State Finance Act is amended by changing | 5 | | Sections 5.214, 5.805, and 8.12 as follows:
| 6 | | (30 ILCS 105/5.214) (from Ch. 127, par. 141.214)
| 7 | | Sec. 5.214. The Savings and Residential Finance Regulatory | 8 | | Fund. | 9 | | (Source: P.A. 85-1209; 86-1213.)
| 10 | | (30 ILCS 105/5.805)
| 11 | | Sec. 5.805. The Savings Bank Institutions Regulatory Fund. | 12 | | (Source: P.A. 97-492, eff. 1-1-12; 97-813, eff. 7-13-12.)
| 13 | | (30 ILCS 105/8.12)
(from Ch. 127, par. 144.12)
| 14 | | Sec. 8.12. State Pensions Fund.
| 15 | | (a) The moneys in the State Pensions Fund shall be used | 16 | | exclusively
for the administration of the Uniform Disposition | 17 | | of Unclaimed Property Act and
for the expenses incurred by the | 18 | | Auditor General for administering the provisions of Section | 19 | | 2-8.1 of the Illinois State Auditing Act and for the funding of | 20 | | the unfunded liabilities of the designated retirement systems. | 21 | | Beginning in State fiscal year 2015, payments to the designated |
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| 1 | | retirement systems under this Section shall be in addition to, | 2 | | and not in lieu of, any State contributions required under the | 3 | | Illinois Pension Code.
| 4 | | "Designated retirement systems" means:
| 5 | | (1) the State Employees' Retirement System of | 6 | | Illinois;
| 7 | | (2) the Teachers' Retirement System of the State of | 8 | | Illinois;
| 9 | | (3) the State Universities Retirement System;
| 10 | | (4) the Judges Retirement System of Illinois; and
| 11 | | (5) the General Assembly Retirement System.
| 12 | | (b) Each year the General Assembly may make appropriations | 13 | | from
the State Pensions Fund for the administration of the | 14 | | Uniform Disposition of
Unclaimed Property Act.
| 15 | | Each month, the Commissioner of the Office of Banks and | 16 | | Real Estate shall
certify to the State Treasurer the actual | 17 | | expenditures that the Office of
Banks and Real Estate incurred | 18 | | conducting unclaimed property examinations under
the Uniform | 19 | | Disposition of Unclaimed Property Act during the immediately
| 20 | | preceding month. Within a reasonable
time following the | 21 | | acceptance of such certification by the State Treasurer, the
| 22 | | State Treasurer shall pay from its appropriation from the State | 23 | | Pensions Fund
to the Bank and Trust Company Fund , the Savings | 24 | | Bank Regulatory Fund, and the Savings and Residential Finance
| 25 | | Regulatory Fund an amount equal to the expenditures incurred by | 26 | | each Fund for
that month.
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| 1 | | Each month, the Director of Financial Institutions shall
| 2 | | certify to the State Treasurer the actual expenditures that the | 3 | | Department of
Financial Institutions incurred conducting | 4 | | unclaimed property examinations
under the Uniform Disposition | 5 | | of Unclaimed Property Act during the immediately
preceding | 6 | | month. Within a reasonable time following the acceptance of | 7 | | such
certification by the State Treasurer, the State Treasurer | 8 | | shall pay from its
appropriation from the State Pensions Fund
| 9 | | to the Financial Institution Fund and the Credit Union Fund
an | 10 | | amount equal to the expenditures incurred by each Fund for
that | 11 | | month.
| 12 | | (c) As soon as possible after the effective date of this | 13 | | amendatory Act of the 93rd General Assembly, the General | 14 | | Assembly shall appropriate from the State Pensions Fund (1) to | 15 | | the State Universities Retirement System the amount certified | 16 | | under Section 15-165 during the prior year, (2) to the Judges | 17 | | Retirement System of Illinois the amount certified under | 18 | | Section 18-140 during the prior year, and (3) to the General | 19 | | Assembly Retirement System the amount certified under Section | 20 | | 2-134 during the prior year as part of the required
State | 21 | | contributions to each of those designated retirement systems; | 22 | | except that amounts appropriated under this subsection (c) in | 23 | | State fiscal year 2005 shall not reduce the amount in the State | 24 | | Pensions Fund below $5,000,000. If the amount in the State | 25 | | Pensions Fund does not exceed the sum of the amounts certified | 26 | | in Sections 15-165, 18-140, and 2-134 by at least $5,000,000, |
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| 1 | | the amount paid to each designated retirement system under this | 2 | | subsection shall be reduced in proportion to the amount | 3 | | certified by each of those designated retirement systems.
| 4 | | (c-5) For fiscal years 2006 through 2014, the General | 5 | | Assembly shall appropriate from the State Pensions Fund to the | 6 | | State Universities Retirement System the amount estimated to be | 7 | | available during the fiscal year in the State Pensions Fund; | 8 | | provided, however, that the amounts appropriated under this | 9 | | subsection (c-5) shall not reduce the amount in the State | 10 | | Pensions Fund below $5,000,000.
| 11 | | (c-6) For fiscal year 2015 and each fiscal year thereafter, | 12 | | as soon as may be practical after any money is deposited into | 13 | | the State Pensions Fund from the Unclaimed Property Trust Fund, | 14 | | the State Treasurer shall apportion the deposited amount among | 15 | | the designated retirement systems as defined in subsection (a) | 16 | | to reduce their actuarial reserve deficiencies. The State | 17 | | Comptroller and State Treasurer shall pay the apportioned | 18 | | amounts to the designated retirement systems to fund the | 19 | | unfunded liabilities of the designated retirement systems. The | 20 | | amount apportioned to each designated retirement system shall | 21 | | constitute a portion of the amount estimated to be available | 22 | | for appropriation from the State Pensions Fund that is the same | 23 | | as that retirement system's portion of the total actual reserve | 24 | | deficiency of the systems, as determined annually by the | 25 | | Governor's Office of Management and Budget at the request of | 26 | | the State Treasurer. The amounts apportioned under this |
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| 1 | | subsection shall not reduce the amount in the State Pensions | 2 | | Fund below $5,000,000. | 3 | | (d) The
Governor's Office of Management and Budget shall | 4 | | determine the individual and total
reserve deficiencies of the | 5 | | designated retirement systems. For this purpose,
the
| 6 | | Governor's Office of Management and Budget shall utilize the | 7 | | latest available audit and actuarial
reports of each of the | 8 | | retirement systems and the relevant reports and
statistics of | 9 | | the Public Employee Pension Fund Division of the Department of
| 10 | | Insurance.
| 11 | | (d-1) As soon as practicable after the effective date of | 12 | | this
amendatory Act of the 93rd General Assembly, the | 13 | | Comptroller shall
direct and the Treasurer shall transfer from | 14 | | the State Pensions Fund to
the General Revenue Fund, as funds | 15 | | become available, a sum equal to the
amounts that would have | 16 | | been paid
from the State Pensions Fund to the Teachers' | 17 | | Retirement System of the State
of Illinois,
the State | 18 | | Universities Retirement System, the Judges Retirement
System | 19 | | of Illinois, the
General Assembly Retirement System, and the | 20 | | State Employees'
Retirement System
of Illinois
after the | 21 | | effective date of this
amendatory Act during the remainder of | 22 | | fiscal year 2004 to the
designated retirement systems from the | 23 | | appropriations provided for in
this Section if the transfers | 24 | | provided in Section 6z-61 had not
occurred. The transfers | 25 | | described in this subsection (d-1) are to
partially repay the | 26 | | General Revenue Fund for the costs associated with
the bonds |
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| 1 | | used to fund the moneys transferred to the designated
| 2 | | retirement systems under Section 6z-61.
| 3 | | (e) The changes to this Section made by this amendatory Act | 4 | | of 1994 shall
first apply to distributions from the Fund for | 5 | | State fiscal year 1996.
| 6 | | (Source: P.A. 97-72, eff. 7-1-11; 97-732, eff. 6-30-12; 98-24, | 7 | | eff. 6-19-13; 98-463, eff. 8-16-13.)
| 8 | | Section 10. The Illinois Banking Act is amended by changing | 9 | | Section 71 as follows:
| 10 | | (205 ILCS 5/71) (from Ch. 17, par. 383)
| 11 | | Sec. 71. Voluntary dissolution; fees and expenses | 12 | | Commissioner's fee . | 13 | | (a) Any bank that elects to dissolve voluntarily under this | 14 | | Act shall pay to the Secretary a fee, which shall be paid upon | 15 | | the Secretary's receipt of the bank's statement of intent. The | 16 | | Secretary shall prescribe by rule the amount of such fee. | 17 | | (b) All expenses incurred by the Secretary in connection | 18 | | with the voluntary dissolution of any bank shall be paid by the | 19 | | dissolving State bank. The expenses incurred under this | 20 | | subsection shall be deemed to be a liability of the dissolving | 21 | | bank. | 22 | | The Commissioner shall be entitled to a fee, which shall be | 23 | | paid at the
time of deposit, on all money deposited with him | 24 | | for the account of one
dissolving bank of two per cent of the |
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| 1 | | first five thousand dollars and one
per cent of all sums in | 2 | | excess of five thousand dollars.
| 3 | | (Source: Laws 1965, p. 2020.)
| 4 | | (205 ILCS 105/Act rep.)
| 5 | | Section 15. The Illinois Savings and Loan Act of 1985 is | 6 | | repealed. | 7 | | Section 20. The Savings Bank Act is amended by changing | 8 | | Sections 1007.130, 4008, 9002, and 9002.5 and by adding | 9 | | Sections 1007.150 and 9002.1 and Articles 12.1 and 12.2 as | 10 | | follows: | 11 | | (205 ILCS 205/1007.130)
| 12 | | Sec. 1007.130. Out-of-state savings bank. "Out-of-state | 13 | | savings bank" means a savings bank or an association chartered | 14 | | under the laws of a state other than Illinois, a territory of | 15 | | the United States, or the District of Columbia.
| 16 | | (Source: P.A. 93-965, eff. 8-20-04.) | 17 | | (205 ILCS 205/1007.150 new) | 18 | | Sec. 1007.150. Applicability of other Acts. Whenever the | 19 | | term "savings and loan", "building and loan", "mutual building | 20 | | loan and homestead", or "building loan and homestead" or other | 21 | | similar name is used with reference to an association organized | 22 | | for the purposes of associations incorporated under the |
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| 1 | | Illinois Savings and Loan Act of 1985 or a similar Act, such | 2 | | reference shall be applicable to a savings bank operating under | 3 | | this Act. Whenever in any Act the term "members", | 4 | | "shareholders", or "investors" is used in connection with such | 5 | | associations, however named, the same shall refer to members | 6 | | and holders of capital of savings banks operating under this | 7 | | Act.
| 8 | | (205 ILCS 205/4008) (from Ch. 17, par. 7304-8)
| 9 | | Sec. 4008. Directors. The business and affairs of the | 10 | | savings bank shall
be exercised by its elected board of | 11 | | directors. The board of directors
shall consist of the number | 12 | | of directors fixed by the bylaws, but shall not
be fewer than | 13 | | 5. No more than 40% of the directors shall be salaried
| 14 | | employees of the savings bank, except that a higher percentage | 15 | | may be allowed
with the prior written approval of the | 16 | | Commissioner. At least two-thirds of
the directors shall
be | 17 | | residents of this State.
| 18 | | (Source: P.A. 90-301, eff. 8-1-97.)
| 19 | | (205 ILCS 205/9002) (from Ch. 17, par. 7309-2)
| 20 | | Sec. 9002. Powers of Secretary. The Secretary shall have | 21 | | the following
powers and duties:
| 22 | | (1) To exercise the rights, powers, and duties set | 23 | | forth in
this Act or in any related Act.
| 24 | | (2) To establish regulations as may be reasonable or
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| 1 | | necessary to accomplish the purposes of this Act.
| 2 | | (3) To make an annual report regarding the work of his
| 3 | | office under this Act as he may consider desirable to the
| 4 | | Governor, or as the Governor may request.
| 5 | | (4) To cause a suit to be filed in his name to enforce
| 6 | | any law of this State that applies to savings banks, their | 7 | | service
corporations, subsidiaries, affiliates, or holding | 8 | | companies
operating under this Act, including the | 9 | | enforcement of any
obligation of the officers, directors, | 10 | | agents, or employees of any
savings bank.
| 11 | | (5) To prescribe a uniform manner in which the books | 12 | | and
records of every savings bank are to be maintained.
| 13 | | (6) To establish a reasonable fee
structure for savings | 14 | | banks and holding companies operating under
this Act and | 15 | | for their service corporations and subsidiaries.
The fees | 16 | | shall include, but not be limited to, annual fees,
| 17 | | application fees, regular and special examination fees, | 18 | | and other
fees as the Secretary establishes and | 19 | | demonstrates to be
directly resultant from the Secretary's | 20 | | responsibilities under
this Act and as are directly | 21 | | attributable to individual entities
operating under this | 22 | | Act. The aggregate of all moneys collected by
the Secretary | 23 | | on and after the effective date of this Act shall
be paid | 24 | | promptly after receipt of the same, accompanied by a
| 25 | | detailed statement thereof, into the Savings Bank | 26 | | Regulatory Fund established under Section 9002.1 of this |
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| 1 | | Act. Savings and Residential Finance Regulatory
Fund | 2 | | subject to the provisions of Section 7-19.1 of the Illinois | 3 | | Savings and Loan Act of 1985 including without limitation | 4 | | the provision for credits against regulatory fees. The | 5 | | amounts deposited into the Fund shall be used for the | 6 | | ordinary and
contingent expenses of the Office of Banks and | 7 | | Real Estate. Notwithstanding any other provision of this | 8 | | paragraph (6), the aggregate of all moneys collected by the | 9 | | Secretary under this Act shall be paid promptly after | 10 | | receipt of same, accompanied by a detailed statement | 11 | | thereof, into the Savings Institutions Regulatory Fund | 12 | | upon the creation of that fund under Section 7-19.2 of the | 13 | | Illinois Savings and Loan Act of 1985, subject to the | 14 | | provisions of Section 7-19.2 of the Illinois Savings and | 15 | | Loan Act of 1985, including without limitation the | 16 | | provision for credits against regulatory fees. The amounts | 17 | | deposited into the Savings Institutions Regulatory Fund | 18 | | under this paragraph (6) shall be used for the ordinary and | 19 | | contingent expenses of administering and enforcing this | 20 | | Act. Nothing
in this Act shall prevent continuing the | 21 | | practice of paying expenses involving
salaries, | 22 | | retirement, social security, and State-paid insurance of | 23 | | State
officers by appropriation from the General Revenue | 24 | | Fund. The Secretary may require payment of the fees under | 25 | | this Act by an electronic transfer of funds or an automatic | 26 | | debit of an account of each of the savings banks.
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| 1 | | (Source: P.A. 96-1365, eff. 7-28-10; 97-492, eff. 1-1-12.)
| 2 | | (205 ILCS 205/9002.1 new) | 3 | | Sec. 9002.1. Savings Bank Regulatory Fund. | 4 | | (a) The aggregate of all moneys collected by the Secretary | 5 | | under this Act shall be paid promptly after receipt of the | 6 | | same, accompanied by a detailed statement thereof, into the | 7 | | State treasury and shall be set apart in the Savings Bank | 8 | | Regulatory Fund. All earnings received from investments of | 9 | | funds in the Savings Bank Regulatory Fund shall be deposited | 10 | | into the Savings Bank Regulatory Fund and may be used for the | 11 | | same purposes as fees deposited into the Savings Bank | 12 | | Regulatory Fund. The amount from time to time deposited into | 13 | | the Fund shall be used (i) to offset the ordinary | 14 | | administration expenses as defined in subsection (c) of this | 15 | | Section or (ii) as a credit against fees under subsection (b) | 16 | | of this Section. Nothing in this Section shall prevent | 17 | | continuing the practice of paying expenses involving salaries, | 18 | | retirement, Social Security, and State paid insurance premiums | 19 | | of State officers by appropriation from the General Revenue | 20 | | Fund. However, the General Revenue Fund shall be reimbursed for | 21 | | those payments made by an annual transfer of funds from the | 22 | | Savings Bank Regulatory Fund. Money in the Savings Bank | 23 | | Regulatory Fund may be transferred to the Professions Indirect | 24 | | Cost Fund as authorized under Section 2105-300 of the | 25 | | Department of Professional Regulation Law of the Civil |
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| 1 | | Administrative Code of Illinois. | 2 | | (b) Adequate funds shall be available in the Savings Bank | 3 | | Regulatory Fund to permit the timely payment of administration | 4 | | expenses. In each fiscal year, the total administration | 5 | | expenses shall be deducted from the total fees collected by the | 6 | | Secretary and the remainder transferred into the Cash Flow | 7 | | Reserve Account, unless the balance of the Cash Flow Reserve | 8 | | Account prior to the transfer equals or exceeds one-fourth of | 9 | | the total initial appropriations from the Savings Bank | 10 | | Regulatory Fund for the subsequent year, in which case the | 11 | | remainder shall be credited to savings banks and applied | 12 | | against their fees for the subsequent year. The amount credited | 13 | | to each savings bank shall be in the same proportion as the | 14 | | regulatory fees paid by each for the year bear to the total | 15 | | regulatory fees collected for the year. If, after a transfer to | 16 | | the Cash Flow Reserve Account is made or if no remainder is | 17 | | available for transfer, the balance of the Cash Flow Reserve | 18 | | Account is less than one-fourth of the total initial | 19 | | appropriations for the subsequent year and the amount | 20 | | transferred is less than 5% of the total regulatory fees for | 21 | | the year, additional amounts needed to make the transfer equal | 22 | | to 5% of the total regulatory fees for the year shall be | 23 | | apportioned amongst, assessed upon, and paid by savings banks | 24 | | in the same proportion that the regulatory fees of each, | 25 | | respectively, for the year bear to the total regulatory fees | 26 | | collected for the year. The additional amounts assessed shall |
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| 1 | | be transferred into the Cash Flow Reserve Account. | 2 | | (c) For purposes of this Section, the following terms shall | 3 | | have the following meanings: | 4 | | "Administration expenses", for any fiscal year, means the | 5 | | ordinary and contingent expenses for that year incident to | 6 | | making the examinations provided for by, and for otherwise | 7 | | administering, this Act, including all salaries and other | 8 | | compensation paid for personal services rendered for the State | 9 | | by officers or employees of the State, including the Secretary | 10 | | and the Director of the Division, communication equipment and | 11 | | services, office furnishings, surety bond premiums, and travel | 12 | | expenses of those officers and employees, expenditures or | 13 | | charges for the acquisition, enlargement or improvement of, or | 14 | | for the use of, any office space, building, or structure, or | 15 | | expenditures for the maintenance thereof or for furnishing | 16 | | heat, light, or power with respect thereto, all to the extent | 17 | | that those expenditures are directly incidental to such | 18 | | examinations or administration. The Secretary shall not be | 19 | | required by this subsection to maintain in any fiscal year's | 20 | | budget appropriated reserves for accrued vacation and accrued | 21 | | sick leave that is required to be paid to employees of the | 22 | | Secretary upon termination of their service with the Secretary | 23 | | in an amount that is more than is reasonably anticipated to be | 24 | | necessary for any anticipated turnover in employees, whether | 25 | | due to normal attrition or due to layoffs, terminations, or | 26 | | resignations. |
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| 1 | | "Regulatory fees" includes both fees collected under | 2 | | Section 9002.5 and fees collected for examinations conducted by | 3 | | the Secretary or his examiners or designees under authority of | 4 | | this Act. | 5 | | "Fiscal year" means a period beginning July 1 of any year | 6 | | and ending June 30 of the next year. | 7 | | (205 ILCS 205/9002.5)
| 8 | | Sec. 9002.5. Regulatory fees. | 9 | | (a) For the fiscal year beginning July 1, 2007 and every | 10 | | year thereafter, each savings bank and each service corporation | 11 | | operating under this Act shall pay a fixed fee of $520, plus a | 12 | | variable fee based on the total assets of the savings bank or | 13 | | service corporation at the following rates: | 14 | | 24.97˘ per $1,000 of the first $2,000,000 of total | 15 | | assets; | 16 | | 22.70˘ per $1,000 of the next $3,000,000 of total | 17 | | assets; | 18 | | 20.43˘ per $1,000 of the next $5,000,000 of total | 19 | | assets; | 20 | | 17.025˘ per $1,000 of the next $15,000,000 of total | 21 | | assets; | 22 | | 14.755˘ per $1,000 of the next $25,000,000 of total | 23 | | assets; | 24 | | 12.485˘ per $1,000 of the next $50,000,000 of total | 25 | | assets; |
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| 1 | | 10.215˘ per $1,000 of the next $400,000,000 of total | 2 | | assets; | 3 | | 6.81˘ per $1,000 of the next $500,000,000 of total | 4 | | assets; and | 5 | | 4.54˘ per $1,000 of all total assets in excess of | 6 | | $1,000,000,000 of such savings bank or service | 7 | | corporation. | 8 | | (b) The Secretary shall receive and there shall be paid to | 9 | | the Secretary an additional fee as an adjustment to the | 10 | | supervisory fee, based upon the difference between the total | 11 | | assets of each savings bank and each service corporation as | 12 | | shown by its financial report filed with the Secretary for the | 13 | | reporting period of the calendar year ended December 31 on | 14 | | which the supervisory fee was based and the total assets of | 15 | | each savings bank and each service corporation as shown by its | 16 | | financial report filed with the Secretary for the reporting | 17 | | period of the calendar year ended December 31 in which the | 18 | | quarterly payments are made according to the following | 19 | | schedule: | 20 | | 24.97˘ per $1,000 of the first $2,000,000 of total | 21 | | assets; | 22 | | 22.70˘ per $1,000 of the next $3,000,000 of total | 23 | | assets; | 24 | | 20.43˘ per $1,000 of the next $5,000,000 of total | 25 | | assets; | 26 | | 17.025˘ per $1,000 of the next $15,000,000 of total |
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| 1 | | assets; | 2 | | 14.755˘ per $1,000 of the next $25,000,000 of total | 3 | | assets; | 4 | | 12.485˘ per $1,000 of the next $50,000,000 of total | 5 | | assets; | 6 | | 10.215˘ per $1,000 of the next $400,000,000 of total | 7 | | assets; | 8 | | 6.81˘ per $1,000 of the next $500,000,000 of total | 9 | | assets; and | 10 | | 4.54˘ per $1,000 of all total assets in excess of | 11 | | $1,000,000,000 of such savings bank or service | 12 | | corporation. | 13 | | (c) The Secretary shall receive and there shall be paid to | 14 | | the Secretary by each savings bank and each service corporation | 15 | | a fee of $520 for each approved branch office or facility | 16 | | office established under the Illinois Administrative Code. The | 17 | | determination of the fees shall be made annually as of the | 18 | | close of business of the prior calendar year ended December 31.
| 19 | | (d) The Secretary shall receive for each fiscal year, | 20 | | commencing with the fiscal year ending June 30, 2014, a | 21 | | contingent fee equal to the lesser of the aggregate of the fees | 22 | | paid by all savings banks under subsections (a), (b), and (c) | 23 | | of this Section for that year, or the amount, if any, whereby | 24 | | the aggregate of the administration expenses, as defined in | 25 | | subsection (c) of Section 9002.1 of this Act, for that fiscal | 26 | | year exceeds the sum of the aggregate of the fees payable by |
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| 1 | | all savings banks for that year under subsections (a), (b), and | 2 | | (c) of this Section, plus any amounts transferred into the | 3 | | Savings Bank Regulatory Fund from the State Pensions Fund for | 4 | | that year, plus all other amounts collected by the Secretary | 5 | | for that year under any other provision of this Act. The | 6 | | aggregate amount of the contingent fee thus arrived at for any | 7 | | fiscal year shall be apportioned amongst, assessed upon, and | 8 | | paid by the savings banks, respectively, in the same proportion | 9 | | that the fee of each under subsections (a), (b), and (c) of | 10 | | this Section, respectively, for that year bears to the | 11 | | aggregate for that year of the fees collected under subsections | 12 | | (a), (b), and (c) of this Section. The aggregate amount of the | 13 | | contingent fee, and the portion thereof to be assessed upon | 14 | | each savings bank, respectively, shall be determined by the | 15 | | Secretary and shall be paid by each, respectively, within 120 | 16 | | days of the close of the period for which the contingent fee is | 17 | | computed and is payable, and the Secretary shall give 20 days | 18 | | advance notice of the amount of the contingent fee payable by | 19 | | the savings bank and of the date fixed by the Secretary for | 20 | | payment of the fee. | 21 | | (Source: P.A. 95-1047, eff. 4-6-09.) | 22 | | (205 ILCS 205/Art. 12.1 heading new) | 23 | | ARTICLE 12.1. Effect of Repeal of Illinois | 24 | | Savings and Loan Act of 1985 |
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| 1 | | (205 ILCS 205/12101 new) | 2 | | Sec. 12101. Effect of repeal. This Article sets forth the | 3 | | effect of and means of transition necessitated by the repeal of | 4 | | the Illinois Savings and Loan Act of 1985. | 5 | | (205 ILCS 205/12102 new) | 6 | | Sec. 12102. Effect on special funds. | 7 | | (a) The Savings and Residential Finance Regulatory Fund | 8 | | established under Section 7-19.1 of the Illinois Savings and | 9 | | Loan Act of 1985 is hereby redesignated the Residential Finance | 10 | | Regulatory Fund. The fund shall continue in existence under the | 11 | | Illinois Residential Mortgage License Act of 1987 without | 12 | | interruption and shall retain all moneys therein, except moneys | 13 | | required to be transferred or returned from Savings and | 14 | | Residential Finance Regulatory Fund, now designated the | 15 | | Residential Finance Regulatory Fund, to the Savings | 16 | | Institutions Regulatory Fund, now designated the Savings Bank | 17 | | Regulatory Fund, pursuant to subsection (e) of Section 7-19.2 | 18 | | of the Illinois Savings and Loan Act of 1985, shall continue to | 19 | | be required to be transferred or returned to the Savings | 20 | | Institutions Regulatory Fund, now designated the Savings Bank | 21 | | Regulatory Fund, as if subsection (e) of Section 7-19.2 of the | 22 | | Illinois Savings and Loan Act of 1985 had not been repealed. | 23 | | (b) The Savings Institutions Regulatory Fund established | 24 | | under Section 7-19.2 of the Illinois Savings and Loan Act of | 25 | | 1985 is hereby redesignated the Savings Bank Regulatory Fund. |
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| 1 | | The fund shall continue in existence under Section 9002.1 of | 2 | | this Act without interruption and shall retain all moneys | 3 | | therein. | 4 | | (205 ILCS 205/12103 new) | 5 | | Sec. 12103. Effect on foreign associations. | 6 | | (a) Any existing foreign association shall be deemed to be | 7 | | an out-of-state savings bank under this Act. | 8 | | (b) Notwithstanding any other provision of this Act, an | 9 | | existing foreign association may retain any branch or office in | 10 | | the State that properly existed in the State at the time of the | 11 | | repeal of the Illinois Savings and Loan Act of 1985, and | 12 | | continue to engage in the same activities in the State | 13 | | therefrom as were engaged in immediately prior to the repeal of | 14 | | the Illinois Savings and Loan Act, without further application | 15 | | or notice to or approval of the Secretary. | 16 | | (c) An existing foreign association may retain a | 17 | | representative office in the State that properly existed in the | 18 | | State at the time of the repeal of the Illinois Savings and | 19 | | Loan Act of 1985, provided that the foreign association obtains | 20 | | a license under the Foreign Bank Representative Office Act. | 21 | | (205 ILCS 205/12104 new) | 22 | | Sec. 12104. Effect on the Board of Savings Institutions. | 23 | | The Board of Savings Institutions is hereby redesignated as the | 24 | | Board of Savings Banks. The Board shall continue to operate |
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| 1 | | without interruption and as if it had been originally | 2 | | established under Article 12.2 of this Act. The current members | 3 | | of the Board of Savings Institutions shall continue to serve | 4 | | the balance of their terms. Thereafter, the Board of Savings | 5 | | Institutions shall be composed of members as required by | 6 | | Section 12202 of this Act. | 7 | | (205 ILCS 205/12105 new) | 8 | | Sec. 12105. Applicability of other Acts. Whenever in any | 9 | | Act the term "savings and loan", "building and loan", "mutual | 10 | | building loan and homestead", or "building loan and homestead" | 11 | | or other similar name is used with reference to an association | 12 | | organized for the purposes of associations incorporated under | 13 | | the Illinois Savings and Loan Act of 1985 or a similar Act, | 14 | | such reference shall be applicable to a savings bank operating | 15 | | under this Act. Whenever in any Act the term "members", | 16 | | "shareholders", or "investors" is used in connection with such | 17 | | associations, however named, the same shall refer to members | 18 | | and holders of capital of savings banks operating under this | 19 | | Act. | 20 | | (205 ILCS 205/Art. 12.2 heading new) | 21 | | ARTICLE 12.2. Board of Savings Banks | 22 | | (205 ILCS 205/12201 new) | 23 | | Sec. 12201. Board of Savings Banks; appointment. The Board |
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| 1 | | of Savings Bank is established pursuant to Section 12104 of | 2 | | this Act. The Board of Savings Banks shall be composed of the | 3 | | Director of Banking, who shall be its chairperson and have the | 4 | | power to vote, and 7 persons appointed by the Governor. Two of | 5 | | the 7 persons appointed by the Governor shall represent the | 6 | | public interest and the remainder shall have been engaged | 7 | | actively in savings bank or savings and loan management in this | 8 | | State for at least 5 years immediately prior to appointment. | 9 | | Each member of the Board appointed by the Governor shall be | 10 | | reimbursed for ordinary and necessary expenses incurred in | 11 | | attending the meetings of the Board. Members, excluding the | 12 | | chairperson, shall be appointed for 4-year terms to expire on | 13 | | the third Monday in January. Except as otherwise provided in | 14 | | this Section, members of the Board shall serve until their | 15 | | respective successors are appointed and qualified. A member who | 16 | | tenders a written resignation shall serve only until the | 17 | | resignation is accepted by the chairperson. A member who fails | 18 | | to attend 3 consecutive Board meetings without an excused | 19 | | absence shall no longer serve as a member. The Governor shall | 20 | | fill any vacancy by the appointment of a member for the | 21 | | unexpired term in the same manner as in the making of original | 22 | | appointments. | 23 | | (205 ILCS 205/12202 new) | 24 | | Sec. 12202. Board of Savings Banks; organization and | 25 | | meetings. The Board shall elect a vice chairperson and |
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| 1 | | secretary of the Board; shall adopt by-laws for the holding and | 2 | | conducting of meetings and appointing officers and committees; | 3 | | and shall keep a record of all meetings and transactions and | 4 | | make such other provisions for the daily conduct of its | 5 | | business as it deems necessary. A majority of the members of | 6 | | the Board, excluding those members who are no longer serving as | 7 | | members as provided in Section 12201 of this Act, shall | 8 | | constitute a quorum. The act of the majority of the members of | 9 | | the Board present at a meeting at which a quorum is present | 10 | | shall be the act of the Board. Regular meetings shall be held | 11 | | as provided in the by-laws, and special meetings may be called | 12 | | by the chairperson or upon the request of any 3 members of the | 13 | | Board or the Secretary. The Board shall maintain at the office | 14 | | of the Secretary permanent records of its meetings, hearings, | 15 | | and decisions. The Secretary shall provide adequate quarters | 16 | | and personnel for use by the Board. | 17 | | (205 ILCS 205/12203 new) | 18 | | Sec. 12203. Board of Savings Banks; powers. The Board shall | 19 | | have the power to: | 20 | | (a) advise the Governor and Secretary on all matters | 21 | | relating to the regulation of savings banks; and | 22 | | (b) advise the Governor on legislation proposed to amend | 23 | | this Act or any related Act.
| 24 | | (205 ILCS 205/1007.70 rep.) |
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| 1 | | (205 ILCS 205/9017 rep.) | 2 | | Section 25. The Savings Bank Act is amended by repealing | 3 | | Sections 1007.70 and 9017. | 4 | | Section 30. The Residential Mortgage License Act of 1987 is | 5 | | amended by changing Section 4-1 and by adding Section 4-1.5 as | 6 | | follows:
| 7 | | (205 ILCS 635/4-1) (from Ch. 17, par. 2324-1)
| 8 | | Sec. 4-1. Commissioner of Banks and Real Estate; functions, | 9 | | powers, and duties. The functions,
powers, and duties of the | 10 | | Commissioner of Banks and Real Estate shall include the | 11 | | following:
| 12 | | (a) to issue or refuse to issue any license as provided | 13 | | by this Act;
| 14 | | (b) to revoke or suspend for cause any license issued | 15 | | under this Act;
| 16 | | (c) to keep records of all licenses issued under this | 17 | | Act;
| 18 | | (d) to receive, consider, investigate, and act upon | 19 | | complaints made by
any person in connection with any | 20 | | residential mortgage licensee in this State;
| 21 | | (e) to consider and act upon any recommendations from | 22 | | the Residential
Mortgage Board;
| 23 | | (f) to prescribe the forms of and receive:
| 24 | | (1) applications for licenses; and
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| 1 | | (2) all reports and all books and records required | 2 | | to be made by
any licensee under this Act, including | 3 | | annual audited financial statements
and annual reports | 4 | | of mortgage activity;
| 5 | | (g) to adopt rules and regulations necessary and proper | 6 | | for the
administration of this Act;
| 7 | | (h) to subpoena documents and witnesses and compel | 8 | | their attendance and
production, to administer oaths, and | 9 | | to require the production of any books,
papers, or other | 10 | | materials relevant to any inquiry authorized by this Act;
| 11 | | (h-1) to issue orders against any person, if the | 12 | | Commissioner has reasonable cause to believe that an | 13 | | unsafe, unsound, or unlawful practice has occurred, is | 14 | | occurring, or is about to occur, if any person has | 15 | | violated, is violating, or is about to violate any law, | 16 | | rule, or written agreement with the Commissioner, or for | 17 | | the purpose of administering the provisions of this Act and | 18 | | any rule adopted in accordance with the Act; | 19 | | (h-2) to address any inquiries to any licensee, or the | 20 | | officers thereof, in relation to its activities and | 21 | | conditions, or any other matter connected with its affairs, | 22 | | and it shall be the duty of any licensee or person so | 23 | | addressed, to promptly reply in writing to such inquiries. | 24 | | The Commissioner may also require reports from any licensee | 25 | | at any time the Commissioner may deem desirable;
| 26 | | (i) to require information with regard to any license |
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| 1 | | applicant
as he or she may deem desirable, with due regard | 2 | | to the paramount interests
of the public as to the | 3 | | experience, background, honesty, truthfulness,
integrity, | 4 | | and competency of the license applicant as to financial
| 5 | | transactions involving primary or subordinate mortgage | 6 | | financing, and where
the license applicant is an entity | 7 | | other than an individual, as to the
honesty, truthfulness, | 8 | | integrity, and competency of any officer or director
of the | 9 | | corporation, association, or other entity, or the members | 10 | | of a
partnership;
| 11 | | (j) to examine the books and records of every licensee | 12 | | under this Act at
intervals as specified in Section 4-2;
| 13 | | (k) to enforce provisions of this Act;
| 14 | | (l) to levy fees, fines, and charges for services | 15 | | performed in administering
this Act; the aggregate of all | 16 | | fees collected by the Commissioner on and after
the | 17 | | effective date of this Act shall be paid promptly after | 18 | | receipt of the
same, accompanied by a detailed statement | 19 | | thereof, into the Savings and
Residential Finance | 20 | | Regulatory Fund under Section 4-1.5 of this Act ; the | 21 | | amounts deposited into that Fund shall
be used for the | 22 | | ordinary and contingent expenses of the Office of Banks and
| 23 | | Real Estate. Nothing in this Act shall prevent continuing | 24 | | the practice of paying
expenses involving salaries, | 25 | | retirement, social security, and State-paid
insurance of | 26 | | State officers by appropriation from the General Revenue |
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| 1 | | Fund.
| 2 | | (m) to appoint examiners, supervisors, experts, and | 3 | | special assistants as
needed to effectively and | 4 | | efficiently administer this Act;
| 5 | | (n) to conduct hearings for the purpose of:
| 6 | | (1) appeals of orders of the Commissioner;
| 7 | | (2) suspensions or revocations of licenses, or | 8 | | fining of licensees;
| 9 | | (3) investigating:
| 10 | | (i) complaints against licensees; or
| 11 | | (ii) annual gross delinquency rates; and
| 12 | | (4) carrying out the purposes of this Act;
| 13 | | (o) to exercise exclusive visitorial power over a | 14 | | licensee unless otherwise authorized by this Act or as | 15 | | vested in the courts, or upon prior consultation with the | 16 | | Commissioner, a foreign residential mortgage regulator | 17 | | with an appropriate supervisory interest in the parent or | 18 | | affiliate of a licensee;
| 19 | | (p) to enter into cooperative agreements with state | 20 | | regulatory authorities of other states to provide for | 21 | | examination of corporate offices or branches of those | 22 | | states and to accept reports of such examinations;
| 23 | | (q) to assign an examiner or examiners to monitor the | 24 | | affairs of a licensee with whatever frequency the | 25 | | Commissioner determines appropriate and to charge the | 26 | | licensee for reasonable and necessary expenses of the |
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| 1 | | Commissioner, if in the opinion of the Commissioner an | 2 | | emergency exists or appears likely to occur;
| 3 | | (r) to impose civil penalties of up to $50 per day | 4 | | against a licensee for failing to respond to a regulatory | 5 | | request or reporting requirement; and
| 6 | | (s) to enter into agreements in connection with the | 7 | | Nationwide Mortgage Licensing System and Registry. | 8 | | (Source: P.A. 96-112, eff. 7-31-09; 96-1000, eff. 7-2-10.)
| 9 | | (205 ILCS 635/4-1.5 new) | 10 | | Sec. 4-1.5. Residential Finance Regulatory Fund. | 11 | | (a) The aggregate of all moneys collected by the Secretary | 12 | | under this Act shall be paid promptly after receipt of the | 13 | | same, accompanied by a detailed statement thereof, into the | 14 | | State treasury and shall be set apart in the Residential | 15 | | Finance Regulatory Fund, formerly designated the Savings and | 16 | | Residential Finance Regulatory Fund, a special fund created in | 17 | | the State treasury. The amounts deposited into the Fund shall | 18 | | be used for the ordinary and contingent expenses of the | 19 | | Department of Financial and Professional Regulation and the | 20 | | Division of Banking, or their successors, in administering and | 21 | | enforcing the Residential Mortgage License Act of 1987 and | 22 | | other laws, rules, and regulations as may apply to the | 23 | | administration and enforcement of the foregoing laws, rules, | 24 | | and regulations, as amended from time to time. Nothing in this | 25 | | Act shall prevent continuing the practice of paying expenses |
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| 1 | | involving salaries, retirement, social security, and State | 2 | | paid insurance of State officers by appropriation from the | 3 | | General Revenue Fund. | 4 | | (b) Moneys in the Residential Finance Regulatory Fund may | 5 | | be transferred to the Professions Indirect Cost Fund, as | 6 | | authorized under Section 2105-300 of the Department of | 7 | | Professional Regulation Law of the Civil Administrative Code of | 8 | | Illinois. | 9 | | (c) All earnings received from investments of funds in the | 10 | | Residential Finance Regulatory Fund shall be deposited into | 11 | | that Fund and may be used for the same purposes as fees | 12 | | deposited into that Fund. | 13 | | Section 35. The Foreign Bank Representative Office Act is | 14 | | amended by changing Section 2 as follows:
| 15 | | (205 ILCS 650/2) (from Ch. 17, par. 2852)
| 16 | | Sec. 2. Definitions. As used in this Act, unless the | 17 | | context requires
otherwise:
| 18 | | (a) "Commissioner" means the Secretary of Financial and | 19 | | Professional Regulation or a
person authorized by the | 20 | | Secretary, the Division of Banking Act,
or this Act to act in | 21 | | the Secretary's stead.
| 22 | | (b) "Foreign bank" means (1) a bank , savings bank, savings | 23 | | association, or trust company which is organized
under the laws | 24 | | of any state or territory of the United States, including the
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| 1 | | District of Columbia, other than the State of Illinois; (2) a | 2 | | national bank
having its principal place of business in any | 3 | | state or territory of the United
States, including the District | 4 | | of Columbia, other than the State of Illinois;
or (3) a bank or | 5 | | trust company organized and operating under the laws of a
| 6 | | country other than the United States of America.
| 7 | | (c) "Representative office" means an office in the State of | 8 | | Illinois at
which a foreign bank engages in representational | 9 | | functions
but does not conduct a commercial banking business. | 10 | | (d) "Division" means the Division of Banking within the | 11 | | Department of Financial and Professional Regulation.
| 12 | | (Source: P.A. 96-1365, eff. 7-28-10.)
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