Full Text of SB2212 96th General Assembly
SB2212eng 96TH GENERAL ASSEMBLY
|
|
|
SB2212 Engrossed |
|
LRB096 09675 AMC 19836 b |
|
| 1 |
| AN ACT concerning public employee benefits.
| 2 |
| Be it enacted by the People of the State of Illinois,
| 3 |
| represented in the General Assembly:
| 4 |
| Section 5. The Illinois Pension Code is amended by changing | 5 |
| Section 1A-104 as follows:
| 6 |
| (40 ILCS 5/1A-104)
| 7 |
| Sec. 1A-104. Examinations and investigations.
| 8 |
| (a) The Division shall make periodic examinations and | 9 |
| investigations of all
pension funds established under this Code | 10 |
| and maintained for the benefit of
employees and officers of | 11 |
| governmental units in the State of Illinois.
However, in lieu | 12 |
| of making an examination and investigation, the Division
may | 13 |
| accept and rely upon a report of audit or examination of any | 14 |
| pension fund
made by an independent certified public accountant | 15 |
| pursuant to the provisions
of the Article of this Code | 16 |
| governing the pension fund. The acceptance of the
report of | 17 |
| audit or examination does not bar the Division from making a | 18 |
| further
audit, examination, and investigation if deemed | 19 |
| necessary by the Division.
| 20 |
| The Department may implement a flexible system of | 21 |
| examinations under
which it directs resources as it deems | 22 |
| necessary or appropriate. In
consultation with the pension fund | 23 |
| being examined, the Division may retain
attorneys, independent |
|
|
|
SB2212 Engrossed |
- 2 - |
LRB096 09675 AMC 19836 b |
|
| 1 |
| actuaries, independent certified public accountants, and
other | 2 |
| professionals and specialists as examiners, the cost of which | 3 |
| (except in
the case of pension funds established under Article | 4 |
| 3 or 4) shall be borne by
the pension fund that is the subject | 5 |
| of the examination.
| 6 |
| (b) The Division shall examine or investigate each pension | 7 |
| fund established
under Article 3 or Article 4 of this Code. | 8 |
| Beginning December 31, 2010, the The schedule of each | 9 |
| examination shall be such that each fund shall be examined once | 10 |
| every 5 3 years. The Division shall comply with the changes | 11 |
| made by this amendatory Act of the 96th General Assembly, and | 12 |
| any costs associated with the changes shall be paid for using | 13 |
| the pension fund fee structure as it exists on the effective | 14 |
| date of that amendatory Act.
| 15 |
| Each examination shall include the following:
| 16 |
| (1) an audit of financial transactions, investment | 17 |
| policies, and
procedures;
| 18 |
| (2) an examination of books, records, documents, | 19 |
| files, and other
pertinent memoranda relating to | 20 |
| financial, statistical, and administrative
operations;
| 21 |
| (3) a review of policies and procedures maintained for | 22 |
| the administration
and operation of the pension fund;
| 23 |
| (4) a determination of whether or not full effect is | 24 |
| being given to the
statutory provisions governing the | 25 |
| operation of the pension fund;
| 26 |
| (5) a determination of whether or not the |
|
|
|
SB2212 Engrossed |
- 3 - |
LRB096 09675 AMC 19836 b |
|
| 1 |
| administrative policies in force
are in accord with the | 2 |
| purposes of the statutory provisions and effectively
| 3 |
| protect and preserve the rights and equities of the | 4 |
| participants;
| 5 |
| (6) a determination of whether or not proper financial | 6 |
| and statistical
records have been established and adequate | 7 |
| documentary evidence is recorded and
maintained in support | 8 |
| of the several types of annuity and benefit payments
being | 9 |
| made; and
| 10 |
| (7) a determination of whether or not the calculations | 11 |
| made by the fund for the payment of all annuities and | 12 |
| benefits are accurate. | 13 |
| In addition, the Division may conduct investigations, | 14 |
| which shall be
identified as such and which may include one or | 15 |
| more of the items listed in
this subsection.
| 16 |
| A copy of the report of examination or investigation as | 17 |
| prepared by the
Division shall be submitted to the secretary of | 18 |
| the board of trustees of the
pension fund examined or | 19 |
| investigated and to the chief executive officer of the | 20 |
| municipality. The Director, upon request, shall grant
a hearing | 21 |
| to the officers or trustees of the pension fund or their duly
| 22 |
| appointed representatives, upon any facts contained in the | 23 |
| report of
examination. The hearing shall be conducted before | 24 |
| filing the report or making
public any information contained in | 25 |
| the report. The Director may withhold the
report from public | 26 |
| inspection for up to 60 days following the hearing.
|
|
|
|
SB2212 Engrossed |
- 4 - |
LRB096 09675 AMC 19836 b |
|
| 1 |
| (Source: P.A. 95-950, eff. 8-29-08.)
| 2 |
| Section 99. Effective date. This Act takes effect upon | 3 |
| becoming law.
|
|