(30 ILCS 105/6d) (from Ch. 127, par. 142d)
Sec. 6d.
University Income Fund; Retention by
University; Audit.
(1) Beginning on the effective date of this amendatory Act of 1996, the
following items of income, except as otherwise
provided in Section 6g, received by the University of Illinois for general
operational and educational purposes shall be retained by the University in
its own treasury and credited to an account known as the University Income Fund
that it shall establish in
its treasury for purposes of this paragraph: (a) tuition, laboratory and
library fees, and
all interest which may be earned thereon; and (b) excess income from auxiliary
enterprises and activities as provided in paragraph (2) of this Section,
and all other income arising out of any activity or purpose not
specified in paragraph (2) upon receipt of
the same
and without any deduction whatever. Such items shall be deposited into a college or university bank account
within the time period established for like amounts in Section 2 of the
State Officers and Employees Money Disposition Act. Within 10 days after the
effective date of this amendatory Act of 1996, all moneys then remaining in the
University Income Fund heretofore established as a special fund in the State
Treasury that were covered and paid into
that fund by the University shall be repaid to the University upon the warrant
of the State Comptroller, directed to the State Treasurer as an order to pay
the sum required to be repaid under this paragraph and shown as due on the
warrant. The University shall deposit the amount so repaid to it in a college
or university bank account within the time period established for like amounts
in Section 2 of the State Officers and Employees Money Disposition Act, to be
credited to the University Income Fund established by the University in its
own treasury for purposes of this paragraph. All moneys from time to time held
in the University Income Fund in the treasury of the University shall be used
by the
University, pursuant to the order and direction of the Board of Trustees of the
University, for the support and improvement of the University, except for
amounts disbursed from that University Income Fund for refunds to students
for whom
duplicate payment has been made and to students who have withdrawn after
registration and who are entitled to such refunds.
(2) The following items of income shall be retained by the
University in its own treasury: endowment funds, gifts, trust funds, and
Federal aid; funds received in connection with contracts with
governmental, public, or private agencies or persons, for research or
services including funds which are paid as reimbursement to the University
and funds received in connection with its operation of medical research and
high technology parks; funds received in connection with the retention,
receipt, assignment, license, sale or transfer of interests in, rights to,
or income from discoveries, inventions, patents, or copyrightable works;
funds retained by the University under the authority of Section 6g;
and funds received from the operation of student or staff residence
facilities, student and staff medical and health
programs, Union buildings, bookstores, farms, stores, service
activities, and other auxiliary enterprises or activities which are
self-supporting in whole or in part; provided, that any income derived
from such auxiliary enterprises or activities which is not necessary to
their support, maintenance, or development shall not be applied to any
general operational or educational purpose but shall be retained by the
University in its own treasury and credited to the University Income Fund that
it shall establish in its treasury as provided in paragraph (1) of this Section.
Whenever such funds retained by the University in its own treasury
are deposited with a bank or savings and loan association and the amount of
the deposit exceeds the amount of federal deposit insurance coverage, a
bond or pledged securities shall be obtained.
Only the types of securities which the State Treasurer may, in his
discretion, accept for amounts not insured by the Federal Deposit Insurance
Corporation or the Federal Savings and Loan Insurance Corporation under
Section 11 of the Deposit of State Moneys Act may be accepted as pledged
securities. The market value of the
bond or pledged securities shall at all times be equal to or greater than
the uninsured portion of the deposit.
The Auditor General shall audit or cause to be audited the above
items of income and all other income and expenditures of such
institution.
(Source: P.A. 89-602, eff. 8-2-96.)
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