Rep. Maria Antonia Berrios

Filed: 3/20/2014

 

 


 

 


 
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1
AMENDMENT TO HOUSE BILL 5685

2    AMENDMENT NO. ______. Amend House Bill 5685 by replacing
3everything after the enacting clause with the following:
 
4    "Section 5. The State Finance Act is amended by changing
5Sections 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
8Fund.
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.

 

 

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1    (a) The moneys in the State Pensions Fund shall be used
2exclusively for the administration of the Uniform Disposition
3of Unclaimed Property Act and for the expenses incurred by the
4Auditor General for administering the provisions of Section
52-8.1 of the Illinois State Auditing Act and for the funding of
6the unfunded liabilities of the designated retirement systems.
7Beginning in State fiscal year 2015, payments to the designated
8retirement systems under this Section shall be in addition to,
9and not in lieu of, any State contributions required under the
10Illinois Pension Code.
11    "Designated retirement systems" means:
12        (1) the State Employees' Retirement System of
13    Illinois;
14        (2) the Teachers' Retirement System of the State of
15    Illinois;
16        (3) the State Universities Retirement System;
17        (4) the Judges Retirement System of Illinois; and
18        (5) the General Assembly Retirement System.
19    (b) Each year the General Assembly may make appropriations
20from the State Pensions Fund for the administration of the
21Uniform Disposition of Unclaimed Property Act.
22    Each month, the Commissioner of the Office of Banks and
23Real Estate shall certify to the State Treasurer the actual
24expenditures that the Office of Banks and Real Estate incurred
25conducting unclaimed property examinations under the Uniform
26Disposition of Unclaimed Property Act during the immediately

 

 

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1preceding month. Within a reasonable time following the
2acceptance of such certification by the State Treasurer, the
3State Treasurer shall pay from its appropriation from the State
4Pensions Fund to the Bank and Trust Company Fund, the Savings
5Bank Regulatory Fund, and the Savings and Residential Finance
6Regulatory Fund an amount equal to the expenditures incurred by
7each Fund for that month.
8    Each month, the Director of Financial Institutions shall
9certify to the State Treasurer the actual expenditures that the
10Department of Financial Institutions incurred conducting
11unclaimed property examinations under the Uniform Disposition
12of Unclaimed Property Act during the immediately preceding
13month. Within a reasonable time following the acceptance of
14such certification by the State Treasurer, the State Treasurer
15shall pay from its appropriation from the State Pensions Fund
16to the Financial Institution Fund and the Credit Union Fund an
17amount equal to the expenditures incurred by each Fund for that
18month.
19    (c) As soon as possible after the effective date of this
20amendatory Act of the 93rd General Assembly, the General
21Assembly shall appropriate from the State Pensions Fund (1) to
22the State Universities Retirement System the amount certified
23under Section 15-165 during the prior year, (2) to the Judges
24Retirement System of Illinois the amount certified under
25Section 18-140 during the prior year, and (3) to the General
26Assembly Retirement System the amount certified under Section

 

 

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12-134 during the prior year as part of the required State
2contributions to each of those designated retirement systems;
3except that amounts appropriated under this subsection (c) in
4State fiscal year 2005 shall not reduce the amount in the State
5Pensions Fund below $5,000,000. If the amount in the State
6Pensions Fund does not exceed the sum of the amounts certified
7in Sections 15-165, 18-140, and 2-134 by at least $5,000,000,
8the amount paid to each designated retirement system under this
9subsection shall be reduced in proportion to the amount
10certified by each of those designated retirement systems.
11    (c-5) For fiscal years 2006 through 2014, the General
12Assembly shall appropriate from the State Pensions Fund to the
13State Universities Retirement System the amount estimated to be
14available during the fiscal year in the State Pensions Fund;
15provided, however, that the amounts appropriated under this
16subsection (c-5) shall not reduce the amount in the State
17Pensions Fund below $5,000,000.
18    (c-6) For fiscal year 2015 and each fiscal year thereafter,
19as soon as may be practical after any money is deposited into
20the State Pensions Fund from the Unclaimed Property Trust Fund,
21the State Treasurer shall apportion the deposited amount among
22the designated retirement systems as defined in subsection (a)
23to reduce their actuarial reserve deficiencies. The State
24Comptroller and State Treasurer shall pay the apportioned
25amounts to the designated retirement systems to fund the
26unfunded liabilities of the designated retirement systems. The

 

 

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1amount apportioned to each designated retirement system shall
2constitute a portion of the amount estimated to be available
3for appropriation from the State Pensions Fund that is the same
4as that retirement system's portion of the total actual reserve
5deficiency of the systems, as determined annually by the
6Governor's Office of Management and Budget at the request of
7the State Treasurer. The amounts apportioned under this
8subsection shall not reduce the amount in the State Pensions
9Fund below $5,000,000.
10    (d) The Governor's Office of Management and Budget shall
11determine the individual and total reserve deficiencies of the
12designated retirement systems. For this purpose, the
13Governor's Office of Management and Budget shall utilize the
14latest available audit and actuarial reports of each of the
15retirement systems and the relevant reports and statistics of
16the Public Employee Pension Fund Division of the Department of
17Insurance.
18    (d-1) As soon as practicable after the effective date of
19this amendatory Act of the 93rd General Assembly, the
20Comptroller shall direct and the Treasurer shall transfer from
21the State Pensions Fund to the General Revenue Fund, as funds
22become available, a sum equal to the amounts that would have
23been paid from the State Pensions Fund to the Teachers'
24Retirement System of the State of Illinois, the State
25Universities Retirement System, the Judges Retirement System
26of Illinois, the General Assembly Retirement System, and the

 

 

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1State Employees' Retirement System of Illinois after the
2effective date of this amendatory Act during the remainder of
3fiscal year 2004 to the designated retirement systems from the
4appropriations provided for in this Section if the transfers
5provided in Section 6z-61 had not occurred. The transfers
6described in this subsection (d-1) are to partially repay the
7General Revenue Fund for the costs associated with the bonds
8used to fund the moneys transferred to the designated
9retirement systems under Section 6z-61.
10    (e) The changes to this Section made by this amendatory Act
11of 1994 shall first apply to distributions from the Fund for
12State fiscal year 1996.
13(Source: P.A. 97-72, eff. 7-1-11; 97-732, eff. 6-30-12; 98-24,
14eff. 6-19-13; 98-463, eff. 8-16-13.)
 
15    Section 10. The Illinois Banking Act is amended by changing
16Section 71 as follows:
 
17    (205 ILCS 5/71)  (from Ch. 17, par. 383)
18    Sec. 71. Voluntary dissolution; fees and expenses
19Commissioner's fee.
20    (a) Any bank that elects to dissolve voluntarily under this
21Act shall pay to the Secretary a fee, which shall be paid upon
22the Secretary's receipt of the bank's statement of intent. The
23Secretary shall prescribe by rule the amount of such fee.
24    (b) All expenses incurred by the Secretary in connection

 

 

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1with the voluntary dissolution of any bank shall be paid by the
2dissolving State bank. The expenses incurred under this
3subsection shall be deemed to be a liability of the dissolving
4bank.
5The Commissioner shall be entitled to a fee, which shall be
6paid at the time of deposit, on all money deposited with him
7for the account of one dissolving bank of two per cent of the
8first five thousand dollars and one per cent of all sums in
9excess of five thousand dollars.
10(Source: Laws 1965, p. 2020.)
 
11    (205 ILCS 105/Act rep.)
12    Section 15. The Illinois Savings and Loan Act of 1985 is
13repealed.
 
14    Section 20. The Savings Bank Act is amended by changing
15Sections 1007.130, 9002, 9002.5, and 9017 and by adding
16Sections 1007.150 and 9002.1 and Articles 12.1 and 12.2 as
17follows:
 
18    (205 ILCS 205/1007.130)
19    Sec. 1007.130. Out-of-state savings bank. "Out-of-state
20savings bank" means a savings bank or an association chartered
21under the laws of a state other than Illinois, a territory of
22the United States, or the District of Columbia.
23(Source: P.A. 93-965, eff. 8-20-04.)
 

 

 

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1    (205 ILCS 205/1007.150 new)
2    Sec. 1007.150. Applicability of other Acts. Whenever the
3term "savings and loan", "building and loan", "mutual building
4loan and homestead", or "building loan and homestead" or other
5similar name is used with reference to an association organized
6for the purposes of associations incorporated under the
7Illinois Savings and Loan Act of 1985 or a similar Act, such
8reference shall be applicable to a savings bank operating under
9this Act. Whenever in any Act the term "members",
10"shareholders", or "investors" is used in connection with such
11associations, however named, the same shall refer to members
12and holders of capital of savings banks operating under this
13Act.
 
14    (205 ILCS 205/9002)  (from Ch. 17, par. 7309-2)
15    Sec. 9002. Powers of Secretary. The Secretary shall have
16the following powers and duties:
17        (1) To exercise the rights, powers, and duties set
18    forth in this Act or in any related Act.
19        (2) To establish regulations as may be reasonable or
20    necessary to accomplish the purposes of this Act.
21        (3) To make an annual report regarding the work of his
22    office under this Act as he may consider desirable to the
23    Governor, or as the Governor may request.
24        (4) To cause a suit to be filed in his name to enforce

 

 

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1    any law of this State that applies to savings banks, their
2    service corporations, subsidiaries, affiliates, or holding
3    companies operating under this Act, including the
4    enforcement of any obligation of the officers, directors,
5    agents, or employees of any savings bank.
6        (5) To prescribe a uniform manner in which the books
7    and records of every savings bank are to be maintained.
8        (6) To establish a reasonable fee structure for savings
9    banks and holding companies operating under this Act and
10    for their service corporations and subsidiaries. The fees
11    shall include, but not be limited to, annual fees,
12    application fees, regular and special examination fees,
13    and other fees as the Secretary establishes and
14    demonstrates to be directly resultant from the Secretary's
15    responsibilities under this Act and as are directly
16    attributable to individual entities operating under this
17    Act. The aggregate of all moneys collected by the Secretary
18    on and after the effective date of this Act shall be paid
19    promptly after receipt of the same, accompanied by a
20    detailed statement thereof, into the Savings Bank
21    Regulatory Fund established under Section 9002.1 of this
22    Act. Savings and Residential Finance Regulatory Fund
23    subject to the provisions of Section 7-19.1 of the Illinois
24    Savings and Loan Act of 1985 including without limitation
25    the provision for credits against regulatory fees. The
26    amounts deposited into the Fund shall be used for the

 

 

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1    ordinary and contingent expenses of the Office of Banks and
2    Real Estate. Notwithstanding any other provision of this
3    paragraph (6), the aggregate of all moneys collected by the
4    Secretary under this Act shall be paid promptly after
5    receipt of same, accompanied by a detailed statement
6    thereof, into the Savings Institutions Regulatory Fund
7    upon the creation of that fund under Section 7-19.2 of the
8    Illinois Savings and Loan Act of 1985, subject to the
9    provisions of Section 7-19.2 of the Illinois Savings and
10    Loan Act of 1985, including without limitation the
11    provision for credits against regulatory fees. The amounts
12    deposited into the Savings Institutions Regulatory Fund
13    under this paragraph (6) shall be used for the ordinary and
14    contingent expenses of administering and enforcing this
15    Act. Nothing in this Act shall prevent continuing the
16    practice of paying expenses involving salaries,
17    retirement, social security, and State-paid insurance of
18    State officers by appropriation from the General Revenue
19    Fund. The Secretary may require payment of the fees under
20    this Act by an electronic transfer of funds or an automatic
21    debit of an account of each of the savings banks.
22(Source: P.A. 96-1365, eff. 7-28-10; 97-492, eff. 1-1-12.)
 
23    (205 ILCS 205/9002.1 new)
24    Sec. 9002.1. Savings Bank Regulatory Fund.
25    (a) The aggregate of all moneys collected by the Secretary

 

 

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1under this Act shall be paid promptly after receipt of the
2same, accompanied by a detailed statement thereof, into the
3State treasury and shall be set apart in the Savings Bank
4Regulatory Fund. All earnings received from investments of
5funds in the Savings Bank Regulatory Fund shall be deposited
6into the Savings Bank Regulatory Fund and may be used for the
7same purposes as fees deposited into the Savings Bank
8Regulatory Fund. The amount from time to time deposited into
9the Fund shall be used (i) to offset the ordinary
10administration expenses as defined in subsection (c) of this
11Section or (ii) as a credit against fees under subsection (b)
12of this Section. Nothing in this Section shall prevent
13continuing the practice of paying expenses involving salaries,
14retirement, Social Security, and State paid insurance premiums
15of State officers by appropriation from the General Revenue
16Fund. However, the General Revenue Fund shall be reimbursed for
17those payments made by an annual transfer of funds from the
18Savings Bank Regulatory Fund. Money in the Savings Bank
19Regulatory Fund may be transferred to the Professions Indirect
20Cost Fund as authorized under Section 2105-300 of the
21Department of Professional Regulation Law of the Civil
22Administrative Code of Illinois.
23    (b) Adequate funds shall be available in the Savings Bank
24Regulatory Fund to permit the timely payment of administration
25expenses. In each fiscal year, the total administration
26expenses shall be deducted from the total fees collected by the

 

 

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1Secretary and the remainder transferred into the Cash Flow
2Reserve Account, unless the balance of the Cash Flow Reserve
3Account prior to the transfer equals or exceeds one-fourth of
4the total initial appropriations from the Savings Bank
5Regulatory Fund for the subsequent year, in which case the
6remainder shall be credited to savings banks and applied
7against their fees for the subsequent year. The amount credited
8to each savings bank shall be in the same proportion as the
9regulatory fees paid by each for the year bear to the total
10regulatory fees collected for the year. If, after a transfer to
11the Cash Flow Reserve Account is made or if no remainder is
12available for transfer, the balance of the Cash Flow Reserve
13Account is less than one-fourth of the total initial
14appropriations for the subsequent year and the amount
15transferred is less than 5% of the total regulatory fees for
16the year, additional amounts needed to make the transfer equal
17to 5% of the total regulatory fees for the year shall be
18apportioned amongst, assessed upon, and paid by savings banks
19in the same proportion that the regulatory fees of each,
20respectively, for the year bear to the total regulatory fees
21collected for the year. The additional amounts assessed shall
22be transferred into the Cash Flow Reserve Account.
23    (c) For purposes of this Section, the following terms shall
24have the following meanings:
25    "Administration expenses", for any fiscal year, means the
26ordinary and contingent expenses for that year incident to

 

 

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1making the examinations provided for by, and for otherwise
2administering, this Act, including all salaries and other
3compensation paid for personal services rendered for the State
4by officers or employees of the State, including the Secretary
5and the Director of the Division, communication equipment and
6services, office furnishings, surety bond premiums, and travel
7expenses of those officers and employees, employees,
8expenditures or charges for the acquisition, enlargement or
9improvement of, or for the use of, any office space, building,
10or structure, or expenditures for the maintenance thereof or
11for furnishing heat, light, or power with respect thereto, all
12to the extent that those expenditures are directly incidental
13to such examinations or administration. The Secretary shall not
14be required by this subsection to maintain in any fiscal year's
15budget appropriated reserves for accrued vacation and accrued
16sick leave that is required to be paid to employees of the
17Secretary upon termination of their service with the Secretary
18in an amount that is more than is reasonably anticipated to be
19necessary for any anticipated turnover in employees, whether
20due to normal attrition or due to layoffs, terminations, or
21resignations.
22    "Regulatory fees" includes both fees collected under
23Section 9002.5 and fees collected for examinations conducted by
24the Secretary or his examiners or designees under authority of
25this Act.
26    "Fiscal year" means a period beginning July 1 of any year

 

 

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1and ending June 30 of the next year.
 
2    (205 ILCS 205/9002.5)
3    Sec. 9002.5. Regulatory fees.
4    (a) For the fiscal year beginning July 1, 2007 and every
5year thereafter, each savings bank and each service corporation
6operating under this Act shall pay a fixed fee of $520, plus a
7variable fee based on the total assets of the savings bank or
8service corporation at the following rates:
9        24.97¢ per $1,000 of the first $2,000,000 of total
10    assets;
11        22.70¢ per $1,000 of the next $3,000,000 of total
12    assets;
13        20.43¢ per $1,000 of the next $5,000,000 of total
14    assets;
15        17.025¢ per $1,000 of the next $15,000,000 of total
16    assets;
17        14.755¢ per $1,000 of the next $25,000,000 of total
18    assets;
19        12.485¢ per $1,000 of the next $50,000,000 of total
20    assets;
21        10.215¢ per $1,000 of the next $400,000,000 of total
22    assets;
23        6.81¢ per $1,000 of the next $500,000,000 of total
24    assets; and
25        4.54¢ per $1,000 of all total assets in excess of

 

 

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1    $1,000,000,000 of such savings bank or service
2    corporation.
3    (b) The Secretary shall receive and there shall be paid to
4the Secretary an additional fee as an adjustment to the
5supervisory fee, based upon the difference between the total
6assets of each savings bank and each service corporation as
7shown by its financial report filed with the Secretary for the
8reporting period of the calendar year ended December 31 on
9which the supervisory fee was based and the total assets of
10each savings bank and each service corporation as shown by its
11financial report filed with the Secretary for the reporting
12period of the calendar year ended December 31 in which the
13quarterly payments are made according to the following
14schedule:
15        24.97¢ per $1,000 of the first $2,000,000 of total
16    assets;
17        22.70¢ per $1,000 of the next $3,000,000 of total
18    assets;
19        20.43¢ per $1,000 of the next $5,000,000 of total
20    assets;
21        17.025¢ per $1,000 of the next $15,000,000 of total
22    assets;
23        14.755¢ per $1,000 of the next $25,000,000 of total
24    assets;
25        12.485¢ per $1,000 of the next $50,000,000 of total
26    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    (c) The Secretary shall receive and there shall be paid to
9the Secretary by each savings bank and each service corporation
10a fee of $520 for each approved branch office or facility
11office established under the Illinois Administrative Code. The
12determination of the fees shall be made annually as of the
13close of business of the prior calendar year ended December 31.
14    (d) The Secretary shall receive for each fiscal year,
15commencing with the fiscal year ending June 30, 2014, a
16contingent fee equal to the lesser of the aggregate of the fees
17paid by all savings banks under subsections (a), (b), and (c)
18of this Section for that year, or the amount, if any, whereby
19the aggregate of the administration expenses, as defined in
20subsection (c) of Section 9002.1 of this Act, for that fiscal
21year exceeds the sum of the aggregate of the fees payable by
22all savings banks for that year under subsections (a), (b), and
23(c) of this Section, plus any amounts transferred into the
24Savings Bank Regulatory Fund from the State Pensions Fund for
25that year, plus all other amounts collected by the Secretary
26for that year under any other provision of this Act. The

 

 

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1aggregate amount of the contingent fee thus arrived at for any
2fiscal year shall be apportioned amongst, assessed upon, and
3paid by the savings banks, respectively, in the same proportion
4that the fee of each under subsections (a), (b), and (c) of
5this Section, respectively, for that year bears to the
6aggregate for that year of the fees collected under subsections
7(a), (b), and (c) of this Section. The aggregate amount of the
8contingent fee, and the portion thereof to be assessed upon
9each savings bank, respectively, shall be determined by the
10Secretary and shall be paid by each, respectively, within 120
11days of the close of the period for which the contingent fee is
12computed and is payable, and the Secretary shall give 20 days
13advance notice of the amount of the contingent fee payable by
14the savings bank and of the date fixed by the Secretary for
15payment of the fee.
16(Source: P.A. 95-1047, eff. 4-6-09.)
 
17    (205 ILCS 205/Art. 12.1 heading new)
18
ARTICLE 12.1. Effect of Repeal of Illinois
19
Savings and Loan Act of 1985

 
20    (205 ILCS 205/12101 new)
21    Sec. 12101. Effect of repeal. This Article sets forth the
22effect of and means of transition necessitated by the repeal of
23the Illinois Savings and Loan Act of 1985.
 

 

 

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1    (205 ILCS 205/12102 new)
2    Sec. 12102. Effect on special funds.
3    (a) The Savings and Residential Finance Regulatory Fund
4established under Section 7-19.1 of the Illinois Savings and
5Loan Act of 1985 is hereby redesignated the Residential Finance
6Regulatory Fund. The fund shall continue in existence under the
7Illinois Residential Mortgage License Act of 1987 without
8interruption and shall retain all moneys therein, except moneys
9required to be transferred or returned from Savings and
10Residential Finance Regulatory Fund, now designated the
11Residential Finance Regulatory Fund, to the Savings
12Institutions Regulatory Fund, now designated the Savings Bank
13Regulatory Fund, pursuant to subsection (e) of Section 7-19.2
14of the Illinois Savings and Loan Act of 1985, shall continue to
15be required to be transferred or returned to the Savings
16Institutions Regulatory Fund, now designated the Savings Bank
17Regulatory Fund, as if subsection (e) of Section 7-19.2 of the
18Illinois Savings and Loan Act of 1985 had not been repealed.
19    (b) The Savings Institutions Regulatory Fund established
20under Section 7-19.2 of the Illinois Savings and Loan Act of
211985 is hereby redesignated the Savings Bank Regulatory Fund.
22The fund shall continue in existence under Section 9002.1 of
23this Act without interruption and shall retain all moneys
24therein.
 
25    (205 ILCS 205/12103 new)

 

 

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1    Sec. 12103. Effect on foreign associations.
2    (a) Any existing foreign association shall be deemed to be
3an out-of-state savings bank under this Act.
4    (b) Notwithstanding any other provision of this Act, an
5existing foreign association may retain any branch or office in
6the State that properly existed in the State at the time of the
7repeal of the Illinois Savings and Loan Act of 1985, and
8continue to engage in the same activities in the State
9therefrom as were engaged in immediately prior to the repeal of
10the Illinois Savings and Loan Act, without further application
11or notice to or approval of the Secretary.
12    (c) An existing foreign association may retain a
13representative office in the State that properly existed in the
14State at the time of the repeal of the Illinois Savings and
15Loan Act of 1985, provided that the foreign association obtains
16a license under the Foreign Bank Representative Office Act.
 
17    (205 ILCS 205/12104 new)
18    Sec. 12104. Effect on the Board of Savings Institutions.
19The Board of Savings Institutions is hereby redesignated as the
20Board of Savings Banks. The Board shall continue to operate
21without interruption and as if it had been originally
22established under Article 12.2 of this Act. The current members
23of the Board of Savings Institutions shall continue to serve
24the balance of their terms. Thereafter, the Board of Savings
25Institutions shall be composed of members as required by

 

 

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1Section 12202 of this Act.
 
2    (205 ILCS 205/12105 new)
3    Sec. 12105. Applicability of other Acts. Whenever in any
4Act the term "savings and loan", "building and loan", "mutual
5building loan and homestead", or "building loan and homestead"
6or other similar name is used with reference to an association
7organized for the purposes of associations incorporated under
8the Illinois Savings and Loan Act of 1985 or a similar act,
9such reference shall be applicable to a savings bank operating
10under this Act. Whenever in any Act the term "members",
11"shareholders", or "investors" is used in connection with such
12associations, however named, the same shall refer to members
13and holders of capital of savings banks operating under this
14Act.
 
15    (205 ILCS 205/Art. 12.2 heading new)
16
ARTICLE 12.2. Board of Savings Banks

 
17    (205 ILCS 205/12201 new)
18    Sec. 12201. Board of Savings Banks; appointment. The Board
19of Savings Bank is established pursuant to Section 12104 of
20this Act. The Board of Savings Banks shall be composed of the
21Director of Banking, who shall be its chairperson and have the
22power to vote, and 7 persons appointed by the Governor. Two of
23the 7 persons appointed by the Governor shall represent the

 

 

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1public interest and the remainder shall have been engaged
2actively in savings bank or savings and loan management in this
3State for at least 5 years immediately prior to appointment.
4Each member of the Board appointed by the Governor shall be
5reimbursed for ordinary and necessary expenses incurred in
6attending the meetings of the Board. Members, excluding the
7chairperson, shall be appointed for 4-year terms to expire on
8the third Monday in January. Except as otherwise provided in
9this Section, members of the Board shall serve until their
10respective successors are appointed and qualified. A member who
11tenders a written resignation shall serve only until the
12resignation is accepted by the chairperson. A member who fails
13to attend 3 consecutive Board meetings without an excused
14absence shall no longer serve as a member. The Governor shall
15fill any vacancy by the appointment of a member for the
16unexpired term in the same manner as in the making original
17appointments.
 
18    (205 ILCS 205/12202 new)
19    Sec. 12202. Board of Savings Banks; organization and
20meetings. The Board shall elect a vice chairperson and
21secretary of the Board; shall adopt by-laws for the holding and
22conducting of meetings and appointing officers and committees;
23and shall keep a record of all meetings and transactions and
24make such other provisions for the daily conduct of its
25business as it deems necessary. A majority of the members of

 

 

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1the Board, excluding those members who are no longer serving as
2members as provided in Section 12201 of this Act, shall
3constitute a quorum. The act of the majority of the members of
4the Board present at a meeting at which a quorum is present
5shall be the act of the Board. Regular meetings shall be held
6as provided in the by-laws, and special meetings may be called
7by the chairperson or upon the request of any 3 members of the
8Board or the Secretary. The Board shall maintain at the office
9of the Secretary permanent records of its meetings, hearings,
10and decisions. The Secretary shall provide adequate quarters
11and personnel for use by the Board.
 
12    (205 ILCS 205/12203 new)
13    Sec. 12203. Board of Savings Banks; powers. The Board shall
14have the power to:
15    (a) advise the Governor and Secretary on all matters
16relating to the regulation of savings banks; and
17    (b) advise the Governor on legislation proposed to amend
18this Act or any related Act.
 
19    (205 ILCS 205/1007.70 rep.)
20    (205 ILCS 205/9017 rep.)
21    Section 25. The Savings Bank Act is amended by repealing
22Sections 1007.70 and 9017.
 
23    Section 30. The Residential Mortgage License Act of 1987 is

 

 

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1amended by changing Section 4-1 and by adding Section 4-1.5 as
2follows:
 
3    (205 ILCS 635/4-1)  (from Ch. 17, par. 2324-1)
4    Sec. 4-1. Commissioner of Banks and Real Estate; functions,
5powers, and duties. The functions, powers, and duties of the
6Commissioner of Banks and Real Estate shall include the
7following:
8        (a) to issue or refuse to issue any license as provided
9    by this Act;
10        (b) to revoke or suspend for cause any license issued
11    under this Act;
12        (c) to keep records of all licenses issued under this
13    Act;
14        (d) to receive, consider, investigate, and act upon
15    complaints made by any person in connection with any
16    residential mortgage licensee in this State;
17        (e) to consider and act upon any recommendations from
18    the Residential Mortgage Board;
19        (f) to prescribe the forms of and receive:
20            (1) applications for licenses; and
21            (2) all reports and all books and records required
22        to be made by any licensee under this Act, including
23        annual audited financial statements and annual reports
24        of mortgage activity;
25        (g) to adopt rules and regulations necessary and proper

 

 

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1    for the administration of this Act;
2        (h) to subpoena documents and witnesses and compel
3    their attendance and production, to administer oaths, and
4    to require the production of any books, papers, or other
5    materials relevant to any inquiry authorized by this Act;
6        (h-1) to issue orders against any person, if the
7    Commissioner has reasonable cause to believe that an
8    unsafe, unsound, or unlawful practice has occurred, is
9    occurring, or is about to occur, if any person has
10    violated, is violating, or is about to violate any law,
11    rule, or written agreement with the Commissioner, or for
12    the purpose of administering the provisions of this Act and
13    any rule adopted in accordance with the Act;
14        (h-2) to address any inquiries to any licensee, or the
15    officers thereof, in relation to its activities and
16    conditions, or any other matter connected with its affairs,
17    and it shall be the duty of any licensee or person so
18    addressed, to promptly reply in writing to such inquiries.
19    The Commissioner may also require reports from any licensee
20    at any time the Commissioner may deem desirable;
21        (i) to require information with regard to any license
22    applicant as he or she may deem desirable, with due regard
23    to the paramount interests of the public as to the
24    experience, background, honesty, truthfulness, integrity,
25    and competency of the license applicant as to financial
26    transactions involving primary or subordinate mortgage

 

 

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1    financing, and where the license applicant is an entity
2    other than an individual, as to the honesty, truthfulness,
3    integrity, and competency of any officer or director of the
4    corporation, association, or other entity, or the members
5    of a partnership;
6        (j) to examine the books and records of every licensee
7    under this Act at intervals as specified in Section 4-2;
8        (k) to enforce provisions of this Act;
9        (l) to levy fees, fines, and charges for services
10    performed in administering this Act; the aggregate of all
11    fees collected by the Commissioner on and after the
12    effective date of this Act shall be paid promptly after
13    receipt of the same, accompanied by a detailed statement
14    thereof, into the Savings and Residential Finance
15    Regulatory Fund under Section 4-1.5 of this Act; the
16    amounts deposited into that Fund shall be used for the
17    ordinary and contingent expenses of the Office of Banks and
18    Real Estate. Nothing in this Act shall prevent continuing
19    the practice of paying expenses involving salaries,
20    retirement, social security, and State-paid insurance of
21    State officers by appropriation from the General Revenue
22    Fund.
23        (m) to appoint examiners, supervisors, experts, and
24    special assistants as needed to effectively and
25    efficiently administer this Act;
26        (n) to conduct hearings for the purpose of:

 

 

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1            (1) appeals of orders of the Commissioner;
2            (2) suspensions or revocations of licenses, or
3        fining of licensees;
4            (3) investigating:
5                (i) complaints against licensees; or
6                (ii) annual gross delinquency rates; and
7            (4) carrying out the purposes of this Act;
8        (o) to exercise exclusive visitorial power over a
9    licensee unless otherwise authorized by this Act or as
10    vested in the courts, or upon prior consultation with the
11    Commissioner, a foreign residential mortgage regulator
12    with an appropriate supervisory interest in the parent or
13    affiliate of a licensee;
14        (p) to enter into cooperative agreements with state
15    regulatory authorities of other states to provide for
16    examination of corporate offices or branches of those
17    states and to accept reports of such examinations;
18        (q) to assign an examiner or examiners to monitor the
19    affairs of a licensee with whatever frequency the
20    Commissioner determines appropriate and to charge the
21    licensee for reasonable and necessary expenses of the
22    Commissioner, if in the opinion of the Commissioner an
23    emergency exists or appears likely to occur;
24        (r) to impose civil penalties of up to $50 per day
25    against a licensee for failing to respond to a regulatory
26    request or reporting requirement; and

 

 

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1        (s) to enter into agreements in connection with the
2    Nationwide Mortgage Licensing System and Registry.
3(Source: P.A. 96-112, eff. 7-31-09; 96-1000, eff. 7-2-10.)
 
4    (205 ILCS 635/4-1.5 new)
5    Sec. 4-1.5. Residential Finance Regulatory Fund.
6    (a) The aggregate of all moneys collected by the Secretary
7under this Act shall be paid promptly after receipt of the
8same, accompanied by a detailed statement thereof, into the
9State treasury and shall be set apart in the Residential
10Finance Regulatory Fund, formerly designated the Savings and
11Residential Finance Regulatory Fund, a special fund created in
12the State treasury. The amounts deposited into the Fund shall
13be used for the ordinary and contingent expenses of the
14Department of Financial and Professional Regulation and the
15Division of Banking, or their successors, in administering and
16enforcing the Residential Mortgage License Act of 1987 and
17other laws, rules, and regulations as may apply to the
18administration and enforcement of the foregoing laws, rules,
19and regulations, as amended from time to time. Nothing in this
20Act shall prevent continuing the practice of paying expenses
21involving salaries, retirement, social security, and State
22paid insurance of State officers by appropriation from the
23General Revenue Fund.
24    (b) Moneys in the Residential Finance Regulatory Fund may
25be transferred to the Professions Indirect Cost Fund, as

 

 

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1authorized under Section 2105-300 of the Department of
2Professional Regulation Law of the Civil Administrative Code of
3Illinois.
4    (c) All earnings received from investments of funds in the
5Residential Finance Regulatory Fund shall be deposited into
6that Fund and may be used for the same purposes as fees
7deposited into that Fund.
 
8    Section 35. The Foreign Bank Representative Office Act is
9amended by changing Section 2 as follows:
 
10    (205 ILCS 650/2)  (from Ch. 17, par. 2852)
11    Sec. 2. Definitions. As used in this Act, unless the
12context requires otherwise:
13    (a) "Commissioner" means the Secretary of Financial and
14Professional Regulation or a person authorized by the
15Secretary, the Division of Banking Act, or this Act to act in
16the Secretary's stead.
17    (b) "Foreign bank" means (1) a bank, savings bank, savings
18association, or trust company which is organized under the laws
19of any state or territory of the United States, including the
20District of Columbia, other than the State of Illinois; (2) a
21national bank having its principal place of business in any
22state or territory of the United States, including the District
23of Columbia, other than the State of Illinois; or (3) a bank or
24trust company organized and operating under the laws of a

 

 

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1country other than the United States of America.
2    (c) "Representative office" means an office in the State of
3Illinois at which a foreign bank engages in representational
4functions but does not conduct a commercial banking business.
5    (d) "Division" means the Division of Banking within the
6Department of Financial and Professional Regulation.
7(Source: P.A. 96-1365, eff. 7-28-10.)".