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Full Text of SB2400  98th General Assembly

SB2400 98TH GENERAL ASSEMBLY

  
  

 


 
98TH GENERAL ASSEMBLY
State of Illinois
2013 and 2014
SB2400

 

Introduced 2/15/2013, by Sen. Daniel Biss

 

SYNOPSIS AS INTRODUCED:
 
New Act
30 ILCS 105/5.829 new
30 ILCS 105/5.830 new

    Creates the Automatic Individual Retirement Account Program Act. Establishes a portable retirement savings program for employees of employers that have not offered a qualified retirement plan to their employees within the last 2 years. Provides for the deduction of moneys from the wages of persons enrolled in the program. Provides for the deposit of those moneys in the Automatic IRA Program Fund. Authorizes a 7-member board to invest those moneys, choose permitted retirement program investment options, and make other programmatic decisions. Sets forth requirements pertaining to the Board and its composition and duties. Grants the Department of Employment Security administrative and enforcement powers. Also contains provisions concerning: investment firms; permissible investments; default enrollee contributions; investment policies; payroll deduction retirement savings arrangements; duties and liabilities of the State and employers; enrollee information packets; required audits and reports; penalties; rules; and program implementation. Effective immediately.


LRB098 10228 JDS 40387 b

FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

SB2400LRB098 10228 JDS 40387 b

1    AN ACT concerning State government.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 1. Short title. This Act may be cited as the
5Automatic Individual Retirement Account Program Act.
 
6    Section 5. Definitions. As used in this Act, unless the
7context requires a different meaning:
8    "Board" means the Automatic IRA Program Board.
9    "Department" means the Department of Employment Security.
10    "Eligible employee" means any individual who is employed by
11an eligible employer.
12    "Eligible employer" means a person or entity engaged in a
13business, industry, profession, trade, or other enterprise in
14this State, whether for profit or not for profit, that (i) has
15employed 10 or more employees at any one time in the State
16during the previous calendar year, (ii) has been in business at
17least 2 years, and (iii) has not offered a qualified retirement
18plan, including, but not limited to, a plan qualified under
19Section 401(a), Section 401(k), Section 403(a), Section
20403(b), Section 408(k), Section 408(p), or Section 457(b) of
21the Internal Revenue Code of 1986 in the preceding 2 years.
22"Eligible employer" also includes a person or entity engaged in
23a business, industry, profession, trade, or other enterprise in

 

 

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1this State, whether for profit or not for profit, that fails to
2satisfy item (i) or (ii), or both items (i) and (ii), but
3notifies the Department that it is interested in being an
4eligible employer.
5    "Enrollee" means any eligible employee who is enrolled in
6the Program.
7    "Fund" means the Automatic IRA Program Fund.
8    "IRA" means a trust created or organized in the United
9States for the exclusive benefit of an individual or his
10beneficiaries, but only if the written governing instrument
11creating the trust meets all of the following requirements:
12        (1) The instrument creating the trust must specify
13    that, except in the case of a rollover contribution
14    described in Section 402(c), 403(a)(4), 403(b)(8), or
15    457(e)(16) of the Internal Revenue Code of 1986, no
16    contribution to the trust may be accepted unless that
17    contribution is in cash.
18        (2) The instrument creating the trust must specify that
19    no contributions to the trust may be accepted for a taxable
20    year on behalf of any individual if those contributions
21    exceed the limitation specified in Section 219(b)(1)(A) of
22    the Internal Revenue Code of 1986 for that taxable year.
23        (3) The instrument creating the trust must provide for
24    the appointment of the Board as trustee of the trust.
25        (4) The instrument creating the trust must prohibit the
26    investment of any of the trust's funds in life insurance

 

 

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1    contracts.
2        (5) The instrument creating the trust must specify that
3    an individual's interest in the balance of his or her
4    account is non-forfeitable.
5        (6) The instrument creating the trust must prohibit the
6    assets of the trust from being commingled with other
7    property, except in a common trust fund or common
8    investment fund.
9        (7) The instrument creating the trust must require the
10    Board to adopt, in accordance with the Illinois
11    Administrative Procedure Act, rules governing the
12    distribution of the entire interest of an individual for
13    whose benefit the trust is maintained that are similar to
14    the requirements of Section 401(a)(9) of the Internal
15    Revenue Code of 1986 and the incidental death benefit
16    requirement of Section 401(a).
17    "Participating employer" means an eligible employer that
18has eligible employees who are enrollees and that provides a
19payroll deposit retirement savings arrangement as provided for
20by this Act for its eligible employees who are enrollees.
21    "Payroll deposit retirement savings arrangement" means an
22arrangement by which a participating employer allows eligible
23employees who are enrollees to remit payroll deduction
24contributions to the Program.
25    "Program" means the Automatic IRA Program.
26    "Wages" mean any compensation owed to an enrollee by a

 

 

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1participating employer pursuant to an employment contract or
2agreement between the 2 parties, irrespective of whether the
3amount is determined on a time, task, piece, or other basis.
 
4    Section 10. Establishment of Automatic IRA Program. A
5retirement savings program known as the Automatic IRA Program
6is hereby established and shall be administered by the Board
7with the intent of promoting greater retirement savings for
8private-sector employees in a convenient, low-cost, and
9portable manner.
 
10    Section 15. Automatic IRA Program Fund. The Automatic IRA
11Program Fund is hereby established as a special fund in the
12State treasury and shall be administered by the Board for the
13purpose of promoting greater retirement savings for Illinois
14private-sector employees in a convenient, voluntary, low-cost,
15and portable manner. The Fund shall be operated as follows:
16    (1) The assets of the Fund shall be used exclusively for
17the purpose of paying benefits to the enrollees of the Program
18and for administrative and investment costs of the Program.
19    (2) The Fund shall include the individual accounts of
20enrollees, which shall be accounted for as individual accounts.
21    (3) Moneys in the Fund shall consist of moneys received
22from enrollees and participating employers pursuant to
23automatic payroll deductions and contributions to savings made
24under this Act, grants from the United States Government and

 

 

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1its agencies and instrumentalities, and any other available
2sources of funds, public or private.
3    (4) Interest and income earned from the investment of these
4funds shall remain in the Fund and credited to it.
5    (5) Subject to appropriation, the State may pay
6administrative costs associated with the creation and
7management of the Program until sufficient assets are available
8in the Fund for that purpose. Thereafter, all administrative
9costs of the Fund, including repayment of any start-up funds
10provided by the State, shall be paid only out of moneys on
11deposit therein.
12    (6) Administrative fees shall be allocated to each
13individual account in the Program on a pro rata basis.
14    (7) Annual administrative expenses shall not exceed 1% of
15the total Fund balance.
 
16    Section 20. Composition of Board.
17    (a) The Automatic IRA Program Board is hereby created and
18shall consist of the following 7 members:
19        (1) the State Treasurer, ex officio, or his or her
20    designee, who shall serve as chair;
21        (2) the State Comptroller, ex officio, or his or her
22    designee;
23        (3) the Director of the Governor's Office of Management
24    and Budget, ex officio, or his or her designee;
25        (4) two public representatives with retirement

 

 

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1    savings, investment expertise, or both, appointed by the
2    Governor;
3        (5) a representative of participating employers,
4    appointed by the Governor; and
5        (6) an representative of enrollees, appointed by the
6    Governor.
7    (b) Members of the Board shall serve without compensation
8but shall be reimbursed for necessary travel expenses incurred
9in connection with their Board duties.
10    (c) Members of the Board, the Program Administrator, and
11persons serving as staff shall not do any of the following:
12        (1) directly or indirectly have any interest in the
13    making of any investment made for the Program, or in the
14    gains or profits accruing from any investment made for the
15    Program;
16        (2) borrow any funds or deposits of the Program, or use
17    such funds or deposits in any manner, for themselves or as
18    agents or partners of others; or
19        (3) become an endorser, surety, or obligor on
20    investments by the Board.
21    (d) Members of the Board, the Program Administrator, and
22persons serving as staff shall discharge their duties with
23respect to the Program solely in the interest of the Program's
24enrollees and beneficiaries as follows:
25        (1) for the exclusive purposes of providing benefits to
26    enrollees and beneficiaries and defraying reasonable

 

 

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1    expenses of administering the Program; and
2        (2) by investing with the care, skill, prudence, and
3    diligence under the circumstances then prevailing that a
4    prudent person acting in a like capacity and familiar with
5    those matters would use in the conduct of an enterprise of
6    a like character and with like aims.
7    (e) On the effective date of this Act, the Governor's
8appointees shall serve terms as follows:
9        (1) The term of office of one public representatives
10    shall be 4 years.
11        (2) The initial term of office for the second public
12    representative shall be for 2 years; thereafter, the terms
13    of the second public representative shall be for 4 years.
14        (3) The initial term of office for the representative
15    of participating employers shall be for 1 year; thereafter,
16    the terms of the representative of participating employers
17    shall be for 4 years.
18        (4) The initial term of office for the representative
19    of enrollees shall be for 3 year; thereafter, the terms of
20    the representative of enrollees shall be for 4 years.
21        (5) A vacancy in the term of an appointed Board member
22    shall be filled for the unexpired term by appointment of
23    the Governor.
 
24    Section 25. Powers and duties of the Board. The Board, in
25the capacity of trustee of the Fund, shall have the power and

 

 

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1authority to:
2    (1) cause the Program to be designed, established and
3operated in a manner:
4        (i) in accordance with best practices for retirement
5    savings vehicles;
6        (ii) to maximize participation, saving, sound
7    investment practices; and
8        (iii) to maximize simplicity, ease of administration
9    for participating employers and enrollees, and portability
10    of benefits;
11    (2) explore and establish investment options that offer
12employees returns on contributions and the conversion of
13individual retirement savings account balances to secure
14retirement income without incurring debt or liabilities to the
15State;
16    (3) make and enter into contracts necessary for the
17administration of the Program and Fund;
18    (4) cause moneys in the Fund to be held and invested as
19pooled investments with a view to achieving cost savings
20through efficiencies and economies of scale;
21    (5) evaluate and establish the process by which an enrollee
22is able to contribute a portion of his or her wages to the
23Program for automatic deposit of those contributions and the
24process by which the participating employer provides a payroll
25deposit retirement savings arrangement to forward those
26contributions and related information to the Program,

 

 

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1including, but not limited to, contracting with financial
2service companies and third-party administrators with the
3capability to receive and process employee information and
4contributions for payroll deposit retirement savings
5arrangements or similar arrangements;
6    (6) design and establish the process for enrollment;
7    (7) evaluate and establish the process by which an
8individual or an employee of a non-participating employer may
9voluntarily enroll in and make contributions to the Program;
10    (8) accept any grants, gifts, appropriations, and other
11moneys from the State, any unit of federal, State, or local
12government, or any other person, firm, partnership, or
13corporation for deposit into the Fund, whether for investment
14or administrative purposes;
15    (9) hire a Program Administrator and staff, the cost of
16which shall be paid out of the Fund as an administrative cost,
17and determine the compensation for and duties of the Program
18Administrator and staff as necessary for the administration of
19the Program;
20    (10) employ staff;
21    (11) make provisions for the payment of costs and expenses
22for the administration and operation of the Program;
23    (12) retain and contract with investment managers, private
24financial institutions, other financial and service providers,
25consultants, actuaries, counsel, auditors, third-party
26administrators, and other professionals as necessary;

 

 

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1    (13) procure insurance against any and all loss in
2connection with the property, assets, or activities of the
3Program, and to indemnify each member of the Board from
4personal loss or liability resulting from a member's action or
5inaction as a member of the Board;
6    (14) set minimum and maximum investment levels in
7accordance with contribution limits set for IRAs by the
8Internal Revenue Code of 1986;
9    (15) maximize education and outreach to eligible employers
10and eligible employees, including, but not limited to,
11dissemination of (i) employee information packets, (ii)
12information concerning saving and planning for retirement, and
13(iii) information concerning any tax credits that may be
14available to small business owners for the establishment of new
15retirement plans and the federal Retirement Savings
16Contribution Credit (Saver's Credit) available to lower and
17moderate income households for certain qualified savings
18contributions;
19    (16) facilitate compliance by the Program with all
20applicable requirements for the Program under the Internal
21Revenue Code of 1986, including tax qualification requirements
22or any other applicable law and accounting requirements;
23    (17) submit progress and status reports to participating
24employers and enrollees;
25    (18) carry out the duties and obligations of the Program in
26an effective, efficient, and low-cost manner; and

 

 

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1    (19) exercise any and all other powers reasonably necessary
2for the effectuation of the purposes, objectives, and
3provisions of this Act pertaining to the Program.
 
4    Section 30. Investment firms.
5    (a) The Board shall engage, after an open bid process, an
6investment manager or managers to invest the Fund and any other
7assets of the Program. Moneys in the Fund may be invested or
8reinvested by the Illinois State Treasurer's Office or may be
9invested in whole or in part under contract with the State
10Board of Investment, private investment managers, or both, as
11selected by the Board. In selecting the investment manager, the
12Board shall take into consideration and give weight to the
13investment manager's fees and charges in order to reduce the
14Program's administrative expenses.
15    (b) The investment manager shall comply with any and all
16applicable federal and state laws, rules, and regulations, as
17well as any and all rules, policies, and guidelines promulgated
18by the Board with respect to the Program and the investment of
19the Fund, including, but not limited to, the investment policy.
20    (c) The investment manager shall provide such reports as
21the Board deems necessary for the Board to oversee the
22investment manager's performance and the performance of the
23Fund
 
24    Section 35. Investment types, contributions, and defaults.

 

 

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1    (a) Enrollees may elect an investment option from the
2permitted investment options listed in subsection (b) of this
3Section. Enrollees may change their investment option at any
4time, subject to rules promulgated by the Board. In the event
5that an enrollee fails to elect an investment option, the
6Program Administrator shall select, as the default investment
7option, a target-date or life-cycle fund investment option on
8behalf of the enrollee, unless and until the Board designates a
9new investment option as the default investment option as
10described in subsection (d) of this Section.
11    (b) The following list represents the entire range of
12permitted investment options which shall be initially provided
13under the Program:
14        (1) a conservative principal protection fund;
15        (2) a target date or life-cycle fund with a target date
16    based on the age of the enrollee, which shall be the
17    default investment option for enrollees who fail to elect
18    an investment option, unless and until the Board designates
19    a new investment option as the default as described in
20    subsection (d) of this Section; and
21        (3) an equity or growth fund.
22    (c) Enrollees shall have the ability to elect a
23contribution level into the Fund; this level may be expressed
24as a percentage of wages or as a dollar amount up to the
25maximum in effect for such taxable year under Section
26219(b)(1)(A) of the Internal Revenue Code of 1986. Enrollees

 

 

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1may change their contribution level at any time, subject to
2rules promulgated by the Board. If an enrollee fails to elect a
3contribution level, then he or she shall contribute 3% percent
4of his or her wages to the Program.
5    (d) In addition to the investment options listed above, the
6Board may establish and offer one additional investment option
7under the Program.
8        (1) This investment option shall have as its primary
9    objective the preservation of the safety of principal and
10    the provision of a stable and low-risk rate of return. It
11    shall mitigate risk by maintaining a balanced investment
12    portfolio that provides assurance that no single
13    investment or class of investments will have a
14    disproportionate impact on the total portfolio. The Board
15    may procure any insurance, annuity or other funding
16    mechanism to insure the value of individuals' accounts and
17    guarantee a rate of return. The cost of such funding
18    mechanism shall be paid out of the Fund. Under no
19    circumstances shall the Board, Program, Fund, or State
20    assume any liability for investment or actuarial risk.
21        (2) Prior to establishing such additional investment
22    option, the Board shall evaluate and study the cost,
23    feasibility, and risk profile of all options under
24    consideration. The evaluation shall consider:
25            (A) all investment costs and fees;
26            (B) the risk profile of the proposed investments;

 

 

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1            (C) the cost and feasibility of procuring an
2        insurance, annuity, or other funding mechanism to
3        guarantee a rate of return, as well as the actual rate
4        of return, both current and future, that can be
5        guaranteed;
6            (D) the ease of implementing the investment
7        product, including enrollment, making contributions,
8        rolling over balances from other investment funds or
9        products, and the ability to convert accrued balances
10        into retirement income upon maturity; and
11            (E) any other factors that may be necessary to
12        determine the benefits and drawbacks of the investment
13        option.
14        (3) After evaluating and studying the various
15    products, the Board shall, in consultation with private
16    financial institutions, other financial and service
17    providers, consultants, actuaries, counsel, auditors,
18    third-party administrators, employers, workers, private
19    sector retirement plan administrators and providers, and
20    any other persons that the Board determines relevant,
21    determine whether there exists an option whose cost,
22    feasibility, and risk profile are sufficiently favorable
23    to merit establishment; if so, the Board shall select the
24    investment option that best achieves stable investment
25    return in in furtherance of the goals of this Act.
26        (4) After selecting the additional investment option

 

 

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1    the Board shall determine whether such option shall replace
2    the target date or life-cycle fund as the default
3    investment option for enrollees who do not elect an
4    investment option. In making such determination the Board
5    shall consider:
6            (A) the cost associated with the new investment
7        option;
8            (B) the risk profile of the investment option;
9            (C) the ease of enrollment in the new investment
10        option, including making contributions, rolling over
11        balances from other investment funds or products, and
12        the ability to convert accrued balances into
13        retirement income upon maturity; and
14            (D) any other factors as may be necessary to
15        determine the benefits and drawbacks of the new
16        investment option compared to the target date or
17        life-cycle option.
18    (e) Once the additional investment option has been
19selected, the Board shall add that option to the permissible
20investment options under the Program and provide a mechanism
21for new enrollees to select that option and for existing
22enrollees to roll-over their existing accounts under the
23Program into the new investment option.
24    (f) In the event that the additional investment option is
25selected as the default investment option, once such investment
26option is available, if an enrollee fails to make an investment

 

 

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1election, the Program Administrator shall select such
2additional investment option as the default investment option
3on behalf of the enrollee.
 
4    Section 40. Investment policies. The Board shall annually
5prepare and adopt a written statement of investment policy for
6the additional option offered pursuant to subsection (d) of
7Section 35 that includes a risk management and oversight
8program. This investment policy shall prohibit the Board,
9Program, and Fund from borrowing for investment purposes. The
10risk management and oversight program shall be designed to
11ensure that an effective risk management system is in place to
12monitor the risk levels of the Program and Fund portfolio, to
13ensure that the risks taken are prudent and properly managed,
14to provide an integrated process for overall risk management,
15and to assess investment returns as well as risk to determine
16if the risks taken are adequately compensated compared to
17applicable performance benchmarks and standards. The Board
18shall consider the statement of investment policy and any
19changes in the investment policy at a public hearing.
 
20    Section 45. Payroll deduction retirement savings
21arrangements, interest, benefit amount.
22    (a) The Program shall include one or more payroll deposit
23retirement savings arrangements through which participating
24employers may make deposits into the Fund on behalf of their

 

 

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1enrollees.
2    (b) Interest shall be allocated, pro rata, to individual
3Program accounts and shall be computed at the interest rate on
4the balance of an individual's account and shall be compounded
5daily.
6    (c) An individual's retirement savings benefit under the
7Program shall be the amount equal to the balance in the
8individual's Program account on the date that the individual's
9retirement savings benefit becomes payable.
 
10    Section 50. Employer contributions and retirement plan
11sponsorship.
12    (a) In the event that employer contributions would be
13permitted under the Internal Revenue Code of 1986 and would not
14cause the Program to be treated as an employee benefit plan
15under the Employee Retirement Income Security Act of 1974,
16participating employers may elect to make their own
17contributions, to the extent permitted by law, to IRA accounts
18of their employees who are enrollees.
19    (b) Employers shall retain the option at all times to set
20up any type of employer-sponsored retirement plan, such as a
21defined benefit plan or 401(k), Simplified Employee Pension
22(SEP) plan, or Savings Incentive Match Plan for Employees
23(SIMPLE) plan, or to offer an automatic enrollment payroll
24deduction IRA, instead of having a payroll deduction retirement
25savings arrangement pursuant to the Program.
 

 

 

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1    Section 55. Duties and liability of State. The State shall
2have no duty or liability to any party for the payment of any
3retirement savings benefits accrued by any individual under the
4Program. Any financial liability for the payment of retirement
5savings benefits in excess of funds available under the Program
6shall be borne solely by the entities with whom the Board
7contracts to provide insurance to protect the value of the
8Program.
 
9    Section 60. Duties and liability of employers.
10    (a) Eligible employers shall automatically enroll their
11employees in the Program and provide payroll deduction
12retirement saving arrangements for such employees and deposit,
13on behalf of such employees, these funds into the Program.
14    (b) Eligible employers and participating employers shall
15not have any liability for an employee's decision to
16participate in, or opt-out of, the Program or for the
17investment decisions of enrollees.
 
18    Section 65. Enrollee information packet.
19    (a) Prior to the opening of the Program for enrollment, the
20Board shall design and disseminate to eligible employers
21through the Department an employee information packet, which
22shall include background information on the Program and
23appropriate disclosures.

 

 

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1    (b) The disclosures required pursuant to this Section shall
2include, but are not limited to:
3        (1) the benefits and risks associated with making
4    contributions to the Program;
5        (2) the mechanisms for making contributions to the
6    Program and Fund;
7        (3) the mechanism for opting out of the Program; and
8        (4) the mechanism for withdrawal and distribution of
9    retirement savings, including any a description of
10    applicable penalties for early withdrawal as promulgated
11    by the Internal Revenue Service applicable to IRAs.
12    (c) The disclosure form shall clearly articulate the
13following:
14        (1) that employees seeking financial advice should
15    contact financial advisors and that employers are not
16    required to provide financial advice and are not liable for
17    any investment or other decisions employees make with
18    respect to their participation in the Program;
19        (2) that the Program is not an employer sponsored
20    retirement plan as defined under the Employee Retirement
21    Security Investment Act; and
22        (3) the Fund is not guaranteed by the State of
23    Illinois.
24    (d) The disclosure form shall include a signature line for
25employees to sign and date acknowledging that the employee has
26read and understands all of the disclosures.

 

 

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1    (e) The employee information packet shall also include an
2opt-out form for an eligible employee to note his or her
3decision to opt out of the Program. The opt-out form shall
4include a statement that the employee acknowledges and
5understands that he or she is electing not to participate in
6automatic payroll deductions for retirement savings as part of
7the Program.
8    (f) Employers shall supply the employee information packet
9to eligible employees upon launch of the Program and employees
10shall review the packet and sign and date the disclosure form
11and, if appropriate, the opt-out form at that time. Employers
12shall supply the employee information packet to new eligible
13employees at the time of hiring, and new employees shall review
14the packet and sign and date the disclosure form and, if
15appropriate, the opt-out form at that time.
 
16    Section 70. Audit and report.
17    (a) The Board shall submit an annual (i) audited financial
18report, prepared in accordance with generally accepted
19accounting principles, on the operations of the Program by
20January 1st of each year to the Governor, the Comptroller, the
21State Treasurer, and the General Assembly, and (ii) a report
22prepared by the Board, which shall include, but is not limited
23to, a summary of the benefits provided by the Program,
24including the number of enrollees in the Program, the
25percentage and amounts of investment options and rates of

 

 

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1return, and such other information that is relevant to make a
2full, fair, and effective disclosure of the operations of the
3Program and the Fund.
4    (b) The annual audit shall be made by an independent
5certified public accountant and shall include, but is not
6limited to, direct and indirect costs attributable to the use
7of outside consultants, independent contractors, and any other
8persons who are not State employees for the administration of
9the Program.
 
10    Section 75. Penalties.
11    (a) The Department is hereby authorized to exercise such
12powers as are necessary to perform its duties hereunder and
13enforce employer compliance with the Program, including, but
14not limited to, investigative, administrative, and rulemaking
15powers and the ability to impose and collect fines as set forth
16below.
17    (b) If the Department determines that an eligible employer,
18without good cause, has failed to automatically enroll any of
19its eligible employees in the Program who have not explicitly
20opted out pursuant to subsection (e) of Section 65, it shall so
21notify the employer and order the employer to comply with the
22Act.
23    (c) If after affording the employer due process and an
24opportunity for a hearing, the Department determines that an
25eligible employer, without good cause, has failed to come into

 

 

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1compliance with this Act within 90 days after receiving notice
2of non-compliance, it may impose a civil penalty of $250 per
3eligible employee on the employer. If such non-compliance with
4this Act extends 180 days after receiving notice of
5non-compliance, the Department may increase the civil penalty
6to $500 per eligible employee of the employer.
7    (d) Administrative actions and civil penalties under this
8Section are subject to review pursuant to the Administrative
9Review Law.
10    (e) Civil penalties collected under this Act and fees
11collected pursuant to subsection (f) shall be deposited into
12the Department of Employment Security Administrative
13Enforcement Fund, a special fund hereby created in the State
14treasury. The Department may, subject to appropriation, use
15moneys in the fund to cover expenses it incurs in the
16performance of its duties under this Act. Interest attributable
17to moneys in the Department of Employment Security
18Administrative Enforcement Fund shall be credited to the
19Department of Employment Security Administrative Enforcement
20Fund.
21    (f) The Department may charge the Board a reasonable fee
22for its costs in performing its duties under this Section to
23the extent that such costs have not been recovered under
24subsection (e) of this Section.
25    (g) This Section shall become operative 6 months after the
26Board notifies the Director of the Department that the Program

 

 

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1has been implemented. Upon receipt of such notification from
2the Board, the Department shall immediately post on its
3Internet website a notice stating that this Section is
4operative and the date that it is first operative.
 
5    Section 80. Rules. The Board and the Department shall
6adopt, in accordance with the Illinois Administrative
7Procedure Act, any rules that may be necessary to implement
8this Act.
 
9    Section 85. Program implementation. The Program shall be
10implemented, and open for enrollment of eligible employees
11shall begin, within 12 months after the effective date of this
12Act.
 
13    Section 90. The State Finance Act is amended by adding
14Sections 5.829 and 5.830 as follows:
 
15    (30 ILCS 105/5.829 new)
16    Sec. 5.829. The Automatic IRA Program Fund.
 
17    (30 ILCS 105/5.830 new)
18    Sec. 5.830. The Department of Employment Security
19Administrative Enforcement Fund.
 
20    Section 99. Effective date. This Act takes effect upon
21becoming law.