(105 ILCS 5/8-7) (from Ch. 122, par. 8-7)
Sec. 8-7.
Only lawful custodian of funds - Depositaries.
Except as
otherwise provided in subsection (f) of Section 8-1,
subsection (c) of Section 5-1, and subsection (b) of Section 8-5,
the township treasurer in Class II county school units, the school
treasurer in Class I county school units, and the school treasurer in
any school district that forms a part of a Class II county school unit but
which no longer is subject to the jurisdiction and authority of a
township treasurer and trustees of schools of a
township (because the district has withdrawn from the jurisdiction
and authority of the township treasurer and trustees of school of the
township or because those offices have been abolished
as provided in subsection (b) or (c) of Section 5-1) shall be the only
lawful custodian of all school funds and shall demand receipt for and
safely keep, according to law, all bonds, mortgages, notes, moneys,
effects, books and papers belonging to any school district or township, as
the case may be, which he serves as treasurer. Trustees of schools in Class
II county school units, school boards in Class I county school
units, and those school boards in Class II county school units that have
elected or appointed their own school treasurer pursuant to subsection (b) or
(c) of Section 5-1 and subsection (b) or (c) of Section 8-1, shall
designate one or more banks, savings and loan
associations, situated in the State of Illinois, in which school funds and
moneys in the custody of the township treasurer or of the school treasurer
shall be kept. When a bank or savings and loan association has been
designated as a depositary it shall continue as such until 10 days after a
new depositary is designated and has qualified by furnishing statements of
resources and liabilities as is required by this section. When a new
depositary is designated, the trustees of schools in Class II county school
units, school boards in Class I county school units, and those
school boards in Class II county school units that have elected or appointed
their own school treasurer pursuant to subsection (b) or (c) of Section
5-1 and subsection (b) or (c) of Section 8-1, shall notify the sureties
of the township treasurer or of the school treasurer, as the case may be, of
that fact, in writing at least 5 days before the transfer of funds. The
township treasurer or the school treasurer shall be discharged from
responsibility for such funds and moneys which he deposits in a depositary so
designated while such funds and moneys are so deposited.
No bank or savings and loan association shall receive public funds as
permitted by this Section, unless it has complied with the requirements
established pursuant to Section 6 of the Public Funds Investment Act.
Township and school treasurers are authorized to enter into agreements
of any definite or indefinite term regarding the deposit, redeposit,
investment, reinvestment or withdrawal of school funds, including, without
limitation, agreements with other township and school treasurers,
agreements with community college districts authorized by Section 3-47 of
the Public Community College Act and agreements with educational service
regions authorized by Section 3-9.1.
Each township and school treasurer is permitted to (i) combine moneys
from more than one fund of a single school district for the purpose of
investing such funds, and (ii) join with township and school treasurers,
community college districts and educational service regions in investing school
funds, community college funds and educational service region funds. Such joint
investments shall be made only in investments authorized by law for the
investment of school funds or, in the case of investments made jointly with
community college districts and educational service regions, in investments
authorized by law for the investment of school funds, community college funds
and educational service region funds. When moneys of more than one fund of a
single school district are combined for investment purposes or when moneys of a
school district are combined with moneys of other school districts, community
college districts or educational service regions, the moneys combined for such
purposes shall be accounted for separately in all respects, and the earnings
from such investment shall be separately and individually computed and
recorded, and credited to the fund or school district, community college
district or educational service region, as the case may be, for which the
investment was acquired.
(Source: P.A. 86-1051; 86-1441; 87-435; 87-473; 87-968.)
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