Public Act 095-0457
 		





SB1304 Enrolled
LRB095 10737 JAM 30976 b






    AN ACT concerning State government.

 
    Be it enacted by the People of the State of Illinois,
 
represented in the General Assembly:


 
    Section 5. The Department of Central Management Services 
Law of the
Civil Administrative Code of Illinois is amended  by 
changing Section 405-110 as follows:
 



    (20 ILCS 405/405-110)  (was 20 ILCS 405/64.2)



    Sec. 405-110. Federal tax-exempt benefits in lieu of salary 
or wages; flexible spending. 

    (a) The Department may, at the
Director's discretion, 
establish
and implement or approve plans whereby State 
employees and officers,
including those of State universities 
and colleges, may enter into
agreements with their employer to 
elect to receive, in lieu of salary or
wages, benefits that are 
not taxable under the federal Internal
Revenue
Code.  These 
agreements may include the acceptance of a reduction
in

earnings or the foregoing of an increase in earnings by an 
employee and the
employer's payment of those amounts as 
employer contributions for
benefits
that the employee selects 
from a list of employee benefits
offered by the
employer.

    (b) Prior to the establishment of such a plan under 
subsection (a), the Director shall seek
the advice of 
interested State agencies regarding the content and

implementation of the plan.

    (c) Selection of plan offerings under subsection (a) shall 
not be subject to the Illinois
Purchasing Act.

    (d) Benefits selected by employees in plans under 
subsection (a) shall be included in gross income for

determination of pension base.

    (e) To the extent allowable under federal law and 
regulations, the Department of Central Management Services 
must allow employees of State colleges and universities to 
participate in the Department's flexible spending program. The 
flexible spending program includes the dependent care 
assistance plan and the medical care assistance plan.

(Source: P.A. 91-239, eff. 1-1-00.)