SB2525 Engrossed

LRB096 16690 AMC 31974 b





  
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    AN ACT concerning public employee benefits.
  
 
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    Be it enacted by the People of the State of Illinois,
 
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represented in the General Assembly:
  
 
 
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    Section 5. The Illinois Pension Code is amended by changing 
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Section 1-107 as follows:
 



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    (40 ILCS 5/1-107)  (from Ch. 108 1/2, par. 1-107)



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    Sec. 1-107. Indemnification of trustees, consultants, and 
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employees of
retirement systems and pension funds.  Every 
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retirement system,  pension
fund, or other system or fund 
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established under this Code, other than a retirement system  
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established under Article 2, 14, 15, 16, or 18 of this Code or 
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the investment board established under Article 22A of this 
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Code, must indemnify and
protect the trustees against all 
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damage claims
and suits, including defense thereof, when 
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damages are sought for negligent
or wrongful acts alleged to 
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have been committed in the scope of their powers and duties as 
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trustees. 
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    Every retirement system established under Article 2, 14, 
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15, 16, or 18 of this Code may indemnify and
protect the 
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trustees against all damage claims
and suits, including defense 
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thereof, when damages are sought for negligent
or wrongful acts 
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alleged to have been committed in the scope of their powers and 
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duties as trustees. 
 


 






SB2525 Engrossed
- 2 -
LRB096 16690 AMC 31974 b




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    The investment board established under Article 22A of this 
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Code may indemnify and
protect its members against all damage 
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claims
and suits, including defense thereof, when damages are 
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sought for negligent
or wrongful acts alleged to have been 
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committed in the scope of their powers and duties as members. 
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    Every retirement system, pension
fund, or other system or 
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fund established under this Code may indemnify and
protect the 
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trustees, staff and consultants against all damage claims
and 
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suits, including defense thereof, when damages are sought for 
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negligent
or wrongful acts alleged to have been committed in 
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the scope of employment
or under the direction of the trustees.  
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    However, the trustees, staff, and
consultants shall not be 
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indemnified for wilful misconduct and gross negligence.

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    Each board is authorized to insure against loss or 
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liability of the trustees,
staff, and consultants which may 
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result from these damage claims.  This insurance
shall be 
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carried in a company which is licensed to write such coverage 
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in this State.

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(Source: P.A. 80-1364.)

 
 
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    Section 99. Effective date. This Act takes effect upon 
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becoming law.