HB1562eng 98TH GENERAL ASSEMBLY

HB1562 Engrossed LRB098 10396 MRW 40587 b

AN ACT concerning local government.

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

Section 5. The Governmental Account Audit Act is amended by changing Section 11 as follows:

(50 ILCS 310/11) (from Ch. 85, par. 711)

Sec. 11. Except as otherwise provided in Section 6-31011 of the Counties Code or Section 8-8-10 of the Illinois Municipal Code, the The governing body of a governmental unit may establish an audit committee, and may appoint members of the corporate authority or other appropriate officers to the committee, to review audit reports prepared under this Act and any other financial reports and documents, including management letters prepared by or on behalf of the unit.

(Source: P.A. 82-644.)

Section 10. The Counties Code is amended by changing Section 6-31011 as follows:

(55 ILCS 5/6-31011) (from Ch. 34, par. 6-31011)

Sec. 6-31011. Finance and audit Audit committee. On the effective date of this amendatory Act of the 98th General Assembly, the The corporate authorities of a county shall may establish a finance and an audit committee, and shall may appoint members of the corporate authority, or other appropriate officers, and members of the public to the committee, to review audit reports prepared under this Division and any other financial reports and documents, including management letters prepared by or on behalf of the county.

The duties of the finance and audit committee shall include, but are not limited to:

(1) inspecting, on a semi-annual basis, the treasurer's books and accounts;

(2) reviewing, on a semi-annual basis, all financial accounts and financial activities of the county with any bank, savings and loan association, savings bank, credit union, or any other financial institution;

(3) reviewing, on an annual basis, a list of all county accounts with any bank, savings and loan association, savings bank, credit union or any other financial institution;

(4) reviewing, on a semi-annual basis, any management letters prepared by or on behalf of the county;

(5) reviewing, on an annual basis, all audit reports prepared under this Division; and

(6) reviewing any other financial reports and documents prepared by or on behalf of the county.

(Source: P.A. 86-962.)

Section 15. The Illinois Municipal Code is amended by changing Section 8-8-10 as follows:

(65 ILCS 5/8-8-10) (from Ch. 24, par. 8-8-10)

Sec. 8-8-10. Finance and audit committee. On the effective date of this amendatory Act of the 98th General Assembly, the The corporate authorities of a municipality shall may establish a finance and an audit committee, and shall may appoint members of the corporate authority, or other appropriate officers, and members of the public to the committee, to review audit reports prepared under this Act and any other financial reports and documents, including management letters prepared by or on behalf of the municipality.

The duties of the finance and audit committee shall include, but are not limited to:

(1) inspecting, on a semi-annual basis, the treasurer's books and accounts;

(2) reviewing, on a semi-annual basis, all financial accounts and financial activities of the municipality with any bank, savings and loan association, savings bank, credit union, or any other financial institution;

(3) reviewing, on an annual basis, a list of all municipal accounts with any bank, savings and loan association, savings bank, credit union or any other financial institution;

(4) reviewing, on a semi-annual basis, any management letters prepared by or on behalf of the municipality;

(5) reviewing, on an annual basis, all audit reports prepared under this Act; and

(6) reviewing any other financial reports and documents prepared by or on behalf of the municipality.

(Source: P.A. 82-644.)

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