97TH GENERAL ASSEMBLY
State of Illinois
2011 and 2012
HB0466

 

Introduced 01/31/11, by Rep. Michael J. Madigan

 

SYNOPSIS AS INTRODUCED:
 
30 ILCS 105/6z-43

    Amends the State Finance Act. Makes a technical change in a Section concerning the Tobacco Settlement Recovery Fund.


LRB097 03293 PJG 43330 b

 

 

A BILL FOR

 

HB0466LRB097 03293 PJG 43330 b

1    AN ACT concerning finance.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The State Finance Act is amended by changing
5Section 6z-43 as follows:
 
6    (30 ILCS 105/6z-43)
7    Sec. 6z-43. Tobacco Settlement Recovery Fund.
8    (a) There is created in the the State Treasury a special
9fund to be known as the Tobacco Settlement Recovery Fund, which
10shall contain 3 accounts: (i) the General Account, (ii) the
11Tobacco Settlement Bond Proceeds Account and (iii) the Tobacco
12Settlement Residual Account. There shall be deposited into the
13several accounts of the Tobacco Settlement Recovery Fund all
14monies paid to the State pursuant to (1) the Master Settlement
15Agreement entered in the case of People of the State of
16Illinois v. Philip Morris, et al. (Circuit Court of Cook
17County, No. 96-L13146) and (2) any settlement with or judgment
18against any tobacco product manufacturer other than one
19participating in the Master Settlement Agreement in
20satisfaction of any released claim as defined in the Master
21Settlement Agreement, as well as any other monies as provided
22by law. Moneys shall be deposited into the Tobacco Settlement
23Bond Proceeds Account and the Tobacco Settlement Residual

 

 

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1Account as provided by the terms of the Railsplitter Tobacco
2Settlement Authority Act, provided that an annual amount not
3less than $2,500,000, subject to appropriation, shall be
4deposited into the Tobacco Settlement Residual Account for use
5by the Attorney General for enforcement of the Master
6Settlement Agreement. All other moneys available to be
7deposited into the Tobacco Settlement Recovery Fund shall be
8deposited into the General Account. An investment made from
9moneys credited to a specific account constitutes part of that
10account and such account shall be credited with all income from
11the investment of such moneys. The Treasurer may invest the
12moneys in the several accounts the Fund in the same manner, in
13the same types of investments, and subject to the same
14limitations provided in the Illinois Pension Code for the
15investment of pension funds other than those established under
16Article 3 or 4 of the Code. Notwithstanding the foregoing, to
17the extent necessary to preserve the tax-exempt status of any
18bonds issued pursuant to the Railsplitter Tobacco Settlement
19Authority Act, the interest on which is intended to be
20excludable from the gross income of the owners for federal
21income tax purposes, moneys on deposit in the Tobacco
22Settlement Bond Proceeds Account and the Tobacco Settlement
23Residual Account may be invested in obligations the interest
24upon which is tax-exempt under the provisions of Section 103 of
25the Internal Revenue Code of 1986, as now or hereafter amended,
26or any successor code or provision.

 

 

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1    (b) Moneys on deposit in the Tobacco Settlement Bond
2Proceeds Account and the Tobacco Settlement Residual Account
3may be expended, subject to appropriation, for the purposes
4authorized in Section 6(g) of the Railsplitter Tobacco
5Settlement Authority Act.
6    (c) As soon as may be practical after June 30, 2001, upon
7notification from and at the direction of the Governor, the
8State Comptroller shall direct and the State Treasurer shall
9transfer the unencumbered balance in the Tobacco Settlement
10Recovery Fund as of June 30, 2001, as determined by the
11Governor, into the Budget Stabilization Fund. The Treasurer may
12invest the moneys in the Budget Stabilization Fund in the same
13manner, in the same types of investments, and subject to the
14same limitations provided in the Illinois Pension Code for the
15investment of pension funds other than those established under
16Article 3 or 4 of the Code.
17    (d) All federal financial participation moneys received
18pursuant to expenditures from the Fund shall be deposited into
19the General Account.
20(Source: P.A. 95-331, eff. 8-21-07; 96-958, eff. 7-1-10.)