Rep. Donald L. Moffitt

Filed: 5/3/2011

 

 


 

 


 
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1
AMENDMENT TO HOUSE BILL 1362

2    AMENDMENT NO. ______. Amend House Bill 1362, AS AMENDED, by
3replacing everything after the enacting clause with the
4following:
 
5    "Section 5. The Fire Protection District Act is amended by
6changing Section 11a as follows:
 
7    (70 ILCS 705/11a)  (from Ch. 127 1/2, par. 31a)
8    Sec. 11a. The Board of Trustees of any fire protection
9district organized hereunder may contract with any corporation
10organized to furnish fire protection service or with any
11association organized to furnish fire protection service or
12with any city, village, incorporated town, or organized fire
13protection district lying adjacent to such district for fire
14protection service to be furnished by such corporation or such
15association or such municipality or fire protection district
16for the property within such district or to be furnished by

 

 

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1such district for the property within such municipality. The
2board of trustees may also contract for the installation,
3rental or use of fire hydrants within the fire protection
4district and for the furnishing of water to be used within such
5district for fire protection purposes, and for mutual aid from
6and to other fire protection districts, and for mutual aid from
7and to corporations and associations organized to furnish fire
8protection service and for mutual aid from and to
9municipalities.
10    A municipality's fiscal obligations for fire protection
11services under a contract with a fire protection district
12entered into under this Section shall comply with the Local
13Government Prompt Payment Act. If a municipality fails to make
14a payment within 90 days, an interest penalty of 1% of any
15amount approved and unpaid shall be added for each 90 days or
16fraction thereof after the expiration of the 90 day period,
17until final payment is made. In the case of an action in court
18to collect delinquent fees from a contract for services between
19a municipality and a fire protection district, the losing party
20shall pay all reasonable legal fees incurred in the proceeding.
21    When the Board of Trustees of a Fire Protection District
22purchases fire protection services from an organization
23(specifically including without limitation a city, village,
24incorporated town, or adjacent fire protection district) that
25is required to be audited by "An Act in relation to audits of
26the accounts of certain governmental units and to repeal an Act

 

 

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1therein named", approved May 10, 1967, or by The Illinois
2Municipal Auditing Law, the scope of the audit of the
3organization providing the fire protection services shall be
4expanded to require the licensed public accountant performing
5the audit to specifically report on compliance with the terms
6of the contract as it relates to financial matters, including
7but not limited to the amount charged to the purchasing Fire
8Protection District. To the extent possible, the financial
9statements of the providing organization shall segregate
10accounts relating to fire protection service transactions and
11present them as a separate fund or as a separate department
12within a fund. A copy of the providing organization audit
13report shall be furnished to the purchasing Fire Protection
14District within 6 months after the close of the fiscal year of
15the organization providing the fire protection services.
16    When the Board of Trustees of a Fire Protection District
17purchases fire protection services from an organization
18(specifically including without limitation a not-for-profit
19corporation or a for-profit corporation or association) that is
20not required to be audited by "An Act in relation to audits of
21the accounts of certain governmental units and to repeal an Act
22therein named", approved May 10, 1967, or by The Illinois
23Municipal Auditing Law, the organization providing the fire
24protection services shall employ a person licensed to practice
25public accounting under the laws of this State to annually
26audit the providing organization's financial statements of all

 

 

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1accounts, funds, and other moneys in the care, custody, or
2control of the providing organization. Such audit shall be
3conducted in accordance with Generally Accepted Auditing
4Standards and the scope of such audit shall be expanded to
5require the licensed public accountant performing the audit to
6specifically report on compliance with the terms of the
7contract as it relates to financial matters, including but not
8limited to the amount charged to the purchasing Fire Protection
9District. To the extent possible, the financial statements of
10the providing organization shall segregate accounts relating
11to fire protection service transactions and present them as a
12separate fund or as a separate department within a fund. A copy
13of the providing organization audit report shall be furnished
14to the purchasing Fire Protection District within 6 months
15after the close of the fiscal year of the organization
16providing the fire protection services. Within 15 days after
17the first meeting of the board of directors or trustees of the
18organization providing the fire protection services that
19occurs after receiving the audit report, the organization
20providing the fire protection services shall publish excerpts
21from the audit report that relate to fire protection service
22operations in accordance with Section 7 of this Act. When fire
23protection services are rendered in more than one geographic
24area, publication or distribution should be made in each
25geographic area served.
26(Source: P.A. 86-216; 86-1023.)
 

 

 

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1    Section 99. Effective date. This Act takes effect upon
2becoming law.".