SB0296 102ND GENERAL ASSEMBLY

LRB102 11536 RPS 16870 b

102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
SB0296

Introduced 2/19/2021, by Sen. Karina Villa

SYNOPSIS AS INTRODUCED:

40 ILCS 5/1-107	from Ch. 108 1/2, par. 1-107
30 ILCS 805/8.45 new

Amends the General Provisions Article of the Illinois Pension Code. Provides that every retirement system, pension fund, or other system or fund established under the Code shall (instead of may) indemnify and protect the trustees and staff (instead of the trustees, staff, and consultants) against all damage claims and suits, including the defense thereof, when damages are sought for negligent or wrongful acts alleged to have been committed in the scope of employment or under the direction of the trustees. Amends the State Mandates Act to require implementation without reimbursement by the State.

FISCAL NOTE ACT MAY APPLY

PENSION IMPACT NOTE ACT MAY APPLY

STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT

A BILL FOR

AN ACT concerning public employee benefits.

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

Section 5. The Illinois Pension Code is amended by changing Section 1-107 as follows:

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

Sec. 1-107. Indemnification of trustees, consultants and employees of retirement systems and pension funds. Every retirement system, pension fund or other system or fund established under this Code shall may indemnify and protect the trustees and , staff and consultants against all damage claims and suits, including the defense thereof, when damages are sought for negligent or wrongful acts alleged to have been committed in the scope of employment or under the direction of the trustees. Every retirement system, pension fund, or other system or fund established under this Code may indemnify and protect consultants against all damage claims and suits, including the defense thereof, when damages are sought for negligent or wrongful acts alleged to have been committed in the scope of employment or under the direction of the trustees. However, the trustees, staff and consultants shall not be indemnified for wilful misconduct and gross negligence. Each board is authorized to insure against loss or liability of the trustees, staff and consultants which may result from these damage claims. This insurance shall be carried in a company which is licensed to write such coverage in this State.

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

Section 90. The State Mandates Act is amended by adding Section 8.45 as follows:

(30 ILCS 805/8.45 new)

Sec. 8.45. Exempt mandate. Notwithstanding Sections 6 and 8 of this Act, no reimbursement by the State is required for the implementation of any mandate created by this amendatory Act of the 102nd General Assembly.