SB3563 EngrossedLRB103 36270 AWJ 66367 b SB3563 Engrossed LRB103 36270 AWJ 66367 b SB3563 Engrossed LRB103 36270 AWJ 66367 b 1 AN ACT concerning local government. 2 Be it enacted by the People of the State of Illinois, 3 represented in the General Assembly: 4 Section 5. The Illinois Local Library Act is amended by 5 changing Section 4-9 as follows: 6 (75 ILCS 5/4-9) (from Ch. 81, par. 4-9) 7 Sec. 4-9. In townships and in cities, villages and 8 incorporated towns having a population of 500,000 or less, the 9 board of trustees shall require the treasurer of such board or 10 such other person as may be designated as the custodian of the 11 moneys paid over to such board to give a bond to be approved by 12 such board and in such amount, not less than 10% 50% of the 13 total funds received by the library in the last fiscal year, 14 conditioned that he will safely keep and pay over upon the 15 order of such board all funds received and held by him for such 16 board of trustees. For a library in a city, village, 17 incorporated town or township, the board of library trustees 18 may designate the treasurer of the corporate authority, or the 19 supervisor in the case of a township, as the custodian of the 20 library fund, and the bond given by the treasurer or the 21 supervisor shall satisfy the bond requirements of this section 22 when properly endorsed. The cost of any surety bond shall be 23 borne by the library. As an alternative to a personal bond on SB3563 Engrossed LRB103 36270 AWJ 66367 b SB3563 Engrossed- 2 -LRB103 36270 AWJ 66367 b SB3563 Engrossed - 2 - LRB103 36270 AWJ 66367 b SB3563 Engrossed - 2 - LRB103 36270 AWJ 66367 b 1 the treasurer or custodian of funds, the board of trustees may 2 require the treasurer or custodian to secure for the library 3 an insurance policy or other insurance instrument that 4 provides the library with coverage for negligent or 5 intentional acts by library officials and employees that could 6 result in the loss of library funds. The coverage shall be in 7 an amount at least equal to 10% 50% of the average amount of 8 the library's operating fund from the prior 3 fiscal years. 9 The coverage shall be placed with an insurer approved by the 10 board. The cost of any such coverage shall be borne by the 11 library. The library shall provide the Illinois State Library 12 a copy of the library's certificate of insurance at the time 13 the library's annual report is filed. 14 (Source: P.A. 97-101, eff. 1-1-12.) 15 Section 10. The Illinois Library System Act is amended by 16 changing Section 5 as follows: 17 (75 ILCS 10/5) (from Ch. 81, par. 115) 18 Sec. 5. Each library system created as provided in Section 19 4 of this Act shall be governed by a board of directors 20 numbering at least 5 and no more than 15 persons, except as 21 required by Section 6 for library systems in cities with a 22 population of 500,000 or more. The board shall be 23 representative of the variety of library interests in the 24 system, and at least a majority shall be elected or selected SB3563 Engrossed - 2 - LRB103 36270 AWJ 66367 b SB3563 Engrossed- 3 -LRB103 36270 AWJ 66367 b SB3563 Engrossed - 3 - LRB103 36270 AWJ 66367 b SB3563 Engrossed - 3 - LRB103 36270 AWJ 66367 b 1 from the governing boards of the member public libraries, with 2 not more than one director representing a single member 3 library. For library systems as defined in subparagraph (3) of 4 the definition of "library system" in Section 2, the board 5 members shall be representative of the types of libraries that 6 library system serves. The number of directors, the manner of 7 election or selection, the term of office and the provision 8 for filling vacancies shall be determined by the system 9 governing board except that all board members must be eligible 10 electors in the geographical area of the system. No director 11 of any library system, however, shall be permitted to serve 12 for more than a total of 6 years unless 2 years have elapsed 13 since his sixth year of service. 14 The board of directors shall elect a president, secretary 15 and treasurer. Before entering upon his duties, the treasurer 16 shall be required to give a bond in an amount to be approved by 17 the board, but in no case shall such amount be less than 10% 18 50% of the system's area and per capita grant for the previous 19 year, conditioned that he will safely keep and pay over upon 20 the order of such board all funds received and held by him for 21 the library system. As an alternative to a personal bond on the 22 treasurer, the board of trustees may require the treasurer to 23 secure for the system an insurance policy or other insurance 24 instrument that provides the library with coverage for 25 negligent or intentional acts by system officials and 26 employees that could result in the loss of system funds. The SB3563 Engrossed - 3 - LRB103 36270 AWJ 66367 b SB3563 Engrossed- 4 -LRB103 36270 AWJ 66367 b SB3563 Engrossed - 4 - LRB103 36270 AWJ 66367 b SB3563 Engrossed - 4 - LRB103 36270 AWJ 66367 b 1 coverage shall be in an amount at least equal to 10% 50% of the 2 average amount of the system's operating fund from the prior 3 3 fiscal years. The coverage shall be placed with an insurer 4 approved by the board. The cost of any such coverage shall be 5 borne by the system. The system shall provide the Illinois 6 State Library a copy of the system's certificate of insurance 7 at the time the system's annual report is filed. The funds of 8 the library system shall be deposited in a bank or savings and 9 loan association designated by the board of directors and 10 shall be expended only under the direction of such board upon 11 properly authenticated vouchers. 12 No bank or savings and loan association shall receive 13 public funds as permitted by this Section, unless it has 14 complied with the requirements established pursuant to Section 15 6 of the Public Funds Investment Act. 16 The members of the board of directors of the library 17 system shall serve without compensation but their actual and 18 necessary expenses shall be a proper charge against the 19 library fund. 20 (Source: P.A. 97-101, eff. 1-1-12.) 21 Section 15. The Public Library District Act of 1991 is 22 amended by changing Section 30-45 as follows: 23 (75 ILCS 16/30-45) 24 Sec. 30-45. Duties of officers. SB3563 Engrossed - 4 - LRB103 36270 AWJ 66367 b SB3563 Engrossed- 5 -LRB103 36270 AWJ 66367 b SB3563 Engrossed - 5 - LRB103 36270 AWJ 66367 b SB3563 Engrossed - 5 - LRB103 36270 AWJ 66367 b 1 (a) The duties of the officers of the board are as provided 2 in this Section. 3 (b) The president shall preside over all meetings, appoint 4 members of committees authorized by the district's 5 regulations, and perform other duties specified by the 6 district's regulations, ordinances, or other appropriate 7 action. In the president's absence, the vice president shall 8 preside at meetings. The president shall not have or exercise 9 veto powers. 10 (c) The vice president's duties shall be prescribed by 11 regulations. 12 (d) The treasurer shall keep and maintain accounts and 13 records of the district during the treasurer's term in office, 14 indicating in those accounts and records a record of all 15 receipts, disbursements, and balances in any funds. 16 Annual audit and financial report requirements shall 17 conform with Section 3 of the Governmental Account Audit Act. 18 (e) The treasurer shall give bond to the district to 19 faithfully discharge the duties of the office and to account 20 to the district for all district funds coming into the 21 treasurer's hands. The bond shall be in an amount and with 22 sureties approved by the board. The amount of the bond shall be 23 based upon a minimum of 10% 50% of the total funds received by 24 the district in the last previous fiscal year. The cost of any 25 surety bond shall be borne by the district. As an alternative 26 to a personal bond on the treasurer, the treasurer may secure SB3563 Engrossed - 5 - LRB103 36270 AWJ 66367 b SB3563 Engrossed- 6 -LRB103 36270 AWJ 66367 b SB3563 Engrossed - 6 - LRB103 36270 AWJ 66367 b SB3563 Engrossed - 6 - LRB103 36270 AWJ 66367 b 1 for the district an insurance policy or other insurance 2 instrument that provides the district with coverage for 3 negligent or intentional acts by district officials and 4 employees that could result in the loss of district funds. The 5 coverage shall be in an amount at least equal to 10% 50% of the 6 average amount of the district's operating fund from the prior 7 3 fiscal years. The coverage shall be placed with an insurer 8 approved by the board. The cost of any such coverage shall be 9 borne by the district. The system shall provide the Illinois 10 State Library a copy of the district's certificate of 11 insurance at the time the district's annual report is filed. 12 (f) Any person, entity, or public body or agency 13 possessing district funds, property, or records shall, upon 14 demand by any trustee, transfer and release the funds, 15 property, or records to the treasurer. 16 (g) The secretary shall keep and maintain appropriate 17 records for his or her term in office and shall include in 18 those records a record of the minutes of all meetings, the 19 names of those in attendance, the ordinances enacted, the 20 resolutions and regulations adopted, and all other pertinent 21 written matter affecting the operation of the district. The 22 secretary may administer oaths and affirmations for the 23 purposes of this Act. 24 (Source: P.A. 97-101, eff. 1-1-12.) SB3563 Engrossed - 6 - LRB103 36270 AWJ 66367 b