IL
Illinois Senate Bill SB1301

Illinois 2025-2026 Regular Session

Illinois Senate Bill SB1301 Compare Versions

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1-SB1301 EngrossedLRB104 08229 SPS 18279 b SB1301 Engrossed LRB104 08229 SPS 18279 b
2- SB1301 Engrossed LRB104 08229 SPS 18279 b
1+104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB1301 Introduced 1/28/2025, by Sen. Mattie Hunter SYNOPSIS AS INTRODUCED: 15 ILCS 520/16.1 from Ch. 130, par. 35.115 ILCS 520/16.330 ILCS 235/8 Amends the Deposit of State Moneys Act and the Public Funds Investment Act. Provides that the State Treasurer or any public agency may consider the current and historical ratings that a financial institution has received under the Illinois Community Reinvestment Act when deciding whether to deposit State or public funds in that financial institution. Provides that, effective January 1, 2026, no State or public funds may be deposited in a financial institution subject to the Illinois Community Reinvestment Act unless either (i) the institution has a current rating of satisfactory or outstanding under the Illinois Community Reinvestment Act or (ii) the Department of Financial and Professional Regulation has not yet completed its initial examination of the institution pursuant to the Illinois Community Reinvestment Act. Makes conforming changes. Effective January 1, 2026. LRB104 08229 SPS 18279 b A BILL FOR 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB1301 Introduced 1/28/2025, by Sen. Mattie Hunter SYNOPSIS AS INTRODUCED: 15 ILCS 520/16.1 from Ch. 130, par. 35.115 ILCS 520/16.330 ILCS 235/8 15 ILCS 520/16.1 from Ch. 130, par. 35.1 15 ILCS 520/16.3 30 ILCS 235/8 Amends the Deposit of State Moneys Act and the Public Funds Investment Act. Provides that the State Treasurer or any public agency may consider the current and historical ratings that a financial institution has received under the Illinois Community Reinvestment Act when deciding whether to deposit State or public funds in that financial institution. Provides that, effective January 1, 2026, no State or public funds may be deposited in a financial institution subject to the Illinois Community Reinvestment Act unless either (i) the institution has a current rating of satisfactory or outstanding under the Illinois Community Reinvestment Act or (ii) the Department of Financial and Professional Regulation has not yet completed its initial examination of the institution pursuant to the Illinois Community Reinvestment Act. Makes conforming changes. Effective January 1, 2026. LRB104 08229 SPS 18279 b LRB104 08229 SPS 18279 b A BILL FOR
2+104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB1301 Introduced 1/28/2025, by Sen. Mattie Hunter SYNOPSIS AS INTRODUCED:
3+15 ILCS 520/16.1 from Ch. 130, par. 35.115 ILCS 520/16.330 ILCS 235/8 15 ILCS 520/16.1 from Ch. 130, par. 35.1 15 ILCS 520/16.3 30 ILCS 235/8
4+15 ILCS 520/16.1 from Ch. 130, par. 35.1
5+15 ILCS 520/16.3
6+30 ILCS 235/8
7+Amends the Deposit of State Moneys Act and the Public Funds Investment Act. Provides that the State Treasurer or any public agency may consider the current and historical ratings that a financial institution has received under the Illinois Community Reinvestment Act when deciding whether to deposit State or public funds in that financial institution. Provides that, effective January 1, 2026, no State or public funds may be deposited in a financial institution subject to the Illinois Community Reinvestment Act unless either (i) the institution has a current rating of satisfactory or outstanding under the Illinois Community Reinvestment Act or (ii) the Department of Financial and Professional Regulation has not yet completed its initial examination of the institution pursuant to the Illinois Community Reinvestment Act. Makes conforming changes. Effective January 1, 2026.
8+LRB104 08229 SPS 18279 b LRB104 08229 SPS 18279 b
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10+A BILL FOR
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313 1 AN ACT concerning State government.
414 2 Be it enacted by the People of the State of Illinois,
515 3 represented in the General Assembly:
616 4 Section 5. The Deposit of State Moneys Act is amended by
717 5 changing Sections 16.1 and 16.3 as follows:
818 6 (15 ILCS 520/16.1) (from Ch. 130, par. 35.1)
919 7 Sec. 16.1. Depository reports. The State Treasurer may
1020 8 request, at his discretion, a financial institution, as a
1121 9 condition to serving as a State depository of public funds, to
1222 10 submit to the State Treasurer a copy of the consolidated
1323 11 report of condition and income required to be submitted on a
1424 12 periodic basis to a State state or federal regulator of the
1525 13 financial institution, and a copy of the financial
1626 14 institution's Illinois Community Reinvestment Act statement
1727 15 and examination, if available, and a copy of the financial
1828 16 institution's federal Community Reinvestment Act of 1977
1929 17 statement and examination, if available. Nothing in this
2030 18 Section, however, shall require a financial institution to
2131 19 submit any document or part thereof deemed to be confidential
2232 20 by a State or federal regulator of the financial institution.
2333 21 (Source: P.A. 87-510.)
2434 22 (15 ILCS 520/16.3)
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38+104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB1301 Introduced 1/28/2025, by Sen. Mattie Hunter SYNOPSIS AS INTRODUCED:
39+15 ILCS 520/16.1 from Ch. 130, par. 35.115 ILCS 520/16.330 ILCS 235/8 15 ILCS 520/16.1 from Ch. 130, par. 35.1 15 ILCS 520/16.3 30 ILCS 235/8
40+15 ILCS 520/16.1 from Ch. 130, par. 35.1
41+15 ILCS 520/16.3
42+30 ILCS 235/8
43+Amends the Deposit of State Moneys Act and the Public Funds Investment Act. Provides that the State Treasurer or any public agency may consider the current and historical ratings that a financial institution has received under the Illinois Community Reinvestment Act when deciding whether to deposit State or public funds in that financial institution. Provides that, effective January 1, 2026, no State or public funds may be deposited in a financial institution subject to the Illinois Community Reinvestment Act unless either (i) the institution has a current rating of satisfactory or outstanding under the Illinois Community Reinvestment Act or (ii) the Department of Financial and Professional Regulation has not yet completed its initial examination of the institution pursuant to the Illinois Community Reinvestment Act. Makes conforming changes. Effective January 1, 2026.
44+LRB104 08229 SPS 18279 b LRB104 08229 SPS 18279 b
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46+A BILL FOR
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52+15 ILCS 520/16.1 from Ch. 130, par. 35.1
53+15 ILCS 520/16.3
54+30 ILCS 235/8
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3373 1 Sec. 16.3. Consideration of financial institution's
3474 2 commitment to its community.
3575 3 (a) In addition to any other requirements of this Act, the
3676 4 State Treasurer shall consider the financial institution's
3777 5 record and current level of financial commitment to its local
3878 6 community when deciding whether to deposit State funds in that
3979 7 financial institution. The State Treasurer may consider
4080 8 factors, including, but not necessarily limited to:
4181 9 (1) for financial institutions subject to the federal
4282 10 Community Reinvestment Act of 1977, the current and
4383 11 historical ratings that the financial institution has
4484 12 received, to the extent that those ratings are publicly
4585 13 available, under the federal Community Reinvestment Act of
4686 14 1977;
4787 15 (1.5) for financial institutions subject to the
4888 16 Illinois Community Reinvestment Act, the current and
4989 17 historical ratings that the financial institution has
50-18 received under the Illinois Community Reinvestment Act, to
51-19 the extent that those ratings are publicly available;
90+18 received, to the extent that those ratings are publicly
91+19 available, under the Illinois Community Reinvestment Act;
5292 20 (2) any changes in ownership, management, policies, or
5393 21 practices of the financial institution that may affect the
5494 22 level of the financial institution's commitment to its
5595 23 community;
5696 24 (3) the financial impact that the withdrawal or denial
5797 25 of deposits of State funds might have on the financial
5898 26 institution; and
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69109 1 (4) the financial impact to the State as a result of
70110 2 withdrawing State funds or refusing to deposit additional
71111 3 State funds in the financial institution.
72112 4 (a-5) Effective January 1, 2022, no State funds may be
73113 5 deposited in a financial institution subject to the federal
74114 6 Community Reinvestment Act of 1977 unless the institution has
75115 7 a current rating of satisfactory or outstanding under the
76116 8 Community Reinvestment Act of 1977.
77117 9 (a-6) Effective January 1, 2026, no State funds may be
78118 10 deposited in a financial institution subject to the Illinois
79119 11 Community Reinvestment Act unless either (i) the institution
80120 12 has a current rating of satisfactory or outstanding under the
81-13 Illinois Community Reinvestment Act at the time of deposit or
82-14 (ii) the Department of Financial and Professional Regulation
83-15 has not yet completed its initial examination of the
84-16 institution pursuant to the Illinois Community Reinvestment
85-17 Act. State funds that have been deposited may not be withdrawn
86-18 from a financial institution prior to the date of maturity
87-19 solely on the basis of a less than satisfactory rating under
88-20 the Illinois Community Reinvestment Act.
89-21 (a-10) When investing or depositing State funds, the State
90-22 Treasurer may give preference to financial institutions that
91-23 have a current rating of outstanding under the federal
92-24 Community Reinvestment Act of 1977 and the Illinois Community
93-25 Reinvestment Act.
94-26 (b) Nothing in this Section shall be construed as
121+13 Illinois Community Reinvestment Act or (ii) the Department of
122+14 Financial and Professional Regulation has not yet completed
123+15 its initial examination of the institution pursuant to the
124+16 Illinois Community Reinvestment Act.
125+17 (a-10) When investing or depositing State funds, the State
126+18 Treasurer may give preference to financial institutions that
127+19 have a current rating of outstanding under the federal
128+20 Community Reinvestment Act of 1977 and the Illinois Community
129+21 Reinvestment Act.
130+22 (b) Nothing in this Section shall be construed as
131+23 authorizing the State Treasurer to conduct an examination or
132+24 investigation of a financial institution or to receive
133+25 information that is not publicly available and the disclosure
134+26 of which is otherwise prohibited by law.
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105-1 authorizing the State Treasurer to conduct an examination or
106-2 investigation of a financial institution or to receive
107-3 information that is not publicly available and the disclosure
108-4 of which is otherwise prohibited by law.
109-5 (Source: P.A. 101-657, eff. 3-23-21.)
110-6 Section 10. The Public Funds Investment Act is amended by
111-7 changing Section 8 as follows:
112-8 (30 ILCS 235/8)
113-9 Sec. 8. Consideration of financial institution's
114-10 commitment to its community.
115-11 (a) In addition to any other requirements of this Act, a
116-12 public agency shall consider the financial institution's
117-13 record and current level of financial commitment to its local
118-14 community when deciding whether to deposit public funds in
119-15 that financial institution. The public agency may consider
120-16 factors including, but not necessarily limited to:
121-17 (1) for financial institutions subject to the federal
122-18 Community Reinvestment Act of 1977, the current and
123-19 historical ratings that the financial institution has
124-20 received, to the extent that those ratings are publicly
125-21 available, under the federal Community Reinvestment Act of
126-22 1977;
127-23 (1.5) for financial institutions subject to the
128-24 Illinois Community Reinvestment Act, the current and
143+SB1301- 4 -LRB104 08229 SPS 18279 b SB1301 - 4 - LRB104 08229 SPS 18279 b
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145+1 (Source: P.A. 101-657, eff. 3-23-21.)
146+2 Section 10. The Public Funds Investment Act is amended by
147+3 changing Section 8 as follows:
148+4 (30 ILCS 235/8)
149+5 Sec. 8. Consideration of financial institution's
150+6 commitment to its community.
151+7 (a) In addition to any other requirements of this Act, a
152+8 public agency shall consider the financial institution's
153+9 record and current level of financial commitment to its local
154+10 community when deciding whether to deposit public funds in
155+11 that financial institution. The public agency may consider
156+12 factors including, but not necessarily limited to:
157+13 (1) for financial institutions subject to the federal
158+14 Community Reinvestment Act of 1977, the current and
159+15 historical ratings that the financial institution has
160+16 received, to the extent that those ratings are publicly
161+17 available, under the federal Community Reinvestment Act of
162+18 1977;
163+19 (1.5) for financial institutions subject to the
164+20 Illinois Community Reinvestment Act, the current and
165+21 historical ratings that the financial institution has
166+22 received, to the extent that those ratings are publicly
167+23 available, under the Illinois Community Reinvestment Act;
168+24 (2) any changes in ownership, management, policies, or
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139-1 historical ratings that the financial institution has
140-2 received under the Illinois Community Reinvestment Act, to
141-3 the extent that those ratings are publicly available;
142-4 (2) any changes in ownership, management, policies, or
143-5 practices of the financial institution that may affect the
144-6 level of the financial institution's commitment to its
145-7 community;
146-8 (3) the financial impact that the withdrawal or denial
147-9 of deposits of public funds might have on the financial
148-10 institution;
149-11 (4) the financial impact to the public agency as a
150-12 result of withdrawing public funds or refusing to deposit
151-13 additional public funds in the financial institution; and
152-14 (5) any additional burden on the resources of the
153-15 public agency that might result from ceasing to maintain
154-16 deposits of public funds at the financial institution
155-17 under consideration.
156-18 (a-5) Effective January 1, 2022, no public funds may be
157-19 deposited in a financial institution subject to the federal
158-20 Community Reinvestment Act of 1977 unless the institution has
159-21 a current rating of satisfactory or outstanding under the
160-22 Community Reinvestment Act of 1977.
161-23 (a-6) Effective January 1, 2026, no public funds may be
162-24 deposited in a financial institution subject to the Illinois
163-25 Community Reinvestment Act unless either (i) the institution
164-26 has a current rating of satisfactory or outstanding under the
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179+1 practices of the financial institution that may affect the
180+2 level of the financial institution's commitment to its
181+3 community;
182+4 (3) the financial impact that the withdrawal or denial
183+5 of deposits of public funds might have on the financial
184+6 institution;
185+7 (4) the financial impact to the public agency as a
186+8 result of withdrawing public funds or refusing to deposit
187+9 additional public funds in the financial institution; and
188+10 (5) any additional burden on the resources of the
189+11 public agency that might result from ceasing to maintain
190+12 deposits of public funds at the financial institution
191+13 under consideration.
192+14 (a-5) Effective January 1, 2022, no public funds may be
193+15 deposited in a financial institution subject to the federal
194+16 Community Reinvestment Act of 1977 unless the institution has
195+17 a current rating of satisfactory or outstanding under the
196+18 Community Reinvestment Act of 1977.
197+19 (a-6) Effective January 1, 2026, no public funds may be
198+20 deposited in a financial institution subject to the Illinois
199+21 Community Reinvestment Act unless either (i) the institution
200+22 has a current rating of satisfactory or outstanding under the
201+23 Illinois Community Reinvestment Act or (ii) the Department of
202+24 Financial and Professional Regulation has not yet completed
203+25 its initial examination of the institution pursuant to the
204+26 Illinois Community Reinvestment Act.
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175-1 Illinois Community Reinvestment Act at the time of deposit or
176-2 (ii) the Department of Financial and Professional Regulation
177-3 has not yet completed its initial examination of the
178-4 institution pursuant to the Illinois Community Reinvestment
179-5 Act. Public funds that have been deposited may not be
180-6 withdrawn from a financial institution prior to the date of
181-7 maturity solely on the basis of a less than satisfactory
182-8 rating under the Illinois Community Reinvestment Act.
183-9 (a-10) When investing or depositing public funds, the
184-10 public agency may give preference to financial institutions
185-11 that have a current rating of outstanding under the federal
186-12 Community Reinvestment Act of 1977 and the Illinois Community
187-13 Reinvestment Act.
188-14 (b) Nothing in this Section shall be construed as
189-15 authorizing the public agency to conduct an examination or
190-16 investigation of a financial institution or to receive
191-17 information that is not publicly available and the disclosure
192-18 of which is otherwise prohibited by law.
193-19 (Source: P.A. 101-657, eff. 3-23-21.)
194-20 Section 99. Effective date. This Act takes effect January
195-21 1, 2026.
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215+1 (a-10) When investing or depositing public funds, the
216+2 public agency may give preference to financial institutions
217+3 that have a current rating of outstanding under the federal
218+4 Community Reinvestment Act of 1977 and the Illinois Community
219+5 Reinvestment Act.
220+6 (b) Nothing in this Section shall be construed as
221+7 authorizing the public agency to conduct an examination or
222+8 investigation of a financial institution or to receive
223+9 information that is not publicly available and the disclosure
224+10 of which is otherwise prohibited by law.
225+11 (Source: P.A. 101-657, eff. 3-23-21.)
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