Illinois SB 638: SCH CD-ALTERNATIVE EDUCATOR

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 Full Text of SB0638

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 Senate Amendment 001 
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SB0638 EnrolledLRB104 06916 RTM 16952 b

1 AN ACT concerning local government.

2 Be it enacted by the People of the State of Illinois, 

3represented in the General Assembly:

4 Section 5. The Illinois Municipal Code is amended by 

5adding Section 10-4-1.5 as follows:

6 (65 ILCS 5/10-4-1.5 new)

7 Sec. 10-4-1.5. Other postemployment benefit trusts.

8 (a) As used in this Section, "OPEB trust" means an other 

9postemployment benefit trust established by a municipality for 

10the purpose of providing for the funding and payment of health 

11and other fringe benefits for retired or terminated employees 

12of the municipality or employees of the municipality with 

13disabilities or for their dependents and beneficiaries.

14 (b) If the moneys in the general fund of a municipality 

15exceed the municipality's operating expenses for the 

16immediately preceding calendar year, then the municipality may 

17establish an OPEB trust or deposit moneys into an existing 

18OPEB trust.

19 (c) Trusts created by a municipality under this Section 

20are in addition to pension benefits provided by the 

21municipality for its employees under the Illinois Pension 

22Code.

23 (d) The OPEB trusts may employ such personnel and enter 

SB0638 Enrolled- 2 -LRB104 06916 RTM 16952 b

1into investment, advisory, or professional services or similar 

2contracts as deemed appropriate by the corporate authorities 

3of the municipality and recommended by the Treasurer of the 

4municipality.

5 (e) The OPEB trusts may be established in a manner so as to 

6be exempt from taxation under the provisions of applicable 

7federal a