The Edgar County Watchdogs’ Illinois Leaks web site reports on a bill passed unanimously and signed into law by Governor Bruce Rauner which makes it more difficult to challenge township governments’ having too much money in the bank.
The Edgar County Watchdogs’ Illinois Leaks web site reports on a bill passed unanimously and signed into law by Governor Bruce Rauner which makes it more difficult to challenge township governments’ having too much money in the bank.
The article is below, reprinted with permission:
Gov Rauner signs Bill capping Township funds accumulation –
This Bill placed a cap on accumulation of Township funds, other than the Capitol Fund, to 2.5 times the average annual expenditure [of each fund] of the previous 3 fiscal years.
House Sponsors were Reps Halbrook and Ammons – Senate Sponsor was Sen Chapin Rose.
This Bill passed with unanimous YES votes in the Senate, and unanimous YES votes in the House with the exception of one voting “present.”
This bill was the result of our exposure of massive stockpiling of funds by the former Shelbyville Tonwship board.
Click here to read the signed Bill (Public Act 100-0474).
Township Code:
(60 ILCS 1/85-65 new) |
Sec. 85-65. Accumulation of funds. Township funds, |
excluding the township's capital fund, shall not exceed an |
amount equal to or greater than 2.5 times the annual average |
expenditure of the previous 3 fiscal years. |
Section 99. Effective date. This Act takes effect upon |
becoming law. |
= = = = =
The legislation was discussed at the Algonquin Township Board meeting on Wednesday by attorney James Kelly.
He explained that the bill would allow township funds to have 2 1/21 timed annual expenditures to be accumulated as a surplus.
Before, “common law” set the guideline at two times annual spending.
This amount accumulated does not include money set aside for capital projects, so the total in the bank could be more than 2 1/2 times a year’s expenditures.
“The essence is that we won’t be sued next year for some of these expenditures.”
Kelly estimated that both the Road and Bridge and Town Fund are at about two times annual spending, while the General Assistance Fund is at 3.4 times.
He should write a bill capping Transportation Funds in school districts!
Bad news for the hacks in Nunda Township!