Summary as Introduced
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.
Staff Analysis
This bill allows the State Treasurer and public agencies to consider a financial institution’s Illinois Community Reinvestment Act (CRA) rating when deciding where to deposit public funds. Starting January 1, 2026, state or public funds can only be deposited in institutions with a satisfactory or outstanding CRA rating, or if the institution hasn't yet been rated. Deposits cannot be withdrawn early solely due to a poor CRA rating.