SB1950 Summary

• Amends the Public Funds Investment Act to expand the definition of "governmental unit" to include entities defined under the Local Government Debt Reform Act.

• Allows municipalities, counties, and other governmental units to invest public funds in interest-bearing bonds issued by Illinois counties, townships, cities, villages, school districts, and political subdivisions of any state, provided bonds are rated within the 4 highest classifications by a recognized rating service.

• Expands investment authority for community college districts to include mutual funds investing primarily in corporate investment grade bonds or global government short-term bonds, subject to board of trustees approval and portfolio policies.

• Permits municipal treasurers and other official custodians of municipal funds to combine moneys from multiple funds for investment purposes and to jointly invest with other municipalities and intergovernmental entities, with earnings credited separately to each fund.

• Authorizes municipalities to invest public funds in accordance with the Public Funds Investment Act in addition to other authorized investments under the Illinois Municipal Code.