HB0454 - Community Bank of Illinois Act Summary

• Establishes The Community Bank of Illinois as a state-owned and operated banking institution managed by the Department of Financial and Professional Regulation to promote agriculture, commerce, and industry.

• Authorizes the bank to make loans to farmers (up to 80% of real estate value), financial institutions, beginning farmers through a revolving loan fund, and other entities; permits purchasing mortgage loans and participation interests in loans made by other lenders.

• Requires all state funds and funds from state penal, educational, and industrial institutions to be deposited in The Community Bank of Illinois; guarantees all deposits and exempts them from state, county, and municipal taxes.

• Establishes a 7-member advisory board appointed by the Governor (including bank officers and financial institution representatives) to review operations and make recommendations to the Department regarding management, objectives, and officer appointments.

• Authorizes the bank to administer an Illinois higher education savings plan compliant with Internal Revenue Service standards for qualified state tuition programs and permits imposition of annual administrative fees.