[Adopted as Ch. 3.08 of the 1997 Code]
[Amended 1997 by Ord. No. 1604; at time of adoption of Code (see Ch. 1, General Provisions, Art.
I)]
The corporate authorities shall designate one or more banks
or savings and loan associations in which may be kept the funds and
money of the municipality in the custody of the Treasurer. (65 ILCS
5/3.1-35-50)
[Amended at time of adoption of Code (see Ch. 1, General
Provisions, Art. I)]
The City Treasurer may require such designated banks and/or
savings and loan associations to deposit securities guaranteed by
agencies and instrumentalities of the federal government equal in
market value to the amount by which the funds deposited exceed the
federally insured amount, pursuant to 30 ILCS 225/1. The Treasurer
or other custodian of public funds may accept as security for public
funds deposited in such bank, savings bank, or savings and loan association
any securities or other eligible collateral authorized by Sections
11 and 11.1 of the Deposit of State Moneys Act (15 ILCS 520/11 and
11.1) or Section 6 of the Public Funds Investment Act (30 ILCS 235/6).[1]
A regularly organized state or national bank designated as a
depository for City funds and revenues shall continue as such depository
until 10 days have elapsed after a new depository is designated and
has qualified by furnishing the statement of resources and liabilities
required by 65 ILCS 5/3.1-35-50. When a new depository is designated,
the City Council shall notify the sureties of the City Treasurer of
that fact, in writing, at least five days before the transfer of funds
to the new depository.
The Treasurer shall be discharged from all responsibility for
all funds or moneys that he deposits in a designated bank or the designated
savings and loan association while the funds and moneys are so deposited;
provided that he shall not be discharged from responsibility for any
funds or moneys deposited in a bank if the amount of such deposit
exceeds 75% of the capital stock and surplus of the bank or if any
amounts of the deposits in the savings and loan association are not
insured by the Federal Savings and Loan Insurance Corporation.
[Amended at time of adoption of Code (see Ch. 1, General
Provisions, Art. I)]
No bank shall be qualified to be designated a depository of
moneys unless it has furnished the City with copies of the last two
sworn statements of resources and liabilities which the bank is required
to furnish to the Commissioner of Banks and Real Estate of the State
of Illinois or to the Illinois State Comptroller, and each bank so
designated as a depository of moneys, while acting as such depository,
shall furnish the City with copies of all statements of resources
and liabilities which it is required to furnish to the Commissioner
of Banks and Real Estate or to the State Comptroller.
The City Council, from time to time, by motion, resolution or
ordinance, as provided by law, shall determine the amount to be deposited
with each depository and savings and loan association and prescribe
rules and regulations to govern the City Treasurer in the making of
deposits of City funds and revenues.
