The Illinois school code requires school districts to provide a Treasurer’s Bond covering their school treasurer for an amount of money determined by the State Legislature.
- Created for Illinois School Districts
- Accepted by the Illinois State Board of Education
- Competitively Priced
The Illinois School Code, Article 8, Section 8-2 [105 ILCS 5/8-2], provides that “each school treasurer shall execute a bond,” payable either to township trustees or “the school board of each district for which he or she is treasurer or its successors in office.” “The penalty of the bond shall be 25% of the amount of all bonds, notes, mortgages, moneys and effects of which he [or she] is to have the custody,” and “shall be increased or decreased from time to time, as the increase or decrease of the amount of notes, bonds, mortgages, moneys and effects may require, and whenever in the judgment of the regional superintendent of schools,” the township trustees, “or the school board of the district by which the school treasurer was appointed or elected, the penalty of the bond should be increased or decreased; provided that the penalty of the bond shall not be increased to more than 25% of the amount of all bonds, notes, mortgages, moneys and effects of which the treasurer has custody at any time.” P.A. 91-357, eff. 7-29-99.
Bonds for Other Purposes (“Special Purpose Bonds”)
Many school districts may borrow money for the purpose of building, equipping, altering or repairing school buildings or purchasing or improving school sites, or acquiring and equipping playgrounds, recreation grounds, athletic fields, and other buildings or land used or useful for school purposes or for the purpose of purchasing a site, with or without a building or buildings thereon. Surety bonds are required for these purposes and Brokers’ Risk offers such bonds which we refer to as “Special Purpose Bonds.” Brokers’ Risk provides special purpose bonds for the handling of special funds such as new construction, life safety and working cash. Like our School Treasurer’s Bonds, Brokers’ Risk Special Purpose Bonds are competitively priced.
Service From an Industry Leader
Since 1982, Brokers’ Risk has enjoyed a strong relationship with the Illinois Association of School Boards (IASB). Brokers’ Risk treasurers’ bonds are sponsored by IASB and the Illinois Association of School Administrators, and are accepted by the Illinois State Board of Education, Regional Superintendents, and township trustees.
The target classes and typical risks we focus on for this program are:
- Pre K – 12 Public School Districts
- Public Elementary, Middle and High Schools
- Special Education
- Vocational Cooperatives
- Assistant Treasurers
The highlighted features of this exclusive program include:
- High limits of protection available within the program
- Higher limits are considered on a case by case basis
- Excess bonds are also available to meet limit requirements
- Bonds forms meet government requirements
- Bonds are accepted by the Illinois State Board of Education
- Bonds are offered at very competitive rates
- Brokers’ Risk underwriting staff provides professional and timely service
- Available Special Purpose bonds include life safety, working cash, and new construction
The available bonds we have to offer for this program are:
- School Treasurer’s Bonds
- School Assistant Treasurer’s Bonds
- Working Cash Bonds
- Life Safety Bonds
- Construction Bonds
- Debt Certificate Bonds
- General Obligation Bonds
- Treasurer’s Bonds for Treasurer’s that hold additional positions at the school district