97TH GENERAL ASSEMBLY
State of Illinois
2011 and 2012
HB3971

 

Introduced 1/10/2012, by Rep. Kent Gaffney

 

SYNOPSIS AS INTRODUCED:
 
30 ILCS 105/25  from Ch. 127, par. 161

    Amends the State Finance Act. Provides that, beginning on June 30, 2014 (now, 2021), certain payments payable from appropriations that may have otherwise expired may be paid out of the expiring appropriation during the 4-month period ending on October 31. Provides for a $2,000,000,000 limitation on the aggregate amount of payments to be paid out of these expiring appropriations related to fiscal year 2013.


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FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

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1    AN ACT concerning finance.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The State Finance Act is amended by changing
5Section 25 as follows:
 
6    (30 ILCS 105/25)  (from Ch. 127, par. 161)
7    Sec. 25. Fiscal year limitations.
8    (a) All appropriations shall be available for expenditure
9for the fiscal year or for a lesser period if the Act making
10that appropriation so specifies. A deficiency or emergency
11appropriation shall be available for expenditure only through
12June 30 of the year when the Act making that appropriation is
13enacted unless that Act otherwise provides.
14    (b) Outstanding liabilities as of June 30, payable from
15appropriations which have otherwise expired, may be paid out of
16the expiring appropriations during the 2-month period ending at
17the close of business on August 31. Any service involving
18professional or artistic skills or any personal services by an
19employee whose compensation is subject to income tax
20withholding must be performed as of June 30 of the fiscal year
21in order to be considered an "outstanding liability as of June
2230" that is thereby eligible for payment out of the expiring
23appropriation.

 

 

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1    (b-1) However, payment of tuition reimbursement claims
2under Section 14-7.03 or 18-3 of the School Code may be made by
3the State Board of Education from its appropriations for those
4respective purposes for any fiscal year, even though the claims
5reimbursed by the payment may be claims attributable to a prior
6fiscal year, and payments may be made at the direction of the
7State Superintendent of Education from the fund from which the
8appropriation is made without regard to any fiscal year
9limitations, except as required by subsection (j) of this
10Section. Beginning on June 30, 2014 2021, payment of tuition
11reimbursement claims under Section 14-7.03 or 18-3 of the
12School Code as of June 30, payable from appropriations that
13have otherwise expired, may be paid out of the expiring
14appropriation during the 4-month period ending at the close of
15business on October 31.
16    (b-2) All outstanding liabilities as of June 30, 2010,
17payable from appropriations that would otherwise expire at the
18conclusion of the lapse period for fiscal year 2010, and
19interest penalties payable on those liabilities under the State
20Prompt Payment Act, may be paid out of the expiring
21appropriations until December 31, 2010, without regard to the
22fiscal year in which the payment is made, as long as vouchers
23for the liabilities are received by the Comptroller no later
24than August 31, 2010.
25    (b-2.5) All outstanding liabilities as of June 30, 2011,
26payable from appropriations that would otherwise expire at the

 

 

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1conclusion of the lapse period for fiscal year 2011, and
2interest penalties payable on those liabilities under the State
3Prompt Payment Act, may be paid out of the expiring
4appropriations until December 31, 2011, without regard to the
5fiscal year in which the payment is made, as long as vouchers
6for the liabilities are received by the Comptroller no later
7than August 31, 2011.
8    (b-3) Medical payments may be made by the Department of
9Veterans' Affairs from its appropriations for those purposes
10for any fiscal year, without regard to the fact that the
11medical services being compensated for by such payment may have
12been rendered in a prior fiscal year, except as required by
13subsection (j) of this Section. Beginning on June 30, 2014
142021, medical payments payable from appropriations that have
15otherwise expired may be paid out of the expiring appropriation
16during the 4-month period ending at the close of business on
17October 31.
18    (b-4) Medical payments may be made by the Department of
19Healthcare and Family Services and medical payments and child
20care payments may be made by the Department of Human Services
21(as successor to the Department of Public Aid) from
22appropriations for those purposes for any fiscal year, without
23regard to the fact that the medical or child care services
24being compensated for by such payment may have been rendered in
25a prior fiscal year; and payments may be made at the direction
26of the Department of Healthcare and Family Services from the

 

 

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1Health Insurance Reserve Fund and the Local Government Health
2Insurance Reserve Fund without regard to any fiscal year
3limitations, except as required by subsection (j) of this
4Section. Beginning on June 30, 2014 2021, medical payments made
5by the Department of Healthcare and Family Services, child care
6payments made by the Department of Human Services, and payments
7made at the discretion of the Department of Healthcare and
8Family Services from the Health Insurance Reserve Fund and the
9Local Government Health Insurance Reserve Fund payable from
10appropriations that have otherwise expired may be paid out of
11the expiring appropriation during the 4-month period ending at
12the close of business on October 31.
13    (b-5) Medical payments may be made by the Department of
14Human Services from its appropriations relating to substance
15abuse treatment services for any fiscal year, without regard to
16the fact that the medical services being compensated for by
17such payment may have been rendered in a prior fiscal year,
18provided the payments are made on a fee-for-service basis
19consistent with requirements established for Medicaid
20reimbursement by the Department of Healthcare and Family
21Services, except as required by subsection (j) of this Section.
22Beginning on June 30, 2014 2021, medical payments made by the
23Department of Human Services relating to substance abuse
24treatment services payable from appropriations that have
25otherwise expired may be paid out of the expiring appropriation
26during the 4-month period ending at the close of business on

 

 

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1October 31.
2    (b-6) Additionally, payments may be made by the Department
3of Human Services from its appropriations, or any other State
4agency from its appropriations with the approval of the
5Department of Human Services, from the Immigration Reform and
6Control Fund for purposes authorized pursuant to the
7Immigration Reform and Control Act of 1986, without regard to
8any fiscal year limitations, except as required by subsection
9(j) of this Section. Beginning on June 30, 2014 2021, payments
10made by the Department of Human Services from the Immigration
11Reform and Control Fund for purposes authorized pursuant to the
12Immigration Reform and Control Act of 1986 payable from
13appropriations that have otherwise expired may be paid out of
14the expiring appropriation during the 4-month period ending at
15the close of business on October 31.
16    (b-7) Payments may be made in accordance with a plan
17authorized by paragraph (11) or (12) of Section 405-105 of the
18Department of Central Management Services Law from
19appropriations for those payments without regard to fiscal year
20limitations.
21    (c) Further, payments may be made by the Department of
22Public Health, the Department of Human Services (acting as
23successor to the Department of Public Health under the
24Department of Human Services Act), and the Department of
25Healthcare and Family Services from their respective
26appropriations for grants for medical care to or on behalf of

 

 

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1persons suffering from chronic renal disease, persons
2suffering from hemophilia, rape victims, and premature and
3high-mortality risk infants and their mothers and for grants
4for supplemental food supplies provided under the United States
5Department of Agriculture Women, Infants and Children
6Nutrition Program, for any fiscal year without regard to the
7fact that the services being compensated for by such payment
8may have been rendered in a prior fiscal year, except as
9required by subsection (j) of this Section. Beginning on June
1030, 2014 2021, payments made by the Department of Public
11Health, the Department of Human Services, and the Department of
12Healthcare and Family Services from their respective
13appropriations for grants for medical care to or on behalf of
14persons suffering from chronic renal disease, persons
15suffering from hemophilia, rape victims, and premature and
16high-mortality risk infants and their mothers and for grants
17for supplemental food supplies provided under the United States
18Department of Agriculture Women, Infants and Children
19Nutrition Program payable from appropriations that have
20otherwise expired may be paid out of the expiring
21appropriations during the 4-month period ending at the close of
22business on October 31.
23    (d) The Department of Public Health and the Department of
24Human Services (acting as successor to the Department of Public
25Health under the Department of Human Services Act) shall each
26annually submit to the State Comptroller, Senate President,

 

 

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1Senate Minority Leader, Speaker of the House, House Minority
2Leader, and the respective Chairmen and Minority Spokesmen of
3the Appropriations Committees of the Senate and the House, on
4or before December 31, a report of fiscal year funds used to
5pay for services provided in any prior fiscal year. This report
6shall document by program or service category those
7expenditures from the most recently completed fiscal year used
8to pay for services provided in prior fiscal years.
9    (e) The Department of Healthcare and Family Services, the
10Department of Human Services (acting as successor to the
11Department of Public Aid), and the Department of Human Services
12making fee-for-service payments relating to substance abuse
13treatment services provided during a previous fiscal year shall
14each annually submit to the State Comptroller, Senate
15President, Senate Minority Leader, Speaker of the House, House
16Minority Leader, the respective Chairmen and Minority
17Spokesmen of the Appropriations Committees of the Senate and
18the House, on or before November 30, a report that shall
19document by program or service category those expenditures from
20the most recently completed fiscal year used to pay for (i)
21services provided in prior fiscal years and (ii) services for
22which claims were received in prior fiscal years.
23    (f) The Department of Human Services (as successor to the
24Department of Public Aid) shall annually submit to the State
25Comptroller, Senate President, Senate Minority Leader, Speaker
26of the House, House Minority Leader, and the respective

 

 

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1Chairmen and Minority Spokesmen of the Appropriations
2Committees of the Senate and the House, on or before December
331, a report of fiscal year funds used to pay for services
4(other than medical care) provided in any prior fiscal year.
5This report shall document by program or service category those
6expenditures from the most recently completed fiscal year used
7to pay for services provided in prior fiscal years.
8    (g) In addition, each annual report required to be
9submitted by the Department of Healthcare and Family Services
10under subsection (e) shall include the following information
11with respect to the State's Medicaid program:
12        (1) Explanations of the exact causes of the variance
13    between the previous year's estimated and actual
14    liabilities.
15        (2) Factors affecting the Department of Healthcare and
16    Family Services' liabilities, including but not limited to
17    numbers of aid recipients, levels of medical service
18    utilization by aid recipients, and inflation in the cost of
19    medical services.
20        (3) The results of the Department's efforts to combat
21    fraud and abuse.
22    (h) As provided in Section 4 of the General Assembly
23Compensation Act, any utility bill for service provided to a
24General Assembly member's district office for a period
25including portions of 2 consecutive fiscal years may be paid
26from funds appropriated for such expenditure in either fiscal

 

 

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1year.
2    (i) An agency which administers a fund classified by the
3Comptroller as an internal service fund may issue rules for:
4        (1) billing user agencies in advance for payments or
5    authorized inter-fund transfers based on estimated charges
6    for goods or services;
7        (2) issuing credits, refunding through inter-fund
8    transfers, or reducing future inter-fund transfers during
9    the subsequent fiscal year for all user agency payments or
10    authorized inter-fund transfers received during the prior
11    fiscal year which were in excess of the final amounts owed
12    by the user agency for that period; and
13        (3) issuing catch-up billings to user agencies during
14    the subsequent fiscal year for amounts remaining due when
15    payments or authorized inter-fund transfers received from
16    the user agency during the prior fiscal year were less than
17    the total amount owed for that period.
18User agencies are authorized to reimburse internal service
19funds for catch-up billings by vouchers drawn against their
20respective appropriations for the fiscal year in which the
21catch-up billing was issued or by increasing an authorized
22inter-fund transfer during the current fiscal year. For the
23purposes of this Act, "inter-fund transfers" means transfers
24without the use of the voucher-warrant process, as authorized
25by Section 9.01 of the State Comptroller Act.
26    (i-1) Beginning on July 1, 2014 2021, all outstanding

 

 

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1liabilities, not payable during the 4-month lapse period as
2described in subsections (b-1), (b-3), (b-4), (b-5), (b-6), and
3(c) of this Section, that are made from appropriations for that
4purpose for any fiscal year, without regard to the fact that
5the services being compensated for by those payments may have
6been rendered in a prior fiscal year, are limited to only those
7claims that have been incurred but for which a proper bill or
8invoice as defined by the State Prompt Payment Act has not been
9received by September 30th following the end of the fiscal year
10in which the service was rendered.
11    (j) Notwithstanding any other provision of this Act, the
12aggregate amount of payments to be made without regard for
13fiscal year limitations as contained in subsections (b-1),
14(b-3), (b-4), (b-5), (b-6), and (c) of this Section, and
15determined by using Generally Accepted Accounting Principles,
16shall not exceed the following amounts:
17        (1) $2,000,000,000 $6,000,000,000 for outstanding
18    liabilities related to fiscal year 2013 2012;
19        (2) (blank) $5,300,000,000 for outstanding liabilities
20    related to fiscal year 2013;
21        (3) (blank) $4,600,000,000 for outstanding liabilities
22    related to fiscal year 2014;
23        (4) (blank) $4,000,000,000 for outstanding liabilities
24    related to fiscal year 2015;
25        (5) (blank) $3,300,000,000 for outstanding liabilities
26    related to fiscal year 2016;

 

 

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1        (6) (blank) $2,600,000,000 for outstanding liabilities
2    related to fiscal year 2017;
3        (7) (blank) $2,000,000,000 for outstanding liabilities
4    related to fiscal year 2018;
5        (8) (blank) $1,300,000,000 for outstanding liabilities
6    related to fiscal year 2019;
7        (9) (blank) $600,000,000 for outstanding liabilities
8    related to fiscal year 2020; and
9        (10) $0 for outstanding liabilities related to fiscal
10    year 2014 2021 and fiscal years thereafter.
11(Source: P.A. 96-928, eff. 6-15-10; 96-958, eff. 7-1-10;
1296-1501, eff. 1-25-11; 97-75, eff. 6-30-11; 97-333, eff.
138-12-11.)