97TH GENERAL ASSEMBLY
State of Illinois
2011 and 2012
HB5480

 

Introduced , by Rep. Pam Roth

 

SYNOPSIS AS INTRODUCED:
 
5 ILCS 340/3  from Ch. 15, par. 503

    Amends the Voluntary Payroll Deductions Act of 1983. Reduces the number of designations that must be made on behalf of an organization by employees or State annuitants in order for that organization to qualify to receive payments through payroll deductions under the Act. Authorizes the designations to be submitted electronically or in writing (now, the designations must be submitted in writing).


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FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB5480LRB097 20382 JDS 65854 b

1    AN ACT concerning government.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Voluntary Payroll Deductions Act of 1983 is
5amended by changing Section 3 as follows:
 
6    (5 ILCS 340/3)  (from Ch. 15, par. 503)
7    Sec. 3. Definitions. As used in this Act unless the context
8otherwise requires:
9    (a) "Employee" means any regular officer or employee who
10receives salary or wages for personal services rendered to the
11State of Illinois, and includes an individual hired as an
12employee by contract with that individual.
13    (b) "Qualified organization" means an organization
14representing one or more benefiting agencies, which
15organization is designated by the State Comptroller as
16qualified to receive payroll deductions under this Act. An
17organization desiring to be designated as a qualified
18organization shall:
19        (1) Submit written or electronic designations on forms
20    approved by the State Comptroller by 500 4,000 or more
21    employees or State annuitants, in which such employees or
22    State annuitants indicate that the organization is one for
23    which the employee or State annuitant intends to authorize

 

 

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1    withholding. The forms shall require the name, last 4
2    digits only of the social security number, and employing
3    State agency for each employee. Upon notification by the
4    Comptroller that such forms have been approved, the
5    organization shall, within 30 days, notify in writing the
6    Governor or his or her designee of its intention to obtain
7    the required number of designations. Such organization
8    shall have 12 months from that date to obtain the necessary
9    designations and return to the State Comptroller's office
10    the completed designations, which shall be subject to
11    verification procedures established by the State
12    Comptroller;
13        (2) Certify that all benefiting agencies are tax exempt
14    under Section 501(c)(3) of the Internal Revenue Code;
15        (3) Certify that all benefiting agencies are in
16    compliance with the Illinois Human Rights Act;
17        (4) Certify that all benefiting agencies are in
18    compliance with the Charitable Trust Act and the
19    Solicitation for Charity Act;
20        (5) Certify that all benefiting agencies actively
21    conduct health or welfare programs and provide services to
22    individuals directed at one or more of the following common
23    human needs within a community: service, research, and
24    education in the health fields; family and child care
25    services; protective services for children and adults;
26    services for children and adults in foster care; services

 

 

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1    related to the management and maintenance of the home; day
2    care services for adults; transportation services;
3    information, referral and counseling services; services to
4    eliminate illiteracy; the preparation and delivery of
5    meals; adoption services; emergency shelter care and
6    relief services; disaster relief services; safety
7    services; neighborhood and community organization
8    services; recreation services; social adjustment and
9    rehabilitation services; health support services; or a
10    combination of such services designed to meet the special
11    needs of specific groups, such as children and youth, the
12    ill and infirm, and the physically handicapped; and that
13    all such benefiting agencies provide the above described
14    services to individuals and their families in the community
15    and surrounding area in which the organization conducts its
16    fund drive, or that such benefiting agencies provide relief
17    to victims of natural disasters and other emergencies on a
18    where and as needed basis;
19        (6) Certify that the organization has disclosed the
20    percentage of the organization's total collected receipts
21    from employees or State annuitants that are distributed to
22    the benefiting agencies and the percentage of the
23    organization's total collected receipts from employees or
24    State annuitants that are expended for fund-raising and
25    overhead costs. These percentages shall be the same
26    percentage figures annually disclosed by the organization

 

 

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1    to the Attorney General. The disclosure shall be made to
2    all solicited employees and State annuitants and shall be
3    in the form of a factual statement on all petitions and in
4    the campaign's brochures for employees and State
5    annuitants;
6        (7) Certify that all benefiting agencies receiving
7    funds which the employee or State annuitant has requested
8    or designated for distribution to a particular community
9    and surrounding area use a majority of such funds
10    distributed for services in the actual provision of
11    services in that community and surrounding area;
12        (8) Certify that neither it nor its member
13    organizations will solicit State employees for
14    contributions at their workplace, except pursuant to this
15    Act and the rules promulgated thereunder. Each qualified
16    organization, and each participating United Fund, is
17    encouraged to cooperate with all others and with all State
18    agencies and educational institutions so as to simplify
19    procedures, to resolve differences and to minimize costs;
20        (9) Certify that it will pay its share of the campaign
21    costs and will comply with the Code of Campaign Conduct as
22    approved by the Governor or other agency as designated by
23    the Governor; and
24        (10) Certify that it maintains a year-round office, the
25    telephone number, and person responsible for the
26    operations of the organization in Illinois. That

 

 

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1    information shall be provided to the State Comptroller at
2    the time the organization is seeking participation under
3    this Act.
4    Each qualified organization shall submit to the State
5Comptroller between January 1 and March 1 of each year, a
6statement that the organization is in compliance with all of
7the requirements set forth in paragraphs (2) through (10). The
8State Comptroller shall exclude any organization that fails to
9submit the statement from the next solicitation period.
10    In order to be designated as a qualified organization, the
11organization shall have existed at least 2 years prior to
12submitting the written or electronic designation forms
13required in paragraph (1) and shall certify to the State
14Comptroller that such organization has been providing services
15described in paragraph (5) in Illinois. If the organization
16seeking designation represents more than one benefiting
17agency, it need not have existed for 2 years but shall certify
18to the State Comptroller that each of its benefiting agencies
19has existed for at least 2 years prior to submitting the
20written or electronic designation forms required in paragraph
21(1) and that each has been providing services described in
22paragraph (5) in Illinois.
23    Organizations which have met the requirements of this Act
24shall be permitted to participate in the State and Universities
25Combined Appeal as of January 1st of the year immediately
26following their approval by the Comptroller.

 

 

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1    Where the certifications described in paragraphs (2), (3),
2(4), (5), (6), (7), (8), (9), and (10) above are made by an
3organization representing more than one benefiting agency they
4shall be based upon the knowledge and belief of such qualified
5organization. Any qualified organization shall immediately
6notify the State Comptroller in writing if the qualified
7organization receives information or otherwise believes that a
8benefiting agency is no longer in compliance with the
9certification of the qualified organization. A qualified
10organization representing more than one benefiting agency
11shall thereafter withhold and refrain from distributing to such
12benefiting agency those funds received pursuant to this Act
13until the benefiting agency is again in compliance with the
14qualified organization's certification. The qualified
15organization shall immediately notify the State Comptroller of
16the benefiting agency's resumed compliance with the
17certification, based upon the qualified organization's
18knowledge and belief, and shall pay over to the benefiting
19agency those funds previously withheld.
20    In order to qualify, a qualified organization must receive
21250 deduction pledges from the immediately preceding
22solicitation period as set forth in Section 6. The Comptroller
23shall, by February 1st of each year, so notify any qualified
24organization that failed to receive the minimum deduction
25requirement. The notification shall give such qualified
26organization until March 1st to provide the Comptroller with

 

 

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1documentation that the minimum deduction requirement has been
2met. On the basis of all the documentation, the Comptroller
3shall, by March 15th of each year, submit to the Governor or
4his or her designee, or such other agency as may be determined
5by the Governor, a list of all organizations which have met the
6minimum payroll deduction requirement. Only those
7organizations which have met such requirements, as well as the
8other requirements of this Section, shall be permitted to
9solicit State employees or State annuitants for voluntary
10contributions, and the Comptroller shall discontinue
11withholding for any such organization which fails to meet these
12requirements, except qualified organizations that received
13deduction pledges during the 2004 solicitation period are
14deemed to be qualified for the 2005 solicitation period.
15    (c) "United Fund" means the organization conducting the
16single, annual, consolidated effort to secure funds for
17distribution to agencies engaged in charitable and public
18health, welfare and services purposes, which is commonly known
19as the United Fund, or the organization which serves in place
20of the United Fund organization in communities where an
21organization known as the United Fund is not organized.
22    In order for a United Fund to participate in the State and
23Universities Employees Combined Appeal, it shall comply with
24the provisions of paragraph (9) of subsection (b).
25    (d) "State and Universities Employees Combined Appeal",
26otherwise known as "SECA", means the State-directed joint

 

 

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1effort of all of the qualified organizations, together with the
2United Funds, for the solicitation of voluntary contributions
3from State and University employees and State annuitants.
4    (e) "Retirement system" means any or all of the following:
5the General Assembly Retirement System, the State Employees'
6Retirement System of Illinois, the State Universities
7Retirement System, the Teachers' Retirement System of the State
8of Illinois, and the Judges Retirement System.
9    (f) "State annuitant" means a person receiving an annuity
10or disability benefit under Article 2, 14, 15, 16, or 18 of the
11Illinois Pension Code.
12(Source: P.A. 94-537, eff. 8-10-05.)