(760 ILCS 5/15.1)
(from Ch. 17, par. 1685.1)
Trust for a beneficiary with a disability.
(a) A discretionary trust for
the benefit of an individual who has a disability that substantially
impairs the individual's ability to provide for his or her own care or
custody and constitutes a substantial disability shall not be liable to pay
or reimburse the State or any public agency for financial aid or services
to the individual except to the extent the trust was created by the
individual or trust property has been distributed directly to or is
otherwise under the control of the individual, provided that such exception
shall not apply to a trust created with the property of the individual with a disability or property within his or her control if the trust complies with
Medicaid reimbursement requirements of
Notwithstanding any other provisions to the contrary, a trust created with
the property of the individual with a disability or property within his or her control
shall be liable, after reimbursement of Medicaid expenditures, to the State for
reimbursement of any other service charges outstanding at the death of the
individual with a disability.
Property, goods and services
purchased or owned by a trust for and used or consumed by a beneficiary with a disability shall not be considered trust property distributed to or under
the control of the beneficiary. A discretionary trust is one in which the
trustee has discretionary power to determine distributions to be made
under the trust.
(b) The court or a person with a disability may irrevocably assign resources of that person to either or both of: (i) an ABLE account, as defined under Section 16.6 of the State Treasurer Act; or (ii) a discretionary trust that complies with the Medicaid reimbursement requirements of federal law. As used in this subsection, "resources" includes, but is not limited to, any interest in real or personal property, judgment, settlement, annuity, maintenance, minor child support, and support for non-minor children. Assignment is not authorized if otherwise prohibited by law. A court may reserve the right to determine the amount, duration, or enforcement of the irrevocable assignment.
(Source: P.A. 99-143, eff. 7-27-15; 100-713, eff. 8-3-18.)