Public Act 100-0587
 
HB3342 EnrolledLRB100 08528 SMS 18653 b

    AN ACT concerning State government.
 
    Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
 
ARTICLE 1. GENERAL PROVISIONS

 
    Section 1-1. Short title. This Act may be cited as the
FY2019 Budget Implementation Act.
 
    Section 1-5. Purpose. It is the purpose of this Act to make
changes in State programs that are necessary to implement the
State budget.
 
ARTICLE 5. AMENDATORY PROVISIONS

 
    Section 5-5. The Election Code is amended by adding Section
1A-55 as follows:
 
    (10 ILCS 5/1A-55 new)
    Sec. 1A-55. Cyber security efforts. The State Board of
Elections shall provide by rule, after at least 2 public
hearings of the Board and in consultation with the election
authorities, a Cyber Navigator Program to support the efforts
of election authorities to defend against cyber breaches and
detect and recover from cyber attacks. The rules shall include
the Board's plan to allocate any resources received in
accordance with the Help America Vote Act and provide that no
less than half of any such funds received shall be allocated to
the Cyber Navigator Program. The Cyber Navigator Program should
be designed to provide equal support to all election
authorities, with allowable modifications based on need. The
remaining half of the Help America Vote Act funds shall be
distributed as the State Board of Elections may determine, but
no grants may be made to election authorities that do not
participate in the Cyber Navigator Program.
 
    Section 5-10. The Balanced Budget Note Act is amended by
changing Section 5 as follows:
 
    (25 ILCS 80/5)  (from Ch. 63, par. 42.93-5)
    Sec. 5. Supplemental Appropriation Bill Defined. For
purposes of this Act, "supplemental appropriation bill" means
any appropriation bill that is (a) introduced or amended
(including any changes to legislation by means of the
submission of a conference committee report) on or after July 1
of a fiscal year and (b) proposes (as introduced or as amended
as the case may be) to authorize, increase, decrease, or
reallocate any general funds appropriation for that same fiscal
year. The general funds consist of the General Revenue Fund,
the Common School Fund, the General Revenue Common School
Special Account Fund, and the Education Assistance Fund, the
Fund for the Advancement of Education, the Commitment to Human
Services Fund, and the Budget Stabilization Fund.
(Source: P.A. 87-688.)
 
    Section 5-15. The State Finance Act is amended by changing
Sections 5.857 and 6z-100 as follows:
 
    (30 ILCS 105/5.857)
    (Section scheduled to be repealed on July 1, 2018)
    Sec. 5.857. The Capital Development Board Revolving Fund.
This Section is repealed July 1, 2019 2018.
(Source: P.A. 99-78, eff. 7-20-15; 99-523, eff. 6-30-16;
100-23, eff. 7-6-17.)
 
    (30 ILCS 105/6z-100)
    (Section scheduled to be repealed on July 1, 2018)
    Sec. 6z-100. Capital Development Board Revolving Fund;
payments into and use. All monies received by the Capital
Development Board for publications or copies issued by the
Board, and all monies received for contract administration
fees, charges, or reimbursements owing to the Board shall be
deposited into a special fund known as the Capital Development
Board Revolving Fund, which is hereby created in the State
treasury. The monies in this Fund shall be used by the Capital
Development Board, as appropriated, for expenditures for
personal services, retirement, social security, contractual
services, legal services, travel, commodities, printing,
equipment, electronic data processing, or telecommunications.
Unexpended moneys in the Fund shall not be transferred or
allocated by the Comptroller or Treasurer to any other fund,
nor shall the Governor authorize the transfer or allocation of
those moneys to any other fund. This Section is repealed July
1, 2019 2018.
(Source: P.A. 99-523, eff. 6-30-16; 100-23, eff. 7-6-17.)
 
    Section 5-20. The State Finance Act is amended by changing
Sections 6z-27, 8g-1, and 13.2 as follows:
 
    (30 ILCS 105/6z-27)
    Sec. 6z-27. All moneys in the Audit Expense Fund shall be
transferred, appropriated and used only for the purposes
authorized by, and subject to the limitations and conditions
prescribed by, the State Auditing Act.
    Within 30 days after the effective date of this amendatory
Act of the 100th General Assembly, the State Comptroller shall
order transferred and the State Treasurer shall transfer from
the following funds moneys in the specified amounts for deposit
into the Audit Expense Fund:
Agricultural Premium Fund..............................18,792
Anna Veterans Home Fund.................................8,050
Appraisal Administration Fund...........................4,373
Attorney General Court Ordered and Voluntary Compliance
    Payment Projects Fund..............................14,421
Attorney General Whistleblower Reward and
    Protection Fund.....................................9,220
Bank and Trust Company Fund............................93,160
Budget Stabilization Fund.............................131,491
Care Provider Fund for Persons with a
    Developmental Disability............................6,003
CDLIS/AAMVAnet/NMVTIS Trust Fund........................2,495
Cemetery Oversight Licensing and Disciplinary Fund......5,583
Chicago State University Education Improvement Fund.....4,233
Child Support Administrative Fund.......................2,299
Commitment to Human Services Fund.....................122,475
Common School Fund....................................433,663
Community Association Manager Licensing and
    Disciplinary Fund.....................................877
Community Mental Health Medicaid Trust Fund.............9,897
Credit Union Fund......................................22,441
Cycle Rider Safety Training Fund........................1,084
DCFS Children's Services Fund.........................241,473
Department of Business Services Special
    Operations Fund.....................................5,493
Department of Corrections Reimbursement
    and Education Fund.................................18,389
Department of Human Services Community Services Fund....5,399
Design Professionals Administration and
    Investigation Fund..................................5,378
The Downstate Public Transportation Fund...............32,074
Downstate Transit Improvement Fund......................1,251
Dram Shop Fund............................................514
Driver Services Administration Fund.......................897
Drivers Education Fund..................................1,417
Drug Rebate Fund.......................................21,941
Drug Treatment Fund.......................................527
The Education Assistance Fund.......................1,230,281
Electronic Health Record Incentive Fund...................657
Energy Efficiency Portfolio Standards Fund............126,046
Facilities Management Revolving Fund...................15,360
Fair and Exposition Fund..................................911
Federal High Speed Rail Trust Fund.....................59,579
Federal Workforce Training Fund.......................152,617
Feed Control Fund.......................................1,584
Fertilizer Control Fund.................................1,369
The Fire Prevention Fund................................3,183
Fund for the Advancement of Education.................130,528
General Professions Dedicated Fund.....................19,678
The General Revenue Fund...........................17,653,153
Grade Crossing Protection Fund..........................2,379
Health and Human Services Medicaid Trust Fund...........3,852
Healthcare Provider Relief Fund........................71,263
Horse Racing Fund.....................................215,160
Hospital Provider Fund.................................44,230
Illinois Affordable Housing Trust Fund..................5,478
Illinois Capital Revolving Loan Fund....................1,067
Illinois Charity Bureau Fund............................2,236
Illinois Gaming Law Enforcement Fund....................1,395
Illinois State Dental Disciplinary Fund.................5,128
Illinois State Fair Fund................................7,297
Illinois State Medical Disciplinary Fund...............21,473
Illinois State Pharmacy Disciplinary Fund...............8,839
Illinois Veterans Assistance Fund.......................3,863
Illinois Veterans' Rehabilitation Fund....................634
Illinois Workers' Compensation Commission
    Operations Fund.....................................4,758
IMSA Income Fund........................................6,823
Income Tax Refund Fund................................176,034
Insurance Financial Regulation Fund...................110,878
Insurance Premium Tax Refund Fund......................16,534
Insurance Producer Administration Fund................107,833
Intermodal Facilities Promotion Fund....................1,011
International Tourism Fund..............................6,566
LaSalle Veterans Home Fund.............................36,259
LEADS Maintenance Fund..................................1,050
Live and Learn Fund....................................10,805
Lobbyist Registration Administration Fund.................521
The Local Government Distributive Fund................113,119
Local Tourism Fund.....................................19,098
Long-Term Care Provider Fund............................6,761
Manteno Veterans Home Fund.............................68,288
Medical Interagency Program Fund..........................602
Mental Health Fund......................................3,358
Money Laundering Asset Recovery Fund....................1,115
Monitoring Device Driving Permit
    Administration Fee Fund...............................797
Motor Carrier Safety Inspection Fund....................1,289
The Motor Fuel Tax Fund...............................101,821
Motor Vehicle License Plate Fund........................5,094
Nursing Dedicated and Professional Fund................10,673
Optometric Licensing and Disciplinary Board Fund........1,608
Partners for Conservation Fund..........................8,973
The Personal Property Tax Replacement Fund............119,343
Pesticide Control Fund..................................5,826
Professional Services Fund..............................1,569
Professions Indirect Cost Fund........................176,535
Public Pension Regulation Fund..........................9,236
The Public Transportation Fund.........................91,397
Quincy Veterans Home Fund..............................64,594
Real Estate License Administration Fund................34,822
Regional Transportation Authority Occupation and
    Use Tax Replacement Fund............................3,486
Registered Certified Public Accountants' Administration
     and Disciplinary Fund..............................3,423
Rental Housing Support Program Fund.....................2,388
Residential Finance Regulatory Fund....................17,742
The Road Fund.........................................662,332
Roadside Memorial Fund..................................1,170
Savings Bank Regulatory Fund............................2,270
School Infrastructure Fund.............................14,441
Secretary of State DUI Administration Fund..............1,107
Secretary of State Identification Security and Theft
    Prevention Fund.....................................6,154
Secretary of State Special License Plate Fund...........2,210
Secretary of State Special Services Fund...............10,306
Securities Audit and Enforcement Fund...................3,972
Special Education Medicaid Matching Fund................2,346
State and Local Sales Tax Reform Fund...................6,592
State Asset Forfeiture Fund.............................1,239
State Construction Account Fund.......................106,236
State Crime Laboratory Fund.............................4,020
State Gaming Fund.....................................200,367
The State Garage Revolving Fund.........................5,521
The State Lottery Fund................................215,561
State Offender DNA Identification System Fund...........1,270
State Pensions Fund...................................500,000
State Police DUI Fund...................................1,050
State Police Firearm Services Fund......................4,116
State Police Services Fund.............................11,485
State Police Vehicle Fund...............................6,004
State Police Whistleblower Reward
    and Protection Fund.................................3,519
Supplemental Low-Income Energy Assistance Fund.........74,279
Tax Compliance and Administration Fund..................1,479
Technology Management Revolving Fund..................204,090
Tobacco Settlement Recovery Fund........................1,855
Tourism Promotion Fund.................................40,541
University of Illinois Hospital Services Fund...........1,924
The Vehicle Inspection Fund.............................1,469
Violent Crime Victims Assistance Fund..................13,911
Weights and Measures Fund...............................5,660
The Working Capital Revolving Fund.....................18,184
Agricultural Premium Fund.............................182,124
Assisted Living and Shared Housing Regulatory Fund......1,631
Capital Development Board Revolving Fund................8,023
Care Provider Fund for Persons with a
    Developmental Disability...........................17,737
Carolyn Adams Ticket for the Cure Grant Fund............1,080
CDLIS/AAMVAnet/NMVTIS Trust Fund........................2,234
Chicago State University Education Improvement Fund.....5,437
Child Support Administrative Fund.......................5,110
Common School Fund....................................312,638
Communications Revolving Fund..........................40,492
Community Mental Health Medicaid Trust Fund............30,952
Death Certificate Surcharge Fund........................2,243
Death Penalty Abolition Fund............................8,367
Department of Business Services Special Operations Fund.11,982
Department of Human Services Community Services Fund....4,340
Downstate Public Transportation Fund....................6,600
Driver Services Administration Fund.....................2,644
Drivers Education Fund....................................517
Drug Rebate Fund.......................................17,541
Drug Treatment Fund.....................................2,133
Drunk & Drugged Driving Prevention Fund...................874
Education Assistance Fund.............................894,514
Electronic Health Record Incentive Fund.................1,155
Emergency Public Health Fund............................9,025
EMS Assistance Fund.....................................3,705
Estate Tax Refund Fund..................................2,088
Facilities Management Revolving Fund...................92,392
Facility Licensing Fund.................................3,189
Fair & Exposition Fund.................................13,059
Federal High Speed Rail Trust Fund......................9,168
Feed Control Fund......................................14,955
Fertilizer Control Fund.................................9,404
Fire Prevention Fund....................................4,146
Food and Drug Safety Fund...............................1,101
Fund for the Advancement of Education..................12,463
General Revenue Fund...............................17,653,153
Grade Crossing Protection Fund............................965
Hazardous Waste Research Fund.............................543
Health Facility Plan Review Fund........................3,704
Health and Human Services Medicaid Trust Fund..........16,996
Healthcare Provider Relief Fund.......................147,619
Home Care Services Agency Licensure Fund................3,285
Hospital Provider Fund.................................76,973
ICJIA Violence Prevention Fund..........................8,062
Illinois Affordable Housing Trust Fund..................6,878
Illinois Department of Agriculture Laboratory
    Services Revolving Fund.............7,887
Illinois Health Facilities Planning Fund................4,816
IMSA Income Fund........................................6,876
Illinois School Asbestos Abatement Fund.................2,058
Illinois Standardbred Breeders Fund.....................1,381
Illinois State Fair Fund...............................94,229
Illinois Thoroughbred Breeders Fund.....................3,974
Illinois Veterans' Rehabilitation Fund..................1,308
Illinois Workers Compensation
    Commission Operations Fund........................183,518
Income Tax Refund Fund.................................36,095
Lead Poisoning Screening, Prevention,
    and Abatement Fund..................................3,311
Live and Learn Fund....................................22,956
Livestock Management Facilities Fund......................683
Lobbyist Registration Administration Fund...............1,057
Local Government Distributive Fund.....................26,025
Long Term Care
    Monitor/Receiver Fund..............................63,014
Long Term Care Provider Fund...........................15,082
Mandatory Arbitration Fund..............................2,484
Medical Interagency Program Fund........................1,343
Mental Health Fund......................................9,176
Metabolic Screening and Treatment Fund.................41,241
Monitoring Device Driving Permit
    Administration Fee Fund.............................1,403
Motor Fuel Tax Fund....................................23,607
Motor Vehicle License Plate Fund.......................15,200
Motor Vehicle Theft
    Prevention Trust Fund...............................4,803
Multiple Sclerosis Research Fund........................5,380
Nursing Dedicated and Professional Fund.................1,613
Partners for Conservation Fund..........................8,620
Personal Property Tax Replacement Fund.................23,828
Pesticide Control Fund.................................83,517
Pet Population Control Fund...............................526
Plumbing Licensure and Program Fund.....................5,148
Professional Services Fund..............................6,487
Public Health Laboratory
    Services Revolving Fund............................11,242
Public Transportation Fund.............................16,112
Road Fund.............................................746,799
Regional Transportation Authority Occupation
    and Use Tax Replacement Fund...............563
School Infrastructure Fund.............................17,532
Secretary of State DUI Administration Fund..............2,336
Secretary of State Identification Security
    and Theft Prevention Fund..........................11,609
Secretary of State Special License Plate Fund ..........4,561
Secretary of State Special Services Fund...............24,693
Securities Audit and Enforcement Fund...................9,137
Special Education Medicaid Matching Fund................5,019
State and Local Sales Tax Reform Fund...................1,380
State Construction Account Fund........................27,323
State Gaming Fund......................................79,018
State Garage Revolving Fund............................15,516
State Lottery Fund....................................348,448
State Pensions Fund...................................500,000
State Surplus Property Revolving Fund...................2,025
State Treasurer's Bank Services Trust Fund................551
Statistical Services Revolving Fund....................63,131
Supreme Court Historic Preservation Fund...............33,226
Tattoo and Body Piercing
    Establishment Registration Fund.......................812
Tobacco Settlement Recovery Fund.......................23,084
Trauma Center Fund.....................................12,572
University of Illinois Hospital Services Fund...........4,260
Vehicle Inspection Fund.................................3,266
Weights and Measures Fund..............................72,488
    Notwithstanding any provision of the law to the contrary,
the General Assembly hereby authorizes the use of such funds
for the purposes set forth in this Section.
    These provisions do not apply to funds classified by the
Comptroller as federal trust funds or State trust funds. The
Audit Expense Fund may receive transfers from those trust funds
only as directed herein, except where prohibited by the terms
of the trust fund agreement. The Auditor General shall notify
the trustees of those funds of the estimated cost of the audit
to be incurred under the Illinois State Auditing Act for the
fund. The trustees of those funds shall direct the State
Comptroller and Treasurer to transfer the estimated amount to
the Audit Expense Fund.
    The Auditor General may bill entities that are not subject
to the above transfer provisions, including private entities,
related organizations and entities whose funds are
locally-held, for the cost of audits, studies, and
investigations incurred on their behalf. Any revenues received
under this provision shall be deposited into the Audit Expense
Fund.
    In the event that moneys on deposit in any fund are
unavailable, by reason of deficiency or any other reason
preventing their lawful transfer, the State Comptroller shall
order transferred and the State Treasurer shall transfer the
amount deficient or otherwise unavailable from the General
Revenue Fund for deposit into the Audit Expense Fund.
    On or before December 1, 1992, and each December 1
thereafter, the Auditor General shall notify the Governor's
Office of Management and Budget (formerly Bureau of the Budget)
of the amount estimated to be necessary to pay for audits,
studies, and investigations in accordance with the Illinois
State Auditing Act during the next succeeding fiscal year for
each State fund for which a transfer or reimbursement is
anticipated.
    Beginning with fiscal year 1994 and during each fiscal year
thereafter, the Auditor General may direct the State
Comptroller and Treasurer to transfer moneys from funds
authorized by the General Assembly for that fund. In the event
funds, including federal and State trust funds but excluding
the General Revenue Fund, are transferred, during fiscal year
1994 and during each fiscal year thereafter, in excess of the
amount to pay actual costs attributable to audits, studies, and
investigations as permitted or required by the Illinois State
Auditing Act or specific action of the General Assembly, the
Auditor General shall, on September 30, or as soon thereafter
as is practicable, direct the State Comptroller and Treasurer
to transfer the excess amount back to the fund from which it
was originally transferred.
(Source: P.A. 99-38, eff. 7-14-15; 99-523, eff. 6-30-16;
100-23, eff. 7-6-17.)
 
    (30 ILCS 105/8g-1)
    Sec. 8g-1. Fund transfers.
    (a) (Blank). In addition to any other transfers that may be
provided for by law, on and after July 1, 2012 and until May 1,
2013, at the direction of and upon notification from the
Governor, the State Comptroller shall direct and the State
Treasurer shall transfer amounts not exceeding a total of
$80,000,000 from the General Revenue Fund to the Tobacco
Settlement Recovery Fund. Any amounts so transferred shall be
retransferred by the State Comptroller and the State Treasurer
from the Tobacco Settlement Recovery Fund to the General
Revenue Fund at the direction of and upon notification from the
Governor, but in any event on or before June 30, 2013.
    (b) (Blank). In addition to any other transfers that may be
provided for by law, on and after July 1, 2013 and until May 1,
2014, at the direction of and upon notification from the
Governor, the State Comptroller shall direct and the State
Treasurer shall transfer amounts not exceeding a total of
$80,000,000 from the General Revenue Fund to the Tobacco
Settlement Recovery Fund. Any amounts so transferred shall be
retransferred by the State Comptroller and the State Treasurer
from the Tobacco Settlement Recovery Fund to the General
Revenue Fund at the direction of and upon notification from the
Governor, but in any event on or before June 30, 2014.
    (c) (Blank). In addition to any other transfers that may be
provided for by law, on July 1, 2013, or as soon thereafter as
practical, the State Comptroller shall direct and the State
Treasurer shall transfer the sum of $1,400,000 from the General
Revenue Fund to the ICJIA Violence Prevention Fund.
    (d) (Blank). In addition to any other transfers that may be
provided for by law, on July 1, 2013, or as soon thereafter as
practical, the State Comptroller shall direct and the State
Treasurer shall transfer the sum of $1,500,000 from the General
Revenue Fund to the Illinois Veterans Assistance Fund.
    (e) (Blank). In addition to any other transfers that may be
provided for by law, on July 1, 2013, or as soon thereafter as
practical, the State Comptroller shall direct and the State
Treasurer shall transfer the sum of $500,000 from the General
Revenue Fund to the Senior Citizens Real Estate Deferred Tax
Revolving Fund.
    (f) (Blank). In addition to any other transfers that may be
provided for by law, on July 1, 2013, or as soon thereafter as
practical, the State Comptroller shall direct and the State
Treasurer shall transfer the sum of $4,000,000 from the General
Revenue Fund to the Digital Divide Elimination Fund.
    (g) (Blank). In addition to any other transfers that may be
provided for by law, on July 1, 2013, or as soon thereafter as
practical, the State Comptroller shall direct and the State
Treasurer shall transfer the sum of $5,000,000 from the General
Revenue Fund to the Communications Revolving Fund.
    (h) (Blank). In addition to any other transfers that may be
provided for by law, on July 1, 2013, or as soon thereafter as
practical, the State Comptroller shall direct and the State
Treasurer shall transfer the sum of $9,800,000 from the General
Revenue Fund to the Presidential Library and Museum Operating
Fund.
    (i) (Blank). In addition to any other transfers that may be
provided for by law, on and after July 1, 2014 and until May 1,
2015, at the direction of and upon notification from the
Governor, the State Comptroller shall direct and the State
Treasurer shall transfer amounts not exceeding a total of
$80,000,000 from the General Revenue Fund to the Tobacco
Settlement Recovery Fund. Any amounts so transferred shall be
retransferred by the State Comptroller and the State Treasurer
from the Tobacco Settlement Recovery Fund to the General
Revenue Fund at the direction of and upon notification from the
Governor, but in any event on or before June 30, 2015.
    (j) (Blank). In addition to any other transfers that may be
provided for by law, on July 1, 2014, or as soon thereafter as
practical, the State Comptroller shall direct and the State
Treasurer shall transfer the sum of $10,000,000 from the
General Revenue Fund to the Presidential Library and Museum
Operating Fund.
    (k) In addition to any other transfers that may be provided
for by law, on July 1, 2017, or as soon thereafter as
practical, the State Comptroller shall direct and the State
Treasurer shall transfer the sum of $500,000 from the General
Revenue Fund to the Grant Accountability and Transparency Fund.
    (l) In addition to any other transfers that may be provided
for by law, on July 1, 2018, or as soon thereafter as
practical, the State Comptroller shall direct and the State
Treasurer shall transfer the sum of $800,000 from the General
Revenue Fund to the Grant Accountability and Transparency Fund.
    (m) In addition to any other transfers that may be provided
for by law, on July 1, 2018, or as soon thereafter as
practical, the State Comptroller shall direct and the State
Treasurer shall transfer the sum of $650,000 from the Capital
Development Board Contributory Trust Fund to the Facility
Management Revolving Fund.
    (m) In addition to any other transfers that may be provided
for by law, on July 1, 2018, or as soon thereafter as
practical, the State Comptroller shall direct and the State
Treasurer shall transfer the sum of $2,750,000 from the Capital
Development Board Contributory Trust Fund to the U.S.
Environmental Protection Fund.
(Source: P.A. 100-23, eff. 7-6-17.)
 
    (30 ILCS 105/13.2)  (from Ch. 127, par. 149.2)
    Sec. 13.2. Transfers among line item appropriations.
    (a) Transfers among line item appropriations from the same
treasury fund for the objects specified in this Section may be
made in the manner provided in this Section when the balance
remaining in one or more such line item appropriations is
insufficient for the purpose for which the appropriation was
made.
    (a-1) No transfers may be made from one agency to another
agency, nor may transfers be made from one institution of
higher education to another institution of higher education
except as provided by subsection (a-4).
    (a-2) Except as otherwise provided in this Section,
transfers may be made only among the objects of expenditure
enumerated in this Section, except that no funds may be
transferred from any appropriation for personal services, from
any appropriation for State contributions to the State
Employees' Retirement System, from any separate appropriation
for employee retirement contributions paid by the employer, nor
from any appropriation for State contribution for employee
group insurance. During State fiscal year 2005, an agency may
transfer amounts among its appropriations within the same
treasury fund for personal services, employee retirement
contributions paid by employer, and State Contributions to
retirement systems; notwithstanding and in addition to the
transfers authorized in subsection (c) of this Section, the
fiscal year 2005 transfers authorized in this sentence may be
made in an amount not to exceed 2% of the aggregate amount
appropriated to an agency within the same treasury fund. During
State fiscal year 2007, the Departments of Children and Family
Services, Corrections, Human Services, and Juvenile Justice
may transfer amounts among their respective appropriations
within the same treasury fund for personal services, employee
retirement contributions paid by employer, and State
contributions to retirement systems. During State fiscal year
2010, the Department of Transportation may transfer amounts
among their respective appropriations within the same treasury
fund for personal services, employee retirement contributions
paid by employer, and State contributions to retirement
systems. During State fiscal years 2010 and 2014 only, an
agency may transfer amounts among its respective
appropriations within the same treasury fund for personal
services, employee retirement contributions paid by employer,
and State contributions to retirement systems.
Notwithstanding, and in addition to, the transfers authorized
in subsection (c) of this Section, these transfers may be made
in an amount not to exceed 2% of the aggregate amount
appropriated to an agency within the same treasury fund.
    (a-2.5) During State fiscal year 2015 only, the State's
Attorneys Appellate Prosecutor may transfer amounts among its
respective appropriations contained in operational line items
within the same treasury fund. Notwithstanding, and in addition
to, the transfers authorized in subsection (c) of this Section,
these transfers may be made in an amount not to exceed 4% of
the aggregate amount appropriated to the State's Attorneys
Appellate Prosecutor within the same treasury fund.
    (a-3) Further, if an agency receives a separate
appropriation for employee retirement contributions paid by
the employer, any transfer by that agency into an appropriation
for personal services must be accompanied by a corresponding
transfer into the appropriation for employee retirement
contributions paid by the employer, in an amount sufficient to
meet the employer share of the employee contributions required
to be remitted to the retirement system.
    (a-4) Long-Term Care Rebalancing. The Governor may
designate amounts set aside for institutional services
appropriated from the General Revenue Fund or any other State
fund that receives monies for long-term care services to be
transferred to all State agencies responsible for the
administration of community-based long-term care programs,
including, but not limited to, community-based long-term care
programs administered by the Department of Healthcare and
Family Services, the Department of Human Services, and the
Department on Aging, provided that the Director of Healthcare
and Family Services first certifies that the amounts being
transferred are necessary for the purpose of assisting persons
in or at risk of being in institutional care to transition to
community-based settings, including the financial data needed
to prove the need for the transfer of funds. The total amounts
transferred shall not exceed 4% in total of the amounts
appropriated from the General Revenue Fund or any other State
fund that receives monies for long-term care services for each
fiscal year. A notice of the fund transfer must be made to the
General Assembly and posted at a minimum on the Department of
Healthcare and Family Services website, the Governor's Office
of Management and Budget website, and any other website the
Governor sees fit. These postings shall serve as notice to the
General Assembly of the amounts to be transferred. Notice shall
be given at least 30 days prior to transfer.
    (b) In addition to the general transfer authority provided
under subsection (c), the following agencies have the specific
transfer authority granted in this subsection:
    The Department of Healthcare and Family Services is
authorized to make transfers representing savings attributable
to not increasing grants due to the births of additional
children from line items for payments of cash grants to line
items for payments for employment and social services for the
purposes outlined in subsection (f) of Section 4-2 of the
Illinois Public Aid Code.
    The Department of Children and Family Services is
authorized to make transfers not exceeding 2% of the aggregate
amount appropriated to it within the same treasury fund for the
following line items among these same line items: Foster Home
and Specialized Foster Care and Prevention, Institutions and
Group Homes and Prevention, and Purchase of Adoption and
Guardianship Services.
    The Department on Aging is authorized to make transfers not
exceeding 2% of the aggregate amount appropriated to it within
the same treasury fund for the following Community Care Program
line items among these same line items: purchase of services
covered by the Community Care Program and Comprehensive Case
Coordination.
    The State Treasurer is authorized to make transfers among
line item appropriations from the Capital Litigation Trust
Fund, with respect to costs incurred in fiscal years 2002 and
2003 only, when the balance remaining in one or more such line
item appropriations is insufficient for the purpose for which
the appropriation was made, provided that no such transfer may
be made unless the amount transferred is no longer required for
the purpose for which that appropriation was made.
    The State Board of Education is authorized to make
transfers from line item appropriations within the same
treasury fund for General State Aid, General State Aid - Hold
Harmless, and Evidence-Based Funding, provided that no such
transfer may be made unless the amount transferred is no longer
required for the purpose for which that appropriation was made,
to the line item appropriation for Transitional Assistance when
the balance remaining in such line item appropriation is
insufficient for the purpose for which the appropriation was
made.
    The State Board of Education is authorized to make
transfers between the following line item appropriations
within the same treasury fund: Disabled Student
Services/Materials (Section 14-13.01 of the School Code),
Disabled Student Transportation Reimbursement (Section
14-13.01 of the School Code), Disabled Student Tuition -
Private Tuition (Section 14-7.02 of the School Code),
Extraordinary Special Education (Section 14-7.02b of the
School Code), Reimbursement for Free Lunch/Breakfast Program,
Summer School Payments (Section 18-4.3 of the School Code), and
Transportation - Regular/Vocational Reimbursement (Section
29-5 of the School Code). Such transfers shall be made only
when the balance remaining in one or more such line item
appropriations is insufficient for the purpose for which the
appropriation was made and provided that no such transfer may
be made unless the amount transferred is no longer required for
the purpose for which that appropriation was made.
    The Department of Healthcare and Family Services is
authorized to make transfers not exceeding 4% of the aggregate
amount appropriated to it, within the same treasury fund, among
the various line items appropriated for Medical Assistance.
    (c) The sum of such transfers for an agency in a fiscal
year shall not exceed 2% of the aggregate amount appropriated
to it within the same treasury fund for the following objects:
Personal Services; Extra Help; Student and Inmate
Compensation; State Contributions to Retirement Systems; State
Contributions to Social Security; State Contribution for
Employee Group Insurance; Contractual Services; Travel;
Commodities; Printing; Equipment; Electronic Data Processing;
Operation of Automotive Equipment; Telecommunications
Services; Travel and Allowance for Committed, Paroled and
Discharged Prisoners; Library Books; Federal Matching Grants
for Student Loans; Refunds; Workers' Compensation,
Occupational Disease, and Tort Claims; and, in appropriations
to institutions of higher education, Awards and Grants.
Notwithstanding the above, any amounts appropriated for
payment of workers' compensation claims to an agency to which
the authority to evaluate, administer and pay such claims has
been delegated by the Department of Central Management Services
may be transferred to any other expenditure object where such
amounts exceed the amount necessary for the payment of such
claims.
    (c-1) Special provisions for State fiscal year 2003.
Notwithstanding any other provision of this Section to the
contrary, for State fiscal year 2003 only, transfers among line
item appropriations to an agency from the same treasury fund
may be made provided that the sum of such transfers for an
agency in State fiscal year 2003 shall not exceed 3% of the
aggregate amount appropriated to that State agency for State
fiscal year 2003 for the following objects: personal services,
except that no transfer may be approved which reduces the
aggregate appropriations for personal services within an
agency; extra help; student and inmate compensation; State
contributions to retirement systems; State contributions to
social security; State contributions for employee group
insurance; contractual services; travel; commodities;
printing; equipment; electronic data processing; operation of
automotive equipment; telecommunications services; travel and
allowance for committed, paroled, and discharged prisoners;
library books; federal matching grants for student loans;
refunds; workers' compensation, occupational disease, and tort
claims; and, in appropriations to institutions of higher
education, awards and grants.
    (c-2) Special provisions for State fiscal year 2005.
Notwithstanding subsections (a), (a-2), and (c), for State
fiscal year 2005 only, transfers may be made among any line
item appropriations from the same or any other treasury fund
for any objects or purposes, without limitation, when the
balance remaining in one or more such line item appropriations
is insufficient for the purpose for which the appropriation was
made, provided that the sum of those transfers by a State
agency shall not exceed 4% of the aggregate amount appropriated
to that State agency for fiscal year 2005.
    (c-3) Special provisions for State fiscal year 2015.
Notwithstanding any other provision of this Section, for State
fiscal year 2015, transfers among line item appropriations to a
State agency from the same State treasury fund may be made for
operational or lump sum expenses only, provided that the sum of
such transfers for a State agency in State fiscal year 2015
shall not exceed 4% of the aggregate amount appropriated to
that State agency for operational or lump sum expenses for
State fiscal year 2015. For the purpose of this subsection,
"operational or lump sum expenses" includes the following
objects: personal services; extra help; student and inmate
compensation; State contributions to retirement systems; State
contributions to social security; State contributions for
employee group insurance; contractual services; travel;
commodities; printing; equipment; electronic data processing;
operation of automotive equipment; telecommunications
services; travel and allowance for committed, paroled, and
discharged prisoners; library books; federal matching grants
for student loans; refunds; workers' compensation,
occupational disease, and tort claims; lump sum and other
purposes; and lump sum operations. For the purpose of this
subsection (c-3), "State agency" does not include the Attorney
General, the Secretary of State, the Comptroller, the
Treasurer, or the legislative or judicial branches.
    (c-4) Special provisions for State fiscal year 2018.
Notwithstanding any other provision of this Section, for State
fiscal year 2018, transfers among line item appropriations to a
State agency from the same State treasury fund may be made for
operational or lump sum expenses only, provided that the sum of
such transfers for a State agency in State fiscal year 2018
shall not exceed 4% of the aggregate amount appropriated to
that State agency for operational or lump sum expenses for
State fiscal year 2018. For the purpose of this subsection
(c-4), "operational or lump sum expenses" includes the
following objects: personal services; extra help; student and
inmate compensation; State contributions to retirement
systems; State contributions to social security; State
contributions for employee group insurance; contractual
services; travel; commodities; printing; equipment; electronic
data processing; operation of automotive equipment;
telecommunications services; travel and allowance for
committed, paroled, and discharged prisoners; library books;
federal matching grants for student loans; refunds; workers'
compensation, occupational disease, and tort claims; lump sum
and other purposes; and lump sum operations. For the purpose of
this subsection (c-4), "State agency" does not include the
Attorney General, the Secretary of State, the Comptroller, the
Treasurer, or the legislative or judicial branches.
    (c-5) Special provisions for State fiscal year 2019.
Notwithstanding any other provision of this Section, for State
fiscal year 2019, transfers among line item appropriations to a
State agency from the same State treasury fund may be made for
operational or lump sum expenses only, provided that the sum of
such transfers for a State agency in State fiscal year 2019
shall not exceed 4% of the aggregate amount appropriated to
that State agency for operational or lump sum expenses for
State fiscal year 2019. For the purpose of this subsection
(c-5), "operational or lump sum expenses" includes the
following objects: personal services; extra help; student and
inmate compensation; State contributions to retirement
systems; State contributions to social security; State
contributions for employee group insurance; contractual
services; travel; commodities; printing; equipment; electronic
data processing; operation of automotive equipment;
telecommunications services; travel and allowance for
committed, paroled, and discharged prisoners; library books;
federal matching grants for student loans; refunds; workers'
compensation, occupational disease, and tort claims; lump sum
and other purposes; and lump sum operations. For the purpose of
this subsection (c-5), "State agency" does not include the
Attorney General, the Secretary of State, the Comptroller, the
Treasurer, or the legislative or judicial branches.
    (d) Transfers among appropriations made to agencies of the
Legislative and Judicial departments and to the
constitutionally elected officers in the Executive branch
require the approval of the officer authorized in Section 10 of
this Act to approve and certify vouchers. Transfers among
appropriations made to the University of Illinois, Southern
Illinois University, Chicago State University, Eastern
Illinois University, Governors State University, Illinois
State University, Northeastern Illinois University, Northern
Illinois University, Western Illinois University, the Illinois
Mathematics and Science Academy and the Board of Higher
Education require the approval of the Board of Higher Education
and the Governor. Transfers among appropriations to all other
agencies require the approval of the Governor.
    The officer responsible for approval shall certify that the
transfer is necessary to carry out the programs and purposes
for which the appropriations were made by the General Assembly
and shall transmit to the State Comptroller a certified copy of
the approval which shall set forth the specific amounts
transferred so that the Comptroller may change his records
accordingly. The Comptroller shall furnish the Governor with
information copies of all transfers approved for agencies of
the Legislative and Judicial departments and transfers
approved by the constitutionally elected officials of the
Executive branch other than the Governor, showing the amounts
transferred and indicating the dates such changes were entered
on the Comptroller's records.
    (e) The State Board of Education, in consultation with the
State Comptroller, may transfer line item appropriations for
General State Aid or Evidence-Based Funding between the Common
School Fund and the Education Assistance Fund. With the advice
and consent of the Governor's Office of Management and Budget,
the State Board of Education, in consultation with the State
Comptroller, may transfer line item appropriations between the
General Revenue Fund and the Education Assistance Fund for the
following programs:
        (1) Disabled Student Personnel Reimbursement (Section
    14-13.01 of the School Code);
        (2) Disabled Student Transportation Reimbursement
    (subsection (b) of Section 14-13.01 of the School Code);
        (3) Disabled Student Tuition - Private Tuition
    (Section 14-7.02 of the School Code);
        (4) Extraordinary Special Education (Section 14-7.02b
    of the School Code);
        (5) Reimbursement for Free Lunch/Breakfast Programs;
        (6) Summer School Payments (Section 18-4.3 of the
    School Code);
        (7) Transportation - Regular/Vocational Reimbursement
    (Section 29-5 of the School Code);
        (8) Regular Education Reimbursement (Section 18-3 of
    the School Code); and
        (9) Special Education Reimbursement (Section 14-7.03
    of the School Code).
(Source: P.A. 99-2, eff. 3-26-15; 100-23, eff. 7-6-17; 100-465,
eff. 8-31-17; revised 10-4-17.)
 
    Section 5-25. The State Revenue Sharing Act is amended by
changing Section 12 and by adding Section 11.2 as follows:
 
    (30 ILCS 115/11.2 new)
    Sec. 11.2. Funding of certain school districts; fiscal year
2019.
    (a) On July 1, 2018, or as soon as practical thereafter,
the State Board of Education shall identify to the Department
of Revenue school districts having Personal Property Tax
Replacement Fund receipts totaling 13% or more of their total
revenues in fiscal year 2017.
    (b) In fiscal year 2019, any school district identified
under subsection (a) shall receive, in addition to its annual
distributions from the Personal Property Tax Replacement Fund,
16% of the total amount distributed to the school district from
the Personal Property Tax Replacement Fund during fiscal year
2017, provided that the total amount of additional
distributions under this Section shall not exceed $4,300,000.
    If the total additional distributions exceed $4,300,000,
such distributions shall be calculated on a pro rata basis,
based on the percentage of each district's total fiscal year
2017 revenues to the total fiscal year 2017 revenues of all
districts qualifying for an additional distribution under this
Section.
 
    (30 ILCS 115/12)  (from Ch. 85, par. 616)
    Sec. 12. Personal Property Tax Replacement Fund. There is
hereby created the Personal Property Tax Replacement Fund, a
special fund in the State Treasury into which shall be paid all
revenue realized:
    (a) all amounts realized from the additional personal
property tax replacement income tax imposed by subsections (c)
and (d) of Section 201 of the Illinois Income Tax Act, except
for those amounts deposited into the Income Tax Refund Fund
pursuant to subsection (c) of Section 901 of the Illinois
Income Tax Act; and
    (b) all amounts realized from the additional personal
property replacement invested capital taxes imposed by Section
2a.1 of the Messages Tax Act, Section 2a.1 of the Gas Revenue
Tax Act, Section 2a.1 of the Public Utilities Revenue Act, and
Section 3 of the Water Company Invested Capital Tax Act, and
amounts payable to the Department of Revenue under the
Telecommunications Infrastructure Maintenance Fee Act.
    As soon as may be after the end of each month, the
Department of Revenue shall certify to the Treasurer and the
Comptroller the amount of all refunds paid out of the General
Revenue Fund through the preceding month on account of
overpayment of liability on taxes paid into the Personal
Property Tax Replacement Fund. Upon receipt of such
certification, the Treasurer and the Comptroller shall
transfer the amount so certified from the Personal Property Tax
Replacement Fund into the General Revenue Fund.
    The payments of revenue into the Personal Property Tax
Replacement Fund shall be used exclusively for distribution to
taxing districts, regional offices and officials, and local
officials as provided in this Section and in the School Code,
payment of the ordinary and contingent expenses of the Property
Tax Appeal Board, payment of the expenses of the Department of
Revenue incurred in administering the collection and
distribution of monies paid into the Personal Property Tax
Replacement Fund and transfers due to refunds to taxpayers for
overpayment of liability for taxes paid into the Personal
Property Tax Replacement Fund.
    In addition, moneys in the Personal Property Tax
Replacement Fund may be used to pay any of the following: (i)
salary, stipends, and additional compensation as provided by
law for chief election clerks, county clerks, and county
recorders; (ii) costs associated with regional offices of
education and educational service centers; (iii)
reimbursements payable by the State Board of Elections under
Section 4-25, 5-35, 6-71, 13-10, 13-10a, or 13-11 of the
Election Code; (iv) expenses of the Illinois Educational Labor
Relations Board; and (v) salary, personal services, and
additional compensation as provided by law for court reporters
under the Court Reporters Act.
    As soon as may be after the effective date of this
amendatory Act of 1980, the Department of Revenue shall certify
to the Treasurer the amount of net replacement revenue paid
into the General Revenue Fund prior to that effective date from
the additional tax imposed by Section 2a.1 of the Messages Tax
Act; Section 2a.1 of the Gas Revenue Tax Act; Section 2a.1 of
the Public Utilities Revenue Act; Section 3 of the Water
Company Invested Capital Tax Act; amounts collected by the
Department of Revenue under the Telecommunications
Infrastructure Maintenance Fee Act; and the additional
personal property tax replacement income tax imposed by the
Illinois Income Tax Act, as amended by Public Act 81-1st
Special Session-1. Net replacement revenue shall be defined as
the total amount paid into and remaining in the General Revenue
Fund as a result of those Acts minus the amount outstanding and
obligated from the General Revenue Fund in state vouchers or
warrants prior to the effective date of this amendatory Act of
1980 as refunds to taxpayers for overpayment of liability under
those Acts.
    All interest earned by monies accumulated in the Personal
Property Tax Replacement Fund shall be deposited in such Fund.
All amounts allocated pursuant to this Section are appropriated
on a continuing basis.
    Prior to December 31, 1980, as soon as may be after the end
of each quarter beginning with the quarter ending December 31,
1979, and on and after December 31, 1980, as soon as may be
after January 1, March 1, April 1, May 1, July 1, August 1,
October 1 and December 1 of each year, the Department of
Revenue shall allocate to each taxing district as defined in
Section 1-150 of the Property Tax Code, in accordance with the
provisions of paragraph (2) of this Section the portion of the
funds held in the Personal Property Tax Replacement Fund which
is required to be distributed, as provided in paragraph (1),
for each quarter. Provided, however, under no circumstances
shall any taxing district during each of the first two years of
distribution of the taxes imposed by this amendatory Act of
1979 be entitled to an annual allocation which is less than the
funds such taxing district collected from the 1978 personal
property tax. Provided further that under no circumstances
shall any taxing district during the third year of distribution
of the taxes imposed by this amendatory Act of 1979 receive
less than 60% of the funds such taxing district collected from
the 1978 personal property tax. In the event that the total of
the allocations made as above provided for all taxing
districts, during either of such 3 years, exceeds the amount
available for distribution the allocation of each taxing
district shall be proportionately reduced. Except as provided
in Section 13 of this Act, the Department shall then certify,
pursuant to appropriation, such allocations to the State
Comptroller who shall pay over to the several taxing districts
the respective amounts allocated to them.
    Any township which receives an allocation based in whole or
in part upon personal property taxes which it levied pursuant
to Section 6-507 or 6-512 of the Illinois Highway Code and
which was previously required to be paid over to a municipality
shall immediately pay over to that municipality a proportionate
share of the personal property replacement funds which such
township receives.
    Any municipality or township, other than a municipality
with a population in excess of 500,000, which receives an
allocation based in whole or in part on personal property taxes
which it levied pursuant to Sections 3-1, 3-4 and 3-6 of the
Illinois Local Library Act and which was previously required to
be paid over to a public library shall immediately pay over to
that library a proportionate share of the personal property tax
replacement funds which such municipality or township
receives; provided that if such a public library has converted
to a library organized under The Illinois Public Library
District Act, regardless of whether such conversion has
occurred on, after or before January 1, 1988, such
proportionate share shall be immediately paid over to the
library district which maintains and operates the library.
However, any library that has converted prior to January 1,
1988, and which hitherto has not received the personal property
tax replacement funds, shall receive such funds commencing on
January 1, 1988.
    Any township which receives an allocation based in whole or
in part on personal property taxes which it levied pursuant to
Section 1c of the Public Graveyards Act and which taxes were
previously required to be paid over to or used for such public
cemetery or cemeteries shall immediately pay over to or use for
such public cemetery or cemeteries a proportionate share of the
personal property tax replacement funds which the township
receives.
    Any taxing district which receives an allocation based in
whole or in part upon personal property taxes which it levied
for another governmental body or school district in Cook County
in 1976 or for another governmental body or school district in
the remainder of the State in 1977 shall immediately pay over
to that governmental body or school district the amount of
personal property replacement funds which such governmental
body or school district would receive directly under the
provisions of paragraph (2) of this Section, had it levied its
own taxes.
        (1) The portion of the Personal Property Tax
    Replacement Fund required to be distributed as of the time
    allocation is required to be made shall be the amount
    available in such Fund as of the time allocation is
    required to be made.
        The amount available for distribution shall be the
    total amount in the fund at such time minus the necessary
    administrative and other authorized expenses as limited by
    the appropriation and the amount determined by: (a) $2.8
    million for fiscal year 1981; (b) for fiscal year 1982,
    .54% of the funds distributed from the fund during the
    preceding fiscal year; (c) for fiscal year 1983 through
    fiscal year 1988, .54% of the funds distributed from the
    fund during the preceding fiscal year less .02% of such
    fund for fiscal year 1983 and less .02% of such funds for
    each fiscal year thereafter; (d) for fiscal year 1989
    through fiscal year 2011 no more than 105% of the actual
    administrative expenses of the prior fiscal year; (e) for
    fiscal year 2012 and beyond, a sufficient amount to pay (i)
    stipends, additional compensation, salary reimbursements,
    and other amounts directed to be paid out of this Fund for
    local officials as authorized or required by statute and
    (ii) no more than 105% of the actual administrative
    expenses of the prior fiscal year, including payment of the
    ordinary and contingent expenses of the Property Tax Appeal
    Board and payment of the expenses of the Department of
    Revenue incurred in administering the collection and
    distribution of moneys paid into the Fund; (f) for fiscal
    years 2012 and 2013 only, a sufficient amount to pay
    stipends, additional compensation, salary reimbursements,
    and other amounts directed to be paid out of this Fund for
    regional offices and officials as authorized or required by
    statute; or (g) for fiscal years year 2018 and 2019 only, a
    sufficient amount to pay amounts directed to be paid out of
    this Fund for public community college base operating
    grants and local health protection grants to certified
    local health departments as authorized or required by
    appropriation or statute. Such portion of the fund shall be
    determined after the transfer into the General Revenue Fund
    due to refunds, if any, paid from the General Revenue Fund
    during the preceding quarter. If at any time, for any
    reason, there is insufficient amount in the Personal
    Property Tax Replacement Fund for payments for regional
    offices and officials or local officials or payment of
    costs of administration or for transfers due to refunds at
    the end of any particular month, the amount of such
    insufficiency shall be carried over for the purposes of
    payments for regional offices and officials, local
    officials, transfers into the General Revenue Fund, and
    costs of administration to the following month or months.
    Net replacement revenue held, and defined above, shall be
    transferred by the Treasurer and Comptroller to the
    Personal Property Tax Replacement Fund within 10 days of
    such certification.
        (2) Each quarterly allocation shall first be
    apportioned in the following manner: 51.65% for taxing
    districts in Cook County and 48.35% for taxing districts in
    the remainder of the State.
    The Personal Property Replacement Ratio of each taxing
district outside Cook County shall be the ratio which the Tax
Base of that taxing district bears to the Downstate Tax Base.
The Tax Base of each taxing district outside of Cook County is
the personal property tax collections for that taxing district
for the 1977 tax year. The Downstate Tax Base is the personal
property tax collections for all taxing districts in the State
outside of Cook County for the 1977 tax year. The Department of
Revenue shall have authority to review for accuracy and
completeness the personal property tax collections for each
taxing district outside Cook County for the 1977 tax year.
    The Personal Property Replacement Ratio of each Cook County
taxing district shall be the ratio which the Tax Base of that
taxing district bears to the Cook County Tax Base. The Tax Base
of each Cook County taxing district is the personal property
tax collections for that taxing district for the 1976 tax year.
The Cook County Tax Base is the personal property tax
collections for all taxing districts in Cook County for the
1976 tax year. The Department of Revenue shall have authority
to review for accuracy and completeness the personal property
tax collections for each taxing district within Cook County for
the 1976 tax year.
    For all purposes of this Section 12, amounts paid to a
taxing district for such tax years as may be applicable by a
foreign corporation under the provisions of Section 7-202 of
the Public Utilities Act, as amended, shall be deemed to be
personal property taxes collected by such taxing district for
such tax years as may be applicable. The Director shall
determine from the Illinois Commerce Commission, for any tax
year as may be applicable, the amounts so paid by any such
foreign corporation to any and all taxing districts. The
Illinois Commerce Commission shall furnish such information to
the Director. For all purposes of this Section 12, the Director
shall deem such amounts to be collected personal property taxes
of each such taxing district for the applicable tax year or
years.
    Taxing districts located both in Cook County and in one or
more other counties shall receive both a Cook County allocation
and a Downstate allocation determined in the same way as all
other taxing districts.
    If any taxing district in existence on July 1, 1979 ceases
to exist, or discontinues its operations, its Tax Base shall
thereafter be deemed to be zero. If the powers, duties and
obligations of the discontinued taxing district are assumed by
another taxing district, the Tax Base of the discontinued
taxing district shall be added to the Tax Base of the taxing
district assuming such powers, duties and obligations.
    If two or more taxing districts in existence on July 1,
1979, or a successor or successors thereto shall consolidate
into one taxing district, the Tax Base of such consolidated
taxing district shall be the sum of the Tax Bases of each of
the taxing districts which have consolidated.
    If a single taxing district in existence on July 1, 1979,
or a successor or successors thereto shall be divided into two
or more separate taxing districts, the tax base of the taxing
district so divided shall be allocated to each of the resulting
taxing districts in proportion to the then current equalized
assessed value of each resulting taxing district.
    If a portion of the territory of a taxing district is
disconnected and annexed to another taxing district of the same
type, the Tax Base of the taxing district from which
disconnection was made shall be reduced in proportion to the
then current equalized assessed value of the disconnected
territory as compared with the then current equalized assessed
value within the entire territory of the taxing district prior
to disconnection, and the amount of such reduction shall be
added to the Tax Base of the taxing district to which
annexation is made.
    If a community college district is created after July 1,
1979, beginning on the effective date of this amendatory Act of
1995, its Tax Base shall be 3.5% of the sum of the personal
property tax collected for the 1977 tax year within the
territorial jurisdiction of the district.
    The amounts allocated and paid to taxing districts pursuant
to the provisions of this amendatory Act of 1979 shall be
deemed to be substitute revenues for the revenues derived from
taxes imposed on personal property pursuant to the provisions
of the "Revenue Act of 1939" or "An Act for the assessment and
taxation of private car line companies", approved July 22,
1943, as amended, or Section 414 of the Illinois Insurance
Code, prior to the abolition of such taxes and shall be used
for the same purposes as the revenues derived from ad valorem
taxes on real estate.
    Monies received by any taxing districts from the Personal
Property Tax Replacement Fund shall be first applied toward
payment of the proportionate amount of debt service which was
previously levied and collected from extensions against
personal property on bonds outstanding as of December 31, 1978
and next applied toward payment of the proportionate share of
the pension or retirement obligations of the taxing district
which were previously levied and collected from extensions
against personal property. For each such outstanding bond
issue, the County Clerk shall determine the percentage of the
debt service which was collected from extensions against real
estate in the taxing district for 1978 taxes payable in 1979,
as related to the total amount of such levies and collections
from extensions against both real and personal property. For
1979 and subsequent years' taxes, the County Clerk shall levy
and extend taxes against the real estate of each taxing
district which will yield the said percentage or percentages of
the debt service on such outstanding bonds. The balance of the
amount necessary to fully pay such debt service shall
constitute a first and prior lien upon the monies received by
each such taxing district through the Personal Property Tax
Replacement Fund and shall be first applied or set aside for
such purpose. In counties having fewer than 3,000,000
inhabitants, the amendments to this paragraph as made by this
amendatory Act of 1980 shall be first applicable to 1980 taxes
to be collected in 1981.
(Source: P.A. 100-23, eff. 7-6-17.)
 
    Section 5-30. The Downstate Public Transportation Act is
amended by changing Section 2-3 as follows:
 
    (30 ILCS 740/2-3)  (from Ch. 111 2/3, par. 663)
    (Text of Section before amendment by P.A. 100-363)
    Sec. 2-3. (a) As soon as possible after the first day of
each month, beginning July 1, 1984, upon certification of the
Department of Revenue, the Comptroller shall order
transferred, and the Treasurer shall transfer, from the General
Revenue Fund to a special fund in the State Treasury which is
hereby created, to be known as the "Downstate Public
Transportation Fund", an amount equal to 2/32 (beginning July
1, 2005, 3/32) of the net revenue realized from the "Retailers'
Occupation Tax Act", as now or hereafter amended, the "Service
Occupation Tax Act", as now or hereafter amended, the "Use Tax
Act", as now or hereafter amended, and the "Service Use Tax
Act", as now or hereafter amended, from persons incurring
municipal or county retailers' or service occupation tax
liability for the benefit of any municipality or county located
wholly within the boundaries of each participant, other than
any Metro-East Transit District participant certified pursuant
to subsection (c) of this Section during the preceding month,
except that the Department shall pay into the Downstate Public
Transportation Fund 2/32 (beginning July 1, 2005, 3/32) of 80%
of the net revenue realized under the State tax Acts named
above within any municipality or county located wholly within
the boundaries of each participant, other than any Metro-East
participant, for tax periods beginning on or after January 1,
1990. Net revenue realized for a month shall be the revenue
collected by the State pursuant to such Acts during the
previous month from persons incurring municipal or county
retailers' or service occupation tax liability for the benefit
of any municipality or county located wholly within the
boundaries of a participant, less the amount paid out during
that same month as refunds or credit memoranda to taxpayers for
overpayment of liability under such Acts for the benefit of any
municipality or county located wholly within the boundaries of
a participant.
    Notwithstanding any provision of law to the contrary,
beginning on July 6, 2017 (the effective date of Public Act
100-23) this amendatory Act of the 100th General Assembly,
those amounts required under this subsection (a) to be
transferred by the Treasurer into the Downstate Public
Transportation Fund from the General Revenue Fund shall be
directly deposited into the Downstate Public Transportation
Fund as the revenues are realized from the taxes indicated.
    (b) As soon as possible after the first day of each month,
beginning July 1, 1989, upon certification of the Department of
Revenue, the Comptroller shall order transferred, and the
Treasurer shall transfer, from the General Revenue Fund to a
special fund in the State Treasury which is hereby created, to
be known as the "Metro-East Public Transportation Fund", an
amount equal to 2/32 of the net revenue realized, as above,
from within the boundaries of Madison, Monroe, and St. Clair
Counties, except that the Department shall pay into the
Metro-East Public Transportation Fund 2/32 of 80% of the net
revenue realized under the State tax Acts specified in
subsection (a) of this Section within the boundaries of
Madison, Monroe and St. Clair Counties for tax periods
beginning on or after January 1, 1990. A local match equivalent
to an amount which could be raised by a tax levy at the rate of
.05% on the assessed value of property within the boundaries of
Madison County is required annually to cause a total of 2/32 of
the net revenue to be deposited in the Metro-East Public
Transportation Fund. Failure to raise the required local match
annually shall result in only 1/32 being deposited into the
Metro-East Public Transportation Fund after July 1, 1989, or
1/32 of 80% of the net revenue realized for tax periods
beginning on or after January 1, 1990.
    (b-5) As soon as possible after the first day of each
month, beginning July 1, 2005, upon certification of the
Department of Revenue, the Comptroller shall order
transferred, and the Treasurer shall transfer, from the General
Revenue Fund to the Downstate Public Transportation Fund, an
amount equal to 3/32 of 80% of the net revenue realized from
within the boundaries of Monroe and St. Clair Counties under
the State Tax Acts specified in subsection (a) of this Section
and provided further that, beginning July 1, 2005, the
provisions of subsection (b) shall no longer apply with respect
to such tax receipts from Monroe and St. Clair Counties.
    Notwithstanding any provision of law to the contrary,
beginning on July 6, 2017 (the effective date of Public Act
100-23) this amendatory Act of the 100th General Assembly,
those amounts required under this subsection (b-5) to be
transferred by the Treasurer into the Downstate Public
Transportation Fund from the General Revenue Fund shall be
directly deposited into the Downstate Public Transportation
Fund as the revenues are realized from the taxes indicated.
    (b-6) As soon as possible after the first day of each
month, beginning July 1, 2008, upon certification by the
Department of Revenue, the Comptroller shall order transferred
and the Treasurer shall transfer, from the General Revenue Fund
to the Downstate Public Transportation Fund, an amount equal to
3/32 of 80% of the net revenue realized from within the
boundaries of Madison County under the State Tax Acts specified
in subsection (a) of this Section and provided further that,
beginning July 1, 2008, the provisions of subsection (b) shall
no longer apply with respect to such tax receipts from Madison
County.
    Notwithstanding any provision of law to the contrary,
beginning on July 6, 2017 (the effective date of Public Act
100-23) this amendatory Act of the 100th General Assembly,
those amounts required under this subsection (b-6) to be
transferred by the Treasurer into the Downstate Public
Transportation Fund from the General Revenue Fund shall be
directly deposited into the Downstate Public Transportation
Fund as the revenues are realized from the taxes indicated.
    (c) The Department shall certify to the Department of
Revenue the eligible participants under this Article and the
territorial boundaries of such participants for the purposes of
the Department of Revenue in subsections (a) and (b) of this
Section.
    (d) For the purposes of this Article, beginning in fiscal
year 2009 the General Assembly shall appropriate an amount from
the Downstate Public Transportation Fund equal to the sum total
funds projected to be paid to the participants pursuant to
Section 2-7. If the General Assembly fails to make
appropriations sufficient to cover the amounts projected to be
paid pursuant to Section 2-7, this Act shall constitute an
irrevocable and continuing appropriation from the Downstate
Public Transportation Fund of all amounts necessary for those
purposes.
    (e) Notwithstanding anything in this Section to the
contrary, amounts transferred from the General Revenue Fund to
the Downstate Public Transportation Fund pursuant to this
Section shall not exceed $169,000,000 in State fiscal year
2012.
    (f) For State fiscal year 2018 only, notwithstanding any
provision of law to the contrary, the total amount of revenue
and deposits under this Section attributable to revenues
realized during State fiscal year 2018 shall be reduced by 10%.
    (g) For State fiscal year 2019 only, notwithstanding any
provision of law to the contrary, the total amount of revenue
and deposits under this Section attributable to revenues
realized during State fiscal year 2019 shall be reduced by 5%.
(Source: P.A. 100-23, eff. 7-6-17; revised 10-20-17.)
 
    (Text of Section after amendment by P.A. 100-363)
    Sec. 2-3. (a) As soon as possible after the first day of
each month, beginning July 1, 1984, upon certification of the
Department of Revenue, the Comptroller shall order
transferred, and the Treasurer shall transfer, from the General
Revenue Fund to a special fund in the State Treasury which is
hereby created, to be known as the "Downstate Public
Transportation Fund", an amount equal to 2/32 (beginning July
1, 2005, 3/32) of the net revenue realized from the "Retailers'
Occupation Tax Act", as now or hereafter amended, the "Service
Occupation Tax Act", as now or hereafter amended, the "Use Tax
Act", as now or hereafter amended, and the "Service Use Tax
Act", as now or hereafter amended, from persons incurring
municipal or county retailers' or service occupation tax
liability for the benefit of any municipality or county located
wholly within the boundaries of each participant, other than
any Metro-East Transit District participant certified pursuant
to subsection (c) of this Section during the preceding month,
except that the Department shall pay into the Downstate Public
Transportation Fund 2/32 (beginning July 1, 2005, 3/32) of 80%
of the net revenue realized under the State tax Acts named
above within any municipality or county located wholly within
the boundaries of each participant, other than any Metro-East
participant, for tax periods beginning on or after January 1,
1990. Net revenue realized for a month shall be the revenue
collected by the State pursuant to such Acts during the
previous month from persons incurring municipal or county
retailers' or service occupation tax liability for the benefit
of any municipality or county located wholly within the
boundaries of a participant, less the amount paid out during
that same month as refunds or credit memoranda to taxpayers for
overpayment of liability under such Acts for the benefit of any
municipality or county located wholly within the boundaries of
a participant.
    Notwithstanding any provision of law to the contrary,
beginning on July 6, 2017 (the effective date of Public Act
100-23) this amendatory Act of the 100th General Assembly,
those amounts required under this subsection (a) to be
transferred by the Treasurer into the Downstate Public
Transportation Fund from the General Revenue Fund shall be
directly deposited into the Downstate Public Transportation
Fund as the revenues are realized from the taxes indicated.
    (b) As soon as possible after the first day of each month,
beginning July 1, 1989, upon certification of the Department of
Revenue, the Comptroller shall order transferred, and the
Treasurer shall transfer, from the General Revenue Fund to a
special fund in the State Treasury which is hereby created, to
be known as the "Metro-East Public Transportation Fund", an
amount equal to 2/32 of the net revenue realized, as above,
from within the boundaries of Madison, Monroe, and St. Clair
Counties, except that the Department shall pay into the
Metro-East Public Transportation Fund 2/32 of 80% of the net
revenue realized under the State tax Acts specified in
subsection (a) of this Section within the boundaries of
Madison, Monroe and St. Clair Counties for tax periods
beginning on or after January 1, 1990. A local match equivalent
to an amount which could be raised by a tax levy at the rate of
.05% on the assessed value of property within the boundaries of
Madison County is required annually to cause a total of 2/32 of
the net revenue to be deposited in the Metro-East Public
Transportation Fund. Failure to raise the required local match
annually shall result in only 1/32 being deposited into the
Metro-East Public Transportation Fund after July 1, 1989, or
1/32 of 80% of the net revenue realized for tax periods
beginning on or after January 1, 1990.
    (b-5) As soon as possible after the first day of each
month, beginning July 1, 2005, upon certification of the
Department of Revenue, the Comptroller shall order
transferred, and the Treasurer shall transfer, from the General
Revenue Fund to the Downstate Public Transportation Fund, an
amount equal to 3/32 of 80% of the net revenue realized from
within the boundaries of Monroe and St. Clair Counties under
the State Tax Acts specified in subsection (a) of this Section
and provided further that, beginning July 1, 2005, the
provisions of subsection (b) shall no longer apply with respect
to such tax receipts from Monroe and St. Clair Counties.
    Notwithstanding any provision of law to the contrary,
beginning on July 6, 2017 (the effective date of Public Act
100-23) this amendatory Act of the 100th General Assembly,
those amounts required under this subsection (b-5) to be
transferred by the Treasurer into the Downstate Public
Transportation Fund from the General Revenue Fund shall be
directly deposited into the Downstate Public Transportation
Fund as the revenues are realized from the taxes indicated.
    (b-6) As soon as possible after the first day of each
month, beginning July 1, 2008, upon certification by the
Department of Revenue, the Comptroller shall order transferred
and the Treasurer shall transfer, from the General Revenue Fund
to the Downstate Public Transportation Fund, an amount equal to
3/32 of 80% of the net revenue realized from within the
boundaries of Madison County under the State Tax Acts specified
in subsection (a) of this Section and provided further that,
beginning July 1, 2008, the provisions of subsection (b) shall
no longer apply with respect to such tax receipts from Madison
County.
    Notwithstanding any provision of law to the contrary,
beginning on July 6, 2017 (the effective date of Public Act
100-23) this amendatory Act of the 100th General Assembly,
those amounts required under this subsection (b-6) to be
transferred by the Treasurer into the Downstate Public
Transportation Fund from the General Revenue Fund shall be
directly deposited into the Downstate Public Transportation
Fund as the revenues are realized from the taxes indicated.
    (b-7) Beginning July 1, 2018, notwithstanding the other
provisions of this Section, instead of the Comptroller making
monthly transfers from the General Revenue Fund to the
Downstate Public Transportation Fund, the Department of
Revenue shall deposit the designated fraction of the net
revenue realized from collections under the Retailers'
Occupation Tax Act, the Service Occupation Tax Act, the Use Tax
Act, and the Service Use Tax Act directly into the Downstate
Public Transportation Fund.
    (c) The Department shall certify to the Department of
Revenue the eligible participants under this Article and the
territorial boundaries of such participants for the purposes of
the Department of Revenue in subsections (a) and (b) of this
Section.
    (d) For the purposes of this Article, beginning in fiscal
year 2009 the General Assembly shall appropriate an amount from
the Downstate Public Transportation Fund equal to the sum total
funds projected to be paid to the participants pursuant to
Section 2-7. If the General Assembly fails to make
appropriations sufficient to cover the amounts projected to be
paid pursuant to Section 2-7, this Act shall constitute an
irrevocable and continuing appropriation from the Downstate
Public Transportation Fund of all amounts necessary for those
purposes.
    (e) Notwithstanding anything in this Section to the
contrary, amounts transferred from the General Revenue Fund to
the Downstate Public Transportation Fund pursuant to this
Section shall not exceed $169,000,000 in State fiscal year
2012.
    (f) For State fiscal year 2018 only, notwithstanding any
provision of law to the contrary, the total amount of revenue
and deposits under this Section attributable to revenues
realized during State fiscal year 2018 shall be reduced by 10%.
    (g) For State fiscal year 2019 only, notwithstanding any
provision of law to the contrary, the total amount of revenue
and deposits under this Section attributable to revenues
realized during State fiscal year 2019 shall be reduced by 5%.
(Source: P.A. 100-23, eff. 7-6-17; 100-363, eff. 7-1-18;
revised 10-20-17.)
 
    Section 5-35. The Illinois Income Tax Act is amended by
changing Section 901 as follows:
 
    (35 ILCS 5/901)  (from Ch. 120, par. 9-901)
    Sec. 901. Collection authority.
    (a) In general. The Department shall collect the taxes
imposed by this Act. The Department shall collect certified
past due child support amounts under Section 2505-650 of the
Department of Revenue Law of the Civil Administrative Code of
Illinois. Except as provided in subsections (b), (c), (e), (f),
(g), and (h) of this Section, money collected pursuant to
subsections (a) and (b) of Section 201 of this Act shall be
paid into the General Revenue Fund in the State treasury; money
collected pursuant to subsections (c) and (d) of Section 201 of
this Act shall be paid into the Personal Property Tax
Replacement Fund, a special fund in the State Treasury; and
money collected under Section 2505-650 of the Department of
Revenue Law of the Civil Administrative Code of Illinois (20
ILCS 2505/2505-650) shall be paid into the Child Support
Enforcement Trust Fund, a special fund outside the State
Treasury, or to the State Disbursement Unit established under
Section 10-26 of the Illinois Public Aid Code, as directed by
the Department of Healthcare and Family Services.
    (b) Local Government Distributive Fund. Beginning August
1, 1969, and continuing through June 30, 1994, the Treasurer
shall transfer each month from the General Revenue Fund to a
special fund in the State treasury, to be known as the "Local
Government Distributive Fund", an amount equal to 1/12 of the
net revenue realized from the tax imposed by subsections (a)
and (b) of Section 201 of this Act during the preceding month.
Beginning July 1, 1994, and continuing through June 30, 1995,
the Treasurer shall transfer each month from the General
Revenue Fund to the Local Government Distributive Fund an
amount equal to 1/11 of the net revenue realized from the tax
imposed by subsections (a) and (b) of Section 201 of this Act
during the preceding month. Beginning July 1, 1995 and
continuing through January 31, 2011, the Treasurer shall
transfer each month from the General Revenue Fund to the Local
Government Distributive Fund an amount equal to the net of (i)
1/10 of the net revenue realized from the tax imposed by
subsections (a) and (b) of Section 201 of the Illinois Income
Tax Act during the preceding month (ii) minus, beginning July
1, 2003 and ending June 30, 2004, $6,666,666, and beginning
July 1, 2004, zero. Beginning February 1, 2011, and continuing
through January 31, 2015, the Treasurer shall transfer each
month from the General Revenue Fund to the Local Government
Distributive Fund an amount equal to the sum of (i) 6% (10% of
the ratio of the 3% individual income tax rate prior to 2011 to
the 5% individual income tax rate after 2010) of the net
revenue realized from the tax imposed by subsections (a) and
(b) of Section 201 of this Act upon individuals, trusts, and
estates during the preceding month and (ii) 6.86% (10% of the
ratio of the 4.8% corporate income tax rate prior to 2011 to
the 7% corporate income tax rate after 2010) of the net revenue
realized from the tax imposed by subsections (a) and (b) of
Section 201 of this Act upon corporations during the preceding
month. Beginning February 1, 2015 and continuing through July
31, 2017, the Treasurer shall transfer each month from the
General Revenue Fund to the Local Government Distributive Fund
an amount equal to the sum of (i) 8% (10% of the ratio of the 3%
individual income tax rate prior to 2011 to the 3.75%
individual income tax rate after 2014) of the net revenue
realized from the tax imposed by subsections (a) and (b) of
Section 201 of this Act upon individuals, trusts, and estates
during the preceding month and (ii) 9.14% (10% of the ratio of
the 4.8% corporate income tax rate prior to 2011 to the 5.25%
corporate income tax rate after 2014) of the net revenue
realized from the tax imposed by subsections (a) and (b) of
Section 201 of this Act upon corporations during the preceding
month. Beginning August 1, 2017, the Treasurer shall transfer
each month from the General Revenue Fund to the Local
Government Distributive Fund an amount equal to the sum of (i)
6.06% (10% of the ratio of the 3% individual income tax rate
prior to 2011 to the 4.95% individual income tax rate after
July 1, 2017) of the net revenue realized from the tax imposed
by subsections (a) and (b) of Section 201 of this Act upon
individuals, trusts, and estates during the preceding month and
(ii) 6.85% (10% of the ratio of the 4.8% corporate income tax
rate prior to 2011 to the 7% corporate income tax rate after
July 1, 2017) of the net revenue realized from the tax imposed
by subsections (a) and (b) of Section 201 of this Act upon
corporations during the preceding month. Net revenue realized
for a month shall be defined as the revenue from the tax
imposed by subsections (a) and (b) of Section 201 of this Act
which is deposited in the General Revenue Fund, the Education
Assistance Fund, the Income Tax Surcharge Local Government
Distributive Fund, the Fund for the Advancement of Education,
and the Commitment to Human Services Fund during the month
minus the amount paid out of the General Revenue Fund in State
warrants during that same month as refunds to taxpayers for
overpayment of liability under the tax imposed by subsections
(a) and (b) of Section 201 of this Act.
    Notwithstanding any provision of law to the contrary,
beginning on July 6, 2017 (the effective date of Public Act
100-23) this amendatory Act of the 100th General Assembly,
those amounts required under this subsection (b) to be
transferred by the Treasurer into the Local Government
Distributive Fund from the General Revenue Fund shall be
directly deposited into the Local Government Distributive Fund
as the revenue is realized from the tax imposed by subsections
(a) and (b) of Section 201 of this Act.
    For State fiscal year 2018 only, notwithstanding any
provision of law to the contrary, the total amount of revenue
and deposits under this Section attributable to revenues
realized during State fiscal year 2018 shall be reduced by 10%.
    For State fiscal year 2019 only, notwithstanding any
provision of law to the contrary, the total amount of revenue
and deposits under this Section attributable to revenues
realized during State fiscal year 2019 shall be reduced by 5%.
    (c) Deposits Into Income Tax Refund Fund.
        (1) Beginning on January 1, 1989 and thereafter, the
    Department shall deposit a percentage of the amounts
    collected pursuant to subsections (a) and (b)(1), (2), and
    (3), of Section 201 of this Act into a fund in the State
    treasury known as the Income Tax Refund Fund. The
    Department shall deposit 6% of such amounts during the
    period beginning January 1, 1989 and ending on June 30,
    1989. Beginning with State fiscal year 1990 and for each
    fiscal year thereafter, the percentage deposited into the
    Income Tax Refund Fund during a fiscal year shall be the
    Annual Percentage. For fiscal years 1999 through 2001, the
    Annual Percentage shall be 7.1%. For fiscal year 2003, the
    Annual Percentage shall be 8%. For fiscal year 2004, the
    Annual Percentage shall be 11.7%. Upon the effective date
    of Public Act 93-839 (July 30, 2004) this amendatory Act of
    the 93rd General Assembly, the Annual Percentage shall be
    10% for fiscal year 2005. For fiscal year 2006, the Annual
    Percentage shall be 9.75%. For fiscal year 2007, the Annual
    Percentage shall be 9.75%. For fiscal year 2008, the Annual
    Percentage shall be 7.75%. For fiscal year 2009, the Annual
    Percentage shall be 9.75%. For fiscal year 2010, the Annual
    Percentage shall be 9.75%. For fiscal year 2011, the Annual
    Percentage shall be 8.75%. For fiscal year 2012, the Annual
    Percentage shall be 8.75%. For fiscal year 2013, the Annual
    Percentage shall be 9.75%. For fiscal year 2014, the Annual
    Percentage shall be 9.5%. For fiscal year 2015, the Annual
    Percentage shall be 10%. For fiscal year 2018, the Annual
    Percentage shall be 9.8%. For fiscal year 2019, the Annual
    Percentage shall be 9.7%. For all other fiscal years, the
    Annual Percentage shall be calculated as a fraction, the
    numerator of which shall be the amount of refunds approved
    for payment by the Department during the preceding fiscal
    year as a result of overpayment of tax liability under
    subsections (a) and (b)(1), (2), and (3) of Section 201 of
    this Act plus the amount of such refunds remaining approved
    but unpaid at the end of the preceding fiscal year, minus
    the amounts transferred into the Income Tax Refund Fund
    from the Tobacco Settlement Recovery Fund, and the
    denominator of which shall be the amounts which will be
    collected pursuant to subsections (a) and (b)(1), (2), and
    (3) of Section 201 of this Act during the preceding fiscal
    year; except that in State fiscal year 2002, the Annual
    Percentage shall in no event exceed 7.6%. The Director of
    Revenue shall certify the Annual Percentage to the
    Comptroller on the last business day of the fiscal year
    immediately preceding the fiscal year for which it is to be
    effective.
        (2) Beginning on January 1, 1989 and thereafter, the
    Department shall deposit a percentage of the amounts
    collected pursuant to subsections (a) and (b)(6), (7), and
    (8), (c) and (d) of Section 201 of this Act into a fund in
    the State treasury known as the Income Tax Refund Fund. The
    Department shall deposit 18% of such amounts during the
    period beginning January 1, 1989 and ending on June 30,
    1989. Beginning with State fiscal year 1990 and for each
    fiscal year thereafter, the percentage deposited into the
    Income Tax Refund Fund during a fiscal year shall be the
    Annual Percentage. For fiscal years 1999, 2000, and 2001,
    the Annual Percentage shall be 19%. For fiscal year 2003,
    the Annual Percentage shall be 27%. For fiscal year 2004,
    the Annual Percentage shall be 32%. Upon the effective date
    of Public Act 93-839 (July 30, 2004) this amendatory Act of
    the 93rd General Assembly, the Annual Percentage shall be
    24% for fiscal year 2005. For fiscal year 2006, the Annual
    Percentage shall be 20%. For fiscal year 2007, the Annual
    Percentage shall be 17.5%. For fiscal year 2008, the Annual
    Percentage shall be 15.5%. For fiscal year 2009, the Annual
    Percentage shall be 17.5%. For fiscal year 2010, the Annual
    Percentage shall be 17.5%. For fiscal year 2011, the Annual
    Percentage shall be 17.5%. For fiscal year 2012, the Annual
    Percentage shall be 17.5%. For fiscal year 2013, the Annual
    Percentage shall be 14%. For fiscal year 2014, the Annual
    Percentage shall be 13.4%. For fiscal year 2015, the Annual
    Percentage shall be 14%. For fiscal year 2018, the Annual
    Percentage shall be 17.5%. For fiscal year 2019, the Annual
    Percentage shall be 15.5%. For all other fiscal years, the
    Annual Percentage shall be calculated as a fraction, the
    numerator of which shall be the amount of refunds approved
    for payment by the Department during the preceding fiscal
    year as a result of overpayment of tax liability under
    subsections (a) and (b)(6), (7), and (8), (c) and (d) of
    Section 201 of this Act plus the amount of such refunds
    remaining approved but unpaid at the end of the preceding
    fiscal year, and the denominator of which shall be the
    amounts which will be collected pursuant to subsections (a)
    and (b)(6), (7), and (8), (c) and (d) of Section 201 of
    this Act during the preceding fiscal year; except that in
    State fiscal year 2002, the Annual Percentage shall in no
    event exceed 23%. The Director of Revenue shall certify the
    Annual Percentage to the Comptroller on the last business
    day of the fiscal year immediately preceding the fiscal
    year for which it is to be effective.
        (3) The Comptroller shall order transferred and the
    Treasurer shall transfer from the Tobacco Settlement
    Recovery Fund to the Income Tax Refund Fund (i) $35,000,000
    in January, 2001, (ii) $35,000,000 in January, 2002, and
    (iii) $35,000,000 in January, 2003.
    (d) Expenditures from Income Tax Refund Fund.
        (1) Beginning January 1, 1989, money in the Income Tax
    Refund Fund shall be expended exclusively for the purpose
    of paying refunds resulting from overpayment of tax
    liability under Section 201 of this Act, for paying rebates
    under Section 208.1 in the event that the amounts in the
    Homeowners' Tax Relief Fund are insufficient for that
    purpose, and for making transfers pursuant to this
    subsection (d).
        (2) The Director shall order payment of refunds
    resulting from overpayment of tax liability under Section
    201 of this Act from the Income Tax Refund Fund only to the
    extent that amounts collected pursuant to Section 201 of
    this Act and transfers pursuant to this subsection (d) and
    item (3) of subsection (c) have been deposited and retained
    in the Fund.
        (3) As soon as possible after the end of each fiscal
    year, the Director shall order transferred and the State
    Treasurer and State Comptroller shall transfer from the
    Income Tax Refund Fund to the Personal Property Tax
    Replacement Fund an amount, certified by the Director to
    the Comptroller, equal to the excess of the amount
    collected pursuant to subsections (c) and (d) of Section
    201 of this Act deposited into the Income Tax Refund Fund
    during the fiscal year over the amount of refunds resulting
    from overpayment of tax liability under subsections (c) and
    (d) of Section 201 of this Act paid from the Income Tax
    Refund Fund during the fiscal year.
        (4) As soon as possible after the end of each fiscal
    year, the Director shall order transferred and the State
    Treasurer and State Comptroller shall transfer from the
    Personal Property Tax Replacement Fund to the Income Tax
    Refund Fund an amount, certified by the Director to the
    Comptroller, equal to the excess of the amount of refunds
    resulting from overpayment of tax liability under
    subsections (c) and (d) of Section 201 of this Act paid
    from the Income Tax Refund Fund during the fiscal year over
    the amount collected pursuant to subsections (c) and (d) of
    Section 201 of this Act deposited into the Income Tax
    Refund Fund during the fiscal year.
        (4.5) As soon as possible after the end of fiscal year
    1999 and of each fiscal year thereafter, the Director shall
    order transferred and the State Treasurer and State
    Comptroller shall transfer from the Income Tax Refund Fund
    to the General Revenue Fund any surplus remaining in the
    Income Tax Refund Fund as of the end of such fiscal year;
    excluding for fiscal years 2000, 2001, and 2002 amounts
    attributable to transfers under item (3) of subsection (c)
    less refunds resulting from the earned income tax credit.
        (5) This Act shall constitute an irrevocable and
    continuing appropriation from the Income Tax Refund Fund
    for the purpose of paying refunds upon the order of the
    Director in accordance with the provisions of this Section.
    (e) Deposits into the Education Assistance Fund and the
Income Tax Surcharge Local Government Distributive Fund. On
July 1, 1991, and thereafter, of the amounts collected pursuant
to subsections (a) and (b) of Section 201 of this Act, minus
deposits into the Income Tax Refund Fund, the Department shall
deposit 7.3% into the Education Assistance Fund in the State
Treasury. Beginning July 1, 1991, and continuing through
January 31, 1993, of the amounts collected pursuant to
subsections (a) and (b) of Section 201 of the Illinois Income
Tax Act, minus deposits into the Income Tax Refund Fund, the
Department shall deposit 3.0% into the Income Tax Surcharge
Local Government Distributive Fund in the State Treasury.
Beginning February 1, 1993 and continuing through June 30,
1993, of the amounts collected pursuant to subsections (a) and
(b) of Section 201 of the Illinois Income Tax Act, minus
deposits into the Income Tax Refund Fund, the Department shall
deposit 4.4% into the Income Tax Surcharge Local Government
Distributive Fund in the State Treasury. Beginning July 1,
1993, and continuing through June 30, 1994, of the amounts
collected under subsections (a) and (b) of Section 201 of this
Act, minus deposits into the Income Tax Refund Fund, the
Department shall deposit 1.475% into the Income Tax Surcharge
Local Government Distributive Fund in the State Treasury.
    (f) Deposits into the Fund for the Advancement of
Education. Beginning February 1, 2015, the Department shall
deposit the following portions of the revenue realized from the
tax imposed upon individuals, trusts, and estates by
subsections (a) and (b) of Section 201 of this Act during the
preceding month, minus deposits into the Income Tax Refund
Fund, into the Fund for the Advancement of Education:
        (1) beginning February 1, 2015, and prior to February
    1, 2025, 1/30; and
        (2) beginning February 1, 2025, 1/26.
    If the rate of tax imposed by subsection (a) and (b) of
Section 201 is reduced pursuant to Section 201.5 of this Act,
the Department shall not make the deposits required by this
subsection (f) on or after the effective date of the reduction.
    (g) Deposits into the Commitment to Human Services Fund.
Beginning February 1, 2015, the Department shall deposit the
following portions of the revenue realized from the tax imposed
upon individuals, trusts, and estates by subsections (a) and
(b) of Section 201 of this Act during the preceding month,
minus deposits into the Income Tax Refund Fund, into the
Commitment to Human Services Fund:
        (1) beginning February 1, 2015, and prior to February
    1, 2025, 1/30; and
        (2) beginning February 1, 2025, 1/26.
    If the rate of tax imposed by subsection (a) and (b) of
Section 201 is reduced pursuant to Section 201.5 of this Act,
the Department shall not make the deposits required by this
subsection (g) on or after the effective date of the reduction.
    (h) Deposits into the Tax Compliance and Administration
Fund. Beginning on the first day of the first calendar month to
occur on or after August 26, 2014 (the effective date of Public
Act 98-1098), each month the Department shall pay into the Tax
Compliance and Administration Fund, to be used, subject to
appropriation, to fund additional auditors and compliance
personnel at the Department, an amount equal to 1/12 of 5% of
the cash receipts collected during the preceding fiscal year by
the Audit Bureau of the Department from the tax imposed by
subsections (a), (b), (c), and (d) of Section 201 of this Act,
net of deposits into the Income Tax Refund Fund made from those
cash receipts.
(Source: P.A. 99-78, eff. 7-20-15; 100-22, eff. 7-6-17; 100-23,
eff. 7-6-17; revised 8-3-17.)
 
    Section 5-40. The Regional Transportation Authority Act is
amended by changing Section 4.09 as follows:
 
    (70 ILCS 3615/4.09)  (from Ch. 111 2/3, par. 704.09)
    Sec. 4.09. Public Transportation Fund and the Regional
Transportation Authority Occupation and Use Tax Replacement
Fund.
    (a)(1) Except as otherwise provided in paragraph (4), as
soon as possible after the first day of each month, beginning
July 1, 1984, upon certification of the Department of Revenue,
the Comptroller shall order transferred and the Treasurer shall
transfer from the General Revenue Fund to a special fund in the
State Treasury to be known as the Public Transportation Fund an
amount equal to 25% of the net revenue, before the deduction of
the serviceman and retailer discounts pursuant to Section 9 of
the Service Occupation Tax Act and Section 3 of the Retailers'
Occupation Tax Act, realized from any tax imposed by the
Authority pursuant to Sections 4.03 and 4.03.1 and 25% of the
amounts deposited into the Regional Transportation Authority
tax fund created by Section 4.03 of this Act, from the County
and Mass Transit District Fund as provided in Section 6z-20 of
the State Finance Act and 25% of the amounts deposited into the
Regional Transportation Authority Occupation and Use Tax
Replacement Fund from the State and Local Sales Tax Reform Fund
as provided in Section 6z-17 of the State Finance Act. On the
first day of the month following the date that the Department
receives revenues from increased taxes under Section 4.03(m) as
authorized by this amendatory Act of the 95th General Assembly,
in lieu of the transfers authorized in the preceding sentence,
upon certification of the Department of Revenue, the
Comptroller shall order transferred and the Treasurer shall
transfer from the General Revenue Fund to the Public
Transportation Fund an amount equal to 25% of the net revenue,
before the deduction of the serviceman and retailer discounts
pursuant to Section 9 of the Service Occupation Tax Act and
Section 3 of the Retailers' Occupation Tax Act, realized from
(i) 80% of the proceeds of any tax imposed by the Authority at
a rate of 1.25% in Cook County, (ii) 75% of the proceeds of any
tax imposed by the Authority at the rate of 1% in Cook County,
and (iii) one-third of the proceeds of any tax imposed by the
Authority at the rate of 0.75% in the Counties of DuPage, Kane,
Lake, McHenry, and Will, all pursuant to Section 4.03, and 25%
of the net revenue realized from any tax imposed by the
Authority pursuant to Section 4.03.1, and 25% of the amounts
deposited into the Regional Transportation Authority tax fund
created by Section 4.03 of this Act from the County and Mass
Transit District Fund as provided in Section 6z-20 of the State
Finance Act, and 25% of the amounts deposited into the Regional
Transportation Authority Occupation and Use Tax Replacement
Fund from the State and Local Sales Tax Reform Fund as provided
in Section 6z-17 of the State Finance Act. As used in this
Section, net revenue realized for a month shall be the revenue
collected by the State pursuant to Sections 4.03 and 4.03.1
during the previous month from within the metropolitan region,
less the amount paid out during that same month as refunds to
taxpayers for overpayment of liability in the metropolitan
region under Sections 4.03 and 4.03.1.
    Notwithstanding any provision of law to the contrary,
beginning on the effective date of this amendatory Act of the
100th General Assembly, those amounts required under this
paragraph (1) of subsection (a) to be transferred by the
Treasurer into the Public Transportation Fund from the General
Revenue Fund shall be directly deposited into the Public
Transportation Fund as the revenues are realized from the taxes
indicated.
    (2) Except as otherwise provided in paragraph (4), on the
first day of the month following the effective date of this
amendatory Act of the 95th General Assembly and each month
thereafter, upon certification by the Department of Revenue,
the Comptroller shall order transferred and the Treasurer shall
transfer from the General Revenue Fund to the Public
Transportation Fund an amount equal to 5% of the net revenue,
before the deduction of the serviceman and retailer discounts
pursuant to Section 9 of the Service Occupation Tax Act and
Section 3 of the Retailers' Occupation Tax Act, realized from
any tax imposed by the Authority pursuant to Sections 4.03 and
4.03.1 and certified by the Department of Revenue under Section
4.03(n) of this Act to be paid to the Authority and 5% of the
amounts deposited into the Regional Transportation Authority
tax fund created by Section 4.03 of this Act from the County
and Mass Transit District Fund as provided in Section 6z-20 of
the State Finance Act, and 5% of the amounts deposited into the
Regional Transportation Authority Occupation and Use Tax
Replacement Fund from the State and Local Sales Tax Reform Fund
as provided in Section 6z-17 of the State Finance Act, and 5%
of the revenue realized by the Chicago Transit Authority as
financial assistance from the City of Chicago from the proceeds
of any tax imposed by the City of Chicago under Section 8-3-19
of the Illinois Municipal Code.
    Notwithstanding any provision of law to the contrary,
beginning on July 6, 2017 (the effective date of Public Act
100-23) this amendatory Act of the 100th General Assembly,
those amounts required under this paragraph (2) of subsection
(a) to be transferred by the Treasurer into the Public
Transportation Fund from the General Revenue Fund shall be
directly deposited into the Public Transportation Fund as the
revenues are realized from the taxes indicated.
    (3) Except as otherwise provided in paragraph (4), as soon
as possible after the first day of January, 2009 and each month
thereafter, upon certification of the Department of Revenue
with respect to the taxes collected under Section 4.03, the
Comptroller shall order transferred and the Treasurer shall
transfer from the General Revenue Fund to the Public
Transportation Fund an amount equal to 25% of the net revenue,
before the deduction of the serviceman and retailer discounts
pursuant to Section 9 of the Service Occupation Tax Act and
Section 3 of the Retailers' Occupation Tax Act, realized from
(i) 20% of the proceeds of any tax imposed by the Authority at
a rate of 1.25% in Cook County, (ii) 25% of the proceeds of any
tax imposed by the Authority at the rate of 1% in Cook County,
and (iii) one-third of the proceeds of any tax imposed by the
Authority at the rate of 0.75% in the Counties of DuPage, Kane,
Lake, McHenry, and Will, all pursuant to Section 4.03, and the
Comptroller shall order transferred and the Treasurer shall
transfer from the General Revenue Fund to the Public
Transportation Fund (iv) an amount equal to 25% of the revenue
realized by the Chicago Transit Authority as financial
assistance from the City of Chicago from the proceeds of any
tax imposed by the City of Chicago under Section 8-3-19 of the
Illinois Municipal Code.
    Notwithstanding any provision of law to the contrary,
beginning on July 6, 2017 (the effective date of Public Act
100-23) this amendatory Act of the 100th General Assembly,
those amounts required under this paragraph (3) of subsection
(a) to be transferred by the Treasurer into the Public
Transportation Fund from the General Revenue Fund shall be
directly deposited into the Public Transportation Fund as the
revenues are realized from the taxes indicated.
    (4) Notwithstanding any provision of law to the contrary,
of the transfers to be made under paragraphs (1), (2), and (3)
of this subsection (a) from the General Revenue Fund to the
Public Transportation Fund, the first $100,000,000 that would
have otherwise been transferred from the General Revenue Fund
shall be transferred from the Road Fund. The remaining balance
of such transfers shall be made from the General Revenue Fund.
    (5) For State fiscal year 2018 only, notwithstanding any
provision of law to the contrary, the total amount of revenue
and deposits under this subsection (a) attributable to revenues
realized during State fiscal year 2018 shall be reduced by 10%.
    (6) For State fiscal year 2019 only, notwithstanding any
provision of law to the contrary, the total amount of revenue
and deposits under this Section attributable to revenues
realized during State fiscal year 2019 shall be reduced by 5%.
    (b)(1) All moneys deposited in the Public Transportation
Fund and the Regional Transportation Authority Occupation and
Use Tax Replacement Fund, whether deposited pursuant to this
Section or otherwise, are allocated to the Authority. The
Comptroller, as soon as possible after each monthly transfer
provided in this Section and after each deposit into the Public
Transportation Fund, shall order the Treasurer to pay to the
Authority out of the Public Transportation Fund the amount so
transferred or deposited. Any Additional State Assistance and
Additional Financial Assistance paid to the Authority under
this Section shall be expended by the Authority for its
purposes as provided in this Act. The balance of the amounts
paid to the Authority from the Public Transportation Fund shall
be expended by the Authority as provided in Section 4.03.3. The
Comptroller, as soon as possible after each deposit into the
Regional Transportation Authority Occupation and Use Tax
Replacement Fund provided in this Section and Section 6z-17 of
the State Finance Act, shall order the Treasurer to pay to the
Authority out of the Regional Transportation Authority
Occupation and Use Tax Replacement Fund the amount so
deposited. Such amounts paid to the Authority may be expended
by it for its purposes as provided in this Act. The provisions
directing the distributions from the Public Transportation
Fund and the Regional Transportation Authority Occupation and
Use Tax Replacement Fund provided for in this Section shall
constitute an irrevocable and continuing appropriation of all
amounts as provided herein. The State Treasurer and State
Comptroller are hereby authorized and directed to make
distributions as provided in this Section. (2) Provided,
however, no moneys deposited under subsection (a) of this
Section shall be paid from the Public Transportation Fund to
the Authority or its assignee for any fiscal year until the
Authority has certified to the Governor, the Comptroller, and
the Mayor of the City of Chicago that it has adopted for that
fiscal year an Annual Budget and Two-Year Financial Plan
meeting the requirements in Section 4.01(b).
    (c) In recognition of the efforts of the Authority to
enhance the mass transportation facilities under its control,
the State shall provide financial assistance ("Additional
State Assistance") in excess of the amounts transferred to the
Authority from the General Revenue Fund under subsection (a) of
this Section. Additional State Assistance shall be calculated
as provided in subsection (d), but shall in no event exceed the
following specified amounts with respect to the following State
fiscal years:
        1990$5,000,000;
        1991$5,000,000;
        1992$10,000,000;
        1993$10,000,000;
        1994$20,000,000;
        1995$30,000,000;
        1996$40,000,000;
        1997$50,000,000;
        1998$55,000,000; and
        each year thereafter$55,000,000.
    (c-5) The State shall provide financial assistance
("Additional Financial Assistance") in addition to the
Additional State Assistance provided by subsection (c) and the
amounts transferred to the Authority from the General Revenue
Fund under subsection (a) of this Section. Additional Financial
Assistance provided by this subsection shall be calculated as
provided in subsection (d), but shall in no event exceed the
following specified amounts with respect to the following State
fiscal years:
        2000$0;
        2001$16,000,000;
        2002$35,000,000;
        2003$54,000,000;
        2004$73,000,000;
        2005$93,000,000; and
        each year thereafter$100,000,000.
    (d) Beginning with State fiscal year 1990 and continuing
for each State fiscal year thereafter, the Authority shall
annually certify to the State Comptroller and State Treasurer,
separately with respect to each of subdivisions (g)(2) and
(g)(3) of Section 4.04 of this Act, the following amounts:
        (1) The amount necessary and required, during the State
    fiscal year with respect to which the certification is
    made, to pay its obligations for debt service on all
    outstanding bonds or notes issued by the Authority under
    subdivisions (g)(2) and (g)(3) of Section 4.04 of this Act.
        (2) An estimate of the amount necessary and required to
    pay its obligations for debt service for any bonds or notes
    which the Authority anticipates it will issue under
    subdivisions (g)(2) and (g)(3) of Section 4.04 during that
    State fiscal year.
        (3) Its debt service savings during the preceding State
    fiscal year from refunding or advance refunding of bonds or
    notes issued under subdivisions (g)(2) and (g)(3) of
    Section 4.04.
        (4) The amount of interest, if any, earned by the
    Authority during the previous State fiscal year on the
    proceeds of bonds or notes issued pursuant to subdivisions
    (g)(2) and (g)(3) of Section 4.04, other than refunding or
    advance refunding bonds or notes.
    The certification shall include a specific schedule of debt
service payments, including the date and amount of each payment
for all outstanding bonds or notes and an estimated schedule of
anticipated debt service for all bonds and notes it intends to
issue, if any, during that State fiscal year, including the
estimated date and estimated amount of each payment.
    Immediately upon the issuance of bonds for which an
estimated schedule of debt service payments was prepared, the
Authority shall file an amended certification with respect to
item (2) above, to specify the actual schedule of debt service
payments, including the date and amount of each payment, for
the remainder of the State fiscal year.
    On the first day of each month of the State fiscal year in
which there are bonds outstanding with respect to which the
certification is made, the State Comptroller shall order
transferred and the State Treasurer shall transfer from the
Road Fund to the Public Transportation Fund the Additional
State Assistance and Additional Financial Assistance in an
amount equal to the aggregate of (i) one-twelfth of the sum of
the amounts certified under items (1) and (3) above less the
amount certified under item (4) above, plus (ii) the amount
required to pay debt service on bonds and notes issued during
the fiscal year, if any, divided by the number of months
remaining in the fiscal year after the date of issuance, or
some smaller portion as may be necessary under subsection (c)
or (c-5) of this Section for the relevant State fiscal year,
plus (iii) any cumulative deficiencies in transfers for prior
months, until an amount equal to the sum of the amounts
certified under items (1) and (3) above, plus the actual debt
service certified under item (2) above, less the amount
certified under item (4) above, has been transferred; except
that these transfers are subject to the following limits:
        (A) In no event shall the total transfers in any State
    fiscal year relating to outstanding bonds and notes issued
    by the Authority under subdivision (g)(2) of Section 4.04
    exceed the lesser of the annual maximum amount specified in
    subsection (c) or the sum of the amounts certified under
    items (1) and (3) above, plus the actual debt service
    certified under item (2) above, less the amount certified
    under item (4) above, with respect to those bonds and
    notes.
        (B) In no event shall the total transfers in any State
    fiscal year relating to outstanding bonds and notes issued
    by the Authority under subdivision (g)(3) of Section 4.04
    exceed the lesser of the annual maximum amount specified in
    subsection (c-5) or the sum of the amounts certified under
    items (1) and (3) above, plus the actual debt service
    certified under item (2) above, less the amount certified
    under item (4) above, with respect to those bonds and
    notes.
    The term "outstanding" does not include bonds or notes for
which refunding or advance refunding bonds or notes have been
issued.
    (e) Neither Additional State Assistance nor Additional
Financial Assistance may be pledged, either directly or
indirectly as general revenues of the Authority, as security
for any bonds issued by the Authority. The Authority may not
assign its right to receive Additional State Assistance or
Additional Financial Assistance, or direct payment of
Additional State Assistance or Additional Financial
Assistance, to a trustee or any other entity for the payment of
debt service on its bonds.
    (f) The certification required under subsection (d) with
respect to outstanding bonds and notes of the Authority shall
be filed as early as practicable before the beginning of the
State fiscal year to which it relates. The certification shall
be revised as may be necessary to accurately state the debt
service requirements of the Authority.
    (g) Within 6 months of the end of each fiscal year, the
Authority shall determine:
        (i) whether the aggregate of all system generated
    revenues for public transportation in the metropolitan
    region which is provided by, or under grant or purchase of
    service contracts with, the Service Boards equals 50% of
    the aggregate of all costs of providing such public
    transportation. "System generated revenues" include all
    the proceeds of fares and charges for services provided,
    contributions received in connection with public
    transportation from units of local government other than
    the Authority, except for contributions received by the
    Chicago Transit Authority from a real estate transfer tax
    imposed under subsection (i) of Section 8-3-19 of the
    Illinois Municipal Code, and from the State pursuant to
    subsection (i) of Section 2705-305 of the Department of
    Transportation Law (20 ILCS 2705/2705-305), and all other
    revenues properly included consistent with generally
    accepted accounting principles but may not include: the
    proceeds from any borrowing, and, beginning with the 2007
    fiscal year, all revenues and receipts, including but not
    limited to fares and grants received from the federal,
    State or any unit of local government or other entity,
    derived from providing ADA paratransit service pursuant to
    Section 2.30 of the Regional Transportation Authority Act.
    "Costs" include all items properly included as operating
    costs consistent with generally accepted accounting
    principles, including administrative costs, but do not
    include: depreciation; payment of principal and interest
    on bonds, notes or other evidences of obligations for
    borrowed money of the Authority; payments with respect to
    public transportation facilities made pursuant to
    subsection (b) of Section 2.20; any payments with respect
    to rate protection contracts, credit enhancements or
    liquidity agreements made under Section 4.14; any other
    cost as to which it is reasonably expected that a cash
    expenditure will not be made; costs for passenger security
    including grants, contracts, personnel, equipment and
    administrative expenses, except in the case of the Chicago
    Transit Authority, in which case the term does not include
    costs spent annually by that entity for protection against
    crime as required by Section 27a of the Metropolitan
    Transit Authority Act; the costs of Debt Service paid by
    the Chicago Transit Authority, as defined in Section 12c of
    the Metropolitan Transit Authority Act, or bonds or notes
    issued pursuant to that Section; the payment by the
    Commuter Rail Division of debt service on bonds issued
    pursuant to Section 3B.09; expenses incurred by the
    Suburban Bus Division for the cost of new public
    transportation services funded from grants pursuant to
    Section 2.01e of this amendatory Act of the 95th General
    Assembly for a period of 2 years from the date of
    initiation of each such service; costs as exempted by the
    Board for projects pursuant to Section 2.09 of this Act;
    or, beginning with the 2007 fiscal year, expenses related
    to providing ADA paratransit service pursuant to Section
    2.30 of the Regional Transportation Authority Act; or in
    fiscal years 2008 through 2012 inclusive, costs in the
    amount of $200,000,000 in fiscal year 2008, reducing by
    $40,000,000 in each fiscal year thereafter until this
    exemption is eliminated. If said system generated revenues
    are less than 50% of said costs, the Board shall remit an
    amount equal to the amount of the deficit to the State. The
    Treasurer shall deposit any such payment in the Road Fund;
    and
        (ii) whether, beginning with the 2007 fiscal year, the
    aggregate of all fares charged and received for ADA
    paratransit services equals the system generated ADA
    paratransit services revenue recovery ratio percentage of
    the aggregate of all costs of providing such ADA
    paratransit services.
    (h) If the Authority makes any payment to the State under
paragraph (g), the Authority shall reduce the amount provided
to a Service Board from funds transferred under paragraph (a)
in proportion to the amount by which that Service Board failed
to meet its required system generated revenues recovery ratio.
A Service Board which is affected by a reduction in funds under
this paragraph shall submit to the Authority concurrently with
its next due quarterly report a revised budget incorporating
the reduction in funds. The revised budget must meet the
criteria specified in clauses (i) through (vi) of Section
4.11(b)(2). The Board shall review and act on the revised
budget as provided in Section 4.11(b)(3).
(Source: P.A. 100-23, eff. 7-6-17.)
 
ARTICLE 10. RETIREMENT CONTRIBUTIONS

 
    Section 10-5. The State Pension Funds Continuing
Appropriation Act is amended by changing Section 1.2 as
follows:
 
    (40 ILCS 15/1.2)
    Sec. 1.2. Appropriations for the State Employees'
Retirement System.
    (a) From each fund from which an amount is appropriated for
personal services to a department or other employer under
Article 14 of the Illinois Pension Code, there is hereby
appropriated to that department or other employer, on a
continuing annual basis for each State fiscal year, an
additional amount equal to the amount, if any, by which (1) an
amount equal to the percentage of the personal services line
item for that department or employer from that fund for that
fiscal year that the Board of Trustees of the State Employees'
Retirement System of Illinois has certified under Section
14-135.08 of the Illinois Pension Code to be necessary to meet
the State's obligation under Section 14-131 of the Illinois
Pension Code for that fiscal year, exceeds (2) the amounts
otherwise appropriated to that department or employer from that
fund for State contributions to the State Employees' Retirement
System for that fiscal year. From the effective date of this
amendatory Act of the 93rd General Assembly through the final
payment from a department or employer's personal services line
item for fiscal year 2004, payments to the State Employees'
Retirement System that otherwise would have been made under
this subsection (a) shall be governed by the provisions in
subsection (a-1).
    (a-1) If a Fiscal Year 2004 Shortfall is certified under
subsection (f) of Section 14-131 of the Illinois Pension Code,
there is hereby appropriated to the State Employees' Retirement
System of Illinois on a continuing basis from the General
Revenue Fund an additional aggregate amount equal to the Fiscal
Year 2004 Shortfall.
    (a-2) If a Fiscal Year 2010 Shortfall is certified under
subsection (i) of Section 14-131 of the Illinois Pension Code,
there is hereby appropriated to the State Employees' Retirement
System of Illinois on a continuing basis from the General
Revenue Fund an additional aggregate amount equal to the Fiscal
Year 2010 Shortfall.
    (a-3) If a Fiscal Year 2016 Shortfall is certified under
subsection (k) of Section 14-131 of the Illinois Pension Code,
there is hereby appropriated to the State Employees' Retirement
System of Illinois on a continuing basis from the General
Revenue Fund an additional aggregate amount equal to the Fiscal
Year 2016 Shortfall.
    (a-4) If a Prior Fiscal Year Shortfall is certified under
subsection (k) of Section 14-131 of the Illinois Pension Code,
there is hereby appropriated to the State Employees' Retirement
System of Illinois on a continuing basis from the General
Revenue Fund an additional aggregate amount equal to the Fiscal
Year 2018 2017 Shortfall.
    (b) The continuing appropriations provided for by this
Section shall first be available in State fiscal year 1996.
    (c) Beginning in Fiscal Year 2005, any continuing
appropriation under this Section arising out of an
appropriation for personal services from the Road Fund to the
Department of State Police or the Secretary of State shall be
payable from the General Revenue Fund rather than the Road
Fund.
    (d) For State fiscal year 2010 only, a continuing
appropriation is provided to the State Employees' Retirement
System equal to the amount certified by the System on or before
December 31, 2008, less the gross proceeds of the bonds sold in
fiscal year 2010 under the authorization contained in
subsection (a) of Section 7.2 of the General Obligation Bond
Act.
    (e) For State fiscal year 2011 only, the continuing
appropriation under this Section provided to the State
Employees' Retirement System is limited to an amount equal to
the amount certified by the System on or before December 31,
2009, less any amounts received pursuant to subsection (a-3) of
Section 14.1 of the State Finance Act.
    (f) For State fiscal year 2011 only, a continuing
appropriation is provided to the State Employees' Retirement
System equal to the amount certified by the System on or before
April 1, 2011, less the gross proceeds of the bonds sold in
fiscal year 2011 under the authorization contained in
subsection (a) of Section 7.2 of the General Obligation Bond
Act.
(Source: P.A. 99-523, eff. 6-30-16; 100-23, eff. 7-6-17.)
 
ARTICLE 15. HUMAN SERVICES

 
    Section 15-5. The Illinois Act on Aging is amended by
changing Section 4.02 as follows:
 
    (20 ILCS 105/4.02)  (from Ch. 23, par. 6104.02)
    Sec. 4.02. Community Care Program. The Department shall
establish a program of services to prevent unnecessary
institutionalization of persons age 60 and older in need of
long term care or who are established as persons who suffer
from Alzheimer's disease or a related disorder under the
Alzheimer's Disease Assistance Act, thereby enabling them to
remain in their own homes or in other living arrangements. Such
preventive services, which may be coordinated with other
programs for the aged and monitored by area agencies on aging
in cooperation with the Department, may include, but are not
limited to, any or all of the following:
        (a) (blank);
        (b) (blank);
        (c) home care aide services;
        (d) personal assistant services;
        (e) adult day services;
        (f) home-delivered meals;
        (g) education in self-care;
        (h) personal care services;
        (i) adult day health services;
        (j) habilitation services;
        (k) respite care;
        (k-5) community reintegration services;
        (k-6) flexible senior services;
        (k-7) medication management;
        (k-8) emergency home response;
        (l) other nonmedical social services that may enable
    the person to become self-supporting; or
        (m) clearinghouse for information provided by senior
    citizen home owners who want to rent rooms to or share
    living space with other senior citizens.
    The Department shall establish eligibility standards for
such services. In determining the amount and nature of services
for which a person may qualify, consideration shall not be
given to the value of cash, property or other assets held in
the name of the person's spouse pursuant to a written agreement
dividing marital property into equal but separate shares or
pursuant to a transfer of the person's interest in a home to
his spouse, provided that the spouse's share of the marital
property is not made available to the person seeking such
services.
    Beginning January 1, 2008, the Department shall require as
a condition of eligibility that all new financially eligible
applicants apply for and enroll in medical assistance under
Article V of the Illinois Public Aid Code in accordance with
rules promulgated by the Department.
    The Department shall, in conjunction with the Department of
Public Aid (now Department of Healthcare and Family Services),
seek appropriate amendments under Sections 1915 and 1924 of the
Social Security Act. The purpose of the amendments shall be to
extend eligibility for home and community based services under
Sections 1915 and 1924 of the Social Security Act to persons
who transfer to or for the benefit of a spouse those amounts of
income and resources allowed under Section 1924 of the Social
Security Act. Subject to the approval of such amendments, the
Department shall extend the provisions of Section 5-4 of the
Illinois Public Aid Code to persons who, but for the provision
of home or community-based services, would require the level of
care provided in an institution, as is provided for in federal
law. Those persons no longer found to be eligible for receiving
noninstitutional services due to changes in the eligibility
criteria shall be given 45 days notice prior to actual
termination. Those persons receiving notice of termination may
contact the Department and request the determination be
appealed at any time during the 45 day notice period. The
target population identified for the purposes of this Section
are persons age 60 and older with an identified service need.
Priority shall be given to those who are at imminent risk of
institutionalization. The services shall be provided to
eligible persons age 60 and older to the extent that the cost
of the services together with the other personal maintenance
expenses of the persons are reasonably related to the standards
established for care in a group facility appropriate to the
person's condition. These non-institutional services, pilot
projects or experimental facilities may be provided as part of
or in addition to those authorized by federal law or those
funded and administered by the Department of Human Services.
The Departments of Human Services, Healthcare and Family
Services, Public Health, Veterans' Affairs, and Commerce and
Economic Opportunity and other appropriate agencies of State,
federal and local governments shall cooperate with the
Department on Aging in the establishment and development of the
non-institutional services. The Department shall require an
annual audit from all personal assistant and home care aide
vendors contracting with the Department under this Section. The
annual audit shall assure that each audited vendor's procedures
are in compliance with Department's financial reporting
guidelines requiring an administrative and employee wage and
benefits cost split as defined in administrative rules. The
audit is a public record under the Freedom of Information Act.
The Department shall execute, relative to the nursing home
prescreening project, written inter-agency agreements with the
Department of Human Services and the Department of Healthcare
and Family Services, to effect the following: (1) intake
procedures and common eligibility criteria for those persons
who are receiving non-institutional services; and (2) the
establishment and development of non-institutional services in
areas of the State where they are not currently available or
are undeveloped. On and after July 1, 1996, all nursing home
prescreenings for individuals 60 years of age or older shall be
conducted by the Department.
    As part of the Department on Aging's routine training of
case managers and case manager supervisors, the Department may
include information on family futures planning for persons who
are age 60 or older and who are caregivers of their adult
children with developmental disabilities. The content of the
training shall be at the Department's discretion.
    The Department is authorized to establish a system of
recipient copayment for services provided under this Section,
such copayment to be based upon the recipient's ability to pay
but in no case to exceed the actual cost of the services
provided. Additionally, any portion of a person's income which
is equal to or less than the federal poverty standard shall not
be considered by the Department in determining the copayment.
The level of such copayment shall be adjusted whenever
necessary to reflect any change in the officially designated
federal poverty standard.
    The Department, or the Department's authorized
representative, may recover the amount of moneys expended for
services provided to or in behalf of a person under this
Section by a claim against the person's estate or against the
estate of the person's surviving spouse, but no recovery may be
had until after the death of the surviving spouse, if any, and
then only at such time when there is no surviving child who is
under age 21 or blind or who has a permanent and total
disability. This paragraph, however, shall not bar recovery, at
the death of the person, of moneys for services provided to the
person or in behalf of the person under this Section to which
the person was not entitled; provided that such recovery shall
not be enforced against any real estate while it is occupied as
a homestead by the surviving spouse or other dependent, if no
claims by other creditors have been filed against the estate,
or, if such claims have been filed, they remain dormant for
failure of prosecution or failure of the claimant to compel
administration of the estate for the purpose of payment. This
paragraph shall not bar recovery from the estate of a spouse,
under Sections 1915 and 1924 of the Social Security Act and
Section 5-4 of the Illinois Public Aid Code, who precedes a
person receiving services under this Section in death. All
moneys for services paid to or in behalf of the person under
this Section shall be claimed for recovery from the deceased
spouse's estate. "Homestead", as used in this paragraph, means
the dwelling house and contiguous real estate occupied by a
surviving spouse or relative, as defined by the rules and
regulations of the Department of Healthcare and Family
Services, regardless of the value of the property.
    The Department shall increase the effectiveness of the
existing Community Care Program by:
        (1) ensuring that in-home services included in the care
    plan are available on evenings and weekends;
        (2) ensuring that care plans contain the services that
    eligible participants need based on the number of days in a
    month, not limited to specific blocks of time, as
    identified by the comprehensive assessment tool selected
    by the Department for use statewide, not to exceed the
    total monthly service cost maximum allowed for each
    service; the Department shall develop administrative rules
    to implement this item (2);
        (3) ensuring that the participants have the right to
    choose the services contained in their care plan and to
    direct how those services are provided, based on
    administrative rules established by the Department;
        (4) ensuring that the determination of need tool is
    accurate in determining the participants' level of need; to
    achieve this, the Department, in conjunction with the Older
    Adult Services Advisory Committee, shall institute a study
    of the relationship between the Determination of Need
    scores, level of need, service cost maximums, and the
    development and utilization of service plans no later than
    May 1, 2008; findings and recommendations shall be
    presented to the Governor and the General Assembly no later
    than January 1, 2009; recommendations shall include all
    needed changes to the service cost maximums schedule and
    additional covered services;
        (5) ensuring that homemakers can provide personal care
    services that may or may not involve contact with clients,
    including but not limited to:
            (A) bathing;
            (B) grooming;
            (C) toileting;
            (D) nail care;
            (E) transferring;
            (F) respiratory services;
            (G) exercise; or
            (H) positioning;
        (6) ensuring that homemaker program vendors are not
    restricted from hiring homemakers who are family members of
    clients or recommended by clients; the Department may not,
    by rule or policy, require homemakers who are family
    members of clients or recommended by clients to accept
    assignments in homes other than the client;
        (7) ensuring that the State may access maximum federal
    matching funds by seeking approval for the Centers for
    Medicare and Medicaid Services for modifications to the
    State's home and community based services waiver and
    additional waiver opportunities, including applying for
    enrollment in the Balance Incentive Payment Program by May
    1, 2013, in order to maximize federal matching funds; this
    shall include, but not be limited to, modification that
    reflects all changes in the Community Care Program services
    and all increases in the services cost maximum;
        (8) ensuring that the determination of need tool
    accurately reflects the service needs of individuals with
    Alzheimer's disease and related dementia disorders;
        (9) ensuring that services are authorized accurately
    and consistently for the Community Care Program (CCP); the
    Department shall implement a Service Authorization policy
    directive; the purpose shall be to ensure that eligibility
    and services are authorized accurately and consistently in
    the CCP program; the policy directive shall clarify service
    authorization guidelines to Care Coordination Units and
    Community Care Program providers no later than May 1, 2013;
        (10) working in conjunction with Care Coordination
    Units, the Department of Healthcare and Family Services,
    the Department of Human Services, Community Care Program
    providers, and other stakeholders to make improvements to
    the Medicaid claiming processes and the Medicaid
    enrollment procedures or requirements as needed,
    including, but not limited to, specific policy changes or
    rules to improve the up-front enrollment of participants in
    the Medicaid program and specific policy changes or rules
    to insure more prompt submission of bills to the federal
    government to secure maximum federal matching dollars as
    promptly as possible; the Department on Aging shall have at
    least 3 meetings with stakeholders by January 1, 2014 in
    order to address these improvements;
        (11) requiring home care service providers to comply
    with the rounding of hours worked provisions under the
    federal Fair Labor Standards Act (FLSA) and as set forth in
    29 CFR 785.48(b) by May 1, 2013;
        (12) implementing any necessary policy changes or
    promulgating any rules, no later than January 1, 2014, to
    assist the Department of Healthcare and Family Services in
    moving as many participants as possible, consistent with
    federal regulations, into coordinated care plans if a care
    coordination plan that covers long term care is available
    in the recipient's area; and
        (13) maintaining fiscal year 2014 rates at the same
    level established on January 1, 2013.
    By January 1, 2009 or as soon after the end of the Cash and
Counseling Demonstration Project as is practicable, the
Department may, based on its evaluation of the demonstration
project, promulgate rules concerning personal assistant
services, to include, but need not be limited to,
qualifications, employment screening, rights under fair labor
standards, training, fiduciary agent, and supervision
requirements. All applicants shall be subject to the provisions
of the Health Care Worker Background Check Act.
    The Department shall develop procedures to enhance
availability of services on evenings, weekends, and on an
emergency basis to meet the respite needs of caregivers.
Procedures shall be developed to permit the utilization of
services in successive blocks of 24 hours up to the monthly
maximum established by the Department. Workers providing these
services shall be appropriately trained.
    Beginning on the effective date of this amendatory Act of
1991, no person may perform chore/housekeeping and home care
aide services under a program authorized by this Section unless
that person has been issued a certificate of pre-service to do
so by his or her employing agency. Information gathered to
effect such certification shall include (i) the person's name,
(ii) the date the person was hired by his or her current
employer, and (iii) the training, including dates and levels.
Persons engaged in the program authorized by this Section
before the effective date of this amendatory Act of 1991 shall
be issued a certificate of all pre- and in-service training
from his or her employer upon submitting the necessary
information. The employing agency shall be required to retain
records of all staff pre- and in-service training, and shall
provide such records to the Department upon request and upon
termination of the employer's contract with the Department. In
addition, the employing agency is responsible for the issuance
of certifications of in-service training completed to their
employees.
    The Department is required to develop a system to ensure
that persons working as home care aides and personal assistants
receive increases in their wages when the federal minimum wage
is increased by requiring vendors to certify that they are
meeting the federal minimum wage statute for home care aides
and personal assistants. An employer that cannot ensure that
the minimum wage increase is being given to home care aides and
personal assistants shall be denied any increase in
reimbursement costs.
    The Community Care Program Advisory Committee is created in
the Department on Aging. The Director shall appoint individuals
to serve in the Committee, who shall serve at their own
expense. Members of the Committee must abide by all applicable
ethics laws. The Committee shall advise the Department on
issues related to the Department's program of services to
prevent unnecessary institutionalization. The Committee shall
meet on a bi-monthly basis and shall serve to identify and
advise the Department on present and potential issues affecting
the service delivery network, the program's clients, and the
Department and to recommend solution strategies. Persons
appointed to the Committee shall be appointed on, but not
limited to, their own and their agency's experience with the
program, geographic representation, and willingness to serve.
The Director shall appoint members to the Committee to
represent provider, advocacy, policy research, and other
constituencies committed to the delivery of high quality home
and community-based services to older adults. Representatives
shall be appointed to ensure representation from community care
providers including, but not limited to, adult day service
providers, homemaker providers, case coordination and case
management units, emergency home response providers, statewide
trade or labor unions that represent home care aides and direct
care staff, area agencies on aging, adults over age 60,
membership organizations representing older adults, and other
organizational entities, providers of care, or individuals
with demonstrated interest and expertise in the field of home
and community care as determined by the Director.
    Nominations may be presented from any agency or State
association with interest in the program. The Director, or his
or her designee, shall serve as the permanent co-chair of the
advisory committee. One other co-chair shall be nominated and
approved by the members of the committee on an annual basis.
Committee members' terms of appointment shall be for 4 years
with one-quarter of the appointees' terms expiring each year. A
member shall continue to serve until his or her replacement is
named. The Department shall fill vacancies that have a
remaining term of over one year, and this replacement shall
occur through the annual replacement of expiring terms. The
Director shall designate Department staff to provide technical
assistance and staff support to the committee. Department
representation shall not constitute membership of the
committee. All Committee papers, issues, recommendations,
reports, and meeting memoranda are advisory only. The Director,
or his or her designee, shall make a written report, as
requested by the Committee, regarding issues before the
Committee.
    The Department on Aging and the Department of Human
Services shall cooperate in the development and submission of
an annual report on programs and services provided under this
Section. Such joint report shall be filed with the Governor and
the General Assembly on or before September 30 each year.
    The requirement for reporting to the General Assembly shall
be satisfied by filing copies of the report with the Speaker,
the Minority Leader and the Clerk of the House of
Representatives and the President, the Minority Leader and the
Secretary of the Senate and the Legislative Research Unit, as
required by Section 3.1 of the General Assembly Organization
Act and filing such additional copies with the State Government
Report Distribution Center for the General Assembly as is
required under paragraph (t) of Section 7 of the State Library
Act.
    Those persons previously found eligible for receiving
non-institutional services whose services were discontinued
under the Emergency Budget Act of Fiscal Year 1992, and who do
not meet the eligibility standards in effect on or after July
1, 1992, shall remain ineligible on and after July 1, 1992.
Those persons previously not required to cost-share and who
were required to cost-share effective March 1, 1992, shall
continue to meet cost-share requirements on and after July 1,
1992. Beginning July 1, 1992, all clients will be required to
meet eligibility, cost-share, and other requirements and will
have services discontinued or altered when they fail to meet
these requirements.
    For the purposes of this Section, "flexible senior
services" refers to services that require one-time or periodic
expenditures including, but not limited to, respite care, home
modification, assistive technology, housing assistance, and
transportation.
    The Department shall implement an electronic service
verification based on global positioning systems or other
cost-effective technology for the Community Care Program no
later than January 1, 2014.
    The Department shall require, as a condition of
eligibility, enrollment in the medical assistance program
under Article V of the Illinois Public Aid Code (i) beginning
August 1, 2013, if the Auditor General has reported that the
Department has failed to comply with the reporting requirements
of Section 2-27 of the Illinois State Auditing Act; or (ii)
beginning June 1, 2014, if the Auditor General has reported
that the Department has not undertaken the required actions
listed in the report required by subsection (a) of Section 2-27
of the Illinois State Auditing Act.
    The Department shall delay Community Care Program services
until an applicant is determined eligible for medical
assistance under Article V of the Illinois Public Aid Code (i)
beginning August 1, 2013, if the Auditor General has reported
that the Department has failed to comply with the reporting
requirements of Section 2-27 of the Illinois State Auditing
Act; or (ii) beginning June 1, 2014, if the Auditor General has
reported that the Department has not undertaken the required
actions listed in the report required by subsection (a) of
Section 2-27 of the Illinois State Auditing Act.
    The Department shall implement co-payments for the
Community Care Program at the federally allowable maximum level
(i) beginning August 1, 2013, if the Auditor General has
reported that the Department has failed to comply with the
reporting requirements of Section 2-27 of the Illinois State
Auditing Act; or (ii) beginning June 1, 2014, if the Auditor
General has reported that the Department has not undertaken the
required actions listed in the report required by subsection
(a) of Section 2-27 of the Illinois State Auditing Act.
    The Department shall provide a bi-monthly report on the
progress of the Community Care Program reforms set forth in
this amendatory Act of the 98th General Assembly to the
Governor, the Speaker of the House of Representatives, the
Minority Leader of the House of Representatives, the President
of the Senate, and the Minority Leader of the Senate.
    The Department shall conduct a quarterly review of Care
Coordination Unit performance and adherence to service
guidelines. The quarterly review shall be reported to the
Speaker of the House of Representatives, the Minority Leader of
the House of Representatives, the President of the Senate, and
the Minority Leader of the Senate. The Department shall collect
and report longitudinal data on the performance of each care
coordination unit. Nothing in this paragraph shall be construed
to require the Department to identify specific care
coordination units.
    In regard to community care providers, failure to comply
with Department on Aging policies shall be cause for
disciplinary action, including, but not limited to,
disqualification from serving Community Care Program clients.
Each provider, upon submission of any bill or invoice to the
Department for payment for services rendered, shall include a
notarized statement, under penalty of perjury pursuant to
Section 1-109 of the Code of Civil Procedure, that the provider
has complied with all Department policies.
    The Director of the Department on Aging shall make
information available to the State Board of Elections as may be
required by an agreement the State Board of Elections has
entered into with a multi-state voter registration list
maintenance system.
    Within 30 days after July 6, 2017 (the effective date of
Public Act 100-23) this amendatory Act of the 100th General
Assembly, rates shall be increased to $18.29 per hour, for the
purpose of increasing, by at least $.72 per hour, the wages
paid by those vendors to their employees who provide homemaker
services. The Department shall pay an enhanced rate under the
Community Care Program to those in-home service provider
agencies that offer health insurance coverage as a benefit to
their direct service worker employees consistent with the
mandates of Public Act 95-713. For State fiscal years year 2018
and 2019, the enhanced rate shall be $1.77 per hour. The rate
shall be adjusted using actuarial analysis based on the cost of
care, but shall not be set below $1.77 per hour. The Department
shall adopt rules, including emergency rules under subsections
subsection (y) and (bb) of Section 5-45 of the Illinois
Administrative Procedure Act, to implement the provisions of
this paragraph.
    The General Assembly finds it necessary to authorize an
aggressive Medicaid enrollment initiative designed to maximize
federal Medicaid funding for the Community Care Program which
produces significant savings for the State of Illinois. The
Department on Aging shall establish and implement a Community
Care Program Medicaid Initiative. Under the Initiative, the
Department on Aging shall, at a minimum: (i) provide an
enhanced rate to adequately compensate care coordination units
to enroll eligible Community Care Program clients into
Medicaid; (ii) use recommendations from a stakeholder
committee on how best to implement the Initiative; and (iii)
establish requirements for State agencies to make enrollment in
the State's Medical Assistance program easier for seniors.
    The Community Care Program Medicaid Enrollment Oversight
Subcommittee is created as a subcommittee of the Older Adult
Services Advisory Committee established in Section 35 of the
Older Adult Services Act to make recommendations on how best to
increase the number of medical assistance recipients who are
enrolled in the Community Care Program. The Subcommittee shall
consist of all of the following persons who must be appointed
within 30 days after the effective date of this amendatory Act
of the 100th General Assembly:
        (1) The Director of Aging, or his or her designee, who
    shall serve as the chairperson of the Subcommittee.
        (2) One representative of the Department of Healthcare
    and Family Services, appointed by the Director of
    Healthcare and Family Services.
        (3) One representative of the Department of Human
    Services, appointed by the Secretary of Human Services.
        (4) One individual representing a care coordination
    unit, appointed by the Director of Aging.
        (5) One individual from a non-governmental statewide
    organization that advocates for seniors, appointed by the
    Director of Aging.
        (6) One individual representing Area Agencies on
    Aging, appointed by the Director of Aging.
        (7) One individual from a statewide association
    dedicated to Alzheimer's care, support, and research,
    appointed by the Director of Aging.
        (8) One individual from an organization that employs
    persons who provide services under the Community Care
    Program, appointed by the Director of Aging.
        (9) One member of a trade or labor union representing
    persons who provide services under the Community Care
    Program, appointed by the Director of Aging.
        (10) One member of the Senate, who shall serve as
    co-chairperson, appointed by the President of the Senate.
        (11) One member of the Senate, who shall serve as
    co-chairperson, appointed by the Minority Leader of the
    Senate.
        (12) One member of the House of Representatives, who
    shall serve as co-chairperson, appointed by the Speaker of
    the House of Representatives.
        (13) One member of the House of Representatives, who
    shall serve as co-chairperson, appointed by the Minority
    Leader of the House of Representatives.
        (14) One individual appointed by a labor organization
    representing frontline employees at the Department of
    Human Services.
    The Subcommittee shall provide oversight to the Community
Care Program Medicaid Initiative and shall meet quarterly. At
each Subcommittee meeting the Department on Aging shall provide
the following data sets to the Subcommittee: (A) the number of
Illinois residents, categorized by planning and service area,
who are receiving services under the Community Care Program and
are enrolled in the State's Medical Assistance Program; (B) the
number of Illinois residents, categorized by planning and
service area, who are receiving services under the Community
Care Program, but are not enrolled in the State's Medical
Assistance Program; and (C) the number of Illinois residents,
categorized by planning and service area, who are receiving
services under the Community Care Program and are eligible for
benefits under the State's Medical Assistance Program, but are
not enrolled in the State's Medical Assistance Program. In
addition to this data, the Department on Aging shall provide
the Subcommittee with plans on how the Department on Aging will
reduce the number of Illinois residents who are not enrolled in
the State's Medical Assistance Program but who are eligible for
medical assistance benefits. The Department on Aging shall
enroll in the State's Medical Assistance Program those Illinois
residents who receive services under the Community Care Program
and are eligible for medical assistance benefits but are not
enrolled in the State's Medicaid Assistance Program. The data
provided to the Subcommittee shall be made available to the
public via the Department on Aging's website.
    The Department on Aging, with the involvement of the
Subcommittee, shall collaborate with the Department of Human
Services and the Department of Healthcare and Family Services
on how best to achieve the responsibilities of the Community
Care Program Medicaid Initiative.
    The Department on Aging, the Department of Human Services,
and the Department of Healthcare and Family Services shall
coordinate and implement a streamlined process for seniors to
access benefits under the State's Medical Assistance Program.
    The Subcommittee shall collaborate with the Department of
Human Services on the adoption of a uniform application
submission process. The Department of Human Services and any
other State agency involved with processing the medical
assistance application of any person enrolled in the Community
Care Program shall include the appropriate care coordination
unit in all communications related to the determination or
status of the application.
    The Community Care Program Medicaid Initiative shall
provide targeted funding to care coordination units to help
seniors complete their applications for medical assistance
benefits. On and after July 1, 2019, care coordination units
shall receive no less than $200 per completed application.
    The Community Care Program Medicaid Initiative shall cease
operation 5 years after the effective date of this amendatory
Act of the 100th General Assembly, after which the Subcommittee
shall dissolve.
(Source: P.A. 99-143, eff. 7-27-15; 100-23, eff. 7-6-17.)
 
    Section 15-10. The Alcoholism and Other Drug Abuse and
Dependency Act is amended by adding Section 55-30 as follows:
 
    (20 ILCS 301/55-30)
    Sec. 55-30. Rate increase.
    (a) Within 30 days after July 6, 2017 (the effective date
of Public Act 100-23) this amendatory Act of the 100th General
Assembly, the Division of Alcoholism and Substance Abuse shall
by rule develop the increased rate methodology and annualize
the increased rate beginning with State fiscal year 2018
contracts to licensed providers of community based addiction
treatment, based on the additional amounts appropriated for the
purpose of providing a rate increase to licensed providers of
community based addiction treatment. The Department shall
adopt rules, including emergency rules under subsection (y) of
Section 5-45 of the Illinois Administrative Procedure Act, to
implement the provisions of this Section.
    (b) Within 30 days after the effective date of this
amendatory Act of the 100th General Assembly, the Division of
Substance Use Prevention and Recovery shall apply an increase
in rates of 3% above the rate paid on June 30, 2017 to all
Medicaid and non-Medicaid reimbursable service rates. The
Department shall adopt rules, including emergency rules under
subsection (bb) of Section 5-45 of the Illinois Administrative
Procedure Act, to implement the provisions of this subsection
(b).
(Source: P.A. 100-23, eff. 7-6-17.)
 
    Section 15-15. The Mental Health and Developmental
Disabilities Administrative Act is amended by adding Section 75
as follows:
 
    (20 ILCS 1705/75)
    Sec. 75. Rate increase. Within 30 days after July 6, 2017
(the effective date of Public Act 100-23) this amendatory Act
of the 100th General Assembly, the Division of Mental Health
shall by rule develop the increased rate methodology and
annualize the increased rate beginning with State fiscal year
2018 contracts to certified community mental health centers,
based on the additional amounts appropriated for the purpose of
providing a rate increase to certified community mental health
centers, with the annualization to be maintained in State
fiscal year 2019. The Department shall adopt rules, including
emergency rules under subsections subsection (y) and (bb) of
Section 5-45 of the Illinois Administrative Procedure Act, to
implement the provisions of this Section.
(Source: P.A. 100-23, eff. 7-6-17.)
 
    Section 15-20. The Rehabilitation of Persons with
Disabilities Act is amended by changing Section 3 as follows:
 
    (20 ILCS 2405/3)  (from Ch. 23, par. 3434)
    Sec. 3. Powers and duties. The Department shall have the
powers and duties enumerated herein:
        (a) To co-operate with the federal government in the
    administration of the provisions of the federal
    Rehabilitation Act of 1973, as amended, of the Workforce
    Innovation and Opportunity Act, and of the federal Social
    Security Act to the extent and in the manner provided in
    these Acts.
        (b) To prescribe and supervise such courses of
    vocational training and provide such other services as may
    be necessary for the habilitation and rehabilitation of
    persons with one or more disabilities, including the
    administrative activities under subsection (e) of this
    Section, and to co-operate with State and local school
    authorities and other recognized agencies engaged in
    habilitation, rehabilitation and comprehensive
    rehabilitation services; and to cooperate with the
    Department of Children and Family Services regarding the
    care and education of children with one or more
    disabilities.
        (c) (Blank).
        (d) To report in writing, to the Governor, annually on
    or before the first day of December, and at such other
    times and in such manner and upon such subjects as the
    Governor may require. The annual report shall contain (1) a
    statement of the existing condition of comprehensive
    rehabilitation services, habilitation and rehabilitation
    in the State; (2) a statement of suggestions and
    recommendations with reference to the development of
    comprehensive rehabilitation services, habilitation and
    rehabilitation in the State; and (3) an itemized statement
    of the amounts of money received from federal, State and
    other sources, and of the objects and purposes to which the
    respective items of these several amounts have been
    devoted.
        (e) (Blank).
        (f) To establish a program of services to prevent the
    unnecessary institutionalization of persons in need of
    long term care and who meet the criteria for blindness or
    disability as defined by the Social Security Act, thereby
    enabling them to remain in their own homes. Such preventive
    services include any or all of the following:
            (1) personal assistant services;
            (2) homemaker services;
            (3) home-delivered meals;
            (4) adult day care services;
            (5) respite care;
            (6) home modification or assistive equipment;
            (7) home health services;
            (8) electronic home response;
            (9) brain injury behavioral/cognitive services;
            (10) brain injury habilitation;
            (11) brain injury pre-vocational services; or
            (12) brain injury supported employment.
        The Department shall establish eligibility standards
    for such services taking into consideration the unique
    economic and social needs of the population for whom they
    are to be provided. Such eligibility standards may be based
    on the recipient's ability to pay for services; provided,
    however, that any portion of a person's income that is
    equal to or less than the "protected income" level shall
    not be considered by the Department in determining
    eligibility. The "protected income" level shall be
    determined by the Department, shall never be less than the
    federal poverty standard, and shall be adjusted each year
    to reflect changes in the Consumer Price Index For All
    Urban Consumers as determined by the United States
    Department of Labor. The standards must provide that a
    person may not have more than $10,000 in assets to be
    eligible for the services, and the Department may increase
    or decrease the asset limitation by rule. The Department
    may not decrease the asset level below $10,000.
        The services shall be provided, as established by the
    Department by rule, to eligible persons to prevent
    unnecessary or premature institutionalization, to the
    extent that the cost of the services, together with the
    other personal maintenance expenses of the persons, are
    reasonably related to the standards established for care in
    a group facility appropriate to their condition. These
    non-institutional services, pilot projects or experimental
    facilities may be provided as part of or in addition to
    those authorized by federal law or those funded and
    administered by the Illinois Department on Aging. The
    Department shall set rates and fees for services in a fair
    and equitable manner. Services identical to those offered
    by the Department on Aging shall be paid at the same rate.
        Except as otherwise provided in this paragraph,
    personal Personal assistants shall be paid at a rate
    negotiated between the State and an exclusive
    representative of personal assistants under a collective
    bargaining agreement. In no case shall the Department pay
    personal assistants an hourly wage that is less than the
    federal minimum wage. Within 30 days after July 6, 2017
    (the effective date of Public Act 100-23) this amendatory
    Act of the 100th General Assembly, the hourly wage paid to
    personal assistants and individual maintenance home health
    workers shall be increased by $0.48 per hour.
        Solely for the purposes of coverage under the Illinois
    Public Labor Relations Act, personal assistants providing
    services under the Department's Home Services Program
    shall be considered to be public employees and the State of
    Illinois shall be considered to be their employer as of
    July 16, 2003 (the effective date of Public Act 93-204)
    this amendatory Act of the 93rd General Assembly, but not
    before. Solely for the purposes of coverage under the
    Illinois Public Labor Relations Act, home care and home
    health workers who function as personal assistants and
    individual maintenance home health workers and who also
    provide services under the Department's Home Services
    Program shall be considered to be public employees, no
    matter whether the State provides such services through
    direct fee-for-service arrangements, with the assistance
    of a managed care organization or other intermediary, or
    otherwise, and the State of Illinois shall be considered to
    be the employer of those persons as of January 29, 2013
    (the effective date of Public Act 97-1158), but not before
    except as otherwise provided under this subsection (f). The
    State shall engage in collective bargaining with an
    exclusive representative of home care and home health
    workers who function as personal assistants and individual
    maintenance home health workers working under the Home
    Services Program concerning their terms and conditions of
    employment that are within the State's control. Nothing in
    this paragraph shall be understood to limit the right of
    the persons receiving services defined in this Section to
    hire and fire home care and home health workers who
    function as personal assistants and individual maintenance
    home health workers working under the Home Services Program
    or to supervise them within the limitations set by the Home
    Services Program. The State shall not be considered to be
    the employer of home care and home health workers who
    function as personal assistants and individual maintenance
    home health workers working under the Home Services Program
    for any purposes not specifically provided in Public Act
    93-204 or Public Act 97-1158, including but not limited to,
    purposes of vicarious liability in tort and purposes of
    statutory retirement or health insurance benefits. Home
    care and home health workers who function as personal
    assistants and individual maintenance home health workers
    and who also provide services under the Department's Home
    Services Program shall not be covered by the State
    Employees Group Insurance Act of 1971.
        The Department shall execute, relative to nursing home
    prescreening, as authorized by Section 4.03 of the Illinois
    Act on the Aging, written inter-agency agreements with the
    Department on Aging and the Department of Healthcare and
    Family Services, to effect the intake procedures and
    eligibility criteria for those persons who may need long
    term care. On and after July 1, 1996, all nursing home
    prescreenings for individuals 18 through 59 years of age
    shall be conducted by the Department, or a designee of the
    Department.
        The Department is authorized to establish a system of
    recipient cost-sharing for services provided under this
    Section. The cost-sharing shall be based upon the
    recipient's ability to pay for services, but in no case
    shall the recipient's share exceed the actual cost of the
    services provided. Protected income shall not be
    considered by the Department in its determination of the
    recipient's ability to pay a share of the cost of services.
    The level of cost-sharing shall be adjusted each year to
    reflect changes in the "protected income" level. The
    Department shall deduct from the recipient's share of the
    cost of services any money expended by the recipient for
    disability-related expenses.
        To the extent permitted under the federal Social
    Security Act, the Department, or the Department's
    authorized representative, may recover the amount of
    moneys expended for services provided to or in behalf of a
    person under this Section by a claim against the person's
    estate or against the estate of the person's surviving
    spouse, but no recovery may be had until after the death of
    the surviving spouse, if any, and then only at such time
    when there is no surviving child who is under age 21 or
    blind or who has a permanent and total disability. This
    paragraph, however, shall not bar recovery, at the death of
    the person, of moneys for services provided to the person
    or in behalf of the person under this Section to which the
    person was not entitled; provided that such recovery shall
    not be enforced against any real estate while it is
    occupied as a homestead by the surviving spouse or other
    dependent, if no claims by other creditors have been filed
    against the estate, or, if such claims have been filed,
    they remain dormant for failure of prosecution or failure
    of the claimant to compel administration of the estate for
    the purpose of payment. This paragraph shall not bar
    recovery from the estate of a spouse, under Sections 1915
    and 1924 of the Social Security Act and Section 5-4 of the
    Illinois Public Aid Code, who precedes a person receiving
    services under this Section in death. All moneys for
    services paid to or in behalf of the person under this
    Section shall be claimed for recovery from the deceased
    spouse's estate. "Homestead", as used in this paragraph,
    means the dwelling house and contiguous real estate
    occupied by a surviving spouse or relative, as defined by
    the rules and regulations of the Department of Healthcare
    and Family Services, regardless of the value of the
    property.
        The Department shall submit an annual report on
    programs and services provided under this Section. The
    report shall be filed with the Governor and the General
    Assembly on or before March 30 each year.
        The requirement for reporting to the General Assembly
    shall be satisfied by filing copies of the report with the
    Speaker, the Minority Leader and the Clerk of the House of
    Representatives and the President, the Minority Leader and
    the Secretary of the Senate and the Legislative Research
    Unit, as required by Section 3.1 of the General Assembly
    Organization Act, and filing additional copies with the
    State Government Report Distribution Center for the
    General Assembly as required under paragraph (t) of Section
    7 of the State Library Act.
        (g) To establish such subdivisions of the Department as
    shall be desirable and assign to the various subdivisions
    the responsibilities and duties placed upon the Department
    by law.
        (h) To cooperate and enter into any necessary
    agreements with the Department of Employment Security for
    the provision of job placement and job referral services to
    clients of the Department, including job service
    registration of such clients with Illinois Employment
    Security offices and making job listings maintained by the
    Department of Employment Security available to such
    clients.
        (i) To possess all powers reasonable and necessary for
    the exercise and administration of the powers, duties and
    responsibilities of the Department which are provided for
    by law.
        (j) (Blank).
        (k) (Blank).
        (l) To establish, operate, and maintain a Statewide
    Housing Clearinghouse of information on available,
    government subsidized housing accessible to persons with
    disabilities and available privately owned housing
    accessible to persons with disabilities. The information
    shall include, but not be limited to, the location, rental
    requirements, access features and proximity to public
    transportation of available housing. The Clearinghouse
    shall consist of at least a computerized database for the
    storage and retrieval of information and a separate or
    shared toll free telephone number for use by those seeking
    information from the Clearinghouse. Department offices and
    personnel throughout the State shall also assist in the
    operation of the Statewide Housing Clearinghouse.
    Cooperation with local, State, and federal housing
    managers shall be sought and extended in order to
    frequently and promptly update the Clearinghouse's
    information.
        (m) To assure that the names and case records of
    persons who received or are receiving services from the
    Department, including persons receiving vocational
    rehabilitation, home services, or other services, and
    those attending one of the Department's schools or other
    supervised facility shall be confidential and not be open
    to the general public. Those case records and reports or
    the information contained in those records and reports
    shall be disclosed by the Director only to proper law
    enforcement officials, individuals authorized by a court,
    the General Assembly or any committee or commission of the
    General Assembly, and other persons and for reasons as the
    Director designates by rule. Disclosure by the Director may
    be only in accordance with other applicable law.
(Source: P.A. 99-143, eff. 7-27-15; 100-23, eff. 7-6-17;
100-477, eff. 9-8-17; revised 9-27-17.)
 
    Section 15-25. The Older Adult Services Act is amended by
changing Section 35 as follows:
 
    (320 ILCS 42/35)
    Sec. 35. Older Adult Services Advisory Committee.
    (a) The Older Adult Services Advisory Committee is created
to advise the directors of Aging, Healthcare and Family
Services, and Public Health on all matters related to this Act
and the delivery of services to older adults in general.
    (b) The Advisory Committee shall be comprised of the
following:
        (1) The Director of Aging or his or her designee, who
    shall serve as chair and shall be an ex officio and
    nonvoting member.
        (2) The Director of Healthcare and Family Services and
    the Director of Public Health or their designees, who shall
    serve as vice-chairs and shall be ex officio and nonvoting
    members.
        (3) One representative each of the Governor's Office,
    the Department of Healthcare and Family Services, the
    Department of Public Health, the Department of Veterans'
    Affairs, the Department of Human Services, the Department
    of Insurance, the Department of Commerce and Economic
    Opportunity, the Department on Aging, the Department on
    Aging's State Long Term Care Ombudsman, the Illinois
    Housing Finance Authority, and the Illinois Housing
    Development Authority, each of whom shall be selected by
    his or her respective director and shall be an ex officio
    and nonvoting member.
        (4) Thirty members appointed by the Director of Aging
    in collaboration with the directors of Public Health and
    Healthcare and Family Services, and selected from the
    recommendations of statewide associations and
    organizations, as follows:
            (A) One member representing the Area Agencies on
        Aging;
            (B) Four members representing nursing homes or
        licensed assisted living establishments;
            (C) One member representing home health agencies;
            (D) One member representing case management
        services;
            (E) One member representing statewide senior
        center associations;
            (F) One member representing Community Care Program
        homemaker services;
            (G) One member representing Community Care Program
        adult day services;
            (H) One member representing nutrition project
        directors;
            (I) One member representing hospice programs;
            (J) One member representing individuals with
        Alzheimer's disease and related dementias;
            (K) Two members representing statewide trade or
        labor unions;
            (L) One advanced practice registered nurse with
        experience in gerontological nursing;
            (M) One physician specializing in gerontology;
            (N) One member representing regional long-term
        care ombudsmen;
            (O) One member representing municipal, township,
        or county officials;
            (P) (Blank);
            (Q) (Blank);
            (R) One member representing the parish nurse
        movement;
            (S) One member representing pharmacists;
            (T) Two members representing statewide
        organizations engaging in advocacy or legal
        representation on behalf of the senior population;
            (U) Two family caregivers;
            (V) Two citizen members over the age of 60;
            (W) One citizen with knowledge in the area of
        gerontology research or health care law;
            (X) One representative of health care facilities
        licensed under the Hospital Licensing Act; and
            (Y) One representative of primary care service
        providers.
    The Director of Aging, in collaboration with the Directors
of Public Health and Healthcare and Family Services, may
appoint additional citizen members to the Older Adult Services
Advisory Committee. Each such additional member must be either
an individual age 60 or older or an uncompensated caregiver for
a family member or friend who is age 60 or older.
    (c) Voting members of the Advisory Committee shall serve
for a term of 3 years or until a replacement is named. All
members shall be appointed no later than January 1, 2005. Of
the initial appointees, as determined by lot, 10 members shall
serve a term of one year; 10 shall serve for a term of 2 years;
and 12 shall serve for a term of 3 years. Any member appointed
to fill a vacancy occurring prior to the expiration of the term
for which his or her predecessor was appointed shall be
appointed for the remainder of that term. The Advisory
Committee shall meet at least quarterly and may meet more
frequently at the call of the Chair. A simple majority of those
appointed shall constitute a quorum. The affirmative vote of a
majority of those present and voting shall be necessary for
Advisory Committee action. Members of the Advisory Committee
shall receive no compensation for their services.
    (d) The Advisory Committee shall have an Executive
Committee comprised of the Chair, the Vice Chairs, and up to 15
members of the Advisory Committee appointed by the Chair who
have demonstrated expertise in developing, implementing, or
coordinating the system restructuring initiatives defined in
Section 25. The Executive Committee shall have responsibility
to oversee and structure the operations of the Advisory
Committee and to create and appoint necessary subcommittees and
subcommittee members. The Advisory Committee's Community Care
Program Medicaid Enrollment Oversight Subcommittee shall have
the membership and powers and duties set forth in Section 4.02
of the Illinois Act on the Aging.
    (e) The Advisory Committee shall study and make
recommendations related to the implementation of this Act,
including but not limited to system restructuring initiatives
as defined in Section 25 or otherwise related to this Act.
(Source: P.A. 100-513, eff. 1-1-18.)
 
ARTICLE 20. TAX COMPLIANCE AND ADMINISTRATION FUND

 
    Section 20-5. The State Finance Act is amended by changing
Section 6z-20 as follows:
 
    (30 ILCS 105/6z-20)  (from Ch. 127, par. 142z-20)
    Sec. 6z-20. County and Mass Transit District Fund. Of the
money received from the 6.25% general rate (and, beginning July
1, 2000 and through December 31, 2000, the 1.25% rate on motor
fuel and gasohol, and beginning on August 6, 2010 through
August 15, 2010, the 1.25% rate on sales tax holiday items) on
sales subject to taxation under the Retailers' Occupation Tax
Act and Service Occupation Tax Act and paid into the County and
Mass Transit District Fund, distribution to the Regional
Transportation Authority tax fund, created pursuant to Section
4.03 of the Regional Transportation Authority Act, for deposit
therein shall be made based upon the retail sales occurring in
a county having more than 3,000,000 inhabitants. The remainder
shall be distributed to each county having 3,000,000 or fewer
inhabitants based upon the retail sales occurring in each such
county.
    For the purpose of determining allocation to the local
government unit, a retail sale by a producer of coal or other
mineral mined in Illinois is a sale at retail at the place
where the coal or other mineral mined in Illinois is extracted
from the earth. This paragraph does not apply to coal or other
mineral when it is delivered or shipped by the seller to the
purchaser at a point outside Illinois so that the sale is
exempt under the United States Constitution as a sale in
interstate or foreign commerce.
    Of the money received from the 6.25% general use tax rate
on tangible personal property which is purchased outside
Illinois at retail from a retailer and which is titled or
registered by any agency of this State's government and paid
into the County and Mass Transit District Fund, the amount for
which Illinois addresses for titling or registration purposes
are given as being in each county having more than 3,000,000
inhabitants shall be distributed into the Regional
Transportation Authority tax fund, created pursuant to Section
4.03 of the Regional Transportation Authority Act. The
remainder of the money paid from such sales shall be
distributed to each county based on sales for which Illinois
addresses for titling or registration purposes are given as
being located in the county. Any money paid into the Regional
Transportation Authority Occupation and Use Tax Replacement
Fund from the County and Mass Transit District Fund prior to
January 14, 1991, which has not been paid to the Authority
prior to that date, shall be transferred to the Regional
Transportation Authority tax fund.
    Whenever the Department determines that a refund of money
paid into the County and Mass Transit District Fund should be
made to a claimant instead of issuing a credit memorandum, the
Department shall notify the State Comptroller, who shall cause
the order to be drawn for the amount specified, and to the
person named, in such notification from the Department. Such
refund shall be paid by the State Treasurer out of the County
and Mass Transit District Fund.
    As soon as possible after the first day of each month,
beginning January 1, 2011, upon certification of the Department
of Revenue, the Comptroller shall order transferred, and the
Treasurer shall transfer, to the STAR Bonds Revenue Fund the
local sales tax increment, as defined in the Innovation
Development and Economy Act, collected during the second
preceding calendar month for sales within a STAR bond district
and deposited into the County and Mass Transit District Fund,
less 3% of that amount, which shall be transferred into the Tax
Compliance and Administration Fund and shall be used by the
Department, subject to appropriation, to cover the costs of the
Department in administering the Innovation Development and
Economy Act.
    After the monthly transfer to the STAR Bonds Revenue Fund,
on or before the 25th day of each calendar month, the
Department shall prepare and certify to the Comptroller the
disbursement of stated sums of money to the Regional
Transportation Authority and to named counties, the counties to
be those entitled to distribution, as hereinabove provided, of
taxes or penalties paid to the Department during the second
preceding calendar month. The amount to be paid to the Regional
Transportation Authority and each county having 3,000,000 or
fewer inhabitants shall be the amount (not including credit
memoranda) collected during the second preceding calendar
month by the Department and paid into the County and Mass
Transit District Fund, plus an amount the Department determines
is necessary to offset any amounts which were erroneously paid
to a different taxing body, and not including an amount equal
to the amount of refunds made during the second preceding
calendar month by the Department, and not including any amount
which the Department determines is necessary to offset any
amounts which were payable to a different taxing body but were
erroneously paid to the Regional Transportation Authority or
county, and not including any amounts that are transferred to
the STAR Bonds Revenue Fund, less 1.5% 2% of the amount to be
paid to the Regional Transportation Authority, which shall be
transferred into the Tax Compliance and Administration Fund.
The Department, at the time of each monthly disbursement to the
Regional Transportation Authority, shall prepare and certify
to the State Comptroller the amount to be transferred into the
Tax Compliance and Administration Fund under this Section.
Within 10 days after receipt, by the Comptroller, of the
disbursement certification to the Regional Transportation
Authority, counties, and the Tax Compliance and Administration
Fund provided for in this Section to be given to the
Comptroller by the Department, the Comptroller shall cause the
orders to be drawn for the respective amounts in accordance
with the directions contained in such certification.
    When certifying the amount of a monthly disbursement to the
Regional Transportation Authority or to a county under this
Section, the Department shall increase or decrease that amount
by an amount necessary to offset any misallocation of previous
disbursements. The offset amount shall be the amount
erroneously disbursed within the 6 months preceding the time a
misallocation is discovered.
    The provisions directing the distributions from the
special fund in the State Treasury provided for in this Section
and from the Regional Transportation Authority tax fund created
by Section 4.03 of the Regional Transportation Authority Act
shall constitute an irrevocable and continuing appropriation
of all amounts as provided herein. The State Treasurer and
State Comptroller are hereby authorized to make distributions
as provided in this Section.
    In construing any development, redevelopment, annexation,
preannexation or other lawful agreement in effect prior to
September 1, 1990, which describes or refers to receipts from a
county or municipal retailers' occupation tax, use tax or
service occupation tax which now cannot be imposed, such
description or reference shall be deemed to include the
replacement revenue for such abolished taxes, distributed from
the County and Mass Transit District Fund or Local Government
Distributive Fund, as the case may be.
(Source: P.A. 100-23, eff. 7-6-17.)
 
    Section 20-10. The Counties Code is amended by changing
Sections 5-1006, 5-1006.5, and 5-1007 as follows:
 
    (55 ILCS 5/5-1006)  (from Ch. 34, par. 5-1006)
    Sec. 5-1006. Home Rule County Retailers' Occupation Tax
Law. Any county that is a home rule unit may impose a tax upon
all persons engaged in the business of selling tangible
personal property, other than an item of tangible personal
property titled or registered with an agency of this State's
government, at retail in the county on the gross receipts from
such sales made in the course of their business. If imposed,
this tax shall only be imposed in 1/4% increments. On and after
September 1, 1991, this additional tax may not be imposed on
the sales of food for human consumption which is to be consumed
off the premises where it is sold (other than alcoholic
beverages, soft drinks and food which has been prepared for
immediate consumption) and prescription and nonprescription
medicines, drugs, medical appliances and insulin, urine
testing materials, syringes and needles used by diabetics. The
tax imposed by a home rule county pursuant to this Section and
all civil penalties that may be assessed as an incident thereof
shall be collected and enforced by the State Department of
Revenue. The certificate of registration that is issued by the
Department to a retailer under the Retailers' Occupation Tax
Act shall permit the retailer to engage in a business that is
taxable under any ordinance or resolution enacted pursuant to
this Section without registering separately with the
Department under such ordinance or resolution or under this
Section. The Department shall have full power to administer and
enforce this Section; to collect all taxes and penalties due
hereunder; to dispose of taxes and penalties so collected in
the manner hereinafter provided; and to determine all rights to
credit memoranda arising on account of the erroneous payment of
tax or penalty hereunder. In the administration of, and
compliance with, this Section, the Department and persons who
are subject to this Section shall have the same rights,
remedies, privileges, immunities, powers and duties, and be
subject to the same conditions, restrictions, limitations,
penalties and definitions of terms, and employ the same modes
of procedure, as are prescribed in Sections 1, 1a, 1a-1, 1d,
1e, 1f, 1i, 1j, 1k, 1m, 1n, 2 through 2-65 (in respect to all
provisions therein other than the State rate of tax), 4, 5, 5a,
5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 6d,
7, 8, 9, 10, 11, 12 and 13 of the Retailers' Occupation Tax Act
and Section 3-7 of the Uniform Penalty and Interest Act, as
fully as if those provisions were set forth herein.
    No tax may be imposed by a home rule county pursuant to
this Section unless the county also imposes a tax at the same
rate pursuant to Section 5-1007.
    Persons subject to any tax imposed pursuant to the
authority granted in this Section may reimburse themselves for
their seller's tax liability hereunder by separately stating
such tax as an additional charge, which charge may be stated in
combination, in a single amount, with State tax which sellers
are required to collect under the Use Tax Act, pursuant to such
bracket schedules as the Department may prescribe.
    Whenever the Department determines that a refund should be
made under this Section to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the order to be drawn for the
amount specified and to the person named in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the home rule county retailers' occupation tax
fund.
    The Department shall forthwith pay over to the State
Treasurer, ex officio, as trustee, all taxes and penalties
collected hereunder.
    As soon as possible after the first day of each month,
beginning January 1, 2011, upon certification of the Department
of Revenue, the Comptroller shall order transferred, and the
Treasurer shall transfer, to the STAR Bonds Revenue Fund the
local sales tax increment, as defined in the Innovation
Development and Economy Act, collected under this Section
during the second preceding calendar month for sales within a
STAR bond district.
    After the monthly transfer to the STAR Bonds Revenue Fund,
on or before the 25th day of each calendar month, the
Department shall prepare and certify to the Comptroller the
disbursement of stated sums of money to named counties, the
counties to be those from which retailers have paid taxes or
penalties hereunder to the Department during the second
preceding calendar month. The amount to be paid to each county
shall be the amount (not including credit memoranda) collected
hereunder during the second preceding calendar month by the
Department plus an amount the Department determines is
necessary to offset any amounts that were erroneously paid to a
different taxing body, and not including an amount equal to the
amount of refunds made during the second preceding calendar
month by the Department on behalf of such county, and not
including any amount which the Department determines is
necessary to offset any amounts which were payable to a
different taxing body but were erroneously paid to the county,
and not including any amounts that are transferred to the STAR
Bonds Revenue Fund, less 1.5% 2% of the remainder, which the
Department shall transfer into the Tax Compliance and
Administration Fund. The Department, at the time of each
monthly disbursement to the counties, shall prepare and certify
to the State Comptroller the amount to be transferred into the
Tax Compliance and Administration Fund under this Section.
Within 10 days after receipt, by the Comptroller, of the
disbursement certification to the counties and the Tax
Compliance and Administration Fund provided for in this Section
to be given to the Comptroller by the Department, the
Comptroller shall cause the orders to be drawn for the
respective amounts in accordance with the directions contained
in the certification.
    In addition to the disbursement required by the preceding
paragraph, an allocation shall be made in March of each year to
each county that received more than $500,000 in disbursements
under the preceding paragraph in the preceding calendar year.
The allocation shall be in an amount equal to the average
monthly distribution made to each such county under the
preceding paragraph during the preceding calendar year
(excluding the 2 months of highest receipts). The distribution
made in March of each year subsequent to the year in which an
allocation was made pursuant to this paragraph and the
preceding paragraph shall be reduced by the amount allocated
and disbursed under this paragraph in the preceding calendar
year. The Department shall prepare and certify to the
Comptroller for disbursement the allocations made in
accordance with this paragraph.
    For the purpose of determining the local governmental unit
whose tax is applicable, a retail sale by a producer of coal or
other mineral mined in Illinois is a sale at retail at the
place where the coal or other mineral mined in Illinois is
extracted from the earth. This paragraph does not apply to coal
or other mineral when it is delivered or shipped by the seller
to the purchaser at a point outside Illinois so that the sale
is exempt under the United States Constitution as a sale in
interstate or foreign commerce.
    Nothing in this Section shall be construed to authorize a
county to impose a tax upon the privilege of engaging in any
business which under the Constitution of the United States may
not be made the subject of taxation by this State.
    An ordinance or resolution imposing or discontinuing a tax
hereunder or effecting a change in the rate thereof shall be
adopted and a certified copy thereof filed with the Department
on or before the first day of June, whereupon the Department
shall proceed to administer and enforce this Section as of the
first day of September next following such adoption and filing.
Beginning January 1, 1992, an ordinance or resolution imposing
or discontinuing the tax hereunder or effecting a change in the
rate thereof shall be adopted and a certified copy thereof
filed with the Department on or before the first day of July,
whereupon the Department shall proceed to administer and
enforce this Section as of the first day of October next
following such adoption and filing. Beginning January 1, 1993,
an ordinance or resolution imposing or discontinuing the tax
hereunder or effecting a change in the rate thereof shall be
adopted and a certified copy thereof filed with the Department
on or before the first day of October, whereupon the Department
shall proceed to administer and enforce this Section as of the
first day of January next following such adoption and filing.
Beginning April 1, 1998, an ordinance or resolution imposing or
discontinuing the tax hereunder or effecting a change in the
rate thereof shall either (i) be adopted and a certified copy
thereof filed with the Department on or before the first day of
April, whereupon the Department shall proceed to administer and
enforce this Section as of the first day of July next following
the adoption and filing; or (ii) be adopted and a certified
copy thereof filed with the Department on or before the first
day of October, whereupon the Department shall proceed to
administer and enforce this Section as of the first day of
January next following the adoption and filing.
    When certifying the amount of a monthly disbursement to a
county under this Section, the Department shall increase or
decrease such amount by an amount necessary to offset any
misallocation of previous disbursements. The offset amount
shall be the amount erroneously disbursed within the previous 6
months from the time a misallocation is discovered.
    This Section shall be known and may be cited as the Home
Rule County Retailers' Occupation Tax Law.
(Source: P.A. 99-217, eff. 7-31-15; 100-23, eff. 7-6-17.)
 
    (55 ILCS 5/5-1006.5)
    Sec. 5-1006.5. Special County Retailers' Occupation Tax
For Public Safety, Public Facilities, or Transportation.
    (a) The county board of any county may impose a tax upon
all persons engaged in the business of selling tangible
personal property, other than personal property titled or
registered with an agency of this State's government, at retail
in the county on the gross receipts from the sales made in the
course of business to provide revenue to be used exclusively
for public safety, public facility, or transportation purposes
in that county, if a proposition for the tax has been submitted
to the electors of that county and approved by a majority of
those voting on the question. If imposed, this tax shall be
imposed only in one-quarter percent increments. By resolution,
the county board may order the proposition to be submitted at
any election. If the tax is imposed for transportation purposes
for expenditures for public highways or as authorized under the
Illinois Highway Code, the county board must publish notice of
the existence of its long-range highway transportation plan as
required or described in Section 5-301 of the Illinois Highway
Code and must make the plan publicly available prior to
approval of the ordinance or resolution imposing the tax. If
the tax is imposed for transportation purposes for expenditures
for passenger rail transportation, the county board must
publish notice of the existence of its long-range passenger
rail transportation plan and must make the plan publicly
available prior to approval of the ordinance or resolution
imposing the tax.
    If a tax is imposed for public facilities purposes, then
the name of the project may be included in the proposition at
the discretion of the county board as determined in the
enabling resolution. For example, the "XXX Nursing Home" or the
"YYY Museum".
    The county clerk shall certify the question to the proper
election authority, who shall submit the proposition at an
election in accordance with the general election law.
        (1) The proposition for public safety purposes shall be
    in substantially the following form:
        "To pay for public safety purposes, shall (name of
    county) be authorized to impose an increase on its share of
    local sales taxes by (insert rate)?"
        As additional information on the ballot below the
    question shall appear the following:
        "This would mean that a consumer would pay an
    additional (insert amount) in sales tax for every $100 of
    tangible personal property bought at retail."
        The county board may also opt to establish a sunset
    provision at which time the additional sales tax would
    cease being collected, if not terminated earlier by a vote
    of the county board. If the county board votes to include a
    sunset provision, the proposition for public safety
    purposes shall be in substantially the following form:
        "To pay for public safety purposes, shall (name of
    county) be authorized to impose an increase on its share of
    local sales taxes by (insert rate) for a period not to
    exceed (insert number of years)?"
        As additional information on the ballot below the
    question shall appear the following:
        "This would mean that a consumer would pay an
    additional (insert amount) in sales tax for every $100 of
    tangible personal property bought at retail. If imposed,
    the additional tax would cease being collected at the end
    of (insert number of years), if not terminated earlier by a
    vote of the county board."
        For the purposes of the paragraph, "public safety
    purposes" means crime prevention, detention, fire
    fighting, police, medical, ambulance, or other emergency
    services.
        Votes shall be recorded as "Yes" or "No".
        Beginning on the January 1 or July 1, whichever is
    first, that occurs not less than 30 days after May 31, 2015
    (the effective date of Public Act 99-4), Adams County may
    impose a public safety retailers' occupation tax and
    service occupation tax at the rate of 0.25%, as provided in
    the referendum approved by the voters on April 7, 2015,
    notwithstanding the omission of the additional information
    that is otherwise required to be printed on the ballot
    below the question pursuant to this item (1).
        (2) The proposition for transportation purposes shall
    be in substantially the following form:
        "To pay for improvements to roads and other
    transportation purposes, shall (name of county) be
    authorized to impose an increase on its share of local
    sales taxes by (insert rate)?"
        As additional information on the ballot below the
    question shall appear the following:
        "This would mean that a consumer would pay an
    additional (insert amount) in sales tax for every $100 of
    tangible personal property bought at retail."
        The county board may also opt to establish a sunset
    provision at which time the additional sales tax would
    cease being collected, if not terminated earlier by a vote
    of the county board. If the county board votes to include a
    sunset provision, the proposition for transportation
    purposes shall be in substantially the following form:
        "To pay for road improvements and other transportation
    purposes, shall (name of county) be authorized to impose an
    increase on its share of local sales taxes by (insert rate)
    for a period not to exceed (insert number of years)?"
        As additional information on the ballot below the
    question shall appear the following:
        "This would mean that a consumer would pay an
    additional (insert amount) in sales tax for every $100 of
    tangible personal property bought at retail. If imposed,
    the additional tax would cease being collected at the end
    of (insert number of years), if not terminated earlier by a
    vote of the county board."
        For the purposes of this paragraph, transportation
    purposes means construction, maintenance, operation, and
    improvement of public highways, any other purpose for which
    a county may expend funds under the Illinois Highway Code,
    and passenger rail transportation.
        The votes shall be recorded as "Yes" or "No".
        (3) The proposition for public facilities purposes
    shall be in substantially the following form:
        "To pay for public facilities purposes, shall (name of
    county) be authorized to impose an increase on its share of
    local sales taxes by (insert rate)?"
        As additional information on the ballot below the
    question shall appear the following:
        "This would mean that a consumer would pay an
    additional (insert amount) in sales tax for every $100 of
    tangible personal property bought at retail."
        The county board may also opt to establish a sunset
    provision at which time the additional sales tax would
    cease being collected, if not terminated earlier by a vote
    of the county board. If the county board votes to include a
    sunset provision, the proposition for public facilities
    purposes shall be in substantially the following form:
        "To pay for public facilities purposes, shall (name of
    county) be authorized to impose an increase on its share of
    local sales taxes by (insert rate) for a period not to
    exceed (insert number of years)?"
        As additional information on the ballot below the
    question shall appear the following:
        "This would mean that a consumer would pay an
    additional (insert amount) in sales tax for every $100 of
    tangible personal property bought at retail. If imposed,
    the additional tax would cease being collected at the end
    of (insert number of years), if not terminated earlier by a
    vote of the county board."
        For purposes of this Section, "public facilities
    purposes" means the acquisition, development,
    construction, reconstruction, rehabilitation, improvement,
    financing, architectural planning, and installation of
    capital facilities consisting of buildings, structures,
    and durable equipment and for the acquisition and
    improvement of real property and interest in real property
    required, or expected to be required, in connection with
    the public facilities, for use by the county for the
    furnishing of governmental services to its citizens,
    including but not limited to museums and nursing homes.
        The votes shall be recorded as "Yes" or "No".
    If a majority of the electors voting on the proposition
vote in favor of it, the county may impose the tax. A county
may not submit more than one proposition authorized by this
Section to the electors at any one time.
    This additional tax may not be imposed on the sales of food
for human consumption that is to be consumed off the premises
where it is sold (other than alcoholic beverages, soft drinks,
and food which has been prepared for immediate consumption) and
prescription and non-prescription medicines, drugs, medical
appliances and insulin, urine testing materials, syringes, and
needles used by diabetics. The tax imposed by a county under
this Section and all civil penalties that may be assessed as an
incident of the tax shall be collected and enforced by the
Illinois Department of Revenue and deposited into a special
fund created for that purpose. The certificate of registration
that is issued by the Department to a retailer under the
Retailers' Occupation Tax Act shall permit the retailer to
engage in a business that is taxable without registering
separately with the Department under an ordinance or resolution
under this Section. The Department has full power to administer
and enforce this Section, to collect all taxes and penalties
due under this Section, to dispose of taxes and penalties so
collected in the manner provided in this Section, and to
determine all rights to credit memoranda arising on account of
the erroneous payment of a tax or penalty under this Section.
In the administration of and compliance with this Section, the
Department and persons who are subject to this Section shall
(i) have the same rights, remedies, privileges, immunities,
powers, and duties, (ii) be subject to the same conditions,
restrictions, limitations, penalties, and definitions of
terms, and (iii) employ the same modes of procedure as are
prescribed in Sections 1, 1a, 1a-1, 1d, 1e, 1f, 1i, 1j, 1k, 1m,
1n, 2 through 2-70 (in respect to all provisions contained in
those Sections other than the State rate of tax), 2a, 2b, 2c, 3
(except provisions relating to transaction returns and quarter
monthly payments), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i,
5j, 5k, 5l, 6, 6a, 6b, 6c, 6d, 7, 8, 9, 10, 11, 11a, 12, and 13
of the Retailers' Occupation Tax Act and Section 3-7 of the
Uniform Penalty and Interest Act as if those provisions were
set forth in this Section.
    Persons subject to any tax imposed under the authority
granted in this Section may reimburse themselves for their
sellers' tax liability by separately stating the tax as an
additional charge, which charge may be stated in combination,
in a single amount, with State tax which sellers are required
to collect under the Use Tax Act, pursuant to such bracketed
schedules as the Department may prescribe.
    Whenever the Department determines that a refund should be
made under this Section to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the order to be drawn for the
amount specified and to the person named in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the County Public Safety or Transportation
Retailers' Occupation Tax Fund.
    (b) If a tax has been imposed under subsection (a), a
service occupation tax shall also be imposed at the same rate
upon all persons engaged, in the county, in the business of
making sales of service, who, as an incident to making those
sales of service, transfer tangible personal property within
the county as an incident to a sale of service. This tax may
not be imposed on sales of food for human consumption that is
to be consumed off the premises where it is sold (other than
alcoholic beverages, soft drinks, and food prepared for
immediate consumption) and prescription and non-prescription
medicines, drugs, medical appliances and insulin, urine
testing materials, syringes, and needles used by diabetics. The
tax imposed under this subsection and all civil penalties that
may be assessed as an incident thereof shall be collected and
enforced by the Department of Revenue. The Department has full
power to administer and enforce this subsection; to collect all
taxes and penalties due hereunder; to dispose of taxes and
penalties so collected in the manner hereinafter provided; and
to determine all rights to credit memoranda arising on account
of the erroneous payment of tax or penalty hereunder. In the
administration of, and compliance with this subsection, the
Department and persons who are subject to this paragraph shall
(i) have the same rights, remedies, privileges, immunities,
powers, and duties, (ii) be subject to the same conditions,
restrictions, limitations, penalties, exclusions, exemptions,
and definitions of terms, and (iii) employ the same modes of
procedure as are prescribed in Sections 2 (except that the
reference to State in the definition of supplier maintaining a
place of business in this State shall mean the county), 2a, 2b,
2c, 3 through 3-50 (in respect to all provisions therein other
than the State rate of tax), 4 (except that the reference to
the State shall be to the county), 5, 7, 8 (except that the
jurisdiction to which the tax shall be a debt to the extent
indicated in that Section 8 shall be the county), 9 (except as
to the disposition of taxes and penalties collected), 10, 11,
12 (except the reference therein to Section 2b of the
Retailers' Occupation Tax Act), 13 (except that any reference
to the State shall mean the county), Section 15, 16, 17, 18, 19
and 20 of the Service Occupation Tax Act and Section 3-7 of the
Uniform Penalty and Interest Act, as fully as if those
provisions were set forth herein.
    Persons subject to any tax imposed under the authority
granted in this subsection may reimburse themselves for their
serviceman's tax liability by separately stating the tax as an
additional charge, which charge may be stated in combination,
in a single amount, with State tax that servicemen are
authorized to collect under the Service Use Tax Act, in
accordance with such bracket schedules as the Department may
prescribe.
    Whenever the Department determines that a refund should be
made under this subsection to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the warrant to be drawn for the
amount specified, and to the person named, in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the County Public Safety or Transportation
Retailers' Occupation Fund.
    Nothing in this subsection shall be construed to authorize
the county to impose a tax upon the privilege of engaging in
any business which under the Constitution of the United States
may not be made the subject of taxation by the State.
    (c) The Department shall immediately pay over to the State
Treasurer, ex officio, as trustee, all taxes and penalties
collected under this Section to be deposited into the County
Public Safety or Transportation Retailers' Occupation Tax
Fund, which shall be an unappropriated trust fund held outside
of the State treasury.
    As soon as possible after the first day of each month,
beginning January 1, 2011, upon certification of the Department
of Revenue, the Comptroller shall order transferred, and the
Treasurer shall transfer, to the STAR Bonds Revenue Fund the
local sales tax increment, as defined in the Innovation
Development and Economy Act, collected under this Section
during the second preceding calendar month for sales within a
STAR bond district.
    After the monthly transfer to the STAR Bonds Revenue Fund,
on or before the 25th day of each calendar month, the
Department shall prepare and certify to the Comptroller the
disbursement of stated sums of money to the counties from which
retailers have paid taxes or penalties to the Department during
the second preceding calendar month. The amount to be paid to
each county, and deposited by the county into its special fund
created for the purposes of this Section, shall be the amount
(not including credit memoranda) collected under this Section
during the second preceding calendar month by the Department
plus an amount the Department determines is necessary to offset
any amounts that were erroneously paid to a different taxing
body, and not including (i) an amount equal to the amount of
refunds made during the second preceding calendar month by the
Department on behalf of the county, (ii) any amount that the
Department determines is necessary to offset any amounts that
were payable to a different taxing body but were erroneously
paid to the county, (iii) any amounts that are transferred to
the STAR Bonds Revenue Fund, and (iv) 1.5% 2% of the remainder,
which shall be transferred into the Tax Compliance and
Administration Fund. The Department, at the time of each
monthly disbursement to the counties, shall prepare and certify
to the State Comptroller the amount to be transferred into the
Tax Compliance and Administration Fund under this subsection.
Within 10 days after receipt by the Comptroller of the
disbursement certification to the counties and the Tax
Compliance and Administration Fund provided for in this Section
to be given to the Comptroller by the Department, the
Comptroller shall cause the orders to be drawn for the
respective amounts in accordance with directions contained in
the certification.
    In addition to the disbursement required by the preceding
paragraph, an allocation shall be made in March of each year to
each county that received more than $500,000 in disbursements
under the preceding paragraph in the preceding calendar year.
The allocation shall be in an amount equal to the average
monthly distribution made to each such county under the
preceding paragraph during the preceding calendar year
(excluding the 2 months of highest receipts). The distribution
made in March of each year subsequent to the year in which an
allocation was made pursuant to this paragraph and the
preceding paragraph shall be reduced by the amount allocated
and disbursed under this paragraph in the preceding calendar
year. The Department shall prepare and certify to the
Comptroller for disbursement the allocations made in
accordance with this paragraph.
    A county may direct, by ordinance, that all or a portion of
the taxes and penalties collected under the Special County
Retailers' Occupation Tax For Public Safety or Transportation
be deposited into the Transportation Development Partnership
Trust Fund.
    (d) For the purpose of determining the local governmental
unit whose tax is applicable, a retail sale by a producer of
coal or another mineral mined in Illinois is a sale at retail
at the place where the coal or other mineral mined in Illinois
is extracted from the earth. This paragraph does not apply to
coal or another mineral when it is delivered or shipped by the
seller to the purchaser at a point outside Illinois so that the
sale is exempt under the United States Constitution as a sale
in interstate or foreign commerce.
    (e) Nothing in this Section shall be construed to authorize
a county to impose a tax upon the privilege of engaging in any
business that under the Constitution of the United States may
not be made the subject of taxation by this State.
    (e-5) If a county imposes a tax under this Section, the
county board may, by ordinance, discontinue or lower the rate
of the tax. If the county board lowers the tax rate or
discontinues the tax, a referendum must be held in accordance
with subsection (a) of this Section in order to increase the
rate of the tax or to reimpose the discontinued tax.
    (f) Beginning April 1, 1998 and through December 31, 2013,
the results of any election authorizing a proposition to impose
a tax under this Section or effecting a change in the rate of
tax, or any ordinance lowering the rate or discontinuing the
tax, shall be certified by the county clerk and filed with the
Illinois Department of Revenue either (i) on or before the
first day of April, whereupon the Department shall proceed to
administer and enforce the tax as of the first day of July next
following the filing; or (ii) on or before the first day of
October, whereupon the Department shall proceed to administer
and enforce the tax as of the first day of January next
following the filing.
    Beginning January 1, 2014, the results of any election
authorizing a proposition to impose a tax under this Section or
effecting an increase in the rate of tax, along with the
ordinance adopted to impose the tax or increase the rate of the
tax, or any ordinance adopted to lower the rate or discontinue
the tax, shall be certified by the county clerk and filed with
the Illinois Department of Revenue either (i) on or before the
first day of May, whereupon the Department shall proceed to
administer and enforce the tax as of the first day of July next
following the adoption and filing; or (ii) on or before the
first day of October, whereupon the Department shall proceed to
administer and enforce the tax as of the first day of January
next following the adoption and filing.
    (g) When certifying the amount of a monthly disbursement to
a county under this Section, the Department shall increase or
decrease the amounts by an amount necessary to offset any
miscalculation of previous disbursements. The offset amount
shall be the amount erroneously disbursed within the previous 6
months from the time a miscalculation is discovered.
    (h) This Section may be cited as the "Special County
Occupation Tax For Public Safety, Public Facilities, or
Transportation Law".
    (i) For purposes of this Section, "public safety" includes,
but is not limited to, crime prevention, detention, fire
fighting, police, medical, ambulance, or other emergency
services. The county may share tax proceeds received under this
Section for public safety purposes, including proceeds
received before August 4, 2009 (the effective date of Public
Act 96-124), with any fire protection district located in the
county. For the purposes of this Section, "transportation"
includes, but is not limited to, the construction, maintenance,
operation, and improvement of public highways, any other
purpose for which a county may expend funds under the Illinois
Highway Code, and passenger rail transportation. For the
purposes of this Section, "public facilities purposes"
includes, but is not limited to, the acquisition, development,
construction, reconstruction, rehabilitation, improvement,
financing, architectural planning, and installation of capital
facilities consisting of buildings, structures, and durable
equipment and for the acquisition and improvement of real
property and interest in real property required, or expected to
be required, in connection with the public facilities, for use
by the county for the furnishing of governmental services to
its citizens, including but not limited to museums and nursing
homes.
    (j) The Department may promulgate rules to implement Public
Act 95-1002 only to the extent necessary to apply the existing
rules for the Special County Retailers' Occupation Tax for
Public Safety to this new purpose for public facilities.
(Source: P.A. 99-4, eff. 5-31-15; 99-217, eff. 7-31-15; 99-642,
eff. 7-28-16; 100-23, eff. 7-6-17.)
 
    (55 ILCS 5/5-1007)  (from Ch. 34, par. 5-1007)
    Sec. 5-1007. Home Rule County Service Occupation Tax Law.
The corporate authorities of a home rule county may impose a
tax upon all persons engaged, in such county, in the business
of making sales of service at the same rate of tax imposed
pursuant to Section 5-1006 of the selling price of all tangible
personal property transferred by such servicemen either in the
form of tangible personal property or in the form of real
estate as an incident to a sale of service. If imposed, such
tax shall only be imposed in 1/4% increments. On and after
September 1, 1991, this additional tax may not be imposed on
the sales of food for human consumption which is to be consumed
off the premises where it is sold (other than alcoholic
beverages, soft drinks and food which has been prepared for
immediate consumption) and prescription and nonprescription
medicines, drugs, medical appliances and insulin, urine
testing materials, syringes and needles used by diabetics. The
tax imposed by a home rule county pursuant to this Section and
all civil penalties that may be assessed as an incident thereof
shall be collected and enforced by the State Department of
Revenue. The certificate of registration which is issued by the
Department to a retailer under the Retailers' Occupation Tax
Act or under the Service Occupation Tax Act shall permit such
registrant to engage in a business which is taxable under any
ordinance or resolution enacted pursuant to this Section
without registering separately with the Department under such
ordinance or resolution or under this Section. The Department
shall have full power to administer and enforce this Section;
to collect all taxes and penalties due hereunder; to dispose of
taxes and penalties so collected in the manner hereinafter
provided; and to determine all rights to credit memoranda
arising on account of the erroneous payment of tax or penalty
hereunder. In the administration of, and compliance with, this
Section the Department and persons who are subject to this
Section shall have the same rights, remedies, privileges,
immunities, powers and duties, and be subject to the same
conditions, restrictions, limitations, penalties and
definitions of terms, and employ the same modes of procedure,
as are prescribed in Sections 1a-1, 2, 2a, 3 through 3-50 (in
respect to all provisions therein other than the State rate of
tax), 4 (except that the reference to the State shall be to the
taxing county), 5, 7, 8 (except that the jurisdiction to which
the tax shall be a debt to the extent indicated in that Section
8 shall be the taxing county), 9 (except as to the disposition
of taxes and penalties collected, and except that the returned
merchandise credit for this county tax may not be taken against
any State tax), 10, 11, 12 (except the reference therein to
Section 2b of the Retailers' Occupation Tax Act), 13 (except
that any reference to the State shall mean the taxing county),
the first paragraph of Section 15, 16, 17, 18, 19 and 20 of the
Service Occupation Tax Act and Section 3-7 of the Uniform
Penalty and Interest Act, as fully as if those provisions were
set forth herein.
    No tax may be imposed by a home rule county pursuant to
this Section unless such county also imposes a tax at the same
rate pursuant to Section 5-1006.
    Persons subject to any tax imposed pursuant to the
authority granted in this Section may reimburse themselves for
their serviceman's tax liability hereunder by separately
stating such tax as an additional charge, which charge may be
stated in combination, in a single amount, with State tax which
servicemen are authorized to collect under the Service Use Tax
Act, pursuant to such bracket schedules as the Department may
prescribe.
    Whenever the Department determines that a refund should be
made under this Section to a claimant instead of issuing credit
memorandum, the Department shall notify the State Comptroller,
who shall cause the order to be drawn for the amount specified,
and to the person named, in such notification from the
Department. Such refund shall be paid by the State Treasurer
out of the home rule county retailers' occupation tax fund.
    The Department shall forthwith pay over to the State
Treasurer, ex-officio, as trustee, all taxes and penalties
collected hereunder.
    As soon as possible after the first day of each month,
beginning January 1, 2011, upon certification of the Department
of Revenue, the Comptroller shall order transferred, and the
Treasurer shall transfer, to the STAR Bonds Revenue Fund the
local sales tax increment, as defined in the Innovation
Development and Economy Act, collected under this Section
during the second preceding calendar month for sales within a
STAR bond district.
    After the monthly transfer to the STAR Bonds Revenue Fund,
on or before the 25th day of each calendar month, the
Department shall prepare and certify to the Comptroller the
disbursement of stated sums of money to named counties, the
counties to be those from which suppliers and servicemen have
paid taxes or penalties hereunder to the Department during the
second preceding calendar month. The amount to be paid to each
county shall be the amount (not including credit memoranda)
collected hereunder during the second preceding calendar month
by the Department, and not including an amount equal to the
amount of refunds made during the second preceding calendar
month by the Department on behalf of such county, and not
including any amounts that are transferred to the STAR Bonds
Revenue Fund, less 1.5% 2% of the remainder, which the
Department shall transfer into the Tax Compliance and
Administration Fund. The Department, at the time of each
monthly disbursement to the counties, shall prepare and certify
to the State Comptroller the amount to be transferred into the
Tax Compliance and Administration Fund under this Section.
Within 10 days after receipt, by the Comptroller, of the
disbursement certification to the counties and the Tax
Compliance and Administration Fund provided for in this Section
to be given to the Comptroller by the Department, the
Comptroller shall cause the orders to be drawn for the
respective amounts in accordance with the directions contained
in such certification.
    In addition to the disbursement required by the preceding
paragraph, an allocation shall be made in each year to each
county which received more than $500,000 in disbursements under
the preceding paragraph in the preceding calendar year. The
allocation shall be in an amount equal to the average monthly
distribution made to each such county under the preceding
paragraph during the preceding calendar year (excluding the 2
months of highest receipts). The distribution made in March of
each year subsequent to the year in which an allocation was
made pursuant to this paragraph and the preceding paragraph
shall be reduced by the amount allocated and disbursed under
this paragraph in the preceding calendar year. The Department
shall prepare and certify to the Comptroller for disbursement
the allocations made in accordance with this paragraph.
    Nothing in this Section shall be construed to authorize a
county to impose a tax upon the privilege of engaging in any
business which under the Constitution of the United States may
not be made the subject of taxation by this State.
    An ordinance or resolution imposing or discontinuing a tax
hereunder or effecting a change in the rate thereof shall be
adopted and a certified copy thereof filed with the Department
on or before the first day of June, whereupon the Department
shall proceed to administer and enforce this Section as of the
first day of September next following such adoption and filing.
Beginning January 1, 1992, an ordinance or resolution imposing
or discontinuing the tax hereunder or effecting a change in the
rate thereof shall be adopted and a certified copy thereof
filed with the Department on or before the first day of July,
whereupon the Department shall proceed to administer and
enforce this Section as of the first day of October next
following such adoption and filing. Beginning January 1, 1993,
an ordinance or resolution imposing or discontinuing the tax
hereunder or effecting a change in the rate thereof shall be
adopted and a certified copy thereof filed with the Department
on or before the first day of October, whereupon the Department
shall proceed to administer and enforce this Section as of the
first day of January next following such adoption and filing.
Beginning April 1, 1998, an ordinance or resolution imposing or
discontinuing the tax hereunder or effecting a change in the
rate thereof shall either (i) be adopted and a certified copy
thereof filed with the Department on or before the first day of
April, whereupon the Department shall proceed to administer and
enforce this Section as of the first day of July next following
the adoption and filing; or (ii) be adopted and a certified
copy thereof filed with the Department on or before the first
day of October, whereupon the Department shall proceed to
administer and enforce this Section as of the first day of
January next following the adoption and filing.
    This Section shall be known and may be cited as the Home
Rule County Service Occupation Tax Law.
(Source: P.A. 100-23, eff. 7-6-17.)
 
    Section 20-15. The Illinois Municipal Code is amended by
changing Sections 8-11-1, 8-11-1.3, 8-11-1.4, 8-11-1.6,
8-11-1.7, and 8-11-5 as follows:
 
    (65 ILCS 5/8-11-1)  (from Ch. 24, par. 8-11-1)
    Sec. 8-11-1. Home Rule Municipal Retailers' Occupation Tax
Act. The corporate authorities of a home rule municipality may
impose a tax upon all persons engaged in the business of
selling tangible personal property, other than an item of
tangible personal property titled or registered with an agency
of this State's government, at retail in the municipality on
the gross receipts from these sales made in the course of such
business. If imposed, the tax shall only be imposed in 1/4%
increments. On and after September 1, 1991, this additional tax
may not be imposed on the sales of food for human consumption
that is to be consumed off the premises where it is sold (other
than alcoholic beverages, soft drinks and food that has been
prepared for immediate consumption) and prescription and
nonprescription medicines, drugs, medical appliances and
insulin, urine testing materials, syringes and needles used by
diabetics. The tax imposed by a home rule municipality under
this Section and all civil penalties that may be assessed as an
incident of the tax shall be collected and enforced by the
State Department of Revenue. The certificate of registration
that is issued by the Department to a retailer under the
Retailers' Occupation Tax Act shall permit the retailer to
engage in a business that is taxable under any ordinance or
resolution enacted pursuant to this Section without
registering separately with the Department under such
ordinance or resolution or under this Section. The Department
shall have full power to administer and enforce this Section;
to collect all taxes and penalties due hereunder; to dispose of
taxes and penalties so collected in the manner hereinafter
provided; and to determine all rights to credit memoranda
arising on account of the erroneous payment of tax or penalty
hereunder. In the administration of, and compliance with, this
Section the Department and persons who are subject to this
Section shall have the same rights, remedies, privileges,
immunities, powers and duties, and be subject to the same
conditions, restrictions, limitations, penalties and
definitions of terms, and employ the same modes of procedure,
as are prescribed in Sections 1, 1a, 1d, 1e, 1f, 1i, 1j, 1k,
1m, 1n, 2 through 2-65 (in respect to all provisions therein
other than the State rate of tax), 2c, 3 (except as to the
disposition of taxes and penalties collected), 4, 5, 5a, 5b,
5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 6d, 7, 8,
9, 10, 11, 12 and 13 of the Retailers' Occupation Tax Act and
Section 3-7 of the Uniform Penalty and Interest Act, as fully
as if those provisions were set forth herein.
    No tax may be imposed by a home rule municipality under
this Section unless the municipality also imposes a tax at the
same rate under Section 8-11-5 of this Act.
    Persons subject to any tax imposed under the authority
granted in this Section may reimburse themselves for their
seller's tax liability hereunder by separately stating that tax
as an additional charge, which charge may be stated in
combination, in a single amount, with State tax which sellers
are required to collect under the Use Tax Act, pursuant to such
bracket schedules as the Department may prescribe.
    Whenever the Department determines that a refund should be
made under this Section to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the order to be drawn for the
amount specified and to the person named in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the home rule municipal retailers' occupation
tax fund.
    The Department shall immediately pay over to the State
Treasurer, ex officio, as trustee, all taxes and penalties
collected hereunder.
    As soon as possible after the first day of each month,
beginning January 1, 2011, upon certification of the Department
of Revenue, the Comptroller shall order transferred, and the
Treasurer shall transfer, to the STAR Bonds Revenue Fund the
local sales tax increment, as defined in the Innovation
Development and Economy Act, collected under this Section
during the second preceding calendar month for sales within a
STAR bond district.
    After the monthly transfer to the STAR Bonds Revenue Fund,
on or before the 25th day of each calendar month, the
Department shall prepare and certify to the Comptroller the
disbursement of stated sums of money to named municipalities,
the municipalities to be those from which retailers have paid
taxes or penalties hereunder to the Department during the
second preceding calendar month. The amount to be paid to each
municipality shall be the amount (not including credit
memoranda) collected hereunder during the second preceding
calendar month by the Department plus an amount the Department
determines is necessary to offset any amounts that were
erroneously paid to a different taxing body, and not including
an amount equal to the amount of refunds made during the second
preceding calendar month by the Department on behalf of such
municipality, and not including any amount that the Department
determines is necessary to offset any amounts that were payable
to a different taxing body but were erroneously paid to the
municipality, and not including any amounts that are
transferred to the STAR Bonds Revenue Fund, less 1.5% 2% of the
remainder, which the Department shall transfer into the Tax
Compliance and Administration Fund. The Department, at the time
of each monthly disbursement to the municipalities, shall
prepare and certify to the State Comptroller the amount to be
transferred into the Tax Compliance and Administration Fund
under this Section. Within 10 days after receipt by the
Comptroller of the disbursement certification to the
municipalities and the Tax Compliance and Administration Fund
provided for in this Section to be given to the Comptroller by
the Department, the Comptroller shall cause the orders to be
drawn for the respective amounts in accordance with the
directions contained in the certification.
    In addition to the disbursement required by the preceding
paragraph and in order to mitigate delays caused by
distribution procedures, an allocation shall, if requested, be
made within 10 days after January 14, 1991, and in November of
1991 and each year thereafter, to each municipality that
received more than $500,000 during the preceding fiscal year,
(July 1 through June 30) whether collected by the municipality
or disbursed by the Department as required by this Section.
Within 10 days after January 14, 1991, participating
municipalities shall notify the Department in writing of their
intent to participate. In addition, for the initial
distribution, participating municipalities shall certify to
the Department the amounts collected by the municipality for
each month under its home rule occupation and service
occupation tax during the period July 1, 1989 through June 30,
1990. The allocation within 10 days after January 14, 1991,
shall be in an amount equal to the monthly average of these
amounts, excluding the 2 months of highest receipts. The
monthly average for the period of July 1, 1990 through June 30,
1991 will be determined as follows: the amounts collected by
the municipality under its home rule occupation and service
occupation tax during the period of July 1, 1990 through
September 30, 1990, plus amounts collected by the Department
and paid to such municipality through June 30, 1991, excluding
the 2 months of highest receipts. The monthly average for each
subsequent period of July 1 through June 30 shall be an amount
equal to the monthly distribution made to each such
municipality under the preceding paragraph during this period,
excluding the 2 months of highest receipts. The distribution
made in November 1991 and each year thereafter under this
paragraph and the preceding paragraph shall be reduced by the
amount allocated and disbursed under this paragraph in the
preceding period of July 1 through June 30. The Department
shall prepare and certify to the Comptroller for disbursement
the allocations made in accordance with this paragraph.
    For the purpose of determining the local governmental unit
whose tax is applicable, a retail sale by a producer of coal or
other mineral mined in Illinois is a sale at retail at the
place where the coal or other mineral mined in Illinois is
extracted from the earth. This paragraph does not apply to coal
or other mineral when it is delivered or shipped by the seller
to the purchaser at a point outside Illinois so that the sale
is exempt under the United States Constitution as a sale in
interstate or foreign commerce.
    Nothing in this Section shall be construed to authorize a
municipality to impose a tax upon the privilege of engaging in
any business which under the Constitution of the United States
may not be made the subject of taxation by this State.
    An ordinance or resolution imposing or discontinuing a tax
hereunder or effecting a change in the rate thereof shall be
adopted and a certified copy thereof filed with the Department
on or before the first day of June, whereupon the Department
shall proceed to administer and enforce this Section as of the
first day of September next following the adoption and filing.
Beginning January 1, 1992, an ordinance or resolution imposing
or discontinuing the tax hereunder or effecting a change in the
rate thereof shall be adopted and a certified copy thereof
filed with the Department on or before the first day of July,
whereupon the Department shall proceed to administer and
enforce this Section as of the first day of October next
following such adoption and filing. Beginning January 1, 1993,
an ordinance or resolution imposing or discontinuing the tax
hereunder or effecting a change in the rate thereof shall be
adopted and a certified copy thereof filed with the Department
on or before the first day of October, whereupon the Department
shall proceed to administer and enforce this Section as of the
first day of January next following the adoption and filing.
However, a municipality located in a county with a population
in excess of 3,000,000 that elected to become a home rule unit
at the general primary election in 1994 may adopt an ordinance
or resolution imposing the tax under this Section and file a
certified copy of the ordinance or resolution with the
Department on or before July 1, 1994. The Department shall then
proceed to administer and enforce this Section as of October 1,
1994. Beginning April 1, 1998, an ordinance or resolution
imposing or discontinuing the tax hereunder or effecting a
change in the rate thereof shall either (i) be adopted and a
certified copy thereof filed with the Department on or before
the first day of April, whereupon the Department shall proceed
to administer and enforce this Section as of the first day of
July next following the adoption and filing; or (ii) be adopted
and a certified copy thereof filed with the Department on or
before the first day of October, whereupon the Department shall
proceed to administer and enforce this Section as of the first
day of January next following the adoption and filing.
    When certifying the amount of a monthly disbursement to a
municipality under this Section, the Department shall increase
or decrease the amount by an amount necessary to offset any
misallocation of previous disbursements. The offset amount
shall be the amount erroneously disbursed within the previous 6
months from the time a misallocation is discovered.
    Any unobligated balance remaining in the Municipal
Retailers' Occupation Tax Fund on December 31, 1989, which fund
was abolished by Public Act 85-1135, and all receipts of
municipal tax as a result of audits of liability periods prior
to January 1, 1990, shall be paid into the Local Government Tax
Fund for distribution as provided by this Section prior to the
enactment of Public Act 85-1135. All receipts of municipal tax
as a result of an assessment not arising from an audit, for
liability periods prior to January 1, 1990, shall be paid into
the Local Government Tax Fund for distribution before July 1,
1990, as provided by this Section prior to the enactment of
Public Act 85-1135; and on and after July 1, 1990, all such
receipts shall be distributed as provided in Section 6z-18 of
the State Finance Act.
    As used in this Section, "municipal" and "municipality"
means a city, village or incorporated town, including an
incorporated town that has superseded a civil township.
    This Section shall be known and may be cited as the Home
Rule Municipal Retailers' Occupation Tax Act.
(Source: P.A. 99-217, eff. 7-31-15; 100-23, eff. 7-6-17.)
 
    (65 ILCS 5/8-11-1.3)  (from Ch. 24, par. 8-11-1.3)
    Sec. 8-11-1.3. Non-Home Rule Municipal Retailers'
Occupation Tax Act. The corporate authorities of a non-home
rule municipality may impose a tax upon all persons engaged in
the business of selling tangible personal property, other than
on an item of tangible personal property which is titled and
registered by an agency of this State's Government, at retail
in the municipality for expenditure on public infrastructure or
for property tax relief or both as defined in Section 8-11-1.2
if approved by referendum as provided in Section 8-11-1.1, of
the gross receipts from such sales made in the course of such
business. If the tax is approved by referendum on or after July
14, 2010 (the effective date of Public Act 96-1057), the
corporate authorities of a non-home rule municipality may,
until December 31, 2020, use the proceeds of the tax for
expenditure on municipal operations, in addition to or in lieu
of any expenditure on public infrastructure or for property tax
relief. The tax imposed may not be more than 1% and may be
imposed only in 1/4% increments. The tax may not be imposed on
the sale of food for human consumption that is to be consumed
off the premises where it is sold (other than alcoholic
beverages, soft drinks, and food that has been prepared for
immediate consumption) and prescription and nonprescription
medicines, drugs, medical appliances, and insulin, urine
testing materials, syringes, and needles used by diabetics. The
tax imposed by a municipality pursuant to this Section and all
civil penalties that may be assessed as an incident thereof
shall be collected and enforced by the State Department of
Revenue. The certificate of registration which is issued by the
Department to a retailer under the Retailers' Occupation Tax
Act shall permit such retailer to engage in a business which is
taxable under any ordinance or resolution enacted pursuant to
this Section without registering separately with the
Department under such ordinance or resolution or under this
Section. The Department shall have full power to administer and
enforce this Section; to collect all taxes and penalties due
hereunder; to dispose of taxes and penalties so collected in
the manner hereinafter provided, and to determine all rights to
credit memoranda, arising on account of the erroneous payment
of tax or penalty hereunder. In the administration of, and
compliance with, this Section, the Department and persons who
are subject to this Section shall have the same rights,
remedies, privileges, immunities, powers and duties, and be
subject to the same conditions, restrictions, limitations,
penalties and definitions of terms, and employ the same modes
of procedure, as are prescribed in Sections 1, 1a, 1a-1, 1d,
1e, 1f, 1i, 1j, 2 through 2-65 (in respect to all provisions
therein other than the State rate of tax), 2c, 3 (except as to
the disposition of taxes and penalties collected), 4, 5, 5a,
5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 6d,
7, 8, 9, 10, 11, 12 and 13 of the Retailers' Occupation Tax Act
and Section 3-7 of the Uniform Penalty and Interest Act as
fully as if those provisions were set forth herein.
    No municipality may impose a tax under this Section unless
the municipality also imposes a tax at the same rate under
Section 8-11-1.4 of this Code.
    Persons subject to any tax imposed pursuant to the
authority granted in this Section may reimburse themselves for
their seller's tax liability hereunder by separately stating
such tax as an additional charge, which charge may be stated in
combination, in a single amount, with State tax which sellers
are required to collect under the Use Tax Act, pursuant to such
bracket schedules as the Department may prescribe.
    Whenever the Department determines that a refund should be
made under this Section to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the order to be drawn for the
amount specified, and to the person named, in such notification
from the Department. Such refund shall be paid by the State
Treasurer out of the non-home rule municipal retailers'
occupation tax fund.
    The Department shall forthwith pay over to the State
Treasurer, ex officio, as trustee, all taxes and penalties
collected hereunder.
    As soon as possible after the first day of each month,
beginning January 1, 2011, upon certification of the Department
of Revenue, the Comptroller shall order transferred, and the
Treasurer shall transfer, to the STAR Bonds Revenue Fund the
local sales tax increment, as defined in the Innovation
Development and Economy Act, collected under this Section
during the second preceding calendar month for sales within a
STAR bond district.
    After the monthly transfer to the STAR Bonds Revenue Fund,
on or before the 25th day of each calendar month, the
Department shall prepare and certify to the Comptroller the
disbursement of stated sums of money to named municipalities,
the municipalities to be those from which retailers have paid
taxes or penalties hereunder to the Department during the
second preceding calendar month. The amount to be paid to each
municipality shall be the amount (not including credit
memoranda) collected hereunder during the second preceding
calendar month by the Department plus an amount the Department
determines is necessary to offset any amounts which were
erroneously paid to a different taxing body, and not including
an amount equal to the amount of refunds made during the second
preceding calendar month by the Department on behalf of such
municipality, and not including any amount which the Department
determines is necessary to offset any amounts which were
payable to a different taxing body but were erroneously paid to
the municipality, and not including any amounts that are
transferred to the STAR Bonds Revenue Fund, less 1.5% 2% of the
remainder, which the Department shall transfer into the Tax
Compliance and Administration Fund. The Department, at the time
of each monthly disbursement to the municipalities, shall
prepare and certify to the State Comptroller the amount to be
transferred into the Tax Compliance and Administration Fund
under this Section. Within 10 days after receipt, by the
Comptroller, of the disbursement certification to the
municipalities and the Tax Compliance and Administration Fund
provided for in this Section to be given to the Comptroller by
the Department, the Comptroller shall cause the orders to be
drawn for the respective amounts in accordance with the
directions contained in such certification.
    For the purpose of determining the local governmental unit
whose tax is applicable, a retail sale, by a producer of coal
or other mineral mined in Illinois, is a sale at retail at the
place where the coal or other mineral mined in Illinois is
extracted from the earth. This paragraph does not apply to coal
or other mineral when it is delivered or shipped by the seller
to the purchaser at a point outside Illinois so that the sale
is exempt under the Federal Constitution as a sale in
interstate or foreign commerce.
    Nothing in this Section shall be construed to authorize a
municipality to impose a tax upon the privilege of engaging in
any business which under the constitution of the United States
may not be made the subject of taxation by this State.
    When certifying the amount of a monthly disbursement to a
municipality under this Section, the Department shall increase
or decrease such amount by an amount necessary to offset any
misallocation of previous disbursements. The offset amount
shall be the amount erroneously disbursed within the previous 6
months from the time a misallocation is discovered.
    The Department of Revenue shall implement this amendatory
Act of the 91st General Assembly so as to collect the tax on
and after January 1, 2002.
    As used in this Section, "municipal" and "municipality"
means a city, village or incorporated town, including an
incorporated town which has superseded a civil township.
    This Section shall be known and may be cited as the
"Non-Home Rule Municipal Retailers' Occupation Tax Act".
(Source: P.A. 99-217, eff. 7-31-15; 100-23, eff. 7-6-17.)
 
    (65 ILCS 5/8-11-1.4)  (from Ch. 24, par. 8-11-1.4)
    Sec. 8-11-1.4. Non-Home Rule Municipal Service Occupation
Tax Act. The corporate authorities of a non-home rule
municipality may impose a tax upon all persons engaged, in such
municipality, in the business of making sales of service for
expenditure on public infrastructure or for property tax relief
or both as defined in Section 8-11-1.2 if approved by
referendum as provided in Section 8-11-1.1, of the selling
price of all tangible personal property transferred by such
servicemen either in the form of tangible personal property or
in the form of real estate as an incident to a sale of service.
If the tax is approved by referendum on or after July 14, 2010
(the effective date of Public Act 96-1057), the corporate
authorities of a non-home rule municipality may, until December
31, 2020, use the proceeds of the tax for expenditure on
municipal operations, in addition to or in lieu of any
expenditure on public infrastructure or for property tax
relief. The tax imposed may not be more than 1% and may be
imposed only in 1/4% increments. The tax may not be imposed on
the sale of food for human consumption that is to be consumed
off the premises where it is sold (other than alcoholic
beverages, soft drinks, and food that has been prepared for
immediate consumption) and prescription and nonprescription
medicines, drugs, medical appliances, and insulin, urine
testing materials, syringes, and needles used by diabetics. The
tax imposed by a municipality pursuant to this Section and all
civil penalties that may be assessed as an incident thereof
shall be collected and enforced by the State Department of
Revenue. The certificate of registration which is issued by the
Department to a retailer under the Retailers' Occupation Tax
Act or under the Service Occupation Tax Act shall permit such
registrant to engage in a business which is taxable under any
ordinance or resolution enacted pursuant to this Section
without registering separately with the Department under such
ordinance or resolution or under this Section. The Department
shall have full power to administer and enforce this Section;
to collect all taxes and penalties due hereunder; to dispose of
taxes and penalties so collected in the manner hereinafter
provided, and to determine all rights to credit memoranda
arising on account of the erroneous payment of tax or penalty
hereunder. In the administration of, and compliance with, this
Section the Department and persons who are subject to this
Section shall have the same rights, remedies, privileges,
immunities, powers and duties, and be subject to the same
conditions, restrictions, limitations, penalties and
definitions of terms, and employ the same modes of procedure,
as are prescribed in Sections 1a-1, 2, 2a, 3 through 3-50 (in
respect to all provisions therein other than the State rate of
tax), 4 (except that the reference to the State shall be to the
taxing municipality), 5, 7, 8 (except that the jurisdiction to
which the tax shall be a debt to the extent indicated in that
Section 8 shall be the taxing municipality), 9 (except as to
the disposition of taxes and penalties collected, and except
that the returned merchandise credit for this municipal tax may
not be taken against any State tax), 10, 11, 12 (except the
reference therein to Section 2b of the Retailers' Occupation
Tax Act), 13 (except that any reference to the State shall mean
the taxing municipality), the first paragraph of Section 15,
16, 17, 18, 19 and 20 of the Service Occupation Tax Act and
Section 3-7 of the Uniform Penalty and Interest Act, as fully
as if those provisions were set forth herein.
    No municipality may impose a tax under this Section unless
the municipality also imposes a tax at the same rate under
Section 8-11-1.3 of this Code.
    Persons subject to any tax imposed pursuant to the
authority granted in this Section may reimburse themselves for
their serviceman's tax liability hereunder by separately
stating such tax as an additional charge, which charge may be
stated in combination, in a single amount, with State tax which
servicemen are authorized to collect under the Service Use Tax
Act, pursuant to such bracket schedules as the Department may
prescribe.
    Whenever the Department determines that a refund should be
made under this Section to a claimant instead of issuing credit
memorandum, the Department shall notify the State Comptroller,
who shall cause the order to be drawn for the amount specified,
and to the person named, in such notification from the
Department. Such refund shall be paid by the State Treasurer
out of the municipal retailers' occupation tax fund.
    The Department shall forthwith pay over to the State
Treasurer, ex officio, as trustee, all taxes and penalties
collected hereunder.
    As soon as possible after the first day of each month,
beginning January 1, 2011, upon certification of the Department
of Revenue, the Comptroller shall order transferred, and the
Treasurer shall transfer, to the STAR Bonds Revenue Fund the
local sales tax increment, as defined in the Innovation
Development and Economy Act, collected under this Section
during the second preceding calendar month for sales within a
STAR bond district.
    After the monthly transfer to the STAR Bonds Revenue Fund,
on or before the 25th day of each calendar month, the
Department shall prepare and certify to the Comptroller the
disbursement of stated sums of money to named municipalities,
the municipalities to be those from which suppliers and
servicemen have paid taxes or penalties hereunder to the
Department during the second preceding calendar month. The
amount to be paid to each municipality shall be the amount (not
including credit memoranda) collected hereunder during the
second preceding calendar month by the Department, and not
including an amount equal to the amount of refunds made during
the second preceding calendar month by the Department on behalf
of such municipality, and not including any amounts that are
transferred to the STAR Bonds Revenue Fund, less 1.5% 2% of the
remainder, which the Department shall transfer into the Tax
Compliance and Administration Fund. The Department, at the time
of each monthly disbursement to the municipalities, shall
prepare and certify to the State Comptroller the amount to be
transferred into the Tax Compliance and Administration Fund
under this Section. Within 10 days after receipt, by the
Comptroller, of the disbursement certification to the
municipalities, the General Revenue Fund, and the Tax
Compliance and Administration Fund provided for in this Section
to be given to the Comptroller by the Department, the
Comptroller shall cause the orders to be drawn for the
respective amounts in accordance with the directions contained
in such certification.
    The Department of Revenue shall implement this amendatory
Act of the 91st General Assembly so as to collect the tax on
and after January 1, 2002.
    Nothing in this Section shall be construed to authorize a
municipality to impose a tax upon the privilege of engaging in
any business which under the constitution of the United States
may not be made the subject of taxation by this State.
    As used in this Section, "municipal" or "municipality"
means or refers to a city, village or incorporated town,
including an incorporated town which has superseded a civil
township.
    This Section shall be known and may be cited as the
"Non-Home Rule Municipal Service Occupation Tax Act".
(Source: P.A. 100-23, eff. 7-6-17.)
 
    (65 ILCS 5/8-11-1.6)
    Sec. 8-11-1.6. Non-home rule municipal retailers
occupation tax; municipalities between 20,000 and 25,000. The
corporate authorities of a non-home rule municipality with a
population of more than 20,000 but less than 25,000 that has,
prior to January 1, 1987, established a Redevelopment Project
Area that has been certified as a State Sales Tax Boundary and
has issued bonds or otherwise incurred indebtedness to pay for
costs in excess of $5,000,000, which is secured in part by a
tax increment allocation fund, in accordance with the
provisions of Division 11-74.4 of this Code may, by passage of
an ordinance, impose a tax upon all persons engaged in the
business of selling tangible personal property, other than on
an item of tangible personal property that is titled and
registered by an agency of this State's Government, at retail
in the municipality. This tax may not be imposed on the sales
of food for human consumption that is to be consumed off the
premises where it is sold (other than alcoholic beverages, soft
drinks, and food that has been prepared for immediate
consumption) and prescription and nonprescription medicines,
drugs, medical appliances and insulin, urine testing
materials, syringes, and needles used by diabetics. If imposed,
the tax shall only be imposed in .25% increments of the gross
receipts from such sales made in the course of business. Any
tax imposed by a municipality under this Section and all civil
penalties that may be assessed as an incident thereof shall be
collected and enforced by the State Department of Revenue. An
ordinance imposing a tax hereunder or effecting a change in the
rate thereof shall be adopted and a certified copy thereof
filed with the Department on or before the first day of
October, whereupon the Department shall proceed to administer
and enforce this Section as of the first day of January next
following such adoption and filing. The certificate of
registration that is issued by the Department to a retailer
under the Retailers' Occupation Tax Act shall permit the
retailer to engage in a business that is taxable under any
ordinance or resolution enacted under this Section without
registering separately with the Department under the ordinance
or resolution or under this Section. The Department shall have
full power to administer and enforce this Section, to collect
all taxes and penalties due hereunder, to dispose of taxes and
penalties so collected in the manner hereinafter provided, and
to determine all rights to credit memoranda, arising on account
of the erroneous payment of tax or penalty hereunder. In the
administration of, and compliance with this Section, the
Department and persons who are subject to this Section shall
have the same rights, remedies, privileges, immunities,
powers, and duties, and be subject to the same conditions,
restrictions, limitations, penalties, and definitions of
terms, and employ the same modes of procedure, as are
prescribed in Sections 1, 1a, 1a-1, 1d, 1e, 1f, 1i, 1j, 2
through 2-65 (in respect to all provisions therein other than
the State rate of tax), 2c, 3 (except as to the disposition of
taxes and penalties collected), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f,
5g, 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 6d, 7, 8, 9, 10, 11, 12
and 13 of the Retailers' Occupation Tax Act and Section 3-7 of
the Uniform Penalty and Interest Act as fully as if those
provisions were set forth herein.
    A tax may not be imposed by a municipality under this
Section unless the municipality also imposes a tax at the same
rate under Section 8-11-1.7 of this Act.
    Persons subject to any tax imposed under the authority
granted in this Section, may reimburse themselves for their
seller's tax liability hereunder by separately stating the tax
as an additional charge, which charge may be stated in
combination, in a single amount, with State tax which sellers
are required to collect under the Use Tax Act, pursuant to such
bracket schedules as the Department may prescribe.
    Whenever the Department determines that a refund should be
made under this Section to a claimant, instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the order to be drawn for the
amount specified, and to the person named in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the Non-Home Rule Municipal Retailers'
Occupation Tax Fund, which is hereby created.
    The Department shall forthwith pay over to the State
Treasurer, ex officio, as trustee, all taxes and penalties
collected hereunder.
    As soon as possible after the first day of each month,
beginning January 1, 2011, upon certification of the Department
of Revenue, the Comptroller shall order transferred, and the
Treasurer shall transfer, to the STAR Bonds Revenue Fund the
local sales tax increment, as defined in the Innovation
Development and Economy Act, collected under this Section
during the second preceding calendar month for sales within a
STAR bond district.
    After the monthly transfer to the STAR Bonds Revenue Fund,
on or before the 25th day of each calendar month, the
Department shall prepare and certify to the Comptroller the
disbursement of stated sums of money to named municipalities,
the municipalities to be those from which retailers have paid
taxes or penalties hereunder to the Department during the
second preceding calendar month. The amount to be paid to each
municipality shall be the amount (not including credit
memoranda) collected hereunder during the second preceding
calendar month by the Department plus an amount the Department
determines is necessary to offset any amounts that were
erroneously paid to a different taxing body, and not including
an amount equal to the amount of refunds made during the second
preceding calendar month by the Department on behalf of the
municipality, and not including any amount that the Department
determines is necessary to offset any amounts that were payable
to a different taxing body but were erroneously paid to the
municipality, and not including any amounts that are
transferred to the STAR Bonds Revenue Fund, less 1.5% 2% of the
remainder, which the Department shall transfer into the Tax
Compliance and Administration Fund. The Department, at the time
of each monthly disbursement to the municipalities, shall
prepare and certify to the State Comptroller the amount to be
transferred into the Tax Compliance and Administration Fund
under this Section. Within 10 days after receipt by the
Comptroller of the disbursement certification to the
municipalities and the Tax Compliance and Administration Fund
provided for in this Section to be given to the Comptroller by
the Department, the Comptroller shall cause the orders to be
drawn for the respective amounts in accordance with the
directions contained in the certification.
    For the purpose of determining the local governmental unit
whose tax is applicable, a retail sale by a producer of coal or
other mineral mined in Illinois is a sale at retail at the
place where the coal or other mineral mined in Illinois is
extracted from the earth. This paragraph does not apply to coal
or other mineral when it is delivered or shipped by the seller
to the purchaser at a point outside Illinois so that the sale
is exempt under the federal Constitution as a sale in
interstate or foreign commerce.
    Nothing in this Section shall be construed to authorize a
municipality to impose a tax upon the privilege of engaging in
any business which under the constitution of the United States
may not be made the subject of taxation by this State.
    When certifying the amount of a monthly disbursement to a
municipality under this Section, the Department shall increase
or decrease the amount by an amount necessary to offset any
misallocation of previous disbursements. The offset amount
shall be the amount erroneously disbursed within the previous 6
months from the time a misallocation is discovered.
    As used in this Section, "municipal" and "municipality"
means a city, village, or incorporated town, including an
incorporated town that has superseded a civil township.
(Source: P.A. 99-217, eff. 7-31-15; 99-642, eff. 7-28-16;
100-23, eff. 7-6-17; revised 10-3-17.)
 
    (65 ILCS 5/8-11-1.7)
    Sec. 8-11-1.7. Non-home rule municipal service occupation
tax; municipalities between 20,000 and 25,000. The corporate
authorities of a non-home rule municipality with a population
of more than 20,000 but less than 25,000 as determined by the
last preceding decennial census that has, prior to January 1,
1987, established a Redevelopment Project Area that has been
certified as a State Sales Tax Boundary and has issued bonds or
otherwise incurred indebtedness to pay for costs in excess of
$5,000,000, which is secured in part by a tax increment
allocation fund, in accordance with the provisions of Division
11-74.4 of this Code may, by passage of an ordinance, impose a
tax upon all persons engaged in the municipality in the
business of making sales of service. If imposed, the tax shall
only be imposed in .25% increments of the selling price of all
tangible personal property transferred by such servicemen
either in the form of tangible personal property or in the form
of real estate as an incident to a sale of service. This tax
may not be imposed on the sales of food for human consumption
that is to be consumed off the premises where it is sold (other
than alcoholic beverages, soft drinks, and food that has been
prepared for immediate consumption) and prescription and
nonprescription medicines, drugs, medical appliances and
insulin, urine testing materials, syringes, and needles used by
diabetics. The tax imposed by a municipality under this Section
Sec. and all civil penalties that may be assessed as an
incident thereof shall be collected and enforced by the State
Department of Revenue. An ordinance imposing a tax hereunder or
effecting a change in the rate thereof shall be adopted and a
certified copy thereof filed with the Department on or before
the first day of October, whereupon the Department shall
proceed to administer and enforce this Section as of the first
day of January next following such adoption and filing. The
certificate of registration that is issued by the Department to
a retailer under the Retailers' Occupation Tax Act or under the
Service Occupation Tax Act shall permit the registrant to
engage in a business that is taxable under any ordinance or
resolution enacted under this Section without registering
separately with the Department under the ordinance or
resolution or under this Section. The Department shall have
full power to administer and enforce this Section, to collect
all taxes and penalties due hereunder, to dispose of taxes and
penalties so collected in a manner hereinafter provided, and to
determine all rights to credit memoranda arising on account of
the erroneous payment of tax or penalty hereunder. In the
administration of and compliance with this Section, the
Department and persons who are subject to this Section shall
have the same rights, remedies, privileges, immunities,
powers, and duties, and be subject to the same conditions,
restrictions, limitations, penalties and definitions of terms,
and employ the same modes of procedure, as are prescribed in
Sections 1a-1, 2, 2a, 3 through 3-50 (in respect to all
provisions therein other than the State rate of tax), 4 (except
that the reference to the State shall be to the taxing
municipality), 5, 7, 8 (except that the jurisdiction to which
the tax shall be a debt to the extent indicated in that Section
8 shall be the taxing municipality), 9 (except as to the
disposition of taxes and penalties collected, and except that
the returned merchandise credit for this municipal tax may not
be taken against any State tax), 10, 11, 12, (except the
reference therein to Section 2b of the Retailers' Occupation
Tax Act), 13 (except that any reference to the State shall mean
the taxing municipality), the first paragraph of Sections 15,
16, 17, 18, 19, and 20 of the Service Occupation Tax Act and
Section 3-7 of the Uniform Penalty and Interest Act, as fully
as if those provisions were set forth herein.
    A tax may not be imposed by a municipality under this
Section unless the municipality also imposes a tax at the same
rate under Section 8-11-1.6 of this Act.
    Person subject to any tax imposed under the authority
granted in this Section may reimburse themselves for their
servicemen's tax liability hereunder by separately stating the
tax as an additional charge, which charge may be stated in
combination, in a single amount, with State tax that servicemen
are authorized to collect under the Service Use Tax Act, under
such bracket schedules as the Department may prescribe.
    Whenever the Department determines that a refund should be
made under this Section to a claimant instead of issuing credit
memorandum, the Department shall notify the State Comptroller,
who shall cause the order to be drawn for the amount specified,
and to the person named, in such notification from the
Department. The refund shall be paid by the State Treasurer out
of the Non-Home Rule Municipal Retailers' Occupation Tax Fund.
    The Department shall forthwith pay over to the State
Treasurer, ex officio, as trustee, all taxes and penalties
collected hereunder.
    As soon as possible after the first day of each month,
beginning January 1, 2011, upon certification of the Department
of Revenue, the Comptroller shall order transferred, and the
Treasurer shall transfer, to the STAR Bonds Revenue Fund the
local sales tax increment, as defined in the Innovation
Development and Economy Act, collected under this Section
during the second preceding calendar month for sales within a
STAR bond district.
    After the monthly transfer to the STAR Bonds Revenue Fund,
on or before the 25th day of each calendar month, the
Department shall prepare and certify to the Comptroller the
disbursement of stated sums of money to named municipalities,
the municipalities to be those from which suppliers and
servicemen have paid taxes or penalties hereunder to the
Department during the second preceding calendar month. The
amount to be paid to each municipality shall be the amount (not
including credit memoranda) collected hereunder during the
second preceding calendar month by the Department, and not
including an amount equal to the amount of refunds made during
the second preceding calendar month by the Department on behalf
of such municipality, and not including any amounts that are
transferred to the STAR Bonds Revenue Fund, less 1.5% 2% of the
remainder, which the Department shall transfer into the Tax
Compliance and Administration Fund. The Department, at the time
of each monthly disbursement to the municipalities, shall
prepare and certify to the State Comptroller the amount to be
transferred into the Tax Compliance and Administration Fund
under this Section. Within 10 days after receipt by the
Comptroller of the disbursement certification to the
municipalities, the Tax Compliance and Administration Fund,
and the General Revenue Fund, provided for in this Section to
be given to the Comptroller by the Department, the Comptroller
shall cause the orders to be drawn for the respective amounts
in accordance with the directions contained in the
certification.
    When certifying the amount of a monthly disbursement to a
municipality under this Section, the Department shall increase
or decrease the amount by an amount necessary to offset any
misallocation of previous disbursements. The offset amount
shall be the amount erroneously disbursed within the previous 6
months from the time a misallocation is discovered.
    Nothing in this Section shall be construed to authorize a
municipality to impose a tax upon the privilege of engaging in
any business which under the constitution of the United States
may not be made the subject of taxation by this State.
(Source: P.A. 100-23, eff. 7-6-17; revised 10-3-17.)
 
    (65 ILCS 5/8-11-5)  (from Ch. 24, par. 8-11-5)
    Sec. 8-11-5. Home Rule Municipal Service Occupation Tax
Act. The corporate authorities of a home rule municipality may
impose a tax upon all persons engaged, in such municipality, in
the business of making sales of service at the same rate of tax
imposed pursuant to Section 8-11-1, of the selling price of all
tangible personal property transferred by such servicemen
either in the form of tangible personal property or in the form
of real estate as an incident to a sale of service. If imposed,
such tax shall only be imposed in 1/4% increments. On and after
September 1, 1991, this additional tax may not be imposed on
the sales of food for human consumption which is to be consumed
off the premises where it is sold (other than alcoholic
beverages, soft drinks and food which has been prepared for
immediate consumption) and prescription and nonprescription
medicines, drugs, medical appliances and insulin, urine
testing materials, syringes and needles used by diabetics. The
tax imposed by a home rule municipality pursuant to this
Section and all civil penalties that may be assessed as an
incident thereof shall be collected and enforced by the State
Department of Revenue. The certificate of registration which is
issued by the Department to a retailer under the Retailers'
Occupation Tax Act or under the Service Occupation Tax Act
shall permit such registrant to engage in a business which is
taxable under any ordinance or resolution enacted pursuant to
this Section without registering separately with the
Department under such ordinance or resolution or under this
Section. The Department shall have full power to administer and
enforce this Section; to collect all taxes and penalties due
hereunder; to dispose of taxes and penalties so collected in
the manner hereinafter provided, and to determine all rights to
credit memoranda arising on account of the erroneous payment of
tax or penalty hereunder. In the administration of, and
compliance with, this Section the Department and persons who
are subject to this Section shall have the same rights,
remedies, privileges, immunities, powers and duties, and be
subject to the same conditions, restrictions, limitations,
penalties and definitions of terms, and employ the same modes
of procedure, as are prescribed in Sections 1a-1, 2, 2a, 3
through 3-50 (in respect to all provisions therein other than
the State rate of tax), 4 (except that the reference to the
State shall be to the taxing municipality), 5, 7, 8 (except
that the jurisdiction to which the tax shall be a debt to the
extent indicated in that Section 8 shall be the taxing
municipality), 9 (except as to the disposition of taxes and
penalties collected, and except that the returned merchandise
credit for this municipal tax may not be taken against any
State tax), 10, 11, 12 (except the reference therein to Section
2b of the Retailers' Occupation Tax Act), 13 (except that any
reference to the State shall mean the taxing municipality), the
first paragraph of Section 15, 16, 17 (except that credit
memoranda issued hereunder may not be used to discharge any
State tax liability), 18, 19 and 20 of the Service Occupation
Tax Act and Section 3-7 of the Uniform Penalty and Interest
Act, as fully as if those provisions were set forth herein.
    No tax may be imposed by a home rule municipality pursuant
to this Section unless such municipality also imposes a tax at
the same rate pursuant to Section 8-11-1 of this Act.
    Persons subject to any tax imposed pursuant to the
authority granted in this Section may reimburse themselves for
their serviceman's tax liability hereunder by separately
stating such tax as an additional charge, which charge may be
stated in combination, in a single amount, with State tax which
servicemen are authorized to collect under the Service Use Tax
Act, pursuant to such bracket schedules as the Department may
prescribe.
    Whenever the Department determines that a refund should be
made under this Section to a claimant instead of issuing credit
memorandum, the Department shall notify the State Comptroller,
who shall cause the order to be drawn for the amount specified,
and to the person named, in such notification from the
Department. Such refund shall be paid by the State Treasurer
out of the home rule municipal retailers' occupation tax fund.
    The Department shall forthwith pay over to the State
Treasurer, ex-officio, as trustee, all taxes and penalties
collected hereunder.
    As soon as possible after the first day of each month,
beginning January 1, 2011, upon certification of the Department
of Revenue, the Comptroller shall order transferred, and the
Treasurer shall transfer, to the STAR Bonds Revenue Fund the
local sales tax increment, as defined in the Innovation
Development and Economy Act, collected under this Section
during the second preceding calendar month for sales within a
STAR bond district.
    After the monthly transfer to the STAR Bonds Revenue Fund,
on or before the 25th day of each calendar month, the
Department shall prepare and certify to the Comptroller the
disbursement of stated sums of money to named municipalities,
the municipalities to be those from which suppliers and
servicemen have paid taxes or penalties hereunder to the
Department during the second preceding calendar month. The
amount to be paid to each municipality shall be the amount (not
including credit memoranda) collected hereunder during the
second preceding calendar month by the Department, and not
including an amount equal to the amount of refunds made during
the second preceding calendar month by the Department on behalf
of such municipality, and not including any amounts that are
transferred to the STAR Bonds Revenue Fund, less 1.5% 2% of the
remainder, which the Department shall transfer into the Tax
Compliance and Administration Fund. The Department, at the time
of each monthly disbursement to the municipalities, shall
prepare and certify to the State Comptroller the amount to be
transferred into the Tax Compliance and Administration Fund
under this Section. Within 10 days after receipt, by the
Comptroller, of the disbursement certification to the
municipalities and the Tax Compliance and Administration Fund
provided for in this Section to be given to the Comptroller by
the Department, the Comptroller shall cause the orders to be
drawn for the respective amounts in accordance with the
directions contained in such certification.
    In addition to the disbursement required by the preceding
paragraph and in order to mitigate delays caused by
distribution procedures, an allocation shall, if requested, be
made within 10 days after January 14, 1991, and in November of
1991 and each year thereafter, to each municipality that
received more than $500,000 during the preceding fiscal year,
(July 1 through June 30) whether collected by the municipality
or disbursed by the Department as required by this Section.
Within 10 days after January 14, 1991, participating
municipalities shall notify the Department in writing of their
intent to participate. In addition, for the initial
distribution, participating municipalities shall certify to
the Department the amounts collected by the municipality for
each month under its home rule occupation and service
occupation tax during the period July 1, 1989 through June 30,
1990. The allocation within 10 days after January 14, 1991,
shall be in an amount equal to the monthly average of these
amounts, excluding the 2 months of highest receipts. Monthly
average for the period of July 1, 1990 through June 30, 1991
will be determined as follows: the amounts collected by the
municipality under its home rule occupation and service
occupation tax during the period of July 1, 1990 through
September 30, 1990, plus amounts collected by the Department
and paid to such municipality through June 30, 1991, excluding
the 2 months of highest receipts. The monthly average for each
subsequent period of July 1 through June 30 shall be an amount
equal to the monthly distribution made to each such
municipality under the preceding paragraph during this period,
excluding the 2 months of highest receipts. The distribution
made in November 1991 and each year thereafter under this
paragraph and the preceding paragraph shall be reduced by the
amount allocated and disbursed under this paragraph in the
preceding period of July 1 through June 30. The Department
shall prepare and certify to the Comptroller for disbursement
the allocations made in accordance with this paragraph.
    Nothing in this Section shall be construed to authorize a
municipality to impose a tax upon the privilege of engaging in
any business which under the constitution of the United States
may not be made the subject of taxation by this State.
    An ordinance or resolution imposing or discontinuing a tax
hereunder or effecting a change in the rate thereof shall be
adopted and a certified copy thereof filed with the Department
on or before the first day of June, whereupon the Department
shall proceed to administer and enforce this Section as of the
first day of September next following such adoption and filing.
Beginning January 1, 1992, an ordinance or resolution imposing
or discontinuing the tax hereunder or effecting a change in the
rate thereof shall be adopted and a certified copy thereof
filed with the Department on or before the first day of July,
whereupon the Department shall proceed to administer and
enforce this Section as of the first day of October next
following such adoption and filing. Beginning January 1, 1993,
an ordinance or resolution imposing or discontinuing the tax
hereunder or effecting a change in the rate thereof shall be
adopted and a certified copy thereof filed with the Department
on or before the first day of October, whereupon the Department
shall proceed to administer and enforce this Section as of the
first day of January next following such adoption and filing.
However, a municipality located in a county with a population
in excess of 3,000,000 that elected to become a home rule unit
at the general primary election in 1994 may adopt an ordinance
or resolution imposing the tax under this Section and file a
certified copy of the ordinance or resolution with the
Department on or before July 1, 1994. The Department shall then
proceed to administer and enforce this Section as of October 1,
1994. Beginning April 1, 1998, an ordinance or resolution
imposing or discontinuing the tax hereunder or effecting a
change in the rate thereof shall either (i) be adopted and a
certified copy thereof filed with the Department on or before
the first day of April, whereupon the Department shall proceed
to administer and enforce this Section as of the first day of
July next following the adoption and filing; or (ii) be adopted
and a certified copy thereof filed with the Department on or
before the first day of October, whereupon the Department shall
proceed to administer and enforce this Section as of the first
day of January next following the adoption and filing.
    Any unobligated balance remaining in the Municipal
Retailers' Occupation Tax Fund on December 31, 1989, which fund
was abolished by Public Act 85-1135, and all receipts of
municipal tax as a result of audits of liability periods prior
to January 1, 1990, shall be paid into the Local Government Tax
Fund, for distribution as provided by this Section prior to the
enactment of Public Act 85-1135. All receipts of municipal tax
as a result of an assessment not arising from an audit, for
liability periods prior to January 1, 1990, shall be paid into
the Local Government Tax Fund for distribution before July 1,
1990, as provided by this Section prior to the enactment of
Public Act 85-1135, and on and after July 1, 1990, all such
receipts shall be distributed as provided in Section 6z-18 of
the State Finance Act.
    As used in this Section, "municipal" and "municipality"
means a city, village or incorporated town, including an
incorporated town which has superseded a civil township.
    This Section shall be known and may be cited as the Home
Rule Municipal Service Occupation Tax Act.
(Source: P.A. 100-23, eff. 7-6-17.)
 
    Section 20-20. The Metropolitan Pier and Exposition
Authority Act is amended by changing Section 13 as follows:
 
    (70 ILCS 210/13)  (from Ch. 85, par. 1233)
    Sec. 13. (a) The Authority shall not have power to levy
taxes for any purpose, except as provided in subsections (b),
(c), (d), (e), and (f).
    (b) By ordinance the Authority shall, as soon as
practicable after July 1, 1992 (the effective date of Public
Act 87-733) this amendatory Act of 1991, impose a Metropolitan
Pier and Exposition Authority Retailers' Occupation Tax upon
all persons engaged in the business of selling tangible
personal property at retail within the territory described in
this subsection at the rate of 1.0% of the gross receipts (i)
from the sale of food, alcoholic beverages, and soft drinks
sold for consumption on the premises where sold and (ii) from
the sale of food, alcoholic beverages, and soft drinks sold for
consumption off the premises where sold by a retailer whose
principal source of gross receipts is from the sale of food,
alcoholic beverages, and soft drinks prepared for immediate
consumption.
    The tax imposed under this subsection and all civil
penalties that may be assessed as an incident to that tax shall
be collected and enforced by the Illinois Department of
Revenue. The Department shall have full power to administer and
enforce this subsection, to collect all taxes and penalties so
collected in the manner provided in this subsection, and to
determine all rights to credit memoranda arising on account of
the erroneous payment of tax or penalty under this subsection.
In the administration of and compliance with this subsection,
the Department and persons who are subject to this subsection
shall have the same rights, remedies, privileges, immunities,
powers, and duties, shall be subject to the same conditions,
restrictions, limitations, penalties, exclusions, exemptions,
and definitions of terms, and shall employ the same modes of
procedure applicable to this Retailers' Occupation Tax as are
prescribed in Sections 1, 2 through 2-65 (in respect to all
provisions of those Sections other than the State rate of
taxes), 2c, 2h, 2i, 3 (except as to the disposition of taxes
and penalties collected), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5i,
5j, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 12, 13, and, until January
1, 1994, 13.5 of the Retailers' Occupation Tax Act, and, on and
after January 1, 1994, all applicable provisions of the Uniform
Penalty and Interest Act that are not inconsistent with this
Act, as fully as if provisions contained in those Sections of
the Retailers' Occupation Tax Act were set forth in this
subsection.
    Persons subject to any tax imposed under the authority
granted in this subsection may reimburse themselves for their
seller's tax liability under this subsection by separately
stating that tax as an additional charge, which charge may be
stated in combination, in a single amount, with State taxes
that sellers are required to collect under the Use Tax Act,
pursuant to bracket schedules as the Department may prescribe.
The retailer filing the return shall, at the time of filing the
return, pay to the Department the amount of tax imposed under
this subsection, less a discount of 1.75%, which is allowed to
reimburse the retailer for the expenses incurred in keeping
records, preparing and filing returns, remitting the tax, and
supplying data to the Department on request.
    Whenever the Department determines that a refund should be
made under this subsection to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause a warrant to be drawn for the
amount specified and to the person named in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the Metropolitan Pier and Exposition Authority
trust fund held by the State Treasurer as trustee for the
Authority.
    Nothing in this subsection authorizes the Authority to
impose a tax upon the privilege of engaging in any business
that under the Constitution of the United States may not be
made the subject of taxation by this State.
    The Department shall forthwith pay over to the State
Treasurer, ex officio, as trustee for the Authority, all taxes
and penalties collected under this subsection for deposit into
a trust fund held outside of the State Treasury.
    As soon as possible after the first day of each month,
beginning January 1, 2011, upon certification of the Department
of Revenue, the Comptroller shall order transferred, and the
Treasurer shall transfer, to the STAR Bonds Revenue Fund the
local sales tax increment, as defined in the Innovation
Development and Economy Act, collected under this subsection
during the second preceding calendar month for sales within a
STAR bond district.
    After the monthly transfer to the STAR Bonds Revenue Fund,
on or before the 25th day of each calendar month, the
Department shall prepare and certify to the Comptroller the
amounts to be paid under subsection (g) of this Section, which
shall be the amounts, not including credit memoranda, collected
under this subsection during the second preceding calendar
month by the Department, less any amounts determined by the
Department to be necessary for the payment of refunds, less
1.5% 2% of such balance, which sum shall be deposited by the
State Treasurer into the Tax Compliance and Administration Fund
in the State Treasury from which it shall be appropriated to
the Department to cover the costs of the Department in
administering and enforcing the provisions of this subsection,
and less any amounts that are transferred to the STAR Bonds
Revenue Fund. Within 10 days after receipt by the Comptroller
of the certification, the Comptroller shall cause the orders to
be drawn for the remaining amounts, and the Treasurer shall
administer those amounts as required in subsection (g).
    A certificate of registration issued by the Illinois
Department of Revenue to a retailer under the Retailers'
Occupation Tax Act shall permit the registrant to engage in a
business that is taxed under the tax imposed under this
subsection, and no additional registration shall be required
under the ordinance imposing the tax or under this subsection.
    A certified copy of any ordinance imposing or discontinuing
any tax under this subsection or effecting a change in the rate
of that tax shall be filed with the Department, whereupon the
Department shall proceed to administer and enforce this
subsection on behalf of the Authority as of the first day of
the third calendar month following the date of filing.
    The tax authorized to be levied under this subsection may
be levied within all or any part of the following described
portions of the metropolitan area:
        (1) that portion of the City of Chicago located within
    the following area: Beginning at the point of intersection
    of the Cook County - DuPage County line and York Road, then
    North along York Road to its intersection with Touhy
    Avenue, then east along Touhy Avenue to its intersection
    with the Northwest Tollway, then southeast along the
    Northwest Tollway to its intersection with Lee Street, then
    south along Lee Street to Higgins Road, then south and east
    along Higgins Road to its intersection with Mannheim Road,
    then south along Mannheim Road to its intersection with
    Irving Park Road, then west along Irving Park Road to its
    intersection with the Cook County - DuPage County line,
    then north and west along the county line to the point of
    beginning; and
        (2) that portion of the City of Chicago located within
    the following area: Beginning at the intersection of West
    55th Street with Central Avenue, then east along West 55th
    Street to its intersection with South Cicero Avenue, then
    south along South Cicero Avenue to its intersection with
    West 63rd Street, then west along West 63rd Street to its
    intersection with South Central Avenue, then north along
    South Central Avenue to the point of beginning; and
        (3) that portion of the City of Chicago located within
    the following area: Beginning at the point 150 feet west of
    the intersection of the west line of North Ashland Avenue
    and the north line of West Diversey Avenue, then north 150
    feet, then east along a line 150 feet north of the north
    line of West Diversey Avenue extended to the shoreline of
    Lake Michigan, then following the shoreline of Lake
    Michigan (including Navy Pier and all other improvements
    fixed to land, docks, or piers) to the point where the
    shoreline of Lake Michigan and the Adlai E. Stevenson
    Expressway extended east to that shoreline intersect, then
    west along the Adlai E. Stevenson Expressway to a point 150
    feet west of the west line of South Ashland Avenue, then
    north along a line 150 feet west of the west line of South
    and North Ashland Avenue to the point of beginning.
    The tax authorized to be levied under this subsection may
also be levied on food, alcoholic beverages, and soft drinks
sold on boats and other watercraft departing from and returning
to the shoreline of Lake Michigan (including Navy Pier and all
other improvements fixed to land, docks, or piers) described in
item (3).
    (c) By ordinance the Authority shall, as soon as
practicable after July 1, 1992 (the effective date of Public
Act 87-733) this amendatory Act of 1991, impose an occupation
tax upon all persons engaged in the corporate limits of the
City of Chicago in the business of renting, leasing, or letting
rooms in a hotel, as defined in the Hotel Operators' Occupation
Tax Act, at a rate of 2.5% of the gross rental receipts from
the renting, leasing, or letting of hotel rooms within the City
of Chicago, excluding, however, from gross rental receipts the
proceeds of renting, leasing, or letting to permanent residents
of a hotel, as defined in that Act. Gross rental receipts shall
not include charges that are added on account of the liability
arising from any tax imposed by the State or any governmental
agency on the occupation of renting, leasing, or letting rooms
in a hotel.
    The tax imposed by the Authority under this subsection and
all civil penalties that may be assessed as an incident to that
tax shall be collected and enforced by the Illinois Department
of Revenue. The certificate of registration that is issued by
the Department to a lessor under the Hotel Operators'
Occupation Tax Act shall permit that registrant to engage in a
business that is taxable under any ordinance enacted under this
subsection without registering separately with the Department
under that ordinance or under this subsection. The Department
shall have full power to administer and enforce this
subsection, to collect all taxes and penalties due under this
subsection, to dispose of taxes and penalties so collected in
the manner provided in this subsection, and to determine all
rights to credit memoranda arising on account of the erroneous
payment of tax or penalty under this subsection. In the
administration of and compliance with this subsection, the
Department and persons who are subject to this subsection shall
have the same rights, remedies, privileges, immunities,
powers, and duties, shall be subject to the same conditions,
restrictions, limitations, penalties, and definitions of
terms, and shall employ the same modes of procedure as are
prescribed in the Hotel Operators' Occupation Tax Act (except
where that Act is inconsistent with this subsection), as fully
as if the provisions contained in the Hotel Operators'
Occupation Tax Act were set out in this subsection.
    Whenever the Department determines that a refund should be
made under this subsection to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause a warrant to be drawn for the
amount specified and to the person named in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the Metropolitan Pier and Exposition Authority
trust fund held by the State Treasurer as trustee for the
Authority.
    Persons subject to any tax imposed under the authority
granted in this subsection may reimburse themselves for their
tax liability for that tax by separately stating that tax as an
additional charge, which charge may be stated in combination,
in a single amount, with State taxes imposed under the Hotel
Operators' Occupation Tax Act, the municipal tax imposed under
Section 8-3-13 of the Illinois Municipal Code, and the tax
imposed under Section 19 of the Illinois Sports Facilities
Authority Act.
    The person filing the return shall, at the time of filing
the return, pay to the Department the amount of tax, less a
discount of 2.1% or $25 per calendar year, whichever is
greater, which is allowed to reimburse the operator for the
expenses incurred in keeping records, preparing and filing
returns, remitting the tax, and supplying data to the
Department on request.
    Except as otherwise provided in this paragraph, the
Department shall forthwith pay over to the State Treasurer, ex
officio, as trustee for the Authority, all taxes and penalties
collected under this subsection for deposit into a trust fund
held outside the State Treasury. On or before the 25th day of
each calendar month, the Department shall certify to the
Comptroller the amounts to be paid under subsection (g) of this
Section, which shall be the amounts (not including credit
memoranda) collected under this subsection during the second
preceding calendar month by the Department, less any amounts
determined by the Department to be necessary for payment of
refunds, less 1.5% 2% of the remainder, which the Department
shall transfer into the Tax Compliance and Administration Fund.
The Department, at the time of each monthly disbursement to the
Authority, shall prepare and certify to the State Comptroller
the amount to be transferred into the Tax Compliance and
Administration Fund under this subsection. Within 10 days after
receipt by the Comptroller of the Department's certification,
the Comptroller shall cause the orders to be drawn for such
amounts, and the Treasurer shall administer the amounts
distributed to the Authority as required in subsection (g).
    A certified copy of any ordinance imposing or discontinuing
a tax under this subsection or effecting a change in the rate
of that tax shall be filed with the Illinois Department of
Revenue, whereupon the Department shall proceed to administer
and enforce this subsection on behalf of the Authority as of
the first day of the third calendar month following the date of
filing.
    (d) By ordinance the Authority shall, as soon as
practicable after July 1, 1992 (the effective date of Public
Act 87-733) this amendatory Act of 1991, impose a tax upon all
persons engaged in the business of renting automobiles in the
metropolitan area at the rate of 6% of the gross receipts from
that business, except that no tax shall be imposed on the
business of renting automobiles for use as taxicabs or in
livery service. The tax imposed under this subsection and all
civil penalties that may be assessed as an incident to that tax
shall be collected and enforced by the Illinois Department of
Revenue. The certificate of registration issued by the
Department to a retailer under the Retailers' Occupation Tax
Act or under the Automobile Renting Occupation and Use Tax Act
shall permit that person to engage in a business that is
taxable under any ordinance enacted under this subsection
without registering separately with the Department under that
ordinance or under this subsection. The Department shall have
full power to administer and enforce this subsection, to
collect all taxes and penalties due under this subsection, to
dispose of taxes and penalties so collected in the manner
provided in this subsection, and to determine all rights to
credit memoranda arising on account of the erroneous payment of
tax or penalty under this subsection. In the administration of
and compliance with this subsection, the Department and persons
who are subject to this subsection shall have the same rights,
remedies, privileges, immunities, powers, and duties, be
subject to the same conditions, restrictions, limitations,
penalties, and definitions of terms, and employ the same modes
of procedure as are prescribed in Sections 2 and 3 (in respect
to all provisions of those Sections other than the State rate
of tax; and in respect to the provisions of the Retailers'
Occupation Tax Act referred to in those Sections, except as to
the disposition of taxes and penalties collected, except for
the provision allowing retailers a deduction from the tax to
cover certain costs, and except that credit memoranda issued
under this subsection may not be used to discharge any State
tax liability) of the Automobile Renting Occupation and Use Tax
Act, as fully as if provisions contained in those Sections of
that Act were set forth in this subsection.
    Persons subject to any tax imposed under the authority
granted in this subsection may reimburse themselves for their
tax liability under this subsection by separately stating that
tax as an additional charge, which charge may be stated in
combination, in a single amount, with State tax that sellers
are required to collect under the Automobile Renting Occupation
and Use Tax Act, pursuant to bracket schedules as the
Department may prescribe.
    Whenever the Department determines that a refund should be
made under this subsection to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause a warrant to be drawn for the
amount specified and to the person named in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the Metropolitan Pier and Exposition Authority
trust fund held by the State Treasurer as trustee for the
Authority.
    Except as otherwise provided in this paragraph, the
Department shall forthwith pay over to the State Treasurer, ex
officio, as trustee, all taxes and penalties collected under
this subsection for deposit into a trust fund held outside the
State Treasury. On or before the 25th day of each calendar
month, the Department shall certify to the Comptroller the
amounts to be paid under subsection (g) of this Section (not
including credit memoranda) collected under this subsection
during the second preceding calendar month by the Department,
less any amount determined by the Department to be necessary
for payment of refunds, less 1.5% 2% of the remainder, which
the Department shall transfer into the Tax Compliance and
Administration Fund. The Department, at the time of each
monthly disbursement to the Authority, shall prepare and
certify to the State Comptroller the amount to be transferred
into the Tax Compliance and Administration Fund under this
subsection. Within 10 days after receipt by the Comptroller of
the Department's certification, the Comptroller shall cause
the orders to be drawn for such amounts, and the Treasurer
shall administer the amounts distributed to the Authority as
required in subsection (g).
    Nothing in this subsection authorizes the Authority to
impose a tax upon the privilege of engaging in any business
that under the Constitution of the United States may not be
made the subject of taxation by this State.
    A certified copy of any ordinance imposing or discontinuing
a tax under this subsection or effecting a change in the rate
of that tax shall be filed with the Illinois Department of
Revenue, whereupon the Department shall proceed to administer
and enforce this subsection on behalf of the Authority as of
the first day of the third calendar month following the date of
filing.
    (e) By ordinance the Authority shall, as soon as
practicable after July 1, 1992 (the effective date of Public
Act 87-733) this amendatory Act of 1991, impose a tax upon the
privilege of using in the metropolitan area an automobile that
is rented from a rentor outside Illinois and is titled or
registered with an agency of this State's government at a rate
of 6% of the rental price of that automobile, except that no
tax shall be imposed on the privilege of using automobiles
rented for use as taxicabs or in livery service. The tax shall
be collected from persons whose Illinois address for titling or
registration purposes is given as being in the metropolitan
area. The tax shall be collected by the Department of Revenue
for the Authority. The tax must be paid to the State or an
exemption determination must be obtained from the Department of
Revenue before the title or certificate of registration for the
property may be issued. The tax or proof of exemption may be
transmitted to the Department by way of the State agency with
which or State officer with whom the tangible personal property
must be titled or registered if the Department and that agency
or State officer determine that this procedure will expedite
the processing of applications for title or registration.
    The Department shall have full power to administer and
enforce this subsection, to collect all taxes, penalties, and
interest due under this subsection, to dispose of taxes,
penalties, and interest so collected in the manner provided in
this subsection, and to determine all rights to credit
memoranda or refunds arising on account of the erroneous
payment of tax, penalty, or interest under this subsection. In
the administration of and compliance with this subsection, the
Department and persons who are subject to this subsection shall
have the same rights, remedies, privileges, immunities,
powers, and duties, be subject to the same conditions,
restrictions, limitations, penalties, and definitions of
terms, and employ the same modes of procedure as are prescribed
in Sections 2 and 4 (except provisions pertaining to the State
rate of tax; and in respect to the provisions of the Use Tax
Act referred to in that Section, except provisions concerning
collection or refunding of the tax by retailers, except the
provisions of Section 19 pertaining to claims by retailers,
except the last paragraph concerning refunds, and except that
credit memoranda issued under this subsection may not be used
to discharge any State tax liability) of the Automobile Renting
Occupation and Use Tax Act, as fully as if provisions contained
in those Sections of that Act were set forth in this
subsection.
    Whenever the Department determines that a refund should be
made under this subsection to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause a warrant to be drawn for the
amount specified and to the person named in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the Metropolitan Pier and Exposition Authority
trust fund held by the State Treasurer as trustee for the
Authority.
    Except as otherwise provided in this paragraph, the
Department shall forthwith pay over to the State Treasurer, ex
officio, as trustee, all taxes, penalties, and interest
collected under this subsection for deposit into a trust fund
held outside the State Treasury. On or before the 25th day of
each calendar month, the Department shall certify to the State
Comptroller the amounts to be paid under subsection (g) of this
Section, which shall be the amounts (not including credit
memoranda) collected under this subsection during the second
preceding calendar month by the Department, less any amounts
determined by the Department to be necessary for payment of
refunds, less 1.5% 2% of the remainder, which the Department
shall transfer into the Tax Compliance and Administration Fund.
The Department, at the time of each monthly disbursement to the
Authority, shall prepare and certify to the State Comptroller
the amount to be transferred into the Tax Compliance and
Administration Fund under this subsection. Within 10 days after
receipt by the State Comptroller of the Department's
certification, the Comptroller shall cause the orders to be
drawn for such amounts, and the Treasurer shall administer the
amounts distributed to the Authority as required in subsection
(g).
    A certified copy of any ordinance imposing or discontinuing
a tax or effecting a change in the rate of that tax shall be
filed with the Illinois Department of Revenue, whereupon the
Department shall proceed to administer and enforce this
subsection on behalf of the Authority as of the first day of
the third calendar month following the date of filing.
    (f) By ordinance the Authority shall, as soon as
practicable after July 1, 1992 (the effective date of Public
Act 87-733) this amendatory Act of 1991, impose an occupation
tax on all persons, other than a governmental agency, engaged
in the business of providing ground transportation for hire to
passengers in the metropolitan area at a rate of (i) $4 per
taxi or livery vehicle departure with passengers for hire from
commercial service airports in the metropolitan area, (ii) for
each departure with passengers for hire from a commercial
service airport in the metropolitan area in a bus or van
operated by a person other than a person described in item
(iii): $18 per bus or van with a capacity of 1-12 passengers,
$36 per bus or van with a capacity of 13-24 passengers, and $54
per bus or van with a capacity of over 24 passengers, and (iii)
for each departure with passengers for hire from a commercial
service airport in the metropolitan area in a bus or van
operated by a person regulated by the Interstate Commerce
Commission or Illinois Commerce Commission, operating
scheduled service from the airport, and charging fares on a per
passenger basis: $2 per passenger for hire in each bus or van.
The term "commercial service airports" means those airports
receiving scheduled passenger service and enplaning more than
100,000 passengers per year.
    In the ordinance imposing the tax, the Authority may
provide for the administration and enforcement of the tax and
the collection of the tax from persons subject to the tax as
the Authority determines to be necessary or practicable for the
effective administration of the tax. The Authority may enter
into agreements as it deems appropriate with any governmental
agency providing for that agency to act as the Authority's
agent to collect the tax.
    In the ordinance imposing the tax, the Authority may
designate a method or methods for persons subject to the tax to
reimburse themselves for the tax liability arising under the
ordinance (i) by separately stating the full amount of the tax
liability as an additional charge to passengers departing the
airports, (ii) by separately stating one-half of the tax
liability as an additional charge to both passengers departing
from and to passengers arriving at the airports, or (iii) by
some other method determined by the Authority.
    All taxes, penalties, and interest collected under any
ordinance adopted under this subsection, less any amounts
determined to be necessary for the payment of refunds and less
the taxes, penalties, and interest attributable to any increase
in the rate of tax authorized by Public Act 96-898, shall be
paid forthwith to the State Treasurer, ex officio, for deposit
into a trust fund held outside the State Treasury and shall be
administered by the State Treasurer as provided in subsection
(g) of this Section. All taxes, penalties, and interest
attributable to any increase in the rate of tax authorized by
Public Act 96-898 shall be paid by the State Treasurer as
follows: 25% for deposit into the Convention Center Support
Fund, to be used by the Village of Rosemont for the repair,
maintenance, and improvement of the Donald E. Stephens
Convention Center and for debt service on debt instruments
issued for those purposes by the village and 75% to the
Authority to be used for grants to an organization meeting the
qualifications set out in Section 5.6 of this Act, provided the
Metropolitan Pier and Exposition Authority has entered into a
marketing agreement with such an organization.
    (g) Amounts deposited from the proceeds of taxes imposed by
the Authority under subsections (b), (c), (d), (e), and (f) of
this Section and amounts deposited under Section 19 of the
Illinois Sports Facilities Authority Act shall be held in a
trust fund outside the State Treasury and, other than the
amounts transferred into the Tax Compliance and Administration
Fund under subsections (b), (c), (d), and (e), shall be
administered by the Treasurer as follows:
        (1) An amount necessary for the payment of refunds with
    respect to those taxes shall be retained in the trust fund
    and used for those payments.
        (2) On July 20 and on the 20th of each month
    thereafter, provided that the amount requested in the
    annual certificate of the Chairman of the Authority filed
    under Section 8.25f of the State Finance Act has been
    appropriated for payment to the Authority, 1/8 of the local
    tax transfer amount, together with any cumulative
    deficiencies in the amounts transferred into the McCormick
    Place Expansion Project Fund under this subparagraph (2)
    during the fiscal year for which the certificate has been
    filed, shall be transferred from the trust fund into the
    McCormick Place Expansion Project Fund in the State
    treasury until 100% of the local tax transfer amount has
    been so transferred. "Local tax transfer amount" shall mean
    the amount requested in the annual certificate, minus the
    reduction amount. "Reduction amount" shall mean $41.7
    million in fiscal year 2011, $36.7 million in fiscal year
    2012, $36.7 million in fiscal year 2013, $36.7 million in
    fiscal year 2014, and $31.7 million in each fiscal year
    thereafter until 2032, provided that the reduction amount
    shall be reduced by (i) the amount certified by the
    Authority to the State Comptroller and State Treasurer
    under Section 8.25 of the State Finance Act, as amended,
    with respect to that fiscal year and (ii) in any fiscal
    year in which the amounts deposited in the trust fund under
    this Section exceed $318.3 million, exclusive of amounts
    set aside for refunds and for the reserve account, one
    dollar for each dollar of the deposits in the trust fund
    above $318.3 million with respect to that year, exclusive
    of amounts set aside for refunds and for the reserve
    account.
        (3) On July 20, 2010, the Comptroller shall certify to
    the Governor, the Treasurer, and the Chairman of the
    Authority the 2010 deficiency amount, which means the
    cumulative amount of transfers that were due from the trust
    fund to the McCormick Place Expansion Project Fund in
    fiscal years 2008, 2009, and 2010 under Section 13(g) of
    this Act, as it existed prior to May 27, 2010 (the
    effective date of Public Act 96-898), but not made. On July
    20, 2011 and on July 20 of each year through July 20, 2014,
    the Treasurer shall calculate for the previous fiscal year
    the surplus revenues in the trust fund and pay that amount
    to the Authority. On July 20, 2015 and on July 20 of each
    year thereafter to and including July 20, 2017, as long as
    bonds and notes issued under Section 13.2 or bonds and
    notes issued to refund those bonds and notes are
    outstanding, the Treasurer shall calculate for the
    previous fiscal year the surplus revenues in the trust fund
    and pay one-half of that amount to the State Treasurer for
    deposit into the General Revenue Fund until the 2010
    deficiency amount has been paid and shall pay the balance
    of the surplus revenues to the Authority. On July 20, 2018
    and on July 20 of each year thereafter, the Treasurer shall
    calculate for the previous fiscal year the surplus revenues
    in the trust fund and pay all of such surplus revenues to
    the State Treasurer for deposit into the General Revenue
    Fund until the 2010 deficiency amount has been paid. After
    the 2010 deficiency amount has been paid, the Treasurer
    shall pay the balance of the surplus revenues to the
    Authority. "Surplus revenues" means the amounts remaining
    in the trust fund on June 30 of the previous fiscal year
    (A) after the State Treasurer has set aside in the trust
    fund (i) amounts retained for refunds under subparagraph
    (1) and (ii) any amounts necessary to meet the reserve
    account amount and (B) after the State Treasurer has
    transferred from the trust fund to the General Revenue Fund
    100% of any post-2010 deficiency amount. "Reserve account
    amount" means $15 million in fiscal year 2011 and $30
    million in each fiscal year thereafter. The reserve account
    amount shall be set aside in the trust fund and used as a
    reserve to be transferred to the McCormick Place Expansion
    Project Fund in the event the proceeds of taxes imposed
    under this Section 13 are not sufficient to fund the
    transfer required in subparagraph (2). "Post-2010
    deficiency amount" means any deficiency in transfers from
    the trust fund to the McCormick Place Expansion Project
    Fund with respect to fiscal years 2011 and thereafter. It
    is the intention of this subparagraph (3) that no surplus
    revenues shall be paid to the Authority with respect to any
    year in which a post-2010 deficiency amount has not been
    satisfied by the Authority.
    Moneys received by the Authority as surplus revenues may be
used (i) for the purposes of paying debt service on the bonds
and notes issued by the Authority, including early redemption
of those bonds or notes, (ii) for the purposes of repair,
replacement, and improvement of the grounds, buildings, and
facilities of the Authority, and (iii) for the corporate
purposes of the Authority in fiscal years 2011 through 2015 in
an amount not to exceed $20,000,000 annually or $80,000,000
total, which amount shall be reduced $0.75 for each dollar of
the receipts of the Authority in that year from any contract
entered into with respect to naming rights at McCormick Place
under Section 5(m) of this Act. When bonds and notes issued
under Section 13.2, or bonds or notes issued to refund those
bonds and notes, are no longer outstanding, the balance in the
trust fund shall be paid to the Authority.
    (h) The ordinances imposing the taxes authorized by this
Section shall be repealed when bonds and notes issued under
Section 13.2 or bonds and notes issued to refund those bonds
and notes are no longer outstanding.
(Source: P.A. 100-23, Article 5, Section 5-35, eff. 7-6-17;
100-23, Article 35, Section 35-25, eff. 7-6-17; revised
8-15-17.)
 
    Section 20-25. The Metro-East Park and Recreation District
Act is amended by changing Section 30 as follows:
 
    (70 ILCS 1605/30)
    Sec. 30. Taxes.
    (a) The board shall impose a tax upon all persons engaged
in the business of selling tangible personal property, other
than personal property titled or registered with an agency of
this State's government, at retail in the District on the gross
receipts from the sales made in the course of business. This
tax shall be imposed only at the rate of one-tenth of one per
cent.
    This additional tax may not be imposed on the sales of food
for human consumption that is to be consumed off the premises
where it is sold (other than alcoholic beverages, soft drinks,
and food which has been prepared for immediate consumption) and
prescription and non-prescription medicines, drugs, medical
appliances, and insulin, urine testing materials, syringes,
and needles used by diabetics. The tax imposed by the Board
under this Section and all civil penalties that may be assessed
as an incident of the tax shall be collected and enforced by
the Department of Revenue. The certificate of registration that
is issued by the Department to a retailer under the Retailers'
Occupation Tax Act shall permit the retailer to engage in a
business that is taxable without registering separately with
the Department under an ordinance or resolution under this
Section. The Department has full power to administer and
enforce this Section, to collect all taxes and penalties due
under this Section, to dispose of taxes and penalties so
collected in the manner provided in this Section, and to
determine all rights to credit memoranda arising on account of
the erroneous payment of a tax or penalty under this Section.
In the administration of and compliance with this Section, the
Department and persons who are subject to this Section shall
(i) have the same rights, remedies, privileges, immunities,
powers, and duties, (ii) be subject to the same conditions,
restrictions, limitations, penalties, and definitions of
terms, and (iii) employ the same modes of procedure as are
prescribed in Sections 1, 1a, 1a-1, 1d, 1e, 1f, 1i, 1j, 1k, 1m,
1n, 2, 2-5, 2-5.5, 2-10 (in respect to all provisions contained
in those Sections other than the State rate of tax), 2-12, 2-15
through 2-70, 2a, 2b, 2c, 3 (except provisions relating to
transaction returns and quarter monthly payments), 4, 5, 5a,
5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 6d,
7, 8, 9, 10, 11, 11a, 12, and 13 of the Retailers' Occupation
Tax Act and the Uniform Penalty and Interest Act as if those
provisions were set forth in this Section.
    Persons subject to any tax imposed under the authority
granted in this Section may reimburse themselves for their
sellers' tax liability by separately stating the tax as an
additional charge, which charge may be stated in combination,
in a single amount, with State tax which sellers are required
to collect under the Use Tax Act, pursuant to such bracketed
schedules as the Department may prescribe.
    Whenever the Department determines that a refund should be
made under this Section to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the order to be drawn for the
amount specified and to the person named in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the State Metro-East Park and Recreation
District Fund.
    (b) If a tax has been imposed under subsection (a), a
service occupation tax shall also be imposed at the same rate
upon all persons engaged, in the District, in the business of
making sales of service, who, as an incident to making those
sales of service, transfer tangible personal property within
the District as an incident to a sale of service. This tax may
not be imposed on sales of food for human consumption that is
to be consumed off the premises where it is sold (other than
alcoholic beverages, soft drinks, and food prepared for
immediate consumption) and prescription and non-prescription
medicines, drugs, medical appliances, and insulin, urine
testing materials, syringes, and needles used by diabetics. The
tax imposed under this subsection and all civil penalties that
may be assessed as an incident thereof shall be collected and
enforced by the Department of Revenue. The Department has full
power to administer and enforce this subsection; to collect all
taxes and penalties due hereunder; to dispose of taxes and
penalties so collected in the manner hereinafter provided; and
to determine all rights to credit memoranda arising on account
of the erroneous payment of tax or penalty hereunder. In the
administration of, and compliance with this subsection, the
Department and persons who are subject to this paragraph shall
(i) have the same rights, remedies, privileges, immunities,
powers, and duties, (ii) be subject to the same conditions,
restrictions, limitations, penalties, exclusions, exemptions,
and definitions of terms, and (iii) employ the same modes of
procedure as are prescribed in Sections 2 (except that the
reference to State in the definition of supplier maintaining a
place of business in this State shall mean the District), 2a,
2b, 2c, 3 through 3-50 (in respect to all provisions therein
other than the State rate of tax), 4 (except that the reference
to the State shall be to the District), 5, 7, 8 (except that
the jurisdiction to which the tax shall be a debt to the extent
indicated in that Section 8 shall be the District), 9 (except
as to the disposition of taxes and penalties collected), 10,
11, 12 (except the reference therein to Section 2b of the
Retailers' Occupation Tax Act), 13 (except that any reference
to the State shall mean the District), Sections 15, 16, 17, 18,
19 and 20 of the Service Occupation Tax Act and the Uniform
Penalty and Interest Act, as fully as if those provisions were
set forth herein.
    Persons subject to any tax imposed under the authority
granted in this subsection may reimburse themselves for their
serviceman's tax liability by separately stating the tax as an
additional charge, which charge may be stated in combination,
in a single amount, with State tax that servicemen are
authorized to collect under the Service Use Tax Act, in
accordance with such bracket schedules as the Department may
prescribe.
    Whenever the Department determines that a refund should be
made under this subsection to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the warrant to be drawn for the
amount specified, and to the person named, in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the State Metro-East Park and Recreation
District Fund.
    Nothing in this subsection shall be construed to authorize
the board to impose a tax upon the privilege of engaging in any
business which under the Constitution of the United States may
not be made the subject of taxation by the State.
    (c) The Department shall immediately pay over to the State
Treasurer, ex officio, as trustee, all taxes and penalties
collected under this Section to be deposited into the State
Metro-East Park and Recreation District Fund, which shall be an
unappropriated trust fund held outside of the State treasury.
    As soon as possible after the first day of each month,
beginning January 1, 2011, upon certification of the Department
of Revenue, the Comptroller shall order transferred, and the
Treasurer shall transfer, to the STAR Bonds Revenue Fund the
local sales tax increment, as defined in the Innovation
Development and Economy Act, collected under this Section
during the second preceding calendar month for sales within a
STAR bond district. The Department shall make this
certification only if the Metro East Park and Recreation
District imposes a tax on real property as provided in the
definition of "local sales taxes" under the Innovation
Development and Economy Act.
    After the monthly transfer to the STAR Bonds Revenue Fund,
on or before the 25th day of each calendar month, the
Department shall prepare and certify to the Comptroller the
disbursement of stated sums of money pursuant to Section 35 of
this Act to the District from which retailers have paid taxes
or penalties to the Department during the second preceding
calendar month. The amount to be paid to the District shall be
the amount (not including credit memoranda) collected under
this Section during the second preceding calendar month by the
Department plus an amount the Department determines is
necessary to offset any amounts that were erroneously paid to a
different taxing body, and not including (i) an amount equal to
the amount of refunds made during the second preceding calendar
month by the Department on behalf of the District, (ii) any
amount that the Department determines is necessary to offset
any amounts that were payable to a different taxing body but
were erroneously paid to the District, (iii) any amounts that
are transferred to the STAR Bonds Revenue Fund, and (iv) 1.5%
2% of the remainder, which the Department shall transfer into
the Tax Compliance and Administration Fund. The Department, at
the time of each monthly disbursement to the District, shall
prepare and certify to the State Comptroller the amount to be
transferred into the Tax Compliance and Administration Fund
under this subsection. Within 10 days after receipt by the
Comptroller of the disbursement certification to the District
and the Tax Compliance and Administration Fund provided for in
this Section to be given to the Comptroller by the Department,
the Comptroller shall cause the orders to be drawn for the
respective amounts in accordance with directions contained in
the certification.
    (d) For the purpose of determining whether a tax authorized
under this Section is applicable, a retail sale by a producer
of coal or another mineral mined in Illinois is a sale at
retail at the place where the coal or other mineral mined in
Illinois is extracted from the earth. This paragraph does not
apply to coal or another mineral when it is delivered or
shipped by the seller to the purchaser at a point outside
Illinois so that the sale is exempt under the United States
Constitution as a sale in interstate or foreign commerce.
    (e) Nothing in this Section shall be construed to authorize
the board to impose a tax upon the privilege of engaging in any
business that under the Constitution of the United States may
not be made the subject of taxation by this State.
    (f) An ordinance imposing a tax under this Section or an
ordinance extending the imposition of a tax to an additional
county or counties shall be certified by the board and filed
with the Department of Revenue either (i) on or before the
first day of April, whereupon the Department shall proceed to
administer and enforce the tax as of the first day of July next
following the filing; or (ii) on or before the first day of
October, whereupon the Department shall proceed to administer
and enforce the tax as of the first day of January next
following the filing.
    (g) When certifying the amount of a monthly disbursement to
the District under this Section, the Department shall increase
or decrease the amounts by an amount necessary to offset any
misallocation of previous disbursements. The offset amount
shall be the amount erroneously disbursed within the previous 6
months from the time a misallocation is discovered.
(Source: P.A. 99-217, eff. 7-31-15; 100-23, eff. 7-6-17.)
 
    Section 20-30. The Local Mass Transit District Act is
amended by changing Section 5.01 as follows:
 
    (70 ILCS 3610/5.01)   (from Ch. 111 2/3, par. 355.01)
    Sec. 5.01. Metro East Mass Transit District; use and
occupation taxes.
    (a) The Board of Trustees of any Metro East Mass Transit
District may, by ordinance adopted with the concurrence of
two-thirds of the then trustees, impose throughout the District
any or all of the taxes and fees provided in this Section. All
taxes and fees imposed under this Section shall be used only
for public mass transportation systems, and the amount used to
provide mass transit service to unserved areas of the District
shall be in the same proportion to the total proceeds as the
number of persons residing in the unserved areas is to the
total population of the District. Except as otherwise provided
in this Act, taxes imposed under this Section and civil
penalties imposed incident thereto shall be collected and
enforced by the State Department of Revenue. The Department
shall have the power to administer and enforce the taxes and to
determine all rights for refunds for erroneous payments of the
taxes.
    (b) The Board may impose a Metro East Mass Transit District
Retailers' Occupation Tax upon all persons engaged in the
business of selling tangible personal property at retail in the
district at a rate of 1/4 of 1%, or as authorized under
subsection (d-5) of this Section, of the gross receipts from
the sales made in the course of such business within the
district. The tax imposed under this Section and all civil
penalties that may be assessed as an incident thereof shall be
collected and enforced by the State Department of Revenue. The
Department shall have full power to administer and enforce this
Section; to collect all taxes and penalties so collected in the
manner hereinafter provided; and to determine all rights to
credit memoranda arising on account of the erroneous payment of
tax or penalty hereunder. In the administration of, and
compliance with, this Section, the Department and persons who
are subject to this Section shall have the same rights,
remedies, privileges, immunities, powers and duties, and be
subject to the same conditions, restrictions, limitations,
penalties, exclusions, exemptions and definitions of terms and
employ the same modes of procedure, as are prescribed in
Sections 1, 1a, 1a-1, 1c, 1d, 1e, 1f, 1i, 1j, 2 through 2-65
(in respect to all provisions therein other than the State rate
of tax), 2c, 3 (except as to the disposition of taxes and
penalties collected), 4, 5, 5a, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j,
5k, 5l, 6, 6a, 6b, 6c, 6d, 7, 8, 9, 10, 11, 12, 13, and 14 of
the Retailers' Occupation Tax Act and Section 3-7 of the
Uniform Penalty and Interest Act, as fully as if those
provisions were set forth herein.
    Persons subject to any tax imposed under the Section may
reimburse themselves for their seller's tax liability
hereunder by separately stating the tax as an additional
charge, which charge may be stated in combination, in a single
amount, with State taxes that sellers are required to collect
under the Use Tax Act, in accordance with such bracket
schedules as the Department may prescribe.
    Whenever the Department determines that a refund should be
made under this Section to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the warrant to be drawn for the
amount specified, and to the person named, in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the Metro East Mass Transit District tax fund
established under paragraph (h) of this Section.
    If a tax is imposed under this subsection (b), a tax shall
also be imposed under subsections (c) and (d) of this Section.
    For the purpose of determining whether a tax authorized
under this Section is applicable, a retail sale, by a producer
of coal or other mineral mined in Illinois, is a sale at retail
at the place where the coal or other mineral mined in Illinois
is extracted from the earth. This paragraph does not apply to
coal or other mineral when it is delivered or shipped by the
seller to the purchaser at a point outside Illinois so that the
sale is exempt under the Federal Constitution as a sale in
interstate or foreign commerce.
    No tax shall be imposed or collected under this subsection
on the sale of a motor vehicle in this State to a resident of
another state if that motor vehicle will not be titled in this
State.
    Nothing in this Section shall be construed to authorize the
Metro East Mass Transit District to impose a tax upon the
privilege of engaging in any business which under the
Constitution of the United States may not be made the subject
of taxation by this State.
    (c) If a tax has been imposed under subsection (b), a Metro
East Mass Transit District Service Occupation Tax shall also be
imposed upon all persons engaged, in the district, in the
business of making sales of service, who, as an incident to
making those sales of service, transfer tangible personal
property within the District, either in the form of tangible
personal property or in the form of real estate as an incident
to a sale of service. The tax rate shall be 1/4%, or as
authorized under subsection (d-5) of this Section, of the
selling price of tangible personal property so transferred
within the district. The tax imposed under this paragraph and
all civil penalties that may be assessed as an incident thereof
shall be collected and enforced by the State Department of
Revenue. The Department shall have full power to administer and
enforce this paragraph; to collect all taxes and penalties due
hereunder; to dispose of taxes and penalties so collected in
the manner hereinafter provided; and to determine all rights to
credit memoranda arising on account of the erroneous payment of
tax or penalty hereunder. In the administration of, and
compliance with this paragraph, the Department and persons who
are subject to this paragraph shall have the same rights,
remedies, privileges, immunities, powers and duties, and be
subject to the same conditions, restrictions, limitations,
penalties, exclusions, exemptions and definitions of terms and
employ the same modes of procedure as are prescribed in
Sections 1a-1, 2 (except that the reference to State in the
definition of supplier maintaining a place of business in this
State shall mean the Authority), 2a, 3 through 3-50 (in respect
to all provisions therein other than the State rate of tax), 4
(except that the reference to the State shall be to the
Authority), 5, 7, 8 (except that the jurisdiction to which the
tax shall be a debt to the extent indicated in that Section 8
shall be the District), 9 (except as to the disposition of
taxes and penalties collected, and except that the returned
merchandise credit for this tax may not be taken against any
State tax), 10, 11, 12 (except the reference therein to Section
2b of the Retailers' Occupation Tax Act), 13 (except that any
reference to the State shall mean the District), the first
paragraph of Section 15, 16, 17, 18, 19 and 20 of the Service
Occupation Tax Act and Section 3-7 of the Uniform Penalty and
Interest Act, as fully as if those provisions were set forth
herein.
    Persons subject to any tax imposed under the authority
granted in this paragraph may reimburse themselves for their
serviceman's tax liability hereunder by separately stating the
tax as an additional charge, which charge may be stated in
combination, in a single amount, with State tax that servicemen
are authorized to collect under the Service Use Tax Act, in
accordance with such bracket schedules as the Department may
prescribe.
    Whenever the Department determines that a refund should be
made under this paragraph to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the warrant to be drawn for the
amount specified, and to the person named, in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the Metro East Mass Transit District tax fund
established under paragraph (h) of this Section.
    Nothing in this paragraph shall be construed to authorize
the District to impose a tax upon the privilege of engaging in
any business which under the Constitution of the United States
may not be made the subject of taxation by the State.
    (d) If a tax has been imposed under subsection (b), a Metro
East Mass Transit District Use Tax shall also be imposed upon
the privilege of using, in the district, any item of tangible
personal property that is purchased outside the district at
retail from a retailer, and that is titled or registered with
an agency of this State's government, at a rate of 1/4%, or as
authorized under subsection (d-5) of this Section, of the
selling price of the tangible personal property within the
District, as "selling price" is defined in the Use Tax Act. The
tax shall be collected from persons whose Illinois address for
titling or registration purposes is given as being in the
District. The tax shall be collected by the Department of
Revenue for the Metro East Mass Transit District. The tax must
be paid to the State, or an exemption determination must be
obtained from the Department of Revenue, before the title or
certificate of registration for the property may be issued. The
tax or proof of exemption may be transmitted to the Department
by way of the State agency with which, or the State officer
with whom, the tangible personal property must be titled or
registered if the Department and the State agency or State
officer determine that this procedure will expedite the
processing of applications for title or registration.
    The Department shall have full power to administer and
enforce this paragraph; to collect all taxes, penalties and
interest due hereunder; to dispose of taxes, penalties and
interest so collected in the manner hereinafter provided; and
to determine all rights to credit memoranda or refunds arising
on account of the erroneous payment of tax, penalty or interest
hereunder. In the administration of, and compliance with, this
paragraph, the Department and persons who are subject to this
paragraph shall have the same rights, remedies, privileges,
immunities, powers and duties, and be subject to the same
conditions, restrictions, limitations, penalties, exclusions,
exemptions and definitions of terms and employ the same modes
of procedure, as are prescribed in Sections 2 (except the
definition of "retailer maintaining a place of business in this
State"), 3 through 3-80 (except provisions pertaining to the
State rate of tax, and except provisions concerning collection
or refunding of the tax by retailers), 4, 11, 12, 12a, 14, 15,
19 (except the portions pertaining to claims by retailers and
except the last paragraph concerning refunds), 20, 21 and 22 of
the Use Tax Act and Section 3-7 of the Uniform Penalty and
Interest Act, that are not inconsistent with this paragraph, as
fully as if those provisions were set forth herein.
    Whenever the Department determines that a refund should be
made under this paragraph to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the order to be drawn for the
amount specified, and to the person named, in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the Metro East Mass Transit District tax fund
established under paragraph (h) of this Section.
    (d-5) (A) The county board of any county participating in
the Metro East Mass Transit District may authorize, by
ordinance, a referendum on the question of whether the tax
rates for the Metro East Mass Transit District Retailers'
Occupation Tax, the Metro East Mass Transit District Service
Occupation Tax, and the Metro East Mass Transit District Use
Tax for the District should be increased from 0.25% to 0.75%.
Upon adopting the ordinance, the county board shall certify the
proposition to the proper election officials who shall submit
the proposition to the voters of the District at the next
election, in accordance with the general election law.
    The proposition shall be in substantially the following
form:
        Shall the tax rates for the Metro East Mass Transit
    District Retailers' Occupation Tax, the Metro East Mass
    Transit District Service Occupation Tax, and the Metro East
    Mass Transit District Use Tax be increased from 0.25% to
    0.75%?
    (B) Two thousand five hundred electors of any Metro East
Mass Transit District may petition the Chief Judge of the
Circuit Court, or any judge of that Circuit designated by the
Chief Judge, in which that District is located to cause to be
submitted to a vote of the electors the question whether the
tax rates for the Metro East Mass Transit District Retailers'
Occupation Tax, the Metro East Mass Transit District Service
Occupation Tax, and the Metro East Mass Transit District Use
Tax for the District should be increased from 0.25% to 0.75%.
    Upon submission of such petition the court shall set a date
not less than 10 nor more than 30 days thereafter for a hearing
on the sufficiency thereof. Notice of the filing of such
petition and of such date shall be given in writing to the
District and the County Clerk at least 7 days before the date
of such hearing.
    If such petition is found sufficient, the court shall enter
an order to submit that proposition at the next election, in
accordance with general election law.
    The form of the petition shall be in substantially the
following form: To the Circuit Court of the County of (name of
county):
        We, the undersigned electors of the (name of transit
    district), respectfully petition your honor to submit to a
    vote of the electors of (name of transit district) the
    following proposition:
        Shall the tax rates for the Metro East Mass Transit
    District Retailers' Occupation Tax, the Metro East Mass
    Transit District Service Occupation Tax, and the Metro East
    Mass Transit District Use Tax be increased from 0.25% to
    0.75%?
        Name                Address, with Street and Number.
..............................................................
..............................................................
    (C) The votes shall be recorded as "YES" or "NO". If a
majority of all votes cast on the proposition are for the
increase in the tax rates, the Metro East Mass Transit District
shall begin imposing the increased rates in the District, and
the Department of Revenue shall begin collecting the increased
amounts, as provided under this Section. An ordinance imposing
or discontinuing a tax hereunder or effecting a change in the
rate thereof shall be adopted and a certified copy thereof
filed with the Department on or before the first day of
October, whereupon the Department shall proceed to administer
and enforce this Section as of the first day of January next
following the adoption and filing, or on or before the first
day of April, whereupon the Department shall proceed to
administer and enforce this Section as of the first day of July
next following the adoption and filing.
    (D) If the voters have approved a referendum under this
subsection, before November 1, 1994, to increase the tax rate
under this subsection, the Metro East Mass Transit District
Board of Trustees may adopt by a majority vote an ordinance at
any time before January 1, 1995 that excludes from the rate
increase tangible personal property that is titled or
registered with an agency of this State's government. The
ordinance excluding titled or registered tangible personal
property from the rate increase must be filed with the
Department at least 15 days before its effective date. At any
time after adopting an ordinance excluding from the rate
increase tangible personal property that is titled or
registered with an agency of this State's government, the Metro
East Mass Transit District Board of Trustees may adopt an
ordinance applying the rate increase to that tangible personal
property. The ordinance shall be adopted, and a certified copy
of that ordinance shall be filed with the Department, on or
before October 1, whereupon the Department shall proceed to
administer and enforce the rate increase against tangible
personal property titled or registered with an agency of this
State's government as of the following January 1. After
December 31, 1995, any reimposed rate increase in effect under
this subsection shall no longer apply to tangible personal
property titled or registered with an agency of this State's
government. Beginning January 1, 1996, the Board of Trustees of
any Metro East Mass Transit District may never reimpose a
previously excluded tax rate increase on tangible personal
property titled or registered with an agency of this State's
government. After July 1, 2004, if the voters have approved a
referendum under this subsection to increase the tax rate under
this subsection, the Metro East Mass Transit District Board of
Trustees may adopt by a majority vote an ordinance that
excludes from the rate increase tangible personal property that
is titled or registered with an agency of this State's
government. The ordinance excluding titled or registered
tangible personal property from the rate increase shall be
adopted, and a certified copy of that ordinance shall be filed
with the Department on or before October 1, whereupon the
Department shall administer and enforce this exclusion from the
rate increase as of the following January 1, or on or before
April 1, whereupon the Department shall administer and enforce
this exclusion from the rate increase as of the following July
1. The Board of Trustees of any Metro East Mass Transit
District may never reimpose a previously excluded tax rate
increase on tangible personal property titled or registered
with an agency of this State's government.
    (d-6) If the Board of Trustees of any Metro East Mass
Transit District has imposed a rate increase under subsection
(d-5) and filed an ordinance with the Department of Revenue
excluding titled property from the higher rate, then that Board
may, by ordinance adopted with the concurrence of two-thirds of
the then trustees, impose throughout the District a fee. The
fee on the excluded property shall not exceed $20 per retail
transaction or an amount equal to the amount of tax excluded,
whichever is less, on tangible personal property that is titled
or registered with an agency of this State's government.
Beginning July 1, 2004, the fee shall apply only to titled
property that is subject to either the Metro East Mass Transit
District Retailers' Occupation Tax or the Metro East Mass
Transit District Service Occupation Tax. No fee shall be
imposed or collected under this subsection on the sale of a
motor vehicle in this State to a resident of another state if
that motor vehicle will not be titled in this State.
    (d-7) Until June 30, 2004, if a fee has been imposed under
subsection (d-6), a fee shall also be imposed upon the
privilege of using, in the district, any item of tangible
personal property that is titled or registered with any agency
of this State's government, in an amount equal to the amount of
the fee imposed under subsection (d-6).
    (d-7.1) Beginning July 1, 2004, any fee imposed by the
Board of Trustees of any Metro East Mass Transit District under
subsection (d-6) and all civil penalties that may be assessed
as an incident of the fees shall be collected and enforced by
the State Department of Revenue. Reference to "taxes" in this
Section shall be construed to apply to the administration,
payment, and remittance of all fees under this Section. For
purposes of any fee imposed under subsection (d-6), 4% of the
fee, penalty, and interest received by the Department in the
first 12 months that the fee is collected and enforced by the
Department and 2% of the fee, penalty, and interest following
the first 12 months shall be deposited into the Tax Compliance
and Administration Fund and shall be used by the Department,
subject to appropriation, to cover the costs of the Department.
No retailers' discount shall apply to any fee imposed under
subsection (d-6).
    (d-8) No item of titled property shall be subject to both
the higher rate approved by referendum, as authorized under
subsection (d-5), and any fee imposed under subsection (d-6) or
(d-7).
    (d-9) (Blank).
    (d-10) (Blank).
    (e) A certificate of registration issued by the State
Department of Revenue to a retailer under the Retailers'
Occupation Tax Act or under the Service Occupation Tax Act
shall permit the registrant to engage in a business that is
taxed under the tax imposed under paragraphs (b), (c) or (d) of
this Section and no additional registration shall be required
under the tax. A certificate issued under the Use Tax Act or
the Service Use Tax Act shall be applicable with regard to any
tax imposed under paragraph (c) of this Section.
    (f) (Blank).
    (g) Any ordinance imposing or discontinuing any tax under
this Section shall be adopted and a certified copy thereof
filed with the Department on or before June 1, whereupon the
Department of Revenue shall proceed to administer and enforce
this Section on behalf of the Metro East Mass Transit District
as of September 1 next following such adoption and filing.
Beginning January 1, 1992, an ordinance or resolution imposing
or discontinuing the tax hereunder shall be adopted and a
certified copy thereof filed with the Department on or before
the first day of July, whereupon the Department shall proceed
to administer and enforce this Section as of the first day of
October next following such adoption and filing. Beginning
January 1, 1993, except as provided in subsection (d-5) of this
Section, an ordinance or resolution imposing or discontinuing
the tax hereunder shall be adopted and a certified copy thereof
filed with the Department on or before the first day of
October, whereupon the Department shall proceed to administer
and enforce this Section as of the first day of January next
following such adoption and filing, or, beginning January 1,
2004, on or before the first day of April, whereupon the
Department shall proceed to administer and enforce this Section
as of the first day of July next following the adoption and
filing.
    (h) Except as provided in subsection (d-7.1), the State
Department of Revenue shall, upon collecting any taxes as
provided in this Section, pay the taxes over to the State
Treasurer as trustee for the District. The taxes shall be held
in a trust fund outside the State Treasury.
    As soon as possible after the first day of each month,
beginning January 1, 2011, upon certification of the Department
of Revenue, the Comptroller shall order transferred, and the
Treasurer shall transfer, to the STAR Bonds Revenue Fund the
local sales tax increment, as defined in the Innovation
Development and Economy Act, collected under this Section
during the second preceding calendar month for sales within a
STAR bond district. The Department shall make this
certification only if the local mass transit district imposes a
tax on real property as provided in the definition of "local
sales taxes" under the Innovation Development and Economy Act.
    After the monthly transfer to the STAR Bonds Revenue Fund,
on or before the 25th day of each calendar month, the State
Department of Revenue shall prepare and certify to the
Comptroller of the State of Illinois the amount to be paid to
the District, which shall be the amount (not including credit
memoranda) collected under this Section during the second
preceding calendar month by the Department plus an amount the
Department determines is necessary to offset any amounts that
were erroneously paid to a different taxing body, and not
including any amount equal to the amount of refunds made during
the second preceding calendar month by the Department on behalf
of the District, and not including any amount that the
Department determines is necessary to offset any amounts that
were payable to a different taxing body but were erroneously
paid to the District, and less any amounts that are transferred
to the STAR Bonds Revenue Fund, less 1.5% 2% of the remainder,
which the Department shall transfer into the Tax Compliance and
Administration Fund. The Department, at the time of each
monthly disbursement to the District, shall prepare and certify
to the State Comptroller the amount to be transferred into the
Tax Compliance and Administration Fund under this subsection.
Within 10 days after receipt by the Comptroller of the
certification of the amount to be paid to the District and the
Tax Compliance and Administration Fund, the Comptroller shall
cause an order to be drawn for payment for the amount in
accordance with the direction in the certification.
(Source: P.A. 99-217, eff. 7-31-15; 100-23, eff. 7-6-17.)
 
    Section 20-35. The Regional Transportation Authority Act
is amended by changing Section 4.03 as follows:
 
    (70 ILCS 3615/4.03)  (from Ch. 111 2/3, par. 704.03)
    Sec. 4.03. Taxes.
    (a) In order to carry out any of the powers or purposes of
the Authority, the Board may by ordinance adopted with the
concurrence of 12 of the then Directors, impose throughout the
metropolitan region any or all of the taxes provided in this
Section. Except as otherwise provided in this Act, taxes
imposed under this Section and civil penalties imposed incident
thereto shall be collected and enforced by the State Department
of Revenue. The Department shall have the power to administer
and enforce the taxes and to determine all rights for refunds
for erroneous payments of the taxes. Nothing in Public Act
95-708 is intended to invalidate any taxes currently imposed by
the Authority. The increased vote requirements to impose a tax
shall only apply to actions taken after January 1, 2008 (the
effective date of Public Act 95-708).
    (b) The Board may impose a public transportation tax upon
all persons engaged in the metropolitan region in the business
of selling at retail motor fuel for operation of motor vehicles
upon public highways. The tax shall be at a rate not to exceed
5% of the gross receipts from the sales of motor fuel in the
course of the business. As used in this Act, the term "motor
fuel" shall have the same meaning as in the Motor Fuel Tax Law.
The Board may provide for details of the tax. The provisions of
any tax shall conform, as closely as may be practicable, to the
provisions of the Municipal Retailers Occupation Tax Act,
including without limitation, conformity to penalties with
respect to the tax imposed and as to the powers of the State
Department of Revenue to promulgate and enforce rules and
regulations relating to the administration and enforcement of
the provisions of the tax imposed, except that reference in the
Act to any municipality shall refer to the Authority and the
tax shall be imposed only with regard to receipts from sales of
motor fuel in the metropolitan region, at rates as limited by
this Section.
    (c) In connection with the tax imposed under paragraph (b)
of this Section the Board may impose a tax upon the privilege
of using in the metropolitan region motor fuel for the
operation of a motor vehicle upon public highways, the tax to
be at a rate not in excess of the rate of tax imposed under
paragraph (b) of this Section. The Board may provide for
details of the tax.
    (d) The Board may impose a motor vehicle parking tax upon
the privilege of parking motor vehicles at off-street parking
facilities in the metropolitan region at which a fee is
charged, and may provide for reasonable classifications in and
exemptions to the tax, for administration and enforcement
thereof and for civil penalties and refunds thereunder and may
provide criminal penalties thereunder, the maximum penalties
not to exceed the maximum criminal penalties provided in the
Retailers' Occupation Tax Act. The Authority may collect and
enforce the tax itself or by contract with any unit of local
government. The State Department of Revenue shall have no
responsibility for the collection and enforcement unless the
Department agrees with the Authority to undertake the
collection and enforcement. As used in this paragraph, the term
"parking facility" means a parking area or structure having
parking spaces for more than 2 vehicles at which motor vehicles
are permitted to park in return for an hourly, daily, or other
periodic fee, whether publicly or privately owned, but does not
include parking spaces on a public street, the use of which is
regulated by parking meters.
    (e) The Board may impose a Regional Transportation
Authority Retailers' Occupation Tax upon all persons engaged in
the business of selling tangible personal property at retail in
the metropolitan region. In Cook County the tax rate shall be
1.25% of the gross receipts from sales of food for human
consumption that is to be consumed off the premises where it is
sold (other than alcoholic beverages, soft drinks and food that
has been prepared for immediate consumption) and prescription
and nonprescription medicines, drugs, medical appliances and
insulin, urine testing materials, syringes and needles used by
diabetics, and 1% of the gross receipts from other taxable
sales made in the course of that business. In DuPage, Kane,
Lake, McHenry, and Will Counties, the tax rate shall be 0.75%
of the gross receipts from all taxable sales made in the course
of that business. The tax imposed under this Section and all
civil penalties that may be assessed as an incident thereof
shall be collected and enforced by the State Department of
Revenue. The Department shall have full power to administer and
enforce this Section; to collect all taxes and penalties so
collected in the manner hereinafter provided; and to determine
all rights to credit memoranda arising on account of the
erroneous payment of tax or penalty hereunder. In the
administration of, and compliance with this Section, the
Department and persons who are subject to this Section shall
have the same rights, remedies, privileges, immunities, powers
and duties, and be subject to the same conditions,
restrictions, limitations, penalties, exclusions, exemptions
and definitions of terms, and employ the same modes of
procedure, as are prescribed in Sections 1, 1a, 1a-1, 1c, 1d,
1e, 1f, 1i, 1j, 2 through 2-65 (in respect to all provisions
therein other than the State rate of tax), 2c, 3 (except as to
the disposition of taxes and penalties collected), 4, 5, 5a,
5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 6d,
7, 8, 9, 10, 11, 12 and 13 of the Retailers' Occupation Tax Act
and Section 3-7 of the Uniform Penalty and Interest Act, as
fully as if those provisions were set forth herein.
    Persons subject to any tax imposed under the authority
granted in this Section may reimburse themselves for their
seller's tax liability hereunder by separately stating the tax
as an additional charge, which charge may be stated in
combination in a single amount with State taxes that sellers
are required to collect under the Use Tax Act, under any
bracket schedules the Department may prescribe.
    Whenever the Department determines that a refund should be
made under this Section to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the warrant to be drawn for the
amount specified, and to the person named, in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the Regional Transportation Authority tax fund
established under paragraph (n) of this Section.
    If a tax is imposed under this subsection (e), a tax shall
also be imposed under subsections (f) and (g) of this Section.
    For the purpose of determining whether a tax authorized
under this Section is applicable, a retail sale by a producer
of coal or other mineral mined in Illinois, is a sale at retail
at the place where the coal or other mineral mined in Illinois
is extracted from the earth. This paragraph does not apply to
coal or other mineral when it is delivered or shipped by the
seller to the purchaser at a point outside Illinois so that the
sale is exempt under the Federal Constitution as a sale in
interstate or foreign commerce.
    No tax shall be imposed or collected under this subsection
on the sale of a motor vehicle in this State to a resident of
another state if that motor vehicle will not be titled in this
State.
    Nothing in this Section shall be construed to authorize the
Regional Transportation Authority to impose a tax upon the
privilege of engaging in any business that under the
Constitution of the United States may not be made the subject
of taxation by this State.
    (f) If a tax has been imposed under paragraph (e), a
Regional Transportation Authority Service Occupation Tax shall
also be imposed upon all persons engaged, in the metropolitan
region in the business of making sales of service, who as an
incident to making the sales of service, transfer tangible
personal property within the metropolitan region, either in the
form of tangible personal property or in the form of real
estate as an incident to a sale of service. In Cook County, the
tax rate shall be: (1) 1.25% of the serviceman's cost price of
food prepared for immediate consumption and transferred
incident to a sale of service subject to the service occupation
tax by an entity licensed under the Hospital Licensing Act, the
Nursing Home Care Act, the Specialized Mental Health
Rehabilitation Act of 2013, the ID/DD Community Care Act, or
the MC/DD Act that is located in the metropolitan region; (2)
1.25% of the selling price of food for human consumption that
is to be consumed off the premises where it is sold (other than
alcoholic beverages, soft drinks and food that has been
prepared for immediate consumption) and prescription and
nonprescription medicines, drugs, medical appliances and
insulin, urine testing materials, syringes and needles used by
diabetics; and (3) 1% of the selling price from other taxable
sales of tangible personal property transferred. In DuPage,
Kane, Lake, McHenry and Will Counties the rate shall be 0.75%
of the selling price of all tangible personal property
transferred.
    The tax imposed under this paragraph and all civil
penalties that may be assessed as an incident thereof shall be
collected and enforced by the State Department of Revenue. The
Department shall have full power to administer and enforce this
paragraph; to collect all taxes and penalties due hereunder; to
dispose of taxes and penalties collected in the manner
hereinafter provided; and to determine all rights to credit
memoranda arising on account of the erroneous payment of tax or
penalty hereunder. In the administration of and compliance with
this paragraph, the Department and persons who are subject to
this paragraph shall have the same rights, remedies,
privileges, immunities, powers and duties, and be subject to
the same conditions, restrictions, limitations, penalties,
exclusions, exemptions and definitions of terms, and employ the
same modes of procedure, as are prescribed in Sections 1a-1, 2,
2a, 3 through 3-50 (in respect to all provisions therein other
than the State rate of tax), 4 (except that the reference to
the State shall be to the Authority), 5, 7, 8 (except that the
jurisdiction to which the tax shall be a debt to the extent
indicated in that Section 8 shall be the Authority), 9 (except
as to the disposition of taxes and penalties collected, and
except that the returned merchandise credit for this tax may
not be taken against any State tax), 10, 11, 12 (except the
reference therein to Section 2b of the Retailers' Occupation
Tax Act), 13 (except that any reference to the State shall mean
the Authority), the first paragraph of Section 15, 16, 17, 18,
19 and 20 of the Service Occupation Tax Act and Section 3-7 of
the Uniform Penalty and Interest Act, as fully as if those
provisions were set forth herein.
    Persons subject to any tax imposed under the authority
granted in this paragraph may reimburse themselves for their
serviceman's tax liability hereunder by separately stating the
tax as an additional charge, that charge may be stated in
combination in a single amount with State tax that servicemen
are authorized to collect under the Service Use Tax Act, under
any bracket schedules the Department may prescribe.
    Whenever the Department determines that a refund should be
made under this paragraph to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the warrant to be drawn for the
amount specified, and to the person named in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the Regional Transportation Authority tax fund
established under paragraph (n) of this Section.
    Nothing in this paragraph shall be construed to authorize
the Authority to impose a tax upon the privilege of engaging in
any business that under the Constitution of the United States
may not be made the subject of taxation by the State.
    (g) If a tax has been imposed under paragraph (e), a tax
shall also be imposed upon the privilege of using in the
metropolitan region, any item of tangible personal property
that is purchased outside the metropolitan region at retail
from a retailer, and that is titled or registered with an
agency of this State's government. In Cook County the tax rate
shall be 1% of the selling price of the tangible personal
property, as "selling price" is defined in the Use Tax Act. In
DuPage, Kane, Lake, McHenry and Will counties the tax rate
shall be 0.75% of the selling price of the tangible personal
property, as "selling price" is defined in the Use Tax Act. The
tax shall be collected from persons whose Illinois address for
titling or registration purposes is given as being in the
metropolitan region. The tax shall be collected by the
Department of Revenue for the Regional Transportation
Authority. The tax must be paid to the State, or an exemption
determination must be obtained from the Department of Revenue,
before the title or certificate of registration for the
property may be issued. The tax or proof of exemption may be
transmitted to the Department by way of the State agency with
which, or the State officer with whom, the tangible personal
property must be titled or registered if the Department and the
State agency or State officer determine that this procedure
will expedite the processing of applications for title or
registration.
    The Department shall have full power to administer and
enforce this paragraph; to collect all taxes, penalties and
interest due hereunder; to dispose of taxes, penalties and
interest collected in the manner hereinafter provided; and to
determine all rights to credit memoranda or refunds arising on
account of the erroneous payment of tax, penalty or interest
hereunder. In the administration of and compliance with this
paragraph, the Department and persons who are subject to this
paragraph shall have the same rights, remedies, privileges,
immunities, powers and duties, and be subject to the same
conditions, restrictions, limitations, penalties, exclusions,
exemptions and definitions of terms and employ the same modes
of procedure, as are prescribed in Sections 2 (except the
definition of "retailer maintaining a place of business in this
State"), 3 through 3-80 (except provisions pertaining to the
State rate of tax, and except provisions concerning collection
or refunding of the tax by retailers), 4, 11, 12, 12a, 14, 15,
19 (except the portions pertaining to claims by retailers and
except the last paragraph concerning refunds), 20, 21 and 22 of
the Use Tax Act, and are not inconsistent with this paragraph,
as fully as if those provisions were set forth herein.
    Whenever the Department determines that a refund should be
made under this paragraph to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the order to be drawn for the
amount specified, and to the person named in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the Regional Transportation Authority tax fund
established under paragraph (n) of this Section.
    (h) The Authority may impose a replacement vehicle tax of
$50 on any passenger car as defined in Section 1-157 of the
Illinois Vehicle Code purchased within the metropolitan region
by or on behalf of an insurance company to replace a passenger
car of an insured person in settlement of a total loss claim.
The tax imposed may not become effective before the first day
of the month following the passage of the ordinance imposing
the tax and receipt of a certified copy of the ordinance by the
Department of Revenue. The Department of Revenue shall collect
the tax for the Authority in accordance with Sections 3-2002
and 3-2003 of the Illinois Vehicle Code.
    The Department shall immediately pay over to the State
Treasurer, ex officio, as trustee, all taxes collected
hereunder.
    As soon as possible after the first day of each month,
beginning January 1, 2011, upon certification of the Department
of Revenue, the Comptroller shall order transferred, and the
Treasurer shall transfer, to the STAR Bonds Revenue Fund the
local sales tax increment, as defined in the Innovation
Development and Economy Act, collected under this Section
during the second preceding calendar month for sales within a
STAR bond district.
    After the monthly transfer to the STAR Bonds Revenue Fund,
on or before the 25th day of each calendar month, the
Department shall prepare and certify to the Comptroller the
disbursement of stated sums of money to the Authority. The
amount to be paid to the Authority shall be the amount
collected hereunder during the second preceding calendar month
by the Department, less any amount determined by the Department
to be necessary for the payment of refunds, and less any
amounts that are transferred to the STAR Bonds Revenue Fund.
Within 10 days after receipt by the Comptroller of the
disbursement certification to the Authority provided for in
this Section to be given to the Comptroller by the Department,
the Comptroller shall cause the orders to be drawn for that
amount in accordance with the directions contained in the
certification.
    (i) The Board may not impose any other taxes except as it
may from time to time be authorized by law to impose.
    (j) A certificate of registration issued by the State
Department of Revenue to a retailer under the Retailers'
Occupation Tax Act or under the Service Occupation Tax Act
shall permit the registrant to engage in a business that is
taxed under the tax imposed under paragraphs (b), (e), (f) or
(g) of this Section and no additional registration shall be
required under the tax. A certificate issued under the Use Tax
Act or the Service Use Tax Act shall be applicable with regard
to any tax imposed under paragraph (c) of this Section.
    (k) The provisions of any tax imposed under paragraph (c)
of this Section shall conform as closely as may be practicable
to the provisions of the Use Tax Act, including without
limitation conformity as to penalties with respect to the tax
imposed and as to the powers of the State Department of Revenue
to promulgate and enforce rules and regulations relating to the
administration and enforcement of the provisions of the tax
imposed. The taxes shall be imposed only on use within the
metropolitan region and at rates as provided in the paragraph.
    (l) The Board in imposing any tax as provided in paragraphs
(b) and (c) of this Section, shall, after seeking the advice of
the State Department of Revenue, provide means for retailers,
users or purchasers of motor fuel for purposes other than those
with regard to which the taxes may be imposed as provided in
those paragraphs to receive refunds of taxes improperly paid,
which provisions may be at variance with the refund provisions
as applicable under the Municipal Retailers Occupation Tax Act.
The State Department of Revenue may provide for certificates of
registration for users or purchasers of motor fuel for purposes
other than those with regard to which taxes may be imposed as
provided in paragraphs (b) and (c) of this Section to
facilitate the reporting and nontaxability of the exempt sales
or uses.
    (m) Any ordinance imposing or discontinuing any tax under
this Section shall be adopted and a certified copy thereof
filed with the Department on or before June 1, whereupon the
Department of Revenue shall proceed to administer and enforce
this Section on behalf of the Regional Transportation Authority
as of September 1 next following such adoption and filing.
Beginning January 1, 1992, an ordinance or resolution imposing
or discontinuing the tax hereunder shall be adopted and a
certified copy thereof filed with the Department on or before
the first day of July, whereupon the Department shall proceed
to administer and enforce this Section as of the first day of
October next following such adoption and filing. Beginning
January 1, 1993, an ordinance or resolution imposing,
increasing, decreasing, or discontinuing the tax hereunder
shall be adopted and a certified copy thereof filed with the
Department, whereupon the Department shall proceed to
administer and enforce this Section as of the first day of the
first month to occur not less than 60 days following such
adoption and filing. Any ordinance or resolution of the
Authority imposing a tax under this Section and in effect on
August 1, 2007 shall remain in full force and effect and shall
be administered by the Department of Revenue under the terms
and conditions and rates of tax established by such ordinance
or resolution until the Department begins administering and
enforcing an increased tax under this Section as authorized by
Public Act 95-708. The tax rates authorized by Public Act
95-708 are effective only if imposed by ordinance of the
Authority.
    (n) Except as otherwise provided in this subsection (n),
the State Department of Revenue shall, upon collecting any
taxes as provided in this Section, pay the taxes over to the
State Treasurer as trustee for the Authority. The taxes shall
be held in a trust fund outside the State Treasury. On or
before the 25th day of each calendar month, the State
Department of Revenue shall prepare and certify to the
Comptroller of the State of Illinois and to the Authority (i)
the amount of taxes collected in each County other than Cook
County in the metropolitan region, (ii) the amount of taxes
collected within the City of Chicago, and (iii) the amount
collected in that portion of Cook County outside of Chicago,
each amount less the amount necessary for the payment of
refunds to taxpayers located in those areas described in items
(i), (ii), and (iii), and less 1.5% 2% of the remainder, which
shall be transferred from the trust fund into the Tax
Compliance and Administration Fund. The Department, at the time
of each monthly disbursement to the Authority, shall prepare
and certify to the State Comptroller the amount to be
transferred into the Tax Compliance and Administration Fund
under this subsection. Within 10 days after receipt by the
Comptroller of the certification of the amounts, the
Comptroller shall cause an order to be drawn for the transfer
of the amount certified into the Tax Compliance and
Administration Fund and the payment of two-thirds of the
amounts certified in item (i) of this subsection to the
Authority and one-third of the amounts certified in item (i) of
this subsection to the respective counties other than Cook
County and the amount certified in items (ii) and (iii) of this
subsection to the Authority.
    In addition to the disbursement required by the preceding
paragraph, an allocation shall be made in July 1991 and each
year thereafter to the Regional Transportation Authority. The
allocation shall be made in an amount equal to the average
monthly distribution during the preceding calendar year
(excluding the 2 months of lowest receipts) and the allocation
shall include the amount of average monthly distribution from
the Regional Transportation Authority Occupation and Use Tax
Replacement Fund. The distribution made in July 1992 and each
year thereafter under this paragraph and the preceding
paragraph shall be reduced by the amount allocated and
disbursed under this paragraph in the preceding calendar year.
The Department of Revenue shall prepare and certify to the
Comptroller for disbursement the allocations made in
accordance with this paragraph.
    (o) Failure to adopt a budget ordinance or otherwise to
comply with Section 4.01 of this Act or to adopt a Five-year
Capital Program or otherwise to comply with paragraph (b) of
Section 2.01 of this Act shall not affect the validity of any
tax imposed by the Authority otherwise in conformity with law.
    (p) At no time shall a public transportation tax or motor
vehicle parking tax authorized under paragraphs (b), (c) and
(d) of this Section be in effect at the same time as any
retailers' occupation, use or service occupation tax
authorized under paragraphs (e), (f) and (g) of this Section is
in effect.
    Any taxes imposed under the authority provided in
paragraphs (b), (c) and (d) shall remain in effect only until
the time as any tax authorized by paragraphs (e), (f) or (g) of
this Section are imposed and becomes effective. Once any tax
authorized by paragraphs (e), (f) or (g) is imposed the Board
may not reimpose taxes as authorized in paragraphs (b), (c) and
(d) of the Section unless any tax authorized by paragraphs (e),
(f) or (g) of this Section becomes ineffective by means other
than an ordinance of the Board.
    (q) Any existing rights, remedies and obligations
(including enforcement by the Regional Transportation
Authority) arising under any tax imposed under paragraphs (b),
(c) or (d) of this Section shall not be affected by the
imposition of a tax under paragraphs (e), (f) or (g) of this
Section.
(Source: P.A. 99-180, eff. 7-29-15; 99-217, eff. 7-31-15;
99-642, eff. 7-28-16; 100-23, eff. 7-6-17.)
 
    Section 20-40. The Water Commission Act of 1985 is amended
by changing Section 4 as follows:
 
    (70 ILCS 3720/4)  (from Ch. 111 2/3, par. 254)
    Sec. 4. Taxes.
    (a) The board of commissioners of any county water
commission may, by ordinance, impose throughout the territory
of the commission any or all of the taxes provided in this
Section for its corporate purposes. However, no county water
commission may impose any such tax unless the commission
certifies the proposition of imposing the tax to the proper
election officials, who shall submit the proposition to the
voters residing in the territory at an election in accordance
with the general election law, and the proposition has been
approved by a majority of those voting on the proposition.
    The proposition shall be in the form provided in Section 5
or shall be substantially in the following form:
-------------------------------------------------------------
    Shall the (insert corporate
name of county water commission)           YES
impose (state type of tax or         ------------------------
taxes to be imposed) at the                NO
rate of 1/4%?
-------------------------------------------------------------
    Taxes imposed under this Section and civil penalties
imposed incident thereto shall be collected and enforced by the
State Department of Revenue. The Department shall have the
power to administer and enforce the taxes and to determine all
rights for refunds for erroneous payments of the taxes.
    (b) The board of commissioners may impose a County Water
Commission Retailers' Occupation Tax upon all persons engaged
in the business of selling tangible personal property at retail
in the territory of the commission at a rate of 1/4% of the
gross receipts from the sales made in the course of such
business within the territory. The tax imposed under this
paragraph and all civil penalties that may be assessed as an
incident thereof shall be collected and enforced by the State
Department of Revenue. The Department shall have full power to
administer and enforce this paragraph; to collect all taxes and
penalties due hereunder; to dispose of taxes and penalties so
collected in the manner hereinafter provided; and to determine
all rights to credit memoranda arising on account of the
erroneous payment of tax or penalty hereunder. In the
administration of, and compliance with, this paragraph, the
Department and persons who are subject to this paragraph shall
have the same rights, remedies, privileges, immunities, powers
and duties, and be subject to the same conditions,
restrictions, limitations, penalties, exclusions, exemptions
and definitions of terms, and employ the same modes of
procedure, as are prescribed in Sections 1, 1a, 1a-1, 1c, 1d,
1e, 1f, 1i, 1j, 2 through 2-65 (in respect to all provisions
therein other than the State rate of tax except that food for
human consumption that is to be consumed off the premises where
it is sold (other than alcoholic beverages, soft drinks, and
food that has been prepared for immediate consumption) and
prescription and nonprescription medicine, drugs, medical
appliances and insulin, urine testing materials, syringes, and
needles used by diabetics, for human use, shall not be subject
to tax hereunder), 2c, 3 (except as to the disposition of taxes
and penalties collected), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5h,
5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 6d, 7, 8, 9, 10, 11, 12, and 13
of the Retailers' Occupation Tax Act and Section 3-7 of the
Uniform Penalty and Interest Act, as fully as if those
provisions were set forth herein.
    Persons subject to any tax imposed under the authority
granted in this paragraph may reimburse themselves for their
seller's tax liability hereunder by separately stating the tax
as an additional charge, which charge may be stated in
combination, in a single amount, with State taxes that sellers
are required to collect under the Use Tax Act and under
subsection (e) of Section 4.03 of the Regional Transportation
Authority Act, in accordance with such bracket schedules as the
Department may prescribe.
    Whenever the Department determines that a refund should be
made under this paragraph to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the warrant to be drawn for the
amount specified, and to the person named, in the notification
from the Department. The refund shall be paid by the State
Treasurer out of a county water commission tax fund established
under subsection paragraph (g) of this Section.
    For the purpose of determining whether a tax authorized
under this paragraph is applicable, a retail sale by a producer
of coal or other mineral mined in Illinois is a sale at retail
at the place where the coal or other mineral mined in Illinois
is extracted from the earth. This paragraph does not apply to
coal or other mineral when it is delivered or shipped by the
seller to the purchaser at a point outside Illinois so that the
sale is exempt under the Federal Constitution as a sale in
interstate or foreign commerce.
    If a tax is imposed under this subsection (b), a tax shall
also be imposed under subsections (c) and (d) of this Section.
    No tax shall be imposed or collected under this subsection
on the sale of a motor vehicle in this State to a resident of
another state if that motor vehicle will not be titled in this
State.
    Nothing in this paragraph shall be construed to authorize a
county water commission to impose a tax upon the privilege of
engaging in any business which under the Constitution of the
United States may not be made the subject of taxation by this
State.
    (c) If a tax has been imposed under subsection (b), a
County Water Commission Service Occupation Tax shall also be
imposed upon all persons engaged, in the territory of the
commission, in the business of making sales of service, who, as
an incident to making the sales of service, transfer tangible
personal property within the territory. The tax rate shall be
1/4% of the selling price of tangible personal property so
transferred within the territory. The tax imposed under this
paragraph and all civil penalties that may be assessed as an
incident thereof shall be collected and enforced by the State
Department of Revenue. The Department shall have full power to
administer and enforce this paragraph; to collect all taxes and
penalties due hereunder; to dispose of taxes and penalties so
collected in the manner hereinafter provided; and to determine
all rights to credit memoranda arising on account of the
erroneous payment of tax or penalty hereunder. In the
administration of, and compliance with, this paragraph, the
Department and persons who are subject to this paragraph shall
have the same rights, remedies, privileges, immunities, powers
and duties, and be subject to the same conditions,
restrictions, limitations, penalties, exclusions, exemptions
and definitions of terms, and employ the same modes of
procedure, as are prescribed in Sections 1a-1, 2 (except that
the reference to State in the definition of supplier
maintaining a place of business in this State shall mean the
territory of the commission), 2a, 3 through 3-50 (in respect to
all provisions therein other than the State rate of tax except
that food for human consumption that is to be consumed off the
premises where it is sold (other than alcoholic beverages, soft
drinks, and food that has been prepared for immediate
consumption) and prescription and nonprescription medicines,
drugs, medical appliances and insulin, urine testing
materials, syringes, and needles used by diabetics, for human
use, shall not be subject to tax hereunder), 4 (except that the
reference to the State shall be to the territory of the
commission), 5, 7, 8 (except that the jurisdiction to which the
tax shall be a debt to the extent indicated in that Section 8
shall be the commission), 9 (except as to the disposition of
taxes and penalties collected and except that the returned
merchandise credit for this tax may not be taken against any
State tax), 10, 11, 12 (except the reference therein to Section
2b of the Retailers' Occupation Tax Act), 13 (except that any
reference to the State shall mean the territory of the
commission), the first paragraph of Section 15, 15.5, 16, 17,
18, 19, and 20 of the Service Occupation Tax Act as fully as if
those provisions were set forth herein.
    Persons subject to any tax imposed under the authority
granted in this paragraph may reimburse themselves for their
serviceman's tax liability hereunder by separately stating the
tax as an additional charge, which charge may be stated in
combination, in a single amount, with State tax that servicemen
are authorized to collect under the Service Use Tax Act, and
any tax for which servicemen may be liable under subsection (f)
of Section 4.03 of the Regional Transportation Authority Act,
in accordance with such bracket schedules as the Department may
prescribe.
    Whenever the Department determines that a refund should be
made under this paragraph to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the warrant to be drawn for the
amount specified, and to the person named, in the notification
from the Department. The refund shall be paid by the State
Treasurer out of a county water commission tax fund established
under subsection paragraph (g) of this Section.
    Nothing in this paragraph shall be construed to authorize a
county water commission to impose a tax upon the privilege of
engaging in any business which under the Constitution of the
United States may not be made the subject of taxation by the
State.
    (d) If a tax has been imposed under subsection (b), a tax
shall also be imposed upon the privilege of using, in the
territory of the commission, any item of tangible personal
property that is purchased outside the territory at retail from
a retailer, and that is titled or registered with an agency of
this State's government, at a rate of 1/4% of the selling price
of the tangible personal property within the territory, as
"selling price" is defined in the Use Tax Act. The tax shall be
collected from persons whose Illinois address for titling or
registration purposes is given as being in the territory. The
tax shall be collected by the Department of Revenue for a
county water commission. The tax must be paid to the State, or
an exemption determination must be obtained from the Department
of Revenue, before the title or certificate of registration for
the property may be issued. The tax or proof of exemption may
be transmitted to the Department by way of the State agency
with which, or the State officer with whom, the tangible
personal property must be titled or registered if the
Department and the State agency or State officer determine that
this procedure will expedite the processing of applications for
title or registration.
    The Department shall have full power to administer and
enforce this paragraph; to collect all taxes, penalties, and
interest due hereunder; to dispose of taxes, penalties, and
interest so collected in the manner hereinafter provided; and
to determine all rights to credit memoranda or refunds arising
on account of the erroneous payment of tax, penalty, or
interest hereunder. In the administration of, and compliance
with this paragraph, the Department and persons who are subject
to this paragraph shall have the same rights, remedies,
privileges, immunities, powers, and duties, and be subject to
the same conditions, restrictions, limitations, penalties,
exclusions, exemptions, and definitions of terms and employ the
same modes of procedure, as are prescribed in Sections 2
(except the definition of "retailer maintaining a place of
business in this State"), 3 through 3-80 (except provisions
pertaining to the State rate of tax, and except provisions
concerning collection or refunding of the tax by retailers, and
except that food for human consumption that is to be consumed
off the premises where it is sold (other than alcoholic
beverages, soft drinks, and food that has been prepared for
immediate consumption) and prescription and nonprescription
medicines, drugs, medical appliances and insulin, urine
testing materials, syringes, and needles used by diabetics, for
human use, shall not be subject to tax hereunder), 4, 11, 12,
12a, 14, 15, 19 (except the portions pertaining to claims by
retailers and except the last paragraph concerning refunds),
20, 21, and 22 of the Use Tax Act and Section 3-7 of the Uniform
Penalty and Interest Act that are not inconsistent with this
paragraph, as fully as if those provisions were set forth
herein.
    Whenever the Department determines that a refund should be
made under this paragraph to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the order to be drawn for the
amount specified, and to the person named, in the notification
from the Department. The refund shall be paid by the State
Treasurer out of a county water commission tax fund established
under subsection paragraph (g) of this Section.
    (e) A certificate of registration issued by the State
Department of Revenue to a retailer under the Retailers'
Occupation Tax Act or under the Service Occupation Tax Act
shall permit the registrant to engage in a business that is
taxed under the tax imposed under subsection paragraphs (b),
(c), or (d) of this Section and no additional registration
shall be required under the tax. A certificate issued under the
Use Tax Act or the Service Use Tax Act shall be applicable with
regard to any tax imposed under subsection paragraph (c) of
this Section.
    (f) Any ordinance imposing or discontinuing any tax under
this Section shall be adopted and a certified copy thereof
filed with the Department on or before June 1, whereupon the
Department of Revenue shall proceed to administer and enforce
this Section on behalf of the county water commission as of
September 1 next following the adoption and filing. Beginning
January 1, 1992, an ordinance or resolution imposing or
discontinuing the tax hereunder shall be adopted and a
certified copy thereof filed with the Department on or before
the first day of July, whereupon the Department shall proceed
to administer and enforce this Section as of the first day of
October next following such adoption and filing. Beginning
January 1, 1993, an ordinance or resolution imposing or
discontinuing the tax hereunder shall be adopted and a
certified copy thereof filed with the Department on or before
the first day of October, whereupon the Department shall
proceed to administer and enforce this Section as of the first
day of January next following such adoption and filing.
    (g) The State Department of Revenue shall, upon collecting
any taxes as provided in this Section, pay the taxes over to
the State Treasurer as trustee for the commission. The taxes
shall be held in a trust fund outside the State Treasury.
    As soon as possible after the first day of each month,
beginning January 1, 2011, upon certification of the Department
of Revenue, the Comptroller shall order transferred, and the
Treasurer shall transfer, to the STAR Bonds Revenue Fund the
local sales tax increment, as defined in the Innovation
Development and Economy Act, collected under this Section
during the second preceding calendar month for sales within a
STAR bond district.
    After the monthly transfer to the STAR Bonds Revenue Fund,
on or before the 25th day of each calendar month, the State
Department of Revenue shall prepare and certify to the
Comptroller of the State of Illinois the amount to be paid to
the commission, which shall be the amount (not including credit
memoranda) collected under this Section during the second
preceding calendar month by the Department plus an amount the
Department determines is necessary to offset any amounts that
were erroneously paid to a different taxing body, and not
including any amount equal to the amount of refunds made during
the second preceding calendar month by the Department on behalf
of the commission, and not including any amount that the
Department determines is necessary to offset any amounts that
were payable to a different taxing body but were erroneously
paid to the commission, and less any amounts that are
transferred to the STAR Bonds Revenue Fund, less 1.5% 2% of the
remainder, which shall be transferred into the Tax Compliance
and Administration Fund. The Department, at the time of each
monthly disbursement to the commission, shall prepare and
certify to the State Comptroller the amount to be transferred
into the Tax Compliance and Administration Fund under this
subsection. Within 10 days after receipt by the Comptroller of
the certification of the amount to be paid to the commission
and the Tax Compliance and Administration Fund, the Comptroller
shall cause an order to be drawn for the payment for the amount
in accordance with the direction in the certification.
    (h) Beginning June 1, 2016, any tax imposed pursuant to
this Section may no longer be imposed or collected, unless a
continuation of the tax is approved by the voters at a
referendum as set forth in this Section.
(Source: P.A. 99-217, eff. 7-31-15; 99-642, eff. 7-28-16;
100-23, eff. 7-6-17; revised 10-3-17.)
 
ARTICLE 25. FISCAL YEAR LIMITATIONS

 
    Section 25-5. The State Finance Act is amended by changing
Sections 5h.5 and 25 as follows:
 
    (30 ILCS 105/5h.5)
    Sec. 5h.5. Cash flow borrowing and general funds liquidity;
Fiscal Years Year 2018 and 2019.
    (a) In order to meet cash flow deficits and to maintain
liquidity in general funds and the Health Insurance Reserve
Fund, on and after July 1, 2017 and through March 1, 2019
December 31, 2018, the State Treasurer and the State
Comptroller, in consultation with the Governor's Office of
Management and Budget, shall make transfers to general funds
and the Health Insurance Reserve Fund, as directed by the State
Comptroller, out of special funds of the State, to the extent
allowed by federal law.
    No such transfer may reduce the cumulative balance of all
of the special funds of the State to an amount less than the
total debt service payable during the 12 months immediately
following the date of the transfer on any bonded indebtedness
of the State and any certificates issued under the Short Term
Borrowing Act. At no time shall the outstanding total transfers
made from the special funds of the State to general funds and
the Health Insurance Reserve Fund under this Section exceed
$1,200,000,000; once the amount of $1,200,000,000 has been
transferred from the special funds of the State to general
funds and the Health Insurance Reserve Fund, additional
transfers may be made from the special funds of the State to
general funds and the Health Insurance Reserve Fund under this
Section only to the extent that moneys have first been
re-transferred from general funds and the Health Insurance
Reserve Fund to those special funds of the State.
Notwithstanding any other provision of this Section, no such
transfer may be made from any special fund that is exclusively
collected by or directly appropriated to any other
constitutional officer without the written approval of that
constitutional officer.
    (b) If moneys have been transferred to general funds and
the Health Insurance Reserve Fund pursuant to subsection (a) of
this Section, this amendatory Act of the 100th General Assembly
shall constitute the continuing authority for and direction to
the State Treasurer and State Comptroller to reimburse the
funds of origin from general funds by transferring to the funds
of origin, at such times and in such amounts as directed by the
Comptroller when necessary to support appropriated
expenditures from the funds, an amount equal to that
transferred from them plus any interest that would have accrued
thereon had the transfer not occurred, except that any moneys
transferred pursuant to subsection (a) of this Section shall be
repaid to the fund of origin within 24 months after the date on
which they were borrowed. When any of the funds from which
moneys have been transferred pursuant to subsection (a) have
insufficient cash from which the State Comptroller may make
expenditures properly supported by appropriations from the
fund, then the State Treasurer and State Comptroller shall
transfer from general funds to the fund only such amount as is
immediately necessary to satisfy outstanding expenditure
obligations on a timely basis.
    (c) On the first day of each quarterly period in each
fiscal year, until such time as a report indicates that all
moneys borrowed and interest pursuant to this Section have been
repaid, the Comptroller shall provide to the President and the
Minority Leader of the Senate, the Speaker and the Minority
Leader of the House of Representatives, and the Commission on
Government Forecasting and Accountability a report on all
transfers made pursuant to this Section in the prior quarterly
period. The report must be provided in electronic format. The
report must include all of the following:
        (1) the date each transfer was made;
        (2) the amount of each transfer;
        (3) in the case of a transfer from general funds to a
    fund of origin pursuant to subsection (b) of this Section,
    the amount of interest being paid to the fund of origin;
    and
        (4) the end of day balance of the fund of origin, the
    general funds, and the Health Insurance Reserve Fund on the
    date the transfer was made.
(Source: P.A. 100-23, eff. 7-6-17.)
 
    (30 ILCS 105/25)  (from Ch. 127, par. 161)
    Sec. 25. Fiscal year limitations.
    (a) All appropriations shall be available for expenditure
for the fiscal year or for a lesser period if the Act making
that appropriation so specifies. A deficiency or emergency
appropriation shall be available for expenditure only through
June 30 of the year when the Act making that appropriation is
enacted unless that Act otherwise provides.
    (b) Outstanding liabilities as of June 30, payable from
appropriations which have otherwise expired, may be paid out of
the expiring appropriations during the 2-month period ending at
the close of business on August 31. Any service involving
professional or artistic skills or any personal services by an
employee whose compensation is subject to income tax
withholding must be performed as of June 30 of the fiscal year
in order to be considered an "outstanding liability as of June
30" that is thereby eligible for payment out of the expiring
appropriation.
    (b-1) However, payment of tuition reimbursement claims
under Section 14-7.03 or 18-3 of the School Code may be made by
the State Board of Education from its appropriations for those
respective purposes for any fiscal year, even though the claims
reimbursed by the payment may be claims attributable to a prior
fiscal year, and payments may be made at the direction of the
State Superintendent of Education from the fund from which the
appropriation is made without regard to any fiscal year
limitations, except as required by subsection (j) of this
Section. Beginning on June 30, 2021, payment of tuition
reimbursement claims under Section 14-7.03 or 18-3 of the
School Code as of June 30, payable from appropriations that
have otherwise expired, may be paid out of the expiring
appropriation during the 4-month period ending at the close of
business on October 31.
    (b-2) All outstanding liabilities as of June 30, 2010,
payable from appropriations that would otherwise expire at the
conclusion of the lapse period for fiscal year 2010, and
interest penalties payable on those liabilities under the State
Prompt Payment Act, may be paid out of the expiring
appropriations until December 31, 2010, without regard to the
fiscal year in which the payment is made, as long as vouchers
for the liabilities are received by the Comptroller no later
than August 31, 2010.
    (b-2.5) All outstanding liabilities as of June 30, 2011,
payable from appropriations that would otherwise expire at the
conclusion of the lapse period for fiscal year 2011, and
interest penalties payable on those liabilities under the State
Prompt Payment Act, may be paid out of the expiring
appropriations until December 31, 2011, without regard to the
fiscal year in which the payment is made, as long as vouchers
for the liabilities are received by the Comptroller no later
than August 31, 2011.
    (b-2.6) All outstanding liabilities as of June 30, 2012,
payable from appropriations that would otherwise expire at the
conclusion of the lapse period for fiscal year 2012, and
interest penalties payable on those liabilities under the State
Prompt Payment Act, may be paid out of the expiring
appropriations until December 31, 2012, without regard to the
fiscal year in which the payment is made, as long as vouchers
for the liabilities are received by the Comptroller no later
than August 31, 2012.
    (b-2.6a) All outstanding liabilities as of June 30, 2017,
payable from appropriations that would otherwise expire at the
conclusion of the lapse period for fiscal year 2017, and
interest penalties payable on those liabilities under the State
Prompt Payment Act, may be paid out of the expiring
appropriations until December 31, 2017, without regard to the
fiscal year in which the payment is made, as long as vouchers
for the liabilities are received by the Comptroller no later
than September 30, 2017.
    (b-2.6b) All outstanding liabilities as of June 30, 2018,
payable from appropriations that would otherwise expire at the
conclusion of the lapse period for fiscal year 2018, and
interest penalties payable on those liabilities under the State
Prompt Payment Act, may be paid out of the expiring
appropriations until December 31, 2018, without regard to the
fiscal year in which the payment is made, as long as vouchers
for the liabilities are received by the Comptroller no later
than October 31, 2018.
    (b-2.7) For fiscal years 2012, 2013, and 2014, interest
penalties payable under the State Prompt Payment Act associated
with a voucher for which payment is issued after June 30 may be
paid out of the next fiscal year's appropriation. The future
year appropriation must be for the same purpose and from the
same fund as the original payment. An interest penalty voucher
submitted against a future year appropriation must be submitted
within 60 days after the issuance of the associated voucher,
and the Comptroller must issue the interest payment within 60
days after acceptance of the interest voucher.
    (b-3) Medical payments may be made by the Department of
Veterans' Affairs from its appropriations for those purposes
for any fiscal year, without regard to the fact that the
medical services being compensated for by such payment may have
been rendered in a prior fiscal year, except as required by
subsection (j) of this Section. Beginning on June 30, 2021,
medical payments payable from appropriations that have
otherwise expired may be paid out of the expiring appropriation
during the 4-month period ending at the close of business on
October 31.
    (b-4) Medical payments and child care payments may be made
by the Department of Human Services (as successor to the
Department of Public Aid) from appropriations for those
purposes for any fiscal year, without regard to the fact that
the medical or child care services being compensated for by
such payment may have been rendered in a prior fiscal year; and
payments may be made at the direction of the Department of
Healthcare and Family Services (or successor agency) from the
Health Insurance Reserve Fund without regard to any fiscal year
limitations, except as required by subsection (j) of this
Section. Beginning on June 30, 2021, medical and child care
payments made by the Department of Human Services and payments
made at the discretion of the Department of Healthcare and
Family Services (or successor agency) from the Health Insurance
Reserve Fund and payable from appropriations that have
otherwise expired may be paid out of the expiring appropriation
during the 4-month period ending at the close of business on
October 31.
    (b-5) Medical payments may be made by the Department of
Human Services from its appropriations relating to substance
abuse treatment services for any fiscal year, without regard to
the fact that the medical services being compensated for by
such payment may have been rendered in a prior fiscal year,
provided the payments are made on a fee-for-service basis
consistent with requirements established for Medicaid
reimbursement by the Department of Healthcare and Family
Services, except as required by subsection (j) of this Section.
Beginning on June 30, 2021, medical payments made by the
Department of Human Services relating to substance abuse
treatment services payable from appropriations that have
otherwise expired may be paid out of the expiring appropriation
during the 4-month period ending at the close of business on
October 31.
    (b-6) Additionally, payments may be made by the Department
of Human Services from its appropriations, or any other State
agency from its appropriations with the approval of the
Department of Human Services, from the Immigration Reform and
Control Fund for purposes authorized pursuant to the
Immigration Reform and Control Act of 1986, without regard to
any fiscal year limitations, except as required by subsection
(j) of this Section. Beginning on June 30, 2021, payments made
by the Department of Human Services from the Immigration Reform
and Control Fund for purposes authorized pursuant to the
Immigration Reform and Control Act of 1986 payable from
appropriations that have otherwise expired may be paid out of
the expiring appropriation during the 4-month period ending at
the close of business on October 31.
    (b-7) Payments may be made in accordance with a plan
authorized by paragraph (11) or (12) of Section 405-105 of the
Department of Central Management Services Law from
appropriations for those payments without regard to fiscal year
limitations.
    (b-8) Reimbursements to eligible airport sponsors for the
construction or upgrading of Automated Weather Observation
Systems may be made by the Department of Transportation from
appropriations for those purposes for any fiscal year, without
regard to the fact that the qualification or obligation may
have occurred in a prior fiscal year, provided that at the time
the expenditure was made the project had been approved by the
Department of Transportation prior to June 1, 2012 and, as a
result of recent changes in federal funding formulas, can no
longer receive federal reimbursement.
    (b-9) Medical payments not exceeding $150,000,000 may be
made by the Department on Aging from its appropriations
relating to the Community Care Program for fiscal year 2014,
without regard to the fact that the medical services being
compensated for by such payment may have been rendered in a
prior fiscal year, provided the payments are made on a
fee-for-service basis consistent with requirements established
for Medicaid reimbursement by the Department of Healthcare and
Family Services, except as required by subsection (j) of this
Section.
    (c) Further, payments may be made by the Department of
Public Health and the Department of Human Services (acting as
successor to the Department of Public Health under the
Department of Human Services Act) from their respective
appropriations for grants for medical care to or on behalf of
premature and high-mortality risk infants and their mothers and
for grants for supplemental food supplies provided under the
United States Department of Agriculture Women, Infants and
Children Nutrition Program, for any fiscal year without regard
to the fact that the services being compensated for by such
payment may have been rendered in a prior fiscal year, except
as required by subsection (j) of this Section. Beginning on
June 30, 2021, payments made by the Department of Public Health
and the Department of Human Services from their respective
appropriations for grants for medical care to or on behalf of
premature and high-mortality risk infants and their mothers and
for grants for supplemental food supplies provided under the
United States Department of Agriculture Women, Infants and
Children Nutrition Program payable from appropriations that
have otherwise expired may be paid out of the expiring
appropriations during the 4-month period ending at the close of
business on October 31.
    (d) The Department of Public Health and the Department of
Human Services (acting as successor to the Department of Public
Health under the Department of Human Services Act) shall each
annually submit to the State Comptroller, Senate President,
Senate Minority Leader, Speaker of the House, House Minority
Leader, and the respective Chairmen and Minority Spokesmen of
the Appropriations Committees of the Senate and the House, on
or before December 31, a report of fiscal year funds used to
pay for services provided in any prior fiscal year. This report
shall document by program or service category those
expenditures from the most recently completed fiscal year used
to pay for services provided in prior fiscal years.
    (e) The Department of Healthcare and Family Services, the
Department of Human Services (acting as successor to the
Department of Public Aid), and the Department of Human Services
making fee-for-service payments relating to substance abuse
treatment services provided during a previous fiscal year shall
each annually submit to the State Comptroller, Senate
President, Senate Minority Leader, Speaker of the House, House
Minority Leader, the respective Chairmen and Minority
Spokesmen of the Appropriations Committees of the Senate and
the House, on or before November 30, a report that shall
document by program or service category those expenditures from
the most recently completed fiscal year used to pay for (i)
services provided in prior fiscal years and (ii) services for
which claims were received in prior fiscal years.
    (f) The Department of Human Services (as successor to the
Department of Public Aid) shall annually submit to the State
Comptroller, Senate President, Senate Minority Leader, Speaker
of the House, House Minority Leader, and the respective
Chairmen and Minority Spokesmen of the Appropriations
Committees of the Senate and the House, on or before December
31, a report of fiscal year funds used to pay for services
(other than medical care) provided in any prior fiscal year.
This report shall document by program or service category those
expenditures from the most recently completed fiscal year used
to pay for services provided in prior fiscal years.
    (g) In addition, each annual report required to be
submitted by the Department of Healthcare and Family Services
under subsection (e) shall include the following information
with respect to the State's Medicaid program:
        (1) Explanations of the exact causes of the variance
    between the previous year's estimated and actual
    liabilities.
        (2) Factors affecting the Department of Healthcare and
    Family Services' liabilities, including but not limited to
    numbers of aid recipients, levels of medical service
    utilization by aid recipients, and inflation in the cost of
    medical services.
        (3) The results of the Department's efforts to combat
    fraud and abuse.
    (h) As provided in Section 4 of the General Assembly
Compensation Act, any utility bill for service provided to a
General Assembly member's district office for a period
including portions of 2 consecutive fiscal years may be paid
from funds appropriated for such expenditure in either fiscal
year.
    (i) An agency which administers a fund classified by the
Comptroller as an internal service fund may issue rules for:
        (1) billing user agencies in advance for payments or
    authorized inter-fund transfers based on estimated charges
    for goods or services;
        (2) issuing credits, refunding through inter-fund
    transfers, or reducing future inter-fund transfers during
    the subsequent fiscal year for all user agency payments or
    authorized inter-fund transfers received during the prior
    fiscal year which were in excess of the final amounts owed
    by the user agency for that period; and
        (3) issuing catch-up billings to user agencies during
    the subsequent fiscal year for amounts remaining due when
    payments or authorized inter-fund transfers received from
    the user agency during the prior fiscal year were less than
    the total amount owed for that period.
User agencies are authorized to reimburse internal service
funds for catch-up billings by vouchers drawn against their
respective appropriations for the fiscal year in which the
catch-up billing was issued or by increasing an authorized
inter-fund transfer during the current fiscal year. For the
purposes of this Act, "inter-fund transfers" means transfers
without the use of the voucher-warrant process, as authorized
by Section 9.01 of the State Comptroller Act.
    (i-1) Beginning on July 1, 2021, all outstanding
liabilities, not payable during the 4-month lapse period as
described in subsections (b-1), (b-3), (b-4), (b-5), (b-6), and
(c) of this Section, that are made from appropriations for that
purpose for any fiscal year, without regard to the fact that
the services being compensated for by those payments may have
been rendered in a prior fiscal year, are limited to only those
claims that have been incurred but for which a proper bill or
invoice as defined by the State Prompt Payment Act has not been
received by September 30th following the end of the fiscal year
in which the service was rendered.
    (j) Notwithstanding any other provision of this Act, the
aggregate amount of payments to be made without regard for
fiscal year limitations as contained in subsections (b-1),
(b-3), (b-4), (b-5), (b-6), and (c) of this Section, and
determined by using Generally Accepted Accounting Principles,
shall not exceed the following amounts:
        (1) $6,000,000,000 for outstanding liabilities related
    to fiscal year 2012;
        (2) $5,300,000,000 for outstanding liabilities related
    to fiscal year 2013;
        (3) $4,600,000,000 for outstanding liabilities related
    to fiscal year 2014;
        (4) $4,000,000,000 for outstanding liabilities related
    to fiscal year 2015;
        (5) $3,300,000,000 for outstanding liabilities related
    to fiscal year 2016;
        (6) $2,600,000,000 for outstanding liabilities related
    to fiscal year 2017;
        (7) $2,000,000,000 for outstanding liabilities related
    to fiscal year 2018;
        (8) $1,300,000,000 for outstanding liabilities related
    to fiscal year 2019;
        (9) $600,000,000 for outstanding liabilities related
    to fiscal year 2020; and
        (10) $0 for outstanding liabilities related to fiscal
    year 2021 and fiscal years thereafter.
    (k) Department of Healthcare and Family Services Medical
Assistance Payments.
        (1) Definition of Medical Assistance.
            For purposes of this subsection, the term "Medical
        Assistance" shall include, but not necessarily be
        limited to, medical programs and services authorized
        under Titles XIX and XXI of the Social Security Act,
        the Illinois Public Aid Code, the Children's Health
        Insurance Program Act, the Covering ALL KIDS Health
        Insurance Act, the Long Term Acute Care Hospital
        Quality Improvement Transfer Program Act, and medical
        care to or on behalf of persons suffering from chronic
        renal disease, persons suffering from hemophilia, and
        victims of sexual assault.
        (2) Limitations on Medical Assistance payments that
    may be paid from future fiscal year appropriations.
            (A) The maximum amounts of annual unpaid Medical
        Assistance bills received and recorded by the
        Department of Healthcare and Family Services on or
        before June 30th of a particular fiscal year
        attributable in aggregate to the General Revenue Fund,
        Healthcare Provider Relief Fund, Tobacco Settlement
        Recovery Fund, Long-Term Care Provider Fund, and the
        Drug Rebate Fund that may be paid in total by the
        Department from future fiscal year Medical Assistance
        appropriations to those funds are: $700,000,000 for
        fiscal year 2013 and $100,000,000 for fiscal year 2014
        and each fiscal year thereafter.
            (B) Bills for Medical Assistance services rendered
        in a particular fiscal year, but received and recorded
        by the Department of Healthcare and Family Services
        after June 30th of that fiscal year, may be paid from
        either appropriations for that fiscal year or future
        fiscal year appropriations for Medical Assistance.
        Such payments shall not be subject to the requirements
        of subparagraph (A).
            (C) Medical Assistance bills received by the
        Department of Healthcare and Family Services in a
        particular fiscal year, but subject to payment amount
        adjustments in a future fiscal year may be paid from a
        future fiscal year's appropriation for Medical
        Assistance. Such payments shall not be subject to the
        requirements of subparagraph (A).
            (D) Medical Assistance payments made by the
        Department of Healthcare and Family Services from
        funds other than those specifically referenced in
        subparagraph (A) may be made from appropriations for
        those purposes for any fiscal year without regard to
        the fact that the Medical Assistance services being
        compensated for by such payment may have been rendered
        in a prior fiscal year. Such payments shall not be
        subject to the requirements of subparagraph (A).
        (3) Extended lapse period for Department of Healthcare
    and Family Services Medical Assistance payments.
    Notwithstanding any other State law to the contrary,
    outstanding Department of Healthcare and Family Services
    Medical Assistance liabilities, as of June 30th, payable
    from appropriations which have otherwise expired, may be
    paid out of the expiring appropriations during the 6-month
    period ending at the close of business on December 31st.
    (l) The changes to this Section made by Public Act 97-691
shall be effective for payment of Medical Assistance bills
incurred in fiscal year 2013 and future fiscal years. The
changes to this Section made by Public Act 97-691 shall not be
applied to Medical Assistance bills incurred in fiscal year
2012 or prior fiscal years.
    (m) The Comptroller must issue payments against
outstanding liabilities that were received prior to the lapse
period deadlines set forth in this Section as soon thereafter
as practical, but no payment may be issued after the 4 months
following the lapse period deadline without the signed
authorization of the Comptroller and the Governor.
(Source: P.A. 100-23, eff. 7-6-17.)
 
ARTICLE 30. FACILITY PAYMENT

 
    Section 30-5. The Specialized Mental Health Rehabilitation
Act of 2013 is amended by adding Sections 5-104 and 5-105 as
follows:
 
    (210 ILCS 49/5-104 new)
    Sec. 5-104. Medicaid rates. Notwithstanding any provision
of law to the contrary, the Medicaid rates for Specialized
Mental Health Rehabilitation Facilities effective on July 1,
2018 must be equal to the rates in effect for Specialized
Mental Health Rehabilitation Facilities on June 30, 2018,
increased by 4%. The Department shall adopt rules, including
emergency rules under subsection (bb) of Section 5-45 of the
Illinois Administrative Procedure Act, to implement the
provisions of this Section.
 
    (210 ILCS 49/5-105 new)
    Sec. 5-105. Therapeutic visit rates. For a facility
licensed under this Act on or before June 1, 2018 or
provisionally licensed under this Act on or before June 1,
2018, a payment shall be made for therapeutic visits that have
been indicated by an interdisciplinary team as therapeutically
beneficial. Payment under this Section shall be at a rate of
75% of the facility's rate on the effective date of this
amendatory Act of the 100th General Assembly and may not exceed
20 days in a fiscal year and shall not exceed 10 days
consecutively.
 
ARTICLE 35. SECRETARY OF STATE

 
    Section 35-5. The State Finance Act is amended by changing
Section 6z-70 as follows:
 
    (30 ILCS 105/6z-70)
    Sec. 6z-70. The Secretary of State Identification Security
and Theft Prevention Fund.
    (a) The Secretary of State Identification Security and
Theft Prevention Fund is created as a special fund in the State
treasury. The Fund shall consist of any fund transfers, grants,
fees, or moneys from other sources received for the purpose of
funding identification security and theft prevention measures.
    (b) All moneys in the Secretary of State Identification
Security and Theft Prevention Fund shall be used, subject to
appropriation, for any costs related to implementing
identification security and theft prevention measures.
    (c) (Blank). Notwithstanding any other provision of State
law to the contrary, on or after July 1, 2007, and until June
30, 2008, in addition to any other transfers that may be
provided for by law, at the direction of and upon notification
of the Secretary of State, the State Comptroller shall direct
and the State Treasurer shall transfer amounts into the
Secretary of State Identification Security and Theft
Prevention Fund from the designated funds not exceeding the
following totals:
    Lobbyist Registration Administration Fund........$100,000
    Registered Limited Liability Partnership Fund.....$75,000
    Securities Investors Education Fund..............$500,000
    Securities Audit and Enforcement Fund..........$5,725,000
    Department of Business Services
    Special Operations Fund........................$3,000,000
    Corporate Franchise Tax Refund Fund...........$3,000,000.
    (d) (Blank). Notwithstanding any other provision of State
law to the contrary, on or after July 1, 2008, and until June
30, 2009, in addition to any other transfers that may be
provided for by law, at the direction of and upon notification
of the Secretary of State, the State Comptroller shall direct
and the State Treasurer shall transfer amounts into the
Secretary of State Identification Security and Theft
Prevention Fund from the designated funds not exceeding the
following totals:
    Lobbyist Registration Administration Fund........$100,000
    Registered Limited Liability Partnership Fund.....$75,000
    Securities Investors Education Fund..............$500,000
    Securities Audit and Enforcement Fund..........$5,725,000
    Department of Business Services
        Special Operations Fund...................$3,000,000
    Corporate Franchise Tax Refund Fund............$3,000,000
    State Parking Facility Maintenance Fund..........$100,000
    (e) (Blank). Notwithstanding any other provision of State
law to the contrary, on or after July 1, 2009, and until June
30, 2010, in addition to any other transfers that may be
provided for by law, at the direction of and upon notification
of the Secretary of State, the State Comptroller shall direct
and the State Treasurer shall transfer amounts into the
Secretary of State Identification Security and Theft
Prevention Fund from the designated funds not exceeding the
following totals:
    Lobbyist Registration Administration Fund........$100,000
    Registered Limited Liability Partnership Fund....$175,000
    Securities Investors Education Fund..............$750,000
    Securities Audit and Enforcement Fund............$750,000
    Department of Business Services
        Special Operations Fund....................$3,000,000
    Corporate Franchise Tax Refund Fund............$3,000,000
    State Parking Facility Maintenance Fund..........$100,000
    (f) (Blank). Notwithstanding any other provision of State
law to the contrary, on or after July 1, 2010, and until June
30, 2011, in addition to any other transfers that may be
provided for by law, at the direction of and upon notification
of the Secretary of State, the State Comptroller shall direct
and the State Treasurer shall transfer amounts into the
Secretary of State Identification Security and Theft
Prevention Fund from the designated funds not exceeding the
following totals:
    Registered Limited Liability Partnership Fund....$287,000
    Securities Investors Education Board.............$750,000
    Securities Audit and Enforcement Fund............$750,000
    Department of Business Services Special
        Operations Fund............................$3,000,000
    Corporate Franchise Tax Refund Fund............$3,000,000
    (g) (Blank). Notwithstanding any other provision of State
law to the contrary, on or after July 1, 2011, and until June
30, 2012, in addition to any other transfers that may be
provided for by law, at the direction of and upon notification
of the Secretary of State, the State Comptroller shall direct
and the State Treasurer shall transfer amounts into the
Secretary of State Identification Security and Theft
Prevention Fund from the designated funds not exceeding the
following totals:
    Division of Corporations Registered
        Limited Liability Partnership Fund...........$287,000
    Securities Investors Education Fund..............$750,000
    Securities Audit and Enforcement Fund..........$3,500,000
    Department of Business Services
        Special Operations Fund....................$3,000,000
    Corporate Franchise Tax Refund Fund............$3,000,000
    (h) (Blank). Notwithstanding any other provision of State
law to the contrary, on or after the effective date of this
amendatory Act of the 98th General Assembly, and until June 30,
2014, in addition to any other transfers that may be provided
for by law, at the direction of and upon notification from the
Secretary of State, the State Comptroller shall direct and the
State Treasurer shall transfer amounts into the Secretary of
State Identification Security and Theft Prevention Fund from
the designated funds not exceeding the following totals:
    Division of Corporations Registered Limited
        Liability Partnership Fund...................$287,000
    Securities Investors Education Fund............$1,500,000
    Department of Business Services Special
        Operations Fund............................$3,000,000
    Securities Audit and Enforcement Fund..........$3,500,000
    Corporate Franchise Tax Refund Fund............$3,000,000
    (i) (Blank). Notwithstanding any other provision of State
law to the contrary, on or after the effective date of this
amendatory Act of the 98th General Assembly, and until June 30,
2015, in addition to any other transfers that may be provided
for by law, at the direction of and upon notification of the
Secretary of State, the State Comptroller shall direct and the
State Treasurer shall transfer amounts into the Secretary of
State Identification Security and Theft Prevention Fund from
the designated funds not exceeding the following totals:
    Division of Corporations Registered Limited
        Liability Partnership Fund...................$287,000
    Securities Investors Education Fund............$1,500,000
    Department of Business Services
        Special Operations Fund....................$3,000,000
    Securities Audit and Enforcement Fund..........$3,500,000
    Corporate Franchise Tax Refund Fund............$3,000,000
    (j) Notwithstanding any other provision of State law to the
contrary, on or after July 1, 2017, and until June 30, 2018, in
addition to any other transfers that may be provided for by
law, at the direction of and upon notification of the Secretary
of State, the State Comptroller shall direct and the State
Treasurer shall transfer amounts into the Secretary of State
Identification Security and Theft Prevention Fund from the
designated funds not exceeding the following totals:
    Registered Limited Liability Partnership Fund....$287,000
    Securities Investors Education Fund............$1,500,000
    Department of Business Services Special
        Operations Fund............................$3,000,000
    Securities Audit and Enforcement Fund..........$3,500,000
    Corporate Franchise Tax Refund Fund...........$3,000,000
    (k) Notwithstanding any other provision of State law to the
contrary, on or after July 1, 2018, and until June 30, 2019, in
addition to any other transfers that may be provided for by
law, at the direction of and upon notification of the Secretary
of State, the State Comptroller shall direct and the State
Treasurer shall transfer amounts into the Secretary of State
Identification Security and Theft Prevention Fund from the
designated funds not exceeding the following totals:
    Registered Limited Liability Partnership Fund....$287,000
    Securities Investors Education Fund............$1,500,000
    Department of Business Services Special Operations Fund
..    $3,000,000
    Securities Audit and Enforcement Fund..........$3,500,000
(Source: P.A. 100-23, eff. 7-6-17.)
 
ARTICLE 45. HIGHER EDUCATION

 
    Section 45-1. Legislative intent. It is the intent of this
Article to increase enrollment at public 4-year universities in
this State by providing those universities with the option for
additional funding through a new, merit-based and means-tested
matching scholarship for Illinois students. It is also the
intent of this Article that any public university participating
in this program should, in its best efforts, attempt to
delegate scholarship funds among a racially diverse range of
students and not use a student's race, color, religion, sex
(including gender identity, sexual orientation, or pregnancy),
national origin, age, disability, or genetic information to
disqualify him or her from receiving funds under the program.
 
    Section 45-5. The Higher Education Student Assistance Act
is amended by changing Section 10 and adding Section 65.100 as
follows:
 
    (110 ILCS 947/10)
    Sec. 10. Definitions. In this Act, and except to the extent
that any of the following words or phrases is specifically
qualified by its context:
    "Commission" means the Illinois Student Assistance
Commission created by this Act.
    "Enrollment" means the establishment and maintenance of an
individual's status as a student in an institution of higher
learning, regardless of the terms used at the institution to
describe that status.
    "Approved high school" means any public high school located
in this State; and any high school, located in this State or
elsewhere (whether designated as a high school, secondary
school, academy, preparatory school, or otherwise) which in the
judgment of the State Superintendent of Education provides a
course of instruction at the secondary level and maintains
standards of instruction substantially equivalent to those of
the public high schools located in this State.
    "Institution of higher learning", "qualified institution",
or "institution" means an educational organization located in
this State which
        (1) provides at least an organized 2 year program of
    collegiate grade in the liberal arts or sciences, or both,
    directly applicable toward the attainment of a
    baccalaureate degree or a program in health education
    directly applicable toward the attainment of a
    certificate, diploma, or an associate degree;
        (2) either is
            (A) operated by this State, or
            (B) operated publicly or privately, not for
        profit, or
            (C) operated for profit, provided such for profit
        organization
                (i) offers degree programs which have been
            approved by the Board of Higher Education for a
            minimum of 3 years under the Academic Degree Act,
            and
                (ii) enrolls a majority of its students in such
            degree programs, and
                (iii) maintains an accredited status with the
            Commission on Institutions of Higher Education of
            the North Central Association of Colleges and
            Schools;
        (3) in the judgment of the Commission meets standards
    substantially equivalent to those of comparable
    institutions operated by this State; and
        (4) if so required by the Commission, uses the State as
    its primary guarantor of student loans made under the
    federal Higher Education Act of 1965.
For otherwise eligible educational organizations which provide
academic programs for incarcerated students, the terms
"institution of higher learning", "qualified institutions",
and "institution" shall specifically exclude academic programs
for incarcerated students.
    "Academic Year" means a 12 month period of time, normally
but not exclusively, from September 1 of any year through
August 31 of the ensuing year.
    "Full-time student" means any undergraduate student
enrolled in 12 or more semester or quarter hours of credit
courses in any given semester or quarter or in the equivalent
number of units of registration as determined by the
Commission.
    "Part-time student" means any undergraduate student, other
than a full-time student, enrolled in 6 or more semester or
quarter hours of credit courses in any given semester or
quarter or in the equivalent number of units of registration as
determined by the Commission. Beginning with fiscal year 1999,
the Commission may, on a program by program basis, expand this
definition of "part-time student" to include students who
enroll in less than 6 semester or quarter hours of credit
courses in any given semester or quarter.
    "Public university" means any public 4-year university in
this State.
    "Public university campus" means any campus under the
governance or supervision of a public university.
(Source: P.A. 90-122, eff. 7-17-97; 91-250, eff. 7-22-99.)
 
    (110 ILCS 947/65.100 new)
    Sec. 65.100. AIM HIGH Grant Pilot Program.
    (a) The General Assembly makes all of the following
findings:
        (1) Both access and affordability are important
    aspects of the Illinois Public Agenda for College and
    Career Success report.
        (2) This State is in the top quartile with respect to
    the percentage of family income needed to pay for college.
        (3) Research suggests that as loan amounts increase,
    rather than an increase in grant amounts, the probability
    of college attendance decreases.
        (4) There is further research indicating that
    socioeconomic status may affect the willingness of
    students to use loans to attend college.
        (5) Strategic use of tuition discounting can decrease
    the amount of loans that students must use to pay for
    tuition.
        (6) A modest, individually tailored tuition discount
    can make the difference in a student choosing to attend
    college and enhance college access for low-income and
    middle-income families.
        (7) Even if the federally calculated financial need for
    college attendance is met, the federally determined
    Expected Family Contribution can still be a daunting
    amount.
        (8) This State is the second largest exporter of
    students in the country.
        (9) When talented Illinois students attend
    universities in this State, the State and those
    universities benefit.
        (10) State universities in other states have adopted
    pricing and incentives that allow many Illinois residents
    to pay less to attend an out-of-state university than to
    remain in this State for college.
        (11) Supporting Illinois student attendance at
    Illinois public universities can assist in State efforts to
    maintain and educate a highly trained workforce.
        (12) Modest tuition discounts that are individually
    targeted and tailored can result in enhanced revenue for
    public universities.
        (13) By increasing a public university's capacity to
    strategically use tuition discounting, the public
    university will be capable of creating enhanced tuition
    revenue by increasing enrollment yields.
    (b) In this Section:
    "Eligible applicant" means a student from any high school
in this State, whether or not recognized by the State Board of
Education, who is engaged in a program of study that will be
completed by the end of the school year and who meets all of
the qualifications and requirements under this Section.
    "Tuition and other necessary fees" includes the customary
charge for instruction and use of facilities in general and the
additional fixed fees charged for specified purposes that are
required generally of non-grant recipients for each academic
period for which the grant applicant actually enrolls, but does
not include fees payable only once or breakage fees and other
contingent deposits that are refundable in whole or in part.
The Commission may adopt, by rule not inconsistent with this
Section, detailed provisions concerning the computation of
tuition and other necessary fees.
    (c) Beginning with the 2019-2020 academic year, each public
university may establish a merit-based scholarship pilot
program known as the AIM HIGH Grant Pilot Program. Each year,
the Commission shall receive and consider applications from
public universities under this Section. Subject to
appropriation and any tuition waiver limitation established by
the Board of Higher Education, a public university campus may
award a grant to a student under this Section if it finds that
the applicant meets all of the following criteria:
        (1) He or she is a resident of this State and a citizen
    or eligible noncitizen of the United States.
        (2) He or she files a Free Application for Federal
    Student Aid and demonstrates financial need with a
    household income no greater than 6 times the poverty
    guidelines updated periodically in the Federal Register by
    the U.S. Department of Health and Human Services under the
    authority of 42 U.S.C. 9902(2).
        (3) He or she meets the minimum cumulative grade point
    average or ACT or SAT college admissions test score, as
    determined by the public university campus.
        (4) He or she is enrolled in a public university as an
    undergraduate student on a full-time basis.
        (5) He or she has not yet received a baccalaureate
    degree or the equivalent of 135 semester credit hours.
        (6) He or she is not incarcerated.
        (7) He or she is not in default on any student loan or
    does not owe a refund or repayment on any State or federal
    grant or scholarship.
        (8) Any other reasonable criteria, as determined by the
    public university campus.
    (d) Each public university campus shall determine grant
renewal criteria consistent with the requirements under this
Section.
    (e) Each participating public university campus shall post
on its Internet website criteria and eligibility requirements
for receiving awards that use funds under this Section that
include a range in the sizes of these individual awards. The
criteria and amounts must also be reported to the Commission
and the Board of Higher Education, who shall post the
information on their respective Internet websites.
    (f) After enactment of an appropriation for this Program,
the Commission shall determine an allocation of funds to each
public university in an amount proportionate to the number of
undergraduate students who are residents of this State and
citizens or eligible noncitizens of the United States and who
were enrolled at each public university campus in the previous
academic year. All applications must be made to the Commission
on or before a date determined by the Commission and on forms
that the Commission shall provide to each public university
campus. The form of the application and the information
required shall be determined by the Commission and shall
include, without limitation, the total public university
campus funds used to match funds received from the Commission
in the previous academic year under this Section, if any, the
total enrollment of undergraduate students who are residents of
this State from the previous academic year, and any supporting
documents as the Commission deems necessary. Each public
university campus shall match the amount of funds received by
the Commission with financial aid for eligible students.
    A public university campus is not required to claim its
entire allocation. The Commission shall make available to all
public universities, on a date determined by the Commission,
any unclaimed funds and the funds must be made available to
those public university campuses in the proportion determined
under this subsection (f), excluding from the calculation those
public university campuses not claiming their full
allocations.
    Each public university campus may determine the award
amounts for eligible students on an individual or broad basis,
but, subject to renewal eligibility, each renewed award may not
be less than the amount awarded to the eligible student in his
or her first year attending the public university campus.
Notwithstanding this limitation, a renewal grant may be reduced
due to changes in the student's cost of attendance, including,
but not limited to, if a student reduces the number of credit
hours in which he or she is enrolled, but remains a full-time
student, or switches to a course of study with a lower tuition
rate.
    An eligible applicant awarded grant assistance under this
Section is eligible to receive other financial aid. Total grant
aid to the student from all sources may not exceed the total
cost of attendance at the public university campus.
    (g) All money allocated to a public university campus under
this Section may be used only for financial aid purposes for
students attending the public university campus during the
academic year, not including summer terms. Any funds received
by a public university campus under this Section that are not
granted to students in the academic year for which the funds
are received must be refunded to the Commission before any new
funds are received by the public university campus for the next
academic year.
    (h) Each public university campus that establishes a
Program under this Section must annually report to the
Commission, on or before a date determined by the Commission,
the number of undergraduate students enrolled at that campus
who are residents of this State.
    (i) Each public university campus must report to the
Commission the total non-loan financial aid amount given by the
public university campus to undergraduate students in fiscal
year 2018. To be eligible to receive funds under the Program, a
public university campus may not decrease the total amount of
non-loan financial aid for undergraduate students to an amount
lower than the total non-loan financial aid amount given by the
public university campus to undergraduate students in fiscal
year 2018, not including any funds received from the Commission
under this Section or any funds used to match grant awards
under this Section.
    (j) On or before a date determined by the Commission, each
public university campus that participates in the Program under
this Section shall annually submit a report to the Commission
with all of the following information:
        (1) The Program's impact on tuition revenue and
    enrollment goals and increase in access and affordability
    at the public university campus.
        (2) Total funds received by the public university
    campus under the Program.
        (3) Total non-loan financial aid awarded to
    undergraduate students attending the public university
    campus.
        (4) Total amount of funds matched by the public
    university campus.
        (5) Total amount of funds refunded to the Commission by
    the public university campus.
        (6) The percentage of total financial aid distributed
    under the Program by the public university campus.
        (7) The total number of students receiving grants from
    the public university campus under the Program and those
    students' grade level, race, gender, income level, family
    size, Monetary Award Program eligibility, Pell Grant
    eligibility, and zip code of residence and the amount of
    each grant award. This information shall include unit
    record data on those students regarding variables
    associated with the parameters of the public university's
    Program, including, but not limited to, a student's ACT or
    SAT college admissions test score, high school or
    university cumulative grade point average, or program of
    study.
    On or before October 1, 2020 and annually on or before
October 1 thereafter, the Commission shall submit a report with
the findings under this subsection (j) and any other
information regarding the AIM HIGH Grant Pilot Program to (i)
the Governor, (ii) the Speaker of the House of Representatives,
(iii) the Minority Leader of the House of Representatives, (iv)
the President of the Senate, and (v) the Minority Leader of the
Senate. The reports to the General Assembly shall be filed with
the Clerk of the House of Representatives and the Secretary of
the Senate in electronic form only, in the manner that the
Clerk and the Secretary shall direct. The Commission's report
may not disaggregate data to a level that may disclose
personally identifying information of individual students.
    The sharing and reporting of student data under this
subsection (j) must be in accordance with the requirements
under the federal Family Educational Rights and Privacy Act of
1974 and the Illinois School Student Records Act. All parties
must preserve the confidentiality of the information as
required by law. The names of the grant recipients under this
Section are not subject to disclosure under the Freedom of
Information Act.
    Public university campuses that fail to submit a report
under this subsection (j) or that fail to adhere to any other
requirements under this Section may not be eligible for
distribution of funds under the Program for the next academic
year, but may be eligible for distribution of funds for each
academic year thereafter.
    (k) The Commission shall adopt rules to implement this
Section.
    (l) This Section is repealed on October 1, 2024.
 
ARTICLE 50. ADDITIONAL AMENDATORY PROVISIONS

 
    Section 50-5. The Illinois Promotion Act is amended by
changing Section 4a as follows:
 
    (20 ILCS 665/4a)  (from Ch. 127, par. 200-24a)
    Sec. 4a. Funds.
    (1) All moneys deposited in the Tourism Promotion Fund
pursuant to this subsection are allocated to the Department for
utilization, as appropriated, in the performance of its powers
under Section 4; except that during fiscal year 2013, the
Department shall reserve $9,800,000 of the total funds
available for appropriation in the Tourism Promotion Fund for
appropriation to the Historic Preservation Agency for the
operation of the Abraham Lincoln Presidential Library and
Museum and State historic sites; and except that beginning in
fiscal year 2019, moneys in the Tourism Promotion Fund may also
be allocated to the Illinois Department of Agriculture, the
Illinois Department of Natural Resources, and the Abraham
Lincoln Presidential Library and Museum for utilization, as
appropriated, to administer their responsibilities as State
agencies promoting tourism in Illinois, and for
tourism-related purposes.
    As soon as possible after the first day of each month,
beginning July 1, 1997 and ending on the effective date of this
amendatory Act of the 100th General Assembly, upon
certification of the Department of Revenue, the Comptroller
shall order transferred and the Treasurer shall transfer from
the General Revenue Fund to the Tourism Promotion Fund an
amount equal to 13% of the net revenue realized from the Hotel
Operators' Occupation Tax Act plus an amount equal to 13% of
the net revenue realized from any tax imposed under Section
4.05 of the Chicago World's Fair-1992 Authority Act during the
preceding month. "Net revenue realized for a month" means the
revenue collected by the State under that Act during the
previous month less the amount paid out during that same month
as refunds to taxpayers for overpayment of liability under that
Act.
    (1.1) (Blank).
    (2) As soon as possible after the first day of each month,
beginning July 1, 1997 and ending on the effective date of this
amendatory Act of the 100th General Assembly, upon
certification of the Department of Revenue, the Comptroller
shall order transferred and the Treasurer shall transfer from
the General Revenue Fund to the Tourism Promotion Fund an
amount equal to 8% of the net revenue realized from the Hotel
Operators' Occupation Tax plus an amount equal to 8% of the net
revenue realized from any tax imposed under Section 4.05 of the
Chicago World's Fair-1992 Authority Act during the preceding
month. "Net revenue realized for a month" means the revenue
collected by the State under that Act during the previous month
less the amount paid out during that same month as refunds to
taxpayers for overpayment of liability under that Act.
    All monies deposited in the Tourism Promotion Fund under
this subsection (2) shall be used solely as provided in this
subsection to advertise and promote tourism throughout
Illinois. Appropriations of monies deposited in the Tourism
Promotion Fund pursuant to this subsection (2) shall be used
solely for advertising to promote tourism, including but not
limited to advertising production and direct advertisement
costs, but shall not be used to employ any additional staff,
finance any individual event, or lease, rent or purchase any
physical facilities. The Department shall coordinate its
advertising under this subsection (2) with other public and
private entities in the State engaged in similar promotion
activities. Print or electronic media production made pursuant
to this subsection (2) for advertising promotion shall not
contain or include the physical appearance of or reference to
the name or position of any public officer. "Public officer"
means a person who is elected to office pursuant to statute, or
who is appointed to an office which is established, and the
qualifications and duties of which are prescribed, by statute,
to discharge a public duty for the State or any of its
political subdivisions.
    (3) Notwithstanding anything in this Section to the
contrary, amounts transferred from the General Revenue Fund to
the Tourism Promotion Fund pursuant to this Section shall not
exceed $26,300,000 in State fiscal year 2012.
    (4) As soon as possible after the first day of each month,
beginning July 1, 2017 and ending June 30, 2018, if the amount
of revenue deposited into the Tourism Promotion Fund under
subsection (c) of Section 6 of the Hotel Operators' Occupation
Tax Act is less than 21% of the net revenue realized from the
Hotel Operators' Occupation Tax during the preceding month,
then, upon certification of the Department of Revenue, the
State Comptroller shall direct and the State Treasurer shall
transfer from the General Revenue Fund to the Tourism Promotion
Fund an amount equal to the difference between 21% of the net
revenue realized from the Hotel Operators' Occupation Tax
during the preceding month and the amount of revenue deposited
into the Tourism Promotion Fund under subsection (c) of Section
6 of the Hotel Operators' Occupation Tax Act.
    (5) As soon as possible after the first day of each month,
beginning July 1, 2018, if the amount of revenue deposited into
the Tourism Promotion Fund under Section 6 of the Hotel
Operators' Occupation Tax Act is less than 21% of the net
revenue realized from the Hotel Operators' Occupation Tax
during the preceding month, then, upon certification of the
Department of Revenue, the State Comptroller shall direct and
the State Treasurer shall transfer from the General Revenue
Fund to the Tourism Promotion Fund an amount equal to the
difference between 21% of the net revenue realized from the
Hotel Operators' Occupation Tax during the preceding month and
the amount of revenue deposited into the Tourism Promotion Fund
under Section 6 of the Hotel Operators' Occupation Tax Act.
(Source: P.A. 100-23, eff. 7-6-17.)
 
    Section 50-10. The Mental Health and Developmental
Disabilities Administrative Act is amended by changing Section
18.5 as follows:
 
    (20 ILCS 1705/18.5)
    Sec. 18.5. Community Developmental Disability Services
Medicaid Trust Fund; reimbursement.
    (a) The Community Developmental Disability Services
Medicaid Trust Fund is hereby created in the State treasury.
    (b) Beginning in State fiscal year 2019, Except as provided
in subsection (b-5), any funds in any fiscal year in amounts
not exceeding a total of $60,000,000 paid to the State by the
federal government under Title XIX or Title XXI of the Social
Security Act for services delivered by community developmental
disability services providers for services relating to
Developmental Training and Community Integrated Living
Arrangements as a result of the conversion of such providers
from a grant payment methodology to a fee-for-service payment
methodology, or any other funds paid to the State for any
subsequent revenue maximization initiatives performed by such
providers, and any interest earned thereon, shall be deposited
directly into the Community Developmental Disability Services
Medicaid Trust Fund to pay for Medicaid-reimbursed community
developmental disability services provided to eligible
individuals.
    (b-5) (Blank). Beginning in State fiscal year 2008, any
funds paid to the State by the federal government under Title
XIX or Title XXI of the Social Security Act for services
delivered through the Children's Residential Waiver and the
Children's In-Home Support Waiver shall be deposited directly
into the Trust Fund and shall not be subject to the transfer
provisions of subsection (b).
    (b-7) The Community Developmental Disability Services
Medicaid Trust Fund is not subject to administrative
charge-backs.
    (b-9) (Blank). The Department of Human Services shall
annually report to the Governor and the General Assembly, by
September 1, on both the total revenue deposited into the Trust
Fund and the total expenditures made from the Trust Fund for
the previous fiscal year. This report shall include detailed
descriptions of both revenues and expenditures regarding the
Trust Fund from the previous fiscal year. This report shall be
presented by the Secretary of Human Services to the appropriate
Appropriations Committee in the House of Representatives, as
determined by the Speaker of the House, and in the Senate, as
determined by the President of the Senate. This report shall be
made available to the public and shall be published on the
Department of Human Services' website in an appropriate
location, a minimum of one week prior to presentation of the
report to the General Assembly.
    (b-10) Whenever a State developmental disabilities
facility operated by the Department is closed and the real
estate on which the facility is located is sold by the State,
the net proceeds of the sale of the real estate shall be
deposited into the Community Developmental Disability Services
Medicaid Trust Fund and used for the purposes enumerated in
subsections (c) and (d) of Section 4.6 of the Community
Services Act; however, under subsection (e) of Section 4.6 of
the Community Services Act, the Department may set aside a
portion of the net proceeds of the sale of the real estate for
deposit into the Human Services Priority Capital Program Fund.
The portion set aside shall be used for the purposes enumerated
in Section 6z-71 of the State Finance Act.
    (c) For purposes of this Section:
    "Trust Fund" means the Community Developmental Disability
Services Medicaid Trust Fund.
    "Medicaid-reimbursed developmental disability services"
means services provided by a community developmental
disability provider under an agreement with the Department that
is eligible for reimbursement under the federal Title XIX
program or Title XXI program.
    "Provider" means a qualified entity as defined in the
State's Home and Community-Based Services Waiver for Persons
with Developmental Disabilities that is funded by the
Department to provide a Medicaid-reimbursed service.
    "Revenue maximization alternatives" do not include
increases in funds paid to the State as a result of growth in
spending through service expansion or rate increases.
(Source: P.A. 98-815, eff. 8-1-14.)
 
    Section 50-15. The Rehabilitation of Persons with
Disabilities Act is amended by changing Section 5b as follows:
 
    (20 ILCS 2405/5b)
    Sec. 5b. Home Services Medicaid Trust Fund.
    (a) The Home Services Medicaid Trust Fund is hereby created
as a special fund in the State treasury.
    (b) Amounts paid to the State during each State fiscal year
by the federal government under Title XIX or Title XXI of the
Social Security Act for services delivered in relation to the
Department's Home Services Program established pursuant to
Section 3 of this Act, beginning in State fiscal year 2019 in
amounts not exceeding a total of $234,000,000 in any State
fiscal year, and any interest earned thereon, shall be
deposited into the Fund.
    (c) Moneys in the Fund may be used by the Department for
the purchase of services, and operational and administrative
expenses, in relation to the Home Services Program.
(Source: P.A. 98-1004, eff. 8-18-14; 99-143, eff. 7-27-15.)
 
    Section 50-20. The Illinois Emergency Management Agency
Act is amended by changing Sections 4 and 5 as follows:
 
    (20 ILCS 3305/4)  (from Ch. 127, par. 1054)
    Sec. 4. Definitions. As used in this Act, unless the
context clearly indicates otherwise, the following words and
terms have the meanings ascribed to them in this Section:
    "Coordinator" means the staff assistant to the principal
executive officer of a political subdivision with the duty of
coordinating the emergency management programs of that
political subdivision.
    "Disaster" means an occurrence or threat of widespread or
severe damage, injury or loss of life or property resulting
from any natural or technological cause, including but not
limited to fire, flood, earthquake, wind, storm, hazardous
materials spill or other water contamination requiring
emergency action to avert danger or damage, epidemic, air
contamination, blight, extended periods of severe and
inclement weather, drought, infestation, critical shortages of
essential fuels and energy, explosion, riot, hostile military
or paramilitary action, public health emergencies, or acts of
domestic terrorism.
    "Emergency Management" means the efforts of the State and
the political subdivisions to develop, plan, analyze, conduct,
provide, implement and maintain programs for disaster
mitigation, preparedness, response and recovery.
    "Emergency Services and Disaster Agency" means the agency
by this name, by the name Emergency Management Agency, or by
any other name that is established by ordinance within a
political subdivision to coordinate the emergency management
program within that political subdivision and with private
organizations, other political subdivisions, the State and
federal governments.
    "Emergency Operations Plan" means the written plan of the
State and political subdivisions describing the organization,
mission, and functions of the government and supporting
services for responding to and recovering from disasters and
shall include plans that take into account the needs of those
individuals with household pets and service animals following a
major disaster or emergency.
    "Emergency Services" means the coordination of functions
by the State and its political subdivision, other than
functions for which military forces are primarily responsible,
as may be necessary or proper to prevent, minimize, repair, and
alleviate injury and damage resulting from any natural or
technological causes. These functions include, without
limitation, fire fighting services, police services, emergency
aviation services, medical and health services, HazMat and
technical rescue teams, rescue, engineering, warning services,
communications, radiological, chemical and other special
weapons defense, evacuation of persons from stricken or
threatened areas, emergency assigned functions of plant
protection, temporary restoration of public utility services
and other functions related to civilian protection, together
with all other activities necessary or incidental to protecting
life or property.
    "Exercise" means a planned event realistically simulating
a disaster, conducted for the purpose of evaluating the
political subdivision's coordinated emergency management
capabilities, including, but not limited to, testing the
emergency operations plan.
    "HazMat team" means a career or volunteer mobile support
team that has been authorized by a unit of local government to
respond to hazardous materials emergencies and that is
primarily designed for emergency response to chemical or
biological terrorism, radiological emergencies, hazardous
material spills, releases, or fires, or other contamination
events.
    "Illinois Emergency Management Agency" means the agency
established by this Act within the executive branch of State
Government responsible for coordination of the overall
emergency management program of the State and with private
organizations, political subdivisions, and the federal
government. Illinois Emergency Management Agency also means
the State Emergency Response Commission responsible for the
implementation of Title III of the Superfund Amendments and
Reauthorization Act of 1986.
    "Mobile Support Team" means a group of individuals
designated as a team by the Governor or Director to train prior
to and to be dispatched, if the Governor or the Director so
determines, to aid and reinforce the State and political
subdivision emergency management efforts in response to a
disaster.
    "Municipality" means any city, village, and incorporated
town.
    "Political Subdivision" means any county, city, village,
or incorporated town or township if the township is in a county
having a population of more than 2,000,000.
    "Principal Executive Officer" means chair of the county
board, supervisor of a township if the township is in a county
having a population of more than 2,000,000, mayor of a city or
incorporated town, president of a village, or in their absence
or disability, the interim successor as established under
Section 7 of the Emergency Interim Executive Succession Act.
    "Public health emergency" means an occurrence or imminent
threat of an illness or health condition that:
        (a) is believed to be caused by any of the following:
            (i) bioterrorism;
            (ii) the appearance of a novel or previously
        controlled or eradicated infectious agent or
        biological toxin;
            (iii) a natural disaster;
            (iv) a chemical attack or accidental release; or
            (v) a nuclear attack or accident; and
        (b) poses a high probability of any of the following
    harms:
            (i) a large number of deaths in the affected
        population;
            (ii) a large number of serious or long-term
        disabilities in the affected population; or
            (iii) widespread exposure to an infectious or
        toxic agent that poses a significant risk of
        substantial future harm to a large number of people in
        the affected population.
    "Statewide mutual aid organization" means an entity with
local government members throughout the State that facilitates
temporary assistance through its members in a particular public
safety discipline, such as police, fire or emergency
management, when an occurrence exceeds a member jurisdiction's
capabilities.
    "Technical rescue team" means a career or volunteer mobile
support team that has been authorized by a unit of local
government to respond to building collapse, high angle rescue,
and other specialized rescue emergencies and that is primarily
designated for emergency response to technical rescue events.
(Source: P.A. 93-249, eff. 7-22-03; 94-334, eff. 1-1-06;
94-1081, eff. 6-1-07.)
 
    (20 ILCS 3305/5)  (from Ch. 127, par. 1055)
    Sec. 5. Illinois Emergency Management Agency.
    (a) There is created within the executive branch of the
State Government an Illinois Emergency Management Agency and a
Director of the Illinois Emergency Management Agency, herein
called the "Director" who shall be the head thereof. The
Director shall be appointed by the Governor, with the advice
and consent of the Senate, and shall serve for a term of 2
years beginning on the third Monday in January of the
odd-numbered year, and until a successor is appointed and has
qualified; except that the term of the first Director appointed
under this Act shall expire on the third Monday in January,
1989. The Director shall not hold any other remunerative public
office. The Director shall receive an annual salary as set by
the Compensation Review Board.
    (b) The Illinois Emergency Management Agency shall obtain,
under the provisions of the Personnel Code, technical,
clerical, stenographic and other administrative personnel, and
may make expenditures within the appropriation therefor as may
be necessary to carry out the purpose of this Act. The agency
created by this Act is intended to be a successor to the agency
created under the Illinois Emergency Services and Disaster
Agency Act of 1975 and the personnel, equipment, records, and
appropriations of that agency are transferred to the successor
agency as of the effective date of this Act.
    (c) The Director, subject to the direction and control of
the Governor, shall be the executive head of the Illinois
Emergency Management Agency and the State Emergency Response
Commission and shall be responsible under the direction of the
Governor, for carrying out the program for emergency management
of this State. The Director shall also maintain liaison and
cooperate with the emergency management organizations of this
State and other states and of the federal government.
    (d) The Illinois Emergency Management Agency shall take an
integral part in the development and revision of political
subdivision emergency operations plans prepared under
paragraph (f) of Section 10. To this end it shall employ or
otherwise secure the services of professional and technical
personnel capable of providing expert assistance to the
emergency services and disaster agencies. These personnel
shall consult with emergency services and disaster agencies on
a regular basis and shall make field examinations of the areas,
circumstances, and conditions that particular political
subdivision emergency operations plans are intended to apply.
    (e) The Illinois Emergency Management Agency and political
subdivisions shall be encouraged to form an emergency
management advisory committee composed of private and public
personnel representing the emergency management phases of
mitigation, preparedness, response, and recovery. The Local
Emergency Planning Committee, as created under the Illinois
Emergency Planning and Community Right to Know Act, shall serve
as an advisory committee to the emergency services and disaster
agency or agencies serving within the boundaries of that Local
Emergency Planning Committee planning district for:
        (1) the development of emergency operations plan
    provisions for hazardous chemical emergencies; and
        (2) the assessment of emergency response capabilities
    related to hazardous chemical emergencies.
    (f) The Illinois Emergency Management Agency shall:
        (1) Coordinate the overall emergency management
    program of the State.
        (2) Cooperate with local governments, the federal
    government and any public or private agency or entity in
    achieving any purpose of this Act and in implementing
    emergency management programs for mitigation,
    preparedness, response, and recovery.
        (2.5) Develop a comprehensive emergency preparedness
    and response plan for any nuclear accident in accordance
    with Section 65 of the Department of Nuclear Safety Law of
    2004 (20 ILCS 3310) and in development of the Illinois
    Nuclear Safety Preparedness program in accordance with
    Section 8 of the Illinois Nuclear Safety Preparedness Act.
        (2.6) Coordinate with the Department of Public Health
    with respect to planning for and responding to public
    health emergencies.
        (3) Prepare, for issuance by the Governor, executive
    orders, proclamations, and regulations as necessary or
    appropriate in coping with disasters.
        (4) Promulgate rules and requirements for political
    subdivision emergency operations plans that are not
    inconsistent with and are at least as stringent as
    applicable federal laws and regulations.
        (5) Review and approve, in accordance with Illinois
    Emergency Management Agency rules, emergency operations
    plans for those political subdivisions required to have an
    emergency services and disaster agency pursuant to this
    Act.
        (5.5) Promulgate rules and requirements for the
    political subdivision emergency management exercises,
    including, but not limited to, exercises of the emergency
    operations plans.
        (5.10) Review, evaluate, and approve, in accordance
    with Illinois Emergency Management Agency rules, political
    subdivision emergency management exercises for those
    political subdivisions required to have an emergency
    services and disaster agency pursuant to this Act.
        (6) Determine requirements of the State and its
    political subdivisions for food, clothing, and other
    necessities in event of a disaster.
        (7) Establish a register of persons with types of
    emergency management training and skills in mitigation,
    preparedness, response, and recovery.
        (8) Establish a register of government and private
    response resources available for use in a disaster.
        (9) Expand the Earthquake Awareness Program and its
    efforts to distribute earthquake preparedness materials to
    schools, political subdivisions, community groups, civic
    organizations, and the media. Emphasis will be placed on
    those areas of the State most at risk from an earthquake.
    Maintain the list of all school districts, hospitals,
    airports, power plants, including nuclear power plants,
    lakes, dams, emergency response facilities of all types,
    and all other major public or private structures which are
    at the greatest risk of damage from earthquakes under
    circumstances where the damage would cause subsequent harm
    to the surrounding communities and residents.
        (10) Disseminate all information, completely and
    without delay, on water levels for rivers and streams and
    any other data pertaining to potential flooding supplied by
    the Division of Water Resources within the Department of
    Natural Resources to all political subdivisions to the
    maximum extent possible.
        (11) Develop agreements, if feasible, with medical
    supply and equipment firms to supply resources as are
    necessary to respond to an earthquake or any other disaster
    as defined in this Act. These resources will be made
    available upon notifying the vendor of the disaster.
    Payment for the resources will be in accordance with
    Section 7 of this Act. The Illinois Department of Public
    Health shall determine which resources will be required and
    requested.
        (11.5) In coordination with the Department of State
    Police, develop and implement a community outreach program
    to promote awareness among the State's parents and children
    of child abduction prevention and response.
        (12) Out of funds appropriated for these purposes,
    award capital and non-capital grants to Illinois hospitals
    or health care facilities located outside of a city with a
    population in excess of 1,000,000 to be used for purposes
    that include, but are not limited to, preparing to respond
    to mass casualties and disasters, maintaining and
    improving patient safety and quality of care, and
    protecting the confidentiality of patient information. No
    single grant for a capital expenditure shall exceed
    $300,000. No single grant for a non-capital expenditure
    shall exceed $100,000. In awarding such grants, preference
    shall be given to hospitals that serve a significant number
    of Medicaid recipients, but do not qualify for
    disproportionate share hospital adjustment payments under
    the Illinois Public Aid Code. To receive such a grant, a
    hospital or health care facility must provide funding of at
    least 50% of the cost of the project for which the grant is
    being requested. In awarding such grants the Illinois
    Emergency Management Agency shall consider the
    recommendations of the Illinois Hospital Association.
        (13) Do all other things necessary, incidental or
    appropriate for the implementation of this Act.
    (g) The Illinois Emergency Management Agency is authorized
to make grants to various higher education institutions, public
K-12 school districts, area vocational centers as designated by
the State Board of Education, inter-district special education
cooperatives, regional safe schools, and nonpublic K-12
schools for safety and security improvements. For the purpose
of this subsection (g), "higher education institution" means a
public university, a public community college, or an
independent, not-for-profit or for-profit higher education
institution located in this State. Grants made under this
subsection (g) shall be paid out of moneys appropriated for
that purpose from the Build Illinois Bond Fund. The Illinois
Emergency Management Agency shall adopt rules to implement this
subsection (g). These rules may specify: (i) the manner of
applying for grants; (ii) project eligibility requirements;
(iii) restrictions on the use of grant moneys; (iv) the manner
in which the various higher education institutions must account
for the use of grant moneys; and (v) any other provision that
the Illinois Emergency Management Agency determines to be
necessary or useful for the administration of this subsection
(g).
    (g-5) The Illinois Emergency Management Agency is
authorized to make grants to not-for-profit organizations
which are exempt from federal income taxation under section
501(c)(3) of the Federal Internal Revenue Code for eligible
security improvements that assist the organization in
preventing, preparing for, or responding to acts of terrorism.
The Director shall establish procedures and forms by which
applicants may apply for a grant, and procedures for
distributing grants to recipients. The procedures shall
require each applicant to do the following:
        (1) identify and substantiate prior threats or attacks
    by a terrorist organization, network, or cell against the
    not-for-profit organization;
        (2) indicate the symbolic or strategic value of one or
    more sites that renders the site a possible target of
    terrorism;
        (3) discuss potential consequences to the organization
    if the site is damaged, destroyed, or disrupted by a
    terrorist act;
        (4) describe how the grant will be used to integrate
    organizational preparedness with broader State and local
    preparedness efforts;
        (5) submit a vulnerability assessment conducted by
    experienced security, law enforcement, or military
    personnel, and a description of how the grant award will be
    used to address the vulnerabilities identified in the
    assessment; and
        (6) submit any other relevant information as may be
    required by the Director.
    The Agency is authorized to use funds appropriated for the
grant program described in this subsection (g-5) to administer
the program.
    (h) Except as provided in Section 17.5 of this Act, any
moneys received by the Agency from donations or sponsorships
shall be deposited in the Emergency Planning and Training Fund
and used by the Agency, subject to appropriation, to effectuate
planning and training activities.
    (i) The Illinois Emergency Management Agency may by rule
assess and collect reasonable fees for attendance at
Agency-sponsored conferences to enable the Agency to carry out
the requirements of this Act. Any moneys received under this
subsection shall be deposited in the Emergency Planning and
Training Fund and used by the Agency, subject to appropriation,
for planning and training activities.
    (j) The Illinois Emergency Management Agency is authorized
to make grants to other State agencies, public universities,
units of local government, and statewide mutual aid
organizations to enhance statewide emergency preparedness and
response.
(Source: P.A. 100-444, eff. 1-1-18; 100-508, eff. 9-15-17;
revised 9-28-17.)
 
    Section 50-25. The State Finance Act is amended by changing
Sections 6z-68, 6z-71, 6z-81, 8.3, and 8.11 and adding Sections
5.886 and 6z-105 as follows:
 
    (30 ILCS 105/5.886 new)
    Sec. 5.886. The VW Settlement Environmental Mitigation
Fund.
 
    (30 ILCS 105/6z-68)
    Sec. 6z-68. The Intercity Passenger Rail Fund.
    (a) The Intercity Passenger Rail Fund is created as a
special fund in the State treasury. Moneys in the Fund may be
used by the Department of Transportation, subject to
appropriation, for the operation of intercity passenger rail
services in the State through Amtrak or its successor.
    Moneys received for the purposes of this Section,
including, without limitation, income tax checkoff receipts
and gifts, grants, and awards from any public or private
entity, must be deposited into the Fund. Any interest earned on
moneys in the Fund must be deposited into the Fund.
    (b) At least one month before the beginning of each fiscal
year, the chief operating officer of Amtrak or its successor
must certify to the State Treasurer the number of Amtrak
tickets sold at the State rate during that current fiscal year.
    On the first day of that next fiscal year, or as soon
thereafter as practical, the State Treasurer must transfer,
from the General Revenue Fund to the Intercity Passenger Rail
Fund, an amount equal to the tickets certified by the chief
operating officer of Amtrak multiplied by $50.
(Source: P.A. 94-535, eff. 8-10-05.)
 
    (30 ILCS 105/6z-71)
    Sec. 6z-71. Human Services Priority Capital Program Fund.
The Human Services Priority Capital Program Fund is created as
a special fund in the State treasury. Subject to appropriation,
the Department of Human Services shall use moneys in the Human
Services Priority Capital Program Fund to make grants to the
Illinois Facilities Fund, a not-for-profit corporation, to
make long term below market rate loans to nonprofit human
service providers working under contract to the State of
Illinois to assist those providers in meeting their capital
needs. The loans shall be for the purpose of such capital
needs, including but not limited to special use facilities,
requirements for serving persons with disabilities, the
mentally ill, or substance abusers, and medical and technology
equipment. Loan repayments shall be deposited into the Human
Services Priority Capital Program Fund. Interest income may be
used to cover expenses of the program. The Illinois Facilities
Fund shall report to the Department of Human Services and the
General Assembly by April 1, 2008, and again by April 1, 2009,
as to the use and earnings of the program.
    A portion of the proceeds from the sale of a mental health
facility or developmental disabilities facility operated by
the Department of Human Services may be deposited into the Fund
and may be used for the purposes described in this Section.
    Notwithstanding any other provision of law, in addition to
any other transfers that may be provided by law, on July 1,
2018, or as soon thereafter as practical, the State Comptroller
shall direct and the State Treasurer shall transfer the
remaining balance from the Human Services Priority Capital
Program Fund into the General Revenue Fund. Upon completion of
the transfers, the Human Services Priority Capital Program Fund
is dissolved, and any future deposits due to that Fund and any
outstanding obligations or liabilities of that Fund pass to the
General Revenue Fund.
(Source: P.A. 98-815, eff. 8-1-14; 99-143, eff. 7-27-15.)
 
    (30 ILCS 105/6z-81)
    Sec. 6z-81. Healthcare Provider Relief Fund.
    (a) There is created in the State treasury a special fund
to be known as the Healthcare Provider Relief Fund.
    (b) The Fund is created for the purpose of receiving and
disbursing moneys in accordance with this Section.
Disbursements from the Fund shall be made only as follows:
        (1) Subject to appropriation, for payment by the
    Department of Healthcare and Family Services or by the
    Department of Human Services of medical bills and related
    expenses, including administrative expenses, for which the
    State is responsible under Titles XIX and XXI of the Social
    Security Act, the Illinois Public Aid Code, the Children's
    Health Insurance Program Act, the Covering ALL KIDS Health
    Insurance Act, and the Long Term Acute Care Hospital
    Quality Improvement Transfer Program Act.
        (2) For repayment of funds borrowed from other State
    funds or from outside sources, including interest thereon.
        (3) For State fiscal years 2017, and 2018, and 2019,
    for making payments to the human poison control center
    pursuant to Section 12-4.105 of the Illinois Public Aid
    Code.
    (c) The Fund shall consist of the following:
        (1) Moneys received by the State from short-term
    borrowing pursuant to the Short Term Borrowing Act on or
    after the effective date of Public Act 96-820 this
    amendatory Act of the 96th General Assembly.
        (2) All federal matching funds received by the Illinois
    Department of Healthcare and Family Services as a result of
    expenditures made by the Department that are attributable
    to moneys deposited in the Fund.
        (3) All federal matching funds received by the Illinois
    Department of Healthcare and Family Services as a result of
    federal approval of Title XIX State plan amendment
    transmittal number 07-09.
        (4) All other moneys received for the Fund from any
    other source, including interest earned thereon.
        (5) All federal matching funds received by the Illinois
    Department of Healthcare and Family Services as a result of
    expenditures made by the Department for Medical Assistance
    from the General Revenue Fund, the Tobacco Settlement
    Recovery Fund, the Long-Term Care Provider Fund, and the
    Drug Rebate Fund related to individuals eligible for
    medical assistance pursuant to the Patient Protection and
    Affordable Care Act (P.L. 111-148) and Section 5-2 of the
    Illinois Public Aid Code.
    (d) In addition to any other transfers that may be provided
for by law, on the effective date of Public Act 97-44 this
amendatory Act of the 97th General Assembly, or as soon
thereafter as practical, the State Comptroller shall direct and
the State Treasurer shall transfer the sum of $365,000,000 from
the General Revenue Fund into the Healthcare Provider Relief
Fund.
    (e) In addition to any other transfers that may be provided
for by law, on July 1, 2011, or as soon thereafter as
practical, the State Comptroller shall direct and the State
Treasurer shall transfer the sum of $160,000,000 from the
General Revenue Fund to the Healthcare Provider Relief Fund.
    (f) Notwithstanding any other State law to the contrary,
and in addition to any other transfers that may be provided for
by law, the State Comptroller shall order transferred and the
State Treasurer shall transfer $500,000,000 to the Healthcare
Provider Relief Fund from the General Revenue Fund in equal
monthly installments of $100,000,000, with the first transfer
to be made on July 1, 2012, or as soon thereafter as practical,
and with each of the remaining transfers to be made on August
1, 2012, September 1, 2012, October 1, 2012, and November 1,
2012, or as soon thereafter as practical. This transfer may
assist the Department of Healthcare and Family Services in
improving Medical Assistance bill processing timeframes or in
meeting the possible requirements of Senate Bill 3397, or other
similar legislation, of the 97th General Assembly should it
become law.
    (g) Notwithstanding any other State law to the contrary,
and in addition to any other transfers that may be provided for
by law, on July 1, 2013, or as soon thereafter as may be
practical, the State Comptroller shall direct and the State
Treasurer shall transfer the sum of $601,000,000 from the
General Revenue Fund to the Healthcare Provider Relief Fund.
(Source: P.A. 98-24, eff. 6-19-13; 98-463, eff. 8-16-13;
99-516, eff. 6-30-16.)
 
    (30 ILCS 105/6z-105 new)
    Sec. 6z-105. The VW Settlement Environmental Mitigation
Fund. The VW Settlement Environmental Mitigation Fund is
created as a special fund in the State Treasury to receive
moneys from the State Mitigation Trust established pursuant to
the Environmental Mitigation Trust Agreement for State
Beneficiaries ("Trust Agreement") pursuant to consent decrees
in In re: Volkswagen "Clean Diesel" Marketing, Sales Practices,
and Products Liability Litigation, MDL No. 2672 CRB (JSC) ("VW
Settlement"). All funds received by the State from the State
Mitigation Trust shall be deposited into the VW Settlement
Environmental Mitigation Fund to be used, subject to
appropriation by the General Assembly, by the Illinois
Environmental Protection Agency as designated lead agency for
the State of Illinois, to pay for costs of eligible mitigation
actions and related administrative expenditures as allowed
under the VW Settlement, the Trust Agreement, and the State's
Beneficiary Mitigation Plan.
 
    (30 ILCS 105/8.3)  (from Ch. 127, par. 144.3)
    Sec. 8.3. Money in the Road Fund shall, if and when the
State of Illinois incurs any bonded indebtedness for the
construction of permanent highways, be set aside and used for
the purpose of paying and discharging annually the principal
and interest on that bonded indebtedness then due and payable,
and for no other purpose. The surplus, if any, in the Road Fund
after the payment of principal and interest on that bonded
indebtedness then annually due shall be used as follows:
        first -- to pay the cost of administration of Chapters
    2 through 10 of the Illinois Vehicle Code, except the cost
    of administration of Articles I and II of Chapter 3 of that
    Code; and
        secondly -- for expenses of the Department of
    Transportation for construction, reconstruction,
    improvement, repair, maintenance, operation, and
    administration of highways in accordance with the
    provisions of laws relating thereto, or for any purpose
    related or incident to and connected therewith, including
    the separation of grades of those highways with railroads
    and with highways and including the payment of awards made
    by the Illinois Workers' Compensation Commission under the
    terms of the Workers' Compensation Act or Workers'
    Occupational Diseases Act for injury or death of an
    employee of the Division of Highways in the Department of
    Transportation; or for the acquisition of land and the
    erection of buildings for highway purposes, including the
    acquisition of highway right-of-way or for investigations
    to determine the reasonably anticipated future highway
    needs; or for making of surveys, plans, specifications and
    estimates for and in the construction and maintenance of
    flight strips and of highways necessary to provide access
    to military and naval reservations, to defense industries
    and defense-industry sites, and to the sources of raw
    materials and for replacing existing highways and highway
    connections shut off from general public use at military
    and naval reservations and defense-industry sites, or for
    the purchase of right-of-way, except that the State shall
    be reimbursed in full for any expense incurred in building
    the flight strips; or for the operating and maintaining of
    highway garages; or for patrolling and policing the public
    highways and conserving the peace; or for the operating
    expenses of the Department relating to the administration
    of public transportation programs; or, during fiscal year
    2012 only, for the purposes of a grant not to exceed
    $8,500,000 to the Regional Transportation Authority on
    behalf of PACE for the purpose of ADA/Para-transit
    expenses; or, during fiscal year 2013 only, for the
    purposes of a grant not to exceed $3,825,000 to the
    Regional Transportation Authority on behalf of PACE for the
    purpose of ADA/Para-transit expenses; or, during fiscal
    year 2014 only, for the purposes of a grant not to exceed
    $3,825,000 to the Regional Transportation Authority on
    behalf of PACE for the purpose of ADA/Para-transit
    expenses; or, during fiscal year 2015 only, for the
    purposes of a grant not to exceed $3,825,000 to the
    Regional Transportation Authority on behalf of PACE for the
    purpose of ADA/Para-transit expenses; or, during fiscal
    year 2016 only, for the purposes of a grant not to exceed
    $3,825,000 to the Regional Transportation Authority on
    behalf of PACE for the purpose of ADA/Para-transit
    expenses; or, during fiscal year 2017 only, for the
    purposes of a grant not to exceed $3,825,000 to the
    Regional Transportation Authority on behalf of PACE for the
    purpose of ADA/Para-transit expenses; or, during fiscal
    year 2018 only, for the purposes of a grant not to exceed
    $3,825,000 to the Regional Transportation Authority on
    behalf of PACE for the purpose of ADA/Para-transit
    expenses; or, during fiscal year 2019 only, for the
    purposes of a grant not to exceed $3,825,000 to the
    Regional Transportation Authority on behalf of PACE for the
    purpose of ADA/Para-transit expenses; or for any of those
    purposes or any other purpose that may be provided by law.
    Appropriations for any of those purposes are payable from
the Road Fund. Appropriations may also be made from the Road
Fund for the administrative expenses of any State agency that
are related to motor vehicles or arise from the use of motor
vehicles.
    Beginning with fiscal year 1980 and thereafter, no Road
Fund monies shall be appropriated to the following Departments
or agencies of State government for administration, grants, or
operations; but this limitation is not a restriction upon
appropriating for those purposes any Road Fund monies that are
eligible for federal reimbursement: ;
        1. Department of Public Health;
        2. Department of Transportation, only with respect to
    subsidies for one-half fare Student Transportation and
    Reduced Fare for Elderly, except during fiscal year 2012
    only when no more than $40,000,000 may be expended and
    except during fiscal year 2013 only when no more than
    $17,570,300 may be expended and except during fiscal year
    2014 only when no more than $17,570,000 may be expended and
    except during fiscal year 2015 only when no more than
    $17,570,000 may be expended and except during fiscal year
    2016 only when no more than $17,570,000 may be expended and
    except during fiscal year 2017 only when no more than
    $17,570,000 may be expended and except during fiscal year
    2018 only when no more than $17,570,000 may be expended and
    except during fiscal year 2019 only when no more than
    $17,570,000 may be expended;
        3. Department of Central Management Services, except
    for expenditures incurred for group insurance premiums of
    appropriate personnel;
        4. Judicial Systems and Agencies.
    Beginning with fiscal year 1981 and thereafter, no Road
Fund monies shall be appropriated to the following Departments
or agencies of State government for administration, grants, or
operations; but this limitation is not a restriction upon
appropriating for those purposes any Road Fund monies that are
eligible for federal reimbursement:
        1. Department of State Police, except for expenditures
    with respect to the Division of Operations;
        2. Department of Transportation, only with respect to
    Intercity Rail Subsidies, except during fiscal year 2012
    only when no more than $40,000,000 may be expended and
    except during fiscal year 2013 only when no more than
    $26,000,000 may be expended and except during fiscal year
    2014 only when no more than $38,000,000 may be expended and
    except during fiscal year 2015 only when no more than
    $42,000,000 may be expended and except during fiscal year
    2016 only when no more than $38,300,000 may be expended and
    except during fiscal year 2017 only when no more than
    $50,000,000 may be expended and except during fiscal year
    2018 only when no more than $52,000,000 may be expended and
    except during fiscal year 2019 only when no more than
    $52,000,000 may be expended, and Rail Freight Services.
    Beginning with fiscal year 1982 and thereafter, no Road
Fund monies shall be appropriated to the following Departments
or agencies of State government for administration, grants, or
operations; but this limitation is not a restriction upon
appropriating for those purposes any Road Fund monies that are
eligible for federal reimbursement: Department of Central
Management Services, except for awards made by the Illinois
Workers' Compensation Commission under the terms of the
Workers' Compensation Act or Workers' Occupational Diseases
Act for injury or death of an employee of the Division of
Highways in the Department of Transportation.
    Beginning with fiscal year 1984 and thereafter, no Road
Fund monies shall be appropriated to the following Departments
or agencies of State government for administration, grants, or
operations; but this limitation is not a restriction upon
appropriating for those purposes any Road Fund monies that are
eligible for federal reimbursement:
        1. Department of State Police, except not more than 40%
    of the funds appropriated for the Division of Operations;
        2. State Officers.
    Beginning with fiscal year 1984 and thereafter, no Road
Fund monies shall be appropriated to any Department or agency
of State government for administration, grants, or operations
except as provided hereafter; but this limitation is not a
restriction upon appropriating for those purposes any Road Fund
monies that are eligible for federal reimbursement. It shall
not be lawful to circumvent the above appropriation limitations
by governmental reorganization or other methods.
Appropriations shall be made from the Road Fund only in
accordance with the provisions of this Section.
    Money in the Road Fund shall, if and when the State of
Illinois incurs any bonded indebtedness for the construction of
permanent highways, be set aside and used for the purpose of
paying and discharging during each fiscal year the principal
and interest on that bonded indebtedness as it becomes due and
payable as provided in the Transportation Bond Act, and for no
other purpose. The surplus, if any, in the Road Fund after the
payment of principal and interest on that bonded indebtedness
then annually due shall be used as follows:
        first -- to pay the cost of administration of Chapters
    2 through 10 of the Illinois Vehicle Code; and
        secondly -- no Road Fund monies derived from fees,
    excises, or license taxes relating to registration,
    operation and use of vehicles on public highways or to
    fuels used for the propulsion of those vehicles, shall be
    appropriated or expended other than for costs of
    administering the laws imposing those fees, excises, and
    license taxes, statutory refunds and adjustments allowed
    thereunder, administrative costs of the Department of
    Transportation, including, but not limited to, the
    operating expenses of the Department relating to the
    administration of public transportation programs, payment
    of debts and liabilities incurred in construction and
    reconstruction of public highways and bridges, acquisition
    of rights-of-way for and the cost of construction,
    reconstruction, maintenance, repair, and operation of
    public highways and bridges under the direction and
    supervision of the State, political subdivision, or
    municipality collecting those monies, or during fiscal
    year 2012 only for the purposes of a grant not to exceed
    $8,500,000 to the Regional Transportation Authority on
    behalf of PACE for the purpose of ADA/Para-transit
    expenses, or during fiscal year 2013 only for the purposes
    of a grant not to exceed $3,825,000 to the Regional
    Transportation Authority on behalf of PACE for the purpose
    of ADA/Para-transit expenses, or during fiscal year 2014
    only for the purposes of a grant not to exceed $3,825,000
    to the Regional Transportation Authority on behalf of PACE
    for the purpose of ADA/Para-transit expenses, or during
    fiscal year 2015 only for the purposes of a grant not to
    exceed $3,825,000 to the Regional Transportation Authority
    on behalf of PACE for the purpose of ADA/Para-transit
    expenses, or during fiscal year 2016 only for the purposes
    of a grant not to exceed $3,825,000 to the Regional
    Transportation Authority on behalf of PACE for the purpose
    of ADA/Para-transit expenses, or during fiscal year 2017
    only for the purposes of a grant not to exceed $3,825,000
    to the Regional Transportation Authority on behalf of PACE
    for the purpose of ADA/Para-transit expenses, or during
    fiscal year 2018 only for the purposes of a grant not to
    exceed $3,825,000 to the Regional Transportation Authority
    on behalf of PACE for the purpose of ADA/Para-transit
    expenses, or during fiscal year 2019 only for the purposes
    of a grant not to exceed $3,825,000 to the Regional
    Transportation Authority on behalf of PACE for the purpose
    of ADA/Para-transit expenses, and the costs for patrolling
    and policing the public highways (by State, political
    subdivision, or municipality collecting that money) for
    enforcement of traffic laws. The separation of grades of
    such highways with railroads and costs associated with
    protection of at-grade highway and railroad crossing shall
    also be permissible.
    Appropriations for any of such purposes are payable from
the Road Fund or the Grade Crossing Protection Fund as provided
in Section 8 of the Motor Fuel Tax Law.
    Except as provided in this paragraph, beginning with fiscal
year 1991 and thereafter, no Road Fund monies shall be
appropriated to the Department of State Police for the purposes
of this Section in excess of its total fiscal year 1990 Road
Fund appropriations for those purposes unless otherwise
provided in Section 5g of this Act. For fiscal years 2003,
2004, 2005, 2006, and 2007 only, no Road Fund monies shall be
appropriated to the Department of State Police for the purposes
of this Section in excess of $97,310,000. For fiscal year 2008
only, no Road Fund monies shall be appropriated to the
Department of State Police for the purposes of this Section in
excess of $106,100,000. For fiscal year 2009 only, no Road Fund
monies shall be appropriated to the Department of State Police
for the purposes of this Section in excess of $114,700,000.
Beginning in fiscal year 2010, no road fund moneys shall be
appropriated to the Department of State Police. It shall not be
lawful to circumvent this limitation on appropriations by
governmental reorganization or other methods unless otherwise
provided in Section 5g of this Act.
    In fiscal year 1994, no Road Fund monies shall be
appropriated to the Secretary of State for the purposes of this
Section in excess of the total fiscal year 1991 Road Fund
appropriations to the Secretary of State for those purposes,
plus $9,800,000. It shall not be lawful to circumvent this
limitation on appropriations by governmental reorganization or
other method.
    Beginning with fiscal year 1995 and thereafter, no Road
Fund monies shall be appropriated to the Secretary of State for
the purposes of this Section in excess of the total fiscal year
1994 Road Fund appropriations to the Secretary of State for
those purposes. It shall not be lawful to circumvent this
limitation on appropriations by governmental reorganization or
other methods.
    Beginning with fiscal year 2000, total Road Fund
appropriations to the Secretary of State for the purposes of
this Section shall not exceed the amounts specified for the
following fiscal years:
    Fiscal Year 2000$80,500,000;
    Fiscal Year 2001$80,500,000;
    Fiscal Year 2002$80,500,000;
    Fiscal Year 2003$130,500,000;
    Fiscal Year 2004$130,500,000;
    Fiscal Year 2005$130,500,000;
    Fiscal Year 2006 $130,500,000;
    Fiscal Year 2007 $130,500,000;
    Fiscal Year 2008$130,500,000;
    Fiscal Year 2009 $130,500,000.
    For fiscal year 2010, no road fund moneys shall be
appropriated to the Secretary of State.
    Beginning in fiscal year 2011, moneys in the Road Fund
shall be appropriated to the Secretary of State for the
exclusive purpose of paying refunds due to overpayment of fees
related to Chapter 3 of the Illinois Vehicle Code unless
otherwise provided for by law.
    It shall not be lawful to circumvent this limitation on
appropriations by governmental reorganization or other
methods.
    No new program may be initiated in fiscal year 1991 and
thereafter that is not consistent with the limitations imposed
by this Section for fiscal year 1984 and thereafter, insofar as
appropriation of Road Fund monies is concerned.
    Nothing in this Section prohibits transfers from the Road
Fund to the State Construction Account Fund under Section 5e of
this Act; nor to the General Revenue Fund, as authorized by
Public Act 93-25 this amendatory Act of the 93rd General
Assembly.
    The additional amounts authorized for expenditure in this
Section by Public Acts 92-0600, 93-0025, 93-0839, and 94-91
shall be repaid to the Road Fund from the General Revenue Fund
in the next succeeding fiscal year that the General Revenue
Fund has a positive budgetary balance, as determined by
generally accepted accounting principles applicable to
government.
    The additional amounts authorized for expenditure by the
Secretary of State and the Department of State Police in this
Section by Public Act 94-91 this amendatory Act of the 94th
General Assembly shall be repaid to the Road Fund from the
General Revenue Fund in the next succeeding fiscal year that
the General Revenue Fund has a positive budgetary balance, as
determined by generally accepted accounting principles
applicable to government.
(Source: P.A. 99-523, eff. 6-30-16; 100-23, eff. 7-6-17;
revised 10-11-17.)
 
    (30 ILCS 105/8.11)  (from Ch. 127, par. 144.11)
    Sec. 8.11. Except as otherwise provided in this Section,
appropriations from the State Parks Fund shall be made only to
the Department of Natural Resources and shall, except for the
additional moneys deposited under Section 805-550 of the
Department of Natural Resources (Conservation) Law of the Civil
Administrative Code of Illinois, be used only for the
maintenance, development, operation, control and acquisition
of State parks and historic sites.
    Revenues derived from the Illinois and Michigan Canal from
the sale of Canal lands, lease of Canal lands, Canal
concessions, and other Canal activities, which have been placed
in the State Parks Fund may be appropriated to the Department
of Natural Resources for that Department to use, either
independently or in cooperation with any Department or Agency
of the Federal or State Government or any political subdivision
thereof for the development and management of the Canal and its
adjacent lands as outlined in the master plan for such
development and management.
(Source: P.A. 96-1160, eff. 1-1-11.)
 
    (30 ILCS 105/5.703 rep.)
    Section 50-30. The State Finance Act is amended by
repealing Section 5.703.
 
    Section 50-40. The State Prompt Payment Act is amended by
adding Section 3-6 as follows:
 
    (30 ILCS 540/3-6 new)
    Sec. 3-6. Federal funds; lack of authority. If an agency
incurs an interest liability under this Act that cannot be
charged to the same expenditure authority account to which the
related goods or services were charged due to federal
prohibitions, the agency is authorized to pay the interest from
its available appropriations from the General Revenue Fund.
 
    Section 50-45. The Illinois Coal Technology Development
Assistance Act is amended by changing Section 3 as follows:
 
    (30 ILCS 730/3)  (from Ch. 96 1/2, par. 8203)
    Sec. 3. Transfers to Coal Technology Development
Assistance Fund.
    (a) As soon as may be practicable after the first day of
each month, the Department of Revenue shall certify to the
Treasurer an amount equal to 1/64 of the revenue realized from
the tax imposed by the Electricity Excise Tax Law, Section 2 of
the Public Utilities Revenue Act, Section 2 of the Messages Tax
Act, and Section 2 of the Gas Revenue Tax Act, during the
preceding month. Upon receipt of the certification, the
Treasurer shall transfer the amount shown on such certification
from the General Revenue Fund to the Coal Technology
Development Assistance Fund, which is hereby created as a
special fund in the State treasury, except that no transfer
shall be made in any month in which the Fund has reached the
following balance:
        (1) $7,000,000 during fiscal year 1994.
        (2) $8,500,000 during fiscal year 1995.
        (3) $10,000,000 during fiscal years 1996 and 1997.
        (4) During fiscal year 1998 through fiscal year 2004,
    an amount equal to the sum of $10,000,000 plus additional
    moneys deposited into the Coal Technology Development
    Assistance Fund from the Renewable Energy Resources and
    Coal Technology Development Assistance Charge under
    Section 6.5 of the Renewable Energy, Energy Efficiency, and
    Coal Resources Development Law of 1997.
        (5) During fiscal year 2005, an amount equal to the sum
    of $7,000,000 plus additional moneys deposited into the
    Coal Technology Development Assistance Fund from the
    Renewable Energy Resources and Coal Technology Development
    Assistance Charge under Section 6.5 of the Renewable
    Energy, Energy Efficiency, and Coal Resources Development
    Law of 1997.
        (6) During fiscal year 2006 and each fiscal year
    thereafter, an amount equal to the sum of $10,000,000 plus
    additional moneys deposited into the Coal Technology
    Development Assistance Fund from the Renewable Energy
    Resources and Coal Technology Development Assistance
    Charge under Section 6.5 of the Renewable Energy, Energy
    Efficiency, and Coal Resources Development Law of 1997.
    (b) During fiscal year 2019 only, the Treasurer shall make
no transfers from the General Revenue Fund to the Coal
Technology Development Assistance Fund.
(Source: P.A. 99-78, eff. 7-20-15.)
 
    Section 50-50. The Illinois Public Aid Code is amended by
changing Section 12-5 as follows:
 
    (305 ILCS 5/12-5)  (from Ch. 23, par. 12-5)
    Sec. 12-5. Appropriations; uses; federal grants; report to
General Assembly. From the sums appropriated by the General
Assembly, the Illinois Department shall order for payment by
warrant from the State Treasury grants for public aid under
Articles III, IV, and V, including grants for funeral and
burial expenses, and all costs of administration of the
Illinois Department and the County Departments relating
thereto. Moneys appropriated to the Illinois Department for
public aid under Article VI may be used, with the consent of
the Governor, to co-operate with federal, State, and local
agencies in the development of work projects designed to
provide suitable employment for persons receiving public aid
under Article VI. The Illinois Department, with the consent of
the Governor, may be the agent of the State for the receipt and
disbursement of federal funds or commodities for public aid
purposes under Article VI and for related purposes in which the
co-operation of the Illinois Department is sought by the
federal government, and, in connection therewith, may make
necessary expenditures from moneys appropriated for public aid
under any Article of this Code and for administration. The
Illinois Department, with the consent of the Governor, may be
the agent of the State for the receipt and disbursement of
federal funds pursuant to the Immigration Reform and Control
Act of 1986 and may make necessary expenditures from monies
appropriated to it for operations, administration, and grants,
including payment to the Health Insurance Reserve Fund for
group insurance costs at the rate certified by the Department
of Central Management Services. All amounts received by the
Illinois Department pursuant to the Immigration Reform and
Control Act of 1986 shall be deposited in the Immigration
Reform and Control Fund. All amounts received into the
Immigration Reform and Control Fund as reimbursement for
expenditures from the General Revenue Fund shall be transferred
to the General Revenue Fund.
    All grants received by the Illinois Department for programs
funded by the Federal Social Services Block Grant shall be
deposited in the Social Services Block Grant Fund. All funds
received into the Social Services Block Grant Fund as
reimbursement for expenditures from the General Revenue Fund
shall be transferred to the General Revenue Fund. All funds
received into the Social Services Block Grant fund for
reimbursement for expenditure out of the Local Initiative Fund
shall be transferred into the Local Initiative Fund. Any other
federal funds received into the Social Services Block Grant
Fund shall be transferred to the DHS Special Purposes Trust
Fund. All federal funds received by the Illinois Department as
reimbursement for Employment and Training Programs for
expenditures made by the Illinois Department from grants,
gifts, or legacies as provided in Section 12-4.18 or made by an
entity other than the Illinois Department and all federal funds
received from the Emergency Contingency Fund for State
Temporary Assistance for Needy Families Programs established
by the American Recovery and Reinvestment Act of 2009 shall be
deposited into the Employment and Training Fund.
    During each State fiscal year, an amount not exceeding a
total of $68,800,000 Eighty percent of the federal financial
participation funds received by the Illinois Department under
the provisions of Title IV-A of the federal Social Security Act
Emergency Assistance program as reimbursement for expenditures
made from the Illinois Department of Children and Family
Services appropriations for the costs of providing services in
behalf of Department of Children and Family Services clients
shall be deposited into the DCFS Children's Services Fund.
    All federal funds, except those covered by the foregoing 3
paragraphs, received as reimbursement for expenditures from
the General Revenue Fund shall be deposited in the General
Revenue Fund for administrative and distributive expenditures
properly chargeable by federal law or regulation to aid
programs established under Articles III through XII and Titles
IV, XVI, XIX and XX of the Federal Social Security Act. Any
other federal funds received by the Illinois Department under
Sections 12-4.6, 12-4.18 and 12-4.19 that are required by
Section 12-10 of this Code to be paid into the DHS Special
Purposes Trust Fund shall be deposited into the DHS Special
Purposes Trust Fund. Any other federal funds received by the
Illinois Department pursuant to the Child Support Enforcement
Program established by Title IV-D of the Social Security Act
shall be deposited in the Child Support Enforcement Trust Fund
as required under Section 12-10.2 or in the Child Support
Administrative Fund as required under Section 12-10.2a of this
Code. Any other federal funds received by the Illinois
Department for expenditures made under Title XIX of the Social
Security Act and Articles V and VI of this Code that are
required by Section 15-2 of this Code to be paid into the
County Provider Trust Fund shall be deposited into the County
Provider Trust Fund. Any other federal funds received by the
Illinois Department for hospital inpatient, hospital
ambulatory care, and disproportionate share hospital
expenditures made under Title XIX of the Social Security Act
and Article V of this Code that are required by Section 5A-8 of
this Code to be paid into the Hospital Provider Fund shall be
deposited into the Hospital Provider Fund. Any other federal
funds received by the Illinois Department for medical
assistance program expenditures made under Title XIX of the
Social Security Act and Article V of this Code that are
required by Section 5B-8 of this Code to be paid into the
Long-Term Care Provider Fund shall be deposited into the
Long-Term Care Provider Fund. Any other federal funds received
by the Illinois Department for medical assistance program
expenditures made under Title XIX of the Social Security Act
and Article V of this Code that are required by Section 5C-7 of
this Code to be paid into the Care Provider Fund for Persons
with a Developmental Disability shall be deposited into the
Care Provider Fund for Persons with a Developmental Disability.
Any other federal funds received by the Illinois Department for
trauma center adjustment payments that are required by Section
5-5.03 of this Code and made under Title XIX of the Social
Security Act and Article V of this Code shall be deposited into
the Trauma Center Fund. Any other federal funds received by the
Illinois Department as reimbursement for expenses for early
intervention services paid from the Early Intervention
Services Revolving Fund shall be deposited into that Fund.
    The Illinois Department shall report to the General
Assembly at the end of each fiscal quarter the amount of all
funds received and paid into the Social Services Block Grant
Fund and the Local Initiative Fund and the expenditures and
transfers of such funds for services, programs and other
purposes authorized by law. Such report shall be filed with the
Speaker, Minority Leader and Clerk of the House, with the
President, Minority Leader and Secretary of the Senate, with
the Chairmen of the House and Senate Appropriations Committees,
the House Human Resources Committee and the Senate Public
Health, Welfare and Corrections Committee, or the successor
standing Committees of each as provided by the rules of the
House and Senate, respectively, with the Legislative Research
Unit and with the State Government Report Distribution Center
for the General Assembly as is required under paragraph (t) of
Section 7 of the State Library Act shall be deemed sufficient
to comply with this Section.
(Source: P.A. 98-463, eff. 8-16-13; 99-143, eff. 7-27-15;
99-933, Article 5, Section 5-130, eff. 1-27-17; 99-933, Article
15, Section 15-50, eff. 1-27-17; revised 2-15-17.)
 
    Section 50-55. The Environmental Protection Act is amended
by changing Sections 22.15, 55.6, and 57.11 as follows:
 
    (415 ILCS 5/22.15)  (from Ch. 111 1/2, par. 1022.15)
    Sec. 22.15. Solid Waste Management Fund; fees.
    (a) There is hereby created within the State Treasury a
special fund to be known as the "Solid Waste Management Fund",
to be constituted from the fees collected by the State pursuant
to this Section, from repayments of loans made from the Fund
for solid waste projects, from registration fees collected
pursuant to the Consumer Electronics Recycling Act, and from
amounts transferred into the Fund pursuant to Public Act
100-433 this amendatory Act of the 100th General Assembly.
Moneys received by the Department of Commerce and Economic
Opportunity in repayment of loans made pursuant to the Illinois
Solid Waste Management Act shall be deposited into the General
Revenue Fund.
    (b) The Agency shall assess and collect a fee in the amount
set forth herein from the owner or operator of each sanitary
landfill permitted or required to be permitted by the Agency to
dispose of solid waste if the sanitary landfill is located off
the site where such waste was produced and if such sanitary
landfill is owned, controlled, and operated by a person other
than the generator of such waste. The Agency shall deposit all
fees collected into the Solid Waste Management Fund. If a site
is contiguous to one or more landfills owned or operated by the
same person, the volumes permanently disposed of by each
landfill shall be combined for purposes of determining the fee
under this subsection. Beginning on July 1, 2018, and on the
first day of each month thereafter during fiscal year 2019, the
State Comptroller shall direct and State Treasurer shall
transfer an amount equal to 1/12 of $5,000,000 per fiscal year
from the Solid Waste Management Fund to the General Revenue
Fund.
        (1) If more than 150,000 cubic yards of non-hazardous
    solid waste is permanently disposed of at a site in a
    calendar year, the owner or operator shall either pay a fee
    of 95 cents per cubic yard or, alternatively, the owner or
    operator may weigh the quantity of the solid waste
    permanently disposed of with a device for which
    certification has been obtained under the Weights and
    Measures Act and pay a fee of $2.00 per ton of solid waste
    permanently disposed of. In no case shall the fee collected
    or paid by the owner or operator under this paragraph
    exceed $1.55 per cubic yard or $3.27 per ton.
        (2) If more than 100,000 cubic yards but not more than
    150,000 cubic yards of non-hazardous waste is permanently
    disposed of at a site in a calendar year, the owner or
    operator shall pay a fee of $52,630.
        (3) If more than 50,000 cubic yards but not more than
    100,000 cubic yards of non-hazardous solid waste is
    permanently disposed of at a site in a calendar year, the
    owner or operator shall pay a fee of $23,790.
        (4) If more than 10,000 cubic yards but not more than
    50,000 cubic yards of non-hazardous solid waste is
    permanently disposed of at a site in a calendar year, the
    owner or operator shall pay a fee of $7,260.
        (5) If not more than 10,000 cubic yards of
    non-hazardous solid waste is permanently disposed of at a
    site in a calendar year, the owner or operator shall pay a
    fee of $1050.
    (c) (Blank).
    (d) The Agency shall establish rules relating to the
collection of the fees authorized by this Section. Such rules
shall include, but not be limited to:
        (1) necessary records identifying the quantities of
    solid waste received or disposed;
        (2) the form and submission of reports to accompany the
    payment of fees to the Agency;
        (3) the time and manner of payment of fees to the
    Agency, which payments shall not be more often than
    quarterly; and
        (4) procedures setting forth criteria establishing
    when an owner or operator may measure by weight or volume
    during any given quarter or other fee payment period.
    (e) Pursuant to appropriation, all monies in the Solid
Waste Management Fund shall be used by the Agency and the
Department of Commerce and Economic Opportunity for the
purposes set forth in this Section and in the Illinois Solid
Waste Management Act, including for the costs of fee collection
and administration, and for the administration of (1) the
Consumer Electronics Recycling Act and (2) until January 1,
2020, the Electronic Products Recycling and Reuse Act.
    (f) The Agency is authorized to enter into such agreements
and to promulgate such rules as are necessary to carry out its
duties under this Section and the Illinois Solid Waste
Management Act.
    (g) On the first day of January, April, July, and October
of each year, beginning on July 1, 1996, the State Comptroller
and Treasurer shall transfer $500,000 from the Solid Waste
Management Fund to the Hazardous Waste Fund. Moneys transferred
under this subsection (g) shall be used only for the purposes
set forth in item (1) of subsection (d) of Section 22.2.
    (h) The Agency is authorized to provide financial
assistance to units of local government for the performance of
inspecting, investigating and enforcement activities pursuant
to Section 4(r) at nonhazardous solid waste disposal sites.
    (i) The Agency is authorized to conduct household waste
collection and disposal programs.
    (j) A unit of local government, as defined in the Local
Solid Waste Disposal Act, in which a solid waste disposal
facility is located may establish a fee, tax, or surcharge with
regard to the permanent disposal of solid waste. All fees,
taxes, and surcharges collected under this subsection shall be
utilized for solid waste management purposes, including
long-term monitoring and maintenance of landfills, planning,
implementation, inspection, enforcement and other activities
consistent with the Solid Waste Management Act and the Local
Solid Waste Disposal Act, or for any other environment-related
purpose, including but not limited to an environment-related
public works project, but not for the construction of a new
pollution control facility other than a household hazardous
waste facility. However, the total fee, tax or surcharge
imposed by all units of local government under this subsection
(j) upon the solid waste disposal facility shall not exceed:
        (1) 60¢ per cubic yard if more than 150,000 cubic yards
    of non-hazardous solid waste is permanently disposed of at
    the site in a calendar year, unless the owner or operator
    weighs the quantity of the solid waste received with a
    device for which certification has been obtained under the
    Weights and Measures Act, in which case the fee shall not
    exceed $1.27 per ton of solid waste permanently disposed
    of.
        (2) $33,350 if more than 100,000 cubic yards, but not
    more than 150,000 cubic yards, of non-hazardous waste is
    permanently disposed of at the site in a calendar year.
        (3) $15,500 if more than 50,000 cubic yards, but not
    more than 100,000 cubic yards, of non-hazardous solid waste
    is permanently disposed of at the site in a calendar year.
        (4) $4,650 if more than 10,000 cubic yards, but not
    more than 50,000 cubic yards, of non-hazardous solid waste
    is permanently disposed of at the site in a calendar year.
        (5) $$650 if not more than 10,000 cubic yards of
    non-hazardous solid waste is permanently disposed of at the
    site in a calendar year.
    The corporate authorities of the unit of local government
may use proceeds from the fee, tax, or surcharge to reimburse a
highway commissioner whose road district lies wholly or
partially within the corporate limits of the unit of local
government for expenses incurred in the removal of
nonhazardous, nonfluid municipal waste that has been dumped on
public property in violation of a State law or local ordinance.
    A county or Municipal Joint Action Agency that imposes a
fee, tax, or surcharge under this subsection may use the
proceeds thereof to reimburse a municipality that lies wholly
or partially within its boundaries for expenses incurred in the
removal of nonhazardous, nonfluid municipal waste that has been
dumped on public property in violation of a State law or local
ordinance.
    If the fees are to be used to conduct a local sanitary
landfill inspection or enforcement program, the unit of local
government must enter into a written delegation agreement with
the Agency pursuant to subsection (r) of Section 4. The unit of
local government and the Agency shall enter into such a written
delegation agreement within 60 days after the establishment of
such fees. At least annually, the Agency shall conduct an audit
of the expenditures made by units of local government from the
funds granted by the Agency to the units of local government
for purposes of local sanitary landfill inspection and
enforcement programs, to ensure that the funds have been
expended for the prescribed purposes under the grant.
    The fees, taxes or surcharges collected under this
subsection (j) shall be placed by the unit of local government
in a separate fund, and the interest received on the moneys in
the fund shall be credited to the fund. The monies in the fund
may be accumulated over a period of years to be expended in
accordance with this subsection.
    A unit of local government, as defined in the Local Solid
Waste Disposal Act, shall prepare and distribute to the Agency,
in April of each year, a report that details spending plans for
monies collected in accordance with this subsection. The report
will at a minimum include the following:
        (1) The total monies collected pursuant to this
    subsection.
        (2) The most current balance of monies collected
    pursuant to this subsection.
        (3) An itemized accounting of all monies expended for
    the previous year pursuant to this subsection.
        (4) An estimation of monies to be collected for the
    following 3 years pursuant to this subsection.
        (5) A narrative detailing the general direction and
    scope of future expenditures for one, 2 and 3 years.
    The exemptions granted under Sections 22.16 and 22.16a, and
under subsection (k) of this Section, shall be applicable to
any fee, tax or surcharge imposed under this subsection (j);
except that the fee, tax or surcharge authorized to be imposed
under this subsection (j) may be made applicable by a unit of
local government to the permanent disposal of solid waste after
December 31, 1986, under any contract lawfully executed before
June 1, 1986 under which more than 150,000 cubic yards (or
50,000 tons) of solid waste is to be permanently disposed of,
even though the waste is exempt from the fee imposed by the
State under subsection (b) of this Section pursuant to an
exemption granted under Section 22.16.
    (k) In accordance with the findings and purposes of the
Illinois Solid Waste Management Act, beginning January 1, 1989
the fee under subsection (b) and the fee, tax or surcharge
under subsection (j) shall not apply to:
        (1) waste Waste which is hazardous waste; or
        (2) waste Waste which is pollution control waste; or
        (3) waste Waste from recycling, reclamation or reuse
    processes which have been approved by the Agency as being
    designed to remove any contaminant from wastes so as to
    render such wastes reusable, provided that the process
    renders at least 50% of the waste reusable; or
        (4) non-hazardous Non-hazardous solid waste that is
    received at a sanitary landfill and composted or recycled
    through a process permitted by the Agency; or
        (5) any Any landfill which is permitted by the Agency
    to receive only demolition or construction debris or
    landscape waste.
(Source: P.A. 100-103, eff. 8-11-17; 100-433, eff. 8-25-17;
revised 9-29-17.)
 
    (415 ILCS 5/55.6)  (from Ch. 111 1/2, par. 1055.6)
    Sec. 55.6. Used Tire Management Fund.
    (a) There is hereby created in the State Treasury a special
fund to be known as the Used Tire Management Fund. There shall
be deposited into the Fund all monies received as (1) recovered
costs or proceeds from the sale of used tires under Section
55.3 of this Act, (2) repayment of loans from the Used Tire
Management Fund, or (3) penalties or punitive damages for
violations of this Title, except as provided by subdivision
(b)(4) or (b)(4-5) of Section 42.
    (b) Beginning January 1, 1992, in addition to any other
fees required by law, the owner or operator of each site
required to be registered or permitted under subsection (d) or
(d-5) of Section 55 shall pay to the Agency an annual fee of
$100. Fees collected under this subsection shall be deposited
into the Environmental Protection Permit and Inspection Fund.
    (c) Pursuant to appropriation, monies up to an amount of $4
million per fiscal year from the Used Tire Management Fund
shall be allocated as follows:
        (1) 38% shall be available to the Agency for the
    following purposes, provided that priority shall be given
    to item (i):
            (i) To undertake preventive, corrective or removal
        action as authorized by and in accordance with Section
        55.3, and to recover costs in accordance with Section
        55.3.
            (ii) For the performance of inspection and
        enforcement activities for used and waste tire sites.
            (iii) (Blank).
            (iv) To provide financial assistance to units of
        local government for the performance of inspecting,
        investigating and enforcement activities pursuant to
        subsection (r) of Section 4 at used and waste tire
        sites.
            (v) To provide financial assistance for used and
        waste tire collection projects sponsored by local
        government or not-for-profit corporations.
            (vi) For the costs of fee collection and
        administration relating to used and waste tires, and to
        accomplish such other purposes as are authorized by
        this Act and regulations thereunder.
            (vii) To provide financial assistance to units of
        local government and private industry for the purposes
        of:
                (A) assisting in the establishment of
            facilities and programs to collect, process, and
            utilize used and waste tires and tire-derived
            materials;
                (B) demonstrating the feasibility of
            innovative technologies as a means of collecting,
            storing, processing, and utilizing used and waste
            tires and tire-derived materials; and
                (C) applying demonstrated technologies as a
            means of collecting, storing, processing, and
            utilizing used and waste tires and tire-derived
            materials.
        (2) For fiscal years beginning prior to July 1, 2004,
    23% shall be available to the Department of Commerce and
    Economic Opportunity for the following purposes, provided
    that priority shall be given to item (A):
            (A) To provide grants or loans for the purposes of:
                (i) assisting units of local government and
            private industry in the establishment of
            facilities and programs to collect, process and
            utilize used and waste tires and tire derived
            materials;
                (ii) demonstrating the feasibility of
            innovative technologies as a means of collecting,
            storing, processing and utilizing used and waste
            tires and tire derived materials; and
                (iii) applying demonstrated technologies as a
            means of collecting, storing, processing, and
            utilizing used and waste tires and tire derived
            materials.
            (B) To develop educational material for use by
        officials and the public to better understand and
        respond to the problems posed by used tires and
        associated insects.
            (C) (Blank).
            (D) To perform such research as the Director deems
        appropriate to help meet the purposes of this Act.
            (E) To pay the costs of administration of its
        activities authorized under this Act.
        (2.1) For the fiscal year beginning July 1, 2004 and
    for all fiscal years thereafter, 23% shall be deposited
    into the General Revenue Fund. For fiscal year 2019 only,
    such transfers are at the direction of the Department of
    Revenue, and shall be made within 30 days after the end of
    each quarter.
        (3) 25% shall be available to the Illinois Department
    of Public Health for the following purposes:
            (A) To investigate threats or potential threats to
        the public health related to mosquitoes and other
        vectors of disease associated with the improper
        storage, handling and disposal of tires, improper
        waste disposal, or natural conditions.
            (B) To conduct surveillance and monitoring
        activities for mosquitoes and other arthropod vectors
        of disease, and surveillance of animals which provide a
        reservoir for disease-producing organisms.
            (C) To conduct training activities to promote
        vector control programs and integrated pest management
        as defined in the Vector Control Act.
            (D) To respond to inquiries, investigate
        complaints, conduct evaluations and provide technical
        consultation to help reduce or eliminate public health
        hazards and nuisance conditions associated with
        mosquitoes and other vectors.
            (E) To provide financial assistance to units of
        local government for training, investigation and
        response to public nuisances associated with
        mosquitoes and other vectors of disease.
        (4) 2% shall be available to the Department of
    Agriculture for its activities under the Illinois
    Pesticide Act relating to used and waste tires.
        (5) 2% shall be available to the Pollution Control
    Board for administration of its activities relating to used
    and waste tires.
        (6) 10% shall be available to the University of
    Illinois for the Prairie Research Institute to perform
    research to study the biology, distribution, population
    ecology, and biosystematics of tire-breeding arthropods,
    especially mosquitoes, and the diseases they spread.
    (d) By January 1, 1998, and biennially thereafter, each
State agency receiving an appropriation from the Used Tire
Management Fund shall report to the Governor and the General
Assembly on its activities relating to the Fund.
    (e) Any monies appropriated from the Used Tire Management
Fund, but not obligated, shall revert to the Fund.
    (f) In administering the provisions of subdivisions (1),
(2) and (3) of subsection (c) of this Section, the Agency, the
Department of Commerce and Economic Opportunity, and the
Illinois Department of Public Health shall ensure that
appropriate funding assistance is provided to any municipality
with a population over 1,000,000 or to any sanitary district
which serves a population over 1,000,000.
    (g) Pursuant to appropriation, monies in excess of $4
million per fiscal year from the Used Tire Management Fund
shall be used as follows:
        (1) 55% shall be available to the Agency for the
    following purposes, provided that priority shall be given
    to subparagraph (A):
            (A) To undertake preventive, corrective or renewed
        action as authorized by and in accordance with Section
        55.3 and to recover costs in accordance with Section
        55.3.
            (B) To provide financial assistance to units of
        local government and private industry for the purposes
        of:
                (i) assisting in the establishment of
            facilities and programs to collect, process, and
            utilize used and waste tires and tire-derived
            materials;
                (ii) demonstrating the feasibility of
            innovative technologies as a means of collecting,
            storing, processing, and utilizing used and waste
            tires and tire-derived materials; and
                (iii) applying demonstrated technologies as a
            means of collecting, storing, processing, and
            utilizing used and waste tires and tire-derived
            materials.
            (C) To provide grants to public universities for
        vector-related research, disease-related research, and
        for related laboratory-based equipment and field-based
        equipment.
        (2) For fiscal years beginning prior to July 1, 2004,
    45% shall be available to the Department of Commerce and
    Economic Opportunity to provide grants or loans for the
    purposes of:
            (i) assisting units of local government and
        private industry in the establishment of facilities
        and programs to collect, process and utilize waste
        tires and tire derived material;
            (ii) demonstrating the feasibility of innovative
        technologies as a means of collecting, storing,
        processing, and utilizing used and waste tires and tire
        derived materials; and
            (iii) applying demonstrated technologies as a
        means of collecting, storing, processing, and
        utilizing used and waste tires and tire derived
        materials.
        (3) For the fiscal year beginning July 1, 2004 and for
    all fiscal years thereafter, 45% shall be deposited into
    the General Revenue Fund. For fiscal year 2019 only, such
    transfers are at the direction of the Department of
    Revenue, and shall be made within 30 days after the end of
    each quarter.
(Source: P.A. 100-103, eff. 8-11-17; 100-327, eff. 8-24-17;
revised 10-2-17.)
 
    (415 ILCS 5/57.11)
    Sec. 57.11. Underground Storage Tank Fund; creation.
    (a) There is hereby created in the State Treasury a special
fund to be known as the Underground Storage Tank Fund. There
shall be deposited into the Underground Storage Tank Fund all
monies received by the Office of the State Fire Marshal as fees
for underground storage tanks under Sections 4 and 5 of the
Gasoline Storage Act, fees pursuant to the Motor Fuel Tax Law,
and beginning July 1, 2013, payments pursuant to the Use Tax
Act, the Service Use Tax Act, the Service Occupation Tax Act,
and the Retailers' Occupation Tax Act. All amounts held in the
Underground Storage Tank Fund shall be invested at interest by
the State Treasurer. All income earned from the investments
shall be deposited into the Underground Storage Tank Fund no
less frequently than quarterly. In addition to any other
transfers that may be provided for by law, beginning on July 1,
2018 and on the first day of each month thereafter during
fiscal year 2019 only, the State Comptroller shall direct and
the State Treasurer shall transfer an amount equal to 1/12 of
$10,000,000 from the Underground Storage Tank Fund to the
General Revenue Fund. Moneys in the Underground Storage Tank
Fund, pursuant to appropriation, may be used by the Agency and
the Office of the State Fire Marshal for the following
purposes:
        (1) To take action authorized under Section 57.12 to
    recover costs under Section 57.12.
        (2) To assist in the reduction and mitigation of damage
    caused by leaks from underground storage tanks, including
    but not limited to, providing alternative water supplies to
    persons whose drinking water has become contaminated as a
    result of those leaks.
        (3) To be used as a matching amount towards federal
    assistance relative to the release of petroleum from
    underground storage tanks.
        (4) For the costs of administering activities of the
    Agency and the Office of the State Fire Marshal relative to
    the Underground Storage Tank Fund.
        (5) For payment of costs of corrective action incurred
    by and indemnification to operators of underground storage
    tanks as provided in this Title.
        (6) For a total of 2 demonstration projects in amounts
    in excess of a $10,000 deductible charge designed to assess
    the viability of corrective action projects at sites which
    have experienced contamination from petroleum releases.
    Such demonstration projects shall be conducted in
    accordance with the provision of this Title.
        (7) Subject to appropriation, moneys in the
    Underground Storage Tank Fund may also be used by the
    Department of Revenue for the costs of administering its
    activities relative to the Fund and for refunds provided
    for in Section 13a.8 of the Motor Fuel Tax Act.
    (b) Moneys in the Underground Storage Tank Fund may,
pursuant to appropriation, be used by the Office of the State
Fire Marshal or the Agency to take whatever emergency action is
necessary or appropriate to assure that the public health or
safety is not threatened whenever there is a release or
substantial threat of a release of petroleum from an
underground storage tank and for the costs of administering its
activities relative to the Underground Storage Tank Fund.
    (c) Beginning July 1, 1993, the Governor shall certify to
the State Comptroller and State Treasurer the monthly amount
necessary to pay debt service on State obligations issued
pursuant to Section 6 of the General Obligation Bond Act. On
the last day of each month, the Comptroller shall order
transferred and the Treasurer shall transfer from the
Underground Storage Tank Fund to the General Obligation Bond
Retirement and Interest Fund the amount certified by the
Governor, plus any cumulative deficiency in those transfers for
prior months.
    (d) Except as provided in subsection (c) of this Section,
the Underground Storage Tank Fund is not subject to
administrative charges authorized under Section 8h of the State
Finance Act that would in any way transfer any funds from the
Underground Storage Tank Fund into any other fund of the State.
    (e) Each fiscal year, subject to appropriation, the Agency
may commit up to $10,000,000 of the moneys in the Underground
Storage Tank Fund to the payment of corrective action costs for
legacy sites that meet one or more of the following criteria as
a result of the underground storage tank release: (i) the
presence of free product, (ii) contamination within a regulated
recharge area, a wellhead protection area, or the setback zone
of a potable water supply well, (iii) contamination extending
beyond the boundaries of the site where the release occurred,
or (iv) such other criteria as may be adopted in Agency rules.
        (1) Fund moneys committed under this subsection (e)
    shall be held in the Fund for payment of the corrective
    action costs for which the moneys were committed.
        (2) The Agency may adopt rules governing the commitment
    of Fund moneys under this subsection (e).
        (3) This subsection (e) does not limit the use of Fund
    moneys at legacy sites as otherwise provided under this
    Title.
        (4) For the purposes of this subsection (e), the term
    "legacy site" means a site for which (i) an underground
    storage tank release was reported prior to January 1, 2005,
    (ii) the owner or operator has been determined eligible to
    receive payment from the Fund for corrective action costs,
    and (iii) the Agency did not receive any applications for
    payment prior to January 1, 2010.
    (f) Beginning July 1, 2013, if the amounts deposited into
the Fund from moneys received by the Office of the State Fire
Marshal as fees for underground storage tanks under Sections 4
and 5 of the Gasoline Storage Act and as fees pursuant to the
Motor Fuel Tax Law during a State fiscal year are sufficient to
pay all claims for payment by the fund received during that
State fiscal year, then the amount of any payments into the
fund pursuant to the Use Tax Act, the Service Use Tax Act, the
Service Occupation Tax Act, and the Retailers' Occupation Tax
Act during that State fiscal year shall be deposited as
follows: 75% thereof shall be paid into the State treasury and
25% shall be reserved in a special account and used only for
the transfer to the Common School Fund as part of the monthly
transfer from the General Revenue Fund in accordance with
Section 8a of the State Finance Act.
(Source: P.A. 98-109, eff. 7-25-13.)
 
ARTICLE 55. RETIREMENT CONTRIBUTIONS

 
    Section 55-5. The State Finance Act is amended by changing
Sections 8.12 and 14.1 as follows:
 
    (30 ILCS 105/8.12)   (from Ch. 127, par. 144.12)
    Sec. 8.12. State Pensions Fund.
    (a) The moneys in the State Pensions Fund shall be used
exclusively for the administration of the Revised Uniform
Unclaimed Property Act and for the expenses incurred by the
Auditor General for administering the provisions of Section
2-8.1 of the Illinois State Auditing Act and for operational
expenses of the Office of the State Treasurer and for the
funding of the unfunded liabilities of the designated
retirement systems. Beginning in State fiscal year 2020 2019,
payments to the designated retirement systems under this
Section shall be in addition to, and not in lieu of, any State
contributions required under the Illinois Pension Code.
    "Designated retirement systems" means:
        (1) the State Employees' Retirement System of
    Illinois;
        (2) the Teachers' Retirement System of the State of
    Illinois;
        (3) the State Universities Retirement System;
        (4) the Judges Retirement System of Illinois; and
        (5) the General Assembly Retirement System.
    (b) Each year the General Assembly may make appropriations
from the State Pensions Fund for the administration of the
Revised Uniform Unclaimed Property Act.
    (c) As soon as possible after July 30, 2004 (the effective
date of Public Act 93-839) this amendatory Act of the 93rd
General Assembly, the General Assembly shall appropriate from
the State Pensions Fund (1) to the State Universities
Retirement System the amount certified under Section 15-165
during the prior year, (2) to the Judges Retirement System of
Illinois the amount certified under Section 18-140 during the
prior year, and (3) to the General Assembly Retirement System
the amount certified under Section 2-134 during the prior year
as part of the required State contributions to each of those
designated retirement systems; except that amounts
appropriated under this subsection (c) in State fiscal year
2005 shall not reduce the amount in the State Pensions Fund
below $5,000,000. If the amount in the State Pensions Fund does
not exceed the sum of the amounts certified in Sections 15-165,
18-140, and 2-134 by at least $5,000,000, the amount paid to
each designated retirement system under this subsection shall
be reduced in proportion to the amount certified by each of
those designated retirement systems.
    (c-5) For fiscal years 2006 through 2019 2018, the General
Assembly shall appropriate from the State Pensions Fund to the
State Universities Retirement System the amount estimated to be
available during the fiscal year in the State Pensions Fund;
provided, however, that the amounts appropriated under this
subsection (c-5) shall not reduce the amount in the State
Pensions Fund below $5,000,000.
    (c-6) For fiscal year 2020 2019 and each fiscal year
thereafter, as soon as may be practical after any money is
deposited into the State Pensions Fund from the Unclaimed
Property Trust Fund, the State Treasurer shall apportion the
deposited amount among the designated retirement systems as
defined in subsection (a) to reduce their actuarial reserve
deficiencies. The State Comptroller and State Treasurer shall
pay the apportioned amounts to the designated retirement
systems to fund the unfunded liabilities of the designated
retirement systems. The amount apportioned to each designated
retirement system shall constitute a portion of the amount
estimated to be available for appropriation from the State
Pensions Fund that is the same as that retirement system's
portion of the total actual reserve deficiency of the systems,
as determined annually by the Governor's Office of Management
and Budget at the request of the State Treasurer. The amounts
apportioned under this subsection shall not reduce the amount
in the State Pensions Fund below $5,000,000.
    (d) The Governor's Office of Management and Budget shall
determine the individual and total reserve deficiencies of the
designated retirement systems. For this purpose, the
Governor's Office of Management and Budget shall utilize the
latest available audit and actuarial reports of each of the
retirement systems and the relevant reports and statistics of
the Public Employee Pension Fund Division of the Department of
Insurance.
    (d-1) As soon as practicable after March 5, 2004 (the
effective date of Public Act 93-665) this amendatory Act of the
93rd General Assembly, the Comptroller shall direct and the
Treasurer shall transfer from the State Pensions Fund to the
General Revenue Fund, as funds become available, a sum equal to
the amounts that would have been paid from the State Pensions
Fund to the Teachers' Retirement System of the State of
Illinois, the State Universities Retirement System, the Judges
Retirement System of Illinois, the General Assembly Retirement
System, and the State Employees' Retirement System of Illinois
after March 5, 2004 (the effective date of Public Act 93-665)
this amendatory Act during the remainder of fiscal year 2004 to
the designated retirement systems from the appropriations
provided for in this Section if the transfers provided in
Section 6z-61 had not occurred. The transfers described in this
subsection (d-1) are to partially repay the General Revenue
Fund for the costs associated with the bonds used to fund the
moneys transferred to the designated retirement systems under
Section 6z-61.
    (e) The changes to this Section made by Public Act 88-593
this amendatory Act of 1994 shall first apply to distributions
from the Fund for State fiscal year 1996.
(Source: P.A. 99-8, eff. 7-9-15; 99-78, eff. 7-20-15; 99-523,
eff. 6-30-16; 100-22, eff. 1-1-18; 100-23, eff. 7-6-17; revised
8-8-17.)
 
    (30 ILCS 105/14.1)   (from Ch. 127, par. 150.1)
    Sec. 14.1. Appropriations for State contributions to the
State Employees' Retirement System; payroll requirements.
    (a) Appropriations for State contributions to the State
Employees' Retirement System of Illinois shall be expended in
the manner provided in this Section. Except as otherwise
provided in subsections (a-1), (a-2), (a-3), and (a-4) at the
time of each payment of salary to an employee under the
personal services line item, payment shall be made to the State
Employees' Retirement System, from the amount appropriated for
State contributions to the State Employees' Retirement System,
of an amount calculated at the rate certified for the
applicable fiscal year by the Board of Trustees of the State
Employees' Retirement System under Section 14-135.08 of the
Illinois Pension Code. If a line item appropriation to an
employer for this purpose is exhausted or is unavailable due to
any limitation on appropriations that may apply, (including,
but not limited to, limitations on appropriations from the Road
Fund under Section 8.3 of the State Finance Act), the amounts
shall be paid under the continuing appropriation for this
purpose contained in the State Pension Funds Continuing
Appropriation Act.
    (a-1) Beginning on March 5, 2004 (the effective date of
Public Act 93-665) this amendatory Act of the 93rd General
Assembly through the payment of the final payroll from fiscal
year 2004 appropriations, appropriations for State
contributions to the State Employees' Retirement System of
Illinois shall be expended in the manner provided in this
subsection (a-1). At the time of each payment of salary to an
employee under the personal services line item from a fund
other than the General Revenue Fund, payment shall be made for
deposit into the General Revenue Fund from the amount
appropriated for State contributions to the State Employees'
Retirement System of an amount calculated at the rate certified
for fiscal year 2004 by the Board of Trustees of the State
Employees' Retirement System under Section 14-135.08 of the
Illinois Pension Code. This payment shall be made to the extent
that a line item appropriation to an employer for this purpose
is available or unexhausted. No payment from appropriations for
State contributions shall be made in conjunction with payment
of salary to an employee under the personal services line item
from the General Revenue Fund.
    (a-2) For fiscal year 2010 only, at the time of each
payment of salary to an employee under the personal services
line item from a fund other than the General Revenue Fund,
payment shall be made for deposit into the State Employees'
Retirement System of Illinois from the amount appropriated for
State contributions to the State Employees' Retirement System
of Illinois of an amount calculated at the rate certified for
fiscal year 2010 by the Board of Trustees of the State
Employees' Retirement System of Illinois under Section
14-135.08 of the Illinois Pension Code. This payment shall be
made to the extent that a line item appropriation to an
employer for this purpose is available or unexhausted. For
fiscal year 2010 only, no payment from appropriations for State
contributions shall be made in conjunction with payment of
salary to an employee under the personal services line item
from the General Revenue Fund.
    (a-3) For fiscal year 2011 only, at the time of each
payment of salary to an employee under the personal services
line item from a fund other than the General Revenue Fund,
payment shall be made for deposit into the State Employees'
Retirement System of Illinois from the amount appropriated for
State contributions to the State Employees' Retirement System
of Illinois of an amount calculated at the rate certified for
fiscal year 2011 by the Board of Trustees of the State
Employees' Retirement System of Illinois under Section
14-135.08 of the Illinois Pension Code. This payment shall be
made to the extent that a line item appropriation to an
employer for this purpose is available or unexhausted. For
fiscal year 2011 only, no payment from appropriations for State
contributions shall be made in conjunction with payment of
salary to an employee under the personal services line item
from the General Revenue Fund.
    (a-4) In fiscal years 2012 through 2019 2018 only, at the
time of each payment of salary to an employee under the
personal services line item from a fund other than the General
Revenue Fund, payment shall be made for deposit into the State
Employees' Retirement System of Illinois from the amount
appropriated for State contributions to the State Employees'
Retirement System of Illinois of an amount calculated at the
rate certified for the applicable fiscal year by the Board of
Trustees of the State Employees' Retirement System of Illinois
under Section 14-135.08 of the Illinois Pension Code. In fiscal
years 2012 through 2019 2018 only, no payment from
appropriations for State contributions shall be made in
conjunction with payment of salary to an employee under the
personal services line item from the General Revenue Fund.
    (b) Except during the period beginning on March 5, 2004
(the effective date of Public Act 93-665) this amendatory Act
of the 93rd General Assembly and ending at the time of the
payment of the final payroll from fiscal year 2004
appropriations, the State Comptroller shall not approve for
payment any payroll voucher that (1) includes payments of
salary to eligible employees in the State Employees' Retirement
System of Illinois and (2) does not include the corresponding
payment of State contributions to that retirement system at the
full rate certified under Section 14-135.08 for that fiscal
year for eligible employees, unless the balance in the fund on
which the payroll voucher is drawn is insufficient to pay the
total payroll voucher, or unavailable due to any limitation on
appropriations that may apply, including, but not limited to,
limitations on appropriations from the Road Fund under Section
8.3 of the State Finance Act. If the State Comptroller approves
a payroll voucher under this Section for which the fund balance
is insufficient to pay the full amount of the required State
contribution to the State Employees' Retirement System, the
Comptroller shall promptly so notify the Retirement System.
    (b-1) For fiscal year 2010 and fiscal year 2011 only, the
State Comptroller shall not approve for payment any non-General
Revenue Fund payroll voucher that (1) includes payments of
salary to eligible employees in the State Employees' Retirement
System of Illinois and (2) does not include the corresponding
payment of State contributions to that retirement system at the
full rate certified under Section 14-135.08 for that fiscal
year for eligible employees, unless the balance in the fund on
which the payroll voucher is drawn is insufficient to pay the
total payroll voucher, or unavailable due to any limitation on
appropriations that may apply, including, but not limited to,
limitations on appropriations from the Road Fund under Section
8.3 of the State Finance Act. If the State Comptroller approves
a payroll voucher under this Section for which the fund balance
is insufficient to pay the full amount of the required State
contribution to the State Employees' Retirement System of
Illinois, the Comptroller shall promptly so notify the
retirement system.
    (c) Notwithstanding any other provisions of law, beginning
July 1, 2007, required State and employee contributions to the
State Employees' Retirement System of Illinois relating to
affected legislative staff employees shall be paid out of
moneys appropriated for that purpose to the Commission on
Government Forecasting and Accountability, rather than out of
the lump-sum appropriations otherwise made for the payroll and
other costs of those employees.
    These payments must be made pursuant to payroll vouchers
submitted by the employing entity as part of the regular
payroll voucher process.
    For the purpose of this subsection, "affected legislative
staff employees" means legislative staff employees paid out of
lump-sum appropriations made to the General Assembly, an
Officer of the General Assembly, or the Senate Operations
Commission, but does not include district-office staff or
employees of legislative support services agencies.
(Source: P.A. 99-8, eff. 7-9-15; 99-523, eff. 6-30-16; 100-23,
eff. 7-6-17.)
 
    Section 55-10. The Illinois Pension Code is amended by
changing Section 14-131 as follows:
 
    (40 ILCS 5/14-131)
    Sec. 14-131. Contributions by State.
    (a) The State shall make contributions to the System by
appropriations of amounts which, together with other employer
contributions from trust, federal, and other funds, employee
contributions, investment income, and other income, will be
sufficient to meet the cost of maintaining and administering
the System on a 90% funded basis in accordance with actuarial
recommendations.
    For the purposes of this Section and Section 14-135.08,
references to State contributions refer only to employer
contributions and do not include employee contributions that
are picked up or otherwise paid by the State or a department on
behalf of the employee.
    (b) The Board shall determine the total amount of State
contributions required for each fiscal year on the basis of the
actuarial tables and other assumptions adopted by the Board,
using the formula in subsection (e).
    The Board shall also determine a State contribution rate
for each fiscal year, expressed as a percentage of payroll,
based on the total required State contribution for that fiscal
year (less the amount received by the System from
appropriations under Section 8.12 of the State Finance Act and
Section 1 of the State Pension Funds Continuing Appropriation
Act, if any, for the fiscal year ending on the June 30
immediately preceding the applicable November 15 certification
deadline), the estimated payroll (including all forms of
compensation) for personal services rendered by eligible
employees, and the recommendations of the actuary.
    For the purposes of this Section and Section 14.1 of the
State Finance Act, the term "eligible employees" includes
employees who participate in the System, persons who may elect
to participate in the System but have not so elected, persons
who are serving a qualifying period that is required for
participation, and annuitants employed by a department as
described in subdivision (a)(1) or (a)(2) of Section 14-111.
    (c) Contributions shall be made by the several departments
for each pay period by warrants drawn by the State Comptroller
against their respective funds or appropriations based upon
vouchers stating the amount to be so contributed. These amounts
shall be based on the full rate certified by the Board under
Section 14-135.08 for that fiscal year. From March 5, 2004 (the
effective date of Public Act 93-665) this amendatory Act of the
93rd General Assembly through the payment of the final payroll
from fiscal year 2004 appropriations, the several departments
shall not make contributions for the remainder of fiscal year
2004 but shall instead make payments as required under
subsection (a-1) of Section 14.1 of the State Finance Act. The
several departments shall resume those contributions at the
commencement of fiscal year 2005.
    (c-1) Notwithstanding subsection (c) of this Section, for
fiscal years 2010, 2012, 2013, 2014, 2015, 2016, 2017, and
2018, and 2019 only, contributions by the several departments
are not required to be made for General Revenue Funds payrolls
processed by the Comptroller. Payrolls paid by the several
departments from all other State funds must continue to be
processed pursuant to subsection (c) of this Section.
    (c-2) For State fiscal years 2010, 2012, 2013, 2014, 2015,
2016, 2017, and 2018, and 2019 only, on or as soon as possible
after the 15th day of each month, the Board shall submit
vouchers for payment of State contributions to the System, in a
total monthly amount of one-twelfth of the fiscal year General
Revenue Fund contribution as certified by the System pursuant
to Section 14-135.08 of the Illinois Pension Code.
    (d) If an employee is paid from trust funds or federal
funds, the department or other employer shall pay employer
contributions from those funds to the System at the certified
rate, unless the terms of the trust or the federal-State
agreement preclude the use of the funds for that purpose, in
which case the required employer contributions shall be paid by
the State. From March 5, 2004 (the effective date of Public Act
93-665) this amendatory Act of the 93rd General Assembly
through the payment of the final payroll from fiscal year 2004
appropriations, the department or other employer shall not pay
contributions for the remainder of fiscal year 2004 but shall
instead make payments as required under subsection (a-1) of
Section 14.1 of the State Finance Act. The department or other
employer shall resume payment of contributions at the
commencement of fiscal year 2005.
    (e) For State fiscal years 2012 through 2045, the minimum
contribution to the System to be made by the State for each
fiscal year shall be an amount determined by the System to be
sufficient to bring the total assets of the System up to 90% of
the total actuarial liabilities of the System by the end of
State fiscal year 2045. In making these determinations, the
required State contribution shall be calculated each year as a
level percentage of payroll over the years remaining to and
including fiscal year 2045 and shall be determined under the
projected unit credit actuarial cost method.
    A change in an actuarial or investment assumption that
increases or decreases the required State contribution and
first applies in State fiscal year 2018 or thereafter shall be
implemented in equal annual amounts over a 5-year period
beginning in the State fiscal year in which the actuarial
change first applies to the required State contribution.
    A change in an actuarial or investment assumption that
increases or decreases the required State contribution and
first applied to the State contribution in fiscal year 2014,
2015, 2016, or 2017 shall be implemented:
        (i) as already applied in State fiscal years before
    2018; and
        (ii) in the portion of the 5-year period beginning in
    the State fiscal year in which the actuarial change first
    applied that occurs in State fiscal year 2018 or
    thereafter, by calculating the change in equal annual
    amounts over that 5-year period and then implementing it at
    the resulting annual rate in each of the remaining fiscal
    years in that 5-year period.
    For State fiscal years 1996 through 2005, the State
contribution to the System, as a percentage of the applicable
employee payroll, shall be increased in equal annual increments
so that by State fiscal year 2011, the State is contributing at
the rate required under this Section; except that (i) for State
fiscal year 1998, for all purposes of this Code and any other
law of this State, the certified percentage of the applicable
employee payroll shall be 5.052% for employees earning eligible
creditable service under Section 14-110 and 6.500% for all
other employees, notwithstanding any contrary certification
made under Section 14-135.08 before July 7, 1997 (the effective
date of Public Act 90-65) this amendatory Act of 1997, and (ii)
in the following specified State fiscal years, the State
contribution to the System shall not be less than the following
indicated percentages of the applicable employee payroll, even
if the indicated percentage will produce a State contribution
in excess of the amount otherwise required under this
subsection and subsection (a): 9.8% in FY 1999; 10.0% in FY
2000; 10.2% in FY 2001; 10.4% in FY 2002; 10.6% in FY 2003; and
10.8% in FY 2004.
    Notwithstanding any other provision of this Article, the
total required State contribution to the System for State
fiscal year 2006 is $203,783,900.
    Notwithstanding any other provision of this Article, the
total required State contribution to the System for State
fiscal year 2007 is $344,164,400.
    For each of State fiscal years 2008 through 2009, the State
contribution to the System, as a percentage of the applicable
employee payroll, shall be increased in equal annual increments
from the required State contribution for State fiscal year
2007, so that by State fiscal year 2011, the State is
contributing at the rate otherwise required under this Section.
    Notwithstanding any other provision of this Article, the
total required State General Revenue Fund contribution for
State fiscal year 2010 is $723,703,100 and shall be made from
the proceeds of bonds sold in fiscal year 2010 pursuant to
Section 7.2 of the General Obligation Bond Act, less (i) the
pro rata share of bond sale expenses determined by the System's
share of total bond proceeds, (ii) any amounts received from
the General Revenue Fund in fiscal year 2010, and (iii) any
reduction in bond proceeds due to the issuance of discounted
bonds, if applicable.
    Notwithstanding any other provision of this Article, the
total required State General Revenue Fund contribution for
State fiscal year 2011 is the amount recertified by the System
on or before April 1, 2011 pursuant to Section 14-135.08 and
shall be made from the proceeds of bonds sold in fiscal year
2011 pursuant to Section 7.2 of the General Obligation Bond
Act, less (i) the pro rata share of bond sale expenses
determined by the System's share of total bond proceeds, (ii)
any amounts received from the General Revenue Fund in fiscal
year 2011, and (iii) any reduction in bond proceeds due to the
issuance of discounted bonds, if applicable.
    Beginning in State fiscal year 2046, the minimum State
contribution for each fiscal year shall be the amount needed to
maintain the total assets of the System at 90% of the total
actuarial liabilities of the System.
    Amounts received by the System pursuant to Section 25 of
the Budget Stabilization Act or Section 8.12 of the State
Finance Act in any fiscal year do not reduce and do not
constitute payment of any portion of the minimum State
contribution required under this Article in that fiscal year.
Such amounts shall not reduce, and shall not be included in the
calculation of, the required State contributions under this
Article in any future year until the System has reached a
funding ratio of at least 90%. A reference in this Article to
the "required State contribution" or any substantially similar
term does not include or apply to any amounts payable to the
System under Section 25 of the Budget Stabilization Act.
    Notwithstanding any other provision of this Section, the
required State contribution for State fiscal year 2005 and for
fiscal year 2008 and each fiscal year thereafter, as calculated
under this Section and certified under Section 14-135.08, shall
not exceed an amount equal to (i) the amount of the required
State contribution that would have been calculated under this
Section for that fiscal year if the System had not received any
payments under subsection (d) of Section 7.2 of the General
Obligation Bond Act, minus (ii) the portion of the State's
total debt service payments for that fiscal year on the bonds
issued in fiscal year 2003 for the purposes of that Section
7.2, as determined and certified by the Comptroller, that is
the same as the System's portion of the total moneys
distributed under subsection (d) of Section 7.2 of the General
Obligation Bond Act. In determining this maximum for State
fiscal years 2008 through 2010, however, the amount referred to
in item (i) shall be increased, as a percentage of the
applicable employee payroll, in equal increments calculated
from the sum of the required State contribution for State
fiscal year 2007 plus the applicable portion of the State's
total debt service payments for fiscal year 2007 on the bonds
issued in fiscal year 2003 for the purposes of Section 7.2 of
the General Obligation Bond Act, so that, by State fiscal year
2011, the State is contributing at the rate otherwise required
under this Section.
    (f) After the submission of all payments for eligible
employees from personal services line items in fiscal year 2004
have been made, the Comptroller shall provide to the System a
certification of the sum of all fiscal year 2004 expenditures
for personal services that would have been covered by payments
to the System under this Section if the provisions of Public
Act 93-665 this amendatory Act of the 93rd General Assembly had
not been enacted. Upon receipt of the certification, the System
shall determine the amount due to the System based on the full
rate certified by the Board under Section 14-135.08 for fiscal
year 2004 in order to meet the State's obligation under this
Section. The System shall compare this amount due to the amount
received by the System in fiscal year 2004 through payments
under this Section and under Section 6z-61 of the State Finance
Act. If the amount due is more than the amount received, the
difference shall be termed the "Fiscal Year 2004 Shortfall" for
purposes of this Section, and the Fiscal Year 2004 Shortfall
shall be satisfied under Section 1.2 of the State Pension Funds
Continuing Appropriation Act. If the amount due is less than
the amount received, the difference shall be termed the "Fiscal
Year 2004 Overpayment" for purposes of this Section, and the
Fiscal Year 2004 Overpayment shall be repaid by the System to
the Pension Contribution Fund as soon as practicable after the
certification.
    (g) For purposes of determining the required State
contribution to the System, the value of the System's assets
shall be equal to the actuarial value of the System's assets,
which shall be calculated as follows:
    As of June 30, 2008, the actuarial value of the System's
assets shall be equal to the market value of the assets as of
that date. In determining the actuarial value of the System's
assets for fiscal years after June 30, 2008, any actuarial
gains or losses from investment return incurred in a fiscal
year shall be recognized in equal annual amounts over the
5-year period following that fiscal year.
    (h) For purposes of determining the required State
contribution to the System for a particular year, the actuarial
value of assets shall be assumed to earn a rate of return equal
to the System's actuarially assumed rate of return.
    (i) After the submission of all payments for eligible
employees from personal services line items paid from the
General Revenue Fund in fiscal year 2010 have been made, the
Comptroller shall provide to the System a certification of the
sum of all fiscal year 2010 expenditures for personal services
that would have been covered by payments to the System under
this Section if the provisions of Public Act 96-45 this
amendatory Act of the 96th General Assembly had not been
enacted. Upon receipt of the certification, the System shall
determine the amount due to the System based on the full rate
certified by the Board under Section 14-135.08 for fiscal year
2010 in order to meet the State's obligation under this
Section. The System shall compare this amount due to the amount
received by the System in fiscal year 2010 through payments
under this Section. If the amount due is more than the amount
received, the difference shall be termed the "Fiscal Year 2010
Shortfall" for purposes of this Section, and the Fiscal Year
2010 Shortfall shall be satisfied under Section 1.2 of the
State Pension Funds Continuing Appropriation Act. If the amount
due is less than the amount received, the difference shall be
termed the "Fiscal Year 2010 Overpayment" for purposes of this
Section, and the Fiscal Year 2010 Overpayment shall be repaid
by the System to the General Revenue Fund as soon as
practicable after the certification.
    (j) After the submission of all payments for eligible
employees from personal services line items paid from the
General Revenue Fund in fiscal year 2011 have been made, the
Comptroller shall provide to the System a certification of the
sum of all fiscal year 2011 expenditures for personal services
that would have been covered by payments to the System under
this Section if the provisions of Public Act 96-1497 this
amendatory Act of the 96th General Assembly had not been
enacted. Upon receipt of the certification, the System shall
determine the amount due to the System based on the full rate
certified by the Board under Section 14-135.08 for fiscal year
2011 in order to meet the State's obligation under this
Section. The System shall compare this amount due to the amount
received by the System in fiscal year 2011 through payments
under this Section. If the amount due is more than the amount
received, the difference shall be termed the "Fiscal Year 2011
Shortfall" for purposes of this Section, and the Fiscal Year
2011 Shortfall shall be satisfied under Section 1.2 of the
State Pension Funds Continuing Appropriation Act. If the amount
due is less than the amount received, the difference shall be
termed the "Fiscal Year 2011 Overpayment" for purposes of this
Section, and the Fiscal Year 2011 Overpayment shall be repaid
by the System to the General Revenue Fund as soon as
practicable after the certification.
    (k) For fiscal years 2012 through 2019 2018 only, after the
submission of all payments for eligible employees from personal
services line items paid from the General Revenue Fund in the
fiscal year have been made, the Comptroller shall provide to
the System a certification of the sum of all expenditures in
the fiscal year for personal services. Upon receipt of the
certification, the System shall determine the amount due to the
System based on the full rate certified by the Board under
Section 14-135.08 for the fiscal year in order to meet the
State's obligation under this Section. The System shall compare
this amount due to the amount received by the System for the
fiscal year. If the amount due is more than the amount
received, the difference shall be termed the "Prior Fiscal Year
Shortfall" for purposes of this Section, and the Prior Fiscal
Year Shortfall shall be satisfied under Section 1.2 of the
State Pension Funds Continuing Appropriation Act. If the amount
due is less than the amount received, the difference shall be
termed the "Prior Fiscal Year Overpayment" for purposes of this
Section, and the Prior Fiscal Year Overpayment shall be repaid
by the System to the General Revenue Fund as soon as
practicable after the certification.
(Source: P.A. 99-8, eff. 7-9-15; 99-523, eff. 6-30-16; 100-23,
eff. 7-6-17.)
 
    Section 55-20. The Revised Uniform Unclaimed Property Act
is amended by changing Section 15-801 as follows:
 
    (765 ILCS 1026/15-801)
    Sec. 15-801. Deposit of funds by administrator.
    (a) Except as otherwise provided in this Section, the
administrator shall deposit in the Unclaimed Property Trust
Fund all funds received under this Act, including proceeds from
the sale of property under Article 7. The administrator may
deposit any amount in the Unclaimed Property Trust Fund into
the State Pensions Fund during the fiscal year at his or her
discretion; however, he or she shall, on April 15 and October
15 of each year, deposit any amount in the Unclaimed Property
Trust Fund exceeding $2,500,000 into the State Pensions Fund.
If on either April 15 or October 15, the administrator
determines that a balance of $2,500,000 is insufficient for the
prompt payment of unclaimed property claims authorized under
this Act, the administrator may retain more than $2,500,000 in
the Unclaimed Property Trust Fund in order to ensure the prompt
payment of claims. Beginning in State fiscal year 2020 2018,
all amounts that are deposited into the State Pensions Fund
from the Unclaimed Property Trust Fund shall be apportioned to
the designated retirement systems as provided in subsection
(c-6) of Section 8.12 of the State Finance Act to reduce their
actuarial reserve deficiencies.
    (b) The administrator shall make prompt payment of claims
he or she duly allows as provided for in this Act from the
Unclaimed Property Trust Fund. This shall constitute an
irrevocable and continuing appropriation of all amounts in the
Unclaimed Property Trust Fund necessary to make prompt payment
of claims duly allowed by the administrator pursuant to this
Act.
(Source: P.A. 100-22, eff. 1-1-18.)
 
ARTICLE 60. REFUNDING BONDS

 
    Section 60-5. The General Obligation Bond Act is amended by
changing Sections 9, 11, and 16 as follows:
 
    (30 ILCS 330/9)  (from Ch. 127, par. 659)
    Sec. 9. Conditions for issuance and sale of Bonds;
requirements Issuance and Sale of Bonds - Requirements for
Bonds.
    (a) Except as otherwise provided in this subsection and
subsection (h), Bonds shall be issued and sold from time to
time, in one or more series, in such amounts and at such prices
as may be directed by the Governor, upon recommendation by the
Director of the Governor's Office of Management and Budget.
Bonds shall be in such form (either coupon, registered or book
entry), in such denominations, payable within 25 years from
their date, subject to such terms of redemption with or without
premium, bear interest payable at such times and at such fixed
or variable rate or rates, and be dated as shall be fixed and
determined by the Director of the Governor's Office of
Management and Budget in the order authorizing the issuance and
sale of any series of Bonds, which order shall be approved by
the Governor and is herein called a "Bond Sale Order"; provided
however, that interest payable at fixed or variable rates shall
not exceed that permitted in the Bond Authorization Act, as now
or hereafter amended. Bonds shall be payable at such place or
places, within or without the State of Illinois, and may be
made registrable as to either principal or as to both principal
and interest, as shall be specified in the Bond Sale Order.
Bonds may be callable or subject to purchase and retirement or
tender and remarketing as fixed and determined in the Bond Sale
Order. Bonds, other than Bonds issued under Section 3 of this
Act for the costs associated with the purchase and
implementation of information technology, (i) except for
refunding Bonds satisfying the requirements of Section 16 of
this Act and sold during fiscal year 2009, 2010, 2011, 2017, or
2018, or 2019 must be issued with principal or mandatory
redemption amounts in equal amounts, with the first maturity
issued occurring within the fiscal year in which the Bonds are
issued or within the next succeeding fiscal year and (ii) must
mature or be subject to mandatory redemption each fiscal year
thereafter up to 25 years, except for refunding Bonds
satisfying the requirements of Section 16 of this Act and sold
during fiscal year 2009, 2010, or 2011 which must mature or be
subject to mandatory redemption each fiscal year thereafter up
to 16 years. Bonds issued under Section 3 of this Act for the
costs associated with the purchase and implementation of
information technology must be issued with principal or
mandatory redemption amounts in equal amounts, with the first
maturity issued occurring with the fiscal year in which the
respective bonds are issued or with the next succeeding fiscal
year, with the respective bonds issued maturing or subject to
mandatory redemption each fiscal year thereafter up to 10
years. Notwithstanding any provision of this Act to the
contrary, the Bonds authorized by Public Act 96-43 shall be
payable within 5 years from their date and must be issued with
principal or mandatory redemption amounts in equal amounts,
with payment of principal or mandatory redemption beginning in
the first fiscal year following the fiscal year in which the
Bonds are issued.
    Notwithstanding any provision of this Act to the contrary,
the Bonds authorized by Public Act 96-1497 shall be payable
within 8 years from their date and shall be issued with payment
of maturing principal or scheduled mandatory redemptions in
accordance with the following schedule, except the following
amounts shall be prorated if less than the total additional
amount of Bonds authorized by Public Act 96-1497 are issued:
    Fiscal Year After Issuance    Amount
        1-2                        $0 
        3                          $110,712,120
        4                          $332,136,360
        5                          $664,272,720
        6-8                        $996,409,080
    Notwithstanding any provision of this Act to the contrary,
Income Tax Proceed Bonds issued under Section 7.6 shall be
payable 12 years from the date of sale and shall be issued with
payment of principal or mandatory redemption.
    In the case of any series of Bonds bearing interest at a
variable interest rate ("Variable Rate Bonds"), in lieu of
determining the rate or rates at which such series of Variable
Rate Bonds shall bear interest and the price or prices at which
such Variable Rate Bonds shall be initially sold or remarketed
(in the event of purchase and subsequent resale), the Bond Sale
Order may provide that such interest rates and prices may vary
from time to time depending on criteria established in such
Bond Sale Order, which criteria may include, without
limitation, references to indices or variations in interest
rates as may, in the judgment of a remarketing agent, be
necessary to cause Variable Rate Bonds of such series to be
remarketable from time to time at a price equal to their
principal amount, and may provide for appointment of a bank,
trust company, investment bank, or other financial institution
to serve as remarketing agent in that connection. The Bond Sale
Order may provide that alternative interest rates or provisions
for establishing alternative interest rates, different
security or claim priorities, or different call or amortization
provisions will apply during such times as Variable Rate Bonds
of any series are held by a person providing credit or
liquidity enhancement arrangements for such Bonds as
authorized in subsection (b) of this Section. The Bond Sale
Order may also provide for such variable interest rates to be
established pursuant to a process generally known as an auction
rate process and may provide for appointment of one or more
financial institutions to serve as auction agents and
broker-dealers in connection with the establishment of such
interest rates and the sale and remarketing of such Bonds.
    (b) In connection with the issuance of any series of Bonds,
the State may enter into arrangements to provide additional
security and liquidity for such Bonds, including, without
limitation, bond or interest rate insurance or letters of
credit, lines of credit, bond purchase contracts, or other
arrangements whereby funds are made available to retire or
purchase Bonds, thereby assuring the ability of owners of the
Bonds to sell or redeem their Bonds. The State may enter into
contracts and may agree to pay fees to persons providing such
arrangements, but only under circumstances where the Director
of the Governor's Office of Management and Budget certifies
that he or she reasonably expects the total interest paid or to
be paid on the Bonds, together with the fees for the
arrangements (being treated as if interest), would not, taken
together, cause the Bonds to bear interest, calculated to their
stated maturity, at a rate in excess of the rate that the Bonds
would bear in the absence of such arrangements.
    The State may, with respect to Bonds issued or anticipated
to be issued, participate in and enter into arrangements with
respect to interest rate protection or exchange agreements,
guarantees, or financial futures contracts for the purpose of
limiting, reducing, or managing interest rate exposure. The
authority granted under this paragraph, however, shall not
increase the principal amount of Bonds authorized to be issued
by law. The arrangements may be executed and delivered by the
Director of the Governor's Office of Management and Budget on
behalf of the State. Net payments for such arrangements shall
constitute interest on the Bonds and shall be paid from the
General Obligation Bond Retirement and Interest Fund. The
Director of the Governor's Office of Management and Budget
shall at least annually certify to the Governor and the State
Comptroller his or her estimate of the amounts of such net
payments to be included in the calculation of interest required
to be paid by the State.
    (c) Prior to the issuance of any Variable Rate Bonds
pursuant to subsection (a), the Director of the Governor's
Office of Management and Budget shall adopt an interest rate
risk management policy providing that the amount of the State's
variable rate exposure with respect to Bonds shall not exceed
20%. This policy shall remain in effect while any Bonds are
outstanding and the issuance of Bonds shall be subject to the
terms of such policy. The terms of this policy may be amended
from time to time by the Director of the Governor's Office of
Management and Budget but in no event shall any amendment cause
the permitted level of the State's variable rate exposure with
respect to Bonds to exceed 20%.
    (d) "Build America Bonds" in this Section means Bonds
authorized by Section 54AA of the Internal Revenue Code of
1986, as amended ("Internal Revenue Code"), and bonds issued
from time to time to refund or continue to refund "Build
America Bonds".
    (e) Notwithstanding any other provision of this Section,
Qualified School Construction Bonds shall be issued and sold
from time to time, in one or more series, in such amounts and
at such prices as may be directed by the Governor, upon
recommendation by the Director of the Governor's Office of
Management and Budget. Qualified School Construction Bonds
shall be in such form (either coupon, registered or book
entry), in such denominations, payable within 25 years from
their date, subject to such terms of redemption with or without
premium, and if the Qualified School Construction Bonds are
issued with a supplemental coupon, bear interest payable at
such times and at such fixed or variable rate or rates, and be
dated as shall be fixed and determined by the Director of the
Governor's Office of Management and Budget in the order
authorizing the issuance and sale of any series of Qualified
School Construction Bonds, which order shall be approved by the
Governor and is herein called a "Bond Sale Order"; except that
interest payable at fixed or variable rates, if any, shall not
exceed that permitted in the Bond Authorization Act, as now or
hereafter amended. Qualified School Construction Bonds shall
be payable at such place or places, within or without the State
of Illinois, and may be made registrable as to either principal
or as to both principal and interest, as shall be specified in
the Bond Sale Order. Qualified School Construction Bonds may be
callable or subject to purchase and retirement or tender and
remarketing as fixed and determined in the Bond Sale Order.
Qualified School Construction Bonds must be issued with
principal or mandatory redemption amounts or sinking fund
payments into the General Obligation Bond Retirement and
Interest Fund (or subaccount therefor) in equal amounts, with
the first maturity issued, mandatory redemption payment or
sinking fund payment occurring within the fiscal year in which
the Qualified School Construction Bonds are issued or within
the next succeeding fiscal year, with Qualified School
Construction Bonds issued maturing or subject to mandatory
redemption or with sinking fund payments thereof deposited each
fiscal year thereafter up to 25 years. Sinking fund payments
set forth in this subsection shall be permitted only to the
extent authorized in Section 54F of the Internal Revenue Code
or as otherwise determined by the Director of the Governor's
Office of Management and Budget. "Qualified School
Construction Bonds" in this subsection means Bonds authorized
by Section 54F of the Internal Revenue Code and for bonds
issued from time to time to refund or continue to refund such
"Qualified School Construction Bonds".
    (f) Beginning with the next issuance by the Governor's
Office of Management and Budget to the Procurement Policy Board
of a request for quotation for the purpose of formulating a new
pool of qualified underwriting banks list, all entities
responding to such a request for quotation for inclusion on
that list shall provide a written report to the Governor's
Office of Management and Budget and the Illinois Comptroller.
The written report submitted to the Comptroller shall (i) be
published on the Comptroller's Internet website and (ii) be
used by the Governor's Office of Management and Budget for the
purposes of scoring such a request for quotation. The written
report, at a minimum, shall:
        (1) disclose whether, within the past 3 months,
    pursuant to its credit default swap market-making
    activities, the firm has entered into any State of Illinois
    credit default swaps ("CDS");
        (2) include, in the event of State of Illinois CDS
    activity, disclosure of the firm's cumulative notional
    volume of State of Illinois CDS trades and the firm's
    outstanding gross and net notional amount of State of
    Illinois CDS, as of the end of the current 3-month period;
        (3) indicate, pursuant to the firm's proprietary
    trading activities, disclosure of whether the firm, within
    the past 3 months, has entered into any proprietary trades
    for its own account in State of Illinois CDS;
        (4) include, in the event of State of Illinois
    proprietary trades, disclosure of the firm's outstanding
    gross and net notional amount of proprietary State of
    Illinois CDS and whether the net position is short or long
    credit protection, as of the end of the current 3-month
    period;
        (5) list all time periods during the past 3 months
    during which the firm held net long or net short State of
    Illinois CDS proprietary credit protection positions, the
    amount of such positions, and whether those positions were
    net long or net short credit protection positions; and
        (6) indicate whether, within the previous 3 months, the
    firm released any publicly available research or marketing
    reports that reference State of Illinois CDS and include
    those research or marketing reports as attachments.
    (g) All entities included on a Governor's Office of
Management and Budget's pool of qualified underwriting banks
list shall, as soon as possible after March 18, 2011 (the
effective date of Public Act 96-1554), but not later than
January 21, 2011, and on a quarterly fiscal basis thereafter,
provide a written report to the Governor's Office of Management
and Budget and the Illinois Comptroller. The written reports
submitted to the Comptroller shall be published on the
Comptroller's Internet website. The written reports, at a
minimum, shall:
        (1) disclose whether, within the past 3 months,
    pursuant to its credit default swap market-making
    activities, the firm has entered into any State of Illinois
    credit default swaps ("CDS");
        (2) include, in the event of State of Illinois CDS
    activity, disclosure of the firm's cumulative notional
    volume of State of Illinois CDS trades and the firm's
    outstanding gross and net notional amount of State of
    Illinois CDS, as of the end of the current 3-month period;
        (3) indicate, pursuant to the firm's proprietary
    trading activities, disclosure of whether the firm, within
    the past 3 months, has entered into any proprietary trades
    for its own account in State of Illinois CDS;
        (4) include, in the event of State of Illinois
    proprietary trades, disclosure of the firm's outstanding
    gross and net notional amount of proprietary State of
    Illinois CDS and whether the net position is short or long
    credit protection, as of the end of the current 3-month
    period;
        (5) list all time periods during the past 3 months
    during which the firm held net long or net short State of
    Illinois CDS proprietary credit protection positions, the
    amount of such positions, and whether those positions were
    net long or net short credit protection positions; and
        (6) indicate whether, within the previous 3 months, the
    firm released any publicly available research or marketing
    reports that reference State of Illinois CDS and include
    those research or marketing reports as attachments.
    (h) Notwithstanding any other provision of this Section,
for purposes of maximizing market efficiencies and cost
savings, Income Tax Proceed Bonds may be issued and sold from
time to time, in one or more series, in such amounts and at
such prices as may be directed by the Governor, upon
recommendation by the Director of the Governor's Office of
Management and Budget. Income Tax Proceed Bonds shall be in
such form, either coupon, registered, or book entry, in such
denominations, shall bear interest payable at such times and at
such fixed or variable rate or rates, and be dated as shall be
fixed and determined by the Director of the Governor's Office
of Management and Budget in the order authorizing the issuance
and sale of any series of Income Tax Proceed Bonds, which order
shall be approved by the Governor and is herein called a "Bond
Sale Order"; provided, however, that interest payable at fixed
or variable rates shall not exceed that permitted in the Bond
Authorization Act. Income Tax Proceed Bonds shall be payable at
such place or places, within or without the State of Illinois,
and may be made registrable as to either principal or as to
both principal and interest, as shall be specified in the Bond
Sale Order. Income Tax Proceed Bonds may be callable or subject
to purchase and retirement or tender and remarketing as fixed
and determined in the Bond Sale Order.
(Source: P.A. 99-523, eff. 6-30-16; 100-23, Article 25, Section
25-5, eff. 7-6-17; 100-23, Article 75, Section 75-10, eff.
7-6-17; revised 8-8-17.)
 
    (30 ILCS 330/11)  (from Ch. 127, par. 661)
    Sec. 11. Sale of Bonds. Except as otherwise provided in
this Section, Bonds shall be sold from time to time pursuant to
notice of sale and public bid or by negotiated sale in such
amounts and at such times as is directed by the Governor, upon
recommendation by the Director of the Governor's Office of
Management and Budget. At least 25%, based on total principal
amount, of all Bonds issued each fiscal year shall be sold
pursuant to notice of sale and public bid. At all times during
each fiscal year, no more than 75%, based on total principal
amount, of the Bonds issued each fiscal year, shall have been
sold by negotiated sale. Failure to satisfy the requirements in
the preceding 2 sentences shall not affect the validity of any
previously issued Bonds; provided that all Bonds authorized by
Public Act 96-43 and Public Act 96-1497 shall not be included
in determining compliance for any fiscal year with the
requirements of the preceding 2 sentences; and further provided
that refunding Bonds satisfying the requirements of Section 16
of this Act and sold during fiscal year 2009, 2010, 2011, 2017,
or 2018, or 2019 shall not be subject to the requirements in
the preceding 2 sentences.
    If any Bonds, including refunding Bonds, are to be sold by
negotiated sale, the Director of the Governor's Office of
Management and Budget shall comply with the competitive request
for proposal process set forth in the Illinois Procurement Code
and all other applicable requirements of that Code.
    If Bonds are to be sold pursuant to notice of sale and
public bid, the Director of the Governor's Office of Management
and Budget may, from time to time, as Bonds are to be sold,
advertise the sale of the Bonds in at least 2 daily newspapers,
one of which is published in the City of Springfield and one in
the City of Chicago. The sale of the Bonds shall also be
advertised in the volume of the Illinois Procurement Bulletin
that is published by the Department of Central Management
Services, and shall be published once at least 10 days prior to
the date fixed for the opening of the bids. The Director of the
Governor's Office of Management and Budget may reschedule the
date of sale upon the giving of such additional notice as the
Director deems adequate to inform prospective bidders of such
change; provided, however, that all other conditions of the
sale shall continue as originally advertised.
    Executed Bonds shall, upon payment therefor, be delivered
to the purchaser, and the proceeds of Bonds shall be paid into
the State Treasury as directed by Section 12 of this Act.
    All Income Tax Proceed Bonds shall comply with this
Section. Notwithstanding anything to the contrary, however,
for purposes of complying with this Section, Income Tax Proceed
Bonds, regardless of the number of series or issuances sold
thereunder, shall be considered a single issue or series.
Furthermore, for purposes of complying with the competitive
bidding requirements of this Section, the words "at all times"
shall not apply to any such sale of the Income Tax Proceed
Bonds. The Director of the Governor's Office of Management and
Budget shall determine the time and manner of any competitive
sale of the Income Tax Proceed Bonds; however, that sale shall
under no circumstances take place later than 60 days after the
State closes the sale of 75% of the Income Tax Proceed Bonds by
negotiated sale.
(Source: P.A. 99-523, eff. 6-30-16; 100-23, Article 25, Section
25-5, eff. 7-6-17; 100-23, Article 75, Section 75-10, eff.
7-6-17; revised 8-15-17.)
 
    (30 ILCS 330/16)  (from Ch. 127, par. 666)
    Sec. 16. Refunding Bonds. The State of Illinois is
authorized to issue, sell, and provide for the retirement of
General Obligation Bonds of the State of Illinois in the amount
of $4,839,025,000, at any time and from time to time
outstanding, for the purpose of refunding any State of Illinois
general obligation Bonds then outstanding, including (i) the
payment of any redemption premium thereon, (ii) any reasonable
expenses of such refunding, (iii) any interest accrued or to
accrue to the earliest or any subsequent date of redemption or
maturity of such outstanding Bonds, (iv) for fiscal year 2019
only, any necessary payments to providers of interest rate
exchange agreements in connection with the termination of such
agreements by the State in connection with the refunding, and
(v) any interest to accrue to the first interest payment on the
refunding Bonds; provided that all non-refunding Bonds in an
issue that includes refunding Bonds shall mature no later than
the final maturity date of Bonds being refunded; provided that
no refunding Bonds shall be offered for sale unless the net
present value of debt service savings to be achieved by the
issuance of the refunding Bonds is 3% or more of the principal
amount of the refunding Bonds to be issued; and further
provided that, except for refunding Bonds sold in fiscal year
2009, 2010, 2011, 2017, or 2018, or 2019, the maturities of the
refunding Bonds shall not extend beyond the maturities of the
Bonds they refund, so that for each fiscal year in the maturity
schedule of a particular issue of refunding Bonds, the total
amount of refunding principal maturing and redemption amounts
due in that fiscal year and all prior fiscal years in that
schedule shall be greater than or equal to the total amount of
refunded principal and redemption amounts that had been due
over that year and all prior fiscal years prior to the
refunding.
     The Governor shall notify the State Treasurer and
Comptroller of such refunding. The proceeds received from the
sale of refunding Bonds shall be used for the retirement at
maturity or redemption of such outstanding Bonds on any
maturity or redemption date and, pending such use, shall be
placed in escrow, subject to such terms and conditions as shall
be provided for in the Bond Sale Order relating to the
Refunding Bonds. Proceeds not needed for deposit in an escrow
account shall be deposited in the General Obligation Bond
Retirement and Interest Fund. This Act shall constitute an
irrevocable and continuing appropriation of all amounts
necessary to establish an escrow account for the purpose of
refunding outstanding general obligation Bonds and to pay the
reasonable expenses of such refunding and of the issuance and
sale of the refunding Bonds. Any such escrowed proceeds may be
invested and reinvested in direct obligations of the United
States of America, maturing at such time or times as shall be
appropriate to assure the prompt payment, when due, of the
principal of and interest and redemption premium, if any, on
the refunded Bonds. After the terms of the escrow have been
fully satisfied, any remaining balance of such proceeds and
interest, income and profits earned or realized on the
investments thereof shall be paid into the General Revenue
Fund. The liability of the State upon the Bonds shall continue,
provided that the holders thereof shall thereafter be entitled
to payment only out of the moneys deposited in the escrow
account.
    Except as otherwise herein provided in this Section, such
refunding Bonds shall in all other respects be subject to the
terms and conditions of this Act.
(Source: P.A. 99-523, eff. 6-30-16; 100-23, eff. 7-6-17.)
 
    Section 60-10. The Build Illinois Bond Act is amended by
changing Sections 6, 8, and 15 as follows:
 
    (30 ILCS 425/6)  (from Ch. 127, par. 2806)
    Sec. 6. Conditions for Issuance and Sale of Bonds -
Requirements for Bonds - Master and Supplemental Indentures -
Credit and Liquidity Enhancement.
    (a) Bonds shall be issued and sold from time to time, in
one or more series, in such amounts and at such prices as
directed by the Governor, upon recommendation by the Director
of the Governor's Office of Management and Budget. Bonds shall
be payable only from the specific sources and secured in the
manner provided in this Act. Bonds shall be in such form, in
such denominations, mature on such dates within 25 years from
their date of issuance, be subject to optional or mandatory
redemption, bear interest payable at such times and at such
rate or rates, fixed or variable, and be dated as shall be
fixed and determined by the Director of the Governor's Office
of Management and Budget in an order authorizing the issuance
and sale of any series of Bonds, which order shall be approved
by the Governor and is herein called a "Bond Sale Order";
provided, however, that interest payable at fixed rates shall
not exceed that permitted in "An Act to authorize public
corporations to issue bonds, other evidences of indebtedness
and tax anticipation warrants subject to interest rate
limitations set forth therein", approved May 26, 1970, as now
or hereafter amended, and interest payable at variable rates
shall not exceed the maximum rate permitted in the Bond Sale
Order. Said Bonds shall be payable at such place or places,
within or without the State of Illinois, and may be made
registrable as to either principal only or as to both principal
and interest, as shall be specified in the Bond Sale Order.
Bonds may be callable or subject to purchase and retirement or
remarketing as fixed and determined in the Bond Sale Order.
Bonds (i) except for refunding Bonds satisfying the
requirements of Section 15 of this Act and sold during fiscal
year 2009, 2010, 2011, 2017, or 2018, or 2019, must be issued
with principal or mandatory redemption amounts in equal
amounts, with the first maturity issued occurring within the
fiscal year in which the Bonds are issued or within the next
succeeding fiscal year and (ii) must mature or be subject to
mandatory redemption each fiscal year thereafter up to 25
years, except for refunding Bonds satisfying the requirements
of Section 15 of this Act and sold during fiscal year 2009,
2010, or 2011 which must mature or be subject to mandatory
redemption each fiscal year thereafter up to 16 years.
    All Bonds authorized under this Act shall be issued
pursuant to a master trust indenture ("Master Indenture")
executed and delivered on behalf of the State by the Director
of the Governor's Office of Management and Budget, such Master
Indenture to be in substantially the form approved in the Bond
Sale Order authorizing the issuance and sale of the initial
series of Bonds issued under this Act. Such initial series of
Bonds may, and each subsequent series of Bonds shall, also be
issued pursuant to a supplemental trust indenture
("Supplemental Indenture") executed and delivered on behalf of
the State by the Director of the Governor's Office of
Management and Budget, each such Supplemental Indenture to be
in substantially the form approved in the Bond Sale Order
relating to such series. The Master Indenture and any
Supplemental Indenture shall be entered into with a bank or
trust company in the State of Illinois having trust powers and
possessing capital and surplus of not less than $100,000,000.
Such indentures shall set forth the terms and conditions of the
Bonds and provide for payment of and security for the Bonds,
including the establishment and maintenance of debt service and
reserve funds, and for other protections for holders of the
Bonds. The term "reserve funds" as used in this Act shall
include funds and accounts established under indentures to
provide for the payment of principal of and premium and
interest on Bonds, to provide for the purchase, retirement or
defeasance of Bonds, to provide for fees of trustees,
registrars, paying agents and other fiduciaries and to provide
for payment of costs of and debt service payable in respect of
credit or liquidity enhancement arrangements, interest rate
swaps or guarantees or financial futures contracts and indexing
and remarketing agents' services.
    In the case of any series of Bonds bearing interest at a
variable interest rate ("Variable Rate Bonds"), in lieu of
determining the rate or rates at which such series of Variable
Rate Bonds shall bear interest and the price or prices at which
such Variable Rate Bonds shall be initially sold or remarketed
(in the event of purchase and subsequent resale), the Bond Sale
Order may provide that such interest rates and prices may vary
from time to time depending on criteria established in such
Bond Sale Order, which criteria may include, without
limitation, references to indices or variations in interest
rates as may, in the judgment of a remarketing agent, be
necessary to cause Bonds of such series to be remarketable from
time to time at a price equal to their principal amount (or
compound accreted value in the case of original issue discount
Bonds), and may provide for appointment of indexing agents and
a bank, trust company, investment bank or other financial
institution to serve as remarketing agent in that connection.
The Bond Sale Order may provide that alternative interest rates
or provisions for establishing alternative interest rates,
different security or claim priorities or different call or
amortization provisions will apply during such times as Bonds
of any series are held by a person providing credit or
liquidity enhancement arrangements for such Bonds as
authorized in subsection (b) of Section 6 of this Act.
    (b) In connection with the issuance of any series of Bonds,
the State may enter into arrangements to provide additional
security and liquidity for such Bonds, including, without
limitation, bond or interest rate insurance or letters of
credit, lines of credit, bond purchase contracts or other
arrangements whereby funds are made available to retire or
purchase Bonds, thereby assuring the ability of owners of the
Bonds to sell or redeem their Bonds. The State may enter into
contracts and may agree to pay fees to persons providing such
arrangements, but only under circumstances where the Director
of the Bureau of the Budget (now Governor's Office of
Management and Budget) certifies that he reasonably expects the
total interest paid or to be paid on the Bonds, together with
the fees for the arrangements (being treated as if interest),
would not, taken together, cause the Bonds to bear interest,
calculated to their stated maturity, at a rate in excess of the
rate which the Bonds would bear in the absence of such
arrangements. Any bonds, notes or other evidences of
indebtedness issued pursuant to any such arrangements for the
purpose of retiring and discharging outstanding Bonds shall
constitute refunding Bonds under Section 15 of this Act. The
State may participate in and enter into arrangements with
respect to interest rate swaps or guarantees or financial
futures contracts for the purpose of limiting or restricting
interest rate risk; provided that such arrangements shall be
made with or executed through banks having capital and surplus
of not less than $100,000,000 or insurance companies holding
the highest policyholder rating accorded insurers by A.M. Best &
Co. or any comparable rating service or government bond
dealers reporting to, trading with, and recognized as primary
dealers by a Federal Reserve Bank and having capital and
surplus of not less than $100,000,000, or other persons whose
debt securities are rated in the highest long-term categories
by both Moody's Investors' Services, Inc. and Standard & Poor's
Corporation. Agreements incorporating any of the foregoing
arrangements may be executed and delivered by the Director of
the Governor's Office of Management and Budget on behalf of the
State in substantially the form approved in the Bond Sale Order
relating to such Bonds.
    (c) "Build America Bonds" in this Section means Bonds
authorized by Section 54AA of the Internal Revenue Code of
1986, as amended ("Internal Revenue Code"), and bonds issued
from time to time to refund or continue to refund "Build
America Bonds".
(Source: P.A. 99-523, eff. 6-30-16; 100-23, eff. 7-6-17.)
 
    (30 ILCS 425/8)  (from Ch. 127, par. 2808)
    Sec. 8. Sale of Bonds. Bonds, except as otherwise provided
in this Section, shall be sold from time to time pursuant to
notice of sale and public bid or by negotiated sale in such
amounts and at such times as are directed by the Governor, upon
recommendation by the Director of the Governor's Office of
Management and Budget. At least 25%, based on total principal
amount, of all Bonds issued each fiscal year shall be sold
pursuant to notice of sale and public bid. At all times during
each fiscal year, no more than 75%, based on total principal
amount, of the Bonds issued each fiscal year shall have been
sold by negotiated sale. Failure to satisfy the requirements in
the preceding 2 sentences shall not affect the validity of any
previously issued Bonds; and further provided that refunding
Bonds satisfying the requirements of Section 15 of this Act and
sold during fiscal year 2009, 2010, 2011, 2017, or 2018, or
2019 shall not be subject to the requirements in the preceding
2 sentences.
    If any Bonds are to be sold pursuant to notice of sale and
public bid, the Director of the Governor's Office of Management
and Budget shall comply with the competitive request for
proposal process set forth in the Illinois Procurement Code and
all other applicable requirements of that Code.
    If Bonds are to be sold pursuant to notice of sale and
public bid, the Director of the Governor's Office of Management
and Budget may, from time to time, as Bonds are to be sold,
advertise the sale of the Bonds in at least 2 daily newspapers,
one of which is published in the City of Springfield and one in
the City of Chicago. The sale of the Bonds shall also be
advertised in the volume of the Illinois Procurement Bulletin
that is published by the Department of Central Management
Services, and shall be published once at least 10 days prior to
the date fixed for the opening of the bids. The Director of the
Governor's Office of Management and Budget may reschedule the
date of sale upon the giving of such additional notice as the
Director deems adequate to inform prospective bidders of the
change; provided, however, that all other conditions of the
sale shall continue as originally advertised. Executed Bonds
shall, upon payment therefor, be delivered to the purchaser,
and the proceeds of Bonds shall be paid into the State Treasury
as directed by Section 9 of this Act. The Governor or the
Director of the Governor's Office of Management and Budget is
hereby authorized and directed to execute and deliver contracts
of sale with underwriters and to execute and deliver such
certificates, indentures, agreements and documents, including
any supplements or amendments thereto, and to take such actions
and do such things as shall be necessary or desirable to carry
out the purposes of this Act. Any action authorized or
permitted to be taken by the Director of the Governor's Office
of Management and Budget pursuant to this Act is hereby
authorized to be taken by any person specifically designated by
the Governor to take such action in a certificate signed by the
Governor and filed with the Secretary of State.
(Source: P.A. 99-523, eff. 6-30-16; 100-23, eff. 7-6-17.)
 
    (30 ILCS 425/15)  (from Ch. 127, par. 2815)
    Sec. 15. Refunding Bonds. Refunding Bonds are hereby
authorized for the purpose of refunding any outstanding Bonds,
including the payment of any redemption premium thereon, any
reasonable expenses of such refunding, and any interest accrued
or to accrue to the earliest or any subsequent date of
redemption or maturity of outstanding Bonds; provided that all
non-refunding Bonds in an issue that includes refunding Bonds
shall mature no later than the final maturity date of Bonds
being refunded; provided that no refunding Bonds shall be
offered for sale unless the net present value of debt service
savings to be achieved by the issuance of the refunding Bonds
is 3% or more of the principal amount of the refunding Bonds to
be issued; and further provided that, except for refunding
Bonds sold in fiscal year 2009, 2010, 2011, 2017, or 2018, or
2019, the maturities of the refunding Bonds shall not extend
beyond the maturities of the Bonds they refund, so that for
each fiscal year in the maturity schedule of a particular issue
of refunding Bonds, the total amount of refunding principal
maturing and redemption amounts due in that fiscal year and all
prior fiscal years in that schedule shall be greater than or
equal to the total amount of refunded principal and redemption
amounts that had been due over that year and all prior fiscal
years prior to the refunding.
    Refunding Bonds may be sold in such amounts and at such
times, as directed by the Governor upon recommendation by the
Director of the Governor's Office of Management and Budget. The
Governor shall notify the State Treasurer and Comptroller of
such refunding. The proceeds received from the sale of
refunding Bonds shall be used for the retirement at maturity or
redemption of such outstanding Bonds on any maturity or
redemption date and, pending such use, shall be placed in
escrow, subject to such terms and conditions as shall be
provided for in the Bond Sale Order relating to the refunding
Bonds. This Act shall constitute an irrevocable and continuing
appropriation of all amounts necessary to establish an escrow
account for the purpose of refunding outstanding Bonds and to
pay the reasonable expenses of such refunding and of the
issuance and sale of the refunding Bonds. Any such escrowed
proceeds may be invested and reinvested in direct obligations
of the United States of America, maturing at such time or times
as shall be appropriate to assure the prompt payment, when due,
of the principal of and interest and redemption premium, if
any, on the refunded Bonds. After the terms of the escrow have
been fully satisfied, any remaining balance of such proceeds
and interest, income and profits earned or realized on the
investments thereof shall be paid into the General Revenue
Fund. The liability of the State upon the refunded Bonds shall
continue, provided that the holders thereof shall thereafter be
entitled to payment only out of the moneys deposited in the
escrow account and the refunded Bonds shall be deemed paid,
discharged and no longer to be outstanding.
    Except as otherwise herein provided in this Section, such
refunding Bonds shall in all other respects be issued pursuant
to and subject to the terms and conditions of this Act and
shall be secured by and payable from only the funds and sources
which are provided under this Act.
(Source: P.A. 99-523, eff. 6-30-16; 100-23, eff. 7-6-17.)
 
ARTICLE 65.

 
    Section 65-15. The Illinois Public Aid Code is amended by
changing Sections 5-4.2, 5-5.01a, 9A-11, and 12-4.11 and by
adding Sections 5-5.05a and 5-5.12b as follows:
 
    (305 ILCS 5/5-4.2)  (from Ch. 23, par. 5-4.2)
    Sec. 5-4.2. Ambulance services payments.
    (a) For ambulance services provided to a recipient of aid
under this Article on or after January 1, 1993, the Illinois
Department shall reimburse ambulance service providers at
rates calculated in accordance with this Section. It is the
intent of the General Assembly to provide adequate
reimbursement for ambulance services so as to ensure adequate
access to services for recipients of aid under this Article and
to provide appropriate incentives to ambulance service
providers to provide services in an efficient and
cost-effective manner. Thus, it is the intent of the General
Assembly that the Illinois Department implement a
reimbursement system for ambulance services that, to the extent
practicable and subject to the availability of funds
appropriated by the General Assembly for this purpose, is
consistent with the payment principles of Medicare. To ensure
uniformity between the payment principles of Medicare and
Medicaid, the Illinois Department shall follow, to the extent
necessary and practicable and subject to the availability of
funds appropriated by the General Assembly for this purpose,
the statutes, laws, regulations, policies, procedures,
principles, definitions, guidelines, and manuals used to
determine the amounts paid to ambulance service providers under
Title XVIII of the Social Security Act (Medicare).
    (b) For ambulance services provided to a recipient of aid
under this Article on or after January 1, 1996, the Illinois
Department shall reimburse ambulance service providers based
upon the actual distance traveled if a natural disaster,
weather conditions, road repairs, or traffic congestion
necessitates the use of a route other than the most direct
route.
    (c) For purposes of this Section, "ambulance services"
includes medical transportation services provided by means of
an ambulance, medi-car, service car, or taxi.
    (c-1) For purposes of this Section, "ground ambulance
service" means medical transportation services that are
described as ground ambulance services by the Centers for
Medicare and Medicaid Services and provided in a vehicle that
is licensed as an ambulance by the Illinois Department of
Public Health pursuant to the Emergency Medical Services (EMS)
Systems Act.
    (c-2) For purposes of this Section, "ground ambulance
service provider" means a vehicle service provider as described
in the Emergency Medical Services (EMS) Systems Act that
operates licensed ambulances for the purpose of providing
emergency ambulance services, or non-emergency ambulance
services, or both. For purposes of this Section, this includes
both ambulance providers and ambulance suppliers as described
by the Centers for Medicare and Medicaid Services.
    (d) This Section does not prohibit separate billing by
ambulance service providers for oxygen furnished while
providing advanced life support services.
    (e) Beginning with services rendered on or after July 1,
2008, all providers of non-emergency medi-car and service car
transportation must certify that the driver and employee
attendant, as applicable, have completed a safety program
approved by the Department to protect both the patient and the
driver, prior to transporting a patient. The provider must
maintain this certification in its records. The provider shall
produce such documentation upon demand by the Department or its
representative. Failure to produce documentation of such
training shall result in recovery of any payments made by the
Department for services rendered by a non-certified driver or
employee attendant. Medi-car and service car providers must
maintain legible documentation in their records of the driver
and, as applicable, employee attendant that actually
transported the patient. Providers must recertify all drivers
and employee attendants every 3 years.
    Notwithstanding the requirements above, any public
transportation provider of medi-car and service car
transportation that receives federal funding under 49 U.S.C.
5307 and 5311 need not certify its drivers and employee
attendants under this Section, since safety training is already
federally mandated.
    (f) With respect to any policy or program administered by
the Department or its agent regarding approval of non-emergency
medical transportation by ground ambulance service providers,
including, but not limited to, the Non-Emergency
Transportation Services Prior Approval Program (NETSPAP), the
Department shall establish by rule a process by which ground
ambulance service providers of non-emergency medical
transportation may appeal any decision by the Department or its
agent for which no denial was received prior to the time of
transport that either (i) denies a request for approval for
payment of non-emergency transportation by means of ground
ambulance service or (ii) grants a request for approval of
non-emergency transportation by means of ground ambulance
service at a level of service that entitles the ground
ambulance service provider to a lower level of compensation
from the Department than the ground ambulance service provider
would have received as compensation for the level of service
requested. The rule shall be filed by December 15, 2012 and
shall provide that, for any decision rendered by the Department
or its agent on or after the date the rule takes effect, the
ground ambulance service provider shall have 60 days from the
date the decision is received to file an appeal. The rule
established by the Department shall be, insofar as is
practical, consistent with the Illinois Administrative
Procedure Act. The Director's decision on an appeal under this
Section shall be a final administrative decision subject to
review under the Administrative Review Law.
    (f-5) Beginning 90 days after July 20, 2012 (the effective
date of Public Act 97-842), (i) no denial of a request for
approval for payment of non-emergency transportation by means
of ground ambulance service, and (ii) no approval of
non-emergency transportation by means of ground ambulance
service at a level of service that entitles the ground
ambulance service provider to a lower level of compensation
from the Department than would have been received at the level
of service submitted by the ground ambulance service provider,
may be issued by the Department or its agent unless the
Department has submitted the criteria for determining the
appropriateness of the transport for first notice publication
in the Illinois Register pursuant to Section 5-40 of the
Illinois Administrative Procedure Act.
    (g) Whenever a patient covered by a medical assistance
program under this Code or by another medical program
administered by the Department is being discharged from a
facility, a physician discharge order as described in this
Section shall be required for each patient whose discharge
requires medically supervised ground ambulance services.
Facilities shall develop procedures for a physician with
medical staff privileges to provide a written and signed
physician discharge order. The physician discharge order shall
specify the level of ground ambulance services needed and
complete a medical certification establishing the criteria for
approval of non-emergency ambulance transportation, as
published by the Department of Healthcare and Family Services,
that is met by the patient. This order and the medical
certification shall be completed prior to ordering an ambulance
service and prior to patient discharge.
    Pursuant to subsection (E) of Section 12-4.25 of this Code,
the Department is entitled to recover overpayments paid to a
provider or vendor, including, but not limited to, from the
discharging physician, the discharging facility, and the
ground ambulance service provider, in instances where a
non-emergency ground ambulance service is rendered as the
result of improper or false certification.
    (h) On and after July 1, 2012, the Department shall reduce
any rate of reimbursement for services or other payments or
alter any methodologies authorized by this Code to reduce any
rate of reimbursement for services or other payments in
accordance with Section 5-5e.
    (i) On and after July 1, 2018, the Department shall
increase the base rate of reimbursement for both base charges
and mileage charges for ground ambulance service providers for
medical transportation services provided by means of a ground
ambulance to a level not lower than 112% of the base rate in
effect as of June 30, 2018.
(Source: P.A. 97-584, eff. 8-26-11; 97-689, eff. 6-14-12;
97-842, eff. 7-20-12; 98-463, eff. 8-16-13.)
 
    (305 ILCS 5/5-5.01a)
    Sec. 5-5.01a. Supportive living facilities program.
    (a) The Department shall establish and provide oversight
for a program of supportive living facilities that seek to
promote resident independence, dignity, respect, and
well-being in the most cost-effective manner.
    A supportive living facility is (i) a free-standing
facility or (ii) a distinct physical and operational entity
within a mixed-use building that meets the criteria established
in subsection (d). A supportive living facility integrates
housing with health, personal care, and supportive services and
is a designated setting that offers residents their own
separate, private, and distinct living units.
    Sites for the operation of the program shall be selected by
the Department based upon criteria that may include the need
for services in a geographic area, the availability of funding,
and the site's ability to meet the standards.
    (b) Beginning July 1, 2014, subject to federal approval,
the Medicaid rates for supportive living facilities shall be
equal to the supportive living facility Medicaid rate effective
on June 30, 2014 increased by 8.85%. Once the assessment
imposed at Article V-G of this Code is determined to be a
permissible tax under Title XIX of the Social Security Act, the
Department shall increase the Medicaid rates for supportive
living facilities effective on July 1, 2014 by 9.09%. The
Department shall apply this increase retroactively to coincide
with the imposition of the assessment in Article V-G of this
Code in accordance with the approval for federal financial
participation by the Centers for Medicare and Medicaid
Services.
    The Medicaid rates for supportive living facilities
effective on July 1, 2017 must be equal to the rates in effect
for supportive living facilities on June 30, 2017 increased by
2.8%.
    The Medicaid rates for supportive living facilities
effective on July 1, 2018 must be equal to the rates in effect
for supportive living facilities on June 30, 2018.
    (c) The Department may adopt rules to implement this
Section. Rules that establish or modify the services,
standards, and conditions for participation in the program
shall be adopted by the Department in consultation with the
Department on Aging, the Department of Rehabilitation
Services, and the Department of Mental Health and Developmental
Disabilities (or their successor agencies).
    (d) Subject to federal approval by the Centers for Medicare
and Medicaid Services, the Department shall accept for
consideration of certification under the program any
application for a site or building where distinct parts of the
site or building are designated for purposes other than the
provision of supportive living services, but only if:
        (1) those distinct parts of the site or building are
    not designated for the purpose of providing assisted living
    services as required under the Assisted Living and Shared
    Housing Act;
        (2) those distinct parts of the site or building are
    completely separate from the part of the building used for
    the provision of supportive living program services,
    including separate entrances;
        (3) those distinct parts of the site or building do not
    share any common spaces with the part of the building used
    for the provision of supportive living program services;
    and
        (4) those distinct parts of the site or building do not
    share staffing with the part of the building used for the
    provision of supportive living program services.
    (e) Facilities or distinct parts of facilities which are
selected as supportive living facilities and are in good
standing with the Department's rules are exempt from the
provisions of the Nursing Home Care Act and the Illinois Health
Facilities Planning Act.
(Source: P.A. 100-23, eff. 7-6-17; 100-583, eff. 4-6-18.)
 
    (305 ILCS 5/5-5.05a new)
    Sec. 5-5.05a. Reimbursement rates; community mental health
centers. Notwithstanding the provisions of any other law,
reimbursement rates, including enhanced payment rates and rate
add-ons, for psychiatric and behavioral health services
provided in or by community mental health centers licensed or
certified by the Department of Human Services shall not be
lower than the rates for such services in effect on November 1,
2017. The Department of Healthcare and Family Services shall
apply for any waiver or State Plan amendment, if required, to
implement the reimbursement rates established in this Section.
Implementation of the reimbursement rates shall be contingent
on federal approval.
 
    (305 ILCS 5/5-5.12b new)
    Sec. 5-5.12b. Critical access care pharmacy program.
    (a) As used in this Section:
    "Critical access care pharmacy" means an Illinois-based
brick and mortar pharmacy that is located in a county with
fewer than 50,000 residents and that owns fewer than 10
pharmacies.
    "Critical access care pharmacy program payment" means the
number of individual prescriptions a critical access care
pharmacy fills during that quarter multiplied by the lesser of
the individual payment amount or the dispensing reimbursement
rate made by the Department under the medical assistance
program as of April 1, 2018.
    "Individual payment amount" means the dividend of 1/4 of
the annual amount appropriated for the critical access care
pharmacy program by the number of prescriptions filled by all
critical access care pharmacies reimbursed by Medicaid managed
care organizations that quarter.
    (b) Subject to appropriations, the Department shall
establish a critical access care pharmacy program to ensure the
sustainability of critical access pharmacies throughout the
State of Illinois.
    (c) The critical access care pharmacy program shall not
exceed $10,000,000 annually and individual payment amounts per
prescription shall not exceed the dispensing rate that the
Department would have reimbursed under the Medical Assistance
Program as of April 1, 2018.
    (d) Quarterly, the Department shall determine the number of
prescriptions filled by critical access care pharmacies
reimbursed by Medicaid managed care organizations utilizing
encounter data available to the Department. The Department
shall determine the individual payment amount per prescription
by dividing 1/4 of the annual amount appropriated for the
critical access care pharmacy program by the number of
prescriptions filled by all critical access care pharmacies
reimbursed by Medicaid managed care organizations that
quarter. If the individual payment amount per prescription as
calculated using quarterly prescription amounts exceeds the
reimbursement rate under the medical assistance program as of
April 1, 2018, then the individual payment amount per
prescription shall be the dispensing reimbursement rate under
the medical assistance program as of April 1, 2018.
    (e) Quarterly, the Department shall distribute to critical
access care pharmacies a critical access care pharmacy program
payment. The first payment shall be calculated utilizing the
encounter data from the last quarter of State fiscal year 2018.
    (f) The Department may adopt rules permitting an
Illinois-based brick and mortar pharmacy that owns fewer than
10 pharmacies to receive critical access care pharmacy program
payments in the same manner as a critical access care pharmacy,
regardless of whether the pharmacy is located in a county with
a population of less than 50,000.
 
    (305 ILCS 5/9A-11)  (from Ch. 23, par. 9A-11)
    Sec. 9A-11. Child care.
    (a) The General Assembly recognizes that families with
children need child care in order to work. Child care is
expensive and families with low incomes, including those who
are transitioning from welfare to work, often struggle to pay
the costs of day care. The General Assembly understands the
importance of helping low income working families become and
remain self-sufficient. The General Assembly also believes
that it is the responsibility of families to share in the costs
of child care. It is also the preference of the General
Assembly that all working poor families should be treated
equally, regardless of their welfare status.
    (b) To the extent resources permit, the Illinois Department
shall provide child care services to parents or other relatives
as defined by rule who are working or participating in
employment or Department approved education or training
programs. At a minimum, the Illinois Department shall cover the
following categories of families:
        (1) recipients of TANF under Article IV participating
    in work and training activities as specified in the
    personal plan for employment and self-sufficiency;
        (2) families transitioning from TANF to work;
        (3) families at risk of becoming recipients of TANF;
        (4) families with special needs as defined by rule;
        (5) working families with very low incomes as defined
    by rule; and
        (6) families that are not recipients of TANF and that
    need child care assistance to participate in education and
    training activities.
    The Department shall specify by rule the conditions of
eligibility, the application process, and the types, amounts,
and duration of services. Eligibility for child care benefits
and the amount of child care provided may vary based on family
size, income, and other factors as specified by rule.
    In determining income eligibility for child care benefits,
the Department annually, at the beginning of each fiscal year,
shall establish, by rule, one income threshold for each family
size, in relation to percentage of State median income for a
family of that size, that makes families with incomes below the
specified threshold eligible for assistance and families with
incomes above the specified threshold ineligible for
assistance. Through and including fiscal year 2007, the
specified threshold must be no less than 50% of the
then-current State median income for each family size.
Beginning in fiscal year 2008, the specified threshold must be
no less than 185% of the then-current federal poverty level for
each family size.
    In determining eligibility for assistance, the Department
shall not give preference to any category of recipients or give
preference to individuals based on their receipt of benefits
under this Code.
    Nothing in this Section shall be construed as conferring
entitlement status to eligible families.
    The Illinois Department is authorized to lower income
eligibility ceilings, raise parent co-payments, create waiting
lists, or take such other actions during a fiscal year as are
necessary to ensure that child care benefits paid under this
Article do not exceed the amounts appropriated for those child
care benefits. These changes may be accomplished by emergency
rule under Section 5-45 of the Illinois Administrative
Procedure Act, except that the limitation on the number of
emergency rules that may be adopted in a 24-month period shall
not apply.
    The Illinois Department may contract with other State
agencies or child care organizations for the administration of
child care services.
    (c) Payment shall be made for child care that otherwise
meets the requirements of this Section and applicable standards
of State and local law and regulation, including any
requirements the Illinois Department promulgates by rule in
addition to the licensure requirements promulgated by the
Department of Children and Family Services and Fire Prevention
and Safety requirements promulgated by the Office of the State
Fire Marshal and is provided in any of the following:
        (1) a child care center which is licensed or exempt
    from licensure pursuant to Section 2.09 of the Child Care
    Act of 1969;
        (2) a licensed child care home or home exempt from
    licensing;
        (3) a licensed group child care home;
        (4) other types of child care, including child care
    provided by relatives or persons living in the same home as
    the child, as determined by the Illinois Department by
    rule.
    (c-5) Solely for the purposes of coverage under the
Illinois Public Labor Relations Act, child and day care home
providers, including licensed and license exempt,
participating in the Department's child care assistance
program shall be considered to be public employees and the
State of Illinois shall be considered to be their employer as
of the effective date of this amendatory Act of the 94th
General Assembly, but not before. The State shall engage in
collective bargaining with an exclusive representative of
child and day care home providers participating in the child
care assistance program concerning their terms and conditions
of employment that are within the State's control. Nothing in
this subsection shall be understood to limit the right of
families receiving services defined in this Section to select
child and day care home providers or supervise them within the
limits of this Section. The State shall not be considered to be
the employer of child and day care home providers for any
purposes not specifically provided in this amendatory Act of
the 94th General Assembly, including but not limited to,
purposes of vicarious liability in tort and purposes of
statutory retirement or health insurance benefits. Child and
day care home providers shall not be covered by the State
Employees Group Insurance Act of 1971.
    In according child and day care home providers and their
selected representative rights under the Illinois Public Labor
Relations Act, the State intends that the State action
exemption to application of federal and State antitrust laws be
fully available to the extent that their activities are
authorized by this amendatory Act of the 94th General Assembly.
    (d) The Illinois Department shall establish, by rule, a
co-payment scale that provides for cost sharing by families
that receive child care services, including parents whose only
income is from assistance under this Code. The co-payment shall
be based on family income and family size and may be based on
other factors as appropriate. Co-payments may be waived for
families whose incomes are at or below the federal poverty
level.
    (d-5) The Illinois Department, in consultation with its
Child Care and Development Advisory Council, shall develop a
plan to revise the child care assistance program's co-payment
scale. The plan shall be completed no later than February 1,
2008, and shall include:
        (1) findings as to the percentage of income that the
    average American family spends on child care and the
    relative amounts that low-income families and the average
    American family spend on other necessities of life;
        (2) recommendations for revising the child care
    co-payment scale to assure that families receiving child
    care services from the Department are paying no more than
    they can reasonably afford;
        (3) recommendations for revising the child care
    co-payment scale to provide at-risk children with complete
    access to Preschool for All and Head Start; and
        (4) recommendations for changes in child care program
    policies that affect the affordability of child care.
    (e) (Blank).
    (f) The Illinois Department shall, by rule, set rates to be
paid for the various types of child care. Child care may be
provided through one of the following methods:
        (1) arranging the child care through eligible
    providers by use of purchase of service contracts or
    vouchers;
        (2) arranging with other agencies and community
    volunteer groups for non-reimbursed child care;
        (3) (blank); or
        (4) adopting such other arrangements as the Department
    determines appropriate.
    (f-1) Within 30 days after the effective date of this
amendatory Act of the 100th General Assembly, the Department of
Human Services shall establish rates for child care providers
that are no less than the rates in effect on January 1, 2018
increased by 4.26%.
    (f-5) (Blank).
    (g) Families eligible for assistance under this Section
shall be given the following options:
        (1) receiving a child care certificate issued by the
    Department or a subcontractor of the Department that may be
    used by the parents as payment for child care and
    development services only; or
        (2) if space is available, enrolling the child with a
    child care provider that has a purchase of service contract
    with the Department or a subcontractor of the Department
    for the provision of child care and development services.
    The Department may identify particular priority
    populations for whom they may request special
    consideration by a provider with purchase of service
    contracts, provided that the providers shall be permitted
    to maintain a balance of clients in terms of household
    incomes and families and children with special needs, as
    defined by rule.
(Source: P.A. 100-387, eff. 8-25-17.)
 
    (305 ILCS 5/12-4.11)  (from Ch. 23, par. 12-4.11)
    Sec. 12-4.11. Grant amounts. The Department, with due
regard for and subject to budgetary limitations, shall
establish grant amounts for each of the programs, by
regulation. The grant amounts may vary by program, size of
assistance unit and geographic area. Grant amounts under the
Temporary Assistance for Needy Families (TANF) program may not
vary on the basis of a TANF recipient's county of residence.
    Aid payments shall not be reduced except: (1) for changes
in the cost of items included in the grant amounts, or (2) for
changes in the expenses of the recipient, or (3) for changes in
the income or resources available to the recipient, or (4) for
changes in grants resulting from adoption of a consolidated
grant amount.
    The maximum benefit levels provided to TANF recipients
shall increase as follows: beginning October 1, 2018, the
Department of Human Services shall increase TANF grant amounts
in effect on September 30, 2018 to at least 30% of the most
recent United States Department of Health and Human Services
Federal Poverty Guidelines for each family size.
    TANF grants for child-only assistance units shall be at
least 75% of TANF grants for assistance units of the same size
that consist of a caretaker relative with children.
    Subject to appropriation, beginning on July 1, 2008, the
Department of Human Services shall increase TANF grant amounts
in effect on June 30, 2008 by 15%. The Department is authorized
to administer this increase but may not otherwise adopt any
rule to implement this increase.
    In fixing standards to govern payments or reimbursements
for funeral and burial expenses, the Department shall establish
a minimum allowable amount of not less than $1,000 for
Department payment of funeral services and not less than $500
for Department payment of burial or cremation services. On
January 1, 2006, July 1, 2006, and July 1, 2007, the Department
shall increase the minimum reimbursement amount for funeral and
burial expenses under this Section by a percentage equal to the
percentage increase in the Consumer Price Index for All Urban
Consumers, if any, during the 12 months immediately preceding
that January 1 or July 1. In establishing the minimum allowable
amount, the Department shall take into account the services
essential to a dignified, low-cost (i) funeral and (ii) burial
or cremation, including reasonable amounts that may be
necessary for burial space and cemetery charges, and any
applicable taxes or other required governmental fees or
charges. If no person has agreed to pay the total cost of the
(i) funeral and (ii) burial or cremation charges, the
Department shall pay the vendor the actual costs of the (i)
funeral and (ii) burial or cremation, or the minimum allowable
amount for each service as established by the Department,
whichever is less, provided that the Department reduces its
payments by the amount available from the following sources:
the decedent's assets and available resources and the
anticipated amounts of any death benefits available to the
decedent's estate, and amounts paid and arranged to be paid by
the decedent's legally responsible relatives. A legally
responsible relative is expected to pay (i) funeral and (ii)
burial or cremation expenses unless financially unable to do
so.
    Nothing contained in this Section or in any other Section
of this Code shall be construed to prohibit the Illinois
Department (1) from consolidating existing standards on the
basis of any standards which are or were in effect on, or
subsequent to July 1, 1969, or (2) from employing any
consolidated standards in determining need for public aid and
the amount of money payment or grant for individual recipients
or recipient families.
(Source: P.A. 95-744, eff. 7-18-08; 95-1055, eff. 4-10-09;
96-1000, eff. 7-2-10.)
 
ARTICLE 70. GENERAL ASSEMBLY

 
    Section 70-5. The General Assembly Compensation Act is
amended by changing Section 1 as follows:
 
    (25 ILCS 115/1)  (from Ch. 63, par. 14)
    Sec. 1. Each member of the General Assembly shall receive
an annual salary of $28,000 or as set by the Compensation
Review Board, whichever is greater. The following named
officers, committee chairmen and committee minority spokesmen
shall receive additional amounts per year for their services as
such officers, committee chairmen and committee minority
spokesmen respectively, as set by the Compensation Review Board
or, as follows, whichever is greater: Beginning the second
Wednesday in January 1989, the Speaker and the minority leader
of the House of Representatives and the President and the
minority leader of the Senate, $16,000 each; the majority
leader in the House of Representatives $13,500; 6 assistant
majority leaders and 5 assistant minority leaders in the
Senate, $12,000 each; 6 assistant majority leaders and 6
assistant minority leaders in the House of Representatives,
$10,500 each; 2 Deputy Majority leaders in the House of
Representatives $11,500 each; and 2 Deputy Minority leaders in
the House of Representatives, $11,500 each; the majority caucus
chairman and minority caucus chairman in the Senate, $12,000
each; and beginning the second Wednesday in January, 1989, the
majority conference chairman and the minority conference
chairman in the House of Representatives, $10,500 each;
beginning the second Wednesday in January, 1989, the chairman
and minority spokesman of each standing committee of the
Senate, except the Rules Committee, the Committee on
Committees, and the Committee on Assignment of Bills, $6,000
each; and beginning the second Wednesday in January, 1989, the
chairman and minority spokesman of each standing and select
committee of the House of Representatives, $6,000 each. A
member who serves in more than one position as an officer,
committee chairman, or committee minority spokesman shall
receive only one additional amount based on the position paying
the highest additional amount. The compensation provided for in
this Section to be paid per year to members of the General
Assembly, including the additional sums payable per year to
officers of the General Assembly shall be paid in 12 equal
monthly installments. The first such installment is payable on
January 31, 1977. All subsequent equal monthly installments are
payable on the last working day of the month. A member who has
held office any part of a month is entitled to compensation for
an entire month.
    Mileage shall be paid at the rate of 20 cents per mile
before January 9, 1985, and at the mileage allowance rate in
effect under regulations promulgated pursuant to 5 U.S.C.
5707(b)(2) beginning January 9, 1985, for the number of actual
highway miles necessarily and conveniently traveled by the most
feasible route to be present upon convening of the sessions of
the General Assembly by such member in each and every trip
during each session in going to and returning from the seat of
government, to be computed by the Comptroller. A member
traveling by public transportation for such purposes, however,
shall be paid his actual cost of that transportation instead of
on the mileage rate if his cost of public transportation
exceeds the amount to which he would be entitled on a mileage
basis. No member may be paid, whether on a mileage basis or for
actual costs of public transportation, for more than one such
trip for each week the General Assembly is actually in session.
Each member shall also receive an allowance of $36 per day for
lodging and meals while in attendance at sessions of the
General Assembly before January 9, 1985; beginning January 9,
1985, such food and lodging allowance shall be equal to the
amount per day permitted to be deducted for such expenses under
the Internal Revenue Code; however, beginning May 31, 1995, no
allowance for food and lodging while in attendance at sessions
is authorized for periods of time after the last day in May of
each calendar year, except (i) if the General Assembly is
convened in special session by either the Governor or the
presiding officers of both houses, as provided by subsection
(b) of Section 5 of Article IV of the Illinois Constitution or
(ii) if the General Assembly is convened to consider bills
vetoed, item vetoed, reduced, or returned with specific
recommendations for change by the Governor as provided in
Section 9 of Article IV of the Illinois Constitution. For
fiscal year 2011 and for session days in fiscal years 2012,
2013, 2014, 2015, 2016, 2017, and 2018, and 2019 only (i) the
allowance for lodging and meals is $111 per day and (ii)
mileage for automobile travel shall be reimbursed at a rate of
$0.39 per mile.
    Notwithstanding any other provision of law to the contrary,
beginning in fiscal year 2012, travel reimbursement for General
Assembly members on non-session days shall be calculated using
the guidelines set forth by the Legislative Travel Control
Board, except that fiscal year 2012, 2013, 2014, 2015, 2016,
2017, and 2018, and 2019 mileage reimbursement is set at a rate
of $0.39 per mile.
    If a member dies having received only a portion of the
amount payable as compensation, the unpaid balance shall be
paid to the surviving spouse of such member, or, if there be
none, to the estate of such member.
(Source: P.A. 99-355, eff. 8-13-15; 99-523, eff. 6-30-16;
100-25, eff. 7-26-17.)
 
    Section 70-10. The Compensation Review Act is amended by
adding Section 6.6 as follows:
 
    (25 ILCS 120/6.6 new)
    Sec. 6.6. FY19 COLAs prohibited. Notwithstanding any
former or current provision of this Act, any other law, any
report of the Compensation Review Board, or any resolution of
the General Assembly to the contrary, members of the General
Assembly, elected executive branch constitutional officers of
State government, and persons in certain appointed offices of
State government, including the membership of State
departments, agencies, boards, and commissions, whose annual
compensation previously was recommended or determined by the
Compensation Review Board, are prohibited from receiving and
shall not receive any increase in compensation that would
otherwise apply based on a cost of living adjustment, as
authorized by Senate Joint Resolution 192 of the 86th General
Assembly, for or during the fiscal year beginning July 1, 2018.
 
ARTICLE 75. TAX PROVISIONS

 
    Section 75-5. The Illinois Income Tax Act is amended by
changing Sections 223 and 227 as follows:
 
    (35 ILCS 5/223)
    Sec. 223. Hospital credit.
    (a) For tax years ending on or after December 31, 2012 and
ending on or before December 31, 2022, a taxpayer that is the
owner of a hospital licensed under the Hospital Licensing Act,
but not including an organization that is exempt from federal
income taxes under the Internal Revenue Code, is entitled to a
credit against the taxes imposed under subsections (a) and (b)
of Section 201 of this Act in an amount equal to the lesser of
the amount of real property taxes paid during the tax year on
real property used for hospital purposes during the prior tax
year or the cost of free or discounted services provided during
the tax year pursuant to the hospital's charitable financial
assistance policy, measured at cost.
    (b) If the taxpayer is a partnership or Subchapter S
corporation, the credit is allowed to the partners or
shareholders in accordance with the determination of income and
distributive share of income under Sections 702 and 704 and
Subchapter S of the Internal Revenue Code. A transfer of this
credit may be made by the taxpayer earning the credit within
one year after the credit is earned in accordance with rules
adopted by the Department. The Department shall prescribe rules
to enforce and administer provisions of this Section. If the
amount of the credit exceeds the tax liability for the year,
then the excess credit may be carried forward and applied to
the tax liability of the 5 taxable years following the excess
credit year. The credit shall be applied to the earliest year
for which there is a tax liability. If there are credits from
more than one tax year that are available to offset a
liability, the earlier credit shall be applied first. In no
event shall a credit under this Section reduce the taxpayer's
liability to less than zero.
(Source: P.A. 97-688, eff. 6-14-12.)
 
    (35 ILCS 5/227 new)
    Sec. 227. Adoption credit.
    (a) Beginning with tax years ending on or after December
31, 2018, in the case of an individual taxpayer there shall be
allowed a credit against the tax imposed by subsections (a) and
(b) of Section 201 in an amount equal to the amount of the
federal adoption tax credit received pursuant to Section 23 of
the Internal Revenue Code with respect to the adoption of a
qualifying dependent child, subject to the limitations set
forth in this subsection and subsection (b). The aggregate
amount of qualified adoption expenses which may be taken into
account under this Section for all taxable years with respect
to the adoption of a qualifying dependent child by the taxpayer
shall not exceed $2,000 ($1,000 in the case of a married
individual filing a separate return). The credit under this
Section shall be allowed: (i) in the case of any expense paid
or incurred before the taxable year in which such adoption
becomes final, for the taxable year following the taxable year
during which such expense is paid or incurred, and (ii) in the
case of an expense paid or incurred during or after the taxable
year in which such adoption becomes final, for the taxable year
in which such expense is paid or incurred. No credit shall be
allowed under this Section for any expense to the extent that
funds for such expense are received under any Federal, State,
or local program. For purposes of this Section, spouses filing
a joint return shall be considered one taxpayer.
    For a non-resident or part-year resident, the amount of the
credit under this Section shall be in proportion to the amount
of income attributable to this State.
    (b) Increased credit amount for resident children. With
respect to the adoption of an eligible child who is at least
one year old and resides in Illinois at the time the expenses
are paid or incurred, subsection (a) shall be applied by
substituting $5,000 ($2,500 in the case of a married individual
filing a separate return) for $2,000.
    (c) In no event shall a credit under this Section reduce
the taxpayer's liability to less than zero. If the amount of
the credit exceeds the income tax liability for the applicable
tax year, the excess may be carried forward and applied to the
tax liability of the 5 taxable years following the excess
credit year. The credit shall be applied to the earliest year
for which there is a tax liability. If there are credits from
more than one year that are available to offset a liability,
the earlier credit shall be applied first.
    (d) The term "qualified adoption expenses" shall have the
same meaning as under Section 23(d) of the Internal Revenue
Code.
 
ARTICLE 80. MARKETPLACE FAIRNESS

 
    Section 80-5. The Use Tax Act is amended by changing
Section 2 as follows:
 
    (35 ILCS 105/2)  (from Ch. 120, par. 439.2)
    Sec. 2. Definitions.
    "Use" means the exercise by any person of any right or
power over tangible personal property incident to the ownership
of that property, except that it does not include the sale of
such property in any form as tangible personal property in the
regular course of business to the extent that such property is
not first subjected to a use for which it was purchased, and
does not include the use of such property by its owner for
demonstration purposes: Provided that the property purchased
is deemed to be purchased for the purpose of resale, despite
first being used, to the extent to which it is resold as an
ingredient of an intentionally produced product or by-product
of manufacturing. "Use" does not mean the demonstration use or
interim use of tangible personal property by a retailer before
he sells that tangible personal property. For watercraft or
aircraft, if the period of demonstration use or interim use by
the retailer exceeds 18 months, the retailer shall pay on the
retailers' original cost price the tax imposed by this Act, and
no credit for that tax is permitted if the watercraft or
aircraft is subsequently sold by the retailer. "Use" does not
mean the physical incorporation of tangible personal property,
to the extent not first subjected to a use for which it was
purchased, as an ingredient or constituent, into other tangible
personal property (a) which is sold in the regular course of
business or (b) which the person incorporating such ingredient
or constituent therein has undertaken at the time of such
purchase to cause to be transported in interstate commerce to
destinations outside the State of Illinois: Provided that the
property purchased is deemed to be purchased for the purpose of
resale, despite first being used, to the extent to which it is
resold as an ingredient of an intentionally produced product or
by-product of manufacturing.
    "Watercraft" means a Class 2, Class 3, or Class 4
watercraft as defined in Section 3-2 of the Boat Registration
and Safety Act, a personal watercraft, or any boat equipped
with an inboard motor.
    "Purchase at retail" means the acquisition of the ownership
of or title to tangible personal property through a sale at
retail.
    "Purchaser" means anyone who, through a sale at retail,
acquires the ownership of tangible personal property for a
valuable consideration.
    "Sale at retail" means any transfer of the ownership of or
title to tangible personal property to a purchaser, for the
purpose of use, and not for the purpose of resale in any form
as tangible personal property to the extent not first subjected
to a use for which it was purchased, for a valuable
consideration: Provided that the property purchased is deemed
to be purchased for the purpose of resale, despite first being
used, to the extent to which it is resold as an ingredient of
an intentionally produced product or by-product of
manufacturing. For this purpose, slag produced as an incident
to manufacturing pig iron or steel and sold is considered to be
an intentionally produced by-product of manufacturing. "Sale
at retail" includes any such transfer made for resale unless
made in compliance with Section 2c of the Retailers' Occupation
Tax Act, as incorporated by reference into Section 12 of this
Act. Transactions whereby the possession of the property is
transferred but the seller retains the title as security for
payment of the selling price are sales.
    "Sale at retail" shall also be construed to include any
Illinois florist's sales transaction in which the purchase
order is received in Illinois by a florist and the sale is for
use or consumption, but the Illinois florist has a florist in
another state deliver the property to the purchaser or the
purchaser's donee in such other state.
    Nonreusable tangible personal property that is used by
persons engaged in the business of operating a restaurant,
cafeteria, or drive-in is a sale for resale when it is
transferred to customers in the ordinary course of business as
part of the sale of food or beverages and is used to deliver,
package, or consume food or beverages, regardless of where
consumption of the food or beverages occurs. Examples of those
items include, but are not limited to nonreusable, paper and
plastic cups, plates, baskets, boxes, sleeves, buckets or other
containers, utensils, straws, placemats, napkins, doggie bags,
and wrapping or packaging materials that are transferred to
customers as part of the sale of food or beverages in the
ordinary course of business.
    The purchase, employment and transfer of such tangible
personal property as newsprint and ink for the primary purpose
of conveying news (with or without other information) is not a
purchase, use or sale of tangible personal property.
    "Selling price" means the consideration for a sale valued
in money whether received in money or otherwise, including
cash, credits, property other than as hereinafter provided, and
services, but not including the value of or credit given for
traded-in tangible personal property where the item that is
traded-in is of like kind and character as that which is being
sold, and shall be determined without any deduction on account
of the cost of the property sold, the cost of materials used,
labor or service cost or any other expense whatsoever, but does
not include interest or finance charges which appear as
separate items on the bill of sale or sales contract nor
charges that are added to prices by sellers on account of the
seller's tax liability under the "Retailers' Occupation Tax
Act", or on account of the seller's duty to collect, from the
purchaser, the tax that is imposed by this Act, or, except as
otherwise provided with respect to any cigarette tax imposed by
a home rule unit, on account of the seller's tax liability
under any local occupation tax administered by the Department,
or, except as otherwise provided with respect to any cigarette
tax imposed by a home rule unit on account of the seller's duty
to collect, from the purchasers, the tax that is imposed under
any local use tax administered by the Department. Effective
December 1, 1985, "selling price" shall include charges that
are added to prices by sellers on account of the seller's tax
liability under the Cigarette Tax Act, on account of the
seller's duty to collect, from the purchaser, the tax imposed
under the Cigarette Use Tax Act, and on account of the seller's
duty to collect, from the purchaser, any cigarette tax imposed
by a home rule unit.
    Notwithstanding any law to the contrary, for any motor
vehicle, as defined in Section 1-146 of the Vehicle Code, that
is sold on or after January 1, 2015 for the purpose of leasing
the vehicle for a defined period that is longer than one year
and (1) is a motor vehicle of the second division that: (A) is
a self-contained motor vehicle designed or permanently
converted to provide living quarters for recreational,
camping, or travel use, with direct walk through access to the
living quarters from the driver's seat; (B) is of the van
configuration designed for the transportation of not less than
7 nor more than 16 passengers; or (C) has a gross vehicle
weight rating of 8,000 pounds or less or (2) is a motor vehicle
of the first division, "selling price" or "amount of sale"
means the consideration received by the lessor pursuant to the
lease contract, including amounts due at lease signing and all
monthly or other regular payments charged over the term of the
lease. Also included in the selling price is any amount
received by the lessor from the lessee for the leased vehicle
that is not calculated at the time the lease is executed,
including, but not limited to, excess mileage charges and
charges for excess wear and tear. For sales that occur in
Illinois, with respect to any amount received by the lessor
from the lessee for the leased vehicle that is not calculated
at the time the lease is executed, the lessor who purchased the
motor vehicle does not incur the tax imposed by the Use Tax Act
on those amounts, and the retailer who makes the retail sale of
the motor vehicle to the lessor is not required to collect the
tax imposed by this Act or to pay the tax imposed by the
Retailers' Occupation Tax Act on those amounts. However, the
lessor who purchased the motor vehicle assumes the liability
for reporting and paying the tax on those amounts directly to
the Department in the same form (Illinois Retailers' Occupation
Tax, and local retailers' occupation taxes, if applicable) in
which the retailer would have reported and paid such tax if the
retailer had accounted for the tax to the Department. For
amounts received by the lessor from the lessee that are not
calculated at the time the lease is executed, the lessor must
file the return and pay the tax to the Department by the due
date otherwise required by this Act for returns other than
transaction returns. If the retailer is entitled under this Act
to a discount for collecting and remitting the tax imposed
under this Act to the Department with respect to the sale of
the motor vehicle to the lessor, then the right to the discount
provided in this Act shall be transferred to the lessor with
respect to the tax paid by the lessor for any amount received
by the lessor from the lessee for the leased vehicle that is
not calculated at the time the lease is executed; provided that
the discount is only allowed if the return is timely filed and
for amounts timely paid. The "selling price" of a motor vehicle
that is sold on or after January 1, 2015 for the purpose of
leasing for a defined period of longer than one year shall not
be reduced by the value of or credit given for traded-in
tangible personal property owned by the lessor, nor shall it be
reduced by the value of or credit given for traded-in tangible
personal property owned by the lessee, regardless of whether
the trade-in value thereof is assigned by the lessee to the
lessor. In the case of a motor vehicle that is sold for the
purpose of leasing for a defined period of longer than one
year, the sale occurs at the time of the delivery of the
vehicle, regardless of the due date of any lease payments. A
lessor who incurs a Retailers' Occupation Tax liability on the
sale of a motor vehicle coming off lease may not take a credit
against that liability for the Use Tax the lessor paid upon the
purchase of the motor vehicle (or for any tax the lessor paid
with respect to any amount received by the lessor from the
lessee for the leased vehicle that was not calculated at the
time the lease was executed) if the selling price of the motor
vehicle at the time of purchase was calculated using the
definition of "selling price" as defined in this paragraph.
Notwithstanding any other provision of this Act to the
contrary, lessors shall file all returns and make all payments
required under this paragraph to the Department by electronic
means in the manner and form as required by the Department.
This paragraph does not apply to leases of motor vehicles for
which, at the time the lease is entered into, the term of the
lease is not a defined period, including leases with a defined
initial period with the option to continue the lease on a
month-to-month or other basis beyond the initial defined
period.
    The phrase "like kind and character" shall be liberally
construed (including but not limited to any form of motor
vehicle for any form of motor vehicle, or any kind of farm or
agricultural implement for any other kind of farm or
agricultural implement), while not including a kind of item
which, if sold at retail by that retailer, would be exempt from
retailers' occupation tax and use tax as an isolated or
occasional sale.
    "Department" means the Department of Revenue.
    "Person" means any natural individual, firm, partnership,
association, joint stock company, joint adventure, public or
private corporation, limited liability company, or a receiver,
executor, trustee, guardian or other representative appointed
by order of any court.
    "Retailer" means and includes every person engaged in the
business of making sales at retail as defined in this Section.
    A person who holds himself or herself out as being engaged
(or who habitually engages) in selling tangible personal
property at retail is a retailer hereunder with respect to such
sales (and not primarily in a service occupation)
notwithstanding the fact that such person designs and produces
such tangible personal property on special order for the
purchaser and in such a way as to render the property of value
only to such purchaser, if such tangible personal property so
produced on special order serves substantially the same
function as stock or standard items of tangible personal
property that are sold at retail.
    A person whose activities are organized and conducted
primarily as a not-for-profit service enterprise, and who
engages in selling tangible personal property at retail
(whether to the public or merely to members and their guests)
is a retailer with respect to such transactions, excepting only
a person organized and operated exclusively for charitable,
religious or educational purposes either (1), to the extent of
sales by such person to its members, students, patients or
inmates of tangible personal property to be used primarily for
the purposes of such person, or (2), to the extent of sales by
such person of tangible personal property which is not sold or
offered for sale by persons organized for profit. The selling
of school books and school supplies by schools at retail to
students is not "primarily for the purposes of" the school
which does such selling. This paragraph does not apply to nor
subject to taxation occasional dinners, social or similar
activities of a person organized and operated exclusively for
charitable, religious or educational purposes, whether or not
such activities are open to the public.
    A person who is the recipient of a grant or contract under
Title VII of the Older Americans Act of 1965 (P.L. 92-258) and
serves meals to participants in the federal Nutrition Program
for the Elderly in return for contributions established in
amount by the individual participant pursuant to a schedule of
suggested fees as provided for in the federal Act is not a
retailer under this Act with respect to such transactions.
    Persons who engage in the business of transferring tangible
personal property upon the redemption of trading stamps are
retailers hereunder when engaged in such business.
    The isolated or occasional sale of tangible personal
property at retail by a person who does not hold himself out as
being engaged (or who does not habitually engage) in selling
such tangible personal property at retail or a sale through a
bulk vending machine does not make such person a retailer
hereunder. However, any person who is engaged in a business
which is not subject to the tax imposed by the "Retailers'
Occupation Tax Act" because of involving the sale of or a
contract to sell real estate or a construction contract to
improve real estate, but who, in the course of conducting such
business, transfers tangible personal property to users or
consumers in the finished form in which it was purchased, and
which does not become real estate, under any provision of a
construction contract or real estate sale or real estate sales
agreement entered into with some other person arising out of or
because of such nontaxable business, is a retailer to the
extent of the value of the tangible personal property so
transferred. If, in such transaction, a separate charge is made
for the tangible personal property so transferred, the value of
such property, for the purposes of this Act, is the amount so
separately charged, but not less than the cost of such property
to the transferor; if no separate charge is made, the value of
such property, for the purposes of this Act, is the cost to the
transferor of such tangible personal property.
    "Retailer maintaining a place of business in this State",
or any like term, means and includes any of the following
retailers:
        (1) 1. A retailer having or maintaining within this
    State, directly or by a subsidiary, an office, distribution
    house, sales house, warehouse or other place of business,
    or any agent or other representative operating within this
    State under the authority of the retailer or its
    subsidiary, irrespective of whether such place of business
    or agent or other representative is located here
    permanently or temporarily, or whether such retailer or
    subsidiary is licensed to do business in this State.
    However, the ownership of property that is located at the
    premises of a printer with which the retailer has
    contracted for printing and that consists of the final
    printed product, property that becomes a part of the final
    printed product, or copy from which the printed product is
    produced shall not result in the retailer being deemed to
    have or maintain an office, distribution house, sales
    house, warehouse, or other place of business within this
    State.
        (1.1) 1.1. A retailer having a contract with a person
    located in this State under which the person, for a
    commission or other consideration based upon the sale of
    tangible personal property by the retailer, directly or
    indirectly refers potential customers to the retailer by
    providing to the potential customers a promotional code or
    other mechanism that allows the retailer to track purchases
    referred by such persons. Examples of mechanisms that allow
    the retailer to track purchases referred by such persons
    include but are not limited to the use of a link on the
    person's Internet website, promotional codes distributed
    through the person's hand-delivered or mailed material,
    and promotional codes distributed by the person through
    radio or other broadcast media. The provisions of this
    paragraph (1.1) 1.1 shall apply only if the cumulative
    gross receipts from sales of tangible personal property by
    the retailer to customers who are referred to the retailer
    by all persons in this State under such contracts exceed
    $10,000 during the preceding 4 quarterly periods ending on
    the last day of March, June, September, and December. A
    retailer meeting the requirements of this paragraph (1.1)
    1.1 shall be presumed to be maintaining a place of business
    in this State but may rebut this presumption by submitting
    proof that the referrals or other activities pursued within
    this State by such persons were not sufficient to meet the
    nexus standards of the United States Constitution during
    the preceding 4 quarterly periods.
        (1.2) 1.2. Beginning July 1, 2011, a retailer having a
    contract with a person located in this State under which:
            (A) A. the retailer sells the same or substantially
        similar line of products as the person located in this
        State and does so using an identical or substantially
        similar name, trade name, or trademark as the person
        located in this State; and
            (B) B. the retailer provides a commission or other
        consideration to the person located in this State based
        upon the sale of tangible personal property by the
        retailer.
    The provisions of this paragraph (1.2) 1.2 shall apply only
    if the cumulative gross receipts from sales of tangible
    personal property by the retailer to customers in this
    State under all such contracts exceed $10,000 during the
    preceding 4 quarterly periods ending on the last day of
    March, June, September, and December.
        (2) 2. A retailer soliciting orders for tangible
    personal property by means of a telecommunication or
    television shopping system (which utilizes toll free
    numbers) which is intended by the retailer to be broadcast
    by cable television or other means of broadcasting, to
    consumers located in this State.
        (3) 3. A retailer, pursuant to a contract with a
    broadcaster or publisher located in this State, soliciting
    orders for tangible personal property by means of
    advertising which is disseminated primarily to consumers
    located in this State and only secondarily to bordering
    jurisdictions.
        (4) 4. A retailer soliciting orders for tangible
    personal property by mail if the solicitations are
    substantial and recurring and if the retailer benefits from
    any banking, financing, debt collection,
    telecommunication, or marketing activities occurring in
    this State or benefits from the location in this State of
    authorized installation, servicing, or repair facilities.
        (5) 5. A retailer that is owned or controlled by the
    same interests that own or control any retailer engaging in
    business in the same or similar line of business in this
    State.
        (6) 6. A retailer having a franchisee or licensee
    operating under its trade name if the franchisee or
    licensee is required to collect the tax under this Section.
        (7) 7. A retailer, pursuant to a contract with a cable
    television operator located in this State, soliciting
    orders for tangible personal property by means of
    advertising which is transmitted or distributed over a
    cable television system in this State.
        (8) 8. A retailer engaging in activities in Illinois,
    which activities in the state in which the retail business
    engaging in such activities is located would constitute
    maintaining a place of business in that state.
        (9) Beginning October 1, 2018, a retailer making sales
    of tangible personal property to purchasers in Illinois
    from outside of Illinois if:
            (A) the cumulative gross receipts from sales of
        tangible personal property to purchasers in Illinois
        are $100,000 or more; or
            (B) the retailer enters into 200 or more separate
        transactions for the sale of tangible personal
        property to purchasers in Illinois.
        The retailer shall determine on a quarterly basis,
    ending on the last day of March, June, September, and
    December, whether he or she meets the criteria of either
    subparagraph (A) or (B) of this paragraph (9) for the
    preceding 12-month period. If the retailer meets the
    criteria of either subparagraph (A) or (B) for a 12-month
    period, he or she is considered a retailer maintaining a
    place of business in this State and is required to collect
    and remit the tax imposed under this Act and file returns
    for one year. At the end of that one-year period, the
    retailer shall determine whether the retailer met the
    criteria of either subparagraph (A) or (B) during the
    preceding 12-month period. If the retailer met the criteria
    in either subparagraph (A) or (B) for the preceding
    12-month period, he or she is considered a retailer
    maintaining a place of business in this State and is
    required to collect and remit the tax imposed under this
    Act and file returns for the subsequent year. If at the end
    of a one-year period a retailer that was required to
    collect and remit the tax imposed under this Act determines
    that he or she did not meet the criteria in either
    subparagraph (A) or (B) during the preceding 12-month
    period, the retailer shall subsequently determine on a
    quarterly basis, ending on the last day of March, June,
    September, and December, whether he or she meets the
    criteria of either subparagraph (A) or (B) for the
    preceding 12-month period.
    "Bulk vending machine" means a vending machine, containing
unsorted confections, nuts, toys, or other items designed
primarily to be used or played with by children which, when a
coin or coins of a denomination not larger than $0.50 are
inserted, are dispensed in equal portions, at random and
without selection by the customer.
(Source: P.A. 98-628, eff. 1-1-15; 98-1080, eff. 8-26-14;
98-1089, eff. 1-1-15; 99-78, eff. 7-20-15.)
 
    Section 80-10. The Service Use Tax Act is amended by
changing Section 2 as follows:
 
    (35 ILCS 110/2)  (from Ch. 120, par. 439.32)
    Sec. 2. Definitions. In this Act:
    "Use" means the exercise by any person of any right or
power over tangible personal property incident to the ownership
of that property, but does not include the sale or use for
demonstration by him of that property in any form as tangible
personal property in the regular course of business. "Use" does
not mean the interim use of tangible personal property nor the
physical incorporation of tangible personal property, as an
ingredient or constituent, into other tangible personal
property, (a) which is sold in the regular course of business
or (b) which the person incorporating such ingredient or
constituent therein has undertaken at the time of such purchase
to cause to be transported in interstate commerce to
destinations outside the State of Illinois.
    "Purchased from a serviceman" means the acquisition of the
ownership of, or title to, tangible personal property through a
sale of service.
    "Purchaser" means any person who, through a sale of
service, acquires the ownership of, or title to, any tangible
personal property.
    "Cost price" means the consideration paid by the serviceman
for a purchase valued in money, whether paid in money or
otherwise, including cash, credits and services, and shall be
determined without any deduction on account of the supplier's
cost of the property sold or on account of any other expense
incurred by the supplier. When a serviceman contracts out part
or all of the services required in his sale of service, it
shall be presumed that the cost price to the serviceman of the
property transferred to him or her by his or her subcontractor
is equal to 50% of the subcontractor's charges to the
serviceman in the absence of proof of the consideration paid by
the subcontractor for the purchase of such property.
    "Selling price" means the consideration for a sale valued
in money whether received in money or otherwise, including
cash, credits and service, and shall be determined without any
deduction on account of the serviceman's cost of the property
sold, the cost of materials used, labor or service cost or any
other expense whatsoever, but does not include interest or
finance charges which appear as separate items on the bill of
sale or sales contract nor charges that are added to prices by
sellers on account of the seller's duty to collect, from the
purchaser, the tax that is imposed by this Act.
    "Department" means the Department of Revenue.
    "Person" means any natural individual, firm, partnership,
association, joint stock company, joint venture, public or
private corporation, limited liability company, and any
receiver, executor, trustee, guardian or other representative
appointed by order of any court.
    "Sale of service" means any transaction except:
        (1) a retail sale of tangible personal property taxable
    under the Retailers' Occupation Tax Act or under the Use
    Tax Act.
        (2) a sale of tangible personal property for the
    purpose of resale made in compliance with Section 2c of the
    Retailers' Occupation Tax Act.
        (3) except as hereinafter provided, a sale or transfer
    of tangible personal property as an incident to the
    rendering of service for or by any governmental body, or
    for or by any corporation, society, association,
    foundation or institution organized and operated
    exclusively for charitable, religious or educational
    purposes or any not-for-profit corporation, society,
    association, foundation, institution or organization which
    has no compensated officers or employees and which is
    organized and operated primarily for the recreation of
    persons 55 years of age or older. A limited liability
    company may qualify for the exemption under this paragraph
    only if the limited liability company is organized and
    operated exclusively for educational purposes.
        (4) (blank).
        (4a) a sale or transfer of tangible personal property
    as an incident to the rendering of service for owners,
    lessors, or shippers of tangible personal property which is
    utilized by interstate carriers for hire for use as rolling
    stock moving in interstate commerce so long as so used by
    interstate carriers for hire, and equipment operated by a
    telecommunications provider, licensed as a common carrier
    by the Federal Communications Commission, which is
    permanently installed in or affixed to aircraft moving in
    interstate commerce.
        (4a-5) on and after July 1, 2003 and through June 30,
    2004, a sale or transfer of a motor vehicle of the second
    division with a gross vehicle weight in excess of 8,000
    pounds as an incident to the rendering of service if that
    motor vehicle is subject to the commercial distribution fee
    imposed under Section 3-815.1 of the Illinois Vehicle Code.
    Beginning on July 1, 2004 and through June 30, 2005, the
    use in this State of motor vehicles of the second division:
    (i) with a gross vehicle weight rating in excess of 8,000
    pounds; (ii) that are subject to the commercial
    distribution fee imposed under Section 3-815.1 of the
    Illinois Vehicle Code; and (iii) that are primarily used
    for commercial purposes. Through June 30, 2005, this
    exemption applies to repair and replacement parts added
    after the initial purchase of such a motor vehicle if that
    motor vehicle is used in a manner that would qualify for
    the rolling stock exemption otherwise provided for in this
    Act. For purposes of this paragraph, "used for commercial
    purposes" means the transportation of persons or property
    in furtherance of any commercial or industrial enterprise
    whether for-hire or not.
        (5) a sale or transfer of machinery and equipment used
    primarily in the process of the manufacturing or
    assembling, either in an existing, an expanded or a new
    manufacturing facility, of tangible personal property for
    wholesale or retail sale or lease, whether such sale or
    lease is made directly by the manufacturer or by some other
    person, whether the materials used in the process are owned
    by the manufacturer or some other person, or whether such
    sale or lease is made apart from or as an incident to the
    seller's engaging in a service occupation and the
    applicable tax is a Service Use Tax or Service Occupation
    Tax, rather than Use Tax or Retailers' Occupation Tax. The
    exemption provided by this paragraph (5) does not include
    machinery and equipment used in (i) the generation of
    electricity for wholesale or retail sale; (ii) the
    generation or treatment of natural or artificial gas for
    wholesale or retail sale that is delivered to customers
    through pipes, pipelines, or mains; or (iii) the treatment
    of water for wholesale or retail sale that is delivered to
    customers through pipes, pipelines, or mains. The
    provisions of Public Act 98-583 this amendatory Act of the
    98th General Assembly are declaratory of existing law as to
    the meaning and scope of this exemption. The exemption
    under this paragraph (5) is exempt from the provisions of
    Section 3-75.
        (5a) the repairing, reconditioning or remodeling, for
    a common carrier by rail, of tangible personal property
    which belongs to such carrier for hire, and as to which
    such carrier receives the physical possession of the
    repaired, reconditioned or remodeled item of tangible
    personal property in Illinois, and which such carrier
    transports, or shares with another common carrier in the
    transportation of such property, out of Illinois on a
    standard uniform bill of lading showing the person who
    repaired, reconditioned or remodeled the property to a
    destination outside Illinois, for use outside Illinois.
        (5b) a sale or transfer of tangible personal property
    which is produced by the seller thereof on special order in
    such a way as to have made the applicable tax the Service
    Occupation Tax or the Service Use Tax, rather than the
    Retailers' Occupation Tax or the Use Tax, for an interstate
    carrier by rail which receives the physical possession of
    such property in Illinois, and which transports such
    property, or shares with another common carrier in the
    transportation of such property, out of Illinois on a
    standard uniform bill of lading showing the seller of the
    property as the shipper or consignor of such property to a
    destination outside Illinois, for use outside Illinois.
        (6) until July 1, 2003, a sale or transfer of
    distillation machinery and equipment, sold as a unit or kit
    and assembled or installed by the retailer, which machinery
    and equipment is certified by the user to be used only for
    the production of ethyl alcohol that will be used for
    consumption as motor fuel or as a component of motor fuel
    for the personal use of such user and not subject to sale
    or resale.
        (7) at the election of any serviceman not required to
    be otherwise registered as a retailer under Section 2a of
    the Retailers' Occupation Tax Act, made for each fiscal
    year sales of service in which the aggregate annual cost
    price of tangible personal property transferred as an
    incident to the sales of service is less than 35%, or 75%
    in the case of servicemen transferring prescription drugs
    or servicemen engaged in graphic arts production, of the
    aggregate annual total gross receipts from all sales of
    service. The purchase of such tangible personal property by
    the serviceman shall be subject to tax under the Retailers'
    Occupation Tax Act and the Use Tax Act. However, if a
    primary serviceman who has made the election described in
    this paragraph subcontracts service work to a secondary
    serviceman who has also made the election described in this
    paragraph, the primary serviceman does not incur a Use Tax
    liability if the secondary serviceman (i) has paid or will
    pay Use Tax on his or her cost price of any tangible
    personal property transferred to the primary serviceman
    and (ii) certifies that fact in writing to the primary
    serviceman.
    Tangible personal property transferred incident to the
completion of a maintenance agreement is exempt from the tax
imposed pursuant to this Act.
    Exemption (5) also includes machinery and equipment used in
the general maintenance or repair of such exempt machinery and
equipment or for in-house manufacture of exempt machinery and
equipment. On and after July 1, 2017, exemption (5) also
includes graphic arts machinery and equipment, as defined in
paragraph (5) of Section 3-5. The machinery and equipment
exemption does not include machinery and equipment used in (i)
the generation of electricity for wholesale or retail sale;
(ii) the generation or treatment of natural or artificial gas
for wholesale or retail sale that is delivered to customers
through pipes, pipelines, or mains; or (iii) the treatment of
water for wholesale or retail sale that is delivered to
customers through pipes, pipelines, or mains. The provisions of
Public Act 98-583 this amendatory Act of the 98th General
Assembly are declaratory of existing law as to the meaning and
scope of this exemption. For the purposes of exemption (5),
each of these terms shall have the following meanings: (1)
"manufacturing process" shall mean the production of any
article of tangible personal property, whether such article is
a finished product or an article for use in the process of
manufacturing or assembling a different article of tangible
personal property, by procedures commonly regarded as
manufacturing, processing, fabricating, or refining which
changes some existing material or materials into a material
with a different form, use or name. In relation to a recognized
integrated business composed of a series of operations which
collectively constitute manufacturing, or individually
constitute manufacturing operations, the manufacturing process
shall be deemed to commence with the first operation or stage
of production in the series, and shall not be deemed to end
until the completion of the final product in the last operation
or stage of production in the series; and further, for purposes
of exemption (5), photoprocessing is deemed to be a
manufacturing process of tangible personal property for
wholesale or retail sale; (2) "assembling process" shall mean
the production of any article of tangible personal property,
whether such article is a finished product or an article for
use in the process of manufacturing or assembling a different
article of tangible personal property, by the combination of
existing materials in a manner commonly regarded as assembling
which results in a material of a different form, use or name;
(3) "machinery" shall mean major mechanical machines or major
components of such machines contributing to a manufacturing or
assembling process; and (4) "equipment" shall include any
independent device or tool separate from any machinery but
essential to an integrated manufacturing or assembly process;
including computers used primarily in a manufacturer's
computer assisted design, computer assisted manufacturing
(CAD/CAM) system; or any subunit or assembly comprising a
component of any machinery or auxiliary, adjunct or attachment
parts of machinery, such as tools, dies, jigs, fixtures,
patterns and molds; or any parts which require periodic
replacement in the course of normal operation; but shall not
include hand tools. Equipment includes chemicals or chemicals
acting as catalysts but only if the chemicals or chemicals
acting as catalysts effect a direct and immediate change upon a
product being manufactured or assembled for wholesale or retail
sale or lease. The purchaser of such machinery and equipment
who has an active resale registration number shall furnish such
number to the seller at the time of purchase. The user of such
machinery and equipment and tools without an active resale
registration number shall prepare a certificate of exemption
for each transaction stating facts establishing the exemption
for that transaction, which certificate shall be available to
the Department for inspection or audit. The Department shall
prescribe the form of the certificate.
    Any informal rulings, opinions or letters issued by the
Department in response to an inquiry or request for any opinion
from any person regarding the coverage and applicability of
exemption (5) to specific devices shall be published,
maintained as a public record, and made available for public
inspection and copying. If the informal ruling, opinion or
letter contains trade secrets or other confidential
information, where possible the Department shall delete such
information prior to publication. Whenever such informal
rulings, opinions, or letters contain any policy of general
applicability, the Department shall formulate and adopt such
policy as a rule in accordance with the provisions of the
Illinois Administrative Procedure Act.
    On and after July 1, 1987, no entity otherwise eligible
under exemption (3) of this Section shall make tax-free tax
free purchases unless it has an active exemption identification
number issued by the Department.
    The purchase, employment and transfer of such tangible
personal property as newsprint and ink for the primary purpose
of conveying news (with or without other information) is not a
purchase, use or sale of service or of tangible personal
property within the meaning of this Act.
    "Serviceman" means any person who is engaged in the
occupation of making sales of service.
    "Sale at retail" means "sale at retail" as defined in the
Retailers' Occupation Tax Act.
    "Supplier" means any person who makes sales of tangible
personal property to servicemen for the purpose of resale as an
incident to a sale of service.
    "Serviceman maintaining a place of business in this State",
or any like term, means and includes any serviceman:
        (1) 1. having or maintaining within this State,
    directly or by a subsidiary, an office, distribution house,
    sales house, warehouse or other place of business, or any
    agent or other representative operating within this State
    under the authority of the serviceman or its subsidiary,
    irrespective of whether such place of business or agent or
    other representative is located here permanently or
    temporarily, or whether such serviceman or subsidiary is
    licensed to do business in this State;
        (1.1) 1.1. having a contract with a person located in
    this State under which the person, for a commission or
    other consideration based on the sale of service by the
    serviceman, directly or indirectly refers potential
    customers to the serviceman by providing to the potential
    customers a promotional code or other mechanism that allows
    the serviceman to track purchases referred by such persons.
    Examples of mechanisms that allow the serviceman to track
    purchases referred by such persons include but are not
    limited to the use of a link on the person's Internet
    website, promotional codes distributed through the
    person's hand-delivered or mailed material, and
    promotional codes distributed by the person through radio
    or other broadcast media. The provisions of this paragraph
    (1.1) 1.1 shall apply only if the cumulative gross receipts
    from sales of service by the serviceman to customers who
    are referred to the serviceman by all persons in this State
    under such contracts exceed $10,000 during the preceding 4
    quarterly periods ending on the last day of March, June,
    September, and December; a serviceman meeting the
    requirements of this paragraph (1.1) 1.1 shall be presumed
    to be maintaining a place of business in this State but may
    rebut this presumption by submitting proof that the
    referrals or other activities pursued within this State by
    such persons were not sufficient to meet the nexus
    standards of the United States Constitution during the
    preceding 4 quarterly periods;
        (1.2) 1.2. beginning July 1, 2011, having a contract
    with a person located in this State under which:
            (A) A. the serviceman sells the same or
        substantially similar line of services as the person
        located in this State and does so using an identical or
        substantially similar name, trade name, or trademark
        as the person located in this State; and
            (B) B. the serviceman provides a commission or
        other consideration to the person located in this State
        based upon the sale of services by the serviceman.
    The provisions of this paragraph (1.2) 1.2 shall apply only
    if the cumulative gross receipts from sales of service by
    the serviceman to customers in this State under all such
    contracts exceed $10,000 during the preceding 4 quarterly
    periods ending on the last day of March, June, September,
    and December;
        (2) 2. soliciting orders for tangible personal
    property by means of a telecommunication or television
    shopping system (which utilizes toll free numbers) which is
    intended by the retailer to be broadcast by cable
    television or other means of broadcasting, to consumers
    located in this State;
        (3) 3. pursuant to a contract with a broadcaster or
    publisher located in this State, soliciting orders for
    tangible personal property by means of advertising which is
    disseminated primarily to consumers located in this State
    and only secondarily to bordering jurisdictions;
        (4) 4. soliciting orders for tangible personal
    property by mail if the solicitations are substantial and
    recurring and if the retailer benefits from any banking,
    financing, debt collection, telecommunication, or
    marketing activities occurring in this State or benefits
    from the location in this State of authorized installation,
    servicing, or repair facilities;
        (5) 5. being owned or controlled by the same interests
    which own or control any retailer engaging in business in
    the same or similar line of business in this State;
        (6) 6. having a franchisee or licensee operating under
    its trade name if the franchisee or licensee is required to
    collect the tax under this Section;
        (7) 7. pursuant to a contract with a cable television
    operator located in this State, soliciting orders for
    tangible personal property by means of advertising which is
    transmitted or distributed over a cable television system
    in this State; or
        (8) 8. engaging in activities in Illinois, which
    activities in the state in which the supply business
    engaging in such activities is located would constitute
    maintaining a place of business in that state; or .
        (9) beginning October 1, 2018, making sales of service
    to purchasers in Illinois from outside of Illinois if:
            (A) the cumulative gross receipts from sales of
        service to purchasers in Illinois are $100,000 or more;
        or
            (B) the serviceman enters into 200 or more separate
        transactions for sales of service to purchasers in
        Illinois.
        The serviceman shall determine on a quarterly basis,
    ending on the last day of March, June, September, and
    December, whether he or she meets the criteria of either
    subparagraph (A) or (B) of this paragraph (9) for the
    preceding 12-month period. If the serviceman meets the
    criteria of either subparagraph (A) or (B) for a 12-month
    period, he or she is considered a serviceman maintaining a
    place of business in this State and is required to collect
    and remit the tax imposed under this Act and file returns
    for one year. At the end of that one-year period, the
    serviceman shall determine whether the serviceman met the
    criteria of either subparagraph (A) or (B) during the
    preceding 12-month period. If the serviceman met the
    criteria in either subparagraph (A) or (B) for the
    preceding 12-month period, he or she is considered a
    serviceman maintaining a place of business in this State
    and is required to collect and remit the tax imposed under
    this Act and file returns for the subsequent year. If at
    the end of a one-year period a serviceman that was required
    to collect and remit the tax imposed under this Act
    determines that he or she did not meet the criteria in
    either subparagraph (A) or (B) during the preceding
    12-month period, the serviceman subsequently shall
    determine on a quarterly basis, ending on the last day of
    March, June, September, and December, whether he or she
    meets the criteria of either subparagraph (A) or (B) for
    the preceding 12-month period.
(Source: P.A. 100-22, eff. 7-6-17; 100-321, eff. 8-24-17;
revised 9-27-17.)
 
ARTICLE 85. GAMING

 
    Section 85-5. The Illinois Lottery Law is amended by
changing Sections 7.12 and 9.1 as follows:
 
    (20 ILCS 1605/7.12)
    (Section scheduled to be repealed on July 1, 2018)
    Sec. 7.12. Internet program.
    (a) The General Assembly finds that:
        (1) the consumer market in Illinois has changed since
    the creation of the Illinois State Lottery in 1974;
        (2) the Internet has become an integral part of
    everyday life for a significant number of Illinois
    residents not only in regards to their professional life,
    but also in regards to personal business and communication;
    and
        (3) the current practices of selling lottery tickets
    does not appeal to the new form of market participants who
    prefer to make purchases on the Internet at their own
    convenience.
    It is the intent of the General Assembly to create an
Internet program for the sale of lottery tickets to capture
this new form of market participant.
    (b) The Department shall create a program that allows an
individual 18 years of age or older to purchase lottery tickets
or shares on the Internet without using a Lottery retailer with
on-line status, as those terms are defined by rule. The
Department shall restrict the sale of lottery tickets on the
Internet to transactions initiated and received or otherwise
made exclusively within the State of Illinois. The Department
shall adopt rules necessary for the administration of this
program. These rules shall include, among other things,
requirements for marketing of the Lottery to infrequent
players, as well as limitations on the purchases that may be
made through any one individual's lottery account. The
provisions of this Act and the rules adopted under this Act
shall apply to the sale of lottery tickets or shares under this
program.
    Before beginning the program, the Department of the Lottery
must submit a request to the United States Department of
Justice for review of the State's plan to implement a program
for the sale of lottery tickets on the Internet and its
propriety under federal law. The Department shall implement the
Internet program only if the Department of Justice does not
object to the implementation of the program within a reasonable
period of time after its review.
    The Department is obligated to implement the program set
forth in this Section and Sections 7.15 and 7.16 only at such
time, and to such extent, that the Department of Justice does
not object to the implementation of the program within a
reasonable period of time after its review. While the Illinois
Lottery may only offer Lotto, Mega Millions, and Powerball
games through the program, the Department shall request review
from the federal Department of Justice for the Illinois Lottery
to sell lottery tickets on the Internet on behalf of the State
of Illinois that are not limited to just these games.
    The Department shall authorize the private manager to
implement and administer the program pursuant to the management
agreement entered into under Section 9.1 and in a manner
consistent with the provisions of this Section. If a private
manager has not been selected pursuant to Section 9.1 at the
time the Department is obligated to implement the program, then
the Department shall not proceed with the program until after
the selection of the private manager, at which time the
Department shall authorize the private manager to implement and
administer the program pursuant to the management agreement
entered into under Section 9.1 and in a manner consistent with
the provisions of this Section.
    Nothing in this Section shall be construed as prohibiting
the Department from implementing and operating a website portal
whereby individuals who are 18 years of age or older with an
Illinois mailing address may apply to purchase lottery tickets
via subscription. Nothing in this Section shall also be
construed as prohibiting the sale of Lotto, Mega Millions, and
Powerball games by a lottery licensee pursuant to the
Department's rules.
    (c) (Blank).
    (d) This Section is repealed on July 1, 2019 2018.
(Source: P.A. 99-523, eff. 6-30-16; 100-23, eff. 7-6-17.)
 
    (20 ILCS 1605/9.1)
    Sec. 9.1. Private manager and management agreement.
    (a) As used in this Section:
    "Offeror" means a person or group of persons that responds
to a request for qualifications under this Section.
    "Request for qualifications" means all materials and
documents prepared by the Department to solicit the following
from offerors:
        (1) Statements of qualifications.
        (2) Proposals to enter into a management agreement,
    including the identity of any prospective vendor or vendors
    that the offeror intends to initially engage to assist the
    offeror in performing its obligations under the management
    agreement.
    "Final offer" means the last proposal submitted by an
offeror in response to the request for qualifications,
including the identity of any prospective vendor or vendors
that the offeror intends to initially engage to assist the
offeror in performing its obligations under the management
agreement.
    "Final offeror" means the offeror ultimately selected by
the Governor to be the private manager for the Lottery under
subsection (h) of this Section.
    (b) By September 15, 2010, the Governor shall select a
private manager for the total management of the Lottery with
integrated functions, such as lottery game design, supply of
goods and services, and advertising and as specified in this
Section.
    (c) Pursuant to the terms of this subsection, the
Department shall endeavor to expeditiously terminate the
existing contracts in support of the Lottery in effect on the
effective date of this amendatory Act of the 96th General
Assembly in connection with the selection of the private
manager. As part of its obligation to terminate these contracts
and select the private manager, the Department shall establish
a mutually agreeable timetable to transfer the functions of
existing contractors to the private manager so that existing
Lottery operations are not materially diminished or impaired
during the transition. To that end, the Department shall do the
following:
        (1) where such contracts contain a provision
    authorizing termination upon notice, the Department shall
    provide notice of termination to occur upon the mutually
    agreed timetable for transfer of functions;
        (2) upon the expiration of any initial term or renewal
    term of the current Lottery contracts, the Department shall
    not renew such contract for a term extending beyond the
    mutually agreed timetable for transfer of functions; or
        (3) in the event any current contract provides for
    termination of that contract upon the implementation of a
    contract with the private manager, the Department shall
    perform all necessary actions to terminate the contract on
    the date that coincides with the mutually agreed timetable
    for transfer of functions.
    If the contracts to support the current operation of the
Lottery in effect on the effective date of this amendatory Act
of the 96th General Assembly are not subject to termination as
provided for in this subsection (c), then the Department may
include a provision in the contract with the private manager
specifying a mutually agreeable methodology for incorporation.
    (c-5) The Department shall include provisions in the
management agreement whereby the private manager shall, for a
fee, and pursuant to a contract negotiated with the Department
(the "Employee Use Contract"), utilize the services of current
Department employees to assist in the administration and
operation of the Lottery. The Department shall be the employer
of all such bargaining unit employees assigned to perform such
work for the private manager, and such employees shall be State
employees, as defined by the Personnel Code. Department
employees shall operate under the same employment policies,
rules, regulations, and procedures, as other employees of the
Department. In addition, neither historical representation
rights under the Illinois Public Labor Relations Act, nor
existing collective bargaining agreements, shall be disturbed
by the management agreement with the private manager for the
management of the Lottery.
    (d) The management agreement with the private manager shall
include all of the following:
        (1) A term not to exceed 10 years, including any
    renewals.
        (2) A provision specifying that the Department:
            (A) shall exercise actual control over all
        significant business decisions;
            (A-5) has the authority to direct or countermand
        operating decisions by the private manager at any time;
            (B) has ready access at any time to information
        regarding Lottery operations;
            (C) has the right to demand and receive information
        from the private manager concerning any aspect of the
        Lottery operations at any time; and
            (D) retains ownership of all trade names,
        trademarks, and intellectual property associated with
        the Lottery.
        (3) A provision imposing an affirmative duty on the
    private manager to provide the Department with material
    information and with any information the private manager
    reasonably believes the Department would want to know to
    enable the Department to conduct the Lottery.
        (4) A provision requiring the private manager to
    provide the Department with advance notice of any operating
    decision that bears significantly on the public interest,
    including, but not limited to, decisions on the kinds of
    games to be offered to the public and decisions affecting
    the relative risk and reward of the games being offered, so
    the Department has a reasonable opportunity to evaluate and
    countermand that decision.
        (5) A provision providing for compensation of the
    private manager that may consist of, among other things, a
    fee for services and a performance based bonus as
    consideration for managing the Lottery, including terms
    that may provide the private manager with an increase in
    compensation if Lottery revenues grow by a specified
    percentage in a given year.
        (6) (Blank).
        (7) A provision requiring the deposit of all Lottery
    proceeds to be deposited into the State Lottery Fund except
    as otherwise provided in Section 20 of this Act.
        (8) A provision requiring the private manager to locate
    its principal office within the State.
        (8-5) A provision encouraging that at least 20% of the
    cost of contracts entered into for goods and services by
    the private manager in connection with its management of
    the Lottery, other than contracts with sales agents or
    technical advisors, be awarded to businesses that are a
    minority-owned business, a women-owned business, or a
    business owned by a person with disability, as those terms
    are defined in the Business Enterprise for Minorities,
    Women, and Persons with Disabilities Act.
        (9) A requirement that so long as the private manager
    complies with all the conditions of the agreement under the
    oversight of the Department, the private manager shall have
    the following duties and obligations with respect to the
    management of the Lottery:
            (A) The right to use equipment and other assets
        used in the operation of the Lottery.
            (B) The rights and obligations under contracts
        with retailers and vendors.
            (C) The implementation of a comprehensive security
        program by the private manager.
            (D) The implementation of a comprehensive system
        of internal audits.
            (E) The implementation of a program by the private
        manager to curb compulsive gambling by persons playing
        the Lottery.
            (F) A system for determining (i) the type of
        Lottery games, (ii) the method of selecting winning
        tickets, (iii) the manner of payment of prizes to
        holders of winning tickets, (iv) the frequency of
        drawings of winning tickets, (v) the method to be used
        in selling tickets, (vi) a system for verifying the
        validity of tickets claimed to be winning tickets,
        (vii) the basis upon which retailer commissions are
        established by the manager, and (viii) minimum
        payouts.
        (10) A requirement that advertising and promotion must
    be consistent with Section 7.8a of this Act.
        (11) A requirement that the private manager market the
    Lottery to those residents who are new, infrequent, or
    lapsed players of the Lottery, especially those who are
    most likely to make regular purchases on the Internet as
    permitted by law.
        (12) A code of ethics for the private manager's
    officers and employees.
        (13) A requirement that the Department monitor and
    oversee the private manager's practices and take action
    that the Department considers appropriate to ensure that
    the private manager is in compliance with the terms of the
    management agreement, while allowing the manager, unless
    specifically prohibited by law or the management
    agreement, to negotiate and sign its own contracts with
    vendors.
        (14) A provision requiring the private manager to
    periodically file, at least on an annual basis, appropriate
    financial statements in a form and manner acceptable to the
    Department.
        (15) Cash reserves requirements.
        (16) Procedural requirements for obtaining the prior
    approval of the Department when a management agreement or
    an interest in a management agreement is sold, assigned,
    transferred, or pledged as collateral to secure financing.
        (17) Grounds for the termination of the management
    agreement by the Department or the private manager.
        (18) Procedures for amendment of the agreement.
        (19) A provision requiring the private manager to
    engage in an open and competitive bidding process for any
    procurement having a cost in excess of $50,000 that is not
    a part of the private manager's final offer. The process
    shall favor the selection of a vendor deemed to have
    submitted a proposal that provides the Lottery with the
    best overall value. The process shall not be subject to the
    provisions of the Illinois Procurement Code, unless
    specifically required by the management agreement.
        (20) The transition of rights and obligations,
    including any associated equipment or other assets used in
    the operation of the Lottery, from the manager to any
    successor manager of the lottery, including the
    Department, following the termination of or foreclosure
    upon the management agreement.
        (21) Right of use of copyrights, trademarks, and
    service marks held by the Department in the name of the
    State. The agreement must provide that any use of them by
    the manager shall only be for the purpose of fulfilling its
    obligations under the management agreement during the term
    of the agreement.
        (22) The disclosure of any information requested by the
    Department to enable it to comply with the reporting
    requirements and information requests provided for under
    subsection (p) of this Section.
    (e) Notwithstanding any other law to the contrary, the
Department shall select a private manager through a competitive
request for qualifications process consistent with Section
20-35 of the Illinois Procurement Code, which shall take into
account:
        (1) the offeror's ability to market the Lottery to
    those residents who are new, infrequent, or lapsed players
    of the Lottery, especially those who are most likely to
    make regular purchases on the Internet;
        (2) the offeror's ability to address the State's
    concern with the social effects of gambling on those who
    can least afford to do so;
        (3) the offeror's ability to provide the most
    successful management of the Lottery for the benefit of the
    people of the State based on current and past business
    practices or plans of the offeror; and
        (4) the offeror's poor or inadequate past performance
    in servicing, equipping, operating or managing a lottery on
    behalf of Illinois, another State or foreign government and
    attracting persons who are not currently regular players of
    a lottery.
    (f) The Department may retain the services of an advisor or
advisors with significant experience in financial services or
the management, operation, and procurement of goods, services,
and equipment for a government-run lottery to assist in the
preparation of the terms of the request for qualifications and
selection of the private manager. Any prospective advisor
seeking to provide services under this subsection (f) shall
disclose any material business or financial relationship
during the past 3 years with any potential offeror, or with a
contractor or subcontractor presently providing goods,
services, or equipment to the Department to support the
Lottery. The Department shall evaluate the material business or
financial relationship of each prospective advisor. The
Department shall not select any prospective advisor with a
substantial business or financial relationship that the
Department deems to impair the objectivity of the services to
be provided by the prospective advisor. During the course of
the advisor's engagement by the Department, and for a period of
one year thereafter, the advisor shall not enter into any
business or financial relationship with any offeror or any
vendor identified to assist an offeror in performing its
obligations under the management agreement. Any advisor
retained by the Department shall be disqualified from being an
offeror. The Department shall not include terms in the request
for qualifications that provide a material advantage whether
directly or indirectly to any potential offeror, or any
contractor or subcontractor presently providing goods,
services, or equipment to the Department to support the
Lottery, including terms contained in previous responses to
requests for proposals or qualifications submitted to
Illinois, another State or foreign government when those terms
are uniquely associated with a particular potential offeror,
contractor, or subcontractor. The request for proposals
offered by the Department on December 22, 2008 as
"LOT08GAMESYS" and reference number "22016176" is declared
void.
    (g) The Department shall select at least 2 offerors as
finalists to potentially serve as the private manager no later
than August 9, 2010. Upon making preliminary selections, the
Department shall schedule a public hearing on the finalists'
proposals and provide public notice of the hearing at least 7
calendar days before the hearing. The notice must include all
of the following:
        (1) The date, time, and place of the hearing.
        (2) The subject matter of the hearing.
        (3) A brief description of the management agreement to
    be awarded.
        (4) The identity of the offerors that have been
    selected as finalists to serve as the private manager.
        (5) The address and telephone number of the Department.
    (h) At the public hearing, the Department shall (i) provide
sufficient time for each finalist to present and explain its
proposal to the Department and the Governor or the Governor's
designee, including an opportunity to respond to questions
posed by the Department, Governor, or designee and (ii) allow
the public and non-selected offerors to comment on the
presentations. The Governor or a designee shall attend the
public hearing. After the public hearing, the Department shall
have 14 calendar days to recommend to the Governor whether a
management agreement should be entered into with a particular
finalist. After reviewing the Department's recommendation, the
Governor may accept or reject the Department's recommendation,
and shall select a final offeror as the private manager by
publication of a notice in the Illinois Procurement Bulletin on
or before September 15, 2010. The Governor shall include in the
notice a detailed explanation and the reasons why the final
offeror is superior to other offerors and will provide
management services in a manner that best achieves the
objectives of this Section. The Governor shall also sign the
management agreement with the private manager.
    (i) Any action to contest the private manager selected by
the Governor under this Section must be brought within 7
calendar days after the publication of the notice of the
designation of the private manager as provided in subsection
(h) of this Section.
    (j) The Lottery shall remain, for so long as a private
manager manages the Lottery in accordance with provisions of
this Act, a Lottery conducted by the State, and the State shall
not be authorized to sell or transfer the Lottery to a third
party.
    (k) Any tangible personal property used exclusively in
connection with the lottery that is owned by the Department and
leased to the private manager shall be owned by the Department
in the name of the State and shall be considered to be public
property devoted to an essential public and governmental
function.
    (l) The Department may exercise any of its powers under
this Section or any other law as necessary or desirable for the
execution of the Department's powers under this Section.
    (m) Neither this Section nor any management agreement
entered into under this Section prohibits the General Assembly
from authorizing forms of gambling that are not in direct
competition with the Lottery.
    (n) The private manager shall be subject to a complete
investigation in the third, seventh, and tenth years of the
agreement (if the agreement is for a 10-year term) by the
Department in cooperation with the Auditor General to determine
whether the private manager has complied with this Section and
the management agreement. The private manager shall bear the
cost of an investigation or reinvestigation of the private
manager under this subsection.
    (o) The powers conferred by this Section are in addition
and supplemental to the powers conferred by any other law. If
any other law or rule is inconsistent with this Section,
including, but not limited to, provisions of the Illinois
Procurement Code, then this Section controls as to any
management agreement entered into under this Section. This
Section and any rules adopted under this Section contain full
and complete authority for a management agreement between the
Department and a private manager. No law, procedure,
proceeding, publication, notice, consent, approval, order, or
act by the Department or any other officer, Department, agency,
or instrumentality of the State or any political subdivision is
required for the Department to enter into a management
agreement under this Section. This Section contains full and
complete authority for the Department to approve any contracts
entered into by a private manager with a vendor providing
goods, services, or both goods and services to the private
manager under the terms of the management agreement, including
subcontractors of such vendors.
    Upon receipt of a written request from the Chief
Procurement Officer, the Department shall provide to the Chief
Procurement Officer a complete and un-redacted copy of the
management agreement or any contract that is subject to the
Department's approval authority under this subsection (o). The
Department shall provide a copy of the agreement or contract to
the Chief Procurement Officer in the time specified by the
Chief Procurement Officer in his or her written request, but no
later than 5 business days after the request is received by the
Department. The Chief Procurement Officer must retain any
portions of the management agreement or of any contract
designated by the Department as confidential, proprietary, or
trade secret information in complete confidence pursuant to
subsection (g) of Section 7 of the Freedom of Information Act.
The Department shall also provide the Chief Procurement Officer
with reasonable advance written notice of any contract that is
pending Department approval.
    Notwithstanding any other provision of this Section to the
contrary, the Chief Procurement Officer shall adopt
administrative rules, including emergency rules, to establish
a procurement process to select a successor private manager if
a private management agreement has been terminated. The
selection process shall at a minimum take into account the
criteria set forth in items (1) through (4) of subsection (e)
of this Section and may include provisions consistent with
subsections (f), (g), (h), and (i) of this Section. The Chief
Procurement Officer shall also implement and administer the
adopted selection process upon the termination of a private
management agreement. The Department, after the Chief
Procurement Officer certifies that the procurement process has
been followed in accordance with the rules adopted under this
subsection (o), shall select a final offeror as the private
manager and sign the management agreement with the private
manager.
    Except as provided in Sections 21.5, 21.6, 21.7, 21.8, and
21.9, the Department shall distribute all proceeds of lottery
tickets and shares sold in the following priority and manner:
        (1) The payment of prizes and retailer bonuses.
        (2) The payment of costs incurred in the operation and
    administration of the Lottery, including the payment of
    sums due to the private manager under the management
    agreement with the Department.
        (3) On the last day of each month or as soon thereafter
    as possible, the State Comptroller shall direct and the
    State Treasurer shall transfer from the State Lottery Fund
    to the Common School Fund an amount that is equal to the
    proceeds transferred in the corresponding month of fiscal
    year 2009, as adjusted for inflation, to the Common School
    Fund.
        (4) On or before September 30 the last day of each
    fiscal year, deposit any estimated remaining proceeds from
    the prior fiscal year, subject to payments under items (1),
    (2), and (3) into the Capital Projects Fund each fiscal
    year. Beginning in fiscal year 2019, the amount deposited
    shall be increased or decreased each year by the amount the
    estimated payment differs from the amount determined from
    each year-end financial audit. Only remaining net deficits
    from prior fiscal years may reduce the requirement to
    deposit these funds, as determined by the annual financial
    audit.
    (p) The Department shall be subject to the following
reporting and information request requirements:
        (1) the Department shall submit written quarterly
    reports to the Governor and the General Assembly on the
    activities and actions of the private manager selected
    under this Section;
        (2) upon request of the Chief Procurement Officer, the
    Department shall promptly produce information related to
    the procurement activities of the Department and the
    private manager requested by the Chief Procurement
    Officer; the Chief Procurement Officer must retain
    confidential, proprietary, or trade secret information
    designated by the Department in complete confidence
    pursuant to subsection (g) of Section 7 of the Freedom of
    Information Act; and
        (3) at least 30 days prior to the beginning of the
    Department's fiscal year, the Department shall prepare an
    annual written report on the activities of the private
    manager selected under this Section and deliver that report
    to the Governor and General Assembly.
(Source: P.A. 99-933, eff. 1-27-17; 100-391, eff. 8-25-17.)
 
ARTICLE 90. STUDY

 
    Section 90-5. The Department of Healthcare and Family
Services Law of the Civil Administrative Code of Illinois is
amended by adding Section 2205-30 as follows:
 
    (20 ILCS 2205/2205-30 new)
    Sec. 2205-30. Long-term care services and supports
comprehensive study and actuarial modeling.
    (a) The Department of Healthcare and Family Services shall
commission a comprehensive study of long-term care trends,
future projections, and actuarial analysis of a new long-term
services and supports benefit. Upon completion of the study,
the Department shall prepare a report on the study that
includes the following:
        (1) an extensive analysis of long-term care trends in
    Illinois, including the number of Illinoisans needing
    long-term care, the number of paid and unpaid caregivers,
    the existing long-term care programs' utilization and
    impact on the State budget; out-of-pocket spending and
    spend-down to qualify for medical assistance coverage, the
    financial and health impacts of caregiving on the family,
    wages of paid caregivers and the effects of compensation on
    the availability of this workforce, the current market for
    private long-term care insurance, and a brief assessment of
    the existing system of long-term services and supports in
    terms of health, well-being, and the ability of
    participants to continue living in their communities;
        (2) an analysis of long-term care costs and utilization
    projections through at least 2050 and the estimated impact
    of such costs and utilization projections on the State
    budget, increases in the senior population; projections of
    the number of paid and unpaid caregivers in relation to
    demand for services, and projections of the impact of
    housing cost burdens and a lack of affordable housing on
    seniors and people with disabilities;
        (3) an actuarial analysis of options for a new
    long-term services and supports benefit program, including
    an analysis of potential tax sources and necessary levels,
    a vesting period, the maximum daily benefit dollar amount,
    the total maximum dollar amount of the benefit, and the
    duration of the benefit; and
        (4) a qualitative analysis of a new benefit's impact on
    seniors and people with disabilities, including their
    families and caregivers, public and private long-term care
    services, and the State budget.
    The report must project under multiple possible
configurations the numbers of persons covered year over year,
utilization rates, total spending, and the benefit fund's ratio
balance and solvency. The benefit fund must initially be
structured to be solvent for 75 years. The report must detail
the sensitivity of these projections to the level of care
criteria that define long-term care need and examine the
feasibility of setting a lower threshold, based on a lower need
for ongoing assistance in routine life activities.
    The report must also detail the amount of out-of-pocket
costs avoided, the number of persons who delayed or avoided
utilization of medical assistance benefits, an analysis on the
projected increased utilization of home-based and
community-based services over skilled nursing facilities and
savings therewith, and savings to the State's existing
long-term care programs due to the new long-term services and
supports benefit.
    (b) The entity chosen to conduct the actuarial analysis
shall be a nationally-recognized organization with experience
modeling public and private long-term care financing programs.
    (c) The study shall begin after January 1, 2019, and be
completed before December 1, 2019. Upon completion, the report
on the study shall be filed with the Clerk of the House of
Representatives and the Secretary of the Senate in electronic
form only, in the manner that the Clerk and the Secretary shall
direct.
    (d) This Section is repealed December 1, 2020.
 
ARTICLE 95. EDUCATION AND RATES

 
    Section 95-5. The Illinois Administrative Procedure Act is
amended by changing Section 5-45 as follows:
 
    (5 ILCS 100/5-45)  (from Ch. 127, par. 1005-45)
    Sec. 5-45. Emergency rulemaking.
    (a) "Emergency" means the existence of any situation that
any agency finds reasonably constitutes a threat to the public
interest, safety, or welfare.
    (b) If any agency finds that an emergency exists that
requires adoption of a rule upon fewer days than is required by
Section 5-40 and states in writing its reasons for that
finding, the agency may adopt an emergency rule without prior
notice or hearing upon filing a notice of emergency rulemaking
with the Secretary of State under Section 5-70. The notice
shall include the text of the emergency rule and shall be
published in the Illinois Register. Consent orders or other
court orders adopting settlements negotiated by an agency may
be adopted under this Section. Subject to applicable
constitutional or statutory provisions, an emergency rule
becomes effective immediately upon filing under Section 5-65 or
at a stated date less than 10 days thereafter. The agency's
finding and a statement of the specific reasons for the finding
shall be filed with the rule. The agency shall take reasonable
and appropriate measures to make emergency rules known to the
persons who may be affected by them.
    (c) An emergency rule may be effective for a period of not
longer than 150 days, but the agency's authority to adopt an
identical rule under Section 5-40 is not precluded. No
emergency rule may be adopted more than once in any 24-month
period, except that this limitation on the number of emergency
rules that may be adopted in a 24-month period does not apply
to (i) emergency rules that make additions to and deletions
from the Drug Manual under Section 5-5.16 of the Illinois
Public Aid Code or the generic drug formulary under Section
3.14 of the Illinois Food, Drug and Cosmetic Act, (ii)
emergency rules adopted by the Pollution Control Board before
July 1, 1997 to implement portions of the Livestock Management
Facilities Act, (iii) emergency rules adopted by the Illinois
Department of Public Health under subsections (a) through (i)
of Section 2 of the Department of Public Health Act when
necessary to protect the public's health, (iv) emergency rules
adopted pursuant to subsection (n) of this Section, (v)
emergency rules adopted pursuant to subsection (o) of this
Section, or (vi) emergency rules adopted pursuant to subsection
(c-5) of this Section. Two or more emergency rules having
substantially the same purpose and effect shall be deemed to be
a single rule for purposes of this Section.
    (c-5) To facilitate the maintenance of the program of group
health benefits provided to annuitants, survivors, and retired
employees under the State Employees Group Insurance Act of
1971, rules to alter the contributions to be paid by the State,
annuitants, survivors, retired employees, or any combination
of those entities, for that program of group health benefits,
shall be adopted as emergency rules. The adoption of those
rules shall be considered an emergency and necessary for the
public interest, safety, and welfare.
    (d) In order to provide for the expeditious and timely
implementation of the State's fiscal year 1999 budget,
emergency rules to implement any provision of Public Act 90-587
or 90-588 or any other budget initiative for fiscal year 1999
may be adopted in accordance with this Section by the agency
charged with administering that provision or initiative,
except that the 24-month limitation on the adoption of
emergency rules and the provisions of Sections 5-115 and 5-125
do not apply to rules adopted under this subsection (d). The
adoption of emergency rules authorized by this subsection (d)
shall be deemed to be necessary for the public interest,
safety, and welfare.
    (e) In order to provide for the expeditious and timely
implementation of the State's fiscal year 2000 budget,
emergency rules to implement any provision of Public Act 91-24
or any other budget initiative for fiscal year 2000 may be
adopted in accordance with this Section by the agency charged
with administering that provision or initiative, except that
the 24-month limitation on the adoption of emergency rules and
the provisions of Sections 5-115 and 5-125 do not apply to
rules adopted under this subsection (e). The adoption of
emergency rules authorized by this subsection (e) shall be
deemed to be necessary for the public interest, safety, and
welfare.
    (f) In order to provide for the expeditious and timely
implementation of the State's fiscal year 2001 budget,
emergency rules to implement any provision of Public Act 91-712
or any other budget initiative for fiscal year 2001 may be
adopted in accordance with this Section by the agency charged
with administering that provision or initiative, except that
the 24-month limitation on the adoption of emergency rules and
the provisions of Sections 5-115 and 5-125 do not apply to
rules adopted under this subsection (f). The adoption of
emergency rules authorized by this subsection (f) shall be
deemed to be necessary for the public interest, safety, and
welfare.
    (g) In order to provide for the expeditious and timely
implementation of the State's fiscal year 2002 budget,
emergency rules to implement any provision of Public Act 92-10
or any other budget initiative for fiscal year 2002 may be
adopted in accordance with this Section by the agency charged
with administering that provision or initiative, except that
the 24-month limitation on the adoption of emergency rules and
the provisions of Sections 5-115 and 5-125 do not apply to
rules adopted under this subsection (g). The adoption of
emergency rules authorized by this subsection (g) shall be
deemed to be necessary for the public interest, safety, and
welfare.
    (h) In order to provide for the expeditious and timely
implementation of the State's fiscal year 2003 budget,
emergency rules to implement any provision of Public Act 92-597
or any other budget initiative for fiscal year 2003 may be
adopted in accordance with this Section by the agency charged
with administering that provision or initiative, except that
the 24-month limitation on the adoption of emergency rules and
the provisions of Sections 5-115 and 5-125 do not apply to
rules adopted under this subsection (h). The adoption of
emergency rules authorized by this subsection (h) shall be
deemed to be necessary for the public interest, safety, and
welfare.
    (i) In order to provide for the expeditious and timely
implementation of the State's fiscal year 2004 budget,
emergency rules to implement any provision of Public Act 93-20
or any other budget initiative for fiscal year 2004 may be
adopted in accordance with this Section by the agency charged
with administering that provision or initiative, except that
the 24-month limitation on the adoption of emergency rules and
the provisions of Sections 5-115 and 5-125 do not apply to
rules adopted under this subsection (i). The adoption of
emergency rules authorized by this subsection (i) shall be
deemed to be necessary for the public interest, safety, and
welfare.
    (j) In order to provide for the expeditious and timely
implementation of the provisions of the State's fiscal year
2005 budget as provided under the Fiscal Year 2005 Budget
Implementation (Human Services) Act, emergency rules to
implement any provision of the Fiscal Year 2005 Budget
Implementation (Human Services) Act may be adopted in
accordance with this Section by the agency charged with
administering that provision, except that the 24-month
limitation on the adoption of emergency rules and the
provisions of Sections 5-115 and 5-125 do not apply to rules
adopted under this subsection (j). The Department of Public Aid
may also adopt rules under this subsection (j) necessary to
administer the Illinois Public Aid Code and the Children's
Health Insurance Program Act. The adoption of emergency rules
authorized by this subsection (j) shall be deemed to be
necessary for the public interest, safety, and welfare.
    (k) In order to provide for the expeditious and timely
implementation of the provisions of the State's fiscal year
2006 budget, emergency rules to implement any provision of
Public Act 94-48 or any other budget initiative for fiscal year
2006 may be adopted in accordance with this Section by the
agency charged with administering that provision or
initiative, except that the 24-month limitation on the adoption
of emergency rules and the provisions of Sections 5-115 and
5-125 do not apply to rules adopted under this subsection (k).
The Department of Healthcare and Family Services may also adopt
rules under this subsection (k) necessary to administer the
Illinois Public Aid Code, the Senior Citizens and Persons with
Disabilities Property Tax Relief Act, the Senior Citizens and
Disabled Persons Prescription Drug Discount Program Act (now
the Illinois Prescription Drug Discount Program Act), and the
Children's Health Insurance Program Act. The adoption of
emergency rules authorized by this subsection (k) shall be
deemed to be necessary for the public interest, safety, and
welfare.
    (l) In order to provide for the expeditious and timely
implementation of the provisions of the State's fiscal year
2007 budget, the Department of Healthcare and Family Services
may adopt emergency rules during fiscal year 2007, including
rules effective July 1, 2007, in accordance with this
subsection to the extent necessary to administer the
Department's responsibilities with respect to amendments to
the State plans and Illinois waivers approved by the federal
Centers for Medicare and Medicaid Services necessitated by the
requirements of Title XIX and Title XXI of the federal Social
Security Act. The adoption of emergency rules authorized by
this subsection (l) shall be deemed to be necessary for the
public interest, safety, and welfare.
    (m) In order to provide for the expeditious and timely
implementation of the provisions of the State's fiscal year
2008 budget, the Department of Healthcare and Family Services
may adopt emergency rules during fiscal year 2008, including
rules effective July 1, 2008, in accordance with this
subsection to the extent necessary to administer the
Department's responsibilities with respect to amendments to
the State plans and Illinois waivers approved by the federal
Centers for Medicare and Medicaid Services necessitated by the
requirements of Title XIX and Title XXI of the federal Social
Security Act. The adoption of emergency rules authorized by
this subsection (m) shall be deemed to be necessary for the
public interest, safety, and welfare.
    (n) In order to provide for the expeditious and timely
implementation of the provisions of the State's fiscal year
2010 budget, emergency rules to implement any provision of
Public Act 96-45 or any other budget initiative authorized by
the 96th General Assembly for fiscal year 2010 may be adopted
in accordance with this Section by the agency charged with
administering that provision or initiative. The adoption of
emergency rules authorized by this subsection (n) shall be
deemed to be necessary for the public interest, safety, and
welfare. The rulemaking authority granted in this subsection
(n) shall apply only to rules promulgated during Fiscal Year
2010.
    (o) In order to provide for the expeditious and timely
implementation of the provisions of the State's fiscal year
2011 budget, emergency rules to implement any provision of
Public Act 96-958 or any other budget initiative authorized by
the 96th General Assembly for fiscal year 2011 may be adopted
in accordance with this Section by the agency charged with
administering that provision or initiative. The adoption of
emergency rules authorized by this subsection (o) is deemed to
be necessary for the public interest, safety, and welfare. The
rulemaking authority granted in this subsection (o) applies
only to rules promulgated on or after July 1, 2010 (the
effective date of Public Act 96-958) through June 30, 2011.
    (p) In order to provide for the expeditious and timely
implementation of the provisions of Public Act 97-689,
emergency rules to implement any provision of Public Act 97-689
may be adopted in accordance with this subsection (p) by the
agency charged with administering that provision or
initiative. The 150-day limitation of the effective period of
emergency rules does not apply to rules adopted under this
subsection (p), and the effective period may continue through
June 30, 2013. The 24-month limitation on the adoption of
emergency rules does not apply to rules adopted under this
subsection (p). The adoption of emergency rules authorized by
this subsection (p) is deemed to be necessary for the public
interest, safety, and welfare.
    (q) In order to provide for the expeditious and timely
implementation of the provisions of Articles 7, 8, 9, 11, and
12 of Public Act 98-104, emergency rules to implement any
provision of Articles 7, 8, 9, 11, and 12 of Public Act 98-104
may be adopted in accordance with this subsection (q) by the
agency charged with administering that provision or
initiative. The 24-month limitation on the adoption of
emergency rules does not apply to rules adopted under this
subsection (q). The adoption of emergency rules authorized by
this subsection (q) is deemed to be necessary for the public
interest, safety, and welfare.
    (r) In order to provide for the expeditious and timely
implementation of the provisions of Public Act 98-651,
emergency rules to implement Public Act 98-651 may be adopted
in accordance with this subsection (r) by the Department of
Healthcare and Family Services. The 24-month limitation on the
adoption of emergency rules does not apply to rules adopted
under this subsection (r). The adoption of emergency rules
authorized by this subsection (r) is deemed to be necessary for
the public interest, safety, and welfare.
    (s) In order to provide for the expeditious and timely
implementation of the provisions of Sections 5-5b.1 and 5A-2 of
the Illinois Public Aid Code, emergency rules to implement any
provision of Section 5-5b.1 or Section 5A-2 of the Illinois
Public Aid Code may be adopted in accordance with this
subsection (s) by the Department of Healthcare and Family
Services. The rulemaking authority granted in this subsection
(s) shall apply only to those rules adopted prior to July 1,
2015. Notwithstanding any other provision of this Section, any
emergency rule adopted under this subsection (s) shall only
apply to payments made for State fiscal year 2015. The adoption
of emergency rules authorized by this subsection (s) is deemed
to be necessary for the public interest, safety, and welfare.
    (t) In order to provide for the expeditious and timely
implementation of the provisions of Article II of Public Act
99-6, emergency rules to implement the changes made by Article
II of Public Act 99-6 to the Emergency Telephone System Act may
be adopted in accordance with this subsection (t) by the
Department of State Police. The rulemaking authority granted in
this subsection (t) shall apply only to those rules adopted
prior to July 1, 2016. The 24-month limitation on the adoption
of emergency rules does not apply to rules adopted under this
subsection (t). The adoption of emergency rules authorized by
this subsection (t) is deemed to be necessary for the public
interest, safety, and welfare.
    (u) In order to provide for the expeditious and timely
implementation of the provisions of the Burn Victims Relief
Act, emergency rules to implement any provision of the Act may
be adopted in accordance with this subsection (u) by the
Department of Insurance. The rulemaking authority granted in
this subsection (u) shall apply only to those rules adopted
prior to December 31, 2015. The adoption of emergency rules
authorized by this subsection (u) is deemed to be necessary for
the public interest, safety, and welfare.
    (v) In order to provide for the expeditious and timely
implementation of the provisions of Public Act 99-516,
emergency rules to implement Public Act 99-516 may be adopted
in accordance with this subsection (v) by the Department of
Healthcare and Family Services. The 24-month limitation on the
adoption of emergency rules does not apply to rules adopted
under this subsection (v). The adoption of emergency rules
authorized by this subsection (v) is deemed to be necessary for
the public interest, safety, and welfare.
    (w) In order to provide for the expeditious and timely
implementation of the provisions of Public Act 99-796,
emergency rules to implement the changes made by Public Act
99-796 may be adopted in accordance with this subsection (w) by
the Adjutant General. The adoption of emergency rules
authorized by this subsection (w) is deemed to be necessary for
the public interest, safety, and welfare.
    (x) In order to provide for the expeditious and timely
implementation of the provisions of Public Act 99-906,
emergency rules to implement subsection (i) of Section 16-115D,
subsection (g) of Section 16-128A, and subsection (a) of
Section 16-128B of the Public Utilities Act may be adopted in
accordance with this subsection (x) by the Illinois Commerce
Commission. The rulemaking authority granted in this
subsection (x) shall apply only to those rules adopted within
180 days after June 1, 2017 (the effective date of Public Act
99-906). The adoption of emergency rules authorized by this
subsection (x) is deemed to be necessary for the public
interest, safety, and welfare.
    (y) In order to provide for the expeditious and timely
implementation of the provisions of this amendatory Act of the
100th General Assembly, emergency rules to implement the
changes made by this amendatory Act of the 100th General
Assembly to Section 4.02 of the Illinois Act on Aging, Sections
5.5.4 and 5-5.4i of the Illinois Public Aid Code, Section 55-30
of the Alcoholism and Other Drug Abuse and Dependency Act, and
Sections 74 and 75 of the Mental Health and Developmental
Disabilities Administrative Act may be adopted in accordance
with this subsection (y) by the respective Department. The
adoption of emergency rules authorized by this subsection (y)
is deemed to be necessary for the public interest, safety, and
welfare.
    (z) In order to provide for the expeditious and timely
implementation of the provisions of this amendatory Act of the
100th General Assembly, emergency rules to implement the
changes made by this amendatory Act of the 100th General
Assembly to Section 4.7 of the Lobbyist Registration Act may be
adopted in accordance with this subsection (z) by the Secretary
of State. The adoption of emergency rules authorized by this
subsection (z) is deemed to be necessary for the public
interest, safety, and welfare.
    (aa) In order to provide for the expeditious and timely
initial implementation of the changes made to Articles 5, 5A,
12, and 14 of the Illinois Public Aid Code under the provisions
of this amendatory Act of the 100th General Assembly, the
Department of Healthcare and Family Services may adopt
emergency rules in accordance with this subsection (aa). The
24-month limitation on the adoption of emergency rules does not
apply to rules to initially implement the changes made to
Articles 5, 5A, 12, and 14 of the Illinois Public Aid Code
adopted under this subsection (aa). The adoption of emergency
rules authorized by this subsection (aa) is deemed to be
necessary for the public interest, safety, and welfare.
    (bb) In order to provide for the expeditious and timely
implementation of the provisions of this amendatory Act of the
100th General Assembly, emergency rules to implement the
changes made by this amendatory Act of the 100th General
Assembly to Section 4.02 of the Illinois Act on Aging, Sections
5.5.4 and 5-5.4i of the Illinois Public Aid Code, subsection
(b) of Section 55-30 of the Alcoholism and Other Drug Abuse and
Dependency Act, Section 5-104 of the Specialized Mental Health
Rehabilitation Act of 2013, and Section 75 and subsection (b)
of Section 74 of the Mental Health and Developmental
Disabilities Administrative Act may be adopted in accordance
with this subsection (bb) by the respective Department. The
adoption of emergency rules authorized by this subsection (bb)
is deemed to be necessary for the public interest, safety, and
welfare.
(Source: P.A. 99-2, eff. 3-26-15; 99-6, eff. 1-1-16; 99-143,
eff. 7-27-15; 99-455, eff. 1-1-16; 99-516, eff. 6-30-16;
99-642, eff. 7-28-16; 99-796, eff. 1-1-17; 99-906, eff. 6-1-17;
100-23, eff. 7-6-17; 100-554, eff. 11-16-17; 100-581, eff.
3-12-18.)
 
    Section 95-10. The Mental Health and Developmental
Disabilities Administrative Act is amended by changing Section
74 as follows:
 
    (20 ILCS 1705/74)
    Sec. 74. Rates and reimbursements.
    (a) Within 30 days after July 6, 2017 (the effective date
of Public Act 100-23) this amendatory Act of the 100th General
Assembly, the Department shall increase rates and
reimbursements to fund a minimum of a $0.75 per hour wage
increase for front-line personnel, including, but not limited
to, direct support persons, aides, front-line supervisors,
qualified intellectual disabilities professionals, nurses, and
non-administrative support staff working in community-based
provider organizations serving individuals with developmental
disabilities. The Department shall adopt rules, including
emergency rules under subsection (y) of Section 5-45 of the
Illinois Administrative Procedure Act, to implement the
provisions of this Section.
    (b) Rates and reimbursements. Within 30 days after the
effective date of this amendatory Act of the 100th General
Assembly, the Department shall increase rates and
reimbursements to fund a minimum of a $0.50 per hour wage
increase for front-line personnel, including, but not limited
to, direct support persons, aides, front-line supervisors,
qualified intellectual disabilities professionals, nurses, and
non-administrative support staff working in community-based
provider organizations serving individuals with developmental
disabilities. The Department shall adopt rules, including
emergency rules under subsection (bb) of Section 5-45 of the
Illinois Administrative Procedure Act, to implement the
provisions of this Section.
(Source: P.A. 100-23, eff. 7-6-17.)
 
    Section 95-15. The School Code is amended by changing
Section 14-7.02 and by adding Section 3-16 as follows:
 
    (105 ILCS 5/3-16 new)
    Sec. 3-16. Grants to alternative schools, safe schools, and
alternative learning opportunities programs. The State Board
of Education, subject to appropriation, shall award grants to
alternative schools, safe schools, and alternative learning
opportunities programs operated by a regional office of
education. To calculate grant amounts to the programs operated
by regional offices of education, the State Board shall
calculate an amount equal to the greater of the regional
program's best 3 months of average daily attendance for the
2016-2017 school year or the average of the best 3 months of
average daily attendance for the 2014-2015 school year through
the 2016-2017 school year, multiplied by the amount of $6,119.
This amount shall be termed the "Regional Program Increased
Enrollment Recognition". If the amount of the Regional Program
Increased Enrollment Recognition is greater than the amount of
the regional office of education program's Base Funding Minimum
for fiscal year 2018, calculated under Section 18-8.15, then
the State Board of Education shall pay the regional program a
grant equal to the difference between the regional program's
Regional Program Increased Enrollment Recognition and the Base
Funding Minimum for fiscal year 2018. Nothing in this Section
shall be construed to alter any payments or calculations under
Section 18-8.15.
 
    (105 ILCS 5/14-7.02)  (from Ch. 122, par. 14-7.02)
    Sec. 14-7.02. Children attending private schools, public
out-of-state schools, public school residential facilities or
private special education facilities. The General Assembly
recognizes that non-public schools or special education
facilities provide an important service in the educational
system in Illinois.
    If because of his or her disability the special education
program of a district is unable to meet the needs of a child
and the child attends a non-public school or special education
facility, a public out-of-state school or a special education
facility owned and operated by a county government unit that
provides special educational services required by the child and
is in compliance with the appropriate rules and regulations of
the State Superintendent of Education, the school district in
which the child is a resident shall pay the actual cost of
tuition for special education and related services provided
during the regular school term and during the summer school
term if the child's educational needs so require, excluding
room, board and transportation costs charged the child by that
non-public school or special education facility, public
out-of-state school or county special education facility, or
$4,500 per year, whichever is less, and shall provide him any
necessary transportation. "Nonpublic special education
facility" shall include a residential facility, within or
without the State of Illinois, which provides special education
and related services to meet the needs of the child by
utilizing private schools or public schools, whether located on
the site or off the site of the residential facility.
    The State Board of Education shall promulgate rules and
regulations for determining when placement in a private special
education facility is appropriate. Such rules and regulations
shall take into account the various types of services needed by
a child and the availability of such services to the particular
child in the public school. In developing these rules and
regulations the State Board of Education shall consult with the
Advisory Council on Education of Children with Disabilities and
hold public hearings to secure recommendations from parents,
school personnel, and others concerned about this matter.
    The State Board of Education shall also promulgate rules
and regulations for transportation to and from a residential
school. Transportation to and from home to a residential school
more than once each school term shall be subject to prior
approval by the State Superintendent in accordance with the
rules and regulations of the State Board.
    A school district making tuition payments pursuant to this
Section is eligible for reimbursement from the State for the
amount of such payments actually made in excess of the district
per capita tuition charge for students not receiving special
education services. Such reimbursement shall be approved in
accordance with Section 14-12.01 and each district shall file
its claims, computed in accordance with rules prescribed by the
State Board of Education, on forms prescribed by the State
Superintendent of Education. Data used as a basis of
reimbursement claims shall be for the preceding regular school
term and summer school term. Each school district shall
transmit its claims to the State Board of Education on or
before August 15. The State Board of Education, before
approving any such claims, shall determine their accuracy and
whether they are based upon services and facilities provided
under approved programs. Upon approval the State Board shall
cause vouchers to be prepared showing the amount due for
payment of reimbursement claims to school districts, for
transmittal to the State Comptroller on the 30th day of
September, December, and March, respectively, and the final
voucher, no later than June 20. If the money appropriated by
the General Assembly for such purpose for any year is
insufficient, it shall be apportioned on the basis of the
claims approved.
    No child shall be placed in a special education program
pursuant to this Section if the tuition cost for special
education and related services increases more than 10 percent
over the tuition cost for the previous school year or exceeds
$4,500 per year unless such costs have been approved by the
Illinois Purchased Care Review Board. The Illinois Purchased
Care Review Board shall consist of the following persons, or
their designees: the Directors of Children and Family Services,
Public Health, Public Aid, and the Governor's Office of
Management and Budget; the Secretary of Human Services; the
State Superintendent of Education; and such other persons as
the Governor may designate. The Review Board shall also consist
of one non-voting member who is an administrator of a private,
nonpublic, special education school. The Review Board shall
establish rules and regulations for its determination of
allowable costs and payments made by local school districts for
special education, room and board, and other related services
provided by non-public schools or special education facilities
and shall establish uniform standards and criteria which it
shall follow. The Review Board shall approve the usual and
customary rate or rates of a special education program that (i)
is offered by an out-of-state, non-public provider of
integrated autism specific educational and autism specific
residential services, (ii) offers 2 or more levels of
residential care, including at least one locked facility, and
(iii) serves 12 or fewer Illinois students.
    In determining rates based on allowable costs, the review
Board shall consider any wage increases awarded by the General
Assembly to front line personnel defined as direct support
persons, aides, front-line supervisors, qualified intellectual
disabilities professionals, nurses, and non-administrative
support staff working in service settings in community-based
settings within the State and adjust customary rates or rates
of a special education program to be equitable to the wage
increase awarded to similar staff positions in a community
residential setting. Any wage increase awarded by the General
Assembly to front line personnel defined as direct support
persons, aides, front-line supervisors, qualified intellectual
disabilities professionals, nurses, and non-administrative
support staff working in community-based settings within the
State shall also be a basis for any facility covered by this
Section to appeal its rate before the Review Board under the
process defined in Title 89, Part 900, Section 340 of the
Illinois Administrative Code. Illinois Administrative Code
Title 89, Part 900, Section 342 shall be updated to recognize
wage increases awarded to community-based settings to be a
basis for appeal.
    The Review Board shall establish uniform definitions and
criteria for accounting separately by special education, room
and board and other related services costs. The Board shall
also establish guidelines for the coordination of services and
financial assistance provided by all State agencies to assure
that no otherwise qualified child with a disability receiving
services under Article 14 shall be excluded from participation
in, be denied the benefits of or be subjected to discrimination
under any program or activity provided by any State agency.
    The Review Board shall review the costs for special
education and related services provided by non-public schools
or special education facilities and shall approve or disapprove
such facilities in accordance with the rules and regulations
established by it with respect to allowable costs.
    The State Board of Education shall provide administrative
and staff support for the Review Board as deemed reasonable by
the State Superintendent of Education. This support shall not
include travel expenses or other compensation for any Review
Board member other than the State Superintendent of Education.
    The Review Board shall seek the advice of the Advisory
Council on Education of Children with Disabilities on the rules
and regulations to be promulgated by it relative to providing
special education services.
    If a child has been placed in a program in which the actual
per pupil costs of tuition for special education and related
services based on program enrollment, excluding room, board and
transportation costs, exceed $4,500 and such costs have been
approved by the Review Board, the district shall pay such total
costs which exceed $4,500. A district making such tuition
payments in excess of $4,500 pursuant to this Section shall be
responsible for an amount in excess of $4,500 equal to the
district per capita tuition charge and shall be eligible for
reimbursement from the State for the amount of such payments
actually made in excess of the districts per capita tuition
charge for students not receiving special education services.
    If a child has been placed in an approved individual
program and the tuition costs including room and board costs
have been approved by the Review Board, then such room and
board costs shall be paid by the appropriate State agency
subject to the provisions of Section 14-8.01 of this Act. Room
and board costs not provided by a State agency other than the
State Board of Education shall be provided by the State Board
of Education on a current basis. In no event, however, shall
the State's liability for funding of these tuition costs begin
until after the legal obligations of third party payors have
been subtracted from such costs. If the money appropriated by
the General Assembly for such purpose for any year is
insufficient, it shall be apportioned on the basis of the
claims approved. Each district shall submit estimated claims to
the State Superintendent of Education. Upon approval of such
claims, the State Superintendent of Education shall direct the
State Comptroller to make payments on a monthly basis. The
frequency for submitting estimated claims and the method of
determining payment shall be prescribed in rules and
regulations adopted by the State Board of Education. Such
current state reimbursement shall be reduced by an amount equal
to the proceeds which the child or child's parents are eligible
to receive under any public or private insurance or assistance
program. Nothing in this Section shall be construed as
relieving an insurer or similar third party from an otherwise
valid obligation to provide or to pay for services provided to
a child with a disability.
    If it otherwise qualifies, a school district is eligible
for the transportation reimbursement under Section 14-13.01
and for the reimbursement of tuition payments under this
Section whether the non-public school or special education
facility, public out-of-state school or county special
education facility, attended by a child who resides in that
district and requires special educational services, is within
or outside of the State of Illinois. However, a district is not
eligible to claim transportation reimbursement under this
Section unless the district certifies to the State
Superintendent of Education that the district is unable to
provide special educational services required by the child for
the current school year.
    Nothing in this Section authorizes the reimbursement of a
school district for the amount paid for tuition of a child
attending a non-public school or special education facility,
public out-of-state school or county special education
facility unless the school district certifies to the State
Superintendent of Education that the special education program
of that district is unable to meet the needs of that child
because of his disability and the State Superintendent of
Education finds that the school district is in substantial
compliance with Section 14-4.01. However, if a child is
unilaterally placed by a State agency or any court in a
non-public school or special education facility, public
out-of-state school, or county special education facility, a
school district shall not be required to certify to the State
Superintendent of Education, for the purpose of tuition
reimbursement, that the special education program of that
district is unable to meet the needs of a child because of his
or her disability.
    Any educational or related services provided, pursuant to
this Section in a non-public school or special education
facility or a special education facility owned and operated by
a county government unit shall be at no cost to the parent or
guardian of the child. However, current law and practices
relative to contributions by parents or guardians for costs
other than educational or related services are not affected by
this amendatory Act of 1978.
    Reimbursement for children attending public school
residential facilities shall be made in accordance with the
provisions of this Section.
    Notwithstanding any other provision of law, any school
district receiving a payment under this Section or under
Section 14-7.02b, 14-13.01, or 29-5 of this Code may classify
all or a portion of the funds that it receives in a particular
fiscal year or from general State aid pursuant to Section
18-8.05 of this Code as funds received in connection with any
funding program for which it is entitled to receive funds from
the State in that fiscal year (including, without limitation,
any funding program referenced in this Section), regardless of
the source or timing of the receipt. The district may not
classify more funds as funds received in connection with the
funding program than the district is entitled to receive in
that fiscal year for that program. Any classification by a
district must be made by a resolution of its board of
education. The resolution must identify the amount of any
payments or general State aid to be classified under this
paragraph and must specify the funding program to which the
funds are to be treated as received in connection therewith.
This resolution is controlling as to the classification of
funds referenced therein. A certified copy of the resolution
must be sent to the State Superintendent of Education. The
resolution shall still take effect even though a copy of the
resolution has not been sent to the State Superintendent of
Education in a timely manner. No classification under this
paragraph by a district shall affect the total amount or timing
of money the district is entitled to receive under this Code.
No classification under this paragraph by a district shall in
any way relieve the district from or affect any requirements
that otherwise would apply with respect to that funding
program, including any accounting of funds by source, reporting
expenditures by original source and purpose, reporting
requirements, or requirements of providing services.
(Source: P.A. 98-636, eff. 6-6-14; 98-1008, eff. 1-1-15; 99-78,
eff. 7-20-15; 99-143, eff. 7-27-15.)
 
    Section 95-20. The Illinois Public Aid Code is amended by
changing Sections 5-5.4 and 5-5.4i and by adding Section 5-5.4j
as follows:
 
    (305 ILCS 5/5-5.4)  (from Ch. 23, par. 5-5.4)
    Sec. 5-5.4. Standards of Payment - Department of Healthcare
and Family Services. The Department of Healthcare and Family
Services shall develop standards of payment of nursing facility
and ICF/DD services in facilities providing such services under
this Article which:
    (1) Provide for the determination of a facility's payment
for nursing facility or ICF/DD services on a prospective basis.
The amount of the payment rate for all nursing facilities
certified by the Department of Public Health under the ID/DD
Community Care Act or the Nursing Home Care Act as Intermediate
Care for the Developmentally Disabled facilities, Long Term
Care for Under Age 22 facilities, Skilled Nursing facilities,
or Intermediate Care facilities under the medical assistance
program shall be prospectively established annually on the
basis of historical, financial, and statistical data
reflecting actual costs from prior years, which shall be
applied to the current rate year and updated for inflation,
except that the capital cost element for newly constructed
facilities shall be based upon projected budgets. The annually
established payment rate shall take effect on July 1 in 1984
and subsequent years. No rate increase and no update for
inflation shall be provided on or after July 1, 1994, unless
specifically provided for in this Section. The changes made by
Public Act 93-841 extending the duration of the prohibition
against a rate increase or update for inflation are effective
retroactive to July 1, 2004.
    For facilities licensed by the Department of Public Health
under the Nursing Home Care Act as Intermediate Care for the
Developmentally Disabled facilities or Long Term Care for Under
Age 22 facilities, the rates taking effect on July 1, 1998
shall include an increase of 3%. For facilities licensed by the
Department of Public Health under the Nursing Home Care Act as
Skilled Nursing facilities or Intermediate Care facilities,
the rates taking effect on July 1, 1998 shall include an
increase of 3% plus $1.10 per resident-day, as defined by the
Department. For facilities licensed by the Department of Public
Health under the Nursing Home Care Act as Intermediate Care
Facilities for the Developmentally Disabled or Long Term Care
for Under Age 22 facilities, the rates taking effect on January
1, 2006 shall include an increase of 3%. For facilities
licensed by the Department of Public Health under the Nursing
Home Care Act as Intermediate Care Facilities for the
Developmentally Disabled or Long Term Care for Under Age 22
facilities, the rates taking effect on January 1, 2009 shall
include an increase sufficient to provide a $0.50 per hour wage
increase for non-executive staff. For facilities licensed by
the Department of Public Health under the ID/DD Community Care
Act as ID/DD Facilities the rates taking effect within 30 days
after July 6, 2017 (the effective date of Public Act 100-23)
this amendatory Act of the 100th General Assembly shall include
an increase sufficient to provide a $0.75 per hour wage
increase for non-executive staff. The Department shall adopt
rules, including emergency rules under subsection (y) of
Section 5-45 of the Illinois Administrative Procedure Act, to
implement the provisions of this paragraph. For facilities
licensed by the Department of Public Health under the ID/DD
Community Care Act as ID/DD Facilities and under the MC/DD Act
as MC/DD Facilities, the rates taking effect within 30 days
after the effective date of this amendatory Act of the 100th
General Assembly shall include an increase sufficient to
provide a $0.50 per hour wage increase for non-executive
front-line personnel, including, but not limited to, direct
support persons, aides, front-line supervisors, qualified
intellectual disabilities professionals, nurses, and
non-administrative support staff. The Department shall adopt
rules, including emergency rules under subsection (bb) of
Section 5-45 of the Illinois Administrative Procedure Act, to
implement the provisions of this paragraph.
    For facilities licensed by the Department of Public Health
under the Nursing Home Care Act as Intermediate Care for the
Developmentally Disabled facilities or Long Term Care for Under
Age 22 facilities, the rates taking effect on July 1, 1999
shall include an increase of 1.6% plus $3.00 per resident-day,
as defined by the Department. For facilities licensed by the
Department of Public Health under the Nursing Home Care Act as
Skilled Nursing facilities or Intermediate Care facilities,
the rates taking effect on July 1, 1999 shall include an
increase of 1.6% and, for services provided on or after October
1, 1999, shall be increased by $4.00 per resident-day, as
defined by the Department.
    For facilities licensed by the Department of Public Health
under the Nursing Home Care Act as Intermediate Care for the
Developmentally Disabled facilities or Long Term Care for Under
Age 22 facilities, the rates taking effect on July 1, 2000
shall include an increase of 2.5% per resident-day, as defined
by the Department. For facilities licensed by the Department of
Public Health under the Nursing Home Care Act as Skilled
Nursing facilities or Intermediate Care facilities, the rates
taking effect on July 1, 2000 shall include an increase of 2.5%
per resident-day, as defined by the Department.
    For facilities licensed by the Department of Public Health
under the Nursing Home Care Act as skilled nursing facilities
or intermediate care facilities, a new payment methodology must
be implemented for the nursing component of the rate effective
July 1, 2003. The Department of Public Aid (now Healthcare and
Family Services) shall develop the new payment methodology
using the Minimum Data Set (MDS) as the instrument to collect
information concerning nursing home resident condition
necessary to compute the rate. The Department shall develop the
new payment methodology to meet the unique needs of Illinois
nursing home residents while remaining subject to the
appropriations provided by the General Assembly. A transition
period from the payment methodology in effect on June 30, 2003
to the payment methodology in effect on July 1, 2003 shall be
provided for a period not exceeding 3 years and 184 days after
implementation of the new payment methodology as follows:
        (A) For a facility that would receive a lower nursing
    component rate per patient day under the new system than
    the facility received effective on the date immediately
    preceding the date that the Department implements the new
    payment methodology, the nursing component rate per
    patient day for the facility shall be held at the level in
    effect on the date immediately preceding the date that the
    Department implements the new payment methodology until a
    higher nursing component rate of reimbursement is achieved
    by that facility.
        (B) For a facility that would receive a higher nursing
    component rate per patient day under the payment
    methodology in effect on July 1, 2003 than the facility
    received effective on the date immediately preceding the
    date that the Department implements the new payment
    methodology, the nursing component rate per patient day for
    the facility shall be adjusted.
        (C) Notwithstanding paragraphs (A) and (B), the
    nursing component rate per patient day for the facility
    shall be adjusted subject to appropriations provided by the
    General Assembly.
    For facilities licensed by the Department of Public Health
under the Nursing Home Care Act as Intermediate Care for the
Developmentally Disabled facilities or Long Term Care for Under
Age 22 facilities, the rates taking effect on March 1, 2001
shall include a statewide increase of 7.85%, as defined by the
Department.
    Notwithstanding any other provision of this Section, for
facilities licensed by the Department of Public Health under
the Nursing Home Care Act as skilled nursing facilities or
intermediate care facilities, except facilities participating
in the Department's demonstration program pursuant to the
provisions of Title 77, Part 300, Subpart T of the Illinois
Administrative Code, the numerator of the ratio used by the
Department of Healthcare and Family Services to compute the
rate payable under this Section using the Minimum Data Set
(MDS) methodology shall incorporate the following annual
amounts as the additional funds appropriated to the Department
specifically to pay for rates based on the MDS nursing
component methodology in excess of the funding in effect on
December 31, 2006:
        (i) For rates taking effect January 1, 2007,
    $60,000,000.
        (ii) For rates taking effect January 1, 2008,
    $110,000,000.
        (iii) For rates taking effect January 1, 2009,
    $194,000,000.
        (iv) For rates taking effect April 1, 2011, or the
    first day of the month that begins at least 45 days after
    the effective date of this amendatory Act of the 96th
    General Assembly, $416,500,000 or an amount as may be
    necessary to complete the transition to the MDS methodology
    for the nursing component of the rate. Increased payments
    under this item (iv) are not due and payable, however,
    until (i) the methodologies described in this paragraph are
    approved by the federal government in an appropriate State
    Plan amendment and (ii) the assessment imposed by Section
    5B-2 of this Code is determined to be a permissible tax
    under Title XIX of the Social Security Act.
    Notwithstanding any other provision of this Section, for
facilities licensed by the Department of Public Health under
the Nursing Home Care Act as skilled nursing facilities or
intermediate care facilities, the support component of the
rates taking effect on January 1, 2008 shall be computed using
the most recent cost reports on file with the Department of
Healthcare and Family Services no later than April 1, 2005,
updated for inflation to January 1, 2006.
    For facilities licensed by the Department of Public Health
under the Nursing Home Care Act as Intermediate Care for the
Developmentally Disabled facilities or Long Term Care for Under
Age 22 facilities, the rates taking effect on April 1, 2002
shall include a statewide increase of 2.0%, as defined by the
Department. This increase terminates on July 1, 2002; beginning
July 1, 2002 these rates are reduced to the level of the rates
in effect on March 31, 2002, as defined by the Department.
    For facilities licensed by the Department of Public Health
under the Nursing Home Care Act as skilled nursing facilities
or intermediate care facilities, the rates taking effect on
July 1, 2001 shall be computed using the most recent cost
reports on file with the Department of Public Aid no later than
April 1, 2000, updated for inflation to January 1, 2001. For
rates effective July 1, 2001 only, rates shall be the greater
of the rate computed for July 1, 2001 or the rate effective on
June 30, 2001.
    Notwithstanding any other provision of this Section, for
facilities licensed by the Department of Public Health under
the Nursing Home Care Act as skilled nursing facilities or
intermediate care facilities, the Illinois Department shall
determine by rule the rates taking effect on July 1, 2002,
which shall be 5.9% less than the rates in effect on June 30,
2002.
    Notwithstanding any other provision of this Section, for
facilities licensed by the Department of Public Health under
the Nursing Home Care Act as skilled nursing facilities or
intermediate care facilities, if the payment methodologies
required under Section 5A-12 and the waiver granted under 42
CFR 433.68 are approved by the United States Centers for
Medicare and Medicaid Services, the rates taking effect on July
1, 2004 shall be 3.0% greater than the rates in effect on June
30, 2004. These rates shall take effect only upon approval and
implementation of the payment methodologies required under
Section 5A-12.
    Notwithstanding any other provisions of this Section, for
facilities licensed by the Department of Public Health under
the Nursing Home Care Act as skilled nursing facilities or
intermediate care facilities, the rates taking effect on
January 1, 2005 shall be 3% more than the rates in effect on
December 31, 2004.
    Notwithstanding any other provision of this Section, for
facilities licensed by the Department of Public Health under
the Nursing Home Care Act as skilled nursing facilities or
intermediate care facilities, effective January 1, 2009, the
per diem support component of the rates effective on January 1,
2008, computed using the most recent cost reports on file with
the Department of Healthcare and Family Services no later than
April 1, 2005, updated for inflation to January 1, 2006, shall
be increased to the amount that would have been derived using
standard Department of Healthcare and Family Services methods,
procedures, and inflators.
    Notwithstanding any other provisions of this Section, for
facilities licensed by the Department of Public Health under
the Nursing Home Care Act as intermediate care facilities that
are federally defined as Institutions for Mental Disease, or
facilities licensed by the Department of Public Health under
the Specialized Mental Health Rehabilitation Act of 2013, a
socio-development component rate equal to 6.6% of the
facility's nursing component rate as of January 1, 2006 shall
be established and paid effective July 1, 2006. The
socio-development component of the rate shall be increased by a
factor of 2.53 on the first day of the month that begins at
least 45 days after January 11, 2008 (the effective date of
Public Act 95-707). As of August 1, 2008, the socio-development
component rate shall be equal to 6.6% of the facility's nursing
component rate as of January 1, 2006, multiplied by a factor of
3.53. For services provided on or after April 1, 2011, or the
first day of the month that begins at least 45 days after the
effective date of this amendatory Act of the 96th General
Assembly, whichever is later, the Illinois Department may by
rule adjust these socio-development component rates, and may
use different adjustment methodologies for those facilities
participating, and those not participating, in the Illinois
Department's demonstration program pursuant to the provisions
of Title 77, Part 300, Subpart T of the Illinois Administrative
Code, but in no case may such rates be diminished below those
in effect on August 1, 2008.
    For facilities licensed by the Department of Public Health
under the Nursing Home Care Act as Intermediate Care for the
Developmentally Disabled facilities or as long-term care
facilities for residents under 22 years of age, the rates
taking effect on July 1, 2003 shall include a statewide
increase of 4%, as defined by the Department.
    For facilities licensed by the Department of Public Health
under the Nursing Home Care Act as Intermediate Care for the
Developmentally Disabled facilities or Long Term Care for Under
Age 22 facilities, the rates taking effect on the first day of
the month that begins at least 45 days after the effective date
of this amendatory Act of the 95th General Assembly shall
include a statewide increase of 2.5%, as defined by the
Department.
    Notwithstanding any other provision of this Section, for
facilities licensed by the Department of Public Health under
the Nursing Home Care Act as skilled nursing facilities or
intermediate care facilities, effective January 1, 2005,
facility rates shall be increased by the difference between (i)
a facility's per diem property, liability, and malpractice
insurance costs as reported in the cost report filed with the
Department of Public Aid and used to establish rates effective
July 1, 2001 and (ii) those same costs as reported in the
facility's 2002 cost report. These costs shall be passed
through to the facility without caps or limitations, except for
adjustments required under normal auditing procedures.
    Rates established effective each July 1 shall govern
payment for services rendered throughout that fiscal year,
except that rates established on July 1, 1996 shall be
increased by 6.8% for services provided on or after January 1,
1997. Such rates will be based upon the rates calculated for
the year beginning July 1, 1990, and for subsequent years
thereafter until June 30, 2001 shall be based on the facility
cost reports for the facility fiscal year ending at any point
in time during the previous calendar year, updated to the
midpoint of the rate year. The cost report shall be on file
with the Department no later than April 1 of the current rate
year. Should the cost report not be on file by April 1, the
Department shall base the rate on the latest cost report filed
by each skilled care facility and intermediate care facility,
updated to the midpoint of the current rate year. In
determining rates for services rendered on and after July 1,
1985, fixed time shall not be computed at less than zero. The
Department shall not make any alterations of regulations which
would reduce any component of the Medicaid rate to a level
below what that component would have been utilizing in the rate
effective on July 1, 1984.
    (2) Shall take into account the actual costs incurred by
facilities in providing services for recipients of skilled
nursing and intermediate care services under the medical
assistance program.
    (3) Shall take into account the medical and psycho-social
characteristics and needs of the patients.
    (4) Shall take into account the actual costs incurred by
facilities in meeting licensing and certification standards
imposed and prescribed by the State of Illinois, any of its
political subdivisions or municipalities and by the U.S.
Department of Health and Human Services pursuant to Title XIX
of the Social Security Act.
    The Department of Healthcare and Family Services shall
develop precise standards for payments to reimburse nursing
facilities for any utilization of appropriate rehabilitative
personnel for the provision of rehabilitative services which is
authorized by federal regulations, including reimbursement for
services provided by qualified therapists or qualified
assistants, and which is in accordance with accepted
professional practices. Reimbursement also may be made for
utilization of other supportive personnel under appropriate
supervision.
    The Department shall develop enhanced payments to offset
the additional costs incurred by a facility serving exceptional
need residents and shall allocate at least $4,000,000 of the
funds collected from the assessment established by Section 5B-2
of this Code for such payments. For the purpose of this
Section, "exceptional needs" means, but need not be limited to,
ventilator care and traumatic brain injury care. The enhanced
payments for exceptional need residents under this paragraph
are not due and payable, however, until (i) the methodologies
described in this paragraph are approved by the federal
government in an appropriate State Plan amendment and (ii) the
assessment imposed by Section 5B-2 of this Code is determined
to be a permissible tax under Title XIX of the Social Security
Act.
    Beginning January 1, 2014 the methodologies for
reimbursement of nursing facility services as provided under
this Section 5-5.4 shall no longer be applicable for services
provided on or after January 1, 2014.
    No payment increase under this Section for the MDS
methodology, exceptional care residents, or the
socio-development component rate established by Public Act
96-1530 of the 96th General Assembly and funded by the
assessment imposed under Section 5B-2 of this Code shall be due
and payable until after the Department notifies the long-term
care providers, in writing, that the payment methodologies to
long-term care providers required under this Section have been
approved by the Centers for Medicare and Medicaid Services of
the U.S. Department of Health and Human Services and the
waivers under 42 CFR 433.68 for the assessment imposed by this
Section, if necessary, have been granted by the Centers for
Medicare and Medicaid Services of the U.S. Department of Health
and Human Services. Upon notification to the Department of
approval of the payment methodologies required under this
Section and the waivers granted under 42 CFR 433.68, all
increased payments otherwise due under this Section prior to
the date of notification shall be due and payable within 90
days of the date federal approval is received.
    On and after July 1, 2012, the Department shall reduce any
rate of reimbursement for services or other payments or alter
any methodologies authorized by this Code to reduce any rate of
reimbursement for services or other payments in accordance with
Section 5-5e.
(Source: P.A. 100-23, eff. 7-6-17.)
 
    (305 ILCS 5/5-5.4i)
    Sec. 5-5.4i. Rates and reimbursements.
    (a) Within 30 days after July 6, 2017 (the effective date
of Public Act 100-23) this amendatory Act of the 100th General
Assembly, the Department shall increase rates and
reimbursements to fund a minimum of a $0.75 per hour wage
increase for front-line personnel, including, but not limited
to, direct support persons, aides, front-line supervisors,
qualified intellectual disabilities professionals, nurses, and
non-administrative support staff working in community-based
provider organizations serving individuals with developmental
disabilities. The Department shall adopt rules, including
emergency rules under subsection (y) of Section 5-45 of the
Illinois Administrative Procedure Act, to implement the
provisions of this Section.
    (b) Rates and reimbursements. Within 30 days after the
effective date of this amendatory Act of the 100th General
Assembly, the Department shall increase rates and
reimbursements to fund a minimum of a $0.50 per hour wage
increase for front-line personnel, including, but not limited
to, direct support persons, aides, front-line supervisors,
qualified intellectual disabilities professionals, nurses, and
non-administrative support staff working in community-based
provider organizations serving individuals with developmental
disabilities. The Department shall adopt rules, including
emergency rules under subsection (bb) of Section 5-45 of the
Illinois Administrative Procedure Act, to implement the
provisions of this Section.
(Source: P.A. 100-23, eff. 7-6-17.)
 
    (305 ILCS 5/5-5.4j new)
    Sec. 5-5.4j. ID/DD targeted Medicaid rate enhancement.
Within 30 days after the effective date of this amendatory Act
of the 100th General Assembly, the Department shall increase
the Medicaid per diem rate by $21.15 for facilities with more
than 16 beds licensed by the Department of Public Health under
the ID/DD Community Care Act located in the Department of
Public Health's Planning Area 7-B.
 
    Section 95-25. The Illinois Public Aid Code is amended by
changing Sections 5-5, 5-30, and 5-30.1 as follows:
 
    (305 ILCS 5/5-5)  (from Ch. 23, par. 5-5)
    Sec. 5-5. Medical services. The Illinois Department, by
rule, shall determine the quantity and quality of and the rate
of reimbursement for the medical assistance for which payment
will be authorized, and the medical services to be provided,
which may include all or part of the following: (1) inpatient
hospital services; (2) outpatient hospital services; (3) other
laboratory and X-ray services; (4) skilled nursing home
services; (5) physicians' services whether furnished in the
office, the patient's home, a hospital, a skilled nursing home,
or elsewhere; (6) medical care, or any other type of remedial
care furnished by licensed practitioners; (7) home health care
services; (8) private duty nursing service; (9) clinic
services; (10) dental services, including prevention and
treatment of periodontal disease and dental caries disease for
pregnant women, provided by an individual licensed to practice
dentistry or dental surgery; for purposes of this item (10),
"dental services" means diagnostic, preventive, or corrective
procedures provided by or under the supervision of a dentist in
the practice of his or her profession; (11) physical therapy
and related services; (12) prescribed drugs, dentures, and
prosthetic devices; and eyeglasses prescribed by a physician
skilled in the diseases of the eye, or by an optometrist,
whichever the person may select; (13) other diagnostic,
screening, preventive, and rehabilitative services, including
to ensure that the individual's need for intervention or
treatment of mental disorders or substance use disorders or
co-occurring mental health and substance use disorders is
determined using a uniform screening, assessment, and
evaluation process inclusive of criteria, for children and
adults; for purposes of this item (13), a uniform screening,
assessment, and evaluation process refers to a process that
includes an appropriate evaluation and, as warranted, a
referral; "uniform" does not mean the use of a singular
instrument, tool, or process that all must utilize; (14)
transportation and such other expenses as may be necessary;
(15) medical treatment of sexual assault survivors, as defined
in Section 1a of the Sexual Assault Survivors Emergency
Treatment Act, for injuries sustained as a result of the sexual
assault, including examinations and laboratory tests to
discover evidence which may be used in criminal proceedings
arising from the sexual assault; (16) the diagnosis and
treatment of sickle cell anemia; and (17) any other medical
care, and any other type of remedial care recognized under the
laws of this State. The term "any other type of remedial care"
shall include nursing care and nursing home service for persons
who rely on treatment by spiritual means alone through prayer
for healing.
    Notwithstanding any other provision of this Section, a
comprehensive tobacco use cessation program that includes
purchasing prescription drugs or prescription medical devices
approved by the Food and Drug Administration shall be covered
under the medical assistance program under this Article for
persons who are otherwise eligible for assistance under this
Article.
    Notwithstanding any other provision of this Code,
reproductive health care that is otherwise legal in Illinois
shall be covered under the medical assistance program for
persons who are otherwise eligible for medical assistance under
this Article.
    Notwithstanding any other provision of this Code, the
Illinois Department may not require, as a condition of payment
for any laboratory test authorized under this Article, that a
physician's handwritten signature appear on the laboratory
test order form. The Illinois Department may, however, impose
other appropriate requirements regarding laboratory test order
documentation.
    Upon receipt of federal approval of an amendment to the
Illinois Title XIX State Plan for this purpose, the Department
shall authorize the Chicago Public Schools (CPS) to procure a
vendor or vendors to manufacture eyeglasses for individuals
enrolled in a school within the CPS system. CPS shall ensure
that its vendor or vendors are enrolled as providers in the
medical assistance program and in any capitated Medicaid
managed care entity (MCE) serving individuals enrolled in a
school within the CPS system. Under any contract procured under
this provision, the vendor or vendors must serve only
individuals enrolled in a school within the CPS system. Claims
for services provided by CPS's vendor or vendors to recipients
of benefits in the medical assistance program under this Code,
the Children's Health Insurance Program, or the Covering ALL
KIDS Health Insurance Program shall be submitted to the
Department or the MCE in which the individual is enrolled for
payment and shall be reimbursed at the Department's or the
MCE's established rates or rate methodologies for eyeglasses.
    On and after July 1, 2012, the Department of Healthcare and
Family Services may provide the following services to persons
eligible for assistance under this Article who are
participating in education, training or employment programs
operated by the Department of Human Services as successor to
the Department of Public Aid:
        (1) dental services provided by or under the
    supervision of a dentist; and
        (2) eyeglasses prescribed by a physician skilled in the
    diseases of the eye, or by an optometrist, whichever the
    person may select.
    On and after July 1, 2018, the Department of Healthcare and
Family Services shall provide dental services to any adult who
is otherwise eligible for assistance under the medical
assistance program. As used in this paragraph, "dental
services" means diagnostic, preventative, restorative, or
corrective procedures, including procedures and services for
the prevention and treatment of periodontal disease and dental
caries disease, provided by an individual who is licensed to
practice dentistry or dental surgery or who is under the
supervision of a dentist in the practice of his or her
profession.
    On and after July 1, 2018, targeted dental services, as set
forth in Exhibit D of the Consent Decree entered by the United
States District Court for the Northern District of Illinois,
Eastern Division, in the matter of Memisovski v. Maram, Case
No. 92 C 1982, that are provided to adults under the medical
assistance program shall be established at no less than the
rates set forth in the "New Rate" column in Exhibit D of the
Consent Decree for targeted dental services that are provided
to persons under the age of 18 under the medical assistance
program.
    Notwithstanding any other provision of this Code and
subject to federal approval, the Department may adopt rules to
allow a dentist who is volunteering his or her service at no
cost to render dental services through an enrolled
not-for-profit health clinic without the dentist personally
enrolling as a participating provider in the medical assistance
program. A not-for-profit health clinic shall include a public
health clinic or Federally Qualified Health Center or other
enrolled provider, as determined by the Department, through
which dental services covered under this Section are performed.
The Department shall establish a process for payment of claims
for reimbursement for covered dental services rendered under
this provision.
    The Illinois Department, by rule, may distinguish and
classify the medical services to be provided only in accordance
with the classes of persons designated in Section 5-2.
    The Department of Healthcare and Family Services must
provide coverage and reimbursement for amino acid-based
elemental formulas, regardless of delivery method, for the
diagnosis and treatment of (i) eosinophilic disorders and (ii)
short bowel syndrome when the prescribing physician has issued
a written order stating that the amino acid-based elemental
formula is medically necessary.
    The Illinois Department shall authorize the provision of,
and shall authorize payment for, screening by low-dose
mammography for the presence of occult breast cancer for women
35 years of age or older who are eligible for medical
assistance under this Article, as follows:
        (A) A baseline mammogram for women 35 to 39 years of
    age.
        (B) An annual mammogram for women 40 years of age or
    older.
        (C) A mammogram at the age and intervals considered
    medically necessary by the woman's health care provider for
    women under 40 years of age and having a family history of
    breast cancer, prior personal history of breast cancer,
    positive genetic testing, or other risk factors.
        (D) A comprehensive ultrasound screening and MRI of an
    entire breast or breasts if a mammogram demonstrates
    heterogeneous or dense breast tissue, when medically
    necessary as determined by a physician licensed to practice
    medicine in all of its branches.
        (E) A screening MRI when medically necessary, as
    determined by a physician licensed to practice medicine in
    all of its branches.
    All screenings shall include a physical breast exam,
instruction on self-examination and information regarding the
frequency of self-examination and its value as a preventative
tool. For purposes of this Section, "low-dose mammography"
means the x-ray examination of the breast using equipment
dedicated specifically for mammography, including the x-ray
tube, filter, compression device, and image receptor, with an
average radiation exposure delivery of less than one rad per
breast for 2 views of an average size breast. The term also
includes digital mammography and includes breast
tomosynthesis. As used in this Section, the term "breast
tomosynthesis" means a radiologic procedure that involves the
acquisition of projection images over the stationary breast to
produce cross-sectional digital three-dimensional images of
the breast. If, at any time, the Secretary of the United States
Department of Health and Human Services, or its successor
agency, promulgates rules or regulations to be published in the
Federal Register or publishes a comment in the Federal Register
or issues an opinion, guidance, or other action that would
require the State, pursuant to any provision of the Patient
Protection and Affordable Care Act (Public Law 111-148),
including, but not limited to, 42 U.S.C. 18031(d)(3)(B) or any
successor provision, to defray the cost of any coverage for
breast tomosynthesis outlined in this paragraph, then the
requirement that an insurer cover breast tomosynthesis is
inoperative other than any such coverage authorized under
Section 1902 of the Social Security Act, 42 U.S.C. 1396a, and
the State shall not assume any obligation for the cost of
coverage for breast tomosynthesis set forth in this paragraph.
    On and after January 1, 2016, the Department shall ensure
that all networks of care for adult clients of the Department
include access to at least one breast imaging Center of Imaging
Excellence as certified by the American College of Radiology.
    On and after January 1, 2012, providers participating in a
quality improvement program approved by the Department shall be
reimbursed for screening and diagnostic mammography at the same
rate as the Medicare program's rates, including the increased
reimbursement for digital mammography.
    The Department shall convene an expert panel including
representatives of hospitals, free-standing mammography
facilities, and doctors, including radiologists, to establish
quality standards for mammography.
    On and after January 1, 2017, providers participating in a
breast cancer treatment quality improvement program approved
by the Department shall be reimbursed for breast cancer
treatment at a rate that is no lower than 95% of the Medicare
program's rates for the data elements included in the breast
cancer treatment quality program.
    The Department shall convene an expert panel, including
representatives of hospitals, free standing breast cancer
treatment centers, breast cancer quality organizations, and
doctors, including breast surgeons, reconstructive breast
surgeons, oncologists, and primary care providers to establish
quality standards for breast cancer treatment.
    Subject to federal approval, the Department shall
establish a rate methodology for mammography at federally
qualified health centers and other encounter-rate clinics.
These clinics or centers may also collaborate with other
hospital-based mammography facilities. By January 1, 2016, the
Department shall report to the General Assembly on the status
of the provision set forth in this paragraph.
    The Department shall establish a methodology to remind
women who are age-appropriate for screening mammography, but
who have not received a mammogram within the previous 18
months, of the importance and benefit of screening mammography.
The Department shall work with experts in breast cancer
outreach and patient navigation to optimize these reminders and
shall establish a methodology for evaluating their
effectiveness and modifying the methodology based on the
evaluation.
    The Department shall establish a performance goal for
primary care providers with respect to their female patients
over age 40 receiving an annual mammogram. This performance
goal shall be used to provide additional reimbursement in the
form of a quality performance bonus to primary care providers
who meet that goal.
    The Department shall devise a means of case-managing or
patient navigation for beneficiaries diagnosed with breast
cancer. This program shall initially operate as a pilot program
in areas of the State with the highest incidence of mortality
related to breast cancer. At least one pilot program site shall
be in the metropolitan Chicago area and at least one site shall
be outside the metropolitan Chicago area. On or after July 1,
2016, the pilot program shall be expanded to include one site
in western Illinois, one site in southern Illinois, one site in
central Illinois, and 4 sites within metropolitan Chicago. An
evaluation of the pilot program shall be carried out measuring
health outcomes and cost of care for those served by the pilot
program compared to similarly situated patients who are not
served by the pilot program.
    The Department shall require all networks of care to
develop a means either internally or by contract with experts
in navigation and community outreach to navigate cancer
patients to comprehensive care in a timely fashion. The
Department shall require all networks of care to include access
for patients diagnosed with cancer to at least one academic
commission on cancer-accredited cancer program as an
in-network covered benefit.
    Any medical or health care provider shall immediately
recommend, to any pregnant woman who is being provided prenatal
services and is suspected of drug abuse or is addicted as
defined in the Alcoholism and Other Drug Abuse and Dependency
Act, referral to a local substance abuse treatment provider
licensed by the Department of Human Services or to a licensed
hospital which provides substance abuse treatment services.
The Department of Healthcare and Family Services shall assure
coverage for the cost of treatment of the drug abuse or
addiction for pregnant recipients in accordance with the
Illinois Medicaid Program in conjunction with the Department of
Human Services.
    All medical providers providing medical assistance to
pregnant women under this Code shall receive information from
the Department on the availability of services under the Drug
Free Families with a Future or any comparable program providing
case management services for addicted women, including
information on appropriate referrals for other social services
that may be needed by addicted women in addition to treatment
for addiction.
    The Illinois Department, in cooperation with the
Departments of Human Services (as successor to the Department
of Alcoholism and Substance Abuse) and Public Health, through a
public awareness campaign, may provide information concerning
treatment for alcoholism and drug abuse and addiction, prenatal
health care, and other pertinent programs directed at reducing
the number of drug-affected infants born to recipients of
medical assistance.
    Neither the Department of Healthcare and Family Services
nor the Department of Human Services shall sanction the
recipient solely on the basis of her substance abuse.
    The Illinois Department shall establish such regulations
governing the dispensing of health services under this Article
as it shall deem appropriate. The Department should seek the
advice of formal professional advisory committees appointed by
the Director of the Illinois Department for the purpose of
providing regular advice on policy and administrative matters,
information dissemination and educational activities for
medical and health care providers, and consistency in
procedures to the Illinois Department.
    The Illinois Department may develop and contract with
Partnerships of medical providers to arrange medical services
for persons eligible under Section 5-2 of this Code.
Implementation of this Section may be by demonstration projects
in certain geographic areas. The Partnership shall be
represented by a sponsor organization. The Department, by rule,
shall develop qualifications for sponsors of Partnerships.
Nothing in this Section shall be construed to require that the
sponsor organization be a medical organization.
    The sponsor must negotiate formal written contracts with
medical providers for physician services, inpatient and
outpatient hospital care, home health services, treatment for
alcoholism and substance abuse, and other services determined
necessary by the Illinois Department by rule for delivery by
Partnerships. Physician services must include prenatal and
obstetrical care. The Illinois Department shall reimburse
medical services delivered by Partnership providers to clients
in target areas according to provisions of this Article and the
Illinois Health Finance Reform Act, except that:
        (1) Physicians participating in a Partnership and
    providing certain services, which shall be determined by
    the Illinois Department, to persons in areas covered by the
    Partnership may receive an additional surcharge for such
    services.
        (2) The Department may elect to consider and negotiate
    financial incentives to encourage the development of
    Partnerships and the efficient delivery of medical care.
        (3) Persons receiving medical services through
    Partnerships may receive medical and case management
    services above the level usually offered through the
    medical assistance program.
    Medical providers shall be required to meet certain
qualifications to participate in Partnerships to ensure the
delivery of high quality medical services. These
qualifications shall be determined by rule of the Illinois
Department and may be higher than qualifications for
participation in the medical assistance program. Partnership
sponsors may prescribe reasonable additional qualifications
for participation by medical providers, only with the prior
written approval of the Illinois Department.
    Nothing in this Section shall limit the free choice of
practitioners, hospitals, and other providers of medical
services by clients. In order to ensure patient freedom of
choice, the Illinois Department shall immediately promulgate
all rules and take all other necessary actions so that provided
services may be accessed from therapeutically certified
optometrists to the full extent of the Illinois Optometric
Practice Act of 1987 without discriminating between service
providers.
    The Department shall apply for a waiver from the United
States Health Care Financing Administration to allow for the
implementation of Partnerships under this Section.
    The Illinois Department shall require health care
providers to maintain records that document the medical care
and services provided to recipients of Medical Assistance under
this Article. Such records must be retained for a period of not
less than 6 years from the date of service or as provided by
applicable State law, whichever period is longer, except that
if an audit is initiated within the required retention period
then the records must be retained until the audit is completed
and every exception is resolved. The Illinois Department shall
require health care providers to make available, when
authorized by the patient, in writing, the medical records in a
timely fashion to other health care providers who are treating
or serving persons eligible for Medical Assistance under this
Article. All dispensers of medical services shall be required
to maintain and retain business and professional records
sufficient to fully and accurately document the nature, scope,
details and receipt of the health care provided to persons
eligible for medical assistance under this Code, in accordance
with regulations promulgated by the Illinois Department. The
rules and regulations shall require that proof of the receipt
of prescription drugs, dentures, prosthetic devices and
eyeglasses by eligible persons under this Section accompany
each claim for reimbursement submitted by the dispenser of such
medical services. No such claims for reimbursement shall be
approved for payment by the Illinois Department without such
proof of receipt, unless the Illinois Department shall have put
into effect and shall be operating a system of post-payment
audit and review which shall, on a sampling basis, be deemed
adequate by the Illinois Department to assure that such drugs,
dentures, prosthetic devices and eyeglasses for which payment
is being made are actually being received by eligible
recipients. Within 90 days after September 16, 1984 (the
effective date of Public Act 83-1439), the Illinois Department
shall establish a current list of acquisition costs for all
prosthetic devices and any other items recognized as medical
equipment and supplies reimbursable under this Article and
shall update such list on a quarterly basis, except that the
acquisition costs of all prescription drugs shall be updated no
less frequently than every 30 days as required by Section
5-5.12.
    Notwithstanding any other law to the contrary, the Illinois
Department shall, within 365 days after July 22, 2013 (the
effective date of Public Act 98-104), establish procedures to
permit skilled care facilities licensed under the Nursing Home
Care Act to submit monthly billing claims for reimbursement
purposes. Following development of these procedures, the
Department shall, by July 1, 2016, test the viability of the
new system and implement any necessary operational or
structural changes to its information technology platforms in
order to allow for the direct acceptance and payment of nursing
home claims.
    Notwithstanding any other law to the contrary, the Illinois
Department shall, within 365 days after August 15, 2014 (the
effective date of Public Act 98-963), establish procedures to
permit ID/DD facilities licensed under the ID/DD Community Care
Act and MC/DD facilities licensed under the MC/DD Act to submit
monthly billing claims for reimbursement purposes. Following
development of these procedures, the Department shall have an
additional 365 days to test the viability of the new system and
to ensure that any necessary operational or structural changes
to its information technology platforms are implemented.
    The Illinois Department shall require all dispensers of
medical services, other than an individual practitioner or
group of practitioners, desiring to participate in the Medical
Assistance program established under this Article to disclose
all financial, beneficial, ownership, equity, surety or other
interests in any and all firms, corporations, partnerships,
associations, business enterprises, joint ventures, agencies,
institutions or other legal entities providing any form of
health care services in this State under this Article.
    The Illinois Department may require that all dispensers of
medical services desiring to participate in the medical
assistance program established under this Article disclose,
under such terms and conditions as the Illinois Department may
by rule establish, all inquiries from clients and attorneys
regarding medical bills paid by the Illinois Department, which
inquiries could indicate potential existence of claims or liens
for the Illinois Department.
    Enrollment of a vendor shall be subject to a provisional
period and shall be conditional for one year. During the period
of conditional enrollment, the Department may terminate the
vendor's eligibility to participate in, or may disenroll the
vendor from, the medical assistance program without cause.
Unless otherwise specified, such termination of eligibility or
disenrollment is not subject to the Department's hearing
process. However, a disenrolled vendor may reapply without
penalty.
    The Department has the discretion to limit the conditional
enrollment period for vendors based upon category of risk of
the vendor.
    Prior to enrollment and during the conditional enrollment
period in the medical assistance program, all vendors shall be
subject to enhanced oversight, screening, and review based on
the risk of fraud, waste, and abuse that is posed by the
category of risk of the vendor. The Illinois Department shall
establish the procedures for oversight, screening, and review,
which may include, but need not be limited to: criminal and
financial background checks; fingerprinting; license,
certification, and authorization verifications; unscheduled or
unannounced site visits; database checks; prepayment audit
reviews; audits; payment caps; payment suspensions; and other
screening as required by federal or State law.
    The Department shall define or specify the following: (i)
by provider notice, the "category of risk of the vendor" for
each type of vendor, which shall take into account the level of
screening applicable to a particular category of vendor under
federal law and regulations; (ii) by rule or provider notice,
the maximum length of the conditional enrollment period for
each category of risk of the vendor; and (iii) by rule, the
hearing rights, if any, afforded to a vendor in each category
of risk of the vendor that is terminated or disenrolled during
the conditional enrollment period.
    To be eligible for payment consideration, a vendor's
payment claim or bill, either as an initial claim or as a
resubmitted claim following prior rejection, must be received
by the Illinois Department, or its fiscal intermediary, no
later than 180 days after the latest date on the claim on which
medical goods or services were provided, with the following
exceptions:
        (1) In the case of a provider whose enrollment is in
    process by the Illinois Department, the 180-day period
    shall not begin until the date on the written notice from
    the Illinois Department that the provider enrollment is
    complete.
        (2) In the case of errors attributable to the Illinois
    Department or any of its claims processing intermediaries
    which result in an inability to receive, process, or
    adjudicate a claim, the 180-day period shall not begin
    until the provider has been notified of the error.
        (3) In the case of a provider for whom the Illinois
    Department initiates the monthly billing process.
        (4) In the case of a provider operated by a unit of
    local government with a population exceeding 3,000,000
    when local government funds finance federal participation
    for claims payments.
    For claims for services rendered during a period for which
a recipient received retroactive eligibility, claims must be
filed within 180 days after the Department determines the
applicant is eligible. For claims for which the Illinois
Department is not the primary payer, claims must be submitted
to the Illinois Department within 180 days after the final
adjudication by the primary payer.
    In the case of long term care facilities, within 45
calendar days of receipt by the facility of required
prescreening information, new admissions with associated
admission documents shall be submitted through the Medical
Electronic Data Interchange (MEDI) or the Recipient
Eligibility Verification (REV) System or shall be submitted
directly to the Department of Human Services using required
admission forms. Effective September 1, 2014, admission
documents, including all prescreening information, must be
submitted through MEDI or REV. Confirmation numbers assigned to
an accepted transaction shall be retained by a facility to
verify timely submittal. Once an admission transaction has been
completed, all resubmitted claims following prior rejection
are subject to receipt no later than 180 days after the
admission transaction has been completed.
    Claims that are not submitted and received in compliance
with the foregoing requirements shall not be eligible for
payment under the medical assistance program, and the State
shall have no liability for payment of those claims.
    To the extent consistent with applicable information and
privacy, security, and disclosure laws, State and federal
agencies and departments shall provide the Illinois Department
access to confidential and other information and data necessary
to perform eligibility and payment verifications and other
Illinois Department functions. This includes, but is not
limited to: information pertaining to licensure;
certification; earnings; immigration status; citizenship; wage
reporting; unearned and earned income; pension income;
employment; supplemental security income; social security
numbers; National Provider Identifier (NPI) numbers; the
National Practitioner Data Bank (NPDB); program and agency
exclusions; taxpayer identification numbers; tax delinquency;
corporate information; and death records.
    The Illinois Department shall enter into agreements with
State agencies and departments, and is authorized to enter into
agreements with federal agencies and departments, under which
such agencies and departments shall share data necessary for
medical assistance program integrity functions and oversight.
The Illinois Department shall develop, in cooperation with
other State departments and agencies, and in compliance with
applicable federal laws and regulations, appropriate and
effective methods to share such data. At a minimum, and to the
extent necessary to provide data sharing, the Illinois
Department shall enter into agreements with State agencies and
departments, and is authorized to enter into agreements with
federal agencies and departments, including but not limited to:
the Secretary of State; the Department of Revenue; the
Department of Public Health; the Department of Human Services;
and the Department of Financial and Professional Regulation.
    Beginning in fiscal year 2013, the Illinois Department
shall set forth a request for information to identify the
benefits of a pre-payment, post-adjudication, and post-edit
claims system with the goals of streamlining claims processing
and provider reimbursement, reducing the number of pending or
rejected claims, and helping to ensure a more transparent
adjudication process through the utilization of: (i) provider
data verification and provider screening technology; and (ii)
clinical code editing; and (iii) pre-pay, pre- or
post-adjudicated predictive modeling with an integrated case
management system with link analysis. Such a request for
information shall not be considered as a request for proposal
or as an obligation on the part of the Illinois Department to
take any action or acquire any products or services.
    The Illinois Department shall establish policies,
procedures, standards and criteria by rule for the acquisition,
repair and replacement of orthotic and prosthetic devices and
durable medical equipment. Such rules shall provide, but not be
limited to, the following services: (1) immediate repair or
replacement of such devices by recipients; and (2) rental,
lease, purchase or lease-purchase of durable medical equipment
in a cost-effective manner, taking into consideration the
recipient's medical prognosis, the extent of the recipient's
needs, and the requirements and costs for maintaining such
equipment. Subject to prior approval, such rules shall enable a
recipient to temporarily acquire and use alternative or
substitute devices or equipment pending repairs or
replacements of any device or equipment previously authorized
for such recipient by the Department. Notwithstanding any
provision of Section 5-5f to the contrary, the Department may,
by rule, exempt certain replacement wheelchair parts from prior
approval and, for wheelchairs, wheelchair parts, wheelchair
accessories, and related seating and positioning items,
determine the wholesale price by methods other than actual
acquisition costs.
    The Department shall require, by rule, all providers of
durable medical equipment to be accredited by an accreditation
organization approved by the federal Centers for Medicare and
Medicaid Services and recognized by the Department in order to
bill the Department for providing durable medical equipment to
recipients. No later than 15 months after the effective date of
the rule adopted pursuant to this paragraph, all providers must
meet the accreditation requirement.
    The Department shall execute, relative to the nursing home
prescreening project, written inter-agency agreements with the
Department of Human Services and the Department on Aging, to
effect the following: (i) intake procedures and common
eligibility criteria for those persons who are receiving
non-institutional services; and (ii) the establishment and
development of non-institutional services in areas of the State
where they are not currently available or are undeveloped; and
(iii) notwithstanding any other provision of law, subject to
federal approval, on and after July 1, 2012, an increase in the
determination of need (DON) scores from 29 to 37 for applicants
for institutional and home and community-based long term care;
if and only if federal approval is not granted, the Department
may, in conjunction with other affected agencies, implement
utilization controls or changes in benefit packages to
effectuate a similar savings amount for this population; and
(iv) no later than July 1, 2013, minimum level of care
eligibility criteria for institutional and home and
community-based long term care; and (v) no later than October
1, 2013, establish procedures to permit long term care
providers access to eligibility scores for individuals with an
admission date who are seeking or receiving services from the
long term care provider. In order to select the minimum level
of care eligibility criteria, the Governor shall establish a
workgroup that includes affected agency representatives and
stakeholders representing the institutional and home and
community-based long term care interests. This Section shall
not restrict the Department from implementing lower level of
care eligibility criteria for community-based services in
circumstances where federal approval has been granted.
    The Illinois Department shall develop and operate, in
cooperation with other State Departments and agencies and in
compliance with applicable federal laws and regulations,
appropriate and effective systems of health care evaluation and
programs for monitoring of utilization of health care services
and facilities, as it affects persons eligible for medical
assistance under this Code.
    The Illinois Department shall report annually to the
General Assembly, no later than the second Friday in April of
1979 and each year thereafter, in regard to:
        (a) actual statistics and trends in utilization of
    medical services by public aid recipients;
        (b) actual statistics and trends in the provision of
    the various medical services by medical vendors;
        (c) current rate structures and proposed changes in
    those rate structures for the various medical vendors; and
        (d) efforts at utilization review and control by the
    Illinois Department.
    The period covered by each report shall be the 3 years
ending on the June 30 prior to the report. The report shall
include suggested legislation for consideration by the General
Assembly. The filing of one copy of the report with the
Speaker, one copy with the Minority Leader and one copy with
the Clerk of the House of Representatives, one copy with the
President, one copy with the Minority Leader and one copy with
the Secretary of the Senate, one copy with the Legislative
Research Unit, and such additional copies with the State
Government Report Distribution Center for the General Assembly
as is required under paragraph (t) of Section 7 of the State
Library Act shall be deemed sufficient to comply with this
Section.
    Rulemaking authority to implement Public Act 95-1045, if
any, is conditioned on the rules being adopted in accordance
with all provisions of the Illinois Administrative Procedure
Act and all rules and procedures of the Joint Committee on
Administrative Rules; any purported rule not so adopted, for
whatever reason, is unauthorized.
    On and after July 1, 2012, the Department shall reduce any
rate of reimbursement for services or other payments or alter
any methodologies authorized by this Code to reduce any rate of
reimbursement for services or other payments in accordance with
Section 5-5e.
    Because kidney transplantation can be an appropriate, cost
effective alternative to renal dialysis when medically
necessary and notwithstanding the provisions of Section 1-11 of
this Code, beginning October 1, 2014, the Department shall
cover kidney transplantation for noncitizens with end-stage
renal disease who are not eligible for comprehensive medical
benefits, who meet the residency requirements of Section 5-3 of
this Code, and who would otherwise meet the financial
requirements of the appropriate class of eligible persons under
Section 5-2 of this Code. To qualify for coverage of kidney
transplantation, such person must be receiving emergency renal
dialysis services covered by the Department. Providers under
this Section shall be prior approved and certified by the
Department to perform kidney transplantation and the services
under this Section shall be limited to services associated with
kidney transplantation.
    Notwithstanding any other provision of this Code to the
contrary, on or after July 1, 2015, all FDA approved forms of
medication assisted treatment prescribed for the treatment of
alcohol dependence or treatment of opioid dependence shall be
covered under both fee for service and managed care medical
assistance programs for persons who are otherwise eligible for
medical assistance under this Article and shall not be subject
to any (1) utilization control, other than those established
under the American Society of Addiction Medicine patient
placement criteria, (2) prior authorization mandate, or (3)
lifetime restriction limit mandate.
    On or after July 1, 2015, opioid antagonists prescribed for
the treatment of an opioid overdose, including the medication
product, administration devices, and any pharmacy fees related
to the dispensing and administration of the opioid antagonist,
shall be covered under the medical assistance program for
persons who are otherwise eligible for medical assistance under
this Article. As used in this Section, "opioid antagonist"
means a drug that binds to opioid receptors and blocks or
inhibits the effect of opioids acting on those receptors,
including, but not limited to, naloxone hydrochloride or any
other similarly acting drug approved by the U.S. Food and Drug
Administration.
    Upon federal approval, the Department shall provide
coverage and reimbursement for all drugs that are approved for
marketing by the federal Food and Drug Administration and that
are recommended by the federal Public Health Service or the
United States Centers for Disease Control and Prevention for
pre-exposure prophylaxis and related pre-exposure prophylaxis
services, including, but not limited to, HIV and sexually
transmitted infection screening, treatment for sexually
transmitted infections, medical monitoring, assorted labs, and
counseling to reduce the likelihood of HIV infection among
individuals who are not infected with HIV but who are at high
risk of HIV infection.
(Source: P.A. 99-78, eff. 7-20-15; 99-180, eff. 7-29-15;
99-236, eff. 8-3-15; 99-407 (see Section 20 of P.A. 99-588 for
the effective date of P.A. 99-407); 99-433, eff. 8-21-15;
99-480, eff. 9-9-15; 99-588, eff. 7-20-16; 99-642, eff.
7-28-16; 99-772, eff. 1-1-17; 99-895, eff. 1-1-17; 100-201,
eff. 8-18-17; 100-395, eff. 1-1-18; 100-449, eff. 1-1-18;
100-538, eff. 1-1-18; revised 10-26-17.)
 
    (305 ILCS 5/5-30)
    Sec. 5-30. Care coordination.
    (a) At least 50% of recipients eligible for comprehensive
medical benefits in all medical assistance programs or other
health benefit programs administered by the Department,
including the Children's Health Insurance Program Act and the
Covering ALL KIDS Health Insurance Act, shall be enrolled in a
care coordination program by no later than January 1, 2015. For
purposes of this Section, "coordinated care" or "care
coordination" means delivery systems where recipients will
receive their care from providers who participate under
contract in integrated delivery systems that are responsible
for providing or arranging the majority of care, including
primary care physician services, referrals from primary care
physicians, diagnostic and treatment services, behavioral
health services, in-patient and outpatient hospital services,
dental services, and rehabilitation and long-term care
services. The Department shall designate or contract for such
integrated delivery systems (i) to ensure enrollees have a
choice of systems and of primary care providers within such
systems; (ii) to ensure that enrollees receive quality care in
a culturally and linguistically appropriate manner; and (iii)
to ensure that coordinated care programs meet the diverse needs
of enrollees with developmental, mental health, physical, and
age-related disabilities.
    (b) Payment for such coordinated care shall be based on
arrangements where the State pays for performance related to
health care outcomes, the use of evidence-based practices, the
use of primary care delivered through comprehensive medical
homes, the use of electronic medical records, and the
appropriate exchange of health information electronically made
either on a capitated basis in which a fixed monthly premium
per recipient is paid and full financial risk is assumed for
the delivery of services, or through other risk-based payment
arrangements.
    (c) To qualify for compliance with this Section, the 50%
goal shall be achieved by enrolling medical assistance
enrollees from each medical assistance enrollment category,
including parents, children, seniors, and people with
disabilities to the extent that current State Medicaid payment
laws would not limit federal matching funds for recipients in
care coordination programs. In addition, services must be more
comprehensively defined and more risk shall be assumed than in
the Department's primary care case management program as of
January 25, 2011 (the effective date of Public Act 96-1501).
    (d) The Department shall report to the General Assembly in
a separate part of its annual medical assistance program
report, beginning April, 2012 until April, 2016, on the
progress and implementation of the care coordination program
initiatives established by the provisions of Public Act
96-1501. The Department shall include in its April 2011 report
a full analysis of federal laws or regulations regarding upper
payment limitations to providers and the necessary revisions or
adjustments in rate methodologies and payments to providers
under this Code that would be necessary to implement
coordinated care with full financial risk by a party other than
the Department.
    (e) Integrated Care Program for individuals with chronic
mental health conditions.
        (1) The Integrated Care Program shall encompass
    services administered to recipients of medical assistance
    under this Article to prevent exacerbations and
    complications using cost-effective, evidence-based
    practice guidelines and mental health management
    strategies.
        (2) The Department may utilize and expand upon existing
    contractual arrangements with integrated care plans under
    the Integrated Care Program for providing the coordinated
    care provisions of this Section.
        (3) Payment for such coordinated care shall be based on
    arrangements where the State pays for performance related
    to mental health outcomes on a capitated basis in which a
    fixed monthly premium per recipient is paid and full
    financial risk is assumed for the delivery of services, or
    through other risk-based payment arrangements such as
    provider-based care coordination.
        (4) The Department shall examine whether chronic
    mental health management programs and services for
    recipients with specific chronic mental health conditions
    do any or all of the following:
            (A) Improve the patient's overall mental health in
        a more expeditious and cost-effective manner.
            (B) Lower costs in other aspects of the medical
        assistance program, such as hospital admissions,
        emergency room visits, or more frequent and
        inappropriate psychotropic drug use.
        (5) The Department shall work with the facilities and
    any integrated care plan participating in the program to
    identify and correct barriers to the successful
    implementation of this subsection (e) prior to and during
    the implementation to best facilitate the goals and
    objectives of this subsection (e).
    (f) A hospital that is located in a county of the State in
which the Department mandates some or all of the beneficiaries
of the Medical Assistance Program residing in the county to
enroll in a Care Coordination Program, as set forth in Section
5-30 of this Code, shall not be eligible for any non-claims
based payments not mandated by Article V-A of this Code for
which it would otherwise be qualified to receive, unless the
hospital is a Coordinated Care Participating Hospital no later
than 60 days after June 14, 2012 (the effective date of Public
Act 97-689) or 60 days after the first mandatory enrollment of
a beneficiary in a Coordinated Care program. For purposes of
this subsection, "Coordinated Care Participating Hospital"
means a hospital that meets one of the following criteria:
        (1) The hospital has entered into a contract to provide
    hospital services with one or more MCOs to enrollees of the
    care coordination program.
        (2) The hospital has not been offered a contract by a
    care coordination plan that the Department has determined
    to be a good faith offer and that pays at least as much as
    the Department would pay, on a fee-for-service basis, not
    including disproportionate share hospital adjustment
    payments or any other supplemental adjustment or add-on
    payment to the base fee-for-service rate, except to the
    extent such adjustments or add-on payments are
    incorporated into the development of the applicable MCO
    capitated rates.
    As used in this subsection (f), "MCO" means any entity
which contracts with the Department to provide services where
payment for medical services is made on a capitated basis.
    (g) No later than August 1, 2013, the Department shall
issue a purchase of care solicitation for Accountable Care
Entities (ACE) to serve any children and parents or caretaker
relatives of children eligible for medical assistance under
this Article. An ACE may be a single corporate structure or a
network of providers organized through contractual
relationships with a single corporate entity. The solicitation
shall require that:
        (1) An ACE operating in Cook County be capable of
    serving at least 40,000 eligible individuals in that
    county; an ACE operating in Lake, Kane, DuPage, or Will
    Counties be capable of serving at least 20,000 eligible
    individuals in those counties and an ACE operating in other
    regions of the State be capable of serving at least 10,000
    eligible individuals in the region in which it operates.
    During initial periods of mandatory enrollment, the
    Department shall require its enrollment services
    contractor to use a default assignment algorithm that
    ensures if possible an ACE reaches the minimum enrollment
    levels set forth in this paragraph.
        (2) An ACE must include at a minimum the following
    types of providers: primary care, specialty care,
    hospitals, and behavioral healthcare.
        (3) An ACE shall have a governance structure that
    includes the major components of the health care delivery
    system, including one representative from each of the
    groups listed in paragraph (2).
        (4) An ACE must be an integrated delivery system,
    including a network able to provide the full range of
    services needed by Medicaid beneficiaries and system
    capacity to securely pass clinical information across
    participating entities and to aggregate and analyze that
    data in order to coordinate care.
        (5) An ACE must be capable of providing both care
    coordination and complex case management, as necessary, to
    beneficiaries. To be responsive to the solicitation, a
    potential ACE must outline its care coordination and
    complex case management model and plan to reduce the cost
    of care.
        (6) In the first 18 months of operation, unless the ACE
    selects a shorter period, an ACE shall be paid care
    coordination fees on a per member per month basis that are
    projected to be cost neutral to the State during the term
    of their payment and, subject to federal approval, be
    eligible to share in additional savings generated by their
    care coordination.
        (7) In months 19 through 36 of operation, unless the
    ACE selects a shorter period, an ACE shall be paid on a
    pre-paid capitation basis for all medical assistance
    covered services, under contract terms similar to Managed
    Care Organizations (MCO), with the Department sharing the
    risk through either stop-loss insurance for extremely high
    cost individuals or corridors of shared risk based on the
    overall cost of the total enrollment in the ACE. The ACE
    shall be responsible for claims processing, encounter data
    submission, utilization control, and quality assurance.
        (8) In the fourth and subsequent years of operation, an
    ACE shall convert to a Managed Care Community Network
    (MCCN), as defined in this Article, or Health Maintenance
    Organization pursuant to the Illinois Insurance Code,
    accepting full-risk capitation payments.
    The Department shall allow potential ACE entities 5 months
from the date of the posting of the solicitation to submit
proposals. After the solicitation is released, in addition to
the MCO rate development data available on the Department's
website, subject to federal and State confidentiality and
privacy laws and regulations, the Department shall provide 2
years of de-identified summary service data on the targeted
population, split between children and adults, showing the
historical type and volume of services received and the cost of
those services to those potential bidders that sign a data use
agreement. The Department may add up to 2 non-state government
employees with expertise in creating integrated delivery
systems to its review team for the purchase of care
solicitation described in this subsection. Any such
individuals must sign a no-conflict disclosure and
confidentiality agreement and agree to act in accordance with
all applicable State laws.
    During the first 2 years of an ACE's operation, the
Department shall provide claims data to the ACE on its
enrollees on a periodic basis no less frequently than monthly.
    Nothing in this subsection shall be construed to limit the
Department's mandate to enroll 50% of its beneficiaries into
care coordination systems by January 1, 2015, using all
available care coordination delivery systems, including Care
Coordination Entities (CCE), MCCNs, or MCOs, nor be construed
to affect the current CCEs, MCCNs, and MCOs selected to serve
seniors and persons with disabilities prior to that date.
    Nothing in this subsection precludes the Department from
considering future proposals for new ACEs or expansion of
existing ACEs at the discretion of the Department.
    (h) Department contracts with MCOs and other entities
reimbursed by risk based capitation shall have a minimum
medical loss ratio of 85%, shall require the entity to
establish an appeals and grievances process for consumers and
providers, and shall require the entity to provide a quality
assurance and utilization review program. Entities contracted
with the Department to coordinate healthcare regardless of risk
shall be measured utilizing the same quality metrics. The
quality metrics may be population specific. Any contracted
entity serving at least 5,000 seniors or people with
disabilities or 15,000 individuals in other populations
covered by the Medical Assistance Program that has been
receiving full-risk capitation for a year shall be accredited
by a national accreditation organization authorized by the
Department within 2 years after the date it is eligible to
become accredited. The requirements of this subsection shall
apply to contracts with MCOs entered into or renewed or
extended after June 1, 2013.
    (h-5) The Department shall monitor and enforce compliance
by MCOs with agreements they have entered into with providers
on issues that include, but are not limited to, timeliness of
payment, payment rates, and processes for obtaining prior
approval. The Department may impose sanctions on MCOs for
violating provisions of those agreements that include, but are
not limited to, financial penalties, suspension of enrollment
of new enrollees, and termination of the MCO's contract with
the Department. As used in this subsection (h-5), "MCO" has the
meaning ascribed to that term in Section 5-30.1 of this Code.
    (i) Unless otherwise required by federal law, Medicaid
Managed Care Entities and their respective business associates
shall not disclose, directly or indirectly, including by
sending a bill or explanation of benefits, information
concerning the sensitive health services received by enrollees
of the Medicaid Managed Care Entity to any person other than
covered entities and business associates, which may receive,
use, and further disclose such information solely for the
purposes permitted under applicable federal and State laws and
regulations if such use and further disclosure satisfies all
applicable requirements of such laws and regulations. The
Medicaid Managed Care Entity or its respective business
associates may disclose information concerning the sensitive
health services if the enrollee who received the sensitive
health services requests the information from the Medicaid
Managed Care Entity or its respective business associates and
authorized the sending of a bill or explanation of benefits.
Communications including, but not limited to, statements of
care received or appointment reminders either directly or
indirectly to the enrollee from the health care provider,
health care professional, and care coordinators, remain
permissible. Medicaid Managed Care Entities or their
respective business associates may communicate directly with
their enrollees regarding care coordination activities for
those enrollees.
    For the purposes of this subsection, the term "Medicaid
Managed Care Entity" includes Care Coordination Entities,
Accountable Care Entities, Managed Care Organizations, and
Managed Care Community Networks.
    For purposes of this subsection, the term "sensitive health
services" means mental health services, substance abuse
treatment services, reproductive health services, family
planning services, services for sexually transmitted
infections and sexually transmitted diseases, and services for
sexual assault or domestic abuse. Services include prevention,
screening, consultation, examination, treatment, or follow-up.
    For purposes of this subsection, "business associate",
"covered entity", "disclosure", and "use" have the meanings
ascribed to those terms in 45 CFR 160.103.
    Nothing in this subsection shall be construed to relieve a
Medicaid Managed Care Entity or the Department of any duty to
report incidents of sexually transmitted infections to the
Department of Public Health or to the local board of health in
accordance with regulations adopted under a statute or
ordinance or to report incidents of sexually transmitted
infections as necessary to comply with the requirements under
Section 5 of the Abused and Neglected Child Reporting Act or as
otherwise required by State or federal law.
    The Department shall create policy in order to implement
the requirements in this subsection.
    (j) Managed Care Entities (MCEs), including MCOs and all
other care coordination organizations, shall develop and
maintain a written language access policy that sets forth the
standards, guidelines, and operational plan to ensure language
appropriate services and that is consistent with the standard
of meaningful access for populations with limited English
proficiency. The language access policy shall describe how the
MCEs will provide all of the following required services:
        (1) Translation (the written replacement of text from
    one language into another) of all vital documents and forms
    as identified by the Department.
        (2) Qualified interpreter services (the oral
    communication of a message from one language into another
    by a qualified interpreter).
        (3) Staff training on the language access policy,
    including how to identify language needs, access and
    provide language assistance services, work with
    interpreters, request translations, and track the use of
    language assistance services.
        (4) Data tracking that identifies the language need.
        (5) Notification to participants on the availability
    of language access services and on how to access such
    services.
    (k) The Department shall actively monitor the contractual
relationship between Managed Care Organizations (MCOs) and any
dental administrator contracted by an MCO to provide dental
services. The Department shall adopt appropriate dental
Healthcare Effectiveness Data and Information Set (HEDIS)
measures and shall include the Annual Dental Visit (ADV) HEDIS
measure in its Health Plan Comparison Tool and Illinois
Medicaid Plan Report Card that is available on the Department's
website for enrolled individuals.
    The Department shall collect from each MCO specific
information about the types of contracted, broad-based care
coordination occurring between the MCO and any dental
administrator, including, but not limited to, pregnant women
and diabetic patients in need of oral care.
(Source: P.A. 98-104, eff. 7-22-13; 98-651, eff. 6-16-14;
99-106, eff. 1-1-16; 99-181, eff. 7-29-15; 99-566, eff. 1-1-17;
99-642, eff. 7-28-16.)
 
    (305 ILCS 5/5-30.1)
    Sec. 5-30.1. Managed care protections.
    (a) As used in this Section:
    "Managed care organization" or "MCO" means any entity which
contracts with the Department to provide services where payment
for medical services is made on a capitated basis.
    "Emergency services" include:
        (1) emergency services, as defined by Section 10 of the
    Managed Care Reform and Patient Rights Act;
        (2) emergency medical screening examinations, as
    defined by Section 10 of the Managed Care Reform and
    Patient Rights Act;
        (3) post-stabilization medical services, as defined by
    Section 10 of the Managed Care Reform and Patient Rights
    Act; and
        (4) emergency medical conditions, as defined by
    Section 10 of the Managed Care Reform and Patient Rights
    Act.
    (b) As provided by Section 5-16.12, managed care
organizations are subject to the provisions of the Managed Care
Reform and Patient Rights Act.
    (c) An MCO shall pay any provider of emergency services
that does not have in effect a contract with the contracted
Medicaid MCO. The default rate of reimbursement shall be the
rate paid under Illinois Medicaid fee-for-service program
methodology, including all policy adjusters, including but not
limited to Medicaid High Volume Adjustments, Medicaid
Percentage Adjustments, Outpatient High Volume Adjustments,
and all outlier add-on adjustments to the extent such
adjustments are incorporated in the development of the
applicable MCO capitated rates.
    (d) An MCO shall pay for all post-stabilization services as
a covered service in any of the following situations:
        (1) the MCO authorized such services;
        (2) such services were administered to maintain the
    enrollee's stabilized condition within one hour after a
    request to the MCO for authorization of further
    post-stabilization services;
        (3) the MCO did not respond to a request to authorize
    such services within one hour;
        (4) the MCO could not be contacted; or
        (5) the MCO and the treating provider, if the treating
    provider is a non-affiliated provider, could not reach an
    agreement concerning the enrollee's care and an affiliated
    provider was unavailable for a consultation, in which case
    the MCO must pay for such services rendered by the treating
    non-affiliated provider until an affiliated provider was
    reached and either concurred with the treating
    non-affiliated provider's plan of care or assumed
    responsibility for the enrollee's care. Such payment shall
    be made at the default rate of reimbursement paid under
    Illinois Medicaid fee-for-service program methodology,
    including all policy adjusters, including but not limited
    to Medicaid High Volume Adjustments, Medicaid Percentage
    Adjustments, Outpatient High Volume Adjustments and all
    outlier add-on adjustments to the extent that such
    adjustments are incorporated in the development of the
    applicable MCO capitated rates.
    (e) The following requirements apply to MCOs in determining
payment for all emergency services:
        (1) MCOs shall not impose any requirements for prior
    approval of emergency services.
        (2) The MCO shall cover emergency services provided to
    enrollees who are temporarily away from their residence and
    outside the contracting area to the extent that the
    enrollees would be entitled to the emergency services if
    they still were within the contracting area.
        (3) The MCO shall have no obligation to cover medical
    services provided on an emergency basis that are not
    covered services under the contract.
        (4) The MCO shall not condition coverage for emergency
    services on the treating provider notifying the MCO of the
    enrollee's screening and treatment within 10 days after
    presentation for emergency services.
        (5) The determination of the attending emergency
    physician, or the provider actually treating the enrollee,
    of whether an enrollee is sufficiently stabilized for
    discharge or transfer to another facility, shall be binding
    on the MCO. The MCO shall cover emergency services for all
    enrollees whether the emergency services are provided by an
    affiliated or non-affiliated provider.
        (6) The MCO's financial responsibility for
    post-stabilization care services it has not pre-approved
    ends when:
            (A) a plan physician with privileges at the
        treating hospital assumes responsibility for the
        enrollee's care;
            (B) a plan physician assumes responsibility for
        the enrollee's care through transfer;
            (C) a contracting entity representative and the
        treating physician reach an agreement concerning the
        enrollee's care; or
            (D) the enrollee is discharged.
    (f) Network adequacy and transparency.
        (1) The Department shall:
            (A) ensure that an adequate provider network is in
        place, taking into consideration health professional
        shortage areas and medically underserved areas;
            (B) publicly release an explanation of its process
        for analyzing network adequacy;
            (C) periodically ensure that an MCO continues to
        have an adequate network in place; and
            (D) require MCOs, including Medicaid Managed Care
        Entities as defined in Section 5-30.2, to meet provider
        directory requirements under Section 5-30.3.
        (2) Each MCO shall confirm its receipt of information
    submitted specific to physician or dentist additions or
    physician or dentist deletions from the MCO's provider
    network within 3 days after receiving all required
    information from contracted physicians or dentists, and
    electronic physician and dental directories must be
    updated consistent with current rules as published by the
    Centers for Medicare and Medicaid Services or its successor
    agency.
    (g) Timely payment of claims.
        (1) The MCO shall pay a claim within 30 days of
    receiving a claim that contains all the essential
    information needed to adjudicate the claim.
        (2) The MCO shall notify the billing party of its
    inability to adjudicate a claim within 30 days of receiving
    that claim.
        (3) The MCO shall pay a penalty that is at least equal
    to the penalty imposed under the Illinois Insurance Code
    for any claims not timely paid.
        (4) The Department may establish a process for MCOs to
    expedite payments to providers based on criteria
    established by the Department.
    (g-5) Recognizing that the rapid transformation of the
Illinois Medicaid program may have unintended operational
challenges for both payers and providers:
        (1) in no instance shall a medically necessary covered
    service rendered in good faith, based upon eligibility
    information documented by the provider, be denied coverage
    or diminished in payment amount if the eligibility or
    coverage information available at the time the service was
    rendered is later found to be inaccurate; and
        (2) the Department shall, by December 31, 2016, adopt
    rules establishing policies that shall be included in the
    Medicaid managed care policy and procedures manual
    addressing payment resolutions in situations in which a
    provider renders services based upon information obtained
    after verifying a patient's eligibility and coverage plan
    through either the Department's current enrollment system
    or a system operated by the coverage plan identified by the
    patient presenting for services:
            (A) such medically necessary covered services
        shall be considered rendered in good faith;
            (B) such policies and procedures shall be
        developed in consultation with industry
        representatives of the Medicaid managed care health
        plans and representatives of provider associations
        representing the majority of providers within the
        identified provider industry; and
            (C) such rules shall be published for a review and
        comment period of no less than 30 days on the
        Department's website with final rules remaining
        available on the Department's website.
        (3) The rules on payment resolutions shall include, but
    not be limited to:
            (A) the extension of the timely filing period;
            (B) retroactive prior authorizations; and
            (C) guaranteed minimum payment rate of no less than
        the current, as of the date of service, fee-for-service
        rate, plus all applicable add-ons, when the resulting
        service relationship is out of network.
        (4) The rules shall be applicable for both MCO coverage
    and fee-for-service coverage.
    (g-6) MCO Performance Metrics Report.
        (1) The Department shall publish, on at least a
    quarterly basis, each MCO's operational performance,
    including, but not limited to, the following categories of
    metrics:
            (A) claims payment, including timeliness and
        accuracy;
            (B) prior authorizations;
            (C) grievance and appeals;
            (D) utilization statistics;
            (E) provider disputes;
            (F) provider credentialing; and
            (G) member and provider customer service.
        (2) The Department shall ensure that the metrics report
    is accessible to providers online by January 1, 2017.
        (3) The metrics shall be developed in consultation with
    industry representatives of the Medicaid managed care
    health plans and representatives of associations
    representing the majority of providers within the
    identified industry.
        (4) Metrics shall be defined and incorporated into the
    applicable Managed Care Policy Manual issued by the
    Department.
    (g-7) MCO claims processing and performance analysis. In
order to monitor MCO payments to hospital providers, pursuant
to this amendatory Act of the 100th General Assembly, the
Department shall post an analysis of MCO claims processing and
payment performance on its website every 6 months. Such
analysis shall include a review and evaluation of a
representative sample of hospital claims that are rejected and
denied for clean and unclean claims and the top 5 reasons for
such actions and timeliness of claims adjudication, which
identifies the percentage of claims adjudicated within 30, 60,
90, and over 90 days, and the dollar amounts associated with
those claims. The Department shall post the contracted claims
report required by HealthChoice Illinois on its website every 3
months.
    (h) The Department shall not expand mandatory MCO
enrollment into new counties beyond those counties already
designated by the Department as of June 1, 2014 for the
individuals whose eligibility for medical assistance is not the
seniors or people with disabilities population until the
Department provides an opportunity for accountable care
entities and MCOs to participate in such newly designated
counties.
    (i) The requirements of this Section apply to contracts
with accountable care entities and MCOs entered into, amended,
or renewed after June 16, 2014 (the effective date of Public
Act 98-651).
(Source: P.A. 99-725, eff. 8-5-16; 99-751, eff. 8-5-16;
100-201, eff. 8-18-17; 100-580, eff. 3-12-18.)
 
ARTICLE 100. BONDING

 
    Section 100-5. The General Obligation Bond Act is amended
by changing Sections 2, 3, and 5 as follows:
 
    (30 ILCS 330/2)  (from Ch. 127, par. 652)
    Sec. 2. Authorization for Bonds. The State of Illinois is
authorized to issue, sell and provide for the retirement of
General Obligation Bonds of the State of Illinois for the
categories and specific purposes expressed in Sections 2
through 8 of this Act, in the total amount of $57,717,925,743
$55,917,925,743.
    The bonds authorized in this Section 2 and in Section 16 of
this Act are herein called "Bonds".
    Of the total amount of Bonds authorized in this Act, up to
$2,200,000,000 in aggregate original principal amount may be
issued and sold in accordance with the Baccalaureate Savings
Act in the form of General Obligation College Savings Bonds.
    Of the total amount of Bonds authorized in this Act, up to
$300,000,000 in aggregate original principal amount may be
issued and sold in accordance with the Retirement Savings Act
in the form of General Obligation Retirement Savings Bonds.
    Of the total amount of Bonds authorized in this Act, the
additional $10,000,000,000 authorized by Public Act 93-2, the
$3,466,000,000 authorized by Public Act 96-43, and the
$4,096,348,300 authorized by Public Act 96-1497 shall be used
solely as provided in Section 7.2.
    Of the total amount of Bonds authorized in this Act, the
additional $6,000,000,000 authorized by this amendatory Act of
the 100th General Assembly shall be used solely as provided in
Section 7.6 and shall be issued by December 31, 2017.
    Of the total amount of Bonds authorized in this Act,
$1,000,000,000 of the additional amount authorized by this
amendatory Act of the 100th General Assembly shall be used
solely as provided in Section 7.7.
    The issuance and sale of Bonds pursuant to the General
Obligation Bond Act is an economical and efficient method of
financing the long-term capital needs of the State. This Act
will permit the issuance of a multi-purpose General Obligation
Bond with uniform terms and features. This will not only lower
the cost of registration but also reduce the overall cost of
issuing debt by improving the marketability of Illinois General
Obligation Bonds.
(Source: P.A. 100-23, eff. 7-6-17.)
 
    (30 ILCS 330/3)  (from Ch. 127, par. 653)
    Sec. 3. Capital Facilities. The amount of $10,538,963,443
$9,753,963,443 is authorized to be used for the acquisition,
development, construction, reconstruction, improvement,
financing, architectural planning and installation of capital
facilities within the State, consisting of buildings,
structures, durable equipment, land, interests in land, and the
costs associated with the purchase and implementation of
information technology, including but not limited to the
purchase of hardware and software, for the following specific
purposes:
        (a) $3,433,228,000 $3,393,228,000 for educational
    purposes by State universities and colleges, the Illinois
    Community College Board created by the Public Community
    College Act and for grants to public community colleges as
    authorized by Sections 5-11 and 5-12 of the Public
    Community College Act;
        (b) $1,648,420,000 for correctional purposes at State
    prison and correctional centers;
        (c) $599,183,000 for open spaces, recreational and
    conservation purposes and the protection of land;
        (d) $764,317,000 $751,317,000 for child care
    facilities, mental and public health facilities, and
    facilities for the care of veterans with disabilities and
    their spouses;
        (e) $2,884,790,000 $2,152,790,000 for use by the
    State, its departments, authorities, public corporations,
    commissions and agencies;
        (f) $818,100 for cargo handling facilities at port
    districts and for breakwaters, including harbor entrances,
    at port districts in conjunction with facilities for small
    boats and pleasure crafts;
        (g) $297,177,074 for water resource management
    projects;
        (h) $16,940,269 for the provision of facilities for
    food production research and related instructional and
    public service activities at the State universities and
    public community colleges;
        (i) $36,000,000 for grants by the Secretary of State,
    as State Librarian, for central library facilities
    authorized by Section 8 of the Illinois Library System Act
    and for grants by the Capital Development Board to units of
    local government for public library facilities;
        (j) $25,000,000 for the acquisition, development,
    construction, reconstruction, improvement, financing,
    architectural planning and installation of capital
    facilities consisting of buildings, structures, durable
    equipment and land for grants to counties, municipalities
    or public building commissions with correctional
    facilities that do not comply with the minimum standards of
    the Department of Corrections under Section 3-15-2 of the
    Unified Code of Corrections;
        (k) $5,000,000 for grants in fiscal year 1988 by the
    Department of Conservation for improvement or expansion of
    aquarium facilities located on property owned by a park
    district;
        (l) $599,590,000 to State agencies for grants to local
    governments for the acquisition, financing, architectural
    planning, development, alteration, installation, and
    construction of capital facilities consisting of
    buildings, structures, durable equipment, and land; and
        (m) $228,500,000 for the Illinois Open Land Trust
    Program as defined by the Illinois Open Land Trust Act.
    The amounts authorized above for capital facilities may be
used for the acquisition, installation, alteration,
construction, or reconstruction of capital facilities and for
the purchase of equipment for the purpose of major capital
improvements which will reduce energy consumption in State
buildings or facilities.
(Source: P.A. 98-94, eff. 7-17-13; 99-143, eff. 7-27-15.)
 
    (30 ILCS 330/5)  (from Ch. 127, par. 655)
    Sec. 5. School Construction.
    (a) The amount of $58,450,000 is authorized to make grants
to local school districts for the acquisition, development,
construction, reconstruction, rehabilitation, improvement,
financing, architectural planning and installation of capital
facilities, including but not limited to those required for
special education building projects provided for in Article 14
of The School Code, consisting of buildings, structures, and
durable equipment, and for the acquisition and improvement of
real property and interests in real property required, or
expected to be required, in connection therewith.
    (b) $22,550,000, or so much thereof as may be necessary,
for grants to school districts for the making of principal and
interest payments, required to be made, on bonds issued by such
school districts after January 1, 1969, pursuant to any
indenture, ordinance, resolution, agreement or contract to
provide funds for the acquisition, development, construction,
reconstruction, rehabilitation, improvement, architectural
planning and installation of capital facilities consisting of
buildings, structures, durable equipment and land for
educational purposes or for lease payments required to be made
by a school district for principal and interest payments on
bonds issued by a Public Building Commission after January 1,
1969.
    (c) $10,000,000 for grants to school districts for the
acquisition, development, construction, reconstruction,
rehabilitation, improvement, architectural planning and
installation of capital facilities consisting of buildings
structures, durable equipment and land for special education
building projects.
    (d) $9,000,000 for grants to school districts for the
reconstruction, rehabilitation, improvement, financing and
architectural planning of capital facilities, including
construction at another location to replace such capital
facilities, consisting of those public school buildings and
temporary school facilities which, prior to January 1, 1984,
were condemned by the regional superintendent under Section
3-14.22 of The School Code or by any State official having
jurisdiction over building safety.
    (e) $3,050,000,000 for grants to school districts for
school improvement projects authorized by the School
Construction Law. The bonds shall be sold in amounts not to
exceed the following schedule, except any bonds not sold during
one year shall be added to the bonds to be sold during the
remainder of the schedule:
    First year...................................$200,000,000
    Second year..................................$450,000,000
    Third year...................................$500,000,000
    Fourth year..................................$500,000,000
    Fifth year...................................$800,000,000
    Sixth year and thereafter....................$600,000,000
    (f) $1,615,000,000 $1,600,000,000 grants to school
districts for school implemented projects authorized by the
School Construction Law.
(Source: P.A. 98-94, eff. 7-17-13.)
 
ARTICLE 110. PENSION CODE: RECERTIFICATION

 
    Section 110-5. The Illinois Administrative Procedure Act
is amended by changing Section 5-45 as follows:
 
    (5 ILCS 100/5-45)  (from Ch. 127, par. 1005-45)
    Sec. 5-45. Emergency rulemaking.
    (a) "Emergency" means the existence of any situation that
any agency finds reasonably constitutes a threat to the public
interest, safety, or welfare.
    (b) If any agency finds that an emergency exists that
requires adoption of a rule upon fewer days than is required by
Section 5-40 and states in writing its reasons for that
finding, the agency may adopt an emergency rule without prior
notice or hearing upon filing a notice of emergency rulemaking
with the Secretary of State under Section 5-70. The notice
shall include the text of the emergency rule and shall be
published in the Illinois Register. Consent orders or other
court orders adopting settlements negotiated by an agency may
be adopted under this Section. Subject to applicable
constitutional or statutory provisions, an emergency rule
becomes effective immediately upon filing under Section 5-65 or
at a stated date less than 10 days thereafter. The agency's
finding and a statement of the specific reasons for the finding
shall be filed with the rule. The agency shall take reasonable
and appropriate measures to make emergency rules known to the
persons who may be affected by them.
    (c) An emergency rule may be effective for a period of not
longer than 150 days, but the agency's authority to adopt an
identical rule under Section 5-40 is not precluded. No
emergency rule may be adopted more than once in any 24-month
period, except that this limitation on the number of emergency
rules that may be adopted in a 24-month period does not apply
to (i) emergency rules that make additions to and deletions
from the Drug Manual under Section 5-5.16 of the Illinois
Public Aid Code or the generic drug formulary under Section
3.14 of the Illinois Food, Drug and Cosmetic Act, (ii)
emergency rules adopted by the Pollution Control Board before
July 1, 1997 to implement portions of the Livestock Management
Facilities Act, (iii) emergency rules adopted by the Illinois
Department of Public Health under subsections (a) through (i)
of Section 2 of the Department of Public Health Act when
necessary to protect the public's health, (iv) emergency rules
adopted pursuant to subsection (n) of this Section, (v)
emergency rules adopted pursuant to subsection (o) of this
Section, or (vi) emergency rules adopted pursuant to subsection
(c-5) of this Section. Two or more emergency rules having
substantially the same purpose and effect shall be deemed to be
a single rule for purposes of this Section.
    (c-5) To facilitate the maintenance of the program of group
health benefits provided to annuitants, survivors, and retired
employees under the State Employees Group Insurance Act of
1971, rules to alter the contributions to be paid by the State,
annuitants, survivors, retired employees, or any combination
of those entities, for that program of group health benefits,
shall be adopted as emergency rules. The adoption of those
rules shall be considered an emergency and necessary for the
public interest, safety, and welfare.
    (d) In order to provide for the expeditious and timely
implementation of the State's fiscal year 1999 budget,
emergency rules to implement any provision of Public Act 90-587
or 90-588 or any other budget initiative for fiscal year 1999
may be adopted in accordance with this Section by the agency
charged with administering that provision or initiative,
except that the 24-month limitation on the adoption of
emergency rules and the provisions of Sections 5-115 and 5-125
do not apply to rules adopted under this subsection (d). The
adoption of emergency rules authorized by this subsection (d)
shall be deemed to be necessary for the public interest,
safety, and welfare.
    (e) In order to provide for the expeditious and timely
implementation of the State's fiscal year 2000 budget,
emergency rules to implement any provision of Public Act 91-24
or any other budget initiative for fiscal year 2000 may be
adopted in accordance with this Section by the agency charged
with administering that provision or initiative, except that
the 24-month limitation on the adoption of emergency rules and
the provisions of Sections 5-115 and 5-125 do not apply to
rules adopted under this subsection (e). The adoption of
emergency rules authorized by this subsection (e) shall be
deemed to be necessary for the public interest, safety, and
welfare.
    (f) In order to provide for the expeditious and timely
implementation of the State's fiscal year 2001 budget,
emergency rules to implement any provision of Public Act 91-712
or any other budget initiative for fiscal year 2001 may be
adopted in accordance with this Section by the agency charged
with administering that provision or initiative, except that
the 24-month limitation on the adoption of emergency rules and
the provisions of Sections 5-115 and 5-125 do not apply to
rules adopted under this subsection (f). The adoption of
emergency rules authorized by this subsection (f) shall be
deemed to be necessary for the public interest, safety, and
welfare.
    (g) In order to provide for the expeditious and timely
implementation of the State's fiscal year 2002 budget,
emergency rules to implement any provision of Public Act 92-10
or any other budget initiative for fiscal year 2002 may be
adopted in accordance with this Section by the agency charged
with administering that provision or initiative, except that
the 24-month limitation on the adoption of emergency rules and
the provisions of Sections 5-115 and 5-125 do not apply to
rules adopted under this subsection (g). The adoption of
emergency rules authorized by this subsection (g) shall be
deemed to be necessary for the public interest, safety, and
welfare.
    (h) In order to provide for the expeditious and timely
implementation of the State's fiscal year 2003 budget,
emergency rules to implement any provision of Public Act 92-597
or any other budget initiative for fiscal year 2003 may be
adopted in accordance with this Section by the agency charged
with administering that provision or initiative, except that
the 24-month limitation on the adoption of emergency rules and
the provisions of Sections 5-115 and 5-125 do not apply to
rules adopted under this subsection (h). The adoption of
emergency rules authorized by this subsection (h) shall be
deemed to be necessary for the public interest, safety, and
welfare.
    (i) In order to provide for the expeditious and timely
implementation of the State's fiscal year 2004 budget,
emergency rules to implement any provision of Public Act 93-20
or any other budget initiative for fiscal year 2004 may be
adopted in accordance with this Section by the agency charged
with administering that provision or initiative, except that
the 24-month limitation on the adoption of emergency rules and
the provisions of Sections 5-115 and 5-125 do not apply to
rules adopted under this subsection (i). The adoption of
emergency rules authorized by this subsection (i) shall be
deemed to be necessary for the public interest, safety, and
welfare.
    (j) In order to provide for the expeditious and timely
implementation of the provisions of the State's fiscal year
2005 budget as provided under the Fiscal Year 2005 Budget
Implementation (Human Services) Act, emergency rules to
implement any provision of the Fiscal Year 2005 Budget
Implementation (Human Services) Act may be adopted in
accordance with this Section by the agency charged with
administering that provision, except that the 24-month
limitation on the adoption of emergency rules and the
provisions of Sections 5-115 and 5-125 do not apply to rules
adopted under this subsection (j). The Department of Public Aid
may also adopt rules under this subsection (j) necessary to
administer the Illinois Public Aid Code and the Children's
Health Insurance Program Act. The adoption of emergency rules
authorized by this subsection (j) shall be deemed to be
necessary for the public interest, safety, and welfare.
    (k) In order to provide for the expeditious and timely
implementation of the provisions of the State's fiscal year
2006 budget, emergency rules to implement any provision of
Public Act 94-48 or any other budget initiative for fiscal year
2006 may be adopted in accordance with this Section by the
agency charged with administering that provision or
initiative, except that the 24-month limitation on the adoption
of emergency rules and the provisions of Sections 5-115 and
5-125 do not apply to rules adopted under this subsection (k).
The Department of Healthcare and Family Services may also adopt
rules under this subsection (k) necessary to administer the
Illinois Public Aid Code, the Senior Citizens and Persons with
Disabilities Property Tax Relief Act, the Senior Citizens and
Disabled Persons Prescription Drug Discount Program Act (now
the Illinois Prescription Drug Discount Program Act), and the
Children's Health Insurance Program Act. The adoption of
emergency rules authorized by this subsection (k) shall be
deemed to be necessary for the public interest, safety, and
welfare.
    (l) In order to provide for the expeditious and timely
implementation of the provisions of the State's fiscal year
2007 budget, the Department of Healthcare and Family Services
may adopt emergency rules during fiscal year 2007, including
rules effective July 1, 2007, in accordance with this
subsection to the extent necessary to administer the
Department's responsibilities with respect to amendments to
the State plans and Illinois waivers approved by the federal
Centers for Medicare and Medicaid Services necessitated by the
requirements of Title XIX and Title XXI of the federal Social
Security Act. The adoption of emergency rules authorized by
this subsection (l) shall be deemed to be necessary for the
public interest, safety, and welfare.
    (m) In order to provide for the expeditious and timely
implementation of the provisions of the State's fiscal year
2008 budget, the Department of Healthcare and Family Services
may adopt emergency rules during fiscal year 2008, including
rules effective July 1, 2008, in accordance with this
subsection to the extent necessary to administer the
Department's responsibilities with respect to amendments to
the State plans and Illinois waivers approved by the federal
Centers for Medicare and Medicaid Services necessitated by the
requirements of Title XIX and Title XXI of the federal Social
Security Act. The adoption of emergency rules authorized by
this subsection (m) shall be deemed to be necessary for the
public interest, safety, and welfare.
    (n) In order to provide for the expeditious and timely
implementation of the provisions of the State's fiscal year
2010 budget, emergency rules to implement any provision of
Public Act 96-45 or any other budget initiative authorized by
the 96th General Assembly for fiscal year 2010 may be adopted
in accordance with this Section by the agency charged with
administering that provision or initiative. The adoption of
emergency rules authorized by this subsection (n) shall be
deemed to be necessary for the public interest, safety, and
welfare. The rulemaking authority granted in this subsection
(n) shall apply only to rules promulgated during Fiscal Year
2010.
    (o) In order to provide for the expeditious and timely
implementation of the provisions of the State's fiscal year
2011 budget, emergency rules to implement any provision of
Public Act 96-958 or any other budget initiative authorized by
the 96th General Assembly for fiscal year 2011 may be adopted
in accordance with this Section by the agency charged with
administering that provision or initiative. The adoption of
emergency rules authorized by this subsection (o) is deemed to
be necessary for the public interest, safety, and welfare. The
rulemaking authority granted in this subsection (o) applies
only to rules promulgated on or after July 1, 2010 (the
effective date of Public Act 96-958) through June 30, 2011.
    (p) In order to provide for the expeditious and timely
implementation of the provisions of Public Act 97-689,
emergency rules to implement any provision of Public Act 97-689
may be adopted in accordance with this subsection (p) by the
agency charged with administering that provision or
initiative. The 150-day limitation of the effective period of
emergency rules does not apply to rules adopted under this
subsection (p), and the effective period may continue through
June 30, 2013. The 24-month limitation on the adoption of
emergency rules does not apply to rules adopted under this
subsection (p). The adoption of emergency rules authorized by
this subsection (p) is deemed to be necessary for the public
interest, safety, and welfare.
    (q) In order to provide for the expeditious and timely
implementation of the provisions of Articles 7, 8, 9, 11, and
12 of Public Act 98-104, emergency rules to implement any
provision of Articles 7, 8, 9, 11, and 12 of Public Act 98-104
may be adopted in accordance with this subsection (q) by the
agency charged with administering that provision or
initiative. The 24-month limitation on the adoption of
emergency rules does not apply to rules adopted under this
subsection (q). The adoption of emergency rules authorized by
this subsection (q) is deemed to be necessary for the public
interest, safety, and welfare.
    (r) In order to provide for the expeditious and timely
implementation of the provisions of Public Act 98-651,
emergency rules to implement Public Act 98-651 may be adopted
in accordance with this subsection (r) by the Department of
Healthcare and Family Services. The 24-month limitation on the
adoption of emergency rules does not apply to rules adopted
under this subsection (r). The adoption of emergency rules
authorized by this subsection (r) is deemed to be necessary for
the public interest, safety, and welfare.
    (s) In order to provide for the expeditious and timely
implementation of the provisions of Sections 5-5b.1 and 5A-2 of
the Illinois Public Aid Code, emergency rules to implement any
provision of Section 5-5b.1 or Section 5A-2 of the Illinois
Public Aid Code may be adopted in accordance with this
subsection (s) by the Department of Healthcare and Family
Services. The rulemaking authority granted in this subsection
(s) shall apply only to those rules adopted prior to July 1,
2015. Notwithstanding any other provision of this Section, any
emergency rule adopted under this subsection (s) shall only
apply to payments made for State fiscal year 2015. The adoption
of emergency rules authorized by this subsection (s) is deemed
to be necessary for the public interest, safety, and welfare.
    (t) In order to provide for the expeditious and timely
implementation of the provisions of Article II of Public Act
99-6, emergency rules to implement the changes made by Article
II of Public Act 99-6 to the Emergency Telephone System Act may
be adopted in accordance with this subsection (t) by the
Department of State Police. The rulemaking authority granted in
this subsection (t) shall apply only to those rules adopted
prior to July 1, 2016. The 24-month limitation on the adoption
of emergency rules does not apply to rules adopted under this
subsection (t). The adoption of emergency rules authorized by
this subsection (t) is deemed to be necessary for the public
interest, safety, and welfare.
    (u) In order to provide for the expeditious and timely
implementation of the provisions of the Burn Victims Relief
Act, emergency rules to implement any provision of the Act may
be adopted in accordance with this subsection (u) by the
Department of Insurance. The rulemaking authority granted in
this subsection (u) shall apply only to those rules adopted
prior to December 31, 2015. The adoption of emergency rules
authorized by this subsection (u) is deemed to be necessary for
the public interest, safety, and welfare.
    (v) In order to provide for the expeditious and timely
implementation of the provisions of Public Act 99-516,
emergency rules to implement Public Act 99-516 may be adopted
in accordance with this subsection (v) by the Department of
Healthcare and Family Services. The 24-month limitation on the
adoption of emergency rules does not apply to rules adopted
under this subsection (v). The adoption of emergency rules
authorized by this subsection (v) is deemed to be necessary for
the public interest, safety, and welfare.
    (w) In order to provide for the expeditious and timely
implementation of the provisions of Public Act 99-796,
emergency rules to implement the changes made by Public Act
99-796 may be adopted in accordance with this subsection (w) by
the Adjutant General. The adoption of emergency rules
authorized by this subsection (w) is deemed to be necessary for
the public interest, safety, and welfare.
    (x) In order to provide for the expeditious and timely
implementation of the provisions of Public Act 99-906,
emergency rules to implement subsection (i) of Section 16-115D,
subsection (g) of Section 16-128A, and subsection (a) of
Section 16-128B of the Public Utilities Act may be adopted in
accordance with this subsection (x) by the Illinois Commerce
Commission. The rulemaking authority granted in this
subsection (x) shall apply only to those rules adopted within
180 days after June 1, 2017 (the effective date of Public Act
99-906). The adoption of emergency rules authorized by this
subsection (x) is deemed to be necessary for the public
interest, safety, and welfare.
    (y) In order to provide for the expeditious and timely
implementation of the provisions of this amendatory Act of the
100th General Assembly, emergency rules to implement the
changes made by this amendatory Act of the 100th General
Assembly to Section 4.02 of the Illinois Act on Aging, Sections
5.5.4 and 5-5.4i of the Illinois Public Aid Code, Section 55-30
of the Alcoholism and Other Drug Abuse and Dependency Act, and
Sections 74 and 75 of the Mental Health and Developmental
Disabilities Administrative Act may be adopted in accordance
with this subsection (y) by the respective Department. The
adoption of emergency rules authorized by this subsection (y)
is deemed to be necessary for the public interest, safety, and
welfare.
    (z) In order to provide for the expeditious and timely
implementation of the provisions of this amendatory Act of the
100th General Assembly, emergency rules to implement the
changes made by this amendatory Act of the 100th General
Assembly to Section 4.7 of the Lobbyist Registration Act may be
adopted in accordance with this subsection (z) by the Secretary
of State. The adoption of emergency rules authorized by this
subsection (z) is deemed to be necessary for the public
interest, safety, and welfare.
    (aa) In order to provide for the expeditious and timely
initial implementation of the changes made to Articles 5, 5A,
12, and 14 of the Illinois Public Aid Code under the provisions
of this amendatory Act of the 100th General Assembly, the
Department of Healthcare and Family Services may adopt
emergency rules in accordance with this subsection (aa). The
24-month limitation on the adoption of emergency rules does not
apply to rules to initially implement the changes made to
Articles 5, 5A, 12, and 14 of the Illinois Public Aid Code
adopted under this subsection (aa). The adoption of emergency
rules authorized by this subsection (aa) is deemed to be
necessary for the public interest, safety, and welfare.
    (bb) In order to provide for the expeditious and timely
implementation of the provisions of this amendatory Act of the
100th General Assembly, emergency rules may be adopted in
accordance with this subsection (bb) to implement the changes
made by this amendatory Act of the 100th General Assembly to:
Sections 14-147.5 and 14-147.6 of the Illinois Pension Code by
the Board created under Article 14 of the Code; Sections
15-185.5 and 15-185.6 of the Illinois Pension Code by the Board
created under Article 15 of the Code; and Sections 16-190.5 and
16-190.6 of the Illinois Pension Code by the Board created
under Article 16 of the Code. The adoption of emergency rules
authorized by this subsection (bb) is deemed to be necessary
for the public interest, safety, and welfare.
(Source: P.A. 99-2, eff. 3-26-15; 99-6, eff. 1-1-16; 99-143,
eff. 7-27-15; 99-455, eff. 1-1-16; 99-516, eff. 6-30-16;
99-642, eff. 7-28-16; 99-796, eff. 1-1-17; 99-906, eff. 6-1-17;
100-23, eff. 7-6-17; 100-554, eff. 11-16-17; 100-581, eff.
3-12-18.)
 
    Section 110-10. The State Employees Group Insurance Act of
1971 is amended by changing Sections 3 and 10 as follows:
 
    (5 ILCS 375/3)  (from Ch. 127, par. 523)
    Sec. 3. Definitions. Unless the context otherwise
requires, the following words and phrases as used in this Act
shall have the following meanings. The Department may define
these and other words and phrases separately for the purpose of
implementing specific programs providing benefits under this
Act.
    (a) "Administrative service organization" means any
person, firm or corporation experienced in the handling of
claims which is fully qualified, financially sound and capable
of meeting the service requirements of a contract of
administration executed with the Department.
    (b) "Annuitant" means (1) an employee who retires, or has
retired, on or after January 1, 1966 on an immediate annuity
under the provisions of Articles 2, 14 (including an employee
who has elected to receive an alternative retirement
cancellation payment under Section 14-108.5 of the Illinois
Pension Code in lieu of an annuity or who meets the criteria
for retirement, but in lieu of receiving an annuity under that
Article has elected to receive an accelerated pension benefit
payment under Section 14-147.5 of that Article), 15 (including
an employee who has retired under the optional retirement
program established under Section 15-158.2 or who meets the
criteria for retirement but in lieu of receiving an annuity
under that Article has elected to receive an accelerated
pension benefit payment under Section 15-185.5 of the Article),
paragraphs (2), (3), or (5) of Section 16-106 (including an
employee who meets the criteria for retirement, but in lieu of
receiving an annuity under that Article has elected to receive
an accelerated pension benefit payment under Section 16-190.5
of the Illinois Pension Code), or Article 18 of the Illinois
Pension Code; (2) any person who was receiving group insurance
coverage under this Act as of March 31, 1978 by reason of his
status as an annuitant, even though the annuity in relation to
which such coverage was provided is a proportional annuity
based on less than the minimum period of service required for a
retirement annuity in the system involved; (3) any person not
otherwise covered by this Act who has retired as a
participating member under Article 2 of the Illinois Pension
Code but is ineligible for the retirement annuity under Section
2-119 of the Illinois Pension Code; (4) the spouse of any
person who is receiving a retirement annuity under Article 18
of the Illinois Pension Code and who is covered under a group
health insurance program sponsored by a governmental employer
other than the State of Illinois and who has irrevocably
elected to waive his or her coverage under this Act and to have
his or her spouse considered as the "annuitant" under this Act
and not as a "dependent"; or (5) an employee who retires, or
has retired, from a qualified position, as determined according
to rules promulgated by the Director, under a qualified local
government, a qualified rehabilitation facility, a qualified
domestic violence shelter or service, or a qualified child
advocacy center. (For definition of "retired employee", see (p)
post).
    (b-5) (Blank).
    (b-6) (Blank).
    (b-7) (Blank).
    (c) "Carrier" means (1) an insurance company, a corporation
organized under the Limited Health Service Organization Act or
the Voluntary Health Services Plan Act, a partnership, or other
nongovernmental organization, which is authorized to do group
life or group health insurance business in Illinois, or (2) the
State of Illinois as a self-insurer.
    (d) "Compensation" means salary or wages payable on a
regular payroll by the State Treasurer on a warrant of the
State Comptroller out of any State, trust or federal fund, or
by the Governor of the State through a disbursing officer of
the State out of a trust or out of federal funds, or by any
Department out of State, trust, federal or other funds held by
the State Treasurer or the Department, to any person for
personal services currently performed, and ordinary or
accidental disability benefits under Articles 2, 14, 15
(including ordinary or accidental disability benefits under
the optional retirement program established under Section
15-158.2), paragraphs (2), (3), or (5) of Section 16-106, or
Article 18 of the Illinois Pension Code, for disability
incurred after January 1, 1966, or benefits payable under the
Workers' Compensation or Occupational Diseases Act or benefits
payable under a sick pay plan established in accordance with
Section 36 of the State Finance Act. "Compensation" also means
salary or wages paid to an employee of any qualified local
government, qualified rehabilitation facility, qualified
domestic violence shelter or service, or qualified child
advocacy center.
    (e) "Commission" means the State Employees Group Insurance
Advisory Commission authorized by this Act. Commencing July 1,
1984, "Commission" as used in this Act means the Commission on
Government Forecasting and Accountability as established by
the Legislative Commission Reorganization Act of 1984.
    (f) "Contributory", when referred to as contributory
coverage, shall mean optional coverages or benefits elected by
the member toward the cost of which such member makes
contribution, or which are funded in whole or in part through
the acceptance of a reduction in earnings or the foregoing of
an increase in earnings by an employee, as distinguished from
noncontributory coverage or benefits which are paid entirely by
the State of Illinois without reduction of the member's salary.
    (g) "Department" means any department, institution, board,
commission, officer, court or any agency of the State
government receiving appropriations and having power to
certify payrolls to the Comptroller authorizing payments of
salary and wages against such appropriations as are made by the
General Assembly from any State fund, or against trust funds
held by the State Treasurer and includes boards of trustees of
the retirement systems created by Articles 2, 14, 15, 16 and 18
of the Illinois Pension Code. "Department" also includes the
Illinois Comprehensive Health Insurance Board, the Board of
Examiners established under the Illinois Public Accounting
Act, and the Illinois Finance Authority.
    (h) "Dependent", when the term is used in the context of
the health and life plan, means a member's spouse and any child
(1) from birth to age 26 including an adopted child, a child
who lives with the member from the time of the placement for
adoption until entry of an order of adoption, a stepchild or
adjudicated child, or a child who lives with the member if such
member is a court appointed guardian of the child or (2) age 19
or over who has a mental or physical disability from a cause
originating prior to the age of 19 (age 26 if enrolled as an
adult child dependent). For the health plan only, the term
"dependent" also includes (1) any person enrolled prior to the
effective date of this Section who is dependent upon the member
to the extent that the member may claim such person as a
dependent for income tax deduction purposes and (2) any person
who has received after June 30, 2000 an organ transplant and
who is financially dependent upon the member and eligible to be
claimed as a dependent for income tax purposes. A member
requesting to cover any dependent must provide documentation as
requested by the Department of Central Management Services and
file with the Department any and all forms required by the
Department.
    (i) "Director" means the Director of the Illinois
Department of Central Management Services.
    (j) "Eligibility period" means the period of time a member
has to elect enrollment in programs or to select benefits
without regard to age, sex or health.
    (k) "Employee" means and includes each officer or employee
in the service of a department who (1) receives his
compensation for service rendered to the department on a
warrant issued pursuant to a payroll certified by a department
or on a warrant or check issued and drawn by a department upon
a trust, federal or other fund or on a warrant issued pursuant
to a payroll certified by an elected or duly appointed officer
of the State or who receives payment of the performance of
personal services on a warrant issued pursuant to a payroll
certified by a Department and drawn by the Comptroller upon the
State Treasurer against appropriations made by the General
Assembly from any fund or against trust funds held by the State
Treasurer, and (2) is employed full-time or part-time in a
position normally requiring actual performance of duty during
not less than 1/2 of a normal work period, as established by
the Director in cooperation with each department, except that
persons elected by popular vote will be considered employees
during the entire term for which they are elected regardless of
hours devoted to the service of the State, and (3) except that
"employee" does not include any person who is not eligible by
reason of such person's employment to participate in one of the
State retirement systems under Articles 2, 14, 15 (either the
regular Article 15 system or the optional retirement program
established under Section 15-158.2) or 18, or under paragraph
(2), (3), or (5) of Section 16-106, of the Illinois Pension
Code, but such term does include persons who are employed
during the 6 month qualifying period under Article 14 of the
Illinois Pension Code. Such term also includes any person who
(1) after January 1, 1966, is receiving ordinary or accidental
disability benefits under Articles 2, 14, 15 (including
ordinary or accidental disability benefits under the optional
retirement program established under Section 15-158.2),
paragraphs (2), (3), or (5) of Section 16-106, or Article 18 of
the Illinois Pension Code, for disability incurred after
January 1, 1966, (2) receives total permanent or total
temporary disability under the Workers' Compensation Act or
Occupational Disease Act as a result of injuries sustained or
illness contracted in the course of employment with the State
of Illinois, or (3) is not otherwise covered under this Act and
has retired as a participating member under Article 2 of the
Illinois Pension Code but is ineligible for the retirement
annuity under Section 2-119 of the Illinois Pension Code.
However, a person who satisfies the criteria of the foregoing
definition of "employee" except that such person is made
ineligible to participate in the State Universities Retirement
System by clause (4) of subsection (a) of Section 15-107 of the
Illinois Pension Code is also an "employee" for the purposes of
this Act. "Employee" also includes any person receiving or
eligible for benefits under a sick pay plan established in
accordance with Section 36 of the State Finance Act. "Employee"
also includes (i) each officer or employee in the service of a
qualified local government, including persons appointed as
trustees of sanitary districts regardless of hours devoted to
the service of the sanitary district, (ii) each employee in the
service of a qualified rehabilitation facility, (iii) each
full-time employee in the service of a qualified domestic
violence shelter or service, and (iv) each full-time employee
in the service of a qualified child advocacy center, as
determined according to rules promulgated by the Director.
    (l) "Member" means an employee, annuitant, retired
employee or survivor. In the case of an annuitant or retired
employee who first becomes an annuitant or retired employee on
or after the effective date of this amendatory Act of the 97th
General Assembly, the individual must meet the minimum vesting
requirements of the applicable retirement system in order to be
eligible for group insurance benefits under that system. In the
case of a survivor who first becomes a survivor on or after the
effective date of this amendatory Act of the 97th General
Assembly, the deceased employee, annuitant, or retired
employee upon whom the annuity is based must have been eligible
to participate in the group insurance system under the
applicable retirement system in order for the survivor to be
eligible for group insurance benefits under that system.
    (m) "Optional coverages or benefits" means those coverages
or benefits available to the member on his or her voluntary
election, and at his or her own expense.
    (n) "Program" means the group life insurance, health
benefits and other employee benefits designed and contracted
for by the Director under this Act.
    (o) "Health plan" means a health benefits program offered
by the State of Illinois for persons eligible for the plan.
    (p) "Retired employee" means any person who would be an
annuitant as that term is defined herein but for the fact that
such person retired prior to January 1, 1966. Such term also
includes any person formerly employed by the University of
Illinois in the Cooperative Extension Service who would be an
annuitant but for the fact that such person was made ineligible
to participate in the State Universities Retirement System by
clause (4) of subsection (a) of Section 15-107 of the Illinois
Pension Code.
    (q) "Survivor" means a person receiving an annuity as a
survivor of an employee or of an annuitant. "Survivor" also
includes: (1) the surviving dependent of a person who satisfies
the definition of "employee" except that such person is made
ineligible to participate in the State Universities Retirement
System by clause (4) of subsection (a) of Section 15-107 of the
Illinois Pension Code; (2) the surviving dependent of any
person formerly employed by the University of Illinois in the
Cooperative Extension Service who would be an annuitant except
for the fact that such person was made ineligible to
participate in the State Universities Retirement System by
clause (4) of subsection (a) of Section 15-107 of the Illinois
Pension Code; and (3) the surviving dependent of a person who
was an annuitant under this Act by virtue of receiving an
alternative retirement cancellation payment under Section
14-108.5 of the Illinois Pension Code.
    (q-2) "SERS" means the State Employees' Retirement System
of Illinois, created under Article 14 of the Illinois Pension
Code.
    (q-3) "SURS" means the State Universities Retirement
System, created under Article 15 of the Illinois Pension Code.
    (q-4) "TRS" means the Teachers' Retirement System of the
State of Illinois, created under Article 16 of the Illinois
Pension Code.
    (q-5) (Blank).
    (q-6) (Blank).
    (q-7) (Blank).
    (r) "Medical services" means the services provided within
the scope of their licenses by practitioners in all categories
licensed under the Medical Practice Act of 1987.
    (s) "Unit of local government" means any county,
municipality, township, school district (including a
combination of school districts under the Intergovernmental
Cooperation Act), special district or other unit, designated as
a unit of local government by law, which exercises limited
governmental powers or powers in respect to limited
governmental subjects, any not-for-profit association with a
membership that primarily includes townships and township
officials, that has duties that include provision of research
service, dissemination of information, and other acts for the
purpose of improving township government, and that is funded
wholly or partly in accordance with Section 85-15 of the
Township Code; any not-for-profit corporation or association,
with a membership consisting primarily of municipalities, that
operates its own utility system, and provides research,
training, dissemination of information, or other acts to
promote cooperation between and among municipalities that
provide utility services and for the advancement of the goals
and purposes of its membership; the Southern Illinois
Collegiate Common Market, which is a consortium of higher
education institutions in Southern Illinois; the Illinois
Association of Park Districts; and any hospital provider that
is owned by a county that has 100 or fewer hospital beds and
has not already joined the program. "Qualified local
government" means a unit of local government approved by the
Director and participating in a program created under
subsection (i) of Section 10 of this Act.
    (t) "Qualified rehabilitation facility" means any
not-for-profit organization that is accredited by the
Commission on Accreditation of Rehabilitation Facilities or
certified by the Department of Human Services (as successor to
the Department of Mental Health and Developmental
Disabilities) to provide services to persons with disabilities
and which receives funds from the State of Illinois for
providing those services, approved by the Director and
participating in a program created under subsection (j) of
Section 10 of this Act.
    (u) "Qualified domestic violence shelter or service" means
any Illinois domestic violence shelter or service and its
administrative offices funded by the Department of Human
Services (as successor to the Illinois Department of Public
Aid), approved by the Director and participating in a program
created under subsection (k) of Section 10.
    (v) "TRS benefit recipient" means a person who:
        (1) is not a "member" as defined in this Section; and
        (2) is receiving a monthly benefit or retirement
    annuity under Article 16 of the Illinois Pension Code; and
        (3) either (i) has at least 8 years of creditable
    service under Article 16 of the Illinois Pension Code, or
    (ii) was enrolled in the health insurance program offered
    under that Article on January 1, 1996, or (iii) is the
    survivor of a benefit recipient who had at least 8 years of
    creditable service under Article 16 of the Illinois Pension
    Code or was enrolled in the health insurance program
    offered under that Article on the effective date of this
    amendatory Act of 1995, or (iv) is a recipient or survivor
    of a recipient of a disability benefit under Article 16 of
    the Illinois Pension Code.
    (w) "TRS dependent beneficiary" means a person who:
        (1) is not a "member" or "dependent" as defined in this
    Section; and
        (2) is a TRS benefit recipient's: (A) spouse, (B)
    dependent parent who is receiving at least half of his or
    her support from the TRS benefit recipient, or (C) natural,
    step, adjudicated, or adopted child who is (i) under age
    26, (ii) was, on January 1, 1996, participating as a
    dependent beneficiary in the health insurance program
    offered under Article 16 of the Illinois Pension Code, or
    (iii) age 19 or over who has a mental or physical
    disability from a cause originating prior to the age of 19
    (age 26 if enrolled as an adult child).
    "TRS dependent beneficiary" does not include, as indicated
under paragraph (2) of this subsection (w), a dependent of the
survivor of a TRS benefit recipient who first becomes a
dependent of a survivor of a TRS benefit recipient on or after
the effective date of this amendatory Act of the 97th General
Assembly unless that dependent would have been eligible for
coverage as a dependent of the deceased TRS benefit recipient
upon whom the survivor benefit is based.
    (x) "Military leave" refers to individuals in basic
training for reserves, special/advanced training, annual
training, emergency call up, activation by the President of the
United States, or any other training or duty in service to the
United States Armed Forces.
    (y) (Blank).
    (z) "Community college benefit recipient" means a person
who:
        (1) is not a "member" as defined in this Section; and
        (2) is receiving a monthly survivor's annuity or
    retirement annuity under Article 15 of the Illinois Pension
    Code; and
        (3) either (i) was a full-time employee of a community
    college district or an association of community college
    boards created under the Public Community College Act
    (other than an employee whose last employer under Article
    15 of the Illinois Pension Code was a community college
    district subject to Article VII of the Public Community
    College Act) and was eligible to participate in a group
    health benefit plan as an employee during the time of
    employment with a community college district (other than a
    community college district subject to Article VII of the
    Public Community College Act) or an association of
    community college boards, or (ii) is the survivor of a
    person described in item (i).
    (aa) "Community college dependent beneficiary" means a
person who:
        (1) is not a "member" or "dependent" as defined in this
    Section; and
        (2) is a community college benefit recipient's: (A)
    spouse, (B) dependent parent who is receiving at least half
    of his or her support from the community college benefit
    recipient, or (C) natural, step, adjudicated, or adopted
    child who is (i) under age 26, or (ii) age 19 or over and
    has a mental or physical disability from a cause
    originating prior to the age of 19 (age 26 if enrolled as
    an adult child).
    "Community college dependent beneficiary" does not
include, as indicated under paragraph (2) of this subsection
(aa), a dependent of the survivor of a community college
benefit recipient who first becomes a dependent of a survivor
of a community college benefit recipient on or after the
effective date of this amendatory Act of the 97th General
Assembly unless that dependent would have been eligible for
coverage as a dependent of the deceased community college
benefit recipient upon whom the survivor annuity is based.
    (bb) "Qualified child advocacy center" means any Illinois
child advocacy center and its administrative offices funded by
the Department of Children and Family Services, as defined by
the Children's Advocacy Center Act (55 ILCS 80/), approved by
the Director and participating in a program created under
subsection (n) of Section 10.
    (cc) "Placement for adoption" means the assumption and
retention by a member of a legal obligation for total or
partial support of a child in anticipation of adoption of the
child. The child's placement with the member terminates upon
the termination of such legal obligation.
(Source: P.A. 99-143, eff. 7-27-15; 100-355, eff. 1-1-18.)
 
    (5 ILCS 375/10)  (from Ch. 127, par. 530)
    Sec. 10. Contributions by the State and members.
    (a) The State shall pay the cost of basic non-contributory
group life insurance and, subject to member paid contributions
set by the Department or required by this Section and except as
provided in this Section, the basic program of group health
benefits on each eligible member, except a member, not
otherwise covered by this Act, who has retired as a
participating member under Article 2 of the Illinois Pension
Code but is ineligible for the retirement annuity under Section
2-119 of the Illinois Pension Code, and part of each eligible
member's and retired member's premiums for health insurance
coverage for enrolled dependents as provided by Section 9. The
State shall pay the cost of the basic program of group health
benefits only after benefits are reduced by the amount of
benefits covered by Medicare for all members and dependents who
are eligible for benefits under Social Security or the Railroad
Retirement system or who had sufficient Medicare-covered
government employment, except that such reduction in benefits
shall apply only to those members and dependents who (1) first
become eligible for such Medicare coverage on or after July 1,
1992; or (2) are Medicare-eligible members or dependents of a
local government unit which began participation in the program
on or after July 1, 1992; or (3) remain eligible for, but no
longer receive Medicare coverage which they had been receiving
on or after July 1, 1992. The Department may determine the
aggregate level of the State's contribution on the basis of
actual cost of medical services adjusted for age, sex or
geographic or other demographic characteristics which affect
the costs of such programs.
    The cost of participation in the basic program of group
health benefits for the dependent or survivor of a living or
deceased retired employee who was formerly employed by the
University of Illinois in the Cooperative Extension Service and
would be an annuitant but for the fact that he or she was made
ineligible to participate in the State Universities Retirement
System by clause (4) of subsection (a) of Section 15-107 of the
Illinois Pension Code shall not be greater than the cost of
participation that would otherwise apply to that dependent or
survivor if he or she were the dependent or survivor of an
annuitant under the State Universities Retirement System.
    (a-1) (Blank).
    (a-2) (Blank).
    (a-3) (Blank).
    (a-4) (Blank).
    (a-5) (Blank).
    (a-6) (Blank).
    (a-7) (Blank).
    (a-8) Any annuitant, survivor, or retired employee may
waive or terminate coverage in the program of group health
benefits. Any such annuitant, survivor, or retired employee who
has waived or terminated coverage may enroll or re-enroll in
the program of group health benefits only during the annual
benefit choice period, as determined by the Director; except
that in the event of termination of coverage due to nonpayment
of premiums, the annuitant, survivor, or retired employee may
not re-enroll in the program.
    (a-8.5) Beginning on the effective date of this amendatory
Act of the 97th General Assembly, the Director of Central
Management Services shall, on an annual basis, determine the
amount that the State shall contribute toward the basic program
of group health benefits on behalf of annuitants (including
individuals who (i) participated in the General Assembly
Retirement System, the State Employees' Retirement System of
Illinois, the State Universities Retirement System, the
Teachers' Retirement System of the State of Illinois, or the
Judges Retirement System of Illinois and (ii) qualify as
annuitants under subsection (b) of Section 3 of this Act),
survivors (including individuals who (i) receive an annuity as
a survivor of an individual who participated in the General
Assembly Retirement System, the State Employees' Retirement
System of Illinois, the State Universities Retirement System,
the Teachers' Retirement System of the State of Illinois, or
the Judges Retirement System of Illinois and (ii) qualify as
survivors under subsection (q) of Section 3 of this Act), and
retired employees (as defined in subsection (p) of Section 3 of
this Act). The remainder of the cost of coverage for each
annuitant, survivor, or retired employee, as determined by the
Director of Central Management Services, shall be the
responsibility of that annuitant, survivor, or retired
employee.
    Contributions required of annuitants, survivors, and
retired employees shall be the same for all retirement systems
and shall also be based on whether an individual has made an
election under Section 15-135.1 of the Illinois Pension Code.
Contributions may be based on annuitants', survivors', or
retired employees' Medicare eligibility, but may not be based
on Social Security eligibility.
    (a-9) No later than May 1 of each calendar year, the
Director of Central Management Services shall certify in
writing to the Executive Secretary of the State Employees'
Retirement System of Illinois the amounts of the Medicare
supplement health care premiums and the amounts of the health
care premiums for all other retirees who are not Medicare
eligible.
    A separate calculation of the premiums based upon the
actual cost of each health care plan shall be so certified.
    The Director of Central Management Services shall provide
to the Executive Secretary of the State Employees' Retirement
System of Illinois such information, statistics, and other data
as he or she may require to review the premium amounts
certified by the Director of Central Management Services.
    The Department of Central Management Services, or any
successor agency designated to procure healthcare contracts
pursuant to this Act, is authorized to establish funds,
separate accounts provided by any bank or banks as defined by
the Illinois Banking Act, or separate accounts provided by any
savings and loan association or associations as defined by the
Illinois Savings and Loan Act of 1985 to be held by the
Director, outside the State treasury, for the purpose of
receiving the transfer of moneys from the Local Government
Health Insurance Reserve Fund. The Department may promulgate
rules further defining the methodology for the transfers. Any
interest earned by moneys in the funds or accounts shall inure
to the Local Government Health Insurance Reserve Fund. The
transferred moneys, and interest accrued thereon, shall be used
exclusively for transfers to administrative service
organizations or their financial institutions for payments of
claims to claimants and providers under the self-insurance
health plan. The transferred moneys, and interest accrued
thereon, shall not be used for any other purpose including, but
not limited to, reimbursement of administration fees due the
administrative service organization pursuant to its contract
or contracts with the Department.
    (a-10) To the extent that participation, benefits, or
premiums under this Act are based on a person's service credit
under an Article of the Illinois Pension Code, service credit
terminated in exchange for an accelerated pension benefit
payment under Section 14-147.5, 15-185.5, or 16-190.5 of that
Code shall be included in determining a person's service credit
for the purposes of this Act.
    (b) State employees who become eligible for this program on
or after January 1, 1980 in positions normally requiring actual
performance of duty not less than 1/2 of a normal work period
but not equal to that of a normal work period, shall be given
the option of participating in the available program. If the
employee elects coverage, the State shall contribute on behalf
of such employee to the cost of the employee's benefit and any
applicable dependent supplement, that sum which bears the same
percentage as that percentage of time the employee regularly
works when compared to normal work period.
    (c) The basic non-contributory coverage from the basic
program of group health benefits shall be continued for each
employee not in pay status or on active service by reason of
(1) leave of absence due to illness or injury, (2) authorized
educational leave of absence or sabbatical leave, or (3)
military leave. This coverage shall continue until expiration
of authorized leave and return to active service, but not to
exceed 24 months for leaves under item (1) or (2). This
24-month limitation and the requirement of returning to active
service shall not apply to persons receiving ordinary or
accidental disability benefits or retirement benefits through
the appropriate State retirement system or benefits under the
Workers' Compensation or Occupational Disease Act.
    (d) The basic group life insurance coverage shall continue,
with full State contribution, where such person is (1) absent
from active service by reason of disability arising from any
cause other than self-inflicted, (2) on authorized educational
leave of absence or sabbatical leave, or (3) on military leave.
    (e) Where the person is in non-pay status for a period in
excess of 30 days or on leave of absence, other than by reason
of disability, educational or sabbatical leave, or military
leave, such person may continue coverage only by making
personal payment equal to the amount normally contributed by
the State on such person's behalf. Such payments and coverage
may be continued: (1) until such time as the person returns to
a status eligible for coverage at State expense, but not to
exceed 24 months or (2) until such person's employment or
annuitant status with the State is terminated (exclusive of any
additional service imposed pursuant to law).
    (f) The Department shall establish by rule the extent to
which other employee benefits will continue for persons in
non-pay status or who are not in active service.
    (g) The State shall not pay the cost of the basic
non-contributory group life insurance, program of health
benefits and other employee benefits for members who are
survivors as defined by paragraphs (1) and (2) of subsection
(q) of Section 3 of this Act. The costs of benefits for these
survivors shall be paid by the survivors or by the University
of Illinois Cooperative Extension Service, or any combination
thereof. However, the State shall pay the amount of the
reduction in the cost of participation, if any, resulting from
the amendment to subsection (a) made by this amendatory Act of
the 91st General Assembly.
    (h) Those persons occupying positions with any department
as a result of emergency appointments pursuant to Section 8b.8
of the Personnel Code who are not considered employees under
this Act shall be given the option of participating in the
programs of group life insurance, health benefits and other
employee benefits. Such persons electing coverage may
participate only by making payment equal to the amount normally
contributed by the State for similarly situated employees. Such
amounts shall be determined by the Director. Such payments and
coverage may be continued until such time as the person becomes
an employee pursuant to this Act or such person's appointment
is terminated.
    (i) Any unit of local government within the State of
Illinois may apply to the Director to have its employees,
annuitants, and their dependents provided group health
coverage under this Act on a non-insured basis. To participate,
a unit of local government must agree to enroll all of its
employees, who may select coverage under either the State group
health benefits plan or a health maintenance organization that
has contracted with the State to be available as a health care
provider for employees as defined in this Act. A unit of local
government must remit the entire cost of providing coverage
under the State group health benefits plan or, for coverage
under a health maintenance organization, an amount determined
by the Director based on an analysis of the sex, age,
geographic location, or other relevant demographic variables
for its employees, except that the unit of local government
shall not be required to enroll those of its employees who are
covered spouses or dependents under this plan or another group
policy or plan providing health benefits as long as (1) an
appropriate official from the unit of local government attests
that each employee not enrolled is a covered spouse or
dependent under this plan or another group policy or plan, and
(2) at least 50% of the employees are enrolled and the unit of
local government remits the entire cost of providing coverage
to those employees, except that a participating school district
must have enrolled at least 50% of its full-time employees who
have not waived coverage under the district's group health plan
by participating in a component of the district's cafeteria
plan. A participating school district is not required to enroll
a full-time employee who has waived coverage under the
district's health plan, provided that an appropriate official
from the participating school district attests that the
full-time employee has waived coverage by participating in a
component of the district's cafeteria plan. For the purposes of
this subsection, "participating school district" includes a
unit of local government whose primary purpose is education as
defined by the Department's rules.
    Employees of a participating unit of local government who
are not enrolled due to coverage under another group health
policy or plan may enroll in the event of a qualifying change
in status, special enrollment, special circumstance as defined
by the Director, or during the annual Benefit Choice Period. A
participating unit of local government may also elect to cover
its annuitants. Dependent coverage shall be offered on an
optional basis, with the costs paid by the unit of local
government, its employees, or some combination of the two as
determined by the unit of local government. The unit of local
government shall be responsible for timely collection and
transmission of dependent premiums.
    The Director shall annually determine monthly rates of
payment, subject to the following constraints:
        (1) In the first year of coverage, the rates shall be
    equal to the amount normally charged to State employees for
    elected optional coverages or for enrolled dependents
    coverages or other contributory coverages, or contributed
    by the State for basic insurance coverages on behalf of its
    employees, adjusted for differences between State
    employees and employees of the local government in age,
    sex, geographic location or other relevant demographic
    variables, plus an amount sufficient to pay for the
    additional administrative costs of providing coverage to
    employees of the unit of local government and their
    dependents.
        (2) In subsequent years, a further adjustment shall be
    made to reflect the actual prior years' claims experience
    of the employees of the unit of local government.
    In the case of coverage of local government employees under
a health maintenance organization, the Director shall annually
determine for each participating unit of local government the
maximum monthly amount the unit may contribute toward that
coverage, based on an analysis of (i) the age, sex, geographic
location, and other relevant demographic variables of the
unit's employees and (ii) the cost to cover those employees
under the State group health benefits plan. The Director may
similarly determine the maximum monthly amount each unit of
local government may contribute toward coverage of its
employees' dependents under a health maintenance organization.
    Monthly payments by the unit of local government or its
employees for group health benefits plan or health maintenance
organization coverage shall be deposited in the Local
Government Health Insurance Reserve Fund.
    The Local Government Health Insurance Reserve Fund is
hereby created as a nonappropriated trust fund to be held
outside the State Treasury, with the State Treasurer as
custodian. The Local Government Health Insurance Reserve Fund
shall be a continuing fund not subject to fiscal year
limitations. The Local Government Health Insurance Reserve
Fund is not subject to administrative charges or charge-backs,
including but not limited to those authorized under Section 8h
of the State Finance Act. All revenues arising from the
administration of the health benefits program established
under this Section shall be deposited into the Local Government
Health Insurance Reserve Fund. Any interest earned on moneys in
the Local Government Health Insurance Reserve Fund shall be
deposited into the Fund. All expenditures from this Fund shall
be used for payments for health care benefits for local
government and rehabilitation facility employees, annuitants,
and dependents, and to reimburse the Department or its
administrative service organization for all expenses incurred
in the administration of benefits. No other State funds may be
used for these purposes.
    A local government employer's participation or desire to
participate in a program created under this subsection shall
not limit that employer's duty to bargain with the
representative of any collective bargaining unit of its
employees.
    (j) Any rehabilitation facility within the State of
Illinois may apply to the Director to have its employees,
annuitants, and their eligible dependents provided group
health coverage under this Act on a non-insured basis. To
participate, a rehabilitation facility must agree to enroll all
of its employees and remit the entire cost of providing such
coverage for its employees, except that the rehabilitation
facility shall not be required to enroll those of its employees
who are covered spouses or dependents under this plan or
another group policy or plan providing health benefits as long
as (1) an appropriate official from the rehabilitation facility
attests that each employee not enrolled is a covered spouse or
dependent under this plan or another group policy or plan, and
(2) at least 50% of the employees are enrolled and the
rehabilitation facility remits the entire cost of providing
coverage to those employees. Employees of a participating
rehabilitation facility who are not enrolled due to coverage
under another group health policy or plan may enroll in the
event of a qualifying change in status, special enrollment,
special circumstance as defined by the Director, or during the
annual Benefit Choice Period. A participating rehabilitation
facility may also elect to cover its annuitants. Dependent
coverage shall be offered on an optional basis, with the costs
paid by the rehabilitation facility, its employees, or some
combination of the 2 as determined by the rehabilitation
facility. The rehabilitation facility shall be responsible for
timely collection and transmission of dependent premiums.
    The Director shall annually determine quarterly rates of
payment, subject to the following constraints:
        (1) In the first year of coverage, the rates shall be
    equal to the amount normally charged to State employees for
    elected optional coverages or for enrolled dependents
    coverages or other contributory coverages on behalf of its
    employees, adjusted for differences between State
    employees and employees of the rehabilitation facility in
    age, sex, geographic location or other relevant
    demographic variables, plus an amount sufficient to pay for
    the additional administrative costs of providing coverage
    to employees of the rehabilitation facility and their
    dependents.
        (2) In subsequent years, a further adjustment shall be
    made to reflect the actual prior years' claims experience
    of the employees of the rehabilitation facility.
    Monthly payments by the rehabilitation facility or its
employees for group health benefits shall be deposited in the
Local Government Health Insurance Reserve Fund.
    (k) Any domestic violence shelter or service within the
State of Illinois may apply to the Director to have its
employees, annuitants, and their dependents provided group
health coverage under this Act on a non-insured basis. To
participate, a domestic violence shelter or service must agree
to enroll all of its employees and pay the entire cost of
providing such coverage for its employees. The domestic
violence shelter shall not be required to enroll those of its
employees who are covered spouses or dependents under this plan
or another group policy or plan providing health benefits as
long as (1) an appropriate official from the domestic violence
shelter attests that each employee not enrolled is a covered
spouse or dependent under this plan or another group policy or
plan and (2) at least 50% of the employees are enrolled and the
domestic violence shelter remits the entire cost of providing
coverage to those employees. Employees of a participating
domestic violence shelter who are not enrolled due to coverage
under another group health policy or plan may enroll in the
event of a qualifying change in status, special enrollment, or
special circumstance as defined by the Director or during the
annual Benefit Choice Period. A participating domestic
violence shelter may also elect to cover its annuitants.
Dependent coverage shall be offered on an optional basis, with
employees, or some combination of the 2 as determined by the
domestic violence shelter or service. The domestic violence
shelter or service shall be responsible for timely collection
and transmission of dependent premiums.
    The Director shall annually determine rates of payment,
subject to the following constraints:
        (1) In the first year of coverage, the rates shall be
    equal to the amount normally charged to State employees for
    elected optional coverages or for enrolled dependents
    coverages or other contributory coverages on behalf of its
    employees, adjusted for differences between State
    employees and employees of the domestic violence shelter or
    service in age, sex, geographic location or other relevant
    demographic variables, plus an amount sufficient to pay for
    the additional administrative costs of providing coverage
    to employees of the domestic violence shelter or service
    and their dependents.
        (2) In subsequent years, a further adjustment shall be
    made to reflect the actual prior years' claims experience
    of the employees of the domestic violence shelter or
    service.
    Monthly payments by the domestic violence shelter or
service or its employees for group health insurance shall be
deposited in the Local Government Health Insurance Reserve
Fund.
    (l) A public community college or entity organized pursuant
to the Public Community College Act may apply to the Director
initially to have only annuitants not covered prior to July 1,
1992 by the district's health plan provided health coverage
under this Act on a non-insured basis. The community college
must execute a 2-year contract to participate in the Local
Government Health Plan. Any annuitant may enroll in the event
of a qualifying change in status, special enrollment, special
circumstance as defined by the Director, or during the annual
Benefit Choice Period.
    The Director shall annually determine monthly rates of
payment subject to the following constraints: for those
community colleges with annuitants only enrolled, first year
rates shall be equal to the average cost to cover claims for a
State member adjusted for demographics, Medicare
participation, and other factors; and in the second year, a
further adjustment of rates shall be made to reflect the actual
first year's claims experience of the covered annuitants.
    (l-5) The provisions of subsection (l) become inoperative
on July 1, 1999.
    (m) The Director shall adopt any rules deemed necessary for
implementation of this amendatory Act of 1989 (Public Act
86-978).
    (n) Any child advocacy center within the State of Illinois
may apply to the Director to have its employees, annuitants,
and their dependents provided group health coverage under this
Act on a non-insured basis. To participate, a child advocacy
center must agree to enroll all of its employees and pay the
entire cost of providing coverage for its employees. The child
advocacy center shall not be required to enroll those of its
employees who are covered spouses or dependents under this plan
or another group policy or plan providing health benefits as
long as (1) an appropriate official from the child advocacy
center attests that each employee not enrolled is a covered
spouse or dependent under this plan or another group policy or
plan and (2) at least 50% of the employees are enrolled and the
child advocacy center remits the entire cost of providing
coverage to those employees. Employees of a participating child
advocacy center who are not enrolled due to coverage under
another group health policy or plan may enroll in the event of
a qualifying change in status, special enrollment, or special
circumstance as defined by the Director or during the annual
Benefit Choice Period. A participating child advocacy center
may also elect to cover its annuitants. Dependent coverage
shall be offered on an optional basis, with the costs paid by
the child advocacy center, its employees, or some combination
of the 2 as determined by the child advocacy center. The child
advocacy center shall be responsible for timely collection and
transmission of dependent premiums.
    The Director shall annually determine rates of payment,
subject to the following constraints:
        (1) In the first year of coverage, the rates shall be
    equal to the amount normally charged to State employees for
    elected optional coverages or for enrolled dependents
    coverages or other contributory coverages on behalf of its
    employees, adjusted for differences between State
    employees and employees of the child advocacy center in
    age, sex, geographic location, or other relevant
    demographic variables, plus an amount sufficient to pay for
    the additional administrative costs of providing coverage
    to employees of the child advocacy center and their
    dependents.
        (2) In subsequent years, a further adjustment shall be
    made to reflect the actual prior years' claims experience
    of the employees of the child advocacy center.
    Monthly payments by the child advocacy center or its
employees for group health insurance shall be deposited into
the Local Government Health Insurance Reserve Fund.
(Source: P.A. 97-695, eff. 7-1-12; 98-488, eff. 8-16-13.)
 
    Section 110-15. The General Obligation Bond Act is amended
by changing Sections 2.5, 9, 11, 12, and 13 and by adding
Section 7.7 as follows:
 
    (30 ILCS 330/2.5)
    Sec. 2.5. Limitation on issuance of Bonds.
    (a) Except as provided in subsection (b), no Bonds may be
issued if, after the issuance, in the next State fiscal year
after the issuance of the Bonds, the amount of debt service
(including principal, whether payable at maturity or pursuant
to mandatory sinking fund installments, and interest) on all
then-outstanding Bonds, other than (i) Bonds authorized by
Public Act 100-23 this amendatory Act of the 100th General
Assembly, (ii) Bonds issued by Public Act 96-43, and (iii)
Bonds authorized by Public Act 96-1497, and (iv) Bonds
authorized by this amendatory Act of the 100th General
Assembly, would exceed 7% of the aggregate appropriations from
the general funds (which consist of the General Revenue Fund,
the Common School Fund, the General Revenue Common School
Special Account Fund, and the Education Assistance Fund) and
the Road Fund for the fiscal year immediately prior to the
fiscal year of the issuance.
    (b) If the Comptroller and Treasurer each consent in
writing, Bonds may be issued even if the issuance does not
comply with subsection (a). In addition, $2,000,000,000 in
Bonds for the purposes set forth in Sections 3, 4, 5, 6, and 7,
and $2,000,000,000 in Refunding Bonds under Section 16, may be
issued during State fiscal year 2017 without complying with
subsection (a). In addition, $2,000,000,000 in Bonds for the
purposes set forth in Sections 3, 4, 5, 6, and 7, and
$2,000,000,000 in Refunding Bonds under Section 16, may be
issued during State fiscal year 2018 without complying with
subsection (a).
(Source: P.A. 99-523, eff. 6-30-16; 100-23, Article 25, Section
25-5, eff. 7-6-17; 100-23, Article 75, Section 75-10, eff.
7-6-17; revised 8-8-17.)
 
    (30 ILCS 330/7.7 new)
    Sec. 7.7. State Pension Obligation Acceleration Bonds.
    (a) As used in this Act, "State Pension Obligation
Acceleration Bonds" means Bonds authorized by this amendatory
Act of the 100th General Assembly and used for the purpose of
making accelerated pension benefit payments under Articles 14,
15, and 16 of the Illinois Pension Code.
    (b) State Pension Obligation Acceleration Bonds in the
amount of $1,000,000,000 are hereby authorized to be used for
the purpose of making accelerated pension benefit payments
under Articles 14, 15, and 16 of the Illinois Pension Code.
    (c) The proceeds of State Pension Obligation Acceleration
Bonds authorized in subsection (b) of this Section, less the
amounts authorized in the Bond Sale Order to be directly paid
out for bond sale expenses under Section 8, shall be deposited
directly into the State Pension Obligation Acceleration Bond
Fund, and the Comptroller and the Treasurer shall, as soon as
practical, make accelerated pension benefit payments under
Articles 14, 15, and 16 of the Illinois Pension Code.
    (d) There is created the State Pension Obligation
Acceleration Bond Fund as a special fund in the State Treasury.
Funds deposited in the State Pension Obligation Acceleration
Bond Fund may only be used for the purpose of making
accelerated pension benefit payments under Articles 14, 15, and
16 of the Illinois Pension Code or for the payment of principal
and interest due on State Pension Obligation Acceleration
Bonds. This subsection shall constitute an irrevocable and
continuing appropriation of all amounts necessary for such
purposes.
 
    (30 ILCS 330/9)  (from Ch. 127, par. 659)
    Sec. 9. Conditions for issuance and sale of Bonds;
requirements Issuance and Sale of Bonds - Requirements for
Bonds.
    (a) Except as otherwise provided in this subsection, and
subsection (h), and subsection (i), Bonds shall be issued and
sold from time to time, in one or more series, in such amounts
and at such prices as may be directed by the Governor, upon
recommendation by the Director of the Governor's Office of
Management and Budget. Bonds shall be in such form (either
coupon, registered or book entry), in such denominations,
payable within 25 years from their date, subject to such terms
of redemption with or without premium, bear interest payable at
such times and at such fixed or variable rate or rates, and be
dated as shall be fixed and determined by the Director of the
Governor's Office of Management and Budget in the order
authorizing the issuance and sale of any series of Bonds, which
order shall be approved by the Governor and is herein called a
"Bond Sale Order"; provided however, that interest payable at
fixed or variable rates shall not exceed that permitted in the
Bond Authorization Act, as now or hereafter amended. Bonds
shall be payable at such place or places, within or without the
State of Illinois, and may be made registrable as to either
principal or as to both principal and interest, as shall be
specified in the Bond Sale Order. Bonds may be callable or
subject to purchase and retirement or tender and remarketing as
fixed and determined in the Bond Sale Order. Bonds, other than
Bonds issued under Section 3 of this Act for the costs
associated with the purchase and implementation of information
technology, (i) except for refunding Bonds satisfying the
requirements of Section 16 of this Act and sold during fiscal
year 2009, 2010, 2011, 2017, or 2018 must be issued with
principal or mandatory redemption amounts in equal amounts,
with the first maturity issued occurring within the fiscal year
in which the Bonds are issued or within the next succeeding
fiscal year and (ii) must mature or be subject to mandatory
redemption each fiscal year thereafter up to 25 years, except
for refunding Bonds satisfying the requirements of Section 16
of this Act and sold during fiscal year 2009, 2010, or 2011
which must mature or be subject to mandatory redemption each
fiscal year thereafter up to 16 years. Bonds issued under
Section 3 of this Act for the costs associated with the
purchase and implementation of information technology must be
issued with principal or mandatory redemption amounts in equal
amounts, with the first maturity issued occurring with the
fiscal year in which the respective bonds are issued or with
the next succeeding fiscal year, with the respective bonds
issued maturing or subject to mandatory redemption each fiscal
year thereafter up to 10 years. Notwithstanding any provision
of this Act to the contrary, the Bonds authorized by Public Act
96-43 shall be payable within 5 years from their date and must
be issued with principal or mandatory redemption amounts in
equal amounts, with payment of principal or mandatory
redemption beginning in the first fiscal year following the
fiscal year in which the Bonds are issued.
    Notwithstanding any provision of this Act to the contrary,
the Bonds authorized by Public Act 96-1497 shall be payable
within 8 years from their date and shall be issued with payment
of maturing principal or scheduled mandatory redemptions in
accordance with the following schedule, except the following
amounts shall be prorated if less than the total additional
amount of Bonds authorized by Public Act 96-1497 are issued:
    Fiscal Year After Issuance    Amount
        1-2                        $0 
        3                          $110,712,120
        4                          $332,136,360
        5                          $664,272,720
        6-8                        $996,409,080
    Notwithstanding any provision of this Act to the contrary,
Income Tax Proceed Bonds issued under Section 7.6 shall be
payable 12 years from the date of sale and shall be issued with
payment of principal or mandatory redemption.
    In the case of any series of Bonds bearing interest at a
variable interest rate ("Variable Rate Bonds"), in lieu of
determining the rate or rates at which such series of Variable
Rate Bonds shall bear interest and the price or prices at which
such Variable Rate Bonds shall be initially sold or remarketed
(in the event of purchase and subsequent resale), the Bond Sale
Order may provide that such interest rates and prices may vary
from time to time depending on criteria established in such
Bond Sale Order, which criteria may include, without
limitation, references to indices or variations in interest
rates as may, in the judgment of a remarketing agent, be
necessary to cause Variable Rate Bonds of such series to be
remarketable from time to time at a price equal to their
principal amount, and may provide for appointment of a bank,
trust company, investment bank, or other financial institution
to serve as remarketing agent in that connection. The Bond Sale
Order may provide that alternative interest rates or provisions
for establishing alternative interest rates, different
security or claim priorities, or different call or amortization
provisions will apply during such times as Variable Rate Bonds
of any series are held by a person providing credit or
liquidity enhancement arrangements for such Bonds as
authorized in subsection (b) of this Section. The Bond Sale
Order may also provide for such variable interest rates to be
established pursuant to a process generally known as an auction
rate process and may provide for appointment of one or more
financial institutions to serve as auction agents and
broker-dealers in connection with the establishment of such
interest rates and the sale and remarketing of such Bonds.
    (b) In connection with the issuance of any series of Bonds,
the State may enter into arrangements to provide additional
security and liquidity for such Bonds, including, without
limitation, bond or interest rate insurance or letters of
credit, lines of credit, bond purchase contracts, or other
arrangements whereby funds are made available to retire or
purchase Bonds, thereby assuring the ability of owners of the
Bonds to sell or redeem their Bonds. The State may enter into
contracts and may agree to pay fees to persons providing such
arrangements, but only under circumstances where the Director
of the Governor's Office of Management and Budget certifies
that he or she reasonably expects the total interest paid or to
be paid on the Bonds, together with the fees for the
arrangements (being treated as if interest), would not, taken
together, cause the Bonds to bear interest, calculated to their
stated maturity, at a rate in excess of the rate that the Bonds
would bear in the absence of such arrangements.
    The State may, with respect to Bonds issued or anticipated
to be issued, participate in and enter into arrangements with
respect to interest rate protection or exchange agreements,
guarantees, or financial futures contracts for the purpose of
limiting, reducing, or managing interest rate exposure. The
authority granted under this paragraph, however, shall not
increase the principal amount of Bonds authorized to be issued
by law. The arrangements may be executed and delivered by the
Director of the Governor's Office of Management and Budget on
behalf of the State. Net payments for such arrangements shall
constitute interest on the Bonds and shall be paid from the
General Obligation Bond Retirement and Interest Fund. The
Director of the Governor's Office of Management and Budget
shall at least annually certify to the Governor and the State
Comptroller his or her estimate of the amounts of such net
payments to be included in the calculation of interest required
to be paid by the State.
    (c) Prior to the issuance of any Variable Rate Bonds
pursuant to subsection (a), the Director of the Governor's
Office of Management and Budget shall adopt an interest rate
risk management policy providing that the amount of the State's
variable rate exposure with respect to Bonds shall not exceed
20%. This policy shall remain in effect while any Bonds are
outstanding and the issuance of Bonds shall be subject to the
terms of such policy. The terms of this policy may be amended
from time to time by the Director of the Governor's Office of
Management and Budget but in no event shall any amendment cause
the permitted level of the State's variable rate exposure with
respect to Bonds to exceed 20%.
    (d) "Build America Bonds" in this Section means Bonds
authorized by Section 54AA of the Internal Revenue Code of
1986, as amended ("Internal Revenue Code"), and bonds issued
from time to time to refund or continue to refund "Build
America Bonds".
    (e) Notwithstanding any other provision of this Section,
Qualified School Construction Bonds shall be issued and sold
from time to time, in one or more series, in such amounts and
at such prices as may be directed by the Governor, upon
recommendation by the Director of the Governor's Office of
Management and Budget. Qualified School Construction Bonds
shall be in such form (either coupon, registered or book
entry), in such denominations, payable within 25 years from
their date, subject to such terms of redemption with or without
premium, and if the Qualified School Construction Bonds are
issued with a supplemental coupon, bear interest payable at
such times and at such fixed or variable rate or rates, and be
dated as shall be fixed and determined by the Director of the
Governor's Office of Management and Budget in the order
authorizing the issuance and sale of any series of Qualified
School Construction Bonds, which order shall be approved by the
Governor and is herein called a "Bond Sale Order"; except that
interest payable at fixed or variable rates, if any, shall not
exceed that permitted in the Bond Authorization Act, as now or
hereafter amended. Qualified School Construction Bonds shall
be payable at such place or places, within or without the State
of Illinois, and may be made registrable as to either principal
or as to both principal and interest, as shall be specified in
the Bond Sale Order. Qualified School Construction Bonds may be
callable or subject to purchase and retirement or tender and
remarketing as fixed and determined in the Bond Sale Order.
Qualified School Construction Bonds must be issued with
principal or mandatory redemption amounts or sinking fund
payments into the General Obligation Bond Retirement and
Interest Fund (or subaccount therefor) in equal amounts, with
the first maturity issued, mandatory redemption payment or
sinking fund payment occurring within the fiscal year in which
the Qualified School Construction Bonds are issued or within
the next succeeding fiscal year, with Qualified School
Construction Bonds issued maturing or subject to mandatory
redemption or with sinking fund payments thereof deposited each
fiscal year thereafter up to 25 years. Sinking fund payments
set forth in this subsection shall be permitted only to the
extent authorized in Section 54F of the Internal Revenue Code
or as otherwise determined by the Director of the Governor's
Office of Management and Budget. "Qualified School
Construction Bonds" in this subsection means Bonds authorized
by Section 54F of the Internal Revenue Code and for bonds
issued from time to time to refund or continue to refund such
"Qualified School Construction Bonds".
    (f) Beginning with the next issuance by the Governor's
Office of Management and Budget to the Procurement Policy Board
of a request for quotation for the purpose of formulating a new
pool of qualified underwriting banks list, all entities
responding to such a request for quotation for inclusion on
that list shall provide a written report to the Governor's
Office of Management and Budget and the Illinois Comptroller.
The written report submitted to the Comptroller shall (i) be
published on the Comptroller's Internet website and (ii) be
used by the Governor's Office of Management and Budget for the
purposes of scoring such a request for quotation. The written
report, at a minimum, shall:
        (1) disclose whether, within the past 3 months,
    pursuant to its credit default swap market-making
    activities, the firm has entered into any State of Illinois
    credit default swaps ("CDS");
        (2) include, in the event of State of Illinois CDS
    activity, disclosure of the firm's cumulative notional
    volume of State of Illinois CDS trades and the firm's
    outstanding gross and net notional amount of State of
    Illinois CDS, as of the end of the current 3-month period;
        (3) indicate, pursuant to the firm's proprietary
    trading activities, disclosure of whether the firm, within
    the past 3 months, has entered into any proprietary trades
    for its own account in State of Illinois CDS;
        (4) include, in the event of State of Illinois
    proprietary trades, disclosure of the firm's outstanding
    gross and net notional amount of proprietary State of
    Illinois CDS and whether the net position is short or long
    credit protection, as of the end of the current 3-month
    period;
        (5) list all time periods during the past 3 months
    during which the firm held net long or net short State of
    Illinois CDS proprietary credit protection positions, the
    amount of such positions, and whether those positions were
    net long or net short credit protection positions; and
        (6) indicate whether, within the previous 3 months, the
    firm released any publicly available research or marketing
    reports that reference State of Illinois CDS and include
    those research or marketing reports as attachments.
    (g) All entities included on a Governor's Office of
Management and Budget's pool of qualified underwriting banks
list shall, as soon as possible after March 18, 2011 (the
effective date of Public Act 96-1554), but not later than
January 21, 2011, and on a quarterly fiscal basis thereafter,
provide a written report to the Governor's Office of Management
and Budget and the Illinois Comptroller. The written reports
submitted to the Comptroller shall be published on the
Comptroller's Internet website. The written reports, at a
minimum, shall:
        (1) disclose whether, within the past 3 months,
    pursuant to its credit default swap market-making
    activities, the firm has entered into any State of Illinois
    credit default swaps ("CDS");
        (2) include, in the event of State of Illinois CDS
    activity, disclosure of the firm's cumulative notional
    volume of State of Illinois CDS trades and the firm's
    outstanding gross and net notional amount of State of
    Illinois CDS, as of the end of the current 3-month period;
        (3) indicate, pursuant to the firm's proprietary
    trading activities, disclosure of whether the firm, within
    the past 3 months, has entered into any proprietary trades
    for its own account in State of Illinois CDS;
        (4) include, in the event of State of Illinois
    proprietary trades, disclosure of the firm's outstanding
    gross and net notional amount of proprietary State of
    Illinois CDS and whether the net position is short or long
    credit protection, as of the end of the current 3-month
    period;
        (5) list all time periods during the past 3 months
    during which the firm held net long or net short State of
    Illinois CDS proprietary credit protection positions, the
    amount of such positions, and whether those positions were
    net long or net short credit protection positions; and
        (6) indicate whether, within the previous 3 months, the
    firm released any publicly available research or marketing
    reports that reference State of Illinois CDS and include
    those research or marketing reports as attachments.
    (h) Notwithstanding any other provision of this Section,
for purposes of maximizing market efficiencies and cost
savings, Income Tax Proceed Bonds may be issued and sold from
time to time, in one or more series, in such amounts and at
such prices as may be directed by the Governor, upon
recommendation by the Director of the Governor's Office of
Management and Budget. Income Tax Proceed Bonds shall be in
such form, either coupon, registered, or book entry, in such
denominations, shall bear interest payable at such times and at
such fixed or variable rate or rates, and be dated as shall be
fixed and determined by the Director of the Governor's Office
of Management and Budget in the order authorizing the issuance
and sale of any series of Income Tax Proceed Bonds, which order
shall be approved by the Governor and is herein called a "Bond
Sale Order"; provided, however, that interest payable at fixed
or variable rates shall not exceed that permitted in the Bond
Authorization Act. Income Tax Proceed Bonds shall be payable at
such place or places, within or without the State of Illinois,
and may be made registrable as to either principal or as to
both principal and interest, as shall be specified in the Bond
Sale Order. Income Tax Proceed Bonds may be callable or subject
to purchase and retirement or tender and remarketing as fixed
and determined in the Bond Sale Order.
    (i) Notwithstanding any other provision of this Section,
for purposes of maximizing market efficiencies and cost
savings, State Pension Obligation Acceleration Bonds may be
issued and sold from time to time, in one or more series, in
such amounts and at such prices as may be directed by the
Governor, upon recommendation by the Director of the Governor's
Office of Management and Budget. State Pension Obligation
Acceleration Bonds shall be in such form, either coupon,
registered, or book entry, in such denominations, shall bear
interest payable at such times and at such fixed or variable
rate or rates, and be dated as shall be fixed and determined by
the Director of the Governor's Office of Management and Budget
in the order authorizing the issuance and sale of any series of
State Pension Obligation Acceleration Bonds, which order shall
be approved by the Governor and is herein called a "Bond Sale
Order"; provided, however, that interest payable at fixed or
variable rates shall not exceed that permitted in the Bond
Authorization Act. State Pension Obligation Acceleration Bonds
shall be payable at such place or places, within or without the
State of Illinois, and may be made registrable as to either
principal or as to both principal and interest, as shall be
specified in the Bond Sale Order. State Pension Obligation
Acceleration Bonds may be callable or subject to purchase and
retirement or tender and remarketing as fixed and determined in
the Bond Sale Order.
(Source: P.A. 99-523, eff. 6-30-16; 100-23, Article 25, Section
25-5, eff. 7-6-17; 100-23, Article 75, Section 75-10, eff.
7-6-17; revised 8-8-17.)
 
    (30 ILCS 330/11)  (from Ch. 127, par. 661)
    Sec. 11. Sale of Bonds. Except as otherwise provided in
this Section, Bonds shall be sold from time to time pursuant to
notice of sale and public bid or by negotiated sale in such
amounts and at such times as is directed by the Governor, upon
recommendation by the Director of the Governor's Office of
Management and Budget. At least 25%, based on total principal
amount, of all Bonds issued each fiscal year shall be sold
pursuant to notice of sale and public bid. At all times during
each fiscal year, no more than 75%, based on total principal
amount, of the Bonds issued each fiscal year, shall have been
sold by negotiated sale. Failure to satisfy the requirements in
the preceding 2 sentences shall not affect the validity of any
previously issued Bonds; provided that all Bonds authorized by
Public Act 96-43 and Public Act 96-1497 shall not be included
in determining compliance for any fiscal year with the
requirements of the preceding 2 sentences; and further provided
that refunding Bonds satisfying the requirements of Section 16
of this Act and sold during fiscal year 2009, 2010, 2011, 2017,
or 2018 shall not be subject to the requirements in the
preceding 2 sentences.
    If any Bonds, including refunding Bonds, are to be sold by
negotiated sale, the Director of the Governor's Office of
Management and Budget shall comply with the competitive request
for proposal process set forth in the Illinois Procurement Code
and all other applicable requirements of that Code.
    If Bonds are to be sold pursuant to notice of sale and
public bid, the Director of the Governor's Office of Management
and Budget may, from time to time, as Bonds are to be sold,
advertise the sale of the Bonds in at least 2 daily newspapers,
one of which is published in the City of Springfield and one in
the City of Chicago. The sale of the Bonds shall also be
advertised in the volume of the Illinois Procurement Bulletin
that is published by the Department of Central Management
Services, and shall be published once at least 10 days prior to
the date fixed for the opening of the bids. The Director of the
Governor's Office of Management and Budget may reschedule the
date of sale upon the giving of such additional notice as the
Director deems adequate to inform prospective bidders of such
change; provided, however, that all other conditions of the
sale shall continue as originally advertised.
    Executed Bonds shall, upon payment therefor, be delivered
to the purchaser, and the proceeds of Bonds shall be paid into
the State Treasury as directed by Section 12 of this Act.
    All Income Tax Proceed Bonds shall comply with this
Section. Notwithstanding anything to the contrary, however,
for purposes of complying with this Section, Income Tax Proceed
Bonds, regardless of the number of series or issuances sold
thereunder, shall be considered a single issue or series.
Furthermore, for purposes of complying with the competitive
bidding requirements of this Section, the words "at all times"
shall not apply to any such sale of the Income Tax Proceed
Bonds. The Director of the Governor's Office of Management and
Budget shall determine the time and manner of any competitive
sale of the Income Tax Proceed Bonds; however, that sale shall
under no circumstances take place later than 60 days after the
State closes the sale of 75% of the Income Tax Proceed Bonds by
negotiated sale.
    All State Pension Obligation Acceleration Bonds shall
comply with this Section. Notwithstanding anything to the
contrary, however, for purposes of complying with this Section,
State Pension Obligation Acceleration Bonds, regardless of the
number of series or issuances sold thereunder, shall be
considered a single issue or series. Furthermore, for purposes
of complying with the competitive bidding requirements of this
Section, the words "at all times" shall not apply to any such
sale of the State Pension Obligation Acceleration Bonds. The
Director of the Governor's Office of Management and Budget
shall determine the time and manner of any competitive sale of
the State Pension Obligation Acceleration Bonds; however, that
sale shall under no circumstances take place later than 60 days
after the State closes the sale of 75% of the State Pension
Obligation Acceleration Bonds by negotiated sale.
(Source: P.A. 99-523, eff. 6-30-16; 100-23, Article 25, Section
25-5, eff. 7-6-17; 100-23, Article 75, Section 75-10, eff.
7-6-17; revised 8-15-17.)
 
    (30 ILCS 330/12)  (from Ch. 127, par. 662)
    Sec. 12. Allocation of proceeds from sale of Bonds.
    (a) Proceeds from the sale of Bonds, authorized by Section
3 of this Act, shall be deposited in the separate fund known as
the Capital Development Fund.
    (b) Proceeds from the sale of Bonds, authorized by
paragraph (a) of Section 4 of this Act, shall be deposited in
the separate fund known as the Transportation Bond, Series A
Fund.
    (c) Proceeds from the sale of Bonds, authorized by
paragraphs (b) and (c) of Section 4 of this Act, shall be
deposited in the separate fund known as the Transportation
Bond, Series B Fund.
    (c-1) Proceeds from the sale of Bonds, authorized by
paragraph (d) of Section 4 of this Act, shall be deposited into
the Transportation Bond Series D Fund, which is hereby created.
    (d) Proceeds from the sale of Bonds, authorized by Section
5 of this Act, shall be deposited in the separate fund known as
the School Construction Fund.
    (e) Proceeds from the sale of Bonds, authorized by Section
6 of this Act, shall be deposited in the separate fund known as
the Anti-Pollution Fund.
    (f) Proceeds from the sale of Bonds, authorized by Section
7 of this Act, shall be deposited in the separate fund known as
the Coal Development Fund.
    (f-2) Proceeds from the sale of Bonds, authorized by
Section 7.2 of this Act, shall be deposited as set forth in
Section 7.2.
    (f-5) Proceeds from the sale of Bonds, authorized by
Section 7.5 of this Act, shall be deposited as set forth in
Section 7.5.
    (f-7) Proceeds from the sale of Bonds, authorized by
Section 7.6 of this Act, shall be deposited as set forth in
Section 7.6.
    (f-8) Proceeds from the sale of Bonds, authorized by
Section 7.7 of this Act, shall be deposited as set forth in
Section 7.7.
    (g) Proceeds from the sale of Bonds, authorized by Section
8 of this Act, shall be deposited in the Capital Development
Fund.
    (h) Subsequent to the issuance of any Bonds for the
purposes described in Sections 2 through 8 of this Act, the
Governor and the Director of the Governor's Office of
Management and Budget may provide for the reallocation of
unspent proceeds of such Bonds to any other purposes authorized
under said Sections of this Act, subject to the limitations on
aggregate principal amounts contained therein. Upon any such
reallocation, such unspent proceeds shall be transferred to the
appropriate funds as determined by reference to paragraphs (a)
through (g) of this Section.
(Source: P.A. 100-23, eff. 7-6-17.)
 
    (30 ILCS 330/13)  (from Ch. 127, par. 663)
    Sec. 13. Appropriation of proceeds from sale of Bonds.
    (a) At all times, the proceeds from the sale of Bonds
issued pursuant to this Act are subject to appropriation by the
General Assembly and, except as provided in Sections 7.2, and
7.6, and 7.7, may be obligated or expended only with the
written approval of the Governor, in such amounts, at such
times, and for such purposes as the respective State agencies,
as defined in Section 1-7 of the Illinois State Auditing Act,
as amended, deem necessary or desirable for the specific
purposes contemplated in Sections 2 through 8 of this Act.
Notwithstanding any other provision of this Act, proceeds from
the sale of Bonds issued pursuant to this Act appropriated by
the General Assembly to the Architect of the Capitol may be
obligated or expended by the Architect of the Capitol without
the written approval of the Governor.
    (b) Proceeds from the sale of Bonds for the purpose of
development of coal and alternative forms of energy shall be
expended in such amounts and at such times as the Department of
Commerce and Economic Opportunity, with the advice and
recommendation of the Illinois Coal Development Board for coal
development projects, may deem necessary and desirable for the
specific purpose contemplated by Section 7 of this Act. In
considering the approval of projects to be funded, the
Department of Commerce and Economic Opportunity shall give
special consideration to projects designed to remove sulfur and
other pollutants in the preparation and utilization of coal,
and in the use and operation of electric utility generating
plants and industrial facilities which utilize Illinois coal as
their primary source of fuel.
    (c) Except as directed in subsection (c-1) or (c-2), any
monies received by any officer or employee of the state
representing a reimbursement of expenditures previously paid
from general obligation bond proceeds shall be deposited into
the General Obligation Bond Retirement and Interest Fund
authorized in Section 14 of this Act.
    (c-1) Any money received by the Department of
Transportation as reimbursement for expenditures for high
speed rail purposes pursuant to appropriations from the
Transportation Bond, Series B Fund for (i) CREATE (Chicago
Region Environmental and Transportation Efficiency), (ii) High
Speed Rail, or (iii) AMTRAK projects authorized by the federal
government under the provisions of the American Recovery and
Reinvestment Act of 2009 or the Safe Accountable Flexible
Efficient Transportation Equity Act-A Legacy for Users
(SAFETEA-LU), or any successor federal transportation
authorization Act, shall be deposited into the Federal High
Speed Rail Trust Fund.
    (c-2) Any money received by the Department of
Transportation as reimbursement for expenditures for transit
capital purposes pursuant to appropriations from the
Transportation Bond, Series B Fund for projects authorized by
the federal government under the provisions of the American
Recovery and Reinvestment Act of 2009 or the Safe Accountable
Flexible Efficient Transportation Equity Act-A Legacy for
Users (SAFETEA-LU), or any successor federal transportation
authorization Act, shall be deposited into the Federal Mass
Transit Trust Fund.
(Source: P.A. 100-23, eff. 7-6-17.)
 
    Section 110-20. The Illinois Pension Code is amended by
adding Sections 14-103.41, 14-147.5, 14-147.6, 15-185.5,
15-185.6, 16-106.41, 16-158, 16-190.5, and 16-190.6 and
amending Sections 14-135.08, 14-152.1, 15-155, 15-165, 15-198,
and 16-203 as follows:
 
    (40 ILCS 5/14-103.41 new)
    Sec. 14-103.41. Tier 1 member. "Tier 1 member": A member of
this System who first became a member or participant before
January 1, 2011 under any reciprocal retirement system or
pension fund established under this Code other than a
retirement system or pension fund established under Article 2,
3, 4, 5, 6, or 18 of this Code.
 
    (40 ILCS 5/14-135.08)  (from Ch. 108 1/2, par. 14-135.08)
    Sec. 14-135.08. To certify required State contributions.
    (a) To certify to the Governor and to each department, on
or before November 15 of each year until November 15, 2011, the
required rate for State contributions to the System for the
next State fiscal year, as determined under subsection (b) of
Section 14-131. The certification to the Governor under this
subsection (a) shall include a copy of the actuarial
recommendations upon which the rate is based and shall
specifically identify the System's projected State normal cost
for that fiscal year.
    (a-5) On or before November 1 of each year, beginning
November 1, 2012, the Board shall submit to the State Actuary,
the Governor, and the General Assembly a proposed certification
of the amount of the required State contribution to the System
for the next fiscal year, along with all of the actuarial
assumptions, calculations, and data upon which that proposed
certification is based. On or before January 1 of each year
beginning January 1, 2013, the State Actuary shall issue a
preliminary report concerning the proposed certification and
identifying, if necessary, recommended changes in actuarial
assumptions that the Board must consider before finalizing its
certification of the required State contributions. On or before
January 15, 2013 and each January 15 thereafter, the Board
shall certify to the Governor and the General Assembly the
amount of the required State contribution for the next fiscal
year. The Board's certification must note any deviations from
the State Actuary's recommended changes, the reason or reasons
for not following the State Actuary's recommended changes, and
the fiscal impact of not following the State Actuary's
recommended changes on the required State contribution.
    (b) The certifications under subsections (a) and (a-5)
shall include an additional amount necessary to pay all
principal of and interest on those general obligation bonds due
the next fiscal year authorized by Section 7.2(a) of the
General Obligation Bond Act and issued to provide the proceeds
deposited by the State with the System in July 2003,
representing deposits other than amounts reserved under
Section 7.2(c) of the General Obligation Bond Act. For State
fiscal year 2005, the Board shall make a supplemental
certification of the additional amount necessary to pay all
principal of and interest on those general obligation bonds due
in State fiscal years 2004 and 2005 authorized by Section
7.2(a) of the General Obligation Bond Act and issued to provide
the proceeds deposited by the State with the System in July
2003, representing deposits other than amounts reserved under
Section 7.2(c) of the General Obligation Bond Act, as soon as
practical after the effective date of this amendatory Act of
the 93rd General Assembly.
    On or before May 1, 2004, the Board shall recalculate and
recertify to the Governor and to each department the amount of
the required State contribution to the System and the required
rates for State contributions to the System for State fiscal
year 2005, taking into account the amounts appropriated to and
received by the System under subsection (d) of Section 7.2 of
the General Obligation Bond Act.
    On or before July 1, 2005, the Board shall recalculate and
recertify to the Governor and to each department the amount of
the required State contribution to the System and the required
rates for State contributions to the System for State fiscal
year 2006, taking into account the changes in required State
contributions made by this amendatory Act of the 94th General
Assembly.
    On or before April 1, 2011, the Board shall recalculate and
recertify to the Governor and to each department the amount of
the required State contribution to the System for State fiscal
year 2011, applying the changes made by Public Act 96-889 to
the System's assets and liabilities as of June 30, 2009 as
though Public Act 96-889 was approved on that date.
    By November 1, 2017, the Board shall recalculate and
recertify to the State Actuary, the Governor, and the General
Assembly the amount of the State contribution to the System for
State fiscal year 2018, taking into account the changes in
required State contributions made by this amendatory Act of the
100th General Assembly. The State Actuary shall review the
assumptions and valuations underlying the Board's revised
certification and issue a preliminary report concerning the
proposed recertification and identifying, if necessary,
recommended changes in actuarial assumptions that the Board
must consider before finalizing its certification of the
required State contributions. The Board's final certification
must note any deviations from the State Actuary's recommended
changes, the reason or reasons for not following the State
Actuary's recommended changes, and the fiscal impact of not
following the State Actuary's recommended changes on the
required State contribution.
    On or after June 15, 2019, but no later than June 30, 2019,
the Board shall recalculate and recertify to the Governor and
the General Assembly the amount of the State contribution to
the System for State fiscal year 2019, taking into account the
changes in required State contributions made by this amendatory
Act of the 100th General Assembly. The recalculation shall be
made using assumptions adopted by the Board for the original
fiscal year 2019 certification. The monthly voucher for the
12th month of fiscal year 2019 shall be paid by the Comptroller
after the recertification required pursuant to this paragraph
is submitted to the Governor, Comptroller, and General
Assembly. The recertification submitted to the General
Assembly shall be filed with the Clerk of the House of
Representatives and the Secretary of the Senate in electronic
form only, in the manner that the Clerk and the Secretary shall
direct.
(Source: P.A. 100-23, eff. 7-6-17.)
 
    (40 ILCS 5/14-147.5 new)
    Sec. 14-147.5. Accelerated pension benefit payment in lieu
of any pension benefit.
    (a) As used in this Section:
    "Eligible person" means a person who:
        (1) has terminated service;
        (2) has accrued sufficient service credit to be
    eligible to receive a retirement annuity under this
    Article;
        (3) has not received any retirement annuity under this
    Article; and
        (4) has not made the election under Section 14-147.6.
    "Pension benefit" means the benefits under this Article, or
Article 1 as it relates to those benefits, including any
anticipated annual increases, that an eligible person is
entitled to upon attainment of the applicable retirement age.
"Pension benefit" also includes applicable survivor's or
disability benefits.
    (b) As soon as practical after the effective date of this
amendatory Act of the 100th General Assembly, the System shall
calculate, using actuarial tables and other assumptions
adopted by the Board, the present value of pension benefits for
each eligible person who requests that information and shall
offer each eligible person the opportunity to irrevocably elect
to receive an amount determined by the System to be equal to
60% of the present value of his or her pension benefits in lieu
of receiving any pension benefit. The offer shall specify the
dollar amount that the eligible person will receive if he or
she so elects and shall expire when a subsequent offer is made
to an eligible person. An eligible person is limited to one
calculation and offer per calendar year. The System shall make
a good faith effort to contact every eligible person to notify
him or her of the election.
    Until June 30, 2021, an eligible person may irrevocably
elect to receive an accelerated pension benefit payment in the
amount that the System offers under this subsection in lieu of
receiving any pension benefit. A person who elects to receive
an accelerated pension benefit payment under this Section may
not elect to proceed under the Retirement Systems Reciprocal
Act with respect to service under this Article.
    (c) A person's creditable service under this Article shall
be terminated upon the person's receipt of an accelerated
pension benefit payment under this Section, and no other
benefit shall be paid under this Article based on the
terminated creditable service, including any retirement,
survivor, or other benefit; except that to the extent that
participation, benefits, or premiums under the State Employees
Group Insurance Act of 1971 are based on the amount of service
credit, the terminated service credit shall be used for that
purpose.
    (d) If a person who has received an accelerated pension
benefit payment under this Section returns to active service
under this Article, then:
        (1) Any benefits under the System earned as a result of
    that return to active service shall be based solely on the
    person's creditable service arising from the return to
    active service.
        (2) The accelerated pension benefit payment may not be
    repaid to the System, and the terminated creditable service
    may not under any circumstances be reinstated.
    (e) As a condition of receiving an accelerated pension
benefit payment, the accelerated pension benefit payment must
be transferred into a tax qualified retirement plan or account.
The accelerated pension benefit payment under this Section may
be subject to withholding or payment of applicable taxes, but
to the extent permitted by federal law, a person who receives
an accelerated pension benefit payment under this Section must
direct the System to pay all of that payment as a rollover into
another retirement plan or account qualified under the Internal
Revenue Code of 1986, as amended.
    (f) Upon receipt of a member's irrevocable election to
receive an accelerated pension benefit payment under this
Section, the System shall submit a voucher to the Comptroller
for payment of the member's accelerated pension benefit
payment. The Comptroller shall transfer the amount of the
voucher from the State Pension Obligation Acceleration Bond
Fund to the System, and the System shall transfer the amount
into the member's eligible retirement plan or qualified
account.
    (g) The Board shall adopt any rules, including emergency
rules, necessary to implement this Section.
    (h) No provision of this Section shall be interpreted in a
way that would cause the applicable System to cease to be a
qualified plan under the Internal Revenue Code of 1986.
 
    (40 ILCS 5/14-147.6 new)
    Sec. 14-147.6. Accelerated pension benefit payment for a
reduction in annual retirement annuity and survivor's annuity
increases.
    (a) As used in this Section:
    "Accelerated pension benefit payment" means a lump sum
payment equal to 70% of the difference of the present value of
the automatic annual increases to a Tier 1 member's retirement
annuity and survivor's annuity using the formula applicable to
the Tier 1 member and the present value of the automatic annual
increases to the Tier 1 member's retirement annuity using the
formula provided under subsection (b-5) and survivor's annuity
using the formula provided under subsection (b-6).
    "Eligible person" means a person who:
        (1) is a Tier 1 member;
        (2) has submitted an application for a retirement
    annuity under this Article;
        (3) meets the age and service requirements for
    receiving a retirement annuity under this Article;
        (4) has not received any retirement annuity under this
    Article; and
        (5) has not made the election under Section 14-147.5.
    (b) As soon as practical after the effective date of this
amendatory Act of the 100th General Assembly and until June 30,
2021, the System shall implement an accelerated pension benefit
payment option for eligible persons. Upon the request of an
eligible person, the System shall calculate, using actuarial
tables and other assumptions adopted by the Board, an
accelerated pension benefit payment amount and shall offer that
eligible person the opportunity to irrevocably elect to have
his or her automatic annual increases in retirement annuity
calculated in accordance with the formula provided under
subsection (b-5) and any increases in survivor's annuity
payable to his or her survivor's annuity beneficiary calculated
in accordance with the formula provided under subsection (b-6)
in exchange for the accelerated pension benefit payment. The
election under this subsection must be made before the eligible
person receives the first payment of a retirement annuity
otherwise payable under this Article.
    (b-5) Notwithstanding any other provision of law, the
retirement annuity of a person who made the election under
subsection (b) shall be subject to annual increases on the
January 1 occurring either on or after the attainment of age 67
or the first anniversary of the annuity start date, whichever
is later. Each annual increase shall be calculated at 1.5% of
the originally granted retirement annuity.
    (b-6) Notwithstanding any other provision of law, a
survivor's annuity payable to a survivor's annuity beneficiary
of a person who made the election under subsection (b) shall be
subject to annual increases on the January 1 occurring on or
after the first anniversary of the commencement of the annuity.
Each annual increase shall be calculated at 1.5% of the
originally granted survivor's annuity.
    (c) If a person who has received an accelerated pension
benefit payment returns to active service under this Article,
then:
        (1) the calculation of any future automatic annual
    increase in retirement annuity shall be calculated in
    accordance with the formula provided under subsection
    (b-5); and
        (2) the accelerated pension benefit payment may not be
    repaid to the System.
    (d) As a condition of receiving an accelerated pension
benefit payment, the accelerated pension benefit payment must
be transferred into a tax qualified retirement plan or account.
The accelerated pension benefit payment under this Section may
be subject to withholding or payment of applicable taxes, but
to the extent permitted by federal law, a person who receives
an accelerated pension benefit payment under this Section must
direct the System to pay all of that payment as a rollover into
another retirement plan or account qualified under the Internal
Revenue Code of 1986, as amended.
    (d-5) Upon receipt of a member's irrevocable election to
receive an accelerated pension benefit payment under this
Section, the System shall submit a voucher to the Comptroller
for payment of the member's accelerated pension benefit
payment. The Comptroller shall transfer the amount of the
voucher to the System, and the System shall transfer the amount
into a member's eligible retirement plan or qualified account.
    (e) The Board shall adopt any rules, including emergency
rules, necessary to implement this Section.
    (f) No provision of this Section shall be interpreted in a
way that would cause the applicable System to cease to be a
qualified plan under the Internal Revenue Code of 1986.
 
    (40 ILCS 5/14-152.1)
    Sec. 14-152.1. Application and expiration of new benefit
increases.
    (a) As used in this Section, "new benefit increase" means
an increase in the amount of any benefit provided under this
Article, or an expansion of the conditions of eligibility for
any benefit under this Article, that results from an amendment
to this Code that takes effect after June 1, 2005 (the
effective date of Public Act 94-4). "New benefit increase",
however, does not include any benefit increase resulting from
the changes made to Article 1 or this Article by Public Act
96-37, Public Act 100-23, or this amendatory Act of the 100th
General Assembly or by this amendatory Act of the 100th General
Assembly.
    (b) Notwithstanding any other provision of this Code or any
subsequent amendment to this Code, every new benefit increase
is subject to this Section and shall be deemed to be granted
only in conformance with and contingent upon compliance with
the provisions of this Section.
    (c) The Public Act enacting a new benefit increase must
identify and provide for payment to the System of additional
funding at least sufficient to fund the resulting annual
increase in cost to the System as it accrues.
    Every new benefit increase is contingent upon the General
Assembly providing the additional funding required under this
subsection. The Commission on Government Forecasting and
Accountability shall analyze whether adequate additional
funding has been provided for the new benefit increase and
shall report its analysis to the Public Pension Division of the
Department of Insurance. A new benefit increase created by a
Public Act that does not include the additional funding
required under this subsection is null and void. If the Public
Pension Division determines that the additional funding
provided for a new benefit increase under this subsection is or
has become inadequate, it may so certify to the Governor and
the State Comptroller and, in the absence of corrective action
by the General Assembly, the new benefit increase shall expire
at the end of the fiscal year in which the certification is
made.
    (d) Every new benefit increase shall expire 5 years after
its effective date or on such earlier date as may be specified
in the language enacting the new benefit increase or provided
under subsection (c). This does not prevent the General
Assembly from extending or re-creating a new benefit increase
by law.
    (e) Except as otherwise provided in the language creating
the new benefit increase, a new benefit increase that expires
under this Section continues to apply to persons who applied
and qualified for the affected benefit while the new benefit
increase was in effect and to the affected beneficiaries and
alternate payees of such persons, but does not apply to any
other person, including without limitation a person who
continues in service after the expiration date and did not
apply and qualify for the affected benefit while the new
benefit increase was in effect.
(Source: P.A. 100-23, eff. 7-6-17.)
 
    (40 ILCS 5/15-155)  (from Ch. 108 1/2, par. 15-155)
    Sec. 15-155. Employer contributions.
    (a) The State of Illinois shall make contributions by
appropriations of amounts which, together with the other
employer contributions from trust, federal, and other funds,
employee contributions, income from investments, and other
income of this System, will be sufficient to meet the cost of
maintaining and administering the System on a 90% funded basis
in accordance with actuarial recommendations.
    The Board shall determine the amount of State contributions
required for each fiscal year on the basis of the actuarial
tables and other assumptions adopted by the Board and the
recommendations of the actuary, using the formula in subsection
(a-1).
    (a-1) For State fiscal years 2012 through 2045, the minimum
contribution to the System to be made by the State for each
fiscal year shall be an amount determined by the System to be
sufficient to bring the total assets of the System up to 90% of
the total actuarial liabilities of the System by the end of
State fiscal year 2045. In making these determinations, the
required State contribution shall be calculated each year as a
level percentage of payroll over the years remaining to and
including fiscal year 2045 and shall be determined under the
projected unit credit actuarial cost method.
    For each of State fiscal years 2018, 2019, and 2020, the
State shall make an additional contribution to the System equal
to 2% of the total payroll of each employee who is deemed to
have elected the benefits under Section 1-161 or who has made
the election under subsection (c) of Section 1-161.
    A change in an actuarial or investment assumption that
increases or decreases the required State contribution and
first applies in State fiscal year 2018 or thereafter shall be
implemented in equal annual amounts over a 5-year period
beginning in the State fiscal year in which the actuarial
change first applies to the required State contribution.
    A change in an actuarial or investment assumption that
increases or decreases the required State contribution and
first applied to the State contribution in fiscal year 2014,
2015, 2016, or 2017 shall be implemented:
        (i) as already applied in State fiscal years before
    2018; and
        (ii) in the portion of the 5-year period beginning in
    the State fiscal year in which the actuarial change first
    applied that occurs in State fiscal year 2018 or
    thereafter, by calculating the change in equal annual
    amounts over that 5-year period and then implementing it at
    the resulting annual rate in each of the remaining fiscal
    years in that 5-year period.
    For State fiscal years 1996 through 2005, the State
contribution to the System, as a percentage of the applicable
employee payroll, shall be increased in equal annual increments
so that by State fiscal year 2011, the State is contributing at
the rate required under this Section.
    Notwithstanding any other provision of this Article, the
total required State contribution for State fiscal year 2006 is
$166,641,900.
    Notwithstanding any other provision of this Article, the
total required State contribution for State fiscal year 2007 is
$252,064,100.
    For each of State fiscal years 2008 through 2009, the State
contribution to the System, as a percentage of the applicable
employee payroll, shall be increased in equal annual increments
from the required State contribution for State fiscal year
2007, so that by State fiscal year 2011, the State is
contributing at the rate otherwise required under this Section.
    Notwithstanding any other provision of this Article, the
total required State contribution for State fiscal year 2010 is
$702,514,000 and shall be made from the State Pensions Fund and
proceeds of bonds sold in fiscal year 2010 pursuant to Section
7.2 of the General Obligation Bond Act, less (i) the pro rata
share of bond sale expenses determined by the System's share of
total bond proceeds, (ii) any amounts received from the General
Revenue Fund in fiscal year 2010, (iii) any reduction in bond
proceeds due to the issuance of discounted bonds, if
applicable.
    Notwithstanding any other provision of this Article, the
total required State contribution for State fiscal year 2011 is
the amount recertified by the System on or before April 1, 2011
pursuant to Section 15-165 and shall be made from the State
Pensions Fund and proceeds of bonds sold in fiscal year 2011
pursuant to Section 7.2 of the General Obligation Bond Act,
less (i) the pro rata share of bond sale expenses determined by
the System's share of total bond proceeds, (ii) any amounts
received from the General Revenue Fund in fiscal year 2011, and
(iii) any reduction in bond proceeds due to the issuance of
discounted bonds, if applicable.
    Beginning in State fiscal year 2046, the minimum State
contribution for each fiscal year shall be the amount needed to
maintain the total assets of the System at 90% of the total
actuarial liabilities of the System.
    Amounts received by the System pursuant to Section 25 of
the Budget Stabilization Act or Section 8.12 of the State
Finance Act in any fiscal year do not reduce and do not
constitute payment of any portion of the minimum State
contribution required under this Article in that fiscal year.
Such amounts shall not reduce, and shall not be included in the
calculation of, the required State contributions under this
Article in any future year until the System has reached a
funding ratio of at least 90%. A reference in this Article to
the "required State contribution" or any substantially similar
term does not include or apply to any amounts payable to the
System under Section 25 of the Budget Stabilization Act.
    Notwithstanding any other provision of this Section, the
required State contribution for State fiscal year 2005 and for
fiscal year 2008 and each fiscal year thereafter, as calculated
under this Section and certified under Section 15-165, shall
not exceed an amount equal to (i) the amount of the required
State contribution that would have been calculated under this
Section for that fiscal year if the System had not received any
payments under subsection (d) of Section 7.2 of the General
Obligation Bond Act, minus (ii) the portion of the State's
total debt service payments for that fiscal year on the bonds
issued in fiscal year 2003 for the purposes of that Section
7.2, as determined and certified by the Comptroller, that is
the same as the System's portion of the total moneys
distributed under subsection (d) of Section 7.2 of the General
Obligation Bond Act. In determining this maximum for State
fiscal years 2008 through 2010, however, the amount referred to
in item (i) shall be increased, as a percentage of the
applicable employee payroll, in equal increments calculated
from the sum of the required State contribution for State
fiscal year 2007 plus the applicable portion of the State's
total debt service payments for fiscal year 2007 on the bonds
issued in fiscal year 2003 for the purposes of Section 7.2 of
the General Obligation Bond Act, so that, by State fiscal year
2011, the State is contributing at the rate otherwise required
under this Section.
    (a-2) Beginning in fiscal year 2018, each employer under
this Article shall pay to the System a required contribution
determined as a percentage of projected payroll and sufficient
to produce an annual amount equal to:
        (i) for each of fiscal years 2018, 2019, and 2020, the
    defined benefit normal cost of the defined benefit plan,
    less the employee contribution, for each employee of that
    employer who has elected or who is deemed to have elected
    the benefits under Section 1-161 or who has made the
    election under subsection (c) of Section 1-161; for fiscal
    year 2021 and each fiscal year thereafter, the defined
    benefit normal cost of the defined benefit plan, less the
    employee contribution, plus 2%, for each employee of that
    employer who has elected or who is deemed to have elected
    the benefits under Section 1-161 or who has made the
    election under subsection (c) of Section 1-161; plus
        (ii) the amount required for that fiscal year to
    amortize any unfunded actuarial accrued liability
    associated with the present value of liabilities
    attributable to the employer's account under Section
    15-155.2, determined as a level percentage of payroll over
    a 30-year rolling amortization period.
    In determining contributions required under item (i) of
this subsection, the System shall determine an aggregate rate
for all employers, expressed as a percentage of projected
payroll.
    In determining the contributions required under item (ii)
of this subsection, the amount shall be computed by the System
on the basis of the actuarial assumptions and tables used in
the most recent actuarial valuation of the System that is
available at the time of the computation.
    The contributions required under this subsection (a-2)
shall be paid by an employer concurrently with that employer's
payroll payment period. The State, as the actual employer of an
employee, shall make the required contributions under this
subsection.
    As used in this subsection, "academic year" means the
12-month period beginning September 1.
    (b) If an employee is paid from trust or federal funds, the
employer shall pay to the Board contributions from those funds
which are sufficient to cover the accruing normal costs on
behalf of the employee. However, universities having employees
who are compensated out of local auxiliary funds, income funds,
or service enterprise funds are not required to pay such
contributions on behalf of those employees. The local auxiliary
funds, income funds, and service enterprise funds of
universities shall not be considered trust funds for the
purpose of this Article, but funds of alumni associations,
foundations, and athletic associations which are affiliated
with the universities included as employers under this Article
and other employers which do not receive State appropriations
are considered to be trust funds for the purpose of this
Article.
    (b-1) The City of Urbana and the City of Champaign shall
each make employer contributions to this System for their
respective firefighter employees who participate in this
System pursuant to subsection (h) of Section 15-107. The rate
of contributions to be made by those municipalities shall be
determined annually by the Board on the basis of the actuarial
assumptions adopted by the Board and the recommendations of the
actuary, and shall be expressed as a percentage of salary for
each such employee. The Board shall certify the rate to the
affected municipalities as soon as may be practical. The
employer contributions required under this subsection shall be
remitted by the municipality to the System at the same time and
in the same manner as employee contributions.
    (c) Through State fiscal year 1995: The total employer
contribution shall be apportioned among the various funds of
the State and other employers, whether trust, federal, or other
funds, in accordance with actuarial procedures approved by the
Board. State of Illinois contributions for employers receiving
State appropriations for personal services shall be payable
from appropriations made to the employers or to the System. The
contributions for Class I community colleges covering earnings
other than those paid from trust and federal funds, shall be
payable solely from appropriations to the Illinois Community
College Board or the System for employer contributions.
    (d) Beginning in State fiscal year 1996, the required State
contributions to the System shall be appropriated directly to
the System and shall be payable through vouchers issued in
accordance with subsection (c) of Section 15-165, except as
provided in subsection (g).
    (e) The State Comptroller shall draw warrants payable to
the System upon proper certification by the System or by the
employer in accordance with the appropriation laws and this
Code.
    (f) Normal costs under this Section means liability for
pensions and other benefits which accrues to the System because
of the credits earned for service rendered by the participants
during the fiscal year and expenses of administering the
System, but shall not include the principal of or any
redemption premium or interest on any bonds issued by the Board
or any expenses incurred or deposits required in connection
therewith.
    (g) For academic years beginning on or after June 1, 2005
and before July 1, 2018 and for earnings paid to a participant
under a contract or collective bargaining agreement entered
into, amended, or renewed before the effective date of this
amendatory Act of the 100th General Assembly, if If the amount
of a participant's earnings for any academic year used to
determine the final rate of earnings, determined on a full-time
equivalent basis, exceeds the amount of his or her earnings
with the same employer for the previous academic year,
determined on a full-time equivalent basis, by more than 6%,
the participant's employer shall pay to the System, in addition
to all other payments required under this Section and in
accordance with guidelines established by the System, the
present value of the increase in benefits resulting from the
portion of the increase in earnings that is in excess of 6%.
This present value shall be computed by the System on the basis
of the actuarial assumptions and tables used in the most recent
actuarial valuation of the System that is available at the time
of the computation. The System may require the employer to
provide any pertinent information or documentation.
    Whenever it determines that a payment is or may be required
under this subsection (g), the System shall calculate the
amount of the payment and bill the employer for that amount.
The bill shall specify the calculations used to determine the
amount due. If the employer disputes the amount of the bill, it
may, within 30 days after receipt of the bill, apply to the
System in writing for a recalculation. The application must
specify in detail the grounds of the dispute and, if the
employer asserts that the calculation is subject to subsection
(h) or (i) of this Section or that subsection (g-1) applies,
must include an affidavit setting forth and attesting to all
facts within the employer's knowledge that are pertinent to the
applicability of that subsection subsection (h) or (i). Upon
receiving a timely application for recalculation, the System
shall review the application and, if appropriate, recalculate
the amount due.
    The employer contributions required under this subsection
(g) may be paid in the form of a lump sum within 90 days after
receipt of the bill. If the employer contributions are not paid
within 90 days after receipt of the bill, then interest will be
charged at a rate equal to the System's annual actuarially
assumed rate of return on investment compounded annually from
the 91st day after receipt of the bill. Payments must be
concluded within 3 years after the employer's receipt of the
bill.
    When assessing payment for any amount due under this
subsection (g), the System shall include earnings, to the
extent not established by a participant under Section 15-113.11
or 15-113.12, that would have been paid to the participant had
the participant not taken (i) periods of voluntary or
involuntary furlough occurring on or after July 1, 2015 and on
or before June 30, 2017 or (ii) periods of voluntary pay
reduction in lieu of furlough occurring on or after July 1,
2015 and on or before June 30, 2017. Determining earnings that
would have been paid to a participant had the participant not
taken periods of voluntary or involuntary furlough or periods
of voluntary pay reduction shall be the responsibility of the
employer, and shall be reported in a manner prescribed by the
System.
    This subsection (g) does not apply to (1) Tier 2 hybrid
plan members and (2) Tier 2 defined benefit members who first
participate under this Article on or after the implementation
date of the Optional Hybrid Plan.
    (g-1) For academic years beginning on or after July 1, 2018
and for earnings paid to a participant under a contract or
collective bargaining agreement entered into, amended, or
renewed on or after the effective date of this amendatory Act
of the 100th General Assembly, if the amount of a participant's
earnings for any academic year used to determine the final rate
of earnings, determined on a full-time equivalent basis,
exceeds the amount of his or her earnings with the same
employer for the previous academic year, determined on a
full-time equivalent basis, by more than 3%, then the
participant's employer shall pay to the System, in addition to
all other payments required under this Section and in
accordance with guidelines established by the System, the
present value of the increase in benefits resulting from the
portion of the increase in earnings that is in excess of 3%.
This present value shall be computed by the System on the basis
of the actuarial assumptions and tables used in the most recent
actuarial valuation of the System that is available at the time
of the computation. The System may require the employer to
provide any pertinent information or documentation.
    Whenever it determines that a payment is or may be required
under this subsection (g-1), the System shall calculate the
amount of the payment and bill the employer for that amount.
The bill shall specify the calculations used to determine the
amount due. If the employer disputes the amount of the bill, it
may, within 30 days after receipt of the bill, apply to the
System in writing for a recalculation. The application must
specify in detail the grounds of the dispute and, if the
employer asserts that subsection (g) of this Section applies,
must include an affidavit setting forth and attesting to all
facts within the employer's knowledge that are pertinent to the
applicability of subsection (g). Upon receiving a timely
application for recalculation, the System shall review the
application and, if appropriate, recalculate the amount due.
    The employer contributions required under this subsection
(g-1) may be paid in the form of a lump sum within 90 days after
receipt of the bill. If the employer contributions are not paid
within 90 days after receipt of the bill, then interest shall
be charged at a rate equal to the System's annual actuarially
assumed rate of return on investment compounded annually from
the 91st day after receipt of the bill. Payments must be
concluded within 3 years after the employer's receipt of the
bill.
    This subsection (g-1) does not apply to (1) Tier 2 hybrid
plan members and (2) Tier 2 defined benefit members who first
participate under this Article on or after the implementation
date of the Optional Hybrid Plan.
    (h) This subsection (h) applies only to payments made or
salary increases given on or after June 1, 2005 but before July
1, 2011. The changes made by Public Act 94-1057 shall not
require the System to refund any payments received before July
31, 2006 (the effective date of Public Act 94-1057).
    When assessing payment for any amount due under subsection
(g), the System shall exclude earnings increases paid to
participants under contracts or collective bargaining
agreements entered into, amended, or renewed before June 1,
2005.
    When assessing payment for any amount due under subsection
(g), the System shall exclude earnings increases paid to a
participant at a time when the participant is 10 or more years
from retirement eligibility under Section 15-135.
    When assessing payment for any amount due under subsection
(g), the System shall exclude earnings increases resulting from
overload work, including a contract for summer teaching, or
overtime when the employer has certified to the System, and the
System has approved the certification, that: (i) in the case of
overloads (A) the overload work is for the sole purpose of
academic instruction in excess of the standard number of
instruction hours for a full-time employee occurring during the
academic year that the overload is paid and (B) the earnings
increases are equal to or less than the rate of pay for
academic instruction computed using the participant's current
salary rate and work schedule; and (ii) in the case of
overtime, the overtime was necessary for the educational
mission.
    When assessing payment for any amount due under subsection
(g), the System shall exclude any earnings increase resulting
from (i) a promotion for which the employee moves from one
classification to a higher classification under the State
Universities Civil Service System, (ii) a promotion in academic
rank for a tenured or tenure-track faculty position, or (iii) a
promotion that the Illinois Community College Board has
recommended in accordance with subsection (k) of this Section.
These earnings increases shall be excluded only if the
promotion is to a position that has existed and been filled by
a member for no less than one complete academic year and the
earnings increase as a result of the promotion is an increase
that results in an amount no greater than the average salary
paid for other similar positions.
    (i) When assessing payment for any amount due under
subsection (g), the System shall exclude any salary increase
described in subsection (h) of this Section given on or after
July 1, 2011 but before July 1, 2014 under a contract or
collective bargaining agreement entered into, amended, or
renewed on or after June 1, 2005 but before July 1, 2011.
Notwithstanding any other provision of this Section, any
payments made or salary increases given after June 30, 2014
shall be used in assessing payment for any amount due under
subsection (g) of this Section.
    (j) The System shall prepare a report and file copies of
the report with the Governor and the General Assembly by
January 1, 2007 that contains all of the following information:
        (1) The number of recalculations required by the
    changes made to this Section by Public Act 94-1057 for each
    employer.
        (2) The dollar amount by which each employer's
    contribution to the System was changed due to
    recalculations required by Public Act 94-1057.
        (3) The total amount the System received from each
    employer as a result of the changes made to this Section by
    Public Act 94-4.
        (4) The increase in the required State contribution
    resulting from the changes made to this Section by Public
    Act 94-1057.
    (j-5) For academic years beginning on or after July 1,
2017, if the amount of a participant's earnings for any school
year, determined on a full-time equivalent basis, exceeds the
amount of the salary set for the Governor, the participant's
employer shall pay to the System, in addition to all other
payments required under this Section and in accordance with
guidelines established by the System, an amount determined by
the System to be equal to the employer normal cost, as
established by the System and expressed as a total percentage
of payroll, multiplied by the amount of earnings in excess of
the amount of the salary set for the Governor. This amount
shall be computed by the System on the basis of the actuarial
assumptions and tables used in the most recent actuarial
valuation of the System that is available at the time of the
computation. The System may require the employer to provide any
pertinent information or documentation.
    Whenever it determines that a payment is or may be required
under this subsection, the System shall calculate the amount of
the payment and bill the employer for that amount. The bill
shall specify the calculations used to determine the amount
due. If the employer disputes the amount of the bill, it may,
within 30 days after receipt of the bill, apply to the System
in writing for a recalculation. The application must specify in
detail the grounds of the dispute. Upon receiving a timely
application for recalculation, the System shall review the
application and, if appropriate, recalculate the amount due.
    The employer contributions required under this subsection
may be paid in the form of a lump sum within 90 days after
receipt of the bill. If the employer contributions are not paid
within 90 days after receipt of the bill, then interest will be
charged at a rate equal to the System's annual actuarially
assumed rate of return on investment compounded annually from
the 91st day after receipt of the bill. Payments must be
concluded within 3 years after the employer's receipt of the
bill.
    (k) The Illinois Community College Board shall adopt rules
for recommending lists of promotional positions submitted to
the Board by community colleges and for reviewing the
promotional lists on an annual basis. When recommending
promotional lists, the Board shall consider the similarity of
the positions submitted to those positions recognized for State
universities by the State Universities Civil Service System.
The Illinois Community College Board shall file a copy of its
findings with the System. The System shall consider the
findings of the Illinois Community College Board when making
determinations under this Section. The System shall not exclude
any earnings increases resulting from a promotion when the
promotion was not submitted by a community college. Nothing in
this subsection (k) shall require any community college to
submit any information to the Community College Board.
    (l) For purposes of determining the required State
contribution to the System, the value of the System's assets
shall be equal to the actuarial value of the System's assets,
which shall be calculated as follows:
    As of June 30, 2008, the actuarial value of the System's
assets shall be equal to the market value of the assets as of
that date. In determining the actuarial value of the System's
assets for fiscal years after June 30, 2008, any actuarial
gains or losses from investment return incurred in a fiscal
year shall be recognized in equal annual amounts over the
5-year period following that fiscal year.
    (m) For purposes of determining the required State
contribution to the system for a particular year, the actuarial
value of assets shall be assumed to earn a rate of return equal
to the system's actuarially assumed rate of return.
(Source: P.A. 99-897, eff. 1-1-17; 100-23, eff. 7-6-17.)
 
    (40 ILCS 5/15-165)   (from Ch. 108 1/2, par. 15-165)
    Sec. 15-165. To certify amounts and submit vouchers.
    (a) The Board shall certify to the Governor on or before
November 15 of each year until November 15, 2011 the
appropriation required from State funds for the purposes of
this System for the following fiscal year. The certification
under this subsection (a) shall include a copy of the actuarial
recommendations upon which it is based and shall specifically
identify the System's projected State normal cost for that
fiscal year and the projected State cost for the self-managed
plan for that fiscal year.
    On or before May 1, 2004, the Board shall recalculate and
recertify to the Governor the amount of the required State
contribution to the System for State fiscal year 2005, taking
into account the amounts appropriated to and received by the
System under subsection (d) of Section 7.2 of the General
Obligation Bond Act.
    On or before July 1, 2005, the Board shall recalculate and
recertify to the Governor the amount of the required State
contribution to the System for State fiscal year 2006, taking
into account the changes in required State contributions made
by this amendatory Act of the 94th General Assembly.
    On or before April 1, 2011, the Board shall recalculate and
recertify to the Governor the amount of the required State
contribution to the System for State fiscal year 2011, applying
the changes made by Public Act 96-889 to the System's assets
and liabilities as of June 30, 2009 as though Public Act 96-889
was approved on that date.
    (a-5) On or before November 1 of each year, beginning
November 1, 2012, the Board shall submit to the State Actuary,
the Governor, and the General Assembly a proposed certification
of the amount of the required State contribution to the System
for the next fiscal year, along with all of the actuarial
assumptions, calculations, and data upon which that proposed
certification is based. On or before January 1 of each year,
beginning January 1, 2013, the State Actuary shall issue a
preliminary report concerning the proposed certification and
identifying, if necessary, recommended changes in actuarial
assumptions that the Board must consider before finalizing its
certification of the required State contributions. On or before
January 15, 2013 and each January 15 thereafter, the Board
shall certify to the Governor and the General Assembly the
amount of the required State contribution for the next fiscal
year. The Board's certification must note, in a written
response to the State Actuary, any deviations from the State
Actuary's recommended changes, the reason or reasons for not
following the State Actuary's recommended changes, and the
fiscal impact of not following the State Actuary's recommended
changes on the required State contribution.
    (a-10) By November 1, 2017, the Board shall recalculate and
recertify to the State Actuary, the Governor, and the General
Assembly the amount of the State contribution to the System for
State fiscal year 2018, taking into account the changes in
required State contributions made by this amendatory Act of the
100th General Assembly. The State Actuary shall review the
assumptions and valuations underlying the Board's revised
certification and issue a preliminary report concerning the
proposed recertification and identifying, if necessary,
recommended changes in actuarial assumptions that the Board
must consider before finalizing its certification of the
required State contributions. The Board's final certification
must note any deviations from the State Actuary's recommended
changes, the reason or reasons for not following the State
Actuary's recommended changes, and the fiscal impact of not
following the State Actuary's recommended changes on the
required State contribution.
    (a-15) On or after June 15, 2019, but no later than June
30, 2019, the Board shall recalculate and recertify to the
Governor and the General Assembly the amount of the State
contribution to the System for State fiscal year 2019, taking
into account the changes in required State contributions made
by this amendatory Act of the 100th General Assembly. The
recalculation shall be made using assumptions adopted by the
Board for the original fiscal year 2019 certification. The
monthly voucher for the 12th month of fiscal year 2019 shall be
paid by the Comptroller after the recertification required
pursuant to this subsection is submitted to the Governor,
Comptroller, and General Assembly. The recertification
submitted to the General Assembly shall be filed with the Clerk
of the House of Representatives and the Secretary of the Senate
in electronic form only, in the manner that the Clerk and the
Secretary shall direct.
    (b) The Board shall certify to the State Comptroller or
employer, as the case may be, from time to time, by its
chairperson and secretary, with its seal attached, the amounts
payable to the System from the various funds.
    (c) Beginning in State fiscal year 1996, on or as soon as
possible after the 15th day of each month the Board shall
submit vouchers for payment of State contributions to the
System, in a total monthly amount of one-twelfth of the
required annual State contribution certified under subsection
(a). From the effective date of this amendatory Act of the 93rd
General Assembly through June 30, 2004, the Board shall not
submit vouchers for the remainder of fiscal year 2004 in excess
of the fiscal year 2004 certified contribution amount
determined under this Section after taking into consideration
the transfer to the System under subsection (b) of Section
6z-61 of the State Finance Act. These vouchers shall be paid by
the State Comptroller and Treasurer by warrants drawn on the
funds appropriated to the System for that fiscal year.
    If in any month the amount remaining unexpended from all
other appropriations to the System for the applicable fiscal
year (including the appropriations to the System under Section
8.12 of the State Finance Act and Section 1 of the State
Pension Funds Continuing Appropriation Act) is less than the
amount lawfully vouchered under this Section, the difference
shall be paid from the General Revenue Fund under the
continuing appropriation authority provided in Section 1.1 of
the State Pension Funds Continuing Appropriation Act.
    (d) So long as the payments received are the full amount
lawfully vouchered under this Section, payments received by the
System under this Section shall be applied first toward the
employer contribution to the self-managed plan established
under Section 15-158.2. Payments shall be applied second toward
the employer's portion of the normal costs of the System, as
defined in subsection (f) of Section 15-155. The balance shall
be applied toward the unfunded actuarial liabilities of the
System.
    (e) In the event that the System does not receive, as a
result of legislative enactment or otherwise, payments
sufficient to fully fund the employer contribution to the
self-managed plan established under Section 15-158.2 and to
fully fund that portion of the employer's portion of the normal
costs of the System, as calculated in accordance with Section
15-155(a-1), then any payments received shall be applied
proportionately to the optional retirement program established
under Section 15-158.2 and to the employer's portion of the
normal costs of the System, as calculated in accordance with
Section 15-155(a-1).
(Source: P.A. 100-23, eff. 7-6-17.)
 
    (40 ILCS 5/15-185.5 new)
    Sec. 15-185.5. Accelerated pension benefit payment in lieu
of any pension benefit.
    (a) As used in this Section:
    "Eligible person" means a person who:
        (1) has terminated service;
        (2) has accrued sufficient service credit to be
    eligible to receive a retirement annuity under this
    Article;
        (3) has not received any retirement annuity under this
    Article;
        (4) has not made the election under Section 15-185.6;
    and
        (5) is not a participant in the self-managed plan under
    Section 15-158.2.
    "Implementation date" means the earliest date upon which
the Board authorizes eligible persons to begin irrevocably
electing the accelerated pension benefit payment option under
this Section. The Board shall endeavor to make such
participation available as soon as possible after the effective
date of this amendatory Act of the 100th General Assembly and
shall establish an implementation date by Board resolution.
    "Pension benefit" means the benefits under this Article, or
Article 1 as it relates to those benefits, including any
anticipated annual increases, that an eligible person is
entitled to upon attainment of the applicable retirement age.
"Pension benefit" also includes applicable survivors benefits,
disability benefits, or disability retirement annuity
benefits.
    (b) Beginning on the implementation date, the System shall
offer each eligible person the opportunity to irrevocably elect
to receive an amount determined by the System to be equal to
60% of the present value of his or her pension benefits in lieu
of receiving any pension benefit. The System shall calculate,
using actuarial tables and other assumptions adopted by the
Board, the present value of pension benefits for each eligible
person upon his or her request in writing to the System. The
System shall not perform more than one calculation per eligible
member in a State fiscal year. The offer shall specify the
dollar amount that the eligible person will receive if he or
she so elects and shall expire when a subsequent offer is made
to an eligible person. The System shall make a good faith
effort to contact every eligible person to notify him or her of
the election.
    Beginning on the implementation date and until June 30,
2021, an eligible person may irrevocably elect to receive an
accelerated pension benefit payment in the amount that the
System offers under this subsection in lieu of receiving any
pension benefit. A person who elects to receive an accelerated
pension benefit payment under this Section may not elect to
proceed under the Retirement Systems Reciprocal Act with
respect to service under this Article.
    (c) Upon payment of an accelerated pension benefit payment
under this Section, the person forfeits all accrued rights and
credits in the System and no other benefit shall be paid under
this Article based on those forfeited rights and credits,
including any retirement, survivor, or other benefit; except
that to the extent that participation, benefits, or premiums
under the State Employees Group Insurance Act of 1971 are based
on the amount of service credit, the terminated service credit
shall be used for that purpose.
    (d) If a person who has received an accelerated pension
benefit payment under this Section returns to participation
under this Article, any benefits under the System earned as a
result of that return to participation shall be based solely on
the person's credits and creditable service arising from the
return to participation. Upon return to participation, the
person shall be considered a new employee subject to all the
qualifying conditions for participation and eligibility for
benefits applicable to new employees.
    (d-5) The accelerated pension benefit payment may not be
repaid to the System, and the forfeited rights and credits may
not under any circumstances be reinstated.
    (e) As a condition of receiving an accelerated pension
benefit payment, the accelerated pension benefit payment must
be deposited into a tax qualified retirement plan or account
identified by the eligible person at the time of the election.
The accelerated pension benefit payment under this Section may
be subject to withholding or payment of applicable taxes, but
to the extent permitted by federal law, a person who receives
an accelerated pension benefit payment under this Section must
direct the System to pay all of that payment as a rollover into
another retirement plan or account qualified under the Internal
Revenue Code of 1986, as amended.
    (f) The System shall submit vouchers to the State
Comptroller for the payment of accelerated pension benefit
payments under this Section. The State Comptroller shall pay
the amounts of the vouchers from the State Pension Obligation
Acceleration Bond Fund to the System, and the System shall
deposit the amounts into the applicable tax qualified plans or
accounts.
    (g) The Board shall adopt any rules, including emergency
rules, necessary to implement this Section.
    (h) No provision of this Section shall be interpreted in a
way that would cause the System to cease to be a qualified plan
under the Internal Revenue Code of 1986.
 
    (40 ILCS 5/15-185.6 new)
    Sec. 15-185.6. Accelerated pension benefit payment for a
reduction in an annual increase to a retirement annuity and an
annuity benefit payable as a result of death.
    (a) As used in this Section:
    "Accelerated pension benefit payment" means a lump sum
payment equal to 70% of the difference of: (i) the present
value of the automatic annual increases to a Tier 1 member's
retirement annuity, including any increases to any annuity
benefit payable as a result of his or her death, using the
formula applicable to the Tier 1 member; and (ii) the present
value of the automatic annual increases to the Tier 1 member's
retirement annuity, including any increases to any annuity
benefit payable as a result of his or her death, using the
formula provided under subsection (b-5).
    "Eligible person" means a person who:
        (1) is a Tier 1 member;
        (2) has submitted an application for a retirement
    annuity under this Article;
        (3) meets the age and service requirements for
    receiving a retirement annuity under this Article;
        (4) has not received any retirement annuity under this
    Article;
        (5) has not made the election under Section 15-185.5;
    and
        (6) is not a participant in the self-managed plan under
    Section 15-158.2.
    "Implementation date" means the earliest date upon which
the Board authorizes eligible persons to begin irrevocably
electing the accelerated pension benefit payment option under
this Section. The Board shall endeavor to make such
participation available as soon as possible after the effective
date of this amendatory Act of the 100th General Assembly and
shall establish an implementation date by Board resolution.
    (b) Beginning on the implementation date and until June 30,
2021, the System shall implement an accelerated pension benefit
payment option for eligible persons. The System shall
calculate, using actuarial tables and other assumptions
adopted by the Board, an accelerated pension benefit payment
amount for an eligible person upon his or her request in
writing to the System and shall offer that eligible person the
opportunity to irrevocably elect to have his or her automatic
annual increases in retirement annuity and any annuity benefit
payable as a result of his or her death calculated in
accordance with the formula provided in subsection (b-5) in
exchange for the accelerated pension benefit payment. The
System shall not perform more than one calculation under this
Section per eligible person in a State fiscal year. The
election under this subsection must be made before any
retirement annuity is paid to the eligible person, and the
eligible survivor, spouse, or contingent annuitant, as
applicable, must consent to the election under this subsection.
    (b-5) Notwithstanding any other provision of law, the
retirement annuity of a person who made the election under
subsection (b) shall be increased annually beginning on the
January 1 occurring either on or after the attainment of age 67
or the first anniversary of the annuity start date, whichever
is later, and any annuity benefit payable as a result of his or
her death shall be increased annually beginning on: (1) the
January 1 occurring on or after the commencement of the annuity
if the deceased Tier 1 member died while receiving a retirement
annuity; or (2) the January 1 occurring after the first
anniversary of the commencement of the benefit. Each annual
increase shall be calculated at 1.5% of the originally granted
retirement annuity or annuity benefit payable as a result of
the Tier 1 member's death.
    (c) If an annuitant who has received an accelerated pension
benefit payment returns to participation under this Article,
the calculation of any future automatic annual increase in
retirement annuity under subsection (c) of Section 15-139 shall
be calculated in accordance with the formula provided in
subsection (b-5).
    (c-5) The accelerated pension benefit payment may not be
repaid to the System.
    (d) As a condition of receiving an accelerated pension
benefit payment, the accelerated pension benefit payment must
be deposited into a tax qualified retirement plan or account
identified by the eligible person at the time of election. The
accelerated pension benefit payment under this Section may be
subject to withholding or payment of applicable taxes, but to
the extent permitted by federal law, a person who receives an
accelerated pension benefit payment under this Section must
direct the System to pay all of that payment as a rollover into
another retirement plan or account qualified under the Internal
Revenue Code of 1986, as amended.
    (d-5) The System shall submit vouchers to the State
Comptroller for the payment of accelerated pension benefit
payments under this Section. The State Comptroller shall pay
the amounts of the vouchers from the State Pension Obligation
Acceleration Bond Fund to the System, and the System shall
deposit the amounts into the applicable tax qualified plans or
accounts.
    (e) The Board shall adopt any rules, including emergency
rules, necessary to implement this Section.
    (f) No provision of this Section shall be interpreted in a
way that would cause the System to cease to be a qualified plan
under the Internal Revenue Code of 1986.
 
    (40 ILCS 5/15-198)
    Sec. 15-198. Application and expiration of new benefit
increases.
    (a) As used in this Section, "new benefit increase" means
an increase in the amount of any benefit provided under this
Article, or an expansion of the conditions of eligibility for
any benefit under this Article, that results from an amendment
to this Code that takes effect after the effective date of this
amendatory Act of the 94th General Assembly. "New benefit
increase", however, does not include any benefit increase
resulting from the changes made to Article 1 or this Article by
Public Act 100-23 or this amendatory Act of the 100th General
Assembly this amendatory Act of the 100th General Assembly.
    (b) Notwithstanding any other provision of this Code or any
subsequent amendment to this Code, every new benefit increase
is subject to this Section and shall be deemed to be granted
only in conformance with and contingent upon compliance with
the provisions of this Section.
    (c) The Public Act enacting a new benefit increase must
identify and provide for payment to the System of additional
funding at least sufficient to fund the resulting annual
increase in cost to the System as it accrues.
    Every new benefit increase is contingent upon the General
Assembly providing the additional funding required under this
subsection. The Commission on Government Forecasting and
Accountability shall analyze whether adequate additional
funding has been provided for the new benefit increase and
shall report its analysis to the Public Pension Division of the
Department of Insurance. A new benefit increase created by a
Public Act that does not include the additional funding
required under this subsection is null and void. If the Public
Pension Division determines that the additional funding
provided for a new benefit increase under this subsection is or
has become inadequate, it may so certify to the Governor and
the State Comptroller and, in the absence of corrective action
by the General Assembly, the new benefit increase shall expire
at the end of the fiscal year in which the certification is
made.
    (d) Every new benefit increase shall expire 5 years after
its effective date or on such earlier date as may be specified
in the language enacting the new benefit increase or provided
under subsection (c). This does not prevent the General
Assembly from extending or re-creating a new benefit increase
by law.
    (e) Except as otherwise provided in the language creating
the new benefit increase, a new benefit increase that expires
under this Section continues to apply to persons who applied
and qualified for the affected benefit while the new benefit
increase was in effect and to the affected beneficiaries and
alternate payees of such persons, but does not apply to any
other person, including without limitation a person who
continues in service after the expiration date and did not
apply and qualify for the affected benefit while the new
benefit increase was in effect.
(Source: P.A. 100-23, eff. 7-6-17.)
 
    (40 ILCS 5/16-106.41 new)
    Sec. 16-106.41. Tier 1 member. "Tier 1 member": A member
under this Article who first became a member or participant
before January 1, 2011 under any reciprocal retirement system
or pension fund established under this Code other than a
retirement system or pension fund established under Article 2,
3, 4, 5, 6, or 18 of this Code.
 
    (40 ILCS 5/16-158)   (from Ch. 108 1/2, par. 16-158)
    Sec. 16-158. Contributions by State and other employing
units.
    (a) The State shall make contributions to the System by
means of appropriations from the Common School Fund and other
State funds of amounts which, together with other employer
contributions, employee contributions, investment income, and
other income, will be sufficient to meet the cost of
maintaining and administering the System on a 90% funded basis
in accordance with actuarial recommendations.
    The Board shall determine the amount of State contributions
required for each fiscal year on the basis of the actuarial
tables and other assumptions adopted by the Board and the
recommendations of the actuary, using the formula in subsection
(b-3).
    (a-1) Annually, on or before November 15 until November 15,
2011, the Board shall certify to the Governor the amount of the
required State contribution for the coming fiscal year. The
certification under this subsection (a-1) shall include a copy
of the actuarial recommendations upon which it is based and
shall specifically identify the System's projected State
normal cost for that fiscal year.
    On or before May 1, 2004, the Board shall recalculate and
recertify to the Governor the amount of the required State
contribution to the System for State fiscal year 2005, taking
into account the amounts appropriated to and received by the
System under subsection (d) of Section 7.2 of the General
Obligation Bond Act.
    On or before July 1, 2005, the Board shall recalculate and
recertify to the Governor the amount of the required State
contribution to the System for State fiscal year 2006, taking
into account the changes in required State contributions made
by Public Act 94-4 this amendatory Act of the 94th General
Assembly.
    On or before April 1, 2011, the Board shall recalculate and
recertify to the Governor the amount of the required State
contribution to the System for State fiscal year 2011, applying
the changes made by Public Act 96-889 to the System's assets
and liabilities as of June 30, 2009 as though Public Act 96-889
was approved on that date.
    (a-5) On or before November 1 of each year, beginning
November 1, 2012, the Board shall submit to the State Actuary,
the Governor, and the General Assembly a proposed certification
of the amount of the required State contribution to the System
for the next fiscal year, along with all of the actuarial
assumptions, calculations, and data upon which that proposed
certification is based. On or before January 1 of each year,
beginning January 1, 2013, the State Actuary shall issue a
preliminary report concerning the proposed certification and
identifying, if necessary, recommended changes in actuarial
assumptions that the Board must consider before finalizing its
certification of the required State contributions. On or before
January 15, 2013 and each January 15 thereafter, the Board
shall certify to the Governor and the General Assembly the
amount of the required State contribution for the next fiscal
year. The Board's certification must note any deviations from
the State Actuary's recommended changes, the reason or reasons
for not following the State Actuary's recommended changes, and
the fiscal impact of not following the State Actuary's
recommended changes on the required State contribution.
    (a-10) By November 1, 2017, the Board shall recalculate and
recertify to the State Actuary, the Governor, and the General
Assembly the amount of the State contribution to the System for
State fiscal year 2018, taking into account the changes in
required State contributions made by Public Act 100-23 this
amendatory Act of the 100th General Assembly. The State Actuary
shall review the assumptions and valuations underlying the
Board's revised certification and issue a preliminary report
concerning the proposed recertification and identifying, if
necessary, recommended changes in actuarial assumptions that
the Board must consider before finalizing its certification of
the required State contributions. The Board's final
certification must note any deviations from the State Actuary's
recommended changes, the reason or reasons for not following
the State Actuary's recommended changes, and the fiscal impact
of not following the State Actuary's recommended changes on the
required State contribution.
    (a-15) On or after June 15, 2019, but no later than June
30, 2019, the Board shall recalculate and recertify to the
Governor and the General Assembly the amount of the State
contribution to the System for State fiscal year 2019, taking
into account the changes in required State contributions made
by this amendatory Act of the 100th General Assembly. The
recalculation shall be made using assumptions adopted by the
Board for the original fiscal year 2019 certification. The
monthly voucher for the 12th month of fiscal year 2019 shall be
paid by the Comptroller after the recertification required
pursuant to this subsection is submitted to the Governor,
Comptroller, and General Assembly. The recertification
submitted to the General Assembly shall be filed with the Clerk
of the House of Representatives and the Secretary of the Senate
in electronic form only, in the manner that the Clerk and the
Secretary shall direct.
    (b) Through State fiscal year 1995, the State contributions
shall be paid to the System in accordance with Section 18-7 of
the School Code.
    (b-1) Beginning in State fiscal year 1996, on the 15th day
of each month, or as soon thereafter as may be practicable, the
Board shall submit vouchers for payment of State contributions
to the System, in a total monthly amount of one-twelfth of the
required annual State contribution certified under subsection
(a-1). From March 5, 2004 (the effective date of Public Act
93-665) this amendatory Act of the 93rd General Assembly
through June 30, 2004, the Board shall not submit vouchers for
the remainder of fiscal year 2004 in excess of the fiscal year
2004 certified contribution amount determined under this
Section after taking into consideration the transfer to the
System under subsection (a) of Section 6z-61 of the State
Finance Act. These vouchers shall be paid by the State
Comptroller and Treasurer by warrants drawn on the funds
appropriated to the System for that fiscal year.
    If in any month the amount remaining unexpended from all
other appropriations to the System for the applicable fiscal
year (including the appropriations to the System under Section
8.12 of the State Finance Act and Section 1 of the State
Pension Funds Continuing Appropriation Act) is less than the
amount lawfully vouchered under this subsection, the
difference shall be paid from the Common School Fund under the
continuing appropriation authority provided in Section 1.1 of
the State Pension Funds Continuing Appropriation Act.
    (b-2) Allocations from the Common School Fund apportioned
to school districts not coming under this System shall not be
diminished or affected by the provisions of this Article.
    (b-3) For State fiscal years 2012 through 2045, the minimum
contribution to the System to be made by the State for each
fiscal year shall be an amount determined by the System to be
sufficient to bring the total assets of the System up to 90% of
the total actuarial liabilities of the System by the end of
State fiscal year 2045. In making these determinations, the
required State contribution shall be calculated each year as a
level percentage of payroll over the years remaining to and
including fiscal year 2045 and shall be determined under the
projected unit credit actuarial cost method.
    For each of State fiscal years 2018, 2019, and 2020, the
State shall make an additional contribution to the System equal
to 2% of the total payroll of each employee who is deemed to
have elected the benefits under Section 1-161 or who has made
the election under subsection (c) of Section 1-161.
    A change in an actuarial or investment assumption that
increases or decreases the required State contribution and
first applies in State fiscal year 2018 or thereafter shall be
implemented in equal annual amounts over a 5-year period
beginning in the State fiscal year in which the actuarial
change first applies to the required State contribution.
    A change in an actuarial or investment assumption that
increases or decreases the required State contribution and
first applied to the State contribution in fiscal year 2014,
2015, 2016, or 2017 shall be implemented:
        (i) as already applied in State fiscal years before
    2018; and
        (ii) in the portion of the 5-year period beginning in
    the State fiscal year in which the actuarial change first
    applied that occurs in State fiscal year 2018 or
    thereafter, by calculating the change in equal annual
    amounts over that 5-year period and then implementing it at
    the resulting annual rate in each of the remaining fiscal
    years in that 5-year period.
    For State fiscal years 1996 through 2005, the State
contribution to the System, as a percentage of the applicable
employee payroll, shall be increased in equal annual increments
so that by State fiscal year 2011, the State is contributing at
the rate required under this Section; except that in the
following specified State fiscal years, the State contribution
to the System shall not be less than the following indicated
percentages of the applicable employee payroll, even if the
indicated percentage will produce a State contribution in
excess of the amount otherwise required under this subsection
and subsection (a), and notwithstanding any contrary
certification made under subsection (a-1) before May 27, 1998
(the effective date of Public Act 90-582) this amendatory Act
of 1998: 10.02% in FY 1999; 10.77% in FY 2000; 11.47% in FY
2001; 12.16% in FY 2002; 12.86% in FY 2003; and 13.56% in FY
2004.
    Notwithstanding any other provision of this Article, the
total required State contribution for State fiscal year 2006 is
$534,627,700.
    Notwithstanding any other provision of this Article, the
total required State contribution for State fiscal year 2007 is
$738,014,500.
    For each of State fiscal years 2008 through 2009, the State
contribution to the System, as a percentage of the applicable
employee payroll, shall be increased in equal annual increments
from the required State contribution for State fiscal year
2007, so that by State fiscal year 2011, the State is
contributing at the rate otherwise required under this Section.
    Notwithstanding any other provision of this Article, the
total required State contribution for State fiscal year 2010 is
$2,089,268,000 and shall be made from the proceeds of bonds
sold in fiscal year 2010 pursuant to Section 7.2 of the General
Obligation Bond Act, less (i) the pro rata share of bond sale
expenses determined by the System's share of total bond
proceeds, (ii) any amounts received from the Common School Fund
in fiscal year 2010, and (iii) any reduction in bond proceeds
due to the issuance of discounted bonds, if applicable.
    Notwithstanding any other provision of this Article, the
total required State contribution for State fiscal year 2011 is
the amount recertified by the System on or before April 1, 2011
pursuant to subsection (a-1) of this Section and shall be made
from the proceeds of bonds sold in fiscal year 2011 pursuant to
Section 7.2 of the General Obligation Bond Act, less (i) the
pro rata share of bond sale expenses determined by the System's
share of total bond proceeds, (ii) any amounts received from
the Common School Fund in fiscal year 2011, and (iii) any
reduction in bond proceeds due to the issuance of discounted
bonds, if applicable. This amount shall include, in addition to
the amount certified by the System, an amount necessary to meet
employer contributions required by the State as an employer
under paragraph (e) of this Section, which may also be used by
the System for contributions required by paragraph (a) of
Section 16-127.
    Beginning in State fiscal year 2046, the minimum State
contribution for each fiscal year shall be the amount needed to
maintain the total assets of the System at 90% of the total
actuarial liabilities of the System.
    Amounts received by the System pursuant to Section 25 of
the Budget Stabilization Act or Section 8.12 of the State
Finance Act in any fiscal year do not reduce and do not
constitute payment of any portion of the minimum State
contribution required under this Article in that fiscal year.
Such amounts shall not reduce, and shall not be included in the
calculation of, the required State contributions under this
Article in any future year until the System has reached a
funding ratio of at least 90%. A reference in this Article to
the "required State contribution" or any substantially similar
term does not include or apply to any amounts payable to the
System under Section 25 of the Budget Stabilization Act.
    Notwithstanding any other provision of this Section, the
required State contribution for State fiscal year 2005 and for
fiscal year 2008 and each fiscal year thereafter, as calculated
under this Section and certified under subsection (a-1), shall
not exceed an amount equal to (i) the amount of the required
State contribution that would have been calculated under this
Section for that fiscal year if the System had not received any
payments under subsection (d) of Section 7.2 of the General
Obligation Bond Act, minus (ii) the portion of the State's
total debt service payments for that fiscal year on the bonds
issued in fiscal year 2003 for the purposes of that Section
7.2, as determined and certified by the Comptroller, that is
the same as the System's portion of the total moneys
distributed under subsection (d) of Section 7.2 of the General
Obligation Bond Act. In determining this maximum for State
fiscal years 2008 through 2010, however, the amount referred to
in item (i) shall be increased, as a percentage of the
applicable employee payroll, in equal increments calculated
from the sum of the required State contribution for State
fiscal year 2007 plus the applicable portion of the State's
total debt service payments for fiscal year 2007 on the bonds
issued in fiscal year 2003 for the purposes of Section 7.2 of
the General Obligation Bond Act, so that, by State fiscal year
2011, the State is contributing at the rate otherwise required
under this Section.
    (b-4) Beginning in fiscal year 2018, each employer under
this Article shall pay to the System a required contribution
determined as a percentage of projected payroll and sufficient
to produce an annual amount equal to:
        (i) for each of fiscal years 2018, 2019, and 2020, the
    defined benefit normal cost of the defined benefit plan,
    less the employee contribution, for each employee of that
    employer who has elected or who is deemed to have elected
    the benefits under Section 1-161 or who has made the
    election under subsection (b) of Section 1-161; for fiscal
    year 2021 and each fiscal year thereafter, the defined
    benefit normal cost of the defined benefit plan, less the
    employee contribution, plus 2%, for each employee of that
    employer who has elected or who is deemed to have elected
    the benefits under Section 1-161 or who has made the
    election under subsection (b) of Section 1-161; plus
        (ii) the amount required for that fiscal year to
    amortize any unfunded actuarial accrued liability
    associated with the present value of liabilities
    attributable to the employer's account under Section
    16-158.3, determined as a level percentage of payroll over
    a 30-year rolling amortization period.
    In determining contributions required under item (i) of
this subsection, the System shall determine an aggregate rate
for all employers, expressed as a percentage of projected
payroll.
    In determining the contributions required under item (ii)
of this subsection, the amount shall be computed by the System
on the basis of the actuarial assumptions and tables used in
the most recent actuarial valuation of the System that is
available at the time of the computation.
    The contributions required under this subsection (b-4)
shall be paid by an employer concurrently with that employer's
payroll payment period. The State, as the actual employer of an
employee, shall make the required contributions under this
subsection.
    (c) Payment of the required State contributions and of all
pensions, retirement annuities, death benefits, refunds, and
other benefits granted under or assumed by this System, and all
expenses in connection with the administration and operation
thereof, are obligations of the State.
    If members are paid from special trust or federal funds
which are administered by the employing unit, whether school
district or other unit, the employing unit shall pay to the
System from such funds the full accruing retirement costs based
upon that service, which, beginning July 1, 2017, shall be at a
rate, expressed as a percentage of salary, equal to the total
employer's normal cost, expressed as a percentage of payroll,
as determined by the System. Employer contributions, based on
salary paid to members from federal funds, may be forwarded by
the distributing agency of the State of Illinois to the System
prior to allocation, in an amount determined in accordance with
guidelines established by such agency and the System. Any
contribution for fiscal year 2015 collected as a result of the
change made by Public Act 98-674 this amendatory Act of the
98th General Assembly shall be considered a State contribution
under subsection (b-3) of this Section.
    (d) Effective July 1, 1986, any employer of a teacher as
defined in paragraph (8) of Section 16-106 shall pay the
employer's normal cost of benefits based upon the teacher's
service, in addition to employee contributions, as determined
by the System. Such employer contributions shall be forwarded
monthly in accordance with guidelines established by the
System.
    However, with respect to benefits granted under Section
16-133.4 or 16-133.5 to a teacher as defined in paragraph (8)
of Section 16-106, the employer's contribution shall be 12%
(rather than 20%) of the member's highest annual salary rate
for each year of creditable service granted, and the employer
shall also pay the required employee contribution on behalf of
the teacher. For the purposes of Sections 16-133.4 and
16-133.5, a teacher as defined in paragraph (8) of Section
16-106 who is serving in that capacity while on leave of
absence from another employer under this Article shall not be
considered an employee of the employer from which the teacher
is on leave.
    (e) Beginning July 1, 1998, every employer of a teacher
shall pay to the System an employer contribution computed as
follows:
        (1) Beginning July 1, 1998 through June 30, 1999, the
    employer contribution shall be equal to 0.3% of each
    teacher's salary.
        (2) Beginning July 1, 1999 and thereafter, the employer
    contribution shall be equal to 0.58% of each teacher's
    salary.
The school district or other employing unit may pay these
employer contributions out of any source of funding available
for that purpose and shall forward the contributions to the
System on the schedule established for the payment of member
contributions.
    These employer contributions are intended to offset a
portion of the cost to the System of the increases in
retirement benefits resulting from Public Act 90-582 this
amendatory Act of 1998.
    Each employer of teachers is entitled to a credit against
the contributions required under this subsection (e) with
respect to salaries paid to teachers for the period January 1,
2002 through June 30, 2003, equal to the amount paid by that
employer under subsection (a-5) of Section 6.6 of the State
Employees Group Insurance Act of 1971 with respect to salaries
paid to teachers for that period.
    The additional 1% employee contribution required under
Section 16-152 by Public Act 90-582 this amendatory Act of 1998
is the responsibility of the teacher and not the teacher's
employer, unless the employer agrees, through collective
bargaining or otherwise, to make the contribution on behalf of
the teacher.
    If an employer is required by a contract in effect on May
1, 1998 between the employer and an employee organization to
pay, on behalf of all its full-time employees covered by this
Article, all mandatory employee contributions required under
this Article, then the employer shall be excused from paying
the employer contribution required under this subsection (e)
for the balance of the term of that contract. The employer and
the employee organization shall jointly certify to the System
the existence of the contractual requirement, in such form as
the System may prescribe. This exclusion shall cease upon the
termination, extension, or renewal of the contract at any time
after May 1, 1998.
    (f) For school years beginning on or after June 1, 2005 and
before July 1, 2018 and for salary paid to a teacher under a
contract or collective bargaining agreement entered into,
amended, or renewed before the effective date of this
amendatory Act of the 100th General Assembly, if If the amount
of a teacher's salary for any school year used to determine
final average salary exceeds the member's annual full-time
salary rate with the same employer for the previous school year
by more than 6%, the teacher's employer shall pay to the
System, in addition to all other payments required under this
Section and in accordance with guidelines established by the
System, the present value of the increase in benefits resulting
from the portion of the increase in salary that is in excess of
6%. This present value shall be computed by the System on the
basis of the actuarial assumptions and tables used in the most
recent actuarial valuation of the System that is available at
the time of the computation. If a teacher's salary for the
2005-2006 school year is used to determine final average salary
under this subsection (f), then the changes made to this
subsection (f) by Public Act 94-1057 shall apply in calculating
whether the increase in his or her salary is in excess of 6%.
For the purposes of this Section, change in employment under
Section 10-21.12 of the School Code on or after June 1, 2005
shall constitute a change in employer. The System may require
the employer to provide any pertinent information or
documentation. The changes made to this subsection (f) by
Public Act 94-1111 this amendatory Act of the 94th General
Assembly apply without regard to whether the teacher was in
service on or after its effective date.
    Whenever it determines that a payment is or may be required
under this subsection, the System shall calculate the amount of
the payment and bill the employer for that amount. The bill
shall specify the calculations used to determine the amount
due. If the employer disputes the amount of the bill, it may,
within 30 days after receipt of the bill, apply to the System
in writing for a recalculation. The application must specify in
detail the grounds of the dispute and, if the employer asserts
that the calculation is subject to subsection (g) or (h) of
this Section or that subsection (f-1) of this Section applies,
must include an affidavit setting forth and attesting to all
facts within the employer's knowledge that are pertinent to the
applicability of that subsection. Upon receiving a timely
application for recalculation, the System shall review the
application and, if appropriate, recalculate the amount due.
    The employer contributions required under this subsection
(f) may be paid in the form of a lump sum within 90 days after
receipt of the bill. If the employer contributions are not paid
within 90 days after receipt of the bill, then interest will be
charged at a rate equal to the System's annual actuarially
assumed rate of return on investment compounded annually from
the 91st day after receipt of the bill. Payments must be
concluded within 3 years after the employer's receipt of the
bill.
    (f-1) For school years beginning on or after July 1, 2018
and for salary paid to a teacher under a contract or collective
bargaining agreement entered into, amended, or renewed on or
after the effective date of this amendatory Act of the 100th
General Assembly, if the amount of a teacher's salary for any
school year used to determine final average salary exceeds the
member's annual full-time salary rate with the same employer
for the previous school year by more than 3%, then the
teacher's employer shall pay to the System, in addition to all
other payments required under this Section and in accordance
with guidelines established by the System, the present value of
the increase in benefits resulting from the portion of the
increase in salary that is in excess of 3%. This present value
shall be computed by the System on the basis of the actuarial
assumptions and tables used in the most recent actuarial
valuation of the System that is available at the time of the
computation. The System may require the employer to provide any
pertinent information or documentation.
    Whenever it determines that a payment is or may be required
under this subsection (f-1), the System shall calculate the
amount of the payment and bill the employer for that amount.
The bill shall specify the calculations used to determine the
amount due. If the employer disputes the amount of the bill, it
shall, within 30 days after receipt of the bill, apply to the
System in writing for a recalculation. The application must
specify in detail the grounds of the dispute and, if the
employer asserts that subsection (f) of this Section applies,
must include an affidavit setting forth and attesting to all
facts within the employer's knowledge that are pertinent to the
applicability of subsection (f). Upon receiving a timely
application for recalculation, the System shall review the
application and, if appropriate, recalculate the amount due.
    The employer contributions required under this subsection
(f-1) may be paid in the form of a lump sum within 90 days after
receipt of the bill. If the employer contributions are not paid
within 90 days after receipt of the bill, then interest shall
be charged at a rate equal to the System's annual actuarially
assumed rate of return on investment compounded annually from
the 91st day after receipt of the bill. Payments must be
concluded within 3 years after the employer's receipt of the
bill.
    (g) This subsection (g) applies only to payments made or
salary increases given on or after June 1, 2005 but before July
1, 2011. The changes made by Public Act 94-1057 shall not
require the System to refund any payments received before July
31, 2006 (the effective date of Public Act 94-1057).
    When assessing payment for any amount due under subsection
(f), the System shall exclude salary increases paid to teachers
under contracts or collective bargaining agreements entered
into, amended, or renewed before June 1, 2005.
    When assessing payment for any amount due under subsection
(f), the System shall exclude salary increases paid to a
teacher at a time when the teacher is 10 or more years from
retirement eligibility under Section 16-132 or 16-133.2.
    When assessing payment for any amount due under subsection
(f), the System shall exclude salary increases resulting from
overload work, including summer school, when the school
district has certified to the System, and the System has
approved the certification, that (i) the overload work is for
the sole purpose of classroom instruction in excess of the
standard number of classes for a full-time teacher in a school
district during a school year and (ii) the salary increases are
equal to or less than the rate of pay for classroom instruction
computed on the teacher's current salary and work schedule.
    When assessing payment for any amount due under subsection
(f), the System shall exclude a salary increase resulting from
a promotion (i) for which the employee is required to hold a
certificate or supervisory endorsement issued by the State
Teacher Certification Board that is a different certification
or supervisory endorsement than is required for the teacher's
previous position and (ii) to a position that has existed and
been filled by a member for no less than one complete academic
year and the salary increase from the promotion is an increase
that results in an amount no greater than the lesser of the
average salary paid for other similar positions in the district
requiring the same certification or the amount stipulated in
the collective bargaining agreement for a similar position
requiring the same certification.
    When assessing payment for any amount due under subsection
(f), the System shall exclude any payment to the teacher from
the State of Illinois or the State Board of Education over
which the employer does not have discretion, notwithstanding
that the payment is included in the computation of final
average salary.
    (h) When assessing payment for any amount due under
subsection (f), the System shall exclude any salary increase
described in subsection (g) of this Section given on or after
July 1, 2011 but before July 1, 2014 under a contract or
collective bargaining agreement entered into, amended, or
renewed on or after June 1, 2005 but before July 1, 2011.
Notwithstanding any other provision of this Section, any
payments made or salary increases given after June 30, 2014
shall be used in assessing payment for any amount due under
subsection (f) of this Section.
    (i) The System shall prepare a report and file copies of
the report with the Governor and the General Assembly by
January 1, 2007 that contains all of the following information:
        (1) The number of recalculations required by the
    changes made to this Section by Public Act 94-1057 for each
    employer.
        (2) The dollar amount by which each employer's
    contribution to the System was changed due to
    recalculations required by Public Act 94-1057.
        (3) The total amount the System received from each
    employer as a result of the changes made to this Section by
    Public Act 94-4.
        (4) The increase in the required State contribution
    resulting from the changes made to this Section by Public
    Act 94-1057.
    (i-5) For school years beginning on or after July 1, 2017,
if the amount of a participant's salary for any school year,
determined on a full-time equivalent basis, exceeds the amount
of the salary set for the Governor, the participant's employer
shall pay to the System, in addition to all other payments
required under this Section and in accordance with guidelines
established by the System, an amount determined by the System
to be equal to the employer normal cost, as established by the
System and expressed as a total percentage of payroll,
multiplied by the amount of salary in excess of the amount of
the salary set for the Governor. This amount shall be computed
by the System on the basis of the actuarial assumptions and
tables used in the most recent actuarial valuation of the
System that is available at the time of the computation. The
System may require the employer to provide any pertinent
information or documentation.
    Whenever it determines that a payment is or may be required
under this subsection, the System shall calculate the amount of
the payment and bill the employer for that amount. The bill
shall specify the calculations used to determine the amount
due. If the employer disputes the amount of the bill, it may,
within 30 days after receipt of the bill, apply to the System
in writing for a recalculation. The application must specify in
detail the grounds of the dispute. Upon receiving a timely
application for recalculation, the System shall review the
application and, if appropriate, recalculate the amount due.
    The employer contributions required under this subsection
may be paid in the form of a lump sum within 90 days after
receipt of the bill. If the employer contributions are not paid
within 90 days after receipt of the bill, then interest will be
charged at a rate equal to the System's annual actuarially
assumed rate of return on investment compounded annually from
the 91st day after receipt of the bill. Payments must be
concluded within 3 years after the employer's receipt of the
bill.
    (j) For purposes of determining the required State
contribution to the System, the value of the System's assets
shall be equal to the actuarial value of the System's assets,
which shall be calculated as follows:
    As of June 30, 2008, the actuarial value of the System's
assets shall be equal to the market value of the assets as of
that date. In determining the actuarial value of the System's
assets for fiscal years after June 30, 2008, any actuarial
gains or losses from investment return incurred in a fiscal
year shall be recognized in equal annual amounts over the
5-year period following that fiscal year.
    (k) For purposes of determining the required State
contribution to the system for a particular year, the actuarial
value of assets shall be assumed to earn a rate of return equal
to the system's actuarially assumed rate of return.
(Source: P.A. 100-23, eff. 7-6-17; 100-340, eff. 8-25-17;
revised 9-25-17.)
 
    (40 ILCS 5/16-190.5 new)
    Sec. 16-190.5. Accelerated pension benefit payment in lieu
of any pension benefit.
    (a) As used in this Section:
    "Eligible person" means a person who:
        (1) has terminated service;
        (2) has accrued sufficient service credit to be
    eligible to receive a retirement annuity under this
    Article;
        (3) has not received any retirement annuity under this
    Article; and
        (4) has not made the election under Section 16-190.6.
    "Pension benefit" means the benefits under this Article, or
Article 1 as it relates to those benefits, including any
anticipated annual increases, that an eligible person is
entitled to upon attainment of the applicable retirement age.
"Pension benefit" also includes applicable survivor's or
disability benefits.
    (b) As soon as practical after the effective date of this
amendatory Act of the 100the General Assembly, the System shall
calculate, using actuarial tables and other assumptions
adopted by the Board, the present value of pension benefits for
each eligible person who requests that information and shall
offer each eligible person the opportunity to irrevocably elect
to receive an amount determined by the System to be equal to
60% of the present value of his or her pension benefits in lieu
of receiving any pension benefit. The offer shall specify the
dollar amount that the eligible person will receive if he or
she so elects and shall expire when a subsequent offer is made
to an eligible person. The System shall make a good faith
effort to contact every eligible person to notify him or her of
the election.
    Until June 30, 2021, an eligible person may irrevocably
elect to receive an accelerated pension benefit payment in the
amount that the System offers under this subsection in lieu of
receiving any pension benefit. A person who elects to receive
an accelerated pension benefit payment under this Section may
not elect to proceed under the Retirement Systems Reciprocal
Act with respect to service under this Article.
    (c) A person's creditable service under this Article shall
be terminated upon the person's receipt of an accelerated
pension benefit payment under this Section, and no other
benefit shall be paid under this Article based on the
terminated creditable service, including any retirement,
survivor, or other benefit; except that to the extent that
participation, benefits, or premiums under the State Employees
Group Insurance Act of 1971 are based on the amount of service
credit, the terminated service credit shall be used for that
purpose.
    (d) If a person who has received an accelerated pension
benefit payment under this Section returns to active service
under this Article, then:
        (1) Any benefits under the System earned as a result of
    that return to active service shall be based solely on the
    person's creditable service arising from the return to
    active service.
        (2) The accelerated pension benefit payment may not be
    repaid to the System, and the terminated creditable service
    may not under any circumstances be reinstated.
    (e) As a condition of receiving an accelerated pension
benefit payment, the accelerated pension benefit payment must
be transferred into a tax qualified retirement plan or account.
The accelerated pension benefit payment under this Section may
be subject to withholding or payment of applicable taxes, but
to the extent permitted by federal law, a person who receives
an accelerated pension benefit payment under this Section must
direct the System to pay all of that payment as a rollover into
another retirement plan or account qualified under the Internal
Revenue Code of 1986, as amended.
    (f) Upon receipt of a member's irrevocable election to
receive an accelerated pension benefit payment under this
Section, the System shall submit a voucher to the Comptroller
for payment of the member's accelerated pension benefit
payment. The Comptroller shall transfer the amount of the
voucher from the State Pension Obligation Acceleration Bond
Fund to the System, and the System shall transfer the amount
into the member's eligible retirement plan or qualified
account.
    (g) The Board shall adopt any rules, including emergency
rules, necessary to implement this Section.
    (h) No provision of this amendatory Act of the 100th
General Assembly shall be interpreted in a way that would cause
the applicable System to cease to be a qualified plan under the
Internal Revenue Code of 1986.
 
    (40 ILCS 5/16-190.6 new)
    Sec. 16-190.6. Accelerated pension benefit payment for a
reduction in annual retirement annuity and survivor's annuity
increases.
    (a) As used in this Section:
    "Accelerated pension benefit payment" means a lump sum
payment equal to 70% of the difference of the present value of
the automatic annual increases to a Tier 1 member's retirement
annuity and survivor's annuity using the formula applicable to
the Tier 1 member and the present value of the automatic annual
increases to the Tier 1 member's retirement annuity using the
formula provided under subsection (b-5) and the survivor's
annuity using the formula provided under subsection (b-6).
    "Eligible person" means a person who:
        (1) is a Tier 1 member;
        (2) has submitted an application for a retirement
    annuity under this Article;
        (3) meets the age and service requirements for
    receiving a retirement annuity under this Article;
        (4) has not received any retirement annuity under this
    Article; and
        (5) has not made the election under Section 16-190.5.
    (b) As soon as practical after the effective date of this
amendatory Act of the 100th General Assembly and until June 30,
2021, the System shall implement an accelerated pension benefit
payment option for eligible persons. Upon the request of an
eligible person, the System shall calculate, using actuarial
tables and other assumptions adopted by the Board, an
accelerated pension benefit payment amount and shall offer that
eligible person the opportunity to irrevocably elect to have
his or her automatic annual increases in retirement annuity
calculated in accordance with the formula provided under
subsection (b-5) and any increases in survivor's annuity
payable to his or her survivor's annuity beneficiary calculated
in accordance with the formula provided under subsection (b-6)
in exchange for the accelerated pension benefit payment. The
election under this subsection must be made before the eligible
person receives the first payment of a retirement annuity
otherwise payable under this Article.
    (b-5) Notwithstanding any other provision of law, the
retirement annuity of a person who made the election under
subsection (b) shall be subject to annual increases on the
January 1 occurring either on or after the attainment of age 67
or the first anniversary of the annuity start date, whichever
is later. Each annual increase shall be calculated at 1.5% of
the originally granted retirement annuity.
    (b-6) Notwithstanding any other provision of law, a
survivor's annuity payable to a survivor's annuity beneficiary
of a person who made the election under subsection (b) shall be
subject to annual increases on the January 1 occurring on or
after the first anniversary of the commencement of the annuity.
Each annual increase shall be calculated at 1.5% of the
originally granted survivor's annuity.
    (c) If a person who has received an accelerated pension
benefit payment returns to active service under this Article,
then:
        (1) the calculation of any future automatic annual
    increase in retirement annuity shall be calculated in
    accordance with the formula provided in subsection (b-5);
    and
        (2) the accelerated pension benefit payment may not be
    repaid to the System.
    (d) As a condition of receiving an accelerated pension
benefit payment, the accelerated pension benefit payment must
be transferred into a tax qualified retirement plan or account.
The accelerated pension benefit payment under this Section may
be subject to withholding or payment of applicable taxes, but
to the extent permitted by federal law, a person who receives
an accelerated pension benefit payment under this Section must
direct the System to pay all of that payment as a rollover into
another retirement plan or account qualified under the Internal
Revenue Code of 1986, as amended.
    (d-5) Upon receipt of a member's irrevocable election to
receive an accelerated pension benefit payment under this
Section, the System shall submit a voucher to the Comptroller
for payment of the member's accelerated pension benefit
payment. The Comptroller shall transfer the amount of the
voucher from the State Pension Obligation Acceleration Bond
Fund to the System, and the System shall transfer the amount
into the member's eligible retirement plan or qualified
account.
    (e) The Board shall adopt any rules, including emergency
rules, necessary to implement this Section.
    (f) No provision of this Section shall be interpreted in a
way that would cause the applicable System to cease to be a
qualified plan under the Internal Revenue Code of 1986.
 
    (40 ILCS 5/16-203)
    Sec. 16-203. Application and expiration of new benefit
increases.
    (a) As used in this Section, "new benefit increase" means
an increase in the amount of any benefit provided under this
Article, or an expansion of the conditions of eligibility for
any benefit under this Article, that results from an amendment
to this Code that takes effect after June 1, 2005 (the
effective date of Public Act 94-4). "New benefit increase",
however, does not include any benefit increase resulting from
the changes made to Article 1 or this Article by Public Act
95-910, Public Act 100-23, or this amendatory Act of the 100th
General Assembly or this amendatory Act of the 100th General
Assembly.
    (b) Notwithstanding any other provision of this Code or any
subsequent amendment to this Code, every new benefit increase
is subject to this Section and shall be deemed to be granted
only in conformance with and contingent upon compliance with
the provisions of this Section.
    (c) The Public Act enacting a new benefit increase must
identify and provide for payment to the System of additional
funding at least sufficient to fund the resulting annual
increase in cost to the System as it accrues.
    Every new benefit increase is contingent upon the General
Assembly providing the additional funding required under this
subsection. The Commission on Government Forecasting and
Accountability shall analyze whether adequate additional
funding has been provided for the new benefit increase and
shall report its analysis to the Public Pension Division of the
Department of Insurance. A new benefit increase created by a
Public Act that does not include the additional funding
required under this subsection is null and void. If the Public
Pension Division determines that the additional funding
provided for a new benefit increase under this subsection is or
has become inadequate, it may so certify to the Governor and
the State Comptroller and, in the absence of corrective action
by the General Assembly, the new benefit increase shall expire
at the end of the fiscal year in which the certification is
made.
    (d) Every new benefit increase shall expire 5 years after
its effective date or on such earlier date as may be specified
in the language enacting the new benefit increase or provided
under subsection (c). This does not prevent the General
Assembly from extending or re-creating a new benefit increase
by law.
    (e) Except as otherwise provided in the language creating
the new benefit increase, a new benefit increase that expires
under this Section continues to apply to persons who applied
and qualified for the affected benefit while the new benefit
increase was in effect and to the affected beneficiaries and
alternate payees of such persons, but does not apply to any
other person, including without limitation a person who
continues in service after the expiration date and did not
apply and qualify for the affected benefit while the new
benefit increase was in effect.
(Source: P.A. 100-23, eff. 7-6-17.)
 
    (40 ILCS 5/14-103.40 rep.)
    (40 ILCS 5/16-106.4 rep.)
    Section 110-25. The Illinois Pension Code is amended by
repealing Sections 14-103.40 and 16-106.4.
 
    Section 110-30. The State Pension Funds Continuing
Appropriation Act is amended by adding Section 1.9 as follows:
 
    (40 ILCS 15/1.9 new)
    Sec. 1.9. Appropriations for State Pension Obligation
Acceleration Bonds. If for any reason the aggregate
appropriations made available are insufficient to meet the
levels required for the payment of principal and interest due
on State Pension Obligation Acceleration Bonds under Section
7.7 of the General Obligation Bond Act, this Section shall
constitute a continuing appropriation of all amounts necessary
for those purposes.
 
ARTICLE 115. STATE TREASURER

 
    Section 115-5. The State Treasurer Act is amended by
changing Section 20 as follows:
 
    (15 ILCS 505/20)
    Sec. 20. State Treasurer administrative charge. The State
Treasurer may retain an administrative charge for both the
costs of services associated with the deposit of moneys that
are remitted directly to the State Treasurer and the investment
or safekeeping of funds by the State Treasurer. The
administrative charges charge collected under this Section
shall be deposited into the State Treasurer's Administrative
Fund. The amount of the administrative charges charge may be
determined by the State Treasurer. Administrative charges from
the deposit of moneys remitted directly to the State Treasurer
and shall not exceed 2% of the amount deposited. Administrative
charges from the investment or safekeeping of funds by the
State Treasurer shall be charged no more than monthly and the
total amount charged per fiscal year shall not exceed
$12,000,000 plus any amounts required as employer
contributions under Section 14-131 of the Illinois Pension Code
and Section 10 of the State Employees Group Insurance Act of
1971.
    Administrative charges for the deposit of moneys This
Section shall apply to fines, fees, or other amounts remitted
directly to the State Treasurer by circuit clerks, county
clerks, and other entities for deposit into a fund in the State
treasury. Administrative charges for the deposit of moneys do
This Section does not apply to amounts remitted by State
agencies or certified collection specialists as defined in 74
Ill. Admin. Code 1200.50. Administrative charges for the
deposit of moneys This Section shall apply only to any form of
fines, fees, or other collections created on or after August
15, 2014 (the effective date of Public Act 98-965) this
amendatory Act of the 98th General Assembly.
    Moneys in the State Treasurer's Administrative Fund are
subject to appropriation by the General Assembly.
(Source: P.A. 98-965, eff. 8-15-14.)
 
    Section 115-10. The State Treasurer's Bank Services Trust
Fund Act is amended by changing Section 10 as follows:
 
    (30 ILCS 212/10)
    Sec. 10. Creation of Fund. There is hereby created in the
State treasury a special fund to be known as the State
Treasurer's Bank Services Trust Fund. Moneys deposited in the
Fund shall be used by the State Treasurer to pay the cost of
the following banking services: processing of payments of
taxes, fees, and other moneys due the State; transactional,
technological, consultant, and legal service charges, and
other operational expenses of the State Treasurer's Office
related to the investment or safekeeping of funds under the
Treasurer's control; and the cost of paying bondholders and
legal services under the State's general obligation bond
program.
(Source: P.A. 98-909, eff. 8-15-14.)
 
ARTICLE 120. NATURAL DISASTER CREDIT

 
    Section 120-5. The Illinois Income Tax Act is amended by
changing Section 226 as follows:
 
    (35 ILCS 5/226)
    Sec. 226. Natural disaster credit.
    (a) For taxable years that begin on or after January 1,
2017 and begin prior to January 1, 2019 2018, each taxpayer who
owns qualified real property located in a county in Illinois
that was declared a State disaster area by the Governor due to
flooding in 2017 or 2018 is entitled to a credit against the
taxes imposed by subsections (a) and (b) of Section 201 of this
Act in an amount equal to the lesser of $750 or the deduction
allowed (whether or not the taxpayer determines taxable income
under subsection (b) of Section 63 of the Internal Revenue
Code) with respect to the qualified property under Section 165
of the Internal Revenue Code, determined without regard to the
limitations imposed under subsection (h) of that Section. The
township assessor or, if the township assessor is unable, the
chief county assessment officer of the county in which the
property is located, shall issue a certificate to the taxpayer
identifying the taxpayer's property as damaged as a result of
the natural disaster. The certificate shall include the name
and address of the property owner, as well as the property
index number or permanent index number (PIN) of the damaged
property. The taxpayer shall attach a copy of such certificate
to the taxpayer's return for the taxable year for which the
credit is allowed.
    (b) In no event shall a credit under this Section reduce a
taxpayer's liability to less than zero. If the amount of credit
exceeds the tax liability for the year, the excess may be
carried forward and applied to the tax liability for the 5
taxable years following the excess credit year. The tax credit
shall be applied to the earliest year for which there is a tax
liability. If there are credits for more than one year that are
available to offset liability, the earlier credit shall be
applied first.
    (c) If the taxpayer is a partnership or Subchapter S
corporation, the credit shall be allowed to the partners or
shareholders in accordance with the determination of income and
distributive share of income under Sections 702 and 704 and
Subchapter S of the Internal Revenue Code.
    (d) A taxpayer is not entitled to the credit under this
Section if the taxpayer receives a Natural Disaster Homestead
Exemption under Section 15-173 of the Property Tax Code with
respect to the qualified real property as a result of the
natural disaster.
    (e) The township assessor or, if the township assessor is
unable to certify, the chief county assessment officer of the
county in which the property is located, shall certify to the
Department a listing of the properties located within the
county that have been damaged as a result of the natural
disaster (including the name and address of the property owner
and the property index number or permanent index number (PIN)
of each damage property).
    (f) As used in this Section:
        (1) "Qualified real property" means real property that
    is: (i) the taxpayer's principal residence or owned by a
    small business; (ii) damaged during the taxable year as a
    result of a disaster; and (iii) not used in a rental or
    leasing business.
        (2) "Small business" has the meaning given to that term
    in Section 1-75 of the Illinois Administrative Procedure
    Act.
(Source: P.A. 100-555, eff. 11-16-17.)
 
ARTICLE 999. MISCELLANEOUS PROVISIONS

 
    Section 999-90. The State Mandates Act is amended by adding
Section 8.42 as follows:
 
    (30 ILCS 805/8.42 new)
    Sec. 8.42. Exempt mandate. Notwithstanding Sections 6 and 8
of this Act, no reimbursement by the State is required for the
implementation of any mandate created by this amendatory Act of
the 100th General Assembly.
 
    Section 999-95. No acceleration or delay. Where this Act
makes changes in a statute that is represented in this Act by
text that is not yet or no longer in effect (for example, a
Section represented by multiple versions), the use of that text
does not accelerate or delay the taking effect of (i) the
changes made by this Act or (ii) provisions derived from any
other Public Act.
 
    Section 999-99. Effective date. This Act takes effect upon
becoming law.