Section 2030.10  Applicability

a)         Scope

            The rules and regulations contained in this Part are applicable to Illinois Department of Human Services expenditures or awards of funds, grants or services, in order to find or assist programs relating to alcoholism and other drug abuse and dependency, or to fulfill other duties as authorized by the Department's enabling Act and by the funding source.  The financial assistance may be in the form of grants-in-aid, purchased-care or fee-for-service arrangements or other agreements for disbursements of funds (Federal or State), property or services, in order to effectuate the purposes of the Act. Monies appropriated in the Department's budget for Medicaid reimbursement shall be governed by the rules for Subacute Alcoholism and Substance Abuse Treatment Services, 77 Ill. Adm. Code 2090, and by pertinent Federal and Illinois Department of Public Aid statutes, rules and regulations. This Part does not apply to operational money of the Department.

b)         General

            Should any applicable Federal or State law or regulation be broader or less restrictive than rules in this Part, recipients are subject to the narrower more restrictive applicable provisions.

c)         Subawards

            Each substantive provision in this Part shall apply to subawards as it does to awards unless the provision says otherwise.

Section 2030.20  Definitions

The following definitions shall apply to this Part:

"Act" means the Illinois Alcoholism and Other Drug Dependency Act [20 ILCS 301].

"Award" means financial assistance in the form of money, property or services in lieu of money, by the Department to an eligible recipient, whether by grant or contract, involving Federal, State or other funds for which the Department has administrative responsibility and authority.

"Client" means a person who receives services under a Department-funded program by a provider.

"Demonstration" means a project wherein money is awarded for a period of time to eligible recipients in order to evaluate the feasibility and efficacy of alternative methods of attaining the goals and purposes of the Act.

"Department" means the Department of Human Services.

"Fee-for-service" means payments are made on the basis of a rate, unit cost or allowable cost incurred and is based on a statement or bill as required by the Department.  Payments made as a fee-for-service are not subject to the Illinois Grant Funds Recovery Act [30 ILCS 705].

"Grant-in-aid" means a program receives all or part of the funding in advance of the actual delivery of services.  This includes prorated prospective payments and payments made by the Department on an estimated basis or any other basis when the Department does not know the actual amount earned by the Provider.  This does not include advance payments made under the authority of Section 9.05 of the State Finance Act [30 ILCS 105/9.05].  All funds paid as a grant are subject to the Illinois Grant Funds Recovery Act [30 ILCS 705].

"Provider" means any public or private nonprofit agency, organization, or institution, or unit of state or local government, or a for-profit agency where an award to such would be appropriate and consistent with the purposes of the Act (as set forth in Sections 1-102 and 4-101 of the Act) and the funding source, or other legal entity to which an award is made by the Department, and which is accountable to the Department for the use of the funds provided.  The term "provider" does not include individuals who ultimately receive benefits under or are volunteers participating in any funded program.  Generally the term refers to programs which receive awards, and which actually provide intervention, prevention, and/or treatment services.

"Purchased care" means a specific type of fee-for-service as set forth in the Individual Service Payment System Manual compiled by the Department's Office of Purchased-Care.

"Recipient" is a general term for any person or organization which receives an award or subaward under this Part.  It includes but is not limited to the terms provider and subprovider.

"Secretary" means the Secretary of the Department of Human Services or his or her designee.

"Subaward" means financial assistance in the form of money, property or services, in lieu of money, made under an agreement by a provider to an eligible subprovider or a recipient to an eligible subrecipient.  The term includes financial assistance when provided by award, subgrant, contract or subcontract, but does not include procurements or commodities and supplies or incidental support services such as janitorial, catering, laundry, or building maintenance services.

"Subprovider" means any public or private nonprofit award recipient, organization, institution or unit of state or local government, or a for-profit agency where an award to such would be appropriate and consistent with the purposes of the Act and the funding source, or other legal entity to which a subaward is made and which is accountable to the provider and the Department for the use of the funds.  The subprovider is the entire legal entity even if only a particular component of the entity is designated in the subaward document.  This definition does not include persons or entities which provide incidental support services or supplies, materials or equipment to funded programs.  Generally the term refers to programs which are recipients of awards and which actually provide intervention, prevention, and/or treatment services.

"Terms of an award or subaward" means all requirements of the award or subaward whether in statute, regulations, or the award document.

(Source:  Amended at 24 Ill. Reg. 18099, effective November 30, 2000)

Section 2030.30  Exceptions

a)         Except as provided in Section 2030.40, an exception shall be required for:

1)         Use of any policy, procedure, form, standard, or award or subaward term which is inconsistent with an applicable provision of this Part, or

2)         Failure to use any applicable policy, procedure, form, standard, or award or subaward term which is required by this Part.

b)         In order to maintain uniformity to the greatest extent feasible, the Department will endeavor to keep exceptions to a minimum.  An exception, whether proposed by an applicant, a fund recipient, or an official of the Department, will be authorized when it is necessary to meet programmatic objectives, or to conserve award funds, and provided it is deemed by the Department to further the purposes of the award. Reasons for exceptions will be things such as, but not limited to:  shortage of service in the recipient's service area; disaster or emergency conditions suffered by a recipient; and new and/or non-customary and/or non-routine services (for example demonstration projects).

c)         Requests made by an applicant or fund recipient shall be made in writing and indicate the basis, rationale or need for the exception.  The Department shall revoke any exception granted where the circumstances which gave rise to the exception no longer exist, or where any conditions imposed by the granting of such requests are not followed.  The recipient shall notify the Department in writing within ten (10) working days when the circumstances which gave rise to the exception no longer exist.

d)         When an executed award document contains specific conditions contrary to specific provisions of this Part, an exception shall be deemed to have been granted.  Awards given other than as grant-in-aid (e.g., purchased-care) shall have specific requirements appropriate to the use of the award funds set forth in the award document.

Section 2030.40  Special Award Conditions

a)         Conditions more restrictive than those prescribed in this Part shall be imposed as necessary to accomplish the purposes of the Act, as for example (but not limited to), if the recipient:

1)         Has not adhered to generally accepted accounting principles,

2)         Cannot document fiscal solvency,

3)         Has not expended funds in accordance with the terms of the award,

4)         Has not adhered to programmatic, clinical, licensure, reporting or administrative requirements of an existing or past Department award (regardless of whether the requirement is technical or substantive),

5)         Has not met the levels of service and/or frequency of client contact as set forth in the award document,

6)         Is a new or unproven provider of services or a new recipient, or

7)         If the Department has need to impose such condition in order to fulfill its duties or agreements with other agencies, or reasonably deems such to be in the best interests of the people of the State.

b)         Awards shall be reviewed by a Department regional manager or a project officer and a Deputy Director prior to issuance in order to determine whether special conditions are appropriate based on the above criteria.

c)         Special conditions imposed at the time of the award will be included in the award document.  The Department will notify the recipient in writing of the special condition(s) and its basis when any condition is imposed during the period of performance.

d)         Recipients shall apply the provisions of this Section to their subrecipients.  Whenever they do so, a copy of the notice to the subrecipients shall be furnished to the Department.

Section 2030.100  Recipient Eligibility

a)         Grant-in-aid awards are made to public or private nonprofit organizations, institutions, units of state or local government, and other legal entities. Nonprofit organizations are defined as organizations that are corporations or associations no part of whose net earnings may lawfully inure to the benefit of any private share holder or individual.

b)         Proof of nonprofit status must be submitted with the application for funding or, if previously filed with the Department, the applicant must state where and when the proof was submitted.  Any of the following is acceptable evidence of nonprofit status:

1)         A reference to the applicant organization's listing in the Internal Revenue Service's most recent list of tax-exempt organizations described in the Internal Revenue Code, Title 26 U.S.C.A. 501(c)(3), hereinafter referred to as IRS 501(c)(3).

2)         A copy of a currently valid Internal Revenue Service tax exemption letter.

3)         A statement from the Illinois Department of Revenue or the Illinois Attorney General certifying that the applicant organization has a current nonprofit status.

4)         A certified copy of the organization's certification of incorporation filed with the Illinois Secretary of State that clearly establishes nonprofit status, and a copy of the annual report required by the Secretary of State for the current year.

5)         Any of the above for a parent organization and a statement signed by the parent organization that the applicant organization is a local nonprofit affiliate.

c)         Awards other than grant-in-aid shall be made to recipients as appropriate to the purpose of the award.

d)         For-profit recipients must provide a certified copy of the organization's certificate of incorporation or other appropriate and necessary authorization to do business in the State filed with the Illinois Secretary of State and a copy of the annual report required by the Secretary of State for the current year.

Section 2030.105  Services Eligible for Grant-in-Aid Funding

Grant-in-aid awards shall be made to support alcohol and other drug abuse prevention, intervention, treatment and appropriate related services, such as sanctuaries, as well as demonstration projects or research, as deemed appropriate under the powers and duties of the Department (as set forth in Section 4-101 of the Act).  The following service functions are eligible for such grants:

a)         Adult residential rehabilitation, as defined and licensed under the Licensure of Alcoholism and Substance Abuse Treatment, Intervention and Research Programs (Licensure Rules), 77 Ill. Adm. Code 2058;

b)         Adolescent residential rehabilitation, as defined in the Licensure Rules;

c)         Halfway house, as defined in the Licensure Rules;

d)         Adult social setting detoxification, as defined in the Licensure Rules;

e)         Adult medical detoxification, as defined in the Licensure Rules;

f)         Adolescent medical detoxification, as defined in the Licensure Rules;

g)         Adult outpatient, as defined in the Licensure Rules;

h)         Adolescent outpatient, as defined in the Licensure Rules;

i)          Adult intensive outpatient, as defined in the Licensure Rules;

j)          Adolescent intensive outpatient, as defined in the Licensure Rules;

k)         Adult medical detoxification outpatient, as defined in the Licensure Rules;

l)          Intervention services to provide screening, assessing, referring and tracking of drug abuse clients, as defined in the Licensure Rules;

m)        Sanctuaries;

n)         Recovery homes;

o)         Early intervention activities;

p)         Prevention activities as set forth in Section 2030.1320 herein; and

q)         Other appropriate alcohol and drug abuse services.

The direct services and any ancillary or support services of the program which are allowable expenses under this Part may be supported by the grant as set forth herein.

Section 2030.107  Services Eligible for Purchased-Care or Fee-for-Service Funding

The service functions eligible for grant-in-aid support may also be eligible for purchased-care or fee-for-service.  The Department pursuant to this Section shall determine the appropriate method of award based on its objectives and how to best serve the needs of the State (as set forth in Department planning documents and Section 4-101 of the Act).

Section 2030.110  Other Activities for Which Awards May be Made

Awards shall also be made for other services as deemed appropriate to the goals, powers and duties of the Department, and as consistent with any limitations on the source of the money and other pertinent laws.  Such services may include but are not limited to:

a)         Services set forth under Section 4-102 of the Act to be reimbursed from the Drunk and Drugged Driving Prevention Fund,

b)         Research and/or evaluation as deemed appropriate to the goals, powers and duties of the Department,

c)         Training events or programs.

Section 2030.115  Award Process

a)         General – As and when public (Federal, State or other) money is made available to the Department for disbursement, the Department shall seek to award the money consistent with the purposes of the Act, taking into account applicable and appropriate State plans and long-term goals and the public health, safety and welfare, data and statistics reported to and collected by the Department, ongoing evaluation of current programs and services, evaluation of projected or unmet needs statewide, geographical or cultural demands and other appropriate factors.  Awards shall be made based on:

1)         An assessment of need for services in order to carry out the purposes and duties of the Department;

2)         An assessment of the efficacy, cost effectiveness, and practicality of awarding the money in alternative ways;

3)         An assessment of adequacy or inadequacy of existing services (taking into account the evaluative provisions in (a)(4) below as to existing services in relationship to statewide needs);

4)         An assessment of the quality of services of potential recipients (including such things as history or compliance with licensure rules and regulations, history or compliance with previous or current contract terms, previous performance in programmatic, fiscal and clinical areas, or other indicators of the quality of service for new and/or unproven recipients);

5)         Any limitations or criteria placed by the source of the money to be awarded.

b)         Request for Applications

1)         If, pursuant to criteria in subsection (a), it is deemed to be in the best interests of the State to solicit proposals regarding the award of money, the Department shall issue a request for application describing the services required, imposing any appropriate limitations and specifications consistent with subsection (a) above, setting forth a specific response date, and describing the form and substance of the application requested.

2)         The Department may reject any and all applications or any part thereof, may waive immaterial technicalities, may negotiate individually after applications have been examined and evaluated and may accept applications deemed most favorable to the interests and needs of the Department and the people of the State.

c)         Negotiation with Selected Recipients – If, after an assessment of the factors in subsection (a), the Department determines that a negotiated award to a selected recipient is the most advantageous and practical method of achieving the purpose of the disbursement and meeting Department goals and public needs, the Department may so award the money.

d)         Recipients who will operate funded programs in geographic areas having mental health boards established pursuant to the Community Mental Health Act [405 ILCS 20] (sometimes referred to as "708 boards") and/or public health boards established pursuant to Section 5 of the Counties Code [55 ILCS 5/5] (sometimes referred to as "553 boards") shall submit a copy of their application for Department funding to such local boards for their review and comments at the time their application is submitted to the Department.  Community mental health boards shall submit to the Department their written review and comments within sixty (60) days after receipt of the application.

e)         Would-be award recipients may request to be placed on a mailing list maintained by the Department.  Persons on the list shall receive information regarding new and/or current money available for services provided or contemplated by the would-be recipient.  The Department will also provide guidelines and advisory materials to potential recipients regarding preparation of financial and program reports for all awards.

Section 2030.120  Department Budget Planning Requirements

a)         In order to assist the Department in developing its future budget needs, the Department shall require applicants and recipients to provide the following if this information is not available in-house at the Department:

1)         Current-year service levels and costs;

2)         Projected changes in current-year service levels and costs, along with justification for such changes;

3)         Total projected service levels and costs for the budget year;

4)         Additional budget supporting documentation when it is required by the Department in order to carry out its duties.

b)         All recipients are required to complete the data required by this Section in a format prescribed by the Department in order to facilitate development and presentation of the annual Department budget.

Section 2030.130  Provider Plan/Recipient Budget

a)         "Provider plan" refers to the currently approved operating fund projected expense forms and related forms.

b)         The provider plan shall be fully executed, as part of the award agreement or contract, and shall, along with the award document, serve as the formal statement of mutual expectations between the Department and the recipient regarding realistically-achievable levels of service and cost.  The plan is a combination service plan (work plan) and budget.  It identifies what services will be provided to what target group and the geographical area to be served. In addition, it identifies how the services will be financed, and through what budget items and funding sources.  It becomes formalized documentation of the agreement between the Department and the provider through mutual execution of the award document.

c)         The budget is the provider's financial plan for carrying out the funded program or services as reported on the provider plan.  Some awards and subawards encompass two or more programs or types of services and/or locations. In these cases, the Department shall require that the approved budget be subdivided to show the anticipated cost of each program, service and location.

d)         Providers shall complete the provider plan in a format prescribed by the Department.  The format prescribed for use as the provider plan is designed to be consistent with the cost reporting categories contained in the State of Illinois Interagency Statistical and Financial Report.  These provider plans manifest the commitment of the Department to utilize common cost reporting categories in materials submitted by community-based service providers.

e)         Recipients of purchased-care shall be exempt from the requirement of a provider plan for the purchased-care funded program.  However, where grant-in-aid is awarded for any of the recipient's programs, each such program shall have a provider plan.

f)         Recipients of other fees for service or other types of awards shall be required to have a provider plan only if the Department deems it necessary and so requires.  Any recipient who is not required to have a provider plan shall provide a budget of the funded program or project expenses which shall be incorporated into the award document, or shall have a Department-approved rate for the funded services.  In addition to the budget or rate, there shall be a description of the scope of work or projected service units to be provided.

Section 2030.140  Award Document

The award document is the obligating instrument which provides the basis for Department financial participation in the funded project, service or program. The provider plan, or in instances where a provider plan is not required, the budget or rate of reimbursement along with the description of the scope of work or projected service units, shall be a part of the award document.  When fully executed, they shall formalize the contractual relationship between the Department and each recipient, indicating the amount of Department funds which will be paid to the recipient, in consideration for the provision of services as described in the provider plan, or the scope of work.

Section 2030.150  Subawards

a)         Activities, responsibilities and obligations of a provider may be subawarded to another organization only with the prior written approval of the Department  (see Subpart C).  Such subawards shall be conditioned upon subrecipient compliance with all terms and conditions of award document and this Part.  In determining whether to grant approval for a subaward, the Department will consider:

1)         The purpose of the subaward;

2)         The ability of the recipient to meet the proposed obligations;

3)         The cost-effectiveness of the subaward;

4)         The method by which the primary contractor will monitor the subcontractor's performance;

5)         Whether licensure requirements have been met;

6)         Benefit to the client; and

7)         Whether the recipient has, by way of the subaward document, placed the same requirements upon the subrecipient as those required of the recipient in the award document and in this Part (flowthrough requirements).

b)         The arrangement shall be formalized in a contract or other written agreement between the parties involved, and include at a minimum:

1)         The activities to be performed;

2)         The time schedule;

3)         The award policies and requirements that are applicable to the subprovider (flowthrough requirements);

4)         Other policies and procedures to be followed;

5)         The dollar limitation of the agreement; and

6)         The cost principles (Subpart D of this Part) to be used to determine what costs are to be allowed.

c)         The subaward or other written agreement must not affect the provider's overall responsibility for the direction of the project and accountability to the Department.

d)         No approval of any subaward shall be deemed to provide for the incurrence of any obligation by the Department in addition to the total agreed upon price.

e)         The incurrence of any obligation by the recipient with the intent of claiming reimbursement, prior to obtaining any required approval, shall be at the recipient's risk.

Section 2030.160  Modification or Amendment of the Award Document

a)         Revisions or amendments to an award document shall begin on the effective date of the amendment.

b)         Except as provided in Section 2030.40, no alteration, variation, modification, termination, addition to, or attempted waiver of any of the provisions of an award document shall be valid or binding unless in writing, signed by all the parties and attached to the original award document.  The parties agree to renegotiate, modify, or amend the award document should Federal or State law or regulations require alteration of the award document.

c)         Obligations of the State of Illinois will cease immediately without penalty of further payment being required if in any fiscal year the Illinois General Assembly or Federal funding source fails to appropriate or otherwise make available sufficient funds for any Department award.

Section 2030.210  Process

When requesting a prior approval required by this Part, the recipient shall address a written request to the Department regional manager for the region or the "project officer" as designated in the award document and to the Secretary of the Department.  Approval of the request shall be in writing and signed by either the Secretary or his/her designee.

Recipients shall be responsible for reviewing requests from their subrecipients to determine what approvals are required by this Part and for giving or denying the approval.  A recipient shall not approve any action which is inconsistent with the purpose or terms of the Department award.  If an action by a subrecipient will result in a change in the overall award or budget and therefore require Department approval, the recipient shall obtain that approval before giving its approval to the subrecipients.  Approvals shall not be valid unless they are in writing and signed by an authorized official of the recipient.  Within 30 days from the date of receipt of a request for approval, the Department shall review the request and notify the recipient of its decision.

Section 2030.220  Programmatic Changes

Approval will be given for programmatic changes which further the funded project or program without impairing the provision of services or the funded project as set forth in the award or subaward document.

a)         Changes to project scope or objectives

            The recipient shall obtain prior approval for any change to the scope or objectives of the approved funded program or project.

b)         Changes in key people

            The fund recipient of an award for research (or any other kind of award or subaward if the terms of the award make this rule applicable) shall obtain prior approval:

1)         To continue the project during any continuous period of more than three months without the active on-site direction of an approved project director, principal investigator, or any other persons named and expressly identified as key project people in the notice of the award or subaward.

2)         To replace the project director, principal investigator, or any other persons named and expressly identified as key project people in the notice of award or subaward or to permit any such people to devote less time to the project than was designated in the award or subaward document.

c)         Other programmatic changes

            The following shall require prior approval except to the extent explicitly included in the provider plan, or scope of work, or elsewhere in the award document as approved by the Department at the time of award:

1)         Providing financial assistance to a third party by subawarding or any other means.

2)         Transferring to a third party, by contracting or any other means, the actual performance of the substantive programmatic work.  The term "substantive programmatic work" means activities which are central to carrying out the purpose of the project, and not merely incidental.  Transfer of substantive programmatic work does not include purchase of supplies, materials, or equipment; or acquisition of incidental support services, such as janitorial, catering, laundry, and building maintenance services.

Section 2030.230  Budget Revision

a)         Grant-in-aid funded providers having an approved budget shall obtain prior approval for any budget revision which:

1)         Alters an approved budget line item by $5,000 or 5% of the approved budget line item amount, whichever is greater.  Budget revisions shall be considered on a cumulative basis and where two (2) or more budget revisions are necessary, Department approval shall be required when these percentages or amounts are exceeded;

2)         Alters the Department's share of the total program, project or service costs;

3)         Results in the creation of a new budget category or a new line item within a budget category;

4)         Transfers funds between programs or services; or

5)         Is required by a federal sponsoring agency.

b)         Fee-for-service and purchased-care recipients shall obtain prior approval for any budget which transfers Department funds between service categories.

Section 2030.310  Applicability

Principles for allowability/non-allowability of costs set forth herein are the same for grant-in-aid and other award expenses, and for the purpose of rate setting in fee-for-service awards. In grant-in-aid and non-fee-for-service awards, allowable costs set forth herein shall be approved in the provider budget or allocation plan.  In fee-for-service awards, rate calculations shall be based on allowable costs as set forth herein.

Section 2030.320  Allowable Costs (Repealed)

(Source:  Repealed at 24 Ill. Reg. 18099, effective November 30, 2000)

Section 2030.330  Approval of Costs

a)         All funded expenditures, to be allowable, must be approved by the Department.  The Department's approval of the provider plan shall constitute approval of the expenditures identified therein, provided that such expenditures are not otherwise excluded or limited by this Part or 89 Ill. Adm. Code 509.  If such expenditures are limited or excluded by this Part, approval of the provider plan will constitute approval of such costs only if they are clearly and specifically identified to the Department as being costs which are limited or excluded unless approved by the Department.  If such identification is made and the provider plan approved, then the approval process set forth in Section 2030.210 is not required.

b)         Recipients not required to have a provider plan shall have a budget of allowable expenses or a rate for services approved by the Department prior to award expenditures, which budget or rate is incorporated into the award document.

c)         Expenditures which are not approved as set forth in subpart (a) require specific prior approval from the Department in writing as set forth in Subpart C.  In the case of subawards, no approval shall be given which is inconsistent with the purpose of the terms of the Department award.  The Department will approve such expenditures if the recipient furnishes reliable written documentation that the benefit to be derived from the expenditure is justified based upon need and cost, that the costs are consistent with the terms of the award document, and that the recipient can perform all requirements of the award document without additional Department funding.

(Source:  Amended at 24 Ill. Reg. 18099, effective November 30, 2000)

Section 2030.340  Allocation of Costs/Direct and Indirect Costs (Repealed)

(Source:  Repealed at 24 Ill. Reg. 18099, effective November 30, 2000)

Section 2030.350  Costs Allowable with Prior Approval of the Department (Repealed)

(Source:  Repealed at 24 Ill. Reg. 18099, effective November 30, 2000)

Section 2030.360  Unallowable or Limited Costs (Repealed)

(Source:  Repealed at 24 Ill. Reg. 18099, effective November 30, 2000)

Section 2030.410  Non-Department Funding

For the purpose of this Subpart, non-Departmental funding means monies received by the providers and used to support the activities of any Department-funded project or Program.  Sources include local tax revenues, voluntary funds, grants from charitable foundations, funds available from other state agencies or Federal sources, revenue sharing funds, funds from community mental health boards and/or local public health boards or departments.

Section 2030.420  Record Keeping (Repealed)

(Source:  Repealed at 24 Ill. Reg. 18099, effective November 30, 2000)

Section 2030.430  Program Income

a)         Recipient organizations and providers shall be accountable to the Department for program income related to projects and services financed in whole or in part with Department funds.  Program income represents gross income earned by the provider or recipient from the Department supported activities. Such income includes, but is not limited to, income produced by the services of individuals or by employment of equipment, facilities or general services. Special tests performed in a laboratory, drugs sold to fill prescriptions, payment received from clients or third parties for services rendered by the fund recipients, sale of commodities, usage or rental fees, interest earned on advances of Department funds, and royalties and other income earned from a copyrighted work developed under a Department award.

b)         Program income earned during the award period shall be retained by the recipient and shall be either:

1)         Added to funds committed to the project by the Department and the recipient and be used to further the project or eligible program objectives as set forth in the award document;

2)         Used to continue the project or eligible program objectives as set forth in the award document after award funds end;

3)         Used to meet any cost-sharing requirements imposed by the Department;

4)         Used to support other projects or eligible programs that further the objectives of the Act as approved by the Department; or

5)         Deducted from the total allowable project costs in determining the net costs on which the Department's share of costs will be based.

c)         Records of the receipt and disposition of Program Income shall be maintained and made available to the Department by the provider in the same manner as required for Department funds under Subparts G and H.

Section 2030.440  Maintenance of Effort

Department awards made available under this Part shall be used to supplement and, to the extent practicable, to increase the level of funds that would, in the absence of such award, be available to the applicant for the purposes described in this Part and in the award document and shall in no case supplant such funds.

Accordingly, the recipient shall assure that it will maximize revenues from all other sources to maintain funded programs and services in ways most cost effective to the Department, and shall not apply Department funds to services which are funded or would be funded from other sources.

Section 2030.450  Client Fees

All providers with Department grant-in-aid funded treatment programs shall establish a client fee and third party payment policy consisting of fee schedules, documentation and collection procedures.

The policy shall assure the maximization and diversification of revenue sources, shall encourage client participation in the service by payment based on the ability to pay, but shall also assure that no person is denied services by any program funded under the Alcoholism and Other Drug Dependency Act because of inability to pay, and that services shall be afforded to such person on the same terms and conditions as services afforded to persons who are able to pay.  Providers shall follow their policy and the requirements herein.

The policy shall:

a)         be initially approved by the Board of Directors of the program, and reviewed and approved by the Board when any change is made.  Proof of Board approval, as well as the policy itself, shall be maintained and made available to the Department upon request;

b)         be in place prior to the time at which the provider charges the client fee or invoices second or third party payors, or prior to January 1, 1992, whichever of the two comes first;

c)         establish criteria for determination of financial capability based on household income, adjusted for family size;

d)         establish methods for documenting client income and determining eligibility for third party payment;

e)         provide for adjustment to or waiver of the fee based upon financial capability of the client or third party payment accessibility;

f)         provide a process for the client to appeal the fee determination and to appeal denial of service based on refusal to pay;

g)         require that prior to the imposition of an individual client fee, the client is informed in writing of the program's policy, the requirements of this Section and his right to appeal the fee determination, and require that a statement signed by the client specifying the amount of the charges agreed to be placed and maintained in the client's records;

h)         establish methods of documenting and recording charges and collecting accounts receivable fees from clients, responsible relatives and third parties.

Fees and ancillary charges shall be based on a sliding fee scale unless another method of fee determination, consistent with requirements herein, is previously approved in writing by the Department (see Subpart C of this Part).

Front-end or pre-admission fees are not encouraged but may be used if the policy meets the requirements of this Section.  The recipient must be able to demonstrate that the fees do not create a barrier to admission, based on ability to pay.

Section 2030.510  General

The Department may require that expenditures from Department funds be matched proportionately by expenditures from other funds or that the provider participate to some extent in the cost of a project.

Section 2030.520  Definitions

The following definitions apply to this Subpart:

"Cash contributions" means the recipient's cash outlay, including monies contributed to the provider by third-parties.

"Cost-sharing or matching" means the value of third-part in-kind contributions and that portion of project costs not borne by the Department.

"Project costs" means allowable expenditures incurred by a recipient in accomplishing the objectives of an award during the award period.  For matching share purposes, project costs are limited to allowable types of costs.

"Third party in-kind contributions" means property or services which benefit a Department funded project or program and which are contributed by non-Department third parties without charge to the recipient.

Section 2030.530  Eligible Costs

Cost used to satisfy the recipient's matching or cost participation requirements may be financed from the following:

a)         charges incurred by the recipient as project costs.  Such charges need not require cash outlays during the award period.  Examples are depreciation and use charges from buildings and equipment;

b)         Cash contributions provided or donated to the project by the recipient or other non-Departmental source or third party and not used as contribution to any other Department-funded program or project;

c)         Program income when the recipient is authorized to expend such income to further the purposes of the legislation under which the award was made;

d)         The value of third party in-kind contributions applicable to the period to which the cost-sharing or matching requirement applies.

Section 2030.540  Criteria for Contributions (Repealed)

(Source:  Repealed at 24 Ill. Reg. 18099, effective November 30, 2000)

Section 2030.550  Valuation of In-Kind Contributions

a)         Specific procedures for the recipients in placing the value on in-kind contributions from private organizations and individuals are set forth below:

1)         Valuation of volunteer services

            Volunteer services may be furnished by professional and technical personnel, consultants, and other skilled and unskilled labor.  Each hour of volunteer service may be claimed as matching share if the service furthers the objectives of the award.

A)        Rates for volunteers should be consistent with those regular rates paid for similar work.  In cases in which the kinds of skills required for the Department-funded activities are not found in other activities of the provider, rates used should be consistent with those paid for similar work in the labor market in which the provider competes for the kind of services involved.

B)        When an employer other than the provider furnishes the services of an employee, these services shall be valued at the employee's regular rate of pay (exclusive of overhead cost) provided these services are within the skill for which the employee is normally paid.

2)         Valuation of materials

            Contributed materials include office supplies, maintenance supplies, or workshop and classroom supplies.  Prices assessed to donated materials included in the matching share must not exceed the cost of the materials to the donor or current market prices (the prices charged in the area for comparable materials at the time in question), whichever is less, at the time they are charged to the project.

3)         Valuation of donated equipment, buildings, and land, or use of space

A)        The method used for charging matching share for donated equipment, buildings, and land will differ depending upon the purpose of the award as follows:

i)          If the purpose of the award is to enable the provider to acquire or use equipment, buildings, or land or otherwise obtain a facility on a full time basis, then the fair market value of the donated property may be claimed as a matching share.

ii)         If the purpose of the award is to support activities that require the use of equipment, buildings, or land on a temporary or part-time basis, depreciation or use charges for equipment and buildings may be made; and fair rental charges for land will be approved by the Department when the charge does not exceed 110% of the rental price of comparable property as determined by current offers for property rental in the area.

iii)        Land or use of space

            The value of donated land or its usage charge should be established by an independent appraiser (e.g., private realty firm) and certified by the responsible official of the provider.

B)        Valuation of other charges

            Recipient may claim the fair market value of other charges incurred specifically for, and in direct relation to, the Department-funded program or services.

b)         The following requirements pertain to the provider's supporting records for in-kind contribution from private organizations and individuals.

1)         The number of hours of volunteer services must be supported by the same methods used by the provider for its employees.

2)         The basis for determining the charges for personal services, material, equipment, buildings and land must be supported by written documentation.

Section 2030.610  Accounting and Financial Management Requirements (Repealed)

(Source:  Repealed at 24 Ill. Reg. 18099, effective November 30, 2000)

Section 2030.620  Audit Requirements (Repealed)

(Source:  Repealed at at 23 Ill. Reg. 488, effective December 28, 1998)

Section 2030.710  General (Repealed)

(Source:  Repealed at 24 Ill. Reg. 18099, effective November 30, 2000)

Section 2030.720  Quarterly Revenue/Expense Reports--Grant-in-Aid Recipients (Repealed)

(Source:  Repealed at 24 Ill. Reg. 18099, effective November 30, 2000)

Section 2030.730  Lapsed Grant-in-Aid Funds (Repealed)

(Source:  Repealed at 24 Ill. Reg. 18099, effective November 30, 2000)

Section 2030.740  End of the Year Report (Repealed)

(Source:  Repealed at 24 Ill. Reg. 18099, effective November 30, 2000)

Section 2030.750  Purchased-Care/Fee-for-Service Invoicing and Auditing

a)         Fund recipients under fee-for-service/purchased-care contracts for program services shall submit invoices on formats and per schedules and deadlines as prescribed by the Department.

b)         The Department will conduct random sample audits of client records to determine if the services billed for were provided.

c)         The Department will conduct random sample post billing audits of client's eligibility and financial status and if such audit reveals that the recipient has billed for an ineligible client or has failed to pursue all sources of payment before billing the Department, the recipient shall return to the Department all monies paid on behalf of such ineligible or financially able client.

d)         The Department will conduct random sample post billing audits of client record completeness.  Incomplete records may result in payment disallowances and subsequent recovery by the Department.

e)         Purchased-care/fee-for-service funds which the Department determines are being improperly held or have been misspent are subject to payback to the Department or offset to future payments, and are subject to recovery under the Grant Funds Recovery Act.

Section 2030.760  Exempt Recipients (Repealed)

(Source:  Repealed at 24 Ill. Reg. 18099, effective November 30, 2000)

Section 2030.810  Site Visits

a)         The Department shall monitor performance under the award document and shall conduct periodic visits to each provider.  The frequency of visits shall be determined by the nature, size, and complexity of the fund supported activity, and other appropriate factors by which the Department determines that on-site review is required to monitor provider performance.  The site visit is for the purpose of evaluating performance under the award document.  It shall focus on:

1)         actual accomplishment of and/or progress towards goals and objectives established by the award document for the term of review;

2)         reasons why established goals and objectives were not met;

3)         quality and effectiveness of services provided during the term of review, including effectiveness of community networks;

4)         ensurance that time schedules and projected work units by time periods are being met; and

5)         compliance with award document conditions.

b)         Providers shall make available to representatives of the Department all financial records, client attendance and/or service records, and case records and other documentation related to the award activities.

(Source:  Amended at 24 Ill. Reg. 18099, effective November 30, 2000)

Section 2030.820  Reports

Providers shall report, on a monthly basis, service data required by and using the Department's Automated Reporting and Tracking System (DARTS), as well as other reporting as required for the National Drug and Alcoholism Treatment Utilization Survey (NDATUS).  Such reported service data shall be for the purpose of assessing individual recipient performance, and for planning for future service development.

Section 2030.830  Underutilization

The Department may reduce on a proportionate basis the maximum compensation payable under a grant-in-aid award document or renegotiate compensation when there is a decrease for three consecutive months of fifteen percent (15%) or more in the average number of actual service units, from the amount specified in the award document. In determining whether to reduce compensation payable under the award document, the Department will consider the reason for the underutilization and the effect of the underutilization on the identified service need in the area based on Departmental substance abuse data.

Section 2030.840  Criminal Justice System Referrals

For clients referred by the Court, the provider shall comply with the following procedures and responsibilities:

a)         The provider shall accept referrals from the Department's designated program for criminal justice intervention (as described in Section 1-103 of the Act) on a priority basis when clients are remanded to the provider by order of the court after an application by the client to be treated under the provisions of the Act, and when consistent with the provider's appropriate admissions criteria.

b)         The provider shall, upon acceptance in treatment of a court client referral, submit thereafter regular progress reports to the designated program, and/or the Court as required by these parties. Such reports shall indicate, at a minimum, progress in treatment, general behavior, physical condition and future goals.

c)         The provider shall advise the designated program, and the Court, when requested and authorized, of any transfer, unauthorized absence, death or other sustained interruptions in treatment regarding its court referred clients.  The provider shall, upon termination of the client from its treatment program, advise the designated program, and the Court, when requested and authorized, of information pertaining to the client's termination, program participation, progress, or prognosis for such clients.

d)         The provider shall also accept other clients which the award document specifies are priorities on a priority basis when consistent with the provider's appropriate admissions criteria.

Section 2030.850  Prior Submissions

Information or reports required by this Subpart which have been previously submitted to the Department need not be resubmitted provided the fund recipient notifies the Department of the prior document containing such information, the date submitted and the Department office to which it was directed.

Section 2030.910  General

The Department will disburse funds to recipients in accordance with the fully executed award document signed by the Secretary. Disbursements shall be made as appropriate to the nature of the award and project or service to be delivered. They may be by monthly or other periodic installment or as invoiced for services delivered or other reasonable disbursement method as agreed between the parties and consistent with pertinent laws and regulations (such as the Grant Funds Recovery Act; State Finance Act [30 ILCS 105]; and the Alcohol and Drug Abuse and Mental Health Services Block Grant (42 U.S.C.A., Section 300, et seq. (1991)).

Section 2030.1010  Definitions (Repealed)

(Source:  Repealed at 24 Ill. Reg. 18099, effective November 30, 2000)

Section 2030.1020  Unilateral Termination (Repealed)

(Source:  Repealed at 24 Ill. Reg. 18099, effective November 30, 2000)

Section 2030.1030  Termination by Agreement (Repealed)

(Source:  Repealed at 24 Ill. Reg. 18099, effective November 30, 2000)

Section 2030.1040  Termination or Suspension for Cause (Repealed)

(Source:  Repealed at 24 Ill. Reg. 18099, effective November 30, 2000)

Section 2030.1050  Actions on Termination (Repealed)

(Source:  Repealed at 24 Ill. Reg. 18099, effective November 30, 2000)

Section 2030.1060  Suspension Process (Repealed)

(Source:  Repealed at 24 Ill. Reg. 18099, effective November 30, 2000)

Section 2030.1070  Summary Suspension (Repealed)

(Source:  Repealed at 24 Ill. Reg. 18099, effective November 30, 2000)

Section 2030.1080  Termination for Cause Process (Repealed)

(Source:  Repealed at 24 Ill. Reg. 18099, effective November 30, 2000)

Section 2030.1090  Closeout

a)         The closeout of an award is the process by which the Department determines that all applicable administrative actions and all required work of the award have been completed by the provider and the Department.

b)         The provider and Department must follow these procedures to closeout every award after expiration or termination:

1)         Upon written request, the Department shall make prompt payments to a provider for allowable costs under the award being closed out.

2)         The provider shall immediately refund to the Department any unencumbered balance of cash advanced to the provider.

3)         The Department shall obtain from the provider within 90 days after the date of completion of the award all financial, performance, and other reports required as a condition of the award.  The Department shall grant extensions when requested in writing by the provider if the justification for the request is based upon circumstances beyond the provider's control.

4)         The Department may prepare an upward or downward adjustment to the Department's share of costs after these reports are received based upon a reconciliation between such reports and the award document, subject to the provisions of this Part.

5)         The provider shall account for any property acquired with Department funds, or received from the Department in accordance with the provisions of Subpart L.

6)         The Department shall retain the right to recover any amounts determined to be due and owing to the Department after fully considering the recommendations on disallowed costs resulting from a final audit.

c)         The provider shall transfer client records pertaining to an individual client to a receiving program or make arrangements for a custodian of such records where the expiration or termination of an award results in program closure or reduction in service of the provider.

Section 2030.1110  Scope (Repealed)

(Source:  Repealed at 24 Ill. Reg. 18099, effective November 30, 2000)

Section 2030.1120  Definitions (Repealed)

(Source:  Repealed at 24 Ill. Reg. 18099, effective November 30, 2000)

Section 2030.1130  Real Property (Repealed)

(Source:  Repealed at 24 Ill. Reg. 18099, effective November 30, 2000)

Section 2030.1140  Non-Expendable Personal Property (Repealed)

(Source:  Repealed at 24 Ill. Reg. 18099, effective November 30, 2000)

Section 2030.1150  Expendable Personal Property (Repealed)

(Source:  Repealed at 24 Ill. Reg. 18099, effective November 30, 2000)

Section 2030.1160  Copyrights, Patents and Royalties

a)         Ownership in Copyrights and Patents

            When a writing, material, data, form, audio or visual record, manual, pamphlet, testing component, learning or educational material or other copyrightable material is developed or produced with Department funds, the author may copyright the work, unless the award document precludes or restricts such, except that the Department shall have a royalty-free, nonexclusive and irrevocable license throughout the world to reproduce, publish or otherwise use, and to authorize others to use, the material for reasonable purposes in the public interest.  Such license shall be only to the extent that the fund recipient had, prior to the award, the right to grant such a license without being liable for compensation to others solely because of such grant. If an invention is conceived or first actually reduced to practice in the course of or under an award by the Department, the Department shall be notified.  Determination as to ownership and disposition of rights to such inventions, including whether a patent application shall be filed and, if so, the manner of obtaining, administering, and disposing of rights under any patent application or patent which may issue shall be made by the Department.

b)         Royalties

            Royalties received during the grant period shall be retained by the grantee and either be used for any purposes which further the objectives of the award or be offset against total project or program costs.  Disposition of copyright royalties received after the termination of the grant period should ordinarily by governed by specific agreements between the Department and the fund recipient.  If there is no specific agreement, the Department's share of copyright royalties in excess of $200 received annually shall be paid by the fund recipient to the Department.  In such cases, the Department's share of the royalties shall be computed on the same ratio basis as the percentage of the Department's participation in the cost of the project or program.  Disposition of patent royalties received after the termination or completion of the grant period shall be governed by agreements between the Department and the fund recipient.

Section 2030.1205  Civil Rights/Nondiscrimination

a)         The fund recipient shall comply with Title VI and VII of the Civil Rights Act of 1964 (42 U.S.C. 2000d and 2000e et seq.); Section 503 and 504 of the Rehabilitation Act of 1973 (29 U.S.C. 793 and 794); the Illinois Human Rights Act (Ill. Rev. Stat. 1989, ch. 68, pars. 1-101 et seq.); all requirements imposed by the applicable Health, Education and Welfare Regulation (45 CFR 84, (1984)); The Americans with Disabilities Act of 1990 (42 U.S.C. 12101); the Secretary of Labor (20 CFR 741 (1984)); The Americans with Disabilities Act of 1990 (42 U.S.C. 12101);  the U.S. Constitution; the Constitution of the State of Illinois; any laws, regulations or orders, state and federal, which prohibit discrimination in employment and service delivery on the grounds of race, sex, marital status, color, religion, national origin, age, the inability to speak or comprehend the English language, or by reasons of any physical or mental handicap.  The fund recipient also shall engage in an affirmative action program, as required by State and federal law, regulations or orders.

b)         Distinctions on the grounds of race, color, creed, sex, national origin, age, the inability to speak or comprehend the English language or by reasons of any physical or mental handicap include but are not limited to the following:

1)         Denying a participant any service, benefit or availability of a facility on the grounds of race, color, creed, sex, national origin, age, the inability to speak or comprehend the English language or by reason of any physical or mental handicap;

2)         Providing any service or benefit to a participant which is different, or is provided at a different time, from that provided to other participants under the terms of the award unless the adjustment of regular programs or the provision of different programs is necessary to meet the individual needs of handicapped persons to the same extent as the non-handicapped where such individual needs necessitate the adjustment of regular programs or the provision of different programs;

3)         Subjecting a participant to segregation or separate treatment in any matter related to his/her receipt of any service;

4)         Restricting a participant in any way in the enjoyment of any advantage or privilege enjoyed by others receiving any service or benefit;

5)         Treating a participant differently from others in determining whether he satisfies admission requirements, enrollment quotas, eligibility, membership, or other requirements or conditions which individuals must meet in order to be provided any service or benefit;

6)         Assigning times or places for the provision of services on the basis of race, sex, marital status, color, religion, national origin, age, the inability to speak or comprehend the English language, or by reasons of any physical or mental handicap.

c)         Upon receipt of a complaint of discrimination against a provider, the Department shall report such complaint to the appropriate State and Federal authorities.  Upon notification of a determination by such authorities that the provider has engaged in discriminatory practices, the Department shall have the right to terminate the award under Section 2030.1010.

d)         A recipient will include verbatim or incorporate by reference the provisions of this Section in every subaward so that such provisions will be binding upon every such subprovider.  The provider will be liable for compliance with applicable provisions of this Section by its subproviders.  In addition, the provider will immediately notify the Department and the Illinois Department of Human Rights in the event any subprovider fails or refuses to comply with this Section.  No provider will utilize any subprovider declared by the Illinois Department of Human Rights to be nonresponsible and therefore ineligible for contracts or subawards with the State of Illinois or any its political subdivisions or municipal corporations.

e)         Notwithstanding anything contained in this Section to the contrary, the Department and the provider may develop or operate programs or services which are designed to meet the needs of special population groups.

Section 2030.1210  Compliance During Award Period

a)         When the fund recipient signs the award document, the signature shall be the fund recipient's certification of compliance with all applicable Federal and State laws and regulations and Department rules.  If a provider has been determined to be in violation or otherwise in non-compliance by the agency or body or other authority responsible for the administration of such law or regulation, and the Department is notified of such violation or non-compliance, then the provider shall be subject to the provisions of Section 2030.1010 of this Part.

b)         Any Department award document shall be governed by and construed according to the laws of the State of Illinois.

Section 2030.1215  Conflict of Interest (Repealed)

(Source:  Repealed at 24 Ill. Reg. 18099, effective November 30, 2000)

Section 2030.1220  Notices

All notices required or permitted by this Part or by the terms of an award shall be in writing and shall be deemed to have been given within five days after the same has been deposited in the United States mail or on the actual date indicated on the return receipt requested, postage prepaid, to the parties entitled hereto, directed to them at their last known address or at the address stated in the award document.  Addresses for notice may be changed by notice. Notice to a recipient shall be addressed to the person who signed the award document on behalf of the recipient, at the address stated in the award document, unless such person and address are changed by notification in writing to the Department.

Section 2030.1225  Personnel Administration (Repealed)

(Source:  Repealed at 24 Ill. Reg. 18099, effective November 30, 2000)

Section 2030.1230  Procurement Standards

a)         This Section provides standards for use by the Department in establishing procedures for the procurement with award funds of supplies, equipment, construction, and other services.

b)         The standards contained in this Section do not relieve the provider of the contractual responsibilities arising under its contracts and/or subawards.  The recipient is the responsible authority, without recourse to the Department, regarding the settlement and satisfaction of all contractual and administrative issues arising out of procurements entered into in support of an award.  This includes but is not limited to:  disputes, claims, protests of award, source evaluation or other matters of a contractual nature.  Matters concerning violation of law are to be referred to such local, state or Federal authorities as may have proper jurisdiction.

c)         Recipients may use their own procurement regulations which reflect applicable state and local law, rules and regulations provided that procurements made with Department award funds adhere to the standards set forth as follows:

1)         The recipient shall maintain a code of standards of conduct which shall govern the performance of its officers, employees, or agents, in contracting with the Department and expending Department award funds.  Provider's officers, employees or agents shall neither solicit nor accept gratuities, favors or anything of monetary value from contractors and subproviders or potential contractors and subproviders.  To the extent permissible by state or local law, rules or regulations, such standards shall provide the penalties, sanctions, or other disciplinary actions to be applied for violations of such standards by either the provider officers, employees, or agents, or by contractors, subproviders or their agents.

2)         All procurement transactions shall be conducted in a manner that provides, to the maximum extent practical, open and free competition.  The recipient shall establish procedures to avoid organizational conflicts of interest as defined in Section 2030.1215(a) or noncompetitive practices among contractors and subproviders which may restrict or eliminate competition or otherwise restrain trade.

3)         The recipient shall establish procurement procedures which provide for, at a minimum, the following procedural requirements:

A)        Proposed procurement actions shall be reviewed by provider officials to avoid purchasing items which are unnecessary, duplicative or inconsistent with the purposes of the award.  Cost/benefit consideration shall be made of lease and purchase alternatives to determine the most economical and practical procurement.

B)        Invitations for bids or requests for proposals shall be based upon a clear and accurate description of the technical requirements for the material, product, or service to be procured.  Such description shall not, in competitive procurement, contain features which unduly restrict competition.  "Brand name or equal" description may be used as a means to define the performance or other salient requirements of a procurement, and when so used, the specific features of the named brand which must be met by offers should be clearly specified.

C)        Positive efforts shall be made to utilize small business and minority-owned business sources of supplies and services.  The efforts should allow these sources the maximum feasible opportunity to compete for contracts to be performed utilizing Department funds, without creating non-competition or restraining trade.

D)        The type of procuring instruments used (i.e., fixed price contracts, cost reimbursable contracts, purchase orders, incentive contracts, etc.) shall be based on a cost benefit consideration for the particular procurement and shall be consistent with the objectives of the award.  The "cost-plus-a-percentage-of-cost" method of contracting shall not be used.

E)        Formal advertising, with adequate purchase description, sealed bids, and public openings, shall be the required method of procurement unless negotiation pursuant to subsection (F) below is necessary to accomplish sound procurement. However, procurements of $5,000 or less need not be so advertised unless otherwise required by state or local law or regulations.  Where such advertised bids are obtained, the awards shall be made to the responsible bidder whose bid is responsive to the invitation and is most advantageous to the provider, price and other factors considered.  Factors such as discounts, transportation costs and taxes may be considered in determining the best bid.  Invitations for bids shall clearly set forth all requirements which the bidder must fulfill in order for his bid to be evaluated by the provider.  Any or all bids may be rejected when it is in the provider's interest to do so, and such rejections are in accordance with applicable state and local law, rules, and regulations.

F)         Procurements may be negotiated if:

i)          The exigency will not permit the delay incident to advertising;

ii)         The material or service to be procured is available from only one person or firm (All contemplated sole source procurements in which the aggregate expenditure is expected to exceed $7,500 shall be referred to the Department for prior approval.);

iii)        The aggregate amount involved does not exceed $5,000;

iv)        The contract or subaward is for personal or professional services, or for any service to be rendered by a university, college, or other educational institutions;

v)         No acceptable bids have been received after formal advertising;

vi)        The purchases are for highly perishable materials or medical supplies or for materials or services for which prices are established by law and for technical items or equipment requiring standardization and interchangeability of parts with existing equipment;

vii)       otherwise authorized by law, rules, or regulations.

G)        Contracts and subawards shall be made only with responsible contractors and subproviders who possess the potential ability to perform successfully under the terms and conditions of a proposed procurement.  Consideration shall be given to such matters as contractor or subprovider integrity, record of past performance, financial and technical resources, or accessibility to other necessary resources.

H)        Procurement records or files for purchases in amounts in excess of $5,000 shall provide the following pertinent information:  justification for the use of negotiation in lieu of advertising, contractor and/or subprovider selection, and the basis for the cost or price negotiated.

I)         A system for contract and/or subprovider conformance with terms, conditions, and specifications for the contract or order.

J)         The provider shall include provisions addressing the following matters:

i)          Contracts and subawards shall contain such contractual provisions or conditions which will allow for administrative, contractual, or legal remedies in instances in which contractors and/or subproviders violate or breach contract terms, and provide for such sanctions and penalties as may be appropriate.

ii)         Contracts in excess of $5,000 shall contain suitable provisions for termination by the provider including the manner by which it will be effected and the basis for settlement.  In addition, such contracts and/or subawards shall describe conditions under which the contract and/or subaward may be terminated for default as well as conditions in which the contract and/or subaward may be terminated because of circumstances beyond the control of the contractor and/or subprovider.

iii)        All negotiated contracts and/or subawards (except those of $5,000 or less) awarded by providers shall include a provision to the effect that the duly authorized representatives of the provider and Department shall have access to any books, documents, papers, and records of the contractor and/or subprovider which are directly pertinent to a specific award funded program or services for the purpose of making audits, examinations, excerpts, and transcriptions.

Section 2030.1235  Personnel Administration

a)         Personnel policies and procedures shall be set forth in writing and be available for review by the Department.

b)         The fund recipient shall determine that its personnel are personally and professionally qualified.  The Provider may consider professional certification or licensure for the services being provided in determining that personnel are personally and professionally qualified.  The fund recipient shall make available to the Department the resume for each professional and paraprofessional person to be assigned to the award detailing their experience and qualifications.  When paraprofessional or untrained staff are used, they must be supervised by qualified staff and there must be an ongoing inservice training program in which they participate.

c)         All persons hired shall fill out an employment application form prior to being hired.

d)         Individual employee personnel files shall be maintained.  These files shall contain at a minimum:

1)         Standardized employment application;

2)         Salary transactions such as adjustments or increases;

3)         Notices of resignation, firing or disciplinary action;

4)         Current job description and pay rating;

5)         Information relating to sick, personal, vacation time earned and taken;

6)         Employment agreement specifying date started, direct supervisor, scheduled date of orientation to the program, provision for signature by executive director and employee indicating agreement/acceptance of position;

7)         Appropriate tax withholding forms;

8)         Copies of all applicable benefit forms such as health insurance, pension retirement, etc.

9)         Verification of licensing, certification, references, academic credits and training attended;

10)         Employee evaluations;

11)         Sign off or documentation of completion of orientation to job, program and Provider work rules.

e)         Unless the fund recipient has other properly approved by their governing board, employees paid from award funds shall earn sick leave and vacation pay not to exceed the following:

1)         Sick leave – one day per month or 12 days per year;

2)         Vacation – vacation shall be earned according to length of service:

A)        Less than 6 years – 2 weeks per year

B)        From 6 years to 14 years – 3 weeks per year

C)        More than 14 years – 4 weeks per year

3)         Part-time employees may earn vacation and sick leave on a pro-rata basis of hours worked.  Persons paid on a contractual basis shall not earn vacation time or sick leave unless such payment is based on a written contractual arrangement and has prior Department approval.

4)         Overtime or compensatory time off is permitted for work in excess of 40 hours per week in accordance with the fund recipient's policies.

5)         Dual compensation is not permitted.  This situation is defined as when an employee receives compensation from two or more different and unrelated jobs for work performed in the same time span.  This applies to all salaried and contractual personnel and consultants.

Section 2030.1245  Protection of Client Records/Confidentiality

The fund recipient shall comply with Federal and State statutes and regulations governing the confidentiality of alcohol and drug abuse patient records, including the following:

a)         42 U.S.C. 290 dd-3 (Supp. 1984) (alcohol);

b)         42 U.S.C. 290 ee-3 (Supp. 1984) (substance abuse);

c)         42 CFR 2 (1987);

d)         20 ILCS 305/1-101;

e)         77 Ill. Adm. Code 2058.

Section 2030.1250  Publicity and Publications

Any publication of the results or accomplishments of any Department-funded activity shall contain the following or comparable acknowledgment:  "This project was supported by an award from the Illinois Department of Human Services."

Section 2030.1255  Retention and Access Requirements for Records

All fiscal and programmatic records, supporting documents and all other books and records pertaining to, and required to be maintained by the terms of, any Department award shall be maintained and retained for a period of five years after final payment to allow for audit by the Department, the State of Illinois, the Federal government, and any persons duly authorized by the Department; provided, however, if any claim, litigation, audit, or other action has begun before the expiration of the five year period, the records shall be retained until completion of the action and resolution of all issues which arise from it.

Section 2030.1260  Rights in Data

Any writings, materials, data, forms, audio or visual records, manuals, pamphlets, testing components, learning or educational materials developed or produced with Department funds may be used, duplicated or disclosed by the Department in any manner and for any purpose whatsoever, and the Department may have or permit others to use, duplicate or disclose all such data and materials.  The Department shall have a royalty-free, non-exclusive and irrevocable license throughout the world to use, duplicate or dispose of such data, and materials which may be copyrighted in any manner and for any purpose whatsoever, and to have or permit others to do so.  Such license shall be only to the extent that the fund recipient now has, or prior to the completion or final settlement of such Department award may acquire, the right to award such license without becoming liable to pay compensation to others solely because of such award.

Section 2030.1265  Severability

If any time or provision of an award document is held invalid, unenforceable, voidable or void, such term or provision shall not affect the other terms or provisions of the award document which can be given effect without the invalid term or provision.

Section 2030.1270  Subawards

a)         Activities, responsibilities and obligations of a Provider may be subawarded out to another organization with the prior written approval of the Department as required by the terms of the award document.  (See Section 2030.930(b))  In determining whether to grant approval for a subaward the Department will consider:

1)         The purpose of the subaward;

2)         The ability of the subcontractor to meet the proposed obligations;

3)         The cost-effectiveness of the subaward;

4)         The method by which the primary contractor will monitor the subcontractor's performance;

5)         Whether licensure requirements have been met;

6)         Benefit to the client.

b)         When approval for such subawarding is required, the arrangement shall be formalized in a contract or other written agreement between the parties involved, and include at a minimum:

1)         The activities to be performed;

2)         The time schedule;

3)         The award policies and requirements that are applicable to the subprovider (flow-through requirements);

4)         Other policies and procedures to be followed;

5)         The dollar limitation of the agreement;

6)         The cost principles to be used to determine what costs are to be allowed.

c)         The subaward or other written agreement must not affect the Provider's overall responsibility for the direction of the project and accountability to the Department.

d)         No approval of any subaward shall be deemed to provide for the incurrence of any obligation by the Department in addition to the total agreed upon price.

e)         The incurrence of any obligation by the Provider with the intent of claiming reimbursement, prior to obtaining any required approval, shall be at the Provider's risk.

Section 2030.1310  Special Provisions for Purchase of Medical Services

a)         The purpose and intent of the Purchase of Medical Services program is to make the following medical services available to indigent Illinois residents:  emergency medical assessment and treatment, backup medical support to social setting detoxification and other alcoholism treatment services, and medical detoxification when necessary.

b)         Facilities providing services to alcoholics shall comply with the provisions of the Act and any applicable Department rules.

c)         The programmatic and administrative requirements and procedures set forth in this Section are applicable to all services for which reimbursement is expected.

d)         Basis of Payment

            The basis of payment for eligible costs is the rate established by the Department of Public Aid under the Medicaid program, if a Department of Public Aid Provider Agreement exists, or as negotiated by the Department.

e)         Eligible Providers of Services

            General and osteopathic hospitals, non-hospital emergency centers, and free-standing alcohol and substance abuse centers licensed by the State of Illinois.

f)         Reimbursable Services

1)         Alcoholism Purchase of Medical Services funds may not be used for any other primary diagnosis of non-alcoholic psychiatric conditions or any other concomitant medical conditions.

2)         Purchase of Medical Services funds may be expended within the program component set forth in subsection (g) provided the program components conform to any applicable licensing requirements, are operated within the context of an appropriately licensed provider, and are provided for in an executed award document.

g)         Program Components

1)         The following program components provide medical services provided in a non-hospital emergency center or free standing alcoholism and substance abuse screening facility or outpatient clinic of a hospital licensed by the Illinois Department of Public Health.  These medical services are specifically for the treatment of acute medical symptomology and complications directly attributable to or associated with the effects of intoxication and the disease of alcoholism.

A)        Medical Assessment/Emergency Treatment includes the prompt assessment of all persons to determine the nature of the alcohol related problems, the level of urgency, identification of the kind of medical treatment required and assignment for admission or firm referral to the appropriate treatment/service facility.

B)        Medical Detoxification Service (hospital) which provides immediate medical detoxification services.  The purpose of a medical detoxification is medical intervention and management of the person incapacitated by withdrawal from alcohol.  Medical detoxification services provided to persons who fit admission criteria for a social setting detoxification treatment service facility are reimbursable services pursuant to the award document, when a social setting detoxification treatment/service facility is not available in the area.

2)         For medical assessment, emergency treatment and medical detoxification services (hospital), the following apply:

A)        These services are reimbursable from Purchase of Medical Services funds only by special arrangement between the hospital provider and the Department under the authority of a properly executed award document.

B)        Provider fees are allowable expenses as established by the Department of Public Aid under the Medicaid program or as negotiated by the Department.

C)        Physician's fees for services provided in conjunction with the above services, in order to be reimbursable through the Department's Purchase of Medical Services funds, shall be incorporated as part of the total hospital charges for each client billed to the Department unless the Department specifically contracts for physician services on a separate basis.

D)        Purchase of Medical Services funds will pay for a maximum of four days' treatment in a hospital or in another medical facility which conforms to Joint Commission of Accreditation of Hospitals as set forth in The Consolidated Standards Manual – 85 For Child, Adolescent, and Adult Psychiatric, Alcoholism, and Drug Abuse Facilities and Facilities Serving the Mentally Retarded-Developmentally Disabled (1984) and Department of Public Health standards.

E)        The necessity for admission and any stay over four days shall be subject to the Provider's utilization review which shall include daily certification by a physician of the medical necessity for continued stay.  Only charges for those days determined as medically necessary by the Provider's Utilization Review Committee will be honored for payment by the Department.  Under no circumstances will the Department pay for more than ten consecutive days in any one treatment episode.  Certification and Utilization Committee documentation is subject to review by the Department prior to payment.

F)         Notification of inpatient services rendered must be provided to the Department or its designee within 48 hours of admission in accordance with the award document.  No billings will be paid for any client for whom the Department or its designee has not received 48 hours notification. "Release of information" signed by the client which conforms with the provisions of 42 CFR Part 2 shall be provided in addition to copies of emergency room reports, admission and discharge summaries.

G)        The Department may designate in the award document a local alcoholism treatment provider to act in its behalf.  The award document shall specify functions and responsibilities of the local alcoholism treatment provider.

h)         Client Eligibility

            This program is intended to provide financial support to individuals who cannot afford treatment and who would otherwise be denied treatment due to the lack of reimbursement by any other source.  Therefore, only persons who, on the basis of inability to pay for their own treatment or lack of third party payments either through private carrier or other funding mechanism such as Medicaid or Medicare, shall be eligible for Department purchase of medical services funding.  In order to be reimbursed by the Department through Purchase of Medical Services funding, providers must verify that the client's annual income is within the limitations set forth in the award document.

i)          Treatment and Discharge

            The following major points should be considered in the treatment and discharge of persons under this program and documented in the individual client records:

1)         Conditions which justify the necessity of treatment provided (e.g., necessity of emergency treatment, hospitalization, etc.).

2)         Description of medical services critical to and consistent with diagnosis shall include but not be limited to:

A)        Examinations

B)        Laboratory studies

C)        Special diagnostic studies

D)        Present illness – treatment plan

E)        Discharge plan

3)         Firm referral to other alcoholism treatment programs in the client's community to ensure a continuum of care.

j)          Financial Determination

1)         Total documentation demonstrating that all third party funding sources have been exhausted need not be supplied by the hospital provider at the time of billing.  However, such documentation shall be on file for inspection by Department staff or its designee.  The hospital provider shall provide Department staff or its designee with access to all records pertaining to the client for whom billing is made under the award document.

A)        The absence of a notice of denial of payment from all other sources for which the client is eligible shall be grounds for the Department to require reimbursement of charges and/or to deny payment.

B)        In the event that an additional source pays provider charges subsequent to payment by the Department, the Department shall be immediately notified and provision made for repayment either directly or through a billing adjustment.

2)         Consent and firm referral forms must be in the client's file.  Absence of such forms during monitoring review shall be grounds for the Department to require reimbursement of charges and/or deny payment.

k)         Program Review

            The Department or its designee may inspect and review the hospital provider's Utilization Review Committee minutes and cumulative monthly summaries to evaluate the quality of services provided by the hospital provider.  In conducting such inspection the Department shall adhere to the confidentiality requirements of Part 21 of Article VIII of the Illinois Code of Civil Procedure [735 ILCS 5/Art. III, Part 21].

l)          Fiscal Auditing

1)         The Department will conduct random sample audits of client records to determine if the services billed for were provided.  The Department will contact the local alcoholism treatment provider to determine any contacts, notifications and linkage performed.

2)         The Department or other State or private agency, on behalf of the Department, will conduct random sample post billing audits of client's eligibility and financial status and, if such audit reveals that the hospital provider has billed for an ineligible client or has failed to pursue all sources of payment before billing Department, the hospital Provider shall return to the Department all monies paid on behalf of such ineligible or financially able client.

m)        Basis for Program Rates

            Department rate methodology will be used for purchase of medical services when possible.  Department funding alternatives include but are not limited to the following:

1)         The Department shall reimburse the provider for eligible treatment services to alcoholics at the Department of Public Aid per diem rate established for each provider.

2)         In those instances in which an exception to this rate is requested, the Department will review the proposed alternative rate structure and its supporting documentation.  If the Department approves the alternative rate structure, a copy of such approved rates, with the effective dates, shall be attached to each copy of the agreement between the provider and the Department and shall be the basis for computing charges to the Department.  Situations in which the Department will approve an alternative rate structure include but are not limited to the following:

A)        The provider is the sole source provider in the area;

B)        The provider, through internal fiscal restructuring, can deliver this service at a more economical rate;

C)        Volume/market conditions make it advantageous to the provider to develop special package service rates.

3)         For purposes of revising the rate during the award document period of performance, the provider must present the Department with fiscal and programmatic documents supporting a proposed revised rate at least thirty days prior to an implementation date which, if approved by the Department, will be attached to the agreement.  The approved revised rate change shall not affect the maximum compensation payable under the award document.

n)         Billing Procedures

            The Department shall supply each hospital provider with billing forms.  The provider shall submit its billings to the Department in accordance with the following instructions:

1)         The "Summary of Services Provided" form should be prepared in triplicate. Providers are to attach itemized billings, including documentation of need for services rendered, to one copy and send additional copies (total of two) to the Department or its designee and retain one copy for the provider records.

2)         The "Summary of Services Provided" form must be prepared in the same manner by physicians when fees for services are not included in the per diem rate.  In those instances, providers will make simultaneous submission of physician's and provider's "Summary of Services Provided."

3)         The "Summary of Services Provided" form must be received by the Department no later than the 10^th day of the month if payment is to be processed in that month.

4)         Billings must be submitted to the Department on a monthly basis within thirty (30) days after the end of each month for services provided in such month.

Section 2030.1320  Special Provisions for Prevention Services

a)         Alcohol and other drug abuse prevention is a process targeting 100% of the population, which supports individuals, communities, and family systems in creating healthy environments, lifestyles and behaviors.  Prevention services are an integral component in the array of alcohol and other drug abuse services, i.e., prevention, intervention and treatment.  Effective prevention efforts decrease the likelihood of alcohol and other drug abuse, promote risk reduction, change community norms, strengthen public policy and assist individuals in developing their capabilities, thus ensuring a higher quality of life.

            Providers must employ one or more of the following five prevention strategies:

1)         Information Dissemination – Activities designed to increase the awareness and knowledge of the community regarding the nature and extent of substance abuse and appropriate prevention and treatment strategies and services.

2)         Skills Building – Approaches that focus on developing social competencies through the use of structured learning processes.  These programs assist individuals to develop or improve their critical life skills, such as decision making, coping with stress, problem solving, interpersonal communication and parenting.

3)         Alternatives – Activities specifically related to prevention of substance abuse problems which provide challenging, positive growth experiences in which people can develop self-discipline, confidence, and personal and social awareness.

4)         Social Policy – Activities that attempt to change conditions to minimize the availability of drugs and other negative influences.  Current legislation around alcohol and drug use falls within this strategy.

5)         Training of Impactors – Activities that are conducted with leaders of community systems in order to impact a large number of people through the impactors' efforts.  The activities are designed to assist impactors in examining their own attitudes toward drug use and users, identifying how these attitudes affect the way they respond to alcohol and drug use behavior, and identifying their role in a comprehensive community-based prevention support system.

b)         Performance measures

1)         Prevention projects must develop specific goals and objectives related to their prevention strategies, and demonstrate how stated goals and objectives will be the means by which the implementation of the strategies occur.

2)         Prevention projects must develop all strategies, and goals and objectives to achieve them, from a substance abuse perspective.

3)         Prevention projects must provide evidence of the completion of a needs assessment based on locally derived data indicators which will, at a minimum, describe currently existing prevention resources within the community and the unmet needs which proposed services will fill.

4)         Applicants for prevention funding must demonstrate the establishment of linkages with other community agencies which serve the target population.  Such linkages must be in the form of letters of support or cooperation, referral agreements or other similar documents.  A minimum of two such letters is required, one of which must be from the "In Touch" program.

5)         Public information materials (printed and audio-visual) for which a Department award or subaward was made must be reviewed and approved in writing by the Department prior to release and dissemination.  The Department may elect review and approval authority when deemed necessary.

c)         Department-funded prevention programs may charge reasonable fees to offset costs for services.  The fees are intended to maximize and diversify revenue sources and shall not result in denial of services based on inability to pay.