102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
HB5489

 

Introduced 1/31/2022, by Rep. Carol Ammons

 

SYNOPSIS AS INTRODUCED:
 
20 ILCS 605/605-1050

    Amends the Department of Commerce and Economic Opportunity Law of the Civil Administrative Code of Illinois. Provides that of the funds received by the State under the American Rescue Plan Act of 2021, an additional $300,000,000 shall be allocated for use by the Back to Business Program to further aid business recovery. Provides that grants provided from such funds shall initially be used to provide grants to businesses with currently pending grant applications, and then allocated to businesses in the order in which grant applications are received. Provides that grants shall also be provided for approved navigators, to ensure Illinois businesses are aware of the Grant Program. Effective immediately.


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A BILL FOR

 

HB5489LRB102 24579 RJF 33813 b

1    AN ACT concerning State government.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Department of Commerce and Economic
5Opportunity Law of the Civil Administrative Code of Illinois
6is amended by changing Section 605-1050 as follows:
 
7    (20 ILCS 605/605-1050)
8    Sec. 605-1050. Coronavirus Back to Business Grant Program
9(or Back to Business Program).
10    (a) Purpose. The Department may receive State funds and,
11directly or indirectly, federal funds under the authority of
12legislation passed in response to the Coronavirus epidemic
13including, but not limited to, the Coronavirus Aid, Relief,
14and Economic Security Act, P.L. 116-136 (the "CARES Act") and
15the American Rescue Plan Act of 2021, P.L. 117-2 (the "ARPA
16Act"); such funds shall be used in accordance with the CARES
17Act and ARPA Act legislation and published guidance. Section
185001 of the CARES Act establishes the Coronavirus Relief Fund,
19which authorizes the State to expend funds that are necessary
20to respond to the COVID-19 public health emergency. The
21financial support of Qualifying Businesses is a necessary
22expense under federal guidance for implementing Section 5001
23of the CARES Act. Upon receipt or availability of such State or

 

 

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1federal funds, and subject to appropriations for their use,
2the Department shall administer a program to provide financial
3assistance to Qualifying Businesses that have experienced
4interruption of business or other adverse conditions
5attributable to the COVID-19 public health emergency. Support
6may be provided directly by the Department to businesses and
7organizations or in cooperation with a Qualified Partner.
8Financial assistance may include, but not be limited to
9grants, expense reimbursements, or subsidies.
10    (b) From appropriations for the Back to Business Program,
11up to $60,000,000 may be allotted to the repayment or
12conversion of Eligible Loans made pursuant to the Department's
13Emergency Loan Fund Program. An Eligible Loan may be repaid or
14converted through a grant payment, subsidy, or reimbursement
15payment to the recipient or, on behalf of the recipient, to the
16Qualified Partner, or by any other lawful method.
17    (c) From appropriations for the Back to Business Program,
18the Department shall provide financial assistance through
19grants, expense reimbursements, or subsidies to Qualifying
20Businesses or a Qualified Partner to cover expenses or losses
21incurred due to the COVID-19 public health emergency or for
22start-up costs of a new Qualifying Business. All spending
23related to this program from federal funds must be
24reimbursable by the Federal Coronavirus Relief Fund in
25accordance with Section 5001 of the federal CARES Act, the
26ARPA Act, and any related federal guidance, or the provisions

 

 

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1of any other federal source supporting the program.
2    (d) As more fully described in subsection (c), funds will
3be appropriated to the Back to Business Program for
4distribution to or on behalf of Qualifying Businesses. Of the
5funds appropriated, a minimum of 40% shall be allotted for
6Qualifying Businesses with ZIP codes located in the most
7disproportionately impacted areas of Illinois, based on
8positive COVID-19 cases.
9    (d-5) Subject to appropriation, of the funds received by
10the State under the American Rescue Plan Act of 2021, an
11additional $300,000,000 shall be allocated for use by the Back
12to Business Program to further aid business recovery. Grants
13provided from funds under this subsection (d-5) shall
14initially be used to provide grants to businesses with
15currently pending grant applications, and then allocated to
16businesses in the order in which grant applications are
17received. Grants provided from funds under this subsection
18(d-5) shall also be provided for approved navigators, to
19ensure Illinois businesses are aware of the Grant Program.
20    (e) The Department shall coordinate with the Department of
21Human Services with respect to making grants, expense
22reimbursements or subsidies to any child care or day care
23provider providing services under Section 9A-11 of the
24Illinois Public Aid Code to determine what resources the
25Department of Human Services may be providing to a child care
26or day care provider under Section 9A-11 of the Illinois

 

 

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1Public Aid Code.
2    (f) The Department may establish by rule administrative
3procedures for the grant program, including any application
4procedures, grant agreements, certifications, payment
5methodologies, and other accountability measures that may be
6imposed upon participants in the program. The emergency
7rulemaking process may be used to promulgate the initial rules
8of the grant program and any amendments to the rules following
9the effective date of this amendatory Act of the 102nd General
10Assembly.
11    (g) Definitions. As used in this Section:
12        (1) "COVID-19" means the novel coronavirus disease
13    deemed COVID-19 by the World Health Organization on
14    February 11, 2020.
15        (2) "Qualifying Business" means a business or
16    organization that has experienced or is experiencing
17    business interruption or other adverse conditions due to
18    the COVID-19 public health emergency, and includes a new
19    business or organization started after March 1, 2020 in
20    the midst of adverse conditions due to the COVID-19 public
21    health emergency.
22        (3) "Eligible Loan" means a loan of up to $50,000 that
23    was deemed eligible for funding under the Department's
24    Emergency Loan Fund Program and for which repayment will
25    be eligible for reimbursement from Coronavirus Relief Fund
26    monies pursuant to Section 5001 of the federal CARES Act

 

 

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1    or the ARPA Act and any related federal guidance.
2        (4) "Emergency Loan Fund Program", also referred to as
3    the "COVID-19 Emergency Relief Program", is a program
4    executed by the Department by which the State Small
5    Business Credit Initiative fund is utilized to guarantee
6    loans released by a financial intermediary or Qualified
7    Partner.
8        (5) "Qualified Partner" means a financial institution
9    or nonprofit with which the Department has entered into an
10    agreement or contract to provide or incentivize assistance
11    to Qualifying Businesses.
12    (h) Powers of the Department. The Department has the power
13to:
14        (1) provide grants, subsidies and expense
15    reimbursements to Qualifying Businesses or, on behalf of
16    Qualifying Businesses, to Qualifying Partners from
17    appropriations to cover Qualifying Businesses eligible
18    costs or losses incurred due to the COVID-19 public health
19    emergency, including losses caused by business
20    interruption or closure and including start-up costs for
21    new Qualifying Businesses;
22        (2) enter into agreements, accept funds, issue grants,
23    and engage in cooperation with agencies of the federal
24    government, units of local government, financial
25    institutions, and nonprofit organizations to carry out the
26    purposes of this Program, and to use funds appropriated

 

 

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1    for the Back to Business Program;
2        (3) prepare forms for application, notification,
3    contract, and other matters, and establish procedures,
4    rules, or regulations deemed necessary and appropriate to
5    carry out the provisions of this Section;
6        (4) provide staff, administration, and related support
7    required to manage the Back to Business Program and pay
8    for the staffing, administration, and related support;
9        (5) using data provided by the Illinois Department of
10    Public Health and other reputable sources, determine which
11    geographic regions in Illinois have been most
12    disproportionately impacted by the COVID-19 public health
13    emergency, considering factors of positive cases, positive
14    case rates, and economic impact; and
15        (6) determine which industries and businesses in
16    Illinois have been most disproportionately impacted by the
17    COVID-19 public health emergency and establish procedures
18    that prioritize greatly impacted industries and
19    businesses, as well as Qualifying Businesses that did not
20    receive paycheck protection program assistance.
21(Source: P.A. 101-636, eff. 6-10-20; 102-16, eff. 6-17-21.)
 
22    Section 99. Effective date. This Act takes effect upon
23becoming law.