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1    AN ACT concerning military service.
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4    Section 1. Short title. This Act may be cited as the
5Veteran Service Organizations State Charter Act.
6    Section 5. State charter. A veteran service organization
7shall be considered state chartered when the organization
8meets all of the requirements listed in this Act and the
9organization's application for state charter status has been
10approved by the Attorney General. Upon approval, the Attorney
11General shall issue a letter granting state charter status to
12the organization.
13    Section 10. Granting of state charter status. The Attorney
14General shall grant state charter status to any organization
15that has demonstrated that all requirements for obtaining
16state charter status have been met.
17    Section 15. State charter requirements. To qualify for
18state charter status, a veteran service organization must:
19        (1) Have been formed by and for veterans with a board
20    composition of mostly veterans or have annual expenditures
21    that demonstrate that the majority of the organization's



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1    expenses reflect support for veterans, service members,
2    and their families; or (ii) have a paid membership of at
3    least 15 individuals and be associated with a
4    congressionally chartered organization; or (iii) provides
5    responsible aid, assistance, or services to the veteran
6    community.
7        (2) Possess tax-exempt status from the Internal
8    Revenue Service either under Section 501(c)(3) or Section
9    501(c)(19) of the Internal Revenue Code and have the
10    primary charitable purpose of providing service or
11    assistance to veterans, their spouses, or their
12    dependents.
13        (3) Possess a current certificate of good standing as
14    an Illinois registered not-for-profit organization from
15    the Secretary of State.
16        (4) Obtain and maintain ongoing registration and
17    compliance under the Charitable Trust Act with the
18    Charitable Trust Bureau of the Attorney General's Office
19    or substantiation for an exemption.
20        (5) For organizations with veteran service officers,
21    demonstrate that each veteran service officer possesses a
22    valid U.S. Department of Veterans Affairs accreditation or
23    that such accreditation is pending.
24    Section 20. Application for state charter status. A
25veteran service organization may submit an application for



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1state charter status to the Attorney General. All supporting
2documentation demonstrating that each of the requirements
3listed in this Act have been met shall be provided with the
5    Section 25. Attestation of compliance. Any application for
6state charter status shall include the following statement, on
7organizational letterhead and signed by all officers: "All
8officers for (insert lawful organizational name) do hereby
9attest that all requirements for a state charter have been
10met, that there are no past or ongoing enforcement actions or
11lawsuits against the organization or any of its officers for
12violations or suspected violations of the Consumer Fraud and
13Deceptive Business Practices Act, or the Military Veterans
14Assistance Act, and that we will notify the Attorney General
15within 30 days if, at any point, the organization no longer
16meets one or more of the requirements for state charter
18    Section 30. Denial of state charter. The Attorney General
19shall deny an application for state charter status to any
20organization that does not meet all requirements for state
21charter status in Section 20. Any organization whose state
22charter application has been denied may resubmit that
23application once all deficiencies have been corrected.



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1    Section 35. Duration of state charter status. State
2charter status shall be valid for 5 years. A veteran service
3organization must reapply for state charter status prior to
4the expiration of its current state charter status.
5    Section 40. Revocation. If the Attorney General is made
6aware, either through notification as provided in Section 30
7or through other information or evidence, that an organization
8that has been granted state charter status no longer meets one
9or more of the requirements of Section 20, the Attorney
10General may revoke the state charter status. Nothing in this
11Section is intended to take away or limit any powers of the
12Attorney General under common law or other statutory law, and
13the Attorney General may, in his or her sole discretion,
14request that a court revoke state charter status based on
15other conduct not specifically listed in this Section.
16    Section 45. Publication of state chartered veteran service
17organizations. The Attorney General shall maintain a publicly
18accessible list of state chartered veteran service
20    Section 50. Violation. It is a violation of Section 9 of
21the Military Veterans Assistance Act for any person, group, or
22entity to assert state charter status where such status has
23not been granted in accordance with this Act or where such



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1status has been revoked.