State of Illinois
2011 and 2012


Introduced 2/23/2011, by Rep. Sidney H. Mathias


See Index

    Amends the Illinois Emergency Employment Development Act. Defines "Advisory Committee", "Department", "Director", "Employment Administrator", "service delivery area", and "Workforce Investment Act". Sets forth the powers of the Illinois Emergency Development coordinator and the uses for funds appropriated for the program. Provides that the Department of Employment Security shall publicize the program and that the Board of Higher Education and Community College Board shall review their policies to ensure that specified programs serve the needs of the economically disadvantaged. Sets forth the requirements for businesses receiving funds under the program concerning repayment. Establishes the Illinois 21st Century Workforce Development Fund Advisory Committee and provides its powers and duties. Provides how the funds shall be allocated among service delivery areas. Sets forth the powers and duties of the Employment Administrator. Provides what constitutes an eligible employer under the Act. Creates the Illinois 21st Century Workforce Development Fund. Provides that the Secretary of Human Services shall inform each applicant or recipient of the benefits of the program. Provides that the State of Illinois and other governmental units may employ unemployed or underemployed persons pursuant to this Act. Effective July 1, 2011.

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HB2927LRB097 08773 HLH 48903 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 Illinois Emergency Employment Development
5Act is amended by changing Sections 2, 3, 6, 7, 9 and by adding
6Sections 11, 12, 13, 14, 15, 16, 17, and 18 as follows:
7    (20 ILCS 630/2)  (from Ch. 48, par. 2402)
8    Sec. 2. For the purposes of this Act, the following words
9have the meanings ascribed to them in this Section.
10    (a) "Advisory Committee" means the 21st Century Workforce
11Development Fund Advisory Committee, established under the
1221st Century Workforce Development Fund Act.
13    (b) (a) "Coordinator" means the Illinois Emergency
14Employment Development Coordinator appointed under Section 3.
15    (c) "Department" means the Illinois Department of Commerce
16and Economic Opportunity.
17    (d) "Director" means the Director of Commerce and Economic
19    (e) (b) "Eligible business" means a for-profit business.
20    (f) (c) "Eligible employer" means an eligible nonprofit
21agency, or an eligible business.
22    (g) (d) "Eligible job applicant" means a person who:
23        A. (1) has been a resident of this State for at least



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1    one year; and (2) is unemployed; and (3) is not receiving
2    and is not qualified to receive unemployment compensation
3    or workers' compensation; and (4) is determined by the
4    employment administrator to be likely to be available for
5    employment by an eligible employer for the duration of the
6    job; or
7        B. is otherwise eligible for services under the Job
8    Training Partnership Act (29 USCA 1501 et seq.).
9    In addition, a farmer who resides in a county qualified
10under Federal Disaster Relief and who can demonstrate severe
11financial need may be considered unemployed under this
13    (h) (e) "Eligible nonprofit agency" means an organization
14exempt from taxation under the Internal Revenue Code of 1954,
15Section 501(c)(3).
16    (i) (f) "Employment administrator" means the
17administrative entity designated by the Coordinator, and
18approved by the Advisory Committee, to administer the
19provisions of this Act in each service delivery area. With
20approval of the Advisory Committee, the Coordinator may
21designate an administrative entity authorized under the
22Workforce Investment Act or private, public, or non-profit
23entities that have proven effectiveness in providing training,
24workforce development, and job placement services to
25low-income individuals Manager of the Department of Commerce
26and Economic Opportunity Job Training Programs Division or his



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1or her designee.
2    (j) (g) "Household" means a group of persons living at the
3same residence consisting of, at a maximum, spouses and the
4minor children of each.
5    (k) (h) "Program" means the Illinois Emergency Employment
6Development Program created by this Act consisting of temporary
7work relief projects in nonprofit agencies and new job creation
8in the private sector.
9    (l) (i) "Service Delivery Area" means that unit or units of
10local government designated by the Governor pursuant to Title
11I, Part A, Section 102 of the Job Training Partnership Act (29
12USCA et seq.).
13    (m) (j) "Excess unemployed" means the number of unemployed
14in excess of 6.5% of the service delivery area population.
15    (n) (k) "Private industry council" means governing body of
16each service delivery area created pursuant to Title I, Section
17102 of the Job Training Partnership Act (29 USC 1501 et seq.).
18    (o) "Service delivery area" means an area designated as a
19Local Workforce Investment Area by the State.
20    (p) "Workforce Investment Act" means the federal Workforce
21Investment Act of 1998, any amendments to that Act, and any
22other applicable federal statutes.
23(Source: P.A. 94-793, eff. 5-19-06.)
24    (20 ILCS 630/3)  (from Ch. 48, par. 2403)
25    Sec. 3. (a) The governor may appoint an Illinois Emergency



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1Employment Development Coordinator to administer the
2provisions of this Act. The coordinator shall be within the
3Department of Commerce and Economic Opportunity, but shall be
4responsible directly to the governor. The coordinator shall
5have the powers necessary to carry out the purpose of the
7    (b) The coordinator shall:
8        (1) recommend one or more Employment Administrators
9    for each service delivery area for approval by the Advisory
10    Committee, with recommendations based on the demonstrated
11    ability of the Employment Administrator to identify and
12    address local needs Coordinate the Program with other State
13    agencies;
14        (2) enter into a contract with one or more Employment
15    Administrators in each service delivery area Coordinate
16    administration of the program with the general assistance
17    program;
18        (3) assist the Employment Administrator in developing
19    a satisfactory plan if an Employment Administrator submits
20    one that does not conform to program requirements Set
21    policy regarding disbursement of program funds; and
22        (4) convene and provide staff support to the Advisory
23    Committee;
24        (5) coordinate the program with other State agencies
25    and services including public benefits and workforce
26    programs for unemployed individuals; and Perform general



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1    program marketing and monitoring functions.
2        (6) perform general program marketing and monitoring
3    functions.
4    (c) The coordinator shall administer the program within the
5Department of Commerce and Economic Opportunity. The Director
6of Commerce and Economic Opportunity shall provide
7administrative support services to the coordinator for the
8purposes of the program.
9    (d) The coordinator shall report to the Governor, the
10Advisory Committee, Illinois Job Training Coordinating Council
11and the General Assembly on a quarterly basis concerning (1)
12the number of persons employed under the program; (2) the
13number and type of employers under the program; (3) the amount
14of money spent in each service delivery area for wages for each
15type of employment and each type of other expenses; (4) the
16number of persons who have completed participation in the
17program and their current employment, educational or training
18status; and (5) any information requested by the General
19Assembly, the Advisory Committee, or governor or deemed
20pertinent by the coordinator; and (6) any identified violations
21of this Act and actions taken. Each report shall include
22cumulative information, as well as information for each
24    (e) Rules. The Director of Commerce and Economic
25Opportunity, with the advice of the coordinator, shall adopt
26rules for the administration and enforcement of this Act.



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1(Source: P.A. 96-995, eff. 1-1-11.)
2    (20 ILCS 630/6)  (from Ch. 48, par. 2406)
3    Sec. 6. Funds appropriated for the purposes of the program
4shall not exceed $10 million per fiscal year.
5    Funds appropriated for the purposes of the program may be
6used as follows:
7    (a) To provide a State contribution for wages and fringe
8benefits for eligible job applicants for a maximum of 1,040
9hours over a maximum period of 52 26 weeks per job applicant.
10For eligible job applicants participating in a job training
11program, the State contribution for wages may be used for a
12maximum period of 52 weeks per job applicant. The minimum
13allowable hourly wage for job applicants employed in this
14program shall not be below 120% of the current State minimum
15wage rate. At least 75% of the funds appropriated for the
16program must be used to pay wages and fringe benefits for
17eligible job applicants. State contribution amounts are as
19        (1) For for-profit business employers, the The State
20    contribution for wages shall be 50% of the minimum
21    allowable hourly wage wages up to a maximum of $4 per hour
22    for each eligible job applicant employed. The State
23    contribution for fringe benefits may be up to 25% of the
24    State wage contribution $1 per hour for each eligible job
25    applicant employed. The employer must match wages in an



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1    amount equal to or greater than the State contribution for
2    this program. Employers are responsible for the remaining
3    costs of any benefits provided and other employment related
4    costs. The However, the employer may use funds from other
5    sources to provide increased wages and benefits to the
6    applicants it employs. During the first fiscal year in
7    which the program is in effect, at least 75% of the funds
8    appropriated for the program must be used to pay wages for
9    eligible job applicants. During each subsequent fiscal
10    year in which the program is in effect, at least 85% of the
11    funds appropriated for the program must be used to pay
12    wages for eligible job applicants;
13        (2) For non-profit and government employers
14    participating in this program as part of a work-relief
15    project, the State contribution for wages shall be 75% of
16    the minimum allowable hourly wage for each eligible job
17    applicant employed. The State contribution for fringe
18    benefits may be up to 25% of the state wage contribution
19    per hour for each eligible job applicant employed. The
20    employer must match wages in an amount equal to or greater
21    than the State contribution for this program. The State
22    contribution may be used to provide workers' compensation
23    coverage to applicants employed by government or
24    non-profit agencies under this Act. Employers are
25    responsible for the remaining costs of any benefits. The
26    employer may use funds from other sources to provide



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1    increased wages and benefits to the applicants it employs.
2    (b) To provide child care services or subsidies or other
3supportive services necessary to maintain employment to
4applicants employed under the program;
5    (c) To provide workers' compensation coverage to
6applicants employed by nonprofit agencies under the program;
7    (d) To provide job search assistance, labor market
8orientation, job seeking and work readiness skills, and
9referral for other services;
10    (e) To purchase supplies and materials for projects
11creating permanent improvements to public property in an amount
12not to exceed one percent of the funds appropriated; and .
13    (f) To reimburse the Department in an amount not to exceed
141% of the funds appropriated for the actual cost of
15administering this Act, and to reimburse the Employment
16Administrators in an amount not to exceed 4.5% of the funds
17allocated to them for their actual cost of administering this
18Act. The Director and the Employment Administrators shall
19leverage funds from other sources to cover the administrative
20costs of this program whenever possible.
21    The Employment Administrator of each service delivery area
22shall submit to the Coordinator a spending plan establishing
23that funds allocated to the service delivery area will be used
24within one year after the effective date, in the manner
25required by this Act. Any funds allocated to a service delivery
26area for which there is no spending plan approved by the



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1Coordinator shall be returned to the Department and may be
2reallocated by the Coordinator to other Employment
4(Source: P.A. 84-792.)
5    (20 ILCS 630/7)  (from Ch. 48, par. 2407)
6    Sec. 7. (a) The Department of Employment Security Commerce
7and Economic Opportunity shall publicize the program and shall
8provide staff assistance as requested by employment
9administrators in the screening of businesses and the
10collection of data.
11    (b) The Director of Children and Family Services shall
12provide to each employment administrator lists of currently
13licensed local day care facilities, updated quarterly, to be
14available to all persons employed under the program.
15    (c) The Secretary of Human Services shall take all steps
16necessary to inform each applicant for public aid of the
17availability of the program.
18    (d) The Board of Higher Education and the Community College
19Board shall review their policies for post-secondary
20vocational education to ensure that the programs serve the
21training needs of economically disadvantaged persons.
22Education programs shall attempt to provide training that will
23help individuals to obtain and retain employment. The training
24may include customized short-term training, basic skills
25training, programs to develop work habits, and other services



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1designed for eligible job applicants and persons employed under
2this Act. Examples of education programs include, but are not
3limited to, adult vocational programs, adult basic or
4continuing education, area vocational-technical institutes,
5colleges, secondary education programs, and private and
6proprietary schools.
7(Source: P.A. 94-793, eff. 5-19-06.)
8    (20 ILCS 630/9)  (from Ch. 48, par. 2409)
9    Sec. 9. (a) Eligible businesses. A business employer is an
10eligible employer if it enters into a written contract, signed
11and subscribed to under oath, with the employment administrator
12for its service delivery area containing assurances that:
13    (1) funds received by a business shall be used only as
14permitted under the program;
15    (2) the business has submitted a plan to the employment
16administrator (1) describing the duties and proposed
17compensation of each employee proposed to be hired under the
18program; and (2) demonstrating that with the funds provided
19under the program the business is likely to succeed and
20continue to employ persons hired under the program;
21    (3) the business will use funds exclusively for
22compensation and fringe benefits of eligible job applicants and
23will provide employees hired with these funds with fringe
24benefits and other terms and conditions of employment
25comparable to those provided to other employees of the business



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1who do comparable work;
2    (4) the funds are necessary to allow the business to begin,
3or to employ additional people, but not to fill positions which
4would be filled even in the absence of funds from this program;
5    (5) the business will cooperate with the coordinator in
6collecting data to assess the result of the program; and
7    (6) the business is in compliance with all applicable
8affirmative action, fair labor, health, safety, and
9environmental standards.
10    (b) In allocating funds among eligible businesses, the
11employment administrator shall give priority to businesses
12which best satisfy the following criteria:
13    (1) have a high potential for growth and long-term job
15    (2) are labor intensive;
16    (3) make high use of local and State resources;
17    (4) are under ownership of women and minorities;
18    (5) have their primary places of business in the State; and
19    (6) intend to continue the employment of the eligible
20applicant for at least 6 months of unsubsidized employment.
21    (c) If the eligible employee remains employed for 6 months
22of unsubsidized employment, his employer may apply for a bonus
23equal to 1/6 of the subsidy provided to the employer for that
24employee under this Act.
25    (d) A business receiving funds under this program shall
26repay 70% of the amount received for each eligible job



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1applicant employed who does not continue in the employment of
2the business beyond the 6-month subsidized period. If the
3employee continues in the employment of the business for one
4year or longer after the 6-month subsidized period, the
5business need not repay any of the funds received for that
6employee's wages and fringe benefits. If the employee continues
7in the employment of the business for a period of less than one
8year after the expiration of the 6-month subsidized period, the
9business shall receive a proportional reduction in the amount
10it must repay. If an employer dismisses an employee for good
11cause and works in good faith with the Employment Administrator
12to employ and train another person referred by the Employment
13Administrator, the payback formula shall apply as if the
14original person had continued in employment. A repayment
15schedule shall be negotiated and agreed to by the Employment
16Administrator and the business prior to the disbursement of the
17funds and is subject to renegotiation. The Employment
18Administrator shall forward payments received under this
19subdivision to the Coordinator on a monthly basis. The
20Coordinator shall deposit these payments into the Illinois 21st
21Century Workforce Development Fund.
22(Source: P.A. 84-1399.)
23    (20 ILCS 630/11 new)
24    Sec. 11. Illinois 21st Century Workforce Development Fund
25Advisory Committee.



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1    (a) The 21st Century Workforce Development Fund Advisory
2Committee, established under the 21st Century Workforce
3Development Fund Act, shall provide oversight to the Illinois
4Emergency Employment Development program.
5    (b) The Advisory Committee shall meet at the call of the
6Coordinator to do the following:
7        (1) establish guidelines for the selection of
8    Employment Administrators;
9        (2) review recommendations of the Coordinator and
10    approve final selection of Employment Administrators;
11        (3) develop guidelines for the emergency employment
12    development plans to be created by each Employment
13    Administrator;
14        (4) review the emergency employment development plan
15    submitted by the Employment Administrator of each service
16    delivery area and approve satisfactory plans;
17        (5) set policy regarding disbursement of program
18    funds; and
19        (6) review program quarterly reports and made
20    recommendations for program improvements as needed.
21    (20 ILCS 630/12 new)
22    Sec. 12. Allocation of funds among service delivery areas.
23    (a) 90% of the funds available for allocation to employment
24administrators for the program must be allocated among service
25delivery areas as follows: each service delivery area shall be



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1eligible to receive that proportion of the funds available
2which equals the number of unemployed persons in the service
3delivery area divided by the total number of unemployed persons
4in the State for the 12-month period ending on the most recent
5March 31.
6    (b) 10% of the funds available for allocation to employment
7administrators under the program must be allocated at the
8discretion of the Advisory Committee to Employment
10        (1) who will maximize the use of the funds through
11    coordination with other programs and State, local, and
12    federal agencies, through the use of matching funds, or
13    through the involvement of low-income constituent groups;
14        (2)who have demonstrated need beyond the allocation
15    available under subsection (a); and
16        (3)who have demonstrated outstanding performance in
17    job creation.
18    (20 ILCS 630/13 new)
19    Sec. 13. Allocation within service delivery areas;
20priorities. Allocation of funds within a service delivery area
21shall be determined by the Employment Administrator in each
22service delivery area. The Employment Administrator shall give
23priority to job applicants who: (i) live in households with no
24other earned income source; (ii) have been unemployed for 6
25months or more; or (iii) who would otherwise be eligible to



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1receive Temporary Aid to Needy Families under Article IV of the
2Public Aid Code, Supplemental Nutrition Assistance Program, or
3general assistance under Article VI of the Illinois Public Aid
5    (20 ILCS 630/14 new)
6    Sec. 14. Employment Administrators; powers and duties.
7    (a) The Employment Administrator for each service delivery
8area has the powers and duties given in this Section and any
9additional duties given by the Coordinator.
10    (b) Each Employment Administrator shall develop an
11emergency employment development plan for its service delivery
12area under guidelines developed by the Advisory Committee and
13submit it to the Coordinator within the period allowed by the
14Coordinator. To the extent feasible, the Employment
15Administrator shall seek input from potential eligible
16employers and the public. The Employment administrator shall
17consult with local sources of information to identify current
18local needs, including, but not limited, to local Workforce
19Investment Boards, economic development councils, community
20action agencies, and local Labor Market Information from the
21Department of Employment Security.
22    (c) Each Employment Administrator shall publicize the
23program within its service delivery area to seek maximum
24participation by eligible job applicants and employers.
25    (d) Each Employment Administrator shall enter into



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1contracts with eligible employers setting forth the terms of
2their participation in the program as required by this Act.
3    (e) Each Employment Administrator shall screen job
4applicants and employers to achieve the best possible placement
5of eligible job applicants with eligible employers.
6    (f) Each Employment Administrator shall maintain a list of
7eligible job applicants unable to secure employment under the
8program at the time of application. The list shall prioritize
9eligible job applicants and shall be used to fill jobs with
10eligible employers as they become available. Each Employment
11Administrator shall receive and coordinate referrals from
12other local organizations.
13    (g) Each Employment Administrator shall cooperate with
14local educational and training institutions to coordinate and
15publicize the availability of their resources to assure that
16applicants may receive training needed before or while employed
17in jobs which are available under the program.
18    (h) Each Employment Administrator may disburse funds not to
19exceed 1% of the amount allocated to its service delivery area
20for the purchase of supplies and materials for projects
21creating permanent improvements to public property.
22    (20 ILCS 630/15 new)
23    Sec. 15. Eligible government and non-profit agency
24employment. A government or non-profit agency are eligible
25employers in this program. Both government and non-profit



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1agencies may participate in this program as part of temporary
2work relief projects that are determined by the Employment
3Administrator to have long-term benefit to or be needed by the
4community, including, but not limited to, jobs in permanent
5public improvement projects, residential or public building
6weatherization projects, reforestation projects, mine land
7reclamation projects, tree planting or trimming projects, soil
8conservation projects, natural resource development projects,
9and community social service programs such as child care and
10home health care programs. For job applicants placed in a work
11relief project, their placement will not be considered
12employment for the purposes of unemployment insurance.
13    (20 ILCS 630/16 new)
14    Sec. 16. Illinois 21st Century Workforce Development Fund.
15All payments from businesses pursuant to subsection (d) of
16Section 9 shall be deposited into the 21st Century Workforce
17Development Fund, and all amounts in the Fund shall be
18appropriated to the Department for the purpose of making
19disbursements pursuant to Section 12. Subject to
20appropriations, an amount equal to 1% of the most recent fiscal
21year's total development assistance, as defined in the
22Corporate Accountability for Tax Expenditures Act, shall be
23deposited into this Fund for the purposes of this program. An
24additional 0.25% of the same amount shall be deposited into the
25fund each quarter of the year that statewide unemployment rates



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1are above 8%.
2    (20 ILCS 630/17 new)
3    Sec. 17. Work incentive demonstration project.
4    (a) In order to maximize the opportunity for recipients of
5Temporary Assistance to Needy Families, Earnfare, Supplemental
6Nutrition Assistance Program, or other related public
7assistance to take full advantage of the jobs created by this
8Act, the Secretary of Human Services shall inform each
9applicant or recipient of benefits of the availability of this
11    (b) The Secretary of Human Services, the Coordinator, the
12Advisory Committee, and the Director of the Department of
13Corrections shall explore available resources to leverage in
14combination with the wage subsidies in this Act to develop a
15Transitional Jobs program. This Transitional Jobs program
16would prioritize services for individuals with limited
17experience in the labor market and barriers to employment,
18including but not limited to, recipients of Temporary
19Assistance to Needy Families, Supplemental Nutrition
20Assistance Program, or other related public assistance, and
21people with criminal records.
22    (20 ILCS 630/18 new)
23    Sec. 18. Unemployed or underemployed; employment by State
24and other governmental units.



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1    (a) The State of Illinois, its departments, agencies, and
2instrumentalities, and any unit of local government, school
3district, or other body corporate and politic may employ
4unemployed or underemployed persons as defined in the federal
5Emergency Employment Act of 1971, as amended, and Comprehensive
6Employment and Training Act of 1973, as amended, and eligible
7applicants under this Act pursuant to the terms of those Acts.
8    (b) The provisions of Illinois law relating to preference
9in employment and promotion of persons having served in the
10armed services, the provisions of any law, rule, or regulation,
11the provisions of any city charter, or any ordinance or
12resolution, or the provisions of any other law or statute in
13conflict with the provisions of the federal Emergency
14Employment Act of 1971, as amended, and Comprehensive
15Employment and Training Act of 1973, as amended, and eligible
16job applicants under this Act shall not be applicable to the
17employment of the persons specified in subsection (a) of this
19    Section 99. Effective date. This Act takes effect July 1,



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2 Statutes amended in order of appearance
3    20 ILCS 630/2from Ch. 48, par. 2402
4    20 ILCS 630/3from Ch. 48, par. 2403
5    20 ILCS 630/6from Ch. 48, par. 2406
6    20 ILCS 630/7from Ch. 48, par. 2407
7    20 ILCS 630/9from Ch. 48, par. 2409
8    20 ILCS 630/11 new
9    20 ILCS 630/12 new
10    20 ILCS 630/13 new
11    20 ILCS 630/14 new
12    20 ILCS 630/15 new
13    20 ILCS 630/16 new
14    20 ILCS 630/17 new
15    20 ILCS 630/18 new