State of Illinois
91st General Assembly
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91_SB0807sam002

 










                                           LRB9106074MWgcam03

 1                    AMENDMENT TO SENATE BILL 807

 2        AMENDMENT NO.     .  Amend Senate Bill 807,  AS  AMENDED,
 3    by  replacing  everything  after the enacting clause with the
 4    following:

 5        "Section 5.  The Open Meetings Act is amended by changing
 6    Section 1.02 as follows:

 7        (5 ILCS 120/1.02) (from Ch. 102, par. 41.02)
 8        Sec. 1.02.  For the purposes of this Act:
 9        "Meeting" means any gathering of a majority of  a  quorum
10    of  the  members  commissioners of a public body held for the
11    purpose of discussing public business.
12        "Public  body"  includes  all   legislative,   executive,
13    administrative  or  advisory  bodies  of the State, counties,
14    townships,  cities,  villages,  incorporated  towns,   school
15    districts  and  all  other  municipal  corporations,  boards,
16    bureaus,  committees  or  commissions  of this State, and any
17    subsidiary bodies of any of the foregoing including  but  not
18    limited  to  committees and subcommittees which are supported
19    in whole or in part by  tax  revenue,  or  which  expend  tax
20    revenue,  except  the  General  Assembly  and  committees  or
21    commissions  thereof.   "Public body" includes tourism boards
22    and convention or civic center  boards  located  in  counties
 
                            -2-            LRB9106074MWgcam03
 1    that are contiguous to the Mississippi River with populations
 2    of  more  than  250,000 but less than 300,000.  "Public body"
 3    includes the Health Facilities Planning Board.  "Public body"
 4    does not include a child death review team established  under
 5    the  Child  Death  Review  Team  Act or an ethics commission,
 6    ethics officer, or ultimate jurisdictional  authority  acting
 7    under  the  State  Gift  Ban Act as provided by Section 80 of
 8    that Act.
 9    (Source: P.A. 90-517,  eff.  8-22-97;  90-737,  eff.  1-1-99;
10    revised 11-8-99.)

11        Section  10.   The  State  Gift  Ban  Act  is  amended by
12    changing Section 5 as follows:

13        (5 ILCS 425/5)
14        Sec. 5.  Definitions.  As used in this Act:
15        "Commission" means an ethics commission created  by  this
16    Act.
17        "Employee"    means   all   full-time,   part-time,   and
18    contractual employees, appointed and elected  officials,  and
19    directors of a governmental entity.
20        "Gift"   means  any  gratuity,  discount,  entertainment,
21    hospitality,  loan,  forbearance,  or   other   tangible   or
22    intangible  item  having  monetary  value  including, but not
23    limited to, cash, food and drink, and honoraria for  speaking
24    engagements   related   to   or  attributable  to  government
25    employment or the official position of an  employee,  member,
26    officer, or judge.
27        "Governmental   entity"   means   each   office,   board,
28    commission,   agency,   department,  authority,  institution,
29    university, body politic and corporate, administrative  unit,
30    and  corporate  outgrowth  of the executive, legislative, and
31    judicial branches of State government, whether created by the
32    Illinois Constitution, by or in accordance with  statute,  or
 
                            -3-            LRB9106074MWgcam03
 1    by  executive  order  of the Governor.  "Governmental entity"
 2    includes the Health Facilities Planning Board.
 3        "Judge" means judges and associate judges of the  Supreme
 4    Court, Appellate Courts, and Circuit Courts.
 5        "Member" means a member of the General Assembly.
 6        "Officer" means a State constitutional officer.
 7        "Political   organization"   means  a  party,  committee,
 8    association, fund, or  other  organization  (whether  or  not
 9    incorporated)   organized  and  operated  primarily  for  the
10    purpose of directly or indirectly accepting contributions  or
11    making expenditures, or both, for the function of influencing
12    or   attempting   to  influence  the  selection,  nomination,
13    election, or appointment of any individual  to  any  federal,
14    state,  or  local  public  office  or  office  in a political
15    organization,   or   the   election   of   Presidential    or
16    Vice-Presidential electors, whether or  not the individual or
17    electors are selected, nominated, elected, or appointed.  The
18    term  includes  the  making  of  expenditures  relating to an
19    office described in the preceding sentence that, if  incurred
20    by the individual, would be allowable as a federal income tax
21    deduction for trade or business expenses.
22        "Prohibited source" means any person or entity who:
23             (1)  is  seeking  official action (i) by the member,
24        officer, or judge or (ii) in the case of an employee,  by
25        the   employee   or   by   the  member,  officer,  judge,
26        governmental entity,  or  other  employee  directing  the
27        employee;
28             (2)  does  business or seeks to do business (i) with
29        the member, officer,  or judge or (ii) in the case of  an
30        employee,  with the employee or with the member, officer,
31        judge, governmental entity, or other  employee  directing
32        the employee;
33             (3)    conducts  activities  regulated  (i)  by  the
34        member, officer, or judge or  (ii)  in  the  case  of  an
 
                            -4-            LRB9106074MWgcam03
 1        employee,  by  the  employee  or  by the member, officer,
 2        judge, governmental entity, or other  employee  directing
 3        the employee;
 4             (4)    has   interests  that  may  be  substantially
 5        affected by the performance  or  non-performance  of  the
 6        official  duties  of  the  member,  officer, employee, or
 7        judge; or
 8             (5)  is registered or required to be registered with
 9        the Secretary of State under  the  Lobbyist  Registration
10        Act.
11        "Ultimate jurisdictional authority" means the following:
12             (1)  For   members,   partisan   staff,   and  their
13        secretaries,   the   appropriate   legislative    leader:
14        President  of  the Senate, Minority Leader of the Senate,
15        Speaker of the  House  of  Representatives,  or  Minority
16        Leader of the House of Representatives.
17             (2)  For  State employees who are professional staff
18        or employees of the Senate and  not  covered  under  item
19        (1), the Senate Operations Commission.
20             (3)  For  State employees who are professional staff
21        or employees of the  House  of  Representatives  and  not
22        covered  under  item  (1),  the  Speaker  of the House of
23        Representatives.
24             (4)  For State employees who are  employees  of  the
25        legislative   support   services   agencies,   the  Joint
26        Committee on Legislative Support Services.
27             (5)  For judges, the Chief Justice  of  the  Supreme
28        Court.
29             (6)  For State employees of the judicial branch, the
30        Administrative Office of the Illinois Courts.
31             (7)  For  State  employees  of  an  executive branch
32        constitutional officer, the appropriate executive  branch
33        constitutional officer.
34             (8)  For  State employees not under the jurisdiction
 
                            -5-            LRB9106074MWgcam03
 1        of paragraph (1), (2), (3), (4), (5), (6),  or  (7),  the
 2        Governor.
 3             (9)  For officers, the General Assembly.
 4    (Source: P.A. 90-737, eff. 1-1-99.)

 5        Section  15.  The Illinois Health Facilities Planning Act
 6    is amended by changing Sections 3, 4, and  5  and  by  adding
 7    Sections 4.1, 19.5, and 19.6 as follows:

 8        (20 ILCS 3960/3) (from Ch. 111 1/2, par. 1153)
 9        (Text of Section before amendment by P.A. 91-656)
10        Sec. 3.  As used in this Act:
11        "Health care facilities" means and includes the following
12    facilities and organizations:
13             1.  An ambulatory surgical treatment center required
14        to  be  licensed  pursuant  to  the  Ambulatory  Surgical
15        Treatment Center Act;
16             2.  An   institution,  place,  building,  or  agency
17        required  to  be  licensed  pursuant  to   the   Hospital
18        Licensing Act;
19             3.  Any institution required to be licensed pursuant
20        to the Nursing Home Care Act;
21             4.  Hospitals,  nursing  homes,  ambulatory surgical
22        treatment centers, or kidney  disease  treatment  centers
23        maintained  by  the  State  or  any  department or agency
24        thereof; and
25             5.  Kidney disease treatment  centers,  including  a
26        free-standing hemodialysis unit.
27        No  federally  owned  facility  shall  be  subject to the
28    provisions of  this  Act,  nor  facilities  used  solely  for
29    healing by prayer or spiritual means.
30        No  facility  licensed  under  the  Supportive Residences
31    Licensing Act shall be subject to the provisions of this Act.
32        A facility designated as  a  supportive  living  facility
 
                            -6-            LRB9106074MWgcam03
 1    that  is  in  good  standing  with  the demonstration project
 2    established under Section 5-5.01a of the Illinois Public  Aid
 3    Code shall not be subject to the provisions of this Act.
 4        This  Act  does  not  apply to facilities granted waivers
 5    under Section 3-102.2 of the Nursing Home Care Act.  However,
 6    if a demonstration project  under  that  Act  applies  for  a
 7    certificate  of  need  to  convert  to a nursing facility, it
 8    shall meet the licensure and certificate of need requirements
 9    in effect as of the date of application.
10        With  the  exception  of  those  health  care  facilities
11    specifically included in this Section, nothing  in  this  Act
12    shall be intended to include facilities operated as a part of
13    the  practice  of  a  physician or other licensed health care
14    professional, whether practicing in his  individual  capacity
15    or  within the legal structure of any partnership, medical or
16    professional  corporation,  or  unincorporated   medical   or
17    professional  group.  Further,  this  Act  shall not apply to
18    physicians  or  other  licensed  health  care  professional's
19    practices where such practices are carried out in  a  portion
20    of  a  health  care  facility under contract with such health
21    care facility by a physician or by other licensed health care
22    professionals, whether practicing in his individual  capacity
23    or  within the legal structure of any partnership, medical or
24    professional  corporation,  or  unincorporated   medical   or
25    professional groups.  This Act shall apply to construction or
26    modification   and  to  establishment  by  such  health  care
27    facility of such  contracted  portion  which  is  subject  to
28    facility  licensing  requirements,  irrespective of the party
29    responsible  for   such   action   or   attendant   financial
30    obligation.
31        "Person"  means  any  one  or more natural persons, legal
32    entities, governmental bodies  other  than  federal,  or  any
33    combination thereof.
34        "Consumer" means any person other than a person (a) whose
 
                            -7-            LRB9106074MWgcam03
 1    major   occupation   currently  involves  or  whose  official
 2    capacity  within  the  last  12  months  has   involved   the
 3    providing,  administering  or financing of any type of health
 4    care facility, (b) who is engaged in health research  or  the
 5    teaching of health, (c) who has a material financial interest
 6    in  any  activity which involves the providing, administering
 7    or financing of any type of health care facility, or (d)  who
 8    is  or  ever has been a member of the immediate family of the
 9    person defined by (a), (b), or (c).
10        "State Board" means the Health Facilities Planning Board.
11        "Construction or modification" means  the  establishment,
12    erection,      building,      alteration,     reconstruction,
13    modernization,   improvement,   extension,   discontinuation,
14    change of ownership, of or by a health care facility, or  the
15    purchase  or acquisition by or through a health care facility
16    of  equipment  or  service  for  diagnostic  or   therapeutic
17    purposes  or for facility administration or operation, or any
18    capital expenditure made by or on behalf  of  a  health  care
19    facility which exceeds the capital expenditure minimum.
20        "Establish"  means  the  construction  of  a  health care
21    facility or  the  replacement  of  an  existing  facility  on
22    another site.
23        "Major  medical  equipment" means medical equipment which
24    is used  for  the  provision  of  medical  and  other  health
25    services and which costs in excess of the capital expenditure
26    minimum,  except  that  such  term  does  not include medical
27    equipment acquired by or on behalf of a  clinical  laboratory
28    to  provide  clinical  laboratory  services  if  the clinical
29    laboratory is independent  of  a  physician's  office  and  a
30    hospital  and it has been determined under Title XVIII of the
31    Social Security Act to meet the  requirements  of  paragraphs
32    (10) and (11) of Section 1861(s) of such Act.  In determining
33    whether  medical  equipment  has  a  value  in  excess of the
34    capital expenditure minimum, the value of  studies,  surveys,
 
                            -8-            LRB9106074MWgcam03
 1    designs,  plans,  working drawings, specifications, and other
 2    activities essential to the  acquisition  of  such  equipment
 3    shall be included.
 4        "Capital  Expenditure" means an expenditure:  (A) made by
 5    or on behalf of a health care facility (as such a facility is
 6    defined in this Act); and (B) which under generally  accepted
 7    accounting  principles  is  not  properly  chargeable  as  an
 8    expense of operation and maintenance, or is made to obtain by
 9    lease  or comparable arrangement any facility or part thereof
10    or any equipment for a facility or part;  and  which  exceeds
11    the capital expenditure minimum.
12        For  the  purpose  of  this  paragraph,  the  cost of any
13    studies,   surveys,   designs,   plans,   working   drawings,
14    specifications,  and  other  activities  essential   to   the
15    acquisition,  improvement,  expansion,  or replacement of any
16    plant or equipment with respect to which  an  expenditure  is
17    made  shall  be  included  in determining if such expenditure
18    exceeds  the  capital  expenditures  minimum.  Donations   of
19    equipment  or  facilities  to a health care facility which if
20    acquired directly by such facility would be subject to review
21    under this Act shall be considered capital expenditures,  and
22    a  transfer  of  equipment  or  facilities for less than fair
23    market value shall be considered a  capital  expenditure  for
24    purposes  of  this  Act  if  a  transfer  of the equipment or
25    facilities at fair market value would be subject to review.
26        "Capital expenditure minimum" means $7,000,000 $1,000,000
27    for major medical equipment and $2,000,000 for  all  clinical
28    other  capital  expenditures, both of which shall be annually
29    adjusted to reflect the increase in construction costs due to
30    inflation.
31        "Non-clinical service area" means an area for the benefit
32    of patients, visitors, staff, or employees of the health care
33    facility that is  not  directly  related  to  the  diagnosis,
34    treatment,  or  rehabilitation  of persons receiving services
 
                            -9-            LRB9106074MWgcam03
 1    from the health care facility. "Non-clinical  service  areas"
 2    include,  but  are  not limited to, chapels; gift shops; news
 3    stands; tunnels, walkways, and elevators;  computer  systems;
 4    telephone systems; projects to comply with life safety codes;
 5    educational  facilities;  student housing; patient, employee,
 6    staff, and visitor dining areas; administration and volunteer
 7    offices; modernization of structural components (such as roof
 8    replacement and masonry work); boiler repair or  replacement;
 9    vehicle   maintenance   and   storage   facilities;   parking
10    facilities;  mechanical systems for heating, ventilation, and
11    air conditioning; loading docks; and repair or replacement of
12    carpeting,  tile,  wall  coverings,   window   coverings   or
13    treatments, or furniture.
14        "Areawide"  means a major area of the State delineated on
15    a geographic, demographic, and functional  basis  for  health
16    planning  and  for health service and having within it one or
17    more local areas for health planning and health service.  The
18    term "region", as contrasted with the term  "subregion",  and
19    the  word  "area"  may  be  used  synonymously  with the term
20    "areawide".
21        "Local" means a subarea of a delineated major  area  that
22    on  a  geographic,  demographic,  and functional basis may be
23    considered  to  be  part  of  such  major  area.   The   term
24    "subregion" may be used synonymously with the term "local".
25        "Areawide health planning organization" or "Comprehensive
26    health planning organization" means the health systems agency
27    designated  by  the Secretary, Department of Health and Human
28    Services or any successor agency.
29        "Local health planning organization"  means  those  local
30    health  planning organizations that are designated as such by
31    the areawide health planning organization of the  appropriate
32    area.
33        "Physician"  means  a  person  licensed  to  practice  in
34    accordance with the Medical Practice Act of 1987, as amended.
 
                            -10-           LRB9106074MWgcam03
 1        "Licensed   health  care  professional"  means  a  person
 2    licensed to practice  a  health  profession  under  pertinent
 3    licensing statutes of the State of Illinois.
 4        "Director" means the  Director of the Illinois Department
 5    of Public Health.
 6        "Agency" means the Illinois Department of Public Health.
 7        "Comprehensive  health  planning"  means  health planning
 8    concerned with  the  total  population  and  all  health  and
 9    associated  problems that affect the well-being of people and
10    that encompasses health services, health manpower, and health
11    facilities; and the coordination among these and  with  those
12    social,  economic,  and  environmental  factors  that  affect
13    health.
14        "Alternative  health  care  model"  means  a  facility or
15    program authorized under the Alternative Health Care Delivery
16    Act.
17    (Source: P.A. 89-499, eff.  6-28-96;  89-530,  eff.  7-19-96;
18    90-14, eff. 7-1-97.)

19        (Text of Section after amendment by P.A. 91-656)
20        Sec. 3.  As used in this Act:
21        "Health care facilities" means and includes the following
22    facilities and organizations:
23             1.  An ambulatory surgical treatment center required
24        to  be  licensed  pursuant  to  the  Ambulatory  Surgical
25        Treatment Center Act;
26             2.  An   institution,  place,  building,  or  agency
27        required  to  be  licensed  pursuant  to   the   Hospital
28        Licensing Act;
29             3.  Skilled   and   intermediate   long   term  care
30        facilities licensed under the Nursing Home Care Act;
31             4.  Hospitals, nursing  homes,  ambulatory  surgical
32        treatment  centers,  or  kidney disease treatment centers
33        maintained by the  State  or  any  department  or  agency
34        thereof; and
 
                            -11-           LRB9106074MWgcam03
 1             5.  Kidney  disease  treatment  centers, including a
 2        free-standing hemodialysis unit.
 3        No federally owned  facility  shall  be  subject  to  the
 4    provisions  of  this  Act,  nor  facilities  used  solely for
 5    healing by prayer or spiritual means.
 6        No facility  licensed  under  the  Supportive  Residences
 7    Licensing  Act  or the Assisted Living and Shared Housing Act
 8    shall be subject to the provisions of this Act.
 9        A facility designated as  a  supportive  living  facility
10    that  is  in  good  standing  with  the demonstration project
11    established under Section 5-5.01a of the Illinois Public  Aid
12    Code shall not be subject to the provisions of this Act.
13        This  Act  does  not  apply to facilities granted waivers
14    under Section 3-102.2 of the Nursing Home Care Act.  However,
15    if a demonstration project  under  that  Act  applies  for  a
16    certificate  of  need  to  convert  to a nursing facility, it
17    shall meet the licensure and certificate of need requirements
18    in effect as of the date of application.
19        This Act shall not apply to the closure of an entity or a
20    portion of an entity licensed under the Nursing Home Care Act
21    that elects to convert, in whole or in part, to  an  assisted
22    living  or  shared  housing  establishment licensed under the
23    Assisted Living and Shared Housing Establishment Act.
24        With  the  exception  of  those  health  care  facilities
25    specifically included in this Section, nothing  in  this  Act
26    shall be intended to include facilities operated as a part of
27    the  practice  of  a  physician or other licensed health care
28    professional, whether practicing in his  individual  capacity
29    or  within the legal structure of any partnership, medical or
30    professional  corporation,  or  unincorporated   medical   or
31    professional  group.  Further,  this  Act  shall not apply to
32    physicians  or  other  licensed  health  care  professional's
33    practices where such practices are carried out in  a  portion
34    of  a  health  care  facility under contract with such health
 
                            -12-           LRB9106074MWgcam03
 1    care facility by a physician or by other licensed health care
 2    professionals, whether practicing in his individual  capacity
 3    or  within the legal structure of any partnership, medical or
 4    professional  corporation,  or  unincorporated   medical   or
 5    professional groups.  This Act shall apply to construction or
 6    modification   and  to  establishment  by  such  health  care
 7    facility of such  contracted  portion  which  is  subject  to
 8    facility  licensing  requirements,  irrespective of the party
 9    responsible  for   such   action   or   attendant   financial
10    obligation.
11        "Person"  means  any  one  or more natural persons, legal
12    entities, governmental bodies  other  than  federal,  or  any
13    combination thereof.
14        "Consumer" means any person other than a person (a) whose
15    major   occupation   currently  involves  or  whose  official
16    capacity  within  the  last  12  months  has   involved   the
17    providing,  administering  or financing of any type of health
18    care facility, (b) who is engaged in health research  or  the
19    teaching of health, (c) who has a material financial interest
20    in  any  activity which involves the providing, administering
21    or financing of any type of health care facility, or (d)  who
22    is  or  ever has been a member of the immediate family of the
23    person defined by (a), (b), or (c).
24        "State Board" means the Health Facilities Planning Board.
25        "Construction or modification" means  the  establishment,
26    erection,      building,      alteration,     reconstruction,
27    modernization,   improvement,   extension,   discontinuation,
28    change of ownership, of or by a health care facility, or  the
29    purchase  or acquisition by or through a health care facility
30    of  equipment  or  service  for  diagnostic  or   therapeutic
31    purposes  or for facility administration or operation, or any
32    capital expenditure made by or on behalf  of  a  health  care
33    facility which exceeds the capital expenditure minimum.
34        "Establish"  means  the  construction  of  a  health care
 
                            -13-           LRB9106074MWgcam03
 1    facility or  the  replacement  of  an  existing  facility  on
 2    another site.
 3        "Major  medical  equipment" means medical equipment which
 4    is used  for  the  provision  of  medical  and  other  health
 5    services and which costs in excess of the capital expenditure
 6    minimum,  except  that  such  term  does  not include medical
 7    equipment acquired by or on behalf of a  clinical  laboratory
 8    to  provide  clinical  laboratory  services  if  the clinical
 9    laboratory is independent  of  a  physician's  office  and  a
10    hospital  and it has been determined under Title XVIII of the
11    Social Security Act to meet the  requirements  of  paragraphs
12    (10) and (11) of Section 1861(s) of such Act.  In determining
13    whether  medical  equipment  has  a  value  in  excess of the
14    capital expenditure minimum, the value of  studies,  surveys,
15    designs,  plans,  working drawings, specifications, and other
16    activities essential to the  acquisition  of  such  equipment
17    shall be included.
18        "Capital  Expenditure" means an expenditure:  (A) made by
19    or on behalf of a health care facility (as such a facility is
20    defined in this Act); and (B) which under generally  accepted
21    accounting  principles  is  not  properly  chargeable  as  an
22    expense of operation and maintenance, or is made to obtain by
23    lease  or comparable arrangement any facility or part thereof
24    or any equipment for a facility or part;  and  which  exceeds
25    the capital expenditure minimum.
26        For  the  purpose  of  this  paragraph,  the  cost of any
27    studies,   surveys,   designs,   plans,   working   drawings,
28    specifications,  and  other  activities  essential   to   the
29    acquisition,  improvement,  expansion,  or replacement of any
30    plant or equipment with respect to which  an  expenditure  is
31    made  shall  be  included  in determining if such expenditure
32    exceeds  the  capital  expenditures  minimum.  Donations   of
33    equipment  or  facilities  to a health care facility which if
34    acquired directly by such facility would be subject to review
 
                            -14-           LRB9106074MWgcam03
 1    under this Act shall be considered capital expenditures,  and
 2    a  transfer  of  equipment  or  facilities for less than fair
 3    market value shall be considered a  capital  expenditure  for
 4    purposes  of  this  Act  if  a  transfer  of the equipment or
 5    facilities at fair market value would be subject to review.
 6        "Capital expenditure minimum" means $7,000,000 $1,000,000
 7    for major medical equipment and $2,000,000 for  all  clinical
 8    other  capital  expenditures, both of which shall be annually
 9    adjusted to reflect the increase in construction costs due to
10    inflation.
11        "Non-clinical service area" means an area for the benefit
12    of patients, visitors, staff, or employees of the health care
13    facility that is  not  directly  related  to  the  diagnosis,
14    treatment,  or  rehabilitation  of persons receiving services
15    from the health care facility. "Non-clinical  service  areas"
16    include,  but  are  not limited to, chapels; gift shops; news
17    stands; tunnels, walkways, and elevators;  computer  systems;
18    telephone systems; projects to comply with life safety codes;
19    educational  facilities;  student housing; patient, employee,
20    staff, and visitor dining areas; administration and volunteer
21    offices; modernization of structural components (such as roof
22    replacement and masonry work); boiler repair or  replacement;
23    vehicle   maintenance   and   storage   facilities;   parking
24    facilities;  mechanical systems for heating, ventilation, and
25    air conditioning; loading docks; and repair or replacement of
26    carpeting,  tile,  wall  coverings,   window   coverings   or
27    treatments, or furniture.
28        "Areawide"  means a major area of the State delineated on
29    a geographic, demographic, and functional  basis  for  health
30    planning  and  for health service and having within it one or
31    more local areas for health planning and health service.  The
32    term "region", as contrasted with the term  "subregion",  and
33    the  word  "area"  may  be  used  synonymously  with the term
34    "areawide".
 
                            -15-           LRB9106074MWgcam03
 1        "Local" means a subarea of a delineated major  area  that
 2    on  a  geographic,  demographic,  and functional basis may be
 3    considered  to  be  part  of  such  major  area.   The   term
 4    "subregion" may be used synonymously with the term "local".
 5        "Areawide health planning organization" or "Comprehensive
 6    health planning organization" means the health systems agency
 7    designated  by  the Secretary, Department of Health and Human
 8    Services or any successor agency.
 9        "Local health planning organization"  means  those  local
10    health  planning organizations that are designated as such by
11    the areawide health planning organization of the  appropriate
12    area.
13        "Physician"  means  a  person  licensed  to  practice  in
14    accordance with the Medical Practice Act of 1987, as amended.
15        "Licensed   health  care  professional"  means  a  person
16    licensed to practice  a  health  profession  under  pertinent
17    licensing statutes of the State of Illinois.
18        "Director" means the  Director of the Illinois Department
19    of Public Health.
20        "Agency" means the Illinois Department of Public Health.
21        "Comprehensive  health  planning"  means  health planning
22    concerned with  the  total  population  and  all  health  and
23    associated  problems that affect the well-being of people and
24    that encompasses health services, health manpower, and health
25    facilities; and the coordination among these and  with  those
26    social,  economic,  and  environmental  factors  that  affect
27    health.
28        "Alternative  health  care  model"  means  a  facility or
29    program authorized under the Alternative Health Care Delivery
30    Act.
31    (Source: P.A. 90-14, eff. 7-1-97; 91-656, eff. 1-1-01.)

32        (20 ILCS 3960/4) (from Ch. 111 1/2, par. 1154)
33        Sec. 4.  There is created the Health Facilities  Planning
 
                            -16-           LRB9106074MWgcam03
 1    Board,  which  shall  perform  such  functions as hereinafter
 2    described in this Act.
 3        The State Board  shall  consist  of  15  voting  members,
 4    including:  8  consumer  members; one member representing the
 5    commercial health insurance industry in Illinois; one  member
 6    representing  proprietary  hospitals  in Illinois; one member
 7    who is actively engaged in the field of hospital  management;
 8    one   member  who  is  a  professional  nurse  registered  in
 9    Illinois; one member who is a  physician  in  active  private
10    practice  licensed in Illinois to practice medicine in all of
11    its branches; one member who is actively engaged in the field
12    of skilled nursing or intermediate care facility  management;
13    and  one member who is actively engaged in the administration
14    of an ambulatory surgical treatment center licensed under the
15    Ambulatory Surgical Treatment Center Act.
16        The State Board shall be appointed by the Governor,  with
17    the   advice  and  consent  of  the  Senate.  In  making  the
18    appointments,  the  Governor  shall  give  consideration   to
19    recommendations  made  by  (1) the professional organizations
20    concerned  with  hospital   management   for   the   hospital
21    management   appointment,   (2)   professional  organizations
22    concerned with long term care  facility  management  for  the
23    long   term   care   facility   management  appointment,  (3)
24    professional  medical   organizations   for   the   physician
25    appointment,  (4)  professional nursing organizations for the
26    nurse  appointment,  and   (5)   professional   organizations
27    concerned  with ambulatory surgical treatment centers for the
28    ambulatory surgical treatment center appointment,  and  shall
29    appoint   as   consumer  members  individuals  familiar  with
30    community health needs but whose interest in  the  operation,
31    construction  or  utilization  of  health care facilities are
32    derived  from  factors  other  than  those  related  to   his
33    profession, business, or economic gain, and who represent, so
34    far as possible, different geographic areas of the State. Not
 
                            -17-           LRB9106074MWgcam03
 1    more  than  8  of  the  appointments  shall  be  of  the same
 2    political party.
 3        The Secretary of Human Services, the Director  of  Public
 4    Aid,  and  the Director of Public Health, or their designated
 5    representatives,  shall  serve  as   ex-officio,   non-voting
 6    members of the State Board.
 7        Of  those  appointed  by  the Governor as voting members,
 8    each member  shall  hold  office  for  a  term  of  3  years:
 9    provided,  that  any  member  appointed  to  fill  a  vacancy
10    occurring  prior  to the expiration of the term for which his
11    predecessor  was  appointed  shall  be  appointed   for   the
12    remainder  of  such  term  and  the  term  of  office of each
13    successor shall commence on July 1 of the year in  which  his
14    predecessor's  term  expires. In making original appointments
15    to the State Board, the Governor shall appoint 5 members  for
16    a term of one year, 5 for a term of 2 years, and 3 for a term
17    of  3 years, and each of these terms of office shall commence
18    on July 1, 1974. The initial term of office for  the  members
19    appointed  under  this  amendatory Act of 1996 shall begin on
20    July 1, 1996 and shall last for 2 years, and each  subsequent
21    appointment  shall  be  for  a  term of 3 years.  Each member
22    shall hold  office  until  his  successor  is  appointed  and
23    qualified.
24        State  Board  members,  while  serving on business of the
25    State Board, shall receive actual and  necessary  travel  and
26    subsistence  expenses while so serving away from their places
27    of residence. In addition, while serving on business  of  the
28    State  Board,  each member shall receive compensation of $150
29    per day, except  that  such  compensation  shall  not  exceed
30    $7,500 in any one year for any member.
31        The  State  Board  shall provide for its own organization
32    and procedures, including the selection  of  a  Chairman  and
33    such  other  officers as deemed necessary. The Director, with
34    concurrence of the  State  Board,  shall  name  as  full-time
 
                            -18-           LRB9106074MWgcam03
 1    Executive Secretary of the State Board, a person qualified in
 2    health  care  facility  planning  and in administration.  The
 3    Agency shall provide administrative and staff support for the
 4    State Board.  The State Board shall advise  the  Director  of
 5    its  budgetary  and staff needs and consult with the Director
 6    on annual budget preparation.
 7        The State Board shall meet at least once each quarter, or
 8    as often as the Chairman of the State Board deems  necessary,
 9    or upon the request of a majority of the members.
10        Eight  members  of  the  State  Board  shall constitute a
11    quorum.  The affirmative vote of 8  of  the  members  of  the
12    State  Board  shall  be  necessary for any action requiring a
13    vote to be taken  by  the  State  Board.  A  vacancy  in  the
14    membership of the State Board shall not impair the right of a
15    quorum  to exercise all the rights and perform all the duties
16    of the State Board as provided by this Act.
17    (Source: P.A. 89-674, eff. 8-14-96; 90-14, eff. 7-1-97.)

18        (20 ILCS 3960/4.1 new)
19        Sec. 4.1. Ethics laws.
20        (a) All State Board meetings  are  subject  to  the  Open
21    Meetings Act.
22        (b) The State Board is subject to the State Gift Ban Act.

23        (20 ILCS 3960/5) (from Ch. 111 1/2, par. 1155)
24        Sec.  5.   After  effective dates set by the State Board,
25    no person shall construct, modify or establish a health  care
26    facility  or  acquire  major  medical equipment without first
27    obtaining a permit or exemption from  the  State  Board.  The
28    State  Board shall not delegate to the Executive Secretary of
29    the State Board or any other person or entity  the  authority
30    to   grant  permits  or  exemptions  whenever  the  Executive
31    Secretary or other person or  entity  would  be  required  to
32    exercise  any  discretion  affecting  the decision to grant a
 
                            -19-           LRB9106074MWgcam03
 1    permit or exemption.  The State  Board  shall  set  effective
 2    dates applicable to all or to each classification or category
 3    of  health care facilities and applicable to all or each type
 4    of transaction  for  which  a  permit  is  required.  Varying
 5    effective  dates  may  be set, providing the date or dates so
 6    set shall apply uniformly statewide.
 7        Notwithstanding any effective dates established  by  this
 8    Act  or  by  the  State Board, no person shall be required to
 9    obtain a permit for any purpose  under  this  Act  until  the
10    State  health facilities plan referred to in paragraph (4) of
11    Section 12 of this Act has been approved and adopted  by  the
12    State  Board  subsequent  to public hearings having been held
13    thereon.
14        A permit or exemption shall  be  obtained  prior  to  the
15    acquisition of major medical equipment or to the construction
16    or modification of a health care facility which:
17             (a)  requires  a total capital expenditure in excess
18        of the capital expenditure minimum; or
19             (b)  substantially changes the scope or changes  the
20        functional operation of the facility; or
21             (c)  changes  the  bed  capacity  of  a  health care
22        facility by increasing the total number  of  beds  or  by
23        distributing  beds among various categories of service or
24        by relocating beds from one physical facility or site  to
25        another  by  more  than 10 beds or more than 10% of total
26        bed capacity as defined by the State Board, whichever  is
27        less, over a 2 year period.
28        A permit shall be valid only for the defined construction
29    or  modifications,  site,  amount  and  person  named  in the
30    application for such permit and shall not be transferable  or
31    assignable.  A  permit  shall be valid until such time as the
32    project has been completed, provided that (a)  obligation  of
33    the project occurs within 12 months following issuance of the
34    permit except for major construction projects such obligation
 
                            -20-           LRB9106074MWgcam03
 1    must occur within 18 months following issuance of the permit;
 2    and (b) the project commences and proceeds to completion with
 3    due  diligence. Major construction projects, for the purposes
 4    of this Act, shall include but are not limited  to:  projects
 5    for  the construction of new buildings; additions to existing
 6    facilities; modernization projects whose cost is in excess of
 7    $1,000,000 or  10%  of  the  facilities'  operating  revenue,
 8    whichever is less; and such other projects as the State Board
 9    shall  define  and  prescribe pursuant to this Act. The State
10    Board may extend the obligation period upon a showing of good
11    cause by the permit holder.  Permits for projects  that  have
12    not  been  obligated  within the prescribed obligation period
13    shall expire on the last day of that period.
14        Persons who otherwise  would  be  required  to  obtain  a
15    permit  shall  be  exempt  from such requirement if the State
16    Board finds that with respect to establishing a new  facility
17    or   construction   of   new   buildings   or   additions  or
18    modifications  to  an  existing  facility,  final  plans  and
19    specifications for such work have prior to October  1,  1974,
20    been  submitted  to  and approved by the Department of Public
21    Health in accordance  with  the  requirements  of  applicable
22    laws.   Such exemptions shall be null and void after December
23    31, 1979 unless binding construction  contracts  were  signed
24    prior  to  December  1,  1979  and  unless  construction  has
25    commenced  prior to December 31, 1979.  Such exemptions shall
26    be valid until such time as the project  has  been  completed
27    provided  that  the  project  proceeds to completion with due
28    diligence.
29        The acquisition by any person of major medical  equipment
30    that  will  not  be  owned  by  or  located  in a health care
31    facility and that will not be used  to  provide  services  to
32    inpatients  of  a  health  care facility shall be exempt from
33    review provided that a notice is  filed  in  accordance  with
34    exemption requirements.
 
                            -21-           LRB9106074MWgcam03
 1        Notwithstanding  any  other  provision  of  this  Act, no
 2    permit or exemption  is  required  for  the  construction  or
 3    modification  of a non-clinical service area of a health care
 4    facility.
 5    (Source: P.A. 88-18.)

 6        (20 ILCS 3960/19.5 new)
 7        Sec. 19.5.  Audit.   Upon  the  effective  date  of  this
 8    amendatory  Act  of  the  91st  General Assembly, the Auditor
 9    General  must  commence  an  audit  of  the  State  Board  to
10    determine:
11             (1) whether the State Board can demonstrate that the
12        certificate of need process is successful in  controlling
13        health  care  costs,  allowing public access to necessary
14        health services, and  guaranteeing  the  availability  of
15        quality health care to the general public;
16             (2) whether the State Board is following its adopted
17        rules and procedures;
18             (3)   whether  the  State  Board  is  consistent  in
19        awarding and denying certificates of need; and
20             (4) whether the State Board's annual reports reflect
21        a cost savings to the State.
22        The Auditor General must report on  the  results  of  the
23    audit to the General Assembly upon completion.
24        This  Section  is repealed when the Auditor General files
25    his or her report with the General Assembly.

26        (20 ILCS 3960/19.6 new)
27        Sec. 19.6.  Repeal.  This Act  is  repealed  on  July  1,
28    2003.

29        Section  20.   The Illinois State Auditing Act is amended
30    by changing Section 3-1 as follows:
 
                            -22-           LRB9106074MWgcam03
 1        (30 ILCS 5/3-1) (from Ch. 15, par. 303-1)
 2        Sec. 3-1. Jurisdiction of Auditor  General.  The  Auditor
 3    General has jurisdiction over all State agencies to make post
 4    audits  and investigations authorized by or under this Act or
 5    the Constitution.
 6        The  Auditor  General   has   jurisdiction   over   local
 7    government agencies and private agencies only:
 8             (a)  to make such post audits authorized by or under
 9        this  Act as are necessary and incidental to a post audit
10        of a State agency or of a program administered by a State
11        agency involving public funds  of  the  State,  but  this
12        jurisdiction  does  not  include  any authority to review
13        local governmental agencies in the  obligation,  receipt,
14        expenditure  or use of public funds of the State that are
15        granted without limitation or condition imposed  by  law,
16        other than the general limitation that such funds be used
17        for public purposes;
18             (b)  to  make  investigations authorized by or under
19        this Act or the Constitution; and
20             (c)  to  make  audits  of  the  records   of   local
21        government   agencies   to   verify   actual   costs   of
22        state-mandated  programs  when  directed  to do so by the
23        Legislative Audit Commission at the request of the  State
24        Board of Appeals under the State Mandates Act.
25        In  addition  to  the  foregoing, the Auditor General may
26    conduct an audit of  the  Metropolitan  Pier  and  Exposition
27    Authority,   the   Regional   Transportation  Authority,  the
28    Suburban Bus Division, the Commuter  Rail  Division  and  the
29    Chicago  Transit  Authority  and any other subsidized carrier
30    when authorized by the Legislative  Audit  Commission.   Such
31    audit may be a financial, management or program audit, or any
32    combination thereof.
33        The  audit  shall determine whether they are operating in
34    accordance with all applicable laws and regulations.  Subject
 
                            -23-           LRB9106074MWgcam03
 1    to  the  limitations  of  this  Act,  the  Legislative  Audit
 2    Commission    may    by    resolution    specify   additional
 3    determinations to be included in the scope of the audit.
 4        The Auditor General  may  also  conduct  an  audit,  when
 5    authorized  by  the  Legislative  Audit  Commission,  of  any
 6    hospital  which  receives  10%  or more of its gross revenues
 7    from payments from  the  State  of  Illinois,  Department  of
 8    Public Aid, Medical Assistance Program.
 9        The  Auditor  General  is authorized to conduct financial
10    and compliance  audits  of  the  Illinois  Distance  Learning
11    Foundation and the Illinois Conservation Foundation.
12        As  soon  as  practical  after the effective date of this
13    amendatory Act of 1995, the Auditor General shall  conduct  a
14    compliance  and  management  audit of the City of Chicago and
15    any other entity with regard  to  the  operation  of  Chicago
16    O'Hare  International  Airport,  Chicago  Midway  Airport and
17    Merrill C. Meigs Field. The audit shall include, but  not  be
18    limited   to,  an  examination  of  revenues,  expenses,  and
19    transfers of funds; purchasing and contracting  policies  and
20    practices;   staffing   levels;   and  hiring  practices  and
21    procedures.  When  completed,  the  audit  required  by  this
22    paragraph shall be distributed  in  accordance  with  Section
23    3-14.
24        The   Auditor  General  shall  conduct  a  financial  and
25    compliance  and  program  audit  of  distributions  from  the
26    Municipal Economic Development Fund  during  the  immediately
27    preceding  calendar  year  pursuant to Section 8-403.1 of the
28    Public Utilities Act at no cost  to  the  city,  village,  or
29    incorporated town that received the distributions.
30        The  Auditor  General must conduct an audit of the Health
31    Facilities Planning Board pursuant to  Section  19.5  of  the
32    Illinois Health Facilities Planning Act.
33    (Source: P.A. 89-386, eff. 8-18-95; 90-813, eff. 1-29-99.)
 
                            -24-           LRB9106074MWgcam03
 1        Section  95.   No  acceleration or delay.  Where this Act
 2    makes changes in a statute that is represented in this Act by
 3    text that is not yet or no longer in effect (for  example,  a
 4    Section  represented  by  multiple versions), the use of that
 5    text does not accelerate or delay the taking  effect  of  (i)
 6    the  changes made by this Act or (ii) provisions derived from
 7    any other Public Act.

 8        Section 99.  Effective date.  This Act takes effect  upon
 9    becoming law.".

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