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91_HB4035 LRB9111975DJtm 1 AN ACT to amend the Illinois Public Aid Code by changing 2 Section 10-26. 3 Be it enacted by the People of the State of Illinois, 4 represented in the General Assembly: 5 Section 5. The Illinois Public Aid Code is amended by 6 changing Section 10-26 as follows. 7 (305 ILCS 5/10-26) 8 Sec. 10-26. State Disbursement Unit. 9 (a) Effective October 1, 1999 the Illinois Department 10 shall establish a State Disbursement Unit in accordance with 11 the requirements of Title IV-D of the Social Security Act. 12 The Illinois Department shall enter into an agreement with a 13 State or local governmental unit or private entity to perform 14 the functions of the State Disbursement Unit as set forth in 15 this Section. The State Disbursement Unit shall collect and 16 disburse support payments made under court and administrative 17 support orders: 18 (1) being enforced in cases in which child and 19 spouse support services are being provided under this 20 Article X; and 21 (2) in all cases in which child and spouse support 22 services are not being provided under this Article X and 23 in which support payments are made under the provisions 24 of the Income Withholding for Support Act. 25 (a-5) If the State Disbursement Unit receives a support 26 payment that was not appropriately made to the Unit under 27 this Section, the Unit shall immediately return the payment 28 to the sender, including, if possible, instructions detailing 29 where to send the support payments. 30 (b) All payments received by the State Disbursement 31 Unit: -2- LRB9111975DJtm 1 (1) shall be deposited into an account obtained by 2 the State or local governmental unit or private entity, 3 as the case may be, and 4 (2) distributed and disbursed by the State 5 Disbursement Unit, in accordance with the directions of 6 the Illinois Department, pursuant to Title IV-D of the 7 Social Security Act and rules promulgated by the 8 Department. 9 (c) All support payments assigned to the Illinois 10 Department under Article X of this Code and rules promulgated 11 by the Illinois Department that are disbursed to the Illinois 12 Department by the State Disbursement Unit shall be paid into 13 the Child Support Enforcement Trust Fund. 14 (d) If the agreement with the State or local 15 governmental unit or private entity provided for in this 16 Section is not in effect for any reason, the Department shall 17 perform the functions of the State Disbursement Unit as set 18 forth in this Section for a maximum of 12 months. 19 (e) By February 1, 2000, the Illinois Department shall 20 conduct at least 4 regional training and educational seminars 21 to educate the clerks of the circuit court on the general 22 operation of the State Disbursement Unit, the role of the 23 State Disbursement Unit, and the role of the clerks of the 24 circuit court in the collection and distribution of child 25 support payments. 26 (f) By March 1, 2000, the Illinois Department shall 27 conduct at least 4 regional educational and training seminars 28 to educate payors, as defined in the Income Withholding for 29 Support Act, on the general operation of the State 30 Disbursement Unit, the role of the State Disbursement Unit, 31 and the distribution of income withholding payments pursuant 32 to this Section and the Income Withholding for Support Act. 33 (g) If the State Disbursement Unit fails to disburse a 34 support payment to the person entitled to the payment within -3- LRB9111975DJtm 1 2 business days after the State Disbursement Unit receives 2 the payment, then that person is entitled to a civil penalty 3 payment in addition to the support payment. The amount of 4 the civil penalty payment shall be 2% of the amount of the 5 support payment that was not disbursed within 2 business 6 days. A person entitled to a civil penalty payment must 7 apply to the State Disbursement Unit for the payment. The 8 State Disbursement Unit shall determine whether an applicant 9 for a civil penalty payment is eligible for the payment and, 10 if the applicant is eligible, shall determine the amount of 11 the payment. A person is entitled to a civil penalty payment 12 under this subsection for each support payment that was not 13 disbursed to the person within 2 business days after its 14 receipt by the State Disbursement Unit. 15 (Source: P.A. 91-212, eff. 7-20-99; 91-677, eff. 1-5-00.) 16 Section 99. Effective date. This Act takes effect upon 17 becoming law.