State of Illinois
92nd General Assembly
Legislation

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[ Introduced ][ Engrossed ][ Senate Amendment 001 ]


92_HB5150sam002

 










                                           LRB9211713SMdvam02

 1                    AMENDMENT TO HOUSE BILL 5150

 2        AMENDMENT NO.     .  Amend House Bill 5150,  AS  AMENDED,
 3    by  replacing  everything  after the enacting clause with the
 4    following:

 5        "Section  5.  The Illinois State Collection Act  of  1986
 6    is amended by changing Section 8 as follows:

 7        (30 ILCS 210/8) (from Ch. 15, par. 158)
 8        Sec. 8.  Debt Collection Board.   There is created a Debt
 9    Collection  Board  consisting  of  the  Director  of  Central
10    Management  Services  as chairman, the State Comptroller, and
11    the Attorney General, or  their  respective  designees.   The
12    Board  shall  establish  a centralized collections service to
13    undertake further collection efforts on  delinquent  accounts
14    or  claims of the State which have not been collected through
15    the reasonable efforts  of  the  respective  State  agencies.
16    The  Board shall promulgate rules and regulations pursuant to
17    the Illinois Administrative Procedure Act with regard to  the
18    establishment   of   timetables   and   the   assumption   of
19    responsibility  for  agency accounts receivable that have not
20    been collected by the agency, are not subject  to  a  current
21    repayment  plan,  or have not been certified as uncollectible
22    as of the date specified by the Board.  The Board shall  make
 
                            -2-            LRB9211713SMdvam02
 1    a final evaluation of those accounts and either (i) direct or
 2    conduct further collection activities when further collection
 3    efforts  are  in  the  best economic interest of the State or
 4    (ii) in accordance with Section 2 of  the  Uncollected  State
 5    Claims Act, certify the receivable as uncollectible or submit
 6    the account to the Attorney General for that certification.
 7        The  Board  is  empowered  to adopt rules and regulations
 8    subject to the  provisions  of  the  Illinois  Administrative
 9    Procedure Act.
10        The  Board  is  empowered  to  enter  into  one  or  more
11    contracts  with  outside  private  vendors  with demonstrated
12    capabilities in  the  area  of  account  collection  for  the
13    collection of the delinquent accounts. The contracts shall be
14    let  on  the  basis  of  competitive  proposals  secured from
15    responsible proposers.  The Board may require that vendors be
16    prequalified.  All contracts shall provide for  a  contingent
17    fee  based  on the age, nature, amount and type of delinquent
18    account.  The Board may  adopt  a  reasonable  classification
19    schedule  for  the various receivables.  The contractor shall
20    remit the amount collected, net of the contingent fee, to the
21    respective State agency which shall deposit  the  net  amount
22    received  into  the fund that would have received the receipt
23    had it been collected by the State agency.  No portion of the
24    collections shall be deposited into  an  Accounts  Receivable
25    Fund  established  under  Section  6 of this Act.   The Board
26    shall act only upon the unanimous vote of its members.
27        After an account has been certified by the Board  or  the
28    Attorney  General  as  uncollectible  under this Section, the
29    State Comptroller may enter into one or more  contracts  with
30    private  collection  vendors  for  the  purpose of pursuing a
31    last-call collection effort to collect these debts. All  such
32    contracts shall provide for a contingent fee.
33    (Source: P.A. 89-511, eff. 1-1-97.)".

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