Public Act 90-0009 of the 90th General Assembly
Public Act 90-0009
SB1101 Enrolled LRB9003523REmb
AN ACT in relation to implementation of the State fiscal
year 1998 budget, amending named Acts.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Illinois Administrative Procedure Act is
amended by changing Sections 1-5 and 5-45 as follows:
(5 ILCS 100/1-5) (from Ch. 127, par. 1001-5)
Sec. 1-5. Applicability.
(a) This Act applies to every agency as defined in this
Act. Beginning January 1, 1978, in case of conflict between
the provisions of this Act and the Act creating or conferring
power on an agency, this Act shall control. If, however, an
agency (or its predecessor in the case of an agency that has
been consolidated or reorganized) has existing procedures on
July 1, 1977, specifically for contested cases or licensing,
those existing provisions control, except that this exception
respecting contested cases and licensing does not apply if
the Act creating or conferring power on the agency adopts by
express reference the provisions of this Act. Where the Act
creating or conferring power on an agency establishes
administrative procedures not covered by this Act, those
procedures shall remain in effect.
(b) The provisions of this Act do not apply to (i)
preliminary hearings, investigations, or practices where no
final determinations affecting State funding are made by the
State Board of Education, (ii) legal opinions issued under
Section 2-3.7 of the School Code, (iii) as to State colleges
and universities, their disciplinary and grievance
proceedings, academic irregularity and capricious grading
proceedings, and admission standards and procedures, and (iv)
the class specifications for positions and individual
position descriptions prepared and maintained under the
Personnel Code. Those class specifications shall, however,
be made reasonably available to the public for inspection and
copying. The provisions of this Act do not apply to hearings
under Section 20 of the Uniform Disposition of Unclaimed
Property Act.
(c) Section 5-35 of this Act relating to procedures for
rulemaking does not apply to the following:
(1) Rules adopted by the Pollution Control Board
that, in accordance with Section 7.2 of the Environmental
Protection Act, are identical in substance to federal
regulations or amendments to those regulations
implementing the following: Sections 3001, 3002, 3003,
3004, 3005, and 9003 of the Solid Waste Disposal Act;
Section 105 of the Comprehensive Environmental Response,
Compensation, and Liability Act of 1980; Sections 307(b),
307(c), 307(d), 402(b)(8), and 402(b)(9) of the Federal
Water Pollution Control Act; and Sections 1412(b),
1414(c), 1417(a), 1421, and 1445(a) of the Safe Drinking
Water Act.
(2) Rules adopted by the Pollution Control Board
that establish or amend standards for the emission of
hydrocarbons and carbon monoxide from gasoline powered
motor vehicles subject to inspection under Section
13A-105 of the Vehicle Emissions Inspection Law and rules
adopted under Section 13B-20 of the Vehicle Emissions
Inspection Law of 1995.
(3) Procedural rules adopted by the Pollution
Control Board governing requests for exceptions under
Section 14.2 of the Environmental Protection Act.
(4) The Pollution Control Board's grant, pursuant
to an adjudicatory determination, of an adjusted standard
for persons who can justify an adjustment consistent with
subsection (a) of Section 27 of the Environmental
Protection Act.
(5) Rules adopted by the Pollution Control Board
that are identical in substance to the regulations
adopted by the Office of the State Fire Marshal under
clause (ii) of paragraph (b) of subsection (3) of Section
2 of the Gasoline Storage Act.
(d) Pay rates established under Section 8a of the
Personnel Code shall be amended or repealed pursuant to the
process set forth in Section 5-50 within 30 days after it
becomes necessary to do so due to a conflict between the
rates and the terms of a collective bargaining agreement
covering the compensation of an employee subject to that
Code.
(Source: P.A. 87-823; 88-533.)
(5 ILCS 100/5-45) (from Ch. 127, par. 1005-45)
Sec. 5-45. Emergency rulemaking.
(a) "Emergency" means the existence of any situation
that any agency finds reasonably constitutes a threat to the
public interest, safety, or welfare.
(b) If any agency finds that an emergency exists that
requires adoption of a rule upon fewer days than is required
by Section 5-40 and states in writing its reasons for that
finding, the agency may adopt an emergency rule without prior
notice or hearing upon filing a notice of emergency
rulemaking with the Secretary of State under Section 5-70.
The notice shall include the text of the emergency rule and
shall be published in the Illinois Register. Consent orders
or other court orders adopting settlements negotiated by an
agency may be adopted under this Section. Subject to
applicable constitutional or statutory provisions, an
emergency rule becomes effective immediately upon filing
under Section 5-65 or at a stated date less than 10 days
thereafter. The agency's finding and a statement of the
specific reasons for the finding shall be filed with the
rule. The agency shall take reasonable and appropriate
measures to make emergency rules known to the persons who may
be affected by them.
(c) An emergency rule may be effective for a period of
not longer than 150 days, but the agency's authority to adopt
an identical rule under Section 5-40 is not precluded. No
emergency rule may be adopted more than once in any 24 month
period, except that this limitation on the number of
emergency rules that may be adopted in a 24 month period does
not apply to (i) emergency rules that make additions to and
deletions from the Drug Manual under Section 5-5.16 of the
Illinois Public Aid Code or the generic drug formulary under
Section 3.14 of the Illinois Food, Drug and Cosmetic Act or
(ii) emergency rules adopted by the Pollution Control Board
before July 1, 1997 to implement portions of the Livestock
Management Facilities Act. Two or more emergency rules
having substantially the same purpose and effect shall be
deemed to be a single rule for purposes of this Section.
(d) In order to provide for the expeditious and timely
implementation of the State's fiscal year 1998 budget,
emergency rules to implement any provision of this amendatory
Act of 1997 or any other budget initiative for fiscal year
1998 may be adopted in accordance with this Section by the
agency charged with administering that provision or
initiative, except that the 24-month limitation on the
adoption of emergency rules and the provisions of Sections
5-115 and 5-125 do not apply to rules adopted under this
subsection (d). The adoption of emergency rules authorized
by this subsection (d) shall be deemed to be necessary for
the public interest, safety, and welfare.
(Source: P.A. 89-714, eff. 2-21-97.)
Section 10. The Narcotic Control Division Abolition Act
is amended by changing Section 7 as follows:
(20 ILCS 2620/7) (from Ch. 127, par. 55j)
Sec. 7. Expenditures; evidence; forfeited property.
(a) The Director and the inspectors appointed by him,
when authorized by the Director, may expend such sums as the
Director deems necessary in the purchase of controlled
substances and cannabis for evidence and in the employment of
persons to obtain evidence.
Such sums to be expended shall be advanced to the officer
who is to make such purchase or employment from funds
appropriated or made available by law for the support or use
of the Department on vouchers therefor signed by the
Director. The Director and such officers are authorized to
maintain one or more commercial checking accounts with any
State banking corporation or corporations organized under or
subject to the Illinois Banking Act for the deposit and
withdrawal of moneys to be used for the purchase of evidence
and for the employment of persons to obtain evidence;
provided that no check may be written on nor any withdrawal
made from any such account except on the written signatures
of 2 persons designated by the Director to write such checks
and make such withdrawals.
(b) The Director is authorized to maintain one or more
commercial bank accounts with any State banking corporation
or corporations organized under or subject to the Illinois
Banking Act, as now or hereafter amended, for the deposit or
withdrawal of (i) moneys forfeited to the Department,
including the proceeds of the sale of forfeited property, as
provided in Section 2 of the State Officers and Employees
Money Disposition Act, as now or hereafter amended, pending
disbursement to participating agencies and deposit of the
Department's share as provided in subsection (c), and (ii)
all moneys being held as evidence by the Department, pending
final court disposition; provided that no check may be
written on or any withdrawal made from any such account
except on the written signatures of 2 persons designated by
the Director to write such checks and make such withdrawals.
(c) All moneys received by the Illinois State Police as
their share of forfeited funds (including the proceeds of the
sale of forfeited property) received pursuant to the Drug
Asset Forfeiture Procedure Act, the Cannabis Control Act, the
Illinois Controlled Substances Act, the Environmental
Protection Act, or any other Illinois law shall be deposited
into the State Asset Forfeiture Fund, which is hereby created
as an interest-bearing special fund in the State treasury.
All moneys received by the Illinois State Police as their
share of forfeited funds (including the proceeds of the sale
of forfeited property) received pursuant to federal equitable
sharing transfers shall be deposited into the Federal Asset
Forfeiture Fund, which is hereby created as an
interest-bearing special fund in the State treasury.
The moneys deposited into the State Asset Forfeiture Fund
and the Federal Asset Forfeiture Fund shall be appropriated
to the Department of State Police and may be used by the
Illinois State Police in accordance with law.
(Source: P.A. 85-1291.)
Section 15. The State Finance Act is amended by adding
Sections 5.449, 5.450, 5.451, 5.452, and 11.5 as follows:
(30 ILCS 105/5.449 new)
Sec. 5.449. The Department of Corrections Education
Fund.
(30 ILCS 105/5.450 new)
Sec. 5.450. The Department of Corrections Reimbursement
Fund.
(30 ILCS 105/5.451 new)
Sec. 5.451. The State Asset Forfeiture Fund.
(30 ILCS 105/5.452 new)
Sec. 5.452. The Federal Asset Forfeiture Fund.
(30 ILCS 105/11.5 new)
Sec. 11.5. Agencies with procurement authority. If a
State agency with authority over a procurement or category of
procurements requires its written signature or written
approval on contracts subject to that authority, the agency
shall notify the State Comptroller in writing of this
requirement. After receiving that notice, the State
Comptroller shall neither file nor approve or issue a warrant
under an affected contract, whether written or oral and
regardless of the dollar amount involved, unless and until
the contract has been signed or approved in writing by the
agency with procurement authority.
(30 ILCS 105/6z-13 rep.)
Section 16. The State Finance Act is amended by
repealing Section 6z-13.
Section 20. The Illinois Pension Code is amended by
adding Section 15-158.3 as follows:
(40 ILCS 5/15-158.3 new)
Sec. 15-158.3. Reports on cost reduction; effect on
retirement at any age with 30 years of service.
(a) On or before November 15, 2001 and on or before
November 15th of each year thereafter, the Board shall have
the System's actuary prepare a report showing, on a fiscal
year by fiscal year basis, the actual rate of participation
in the optional retirement program authorized by Section
15-158.2, (i) by employees of the System's covered higher
educational institutions who were hired on or after the
implementation date of the optional retirement program and
(ii) by other System participants.
The actuary's report must also quantify the extent to
which employee optional retirement plan participation has
reduced the State's required contributions to the System,
expressed both in dollars and as a percentage of covered
payroll, in relation to what the State's contributions to the
System would have been (1) if the optional retirement program
had not been implemented, and (2) if 45% of employees of the
System's covered higher educational institutions who were
hired on or after the implementation date of the optional
retirement program had elected to participate in the optional
retirement program and 10% of other System participants had
transferred to the optional retirement program following its
implementation.
(b) On or before November 15th of 2001 and on or before
November 15th of each year thereafter, the Illinois Board of
Higher Education, in conjunction with the Bureau of the
Budget, shall prepare a report showing, on a fiscal year by
fiscal year basis, the amount by which the costs associated
with compensable sick leave have been reduced as a result of
the termination of compensable sick leave accrual on and
after January 1, 1998 by employees of higher education
institutions who are participants in the System.
(c) On or before November 15 of 2001 and on or before
November 15th of each year thereafter, the Department of
Central Management Services shall prepare a report showing,
on a fiscal year by fiscal year basis, the amount by which
the State's cost for health insurance coverage under the
State Employees Group Insurance Act of 1971 for retirees of
the State's universities and their survivors has declined as
a result of requiring some of those retirees and survivors to
contribute to the cost of their basic health insurance.
These year-by-year reductions in cost must be quantified both
in dollars and as a level percentage of payroll covered by
the System.
(d) The reports required under subsections (a), (b), and
(c) shall be disseminated to the Board, the Pension Laws
Commission, the Illinois Economic and Fiscal Commission, the
Illinois Board of Higher Education, and the Governor.
(e) The reports required under subsections (a), (b), and
(c) shall be taken into account by the Pension Laws
Commission in making any recommendation to extend by
legislation beyond December 31, 2002 the provision that
allows a System participant to retire at any age with 30 or
more years of service as authorized in Section 15-135. If
that provision is extended beyond December 31, 2002, and if
the most recent report under subsection (a) indicates that
actual State contributions to the System for the period
during which the optional retirement program has been in
operation have exceeded the projected State contributions
under the assumptions in clause (2) of subsection (a), then
any extension of the provision beyond December 31, 2002 must
require that the System's higher educational institutions and
agencies cover any funding deficiency through an annual
payment to the System out of appropriate resources of their
own.
Section 25. The School Code is amended by changing
Sections 13-44.4 and 18-8 as follows:
(105 ILCS 5/13-44.4) (from Ch. 122, par. 13-44.4)
Sec. 13-44.4. Department of Corrections Education Fund;
budget. An Educational Fund shall be established wherein
All moneys received from the Common School Fund, federal aid
and grants, vocational and educational funds and grants, and
gifts and grants by individuals, foundations and corporations
for educational purposes shall be deposited into the
Department of Corrections Education Fund, which is hereby
created as a special fund in the State Treasury. The
Department of Corrections Education Fund The Educational Fund
shall be kept separate from general funds and shall be held
by the State Treasurer as ex-officio custodian in a separate
fund, and shall be used, subject to appropriation, to pay the
expense of the schools and school district of the Department
of Corrections together with and supplemental to regular
appropriations to the Department for educational purposes,
including, but not limited to, the cost of teacher salaries,
supplies and materials, building upkeep and costs,
transportation, scholarships, non-academic salaries,
equipment and other school costs.
Beginning in 1972, the Board of Education shall, by
November 15, adopt an annual Educational Fund budget for the
use of education moneys for the next school year which it
deems necessary to defray all necessary expenses and
liabilities of the district to be assumed by the Fund, and in
such annual budget shall specify the objects and purposes of
each item and the amount needed for each object or purpose.
The budget shall contain a statement of cash on hand at the
beginning of the fiscal year, an estimate of the cash
expected to be received during such fiscal year from all
sources, an estimate of the expenditure contemplated for such
fiscal year, and a statement of the estimated cash expected
to be on hand at the end of such year. Prior to the adoption
of the annual educational budget, this the Educational Fund
budget shall be submitted to the Department of Corrections
and the State Board of Education for incorporation.
(Source: P.A. 86-1028.)
(105 ILCS 5/18-8) (from Ch. 122, par. 18-8)
Sec. 18-8. Basis for apportionment to districts,
laboratory schools and alternative schools.
A. The amounts to be apportioned shall be determined for
each educational service region by school districts, as
follows:
1. General Provisions.
(a) In the computation of the amounts to be apportioned,
the average daily attendance of all pupils in grades 9
through 12 shall be multiplied by 1.25. The average daily
attendance of all pupils in grades 7 and 8 shall be
multiplied by 1.05.
(b) The actual number of pupils in average daily
attendance shall be computed in a one-teacher school district
by dividing the total aggregate days of pupil attendance by
the actual number of days school is in session but not more
than 30 such pupils shall be accredited for such type of
district; and in districts of 2 or more teachers, or in
districts where records of attendance are kept by session
teachers, by taking the sum of the respective averages of the
units composing the group.
(c) Pupils in average daily attendance shall be computed
upon the average of the best 3 months of pupils attendance of
the current school year except as district claims may be
later amended as provided hereinafter in this Section.
However, for any school district maintaining grades
kindergarten through 12, the "average daily attendance" shall
be computed on the average of the best 3 months of pupils
attendance of the current year in grades kindergarten through
8, added together with the average of the best 3 months of
pupils attendance of the current year in grades 9 through 12,
except as district claims may be later amended as provided in
this Section. Days of attendance shall be kept by regular
calendar months, except any days of attendance in August
shall be added to the month of September and any days of
attendance in June shall be added to the month of May.
Except as otherwise provided in this Section, days of
attendance by pupils shall be counted only for sessions of
not less than 5 clock hours of school work per day under
direct supervision of: (i) teachers, or (ii) non-teaching
personnel or volunteer personnel when engaging in
non-teaching duties and supervising in those instances
specified in subsection (a) of Section 10-22.34 and paragraph
10 of Section 34-18, with pupils of legal school age and in
kindergarten and grades 1 through 12.
(d) Pupils regularly enrolled in a public school for
only a part of the school day may be counted on the basis of
1/6 day for every class hour of instruction of 40 minutes or
more attended pursuant to such enrollment.
(e) Days of attendance may be less than 5 clock hours on
the opening and closing of the school term, and upon the
first day of pupil attendance, if preceded by a day or days
utilized as an institute or teachers' workshop.
(f) A session of 4 or more clock hours may be counted as
a day of attendance upon certification by the regional
superintendent, and approved by the State Superintendent of
Education to the extent that the district has been forced to
use daily multiple sessions.
(g) A session of 3 or more clock hours may be counted as
a day of attendance (1) when the remainder of the school day
or at least 2 hours in the evening of that day is utilized
for an in-service training program for teachers, up to a
maximum of 5 days per school year of which a maximum of 4
days of such 5 days may be used for parent-teacher
conferences, provided a district conducts an in-service
training program for teachers which has been approved by the
State Superintendent of Education; or, in lieu of 4 such
days, 2 full days may be used, in which event each such day
may be counted as a day of attendance; and (2) when days in
addition to those provided in item (1) are scheduled by a
school pursuant to its school improvement plan adopted under
Article 34 or its revised or amended school improvement plan
adopted under Article 2, provided that (i) such sessions of 3
or more clock hours are scheduled to occur at regular
intervals, (ii) the remainder of the school days in which
such sessions occur are utilized for in-service training
programs or other staff development activities for teachers,
and (iii) a sufficient number of minutes of school work under
the direct supervision of teachers are added to the school
days between such regularly scheduled sessions to accumulate
not less than the number of minutes by which such sessions of
3 or more clock hours fall short of 5 clock hours. Any full
days used for the purposes of this paragraph shall not be
considered for computing average daily attendance. Days
scheduled for in-service training programs, staff development
activities, or parent-teacher conferences may be scheduled
separately for different grade levels and different
attendance centers of the district.
(h) A session of not less than one clock hour teaching
of hospitalized or homebound pupils on-site or by telephone
to the classroom may be counted as 1/2 day of attendance,
however these pupils must receive 4 or more clock hours of
instruction to be counted for a full day of attendance.
(i) A session of at least 4 clock hours may be counted
as a day of attendance for first grade pupils, and pupils in
full day kindergartens, and a session of 2 or more hours may
be counted as 1/2 day of attendance by pupils in
kindergartens which provide only 1/2 day of attendance.
(j) For children with disabilities who are below the age
of 6 years and who cannot attend two or more clock hours
because of their disability or immaturity, a session of not
less than one clock hour may be counted as 1/2 day of
attendance; however for such children whose educational needs
so require a session of 4 or more clock hours may be counted
as a full day of attendance.
(k) A recognized kindergarten which provides for only
1/2 day of attendance by each pupil shall not have more than
1/2 day of attendance counted in any 1 day. However,
kindergartens may count 2 1/2 days of attendance in any 5
consecutive school days. Where a pupil attends such a
kindergarten for 2 half days on any one school day, such
pupil shall have the following day as a day absent from
school, unless the school district obtains permission in
writing from the State Superintendent of Education.
Attendance at kindergartens which provide for a full day of
attendance by each pupil shall be counted the same as
attendance by first grade pupils. Only the first year of
attendance in one kindergarten shall be counted except in
case of children who entered the kindergarten in their fifth
year whose educational development requires a second year of
kindergarten as determined under the rules and regulations of
the State Board of Education.
(l) Days of attendance by tuition pupils shall be
accredited only to the districts that pay the tuition to a
recognized school.
(m) The greater of the immediately preceding year's
weighted average daily attendance or the average of the
weighted average daily attendance of the immediately
preceding year and the previous 2 years shall be used.
For any school year beginning July 1, 1986 or thereafter,
if the weighted average daily attendance in either grades
kindergarten through 8 or grades 9 through 12 of a district
as computed for the first calendar month of the current
school year exceeds by more than 5%, but not less than 25
pupils, the district's weighted average daily attendance for
the first calendar month of the immediately preceding year
in, respectively, grades kindergarten through 8 or grades 9
through 12, a supplementary payment shall be made to the
district equal to the difference in the amount of aid the
district would be paid under this Section using the weighted
average daily attendance in the district as computed for the
first calendar month of the current school year and the
amount of aid the district would be paid using the weighted
average daily attendance in the district for the first
calendar month of the immediately preceding year. Such
supplementary State aid payment shall be paid to the district
as provided in Section 18-8.4 and shall be treated as
separate from all other payments made pursuant to this
Section 18-8.
(n) The number of low income eligible pupils in a
district shall result in an increase in the weighted average
daily attendance calculated as follows: The number of low
income pupils shall increase the weighted ADA by .53 for each
student adjusted by dividing the percent of low income
eligible pupils in the district by the ratio of eligible low
income pupils in the State to the best 3 months' weighted
average daily attendance in the State. In no case may the
adjustment under this paragraph result in a greater weighting
than .625 for each eligible low income student. The number
of low income eligible pupils in a district shall be the
low-income eligible count from the most recently available
federal census and the weighted average daily attendance
shall be calculated in accordance with the other provisions
of this paragraph.
(o) Any school district which fails for any given school
year to maintain school as required by law, or to maintain a
recognized school is not eligible to file for such school
year any claim upon the common school fund. In case of
nonrecognition of one or more attendance centers in a school
district otherwise operating recognized schools, the claim of
the district shall be reduced in the proportion which the
average daily attendance in the attendance center or centers
bear to the average daily attendance in the school district.
A "recognized school" means any public school which meets the
standards as established for recognition by the State Board
of Education. A school district or attendance center not
having recognition status at the end of a school term is
entitled to receive State aid payments due upon a legal claim
which was filed while it was recognized.
(p) School district claims filed under this Section are
subject to Sections 18-9, 18-10 and 18-12, except as herein
otherwise provided.
(q) The State Board of Education shall secure from the
Department of Revenue the value as equalized or assessed by
the Department of Revenue of all taxable property of every
school district together with the applicable tax rate used in
extending taxes for the funds of the district as of September
30 of the previous year. The Department of Revenue shall add
to the equalized assessed value of all taxable property of
each school district situated entirely or partially within a
county with 2,000,000 or more inhabitants an amount equal to
the total amount by which the homestead exemptions allowed
under Sections 15-170 and 15-175 of the Property Tax Code for
real property situated in that school district exceeds the
total amount that would have been allowed in that school
district as homestead exemptions under those Sections if the
maximum reduction under Section 15-170 of the Property Tax
Code was $2,000 and the maximum reduction under Section
15-175 of the Property Tax Code was $3,500. The county clerk
of any county with 2,000,000 or more inhabitants shall
annually calculate and certify to the Department for each
school district all homestead exemption amounts required by
this amendatory Act of 1992. In a new district which has not
had any tax rates yet determined for extension of taxes, a
leveled uniform rate shall be computed from the latest amount
of the fund taxes extended on the several areas within such
new district.
(r) If a school district operates a full year school
under Section 10-19.1, the general state aid to the school
district shall be determined by the State Board of Education
in accordance with this Section as near as may be applicable.
2. New or recomputed claim. The general State aid
entitlement for a newly created school district or a district
which has annexed an entire school district shall be computed
using attendance, compensatory pupil counts, equalized
assessed valuation, and tax rate data which would have been
used had the district been in existence for 3 years. General
State aid entitlements shall not be recomputed except as
permitted herein.
3. Impaction. Impaction payments shall be made as
provided for in Section 18-4.2.
4. Summer school. Summer school payments shall be made
as provided in Section 18-4.3.
5. Computation of State aid. The State grant shall be
determined as follows:
(a) The State shall guarantee the amount of money that a
district's operating tax rate as limited in other Sections of
this Act would produce if every district maintaining grades
kindergarten through 12 had an equalized assessed valuation
equal to $74,791 per weighted ADA pupil; every district
maintaining grades kindergarten through 8 had an equalized
assessed valuation of $108,644 per weighted ADA pupil; and
every district maintaining grades 9 through 12 had an
equalized assessed valuation of $187,657 per weighted ADA
pupil. The State Board of Education shall adjust the
equalized assessed valuation amounts stated in this
paragraph, if necessary, to conform to the amount of the
appropriation approved for any fiscal year.
(b) The operating tax rate to be used shall consist of
all district taxes extended for all purposes except community
college educational purposes for the payment of tuition under
Section 6-1 of the Public Community College Act, Bond and
Interest, Summer School, Rent, Capital Improvement and
Vocational Education Building. Any district may elect to
exclude Transportation from the calculation of its operating
tax rate. Districts may include taxes extended for the
payment of principal and interest on bonds issued under the
provisions of Sections 17-2.11a and 20-2 at a rate of .05%
per year for each purpose or the actual rate extended,
whichever is less.
(c) For calculation of aid under this Act a district
shall use the combined authorized tax rates of all funds not
exempt in (b) above, not to exceed 2.76% of the value of all
its taxable property as equalized or assessed by the
Department of Revenue for districts maintaining grades
kindergarten through 12; 1.90% of the value of all its
taxable property as equalized or assessed by the Department
of Revenue for districts maintaining grades kindergarten
through 8 only; 1.10% of the value of all its taxable
property as equalized or assessed by the Department of
Revenue for districts maintaining grades 9 through 12 only.
A district may, however, as provided in Article 17, increase
its operating tax rate above the maximum rate provided in
this subsection without affecting the amount of State aid to
which it is entitled under this Act.
(d) (1) For districts maintaining grades kindergarten
through 12 with an operating tax rate as described in
subsections 5(b) and (c) of less than 2.18%, and districts
maintaining grades kindergarten through 8 with an operating
tax rate of less than 1.28%, State aid shall be computed by
multiplying the difference between the guaranteed equalized
assessed valuation per weighted ADA pupil in subsection 5(a)
and the equalized assessed valuation per weighted ADA pupil
in the district by the operating tax rate, multiplied by the
weighted average daily attendance of the district; provided,
however, that for the 1989-1990 school year only, a school
district maintaining grades kindergarten through 8 whose
operating tax rate with reference to which its general State
aid for the 1989-1990 school year is determined is less than
1.28% and more than 1.090%, and which had an operating tax
rate of 1.28% or more for the previous year, shall have its
general State aid computed according to the provisions of
subsection 5(d)(2).
(2) For districts maintaining grades kindergarten
through 12 with an operating tax rate as described in
subsection 5(b) and (c) of 2.18% and above, the State aid
shall be computed as provided in subsection (d) (1) but as
though the district had an operating tax rate of 2.76%; in
K-8 districts with an operating tax rate of 1.28% and above,
the State aid shall be computed as provided in subsection (d)
(1) but as though the district had an operating tax rate of
1.90%; and in 9-12 districts, the State aid shall be computed
by multiplying the difference between the guaranteed
equalized assessed valuation per weighted average daily
attendance pupil in subsection 5(a) and the equalized
assessed valuation per weighted average daily attendance
pupil in the district by the operating tax rate, not to
exceed 1.10%, multiplied by the weighted average daily
attendance of the district. State aid computed under the
provisions of this subsection (d) (2) shall be treated as
separate from all other payments made pursuant to this
Section. The State Comptroller and State Treasurer shall
transfer from the General Revenue Fund to the Common School
Fund the amounts necessary to permit these claims to be paid
in equal installments along with other State aid payments
remaining to be made for the 1983-1984 school year under this
Section.
(3) For any school district whose 1995 equalized
assessed valuation is at least 6% less than its 1994
equalized assessed valuation as the result of a reduction in
the equalized assessed valuation of the taxable property
within such district of any one taxpayer whose taxable
property within the district has a 1994 equalized assessed
valuation constituting at least 20% of the 1994 equalized
assessed valuation of all taxable property within the
district, the 1996-97 State aid of such district shall be
computed using its 1995 equalized assessed valuation.
(4) For any school district whose 1988 equalized
assessed valuation is 55% or less of its 1981 equalized
assessed valuation, the 1990-91 State aid of such district
shall be computed by multiplying the 1988 equalized assessed
valuation by a factor of .8. Any such school district which
is reorganized effective for the 1991-92 school year shall
use the formula provided in this subparagraph for purposes of
the calculation made pursuant to subsection (m) of this
Section.
(e) The amount of State aid shall be computed under the
provisions of subsections 5(a) through 5(d) provided the
equalized assessed valuation per weighted ADA pupil is less
than .87 of the amounts in subsection 5(a). If the equalized
assessed valuation per weighted ADA pupil is equal to or
greater than .87 of the amounts in subsection 5(a), the State
aid shall be computed under the provisions of subsection
5(f).
(f) If the equalized assessed valuation per weighted ADA
pupil is equal to or greater than .87 of the amounts in
subsection 5(a), the State aid per weighted ADA pupil shall
be computed by multiplying the product of .13 times the
maximum per pupil amount computed under the provisions of
subsections 5(a) through 5(d) by an amount equal to the
quotient of .87 times the equalized assessed valuation per
weighted ADA pupil in subsection 5(a) for that type of
district divided by the district equalized valuation per
weighted ADA pupil except in no case shall the district
receive State aid per weighted ADA pupil of less than .07
times the maximum per pupil amount computed under the
provisions of subsections 5(a) through 5(d).
(g) In addition to the above grants, summer school
grants shall be made based upon the calculation as provided
in subsection 4 of this Section.
(h) The board of any district receiving any of the
grants provided for in this Section may apply those funds to
any fund so received for which that board is authorized to
make expenditures by law.
(i) (1) (a) In school districts with an average daily
attendance of 50,000 or more, the amount which is provided
under subsection 1(n) of this Section by the application of a
base Chapter 1 weighting factor of .375 shall be distributed
to the attendance centers within the district in proportion
to the number of pupils enrolled at each attendance center
who are eligible to receive free or reduced-price lunches or
breakfasts under the federal Child Nutrition Act of 1966 and
under the National School Lunch Act during the immediately
preceding school year. The amount of State aid provided
under subsection 1(n) of this Section by the application of
the Chapter 1 weighting factor in excess of .375 shall be
distributed to the attendance centers within the district in
proportion to the total enrollment at each attendance center.
Beginning with school year 1989-90, and each school year
thereafter, all funds provided under subsection 1 (n) of this
Section by the application of the Chapter 1 weighting factor
which are in excess of the level of non-targeted Chapter 1
funds in school year 1988-89 shall be distributed to
attendance centers, and only to attendance centers, within
the district in proportion to the number of pupils enrolled
at each attendance center who are eligible to receive free or
reduced price lunches or breakfasts under the Federal Child
Nutrition Act and under the National School Lunch Act during
the immediately preceding school year. Beginning in school
year 1989-90, 25% of the previously non-targeted Chapter 1
funds as established for school year 1988-89 shall also be
distributed to the attendance centers, and only to attendance
centers, in the district in proportion to the number of
pupils enrolled at each attendance center who are eligible to
receive free or reduced price lunches or breakfasts under the
Federal Child Nutrition Act and under the National School
Lunch Act during the immediately preceding school year; in
school year 1990-91, 50% of the previously non-targeted
Chapter 1 funds as established for school year 1988-89 shall
be distributed to attendance centers, and only to attendance
centers, in the district in proportion to the number of
pupils enrolled at each attendance center who are eligible to
receive such free or reduced price lunches or breakfasts
during the immediately preceding school year; in school year
1991-92, 75% of the previously non-targeted Chapter 1 funds
as established for school year 1988-89 shall be distributed
to attendance centers, and only to attendance centers, in the
district in proportion to the number of pupils enrolled at
each attendance center who are eligible to receive such free
or reduced price lunches or breakfasts during the immediately
preceding school year; in school year 1992-93 and thereafter,
all funds provided under subsection 1 (n) of this Section by
the application of the Chapter 1 weighting factor shall be
distributed to attendance centers, and only to attendance
centers, in the district in proportion to the number of
pupils enrolled at each attendance center who are eligible to
receive free or reduced price lunches or breakfasts under the
Federal Child Nutrition Act and under the National School
Lunch Act during the immediately preceding school year;
provided, however, that the distribution formula in effect
beginning with school year 1989-90 shall not be applicable to
such portion of State aid provided under subsection 1 (n) of
this Section by the application of the Chapter 1 weighting
formula as is set aside and appropriated by the school
district for the purpose of providing desegregation programs
and related transportation to students (which portion shall
not exceed 5% of the total amount of State aid which is
provided under subsection 1 (n) of this Section by
application of the Chapter 1 weighting formula), and the
relevant percentages shall be applied to the remaining
portion of such State aid. The distribution of these
portions of general State aid among attendance centers
according to these requirements shall not be compensated for
or contravened by adjustments of the total of other funds
appropriated to any attendance centers. (b) The Board of
Education shall utilize funding from one or several sources
in order to fully implement this provision annually prior to
the opening of school. The Board of Education shall apply
savings from reduced administrative costs required under
Section 34-43.1 and growth in non-Chapter 1 State and local
funds to assure that all attendance centers receive funding
to replace losses due to redistribution of Chapter 1 funding.
The distribution formula and funding to replace losses due to
the distribution formula shall occur, in full, using any and
all sources available, including, if necessary, revenue from
administrative reductions beyond those required in Section
34-43.1, in order to provide the necessary funds. (c) Each
attendance center shall be provided by the school district a
distribution of noncategorical funds and other categorical
funds to which an attendance center is entitled under law in
order that the State aid provided by application of the
Chapter 1 weighting factor and required to be distributed
among attendance centers according to the requirements of
this paragraph supplements rather than supplants the
noncategorical funds and other categorical funds provided by
the school district to the attendance centers.
Notwithstanding the foregoing provisions of this subsection
5(i)(1) or any other law to the contrary, beginning with the
1995-1996 school year and for each school year thereafter,
the board of a school district to which the provisions of
this subsection apply shall be required to allocate or
provide to attendance centers of the district in any such
school year, from the State aid provided for the district
under this Section by application of the Chapter 1 weighting
factor, an aggregate amount of not less than $261,000,000 of
State Chapter 1 funds. Any State Chapter 1 funds that by
reason of the provisions of this paragraph are not required
to be allocated and provided to attendance centers may be
used and appropriated by the board of the district for any
lawful school purpose. Chapter 1 funds received by an
attendance center (except those funds set aside for
desegregation programs and related transportation to
students) shall be used on the schedule cited in this Section
at the attendance center at the discretion of the principal
and local school council for programs to improve educational
opportunities at qualifying schools through the following
programs and services: early childhood education, reduced
class size or improved adult to student classroom ratio,
enrichment programs, remedial assistance, attendance
improvement and other educationally beneficial expenditures
which supplement the regular and basic programs as determined
by the State Board of Education. Chapter 1 funds shall not
be expended for any political or lobbying purposes as defined
by board rule. (d) Each district subject to the provisions of
this paragraph shall submit an acceptable plan to meet the
educational needs of disadvantaged children, in compliance
with the requirements of this paragraph, to the State Board
of Education prior to July 15 of each year. This plan shall
be consistent with the decisions of local school councils
concerning the school expenditure plans developed in
accordance with part 4 of Section 34-2.3. The State Board
shall approve or reject the plan within 60 days after its
submission. If the plan is rejected the district shall give
written notice of intent to modify the plan within 15 days of
the notification of rejection and then submit a modified plan
within 30 days after the date of the written notice of intent
to modify. Districts may amend approved plans pursuant to
rules promulgated by the State Board of Education.
Upon notification by the State Board of Education that
the district has not submitted a plan prior to July 15 or a
modified plan within the time period specified herein, the
State aid funds affected by said plan or modified plan shall
be withheld by the State Board of Education until a plan or
modified plan is submitted.
If the district fails to distribute State aid to
attendance centers in accordance with an approved plan, the
plan for the following year shall allocate funds, in addition
to the funds otherwise required by this subparagraph, to
those attendance centers which were underfunded during the
previous year in amounts equal to such underfunding.
For purposes of determining compliance with this
subsection in relation to Chapter 1 expenditures, each
district subject to the provisions of this subsection shall
submit as a separate document by December 1 of each year a
report of Chapter 1 expenditure data for the prior year in
addition to any modification of its current plan. If it is
determined that there has been a failure to comply with the
expenditure provisions of this subsection regarding
contravention or supplanting, the State Superintendent of
Education shall, within 60 days of receipt of the report,
notify the district and any affected local school council.
The district shall within 45 days of receipt of that
notification inform the State Superintendent of Education of
the remedial or corrective action to be taken, whether by
amendment of the current plan, if feasible, or by adjustment
in the plan for the following year. Failure to provide the
expenditure report or the notification of remedial or
corrective action in a timely manner shall result in a
withholding of the affected funds.
The State Board of Education shall promulgate rules and
regulations to implement the provisions of this subsection
5(i)(1). No funds shall be released under subsection 1(n) of
this Section or under this subsection 5(i)(1) to any district
which has not submitted a plan which has been approved by the
State Board of Education.
(2) School districts with an average daily attendance of
more than 1,000 and less than 50,000 and having a low income
pupil weighting factor in excess of .53 shall submit a plan
to the State Board of Education prior to October 30 of each
year for the use of the funds resulting from the application
of subsection 1(n) of this Section for the improvement of
instruction in which priority is given to meeting the
education needs of disadvantaged children. Such plan shall
be submitted in accordance with rules and regulations
promulgated by the State Board of Education.
(j) For the purposes of calculating State aid under this
Section, with respect to any part of a school district within
a redevelopment project area in respect to which a
municipality has adopted tax increment allocation financing
pursuant to the Tax Increment Allocation Redevelopment Act,
Sections 11-74.4-1 through 11-74.4-11 of the Illinois
Municipal Code or the Industrial Jobs Recovery Law, Sections
11-74.6-1 through 11-74.6-50 of the Illinois Municipal Code,
no part of the current equalized assessed valuation of real
property located in any such project area which is
attributable to an increase above the total initial equalized
assessed valuation of such property shall be used in
computing the equalized assessed valuation per weighted ADA
pupil in the district, until such time as all redevelopment
project costs have been paid, as provided in Section
11-74.4-8 of the Tax Increment Allocation Redevelopment Act
or in Section 11-74.6-35 of the Industrial Jobs Recovery Law.
For the purpose of computing the equalized assessed valuation
per weighted ADA pupil in the district the total initial
equalized assessed valuation or the current equalized
assessed valuation, whichever is lower, shall be used until
such time as all redevelopment project costs have been paid.
(k) For a school district operating under the financial
supervision of an Authority created under Article 34A, the
State aid otherwise payable to that district under this
Section, other than State aid attributable to Chapter 1
students, shall be reduced by an amount equal to the budget
for the operations of the Authority as certified by the
Authority to the State Board of Education, and an amount
equal to such reduction shall be paid to the Authority
created for such district for its operating expenses in the
manner provided in Section 18-11. The remainder of State
school aid for any such district shall be paid in accordance
with Article 34A when that Article provides for a disposition
other than that provided by this Article.
(l) For purposes of calculating State aid under this
Section, the equalized assessed valuation for a school
district used to compute State aid shall be determined by
adding to the real property equalized assessed valuation for
the district an amount computed by dividing the amount of
money received by the district under the provisions of "An
Act in relation to the abolition of ad valorem personal
property tax and the replacement of revenues lost thereby",
certified August 14, 1979, by the total tax rate for the
district. For purposes of this subsection 1976 tax rates
shall be used for school districts in the county of Cook and
1977 tax rates shall be used for school districts in all
other counties.
(m) (1) For a new school district formed by combining
property included totally within 2 or more previously
existing school districts, for its first year of existence or
if the new district was formed after October 31, 1982 and
prior to September 23, 1985, for the year immediately
following September 23, 1985, the State aid calculated under
this Section shall be computed for the new district and for
the previously existing districts for which property is
totally included within the new district. If the computation
on the basis of the previously existing districts is greater,
a supplementary payment equal to the difference shall be made
for the first 3 years of existence of the new district or if
the new district was formed after October 31, 1982 and prior
to September 23, 1985, for the 3 years immediately following
September 23, 1985.
(2) For a school district which annexes all of the
territory of one or more entire other school districts, for
the first year during which the change of boundaries
attributable to such annexation becomes effective for all
purposes as determined under Section 7-9 or 7A-8, the State
aid calculated under this Section shall be computed for the
annexing district as constituted after the annexation and for
the annexing and each annexed district as constituted prior
to the annexation; and if the computation on the basis of the
annexing and annexed districts as constituted prior to the
annexation is greater, a supplementary payment equal to the
difference shall be made for the first 3 years of existence
of the annexing school district as constituted upon such
annexation.
(3) For 2 or more school districts which annex all of
the territory of one or more entire other school districts,
and for 2 or more community unit districts which result upon
the division (pursuant to petition under Section 11A-2) of
one or more other unit school districts into 2 or more parts
and which together include all of the parts into which such
other unit school district or districts are so divided, for
the first year during which the change of boundaries
attributable to such annexation or division becomes effective
for all purposes as determined under Section 7-9 or 11A-10,
as the case may be, the State aid calculated under this
Section shall be computed for each annexing or resulting
district as constituted after the annexation or division and
for each annexing and annexed district, or for each resulting
and divided district, as constituted prior to the annexation
or division; and if the aggregate of the State aid as so
computed for the annexing or resulting districts as
constituted after the annexation or division is less than the
aggregate of the State aid as so computed for the annexing
and annexed districts, or for the resulting and divided
districts, as constituted prior to the annexation or
division, then a supplementary payment equal to the
difference shall be made and allocated between or among the
annexing or resulting districts, as constituted upon such
annexation or division, for the first 3 years of their
existence. The total difference payment shall be allocated
between or among the annexing or resulting districts in the
same ratio as the pupil enrollment from that portion of the
annexed or divided district or districts which is annexed to
or included in each such annexing or resulting district bears
to the total pupil enrollment from the entire annexed or
divided district or districts, as such pupil enrollment is
determined for the school year last ending prior to the date
when the change of boundaries attributable to the annexation
or division becomes effective for all purposes. The amount
of the total difference payment and the amount thereof to be
allocated to the annexing or resulting districts shall be
computed by the State Board of Education on the basis of
pupil enrollment and other data which shall be certified to
the State Board of Education, on forms which it shall provide
for that purpose, by the regional superintendent of schools
for each educational service region in which the annexing and
annexed districts, or resulting and divided districts are
located.
(4) If a unit school district annexes all the territory
of another unit school district effective for all purposes
pursuant to Section 7-9 on July 1, 1988, and if part of the
annexed territory is detached within 90 days after July 1,
1988, then the detachment shall be disregarded in computing
the supplementary State aid payments under this paragraph (m)
for the entire 3 year period and the supplementary State aid
payments shall not be diminished because of the detachment.
(5) Any supplementary State aid payment made under this
paragraph (m) shall be treated as separate from all other
payments made pursuant to this Section.
(n) For the purposes of calculating State aid under this
Section, the real property equalized assessed valuation for a
school district used to compute State aid shall be determined
by subtracting from the real property value as equalized or
assessed by the Department of Revenue for the district an
amount computed by dividing the amount of any abatement of
taxes under Section 18-170 of the Property Tax Code by the
maximum operating tax rates specified in subsection 5(c) of
this Section and an amount computed by dividing the amount of
any abatement of taxes under subsection (a) of Section 18-165
of the Property Tax Code by the maximum operating tax rates
specified in subsection 5(c) of this Section.
(o) Notwithstanding any other provisions of this
Section, for the 1996-1997 school year the amount of the
aggregate general State aid entitlement that is received
under this Section by each school district for that school
year shall be not less than the amount of the aggregate
general State aid entitlement that was received by the
district under this Section for the 1995-1996 school year.
If a school district is to receive an aggregate general State
aid entitlement under this Section for the 1996-1997 school
year that is less than the amount of the aggregate general
State aid entitlement that the district received under this
Section for the 1995-1996 school year, the school district
shall also receive, from a separate appropriation made for
purposes of this paragraph (o), a supplementary payment that
is equal to the amount by which the general State aid
entitlement received by the district under this Section for
the 1995-1996 school year exceeds the general State aid
entitlement that the district is to receive under this
Section for the 1996-1997 school year.
Notwithstanding any other provisions of this Section, for
the 1997-1998 school year the amount of the aggregate general
State aid entitlement that is received under this Section by
each school district for that school year shall be not less
than the amount of the aggregate general State aid
entitlement that was received by the district under this
Section for the 1996-1997 school year. If a school district
is to receive an aggregate general State aid entitlement
under this Section for the 1997-1998 school year that is less
than the amount of the aggregate general State aid
entitlement that the district received under this Section for
the 1996-1997 school year, the school district shall also
receive, from a separate appropriation made for purposes of
this paragraph (o), a supplementary payment that is equal to
the amount by which the general State aid entitlement
received by the district under this Section for the 1996-1997
school year exceeds the general State aid entitlement that
the district is to receive under this Section for the
1997-1998 school year.
If the amount appropriated for supplementary payments to
school districts under this paragraph (o) is insufficient for
that purpose, the supplementary payments that districts are
to receive under this paragraph shall be prorated according
to the aggregate amount of the appropriation made for
purposes of this paragraph.
(p) For the 1997-1998 school year, a supplemental
general State aid grant shall be provided for school
districts as follows:
(i) The general State aid received by a school
district under this Section for the 1997-1998 school year
shall be added to the sum of (A) the result obtained by
multiplying the 1995 equalized valuation of all taxable
property in the district by the fixed calculation tax
rates of 3.0% for unit districts, 2.0% for elementary
districts and 1.0% for high school districts plus (B) the
aggregate corporate personal property replacement
revenues received by the district during the 1996-1997
school year;
(ii) The aggregate amount determined under item (i)
of this subsection 5(p) shall be divided by the average
of the best 3 months of pupil attendance in the district
for the 1996-1997 school year; and
(iii) If the result obtained by dividing the
aggregate amount determined under item (i) of this
subsection 5(p) by the average of the best 3 months of
pupil attendance in the district as provided in item (ii)
of this subsection 5(p) is less than $3,600, the
supplemental general State aid grant that the district
shall receive under this subsection 5(p) for the
1997-1998 school year shall be equal to the amount
determined by subtracting from $3,600 the result obtained
by dividing the aggregate amount determined under item
(i) of this subsection by the average of the best 3
months of pupil attendance in the district as provided in
item (ii) of this subsection, and by multiplying that
difference by the average of the best 3 months of pupil
attendance in the district for the 1996-1997 school year.
If the moneys appropriated in a separate line item by the
General Assembly to the State Board of Education for
supplementary payments required to be made and distributed to
school districts for any school year under this subsection
5(p) are insufficient, the amount of the supplementary
payments required to be made and distributed to those school
districts under this subsection 5(p) for that school year
shall abate proportionately.
B. In calculating the amount to be paid to the governing
board of a public university that operates a laboratory
school under this Section or to any alternative school that
is operated by a regional superintendent, the State Board of
Education shall require by rule such reporting requirements
as it deems necessary.
As used in this Section, "laboratory school" means a
public school which is created and operated by a public
university and approved by the State Board of Education. The
governing board of a public university which receives funds
from the State Board under this subsection B may not increase
the number of students enrolled in its laboratory school from
a single district, if that district is already sending 50 or
more students, except under a mutual agreement between the
school board of a student's district of residence and the
university which operates the laboratory school. A
laboratory school may not have more than 1,000 students,
excluding students with disabilities in a special education
program.
As used in this Section, "alternative school" means a
public school which is created and operated by a Regional
Superintendent of Schools and approved by the State Board of
Education. Such alternative schools may offer courses of
instruction for which credit is given in regular school
programs, courses to prepare students for the high school
equivalency testing program or vocational and occupational
training.
Each laboratory and alternative school shall file, on
forms provided by the State Superintendent of Education, an
annual State aid claim which states the average daily
attendance of the school's students by month. The best 3
months' average daily attendance shall be computed for each
school. The weighted average daily attendance shall be
computed and the weighted average daily attendance for the
school's most recent 3 year average shall be compared to the
most recent weighted average daily attendance, and the
greater of the 2 shall be used for the calculation under this
subsection B. The general State aid entitlement shall be
computed by multiplying the school's student count by the
foundation level as determined under this Section.
(Source: P.A. 88-9; 88-45; 88-89; 88-386; 88-511; 88-537;
88-555; 88-641; 88-670, eff. 12-2-94; 89-15, eff. 5-30-95;
89-235, eff. 8-4-95; 89-397, eff. 8-20-95; 89-610, eff.
8-6-96; 89-618, eff. 8-9-96; 89-626, eff. 8-9-96; 89-679,
eff. 8-16-96; revised 9-10-96.)
Section 30. The Liquor Control Act of 1934 is amended by
changing Section 3-12 and by adding Section 5-6 as follows:
(235 ILCS 5/3-12) (from Ch. 43, par. 108)
(Text of Section before amendment by P.A. 89-507)
Sec. 3-12. The State commission shall have the following
powers, functions and duties:
(1) To receive applications and to issue licenses to
manufacturers, foreign importers, importing distributors,
distributors, non-resident dealers, on premise consumption
retailers, off premise sale retailers, special event retailer
licensees, special use permit licenses, auction liquor
licenses, brew pubs, caterer retailers, non-beverage users,
railroads, including owners and lessees of sleeping, dining
and cafe cars, airplanes and boats, in accordance with the
provisions of this Act, and to suspend or revoke such
licenses upon the State commission's determination, upon
notice after hearing, that a licensee has violated any
provision of this Act or any rule or regulation issued
pursuant thereto and in effect for 30 days prior to such
violation.
In lieu of suspending or revoking a license, the
commission may impose a fine, upon the State commission's
determination and notice after hearing, that a licensee has
violated any provision of this Act or any rule or regulation
issued pursuant thereto and in effect for 30 days prior to
such violation. The fine imposed under this paragraph may
not exceed $500 for each violation. Each day that the
activity, which gave rise to the original fine, continues is
a separate violation. The maximum fine that may be levied
against any licensee, for the period of the license, shall
not exceed $20,000.
(2) To adopt such rules and regulations consistent with
the provisions of this Act which shall be necessary to carry
on its functions and duties to the end that the health,
safety and welfare of the People of the State of Illinois
shall be protected and temperance in the consumption of
alcoholic liquors shall be fostered and promoted and to
distribute copies of such rules and regulations to all
licensees affected thereby.
(3) To call upon other administrative departments of the
State, county and municipal governments, county and city
police departments and upon prosecuting officers for such
information and assistance as it deems necessary in the
performance of its duties.
(4) To recommend to local commissioners rules and
regulations, not inconsistent with the law, for the
distribution and sale of alcoholic liquors throughout the
State.
(5) To inspect, or cause to be inspected, any premises
where alcoholic liquors are manufactured, distributed or
sold.
(6) To hear and determine appeals from orders of a local
commission in accordance with the provisions of this Act, as
hereinafter set forth. Hearings under this subsection shall
be held in Springfield or Chicago, at whichever location is
the more convenient for the majority of persons who are
parties to the hearing.
(7) The commission shall establish uniform systems of
accounts to be kept by all retail licensees having more than
4 employees, and for this purpose the commission may classify
all retail licensees having more than 4 employees and
establish a uniform system of accounts for each class and
prescribe the manner in which such accounts shall be kept.
The commission may also prescribe the forms of accounts to be
kept by all retail licensees having more than 4 employees,
including but not limited to accounts of earnings and
expenses and any distribution, payment, or other distribution
of earnings or assets, and any other forms, records and
memoranda which in the judgment of the commission may be
necessary or appropriate to carry out any of the provisions
of this Act, including but not limited to such forms, records
and memoranda as will readily and accurately disclose at all
times the beneficial ownership of such retail licensed
business. The accounts, forms, records and memoranda shall
be available at all reasonable times for inspection by
authorized representatives of the State commission or by any
local liquor control commissioner or his or her authorized
representative. The commission, may, from time to time,
alter, amend or repeal, in whole or in part, any uniform
system of accounts, or the form and manner of keeping
accounts.
(8) In the conduct of any hearing authorized to be held
by the commission, to examine, or cause to be examined, under
oath, any licensee, and to examine or cause to be examined
the books and records of such licensee; to hear testimony and
take proof material for its information in the discharge of
its duties hereunder; to administer or cause to be
administered oaths; and for any such purpose to issue
subpoena or subpoenas to require the attendance of witnesses
and the production of books, which shall be effective in any
part of this State.
Any Circuit Court may by order duly entered, require the
attendance of witnesses and the production of relevant books
subpoenaed by the State commission and the court may compel
obedience to its order by proceedings for contempt.
(9) To investigate the administration of laws in
relation to alcoholic liquors in this and other states and
any foreign countries, and to recommend from time to time to
the Governor and through him or her to the legislature of
this State, such amendments to this Act, if any, as it may
think desirable and as will serve to further the general
broad purposes contained in Section 1-2 hereof.
(10) To adopt such rules and regulations consistent with
the provisions of this Act which shall be necessary for the
control, sale or disposition of alcoholic liquor damaged as a
result of an accident, wreck, flood, fire or other similar
occurrence.
(11) To develop industry educational programs related to
responsible serving and selling, particularly in the areas of
overserving consumers and illegal underage purchasing and
consumption of alcoholic beverages.
(12) To develop and maintain a repository of license and
regulatory information.
(13) On or before January 15, 1994, the Commission shall
issue a written report to the Governor and General Assembly
that is to be based on a comprehensive study of the impact on
and implications for the State of Illinois of Section 1926 of
the Federal ADAMHA Reorganization Act of 1992 (Public Law
102-321). This study shall address the extent to which
Illinois currently complies with the provisions of P.L.
102-321 and the rules promulgated pursuant thereto.
As part of its report, the Commission shall provide the
following essential information:
(i) the number of retail distributors of tobacco
products, by type and geographic area, in the State;
(ii) the number of reported citations and
successful convictions, categorized by type and location
of retail distributor, for violation of the Sale of
Tobacco to Minors Act and the Smokeless Tobacco
Limitation Act;
(iii) the extent and nature of organized
educational and governmental activities that are intended
to promote, encourage or otherwise secure compliance with
any Illinois laws that prohibit the sale or distribution
of tobacco products to minors; and
(iv) the level of access and availability of
tobacco products to individuals under the age of 18.
To obtain the data necessary to comply with the
provisions of P.L. 102-321 and the requirements of this
report, the Commission shall conduct random, unannounced
inspections of a geographically and scientifically
representative sample of the State's retail tobacco
distributors.
The Commission shall consult with the Department of
Public Health, the Department of Alcoholism and Substance
Abuse, the Illinois State Police and any other executive
branch agency, and private organizations that may have
information relevant to this report.
The Commission may contract with the Food and Drug
Administration of the U.S. Department of Health and Human
Services to conduct unannounced investigations of Illinois
tobacco vendors to determine compliance with federal laws
relating to the illegal sale of cigarettes and smokeless
tobacco products to persons under the age of 18.
(Source: P.A. 88-91; 88-418; 88-670, eff. 12-2-94.)
(Text of Section after amendment by P.A. 89-507)
Sec. 3-12. The State commission shall have the following
powers, functions and duties:
(1) To receive applications and to issue licenses to
manufacturers, foreign importers, importing distributors,
distributors, non-resident dealers, on premise consumption
retailers, off premise sale retailers, special event retailer
licensees, special use permit licenses, auction liquor
licenses, brew pubs, caterer retailers, non-beverage users,
railroads, including owners and lessees of sleeping, dining
and cafe cars, airplanes and boats, in accordance with the
provisions of this Act, and to suspend or revoke such
licenses upon the State commission's determination, upon
notice after hearing, that a licensee has violated any
provision of this Act or any rule or regulation issued
pursuant thereto and in effect for 30 days prior to such
violation.
In lieu of suspending or revoking a license, the
commission may impose a fine, upon the State commission's
determination and notice after hearing, that a licensee has
violated any provision of this Act or any rule or regulation
issued pursuant thereto and in effect for 30 days prior to
such violation. The fine imposed under this paragraph may
not exceed $500 for each violation. Each day that the
activity, which gave rise to the original fine, continues is
a separate violation. The maximum fine that may be levied
against any licensee, for the period of the license, shall
not exceed $20,000.
(2) To adopt such rules and regulations consistent with
the provisions of this Act which shall be necessary to carry
on its functions and duties to the end that the health,
safety and welfare of the People of the State of Illinois
shall be protected and temperance in the consumption of
alcoholic liquors shall be fostered and promoted and to
distribute copies of such rules and regulations to all
licensees affected thereby.
(3) To call upon other administrative departments of the
State, county and municipal governments, county and city
police departments and upon prosecuting officers for such
information and assistance as it deems necessary in the
performance of its duties.
(4) To recommend to local commissioners rules and
regulations, not inconsistent with the law, for the
distribution and sale of alcoholic liquors throughout the
State.
(5) To inspect, or cause to be inspected, any premises
where alcoholic liquors are manufactured, distributed or
sold.
(6) To hear and determine appeals from orders of a local
commission in accordance with the provisions of this Act, as
hereinafter set forth. Hearings under this subsection shall
be held in Springfield or Chicago, at whichever location is
the more convenient for the majority of persons who are
parties to the hearing.
(7) The commission shall establish uniform systems of
accounts to be kept by all retail licensees having more than
4 employees, and for this purpose the commission may classify
all retail licensees having more than 4 employees and
establish a uniform system of accounts for each class and
prescribe the manner in which such accounts shall be kept.
The commission may also prescribe the forms of accounts to be
kept by all retail licensees having more than 4 employees,
including but not limited to accounts of earnings and
expenses and any distribution, payment, or other distribution
of earnings or assets, and any other forms, records and
memoranda which in the judgment of the commission may be
necessary or appropriate to carry out any of the provisions
of this Act, including but not limited to such forms, records
and memoranda as will readily and accurately disclose at all
times the beneficial ownership of such retail licensed
business. The accounts, forms, records and memoranda shall
be available at all reasonable times for inspection by
authorized representatives of the State commission or by any
local liquor control commissioner or his or her authorized
representative. The commission, may, from time to time,
alter, amend or repeal, in whole or in part, any uniform
system of accounts, or the form and manner of keeping
accounts.
(8) In the conduct of any hearing authorized to be held
by the commission, to examine, or cause to be examined, under
oath, any licensee, and to examine or cause to be examined
the books and records of such licensee; to hear testimony and
take proof material for its information in the discharge of
its duties hereunder; to administer or cause to be
administered oaths; and for any such purpose to issue
subpoena or subpoenas to require the attendance of witnesses
and the production of books, which shall be effective in any
part of this State.
Any Circuit Court may by order duly entered, require the
attendance of witnesses and the production of relevant books
subpoenaed by the State commission and the court may compel
obedience to its order by proceedings for contempt.
(9) To investigate the administration of laws in
relation to alcoholic liquors in this and other states and
any foreign countries, and to recommend from time to time to
the Governor and through him or her to the legislature of
this State, such amendments to this Act, if any, as it may
think desirable and as will serve to further the general
broad purposes contained in Section 1-2 hereof.
(10) To adopt such rules and regulations consistent with
the provisions of this Act which shall be necessary for the
control, sale or disposition of alcoholic liquor damaged as a
result of an accident, wreck, flood, fire or other similar
occurrence.
(11) To develop industry educational programs related to
responsible serving and selling, particularly in the areas of
overserving consumers and illegal underage purchasing and
consumption of alcoholic beverages.
(12) To develop and maintain a repository of license and
regulatory information.
(13) On or before January 15, 1994, the Commission shall
issue a written report to the Governor and General Assembly
that is to be based on a comprehensive study of the impact on
and implications for the State of Illinois of Section 1926 of
the Federal ADAMHA Reorganization Act of 1992 (Public Law
102-321). This study shall address the extent to which
Illinois currently complies with the provisions of P.L.
102-321 and the rules promulgated pursuant thereto.
As part of its report, the Commission shall provide the
following essential information:
(i) the number of retail distributors of tobacco
products, by type and geographic area, in the State;
(ii) the number of reported citations and
successful convictions, categorized by type and location
of retail distributor, for violation of the Sale of
Tobacco to Minors Act and the Smokeless Tobacco
Limitation Act;
(iii) the extent and nature of organized
educational and governmental activities that are intended
to promote, encourage or otherwise secure compliance with
any Illinois laws that prohibit the sale or distribution
of tobacco products to minors; and
(iv) the level of access and availability of
tobacco products to individuals under the age of 18.
To obtain the data necessary to comply with the
provisions of P.L. 102-321 and the requirements of this
report, the Commission shall conduct random, unannounced
inspections of a geographically and scientifically
representative sample of the State's retail tobacco
distributors.
The Commission shall consult with the Department of
Public Health, the Department of Human Services, the Illinois
State Police and any other executive branch agency, and
private organizations that may have information relevant to
this report.
The Commission may contract with the Food and Drug
Administration of the U.S. Department of Health and Human
Services to conduct unannounced investigations of Illinois
tobacco vendors to determine compliance with federal laws
relating to the illegal sale of cigarettes and smokeless
tobacco products to persons under the age of 18.
(Source: P.A. 88-91; 88-418; 88-670, eff. 12-2-94; 89-507,
eff. 7-1-97.)
(235 ILCS 5/5-6 new)
Sec. 5-6. FDA grant funds. Grant funds received from
the Food and Drug Administration of the U.S. Department of
Health and Human Services for conducting unannounced
investigations of Illinois tobacco vendors shall be deposited
into the Dram Shop Fund.
Section 35. The Illinois Public Aid Code is amended by
changing Sections 5-5.4 and 14-8 and adding Sections 12-4.32
and 12-4.201 as follows:
(305 ILCS 5/5-5.4) (from Ch. 23, par. 5-5.4)
Sec. 5-5.4. Standards of Payment - Department of Public
Aid. The Department of Public Aid shall develop standards of
payment of skilled nursing and intermediate care services in
facilities providing such services under this Article which:
(1) Provides for the determination of a facility's
payment for skilled nursing and intermediate care services on
a prospective basis. The amount of the payment rate for all
nursing facilities certified under the medical assistance
program shall be prospectively established annually on the
basis of historical, financial, and statistical data
reflecting actual costs from prior years, which shall be
applied to the current rate year and updated for inflation,
except that the capital cost element for newly constructed
facilities shall be based upon projected budgets. The
annually established payment rate shall take effect on July 1
in 1984 and subsequent years. Rate increases shall be
provided annually thereafter on July 1 in 1984 and on each
subsequent July 1 in the following years, except that no rate
increase and no update for inflation shall be provided on or
after July 1, 1994, July 1, 1995, or July 1, 1996. Rates
established effective each July 1 shall govern payment for
services rendered throughout that fiscal year, except that
rates established on July 1, 1996 shall be increased by 6.8%
for services provided on or after January 1, 1997. Such
rates will be based upon the rates calculated for the year
beginning July 1, 1990, and for subsequent years thereafter
shall be based on the facility cost reports for the facility
fiscal year ending at any point in time during the previous
calendar year, updated to the midpoint of the rate year. The
cost report shall be on file with the Department no later
than April 1 of the current rate year. Should the cost
report not be on file by April 1, the Department shall base
the rate on the latest cost report filed by each skilled care
facility and intermediate care facility, updated to the
midpoint of the current rate year. In determining rates for
services rendered on and after July 1, 1985, fixed time shall
not be computed at less than zero. The Department shall not
make any alterations of regulations which would reduce any
component of the Medicaid rate to a level below what that
component would have been utilizing in the rate effective on
July 1, 1984.
(2) Shall take into account the actual costs incurred by
facilities in providing services for recipients of skilled
nursing and intermediate care services under the medical
assistance program.
(3) Shall take into account the medical and
psycho-social characteristics and needs of the patients.
(4) Shall take into account the actual costs incurred by
facilities in meeting, licensing and certification standards
imposed and prescribed by the State of Illinois, any of its
political subdivisions or municipalities and by the United
States Department of Health, Education and Welfare pursuant
to Title XIX of the Social Security Act.
The Department of Public Aid shall develop precise
standards for payments to reimburse nursing facilities for
any utilization of appropriate rehabilitative personnel for
the provision of rehabilitative services which is authorized
by federal regulations, including reimbursement for services
provided by qualified therapists or qualified assistants, and
which is in accordance with accepted professional practices.
Reimbursement also may be made for utilization of other
supportive personnel under appropriate supervision.
(Source: P.A. 88-554, eff. 7-26-94; 89-21, eff. 7-1-95;
89-499, eff. 6-28-96.)
(305 ILCS 5/12-4.32 new)
Sec. 12-4.32. Payments to noncitizens. Subject to
specific appropriation for this purpose, the Department of
Human Services is authorized to provide payments to
individuals age 65 or over who were present in the United
States prior to August 22, 1996 and are terminated from the
federal Supplemental Security Income program due to their
noncitizen status. The payment levels for these persons
shall be determined by rule. These individuals shall be
required to pursue continued eligibility for the federal
Supplemental Security Income program based on disability, if
potentially available.
(305 ILCS 5/12-4.201 new)
Sec. 12-4.201. Data warehouse concerning medical and
related services. The Illinois Department of Public Aid may
purchase services and materials associated with the costs of
developing and implementing a data warehouse comprised of
management and decision making information in regard to the
liability associated with, and utilization of, medical and
related services, out of moneys available for that purpose.
(305 ILCS 5/14-8) (from Ch. 23, par. 14-8)
(Text of Section before amendment by P.A. 89-507)
Sec. 14-8. Disbursements to Hospitals.
(a) For inpatient hospital services rendered on and
after September 1, 1991, the Illinois Department shall
reimburse hospitals for inpatient services at an inpatient
payment rate calculated for each hospital based upon the
Medicare Prospective Payment System as set forth in Sections
1886(b), (d), (g), and (h) of the federal Social Security
Act, and the regulations, policies, and procedures
promulgated thereunder, except as modified by this Section.
Payment rates for inpatient hospital services rendered on or
after September 1, 1991 and on or before September 30, 1992
shall be calculated using the Medicare Prospective Payment
rates in effect on September 1, 1991. Payment rates for
inpatient hospital services rendered on or after October 1,
1992 and on or before March 31, 1994 shall be calculated
using the Medicare Prospective Payment rates in effect on
September 1, 1992. Payment rates for inpatient hospital
services rendered on or after April 1, 1994 shall be
calculated using the Medicare Prospective Payment rates
(including the Medicare grouping methodology and weighting
factors as adjusted pursuant to paragraph (1) of this
subsection) in effect 90 days prior to the date of
admission. For services rendered on or after July 1, 1995,
the reimbursement methodology implemented under this
subsection shall not include those costs referred to in
Sections 1886(d)(5)(B) and 1886(h) of the Social Security
Act. The additional payment amounts required under Section
1886(d)(5)(F) of the Social Security Act, for hospitals
serving a disproportionate share of low-income or indigent
patients, are not required under this Section. For hospital
inpatient services rendered on or after July 1, 1995 and
before July 1, 1997, the Illinois Department shall reimburse
hospitals using the relative weighting factors and the base
payment rates calculated for each hospital that were in
effect on June 30, 1995, less the portion of such rates
attributed by the Illinois Department to the cost of medical
education.
(1) The weighting factors established under Section
1886(d)(4) of the Social Security Act shall not be used
in the reimbursement system established under this
Section. Rather, the Illinois Department shall establish
by rule Medicaid weighting factors to be used in the
reimbursement system established under this Section.
(2) The Illinois Department shall define by rule
those hospitals or distinct parts of hospitals that shall
be exempt from the reimbursement system established under
this Section. In defining such hospitals, the Illinois
Department shall take into consideration those hospitals
exempt from the Medicare Prospective Payment System as of
September 1, 1991. For hospitals defined as exempt under
this subsection, the Illinois Department shall by rule
establish a reimbursement system for payment of inpatient
hospital services rendered on and after September 1,
1991. For all hospitals that are children's hospitals as
defined in Section 5-5.02 of this Code, the reimbursement
methodology shall, through June 30, 1992, net of all
applicable fees, at least equal each children's hospital
1990 ICARE payment rates, indexed to the current year by
application of the DRI hospital cost index from 1989 to
the year in which payments are made. Excepting county
providers as defined in Article XV of this Code,
hospitals licensed under the University of Illinois
Hospital Act, and facilities operated by the Illinois
Department of Mental Health and Developmental
Disabilities, for hospital inpatient services rendered on
or after July 1, 1995 and before July 1, 1997, the
Illinois Department shall reimburse children's hospitals,
as defined in 89 Illinois Administrative Code Section
149.50(c)(3), at the rates in effect on June 30, 1995,
and shall reimburse all other hospitals at the rates in
effect on June 30, 1995, less the portion of such rates
attributed by the Illinois Department to the cost of
medical education.
(3) (Blank)
(4) Notwithstanding any other provision of this
Section, hospitals that on August 31, 1991, have a
contract with the Illinois Department under Section 3-4
of the Illinois Health Finance Reform Act may elect to
continue to be reimbursed at rates stated in such
contracts for general and specialty care.
(5) In addition to any payments made under this
subsection (a), the Illinois Department shall make the
adjustment payments required by Section 5-5.02 of this
Code; provided, that in the case of any hospital
reimbursed under a per case methodology, the Illinois
Department shall add an amount equal to the product of
the hospital's average length of stay, less one day,
multiplied by 20, for inpatient hospital services
rendered on or after September 1, 1991 and on or before
September 30, 1992.
(b) (Blank)
(b-5) Excepting county providers as defined in Article
XV of this Code, hospitals licensed under the University of
Illinois Hospital Act, and facilities operated by the
Illinois Department of Mental Health and Developmental
Disabilities, for outpatient services rendered on or after
July 1, 1995 and before July 1, 1997, the Illinois Department
shall reimburse children's hospitals, as defined in the
Illinois Administrative Code Section 149.50(c)(3), at the
rates in effect on June 30, 1995, less that portion of such
rates attributed by the Illinois Department to the outpatient
indigent volume adjustment and shall reimburse all other
hospitals at the rates in effect on June 30, 1995, less the
portions of such rates attributed by the Illinois Department
to the cost of medical education and attributed by the
Illinois Department to the outpatient indigent volume
adjustment.
(c) In addition to any other payments under this Code,
the Illinois Department shall develop a hospital
disproportionate share reimbursement methodology that,
effective July 1, 1991, through September 30, 1992, shall
reimburse hospitals sufficiently to expend the fee monies
described in subsection (b) of Section 14-3 of this Code and
the federal matching funds received by the Illinois
Department as a result of expenditures made by the Illinois
Department as required by this subsection (c) and Section
14-2 that are attributable to fee monies deposited in the
Fund, less amounts applied to adjustment payments under
Section 5-5.02.
(d) Critical Care Access Payments.
(1) In addition to any other payments made under
this Code, the Illinois Department shall develop a
reimbursement methodology that shall reimburse Critical
Care Access Hospitals for the specialized services that
qualify them as Critical Care Access Hospitals. No
adjustment payments shall be made under this subsection
on or after July 1, 1995.
(2) "Critical Care Access Hospitals" includes, but
is not limited to, hospitals that meet at least one of
the following criteria:
(A) Hospitals located outside of a
metropolitan statistical area that are designated as
Level II Perinatal Centers and that provide a
disproportionate share of perinatal services to
recipients; or
(B) Hospitals that are designated as Level I
Trauma Centers (adult or pediatric) and certain
Level II Trauma Centers as determined by the
Illinois Department; or
(C) Hospitals located outside of a
metropolitan statistical area and that provide a
disproportionate share of obstetrical services to
recipients.
(e) Inpatient high volume adjustment. For hospital
inpatient services, effective with rate periods beginning on
or after October 1, 1993, in addition to rates paid for
inpatient services by the Illinois Department, the Illinois
Department shall make adjustment payments for inpatient
services furnished by Medicaid high volume hospitals. The
Illinois Department shall establish by rule criteria for
qualifying as a Medicaid high volume hospital and shall
establish by rule a reimbursement methodology for calculating
these adjustment payments to Medicaid high volume hospitals.
No adjustment payment shall be made under this subsection for
services rendered on or after July 1, 1995.
(f) The Illinois Department shall modify its current
rules governing adjustment payments for targeted access,
critical care access, and uncompensated care to classify
those adjustment payments as not being payments to
disproportionate share hospitals under Title XIX of the
federal Social Security Act. Rules adopted under this
subsection shall not be effective with respect to services
rendered on or after July 1, 1995. The Illinois Department
has no obligation to adopt or implement any rules or make any
payments under this subsection for services rendered on or
after July 1, 1995.
(f-5) The State recognizes that adjustment payments to
hospitals providing certain services or incurring certain
costs may be necessary to assure that recipients of medical
assistance have adequate access to necessary medical
services. These adjustments include payments for teaching
costs and uncompensated care, trauma center payments,
rehabilitation hospital payments, perinatal center payments,
obstetrical care payments, targeted access payments, Medicaid
high volume payments, and outpatient indigent volume
payments. On or before April 1, 1995, the Illinois
Department shall issue recommendations regarding (i)
reimbursement mechanisms or adjustment payments to reflect
these costs and services, including methods by which the
payments may be calculated and the method by which the
payments may be financed, and (ii) reimbursement mechanisms
or adjustment payments to reflect costs and services of
federally qualified health centers with respect to recipients
of medical assistance.
(g) If one or more hospitals file suit in any court
challenging any part of this Article XIV, payments to
hospitals under this Article XIV shall be made only to the
extent that sufficient monies are available in the Fund and
only to the extent that any monies in the Fund are not
prohibited from disbursement under any order of the court.
(h) Payments under the disbursement methodology
described in this Section are subject to approval by the
federal government in an appropriate State plan amendment.
(i) The Illinois Department may by rule establish
criteria for and develop methodologies for adjustment
payments to hospitals participating under this Article.
(Source: P.A. 88-88; 88-554, eff. 7-26-94; 89-21, eff.
7-1-95; 89-499, eff. 6-28-96; revised 8-26-96.)
(Text of Section after amendment by P.A. 89-507)
Sec. 14-8. Disbursements to Hospitals.
(a) For inpatient hospital services rendered on and
after September 1, 1991, the Illinois Department shall
reimburse hospitals for inpatient services at an inpatient
payment rate calculated for each hospital based upon the
Medicare Prospective Payment System as set forth in Sections
1886(b), (d), (g), and (h) of the federal Social Security
Act, and the regulations, policies, and procedures
promulgated thereunder, except as modified by this Section.
Payment rates for inpatient hospital services rendered on or
after September 1, 1991 and on or before September 30, 1992
shall be calculated using the Medicare Prospective Payment
rates in effect on September 1, 1991. Payment rates for
inpatient hospital services rendered on or after October 1,
1992 and on or before March 31, 1994 shall be calculated
using the Medicare Prospective Payment rates in effect on
September 1, 1992. Payment rates for inpatient hospital
services rendered on or after April 1, 1994 shall be
calculated using the Medicare Prospective Payment rates
(including the Medicare grouping methodology and weighting
factors as adjusted pursuant to paragraph (1) of this
subsection) in effect 90 days prior to the date of
admission. For services rendered on or after July 1, 1995,
the reimbursement methodology implemented under this
subsection shall not include those costs referred to in
Sections 1886(d)(5)(B) and 1886(h) of the Social Security
Act. The additional payment amounts required under Section
1886(d)(5)(F) of the Social Security Act, for hospitals
serving a disproportionate share of low-income or indigent
patients, are not required under this Section. For hospital
inpatient services rendered on or after July 1, 1995 and
before July 1, 1997, the Illinois Department shall reimburse
hospitals using the relative weighting factors and the base
payment rates calculated for each hospital that were in
effect on June 30, 1995, less the portion of such rates
attributed by the Illinois Department to the cost of medical
education.
(1) The weighting factors established under Section
1886(d)(4) of the Social Security Act shall not be used
in the reimbursement system established under this
Section. Rather, the Illinois Department shall establish
by rule Medicaid weighting factors to be used in the
reimbursement system established under this Section.
(2) The Illinois Department shall define by rule
those hospitals or distinct parts of hospitals that shall
be exempt from the reimbursement system established under
this Section. In defining such hospitals, the Illinois
Department shall take into consideration those hospitals
exempt from the Medicare Prospective Payment System as of
September 1, 1991. For hospitals defined as exempt under
this subsection, the Illinois Department shall by rule
establish a reimbursement system for payment of inpatient
hospital services rendered on and after September 1,
1991. For all hospitals that are children's hospitals as
defined in Section 5-5.02 of this Code, the reimbursement
methodology shall, through June 30, 1992, net of all
applicable fees, at least equal each children's hospital
1990 ICARE payment rates, indexed to the current year by
application of the DRI hospital cost index from 1989 to
the year in which payments are made. Excepting county
providers as defined in Article XV of this Code,
hospitals licensed under the University of Illinois
Hospital Act, and facilities operated by the Department
of Mental Health and Developmental Disabilities (or its
successor, the Department of Human Services) for hospital
inpatient services rendered on or after July 1, 1995 and
before July 1, 1997, the Illinois Department shall
reimburse children's hospitals, as defined in 89 Illinois
Administrative Code Section 149.50(c)(3), at the rates in
effect on June 30, 1995, and shall reimburse all other
hospitals at the rates in effect on June 30, 1995, less
the portion of such rates attributed by the Illinois
Department to the cost of medical education.
(3) (Blank)
(4) Notwithstanding any other provision of this
Section, hospitals that on August 31, 1991, have a
contract with the Illinois Department under Section 3-4
of the Illinois Health Finance Reform Act may elect to
continue to be reimbursed at rates stated in such
contracts for general and specialty care.
(5) In addition to any payments made under this
subsection (a), the Illinois Department shall make the
adjustment payments required by Section 5-5.02 of this
Code; provided, that in the case of any hospital
reimbursed under a per case methodology, the Illinois
Department shall add an amount equal to the product of
the hospital's average length of stay, less one day,
multiplied by 20, for inpatient hospital services
rendered on or after September 1, 1991 and on or before
September 30, 1992.
(b) (Blank)
(b-5) Excepting county providers as defined in Article
XV of this Code, hospitals licensed under the University of
Illinois Hospital Act, and facilities operated by the
Illinois Department of Mental Health and Developmental
Disabilities (or its successor, the Department of Human
Services) for outpatient services rendered on or after July
1, 1995 and before July 1, 1997, the Illinois Department
shall reimburse children's hospitals, as defined in the
Illinois Administrative Code Section 149.50(c)(3), at the
rates in effect on June 30, 1995, less that portion of such
rates attributed by the Illinois Department to the outpatient
indigent volume adjustment and shall reimburse all other
hospitals at the rates in effect on June 30, 1995, less the
portions of such rates attributed by the Illinois Department
to the cost of medical education and attributed by the
Illinois Department to the outpatient indigent volume
adjustment.
(c) In addition to any other payments under this Code,
the Illinois Department shall develop a hospital
disproportionate share reimbursement methodology that,
effective July 1, 1991, through September 30, 1992, shall
reimburse hospitals sufficiently to expend the fee monies
described in subsection (b) of Section 14-3 of this Code and
the federal matching funds received by the Illinois
Department as a result of expenditures made by the Illinois
Department as required by this subsection (c) and Section
14-2 that are attributable to fee monies deposited in the
Fund, less amounts applied to adjustment payments under
Section 5-5.02.
(d) Critical Care Access Payments.
(1) In addition to any other payments made under
this Code, the Illinois Department shall develop a
reimbursement methodology that shall reimburse Critical
Care Access Hospitals for the specialized services that
qualify them as Critical Care Access Hospitals. No
adjustment payments shall be made under this subsection
on or after July 1, 1995.
(2) "Critical Care Access Hospitals" includes, but
is not limited to, hospitals that meet at least one of
the following criteria:
(A) Hospitals located outside of a
metropolitan statistical area that are designated as
Level II Perinatal Centers and that provide a
disproportionate share of perinatal services to
recipients; or
(B) Hospitals that are designated as Level I
Trauma Centers (adult or pediatric) and certain
Level II Trauma Centers as determined by the
Illinois Department; or
(C) Hospitals located outside of a
metropolitan statistical area and that provide a
disproportionate share of obstetrical services to
recipients.
(e) Inpatient high volume adjustment. For hospital
inpatient services, effective with rate periods beginning on
or after October 1, 1993, in addition to rates paid for
inpatient services by the Illinois Department, the Illinois
Department shall make adjustment payments for inpatient
services furnished by Medicaid high volume hospitals. The
Illinois Department shall establish by rule criteria for
qualifying as a Medicaid high volume hospital and shall
establish by rule a reimbursement methodology for calculating
these adjustment payments to Medicaid high volume hospitals.
No adjustment payment shall be made under this subsection for
services rendered on or after July 1, 1995.
(f) The Illinois Department shall modify its current
rules governing adjustment payments for targeted access,
critical care access, and uncompensated care to classify
those adjustment payments as not being payments to
disproportionate share hospitals under Title XIX of the
federal Social Security Act. Rules adopted under this
subsection shall not be effective with respect to services
rendered on or after July 1, 1995. The Illinois Department
has no obligation to adopt or implement any rules or make any
payments under this subsection for services rendered on or
after July 1, 1995.
(f-5) The State recognizes that adjustment payments to
hospitals providing certain services or incurring certain
costs may be necessary to assure that recipients of medical
assistance have adequate access to necessary medical
services. These adjustments include payments for teaching
costs and uncompensated care, trauma center payments,
rehabilitation hospital payments, perinatal center payments,
obstetrical care payments, targeted access payments, Medicaid
high volume payments, and outpatient indigent volume
payments. On or before April 1, 1995, the Illinois
Department shall issue recommendations regarding (i)
reimbursement mechanisms or adjustment payments to reflect
these costs and services, including methods by which the
payments may be calculated and the method by which the
payments may be financed, and (ii) reimbursement mechanisms
or adjustment payments to reflect costs and services of
federally qualified health centers with respect to recipients
of medical assistance.
(g) If one or more hospitals file suit in any court
challenging any part of this Article XIV, payments to
hospitals under this Article XIV shall be made only to the
extent that sufficient monies are available in the Fund and
only to the extent that any monies in the Fund are not
prohibited from disbursement under any order of the court.
(h) Payments under the disbursement methodology
described in this Section are subject to approval by the
federal government in an appropriate State plan amendment.
(i) The Illinois Department may by rule establish
criteria for and develop methodologies for adjustment
payments to hospitals participating under this Article.
(Source: P.A. 88-88; 88-554, eff. 7-26-94; 89-21, eff.
7-1-95; 89-499, eff. 6-28-96; 89-507, eff. 7-1-97; revised
8-26-96.)
Section 40. The Unified Code of Corrections is amended
by changing Section 3-4-1 as follows:
(730 ILCS 5/3-4-1) (from Ch. 38, par. 1003-4-1)
Sec. 3-4-1. Gifts and Grants; Special Trusts Funds;
Department of Corrections Reimbursement Fund.
(a) The Department may accept, receive and use, for and
in behalf of the State, any moneys, goods or services given
for general purposes of this Code Chapter by the federal
government or from any other source, public or private,
including collections from inmates, reimbursement of payments
under the Workers' Compensation Act, and commissions from
inmate collect call telephone systems under an agreement with
the Department of Central Management Services. For these
purposes the Department and may comply with such conditions
and enter into such agreements upon such covenants, terms,
and conditions as the Department may deem necessary or
desirable, if the agreement is not in conflict with State
law.
(b) The Department of Corrections Reimbursement Fund is
hereby created as a special fund in the State treasury. The
moneys deposited into the Department of Corrections
Reimbursement Fund shall be appropriated to the Department of
Corrections for the expenses of the Department.
The following shall be deposited into the Department of
Corrections Reimbursement Fund:
(i) Moneys received or recovered by the Department
of Corrections as reimbursement for expenses incurred for
the incarceration of convicted persons.
(ii) Moneys received or recovered by the Department
as reimbursement of payments made under the Workers'
Compensation Act.
(iii) Moneys received by the Department as
commissions from inmate collect call telephone systems.
(iv) Moneys received or recovered by the Department
as reimbursement for expenses incurred by the employment
of persons referred to the Department as participants in
the federal Job Training Partnership Act programs.
(v) Federal moneys, including reimbursement and
advances for services rendered or to be rendered and moneys
for other than educational purposes, under grant or
contract., shall be deposited with the State Treasurer and
held and disbursed by him under Section 1 of "An Act in
relation to the receipt, custody and disbursement of money
allotted by the United States of America or any agency
thereof for use in this State", approved July 3, 1939, as now
or hereafter amended.
(c) Other moneys received by the Department, including
reimbursement for services rendered under grant or contract,
may be deposited in special trust funds established by the
Department with the State Treasurer, to be held by him
outside the State Treasury as ex officio custodian in banks
or savings and loan associations which have been approved by
him as State depositories under "AN ACT in relation to State
moneys", and with respect to such moneys, he shall be
entitled to the same rights and privileges as are provided by
such Act with respect to moneys in the Treasury of the State
of Illinois.
(Source: P.A. 83-541.)
Section 95. No acceleration or delay. Where this Act
makes changes in a statute that is represented in this Act by
text that is not yet or no longer in effect (for example, a
Section represented by multiple versions), the use of that
text does not accelerate or delay the taking effect of (i)
the changes made by this Act or (ii) provisions derived from
any other Public Act.
Section 99. Effective date. This Act takes effect July
1, 1997.