104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB2746 Introduced , by Rep. Dagmara Avelar SYNOPSIS AS INTRODUCED: See Index Amends the State Comptroller Act. Provides an exception for vendors to receive payment by non-electronic means. Provides that outstanding liabilities as of June 30, payable from appropriations which have otherwise expired and interest penalties payable on those liabilities under the State Prompt Payment Act, may be paid out of the expiring appropriations during the 4-month period ending at the close of business on October 31 of each year, without regard to the fiscal year in which the payment is made. Amends the Prompt Payment Act. Removes provisions concerning payments made under the Public Aid Code. Provides that when a State official or agency responsible for administering a contract receives a bill or invoice from a contractor, that State official or agency shall electronically confirm the date on which the bill or invoice was received within 5 business days of receipt, and shall transmit any approved amount to the Comptroller within 30 days of receipt. Amends the Grant Accountability and Transparency Act to make conforming changes. Amends the Court of Claims Act. Provides that all claims against the State founded upon any contract entered into with the State of Illinois, except that undisputed individual claims below $2,500 resulting from lapsed appropriations do not fall under the jurisdiction of Court of Claims. State agencies may pay undisputed individual claims below $2,500 resulting from lapsed appropriations from current fiscal year appropriations. Sets forth that the provisions are not intended to prohibit more frequent reporting to assess items such as service needs, gaps, or capacity. Sets forth other provisions concerning grant agreement specifications, separate accounts for State grant funds, expenditures prior to grant execution and reporting requirements. LRB104 10669 HLH 20748 b A BILL FOR 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB2746 Introduced , by Rep. Dagmara Avelar SYNOPSIS AS INTRODUCED: See Index See Index Amends the State Comptroller Act. Provides an exception for vendors to receive payment by non-electronic means. Provides that outstanding liabilities as of June 30, payable from appropriations which have otherwise expired and interest penalties payable on those liabilities under the State Prompt Payment Act, may be paid out of the expiring appropriations during the 4-month period ending at the close of business on October 31 of each year, without regard to the fiscal year in which the payment is made. Amends the Prompt Payment Act. Removes provisions concerning payments made under the Public Aid Code. Provides that when a State official or agency responsible for administering a contract receives a bill or invoice from a contractor, that State official or agency shall electronically confirm the date on which the bill or invoice was received within 5 business days of receipt, and shall transmit any approved amount to the Comptroller within 30 days of receipt. Amends the Grant Accountability and Transparency Act to make conforming changes. Amends the Court of Claims Act. Provides that all claims against the State founded upon any contract entered into with the State of Illinois, except that undisputed individual claims below $2,500 resulting from lapsed appropriations do not fall under the jurisdiction of Court of Claims. State agencies may pay undisputed individual claims below $2,500 resulting from lapsed appropriations from current fiscal year appropriations. Sets forth that the provisions are not intended to prohibit more frequent reporting to assess items such as service needs, gaps, or capacity. Sets forth other provisions concerning grant agreement specifications, separate accounts for State grant funds, expenditures prior to grant execution and reporting requirements. LRB104 10669 HLH 20748 b LRB104 10669 HLH 20748 b A BILL FOR 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB2746 Introduced , by Rep. Dagmara Avelar SYNOPSIS AS INTRODUCED: See Index See Index See Index Amends the State Comptroller Act. Provides an exception for vendors to receive payment by non-electronic means. Provides that outstanding liabilities as of June 30, payable from appropriations which have otherwise expired and interest penalties payable on those liabilities under the State Prompt Payment Act, may be paid out of the expiring appropriations during the 4-month period ending at the close of business on October 31 of each year, without regard to the fiscal year in which the payment is made. Amends the Prompt Payment Act. Removes provisions concerning payments made under the Public Aid Code. Provides that when a State official or agency responsible for administering a contract receives a bill or invoice from a contractor, that State official or agency shall electronically confirm the date on which the bill or invoice was received within 5 business days of receipt, and shall transmit any approved amount to the Comptroller within 30 days of receipt. Amends the Grant Accountability and Transparency Act to make conforming changes. Amends the Court of Claims Act. Provides that all claims against the State founded upon any contract entered into with the State of Illinois, except that undisputed individual claims below $2,500 resulting from lapsed appropriations do not fall under the jurisdiction of Court of Claims. State agencies may pay undisputed individual claims below $2,500 resulting from lapsed appropriations from current fiscal year appropriations. Sets forth that the provisions are not intended to prohibit more frequent reporting to assess items such as service needs, gaps, or capacity. Sets forth other provisions concerning grant agreement specifications, separate accounts for State grant funds, expenditures prior to grant execution and reporting requirements. LRB104 10669 HLH 20748 b LRB104 10669 HLH 20748 b LRB104 10669 HLH 20748 b A BILL FOR HB2746LRB104 10669 HLH 20748 b HB2746 LRB104 10669 HLH 20748 b HB2746 LRB104 10669 HLH 20748 b 1 AN ACT concerning finance. 2 Be it enacted by the People of the State of Illinois, 3 represented in the General Assembly: 4 Section 1. This Act may be referred to as the Community 5 Partner Fair Contracting Act. 6 Section 5. The State Comptroller Act is amended by 7 changing Sections 9 and 9.03 as follows: 8 (15 ILCS 405/9) (from Ch. 15, par. 209) 9 Sec. 9. Warrants; vouchers; preaudit. 10 (a) No payment may be made from public funds held by the 11 State Treasurer in or outside of the State treasury, except by 12 warrant drawn by the Comptroller and presented by him to the 13 treasurer to be countersigned except for payments made 14 pursuant to Section 9.03 or 9.05 of this Act. 15 (b) No warrant for the payment of money by the State 16 Treasurer may be drawn by the Comptroller without the 17 presentation of itemized vouchers indicating that the 18 obligation or expenditure is pursuant to law and authorized, 19 and authorizing the Comptroller to order payment. 20 (b-1) An itemized voucher for under $5 that is presented 21 to the Comptroller for payment may be paid through electronic 22 funds transfer unless the recipient is unable to receive an 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB2746 Introduced , by Rep. Dagmara Avelar SYNOPSIS AS INTRODUCED: See Index See Index See Index Amends the State Comptroller Act. Provides an exception for vendors to receive payment by non-electronic means. Provides that outstanding liabilities as of June 30, payable from appropriations which have otherwise expired and interest penalties payable on those liabilities under the State Prompt Payment Act, may be paid out of the expiring appropriations during the 4-month period ending at the close of business on October 31 of each year, without regard to the fiscal year in which the payment is made. Amends the Prompt Payment Act. Removes provisions concerning payments made under the Public Aid Code. Provides that when a State official or agency responsible for administering a contract receives a bill or invoice from a contractor, that State official or agency shall electronically confirm the date on which the bill or invoice was received within 5 business days of receipt, and shall transmit any approved amount to the Comptroller within 30 days of receipt. Amends the Grant Accountability and Transparency Act to make conforming changes. Amends the Court of Claims Act. Provides that all claims against the State founded upon any contract entered into with the State of Illinois, except that undisputed individual claims below $2,500 resulting from lapsed appropriations do not fall under the jurisdiction of Court of Claims. State agencies may pay undisputed individual claims below $2,500 resulting from lapsed appropriations from current fiscal year appropriations. Sets forth that the provisions are not intended to prohibit more frequent reporting to assess items such as service needs, gaps, or capacity. Sets forth other provisions concerning grant agreement specifications, separate accounts for State grant funds, expenditures prior to grant execution and reporting requirements. LRB104 10669 HLH 20748 b LRB104 10669 HLH 20748 b LRB104 10669 HLH 20748 b A BILL FOR See Index LRB104 10669 HLH 20748 b HB2746 LRB104 10669 HLH 20748 b HB2746- 2 -LRB104 10669 HLH 20748 b HB2746 - 2 - LRB104 10669 HLH 20748 b HB2746 - 2 - LRB104 10669 HLH 20748 b 1 electronic funds transfer or requests another form of payment. 2 This subsection (b-1) does not apply to (i) vouchers presented 3 by the legislative branch of State government, (ii) vouchers 4 presented by the State Treasurer's Office for the payment of 5 unclaimed property claims authorized under the Revised Uniform 6 Unclaimed Property Act, or (iii) vouchers presented by the 7 Department of Revenue for the payment of refunds of taxes 8 administered by the Department. 9 (c) The Comptroller shall examine each voucher required by 10 law to be filed with him and determine whether unencumbered 11 appropriations or unencumbered obligational or expenditure 12 authority other than by appropriation are legally available to 13 incur the obligation or to make the expenditure of public 14 funds. If he determines that unencumbered appropriations or 15 other obligational or expenditure authority are not available 16 from which to incur the obligation or make the expenditure, 17 the Comptroller shall refuse to draw a warrant. 18 (d) The Comptroller shall examine each voucher and all 19 other documentation required to accompany the voucher, and 20 shall ascertain whether the voucher and documentation meet all 21 requirements established by or pursuant to law. If the 22 Comptroller determines that the voucher and documentation do 23 not meet applicable requirements established by or pursuant to 24 law, he shall refuse to draw a warrant. As used in this 25 Section, "requirements established by or pursuant to law" 26 includes statutory enactments and requirements established by HB2746 - 2 - LRB104 10669 HLH 20748 b HB2746- 3 -LRB104 10669 HLH 20748 b HB2746 - 3 - LRB104 10669 HLH 20748 b HB2746 - 3 - LRB104 10669 HLH 20748 b 1 rules and regulations adopted pursuant to this Act. 2 (e) Prior to drawing a warrant, the Comptroller may review 3 the voucher, any documentation accompanying the voucher, and 4 any other documentation related to the transaction on file 5 with him, and determine if the transaction is in accordance 6 with the law. If based on his review the Comptroller has reason 7 to believe that such transaction is not in accordance with the 8 law, he shall refuse to draw a warrant. 9 (f) Where the Comptroller refuses to draw a warrant 10 pursuant to this Section, he shall maintain separate records 11 of such transactions. 12 (g) State agencies shall have the principal responsibility 13 for the preaudit of their encumbrances, expenditures, and 14 other transactions as otherwise required by law. 15 (Source: P.A. 103-266, eff. 1-1-24.) 16 (15 ILCS 405/9.03) (from Ch. 15, par. 209.03) 17 Sec. 9.03. Direct deposit of State payments. 18 (a) The Comptroller, with the approval of the State 19 Treasurer, shall may provide by rule or regulation for the 20 direct deposit of any payment lawfully payable from the State 21 Treasury and in accordance with federal banking regulations 22 including but not limited to payments to (i) persons paid from 23 personal services, (ii) persons receiving benefit payments 24 from the Comptroller under the State pension systems, (iii) 25 individuals who receive assistance under Articles III, IV, and HB2746 - 3 - LRB104 10669 HLH 20748 b HB2746- 4 -LRB104 10669 HLH 20748 b HB2746 - 4 - LRB104 10669 HLH 20748 b HB2746 - 4 - LRB104 10669 HLH 20748 b 1 VI of the Illinois Public Aid Code, (iv) providers of services 2 under the Mental Health and Developmental Disabilities 3 Administrative Act, (v) providers of community-based mental 4 health services, and (vi) providers of services under programs 5 administered by the State Board of Education, in the accounts 6 of those persons or entities maintained at a bank, savings and 7 loan association, or credit union, where authorized by the 8 payee. The Comptroller also may deposit public aid payments 9 for individuals who receive assistance under Articles III, IV, 10 VI, and X of the Illinois Public Aid Code directly into an 11 electronic benefits transfer account in a financial 12 institution approved by the State Treasurer as prescribed by 13 the Illinois Department of Human Services and in accordance 14 with the rules and regulations of that Department and the 15 rules and regulations adopted by the Comptroller and the State 16 Treasurer. The Comptroller, with the approval of the State 17 Treasurer, shall may provide by rule for the electronic direct 18 deposit of payments to public agencies and any other payee of 19 the State. The electronic direct deposits may be made to the 20 designated account in those financial institutions specified 21 in this Section for the direct deposit of payments. Within 6 22 months after the effective date of this amendatory Act of 23 1994, the Comptroller shall establish a pilot program for the 24 electronic direct deposit of payments to local school 25 districts, municipalities, and units of local government. The 26 payments may be made without the use of the voucher-warrant HB2746 - 4 - LRB104 10669 HLH 20748 b HB2746- 5 -LRB104 10669 HLH 20748 b HB2746 - 5 - LRB104 10669 HLH 20748 b HB2746 - 5 - LRB104 10669 HLH 20748 b 1 system, provided that documentation of approval by the 2 Treasurer of each group of payments made by direct deposit 3 shall be retained by the Comptroller. The form and method of 4 the Treasurer's approval shall be established by the rules or 5 regulations adopted by the Comptroller under this Section. 6 (b) Except as provided in subsection (b-5), all State 7 payments for an employee's payroll or an employee's expense 8 reimbursement must be made through direct deposit. It is the 9 responsibility of the paying State agency to ensure compliance 10 with this mandate. If a State agency pays an employee's 11 payroll or an employee's expense reimbursement without using 12 direct deposit, the Comptroller may charge that employee a 13 processing fee of $2.50 per paper warrant. The processing fee 14 may be withheld from the employee's payment or reimbursement. 15 The amount collected from the fee shall be deposited into the 16 Comptroller's Administrative Fund. 17 (b-5) If an employee wants his or her payments deposited 18 into a secure check account, the employee must submit a direct 19 deposit form to the paying State agency for his or her payroll 20 or to the Comptroller for his or her expense reimbursements. 21 Upon acceptance of the direct deposit form, the Comptroller 22 shall disburse those funds to the secure check account. For 23 the purposes of this Section, "secure check account" means an 24 account established with a financial institution for the 25 employee that allows the dispensing of the funds in the 26 account through a third party who dispenses to the employee a HB2746 - 5 - LRB104 10669 HLH 20748 b HB2746- 6 -LRB104 10669 HLH 20748 b HB2746 - 6 - LRB104 10669 HLH 20748 b HB2746 - 6 - LRB104 10669 HLH 20748 b 1 paper check. 2 (c) All State payments to a vendor that exceed the 3 allowable limit of paper warrants in a fiscal year, by the same 4 agency, must be made through direct deposit. It is the 5 responsibility of the paying State agency to ensure compliance 6 with this mandate. If a State agency pays a vendor more times 7 than the allowable limit in a single fiscal year without using 8 direct deposit, the Comptroller may charge the vendor a 9 processing fee of $2.50 per paper warrant. The processing fee 10 may be withheld from the vendor's payment. The amount 11 collected from the processing fee shall be deposited into the 12 Comptroller's Administrative Fund. The Office of the 13 Comptroller shall define "allowable limit" in the 14 Comptroller's Statewide Accounting Management System (SAMS) 15 manual, except that the allowable limit shall not be less than 16 30 paper warrants. The Office of the Comptroller shall also 17 provide reasonable notice to all State agencies of the 18 allowable limit of paper warrants. 19 (c-1) All State payments to an entity from a payroll or 20 retirement voluntary deduction must be made through direct 21 deposit. If an entity receives a payment from a payroll or 22 retirement voluntary deduction without using direct deposit, 23 the Comptroller may charge the entity a processing fee of 24 $2.50 per paper warrant. The processing fee may be withheld 25 from the entity's payment or billed to the entity at a later 26 date. The amount collected from the processing fee shall be HB2746 - 6 - LRB104 10669 HLH 20748 b HB2746- 7 -LRB104 10669 HLH 20748 b HB2746 - 7 - LRB104 10669 HLH 20748 b HB2746 - 7 - LRB104 10669 HLH 20748 b 1 deposited into the Comptroller's Administrative Fund. The 2 Comptroller shall provide reasonable notice to all entities 3 impacted by this requirement. Any new entities that receive a 4 payroll or retirement voluntary deduction must sign up for 5 direct deposit during the application process. 6 (c-2) The detail information, such as names, identifiers, 7 and amounts, associated with a State payment to an entity from 8 a payroll or retirement voluntary deduction must be retrieved 9 by the entity from the Comptroller's designated Internet 10 website or an electronic alternative approved by the 11 Comptroller. If the entity requires the Comptroller to mail 12 the detail information, the Comptroller may charge the entity 13 a processing fee up to $25.00 per mailing. Any processing fee 14 will be billed to the entity at a later date. The amount 15 collected from the processing fee shall be deposited into the 16 Comptroller's Administrative Fund. The Comptroller shall 17 provide reasonable notice to all entities impacted by this 18 requirement. 19 (d) State employees covered by provisions in collective 20 bargaining agreements that do not require direct deposit of 21 paychecks are exempt from this mandate. No later than 60 days 22 after the effective date of this amendatory Act of the 97th 23 General Assembly, all State agencies must provide to the 24 Office of the Comptroller a list of employees that are exempt 25 under this subsection (d) from the direct deposit mandate. In 26 addition, a State employee or vendor may file a hardship HB2746 - 7 - LRB104 10669 HLH 20748 b HB2746- 8 -LRB104 10669 HLH 20748 b HB2746 - 8 - LRB104 10669 HLH 20748 b HB2746 - 8 - LRB104 10669 HLH 20748 b 1 petition with the Office of the Comptroller requesting an 2 exemption from the direct deposit mandate under this Section. 3 A hardship petition shall be made available for download on 4 the Comptroller's official Internet website. 5 (e) Notwithstanding any provision of law to the contrary, 6 the direct deposit of State payments under this Section for an 7 employee's payroll, an employee's expense reimbursement, or a 8 State vendor's payment does not authorize the State to 9 automatically withdraw funds from those accounts. 10 (f) For the purposes of this Section, "vendor" means a 11 non-governmental entity with a taxpayer identification number 12 issued by the Social Security Administration or Internal 13 Revenue Service that receives payments through the 14 Comptroller's commercial system. The term does not include 15 State agencies. 16 (g) The requirements of this Section do not apply to the 17 legislative or judicial branches of State government. 18 (Source: P.A. 97-348, eff. 8-12-11; 97-993, eff. 9-16-12; 19 98-463, eff. 8-16-13; 98-1043, eff. 8-25-14.) 20 Section 10. The State Finance Act is amended by changing 21 Section 25 as follows: 22 (30 ILCS 105/25) (from Ch. 127, par. 161) 23 Sec. 25. Fiscal year limitations. 24 (a) All appropriations shall be available for expenditure HB2746 - 8 - LRB104 10669 HLH 20748 b HB2746- 9 -LRB104 10669 HLH 20748 b HB2746 - 9 - LRB104 10669 HLH 20748 b HB2746 - 9 - LRB104 10669 HLH 20748 b 1 for the fiscal year or for a lesser period if the Act making 2 that appropriation so specifies. A deficiency or emergency 3 appropriation shall be available for expenditure only through 4 June 30 of the year when the Act making that appropriation is 5 enacted unless that Act otherwise provides. 6 (b) Outstanding liabilities as of June 30, payable from 7 appropriations which have otherwise expired, may be paid out 8 of the expiring appropriations during the 3-month 2-month 9 period ending at the close of business on September 30 August 10 31. Any service involving professional or artistic skills or 11 any personal services by an employee whose compensation is 12 subject to income tax withholding must be performed as of June 13 30 of the fiscal year in order to be considered an "outstanding 14 liability as of June 30" that is thereby eligible for payment 15 out of the expiring appropriation. 16 (b-1) However, payment of tuition reimbursement claims 17 under Section 14-7.03 or 18-3 of the School Code may be made by 18 the State Board of Education from its appropriations for those 19 respective purposes for any fiscal year, even though the 20 claims reimbursed by the payment may be claims attributable to 21 a prior fiscal year, and payments may be made at the direction 22 of the State Superintendent of Education from the fund from 23 which the appropriation is made without regard to any fiscal 24 year limitations, except as required by subsection (j) of this 25 Section. Beginning on June 30, 2021, payment of tuition 26 reimbursement claims under Section 14-7.03 or 18-3 of the HB2746 - 9 - LRB104 10669 HLH 20748 b HB2746- 10 -LRB104 10669 HLH 20748 b HB2746 - 10 - LRB104 10669 HLH 20748 b HB2746 - 10 - LRB104 10669 HLH 20748 b 1 School Code as of June 30, payable from appropriations that 2 have otherwise expired, may be paid out of the expiring 3 appropriation during the 4-month period ending at the close of 4 business on October 31. 5 (b-2) (Blank). 6 (b-2.5) (Blank). 7 (b-2.6) (Blank). 8 (b-2.6a) (Blank). 9 (b-2.6b) (Blank). 10 (b-2.6c) (Blank). 11 (b-2.6d) All outstanding liabilities as of June 30, 2020, 12 payable from appropriations that would otherwise expire at the 13 conclusion of the lapse period for fiscal year 2020, and 14 interest penalties payable on those liabilities under the 15 State Prompt Payment Act, may be paid out of the expiring 16 appropriations until December 31, 2020, without regard to the 17 fiscal year in which the payment is made, as long as vouchers 18 for the liabilities are received by the Comptroller no later 19 than September 30, 2020. 20 (b-2.6e) All outstanding liabilities as of June 30, 2021, 21 payable from appropriations that would otherwise expire at the 22 conclusion of the lapse period for fiscal year 2021, and 23 interest penalties payable on those liabilities under the 24 State Prompt Payment Act, may be paid out of the expiring 25 appropriations until September 30, 2021, without regard to the 26 fiscal year in which the payment is made. HB2746 - 10 - LRB104 10669 HLH 20748 b HB2746- 11 -LRB104 10669 HLH 20748 b HB2746 - 11 - LRB104 10669 HLH 20748 b HB2746 - 11 - LRB104 10669 HLH 20748 b 1 (b-2.7) For fiscal years 2012, 2013, 2014, 2018, and each 2 fiscal year thereafter, interest penalties payable under the 3 State Prompt Payment Act associated with a voucher for which 4 payment is issued after June 30 may be paid out of the next 5 fiscal year's appropriation. The future year appropriation 6 must be for the same purpose and from the same fund as the 7 original payment. An interest penalty voucher submitted 8 against a future year appropriation must be submitted within 9 60 days after the issuance of the associated voucher, except 10 that, for fiscal year 2018 only, an interest penalty voucher 11 submitted against a future year appropriation must be 12 submitted within 60 days of June 5, 2019 (the effective date of 13 Public Act 101-10). The Comptroller must issue the interest 14 payment within 60 days after acceptance of the interest 15 voucher. 16 (b-3) Medical payments may be made by the Department of 17 Veterans' Affairs from its appropriations for those purposes 18 for any fiscal year, without regard to the fact that the 19 medical services being compensated for by such payment may 20 have been rendered in a prior fiscal year, except as required 21 by subsection (j) of this Section. Beginning on June 30, 2021, 22 medical payments payable from appropriations that have 23 otherwise expired may be paid out of the expiring 24 appropriation during the 4-month period ending at the close of 25 business on October 31. 26 (b-4) Medical payments and child care payments may be made HB2746 - 11 - LRB104 10669 HLH 20748 b HB2746- 12 -LRB104 10669 HLH 20748 b HB2746 - 12 - LRB104 10669 HLH 20748 b HB2746 - 12 - LRB104 10669 HLH 20748 b 1 by the Department of Human Services (as successor to the 2 Department of Public Aid) from appropriations for those 3 purposes for any fiscal year, without regard to the fact that 4 the medical or child care services being compensated for by 5 such payment may have been rendered in a prior fiscal year; and 6 payments may be made at the direction of the Department of 7 Healthcare and Family Services (or successor agency) from the 8 Health Insurance Reserve Fund without regard to any fiscal 9 year limitations, except as required by subsection (j) of this 10 Section. Beginning on June 30, 2021, medical and child care 11 payments made by the Department of Human Services and payments 12 made at the discretion of the Department of Healthcare and 13 Family Services (or successor agency) from the Health 14 Insurance Reserve Fund and payable from appropriations that 15 have otherwise expired may be paid out of the expiring 16 appropriation during the 4-month period ending at the close of 17 business on October 31. 18 (b-5) Medical payments may be made by the Department of 19 Human Services from its appropriations relating to substance 20 abuse treatment services for any fiscal year, without regard 21 to the fact that the medical services being compensated for by 22 such payment may have been rendered in a prior fiscal year, 23 provided the payments are made on a fee-for-service basis 24 consistent with requirements established for Medicaid 25 reimbursement by the Department of Healthcare and Family 26 Services, except as required by subsection (j) of this HB2746 - 12 - LRB104 10669 HLH 20748 b HB2746- 13 -LRB104 10669 HLH 20748 b HB2746 - 13 - LRB104 10669 HLH 20748 b HB2746 - 13 - LRB104 10669 HLH 20748 b 1 Section. Beginning on June 30, 2021, medical payments made by 2 the Department of Human Services relating to substance abuse 3 treatment services payable from appropriations that have 4 otherwise expired may be paid out of the expiring 5 appropriation during the 4-month period ending at the close of 6 business on October 31. 7 (b-6) (Blank). 8 (b-7) Payments may be made in accordance with a plan 9 authorized by paragraph (11) or (12) of Section 405-105 of the 10 Department of Central Management Services Law from 11 appropriations for those payments without regard to fiscal 12 year limitations. 13 (b-8) Reimbursements to eligible airport sponsors for the 14 construction or upgrading of Automated Weather Observation 15 Systems may be made by the Department of Transportation from 16 appropriations for those purposes for any fiscal year, without 17 regard to the fact that the qualification or obligation may 18 have occurred in a prior fiscal year, provided that at the time 19 the expenditure was made the project had been approved by the 20 Department of Transportation prior to June 1, 2012 and, as a 21 result of recent changes in federal funding formulas, can no 22 longer receive federal reimbursement. 23 (b-9) (Blank). 24 (c) Further, payments may be made by the Department of 25 Public Health and the Department of Human Services (acting as 26 successor to the Department of Public Health under the HB2746 - 13 - LRB104 10669 HLH 20748 b HB2746- 14 -LRB104 10669 HLH 20748 b HB2746 - 14 - LRB104 10669 HLH 20748 b HB2746 - 14 - LRB104 10669 HLH 20748 b 1 Department of Human Services Act) from their respective 2 appropriations for grants for medical care to or on behalf of 3 premature and high-mortality risk infants and their mothers 4 and for grants for supplemental food supplies provided under 5 the United States Department of Agriculture Women, Infants and 6 Children Nutrition Program, for any fiscal year without regard 7 to the fact that the services being compensated for by such 8 payment may have been rendered in a prior fiscal year, except 9 as required by subsection (j) of this Section. Beginning on 10 June 30, 2021, payments made by the Department of Public 11 Health and the Department of Human Services from their 12 respective appropriations for grants for medical care to or on 13 behalf of premature and high-mortality risk infants and their 14 mothers and for grants for supplemental food supplies provided 15 under the United States Department of Agriculture Women, 16 Infants and Children Nutrition Program payable from 17 appropriations that have otherwise expired may be paid out of 18 the expiring appropriations during the 4-month period ending 19 at the close of business on October 31. 20 (d) The Department of Public Health and the Department of 21 Human Services (acting as successor to the Department of 22 Public Health under the Department of Human Services Act) 23 shall each annually submit to the State Comptroller, Senate 24 President, Senate Minority Leader, Speaker of the House, House 25 Minority Leader, and the respective Chairmen and Minority 26 Spokesmen of the Appropriations Committees of the Senate and HB2746 - 14 - LRB104 10669 HLH 20748 b HB2746- 15 -LRB104 10669 HLH 20748 b HB2746 - 15 - LRB104 10669 HLH 20748 b HB2746 - 15 - LRB104 10669 HLH 20748 b 1 the House, on or before December 31, a report of fiscal year 2 funds used to pay for services provided in any prior fiscal 3 year. This report shall document by program or service 4 category those expenditures from the most recently completed 5 fiscal year used to pay for services provided in prior fiscal 6 years. 7 (e) The Department of Healthcare and Family Services, the 8 Department of Human Services (acting as successor to the 9 Department of Public Aid), and the Department of Human 10 Services making fee-for-service payments relating to substance 11 abuse treatment services provided during a previous fiscal 12 year shall each annually submit to the State Comptroller, 13 Senate President, Senate Minority Leader, Speaker of the 14 House, House Minority Leader, the respective Chairmen and 15 Minority Spokesmen of the Appropriations Committees of the 16 Senate and the House, on or before November 30, a report that 17 shall document by program or service category those 18 expenditures from the most recently completed fiscal year used 19 to pay for (i) services provided in prior fiscal years and (ii) 20 services for which claims were received in prior fiscal years. 21 (f) The Department of Human Services (as successor to the 22 Department of Public Aid) shall annually submit to the State 23 Comptroller, Senate President, Senate Minority Leader, Speaker 24 of the House, House Minority Leader, and the respective 25 Chairmen and Minority Spokesmen of the Appropriations 26 Committees of the Senate and the House, on or before December HB2746 - 15 - LRB104 10669 HLH 20748 b HB2746- 16 -LRB104 10669 HLH 20748 b HB2746 - 16 - LRB104 10669 HLH 20748 b HB2746 - 16 - LRB104 10669 HLH 20748 b 1 31, a report of fiscal year funds used to pay for services 2 (other than medical care) provided in any prior fiscal year. 3 This report shall document by program or service category 4 those expenditures from the most recently completed fiscal 5 year used to pay for services provided in prior fiscal years. 6 (g) In addition, each annual report required to be 7 submitted by the Department of Healthcare and Family Services 8 under subsection (e) shall include the following information 9 with respect to the State's Medicaid program: 10 (1) Explanations of the exact causes of the variance 11 between the previous year's estimated and actual 12 liabilities. 13 (2) Factors affecting the Department of Healthcare and 14 Family Services' liabilities, including, but not limited 15 to, numbers of aid recipients, levels of medical service 16 utilization by aid recipients, and inflation in the cost 17 of medical services. 18 (3) The results of the Department's efforts to combat 19 fraud and abuse. 20 (h) As provided in Section 4 of the General Assembly 21 Compensation Act, any utility bill for service provided to a 22 General Assembly member's district office for a period 23 including portions of 2 consecutive fiscal years may be paid 24 from funds appropriated for such expenditure in either fiscal 25 year. 26 (i) An agency which administers a fund classified by the HB2746 - 16 - LRB104 10669 HLH 20748 b HB2746- 17 -LRB104 10669 HLH 20748 b HB2746 - 17 - LRB104 10669 HLH 20748 b HB2746 - 17 - LRB104 10669 HLH 20748 b 1 Comptroller as an internal service fund may issue rules for: 2 (1) billing user agencies in advance for payments or 3 authorized inter-fund transfers based on estimated charges 4 for goods or services; 5 (2) issuing credits, refunding through inter-fund 6 transfers, or reducing future inter-fund transfers during 7 the subsequent fiscal year for all user agency payments or 8 authorized inter-fund transfers received during the prior 9 fiscal year which were in excess of the final amounts owed 10 by the user agency for that period; and 11 (3) issuing catch-up billings to user agencies during 12 the subsequent fiscal year for amounts remaining due when 13 payments or authorized inter-fund transfers received from 14 the user agency during the prior fiscal year were less 15 than the total amount owed for that period. 16 User agencies are authorized to reimburse internal service 17 funds for catch-up billings by vouchers drawn against their 18 respective appropriations for the fiscal year in which the 19 catch-up billing was issued or by increasing an authorized 20 inter-fund transfer during the current fiscal year. For the 21 purposes of this Act, "inter-fund transfers" means transfers 22 without the use of the voucher-warrant process, as authorized 23 by Section 9.01 of the State Comptroller Act. 24 (i-1) Beginning on July 1, 2021, all outstanding 25 liabilities, not payable during the 4-month lapse period as 26 described in subsections (b-1), (b-3), (b-4), (b-5), and (c) HB2746 - 17 - LRB104 10669 HLH 20748 b HB2746- 18 -LRB104 10669 HLH 20748 b HB2746 - 18 - LRB104 10669 HLH 20748 b HB2746 - 18 - LRB104 10669 HLH 20748 b 1 of this Section, that are made from appropriations for that 2 purpose for any fiscal year, without regard to the fact that 3 the services being compensated for by those payments may have 4 been rendered in a prior fiscal year, are limited to only those 5 claims that have been incurred but for which a proper bill or 6 invoice as defined by the State Prompt Payment Act has not been 7 received by September 30th following the end of the fiscal 8 year in which the service was rendered. 9 (j) Notwithstanding any other provision of this Act, the 10 aggregate amount of payments to be made without regard for 11 fiscal year limitations as contained in subsections (b-1), 12 (b-3), (b-4), (b-5), and (c) of this Section, and determined 13 by using Generally Accepted Accounting Principles, shall not 14 exceed the following amounts: 15 (1) $6,000,000,000 for outstanding liabilities related 16 to fiscal year 2012; 17 (2) $5,300,000,000 for outstanding liabilities related 18 to fiscal year 2013; 19 (3) $4,600,000,000 for outstanding liabilities related 20 to fiscal year 2014; 21 (4) $4,000,000,000 for outstanding liabilities related 22 to fiscal year 2015; 23 (5) $3,300,000,000 for outstanding liabilities related 24 to fiscal year 2016; 25 (6) $2,600,000,000 for outstanding liabilities related 26 to fiscal year 2017; HB2746 - 18 - LRB104 10669 HLH 20748 b HB2746- 19 -LRB104 10669 HLH 20748 b HB2746 - 19 - LRB104 10669 HLH 20748 b HB2746 - 19 - LRB104 10669 HLH 20748 b 1 (7) $2,000,000,000 for outstanding liabilities related 2 to fiscal year 2018; 3 (8) $1,300,000,000 for outstanding liabilities related 4 to fiscal year 2019; 5 (9) $600,000,000 for outstanding liabilities related 6 to fiscal year 2020; and 7 (10) $0 for outstanding liabilities related to fiscal 8 year 2021 and fiscal years thereafter. 9 (k) Department of Healthcare and Family Services Medical 10 Assistance Payments. 11 (1) Definition of Medical Assistance. 12 For purposes of this subsection, the term "Medical 13 Assistance" shall include, but not necessarily be 14 limited to, medical programs and services authorized 15 under Titles XIX and XXI of the Social Security Act, 16 the Illinois Public Aid Code, the Children's Health 17 Insurance Program Act, the Covering ALL KIDS Health 18 Insurance Act, the Long Term Acute Care Hospital 19 Quality Improvement Transfer Program Act, and medical 20 care to or on behalf of persons suffering from chronic 21 renal disease, persons suffering from hemophilia, and 22 victims of sexual assault. 23 (2) Limitations on Medical Assistance payments that 24 may be paid from future fiscal year appropriations. 25 (A) The maximum amounts of annual unpaid Medical 26 Assistance bills received and recorded by the HB2746 - 19 - LRB104 10669 HLH 20748 b HB2746- 20 -LRB104 10669 HLH 20748 b HB2746 - 20 - LRB104 10669 HLH 20748 b HB2746 - 20 - LRB104 10669 HLH 20748 b 1 Department of Healthcare and Family Services on or 2 before June 30th of a particular fiscal year 3 attributable in aggregate to the General Revenue Fund, 4 Healthcare Provider Relief Fund, Tobacco Settlement 5 Recovery Fund, Long-Term Care Provider Fund, and the 6 Drug Rebate Fund that may be paid in total by the 7 Department from future fiscal year Medical Assistance 8 appropriations to those funds are: $700,000,000 for 9 fiscal year 2013 and $100,000,000 for fiscal year 2014 10 and each fiscal year thereafter. 11 (B) Bills for Medical Assistance services rendered 12 in a particular fiscal year, but received and recorded 13 by the Department of Healthcare and Family Services 14 after June 30th of that fiscal year, may be paid from 15 either appropriations for that fiscal year or future 16 fiscal year appropriations for Medical Assistance. 17 Such payments shall not be subject to the requirements 18 of subparagraph (A). 19 (C) Medical Assistance bills received by the 20 Department of Healthcare and Family Services in a 21 particular fiscal year, but subject to payment amount 22 adjustments in a future fiscal year may be paid from a 23 future fiscal year's appropriation for Medical 24 Assistance. Such payments shall not be subject to the 25 requirements of subparagraph (A). 26 (D) Medical Assistance payments made by the HB2746 - 20 - LRB104 10669 HLH 20748 b HB2746- 21 -LRB104 10669 HLH 20748 b HB2746 - 21 - LRB104 10669 HLH 20748 b HB2746 - 21 - LRB104 10669 HLH 20748 b 1 Department of Healthcare and Family Services from 2 funds other than those specifically referenced in 3 subparagraph (A) may be made from appropriations for 4 those purposes for any fiscal year without regard to 5 the fact that the Medical Assistance services being 6 compensated for by such payment may have been rendered 7 in a prior fiscal year. Such payments shall not be 8 subject to the requirements of subparagraph (A). 9 (3) Extended lapse period for Department of Healthcare 10 and Family Services Medical Assistance payments. 11 Notwithstanding any other State law to the contrary, 12 outstanding Department of Healthcare and Family Services 13 Medical Assistance liabilities, as of June 30th, payable 14 from appropriations which have otherwise expired, may be 15 paid out of the expiring appropriations during the 4-month 16 period ending at the close of business on October 31st. 17 (l) The changes to this Section made by Public Act 97-691 18 shall be effective for payment of Medical Assistance bills 19 incurred in fiscal year 2013 and future fiscal years. The 20 changes to this Section made by Public Act 97-691 shall not be 21 applied to Medical Assistance bills incurred in fiscal year 22 2012 or prior fiscal years. 23 (m) The Comptroller must issue payments against 24 outstanding liabilities that were received prior to the lapse 25 period deadlines set forth in this Section as soon thereafter 26 as practical, but no payment may be issued after the 4 months HB2746 - 21 - LRB104 10669 HLH 20748 b HB2746- 22 -LRB104 10669 HLH 20748 b HB2746 - 22 - LRB104 10669 HLH 20748 b HB2746 - 22 - LRB104 10669 HLH 20748 b 1 following the lapse period deadline without the signed 2 authorization of the Comptroller and the Governor or as 3 provided by Section 18 of the Court of Claims Act. 4 (Source: P.A. 102-16, eff. 6-17-21; 102-291, eff. 8-6-21; 5 102-699, eff. 4-19-22; 102-813, eff. 5-13-22; 103-8, eff. 6 6-7-23.) 7 Section 15. The State Prompt Payment Act is amended by 8 changing Sections 1, 3-2, 3-3, 3-6, 5, and 7 as follows: 9 (30 ILCS 540/1) (from Ch. 127, par. 132.401) 10 Sec. 1. This Act applies to any State official or agency 11 authorized to provide for payment from State funds, by virtue 12 of any appropriation of the General Assembly, for goods or 13 services furnished to the State. 14 For purposes of this Act, "goods or services furnished to 15 the State" include but are not limited to (i) covered health 16 care provided to eligible members and their covered dependents 17 in accordance with the State Employees Group Insurance Act of 18 1971, including coverage through a physician-owned health 19 maintenance organization under Section 6.1 of that Act, (ii) 20 prevention, intervention, or treatment services and supports 21 for persons with developmental disabilities, mental health 22 services, alcohol and substance abuse services, rehabilitation 23 services, and early intervention services provided by a 24 vendor, and (iii) prevention, intervention, or treatment HB2746 - 22 - LRB104 10669 HLH 20748 b HB2746- 23 -LRB104 10669 HLH 20748 b HB2746 - 23 - LRB104 10669 HLH 20748 b HB2746 - 23 - LRB104 10669 HLH 20748 b 1 services and supports for youth provided by a vendor by virtue 2 of a contractual grant agreement. For the purposes of items 3 (ii) and (iii), a vendor includes but is not limited to sellers 4 of goods and services, including community-based organizations 5 that are licensed to provide prevention, intervention, or 6 treatment services and supports for persons with developmental 7 disabilities, mental illness, and substance abuse problems, or 8 that provides prevention, intervention, or treatment services 9 and supports for youth. 10 For the purposes of this Act, "appropriate State official 11 or agency" is defined as the Director or Chief Executive or his 12 designee of that State agency or department or facility of 13 such agency or department. With respect to covered health care 14 provided to eligible members and their dependents in 15 accordance with the State Employees Group Insurance Act of 16 1971, "appropriate State official or agency" also includes an 17 administrator of a program of health benefits under that Act. 18 As used in this Act, "eligible member" means a member who 19 is eligible for health benefits under the State Employees 20 Group Insurance Act of 1971, and "member" and "dependent" have 21 the meanings ascribed to those terms in that Act. 22 As used in this Act, "a proper bill or invoice" means a 23 bill or invoice, including, but not limited to, an invoice 24 issued under a contractual grant agreement, that includes the 25 information necessary for processing the payment as may be 26 specified by a State agency and in rules adopted in accordance HB2746 - 23 - LRB104 10669 HLH 20748 b HB2746- 24 -LRB104 10669 HLH 20748 b HB2746 - 24 - LRB104 10669 HLH 20748 b HB2746 - 24 - LRB104 10669 HLH 20748 b 1 with this Act. Beginning on and after July 1, 2021, "a proper 2 bill or invoice" shall also include the names of all 3 subcontractors or subconsultants to be paid from the bill or 4 invoice and the amounts due to each of them, if any. 5 (Source: P.A. 100-549, eff. 1-1-18; 101-524, eff. 1-1-20.) 6 (30 ILCS 540/3-2) 7 Sec. 3-2. Beginning July 1, 1993, in any instance where a 8 State official or agency is late in payment of a vendor's bill 9 or invoice for goods or services furnished to the State, as 10 defined in Section 1, properly approved in accordance with 11 rules promulgated under Section 3-3, the State official or 12 agency shall pay interest to the vendor in accordance with the 13 following: 14 (1) (Blank). Any bill, except a bill submitted under 15 Article V of the Illinois Public Aid Code and except as 16 provided under paragraph (1.05) of this Section, approved 17 for payment under this Section must be paid or the payment 18 issued to the payee within 60 days of receipt of a proper 19 bill or invoice. If payment is not issued to the payee 20 within this 60-day period, an interest penalty of 1.0% of 21 any amount approved and unpaid shall be added for each 22 month or fraction thereof after the end of this 60-day 23 period, until final payment is made. Any bill, except a 24 bill for pharmacy or nursing facility services or goods, 25 and except as provided under paragraph (1.05) of this HB2746 - 24 - LRB104 10669 HLH 20748 b HB2746- 25 -LRB104 10669 HLH 20748 b HB2746 - 25 - LRB104 10669 HLH 20748 b HB2746 - 25 - LRB104 10669 HLH 20748 b 1 Section, submitted under Article V of the Illinois Public 2 Aid Code approved for payment under this Section must be 3 paid or the payment issued to the payee within 60 days 4 after receipt of a proper bill or invoice, and, if payment 5 is not issued to the payee within this 60-day period, an 6 interest penalty of 2.0% of any amount approved and unpaid 7 shall be added for each month or fraction thereof after 8 the end of this 60-day period, until final payment is 9 made. Any bill for pharmacy or nursing facility services 10 or goods submitted under Article V of the Illinois Public 11 Aid Code, except as provided under paragraph (1.05) of 12 this Section, and approved for payment under this Section 13 must be paid or the payment issued to the payee within 60 14 days of receipt of a proper bill or invoice. If payment is 15 not issued to the payee within this 60-day period, an 16 interest penalty of 1.0% of any amount approved and unpaid 17 shall be added for each month or fraction thereof after 18 the end of this 60-day period, until final payment is 19 made. 20 (1.05) Except as provided in paragraph (3) of this 21 Section, for For State fiscal years year 2012 through 2025 22 and future fiscal years, any bill approved for payment 23 under this Section must be paid or the payment issued to 24 the payee within 90 days of receipt of a proper bill or 25 invoice. If payment is not issued to the payee within this 26 90-day period, an interest penalty of 1.0% of any amount HB2746 - 25 - LRB104 10669 HLH 20748 b HB2746- 26 -LRB104 10669 HLH 20748 b HB2746 - 26 - LRB104 10669 HLH 20748 b HB2746 - 26 - LRB104 10669 HLH 20748 b 1 approved and unpaid shall be added for each month, or 2 0.033% (one-thirtieth of one percent) of any amount 3 approved and unpaid for each day, after the end of this 4 90-day period, until final payment is made. 5 For State fiscal year 2026 and future fiscal years, 6 any bill approved for payment under this Section must be 7 paid or the payment issued to the payee within 60 days of 8 receipt of a proper bill or invoice. If payment is not 9 issued to the payee within this 60-day period, an interest 10 penalty of 1% of any amount approved and unpaid shall be 11 added for each month, or 0.033% (one-thirtieth of one 12 percent) of any amount approved and unpaid for each day, 13 after the end of this 60-day period, until final payment 14 is made. 15 (1.1) A State agency shall review in a timely manner 16 each bill or invoice within 30 days after its receipt. If 17 the State agency determines that the bill or invoice 18 contains a defect making it unable to process the payment 19 request, the agency shall notify the vendor requesting 20 payment as soon as possible after discovering the defect 21 pursuant to rules promulgated under Section 3-3; provided, 22 however, that the notice for construction related bills or 23 invoices must be given not later than 30 days after the 24 bill or invoice was first submitted. The notice shall 25 identify the defect and any additional information 26 necessary to correct the defect. If one or more items on a HB2746 - 26 - LRB104 10669 HLH 20748 b HB2746- 27 -LRB104 10669 HLH 20748 b HB2746 - 27 - LRB104 10669 HLH 20748 b HB2746 - 27 - LRB104 10669 HLH 20748 b 1 construction related bill or invoice are disapproved, but 2 not the entire bill or invoice, then the portion that is 3 not disapproved shall be paid in accordance with the 4 requirements of this Act. 5 (2) Where a State official or agency is late in 6 payment of a vendor's bill or invoice properly approved in 7 accordance with this Act, and different late payment terms 8 are not reduced to writing as a contractual agreement, the 9 State official or agency shall automatically pay interest 10 penalties required by this Section amounting to $50 or 11 more to the appropriate vendor. Each agency shall be 12 responsible for determining whether an interest penalty is 13 owed and for paying the interest to the vendor. Except as 14 provided in paragraph (4), an individual interest payment 15 amounting to $5 or less shall not be paid by the State. 16 Interest due to a vendor that amounts to greater than $5 17 and less than $50 shall not be paid but shall be accrued 18 until all interest due the vendor for all similar warrants 19 exceeds $50, at which time the accrued interest shall be 20 payable and interest will begin accruing again, except 21 that interest accrued as of the end of the fiscal year that 22 does not exceed $50 shall be payable at that time. In the 23 event an individual has paid a vendor for services in 24 advance, the provisions of this Section shall apply until 25 payment is made to that individual. 26 (3) The provisions of Public Act 96-1501 reducing the HB2746 - 27 - LRB104 10669 HLH 20748 b HB2746- 28 -LRB104 10669 HLH 20748 b HB2746 - 28 - LRB104 10669 HLH 20748 b HB2746 - 28 - LRB104 10669 HLH 20748 b 1 interest rate on pharmacy claims under Article V of the 2 Illinois Public Aid Code to 1.0% per month shall apply to 3 any pharmacy bills for services and goods under Article V 4 of the Illinois Public Aid Code received on or after the 5 date 60 days before January 25, 2011 (the effective date 6 of Public Act 96-1501) except as provided under paragraph 7 (1.05) of this Section. 8 (4) Interest amounting to less than $5 shall not be 9 paid by the State, except for claims (i) to the Department 10 of Healthcare and Family Services or the Department of 11 Human Services, (ii) pursuant to Article V of the Illinois 12 Public Aid Code, the Covering ALL KIDS Health Insurance 13 Act, or the Children's Health Insurance Program Act, and 14 (iii) made (A) by pharmacies for prescriptive services or 15 (B) by any federally qualified health center for 16 prescriptive services or any other services. 17 Notwithstanding any provision to the contrary, interest 18 may not be paid under this Act when: (1) a Chief Procurement 19 Officer has voided the underlying contract for goods or 20 services under Article 50 of the Illinois Procurement Code; or 21 (2) the Auditor General is conducting a performance or program 22 audit and the Comptroller has held or is holding for review a 23 related contract or vouchers for payment of goods or services 24 in the exercise of duties under Section 9 of the State 25 Comptroller Act. In such event, interest shall not accrue 26 during the pendency of the Auditor General's review. HB2746 - 28 - LRB104 10669 HLH 20748 b HB2746- 29 -LRB104 10669 HLH 20748 b HB2746 - 29 - LRB104 10669 HLH 20748 b HB2746 - 29 - LRB104 10669 HLH 20748 b 1 (Source: P.A. 100-1064, eff. 8-24-18.) 2 (30 ILCS 540/3-3) (from Ch. 127, par. 132.403-3) 3 Sec. 3-3. The State Comptroller and the Department of 4 Central Management Services shall jointly promulgate rules and 5 policies to govern the uniform application of this Act. These 6 rules and policies shall include procedures and time frames 7 for approving a bill or invoice from a vendor for goods or 8 services furnished to the State. Those rules shall require 9 that action to approve or reject a bill or invoice shall be 10 taken not more than 30 days after receiving the bill or invoice 11 from the vendor. These rules and policies shall provide for 12 procedures and time frames applicable to payment plans as may 13 be agreed upon between State agencies and vendors. These rules 14 and policies shall be binding on all officials and agencies 15 under this Act's jurisdiction. These rules and policies may be 16 made effective no earlier than July 1, 1993. 17 (Source: P.A. 92-384, eff. 7-1-02.) 18 (30 ILCS 540/3-6) 19 Sec. 3-6. Federal funds; lack of authority. If an agency 20 incurs an interest liability under this Act that cannot be 21 charged to the same expenditure authority account to which the 22 related goods or services were charged due to federal 23 prohibitions, the agency is authorized to pay the interest 24 from its available appropriations from any funding source the HB2746 - 29 - LRB104 10669 HLH 20748 b HB2746- 30 -LRB104 10669 HLH 20748 b HB2746 - 30 - LRB104 10669 HLH 20748 b HB2746 - 30 - LRB104 10669 HLH 20748 b 1 General Revenue Fund, except that the Department of 2 Transportation is authorized to pay the interest from its 3 available appropriations from the Road Fund, as long as the 4 original goods or services were for purposes consistent with 5 Section 11 of Article IX of the Illinois Constitution. 6 (Source: P.A. 103-588, eff. 6-5-24.) 7 (30 ILCS 540/5) (from Ch. 127, par. 132.405) 8 Sec. 5. The State remittance and the grant agreement shall 9 indicate that payment of interest may be available for failure 10 to comply with this Act. 11 (Source: P.A. 92-384, eff. 7-1-02.) 12 (30 ILCS 540/7) (from Ch. 127, par. 132.407) 13 Sec. 7. Payments to subcontractors and material suppliers. 14 (a) When a State official or agency responsible for 15 administering a contract receives a bill or invoice from a 16 contractor, that State official or agency shall confirm the 17 date on which the bill or invoice was received within 5 18 business days of receipt, and shall transmit any approved 19 amount to the Comptroller within 30 days of receipt. 20 (a-1) When a State official or agency responsible for 21 administering a contract submits a voucher to the Comptroller 22 for payment to a contractor, that State official or agency 23 shall promptly make available electronically the voucher 24 number, the date of the voucher, and the amount of the voucher HB2746 - 30 - LRB104 10669 HLH 20748 b HB2746- 31 -LRB104 10669 HLH 20748 b HB2746 - 31 - LRB104 10669 HLH 20748 b HB2746 - 31 - LRB104 10669 HLH 20748 b 1 within 5 business days of submitting the voucher to the 2 Comptroller. The State official or agency responsible for 3 administering the contract shall provide subcontractors and 4 material suppliers, known to the State official or agency, 5 with instructions on how to access the electronic information 6 on the Comptroller's website. 7 (a-5) When a contractor receives any payment, the 8 contractor shall pay each subcontractor and material supplier 9 electronically within 10 business days or 15 calendar days, 10 whichever occurs earlier, or, if paid by a printed check, the 11 printed check must be postmarked within 10 business days or 15 12 calendar days, whichever occurs earlier, after receiving 13 payment in proportion to the work completed by each 14 subcontractor and material supplier its application or pay 15 estimate, plus interest received under this Act. When a 16 contractor receives any payment, the contractor shall pay each 17 lower-tiered subcontractor and material supplier and each 18 subcontractor and material supplier shall make payment to its 19 own respective subcontractors and material suppliers. If the 20 contractor receives less than the full payment due under the 21 public construction contract, the contractor shall be 22 obligated to disburse on a pro rata basis those funds 23 received, plus interest received under this Act, with the 24 contractor, subcontractors and material suppliers each 25 receiving a prorated portion based on the amount of payment 26 each has earned. When, however, the State official or agency HB2746 - 31 - LRB104 10669 HLH 20748 b HB2746- 32 -LRB104 10669 HLH 20748 b HB2746 - 32 - LRB104 10669 HLH 20748 b HB2746 - 32 - LRB104 10669 HLH 20748 b 1 does not release the full payment due under the contract 2 because there are specific areas of work or materials the 3 State agency or official has determined are not suitable for 4 payment, then those specific subcontractors or material 5 suppliers involved shall not be paid for that portion of work 6 rejected or deemed not suitable for payment and all other 7 subcontractors and suppliers shall be paid based upon the 8 amount of payment each has earned, plus interest received 9 under this Act. 10 (a-10) For construction contracts with the Department of 11 Transportation, the contractor, subcontractor, or material 12 supplier, regardless of tier, shall not offset, decrease, or 13 diminish payment or payments that are due to its 14 subcontractors or material suppliers without reasonable cause. 15 A contractor, who refuses to make prompt payment within 10 16 business days or 15 calendar days, whichever occurs earlier, 17 after receiving payment, in whole or in part, shall provide to 18 the subcontractor or material supplier and the public owner or 19 its agent, a written notice of that refusal. The written 20 notice shall be made by a contractor no later than 5 calendar 21 days after payment is received by the contractor. The written 22 notice shall identify the Department of Transportation's 23 contract, any subcontract or material purchase agreement, a 24 detailed reason for refusal, the value of the payment to be 25 withheld, and the specific remedial actions required of the 26 subcontractor or material supplier so that payment may be HB2746 - 32 - LRB104 10669 HLH 20748 b HB2746- 33 -LRB104 10669 HLH 20748 b HB2746 - 33 - LRB104 10669 HLH 20748 b HB2746 - 33 - LRB104 10669 HLH 20748 b 1 made. Written notice of refusal may be given in a form and 2 method which is acceptable to the parties and public owner. 3 (b) If the contractor, without reasonable cause, fails to 4 make full payment of amounts due under subsection (a) to its 5 subcontractors and material suppliers within 10 business days 6 or 15 calendar days, whichever occurs earlier, after receipt 7 of payment from the State official or agency, the contractor 8 shall pay to its subcontractors and material suppliers, in 9 addition to the payment due them, interest in the amount of 2% 10 per month, calculated from the expiration of the 11 10-business-day period or the 15-calendar-day period until 12 fully paid. This subsection shall further apply to any 13 payments made by subcontractors and material suppliers to 14 their subcontractors and material suppliers and to all 15 payments made to lower tier subcontractors and material 16 suppliers throughout the contracting chain. 17 (1) If a contractor, without reasonable cause, fails 18 to make payment in full as provided in subsection (a-5) 19 within 10 business days or 15 calendar days, whichever 20 occurs earlier, after receipt of payment under the public 21 construction contract, any subcontractor or material 22 supplier to whom payments are owed may file a written 23 notice and request for administrative hearing with the 24 State official or agency setting forth the amount owed by 25 the contractor and the contractor's failure to timely pay 26 the amount owed. The written notice and request for HB2746 - 33 - LRB104 10669 HLH 20748 b HB2746- 34 -LRB104 10669 HLH 20748 b HB2746 - 34 - LRB104 10669 HLH 20748 b HB2746 - 34 - LRB104 10669 HLH 20748 b 1 administrative hearing shall identify the public 2 construction contract, the contractor, and the amount 3 owed, and shall contain a sworn statement or attestation 4 to verify the accuracy of the notice. The notice and 5 request for administrative hearing shall be filed with the 6 State official for the public construction contract, with 7 a copy of the notice concurrently provided to the 8 contractor. Notice to the State official may be made by 9 certified or registered mail, messenger service, or 10 personal service, and must include proof of delivery to 11 the State official. 12 (2) The State official or agency, within 15 calendar 13 days after receipt of a subcontractor's or material 14 supplier's written notice and request for administrative 15 hearing, shall hold a hearing convened by an 16 administrative law judge to determine whether the 17 contractor withheld payment, without reasonable cause, 18 from the subcontractors or material suppliers and what 19 amount, if any, is due to the subcontractors or material 20 suppliers, and the reasonable cause or causes asserted by 21 the contractor. The State official or agency shall provide 22 appropriate notice to the parties of the date, time, and 23 location of the hearing. Each contractor, subcontractor, 24 or material supplier has the right to be represented by 25 counsel at a hearing and to cross-examine witnesses and 26 challenge documents. Upon the request of the subcontractor HB2746 - 34 - LRB104 10669 HLH 20748 b HB2746- 35 -LRB104 10669 HLH 20748 b HB2746 - 35 - LRB104 10669 HLH 20748 b HB2746 - 35 - LRB104 10669 HLH 20748 b 1 or material supplier and a showing of good cause, 2 reasonable continuances may be granted by the 3 administrative law judge. 4 (3) Upon a finding by the administrative law judge 5 that the contractor failed to make payment in full, 6 without reasonable cause, as provided in subsection 7 (a-10), then the administrative law judge shall, in 8 writing, order the contractor to pay the amount owed to 9 the subcontractors or material suppliers plus interest 10 within 15 calendar days after the order. 11 (4) If a contractor fails to make full payment as 12 ordered under paragraph (3) of this subsection (b) within 13 15 days after the administrative law judge's order, then 14 the contractor shall be barred from entering into a State 15 public construction contract for a period of one year 16 beginning on the date of the administrative law judge's 17 order. 18 (5) If, on 2 or more occasions within a 19 3-calendar-year period, there is a finding by an 20 administrative law judge that the contractor failed to 21 make payment in full, without reasonable cause, and a 22 written order was issued to a contractor under paragraph 23 (3) of this subsection (b), then the contractor shall be 24 barred from entering into a State public construction 25 contract for a period of 6 months beginning on the date of 26 the administrative law judge's second written order, even HB2746 - 35 - LRB104 10669 HLH 20748 b HB2746- 36 -LRB104 10669 HLH 20748 b HB2746 - 36 - LRB104 10669 HLH 20748 b HB2746 - 36 - LRB104 10669 HLH 20748 b 1 if the payments required under the orders were made in 2 full. 3 (6) If a contractor fails to make full payment as 4 ordered under paragraph (4) of this subsection (b), the 5 subcontractor or material supplier may, within 30 days of 6 the date of that order, petition the State agency for an 7 order for reasonable attorney's fees and costs incurred in 8 the prosecution of the action under this subsection (b). 9 Upon that petition and taking of additional evidence, as 10 may be required, the administrative law judge may issue a 11 supplemental order directing the contractor to pay those 12 reasonable attorney's fees and costs. 13 (7) The written order of the administrative law judge 14 shall be final and appealable under the Administrative 15 Review Law. 16 (b-5) On or before July 2021, the Department of 17 Transportation shall publish on its website a searchable 18 database that allows for queries for each active construction 19 contract by the name of a subcontractor or the pay item such 20 that each pay item is associated with either the prime 21 contractor or a subcontractor. 22 (c) This Section shall not be construed to in any manner 23 diminish, negate, or interfere with the 24 contractor-subcontractor or contractor-material supplier 25 relationship or commercially useful function. 26 (d) This Section shall not preclude, bar, or stay the HB2746 - 36 - LRB104 10669 HLH 20748 b HB2746- 37 -LRB104 10669 HLH 20748 b HB2746 - 37 - LRB104 10669 HLH 20748 b HB2746 - 37 - LRB104 10669 HLH 20748 b 1 rights, remedies, and defenses available to the parties by way 2 of the operation of their contract, purchase agreement, the 3 Mechanics Lien Act, or the Public Construction Bond Act. 4 (e) State officials and agencies may adopt rules as may be 5 deemed necessary in order to establish the formal procedures 6 required under this Section. 7 (f) As used in this Section: 8 "Payment" means the discharge of an obligation in money or 9 other valuable consideration or thing delivered in full or 10 partial satisfaction of an obligation to pay. "Payment" shall 11 include interest paid pursuant to this Act. 12 "Reasonable cause" may include, but is not limited to, 13 unsatisfactory workmanship or materials; failure to provide 14 documentation required by the contract, subcontract, or 15 material purchase agreement; claims made against the 16 Department of Transportation or the subcontractor pursuant to 17 subsection (c) of Section 23 of the Mechanics Lien Act or the 18 Public Construction Bond Act; judgments, levies, garnishments, 19 or other court-ordered assessments or offsets in favor of the 20 Department of Transportation or other State agency entered 21 against a subcontractor or material supplier. "Reasonable 22 cause" does not include payments issued to the contractor that 23 create a negative or reduced valuation pay application or pay 24 estimate due to a reduction of contract quantities or work not 25 performed or provided by the subcontractor or material 26 supplier; the interception or withholding of funds for reasons HB2746 - 37 - LRB104 10669 HLH 20748 b HB2746- 38 -LRB104 10669 HLH 20748 b HB2746 - 38 - LRB104 10669 HLH 20748 b HB2746 - 38 - LRB104 10669 HLH 20748 b 1 not related to the subcontractor's or material supplier's work 2 on the contract; anticipated claims or assessments of third 3 parties not a party related to the contract or subcontract; 4 asserted claims or assessments of third parties that are not 5 authorized by court order, administrative tribunal, or 6 statute. "Reasonable cause" further does not include the 7 withholding, offset, or reduction of payment, in whole or in 8 part, due to the assessment of liquidated damages or penalties 9 assessed by the Department of Transportation against the 10 contractor, unless the subcontractor's performance or supplied 11 materials were the sole and proximate cause of the liquidated 12 damage or penalty. 13 (Source: P.A. 100-43, eff. 8-9-17; 100-376, eff. 1-1-18; 14 100-863, eff. 8-14-18; 101-524, eff. 1-1-20.) 15 Section 20. The Grant Accountability and Transparency Act 16 is amended by changing Sections 30, 50, and 125 and by adding 17 Section 135 as follows: 18 (30 ILCS 708/30) 19 Sec. 30. Catalog of State Financial Assistance. The 20 Catalog of State Financial Assistance is a single, 21 authoritative, statewide, comprehensive source document of 22 State financial assistance program information. The Catalog 23 shall contain, at a minimum, the following information: 24 (1) An introductory section that contains Catalog HB2746 - 38 - LRB104 10669 HLH 20748 b HB2746- 39 -LRB104 10669 HLH 20748 b HB2746 - 39 - LRB104 10669 HLH 20748 b HB2746 - 39 - LRB104 10669 HLH 20748 b 1 highlights, an explanation of how to use the Catalog, an 2 explanation of the Catalog and its contents, and suggested 3 grant proposal writing methods and grant application 4 procedures. 5 (2) A comprehensive indexing system that categorizes 6 programs by issuing agency, eligible applicant, 7 application deadlines, function, popular name, and subject 8 area. 9 (3) Comprehensive appendices showing State assistance 10 programs that require coordination through this Act and 11 regulatory, legislative, and Executive Order authority for 12 each program, commonly used abbreviations and acronyms, 13 agency regional and local office addresses, and sources of 14 additional information. 15 (4) A list of programs that have been added to or 16 deleted from the Catalog and the various program numbers 17 and title changes. 18 (5) Program number, title, and popular name, if 19 applicable. 20 (6) The name of the State department or agency or 21 independent agency and primary organization sub-unit 22 administering the program. 23 (7) The enabling legislation, including popular name 24 of the Act, titles and Sections, Public Act number, and 25 citation to the Illinois Compiled Statutes. 26 (8) The type or types of financial and nonfinancial HB2746 - 39 - LRB104 10669 HLH 20748 b HB2746- 40 -LRB104 10669 HLH 20748 b HB2746 - 40 - LRB104 10669 HLH 20748 b HB2746 - 40 - LRB104 10669 HLH 20748 b 1 assistance offered by the program. 2 (9) Uses and restrictions placed upon the program. 3 (10) Eligibility requirements, including applicant 4 eligibility criteria, beneficiary eligibility criteria, 5 and required credentials and documentation. 6 (11) Objectives and goals of the program. 7 (12) Information regarding application and award 8 processing; application deadlines; range of approval or 9 disapproval time; appeal procedure; and availability of a 10 renewal or extension of assistance. 11 (13) Assistance considerations, including an 12 explanation of the award formula, matching requirements, 13 and the length and time phasing of the assistance. 14 (14) Post-assistance requirements, including any 15 reports, audits, and records that may be required. 16 (15) Program accomplishments (where available) 17 describing quantitative measures of program performance. 18 (16) Regulations, guidelines, and literature 19 containing citations to the Illinois Administrative Code, 20 the Code of Federal Regulations, and other pertinent 21 informational materials. 22 (17) The names, telephone numbers, and e-mail 23 addresses of persons to be contacted for detailed program 24 information at the headquarters, regional, and local 25 levels. 26 (18) Criteria for Prompt Payment Act eligibility and HB2746 - 40 - LRB104 10669 HLH 20748 b HB2746- 41 -LRB104 10669 HLH 20748 b HB2746 - 41 - LRB104 10669 HLH 20748 b HB2746 - 41 - LRB104 10669 HLH 20748 b 1 advanced payment eligibility. 2 (Source: P.A. 98-706, eff. 7-16-14.) 3 (30 ILCS 708/50) 4 Sec. 50. State grant-making agency responsibilities. 5 (a) The specific requirements and responsibilities of 6 State grant-making agencies and non-federal entities are set 7 forth in this Act. State agencies making State awards to 8 non-federal entities must adopt by rule the language in 2 CFR 9 200, Subpart C through Subpart F unless different provisions 10 are required by law. 11 (b) Each State grant-making agency shall appoint a Chief 12 Accountability Officer who shall serve as a liaison to the 13 Grant Accountability and Transparency Unit and who shall be 14 responsible for the State agency's implementation of and 15 compliance with the rules. 16 (c) In order to effectively measure the performance of its 17 recipients and subrecipients, each State grant-making agency 18 shall: 19 (1) require its recipients and subrecipients to relate 20 financial data to performance accomplishments of the award 21 and, when applicable, must require recipients and 22 subrecipients to provide cost information to demonstrate 23 cost-effective practices. The recipient's and 24 subrecipient's performance should be measured in a way 25 that will help the State agency to improve program HB2746 - 41 - LRB104 10669 HLH 20748 b HB2746- 42 -LRB104 10669 HLH 20748 b HB2746 - 42 - LRB104 10669 HLH 20748 b HB2746 - 42 - LRB104 10669 HLH 20748 b 1 outcomes, share lessons learned, and spread the adoption 2 of promising practices; and 3 (2) provide recipients and subrecipients with clear 4 performance goals, indicators, and milestones and must 5 establish performance reporting frequency and content to 6 not only allow the State agency to understand the 7 recipient's progress, but also to facilitate 8 identification of promising practices among recipients and 9 subrecipients and build the evidence upon which the State 10 agency's program and performance decisions are made. The 11 frequency of reports on performance goals, indicators, and 12 milestones required under this Section shall not be more 13 frequent than quarterly. Nothing in this Section is 14 intended to prohibit more frequent reporting to assess 15 items such as service needs, gaps, or capacity, as 16 indicated by a corrective action plan or by a risk 17 assessment. 18 (c-5) Each State grant-making agency shall, when it is in 19 the best interests of the State, request that the Office of the 20 Comptroller issue a stop payment order in accordance with 21 Section 105 of this Act. 22 (c-6) Upon notification by the Grant Transparency and 23 Accountability Unit that a stop payment order has been 24 requested by a State grant-making agency, each State 25 grant-making agency who has issued a grant to that recipient 26 or subrecipient shall determine if it remains in the best HB2746 - 42 - LRB104 10669 HLH 20748 b HB2746- 43 -LRB104 10669 HLH 20748 b HB2746 - 43 - LRB104 10669 HLH 20748 b HB2746 - 43 - LRB104 10669 HLH 20748 b 1 interests of the State to continue to issue payments to the 2 recipient or subrecipient. 3 (d) The Governor's Office of Management and Budget shall 4 provide such advice and technical assistance to the State 5 grant-making agencies as is necessary or indicated in order to 6 ensure compliance with this Act. Advice and technical 7 assistance to State grant-making agencies shall include: 8 (1) training for State agency staff about the criteria 9 for Prompt Payment Act eligibility and advanced payment 10 eligibility; 11 (2) best practices for disseminating information about 12 grant opportunities statewide, with an emphasis on 13 reaching previously underserved communities and new 14 vendors, and 15 (3) the Court of Claims' jurisdiction and process 16 under the Court of Claims Act. 17 (e) In accordance with this Act and the Illinois State 18 Collection Act of 1986, refunds required under the Grant Funds 19 Recovery Act may be referred to the Comptroller's offset 20 system. 21 (Source: P.A. 100-997, eff. 8-20-18.) 22 (30 ILCS 708/125) 23 Sec. 125. Expenditures prior to grant execution; reporting 24 requirements. 25 (a) In the event that a recipient or subrecipient incurs HB2746 - 43 - LRB104 10669 HLH 20748 b HB2746- 44 -LRB104 10669 HLH 20748 b HB2746 - 44 - LRB104 10669 HLH 20748 b HB2746 - 44 - LRB104 10669 HLH 20748 b 1 expenses related to the grant award prior to the execution of 2 the grant agreement but within the term of the grant, and the 3 grant agreement is executed more than 30 days after the 4 effective date of the grant, the recipient or subrecipient 5 must submit to the State grant-making agency a report that 6 accounts for eligible grant expenditures and project 7 activities from the effective date of the grant up to and 8 including the date of execution of the grant agreement. If the 9 State grant-making agency does not issue the grant agreement 10 to the recipient within 60 days of the effective date of the 11 grant, interest penalties shall apply pursuant to Section 3-4 12 of the State Prompt Payment Act. 13 (b) The recipient or subrecipient must submit the report 14 to the State grant-making agency within 30 days of execution 15 of the grant agreement. 16 (c) Only those expenses that are reasonable, allowable, 17 and in furtherance of the purpose of the grant award shall be 18 reimbursed. 19 (d) The State grant-making agency must approve the report 20 prior to issuing any payment to the recipient or subrecipient. 21 (Source: P.A. 100-997, eff. 8-20-18.) 22 (30 ILCS 708/135 new) 23 Sec. 135. Grant Agreement specifications. 24 (a) A grant agreement shall include: 25 (1) the dates on which the State grant-making agency HB2746 - 44 - LRB104 10669 HLH 20748 b HB2746- 45 -LRB104 10669 HLH 20748 b HB2746 - 45 - LRB104 10669 HLH 20748 b HB2746 - 45 - LRB104 10669 HLH 20748 b 1 will transmit vouchers to the Comptroller; and 2 (2) whether the grant is eligible under the Prompt 3 Payment Act or for advanced payments. 4 (b) A State agency shall not restrict the amount of money 5 used to pay for fringe benefits. 6 (c) A State agency shall not restrict indirect costs to 7 less than 20% of the grant agreement or the federally 8 negotiated rate, whichever is higher, unless the recipient 9 prefers a lower rate. 10 (d) A State agency shall not restrict direct 11 administrative costs to less than 20% of direct costs in the 12 grant agreement unless the recipient prefers a lower rate. 13 (e) Nothing in this Section shall apply to grants that are 14 solely for the purpose of capital projects. 15 (f) Nothing in this Section shall apply if the grant 16 conflicts with requirements due to federal law or federal 17 grant obligations. 18 Section 25. The Court of Claims Act is amended by changing 19 Sections 6, 9, 10, 11, 13, 16, 19, 21, 22, 23, and 24 and by 20 adding Section 8.1 as follows: 21 (705 ILCS 505/6) (from Ch. 37, par. 439.6) 22 Sec. 6. The court shall hold sessions at such places as it 23 deems necessary to expedite the business of the court and may 24 hold sessions in person or remotely. The court may adopt HB2746 - 45 - LRB104 10669 HLH 20748 b HB2746- 46 -LRB104 10669 HLH 20748 b HB2746 - 46 - LRB104 10669 HLH 20748 b HB2746 - 46 - LRB104 10669 HLH 20748 b 1 administrative rules to provide for remote participation and 2 electronic filing in any proceeding and for the conduct of any 3 business of the court. 4 (Source: P.A. 90-492, eff. 8-17-97.) 5 (705 ILCS 505/8.1 new) 6 Sec. 8.1. Confirmation of claims. The court must confirm 7 receipt of claim to the vendor within 30 days for all claims 8 arising under paragraph (b) of Section 8 of this Act. The State 9 agency must confirm or reject all claims arising under 10 paragraph (b) of Section 8 of this Act within 30 days after 11 being contacted by the Attorney General. If the State agency 12 does not confirm or reject a claim within 30 days, the State 13 agency forfeits the right to reject or contest the claim. The 14 Comptroller must issue payment to vendors within 30 days of 15 the court entering an award for claims arising under paragraph 16 (b) of Section 8 of this Act, subject to available 17 appropriation. 18 (705 ILCS 505/9) (from Ch. 37, par. 439.9) 19 Sec. 9. Court powers and duties. The court may: 20 (a) The court may establish A. Establish rules for its 21 government and for the regulation of practice therein; appoint 22 commissioners to assist the court in such manner as it directs 23 and discharge them at will; and exercise such powers as are 24 necessary to carry into effect the powers granted in this HB2746 - 46 - LRB104 10669 HLH 20748 b HB2746- 47 -LRB104 10669 HLH 20748 b HB2746 - 47 - LRB104 10669 HLH 20748 b HB2746 - 47 - LRB104 10669 HLH 20748 b 1 Section. Any Commissioner appointed shall be an attorney 2 licensed to practice law in the State of Illinois. The rules 3 established hereunder shall not be waived, and any extension 4 of time authorized by such rules shall only be allowed on 5 motion duly filed within the time limitation for which the 6 extension is requested. 7 (b) The court may issue B. Issue subpoenas through the 8 Chief Justice or one of its judges or commissioners to require 9 the attendance of witnesses for the purpose of testifying 10 before it, or before any judge of the court, or before any 11 notary public, or any of its commissioners, and to require the 12 production of any books, records, papers or documents that may 13 be material or relevant as evidence in any matter pending 14 before it. In case any person refuses to comply with any 15 subpoena issued in the name of the chief justice, or one of the 16 judges or commissioners, attested by the clerk, with the seal 17 of the court attached, and served upon the person named 18 therein as a summons in a civil action is served, the circuit 19 court of the proper county, on application of the party at 20 whose instance the subpoena was issued, shall compel obedience 21 by attachment proceedings, as for contempt, as in a case of a 22 disobedience of the requirements of a subpoena from such court 23 on a refusal to testify therein. 24 (c) The court shall create an online portal that allows 25 vendors to submit claims electronically under subsection (b) 26 of Section 8 of this Act, and to view and track the status of HB2746 - 47 - LRB104 10669 HLH 20748 b HB2746- 48 -LRB104 10669 HLH 20748 b HB2746 - 48 - LRB104 10669 HLH 20748 b HB2746 - 48 - LRB104 10669 HLH 20748 b 1 their claim and any related documentation. 2 (d) If the court determines that it is unable to process a 3 claim because the bill or invoice contains a defect, the court 4 shall notify the vendor requesting payment not later than 30 5 days after the bill or invoice was first submitted. The notice 6 shall identify the defect and any additional information 7 necessary to correct the defect. If one or more items on a bill 8 or invoice are disapproved, but not the entire bill or 9 invoice, then the portion that is not disapproved shall be 10 paid. For disapproved portions of a claim, the court shall 11 allow claimants to electronically submit documentation to 12 amend and cure defects through the online portal created by 13 this Act within 30 days after receipt of notice of denied 14 claim. 15 (Source: P.A. 83-865.) 16 (705 ILCS 505/10) (from Ch. 37, par. 439.10) 17 Sec. 10. (a) The judges, commissioners and the clerk of 18 the court may administer oaths and affirmations, take 19 acknowledgments of instruments in writing, and give 20 certificates of them. 21 (b) The clerk of the court may administratively determine 22 certain claims against the State if the claim possesses all of 23 the following characteristics: 24 (1) The claim does not arise under an appropriation 25 for the current fiscal year. HB2746 - 48 - LRB104 10669 HLH 20748 b HB2746- 49 -LRB104 10669 HLH 20748 b HB2746 - 49 - LRB104 10669 HLH 20748 b HB2746 - 49 - LRB104 10669 HLH 20748 b 1 (2) The State agency concerned concurs in the claim. 2 (3) The amount claimed does not exceed $2,500. 3 (4) The claim has been approved by the Attorney 4 General as one that, in view of the purposes of this Act, 5 should be paid. 6 The State agency concerned shall prepare the record of the 7 claim consisting of all papers, stipulations, and evidential 8 documents required by the rules of the court and file the same 9 with the clerk. The clerk shall consider the claim informally 10 upon the record submitted. If the clerk determines that the 11 claim should be entered as an approved claim and an award made, 12 the clerk shall so order and shall file a statement with the 13 court. If the clerk finds that the record is inadequate, or 14 that the claim should not be paid, the clerk shall reject the 15 claim. The rejection of a claim under this Section does not bar 16 its resubmission under the regular procedure. 17 (c) The judges, commissioners, and the clerk of the court 18 may conduct any activity of the court remotely. 19 (d) The Court of Claims may adopt administrative rules to 20 implement this Section. 21 (Source: Laws 1945, p. 660.) 22 (705 ILCS 505/11) (from Ch. 37, par. 439.11) 23 Sec. 11. Filing claims. 24 (a) Except as otherwise provided in subsection (b) of this 25 Section and subsection (4) of Section 24, the claimant shall HB2746 - 49 - LRB104 10669 HLH 20748 b HB2746- 50 -LRB104 10669 HLH 20748 b HB2746 - 50 - LRB104 10669 HLH 20748 b HB2746 - 50 - LRB104 10669 HLH 20748 b 1 in all cases set forth fully in his petition the claim, the 2 action thereon, if any, on behalf of the State, what persons 3 are owners or trustees as defined under Section 3 of the 4 Charitable Trust Act thereof or interested therein, when and 5 upon what consideration such persons became so interested; 6 that no assignment or transfer of the claim or any part thereof 7 or interest therein has been made, except as stated in the 8 petition; that the claimant is justly entitled to the amount 9 therein claimed from the State of Illinois, after allowing all 10 just credits; and that claimant believes the facts stated in 11 the petition to be true. The petition shall be verified, as to 12 statements of facts, by the affidavit of the claimant, his 13 agent, or attorney. 14 (b) Whenever a person has served a term of imprisonment 15 and has received a pardon by the Governor stating that such 16 pardon was issued on the ground of innocence of the crime for 17 which he or she was imprisoned, the Prisoner Review Board 18 shall transmit this information to the clerk of the Court of 19 Claims, together with the claimant's current address. Whenever 20 a person has served a term of imprisonment and has received a 21 certificate of innocence from the Circuit Court as provided in 22 Section 2-702 of the Code of Civil Procedure, the clerk of the 23 issuing Circuit Court shall transmit this information to the 24 clerk of the Court of Claims, together with the claimant's 25 current address. The clerk of the Court of Claims shall 26 immediately docket the case for consideration by the Court of HB2746 - 50 - LRB104 10669 HLH 20748 b HB2746- 51 -LRB104 10669 HLH 20748 b HB2746 - 51 - LRB104 10669 HLH 20748 b HB2746 - 51 - LRB104 10669 HLH 20748 b 1 Claims, and shall provide notice to the claimant of such 2 docketing together with all hearing dates and applicable 3 deadlines. The Court of Claims shall hear the case and render a 4 decision within 90 days after its docketing. 5 (Source: P.A. 95-970, eff. 9-22-08; 96-328, eff. 8-11-09.) 6 (705 ILCS 505/13) (from Ch. 37, par. 439.13) 7 Sec. 13. Evidence. Any judge or commissioner of the court 8 may sit at any place within the State to take evidence in any 9 case in the court. Any judge or commissioner may take evidence 10 remotely. 11 (Source: Laws 1945, p. 660.) 12 (705 ILCS 505/16) (from Ch. 37, par. 439.16) 13 Sec. 16. Concurrence of judges. Concurrence of 4 judges is 14 necessary to the decision of any case; provided, however, the 15 court in its discretion may assign any case to a commissioner 16 for hearing and final decision, subject to whatever right of 17 review the court by rule may choose to exercise. In matters 18 involving claims made with respect to lapsed appropriations or 19 the award of emergency funds under the Crime Victims 20 Compensation Act, the decision of only one judge is necessary 21 to award emergency funds. 22 (Source: P.A. 92-286, eff. 1-1-02.) 23 (705 ILCS 505/19) (from Ch. 37, par. 439.19) HB2746 - 51 - LRB104 10669 HLH 20748 b HB2746- 52 -LRB104 10669 HLH 20748 b HB2746 - 52 - LRB104 10669 HLH 20748 b HB2746 - 52 - LRB104 10669 HLH 20748 b 1 Sec. 19. The Attorney General, or his assistants under his 2 direction, shall appear for the defense and protection of the 3 interests of the State of Illinois in all cases filed in the 4 court, and may make claim for recoupment by the State. 5 For all claims arising under paragraph (b) of Section 8 of 6 this Act: 7 (1) the Attorney General must confirm receipt of the 8 claim to the claimant and contact the State agency within 9 5 days of receiving the claim from the court to confirm or 10 reject the veracity of the claim. 11 (2) the State agency must confirm or reject the 12 veracity of the claim with the Attorney General's office 13 within 45 days of being contacted by the Attorney General. 14 (3) The Attorney General must notify the claimant of 15 the State agency's decision and file a stipulation or 16 motion with the Court within 30 days of the State agency 17 confirming or rejecting the claim. 18 (Source: Laws 1945, p. 660.) 19 (705 ILCS 505/21) (from Ch. 37, par. 439.21) 20 Sec. 21. The court is authorized to impose, by uniform 21 rules, a fee of $15 for the filing of a petition in any case in 22 which the award sought is more than $500 $50 and less than 23 $10,000 $1,000 and $35 in any case in which the award sought is 24 $10,000 $1,000 or more; and to charge and collect for copies of 25 opinions or other documents filed in the Court of Claims such HB2746 - 52 - LRB104 10669 HLH 20748 b HB2746- 53 -LRB104 10669 HLH 20748 b HB2746 - 53 - LRB104 10669 HLH 20748 b HB2746 - 53 - LRB104 10669 HLH 20748 b 1 fees as may be prescribed by the rules of the Court. All fees 2 and charges so collected shall be forthwith paid into the 3 State Treasury. For claims arising from paragraph (b) of 4 Section 8 of this Act, when the Court rules in favor of the 5 vendor, the filing fee shall be refunded to the claimant. The 6 court may determine the form and manner of all filing fees and 7 other charges due the court by rule. 8 A petitioner who is a prisoner in an Illinois Department 9 of Corrections facility who files a pleading, motion, or other 10 filing that purports to be a legal document against the State, 11 the Illinois Department of Corrections, the Prisoner Review 12 Board, or any of their officers or employees in which the court 13 makes a specific finding that it is frivolous shall pay all 14 filing fees and court costs in the manner provided in Article 15 XXII of the Code of Civil Procedure. 16 In claims based upon lapsed appropriations or lost warrant 17 or in claims filed under the Line of Duty Compensation Act, the 18 Illinois National Guardsman's Compensation Act, or the Crime 19 Victims Compensation Act or in claims filed by medical vendors 20 for medical services rendered by the claimant to persons 21 eligible for Medical Assistance under programs administered by 22 the Department of Healthcare and Family Services, no filing 23 fee shall be required. 24 (Source: P.A. 95-331, eff. 8-21-07.) 25 (705 ILCS 505/23) (from Ch. 37, par. 439.23) HB2746 - 53 - LRB104 10669 HLH 20748 b HB2746- 54 -LRB104 10669 HLH 20748 b HB2746 - 54 - LRB104 10669 HLH 20748 b HB2746 - 54 - LRB104 10669 HLH 20748 b 1 Sec. 23. Notwithstanding the exceptions for lapsed 2 appropriations as stipulated by subsection (b) of Section 8 of 3 this Act, it It is the policy of the General Assembly to make 4 no appropriation to pay any claim against the State, 5 cognizable by the court, unless an award therefor has been 6 made by the court. 7 (Source: Laws 1945, p. 660.) 8 (705 ILCS 505/24) (from Ch. 37, par. 439.24) 9 Sec. 24. Payment of awards. 10 (1) From funds appropriated by the General Assembly for 11 the purposes of this Section the Court may direct immediate 12 payment of: 13 (a) All claims arising solely as a result of the 14 lapsing of an appropriation out of which the obligation 15 could have been paid. 16 (b) All claims pursuant to the Line of Duty 17 Compensation Act. 18 (c) All claims pursuant to the "Illinois National 19 Guardsman's and Naval Militiaman's Compensation Act", 20 approved August 12, 1971, as amended. 21 (d) All claims pursuant to the "Crime Victims 22 Compensation Act", approved August 23, 1973, as amended. 23 (d-5) All claims against the State for unjust 24 imprisonment as provided in subsection (c) of Section 8 of 25 this Act. HB2746 - 54 - LRB104 10669 HLH 20748 b HB2746- 55 -LRB104 10669 HLH 20748 b HB2746 - 55 - LRB104 10669 HLH 20748 b HB2746 - 55 - LRB104 10669 HLH 20748 b 1 (e) All other claims wherein the amount of the award 2 of the Court is less than $50,000. 3 (2) The court may, from funds specifically appropriated 4 from the General Revenue Fund for this purpose, direct the 5 payment of awards less than $100,000 $50,000 solely as a 6 result of the lapsing of an appropriation originally made from 7 any fund held by the State Treasurer. For any such award paid 8 from the General Revenue Fund, the court shall thereafter seek 9 an appropriation from the fund from which the liability 10 originally accrued in reimbursement of the General Revenue 11 Fund. 12 (3) In directing payment of a claim pursuant to the Line of 13 Duty Compensation Act, the Court must direct the Comptroller 14 to add an interest penalty if payment of a claim is not made 15 within 6 months after a claim is filed in accordance with 16 Section 3 of the Line of Duty Compensation Act and all 17 information has been submitted as required under Section 4 of 18 the Line of Duty Compensation Act. If payment is not issued 19 within the 6-month period, an interest penalty of 1% of the 20 amount of the award shall be added for each month or fraction 21 thereof after the end of the 6-month period, until final 22 payment is made. This interest penalty shall be added 23 regardless of whether the payment is not issued within the 24 6-month period because of the appropriation process, the 25 consideration of the matter by the Court, or any other reason. 26 (3.5) The interest penalty payment provided for in HB2746 - 55 - LRB104 10669 HLH 20748 b HB2746- 56 -LRB104 10669 HLH 20748 b HB2746 - 56 - LRB104 10669 HLH 20748 b HB2746 - 56 - LRB104 10669 HLH 20748 b 1 subsection (3) shall be added to all claims for which benefits 2 were not paid as of the effective date of P.A. 95-928. The 3 interest penalty shall be calculated starting from the 4 effective date of P.A. 95-928, provided that the effective 5 date of P.A. 95-928 is at least 6 months after the date on 6 which the claim was filed in accordance with Section 3 of the 7 Line of Duty Compensation Act. In the event that the date 6 8 months after the date on which the claim was filed is later 9 than the effective date of P.A. 95-928, the Court shall 10 calculate the interest payment penalty starting from the date 11 6 months after the date on which the claim was filed in 12 accordance with Section 3 of the Line of Duty Compensation 13 Act. This subsection (3.5) of this amendatory Act of the 96th 14 General Assembly is declarative of existing law. 15 (3.6) In addition to the interest payments provided for in 16 subsections (3) and (3.5), the Court shall direct the 17 Comptroller to add a "catch-up" payment to the claims of 18 eligible claimants. For the purposes of this subsection (3.6), 19 an "eligible claimant" is a claimant whose claim is not paid in 20 the year in which it was filed. For purposes of this subsection 21 (3.6), "'catch-up' payment" is defined as the difference 22 between the amount paid to claimants whose claims were filed 23 in the year in which the eligible claimant's claim is paid and 24 the amount paid to claimants whose claims were filed in the 25 year in which the eligible claimant filed his or her claim. The 26 "catch-up" payment is payable simultaneously with the claim HB2746 - 56 - LRB104 10669 HLH 20748 b HB2746- 57 -LRB104 10669 HLH 20748 b HB2746 - 57 - LRB104 10669 HLH 20748 b HB2746 - 57 - LRB104 10669 HLH 20748 b 1 award. 2 (4) From funds appropriated by the General Assembly for 3 the purposes of paying claims under paragraph (c) of Section 4 8, the court must direct payment of each claim and the payment 5 must be received by the claimant within 60 days after the date 6 that the funds are appropriated for that purpose. 7 (Source: P.A. 100-1124, eff. 11-27-18.) HB2746- 58 -LRB104 10669 HLH 20748 b 1 INDEX 2 Statutes amended in order of appearance 3 15 ILCS 405/9from Ch. 15, par. 2094 15 ILCS 405/9.03from Ch. 15, par. 209.035 30 ILCS 105/25from Ch. 127, par. 1616 30 ILCS 540/1from Ch. 127, par. 132.4017 30 ILCS 540/3-28 30 ILCS 540/3-3from Ch. 127, par. 132.403-39 30 ILCS 540/3-610 30 ILCS 540/5from Ch. 127, par. 132.40511 30 ILCS 540/7from Ch. 127, par. 132.40712 30 ILCS 708/3013 30 ILCS 708/5014 30 ILCS 708/12515 30 ILCS 708/135 new16 705 ILCS 505/6from Ch. 37, par. 439.617 705 ILCS 505/8.1 new18 705 ILCS 505/9from Ch. 37, par. 439.919 705 ILCS 505/10from Ch. 37, par. 439.1020 705 ILCS 505/11from Ch. 37, par. 439.1121 705 ILCS 505/13from Ch. 37, par. 439.1322 705 ILCS 505/16from Ch. 37, par. 439.1623 705 ILCS 505/19from Ch. 37, par. 439.1924 705 ILCS 505/21from Ch. 37, par. 439.2125 705 ILCS 505/23from Ch. 37, par. 439.23 HB2746- 59 -LRB104 10669 HLH 20748 b HB2746- 58 -LRB104 10669 HLH 20748 b HB2746 - 58 - LRB104 10669 HLH 20748 b 1 INDEX 2 Statutes amended in order of appearance 3 15 ILCS 405/9 from Ch. 15, par. 209 4 15 ILCS 405/9.03 from Ch. 15, par. 209.03 5 30 ILCS 105/25 from Ch. 127, par. 161 6 30 ILCS 540/1 from Ch. 127, par. 132.401 7 30 ILCS 540/3-2 8 30 ILCS 540/3-3 from Ch. 127, par. 132.403-3 9 30 ILCS 540/3-6 10 30 ILCS 540/5 from Ch. 127, par. 132.405 11 30 ILCS 540/7 from Ch. 127, par. 132.407 12 30 ILCS 708/30 13 30 ILCS 708/50 14 30 ILCS 708/125 15 30 ILCS 708/135 new 16 705 ILCS 505/6 from Ch. 37, par. 439.6 17 705 ILCS 505/8.1 new 18 705 ILCS 505/9 from Ch. 37, par. 439.9 19 705 ILCS 505/10 from Ch. 37, par. 439.10 20 705 ILCS 505/11 from Ch. 37, par. 439.11 21 705 ILCS 505/13 from Ch. 37, par. 439.13 22 705 ILCS 505/16 from Ch. 37, par. 439.16 23 705 ILCS 505/19 from Ch. 37, par. 439.19 24 705 ILCS 505/21 from Ch. 37, par. 439.21 25 705 ILCS 505/23 from Ch. 37, par. 439.23 HB2746- 59 -LRB104 10669 HLH 20748 b HB2746 - 59 - LRB104 10669 HLH 20748 b HB2746- 58 -LRB104 10669 HLH 20748 b HB2746 - 58 - LRB104 10669 HLH 20748 b HB2746 - 58 - LRB104 10669 HLH 20748 b 1 INDEX 2 Statutes amended in order of appearance 3 15 ILCS 405/9 from Ch. 15, par. 209 4 15 ILCS 405/9.03 from Ch. 15, par. 209.03 5 30 ILCS 105/25 from Ch. 127, par. 161 6 30 ILCS 540/1 from Ch. 127, par. 132.401 7 30 ILCS 540/3-2 8 30 ILCS 540/3-3 from Ch. 127, par. 132.403-3 9 30 ILCS 540/3-6 10 30 ILCS 540/5 from Ch. 127, par. 132.405 11 30 ILCS 540/7 from Ch. 127, par. 132.407 12 30 ILCS 708/30 13 30 ILCS 708/50 14 30 ILCS 708/125 15 30 ILCS 708/135 new 16 705 ILCS 505/6 from Ch. 37, par. 439.6 17 705 ILCS 505/8.1 new 18 705 ILCS 505/9 from Ch. 37, par. 439.9 19 705 ILCS 505/10 from Ch. 37, par. 439.10 20 705 ILCS 505/11 from Ch. 37, par. 439.11 21 705 ILCS 505/13 from Ch. 37, par. 439.13 22 705 ILCS 505/16 from Ch. 37, par. 439.16 23 705 ILCS 505/19 from Ch. 37, par. 439.19 24 705 ILCS 505/21 from Ch. 37, par. 439.21 25 705 ILCS 505/23 from Ch. 37, par. 439.23 HB2746- 59 -LRB104 10669 HLH 20748 b HB2746 - 59 - LRB104 10669 HLH 20748 b HB2746 - 59 - LRB104 10669 HLH 20748 b HB2746 - 57 - LRB104 10669 HLH 20748 b HB2746- 58 -LRB104 10669 HLH 20748 b HB2746 - 58 - LRB104 10669 HLH 20748 b HB2746 - 58 - LRB104 10669 HLH 20748 b 1 INDEX 2 Statutes amended in order of appearance 3 15 ILCS 405/9 from Ch. 15, par. 209 4 15 ILCS 405/9.03 from Ch. 15, par. 209.03 5 30 ILCS 105/25 from Ch. 127, par. 161 6 30 ILCS 540/1 from Ch. 127, par. 132.401 7 30 ILCS 540/3-2 8 30 ILCS 540/3-3 from Ch. 127, par. 132.403-3 9 30 ILCS 540/3-6 10 30 ILCS 540/5 from Ch. 127, par. 132.405 11 30 ILCS 540/7 from Ch. 127, par. 132.407 12 30 ILCS 708/30 13 30 ILCS 708/50 14 30 ILCS 708/125 15 30 ILCS 708/135 new 16 705 ILCS 505/6 from Ch. 37, par. 439.6 17 705 ILCS 505/8.1 new 18 705 ILCS 505/9 from Ch. 37, par. 439.9 19 705 ILCS 505/10 from Ch. 37, par. 439.10 20 705 ILCS 505/11 from Ch. 37, par. 439.11 21 705 ILCS 505/13 from Ch. 37, par. 439.13 22 705 ILCS 505/16 from Ch. 37, par. 439.16 23 705 ILCS 505/19 from Ch. 37, par. 439.19 24 705 ILCS 505/21 from Ch. 37, par. 439.21 25 705 ILCS 505/23 from Ch. 37, par. 439.23 HB2746 - 58 - LRB104 10669 HLH 20748 b HB2746- 59 -LRB104 10669 HLH 20748 b HB2746 - 59 - LRB104 10669 HLH 20748 b HB2746 - 59 - LRB104 10669 HLH 20748 b HB2746 - 59 - LRB104 10669 HLH 20748 b