AUTHORITY: Implementing and authorized by the Charitable Trust Stabilization Act [30 ILCS 790].

SOURCE: Adopted at 38 Ill. Reg. 23810, effective December 4, 2014; amended at 41 Ill. Reg. 13383, effective October 20, 2017; amended at 43 Ill. Reg. 437, effective December 21, 2018.

SUBPART A: GENERAL PROVISIONS

 

Section 650.10  Definitions

 

The following definitions shall apply to this Part:

 

"Act" means the Charitable Trust Stabilization Act [30 ILCS 790].

 

"Applicant" means an organization, public or private, applying for grant funds to be awarded from the Charitable Trust Stabilization Fund created pursuant to Section 5 of the Act.

 

"Committee" means the Charitable Trust Stabilization Committee created pursuant to Section 10 of the Act.

 

"Grant Agreement" means an agreement between the State Treasurer and the organization receiving grant funds from the Charitable Trust Stabilization Fund.

 

"Grant Award" means grants funds provided from the Charitable Trust Stabilization Fund.

 

"Grantee" means an organization awarded grant funds from the Charitable Trust Stabilization Fund.

 

"State Treasurer" means the Office of the Treasurer of the State of Illinois or a third‑party administrator of the Charitable Trust Stabilization Fund designated pursuant to Section 10(d) of the Act.

SUBPART B: PURPOSE AND ELIGIBILITY

 

Section 650.20  Purpose

 

Upon recommendation of the Committee, the State Treasurer may make grant awards for the purpose of providing funds to community-based organizations and other not-for-profit entities operating in the State of Illinois.

 

Section 650.30  Grant Eligibility Criteria

 

Grant awards may be made to an applicant that:

 

a)         is a not-for-profit corporation that is exempt from federal income taxation under Section 501(c)(3) of the federal Internal Revenue Code (26 USC 501(c)(3)) (Section 15(1) of the Act);

 

b)         is organized under the General Not for Profit Corporation Act of 1986 [805 ILCS 105] for the purpose of providing charitable services to the community (Section 15(2) of the Act);

 

c)         complies with the provisions of the Charitable Trust Act [760 ILCS 55] (Section 15(3) of the Act);

 

d)         is domiciled in the State of Illinois and provides charitable services exclusively in the State of Illinois;

 

e)         has the equivalent of one full-time paid employee; and

 

f)         certifies that it has adopted a nondiscrimination policy that complies with the Illinois Human Rights Act [775 ILCS 5] and all applicable federal and State laws.

 

(Source:  Amended at 41 Ill. Reg. 13383, effective October 20, 2017)

 

Section 650.40  Special Attention to Certain Applicants

 

Special attention shall be given to public and private entities  with operating budgets of less than $1,000,000 that are located in a depressed area, as defined in Section 3 of the Illinois Enterprise Zone Act, and preferences for recommending grants to the State Treasurer may be given to these entities by the Committee.  [30 ILCS 790/5(a)]   For purposes of this Part, an applicant is located in a depressed area if the applicant meets one or more of the following conditions:

 

a)         The unemployment rate in the census tract where the applicant is located had an annual average unemployment rate of at least 120% of the State's annual average unemployment rate for the most recent calendar year or the most recent fiscal year, as reported by the Department of Employment Security;

 

b)         All or part of the census tract where the applicant is located has a poverty rate of at least 20%, according to the latest data from the U.S. Census Bureau;

 

c)         The percent of households in the census tract where the applicant is located who receive SNAP Benefits is 20% or higher, according to the latest data from the U.S. Census Bureau; or

 

d)         50% or more of the children in the census tract where the applicant is located are eligible to participate in the federal free or reduced-price meals program, according to reported statistics from the State Board of Education.

 

(Source:  Amended at 43 Ill. Reg. 437, effective December 21, 2018)

SUBPART C: APPLICATION PROCEDURES

 

Section 650.50  Grant Application Process

 

a)         Applicants shall submit a written grant application, provided by the State Treasurer, with supporting documentation in order to be considered for a grant award.  The following supporting documentation must accompany the application:

 

1)         The applicant's current IRS determination letter or, if pending, Form 1023 or 1024.

 

2)         Most recent Form 990 filed by the applicant with the IRS, including Schedule A, or an explanation of why none has been filed.

 

3)         The following forms of, and statements required by, the Illinois Attorney General (see 14 Ill. Adm. Code 400):

 

A)        Either:

 

i)          Illinois Charitable Organization Registration Statement (Form CO‑1); or

 

ii)         other official documentation showing that the applicant is currently registered with the Illinois Attorney General's Charitable Trust Bureau.

 

B)        If the applicant has been in existence less than one year, Form CO‑2.

 

C)        If the Applicant has been in existence more than one year, AG990‑IL, with all required attachments, fees and signatures, for each of the most recent three years of existence.

           

D)        Form IFC (for each fundraising campaign, if a professional fundraiser was used).

 

4)         Any and all contracts with professional fundraisers.

 

5)         Articles of Incorporation, evidence of good standing from the Office of the Illinois Secretary of State, and all By-Laws.

 

6)         A complete list of all officers, directors and/or trustees, including names, addresses and daytime phone numbers.

 

7)         List of any other grants the applicant has received in the past two years, including, without limitation, federal, state or private grants.

 

8)         Other documentation deemed necessary by the State Treasurer or the Committee.

 

b)         Additional documentation may be provided voluntarily by the applicant, or may be requested by the State Treasurer or Committee upon receipt and review of the proposal.

 

c)         The grant application, with all required supporting documentation, shall be submitted on the State Treasurer's website at www.illinoistreasurer.gov (or any successor website).  Applications may also be accepted in-person or via mail at the following address:

 

Illinois State Treasurer

Attn: Charitable Trust Stabilization Fund

100 W. Randolph Street, Suite 15-600

Chicago IL 60601

 

(Source:  Amended at 41 Ill. Reg. 13383, effective October 20, 2017)

 

Section 650.60  Initial Review Process

 

After receipt of an application, the State Treasurer will conduct an initial review to verify the applicant's eligibility and the completeness of the application and supporting documentation.  During the initial review process, the State Treasurer may request other information, such as additional documentation, meetings with the applicant's officers or employees, and visits at the applicant's program site.

 

Section 650.70  Committee Consideration and Recommendation of Applications

 

a)         After the applicant's eligibility has been determined and all necessary documentation has been provided and reviewed, the applicant's application will be placed on a meeting agenda for consideration by the Committee.  The State Treasurer will notify any applicant when its application will be considered by the Committee.

 

b)         The Committee will hold meetings at least quarterly, on a calendar basis, in order to review grant applications and make final recommendations to the State Treasurer on the making of grant awards.  If the Committee does not recommend that an applicant receive a grant award, then the Committee shall notify the applicant and the grant application will not be presented to the State Treasurer for final consideration.

 

c)         The final recommendations of the Committee for the making of grant awards are not binding upon the State Treasurer.

 

Section 650.80  Grant Award by Treasurer

 

After the Committee makes a final recommendation to approve a grant application, the State Treasurer will approve or deny the grant application in full or in part.  The State Treasurer may also request that the Committee provide additional information in support of its recommendation for the approval of a grant application.  Applicants shall be notified by the State Treasurer, by mail, of the approval, denial or other action on a grant application as soon as practicable.

SUBPART D: CONDITIONS OF AWARDS AND AGREEMENTS

 

Section 650.90  General Terms and Conditions of Grant Awards

 

a)         A grant award may be used for stabilization purposes by a grantee.  The grantee shall not use the grant award for any prohibited use as set forth in the Grant Funds Recovery Act [30 ILCS 705/4.3].  The State Treasurer may, in its discretion, limit the use of a grant award to a particular program or purpose.

 

b)         The final dollar amount of a grant award shall be in the discretion of the State Treasurer, but the dollar amount in any calendar year may not exceed $25,000 per grantee.

 

c)         Unless otherwise specified, grant awards shall be made in a lump sum payable to the grantee upon the effective date of a Grant Agreement.

 

d)         Unless otherwise specified, the term of any grant award shall be for one year, with grant funds to be expended by a grantee within one calendar year after the effective date of the Grant Agreement.

 

e)         Unless otherwise specified, the grant award shall be non-renewable, but a grantee may submit a new application for a grant award in a second consecutive calendar year.  A grantee may not receive a grant award in more than two consecutive calendar years.

 

f)         All grants awarded under this Part are subject to and shall comply with the Grant Funds Recovery Act [30 ILCS 705].

 

Section 650.100  Grant Agreements

 

The grant award shall be made pursuant to a Grant Agreement signed by the State Treasurer and the grantee.  The Grant Agreement shall:

 

a)         describe the purpose of the grant award;

 

b)         specify how payments shall be made, what constitutes permissible expenditure of the grant award, and the financial controls applicable to the grant award, including required reports;

 

c)         specify the period of time for which the grant is valid and the period of time during which the grant award may be expended;

 

d)         contain a provision that the grantee is required to permit the State Treasurer, the Auditor General, or the Attorney General to inspect and audit any books, records, or papers related to the program, project, or use for which grant funds were provided, and that records shall be maintained for six years after the termination of the grant;

 

e)         contain a provision that the grantee shall make its premises and program sites open to inspection by the State Treasurer or its designees upon reasonable notice;

 

f)         contain a provision that all funds remaining at the end of the Grant Agreement or at the expiration of the period of time grant funds are available for expenditure or obligation by the grantee shall be returned to the State within 45 days; and

 

g)         contain a provision in which the grantee certifies under oath that all information in the Grant Agreement is true and correct to the best of the grantee's knowledge, information, and belief; that the funds shall be used only for the purposes described in the Grant Agreement; and that the grant award is conditioned upon such certification. (Section 4(b) of the Grant Funds Recovery Act [30 ILCS 705/4(b)])

 

Section 650.110  Post Award Obligations

 

a)         Unless otherwise specified in a Grant Agreement, grantees shall be required to submit a financial status report to the State Treasurer within six months after the date of the grant award detailing the use of grant funds, including the amount of funds expended to date.

 

b)         Unless otherwise specified in a Grant Agreement, grantees shall be required to submit a final written narrative and financial report to the State Treasurer within 60 days after the termination date of the grant award detailing the use of grant funds, including any statistics available on the effectiveness of the subject of the grant award.

 

c)         Failure of a grantee to comply with any provision of a Grant Agreement will result in affirmative action authorized by Section 6 of the Grant Funds Recovery Act to recover misspent or improperly held funds.

SUBPART E: PUBLIC NOTICE OF GRANT INFORMATION

 

Section 650.120  Public Notice of Grant Information

 

The State Treasurer shall publish information about the program on its website or in any other public medium deemed appropriate by the State Treasurer.  This information shall include, but is not limited to, instructions for applications, Committee meeting dates, minutes of Committee meetings, and notice of any grant awards.