Rep. Barbara Flynn Currie

Filed: 4/14/2016





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2    AMENDMENT NO. ______. Amend House Bill 581 by replacing
3everything after the enacting clause with the following:
4    "Section 1. Short title. This Act may be cited as the
5Social Services Contract Notice Act.
6    Section 5. Definitions. As used in this Act:
7    "Authorized service provider" means a non-governmental
8agency responsible for providing services on behalf of the
9State of Illinois under a grant awarded or a contract,
10fee-for-service agreement, fixed-rate agreement, or service
11agreement entered into by a State agency.
12    "Direct services" means those services that are provided
13directly to Illinois residents by an authorized service
14provider through a grant awarded or a contract, fee-for-service
15agreement, or fixed-rate agreement entered into by a State



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1    "Social services" or "services" means direct services that
2are provided by a State agency through a grant awarded to or
3service agreement or contract with an authorized service
4provider and that are designed to ensure the health, safety,
5education, or welfare of Illinois residents.
6    "State agency" means any department, office, commission,
7board, or authority within the Executive Department.
8    Section 10. Termination of contract.
9    (a) Any grant agreement, service agreement, or contract
10between a State agency and an authorized service provider for
11the provision of social services may be terminated by either
12party to the agreement, contract, or grant for any or no reason
13upon 30 days' prior written notice to the other party. Unless
14the Illinois Grant Funds Recovery Act provides otherwise, any
15suspension or reduction in the estimated amount of the grant
16agreement, service agreement, or contract shall be subject to
1730 days' prior written notice to the other party.
18    (b) A written notice issued by a State agency pursuant to
19subsection (a) shall include the date upon which the authorized
20service provider must submit its final invoice to the State
21agency for payment for services rendered.
22    (c) Notwithstanding subsections (a) and (b):
23        (1) the State agency may, upon written notice,
24    immediately terminate a grant agreement, service
25    agreement, or contract for social services if the



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1    authorized service provider has made material
2    misrepresentations or material omissions explicitly
3    prohibited under the designated agreement or contract; and
4        (2) an authorized service provider may, upon written
5    notice, immediately terminate or suspend a grant,
6    contract, or agreement if the State agency owes the
7    provider funds under the grant agreement, service
8    agreement, or contract that are over 90 days past due.
9    (d) Nothing in this Section affects the parties' ability to
10immediately terminate a grant agreement, service agreement, or
11contract for breach of contract.
12    (e) This Section applies to agreements or contracts
13executed on or after the effective date of this Act.
14    Section 15. Notice.
15    (a) If a State agency that provides social services to
16Illinois residents through a grant awarded to or service
17agreement or contract with an authorized service provider
18intends to suspend, terminate, or reduce the amount of a grant
19agreement, service agreement, or contract for a particular
20social services program due to the failure of appropriation or
21a reduction in the amount of available funds to support the
22program, the State agency shall notify the Governor, the
23Speaker of the House of Representatives, the Minority Leader of
24the House of Representatives, the President of the Senate, and
25the Minority Leader of the Senate in writing of its intent to



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1suspend, terminate, or reduce the grant agreement, service
2agreement, or contract. Such notice shall be provided no less
3than 120 days before the State agency suspends, terminates, or
4reduces the grant agreement, service agreement, or contract and
5must include the level of appropriations required to prevent
6any suspension, termination, or reduction.
7    (b) This Section applies to agreements and contracts
8entered before, on, or after the effective date of this Act.
9    (c) Failure of a State agency to submit notice to the
10General Assembly as required under this Section shall not
11prevent termination of a contract or agreement entered into
12prior to the effective date of this Act.
13    Section 20. Waiver. The requirements of this Act may not
14be waived by agreement.
15    Section 99. Effective date. This Act takes effect upon
16becoming law.".