SR0066 95TH GENERAL ASSEMBLY

SR0066 LRB095 08149 RCE 28314 r

SENATE RESOLUTION

WHEREAS, The State Prompt Payment Act was adopted by the General Assembly to penalize the State for payment delays and thereby encourage timely payments to vendors; and

WHEREAS, The State Prompt Payment Act, while a punitive measure against the State, provides fair compensation to vendors not receiving timely reimbursement for services rendered; and

WHEREAS, The State Prompt Payment Act requires the State to automatically pay interest on any delinquent bill that generates in excess of $50 in interest; and

WHEREAS, The State Prompt Payment Act allows vendors to request interest on any delinquent bill that generates in excess of $5 in interest; and

WHEREAS, The Department of Healthcare and Family Services has amassed millions of dollars in Prompt Payment interest over the past four years; and

WHEREAS, The vast amount of unpaid bills at the Department of Healthcare and Family Services are unpaid Medicaid and Group Health Insurance bills; and

WHEREAS, There is substantial evidence that the Department of Healthcare and Family Services is not paying Prompt Payment interest on delinquent bills that the Department is statutorily required to pay; therefore, be it

RESOLVED, BY THE SENATE OF THE NINETY-FIFTH GENERAL ASSEMBLY OF THE STATE OF ILLINOIS, that the Auditor General is directed to conduct a performance audit on the Medicaid program and Group Health Insurance program at the Department of Healthcare and Family Services for compliance with the mandates of the State Prompt Payment Act from July 1, 2003 through December 31, 2006; and be it further

RESOLVED, That the audit include, but is not limited to, the following determinations:

(i) the number of unpaid bills that have generated in excess of $50 in interest, by fiscal year;

(ii) the amount of unpaid Prompt Payment interest on unpaid bills that have generated in excess of $50 in interest, by fiscal year;

(iii) the amount of paid Prompt Payment interest on unpaid bills that have generated in excess of $50 in interest, by fiscal year;

(iv) the number of unpaid bills that have generated in excess of $5 in interest but no more than $50 in interest, by fiscal year;

(v) the amount of unpaid Prompt Payment interest on unpaid bills that have generated in excess of $5 in interest but no more than $50 in interest, by fiscal year; and

(vi) the amount of paid Prompt Payment interest on unpaid bills that have generated in excess of $5 interest but no more than $50 in interest, by fiscal year; and be it further

RESOLVED, That the Auditor General commence this audit as soon as possible and, upon completion, make the findings and recommendations public in accordance with the provisions of Section 3-14 of the Illinois State Auditing Act.