Full Text of SB2328 94th General Assembly
SB2328ham002 94TH GENERAL ASSEMBLY
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Human Services Committee
Adopted in House Comm. on Apr 19, 2006
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LRB094 17610 DRJ 58301 a |
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| AMENDMENT TO SENATE BILL 2328
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| AMENDMENT NO. ______. Amend Senate Bill 2328, AS AMENDED, | 3 |
| with reference to page and line numbers of House Amendment No. | 4 |
| 1, on page 1, line 5, after "Section 5-2", by inserting "and | 5 |
| adding Section 12-4.103a"; and
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| on page 8, after line 12, by inserting the following: | 7 |
| "(305 ILCS 5/12-4.103a new) | 8 |
| Sec. 12-4.103a. Assets for Independence Program. | 9 |
| (a) Program established. Subject to available funding and | 10 |
| receipt of a federal Assets for Independence grant award, the | 11 |
| Department of Human Services shall establish and administer an | 12 |
| Assets for Independence Program (Program). The Program shall be | 13 |
| established in accordance with the terms of the Assets for | 14 |
| Independence Act (AFIA) as now and hereafter amended (Title IV | 15 |
| Community Opportunities, Accountability, and Training and | 16 |
| Educational Services Act as amended, Public Law 105-285, 42 | 17 |
| U.S.C. 604 note). | 18 |
| (b) Assets for Independence Fund. The Assets for | 19 |
| Independence Fund is established. The Fund shall be held by the | 20 |
| Secretary or his or her designee as ex-officio custodian | 21 |
| thereof separate and apart from all other State funds. The | 22 |
| Assets for Independence Fund is authorized to receive grants | 23 |
| under AFIA, State moneys appropriated for the Program, and | 24 |
| moneys from voluntary donations from individuals, foundations, |
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LRB094 17610 DRJ 58301 a |
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| corporations, and other sources. Moneys in the Assets for | 2 |
| Independence Fund shall not be commingled with other State | 3 |
| funds, but they shall be deposited as required by law and | 4 |
| maintained in a separate account on the books of a savings and | 5 |
| loan association, bank, or other qualified financial | 6 |
| institution. All interest earnings on amounts within the Assets | 7 |
| for Independence Fund shall accrue to the Assets for | 8 |
| Independence Fund and shall be used in accordance with the | 9 |
| terms of the AFIA. Administrative expenses related to the | 10 |
| Program, including the provision of financial education to | 11 |
| Program participants, shall be paid from the Assets for | 12 |
| Independence Fund in accordance with the terms of AFIA Section | 13 |
| 707(c)(3). | 14 |
| (c) Program purpose. The purpose of the Program is to allow | 15 |
| eligible low-income Illinois citizens, subject to the | 16 |
| availability of State and federal funds and authorization from | 17 |
| the Department, to open and maintain an Individual Development | 18 |
| Account (IDA) at a federally insured financial institution. | 19 |
| Deposits into an IDA that are used for subsequent qualified | 20 |
| purchases shall be matched dollar-for-dollar by moneys from the | 21 |
| Assets for Independence Fund. Not more than $2,000 of moneys | 22 |
| from the Assets for Independence Fund shall be provided to any | 23 |
| one individual. Not more than $4,000 of moneys from the Assets | 24 |
| for Independence Fund shall be provided to any one household. | 25 |
| Assets for Independence Fund moneys not being used to | 26 |
| administer the Program shall be used only for qualified | 27 |
| purchases, shall be distributed only directly to the vendor of | 28 |
| a qualified purchase, and shall require the authorization by | 29 |
| signature of the Department's chief financial officer. | 30 |
| (d) Contributions to IDA and use of moneys. An individual | 31 |
| may make contributions to his or her IDA only from earned | 32 |
| income as defined in Section 911(d)(2) of the Internal Revenue | 33 |
| Code of 1986. The moneys deposited into an IDA shall not be | 34 |
| commingled with any Assets for Independence Fund moneys. An IDA |
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| holder shall have a 36-month period, beginning on the date the | 2 |
| Department authorizes the holder to open the IDA, within which | 3 |
| to make a qualified purchase. If a qualified purchase is not | 4 |
| made within that 36-month period, Assets for Independence Fund | 5 |
| moneys earmarked for that individual shall be released, and the | 6 |
| Department shall authorize another eligible person to open an | 7 |
| IDA. Under no circumstances, and at no time, shall an IDA | 8 |
| holder lose the ability to withdraw moneys from his or her IDA. | 9 |
| (e) Qualified purchases. A qualified asset purchase using | 10 |
| moneys from an IDA shall be defined in accordance with AFIA | 11 |
| Section 404(8) and shall be one or more of the following: | 12 |
| (1) Payment of post-secondary education expenses, if | 13 |
| the expenses are paid directly to an eligible educational | 14 |
| institution. | 15 |
| (2) Acquisition of a principal residence, if the | 16 |
| individual is buying a home for the first time and if the | 17 |
| funds are paid directly to the person to whom the amounts | 18 |
| required for the purchase are due. | 19 |
| (3) Financing of business capitalization expenses, if | 20 |
| the funds are paid directly into a business capitalization | 21 |
| account at a federally insured financial institution and | 22 |
| are restricted to use solely for qualified business | 23 |
| capitalization expenses. | 24 |
| (f) Program eligibility. Program eligibility shall be | 25 |
| established by the Department in accordance with AFIA Section | 26 |
| 408. Persons eligible to open an IDA and to receive Assets for | 27 |
| Independence Fund moneys are Illinois citizens currently | 28 |
| residing in Illinois who are (i) able to demonstrate that they | 29 |
| are currently eligible for assistance under the State's | 30 |
| Temporary Assistance for Needy Families program or (ii) able to | 31 |
| demonstrate that the adjusted gross income of their household | 32 |
| in the calendar year preceding the determination of eligibility | 33 |
| was equal to or less than 200% of the poverty line, as | 34 |
| determined by the Federal Office of Management and Budget. An |
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| individual must further demonstrate that the net worth of his | 2 |
| or her household, as of the end of the calendar year preceding | 3 |
| the determination of eligibility, does not exceed $10,000, as | 4 |
| determined by AFIA Section 408(2)(B). Notwithstanding any | 5 |
| other provision of State law, moneys in an Individual | 6 |
| Development Account, including accrued interest and matching | 7 |
| deposits, shall be disregarded for the purpose of determining | 8 |
| the eligibility and benefit levels under this Code in the case | 9 |
| of the individual establishing the IDA with respect to any | 10 |
| period during which the individual maintains or makes | 11 |
| contributions into the IDA. The Department shall approve an | 12 |
| individual to open an IDA at a federally insured financial | 13 |
| institution upon determining, based on the individual's | 14 |
| application, that all eligibility criteria are met and subject | 15 |
| to the availability of $2,000 in Assets for Independence Fund | 16 |
| moneys. ".
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