Full Text of HB2029 101st General Assembly
HB2029enr 101ST GENERAL ASSEMBLY |
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| 1 | | AN ACT concerning public employee benefits.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Section 5. The State Employees Group Insurance Act of 1971 | 5 | | is amended by changing Section 3 as follows:
| 6 | | (5 ILCS 375/3) (from Ch. 127, par. 523)
| 7 | | Sec. 3. Definitions. Unless the context otherwise | 8 | | requires, the
following words and phrases as used in this Act | 9 | | shall have the following
meanings. The Department may define | 10 | | these and other words and phrases
separately for the purpose of | 11 | | implementing specific programs providing benefits
under this | 12 | | Act.
| 13 | | (a) "Administrative service organization" means any | 14 | | person, firm or
corporation experienced in the handling of | 15 | | claims which is
fully qualified, financially sound and capable | 16 | | of meeting the service
requirements of a contract of | 17 | | administration executed with the Department.
| 18 | | (b) "Annuitant" means (1) an employee who retires, or has | 19 | | retired,
on or after January 1, 1966 on an immediate annuity | 20 | | under the provisions
of Articles 2, 14 (including an employee | 21 | | who has elected to receive an alternative retirement | 22 | | cancellation payment under Section 14-108.5 of the Illinois | 23 | | Pension Code in lieu of an annuity or who meets the criteria |
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| 1 | | for retirement, but in lieu of receiving an annuity under that | 2 | | Article has elected to receive an accelerated pension benefit | 3 | | payment under Section 14-147.5 of that Article), 15 (including | 4 | | an employee who has retired under the optional
retirement | 5 | | program established under Section 15-158.2 or who meets the | 6 | | criteria for retirement but in lieu of receiving an annuity | 7 | | under that Article has elected to receive an accelerated | 8 | | pension benefit payment under Section 15-185.5 of the Article),
| 9 | | paragraphs (2), (3), or (5) of Section 16-106 (including an | 10 | | employee who meets the criteria for retirement, but in lieu of | 11 | | receiving an annuity under that Article has elected to receive | 12 | | an accelerated pension benefit payment under Section 16-190.5 | 13 | | of the Illinois Pension Code), or
Article 18 of the Illinois | 14 | | Pension Code; (2) any person who was receiving
group insurance | 15 | | coverage under this Act as of March 31, 1978 by
reason of his | 16 | | status as an annuitant, even though the annuity in relation
to | 17 | | which such coverage was provided is a proportional annuity | 18 | | based on less
than the minimum period of service required for a | 19 | | retirement annuity in
the system involved; (3) any person not | 20 | | otherwise covered by this Act
who has retired as a | 21 | | participating member under Article 2 of the Illinois
Pension | 22 | | Code but is ineligible for the retirement annuity under Section
| 23 | | 2-119 of the Illinois Pension Code; (4) the spouse of any | 24 | | person who
is receiving a retirement annuity under Article 18 | 25 | | of the Illinois Pension
Code and who is covered under a group | 26 | | health insurance program sponsored
by a governmental employer |
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| 1 | | other than the State of Illinois and who has
irrevocably | 2 | | elected to waive his or her coverage under this Act and to have
| 3 | | his or her spouse considered as the "annuitant" under this Act | 4 | | and not as
a "dependent"; or (5) an employee who retires, or | 5 | | has retired, from a
qualified position, as determined according | 6 | | to rules promulgated by the
Director, under a qualified local | 7 | | government, a qualified rehabilitation
facility, a qualified | 8 | | domestic violence shelter or service, or a qualified child | 9 | | advocacy center. (For definition
of "retired employee", see (p) | 10 | | post).
| 11 | | (b-5) (Blank).
| 12 | | (b-6) (Blank).
| 13 | | (b-7) (Blank).
| 14 | | (c) "Carrier" means (1) an insurance company, a corporation | 15 | | organized
under the Limited Health Service Organization Act or | 16 | | the Voluntary Health
Services Plan Act, a partnership, or other | 17 | | nongovernmental organization,
which is authorized to do group | 18 | | life or group health insurance business in
Illinois, or (2) the | 19 | | State of Illinois as a self-insurer.
| 20 | | (d) "Compensation" means salary or wages payable on a | 21 | | regular
payroll by the State Treasurer on a warrant of the | 22 | | State Comptroller out
of any State, trust or federal fund, or | 23 | | by the Governor of the State
through a disbursing officer of | 24 | | the State out of a trust or out of
federal funds, or by any | 25 | | Department out of State, trust, federal or
other funds held by | 26 | | the State Treasurer or the Department, to any person
for |
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| 1 | | personal services currently performed, and ordinary or | 2 | | accidental
disability benefits under Articles 2, 14, 15 | 3 | | (including ordinary or accidental
disability benefits under | 4 | | the optional retirement program established under
Section | 5 | | 15-158.2), paragraphs (2), (3), or (5) of
Section 16-106, or | 6 | | Article 18 of the Illinois Pension Code, for disability
| 7 | | incurred after January 1, 1966, or benefits payable under the | 8 | | Workers'
Compensation or Occupational Diseases Act or benefits | 9 | | payable under a sick
pay plan established in accordance with | 10 | | Section 36 of the State Finance Act.
"Compensation" also means | 11 | | salary or wages paid to an employee of any
qualified local | 12 | | government, qualified rehabilitation facility,
qualified | 13 | | domestic violence shelter or service, or qualified child | 14 | | advocacy center.
| 15 | | (e) "Commission" means the State Employees Group Insurance | 16 | | Advisory
Commission authorized by this Act. Commencing July 1, | 17 | | 1984, "Commission"
as used in this Act means the Commission on | 18 | | Government Forecasting and Accountability as
established by | 19 | | the Legislative Commission Reorganization Act of 1984.
| 20 | | (f) "Contributory", when referred to as contributory | 21 | | coverage, shall
mean optional coverages or benefits elected by | 22 | | the member toward the cost of
which such member makes | 23 | | contribution, or which are funded in whole or in part
through | 24 | | the acceptance of a reduction in earnings or the foregoing of | 25 | | an
increase in earnings by an employee, as distinguished from | 26 | | noncontributory
coverage or benefits which are paid entirely by |
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| 1 | | the State of Illinois
without reduction of the member's salary.
| 2 | | (g) "Department" means any department, institution, board,
| 3 | | commission, officer, court or any agency of the State | 4 | | government
receiving appropriations and having power to | 5 | | certify payrolls to the
Comptroller authorizing payments of | 6 | | salary and wages against such
appropriations as are made by the | 7 | | General Assembly from any State fund, or
against trust funds | 8 | | held by the State Treasurer and includes boards of
trustees of | 9 | | the retirement systems created by Articles 2, 14, 15, 16 and
18 | 10 | | of the Illinois Pension Code. "Department" also includes the | 11 | | Illinois
Comprehensive Health Insurance Board, the Board of | 12 | | Examiners established under
the Illinois Public Accounting | 13 | | Act, and the Illinois Finance Authority.
| 14 | | (h) "Dependent", when the term is used in the context of | 15 | | the health
and life plan, means a member's spouse and any child | 16 | | (1) from
birth to age 26 including an adopted child, a child | 17 | | who lives with the
member from the time of the placement for | 18 | | adoption until entry
of an order of adoption, a stepchild or | 19 | | adjudicated child, or a child who lives with the member
if such | 20 | | member is a court appointed guardian of the child or (2)
age 19 | 21 | | or over who has a mental or physical disability from a cause | 22 | | originating prior to the age of 19 (age 26 if enrolled as an | 23 | | adult child dependent). For
the health plan only, the term | 24 | | "dependent" also includes (1) any person
enrolled prior to the | 25 | | effective date of this Section who is dependent upon
the member | 26 | | to the extent that the member may claim such person as a
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| 1 | | dependent for income tax deduction purposes and (2) any person | 2 | | who
has received after June 30, 2000 an organ transplant and | 3 | | who is financially
dependent upon the member and eligible to be | 4 | | claimed as a dependent for income
tax purposes. A member | 5 | | requesting to cover any dependent must provide documentation as | 6 | | requested by the Department of Central Management Services and | 7 | | file with the Department any and all forms required by the | 8 | | Department.
| 9 | | (i) "Director" means the Director of the Illinois | 10 | | Department of Central
Management Services.
| 11 | | (j) "Eligibility period" means the period of time a member | 12 | | has to
elect enrollment in programs or to select benefits | 13 | | without regard to
age, sex or health.
| 14 | | (k) "Employee" means and includes each officer or employee | 15 | | in the
service of a department who (1) receives his | 16 | | compensation for
service rendered to the department on a | 17 | | warrant issued pursuant to a payroll
certified by a department | 18 | | or on a warrant or check issued and drawn by a
department upon | 19 | | a trust, federal or other fund or on a warrant issued
pursuant | 20 | | to a payroll certified by an elected or duly appointed officer
| 21 | | of the State or who receives payment of the performance of | 22 | | personal
services on a warrant issued pursuant to a payroll | 23 | | certified by a
Department and drawn by the Comptroller upon the | 24 | | State Treasurer against
appropriations made by the General | 25 | | Assembly from any fund or against
trust funds held by the State | 26 | | Treasurer, and (2) is employed full-time or
part-time in a |
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| 1 | | position normally requiring actual performance of duty
during | 2 | | not less than 1/2 of a normal work period, as established by | 3 | | the
Director in cooperation with each department, except that | 4 | | persons elected
by popular vote will be considered employees | 5 | | during the entire
term for which they are elected regardless of | 6 | | hours devoted to the
service of the State, and (3) except that | 7 | | "employee" does not include any
person who is not eligible by | 8 | | reason of such person's employment to
participate in one of the | 9 | | State retirement systems under Articles 2, 14, 15
(either the | 10 | | regular Article 15 system or the optional retirement program
| 11 | | established under Section 15-158.2) or 18, or under paragraph | 12 | | (2), (3), or
(5) of Section 16-106, of the Illinois
Pension | 13 | | Code, but such term does include persons who are employed | 14 | | during
the 6 month qualifying period under Article 14 of the | 15 | | Illinois Pension
Code. Such term also includes any person who | 16 | | (1) after January 1, 1966,
is receiving ordinary or accidental | 17 | | disability benefits under Articles
2, 14, 15 (including | 18 | | ordinary or accidental disability benefits under the
optional | 19 | | retirement program established under Section 15-158.2), | 20 | | paragraphs
(2), (3), or (5) of Section 16-106, or Article 18 of | 21 | | the
Illinois Pension Code, for disability incurred after | 22 | | January 1, 1966, (2)
receives total permanent or total | 23 | | temporary disability under the Workers'
Compensation Act or | 24 | | Occupational Disease Act as a result of injuries
sustained or | 25 | | illness contracted in the course of employment with the
State | 26 | | of Illinois, or (3) is not otherwise covered under this Act and |
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| 1 | | has
retired as a participating member under Article 2 of the | 2 | | Illinois Pension
Code but is ineligible for the retirement | 3 | | annuity under Section 2-119 of
the Illinois Pension Code. | 4 | | However, a person who satisfies the criteria
of the foregoing | 5 | | definition of "employee" except that such person is made
| 6 | | ineligible to participate in the State Universities Retirement | 7 | | System by
clause (4) of subsection (a) of Section 15-107 of the | 8 | | Illinois Pension
Code is also an "employee" for the purposes of | 9 | | this Act. "Employee" also
includes any person receiving or | 10 | | eligible for benefits under a sick pay
plan established in | 11 | | accordance with Section 36 of the State Finance Act.
"Employee" | 12 | | also includes (i) each officer or employee in the service of a
| 13 | | qualified local government, including persons appointed as | 14 | | trustees of
sanitary districts regardless of hours devoted to | 15 | | the service of the
sanitary district, (ii) each employee in the | 16 | | service of a qualified
rehabilitation facility, (iii) each | 17 | | full-time employee in the service of a
qualified domestic | 18 | | violence shelter or service, and (iv) each full-time employee | 19 | | in the service of a qualified child advocacy center, as | 20 | | determined according to
rules promulgated by the Director.
| 21 | | (l) "Member" means an employee, annuitant, retired | 22 | | employee or survivor. In the case of an annuitant or retired | 23 | | employee who first becomes an annuitant or retired employee on | 24 | | or after the effective date of this amendatory Act of the 97th | 25 | | General Assembly, the individual must meet the minimum vesting | 26 | | requirements of the applicable retirement system in order to be |
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| 1 | | eligible for group insurance benefits under that system. In the | 2 | | case of a survivor who first becomes a survivor on or after the | 3 | | effective date of this amendatory Act of the 97th General | 4 | | Assembly, the deceased employee, annuitant, or retired | 5 | | employee upon whom the annuity is based must have been eligible | 6 | | to participate in the group insurance system under the | 7 | | applicable retirement system in order for the survivor to be | 8 | | eligible for group insurance benefits under that system.
| 9 | | (m) "Optional coverages or benefits" means those coverages | 10 | | or
benefits available to the member on his or her voluntary | 11 | | election, and at
his or her own expense.
| 12 | | (n) "Program" means the group life insurance, health | 13 | | benefits and other
employee benefits designed and contracted | 14 | | for by the Director under this Act.
| 15 | | (o) "Health plan" means a health benefits
program offered
| 16 | | by the State of Illinois for persons eligible for the plan.
| 17 | | (p) "Retired employee" means any person who would be an | 18 | | annuitant as
that term is defined herein but for the fact that | 19 | | such person retired prior to
January 1, 1966. Such term also | 20 | | includes any person formerly employed by
the University of | 21 | | Illinois in the Cooperative Extension Service who would
be an | 22 | | annuitant but for the fact that such person was made ineligible | 23 | | to
participate in the State Universities Retirement System by | 24 | | clause (4) of
subsection (a) of Section 15-107 of the Illinois
| 25 | | Pension Code.
| 26 | | (q) "Survivor" means a person receiving an annuity as a |
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| 1 | | survivor of an
employee or of an annuitant. "Survivor" also | 2 | | includes: (1) the surviving
dependent of a person who satisfies | 3 | | the definition of "employee" except that
such person is made | 4 | | ineligible to participate in the State Universities
Retirement | 5 | | System by clause (4) of subsection (a)
of Section 15-107 of the | 6 | | Illinois Pension Code; (2) the surviving
dependent of any | 7 | | person formerly employed by the University of Illinois in
the | 8 | | Cooperative Extension Service who would be an annuitant except | 9 | | for the
fact that such person was made ineligible to | 10 | | participate in the State
Universities Retirement System by | 11 | | clause (4) of subsection (a) of Section
15-107 of the Illinois | 12 | | Pension Code; and (3) the surviving dependent of a person who | 13 | | was an annuitant under this Act by virtue of receiving an | 14 | | alternative retirement cancellation payment under Section | 15 | | 14-108.5 of the Illinois Pension Code ; and (4) a person who | 16 | | would be receiving an annuity as a survivor of an annuitant | 17 | | except that the annuitant elected on or after June 4, 2018 to | 18 | | receive an accelerated pension benefit payment under Section | 19 | | 14-147.5, 15-185.5, or 16-190.5 of the Illinois Pension Code in | 20 | | lieu of receiving an annuity .
| 21 | | (q-2) "SERS" means the State Employees' Retirement System | 22 | | of Illinois, created under Article 14 of the Illinois Pension | 23 | | Code.
| 24 | | (q-3) "SURS" means the State Universities Retirement | 25 | | System, created under Article 15 of the Illinois Pension Code.
| 26 | | (q-4) "TRS" means the Teachers' Retirement System of the |
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| 1 | | State of Illinois, created under Article 16 of the Illinois | 2 | | Pension Code.
| 3 | | (q-5) (Blank).
| 4 | | (q-6) (Blank).
| 5 | | (q-7) (Blank).
| 6 | | (r) "Medical services" means the services provided within | 7 | | the scope
of their licenses by practitioners in all categories | 8 | | licensed under the
Medical Practice Act of 1987.
| 9 | | (s) "Unit of local government" means any county, | 10 | | municipality,
township, school district (including a | 11 | | combination of school districts under
the Intergovernmental | 12 | | Cooperation Act), special district or other unit,
designated as | 13 | | a
unit of local government by law, which exercises limited | 14 | | governmental
powers or powers in respect to limited | 15 | | governmental subjects, any
not-for-profit association with a | 16 | | membership that primarily includes
townships and township | 17 | | officials, that has duties that include provision of
research | 18 | | service, dissemination of information, and other acts for the
| 19 | | purpose of improving township government, and that is funded | 20 | | wholly or
partly in accordance with Section 85-15 of the | 21 | | Township Code; any
not-for-profit corporation or association, | 22 | | with a membership consisting
primarily of municipalities, that | 23 | | operates its own utility system, and
provides research, | 24 | | training, dissemination of information, or other acts to
| 25 | | promote cooperation between and among municipalities that | 26 | | provide utility
services and for the advancement of the goals |
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| 1 | | and purposes of its
membership;
the Southern Illinois | 2 | | Collegiate Common Market, which is a consortium of higher
| 3 | | education institutions in Southern Illinois; the Illinois | 4 | | Association of
Park Districts; and any hospital provider that | 5 | | is owned by a county that has 100 or fewer hospital beds and | 6 | | has not already joined the program. "Qualified
local | 7 | | government" means a unit of local government approved by the | 8 | | Director and
participating in a program created under | 9 | | subsection (i) of Section 10 of this
Act.
| 10 | | (t) "Qualified rehabilitation facility" means any | 11 | | not-for-profit
organization that is accredited by the | 12 | | Commission on Accreditation of
Rehabilitation Facilities or | 13 | | certified by the Department
of Human Services (as successor to | 14 | | the Department of Mental Health
and Developmental | 15 | | Disabilities) to provide services to persons with
disabilities
| 16 | | and which receives funds from the State of Illinois for | 17 | | providing those
services, approved by the Director and | 18 | | participating in a program created
under subsection (j) of | 19 | | Section 10 of this Act.
| 20 | | (u) "Qualified domestic violence shelter or service" means | 21 | | any Illinois
domestic violence shelter or service and its | 22 | | administrative offices funded
by the Department of Human | 23 | | Services (as successor to the Illinois Department of
Public | 24 | | Aid),
approved by the Director and
participating in a program | 25 | | created under subsection (k) of Section 10.
| 26 | | (v) "TRS benefit recipient" means a person who:
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| 1 | | (1) is not a "member" as defined in this Section; and
| 2 | | (2) is receiving a monthly benefit or retirement | 3 | | annuity
under Article 16 of the Illinois Pension Code or | 4 | | would be receiving such monthly benefit or retirement | 5 | | annuity except that the benefit recipient elected on or | 6 | | after June 4, 2018 to receive an accelerated pension | 7 | | benefit payment under Section 16-190.5 of the Illinois | 8 | | Pension Code in lieu of receiving an annuity ; and
| 9 | | (3) either (i) has at least 8 years of creditable | 10 | | service under Article
16 of the Illinois Pension Code, or | 11 | | (ii) was enrolled in the health insurance
program offered | 12 | | under that Article on January 1, 1996, or (iii) is the | 13 | | survivor
of a benefit recipient who had at least 8
years of | 14 | | creditable service under Article 16 of the Illinois Pension | 15 | | Code or
was enrolled in the health insurance program | 16 | | offered under that Article on
the effective date of this | 17 | | amendatory Act of 1995, or (iv) is a recipient or
survivor | 18 | | of a recipient of a disability benefit under Article 16 of | 19 | | the
Illinois Pension Code.
| 20 | | (w) "TRS dependent beneficiary" means a person who:
| 21 | | (1) is not a "member" or "dependent" as defined in this | 22 | | Section; and
| 23 | | (2) is a TRS benefit recipient's: (A) spouse, (B) | 24 | | dependent parent who
is receiving at least half of his or | 25 | | her support from the TRS benefit
recipient, or (C) natural, | 26 | | step, adjudicated, or adopted child who is (i) under age |
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| 1 | | 26, (ii) was, on January 1, 1996, participating as a | 2 | | dependent
beneficiary in the health insurance program | 3 | | offered under Article 16 of the
Illinois Pension Code, or | 4 | | (iii) age 19 or over who has a mental or physical | 5 | | disability from a cause originating prior to the age of 19 | 6 | | (age 26 if enrolled as an adult child).
| 7 | | "TRS dependent beneficiary" does not include, as indicated | 8 | | under paragraph (2) of this subsection (w), a dependent of the | 9 | | survivor of a TRS benefit recipient who first becomes a | 10 | | dependent of a survivor of a TRS benefit recipient on or after | 11 | | the effective date of this amendatory Act of the 97th General | 12 | | Assembly unless that dependent would have been eligible for | 13 | | coverage as a dependent of the deceased TRS benefit recipient | 14 | | upon whom the survivor benefit is based. | 15 | | (x) "Military leave" refers to individuals in basic
| 16 | | training for reserves, special/advanced training, annual | 17 | | training, emergency
call up, activation by the President of the | 18 | | United States, or any other training or duty in service to the | 19 | | United States Armed Forces.
| 20 | | (y) (Blank).
| 21 | | (z) "Community college benefit recipient" means a person | 22 | | who:
| 23 | | (1) is not a "member" as defined in this Section; and
| 24 | | (2) is receiving a monthly survivor's annuity or | 25 | | retirement annuity
under Article 15 of the Illinois Pension | 26 | | Code or would be receiving such monthly survivor's annuity |
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| 1 | | or retirement annuity except that the benefit recipient | 2 | | elected on or after June 4, 2018 to receive an accelerated | 3 | | pension benefit payment under Section 15-185.5 of the | 4 | | Illinois Pension Code in lieu of receiving an annuity ; and
| 5 | | (3) either (i) was a full-time employee of a community | 6 | | college district or
an association of community college | 7 | | boards created under the Public Community
College Act | 8 | | (other than an employee whose last employer under Article | 9 | | 15 of the
Illinois Pension Code was a community college | 10 | | district subject to Article VII
of the Public Community | 11 | | College Act) and was eligible to participate in a group
| 12 | | health benefit plan as an employee during the time of | 13 | | employment with a
community college district (other than a | 14 | | community college district subject to
Article VII of the | 15 | | Public Community College Act) or an association of | 16 | | community
college boards, or (ii) is the survivor of a | 17 | | person described in item (i).
| 18 | | (aa) "Community college dependent beneficiary" means a | 19 | | person who:
| 20 | | (1) is not a "member" or "dependent" as defined in this | 21 | | Section; and
| 22 | | (2) is a community college benefit recipient's: (A) | 23 | | spouse, (B) dependent
parent who is receiving at least half | 24 | | of his or her support from the community
college benefit | 25 | | recipient, or (C) natural, step, adjudicated, or adopted | 26 | | child who is (i)
under age 26, or (ii)
age 19 or over and |
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| 1 | | has a mental or physical disability from a cause | 2 | | originating prior to the age of 19 (age 26 if enrolled as | 3 | | an adult child).
| 4 | | "Community college dependent beneficiary" does not | 5 | | include, as indicated under paragraph (2) of this subsection | 6 | | (aa), a dependent of the survivor of a community college | 7 | | benefit recipient who first becomes a dependent of a survivor | 8 | | of a community college benefit recipient on or after the | 9 | | effective date of this amendatory Act of the 97th General | 10 | | Assembly unless that dependent would have been eligible for | 11 | | coverage as a dependent of the deceased community college | 12 | | benefit recipient upon whom the survivor annuity is based. | 13 | | (bb) "Qualified child advocacy center" means any Illinois | 14 | | child advocacy center and its administrative offices funded by | 15 | | the Department of Children and Family Services, as defined by | 16 | | the Children's Advocacy Center Act (55 ILCS 80/), approved by | 17 | | the Director and participating in a program created under | 18 | | subsection (n) of Section 10.
| 19 | | (cc) "Placement for adoption" means the assumption and | 20 | | retention by a member of a legal obligation for total or | 21 | | partial support of a child in anticipation of adoption of the | 22 | | child. The child's placement with the member terminates upon | 23 | | the termination of such legal obligation. | 24 | | (Source: P.A. 99-143, eff. 7-27-15; 100-355, eff. 1-1-18; | 25 | | 100-587, eff. 6-4-18.)
| 26 | | Section 99. Effective date. This Act takes effect upon |
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| 1 | | becoming law.
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