[ Search ] [ Legislation ] [ Bill Summary ]
[ Home ] [ Back ] [ Bottom ]
[ Introduced ] | [ Engrossed ] | [ Enrolled ] |
[ House Amendment 002 ] | [ Senate Amendment 003 ] | [ Conference Committee Report 001 ] |
90_SB0423sam002 LRB9002251EGfgam02 1 AMENDMENT TO SENATE BILL 423 2 AMENDMENT NO. . Amend Senate Bill 423 by replacing 3 everything after the enacting clause with the following: 4 "Section 5. The State Employees Group Insurance Act of 5 1971 is amended by changing Sections 2, 3, and 15 and adding 6 Sections 6.9 and 6.10 as follows: 7 (5 ILCS 375/2) (from Ch. 127, par. 522) 8 Sec. 2. Purpose. The purpose of this Act is to provide a 9 program of group life insurance, a program of health benefits 10 and other employee benefits for persons in the service of the 11 State of Illinois, employees of local governments, employees 12 of rehabilitation facilities and employees of domestic 13 violence shelters and services, and certain of their 14 dependents. It is also the purpose of this Act to provide a 15 program of health benefits (i) for certain benefit recipients 16 of the Teachers' Retirement System of the State of Illinois 17 and their dependent beneficiaries and (ii) for certain 18 eligible retired community college employees and their 19 dependent beneficiaries. 20 (Source: P.A. 89-25, eff. 6-21-95.) 21 (5 ILCS 375/3) (from Ch. 127, par. 523) -2- LRB9002251EGfgam02 1 (Text of Section before amendment by P.A. 89-507) 2 Sec. 3. Definitions. Unless the context otherwise 3 requires, the following words and phrases as used in this Act 4 shall have the following meanings. The Department may define 5 these and other words and phrases separately for the purpose 6 of implementing specific programs providing benefits under 7 this Act. 8 (a) "Administrative service organization" means any 9 person, firm or corporation experienced in the handling of 10 claims which is fully qualified, financially sound and 11 capable of meeting the service requirements of a contract of 12 administration executed with the Department. 13 (b) "Annuitant" means (1) an employee who retires, or 14 has retired, on or after January 1, 1966 on an immediate 15 annuity under the provisions of Articles 2, 14, 15 (including 16 an employee who has retired and is receiving a retirement 17 annuity under an optional program established under Section 18 15-158.2 and who would also be eligible for a retirement 19 annuity had that person been a participant in the State 20 University Retirement System), paragraphs (b) or (c) of 21 Section 16-106, or Article 18 of the Illinois Pension Code; 22 (2) any person who was receiving group insurance coverage 23 under this Act as of March 31, 1978 by reason of his status 24 as an annuitant, even though the annuity in relation to which 25 such coverage was provided is a proportional annuity based on 26 less than the minimum period of service required for a 27 retirement annuity in the system involved; (3) any person not 28 otherwise covered by this Act who has retired as a 29 participating member under Article 2 of the Illinois Pension 30 Code but is ineligible for the retirement annuity under 31 Section 2-119 of the Illinois Pension Code; (4) the spouse of 32 any person who is receiving a retirement annuity under 33 Article 18 of the Illinois Pension Code and who is covered 34 under a group health insurance program sponsored by a -3- LRB9002251EGfgam02 1 governmental employer other than the State of Illinois and 2 who has irrevocably elected to waive his or her coverage 3 under this Act and to have his or her spouse considered as 4 the "annuitant" under this Act and not as a "dependent"; or 5 (5) an employee who retires, or has retired, from a qualified 6 position, as determined according to rules promulgated by the 7 Director, under a qualified local government or a qualified 8 rehabilitation facility or a qualified domestic violence 9 shelter or service. (For definition of "retired employee", 10 see (p) post). 11 (c) "Carrier" means (1) an insurance company, a 12 corporation organized under the Limited Health Service 13 Organization Act or the Voluntary Health Services Plan Act, a 14 partnership, or other nongovernmental organization, which is 15 authorized to do group life or group health insurance 16 business in Illinois, or (2) the State of Illinois as a 17 self-insurer. 18 (d) "Compensation" means salary or wages payable on a 19 regular payroll by the State Treasurer on a warrant of the 20 State Comptroller out of any State, trust or federal fund, or 21 by the Governor of the State through a disbursing officer of 22 the State out of a trust or out of federal funds, or by any 23 Department out of State, trust, federal or other funds held 24 by the State Treasurer or the Department, to any person for 25 personal services currently performed, and ordinary or 26 accidental disability benefits under Articles 2, 14, 15 27 (including ordinary or accidental disability benefits under 28 an optional program established under Section 15-158.2), 29 paragraphs (b) or (c) of Section 16-106, or Article 18 of the 30 Illinois Pension Code, for disability incurred after January 31 1, 1966, or benefits payable under the Workers' Compensation 32 or Occupational Diseases Act or benefits payable under a sick 33 pay plan established in accordance with Section 36 of the 34 State Finance Act. "Compensation" also means salary or wages -4- LRB9002251EGfgam02 1 paid to an employee of any qualified local government or 2 qualified rehabilitation facility or a qualified domestic 3 violence shelter or service. 4 (e) "Commission" means the State Employees Group 5 Insurance Advisory Commission authorized by this Act. 6 Commencing July 1, 1984, "Commission" as used in this Act 7 means the Illinois Economic and Fiscal Commission as 8 established by the Legislative Commission Reorganization Act 9 of 1984. 10 (f) "Contributory", when referred to as contributory 11 coverage, shall mean optional coverages or benefits elected 12 by the member toward the cost of which such member makes 13 contribution, or which are funded in whole or in part through 14 the acceptance of a reduction in earnings or the foregoing of 15 an increase in earnings by an employee, as distinguished from 16 noncontributory coverage or benefits which are paid entirely 17 by the State of Illinois without reduction of the member's 18 salary. 19 (g) "Department" means any department, institution, 20 board, commission, officer, court or any agency of the State 21 government receiving appropriations and having power to 22 certify payrolls to the Comptroller authorizing payments of 23 salary and wages against such appropriations as are made by 24 the General Assembly from any State fund, or against trust 25 funds held by the State Treasurer and includes boards of 26 trustees of the retirement systems created by Articles 2, 14, 27 15, 16 and 18 of the Illinois Pension Code. "Department" 28 also includes the Illinois Comprehensive Health Insurance 29 Board and the Illinois Rural Bond Bank. 30 (h) "Dependent", when the term is used in the context of 31 the health and life plan, means a member's spouse and any 32 unmarried child (1) from birth to age 19 including an adopted 33 child, a child who lives with the member from the time of the 34 filing of a petition for adoption until entry of an order of -5- LRB9002251EGfgam02 1 adoption, a stepchild or recognized child who lives with the 2 member in a parent-child relationship, or a child who lives 3 with the member if such member is a court appointed guardian 4 of the child, or (2) age 19 to 23 enrolled as a full-time 5 student in any accredited school, financially dependent upon 6 the member, and eligible as a dependent for Illinois State 7 income tax purposes, or (3) age 19 or over who is mentally or 8 physically handicapped as defined in the Illinois Insurance 9 Code. For the health plan only, the term "dependent" also 10 includes any person enrolled prior to the effective date of 11 this Section who is dependent upon the member to the extent 12 that the member may claim such person as a dependent for 13 Illinois State income tax deduction purposes; no other such 14 person may be enrolled. 15 (i) "Director" means the Director of the Illinois 16 Department of Central Management Services. 17 (j) "Eligibility period" means the period of time a 18 member has to elect enrollment in programs or to select 19 benefits without regard to age, sex or health. 20 (k) "Employee" means and includes each officer or 21 employee in the service of a department who (1) receives his 22 compensation for service rendered to the department on a 23 warrant issued pursuant to a payroll certified by a 24 department or on a warrant or check issued and drawn by a 25 department upon a trust, federal or other fund or on a 26 warrant issued pursuant to a payroll certified by an elected 27 or duly appointed officer of the State or who receives 28 payment of the performance of personal services on a warrant 29 issued pursuant to a payroll certified by a Department and 30 drawn by the Comptroller upon the State Treasurer against 31 appropriations made by the General Assembly from any fund or 32 against trust funds held by the State Treasurer, and (2) is 33 employed full-time or part-time in a position normally 34 requiring actual performance of duty during not less than 1/2 -6- LRB9002251EGfgam02 1 of a normal work period, as established by the Director in 2 cooperation with each department, except that persons elected 3 by popular vote will be considered employees during the 4 entire term for which they are elected regardless of hours 5 devoted to the service of the State, and (3) except that 6 "employee" does not include any person who is not eligible by 7 reason of such person's employment to participate in one of 8 the State retirement systems under Articles 2, 14, 15 (either 9 the regular Article 15 system or an optional program 10 established under Section 15-158.2) or 18, or under paragraph 11 (b) or (c) of Section 16-106, of the Illinois Pension Code, 12 but such term does include persons who are employed during 13 the 6 month qualifying period under Article 14 of the 14 Illinois Pension Code. Such term also includes any person 15 who (1) after January 1, 1966, is receiving ordinary or 16 accidental disability benefits under Articles 2, 14, 15 17 (including ordinary or accidental disability benefits under 18 an optional program established under Section 15-158.2), 19 paragraphs (b) or (c) of Section 16-106, or Article 18 of the 20 Illinois Pension Code, for disability incurred after January 21 1, 1966, (2) receives total permanent or total temporary 22 disability under the Workers' Compensation Act or 23 Occupational Disease Act as a result of injuries sustained or 24 illness contracted in the course of employment with the State 25 of Illinois, or (3) is not otherwise covered under this Act 26 and has retired as a participating member under Article 2 of 27 the Illinois Pension Code but is ineligible for the 28 retirement annuity under Section 2-119 of the Illinois 29 Pension Code. However, a person who satisfies the criteria 30 of the foregoing definition of "employee" except that such 31 person is made ineligible to participate in the State 32 Universities Retirement System by clause (4) of the first 33 paragraph of Section 15-107 of the Illinois Pension Code is 34 also an "employee" for the purposes of this Act. "Employee" -7- LRB9002251EGfgam02 1 also includes any person receiving or eligible for benefits 2 under a sick pay plan established in accordance with Section 3 36 of the State Finance Act. "Employee" also includes each 4 officer or employee in the service of a qualified local 5 government, including persons appointed as trustees of 6 sanitary districts regardless of hours devoted to the service 7 of the sanitary district, and each employee in the service of 8 a qualified rehabilitation facility and each full-time 9 employee in the service of a qualified domestic violence 10 shelter or service, as determined according to rules 11 promulgated by the Director. 12 (l) "Member" means an employee, annuitant, retired 13 employee or survivor. 14 (m) "Optional coverages or benefits" means those 15 coverages or benefits available to the member on his or her 16 voluntary election, and at his or her own expense. 17 (n) "Program" means the group life insurance, health 18 benefits and other employee benefits designed and contracted 19 for by the Director under this Act. 20 (o) "Health plan" means a self-insured health insurance 21 program offered by the State of Illinois for the purposes of 22 benefiting employees by means of providing, among others, 23 wellness programs, utilization reviews, second opinions and 24 medical fee reviews, as well as for paying for hospital and 25 medical care up to the maximum coverage provided by the plan, 26 to its members and their dependents. 27 (p) "Retired employee" means any person who would be an 28 annuitant as that term is defined herein but for the fact 29 that such person retired prior to January 1, 1966. Such term 30 also includes any person formerly employed by the University 31 of Illinois in the Cooperative Extension Service who would be 32 an annuitant but for the fact that such person was made 33 ineligible to participate in the State Universities 34 Retirement System by clause (4) of the first paragraph of -8- LRB9002251EGfgam02 1 Section 15-107 of the Illinois Pension Code. 2 (q) "Survivor" means a person receiving an annuity as a 3 survivor of an employee or of an annuitant. "Survivor" also 4 includes: (1) the surviving dependent of a person who 5 satisfies the definition of "employee" except that such 6 person is made ineligible to participate in the State 7 Universities Retirement System by clause (4) of the first 8 paragraph of Section 15-107 of the Illinois Pension Code; and 9 (2) the surviving dependent of any person formerly employed 10 by the University of Illinois in the Cooperative Extension 11 Service who would be an annuitant except for the fact that 12 such person was made ineligible to participate in the State 13 Universities Retirement System by clause (4) of the first 14 paragraph of Section 15-107 of the Illinois Pension Code. 15 (r) "Medical services" means the services provided 16 within the scope of their licenses by practitioners in all 17 categories licensed under the Medical Practice Act of 1987. 18 (s) "Unit of local government" means any county, 19 municipality, township, school district, special district or 20 other unit, designated as a unit of local government by law, 21 which exercises limited governmental powers or powers in 22 respect to limited governmental subjects, any not-for-profit 23 association with a membership that primarily includes 24 townships and township officials, that has duties that 25 include provision of research service, dissemination of 26 information, and other acts for the purpose of improving 27 township government, and that is funded wholly or partly in 28 accordance with Section 85-15 of the Township Code; any 29 not-for-profit corporation or association, with a membership 30 consisting primarily of municipalities, that operates its own 31 utility system, and provides research, training, 32 dissemination of information, or other acts to promote 33 cooperation between and among municipalities that provide 34 utility services and for the advancement of the goals and -9- LRB9002251EGfgam02 1 purposes of its membership; and the Illinois Association of 2 Park Districts. "Qualified local government" means a unit of 3 local government approved by the Director and participating 4 in a program created under subsection (i) of Section 10 of 5 this Act. 6 (t) "Qualified rehabilitation facility" means any 7 not-for-profit organization that is accredited by the 8 Commission on Accreditation of Rehabilitation Facilities or 9 certified by the Department of Mental Health and 10 Developmental Disabilities to provide services to persons 11 with disabilities and which receives funds from the State of 12 Illinois for providing those services, approved by the 13 Director and participating in a program created under 14 subsection (j) of Section 10 of this Act. 15 (u) "Qualified domestic violence shelter or service" 16 means any Illinois domestic violence shelter or service and 17 its administrative offices funded by the Illinois Department 18 of Public Aid, approved by the Director and participating in 19 a program created under subsection (k) of Section 10. 20 (v) "TRS benefit recipient" means a person who: 21 (1) is not a "member" as defined in this Section; 22 and 23 (2) is receiving a monthly benefit or retirement 24 annuity under Article 16 of the Illinois Pension Code; 25 and 26 (3) either (i) has at least 8 years of creditable 27 service under Article 16 of the Illinois Pension Code, or 28 (ii) was enrolled in the health insurance program offered 29 under that Article on January 1, 1996, or (iii) is the 30 survivor of a benefit recipient who had at least 8 years 31 of creditable service under Article 16 of the Illinois 32 Pension Code or was enrolled in the health insurance 33 program offered under that Article on the effective date 34 of this amendatory Act of 1995, or (iv) is a recipient or -10- LRB9002251EGfgam02 1 survivor of a recipient of a disability benefit under 2 Article 16 of the Illinois Pension Code. 3 (w) "TRS dependent beneficiary" means a person who: 4 (1) is not a "member" or "dependent" as defined in 5 this Section; and 6 (2) is a TRS benefit recipient's: (A) spouse, (B) 7 dependent parent who is receiving at least half of his or 8 her support from the TRS benefit recipient, or (C) 9 unmarried natural or adopted child who is (i) under age 10 19, or (ii) enrolled as a full-time student in an 11 accredited school, financially dependent upon the TRS 12 benefit recipient, eligible as a dependent for Illinois 13 State income tax purposes, and either is under age 24 or 14 was, on January 1, 1996, participating as a dependent 15 beneficiary in the health insurance program offered under 16 Article 16 of the Illinois Pension Code, or (iii) age 19 17 or over who is mentally or physically handicapped as 18 defined in the Illinois Insurance Code. 19 (x) "Military leave with pay and benefits" refers to 20 individuals in basic training for reserves, special/advanced 21 training, annual training, emergency call up, or activation 22 by the President of the United States with approved pay and 23 benefits. 24 (y) "Military leave without pay and benefits" refers to 25 individuals who enlist for active duty in a regular component 26 of the U.S. Armed Forces or other duty not specified or 27 authorized under military leave with pay and benefits. 28 (z) "Community college benefit recipient" means a person 29 who: 30 (1) is not a "member" as defined in this Section; 31 and 32 (2) is receiving a monthly survivor's annuity or 33 retirement annuity under Article 15 of the Illinois 34 Pension Code; and -11- LRB9002251EGfgam02 1 (3) either (i) was a full-time employee of a 2 community college district or an association of community 3 college boards created under the Public Community College 4 Act (other than an employee whose last employer under 5 Article 15 of the Illinois Pension Code was a community 6 college district subject to Article VII of the Public 7 Community College Act) and was eligible to participate in 8 a group health benefit plan as an employee during the 9 time of employment with a community college district 10 (other than a community college district subject to 11 Article VII of the Public Community College Act) or an 12 association of community college boards, or (ii) is the 13 survivor of a person described in item (i). 14 (aa) "Community college dependent beneficiary" means a 15 person who: 16 (1) is not a "member" or "dependent" as defined in 17 this Section; and 18 (2) is a community college benefit recipient's: (A) 19 spouse, (B) dependent parent who is receiving at least 20 half of his or her support from the community college 21 benefit recipient, or (C) unmarried natural or adopted 22 child who is (i) under age 19, or (ii) enrolled as a 23 full-time student in an accredited school, financially 24 dependent upon the community college benefit recipient, 25 eligible as a dependent for Illinois State income tax 26 purposes and under age 23, or (iii) age 19 or over and 27 mentally or physically handicapped as defined in the 28 Illinois Insurance Code. 29 (Source: P.A. 88-670, eff. 12-2-94; 89-21, eff. 6-21-95; 30 89-25, eff. 6-21-95; 89-76, eff. 7-1-95; 89-324, eff. 31 8-13-95; 89-430, eff. 12-15-95; 89-502, eff. 7-1-96; 89-628, 32 eff. 8-9-96; revised 8-23-96.) 33 (Text of Section after amendment by P.A. 89-507) -12- LRB9002251EGfgam02 1 Sec. 3. Definitions. Unless the context otherwise 2 requires, the following words and phrases as used in this Act 3 shall have the following meanings. The Department may define 4 these and other words and phrases separately for the purpose 5 of implementing specific programs providing benefits under 6 this Act. 7 (a) "Administrative service organization" means any 8 person, firm or corporation experienced in the handling of 9 claims which is fully qualified, financially sound and 10 capable of meeting the service requirements of a contract of 11 administration executed with the Department. 12 (b) "Annuitant" means (1) an employee who retires, or 13 has retired, on or after January 1, 1966 on an immediate 14 annuity under the provisions of Articles 2, 14, 15 (including 15 an employee who has retired and is receiving a retirement 16 annuity under an optional program established under Section 17 15-158.2 and who would also be eligible for a retirement 18 annuity had that person been a participant in the State 19 University Retirement System), paragraphs (b) or (c) of 20 Section 16-106, or Article 18 of the Illinois Pension Code; 21 (2) any person who was receiving group insurance coverage 22 under this Act as of March 31, 1978 by reason of his status 23 as an annuitant, even though the annuity in relation to which 24 such coverage was provided is a proportional annuity based on 25 less than the minimum period of service required for a 26 retirement annuity in the system involved; (3) any person not 27 otherwise covered by this Act who has retired as a 28 participating member under Article 2 of the Illinois Pension 29 Code but is ineligible for the retirement annuity under 30 Section 2-119 of the Illinois Pension Code; (4) the spouse of 31 any person who is receiving a retirement annuity under 32 Article 18 of the Illinois Pension Code and who is covered 33 under a group health insurance program sponsored by a 34 governmental employer other than the State of Illinois and -13- LRB9002251EGfgam02 1 who has irrevocably elected to waive his or her coverage 2 under this Act and to have his or her spouse considered as 3 the "annuitant" under this Act and not as a "dependent"; or 4 (5) an employee who retires, or has retired, from a qualified 5 position, as determined according to rules promulgated by the 6 Director, under a qualified local government or a qualified 7 rehabilitation facility or a qualified domestic violence 8 shelter or service. (For definition of "retired employee", 9 see (p) post). 10 (c) "Carrier" means (1) an insurance company, a 11 corporation organized under the Limited Health Service 12 Organization Act or the Voluntary Health Services Plan Act, a 13 partnership, or other nongovernmental organization, which is 14 authorized to do group life or group health insurance 15 business in Illinois, or (2) the State of Illinois as a 16 self-insurer. 17 (d) "Compensation" means salary or wages payable on a 18 regular payroll by the State Treasurer on a warrant of the 19 State Comptroller out of any State, trust or federal fund, or 20 by the Governor of the State through a disbursing officer of 21 the State out of a trust or out of federal funds, or by any 22 Department out of State, trust, federal or other funds held 23 by the State Treasurer or the Department, to any person for 24 personal services currently performed, and ordinary or 25 accidental disability benefits under Articles 2, 14, 15 26 (including ordinary or accidental disability benefits under 27 an optional program established under Section 15-158.2), 28 paragraphs (b) or (c) of Section 16-106, or Article 18 of the 29 Illinois Pension Code, for disability incurred after January 30 1, 1966, or benefits payable under the Workers' Compensation 31 or Occupational Diseases Act or benefits payable under a sick 32 pay plan established in accordance with Section 36 of the 33 State Finance Act. "Compensation" also means salary or wages 34 paid to an employee of any qualified local government or -14- LRB9002251EGfgam02 1 qualified rehabilitation facility or a qualified domestic 2 violence shelter or service. 3 (e) "Commission" means the State Employees Group 4 Insurance Advisory Commission authorized by this Act. 5 Commencing July 1, 1984, "Commission" as used in this Act 6 means the Illinois Economic and Fiscal Commission as 7 established by the Legislative Commission Reorganization Act 8 of 1984. 9 (f) "Contributory", when referred to as contributory 10 coverage, shall mean optional coverages or benefits elected 11 by the member toward the cost of which such member makes 12 contribution, or which are funded in whole or in part through 13 the acceptance of a reduction in earnings or the foregoing of 14 an increase in earnings by an employee, as distinguished from 15 noncontributory coverage or benefits which are paid entirely 16 by the State of Illinois without reduction of the member's 17 salary. 18 (g) "Department" means any department, institution, 19 board, commission, officer, court or any agency of the State 20 government receiving appropriations and having power to 21 certify payrolls to the Comptroller authorizing payments of 22 salary and wages against such appropriations as are made by 23 the General Assembly from any State fund, or against trust 24 funds held by the State Treasurer and includes boards of 25 trustees of the retirement systems created by Articles 2, 14, 26 15, 16 and 18 of the Illinois Pension Code. "Department" 27 also includes the Illinois Comprehensive Health Insurance 28 Board and the Illinois Rural Bond Bank. 29 (h) "Dependent", when the term is used in the context of 30 the health and life plan, means a member's spouse and any 31 unmarried child (1) from birth to age 19 including an adopted 32 child, a child who lives with the member from the time of the 33 filing of a petition for adoption until entry of an order of 34 adoption, a stepchild or recognized child who lives with the -15- LRB9002251EGfgam02 1 member in a parent-child relationship, or a child who lives 2 with the member if such member is a court appointed guardian 3 of the child, or (2) age 19 to 23 enrolled as a full-time 4 student in any accredited school, financially dependent upon 5 the member, and eligible as a dependent for Illinois State 6 income tax purposes, or (3) age 19 or over who is mentally or 7 physically handicapped as defined in the Illinois Insurance 8 Code. For the health plan only, the term "dependent" also 9 includes any person enrolled prior to the effective date of 10 this Section who is dependent upon the member to the extent 11 that the member may claim such person as a dependent for 12 Illinois State income tax deduction purposes; no other such 13 person may be enrolled. 14 (i) "Director" means the Director of the Illinois 15 Department of Central Management Services. 16 (j) "Eligibility period" means the period of time a 17 member has to elect enrollment in programs or to select 18 benefits without regard to age, sex or health. 19 (k) "Employee" means and includes each officer or 20 employee in the service of a department who (1) receives his 21 compensation for service rendered to the department on a 22 warrant issued pursuant to a payroll certified by a 23 department or on a warrant or check issued and drawn by a 24 department upon a trust, federal or other fund or on a 25 warrant issued pursuant to a payroll certified by an elected 26 or duly appointed officer of the State or who receives 27 payment of the performance of personal services on a warrant 28 issued pursuant to a payroll certified by a Department and 29 drawn by the Comptroller upon the State Treasurer against 30 appropriations made by the General Assembly from any fund or 31 against trust funds held by the State Treasurer, and (2) is 32 employed full-time or part-time in a position normally 33 requiring actual performance of duty during not less than 1/2 34 of a normal work period, as established by the Director in -16- LRB9002251EGfgam02 1 cooperation with each department, except that persons elected 2 by popular vote will be considered employees during the 3 entire term for which they are elected regardless of hours 4 devoted to the service of the State, and (3) except that 5 "employee" does not include any person who is not eligible by 6 reason of such person's employment to participate in one of 7 the State retirement systems under Articles 2, 14, 15 (either 8 the regular Article 15 system or an optional program 9 established under Section 15-158.2) or 18, or under paragraph 10 (b) or (c) of Section 16-106, of the Illinois Pension Code, 11 but such term does include persons who are employed during 12 the 6 month qualifying period under Article 14 of the 13 Illinois Pension Code. Such term also includes any person 14 who (1) after January 1, 1966, is receiving ordinary or 15 accidental disability benefits under Articles 2, 14, 15 16 (including ordinary or accidental disability benefits under 17 an optional program established under Section 15-158.2), 18 paragraphs (b) or (c) of Section 16-106, or Article 18 of the 19 Illinois Pension Code, for disability incurred after January 20 1, 1966, (2) receives total permanent or total temporary 21 disability under the Workers' Compensation Act or 22 Occupational Disease Act as a result of injuries sustained or 23 illness contracted in the course of employment with the State 24 of Illinois, or (3) is not otherwise covered under this Act 25 and has retired as a participating member under Article 2 of 26 the Illinois Pension Code but is ineligible for the 27 retirement annuity under Section 2-119 of the Illinois 28 Pension Code. However, a person who satisfies the criteria 29 of the foregoing definition of "employee" except that such 30 person is made ineligible to participate in the State 31 Universities Retirement System by clause (4) of the first 32 paragraph of Section 15-107 of the Illinois Pension Code is 33 also an "employee" for the purposes of this Act. "Employee" 34 also includes any person receiving or eligible for benefits -17- LRB9002251EGfgam02 1 under a sick pay plan established in accordance with Section 2 36 of the State Finance Act. "Employee" also includes each 3 officer or employee in the service of a qualified local 4 government, including persons appointed as trustees of 5 sanitary districts regardless of hours devoted to the service 6 of the sanitary district, and each employee in the service of 7 a qualified rehabilitation facility and each full-time 8 employee in the service of a qualified domestic violence 9 shelter or service, as determined according to rules 10 promulgated by the Director. 11 (l) "Member" means an employee, annuitant, retired 12 employee or survivor. 13 (m) "Optional coverages or benefits" means those 14 coverages or benefits available to the member on his or her 15 voluntary election, and at his or her own expense. 16 (n) "Program" means the group life insurance, health 17 benefits and other employee benefits designed and contracted 18 for by the Director under this Act. 19 (o) "Health plan" means a self-insured health insurance 20 program offered by the State of Illinois for the purposes of 21 benefiting employees by means of providing, among others, 22 wellness programs, utilization reviews, second opinions and 23 medical fee reviews, as well as for paying for hospital and 24 medical care up to the maximum coverage provided by the plan, 25 to its members and their dependents. 26 (p) "Retired employee" means any person who would be an 27 annuitant as that term is defined herein but for the fact 28 that such person retired prior to January 1, 1966. Such term 29 also includes any person formerly employed by the University 30 of Illinois in the Cooperative Extension Service who would be 31 an annuitant but for the fact that such person was made 32 ineligible to participate in the State Universities 33 Retirement System by clause (4) of the first paragraph of 34 Section 15-107 of the Illinois Pension Code. -18- LRB9002251EGfgam02 1 (q) "Survivor" means a person receiving an annuity as a 2 survivor of an employee or of an annuitant. "Survivor" also 3 includes: (1) the surviving dependent of a person who 4 satisfies the definition of "employee" except that such 5 person is made ineligible to participate in the State 6 Universities Retirement System by clause (4) of the first 7 paragraph of Section 15-107 of the Illinois Pension Code; and 8 (2) the surviving dependent of any person formerly employed 9 by the University of Illinois in the Cooperative Extension 10 Service who would be an annuitant except for the fact that 11 such person was made ineligible to participate in the State 12 Universities Retirement System by clause (4) of the first 13 paragraph of Section 15-107 of the Illinois Pension Code. 14 (r) "Medical services" means the services provided 15 within the scope of their licenses by practitioners in all 16 categories licensed under the Medical Practice Act of 1987. 17 (s) "Unit of local government" means any county, 18 municipality, township, school district, special district or 19 other unit, designated as a unit of local government by law, 20 which exercises limited governmental powers or powers in 21 respect to limited governmental subjects, any not-for-profit 22 association with a membership that primarily includes 23 townships and township officials, that has duties that 24 include provision of research service, dissemination of 25 information, and other acts for the purpose of improving 26 township government, and that is funded wholly or partly in 27 accordance with Section 85-15 of the Township Code; any 28 not-for-profit corporation or association, with a membership 29 consisting primarily of municipalities, that operates its own 30 utility system, and provides research, training, 31 dissemination of information, or other acts to promote 32 cooperation between and among municipalities that provide 33 utility services and for the advancement of the goals and 34 purposes of its membership; and the Illinois Association of -19- LRB9002251EGfgam02 1 Park Districts. "Qualified local government" means a unit of 2 local government approved by the Director and participating 3 in a program created under subsection (i) of Section 10 of 4 this Act. 5 (t) "Qualified rehabilitation facility" means any 6 not-for-profit organization that is accredited by the 7 Commission on Accreditation of Rehabilitation Facilities or 8 certified by the Department of Human Services (as successor 9 to the Department of Mental Health and Developmental 10 Disabilities) to provide services to persons with 11 disabilities and which receives funds from the State of 12 Illinois for providing those services, approved by the 13 Director and participating in a program created under 14 subsection (j) of Section 10 of this Act. 15 (u) "Qualified domestic violence shelter or service" 16 means any Illinois domestic violence shelter or service and 17 its administrative offices funded by the Department of Human 18 Services (as successor to the Illinois Department of Public 19 Aid), approved by the Director and participating in a program 20 created under subsection (k) of Section 10. 21 (v) "TRS benefit recipient" means a person who: 22 (1) is not a "member" as defined in this Section; 23 and 24 (2) is receiving a monthly benefit or retirement 25 annuity under Article 16 of the Illinois Pension Code; 26 and 27 (3) either (i) has at least 8 years of creditable 28 service under Article 16 of the Illinois Pension Code, or 29 (ii) was enrolled in the health insurance program offered 30 under that Article on January 1, 1996, or (iii) is the 31 survivor of a benefit recipient who had at least 8 years 32 of creditable service under Article 16 of the Illinois 33 Pension Code or was enrolled in the health insurance 34 program offered under that Article on the effective date -20- LRB9002251EGfgam02 1 of this amendatory Act of 1995, or (iv) is a recipient or 2 survivor of a recipient of a disability benefit under 3 Article 16 of the Illinois Pension Code. 4 (w) "TRS dependent beneficiary" means a person who: 5 (1) is not a "member" or "dependent" as defined in 6 this Section; and 7 (2) is a TRS benefit recipient's: (A) spouse, (B) 8 dependent parent who is receiving at least half of his or 9 her support from the TRS benefit recipient, or (C) 10 unmarried natural or adopted child who is (i) under age 11 19, or (ii) enrolled as a full-time student in an 12 accredited school, financially dependent upon the TRS 13 benefit recipient, eligible as a dependent for Illinois 14 State income tax purposes, and either is under age 24 or 15 was, on January 1, 1996, participating as a dependent 16 beneficiary in the health insurance program offered under 17 Article 16 of the Illinois Pension Code, or (iii) age 19 18 or over who is mentally or physically handicapped as 19 defined in the Illinois Insurance Code. 20 (x) "Military leave with pay and benefits" refers to 21 individuals in basic training for reserves, special/advanced 22 training, annual training, emergency call up, or activation 23 by the President of the United States with approved pay and 24 benefits. 25 (y) "Military leave without pay and benefits" refers to 26 individuals who enlist for active duty in a regular component 27 of the U.S. Armed Forces or other duty not specified or 28 authorized under military leave with pay and benefits. 29 (z) "Community college benefit recipient" means a person 30 who: 31 (1) is not a "member" as defined in this Section; 32 and 33 (2) is receiving a monthly survivor's annuity or 34 retirement annuity under Article 15 of the Illinois -21- LRB9002251EGfgam02 1 Pension Code; and 2 (3) either (i) was a full-time employee of a 3 community college district or an association of community 4 college boards created under the Public Community College 5 Act (other than an employee whose last employer under 6 Article 15 of the Illinois Pension Code was a community 7 college district subject to Article VII of the Public 8 Community College Act) and was eligible to participate in 9 a group health benefit plan as an employee during the 10 time of employment with a community college district 11 (other than a community college district subject to 12 Article VII of the Public Community College Act) or an 13 association of community college boards, or (ii) is the 14 survivor of a person described in item (i). 15 (aa) "Community college dependent beneficiary" means a 16 person who: 17 (1) is not a "member" or "dependent" as defined in 18 this Section; and 19 (2) is a community college benefit recipient's: (A) 20 spouse, (B) dependent parent who is receiving at least 21 half of his or her support from the community college 22 benefit recipient, or (C) unmarried natural or adopted 23 child who is (i) under age 19, or (ii) enrolled as a 24 full-time student in an accredited school, financially 25 dependent upon the community college benefit recipient, 26 eligible as a dependent for Illinois State income tax 27 purposes and under age 23, or (iii) age 19 or over and 28 mentally or physically handicapped as defined in the 29 Illinois Insurance Code. 30 (Source: P.A. 88-670, eff. 12-2-94; 89-21, eff. 6-21-95; 31 89-25, eff. 6-21-95; 89-76, eff. 7-1-95; 89-324, eff. 32 8-13-95; 89-430, eff. 12-15-95; 89-502, eff. 7-1-96; 89-507, 33 eff. 7-1-97; 89-628, eff. 8-9-96; revised 8-23-96.) -22- LRB9002251EGfgam02 1 (5 ILCS 375/6.9 new) 2 Sec. 6.9. Health benefits for community college benefit 3 recipients and community college dependent beneficiaries. 4 (a) Purpose. It is the purpose of this amendatory Act 5 of 1997 to establish a uniform program of health benefits for 6 community college benefit recipients and their dependent 7 beneficiaries under the administration of the Department of 8 Central Management Services. 9 (b) Creation of program. Beginning July 1, 1999, the 10 Department of Central Management Services shall be 11 responsible for administering a program of health benefits 12 for community college benefit recipients and community 13 college dependent beneficiaries under this Section. The 14 State Universities Retirement System and the boards of 15 trustees of the various community college districts shall 16 cooperate with the Department in this endeavor. 17 (c) Eligibility. All community college benefit 18 recipients and community college dependent beneficiaries 19 shall be eligible to participate in the program established 20 under this Section, without any interruption or delay in 21 coverage or limitation as to pre-existing medical conditions. 22 Eligibility to participate shall be determined by the State 23 Universities Retirement System. Eligibility information 24 shall be communicated to the Department of Central Management 25 Services in a format acceptable to the Department. 26 (d) Coverage. The health benefits provided under this 27 Section shall be the same as the benefits provided under the 28 other provisions of this Act for annuitants of the State 29 Universities Retirement System and their dependent 30 beneficiaries. However, group life insurance benefits are 31 not included in the benefits to be provided to community 32 college benefit recipients and community college dependent 33 beneficiaries under this Act. 34 (e) Insurance rates and premiums. The Director shall -23- LRB9002251EGfgam02 1 determine the insurance rates and premiums for community 2 college benefit recipients and community college dependent 3 beneficiaries. Rates and premiums may be based in part on 4 age and eligibility for federal medicare coverage. 5 The cost of health benefits under the program shall be 6 paid as follows: 7 (1) For a community college benefit recipient, up 8 to 75% of the total insurance rate shall be paid from the 9 Community College Health Insurance Security Fund. 10 (2) The balance of the rate of insurance, including 11 the entire premium for any coverage for community college 12 dependent beneficiaries that has been elected, shall be 13 paid by deductions authorized by the community college 14 benefit recipient to be withheld from his or her monthly 15 annuity or benefit payment from the State Universities 16 Retirement System; except that (i) if the balance of the 17 cost of coverage exceeds the amount of the monthly 18 annuity or benefit payment, the difference shall be paid 19 directly to the State Universities Retirement System by 20 the community college benefit recipient, and (ii) all or 21 part of the balance of the cost of coverage may, at the 22 option of the board of trustees of the community college 23 district, be paid to the State Universities Retirement 24 System by the board of the community college district 25 from which the community college benefit recipient 26 retired. The State Universities Retirement System shall 27 promptly deposit all moneys withheld by or paid to it 28 under this subdivision (e)(2) into the Community College 29 Health Insurance Security Fund. These moneys shall not 30 be considered assets of the State Universities Retirement 31 System. 32 This Act does not prohibit any community college district 33 from paying for all or a portion of the premiums, 34 deductibles, or other costs of the benefits provided under -24- LRB9002251EGfgam02 1 this Section for its retirees or their dependents or 2 survivors. 3 (f) Financing. All revenues arising from the 4 administration of the health benefit program established 5 under this Section shall be deposited into the Community 6 College Health Insurance Security Fund, which is hereby 7 created as a nonappropriated trust fund to be held outside 8 the State Treasury, with the State Treasurer as custodian. 9 Any interest earned on moneys in the Community College Health 10 Insurance Security Fund shall be deposited into the Fund. 11 Moneys in the Community College Health Insurance Security 12 Fund shall be used only to pay the costs of the health 13 benefit program established under this Section, including 14 associated administrative costs. Beginning January 1, 1999, 15 the Department of Central Management Services may make 16 expenditures from the Community College Health Insurance 17 Security Fund for those costs. 18 (g) Contract for benefits. The Director shall by 19 contract, self-insurance, or otherwise make available the 20 program of health benefits for community college benefit 21 recipients and their community college dependent 22 beneficiaries that is provided for in this Section. The 23 contract or other arrangement for the provision of these 24 health benefits shall be on terms deemed by the Director to 25 be in the best interest of the State of Illinois and the 26 community college benefit recipients based on, but not 27 limited to, such criteria as administrative cost, service 28 capabilities of the carrier or other contractor, and the 29 costs of the benefits. 30 (h) Continuation of program. It is the intention of the 31 General Assembly that the program of health benefits provided 32 under this Section be maintained on an ongoing, affordable 33 basis. The program of health benefits provided under this 34 Section may be amended by the State and is not intended to be -25- LRB9002251EGfgam02 1 a pension or retirement benefit subject to protection under 2 Article XIII, Section 5 of the Illinois Constitution. 3 (i) Other health benefit plans. A health benefit plan 4 provided by a community college district (other than a 5 community college district subject to Article VII of the 6 Public Community College Act) under the terms of a collective 7 bargaining agreement in effect on the effective date of this 8 amendatory Act of 1997 shall continue in force according to 9 the terms of that agreement, unless otherwise mutually agreed 10 by the parties to that agreement. A community college 11 benefit recipient or community college dependent beneficiary 12 whose coverage under such a plan expires shall be eligible to 13 begin participating in the program established under this 14 Section without any interruption or delay in coverage or 15 limitation as to pre-existing medical conditions. 16 This Act does not prohibit any community college district 17 from offering additional health benefits for its retirees or 18 their dependents or survivors. 19 (5 ILCS 375/6.10 new) 20 Sec. 6.10. Contributions to the Community College Health 21 Insurance Security Fund. 22 (a) Beginning January 1, 1999, every active contributor 23 of the State Universities Retirement System (established 24 under Article 15 of the Illinois Pension Code) who (1) is a 25 full-time employee of a community college district (other 26 than a community college district subject to Article VII of 27 the Public Community College Act) or an association of 28 community college boards and (2) is not an employee as 29 defined in Section 3 of this Act shall make contributions 30 toward the cost of community college annuitant and survivor 31 health benefits at the rate of 0.35% of salary. 32 These contributions shall be deducted by the employer and 33 paid to the State Universities Retirement System as service -26- LRB9002251EGfgam02 1 agent for the Department of Central Management Services. The 2 System may use the same processes for collecting the 3 contributions required by this subsection that it uses to 4 collect the contributions received from those employees under 5 Section 15-157 of the Illinois Pension Code. An employer may 6 agree to pick up or pay the contributions required under this 7 subsection on behalf of the employee; such contributions 8 shall be deemed to have been paid by the employee. 9 A person required to make contributions under this 10 subsection (a) who purchases optional service credit under 11 Article 15 of the Illinois Pension Code must also pay the 12 contribution required under this subsection (a) with respect 13 to that optional service credit. This contribution must be 14 received by the System before that optional service credit is 15 granted. 16 The State Universities Retirement System shall promptly 17 deposit all moneys collected under this subsection (a) into 18 the Community College Health Insurance Security Fund created 19 in Section 6.9 of this Act. The moneys collected under this 20 Section shall be used only for the purposes authorized in 21 Section 6.9 of this Act and shall not be considered to be 22 assets of the State Universities Retirement System. 23 Contributions made under this Section are not transferable to 24 other pension funds or retirement systems and are not 25 refundable upon termination of service. 26 (b) Beginning January 1, 1999, every community college 27 district (other than a community college district subject to 28 Article VII of the Public Community College Act) or 29 association of community college boards that is an employer 30 under the State Universities Retirement System shall 31 contribute toward the cost of the community college health 32 benefits provided under Section 6.9 of this Act an amount 33 equal to 0.35% of the salary paid to its full-time employees 34 who participate in the State Universities Retirement System -27- LRB9002251EGfgam02 1 and are not members as defined in Section 3 of this Act. 2 These contributions shall be paid by the employer to the 3 State Universities Retirement System as service agent for the 4 Department of Central Management Services. The System may 5 use the same processes for collecting the contributions 6 required by this subsection that it uses to collect the 7 contributions received from those employers under Section 8 15-155 of the Illinois Pension Code. 9 The State Universities Retirement System shall promptly 10 deposit all moneys collected under this subsection (b) into 11 the Community College Health Insurance Security Fund created 12 in Section 6.9 of this Act. The moneys collected under this 13 Section shall be used only for the purposes authorized in 14 Section 6.9 of this Act and shall not be considered to be 15 assets of the State Universities Retirement System. 16 Contributions made under this Section are not transferable to 17 other pension funds or retirement systems and are not 18 refundable upon termination of service. 19 (c) On or before November 15 of each year, the Board of 20 Trustees of the State Universities Retirement System shall 21 certify to the Governor, the Director of Central Management 22 Services, and the State Comptroller its estimate of the total 23 amount of contributions to be paid under subsection (a) of 24 this Section for the next fiscal year. The certification 25 shall include a detailed explanation of the methods and 26 information that the Board relied upon in preparing its 27 estimate. As soon as possible after the effective date of 28 this Section, the Board shall submit its estimate for fiscal 29 year 1999. 30 (d) Beginning in fiscal year 1999, on the first day of 31 each month, or as soon thereafter as may be practical, the 32 State Treasurer and the State Comptroller shall transfer from 33 the General Revenue Fund to the Community College Health 34 Insurance Security Fund 1/12 of the annual amount -28- LRB9002251EGfgam02 1 appropriated for that fiscal year to the State Comptroller 2 for deposit into the Community College Health Insurance 3 Security Fund under Section 1.4 of the State Pension Funds 4 Continuing Appropriation Act. 5 (e) Except where otherwise specified in this Section, 6 the definitions that apply to Article 15 of the Illinois 7 Pension Code apply to this Section. 8 (5 ILCS 375/15) (from Ch. 127, par. 535) 9 Sec. 15. Administration; rules; audit; review. 10 (a) The Director shall administer this Act and shall 11 prescribe such rules and regulations as are necessary to give 12 full effect to the purposes of this Act. 13 (b) These rules may fix reasonable standards for the 14 group life and group health programs and other benefit 15 programs offered under this Act, and for the contractors 16 providing them. 17 (c) These rules shall specify that covered and optional 18 medical services of the program are services provided within 19 the scope of their licenses by practitioners in all 20 categories licensed under the Medical Practice Act of 1987 21 and shall provide that all eligible persons be fully informed 22 of this specification. 23 (d) These rules shall establish eligibility requirements 24 for members and dependents as may be necessary to supplement 25 or clarify requirements contained in this Act. 26 (e) Each affected department of the State, the State 27 Universities Retirement System, the Teachers' Retirement 28 System, and each qualified local government, rehabilitation 29 facility, or domestic violence shelter or service, shall keep 30 such records, make such certifications, and furnish the 31 Director such information as may be necessary for the 32 administration of this Act, including information concerning 33 number and total amounts of payroll of employees of the -29- LRB9002251EGfgam02 1 department who are paid from trust funds or federal funds. 2 (f) Each member, each Community College benefit 3 recipient to whom this Act applies, and each TRS benefit 4 recipient to whom this Act applies shall furnish the 5 Director, in such form as may be required, any information 6 that may be necessary to enroll such member orTRSbenefit 7 recipient and, if applicable, his or her dependents orTRS8 dependent beneficiaries under the programs or plan, including 9 such data as may be required to allow the Director to 10 accumulate statistics on data normally considered in 11 actuarial studies of employee groups. Information about 12 community college benefit recipients and community college 13 dependent beneficiaries shall be furnished through the State 14 Universities Retirement System. Information about TRS 15 benefit recipients and TRS dependent beneficiaries shall be 16 furnished through the Teachers' Retirement System. 17 (g) There shall be an annual audit and report on the 18 programs authorized and established by this Act prepared by 19 the Director with the assistance of a qualified, independent 20 accounting firm. The annual report shall provide information 21 on the experience, and administrative effectiveness and 22 adequacy of the program including, when applicable, 23 recommendations on up-grading of benefits and improvement of 24 the program. 25 (h) Any final order, decision or other determination 26 made, issued or executed by the Director under the provisions 27 of this Act whereby any contractor or person is aggrieved 28 shall be subject to review in accordance with the provisions 29 of the Administrative Review Law and all amendments and 30 modifications thereof, and the rules adopted pursuant 31 thereto, shall apply to and govern all proceedings for the 32 judicial review of final administrative decisions of the 33 Director. 34 (Source: P.A. 89-21, eff. 6-21-95; 89-25, eff. 6-21-95.) -30- LRB9002251EGfgam02 1 Section 10. The State Pension Funds Continuing 2 Appropriation Act is amended by adding Section 1.4 as 3 follows: 4 (40 ILCS 15/1.4 new) 5 Sec. 1.4. Appropriations for the Community College Health 6 Insurance Security Fund. Beginning in State fiscal year 7 1999, there is hereby appropriated, on a continuing annual 8 basis, from the General Revenue Fund to the State Comptroller 9 for deposit into the Community College Health Insurance 10 Security Fund, an amount equal to the amount certified by the 11 Board of Trustees of the State Universities Retirement System 12 under subsection (c) of Section 6.10 of the State Employees 13 Group Insurance Act of 1971 as the estimated total amount of 14 contributions to be paid under subsection (a) of that Section 15 6.10 in that fiscal year. The moneys appropriated under this 16 Section 1.4 shall be deposited into the Community College 17 Health Insurance Security Fund and used only for the purposes 18 authorized in Section 6.9 of the State Employees Group 19 Insurance Act of 1971. 20 Section 15. The Public Community College Act is amended 21 by changing Section 2-16.02 as follows: 22 (110 ILCS 805/2-16.02) (from Ch. 122, par. 102-16.02) 23 Sec. 2-16.02. Grants. Any community college district 24 that maintains a community college recognized by the State 25 Board shall receive, when eligible, grants enumerated in this 26 Section. Except for equalization grants, retirees health 27 insurance grants, grants to districts established pursuant to 28 Section 6-6.1, and grants for special initiatives, all grants 29 specified in this Section shall be based on funded semester 30 credit hours. Funded semester credit hours shall be defined, 31 for purposes of this Section, as the greater of (1) the -31- LRB9002251EGfgam02 1 number of semester credit hours, or equivalent, in all funded 2 instructional categories of students who have been certified 3 as being in attendance at midterm during the respective terms 4 of the base fiscal year or (2) the average of semester credit 5 hours, or equivalent, in all funded instructional categories 6 of students who have been certified as being in attendance at 7 midterm during the respective terms of the base fiscal year 8 and the 2 prior fiscal years. For purposes of this Section, 9 "base fiscal year" means the fiscal year 2 years prior to the 10 fiscal year for which the grants are appropriated. Such 11 students shall have been residents of Illinois and shall have 12 been enrolled in courses that are part of instructional 13 program categories approved by the State Board and that are 14 applicable toward an associate degree or certificate. 15 Courses are not eligible for reimbursement where the district 16 receives federal or State financing or both, except financing 17 through the State Board, for 50% or more of the program costs 18 with the exception of courses offered by contract with the 19 Department of Corrections in correctional institutions. 20 After distributing a grant of up to one-tenth of 1% of the 21 total available credit hour grant funding to each district 22 with less than 75,000 funded semester credit hours exclusive 23 of Department of Corrections credit hours, the remaining 24 credit hour grants shall be paid based on rates per funded 25 semester credit hour or equivalent calculated by the State 26 Board for funded instructional categories using cost of 27 instruction, enrollment, inflation, and other relevant 28 factors. 29 Grants for equalization shall be distributed to each 30 district that falls below a statewide threshold calculated by 31 the State Board by: (A) adding (1) the Corporate Personal 32 Property Replacement Fund allocations from the base fiscal 33 year or the average of the base fiscal year and prior year, 34 whichever is less, divided by the applicable tax rate to (2) -32- LRB9002251EGfgam02 1 the most recently audited year's equalized assessed valuation 2 or the average of the most recently audited year and prior 3 year, whichever is less, (B) then dividing by the number of 4 audited full-time equivalent resident students for the base 5 fiscal year or the average for the base fiscal year and the 6 2 prior fiscal years, whichever is greater, and (C) then 7 multiplying by the applicable tax rate. The State Board 8 shall use the same methodology to calculate a local revenue 9 factor for each district. The difference between the 10 statewide threshold and the local revenue factor, multiplied 11 by the number of full-time equivalent students, shall 12 determine the amount of equalization funding that each 13 district is eligible to receive. 14 A special populations grant of $20,000 per community 15 college shall be distributed to each community college 16 district, and any remaining appropriated funds for special 17 populations programs with the exception of moneys 18 appropriated as grants for unique special populations 19 initiatives created by the State Board shall be distributed 20 proportionately to each community college district on the 21 basis of each district's share of the State total funded 22 semester credit hours, or equivalent, in 23 remedial/developmental and adult basic education/adult 24 secondary education courses. Each community college 25 district's expenditures of funds from those grants shall be 26 limited to courses and services related to programs for 27 educationally disadvantaged and minority students as 28 specified by the State Board. 29 A workforce preparation grant of $35,000 shall be 30 distributed to each community college district, and any 31 remaining appropriated funds for workforce preparation with 32 the exception of monies appropriated as grants for special 33 workforce preparation initiatives created by the State Board 34 shall be distributed proportionately to each community -33- LRB9002251EGfgam02 1 college district on the basis of each district's share of the 2 State total funded semester credit hours, or equivalent, in 3 business occupational, technical occupational, and health 4 occupational courses. Each community college district's 5 expenditures of funds from those grants shall be limited to 6 workforce preparation activities and services as specified by 7 the State Board. 8 An advanced technology equipment grant shall be 9 distributed proportionately to each community college 10 district based on each district's share of the State total 11 funded semester credit hours, or equivalent, in business 12 occupational, technical occupational, and health occupational 13 courses. Each community college district's expenditures of 14 funds from those grants shall be limited to procurement of 15 equipment for curricula impacted by technological advances as 16 specified by the State Board. 17 A retirees health insurance grant shall be distributed 18proportionatelyto theeachcommunity college district 19 subject to Article VII of this Act. Theor entity created20pursuant to Section 3-55 based on each district's share of21the total number of community college retirees in the State22on July 1 of the fiscal year prior to the fiscal year for23which the grants are appropriated, as determined by the State24Board. Eachcommunity college district's expenditures of 25 funds from those grants shall be limited to payment of costs 26 associated with the provision of retirees' health insurance. 27 A grant shall be provided to the Illinois Occupational 28 Information Coordinating Committee for the purpose of 29 providing the State Board with labor market information by 30 updating the Occupational Information System and HORIZONS 31 Career Information System and by providing labor market 32 information and technical assistance, that grant to be 33 provided in its entirety during the first quarter of the 34 fiscal year. -34- LRB9002251EGfgam02 1 A grant shall be provided to Community College District 2 #540, that district having been formed under the provisions 3 of Section 6-6.1, for the purpose of providing funds for the 4 district to meet operating expenses. The State Board shall 5 certify, prepare, and submit to the State Comptroller during 6 August of the fiscal year a voucher setting forth a one-time 7 payment of any Education Assistance Fund appropriation, and 8 during November, February, and May of the fiscal year a 9 voucher setting forth equal payments of General Revenue Fund 10 appropriations. The Comptroller shall cause a warrant to be 11 drawn for the amount due, payable to Community College 12 District #540, within 15 days following the receipt of each 13 such voucher. 14 The State Board shall distribute such other special 15 grants as may be authorized or appropriated by the General 16 Assembly. 17 Each community college district entitled to State grants 18 under this Section must submit a report of its enrollment to 19 the State Board not later than 30 days following the end of 20 each semester, quarter, or term in a format prescribed by the 21 State Board. These semester credit hours, or equivalent, 22 shall be certified by each district on forms provided by the 23 State Board. Each district's certified semester credit 24 hours, or equivalent, are subject to audit pursuant to 25 Section 3-22.1. 26 The State Board shall certify, prepare, and submit to the 27 State Comptroller during August, November, February, and May 28 of each fiscal year vouchers setting forth an amount equal to 29 25% of the districts' total grants approved by the State 30 Board for credit hour grants, special populations grants, 31 workforce preparation grants, equalization grants, advanced 32 technology equipment grants, and retirees health insurance 33 grants. The State Board shall prepare and submit to the State 34 Comptroller vouchers for special initiatives grant payments -35- LRB9002251EGfgam02 1 as set forth in the contracts executed pursuant to 2 appropriations received for special initiatives. The 3 Comptroller shall cause his warrants to be drawn for the 4 respective amounts due, payable to each community college 5 district, within 15 days following the receipt of such 6 vouchers. If the amount appropriated for grants is different 7 from the amount provided for such grants under this Act, the 8 grants shall be proportionately reduced or increased 9 accordingly. 10 For the purposes of this Section, "resident student" 11 means a student in a community college district who maintains 12 residency in that district or meets other residency 13 definitions established by the State Board, and who was 14 enrolled either in one of the approved instructional program 15 categories in that district, or in another community college 16 district to which the resident's district is paying tuition 17 under Section 6-2 or with which the resident's district has 18 entered into a cooperative agreement in lieu of such tuition. 19 For the purposes of this Section, a "full-time 20 equivalent" student is equal to 30 semester credit hours. 21 The Illinois Community College Board Contracts and Grants 22 Fund is hereby created in the State Treasury. Items of 23 income to this fund shall include any grants, awards, 24 endowments, or like proceeds, and where appropriate, other 25 funds made available through contracts with governmental, 26 public, and private agencies or persons. The General 27 Assembly shall from time to time make appropriations payable 28 from such fund for the support, improvement, and expenses of 29 the State Board and Illinois community college districts. 30 (Source: P.A. 88-103; 88-553; 89-141, eff. 7-14-95; 89-281, 31 eff. 8-10-95; 89-473, eff. 6-18-96; 89-626, eff. 8-9-96.) 32 Section 90. The State Mandates Act is amended by adding 33 Section 8.21 as follows: -36- LRB9002251EGfgam02 1 (30 ILCS 805/8.21 new) 2 Sec. 8.21. Exempt mandate. Notwithstanding Sections 6 3 and 8 of this Act, no reimbursement by the State is required 4 for the implementation of any mandate created by this 5 amendatory Act of 1997. 6 Section 95. No acceleration or delay. Where this Act 7 makes changes in a statute that is represented in this Act by 8 text that is not yet or no longer in effect (for example, a 9 Section represented by multiple versions), the use of that 10 text does not accelerate or delay the taking effect of (i) 11 the changes made by this Act or (ii) provisions derived from 12 any other Public Act. 13 Section 99. Effective date. This Act takes effect upon 14 becoming law.".