Section 2765.73  Waiver Of Interest For Certain Nonprofit Hospitals

a)         Upon application of an employer, the Director shall grant a conditional waiver of any interest owed by the employer with respect to contributions due for quarters specified in the conditional waiver, where the employer is a nonprofit organization, as that term is used in Section 211.2 of the Act [820 ILCS 405/211.2], operating as a hospital and the following conditions are met:

1)         the employer has experienced a year-end loss of more than $1,000,000 in each of at least three of the employer's fiscal years during the period in which the interest has accrued; and

2)         the losses described in subsection (a)(1) are established by certified, audited statements of the financial condition of the employer.

b)         The Director shall waive interest covered by a conditional waiver granted under subsection (a) upon payment, within four years after the date on which the conditional waiver is granted, of the full amount of all contributions due for the quarters specified in the conditional waiver.

c)         A conditional waiver granted under subsection (a) shall be revoked by the Director where payment of the contributions due for the quarters specified in the conditional waiver is to be made pursuant to a deferred payment agreement and the employer commits a substantial breach of that agreement or where the employer fails to timely pay contributions due for quarters not specified in the conditional waiver.

d)         Notwithstanding subsection (a), the Director shall not grant more than one conditional waiver of interest with respect to contributions due for the same quarter.

(Source:  Added at 20 Ill. Reg. 4307, effective February 29, 1996)