Section 910.30  Assumption of Jurisdiction by Board

a)         Accounts receivable that are more than 180 days old, as defined in Section 910.20, will automatically be subject to the Board's jurisdiction unless the applicable State agency attests that the accounts fall into one of the categories set forth in subsection (c) of this Section.  During the initial 180 day period, the agency should pursue its own internal collection procedures.  Standards for initiating collection are set forth in Section 26.40.10 of the Comptroller's Statewide Accounting Management System (SAMS).  Collection procedures should include steps such as a reasonable written billing cycle, telephone contacts, personal contacts through agency collectors, and wherever possible, referral to private collection vendors.

b)         For purposes of this Part, the 180 day period begins to run on the day the receivable becomes enforceable.  The beginning date used to calculate the 180 day period for debtors having multiple debts will be established by the agency based on procedures approved by the Board.

c)         The Board will not assume jurisdiction over receivables more than 180 days old if:

1)         The receivables are subject to an acceptable installment payment plan.

A)        Such a plan should provide for repayment of the entire remaining balance due, together with applicable interest over a period not to exceed 3 years.  If no interest rate is specified by law, the agency should require the use of simple interest at the judgment rate of 9% per year.

B)        If an agency believes that it is in the best interests of the State to accept, as part of its collection efforts, payment plans for terms in excess of 3 years, and the agency collection procedures have not been approved by the Board pursuant to subsection (c)(2)(A)(i), it must seek the Board's specific authorization for the payment plans.

C)        Receivables subject to an acceptable installment payment plan that are delinquent under that plan for more than 90 days automatically become subject to the Board's jurisdiction unless the receivables are subject to subsection (c)(2), (3), (4) or (5).

2)         The Board determines, based on information provided by the agency:

A)        That:

i)          the receivables are currently the subject of ongoing collection efforts by the agency pursuant to collection procedures approved by the Board; and

ii)         in light of those collection efforts, it would not be in the State's best interest for the Board to assume jurisdiction over the receivables.

B)        Factors to be considered by the Board in determining whether an agency's collection procedures should be approved include:

i)          the statutory and regulatory methods available to the agency for use in collecting its receivables;

ii)         whether the agency has been using such methods, as well as applicable methods described in subsection (a), to collect its receivables as expeditiously as possible;

iii)         the number of agency staff dedicated to collection of accounts receivable;

iv)        the volume of agency receivables;

v)         the agency's historical percentage rate of collections;

vi)        the level of automation of the agency's collection system.

C)        If the Board approves an agency's collection procedures pursuant to subsection (c)(2)(A)(i), future receivables (or categories of receivables) subject to ongoing collection efforts pursuant to those procedures need not be submitted to the Board for exemption.

D)        The Board may periodically request an agency to submit information concerning its collection procedures.  If, based on that information, the Board determines that an agency's collection procedures are no longer acceptable, approval of the procedures may be withdrawn and the Board may assume jurisdiction over the agency's receivables more than 180 days old.

3)         The receivables are currently the subject of an ongoing wage levy, whether that levy is the result of a judgment entered in circuit court or an administrative levy issued without judgment.

4)         The receivables are currently the subject of litigation being pursued in the State of Illinois through the Office of the Attorney General, State's Attorneys' Offices or, where authorized by the Attorney General, by private counsel retained on behalf of the agency.

5)         The receivables have been referred to a private collection vendor by the agency and the receivables have been with that vendor for 90 days or less. Agency contracts with private collection vendors should provide that receivables referred to the vendor for which there have been no payments or other activity should be returned to the agency after 90 days.

6)         Receivables subject to one of the exceptions listed in subsection (c)(2), (3), (4) or (5) shall automatically be subject to the Board's jurisdiction 60 days after the agency has ceased ongoing collection efforts (other than those referenced in subsection (d)) pursuant to such exceptions.

d)         Referral of a receivable to the Comptroller's offset program, or institution of a license revocation proceeding either before or after the expiration of the 180 day period preceding Board jurisdiction, does not automatically prevent the receivable from becoming subject to the Board's jurisdiction.

(Source:  Amended at 31 Ill. Reg. 1951, effective January 10, 2007)