Public Act 096-0008
 
SB0366 Enrolled LRB096 06398 RCE 16482 b

    AN ACT concerning State government.
 
    Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
 
ARTICLE 1. SHORT TITLE; PURPOSE

 
    Section 1-1. Short title. This Act may be cited as the
FY2009 Budget Implementation (Spring Supplemental) Act.
 
    Section 1-5. Purpose. It is the purpose of this Act to make
changes in State programs that are necessary to implement the
Governor's Fiscal Year 2009 supplemental budget
recommendations as a result of enactment of the American
Recovery and Reinvestment Act of 2009.
 
ARTICLE 5. FEDERAL RECOVERY

 
    Section 5-5. The Department of Transportation Law of the
Civil Administrative Code of Illinois is amended by adding
Section 2705-585 as follows:
 
    (20 ILCS 2705/2705-585 new)
    Sec. 2705-585. Diversity goals.
    (a) To the extent permitted by any applicable federal law
or regulation, all State construction projects funded from
amounts (i) made available under the Governor's Fiscal Year
2009 supplemental budget or the American Recovery and
Reinvestment Act of 2009 and (ii) that are appropriated to the
Illinois Department of Transportation shall comply with the
Business Enterprise for Minorities, Females, and Persons with
Disabilities Act.
    (b) The Illinois Department of Transportation shall
appoint representatives to professional and artistic services
selection committees representative of the State's ethnic,
cultural, and geographic diversity, including, but not limited
to, at least one person from each of the following: an
association representing the interests of African American
business owners, an association representing the interests of
Latino business owners, and an association representing the
interests of women business owners. These committees shall
comply with all requirements of the Open Meetings Act.
 
    Section 5-10. The State Finance Act is amended by changing
Section 6z-52 as follows:
 
    (30 ILCS 105/6z-52)
    Sec. 6z-52. Drug Rebate Fund.
    (a) There is created in the State Treasury a special fund
to be known as the Drug Rebate Fund.
    (b) The Fund is created for the purpose of receiving and
disbursing moneys in accordance with this Section.
Disbursements from the Fund shall be made, subject to
appropriation, only as follows:
        (1) For payments to pharmacies for reimbursement for
    prescription drugs provided to a recipient of aid under
    Article V of the Illinois Public Aid Code or the Children's
    Health Insurance Program Act.
        (2) For reimbursement of moneys collected by the
    Department of Healthcare and Family Services (formerly
    Illinois Department of Public Aid) through error or
    mistake.
        (3) For payments of any amounts that are reimbursable
    to the federal government resulting from a payment into
    this Fund.
    (c) The Fund shall consist of the following:
        (1) Upon notification from the Director of Healthcare
    and Family Services, the Comptroller shall direct and the
    Treasurer shall transfer the net State share (disregarding
    the reduction in net State share attributable to the
    American Recovery and Reinvestment Act of 2009 or any other
    federal economic stimulus program) of all moneys received
    by the Department of Healthcare and Family Services
    (formerly Illinois Department of Public Aid) from drug
    rebate agreements with pharmaceutical manufacturers
    pursuant to Title XIX of the federal Social Security Act,
    including any portion of the balance in the Public Aid
    Recoveries Trust Fund on July 1, 2001 that is attributable
    to such receipts.
        (2) All federal matching funds received by the Illinois
    Department as a result of expenditures made by the
    Department that are attributable to moneys deposited in the
    Fund.
        (3) Any premium collected by the Illinois Department
    from participants under a waiver approved by the federal
    government relating to provision of pharmaceutical
    services.
        (4) All other moneys received for the Fund from any
    other source, including interest earned thereon.
(Source: P.A. 95-331, eff. 8-21-07.)
 
    Section 5-12. The Business Enterprise for Minorities,
Females, and Persons with Disabilities Act is amended by
changing Section 4 as follows:
 
    (30 ILCS 575/4)  (from Ch. 127, par. 132.604)
    (Section scheduled to be repealed on June 30, 2010)
    Sec. 4. Award of State contracts.
    (a) Except as provided in subsection (b), not less than 12%
of the total dollar amount of State contracts, as defined by
the Secretary of the Council and approved by the Council, shall
be established as a goal to be awarded to businesses owned by
minorities, females, and persons with disabilities; provided,
however, that contracts representing at least five-twelfths of
the total amount of all State contracts awarded to businesses
owned by minorities, females, and persons with disabilities
pursuant to this Section shall be awarded to female owned
businesses, and that contracts representing at least one-sixth
of the total amount of all State contracts awarded to
businesses owned by minorities, females, and persons with
disabilities pursuant to this Section shall be awarded to
businesses owned by persons with disabilities.
    The above percentage relates to the total dollar amount of
State contracts during each State fiscal year, calculated by
examining independently each type of contract for each agency
or university which lets such contracts. Only that percentage
of arrangements which represents the participation of
businesses owned by minorities, females, and persons with
disabilities on such contracts shall be included.
    (b) In the case of State construction contracts, the
provisions of subsection (a) requiring a portion of State
contracts to be awarded to businesses owned and controlled by
persons with disabilities do not apply. Not less than 10% of
the total dollar amount of State construction contracts is
established as a goal to be awarded to minority and female
owned businesses, and contracts representing 50% of the amount
of all State construction contracts awarded to minority and
female owned businesses shall be awarded to female owned
businesses.
    (c) Within one year after the effective date of this
amendatory Act of the 96th General Assembly, the Department of
Central Management Services shall conduct a social scientific
study that measures the impact of discrimination on minority
and female business development in Illinois. Within 18 months
after the effective date of this amendatory Act, the Department
shall issue a report of its findings and any recommendations on
whether to adjust the goals for minority and female
participation established in this Act. Copies of this report
and the social scientific study shall be filed with the
Governor and the General Assembly.
(Source: P.A. 87-701; 88-597, eff. 8-28-94.)
 
    Section 5-15. The Illinois Public Aid Code is amended by
changing Section 5A-10 as follows:
 
    (305 ILCS 5/5A-10)  (from Ch. 23, par. 5A-10)
    Sec. 5A-10. Applicability.
    (a) The assessment imposed by Section 5A-2 shall not take
effect or shall cease to be imposed, and any moneys remaining
in the Fund shall be refunded to hospital providers in
proportion to the amounts paid by them, if:
        (1) The sum of the appropriations for State fiscal
    years 2004 and 2005 from the General Revenue Fund for
    hospital payments under the medical assistance program is
    less than $4,500,000,000 or the appropriation for each of
    State fiscal years 2006, 2007 and 2008 from the General
    Revenue Fund for hospital payments under the medical
    assistance program is less than $2,500,000,000 increased
    annually to reflect any increase in the number of
    recipients, or the annual appropriation for State fiscal
    years 2009 through 2013, from the General Revenue Fund
    combined with the Hospital Provider Fund as authorized in
    Section 5A-8 for hospital payments under the medical
    assistance program, is less than the amount appropriated
    for State fiscal year 2009, adjusted annually to reflect
    any change in the number of recipients, excluding State
    fiscal year 2009 supplemental appropriations made
    necessary by the enactment of the American Recovery and
    Reinvestment Act of 2009; or
        (2) For State fiscal years prior to State fiscal year
    2009, the Department of Healthcare and Family Services
    (formerly Department of Public Aid) makes changes in its
    rules that reduce the hospital inpatient or outpatient
    payment rates, including adjustment payment rates, in
    effect on October 1, 2004, except for hospitals described
    in subsection (b) of Section 5A-3 and except for changes in
    the methodology for calculating outlier payments to
    hospitals for exceptionally costly stays, so long as those
    changes do not reduce aggregate expenditures below the
    amount expended in State fiscal year 2005 for such
    services; or
        (2.1) For State fiscal years 2009 through 2013, the
    Department of Healthcare and Family Services adopts any
    administrative rule change to reduce payment rates or
    alters any payment methodology that reduces any payment
    rates made to operating hospitals under the approved Title
    XIX or Title XXI State plan in effect January 1, 2008
    except for:
            (A) any changes for hospitals described in
        subsection (b) of Section 5A-3; or
            (B) any rates for payments made under this Article
        V-A; or
            (C) any changes proposed in State plan amendment
        transmittal numbers 08-01, 08-02, 08-04, 08-06, and
        08-07; or
        (3) The payments to hospitals required under Section
    5A-12 or Section 5A-12.2 are changed or are not eligible
    for federal matching funds under Title XIX or XXI of the
    Social Security Act.
    (b) The assessment imposed by Section 5A-2 shall not take
effect or shall cease to be imposed if the assessment is
determined to be an impermissible tax under Title XIX of the
Social Security Act. Moneys in the Hospital Provider Fund
derived from assessments imposed prior thereto shall be
disbursed in accordance with Section 5A-8 to the extent federal
financial participation is not reduced due to the
impermissibility of the assessments, and any remaining moneys
shall be refunded to hospital providers in proportion to the
amounts paid by them.
(Source: P.A. 94-242, eff. 7-18-05; 95-331, eff. 8-21-07;
95-859, eff. 8-19-08.)
 
    Section 5-20. The Environmental Protection Act is amended
by changing Sections 19.1, 19.3, and 19.4 as follows:
 
    (415 ILCS 5/19.1)  (from Ch. 111 1/2, par. 1019.1)
    Sec. 19.1. Legislative findings. The General Assembly
finds:
    (a) that local government units require assistance in
financing the construction of wastewater treatment works in
order to comply with the State's program of environmental
protection and federally mandated requirements;
    (b) that the federal Water Quality Act of 1987 provides an
important source of grant awards to the State for providing
assistance to local government units through the Water
Pollution Control Loan Program;
    (c) that local government units and privately owned
community water supplies require assistance in financing the
construction of their public water supplies to comply with
State and federal drinking water laws and regulations;
    (d) that the federal Safe Drinking Water Act ("SDWA"), P.L.
93-523, as now or hereafter amended, provides an important
source of capitalization grant awards to the State to provide
assistance to local government units and privately owned
community water supplies through the Public Water Supply Loan
Program;
    (e) that violations of State and federal drinking water
standards threaten the public interest, safety, and welfare,
which demands that the Illinois Environmental Protection
Agency expeditiously adopt emergency rules to administer the
Public Water Supply Loan Program; and
    (f) that the General Assembly agrees with the conclusions
and recommendations of the "Report to the Illinois General
Assembly on the Issue of Expanding Public Water Supply Loan
Eligibility to Privately Owned Community Water Supplies",
dated August 1998, including the stated access to the Public
Water Supply Loan Program by the privately owned public water
supplies so that the long term integrity and viability of the
corpus of the Fund will be assured; and .
    (g) that the American Recovery and Reinvestment Act of 2009
provides a source of capitalization grant awards to the State
to provide loans and additional subsidization, including, but
not limited to, forgiveness of principal, negative interest
loans, and grants, to local government units through the Water
Pollution Control Loan Program and to local government units
and privately owned community water supplies through the Public
Water Supply Loan Program.
(Source: P.A. 91-52, eff. 6-30-99; 91-501, eff. 8-13-99;
92-651, eff. 7-11-02.)
 
    (415 ILCS 5/19.3)  (from Ch. 111 1/2, par. 1019.3)
    Sec. 19.3. Water Revolving Fund.
    (a) There is hereby created within the State Treasury a
Water Revolving Fund, consisting of 3 interest-bearing special
programs to be known as the Water Pollution Control Loan
Program, the Public Water Supply Loan Program, and the Loan
Support Program, which shall be used and administered by the
Agency.
    (b) The Water Pollution Control Loan Program shall be used
and administered by the Agency to provide assistance for the
following purposes:
        (1) to accept and retain funds from grant awards,
    appropriations, transfers, and payments of interest and
    principal;
        (2) to make direct loans at or below market interest
    rates to any eligible local government unit to finance the
    construction of wastewater treatments works;
        (2.5) with respect to funds provided under the American
    Recovery and Reinvestment Act of 2009:
            (A) to make direct loans at or below market
        interest rates to any eligible local government unit
        and to provide additional subsidization to any
        eligible local government unit, including, but not
        limited to, forgiveness of principal, negative
        interest rates, and grants;
            (B) to make direct loans at or below market
        interest rates to any eligible local government unit to
        buy or refinance debt obligations for treatment works
        incurred on or after October 1, 2008; and
            (C) to provide additional subsidization,
        including, but not limited to, forgiveness of
        principal, negative interest rates, and grants for
        treatment works incurred on or after October 1, 2008;
        (3) to make direct loans at or below market interest
    rates to any eligible local government unit to buy or
    refinance debt obligations for treatment works incurred
    after March 7, 1985;
        (3.5) to make direct loans at or below market interest
    rates for the implementation of a management program
    established under Section 319 of the Federal Water
    Pollution Control Act, as amended;
        (4) to guarantee or purchase insurance for local
    obligations where such action would improve credit market
    access or reduce interest rates;
        (5) as a source of revenue or security for the payment
    of principal and interest on revenue or general obligation
    bonds issued by the State or any political subdivision or
    instrumentality thereof, if the proceeds of such bonds will
    be deposited in the Fund;
        (6) to finance the reasonable costs incurred by the
    Agency in the administration of the Fund; and
        (7) to transfer funds to the Public Water Supply Loan
    Program.
    (c) The Loan Support Program shall be used and administered
by the Agency for the following purposes:
        (1) to accept and retain funds from grant awards and
    appropriations;
        (2) to finance the reasonable costs incurred by the
    Agency in the administration of the Fund, including
    activities under Title III of this Act, including the
    administration of the State construction grant program;
        (3) to transfer funds to the Water Pollution Control
    Loan Program and the Public Water Supply Loan Program;
        (4) to accept and retain a portion of the loan
    repayments;
        (5) to finance the development of the low interest loan
    program for public water supply projects;
        (6) to finance the reasonable costs incurred by the
    Agency to provide technical assistance for public water
    supplies; and
        (7) to finance the reasonable costs incurred by the
    Agency for public water system supervision programs, to
    administer or provide for technical assistance through
    source water protection programs, to develop and implement
    a capacity development strategy, to delineate and assess
    source water protection areas, and for an operator
    certification program in accordance with Section 1452 of
    the federal Safe Drinking Water Act.
    (d) The Public Water Supply Loan Program shall be used and
administered by the Agency to provide assistance to local
government units and privately owned community water supplies
for public water supplies for the following public purposes:
        (1) to accept and retain funds from grant awards,
    appropriations, transfers, and payments of interest and
    principal;
        (2) to make direct loans at or below market interest
    rates to any eligible local government unit or to any
    eligible privately owned community water supply to finance
    the construction of water supplies;
        (2.5) with respect to funds provided under the American
    Recovery and Reinvestment Act of 2009:
            (A) to make direct loans at or below market
        interest rates to any eligible local government unit or
        to any eligible privately owned community water
        supply, and to provide additional subsidization to any
        eligible local government unit or to any eligible
        privately owned community water supply, including, but
        not limited to, forgiveness of principal, negative
        interest rates, and grants;
            (B) to buy or refinance the debt obligation of a
        local government unit for costs incurred on or after
        October 1, 2008; and
            (C) to provide additional subsidization,
        including, but not limited to, forgiveness of
        principal, negative interest rates, and grants for a
        local government unit for costs incurred on or after
        October 1, 2008;
        (3) to buy or refinance the debt obligation of a local
    government unit for costs incurred on or after July 17,
    1997;
        (4) to guarantee local obligations where such action
    would improve credit market access or reduce interest
    rates;
        (5) as a source of revenue or security for the payment
    of principal and interest on revenue or general obligation
    bonds issued by the State or any political subdivision or
    instrumentality thereof, if the proceeds of such bonds will
    be deposited into the Fund; and
        (6) to transfer funds to the Water Pollution Control
    Loan Program.
    (e) The Agency is designated as the administering agency of
the Fund. The Agency shall submit to the Regional Administrator
of the United States Environmental Protection Agency an
intended use plan which outlines the proposed use of funds
available to the State. The Agency shall take all actions
necessary to secure to the State the benefits of the federal
Water Pollution Control Act and the federal Safe Drinking Water
Act, as now or hereafter amended.
    (f) The Agency shall have the power to enter into
intergovernmental agreements with the federal government or
the State, or any instrumentality thereof, for purposes of
capitalizing the Water Revolving Fund. Moneys on deposit in the
Water Revolving Fund may be used for the creation of reserve
funds or pledged funds that secure the obligations of repayment
of loans made pursuant to this Section. For the purpose of
obtaining capital for deposit into the Water Revolving Fund,
the Agency may also enter into agreements with financial
institutions and other persons for the purpose of selling loans
and developing a secondary market for such loans. The Agency
shall have the power to create and establish such reserve funds
and accounts as may be necessary or desirable to accomplish its
purposes under this subsection and to allocate its available
moneys into such funds and accounts. Investment earnings on
moneys held in the Water Revolving Fund, including any reserve
fund or pledged fund, shall be deposited into the Water
Revolving Fund.
(Source: P.A. 92-16, 6-28-01; 93-170, eff. 7-10-03.)
 
    (415 ILCS 5/19.4)  (from Ch. 111 1/2, par. 1019.4)
    Sec. 19.4. Regulations; priorities.
    (a) The Agency shall have the authority to promulgate
regulations to set forth procedures and criteria concerning
loan applications. For units of local government, the
regulations shall include, but need not be limited to, the
following elements:
        (1) loan application requirements;
        (2) determination of credit worthiness of the loan
    applicant;
        (3) special loan terms, as necessary, for securing the
    repayment of the loan;
        (4) assurance of payment;
        (5) interest rates;
        (6) loan support rates;
        (7) impact on user charges;
        (8) eligibility of proposed construction;
        (9) priority of needs;
        (10) special loan terms for disadvantaged communities;
        (11) maximum limits on annual distributions of funds to
    applicants or groups of applicants;
        (12) penalties for noncompliance with loan
    requirements and conditions, including stop-work orders,
    termination, and recovery of loan funds; and
        (13) indemnification of the State of Illinois and the
    Agency by the loan recipient.
    (b) The Agency shall have the authority to promulgate
regulations to set forth procedures and criteria concerning
loan applications for loan recipients other than units of local
government. In addition to all of the elements required for
units of local government under subsection (a), the regulations
shall include, but need not be limited to, the following
elements:
        (1) types of security required for the loan;
        (2) types of collateral, as necessary, that can be
    pledged for the loan; and
        (3) staged access to fund privately owned community
    water supplies.
    (c) The Agency shall develop and maintain a priority list
of loan applicants as categorized by need. Priority in making
loans from the Public Water Supply Loan Program must first be
given to local government units and privately owned community
water supplies that need to make capital improvements to
protect human health and to achieve compliance with the State
and federal primary drinking water standards adopted pursuant
to this Act and the federal Safe Drinking Water Act, as now and
hereafter amended.
    (d) The Agency shall have the authority to promulgate
regulations to set forth procedures and criteria concerning
loan applications for funds provided under the American
Recovery and Reinvestment Act of 2009. In addition, due to time
constraints in the American Recovery and Reinvestment Act of
2009, the Agency shall adopt emergency rules as necessary to
allow the timely administration of funds provided under the
American Recovery and Reinvestment Act of 2009. Emergency rules
adopted under this subsection (d) shall be adopted in
accordance with Section 5-45 of the Illinois Administrative
Procedure Act.
(Source: P.A. 91-36, eff. 6-15-99; 91-52, eff. 6-30-99; 91-501,
eff. 8-13-99; 92-16, eff. 6-28-01.)
 
ARTICLE 10. RTA CLEAN/GREEN VEHICLES

 
    Section 10-5. The Regional Transportation Authority Act is
amended by adding Section 2.32 as follows:
 
    (70 ILCS 3615/2.32 new)
    Sec. 2.32. Clean/green vehicles. Any vehicles purchased
from funds made available to the Authority from the
Transportation Bond, Series B Fund must incorporate
clean/green technologies and alternative fuel technologies, to
the extent practical.
 
ARTICLE 99. EFFECTIVE DATE

 
    Section 99-99. Effective date. This Act takes effect upon
becoming law.