SB3756 104TH GENERAL ASSEMBLY

LRB104 19481 KTG 32929 b

104TH GENERAL ASSEMBLY
State of Illinois
2025 and 2026
SB3756

Introduced 2/5/2026, by Sen. Graciela Guzmán

SYNOPSIS AS INTRODUCED:

20 ILCS 1305/10-13 new

Provides that the Act may be referred to as the Illinois Newborn Equity Support Transfer (NEST) Program Act. Amends the Department of Human Services Act. Requires the Department of Human Services to establish and administer, subject to appropriations, the Illinois Newborn Equity Support Transfer (NEST) Program to provide direct cash assistance to eligible participants by July 1, 2026. Defines "participant" to mean any individual who gives birth in Illinois while enrolled in or eligible for Medicaid through Moms and Babies. Permits the Department to adopt any rules necessary to implement the NEST Program. Provides that program participants shall receive a $1,500 lump sum payment in or around the third trimester of pregnancy, prior to delivery; and a $500 monthly cash payment for the first 6 months following delivery. Requires the Department to submit reports to the General Assembly on a biennial basis that summarizes (1) the number of program participants and distribution across the State, (2) outcomes related to maternal and child health, housing stability, and economic security, or other outcomes identified by the Department in collaboration with stakeholders, and (3) recommendations for program improvements or additional populations beyond Medicaid enrollment to include as participants. Provides that cash disbursements made to participants under the NEST Program shall be considered "guaranteed income" as described in the Hospital Uninsured Patient Discount Act for purposes of determining eligibility for assistance under the Illinois Public Aid Code. Effective immediately.

A BILL FOR

AN ACT concerning State government.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 1. Reference to Act. This Act may be referred to as the Illinois Newborn Equity Support Transfer (NEST) Program Act.

Section 5. The Department of Human Services Act is amended by adding Section 10-13 as follows:

(20 ILCS 1305/10-13 new)

Sec. 10-13. Illinois Newborn Equity Support Transfer Program.

(a) Findings and declaration of policy. The General Assembly finds the following:

(1) All mothers and babies deserve to start their lives together with dignity, stability, and the resources they need for health and well-being.

(2) Financial support during pregnancy and in the first year of a baby's life improves health outcomes for both mother and child.

(3) Medicaid covers approximately half of all births in Illinois, underscoring the State's role in ensuring equitable and effective maternal and infant care.

(4) Lump sum and monthly direct supports to new mothers have been shown to improve maternal and child health, strengthen family stability, and reduce financial stress during the most critical time of a baby's life.

(5) Illinois is committed to supporting new mothers and their children through innovative and effective programs that address health and economic disparities.

(6) The NEST Program aims to improve outcomes for families by focusing on specific goals, including: enhancing maternal and child health outcomes; promoting housing and economic stability; reducing involvement in the child welfare and criminal justice systems; and providing critical support to caregivers.

(b) Definitions. As used in this Section:

"Department" means the Department of Human Services.

"Medicaid" means medical assistance provided under Article V of the Illinois Public Aid Code as authorized under Section 1902 of the Social Security Act.

"Participant" means any individual who gives birth in Illinois while enrolled in or eligible for Medicaid through Moms and Babies.

"Stakeholders" means stakeholders that include, but are not limited to, other State departments, hospitals, birthing centers, healthcare providers, advocates for maternal health, advocates for child welfare, advocates for housing support, and advocates for economic justice, early childhood providers, and advocates for food security.

(c) Illinois Newborn Equity Support Transfer Program. Subject to appropriation, the Department shall establish and administer the Illinois Newborn Equity Support Transfer (NEST) Program to provide direct cash assistance to eligible participants by July 1, 2026. The Department may adopt any rules necessary to implement the program.

(d) Disbursement. A participant shall receive:

(1) A lump sum payment of $1,500 provided in or around the third trimester of pregnancy, prior to delivery.

(2) A monthly cash payment of $500 for the first 6 months following delivery. The monthly disbursements begin the first day after the date of delivery.

(e) Reporting. The Department, in consultation or partnership with stakeholders, shall submit reports to the General Assembly on a biennial basis summarizing:

(1) the number of program participants and distribution across the State;

(2) outcomes related to maternal and child health, housing stability, and economic security, or other outcomes identified by the Department in collaboration with stakeholders; and

(3) recommendations for program improvements or additional populations beyond Medicaid enrollment to include as participants, including, but not limited to, by socio-economic status, geographic impact goals, or other identifiers.

(f) Public aid income exemption. For all intents and purposes, disbursements made to participants under the NEST Program shall be considered "guaranteed income" as described in Section 5 of the Hospital Uninsured Patient Discount Act for purposes of determining eligibility for assistance under the Illinois Public Aid Code.

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