HB5906eng 95TH GENERAL ASSEMBLY

HB5906 Engrossed LRB095 17868 DRJ 43948 b

AN ACT concerning State government.

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

Section 5. The Department of Commerce and Economic Opportunity Law of the Civil Administrative Code of Illinois is amended by adding Section 605-530 as follows:

(20 ILCS 605/605-530 new)

Sec. 605-530. Veteran-owned small business loans.

(a) In this Section:

"Small business" means any for-profit business in Illinois, including, but not limited to, any sole proprietorship, partnership, corporation, joint venture, association, or cooperative, which is expected to have fewer than 500 full-time employees.

"Veteran" means an Illinois resident who has served as a member of the United States Armed Forces on active duty or State active duty, a member of the Illinois National Guard, or a member of the United States Reserve Forces and who has received an honorable discharge.

"Veteran-owned small business" means a small business that is, in the Department's judgment, at least 51% owned and managed by one or more persons who are veterans.

(b) The Department may make participation loans to veteran-owned small businesses for the purposes of promoting the creation of veteran-owned small businesses and promoting the creation of jobs within small businesses. A loan made under this Section must meet the following requirements:

(1) The loan may not exceed $100,000 or 50% of the business project costs unless the Director determines that a waiver of these limits is required to meet the purposes of this Section.

(2) The loan may be made only if, in the Department's judgment, the number of jobs to be created is reasonable in relation to the loan funds requested.

(3) The loan must be protected by security. Financial assistance may be secured by first, second, or subordinate mortgage positions on real or personal property, by royalty payments, by personal notes or guarantees, or by any other security satisfactory to the Department to secure repayment.

(4) The loan shall be in a principal amount and form and contain terms and provisions with respect to security, insurance, reporting, delinquency charges, default remedies, and other matters that the Department determines are appropriate to protect the public interest and consistent with the purposes of this Section.

(c) Notwithstanding any other rulemaking authority that may exist, neither the Governor nor any agency or agency head under the jurisdiction of the Governor has any authority to make or promulgate rules to implement or enforce the provisions of this amendatory Act of the 95th General Assembly. If, however, the Governor believes that rules are necessary to implement or enforce the provisions of this amendatory Act of the 95th General Assembly, the Governor may suggest rules to the General Assembly by filing them with the Clerk of the House and Secretary of the Senate and by requesting that the General Assembly authorize such rulemaking by law, enact those suggested rules into law, or take any other appropriate action in the General Assembly's discretion. Nothing contained in this amendatory Act of the 95th General Assembly shall be interpreted to grant rulemaking authority under any other Illinois statute where such authority is not otherwise explicitly given. For the purposes of this amendatory Act of the 95th General Assembly, "rules" is given the meaning contained in Section 1-70 of the Illinois Administrative Procedure Act, and "agency" and "agency head" are given the meanings contained in Sections 1-20 and 1-25 of the Illinois Administrative Procedure Act to the extent that such definitions apply to agencies or agency heads under the jurisdiction of the Governor.

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