95TH GENERAL ASSEMBLY
State of Illinois
2007 and 2008
HB6713


 
Introduced , by Rep. Bill Mitchell
 
SYNOPSIS AS INTRODUCED:
 		








    



30 ILCS 540/3-1
  from Ch. 127, par. 132.403-1


705 ILCS 505/24
  from Ch. 37, par. 439.24







    Amends the State Prompt Payment Act and the Court of Claims Act. Provides that, in directing payment of a claim that is based on a vendor's bill or invoice for goods or services furnished to the State, the Court of Claims must direct the Comptroller to add an interest penalty. An interest penalty of 1% of the amount of the award shall be added for each month or fraction thereof after the sixtieth day after the receipt of the vendor's proper bill or invoice, until final payment is made. Provides that the interest penalty shall be added regardless of the amount of time between the receipt of the vendor's proper bill or invoice and the final payment  because of the appropriation process, the consideration of the matter by the Court, or any other reason. Makes other changes conforming the State Prompt Payment Act to the Court of Claims Act. Effective immediately.




















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FISCAL NOTE ACT MAY APPLY
















 


 


A BILL FOR









 











HB6713

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    AN ACT concerning vendors' claims against the State.

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


 
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    Section 5. The State Prompt Payment Act is amended by 
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changing Section 3-1 as follows:
 



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    (30 ILCS 540/3-1)  (from Ch. 127, par. 132.403-1)


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    Sec. 3-1. The Illinois Court of Claims shall, in its 
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investigation of
payments due claimants, provide for interest 
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penalties as prescribed in this
Act; however, interest 
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penalties in claims pursuant to the Line of Duty
Compensation 
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Act shall be paid in accordance with subsection (3) of Section 
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24 of the Court of Claims Act and the interest penalty in a 
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claim based on a vendor's bill or invoice for goods or services 
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furnished to the State shall be paid in accordance with 
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subsection (4) of Section 24 of the Court of Claims Act.

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(Source: P.A. 95-928, eff. 8-26-08.)

 
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    Section 10. The Court of Claims Act is amended  by changing 
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Section 24 as follows:
 



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    (705 ILCS 505/24)  (from Ch. 37, par. 439.24)



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    Sec. 24. Payment of awards. 

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    (1) From funds appropriated by the General Assembly for the 
 


 






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purposes
of this Section the Court may direct
immediate payment 
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of:


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        (a) All claims arising solely as a result of the 
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    lapsing of an
appropriation out of which the obligation 
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    could have been paid.


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        (b) All claims pursuant to the Line of Duty

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    Compensation Act.


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        (c) All claims pursuant to the "Illinois National 
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    Guardsman's and
Naval Militiaman's Compensation Act", 
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    approved August 12, 1971, as
amended.


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        (d) All claims pursuant to the "Crime Victims 
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    Compensation Act",
approved August 23, 1973, as amended.


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        (e) All other claims wherein the amount of the award of 
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    the Court
is less than $5,000.

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    (2) The court may, from funds specifically appropriated 
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from the General
Revenue Fund for this purpose, direct the 
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payment of awards less than $50,000
solely as a result
of the 
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lapsing of an appropriation originally made from any fund held 
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by the
State Treasurer.  For any such award paid from the 
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General Revenue Fund, the
court
shall thereafter seek an 
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appropriation from the fund from which the liability
originally 
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accrued in reimbursement of the General Revenue Fund.

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    (3) In directing payment of a claim pursuant to the Line of 
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Duty
Compensation Act, the Court must direct the Comptroller to 
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add an interest penalty if payment of a claim is not made 
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within  6 months after a claim is filed in accordance with 
 


 






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Section 3 of the Line of Duty
Compensation Act and all 
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information has been submitted as required under Section 4 of 
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the Line of Duty
Compensation Act. If payment is not issued 
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within the 6-month period, an interest penalty of 1% of the 
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amount of the award shall be added for each month or fraction 
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thereof after the end of the 6-month period, until final 
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payment is made.  This interest penalty shall be added 
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regardless of whether the payment is not issued within the 
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6-month period because of  the appropriation process, the 
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consideration of the matter by the Court, or any other reason. 
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    (4)  In directing payment of a claim that is based on a 
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vendor's bill or invoice for goods or services furnished to the 
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State, the Court must direct the Comptroller to add an interest 
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penalty. An interest penalty of 1% of the amount of the award 
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shall be added for each month or fraction thereof after the 
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sixtieth day after the receipt of the vendor's proper bill or 
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invoice, until final payment is made. This interest penalty 
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shall be added regardless of the amount of time between the 
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receipt of the vendor's proper bill or invoice and the final 
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payment because of the appropriation process, the 
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consideration of the matter by the Court, or any other reason. 
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(Source: P.A. 95-928, eff. 8-26-08.)

 

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