SB0180 EnrolledLRB097 04011 JDS 44050 b

1    AN ACT concerning government.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The State Comptroller Act is amended by changing
5Sections 10.05 and 10.05d as follows:
 
6    (15 ILCS 405/10.05)  (from Ch. 15, par. 210.05)
7    Sec. 10.05. Deductions from warrants; statement of reason
8for deduction. Whenever any person shall be entitled to a
9warrant or other payment from the treasury or other funds held
10by the State Treasurer, on any account, against whom there
11shall be any then due and payable account or claim in favor of
12the State, the United States upon certification by the
13Secretary of the Treasury of the United States, or his or her
14delegate, pursuant to a reciprocal offset agreement under
15subsection (i-1) of Section 10 of the Illinois State Collection
16Act of 1986, or a unit of local government, a school district,
17or a public institution of higher education, as defined in
18Section 1 of the Board of Higher Education Act, or the clerk of
19a circuit court, upon certification by that entity, the
20Comptroller, upon notification thereof, shall ascertain the
21amount due and payable to the State, the United States, the
22unit of local government, the school district, or the public
23institution of higher education, or the clerk of the circuit

 

 

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1court, as aforesaid, and draw a warrant on the treasury or on
2other funds held by the State Treasurer, stating the amount for
3which the party was entitled to a warrant or other payment, the
4amount deducted therefrom, and on what account, and directing
5the payment of the balance; which warrant or payment as so
6drawn shall be entered on the books of the Treasurer, and such
7balance only shall be paid. The Comptroller may deduct any one
8or more of the following: (i) the entire amount due and payable
9to the State or a portion of the amount due and payable to the
10State in accordance with the request of the notifying agency;
11(ii) the entire amount due and payable to the United States or
12a portion of the amount due and payable to the United States in
13accordance with a reciprocal offset agreement under subsection
14(i-1) of Section 10 of the Illinois State Collection Act of
151986; or (iii) the entire amount due and payable to the unit of
16local government, school district, or public institution of
17higher education, or clerk of the circuit court, or a portion
18of the amount due and payable to that entity, in accordance
19with an intergovernmental agreement authorized under this
20Section and Section 10.05d. No request from a notifying agency,
21the Secretary of the Treasury of the United States, a unit of
22local government, a school district, or a public institution of
23higher education, or the clerk of a circuit court for an amount
24to be deducted under this Section from a wage or salary
25payment, or from a contractual payment to an individual for
26personal services, shall exceed 25% of the net amount of such

 

 

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1payment. "Net amount" means that part of the earnings of an
2individual remaining after deduction of any amounts required by
3law to be withheld. For purposes of this provision, wage,
4salary or other payments for personal services shall not
5include final compensation payments for the value of accrued
6vacation, overtime or sick leave. Whenever the Comptroller
7draws a warrant or makes a payment involving a deduction
8ordered under this Section, the Comptroller shall notify the
9payee and the State agency that submitted the voucher of the
10reason for the deduction and he or she shall retain a record of
11such statement in his or her records. As used in this Section,
12an "account or claim in favor of the State" includes all
13amounts owing to "State agencies" as defined in Section 7 of
14this Act. However, the Comptroller shall not be required to
15accept accounts or claims owing to funds not held by the State
16Treasurer, where such accounts or claims do not exceed $50, nor
17shall the Comptroller deduct from funds held by the State
18Treasurer under the Senior Citizens and Disabled Persons
19Property Tax Relief and Pharmaceutical Assistance Act or for
20payments to institutions from the Illinois Prepaid Tuition
21Trust Fund (unless the Trust Fund moneys are used for child
22support). The Comptroller and the Department of Revenue shall
23enter into an interagency agreement to establish
24responsibilities, duties, and procedures relating to
25deductions from lottery prizes awarded under Section 20.1 of
26the Illinois Lottery Law. The Comptroller may enter into an

 

 

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1intergovernmental agreement with the Department of Revenue and
2the Secretary of the Treasury of the United States, or his or
3her delegate, to establish responsibilities, duties, and
4procedures relating to reciprocal offset of delinquent State
5and federal obligations pursuant to subsection (i-1) of Section
610 of the Illinois State Collection Act of 1986. The
7Comptroller may enter into intergovernmental agreements with
8any unit of local government, school district, or public
9institution of higher education, or clerk of a circuit court to
10establish responsibilities, duties, and procedures to provide
11for the offset, by the Comptroller, of obligations owed to
12those entities.
13    For the purposes of this Section, "clerk of a circuit
14court" means the clerk of a circuit court in any county in the
15State.
16(Source: P.A. 97-269, eff. 12-16-11 (see Section 15 of P.A.
1797-632 for the effective date of changes made by P.A. 97-269);
1897-632, eff. 12-16-11.)
 
19    (15 ILCS 405/10.05d)
20    Sec. 10.05d. Deductions for delinquent obligations owed to
21units of local government, school districts, and public
22institutions of higher education, and clerks of the circuit
23courts. Pursuant to Section 10.05 and this Section, the
24Comptroller may enter into intergovernmental agreements with a
25unit of local government, a school district, or a public

 

 

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1institution of higher education, or the clerk of a circuit
2court, in order to provide for (i) the use of the Comptroller's
3offset system to collect delinquent obligations owed to that
4entity and (ii) the payment to the Comptroller of a processing
5charge of up to $15 per transaction for such offsets. The
6Comptroller shall deduct, from a warrant or other payment
7described in Section 10.05, in accordance with the procedures
8provided therein, its processing charge and the amount
9certified as necessary to satisfy, in whole or in part, the
10delinquent obligation owed to the unit of local government,
11school district, or public institution of higher education, or
12clerk of the circuit court, as applicable. The Comptroller
13shall provide the unit of local government, school district, or
14public institution of higher education, or clerk of the circuit
15court, as applicable, with the address to which the warrant or
16other payment was to be mailed and any other information
17pertaining to each person from whom a deduction is made
18pursuant to this Section. All deductions ordered under this
19Section and processing charges imposed under this Section shall
20be deposited into the Comptroller Debt Recovery Trust Fund, a
21special fund that the Comptroller shall use for the collection
22of deductions and processing charges, as provided by law, and
23the payment of deductions and administrative expenses, as
24provided by law.
25    Upon processing a deduction, the Comptroller shall give
26written notice to the person subject to the offset. The notice

 

 

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1shall inform the person that he or she may make a written
2protest to the Comptroller within 60 days after the Comptroller
3has given notice. The protest shall include the reason for
4contesting the deduction and any other information that will
5enable the Comptroller to determine the amount due and payable.
6The intergovernmental agreement entered into under Section
710.05 and this Section shall establish procedures through which
8the Comptroller shall determine the validity of the protest and
9shall make a final disposition concerning the deduction. If the
10person subject to the offset has not made a written protest
11within 60 days after the Comptroller has given notice or if a
12final disposition is made concerning the deduction, the
13Comptroller shall pay the deduction to the unit of local
14government, school district, or public institution of higher
15education, or clerk of the circuit court, as applicable, from
16the Comptroller Debt Recovery Trust Fund.
17    For the purposes of this Section, "clerk of a circuit
18court" means a clerk of the circuit court in any county in the
19State.
20(Source: P.A. 97-632, eff. 12-16-11.)
 
21    Section 99. Effective date. This Act takes effect upon
22becoming law.