Full Text of SB0201 100th General Assembly
SB0201sam002 100TH GENERAL ASSEMBLY | Sen. Daniel Biss Filed: 4/23/2018
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| 1 | | AMENDMENT TO SENATE BILL 201
| 2 | | AMENDMENT NO. ______. Amend Senate Bill 201 by replacing | 3 | | everything after the enacting clause with the following:
| 4 | | "Section 1. Declaration of policy and intent. Section 14(c) | 5 | | of the Fair Labor Standards Act of 1938 authorizes the United | 6 | | States Department of Labor to grant special wage certificates | 7 | | to certain entities, which may then pay special minimum wages | 8 | | less than the federal minimum wage to workers who have | 9 | | disabilities. 119 Illinois entities are permitted to employ | 10 | | 11,555 individuals with disabilities under certificates issued | 11 | | to Community Rehabilitation Programs under Section 14(c) of the | 12 | | Fair Labor Standards Act of 1938. Among those now working for | 13 | | less than minimum wage are people with autism, cerebral palsy, | 14 | | spina bifida, Down syndrome, and other intellectual, | 15 | | developmental, and sensory disabilities including blindness | 16 | | and deafness. Employees with disabilities rarely transition | 17 | | from Section 14(c) programs to integrated employment at |
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| 1 | | competitive wages. The practice of paying workers with | 2 | | disabilities less than the federal minimum wage dates back to | 3 | | the 1930s, a time when there was virtually no employment | 4 | | opportunities for workers with disabilities in the mainstream | 5 | | workforce. The Illinois Employment First Act stipulates that | 6 | | "competitive and integrated employment shall be considered the | 7 | | first option when serving persons with disabilities of working | 8 | | age". Advancements in vocational rehabilitation, technology, | 9 | | and training now provide greater opportunities to workers with | 10 | | disabilities. | 11 | | Section 5. The Department of Human Services Act is amended | 12 | | by adding Sections 1-75 and 1-80 as follows: | 13 | | (20 ILCS 1305/1-75 new) | 14 | | Sec. 1-75. Phase-out plan. | 15 | | (a) The Department, in partnership with other State | 16 | | agencies, including the Department of Labor, the Department of | 17 | | Healthcare and Family Services, the Department of Central | 18 | | Management Services, the Department of Commerce and Economic | 19 | | Opportunity, the Department of Employment Security, and the | 20 | | State Board of Education, shall develop and implement a plan to | 21 | | phase out, on or before July 1, 2022, authorizations under | 22 | | Sections 5 and 10 of the Minimum Wage Law to pay an employee | 23 | | with a disability less than the minimum wage otherwise required | 24 | | for the employee under Illinois law. |
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| 1 | | (b) The phase-out plan shall include all of the following: | 2 | | (1) Benchmarks and desired outcomes for each year of | 3 | | the phase-out. | 4 | | (2) A list of the resources necessary, including | 5 | | changes to State policy or service and program | 6 | | reimbursement rates, to ensure that individuals with | 7 | | disabilities receive support according to the needs and | 8 | | preferences of the individuals and in an integrated | 9 | | setting, regardless of the nature or severity of the | 10 | | individuals' disabilities. | 11 | | (3) A description of alternative revenue options, | 12 | | including non-subminimum wage programs, for holders of | 13 | | certificates issued under Section 14(c) of the Fair Labor | 14 | | Standards Act of 1938. | 15 | | (4) An examination of the measures needed to improve | 16 | | future employment and day service options for people with | 17 | | disabilities, including recommendations for new or | 18 | | reformulated day service strategies and approaches | 19 | | designed to strengthen statewide capacity to assure | 20 | | informed choice for integrated employment and integrated | 21 | | avocational leisure and volunteer options for every | 22 | | individual with a disability. | 23 | | (5) A timeline and estimated costs for comprehensive | 24 | | training and certification of individual staff in | 25 | | supported employment and customized employment. The | 26 | | training shall also include benefits counseling and |
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| 1 | | education to reduce misinformation that promotes | 2 | | dependency and discourages income-producing work. Training | 3 | | audiences shall include the following persons and | 4 | | organizations: | 5 | | (A) Counselors from the Department's Division of | 6 | | Rehabilitation Services. | 7 | | (B)
Staff from the Department's Division of | 8 | | Developmental Disabilities. | 9 | | (C)
Organizations affiliated with the Department's | 10 | | Division of Rehabilitation Services or Division of | 11 | | Developmental Disabilities that are certified to serve | 12 | | persons with disabilities by the State or federal | 13 | | government. | 14 | | (D)
High school special education and transition | 15 | | staff. | 16 | | (E)
Independent Service Coordination agency staff. | 17 | | (F)
Community Work Incentives Coordinators. | 18 | | Training content developed or approved by federal | 19 | | agencies shall be used, if possible, including training | 20 | | content from the following agencies: | 21 | | (i) The Office of Disability Employment Policy in | 22 | | the United States Department of Labor. | 23 | | (ii)
The Rehabilitation Services Administration in | 24 | | the United States Department of Education. | 25 | | (iii)
The Administration for Community Living in | 26 | | the United States Department of Health and Human |
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| 1 | | Services. | 2 | | (iv) The Centers for Medicare and Medicaid | 3 | | Services in the United States Department of Health and | 4 | | Human Services. | 5 | | (6) A proposal to modify the Business Enterprise | 6 | | Program and the State Use Program to ensure future State | 7 | | contracts are not awarded to entities paying workers less | 8 | | than the minimum wage and instead are awarded to entities | 9 | | that promote fully integrated work opportunities. | 10 | | (7) Application for and use of all federal and State | 11 | | funding programs, including programs available under | 12 | | Medicaid waiver amendments and resources under the federal | 13 | | Workforce Innovation and Opportunity Act, to assist | 14 | | individuals with disabilities to obtain competitive, | 15 | | integrated employment. | 16 | | (8) The tracking of outcomes of individuals with | 17 | | disabilities on the basis of: | 18 | | (A) wages; | 19 | | (B) hours worked; | 20 | | (C) unemployment rates; | 21 | | (D) the number of individuals who move from | 22 | | subminimum wage positions to competitive, integrated | 23 | | employment; | 24 | | (E)
the number of individuals who move from | 25 | | subminimum wage positions to nonpaying activities; | 26 | | (F) the number of hours of paid supports; and |
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| 1 | | (G) the use and costs of Medicaid for acute health | 2 | | care and outpatient mental health care costs. | 3 | | (9) In the formulation of the phase-out plan, special | 4 | | attention must be paid to building adequate capacity in the | 5 | | disability provider ecosystem to ensure individuals with | 6 | | all levels of disability can secure competitive, | 7 | | integrated employment as defined in the federal Workforce | 8 | | Innovation and Opportunity Act. Special attention must be | 9 | | given to prevent any systematic shift of income-earning | 10 | | activity to unpaid day habilitation activity. | 11 | | (c) In implementing the phase-out plan, the Department | 12 | | shall consult with: | 13 | | (1) the State agencies listed in subsection (a); | 14 | | (2) the ARC of Illinois; | 15 | | (3) the Illinois Association of Rehabilitation | 16 | | Facilities; | 17 | | (4) the Illinois Network of Centers for Independent | 18 | | Living; | 19 | | (5) the Illinois Task Force on Employment and Economic | 20 | | Opportunity for Persons with Disabilities; | 21 | | (6) the Illinois Self-Advocacy Alliance; | 22 | | (7) the Institute on Public Policy for People with | 23 | | Disabilities; | 24 | | (8) the Great Lakes ADA Center; | 25 | | (9) holders of certificates issued to Community | 26 | | Rehabilitation Programs under Section 14(c) of the Fair |
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| 1 | | Labor Standards Act of 1938; | 2 | | (10) the Association of People Supporting Employment | 3 | | First; | 4 | | (11) the Illinois Association of the Deaf; | 5 | | (12) the University Center of Excellence in | 6 | | Developmental Disabilities; | 7 | | (13) the National Federation of the Blind of Illinois; | 8 | | and | 9 | | (14) any other relevant stakeholders. | 10 | | (d)(1) On or before January 1, 2019, the Secretary of Human | 11 | | Services shall submit the phase-out plan to the Governor and | 12 | | the General Assembly. | 13 | | (2) On or before January 1, 2020, January 1, 2021, and | 14 | | January 1, 2022, the Secretary shall report to the Governor and | 15 | | the General Assembly on: | 16 | | (A) the benchmarks and status of achieving the outcomes | 17 | | included in the phase-out plan; and | 18 | | (B) recommendations for funding levels or other | 19 | | resources necessary to implement the phase-out plan. | 20 | | (20 ILCS 1305/1-80 new) | 21 | | Sec. 1-80. Customized work plans. | 22 | | (a)(1) For each individual who is paid less than the | 23 | | minimum wage under Sections 5 and 10 of the Minimum Wage Law, | 24 | | the Department shall develop a written individualized | 25 | | customized work plan on or before January 1, 2020 that |
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| 1 | | addresses how community integration and employment will be | 2 | | accomplished. | 3 | | (2) The customized work plan shall be developed with input | 4 | | from the individual receiving services, and, where applicable, | 5 | | from the individual's family, the individual's vocational | 6 | | rehabilitation counselor, and any staff from the Department's | 7 | | Division of Developmental Disabilities or a Pre-Admission | 8 | | Screening/Independent Service Coordination agency who have | 9 | | interacted with the individual concerning employment and other | 10 | | life goals. | 11 | | (3) The Department shall use appropriate communication | 12 | | devices and techniques, including sign language, to facilitate | 13 | | the involvement of the individual in the development of each | 14 | | customized work plan. | 15 | | (b) Customized work plans shall include all of the | 16 | | following: | 17 | | (1) A recommendation on jobs and careers that allow the | 18 | | job seeker to thrive and contribute to an employer's needs. | 19 | | (2) A description of the supports required for the | 20 | | individual to work, if so desired by the individual, in the | 21 | | most integrated setting appropriate to complete the tasks | 22 | | and requirements of his or her job with minimal intrusion. | 23 | | (3) A listing of barriers that prevent the individual | 24 | | from receiving the services and supports required for the | 25 | | individual to work in the most integrated setting | 26 | | appropriate to meet the individual's needs, including: |
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| 1 | | (A) barriers to accessing funding and resources, | 2 | | including for staffing, transportation, and other | 3 | | needed services and supports; | 4 | | (B) decision-making by the individual or the | 5 | | individual's representative, as appropriate; | 6 | | (C) barriers to accessing medical or behavioral | 7 | | support needs; | 8 | | (D) family members' concerns or opposition; and | 9 | | (E) options for activity other than compensated | 10 | | employment in the person's life and community. | 11 | | (4) An update on the status and progress made toward | 12 | | addressing and resolving barriers identified under | 13 | | paragraph (3) in a previous customized work plan. | 14 | | (c) The Department shall develop, in consultation with | 15 | | interested stakeholders, the protocol and format for the | 16 | | customized work plan. | 17 | | (d)(1) The Department shall track the progress of | 18 | | individuals who have customized work plans by collecting the | 19 | | following data: | 20 | | (A) the wages of the individuals; | 21 | | (B) the unemployment rates of the individuals; | 22 | | (C) the number of individuals who moved from subminimum | 23 | | wage positions to competitive, integrated employment; | 24 | | (D) the number of individuals who moved from subminimum | 25 | | wage positions to nonpaying activities; and | 26 | | (E) the health costs, including outpatient mental |
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| 1 | | health costs, paid by Medicaid for the individuals. | 2 | | (2) On or before January 1, 2021, January 1, 2022, and | 3 | | January 1, 2023, the Secretary shall submit to the Governor and | 4 | | the General Assembly a summary of the data collected under | 5 | | paragraph (1) on a statewide and regional basis. The report to | 6 | | the General Assembly shall be filed with the Clerk of the House | 7 | | of Representatives and the Secretary of the Senate in | 8 | | electronic form only, in the manner that the Clerk and the | 9 | | Secretary shall direct. | 10 | | Section 10. The Department of Labor Law of the
Civil | 11 | | Administrative Code of Illinois is amended by adding Section | 12 | | 1505-215 as follows: | 13 | | (20 ILCS 1505/1505-215 new) | 14 | | Sec. 1505-215. Special wage certificates; persons with | 15 | | disabilities. | 16 | | (a) As used in this Section: | 17 | | "Director" means the Director of Labor. | 18 | | "Federal certificate" means a certificate that the United | 19 | | States Department of Labor issues to a work activities center | 20 | | or other sheltered workshop to allow the work activities center | 21 | | or sheltered workshop to pay an individual less than the wage | 22 | | otherwise required for that individual under the federal Fair | 23 | | Labor Standards Act of 1938. | 24 | | (b)(1) Subject to the limitations in this Section, the |
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| 1 | | Director may not authorize a work activities center or other | 2 | | sheltered workshop to pay an employee who has a disability less | 3 | | than the minimum wage otherwise required under the Minimum Wage | 4 | | Law for the employee. | 5 | | (2) Beginning January 1, 2020, the Director may not | 6 | | authorize a work activities center or other sheltered workshop | 7 | | to pay an employee with a disability less than the minimum wage | 8 | | if the work activities center or sheltered workshop was not | 9 | | authorized to do so before January 1, 2019 by the United States | 10 | | Department of Labor. | 11 | | (c)(1) To authorize a work activities center or other | 12 | | sheltered workshop to pay less than the minimum wage, the | 13 | | Director shall: | 14 | | (A) issue a State certificate that sets wages for | 15 | | employees of the work activities center or sheltered | 16 | | workshop; | 17 | | (B) accept a federal certificate for the work | 18 | | activities center or sheltered workshop; or | 19 | | (C) grant an exception for the work activities center | 20 | | or sheltered workshop, but only if: | 21 | | (i) the Director has not issued a State certificate | 22 | | to the work activities center or sheltered workshop; | 23 | | (ii) the work activities center or sheltered | 24 | | workshop is not eligible for a federal certificate; and | 25 | | (iii) the Director investigates and holds a | 26 | | hearing on the exception. |
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| 1 | | (2) The Director shall accept a federal certificate if a | 2 | | work activities center or other sheltered workshop submits that | 3 | | federal certificate to the Director within 10 days after the | 4 | | work activities center or sheltered workshop receives the | 5 | | federal certificate. | 6 | | (d)(1) Each certificate that the Director issues under this | 7 | | Section shall state the period for which the certificate is in | 8 | | effect. | 9 | | (2) The acceptance of a federal certificate does not apply | 10 | | automatically to an individual whom a work activities center or | 11 | | other sheltered workshop continues to employ after the | 12 | | individual completes a training program that the work | 13 | | activities center or sheltered workshop runs. | 14 | | (e)(1) The Director may revoke acceptance of a federal | 15 | | certificate if: | 16 | | (A) the United States Department of Labor revokes the | 17 | | federal certificate; or | 18 | | (B) at any time before revocation by the Department of | 19 | | Labor and after an investigation and hearing, the Director | 20 | | finds good cause to revoke the acceptance. | 21 | | (2) The Director shall send notice of a hearing under this | 22 | | subsection, by certified mail, to the holder of the federal | 23 | | certificate at least 30 days before the hearing.
| 24 | | Section 15. The Illinois Council on Developmental | 25 | | Disabilities Law is amended by adding Section 2008 as follows: |
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| 1 | | (20 ILCS 4010/2008 new) | 2 | | Sec. 2008. Independent study on phase-out and customized | 3 | | work plans. | 4 | | (a) The Illinois Council on Developmental Disabilities | 5 | | shall: | 6 | | (1) commission an independent study of the phase-out | 7 | | plan and the customized work plans described in Sections | 8 | | 1-75 and 1-80 of the Department of Human Services Act; | 9 | | (2) determine through the study: | 10 | | (A) whether the plans are having their intended | 11 | | effects; | 12 | | (B) how many people have transitioned from | 13 | | subminimum wage work to competitive, integrated | 14 | | employment opportunities; | 15 | | (C) whether there are any significant, related, | 16 | | regional, or demographic trends; and | 17 | | (D) whether there are health care savings or costs | 18 | | as a result of the plans; and | 19 | | (3) make any related recommendations for possible | 20 | | changes in State law or policy regarding the employment of | 21 | | individuals with disabilities. | 22 | | (b) On or before July 1, 2021, the Illinois Council on | 23 | | Developmental Disabilities shall report its findings and | 24 | | recommendations to the Governor and the General Assembly. The | 25 | | report to the General Assembly shall be filed with the Clerk of |
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| 1 | | the House of Representatives and the Secretary of the Senate in | 2 | | electronic form only, in the manner that the Clerk and the | 3 | | Secretary shall direct. | 4 | | Section 20. The Minimum Wage Law is amended by changing | 5 | | Section 10 as follows:
| 6 | | (820 ILCS 105/10) (from Ch. 48, par. 1010)
| 7 | | Sec. 10.
(a) The Director shall make and revise | 8 | | administrative regulations,
including definitions of terms, as | 9 | | he deems appropriate to carry out the
purposes of this Act, to | 10 | | prevent the circumvention or evasion thereof, and
to safeguard | 11 | | the minimum wage established by the Act. Regulations governing
| 12 | | employment of learners may be issued only after notice and | 13 | | opportunity for
public hearing, as provided in subsection (c) | 14 | | of this Section.
| 15 | | (b) (Blank). In order to prevent curtailment of | 16 | | opportunities for employment,
avoid undue hardship, and | 17 | | safeguard the minimum wage rate under this Act,
the Director | 18 | | may also issue regulations providing for the employment of
| 19 | | workers with disabilities at wages lower than the wage rate | 20 | | applicable under this
Act, under permits and for such periods | 21 | | of time as specified therein; and
providing for the employment | 22 | | of learners at wages lower than the wage rate
applicable under | 23 | | this Act. However, such regulation shall not permit lower
wages | 24 | | for persons with disabilities on any basis that is unrelated to |
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| 1 | | such person's
ability resulting from his disability, and such | 2 | | regulation may be issued only
after notice and opportunity for | 3 | | public hearing as provided in subsection
(c) of this Section.
| 4 | | (c) Prior to the adoption, amendment or repeal of any rule | 5 | | or regulation
by the Director under this Act, except | 6 | | regulations which concern only the
internal management of the | 7 | | Department of Labor and do not affect any public
right provided | 8 | | by this Act, the Director shall give proper notice to
persons | 9 | | in any industry or occupation that may be affected by the | 10 | | proposed
rule or regulation, and hold a public hearing on his | 11 | | proposed action at
which any such affected person, or his duly | 12 | | authorized representative, may
attend and testify or present | 13 | | other evidence for or against such proposed
rule or regulation. | 14 | | Rules and regulations adopted under this Section shall
be filed | 15 | | with the Secretary of State in compliance with "An Act | 16 | | concerning
administrative rules", as now or hereafter amended. | 17 | | Such adopted and filed
rules and regulations shall become | 18 | | effective 10 days after copies thereof
have been mailed by the | 19 | | Department to persons in industries affected
thereby at their | 20 | | last known address.
| 21 | | (d) The commencement of proceedings by any person aggrieved | 22 | | by an
administrative regulation issued under this Act does not, | 23 | | unless
specifically ordered by the Court, operate as a stay of | 24 | | that administrative
regulation against other persons. The | 25 | | Court shall not grant any stay of an
administrative regulation | 26 | | unless the person complaining of such regulation
files in the |
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| 1 | | Court an undertaking with a surety or sureties satisfactory to
| 2 | | the Court for the payment to the employees affected by the | 3 | | regulation, in
the event such regulation is affirmed, of the | 4 | | amount by which the
compensation such employees are entitled to | 5 | | receive under the regulation
exceeds the compensation they | 6 | | actually receive while such stay is in
effect.
| 7 | | (Source: P.A. 99-143, eff. 7-27-15.)
| 8 | | (820 ILCS 105/5 rep.) | 9 | | Section 25. The Minimum Wage Law is amended by repealing | 10 | | Section 5. | 11 | | Section 99. Effective date. This Act takes effect upon | 12 | | becoming law, except that Sections 20 and 25 of this Act take | 13 | | effect July 1, 2022.".
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