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|[ Introduced ]||[ Engrossed ]||[ House Amendment 001 ]|
|[ Senate Amendment 001 ]||[ Senate Amendment 002 ]|
90_HB1337enr New Act 305 ILCS 5/10-16.2 from Ch. 23, par. 10-16.2 750 ILCS 5/706.1 from Ch. 40, par. 706.1 750 ILCS 15/4.1 from Ch. 40, par. 1107.1 750 ILCS 20/26.1 from Ch. 40, par. 1226.1 750 ILCS 45/20 from Ch. 40, par. 2520 Creates the New Hire Reporting Act. Requires employers to report newly hired employees to the Department of Employment Security, and requires that Department to maintain a database of reported information and share that information with the Departments of Public Aid and Human Services, circuit clerks, and federal offices for purposes of enabling them to perform their duties concerning collection of child support. Provides penalties for failure to comply with reporting requirements. Requires the Department of Public Aid to establish a community advisory committee to oversee implementation of the Act and to take other actions. Amends the income withholding provisions of the Public Aid Code, the Marriage and Dissolution of Marriage Act, the Non-Support of Spouse and Children Act, the Revised Uniform Reciprocal Enforcement of Support Act, and the Parentage Act of 1984. Provides for orders for withholding to be served by regular or certified mail or facsimile (now, by certified mail or personal delivery). Requires a payor's nonperformance within specified time periods to be documented by certified mail return receipt. Provides that an order for withholding need not be served again on a payor if income withholding is terminated because of an interruption in the obligor's employment of less than 180 days. Effective immediately. LRB9004559DJbd HB1337 Enrolled LRB9004559DJbd 1 AN ACT to amend the Unemployment Insurance Act by 2 changing Sections 1300 and 1900 and adding Section 1801.1. 3 Be it enacted by the People of the State of Illinois, 4 represented in the General Assembly: 5 Section 5. The Unemployment Insurance Act is amended by 6 changing Sections 1300 and 1900 and adding Section 1801.1 as 7 follows: 8 (820 ILCS 405/1300) (from Ch. 48, par. 540) 9 Sec. 1300. Waiver or transfer of benefit rights - 10 Partial exemption. 11 (A) Except as otherwise provided herein any agreement by 12 an individual to waive, release or commute his rights under 13 this Act shall be void. 14 (B) Benefits due under this Act shall not be assigned, 15 pledged, encumbered, released or commuted and shall be exempt 16 from all claims of creditors and from levy, execution and 17 attachment or other remedy for recovery or collection of a 18 debt. However, nothing in this Section shall prohibit a 19 specified or agreed upon deduction from benefits by an 20 individual, or a court or administrative order for 21 withholding of income, for payment of past due child support 22 from being enforced and collected by the Department of Public 23 Aid on behalf of persons receiving a grant of financial aid 24 under Article IV of The Illinois Public Aid Code, persons for 25 whom an application has been made and approved for support 26 services under Section 10-1 of such Code, or persons 27 similarly situated and receiving like support services in 28 other states. It is provided that: 29 (1) The aforementioned deduction of benefits and 30 order for withholding of income apply only if appropriate 31 arrangements have been made for reimbursement to the HB1337 Enrolled -2- LRB9004559DJbd 1 Director by the Department of Public Aid for any 2 administrative costs incurred by the Director under this 3 Section. 4 (2) The Director shall deduct and withhold from 5 benefits payable under this Act, or under any arrangement 6 for the payment of benefits entered into by the Director 7 pursuant to the powers granted under Section 2700 of this 8 Act, the amount specified or agreed upon. In the case of 9 a court or administrative order for withholding of 10 income, the Director shall withhold the amount of the 11 order. 12 (3) Any amount deducted and withheld by the 13 Director shall be paid to the Department of Public Aid on 14 behalf of the individual. 15 (4) Any amount deducted and withheld under 16 subsection (3) shall for all purposes be treated as if it 17 were paid to the individual as benefits and paid by such 18 individual to the Department of Public Aid in 19 satisfaction of the individual's child support 20 obligations. 21 (5) For the purpose of this Section, child support 22 is defined as those obligations which are being enforced 23 pursuant to a plan described in Title IV, Part D, Section 24 454 of the Social Security Act and approved by the 25 Secretary of Health and Human Services. 26 (6) The deduction of benefits and order for 27 withholding of income for child support shall be governed 28 by Titles III and IV of the Social Security Act and all 29 regulations duly promulgated thereunder. 30 (C) Nothing in this Section prohibits an individual from 31 voluntarily electing to have federal income tax deducted and 32 withheld from his or her unemployment insurance benefit 33 payments. 34 (1) The Director shall, at the time that an HB1337 Enrolled -3- LRB9004559DJbd 1 individual files his or her claim for benefits that 2 establishes his or her benefit year, inform the 3 individual that: 4 (a) unemployment insurance is subject to 5 federal, State, and local income taxes; 6 (b) requirements exist pertaining to estimated 7 tax payments; 8 (c) the individual may elect to have federal 9 income tax deducted and withheld from his or her 10 payments of unemployment insurance in the amount 11 specified in the federal Internal Revenue Code; and 12 (d) the individual is permitted to change a 13 previously elected withholding status no more than 14 once each calendar year. 15 (2) Amounts deducted and withheld from unemployment 16 insurance shall remain in the unemployment fund until 17 transferred to the federal taxing authority as a payment 18 of income tax. 19 (3) The Director shall follow all procedures 20 specified by the United States Department of Labor and 21 the federal Internal Revenue Service pertaining to the 22 deducting and withholding of income tax. 23 (4) Amounts shall be deducted and withheld in 24 accordance with the priorities established in rules 25 promulgated by the Director. 26 (D) Nothing in this Section prohibits an individual from 27 voluntarily electing to have State of Illinois income tax 28 deducted and withheld from his or her unemployment insurance 29 benefit payments if such deduction and withholding is 30 provided for pursuant to rules promulgated by the Director. 31 (1) If pursuant to rules promulgated by the 32 Director, an individual may voluntarily elect to have 33 State of Illinois income tax deducted and withheld from 34 his or her unemployment insurance benefit payments, the HB1337 Enrolled -4- LRB9004559DJbd 1 Director shall, at the time that an individual files his 2 or her claim for benefits that establishes his or her 3 benefit year, in addition to providing the notice 4 required under subsection C, inform the individual that: 5 (a) the individual may elect to have State of 6 Illinois income tax deducted and withheld from his 7 or her payments of unemployment insurance in the 8 amount specified pursuant to rules promulgated by 9 the Director; and 10 (b) the individual is permitted to change a 11 previously elected withholding status no more than 12 once each calendar year. 13 (2) Amounts deducted and withheld from unemployment 14 insurance shall remain in the unemployment fund until 15 transferred to the Department of Revenue as a payment of 16 State of Illinois income tax. 17 (3) Amounts shall be deducted and withheld in 18 accordance with the priorities established in rules 19 promulgated by the Director. 20 (E) Nothing in this Section prohibits the deduction and 21 withholding of an uncollected overissuance of food stamp 22 coupons from unemployment insurance benefits pursuant to this 23 subsection (E). 24 (1) At the time that an individual files a claim 25 for benefits that establishes his or her benefit year, 26 that individual must disclose whether or not he or she 27 owes an uncollected overissuance (as defined in Section 28 13(c)(1) of the federal Food Stamp Act of 1977) of food 29 stamp coupons. The Director shall notify the State food 30 stamp agency enforcing such obligation of any individual 31 who discloses that he or she owes an uncollected 32 overissuance of food stamp coupons and who meets the 33 monetary eligibility requirements of subsection E of 34 Section 500. HB1337 Enrolled -5- LRB9004559DJbd 1 (2) The Director shall deduct and withhold from any 2 unemployment insurance benefits payable to an individual 3 who owes an uncollected overissuance of food stamp 4 coupons: 5 (a) the amount specified by the individual to 6 the Director to be deducted and withheld under this 7 subsection (E); 8 (b) the amount (if any) determined pursuant to 9 an agreement submitted to the State food stamp 10 agency under Section 13(c)(3)(A) of the federal Food 11 Stamp Act of 1977; or 12 (c) any amount otherwise required to be 13 deducted and withheld from unemployment insurance 14 benefits pursuant to Section 13(c)(3)(B) of the 15 federal Food Stamp Act of 1977. 16 (3) Any amount deducted and withheld pursuant to 17 this subsection (E) shall be paid by the Director to the 18 State food stamp agency. 19 (4) Any amount deducted and withheld pursuant to 20 this subsection (E) shall for all purposes be treated as 21 if it were paid to the individual as unemployment 22 insurance benefits and paid by the individual to the 23 State food stamp agency as repayment of the individual's 24 uncollected overissuance of food stamp coupons. 25 (5) For purposes of this subsection (E), 26 "unemployment insurance benefits" means any compensation 27 payable under this Act including amounts payable by the 28 Director pursuant to an agreement under any federal law 29 providing for compensation, assistance, or allowances 30 with respect to unemployment. 31 (6) This subsection (E) applies only if 32 arrangements have been made for reimbursement by the 33 State food stamp agency for the administrative costs 34 incurred by the Director under this subsection (E) which HB1337 Enrolled -6- LRB9004559DJbd 1 are attributable to the repayment of uncollected 2 overissuances of food stamp coupons to the State food 3 stamp agency. 4 (Source: P.A. 89-446, eff. 1-1-97.) 5 (820 ILCS 405/1801.1 new) 6 Sec. 1801.1. Directory of New Hires. 7 A. The Director shall establish and operate an automated 8 directory of newly hired employees which shall be known as 9 the "Illinois Directory of New Hires" which shall contain the 10 information required to be reported by employers to the 11 Department under subsection B. In the administration of the 12 Directory, the Director shall comply with any requirements 13 concerning the Employer New Hire Reporting Program 14 established by the federal Personal Responsibility and Work 15 Opportunity Reconciliation Act of 1996. The Director is 16 authorized to use the information contained in the Directory 17 of New Hires to administer any of the provisions of this Act. 18 B. On and after October 1, 1997, each employer in 19 Illinois, except a department, agency, or instrumentality of 20 the United States, shall file with the Department a report in 21 accordance with rules adopted by the Department (but in any 22 event not later than 20 days after the date the employer 23 hires the employee or, in, the case of an employer 24 transmitting reports magnetically or electronically, by 2 25 monthly transmissions, if necessary, not less than 12 days 26 nor more than 16 days apart) providing the following 27 information concerning each newly hired employee: the 28 employee's name, address, and social security number, and the 29 employer's name, address, Federal Employer Identification 30 Number assigned under Section 6109 of the Internal Revenue 31 Code of 1986, and such other information as may be required 32 by federal law or regulation, provided that each employer may 33 voluntarily file the date of new hire, and the address to HB1337 Enrolled -7- LRB9004559DJbd 1 which the employer wants income withholding orders to be 2 mailed, if it is different from the address given on the 3 Federal Employer Identification Number. An employer in 4 Illinois which transmits its reports electronically or 5 magnetically and which also has employees in another state 6 may report all newly hired employees to a single designated 7 state in which the employer has employees if it has so 8 notified the Secretary of the United States Department of 9 Health and Human Services in writing. An employer may, at its 10 option, submit information regarding any rehired employee in 11 the same manner as information is submitted regarding a newly 12 hired employee. Each report required under this subsection 13 shall be made on an Internal Revenue Service Form W-4 or, at 14 the option of the employer, an equivalent form, and may be 15 transmitted by first class mail, by telefax, magnetically, or 16 electronically. 17 C. An employer which knowingly fails to comply with the 18 reporting requirements established by this Section shall be 19 subject to a civil penalty of $15 for each individual whom it 20 fails to report. An employer shall be considered to have 21 knowingly failed to comply with the reporting requirements 22 established by this Section with respect to an individual if 23 the employer has been notified by the Department that it has 24 failed to report an individual, and it fails, without 25 reasonable cause, to supply the required information to the 26 Department within 21 days after the date of mailing of the 27 notice. Any individual who knowingly conspires with the newly 28 hired employee to cause the employer to fail to report the 29 information required by this Section or who knowingly 30 conspires with the newly hired employee to cause the employer 31 to file a false or incomplete report shall be guilty of a 32 Class B misdemeanor with a fine not to exceed $500 with 33 respect to each employee with whom the individual so 34 conspires. HB1337 Enrolled -8- LRB9004559DJbd 1 D. As used in this Section, "newly hired employee" means 2 an individual who is an employee within the meaning of 3 Chapter 24 of the Internal Revenue Code of 1986, and whose 4 reporting to work which results in earnings from the employer 5 is the first instance within the preceding 180 days that the 6 individual has reported for work for which earnings were 7 received from that employer; however, "newly hired employee" 8 does not include an employee of a federal or State agency 9 performing intelligence or counterintelligence functions, if 10 the head of that agency has determined that the filing of the 11 report required by this Section with respect to the employee 12 could endanger the safety of the employee or compromise an 13 ongoing investigation or intelligence mission. 14 Notwithstanding Section 205, and for the purposes of this 15 Section only, the term "employer" has the meaning given by 16 Section 3401(d) of the Internal Revenue Code of 1986 and 17 includes any governmental entity and labor organization as 18 defined by Section 2(5) of the National Labor Relations Act, 19 and includes any entity (also known as a hiring hall) which 20 is used by the organization and an employer to carry out the 21 requirements described in Section 8(f)(3) of that Act of an 22 agreement between the organization and the employer. 23 (820 ILCS 405/1900) (from Ch. 48, par. 640) 24 Sec. 1900. Disclosure of information. 25 A. Except as provided in this Section, information 26 obtained from any individual or employing unit during the 27 administration of this Act shall: 28 1. be confidential, 29 2. not be published or open to public inspection, 30 3. not be used in any court in any pending action 31 or proceeding, 32 4. not be admissible in evidence in any action or 33 proceeding other than one arising out of this Act. HB1337 Enrolled -9- LRB9004559DJbd 1 B. No finding, determination, decision, ruling or order 2 (including any finding of fact, statement or conclusion made 3 therein) issued pursuant to this Act shall be admissible or 4 used in evidence in any action other than one arising out of 5 this Act, nor shall it be binding or conclusive except as 6 provided in this Act, nor shall it constitute res judicata, 7 regardless of whether the actions were between the same or 8 related parties or involved the same facts. 9 C. Any officer or employee of this State, any officer or 10 employee of any entity authorized to obtain information 11 pursuant to this Section, and any agent of this State or of 12 such entity who, except with authority of the Director under 13 this Section, shall disclose information shall be guilty of a 14 Class B misdemeanor and shall be disqualified from holding 15 any appointment or employment by the State. 16 D. An individual or his duly authorized agent may be 17 supplied with information from records only to the extent 18 necessary for the proper presentation of his claim for 19 benefits or with his existing or prospective rights to 20 benefits. Discretion to disclose this information belongs 21 solely to the Director and is not subject to a release or 22 waiver by the individual. 23 E. An employing unit may be furnished with information, 24 only if deemed by the Director as necessary to enable it to 25 fully discharge its obligations or safeguard its rights under 26 the Act. Discretion to disclose this information belongs 27 solely to the Director and is not subject to a release or 28 waiver by the employing unit. 29 F. The Director may furnish any information that he may 30 deem proper to any public officer or public agency of this or 31 any other State or of the federal government dealing with: 32 1. the administration of relief, 33 2. public assistance, 34 3. unemployment compensation, HB1337 Enrolled -10- LRB9004559DJbd 1 4. a system of public employment offices, 2 5. wages and hours of employment, or 3 6. a public works program. 4 The Director may make available to the Illinois 5 Industrial Commission information regarding employers for the 6 purpose of verifying the insurance coverage required under 7 the Workers' Compensation Act and Workers' Occupational 8 Diseases Act. 9 G. The Director may disclose information submitted by 10 the State or any of its political subdivisions, municipal 11 corporations, instrumentalities, or school or community 12 college districts, except for information which specifically 13 identifies an individual claimant. 14 H. The Director shall disclose only that information 15 required to be disclosed under Section 303 of the Social 16 Security Act, as amended, including: 17 1. any information required to be given the United 18 States Department of Labor under Section 303(a)(6); and 19 2. the making available upon request to any agency 20 of the United States charged with the administration of 21 public works or assistance through public employment, the 22 name, address, ordinary occupation and employment status 23 of each recipient of unemployment compensation, and a 24 statement of such recipient's right to further 25 compensation under such law as required by Section 26 303(a)(7); and 27 3. records to make available to the Railroad 28 Retirement Board as required by Section 303(c)(1); and 29 4. information that will assure reasonable 30 cooperation with every agency of the United States 31 charged with the administration of any unemployment 32 compensation law as required by Section 303(c)(2); and 33 5. information upon request and on a reimbursable 34 basis to the United States Department of Agriculture and HB1337 Enrolled -11- LRB9004559DJbd 1 to any State food stamp agency concerning any information 2 required to be furnished by Section 303(d); and 3 6. any wage information upon request and on a 4 reimbursable basis to any State or local child support 5 enforcement agency required by Section 303(e); and 6 7. any information required under the income 7 eligibility and verification system as required by 8 Section 303(f); and 9 8. information that might be useful in locating an 10 absent parent or that parent's employer, establishing 11 paternity or establishing, modifying, or enforcing child 12 support orders for the purpose of a child support 13 enforcement program under Title IV of the Social Security 14 Act upon the request of and on a reimbursable basis to 15 the public agency administering the Federal Parent 16 Locator Service as required by Section 303(h); and 17 9. information, upon request, to representatives of 18 any federal, State or local governmental public housing 19 agency with respect to individuals who have signed the 20 appropriate consent form approved by the Secretary of 21 Housing and Urban Development and who are applying for or 22 participating in any housing assistance program 23 administered by the United States Department of Housing 24 and Urban Development as required by Section 303(i). 25 I. The Director, upon the request of a public agency of 26 Illinois, of the federal government or of any other state 27 charged with the investigation or enforcement of Section 10-5 28 of the Criminal Code of 1961 (or a similar federal law or 29 similar law of another State), may furnish the public agency 30 information regarding the individual specified in the request 31 as to: 32 1. the current or most recent home address of the 33 individual, and 34 2. the names and addresses of the individual's HB1337 Enrolled -12- LRB9004559DJbd 1 employers. 2 J. Nothing in this Section shall be deemed to interfere 3 with the disclosure of certain records as provided for in 4 Section 1706 or with the right to make available to the 5 Internal Revenue Service of the United States Department of 6 the Treasury, or the Department of Revenue of the State of 7 Illinois, information obtained under this Act. 8 K. The Department shall make available to the State 9 Scholarship Commission, upon request that it may be necessary 10 or useful to the Commission in the collection of defaulted or 11 delinquent student loans which the Commission administers, 12 information limited to the names and addresses of a 13 borrower's employers. 14 L. The Department shall make available to the State 15 Employees' Retirement System, the State Universities 16 Retirement System, and the Teachers' Retirement System of the 17 State of Illinois, upon request, information in the 18 possession of the Department that may be necessary or useful 19 to the System for the purpose of determining whether any 20 recipient of a disability benefit from the System is 21 gainfully employed. 22 M. This Section shall be applicable to the information 23 obtained in the administration of the State employment 24 service, except that the Director may publish or release 25 general labor market information and may furnish information 26 that he may deem proper to an individual, public officer or 27 public agency of this or any other State or the federal 28 government (in addition to those public officers or public 29 agencies specified in this Section) as he prescribes by Rule. 30 N. The Director may require such safeguards as he deems 31 proper to insure that information disclosed pursuant to this 32 Section is used only for the purposes set forth in this 33 Section. 34 O. (Blank). HB1337 Enrolled -13- LRB9004559DJbd 1 P. Within 30 days after the effective date of this 2 amendatory Act of 1993 and annually thereafter, the 3 Department shall provide to the Department of Financial 4 Institutions a list of individuals or entities that, for the 5 most recently completed calendar year, report to the 6 Department as paying wages to workers. The lists shall be 7 deemed confidential and may not be disclosed to any other 8 person. 9 Q. The Director shall make available to an elected 10 federal official the name and address of an individual or 11 entity that is located within the jurisdiction from which the 12 official was elected and that, for the most recently 13 completed calendar year, has reported to the Department as 14 paying wages to workers, where the information will be used 15 in connection with the official duties of the official and 16 the official requests the information in writing, specifying 17 the purposes for which it will be used. For purposes of this 18 subsection, the use of information in connection with the 19 official duties of an official does not include use of the 20 information in connection with the solicitation of 21 contributions or expenditures, in money or in kind, to or on 22 behalf of a candidate for public or political office or a 23 political party or with respect to a public question, as 24 defined in Section 1-3 of the Election Code, or in connection 25 with any commercial solicitation. Any elected federal 26 official who, in submitting a request for information covered 27 by this subsection, knowingly makes a false statement or 28 fails to disclose a material fact, with the intent to obtain 29 the information for a purpose not authorized by this 30 subsection, shall be guilty of a Class B misdemeanor. 31 R. The Director may provide to any State or local child 32 support agency, upon request and on a reimbursable basis, 33 information that might be useful in locating an absent parent 34 or that parent's employer, establishing paternity, or HB1337 Enrolled -14- LRB9004559DJbd 1 establishing, modifying, or enforcing child support orders. 2 (Source: P.A. 88-435; 89-446, eff. 2-8-96; 89-493, eff. 3 1-1-97.) 4 Section 99. Effective date. This Act takes effect upon 5 becoming law.
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