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91_SB0807sam002 LRB9106074MWgcam03 1 AMENDMENT TO SENATE BILL 807 2 AMENDMENT NO. . Amend Senate Bill 807, AS AMENDED, 3 by replacing everything after the enacting clause with the 4 following: 5 "Section 5. The Open Meetings Act is amended by changing 6 Section 1.02 as follows: 7 (5 ILCS 120/1.02) (from Ch. 102, par. 41.02) 8 Sec. 1.02. For the purposes of this Act: 9 "Meeting" means any gathering of a majority of a quorum 10 of the memberscommissionersof a public body held for the 11 purpose of discussing public business. 12 "Public body" includes all legislative, executive, 13 administrative or advisory bodies of the State, counties, 14 townships, cities, villages, incorporated towns, school 15 districts and all other municipal corporations, boards, 16 bureaus, committees or commissions of this State, and any 17 subsidiary bodies of any of the foregoing including but not 18 limited to committees and subcommittees which are supported 19 in whole or in part by tax revenue, or which expend tax 20 revenue, except the General Assembly and committees or 21 commissions thereof. "Public body" includes tourism boards 22 and convention or civic center boards located in counties -2- LRB9106074MWgcam03 1 that are contiguous to the Mississippi River with populations 2 of more than 250,000 but less than 300,000. "Public body" 3 includes the Health Facilities Planning Board. "Public body" 4 does not include a child death review team established under 5 the Child Death Review Team Act or an ethics commission, 6 ethics officer, or ultimate jurisdictional authority acting 7 under the State Gift Ban Act as provided by Section 80 of 8 that Act. 9 (Source: P.A. 90-517, eff. 8-22-97; 90-737, eff. 1-1-99; 10 revised 11-8-99.) 11 Section 10. The State Gift Ban Act is amended by 12 changing Section 5 as follows: 13 (5 ILCS 425/5) 14 Sec. 5. Definitions. As used in this Act: 15 "Commission" means an ethics commission created by this 16 Act. 17 "Employee" means all full-time, part-time, and 18 contractual employees, appointed and elected officials, and 19 directors of a governmental entity. 20 "Gift" means any gratuity, discount, entertainment, 21 hospitality, loan, forbearance, or other tangible or 22 intangible item having monetary value including, but not 23 limited to, cash, food and drink, and honoraria for speaking 24 engagements related to or attributable to government 25 employment or the official position of an employee, member, 26 officer, or judge. 27 "Governmental entity" means each office, board, 28 commission, agency, department, authority, institution, 29 university, body politic and corporate, administrative unit, 30 and corporate outgrowth of the executive, legislative, and 31 judicial branches of State government, whether created by the 32 Illinois Constitution, by or in accordance with statute, or -3- LRB9106074MWgcam03 1 by executive order of the Governor. "Governmental entity" 2 includes the Health Facilities Planning Board. 3 "Judge" means judges and associate judges of the Supreme 4 Court, Appellate Courts, and Circuit Courts. 5 "Member" means a member of the General Assembly. 6 "Officer" means a State constitutional officer. 7 "Political organization" means a party, committee, 8 association, fund, or other organization (whether or not 9 incorporated) organized and operated primarily for the 10 purpose of directly or indirectly accepting contributions or 11 making expenditures, or both, for the function of influencing 12 or attempting to influence the selection, nomination, 13 election, or appointment of any individual to any federal, 14 state, or local public office or office in a political 15 organization, or the election of Presidential or 16 Vice-Presidential electors, whether or not the individual or 17 electors are selected, nominated, elected, or appointed. The 18 term includes the making of expenditures relating to an 19 office described in the preceding sentence that, if incurred 20 by the individual, would be allowable as a federal income tax 21 deduction for trade or business expenses. 22 "Prohibited source" means any person or entity who: 23 (1) is seeking official action (i) by the member, 24 officer, or judge or (ii) in the case of an employee, by 25 the employee or by the member, officer, judge, 26 governmental entity, or other employee directing the 27 employee; 28 (2) does business or seeks to do business (i) with 29 the member, officer, or judge or (ii) in the case of an 30 employee, with the employee or with the member, officer, 31 judge, governmental entity, or other employee directing 32 the employee; 33 (3) conducts activities regulated (i) by the 34 member, officer, or judge or (ii) in the case of an -4- LRB9106074MWgcam03 1 employee, by the employee or by the member, officer, 2 judge, governmental entity, or other employee directing 3 the employee; 4 (4) has interests that may be substantially 5 affected by the performance or non-performance of the 6 official duties of the member, officer, employee, or 7 judge; or 8 (5) is registered or required to be registered with 9 the Secretary of State under the Lobbyist Registration 10 Act. 11 "Ultimate jurisdictional authority" means the following: 12 (1) For members, partisan staff, and their 13 secretaries, the appropriate legislative leader: 14 President of the Senate, Minority Leader of the Senate, 15 Speaker of the House of Representatives, or Minority 16 Leader of the House of Representatives. 17 (2) For State employees who are professional staff 18 or employees of the Senate and not covered under item 19 (1), the Senate Operations Commission. 20 (3) For State employees who are professional staff 21 or employees of the House of Representatives and not 22 covered under item (1), the Speaker of the House of 23 Representatives. 24 (4) For State employees who are employees of the 25 legislative support services agencies, the Joint 26 Committee on Legislative Support Services. 27 (5) For judges, the Chief Justice of the Supreme 28 Court. 29 (6) For State employees of the judicial branch, the 30 Administrative Office of the Illinois Courts. 31 (7) For State employees of an executive branch 32 constitutional officer, the appropriate executive branch 33 constitutional officer. 34 (8) For State employees not under the jurisdiction -5- LRB9106074MWgcam03 1 of paragraph (1), (2), (3), (4), (5), (6), or (7), the 2 Governor. 3 (9) For officers, the General Assembly. 4 (Source: P.A. 90-737, eff. 1-1-99.) 5 Section 15. The Illinois Health Facilities Planning Act 6 is amended by changing Sections 3, 4, and 5 and by adding 7 Sections 4.1, 19.5, and 19.6 as follows: 8 (20 ILCS 3960/3) (from Ch. 111 1/2, par. 1153) 9 (Text of Section before amendment by P.A. 91-656) 10 Sec. 3. As used in this Act: 11 "Health care facilities" means and includes the following 12 facilities and organizations: 13 1. An ambulatory surgical treatment center required 14 to be licensed pursuant to the Ambulatory Surgical 15 Treatment Center Act; 16 2. An institution, place, building, or agency 17 required to be licensed pursuant to the Hospital 18 Licensing Act; 19 3. Any institution required to be licensed pursuant 20 to the Nursing Home Care Act; 21 4. Hospitals, nursing homes, ambulatory surgical 22 treatment centers, or kidney disease treatment centers 23 maintained by the State or any department or agency 24 thereof; and 25 5. Kidney disease treatment centers, including a 26 free-standing hemodialysis unit. 27 No federally owned facility shall be subject to the 28 provisions of this Act, nor facilities used solely for 29 healing by prayer or spiritual means. 30 No facility licensed under the Supportive Residences 31 Licensing Act shall be subject to the provisions of this Act. 32 A facility designated as a supportive living facility -6- LRB9106074MWgcam03 1 that is in good standing with the demonstration project 2 established under Section 5-5.01a of the Illinois Public Aid 3 Code shall not be subject to the provisions of this Act. 4 This Act does not apply to facilities granted waivers 5 under Section 3-102.2 of the Nursing Home Care Act. However, 6 if a demonstration project under that Act applies for a 7 certificate of need to convert to a nursing facility, it 8 shall meet the licensure and certificate of need requirements 9 in effect as of the date of application. 10 With the exception of those health care facilities 11 specifically included in this Section, nothing in this Act 12 shall be intended to include facilities operated as a part of 13 the practice of a physician or other licensed health care 14 professional, whether practicing in his individual capacity 15 or within the legal structure of any partnership, medical or 16 professional corporation, or unincorporated medical or 17 professional group. Further, this Act shall not apply to 18 physicians or other licensed health care professional's 19 practices where such practices are carried out in a portion 20 of a health care facility under contract with such health 21 care facility by a physician or by other licensed health care 22 professionals, whether practicing in his individual capacity 23 or within the legal structure of any partnership, medical or 24 professional corporation, or unincorporated medical or 25 professional groups. This Act shall apply to construction or 26 modification and to establishment by such health care 27 facility of such contracted portion which is subject to 28 facility licensing requirements, irrespective of the party 29 responsible for such action or attendant financial 30 obligation. 31 "Person" means any one or more natural persons, legal 32 entities, governmental bodies other than federal, or any 33 combination thereof. 34 "Consumer" means any person other than a person (a) whose -7- LRB9106074MWgcam03 1 major occupation currently involves or whose official 2 capacity within the last 12 months has involved the 3 providing, administering or financing of any type of health 4 care facility, (b) who is engaged in health research or the 5 teaching of health, (c) who has a material financial interest 6 in any activity which involves the providing, administering 7 or financing of any type of health care facility, or (d) who 8 is or ever has been a member of the immediate family of the 9 person defined by (a), (b), or (c). 10 "State Board" means the Health Facilities Planning Board. 11 "Construction or modification" means the establishment, 12 erection, building, alteration, reconstruction, 13 modernization, improvement, extension, discontinuation, 14 change of ownership, of or by a health care facility, or the 15 purchase or acquisition by or through a health care facility 16 of equipment or service for diagnostic or therapeutic 17 purposes or for facility administration or operation, or any 18 capital expenditure made by or on behalf of a health care 19 facility which exceeds the capital expenditure minimum. 20 "Establish" means the construction of a health care 21 facility or the replacement of an existing facility on 22 another site. 23 "Major medical equipment" means medical equipment which 24 is used for the provision of medical and other health 25 services and which costs in excess of the capital expenditure 26 minimum, except that such term does not include medical 27 equipment acquired by or on behalf of a clinical laboratory 28 to provide clinical laboratory services if the clinical 29 laboratory is independent of a physician's office and a 30 hospital and it has been determined under Title XVIII of the 31 Social Security Act to meet the requirements of paragraphs 32 (10) and (11) of Section 1861(s) of such Act. In determining 33 whether medical equipment has a value in excess of the 34 capital expenditure minimum, the value of studies, surveys, -8- LRB9106074MWgcam03 1 designs, plans, working drawings, specifications, and other 2 activities essential to the acquisition of such equipment 3 shall be included. 4 "Capital Expenditure" means an expenditure: (A) made by 5 or on behalf of a health care facility (as such a facility is 6 defined in this Act); and (B) which under generally accepted 7 accounting principles is not properly chargeable as an 8 expense of operation and maintenance, or is made to obtain by 9 lease or comparable arrangement any facility or part thereof 10 or any equipment for a facility or part; and which exceeds 11 the capital expenditure minimum. 12 For the purpose of this paragraph, the cost of any 13 studies, surveys, designs, plans, working drawings, 14 specifications, and other activities essential to the 15 acquisition, improvement, expansion, or replacement of any 16 plant or equipment with respect to which an expenditure is 17 made shall be included in determining if such expenditure 18 exceeds the capital expenditures minimum. Donations of 19 equipment or facilities to a health care facility which if 20 acquired directly by such facility would be subject to review 21 under this Act shall be considered capital expenditures, and 22 a transfer of equipment or facilities for less than fair 23 market value shall be considered a capital expenditure for 24 purposes of this Act if a transfer of the equipment or 25 facilities at fair market value would be subject to review. 26 "Capital expenditure minimum" means $7,000,000$1,000,00027 for major medical equipment and$2,000,000 forall clinical 28othercapital expenditures,both ofwhich shall be annually 29 adjusted to reflect the increase in construction costs due to 30 inflation. 31 "Non-clinical service area" means an area for the benefit 32 of patients, visitors, staff, or employees of the health care 33 facility that is not directly related to the diagnosis, 34 treatment, or rehabilitation of persons receiving services -9- LRB9106074MWgcam03 1 from the health care facility. "Non-clinical service areas" 2 include, but are not limited to, chapels; gift shops; news 3 stands; tunnels, walkways, and elevators; computer systems; 4 telephone systems; projects to comply with life safety codes; 5 educational facilities; student housing; patient, employee, 6 staff, and visitor dining areas; administration and volunteer 7 offices; modernization of structural components (such as roof 8 replacement and masonry work); boiler repair or replacement; 9 vehicle maintenance and storage facilities; parking 10 facilities; mechanical systems for heating, ventilation, and 11 air conditioning; loading docks; and repair or replacement of 12 carpeting, tile, wall coverings, window coverings or 13 treatments, or furniture. 14 "Areawide" means a major area of the State delineated on 15 a geographic, demographic, and functional basis for health 16 planning and for health service and having within it one or 17 more local areas for health planning and health service. The 18 term "region", as contrasted with the term "subregion", and 19 the word "area" may be used synonymously with the term 20 "areawide". 21 "Local" means a subarea of a delineated major area that 22 on a geographic, demographic, and functional basis may be 23 considered to be part of such major area. The term 24 "subregion" may be used synonymously with the term "local". 25 "Areawide health planning organization" or "Comprehensive 26 health planning organization" means the health systems agency 27 designated by the Secretary, Department of Health and Human 28 Services or any successor agency. 29 "Local health planning organization" means those local 30 health planning organizations that are designated as such by 31 the areawide health planning organization of the appropriate 32 area. 33 "Physician" means a person licensed to practice in 34 accordance with the Medical Practice Act of 1987, as amended. -10- LRB9106074MWgcam03 1 "Licensed health care professional" means a person 2 licensed to practice a health profession under pertinent 3 licensing statutes of the State of Illinois. 4 "Director" means the Director of the Illinois Department 5 of Public Health. 6 "Agency" means the Illinois Department of Public Health. 7 "Comprehensive health planning" means health planning 8 concerned with the total population and all health and 9 associated problems that affect the well-being of people and 10 that encompasses health services, health manpower, and health 11 facilities; and the coordination among these and with those 12 social, economic, and environmental factors that affect 13 health. 14 "Alternative health care model" means a facility or 15 program authorized under the Alternative Health Care Delivery 16 Act. 17 (Source: P.A. 89-499, eff. 6-28-96; 89-530, eff. 7-19-96; 18 90-14, eff. 7-1-97.) 19 (Text of Section after amendment by P.A. 91-656) 20 Sec. 3. As used in this Act: 21 "Health care facilities" means and includes the following 22 facilities and organizations: 23 1. An ambulatory surgical treatment center required 24 to be licensed pursuant to the Ambulatory Surgical 25 Treatment Center Act; 26 2. An institution, place, building, or agency 27 required to be licensed pursuant to the Hospital 28 Licensing Act; 29 3. Skilled and intermediate long term care 30 facilities licensed under the Nursing Home Care Act; 31 4. Hospitals, nursing homes, ambulatory surgical 32 treatment centers, or kidney disease treatment centers 33 maintained by the State or any department or agency 34 thereof; and -11- LRB9106074MWgcam03 1 5. Kidney disease treatment centers, including a 2 free-standing hemodialysis unit. 3 No federally owned facility shall be subject to the 4 provisions of this Act, nor facilities used solely for 5 healing by prayer or spiritual means. 6 No facility licensed under the Supportive Residences 7 Licensing Act or the Assisted Living and Shared Housing Act 8 shall be subject to the provisions of this Act. 9 A facility designated as a supportive living facility 10 that is in good standing with the demonstration project 11 established under Section 5-5.01a of the Illinois Public Aid 12 Code shall not be subject to the provisions of this Act. 13 This Act does not apply to facilities granted waivers 14 under Section 3-102.2 of the Nursing Home Care Act. However, 15 if a demonstration project under that Act applies for a 16 certificate of need to convert to a nursing facility, it 17 shall meet the licensure and certificate of need requirements 18 in effect as of the date of application. 19 This Act shall not apply to the closure of an entity or a 20 portion of an entity licensed under the Nursing Home Care Act 21 that elects to convert, in whole or in part, to an assisted 22 living or shared housing establishment licensed under the 23 Assisted Living and Shared Housing Establishment Act. 24 With the exception of those health care facilities 25 specifically included in this Section, nothing in this Act 26 shall be intended to include facilities operated as a part of 27 the practice of a physician or other licensed health care 28 professional, whether practicing in his individual capacity 29 or within the legal structure of any partnership, medical or 30 professional corporation, or unincorporated medical or 31 professional group. Further, this Act shall not apply to 32 physicians or other licensed health care professional's 33 practices where such practices are carried out in a portion 34 of a health care facility under contract with such health -12- LRB9106074MWgcam03 1 care facility by a physician or by other licensed health care 2 professionals, whether practicing in his individual capacity 3 or within the legal structure of any partnership, medical or 4 professional corporation, or unincorporated medical or 5 professional groups. This Act shall apply to construction or 6 modification and to establishment by such health care 7 facility of such contracted portion which is subject to 8 facility licensing requirements, irrespective of the party 9 responsible for such action or attendant financial 10 obligation. 11 "Person" means any one or more natural persons, legal 12 entities, governmental bodies other than federal, or any 13 combination thereof. 14 "Consumer" means any person other than a person (a) whose 15 major occupation currently involves or whose official 16 capacity within the last 12 months has involved the 17 providing, administering or financing of any type of health 18 care facility, (b) who is engaged in health research or the 19 teaching of health, (c) who has a material financial interest 20 in any activity which involves the providing, administering 21 or financing of any type of health care facility, or (d) who 22 is or ever has been a member of the immediate family of the 23 person defined by (a), (b), or (c). 24 "State Board" means the Health Facilities Planning Board. 25 "Construction or modification" means the establishment, 26 erection, building, alteration, reconstruction, 27 modernization, improvement, extension, discontinuation, 28 change of ownership, of or by a health care facility, or the 29 purchase or acquisition by or through a health care facility 30 of equipment or service for diagnostic or therapeutic 31 purposes or for facility administration or operation, or any 32 capital expenditure made by or on behalf of a health care 33 facility which exceeds the capital expenditure minimum. 34 "Establish" means the construction of a health care -13- LRB9106074MWgcam03 1 facility or the replacement of an existing facility on 2 another site. 3 "Major medical equipment" means medical equipment which 4 is used for the provision of medical and other health 5 services and which costs in excess of the capital expenditure 6 minimum, except that such term does not include medical 7 equipment acquired by or on behalf of a clinical laboratory 8 to provide clinical laboratory services if the clinical 9 laboratory is independent of a physician's office and a 10 hospital and it has been determined under Title XVIII of the 11 Social Security Act to meet the requirements of paragraphs 12 (10) and (11) of Section 1861(s) of such Act. In determining 13 whether medical equipment has a value in excess of the 14 capital expenditure minimum, the value of studies, surveys, 15 designs, plans, working drawings, specifications, and other 16 activities essential to the acquisition of such equipment 17 shall be included. 18 "Capital Expenditure" means an expenditure: (A) made by 19 or on behalf of a health care facility (as such a facility is 20 defined in this Act); and (B) which under generally accepted 21 accounting principles is not properly chargeable as an 22 expense of operation and maintenance, or is made to obtain by 23 lease or comparable arrangement any facility or part thereof 24 or any equipment for a facility or part; and which exceeds 25 the capital expenditure minimum. 26 For the purpose of this paragraph, the cost of any 27 studies, surveys, designs, plans, working drawings, 28 specifications, and other activities essential to the 29 acquisition, improvement, expansion, or replacement of any 30 plant or equipment with respect to which an expenditure is 31 made shall be included in determining if such expenditure 32 exceeds the capital expenditures minimum. Donations of 33 equipment or facilities to a health care facility which if 34 acquired directly by such facility would be subject to review -14- LRB9106074MWgcam03 1 under this Act shall be considered capital expenditures, and 2 a transfer of equipment or facilities for less than fair 3 market value shall be considered a capital expenditure for 4 purposes of this Act if a transfer of the equipment or 5 facilities at fair market value would be subject to review. 6 "Capital expenditure minimum" means $7,000,000$1,000,0007 for major medical equipment and$2,000,000 forall clinical 8othercapital expenditures,both ofwhich shall be annually 9 adjusted to reflect the increase in construction costs due to 10 inflation. 11 "Non-clinical service area" means an area for the benefit 12 of patients, visitors, staff, or employees of the health care 13 facility that is not directly related to the diagnosis, 14 treatment, or rehabilitation of persons receiving services 15 from the health care facility. "Non-clinical service areas" 16 include, but are not limited to, chapels; gift shops; news 17 stands; tunnels, walkways, and elevators; computer systems; 18 telephone systems; projects to comply with life safety codes; 19 educational facilities; student housing; patient, employee, 20 staff, and visitor dining areas; administration and volunteer 21 offices; modernization of structural components (such as roof 22 replacement and masonry work); boiler repair or replacement; 23 vehicle maintenance and storage facilities; parking 24 facilities; mechanical systems for heating, ventilation, and 25 air conditioning; loading docks; and repair or replacement of 26 carpeting, tile, wall coverings, window coverings or 27 treatments, or furniture. 28 "Areawide" means a major area of the State delineated on 29 a geographic, demographic, and functional basis for health 30 planning and for health service and having within it one or 31 more local areas for health planning and health service. The 32 term "region", as contrasted with the term "subregion", and 33 the word "area" may be used synonymously with the term 34 "areawide". -15- LRB9106074MWgcam03 1 "Local" means a subarea of a delineated major area that 2 on a geographic, demographic, and functional basis may be 3 considered to be part of such major area. The term 4 "subregion" may be used synonymously with the term "local". 5 "Areawide health planning organization" or "Comprehensive 6 health planning organization" means the health systems agency 7 designated by the Secretary, Department of Health and Human 8 Services or any successor agency. 9 "Local health planning organization" means those local 10 health planning organizations that are designated as such by 11 the areawide health planning organization of the appropriate 12 area. 13 "Physician" means a person licensed to practice in 14 accordance with the Medical Practice Act of 1987, as amended. 15 "Licensed health care professional" means a person 16 licensed to practice a health profession under pertinent 17 licensing statutes of the State of Illinois. 18 "Director" means the Director of the Illinois Department 19 of Public Health. 20 "Agency" means the Illinois Department of Public Health. 21 "Comprehensive health planning" means health planning 22 concerned with the total population and all health and 23 associated problems that affect the well-being of people and 24 that encompasses health services, health manpower, and health 25 facilities; and the coordination among these and with those 26 social, economic, and environmental factors that affect 27 health. 28 "Alternative health care model" means a facility or 29 program authorized under the Alternative Health Care Delivery 30 Act. 31 (Source: P.A. 90-14, eff. 7-1-97; 91-656, eff. 1-1-01.) 32 (20 ILCS 3960/4) (from Ch. 111 1/2, par. 1154) 33 Sec. 4. There is created the Health Facilities Planning -16- LRB9106074MWgcam03 1 Board, which shall perform such functions as hereinafter 2 described in this Act. 3 The State Board shall consist of 15 voting members, 4 including: 8 consumer members; one member representing the 5 commercial health insurance industry in Illinois; one member 6 representingproprietaryhospitals in Illinois; one member 7 who is actively engaged in the field of hospital management; 8 one member who is a professional nurse registered in 9 Illinois; one member who is a physician in active private 10 practice licensed in Illinois to practice medicine in all of 11 its branches; one member who is actively engaged in the field 12 of skilled nursing or intermediate care facility management; 13 and one member who is actively engaged in the administration 14 of an ambulatory surgical treatment center licensed under the 15 Ambulatory Surgical Treatment Center Act. 16 The State Board shall be appointed by the Governor, with 17 the advice and consent of the Senate. In making the 18 appointments, the Governor shall give consideration to 19 recommendations made by (1) the professional organizations 20 concerned with hospital management for the hospital 21 management appointment, (2) professional organizations 22 concerned with long term care facility management for the 23 long term care facility management appointment, (3) 24 professional medical organizations for the physician 25 appointment, (4) professional nursing organizations for the 26 nurse appointment, and (5) professional organizations 27 concerned with ambulatory surgical treatment centers for the 28 ambulatory surgical treatment center appointment, and shall 29 appoint as consumer members individuals familiar with 30 community health needs but whose interest in the operation, 31 construction or utilization of health care facilities are 32 derived from factors other than those related to his 33 profession, business, or economic gain, and who represent, so 34 far as possible, different geographic areas of the State. Not -17- LRB9106074MWgcam03 1 more than 8 of the appointments shall be of the same 2 political party. 3 The Secretary of Human Services, the Director of Public 4 Aid, and the Director of Public Health, or their designated 5 representatives, shall serve as ex-officio, non-voting 6 members of the State Board. 7 Of those appointed by the Governor as voting members, 8 each member shall hold office for a term of 3 years: 9 provided, that any member appointed to fill a vacancy 10 occurring prior to the expiration of the term for which his 11 predecessor was appointed shall be appointed for the 12 remainder of such term and the term of office of each 13 successor shall commence on July 1 of the year in which his 14 predecessor's term expires. In making original appointments 15 to the State Board, the Governor shall appoint 5 members for 16 a term of one year, 5 for a term of 2 years, and 3 for a term 17 of 3 years, and each of these terms of office shall commence 18 on July 1, 1974. The initial term of office for the members 19 appointed under this amendatory Act of 1996 shall begin on 20 July 1, 1996 and shall last for 2 years, and each subsequent 21 appointment shall be for a term of 3 years. Each member 22 shall hold office until his successor is appointed and 23 qualified. 24 State Board members, while serving on business of the 25 State Board, shall receive actual and necessary travel and 26 subsistence expenses while so serving away from their places 27 of residence. In addition, while serving on business of the 28 State Board, each member shall receive compensation of $150 29 per day, except that such compensation shall not exceed 30 $7,500 in any one year for any member. 31 The State Board shall provide for its own organization 32 and procedures, including the selection of a Chairman and 33 such other officers as deemed necessary. The Director, with 34 concurrence of the State Board, shall name as full-time -18- LRB9106074MWgcam03 1 Executive Secretary of the State Board, a person qualified in 2 health care facility planning and in administration. The 3 Agency shall provide administrative and staff support for the 4 State Board. The State Board shall advise the Director of 5 its budgetary and staff needs and consult with the Director 6 on annual budget preparation. 7 The State Board shall meet at least once each quarter, or 8 as often as the Chairman of the State Board deems necessary, 9 or upon the request of a majority of the members. 10 Eight members of the State Board shall constitute a 11 quorum. The affirmative vote of 8 of the members of the 12 State Board shall be necessary for any action requiring a 13 vote to be taken by the State Board. A vacancy in the 14 membership of the State Board shall not impair the right of a 15 quorum to exercise all the rights and perform all the duties 16 of the State Board as provided by this Act. 17 (Source: P.A. 89-674, eff. 8-14-96; 90-14, eff. 7-1-97.) 18 (20 ILCS 3960/4.1 new) 19 Sec. 4.1. Ethics laws. 20 (a) All State Board meetings are subject to the Open 21 Meetings Act. 22 (b) The State Board is subject to the State Gift Ban Act. 23 (20 ILCS 3960/5) (from Ch. 111 1/2, par. 1155) 24 Sec. 5. After effective dates set by the State Board, 25 no person shall construct, modify or establish a health care 26 facility or acquire major medical equipment without first 27 obtaining a permit or exemption from the State Board. The 28 State Board shall not delegate to the Executive Secretary of 29 the State Board or any other person or entity the authority 30 to grant permits or exemptions whenever the Executive 31 Secretary or other person or entity would be required to 32 exercise any discretion affecting the decision to grant a -19- LRB9106074MWgcam03 1 permit or exemption. The State Board shall set effective 2 dates applicable to all or to each classification or category 3 of health care facilities and applicable to all or each type 4 of transaction for which a permit is required. Varying 5 effective dates may be set, providing the date or dates so 6 set shall apply uniformly statewide. 7 Notwithstanding any effective dates established by this 8 Act or by the State Board, no person shall be required to 9 obtain a permit for any purpose under this Act until the 10 State health facilities plan referred to in paragraph (4) of 11 Section 12 of this Act has been approved and adopted by the 12 State Board subsequent to public hearings having been held 13 thereon. 14 A permit or exemption shall be obtained prior to the 15 acquisition of major medical equipment or to the construction 16 or modification of a health care facility which: 17 (a) requires a total capital expenditure in excess 18 of the capital expenditure minimum; or 19 (b) substantially changes the scope or changes the 20 functional operation of the facility; or 21 (c) changes the bed capacity of a health care 22 facility by increasing the total number of beds or by 23 distributing beds among various categories of service or 24 by relocating beds from one physical facility or site to 25 another by more than 10 beds or more than 10% of total 26 bed capacity as defined by the State Board, whichever is 27 less, over a 2 year period. 28 A permit shall be valid only for the defined construction 29 or modifications, site, amount and person named in the 30 application for such permit and shall not be transferable or 31 assignable. A permit shall be valid until such time as the 32 project has been completed, provided that (a) obligation of 33 the project occurs within 12 months following issuance of the 34 permit except for major construction projects such obligation -20- LRB9106074MWgcam03 1 must occur within 18 months following issuance of the permit; 2 and (b) the project commences and proceeds to completion with 3 due diligence. Major construction projects, for the purposes 4 of this Act, shall include but are not limited to: projects 5 for the construction of new buildings; additions to existing 6 facilities; modernization projects whose cost is in excess of 7 $1,000,000 or 10% of the facilities' operating revenue, 8 whichever is less; and such other projects as the State Board 9 shall define and prescribe pursuant to this Act. The State 10 Board may extend the obligation period upon a showing of good 11 cause by the permit holder. Permits for projects that have 12 not been obligated within the prescribed obligation period 13 shall expire on the last day of that period. 14 Persons who otherwise would be required to obtain a 15 permit shall be exempt from such requirement if the State 16 Board finds that with respect to establishing a new facility 17 or construction of new buildings or additions or 18 modifications to an existing facility, final plans and 19 specifications for such work have prior to October 1, 1974, 20 been submitted to and approved by the Department of Public 21 Health in accordance with the requirements of applicable 22 laws. Such exemptions shall be null and void after December 23 31, 1979 unless binding construction contracts were signed 24 prior to December 1, 1979 and unless construction has 25 commenced prior to December 31, 1979. Such exemptions shall 26 be valid until such time as the project has been completed 27 provided that the project proceeds to completion with due 28 diligence. 29 The acquisition by any person of major medical equipment 30 that will not be owned by or located in a health care 31 facility and that will not be used to provide services to 32 inpatients of a health care facility shall be exempt from 33 review provided that a notice is filed in accordance with 34 exemption requirements. -21- LRB9106074MWgcam03 1 Notwithstanding any other provision of this Act, no 2 permit or exemption is required for the construction or 3 modification of a non-clinical service area of a health care 4 facility. 5 (Source: P.A. 88-18.) 6 (20 ILCS 3960/19.5 new) 7 Sec. 19.5. Audit. Upon the effective date of this 8 amendatory Act of the 91st General Assembly, the Auditor 9 General must commence an audit of the State Board to 10 determine: 11 (1) whether the State Board can demonstrate that the 12 certificate of need process is successful in controlling 13 health care costs, allowing public access to necessary 14 health services, and guaranteeing the availability of 15 quality health care to the general public; 16 (2) whether the State Board is following its adopted 17 rules and procedures; 18 (3) whether the State Board is consistent in 19 awarding and denying certificates of need; and 20 (4) whether the State Board's annual reports reflect 21 a cost savings to the State. 22 The Auditor General must report on the results of the 23 audit to the General Assembly upon completion. 24 This Section is repealed when the Auditor General files 25 his or her report with the General Assembly. 26 (20 ILCS 3960/19.6 new) 27 Sec. 19.6. Repeal. This Act is repealed on July 1, 28 2003. 29 Section 20. The Illinois State Auditing Act is amended 30 by changing Section 3-1 as follows: -22- LRB9106074MWgcam03 1 (30 ILCS 5/3-1) (from Ch. 15, par. 303-1) 2 Sec. 3-1. Jurisdiction of Auditor General. The Auditor 3 General has jurisdiction over all State agencies to make post 4 audits and investigations authorized by or under this Act or 5 the Constitution. 6 The Auditor General has jurisdiction over local 7 government agencies and private agencies only: 8 (a) to make such post audits authorized by or under 9 this Act as are necessary and incidental to a post audit 10 of a State agency or of a program administered by a State 11 agency involving public funds of the State, but this 12 jurisdiction does not include any authority to review 13 local governmental agencies in the obligation, receipt, 14 expenditure or use of public funds of the State that are 15 granted without limitation or condition imposed by law, 16 other than the general limitation that such funds be used 17 for public purposes; 18 (b) to make investigations authorized by or under 19 this Act or the Constitution; and 20 (c) to make audits of the records of local 21 government agencies to verify actual costs of 22 state-mandated programs when directed to do so by the 23 Legislative Audit Commission at the request of the State 24 Board of Appeals under the State Mandates Act. 25 In addition to the foregoing, the Auditor General may 26 conduct an audit of the Metropolitan Pier and Exposition 27 Authority, the Regional Transportation Authority, the 28 Suburban Bus Division, the Commuter Rail Division and the 29 Chicago Transit Authority and any other subsidized carrier 30 when authorized by the Legislative Audit Commission. Such 31 audit may be a financial, management or program audit, or any 32 combination thereof. 33 The audit shall determine whether they are operating in 34 accordance with all applicable laws and regulations. Subject -23- LRB9106074MWgcam03 1 to the limitations of this Act, the Legislative Audit 2 Commission may by resolution specify additional 3 determinations to be included in the scope of the audit. 4 The Auditor General may also conduct an audit, when 5 authorized by the Legislative Audit Commission, of any 6 hospital which receives 10% or more of its gross revenues 7 from payments from the State of Illinois, Department of 8 Public Aid, Medical Assistance Program. 9 The Auditor General is authorized to conduct financial 10 and compliance audits of the Illinois Distance Learning 11 Foundation and the Illinois Conservation Foundation. 12 As soon as practical after the effective date of this 13 amendatory Act of 1995, the Auditor General shall conduct a 14 compliance and management audit of the City of Chicago and 15 any other entity with regard to the operation of Chicago 16 O'Hare International Airport, Chicago Midway Airport and 17 Merrill C. Meigs Field. The audit shall include, but not be 18 limited to, an examination of revenues, expenses, and 19 transfers of funds; purchasing and contracting policies and 20 practices; staffing levels; and hiring practices and 21 procedures. When completed, the audit required by this 22 paragraph shall be distributed in accordance with Section 23 3-14. 24 The Auditor General shall conduct a financial and 25 compliance and program audit of distributions from the 26 Municipal Economic Development Fund during the immediately 27 preceding calendar year pursuant to Section 8-403.1 of the 28 Public Utilities Act at no cost to the city, village, or 29 incorporated town that received the distributions. 30 The Auditor General must conduct an audit of the Health 31 Facilities Planning Board pursuant to Section 19.5 of the 32 Illinois Health Facilities Planning Act. 33 (Source: P.A. 89-386, eff. 8-18-95; 90-813, eff. 1-29-99.) -24- LRB9106074MWgcam03 1 Section 95. No acceleration or delay. Where this Act 2 makes changes in a statute that is represented in this Act by 3 text that is not yet or no longer in effect (for example, a 4 Section represented by multiple versions), the use of that 5 text does not accelerate or delay the taking effect of (i) 6 the changes made by this Act or (ii) provisions derived from 7 any other Public Act. 8 Section 99. Effective date. This Act takes effect upon 9 becoming law.".