Bill Text: IL HB5307 | 2013-2014 | 98th General Assembly | Chaptered

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Bill Title: Amends the Community-Integrated Living Arrangements Licensure and Certification Act. Provides that a service provider must maintain a written record of all financial transactions, keep the recipient's funds in an account that is separate from the service provider's, and deposit any funds received in excess of $100 in an interest-bearing account. Requires a service provider to purchase and maintain a surety bond that is greater than or equal to the sum of all of the recipients personal funds that are deposited with the service provider. Provides that a service provider shall withdraw a recipient's funds only (1) to return the funds upon the request of the recipient or the recipient's guardian, (2) to pay the recipient his or her allowance, or (3) to make any other payment authorized by the recipient or any other person entitled to authorize that payment. Requires a service provider to notify the Office of the State Guardian of the Guardianship and Advocacy Commission if an adult recipient is unable to manage his or her funds and does not have a guardian. Makes other changes. Effective immediately.

Spectrum: Slight Partisan Bill (Democrat 5-3)

Status: (Passed) 2014-08-26 - Public Act . . . . . . . . . 98-1073 [HB5307 Detail]

Download: Illinois-2013-HB5307-Chaptered.html

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Public Act 098-1073
HB5307 Enrolled LRB098 19527 RPS 54703 b
AN ACT concerning regulation.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Community-Integrated Living Arrangements
Licensure and Certification Act is amended by adding Section
9.1 as follows:
(210 ILCS 135/9.1 new)
Sec. 9.1. Recipient's funds; protection.
(a) To protect a recipient's funds, a service provider:
(1) May accept funds from a recipient for safekeeping
and management if the service provider receives written
authorization from the recipient or the recipient's
guardian.
(2) Shall maintain a written record of all financial
arrangements and transactions involving each individual
recipient's funds and shall allow each recipient, or the
recipient's guardian, access to that written record.
(3) Shall provide, in order of priority, each
recipient, or the recipient's guardian, if any, or the
recipient's immediate family member, if any, with a written
itemized statement of all financial transactions involving
the recipient's funds or a copy of the recipient's checking
or savings account register for the period. This

information shall be provided at least quarterly.
(4) Shall purchase and maintain a surety bond or other
commercial policy with crime coverage in an amount equal to
or greater than all of the recipient's personal funds
deposited with the service provider to which employees of
the service provider have access to secure against loss,
theft, and insolvency. The insurance company that provides
the surety bond or commercial policy with crime coverage
shall inform the Division of Developmental Disabilities of
the Department of Human Services of any reduction or
cancellation of the surety bond or commercial policy with
crime coverage.
(5) Shall keep any funds received from a recipient in
an account separate from the service provider's funds for
safekeeping, and shall not withdraw all or any part of the
recipient's funds unless the service provider is (i)
returning the funds to the recipient upon the request of
the recipient or any other person entitled to make the
request, (ii) paying the recipient his or her allowance, or
(iii) making any other payment authorized by the recipient
or any other person entitled to make that authorization.
(6) Shall deposit any funds received from a recipient
in excess of $100 in an interest-bearing account insured by
agencies of, or corporations chartered by, the State or the
federal government. The account shall be in a form that
clearly indicates that the service provider has only a

fiduciary interest in the funds and that any interest
earned on funds in the account shall accrue to the
recipient. The service provider may keep up to $100 of a
recipient's funds in a non-interest-bearing account or
petty cash fund, to be readily available for the
recipient's current expenditures.
(7) Shall, upon written request of a recipient or the
recipient's guardian, return to the recipient or the
recipient's guardian of the estate all or any part of the
recipient's funds given to the service provider for
safekeeping, including the accrued interest earned on the
deposits of the recipient's funds.
(8) Shall (i) place any monthly allowance that a
recipient is entitled to in the recipient's personal
account or give the monthly allowance directly to the
recipient, unless the service provider has written
authorization from the recipient, the recipient's
guardian, or the recipient's parent if the recipient is a
minor, to handle the monthly allowance differently, (ii)
take all steps necessary to ensure that a monthly allowance
that is placed in a recipient's personal account is used
exclusively by the recipient or for the recipient's
benefit, and (iii) require any person other than the
recipient who withdraws funds from the recipient's
personal account that constitute any portion of the
recipient's monthly allowance to execute an affidavit that

the funds will be used exclusively for the benefit of the
recipient.
(9) If an adult recipient is incapable of managing his
or her funds and does not have a guardian or immediate
family member, the service provider shall notify the Office
of the State Guardian of the Guardianship and Advocacy
Commission.
(b) Upon the death of a recipient, unless otherwise
provided by State law, the service provider shall provide the
executor or administrator of the recipient's estate with a
complete accounting of all the recipient's personal property,
including any funds of the recipient being held by the service
provider.
(c) If a recipient changes service providers, the former
service provider shall provide the new service provider with a
written verification by a public accountant of all the
recipient's money and property being transferred and shall
obtain a signed receipt for the money and property from the new
service provider upon transfer of the recipient's money and
property.
(d) If a service provider is sold, the service provider
shall provide the new owner with a written verification by a
public accountant of all the recipient's money and property
being transferred and shall obtain a signed receipt for the
money and property from the new owner upon transfer of the
recipient's money and property.