Bill Text: IL HB0649 | 2009-2010 | 96th General Assembly | Introduced

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Bill Title: Amends the General Not For Profit Corporation Act of 1986. Requires a hospital incorporated under the Act to post in plain view the National Standards of Care. Provides that if (i) a court or administrative agency, in any proceeding properly before the court or agency, finds that a hospital that is incorporated under the General Not For Profit Corporation Act of 1986 has provided substandard care to a member of a minority group, (ii) that finding is incorporated into an order of the court or administrative agency that is final and not appealable, and (iii) the Secretary of State receives notice of that final and nonappealable order, then the Secretary of State shall require the hospital to dissolve voluntarily and, if the hospital wishes to continue to operate as a hospital, organize under the Business Corporation Act of 1983 within a period of time as provided by the Secretary by rule. Provides that if a not-for-profit hospital does not voluntarily dissolve within the period required by rule, the Secretary shall dissolve the corporation administratively. Effective immediately.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2009-04-03 - Rule 19(a) / Re-referred to Rules Committee [HB0649 Detail]

Download: Illinois-2009-HB0649-Introduced.html

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96TH GENERAL ASSEMBLY State of Illinois 2009 and 2010 HB0649 Introduced 2/6/2009, by Rep. Mary E. Flowers SYNOPSIS AS INTRODUCED:
805 ILCS 105/112.35 from Ch. 32, par. 112.35
805 ILCS 105/112.37 new
Amends the General Not For Profit Corporation Act of 1986. Requires a hospital incorporated under the Act to post in plain view the National Standards of Care. Provides that if (i) a court or administrative agency, in any proceeding properly before the court or agency, finds that a hospital that is incorporated under the General Not For Profit Corporation Act of 1986 has provided substandard care to a member of a minority group, (ii) that finding is incorporated into an order of the court or administrative agency that is final and not appealable, and (iii) the Secretary of State receives notice of that final and nonappealable order, then the Secretary of State shall require the hospital to dissolve voluntarily and, if the hospital wishes to continue to operate as a hospital, organize under the Business Corporation Act of 1983 within a period of time as provided by the Secretary by rule. Provides that if a not-for-profit hospital does not voluntarily dissolve within the period required by rule, the Secretary shall dissolve the corporation administratively. Effective immediately.
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FISCAL NOTE ACT MAY APPLY
A BILL FOR
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AN ACT concerning business.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The General Not For Profit Corporation Act of
1986 is amended by changing Section 112.35 and by adding
Section 112.37 as follows:
(805 ILCS 105/112.35) (from Ch. 32, par. 112.35)
Sec. 112.35. Grounds for administrative dissolution. The
Secretary of State may dissolve any corporation
administratively if:
(a) It has failed to file its annual report as required by
this Act before the first day of the anniversary month of the
corporation of the year in which such annual report becomes
due;
(b) It has failed to file in the office of the Secretary of
State any report after the expiration of the period prescribed
in this Act for filing such report;
(c) It has failed to pay any fees or charges prescribed by
this Act;
(d) It has failed to appoint and maintain a registered
agent in this State;
(e) It has misrepresented any material matter in any
application, report, affidavit, or other document filed by the

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corporation pursuant to this Act; or
(f) The Secretary of State receives notification from a
local liquor commissioner, pursuant to Section 4-4(3) of "The
Liquor Control Act of 1934," as now or hereafter amended, that
an organization incorporated under this Act and functioning as
a club has violated that Act by selling or offering for sale at
retail alcoholic liquors without a retailer's license; or .
(g) It has failed to dissolve voluntarily as required under
Section 112.37.
(Source: P.A. 92-33, eff. 7-1-01.)
(805 ILCS 105/112.37 new)
Sec. 112.37. Not-for-profit hospital; substandard care to
member of minority group.
Any hospital incorporated under this Act must post in plain
view for the benefit of all patients the National Standards of
Care. If (i) a court or administrative agency, in any
proceeding properly before the court or agency, finds that a
hospital that is incorporated under this Act has provided
substandard care to a member of a minority group, (ii) that
finding is incorporated into an order of the court or
administrative agency that is final and not appealable, and
(iii) the Secretary of State receives notice of that final and
nonappealable order, then the Secretary of State shall require
the hospital to dissolve voluntarily and, if the hospital
wishes to continue to operate as a hospital, organize under the

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Business Corporation Act of 1983 within a period of time as
provided by the Secretary by rule. If a hospital incorporated
under this Act does not voluntarily dissolve within the period
required by rule, as required under this Section, the Secretary
shall dissolve the corporation administratively as provided in
this Act.
Section 99. Effective date. This Act takes effect upon
becoming law.