Bill Text: IL HB6189 | 2011-2012 | 97th General Assembly | Introduced
Bill Title: Amends the Illinois Public Aid Code. Provides that within 180 days after the effective date of this amendatory Act, the Department of Healthcare and Family Services or the Department of Human Services shall issue a Request for Proposals to contract with a vendor or vendors to enforce, collect, and effectuate the recovery of the Department's liens involving claims, demands, and causes of action for injuries to an applicant for or recipient of financial aid under Articles III, IV, and V of the Code, under the Covering ALL KIDS Health Insurance Act, or under the Veterans' Health Insurance Program Act or the Veterans' Health Insurance Program Act of 2008. Provides that the scope of work shall include assuming the right and the authority to assume responsibility for the enforcement and collection of liens; notifying appropriate parties; negotiating settlement of the liens subject to pre-approval by the Department; coordinating payment of the liens and the terms of payment; and recovering the value of the liens and releasing the liens on behalf of the Department. Expands the Department's duties to include accepting, holding, and administering in behalf of the State any loans to the Department or to the State of Illinois for public aid or any related welfare purpose. Effective immediately.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Failed) 2013-01-08 - Session Sine Die [HB6189 Detail]
Download: Illinois-2011-HB6189-Introduced.html
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1 | AN ACT concerning public aid.
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2 | Be it enacted by the People of the State of Illinois,
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3 | represented in the General Assembly:
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4 | Section 5. The Illinois Public Aid Code is amended by | ||||||||||||||||||||||||||
5 | changing Sections 11-22 and 12-4.18 as follows:
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6 | (305 ILCS 5/11-22) (from Ch. 23, par. 11-22)
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7 | Sec. 11-22. Charge upon claims and causes of action for | ||||||||||||||||||||||||||
8 | injuries. The Illinois Department shall have a charge upon all | ||||||||||||||||||||||||||
9 | claims, demands and
causes of action for injuries to an | ||||||||||||||||||||||||||
10 | applicant for or recipient of (i)
financial aid under Articles | ||||||||||||||||||||||||||
11 | III, IV, and V, (ii) health care benefits provided under the | ||||||||||||||||||||||||||
12 | Covering ALL KIDS Health Insurance Act, or (iii) health care | ||||||||||||||||||||||||||
13 | benefits provided under the Veterans' Health Insurance Program | ||||||||||||||||||||||||||
14 | Act or the Veterans' Health Insurance Program Act of 2008 for | ||||||||||||||||||||||||||
15 | the total
amount of
medical assistance provided the recipient | ||||||||||||||||||||||||||
16 | from the time of injury to the
date of recovery upon such | ||||||||||||||||||||||||||
17 | claim, demand or cause of action. In addition, if
the applicant | ||||||||||||||||||||||||||
18 | or recipient was employable, as defined by the Department, at
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19 | the time of the injury, the Department shall also have a charge | ||||||||||||||||||||||||||
20 | upon any
such claims, demands and causes of action for the | ||||||||||||||||||||||||||
21 | total amount of aid
provided to the recipient and his
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22 | dependents, including all cash assistance and medical | ||||||||||||||||||||||||||
23 | assistance
only to the extent includable in the claimant's |
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1 | action, from the
time of injury to the date of recovery upon | ||||||
2 | such
claim, demand or cause of action. Any definition of | ||||||
3 | "employable"
adopted by the Department shall apply only to | ||||||
4 | persons above the age of
compulsory school attendance.
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5 | If the injured person was employable at the time of the | ||||||
6 | injury and is
provided aid under Articles III, IV, or V and any | ||||||
7 | dependent or
member of his family is provided aid under Article | ||||||
8 | VI, or vice versa,
both the Illinois Department and the local | ||||||
9 | governmental unit shall have
a charge upon such claims, demands | ||||||
10 | and causes of action for the aid
provided to the injured person | ||||||
11 | and any
dependent member of his family, including all cash | ||||||
12 | assistance, medical
assistance and food stamps, from the time | ||||||
13 | of the injury to the date
of recovery.
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14 | "Recipient", as used herein, means (i) in the case of | ||||||
15 | financial aid provided under this Code, the grantee of record | ||||||
16 | and any
persons whose needs are included in the financial aid | ||||||
17 | provided to the
grantee of record or otherwise met by grants | ||||||
18 | under the appropriate
Article of this Code for which such | ||||||
19 | person is eligible, (ii) in the case of health care benefits | ||||||
20 | provided under the Covering ALL KIDS Health Insurance Act, the | ||||||
21 | child to whom those benefits are provided, and (iii) in the | ||||||
22 | case of health care benefits provided under the Veterans' | ||||||
23 | Health Insurance Program Act or the Veterans' Health Insurance | ||||||
24 | Program Act of 2008, the veteran to whom benefits are provided.
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25 | In each case, the notice shall be served by certified mail | ||||||
26 | or
registered mail, upon the party or parties against whom the |
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1 | applicant or
recipient has a claim, demand or cause of action. | ||||||
2 | The notice shall
claim the charge and describe the interest the | ||||||
3 | Illinois Department, the
local governmental unit, or the | ||||||
4 | county, has in the claim, demand, or
cause of action. The | ||||||
5 | charge shall attach to any verdict or judgment
entered and to | ||||||
6 | any money or property which may be recovered on account
of such | ||||||
7 | claim, demand, cause of action or suit from and after the time
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8 | of the service of the notice.
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9 | On petition filed by the Illinois Department, or by the | ||||||
10 | local
governmental unit or county if either is claiming a | ||||||
11 | charge, or by the
recipient, or by the defendant, the court, on | ||||||
12 | written notice to all
interested parties, may adjudicate the | ||||||
13 | rights of the parties and enforce
the charge. The court may | ||||||
14 | approve the settlement of any claim, demand
or cause of action | ||||||
15 | either before or after a verdict, and nothing in this
Section | ||||||
16 | shall be construed as requiring the actual trial or final
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17 | adjudication of any claim, demand or cause of action upon which | ||||||
18 | the
Illinois Department, the local governmental unit or county | ||||||
19 | has charge.
The court may determine what portion of the | ||||||
20 | recovery shall be paid to
the injured person and what portion | ||||||
21 | shall be paid to the Illinois
Department, the local | ||||||
22 | governmental unit or county having a charge
against the | ||||||
23 | recovery.
In making this determination, the court shall conduct | ||||||
24 | an evidentiary hearing
and shall consider competent evidence | ||||||
25 | pertaining
to the following matters:
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26 | (1) the amount of the charge sought to be enforced |
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1 | against the recovery
when expressed as a percentage of the | ||||||
2 | gross amount of the recovery; the
amount of the charge | ||||||
3 | sought to be enforced against the recovery when expressed
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4 | as a percentage of the amount obtained by subtracting from | ||||||
5 | the gross amount
of the recovery the total attorney's fees | ||||||
6 | and other costs incurred by the
recipient incident to the | ||||||
7 | recovery; and whether the Department, unit of
local | ||||||
8 | government or county seeking to enforce the charge against | ||||||
9 | the recovery
should as a matter of fairness and equity bear | ||||||
10 | its proportionate share of
the fees and costs incurred to | ||||||
11 | generate the recovery from which the charge
is sought to be | ||||||
12 | satisfied;
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13 | (2) the amount, if any, of the attorney's fees and | ||||||
14 | other costs incurred
by the recipient incident to the | ||||||
15 | recovery and paid by the recipient up to the
time of | ||||||
16 | recovery, and the amount of such fees and costs remaining | ||||||
17 | unpaid
at the time of recovery;
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18 | (3) the total hospital, doctor and other medical | ||||||
19 | expenses incurred for
care and treatment of the injury to | ||||||
20 | the date of recovery therefor, the portion
of such expenses | ||||||
21 | theretofore paid by the recipient, by insurance provided
by | ||||||
22 | the recipient, and by the Department, unit of local | ||||||
23 | government and county
seeking to enforce a charge against | ||||||
24 | the recovery, and the amount of such
previously incurred | ||||||
25 | expenses which remain unpaid at the time of recovery
and by | ||||||
26 | whom such incurred, unpaid expenses are to be paid;
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1 | (4) whether the recovery represents less than | ||||||
2 | substantially full
recompense
for the injury and the | ||||||
3 | hospital, doctor and other medical expenses incurred
to the | ||||||
4 | date of recovery for the care and treatment of the injury, | ||||||
5 | so that
reduction of the charge sought to be enforced | ||||||
6 | against the recovery would
not likely result in a double | ||||||
7 | recovery or unjust enrichment to the recipient;
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8 | (5) the age of the recipient and of persons dependent | ||||||
9 | for support upon
the recipient, the nature and permanency | ||||||
10 | of the recipient's injuries as
they affect not only the | ||||||
11 | future employability and education of the recipient
but | ||||||
12 | also the reasonably necessary and foreseeable future | ||||||
13 | material, maintenance,
medical, rehabilitative and | ||||||
14 | training needs of the recipient, the cost of
such | ||||||
15 | reasonably necessary and foreseeable future needs, and the | ||||||
16 | resources
available to meet such needs and pay such costs;
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17 | (6) the realistic ability of the recipient to repay in | ||||||
18 | whole or in part
the charge sought to be enforced against | ||||||
19 | the recovery when judged in light
of the factors enumerated | ||||||
20 | above.
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21 | The burden of producing evidence sufficient to support the | ||||||
22 | exercise by
the court of its discretion to reduce the amount of | ||||||
23 | a proven charge sought
to be enforced against the recovery | ||||||
24 | shall rest with the party seeking such reduction.
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25 | The court may reduce and apportion the Illinois
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26 | Department's lien proportionate to the recovery of the |
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1 | claimant. The court may
consider the nature and extent of the | ||||||
2 | injury, economic and noneconomic
loss, settlement offers, | ||||||
3 | comparative negligence as it applies to the case
at hand, | ||||||
4 | hospital costs, physician costs, and all other appropriate | ||||||
5 | costs.
The Illinois Department shall pay its pro rata share of | ||||||
6 | the attorney fees
based on the Illinois Department's lien as it | ||||||
7 | compares to the total
settlement agreed upon. This Section | ||||||
8 | shall not affect the priority of an
attorney's lien under the | ||||||
9 | Attorneys Lien Act. The charges of
the Illinois Department | ||||||
10 | described in this Section, however, shall take
priority over | ||||||
11 | all other liens and charges existing under the laws of the
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12 | State of Illinois with the exception of the attorney's lien | ||||||
13 | under said statute.
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14 | Whenever the Department or any unit of local government
has | ||||||
15 | a statutory charge under this Section against a recovery for | ||||||
16 | damages
incurred by a recipient because of its advancement of | ||||||
17 | any assistance, such
charge shall not be satisfied out of any | ||||||
18 | recovery until the attorney's claim
for fees is satisfied, | ||||||
19 | irrespective of whether or not an action based on
recipient's | ||||||
20 | claim has been filed in court.
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21 | Within 180 days after the effective date of this amendatory | ||||||
22 | Act of the 97th General Assembly, the Illinois Department shall | ||||||
23 | issue a Request for Proposals to contract with a vendor or | ||||||
24 | vendors to enforce, collect, and effectuate the recovery of the | ||||||
25 | Department's liens as provided by this Section 11-22 on behalf | ||||||
26 | of the Illinois Department. The scope of work shall include, at |
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1 | a minimum and to the extent permitted by federal and State law, | ||||||
2 | assuming the right and the authority to assume responsibility | ||||||
3 | for the enforcement and collection of liens; notifying | ||||||
4 | appropriate parties; negotiating settlement of the liens | ||||||
5 | subject to pre-approval by the Illinois Department; | ||||||
6 | coordinating payment of the liens and the terms of payment; and | ||||||
7 | recovering the value of the liens and releasing the liens on | ||||||
8 | behalf of the Illinois Department. The vendor or vendors may be | ||||||
9 | paid a percentage of actual cash recovered when practical and | ||||||
10 | subject to federal law. | ||||||
11 | This Section shall be inapplicable to any claim, demand or | ||||||
12 | cause of
action arising under (a) the Workers' Compensation Act | ||||||
13 | or the predecessor
Workers' Compensation Act
of
June 28, 1913, | ||||||
14 | (b) the Workers' Occupational Diseases Act or the predecessor
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15 | Workers' Occupational
Diseases Act of March 16, 1936; and (c) | ||||||
16 | the Wrongful Death Act.
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17 | (Source: P.A. 94-693, eff. 7-1-06; 94-816, eff. 5-30-06; | ||||||
18 | 95-755, eff. 7-25-08.)
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19 | (305 ILCS 5/12-4.18) (from Ch. 23, par. 12-4.18)
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20 | Sec. 12-4.18. Grants , loans, and gifts for public aid and | ||||||
21 | related welfare purposes. Accept, hold and administer in behalf | ||||||
22 | of the State any grant, gift or legacy
of money, securities, | ||||||
23 | loans, or property to the Illinois
Department or to the State | ||||||
24 | of Illinois for public aid or any related
welfare purpose.
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25 | From appropriations from the Assistance to the Homeless |
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1 | Fund, a special
fund in the State treasury, which is hereby | ||||||
2 | created, provide grants to
not-for-profit organizations for | ||||||
3 | the purpose of providing assistance to
homeless persons.
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4 | Grants, gifts, and legacies for employment and training | ||||||
5 | programs for public
assistance clients shall be deposited into | ||||||
6 | the Employment and Training Fund.
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7 | Grants, gifts, donations, and legacies for functions | ||||||
8 | connected with the
administration of any medical program | ||||||
9 | administered by the Illinois Department
shall be deposited into | ||||||
10 | the Medical Special Purposes Trust
Fund created under Section | ||||||
11 | 12-10.5.
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12 | (Source: P.A. 92-37, eff. 7-1-01.)
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13 | Section 99. Effective date. This Act takes effect upon | ||||||
14 | becoming law.
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