HB4276 103RD GENERAL ASSEMBLY

LRB103 34669 RPS 64512 b

103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
HB4276

Introduced 1/16/2024, by Rep. Janet Yang Rohr - Michelle Mussman - Maura Hirschauer

SYNOPSIS AS INTRODUCED:

210 ILCS 40/5

from Ch. 111 1/2, par. 4160-5

Amends the Life Care Facilities Act. Provides that the financial disclosure provided to a resident must include, but is not limited to, fee schedules; fee adjustment policies; the history of fee increases; reserve funding provisions; expected source of funding for the development of new facilities; refund policies; and the status of resident claims on assets if the facility were to fall into bankruptcy or insolvency (instead of only a disclosure of short-term assets and liabilities). Provides that the required financial disclosures shall also be posted in a conspicuous location in the facility to which residents must have access.

A BILL FOR

AN ACT concerning regulation.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 5. The Life Care Facilities Act is amended by changing Section 5 as follows:

(210 ILCS 40/5) (from Ch. 111 1/2, par. 4160-5)

Sec. 5. (a) At the time of or prior to the execution of a life care contract and the transfer of any money or other property to a provider or escrow agent, the provider shall deliver to the resident a copy of a financial disclosure statement reflecting the provider's financial condition. This statement must shall include, but is not limited to, the following financial disclosures: but not be limited to, disclosure of short term assets and liabilities.

(1) fee schedules;

(2) fee adjustment policies;

(3) the history of fee increases;

(4) reserve funding provisions;

(5) expected source of funding for the development of new facilities;

(6) refund policies; and

(7) status of resident claims on assets if the facility were to fall into bankruptcy or insolvency.

(b) The life care contract shall provide that any person entering into the contract shall have a period of 14 days beginning with the first full calendar day following the execution of the contract, or the payment of an initial sum of money as a deposit or application fee, or receipt of the financial disclosure statement, whichever occurs last, within which to rescind the life care contract without penalty or further obligation. In the event of such rescission, all money or property paid or transferred by such person shall be fully refunded. No person shall be required to move into a facility until after the expiration of the 14-day 14 day rescission period. No permit shall be issued under this Act if the form of life care contract attached as an exhibit in support of the application for permit as provided in Section 4 does not contain the provisions required by this paragraph (b).

(c) The financial disclosures required in a life care contract under subsection (a) shall also be posted in a conspicuous location in the facility to which residents must have access.

(Source: P.A. 82-547.)