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.
House Committee Amendment No. 1: Replaces everything after the enacting clause. Amends the Life Care Facilities Act. Adds provisions requiring certain pre-sale disclosures. Specifies that if an unoccupied living unit is to be reappropriated and if there are beneficiaries awaiting an entry fee refund, then the beneficiaries of the entry fee refund must provide a signed acknowledgment of and agreement to the reappropriation.
House Floor Amendment No. 2: Replaces everything after the enacting clause. Reinserts the provisions of House Amendment No. 1 with the following changes. Clarifies that the pre-sale disclosure requirements apply only to life care contracts that are subject to refund. Provides that, upon request, current residents, former residents awaiting refunds, and the estates of former residents awaiting refunds shall be provided with the most recent entry fee refund disclosures. Provides that, if a payee for an entry fee refund cannot be determined, for purposes of calculating the data required in the pre-sale disclosure, a refund shall be considered complete when a new resident occupies the living unit.
Senate Committee Amendment No. 1: Replaces everything after the enacting clause with the provisions of the engrossed bill, and makes the following changes. Provides that, for the purpose of determining the time a refund is due, the start time of the refund begins after the unit has been permanently vacated, returned to resalable condition, and the outgoing resident has a zero balance due, excluding outstanding balances to be payable by outside payors, including, but not limited to, Medicare, Medicaid, Managed Medicare, or within 30 days of the unit being permanently vacated and the outgoing resident has a zero balance due, whichever is shorter. Provides that refund delays due to estate factors outside of the community's control are not included in the outstanding refunds to be disclosed.
Senate Floor Amendment No. 2: Provides that failure to provide the pre-sale disclosure may result in a minimum monetary penalty of $500 at the discretion of the Department of Public Health. Allows the Department to adopt rules to enforce the provisions and provide for factors to be considered when imposing monetary penalties and for repeat violations of the provisions.
Statutes affected: Introduced: 210 ILCS 40/5
Engrossed: 210 ILCS 40/5
Enrolled: 210 ILCS 40/5
Public Act: 210 ILCS 40/5