State of Illinois
91st General Assembly
Legislation

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91_HB0234

      New Act
      30 ILCS 105/5.490 new
          Creates the Tobacco  Litigation  Settlement  Distribution
      Act  and the Tobacco Litigation Settlement Distribution Fund.
      Provides that all unrestricted proceeds received by the State
      under the tobacco litigation settlement  agreement  shall  be
      deposited into the Tobacco Litigation Settlement Distribution
      Fund.    Requires  all  unrestricted  proceeds to be used for
      public health purposes, and requires that at least 90% of the
      unrestricted proceeds be used to provide health care services
      or health care benefit coverage to persons in this State  who
      do  not  have  health  insurance or other health care benefit
      coverage.  Provides that restricted proceeds  received  under
      the  settlement shall be placed in separate special funds and
      used only  for  the  purposes  specified  in  the  settlement
      agreement.  Requires the Auditor General to prepare an annual
      report  on  the use of settlement proceeds.  Amends the State
      Finance  Act  to  add  the  Tobacco   Litigation   Settlement
      Distribution  Fund  to the list of special funds in the State
      Treasury.  Effective immediately.
                                                     LRB9100481EGfg
                                               LRB9100481EGfg
 1        AN ACT  concerning  distribution  of  tobacco  litigation
 2    settlements.
 3        Be  it  enacted  by  the People of the State of Illinois,
 4    represented in the General Assembly:
 5        Section 1.  Short title.  This Act may be  cited  as  the
 6    Tobacco Litigation Settlement Distribution Act.
 7        Section 5.  Definitions.  For the purposes of this Act:
 8        "Agreement"  or  "settlement"  means  the portions of the
 9    settlement agreement in the case of People v. Philip  Morris,
10    Inc.  et al. (case number 96L13146 in the Cook County Circuit
11    Court) and any associated litigation, that  are  relevant  to
12    this State.
13        "Fund"    means   the   Tobacco   Litigation   Settlement
14    Distribution Fund created by this Act.
15        "Restricted proceeds" means that portion  of  the  moneys
16    received by the State under the settlement agreement, the use
17    of which is restricted under the terms of the agreement.
18        "Unrestricted  proceeds" means that portion of the moneys
19    received by the State under the settlement agreement, the use
20    of which is not restricted under the terms of the agreement.
21        Section 10. Tobacco  Litigation  Settlement  Distribution
22    Fund; unrestricted proceeds.
23        (a)  The  Tobacco Litigation Settlement Distribution Fund
24    is created as an interest-bearing special fund in  the  State
25    Treasury.
26        (b)  All  unrestricted  proceeds  received  by  the State
27    under the agreement  shall  be  deposited  into  the  Tobacco
28    Litigation Settlement Distribution Fund.
29        (c)  Moneys   in   the   Tobacco   Litigation  Settlement
30    Distribution Fund may be used, subject to appropriation, only
                            -2-                LRB9100481EGfg
 1    for the purposes specified in Section 15.
 2        Section 15. Use of unrestricted proceeds.
 3        (a)  Moneys  in   the   Tobacco   Litigation   Settlement
 4    Distribution  Fund may be used only pursuant to appropriation
 5    by the General Assembly.
 6        (b)  At least 90% of the unrestricted  proceeds  received
 7    by  the  State  in  a  fiscal year must be used for providing
 8    health care services  or  health  care  benefit  coverage  to
 9    persons  in  this  State  who do not have health insurance or
10    other health care benefit coverage.  The services or coverage
11    may be provided either  directly  by  the  State  or  through
12    grants   to   appropriate  public  or  private  entities,  as
13    otherwise provided by law.
14        (c)  Up to 10% of the unrestricted proceeds  received  by
15    the  State  in  a  fiscal  year  may be used for other public
16    health purposes.
17        Section 40. Use of restricted proceeds.
18        (a)  The State Comptroller shall establish and maintain a
19    separate special fund within  the  State  Treasury  for  each
20    category of restricted proceeds received by the State.
21        (b)  Restricted  proceeds received by the State under the
22    agreement shall be deposited  into  the  appropriate  special
23    fund.
24        (c)  Restricted  proceeds  may  be  used for the purposes
25    specified  in  the  agreement,   in   accordance   with   the
26    restrictions  imposed  in the agreement, but only pursuant to
27    appropriation by the General Assembly.
28        Section 50.  Annual report.  The  Auditor  General  shall
29    submit to the General Assembly an annual report on the use of
30    tobacco litigation settlement proceeds.
                            -3-                LRB9100481EGfg
 1        Section  95.   The State Finance Act is amended by adding
 2    Section 5.490 as follows:
 3        (30 ILCS 105/5.490 new)
 4        Sec.   5.490.    The   Tobacco   Litigation    Settlement
 5    Distribution Fund.
 6        Section  99.  Effective date.  This Act takes effect upon
 7    becoming law.

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