{"data":{"id":"us-il/305-ilcs-5-5j-25","jurisdiction":"us-il","citation":"305 ILCS 5/5J-25","heading":"Repayment agreement.","body":"(This Section may contain text from a Public Act with a delayed effective date)\n(Section scheduled to be repealed on June 30, 2033)\n(a) A hospital shall be required to enter into a repayment agreement with the Department to execute the approved loan. Terms must include, but are not limited to, monthly repayments of the loan beginning no later than 18 months after receipt of the loan and discharge of the loan within 36 months of the date of the loan.\n(b) Notwithstanding any other law and to the extent permissible under federal rules, security for the cash flow loans in this Article shall, at a minimum, include reimbursements due to the hospital from the Department, including, but not limited to, any reimbursements under this Code. The repayment agreement may provide for additional security for any cash flow loans under this Article.\n(c) If the hospital provider fails to comply with the repayment terms of the agreement, the remaining balance of the loan shall be immediately recouped from reimbursements or other amounts otherwise payable by the Department to the loan recipient, including, but not limited to, amounts otherwise payable from a managed care organization performing duties under contract with the Department. The Department may also recoup amounts otherwise payable by any State agency to the provider, including, but not limited to, State grants and grant appropriations, and apply such amounts as repayment of the unpaid advance. If such reimbursements or other amounts otherwise payable to the loan recipient are insufficient for complete recovery, the remaining balance shall become immediately due and payable by check to the Department of Healthcare and Family Services. Failure by the provider to remit such check shall result in the Department pursuing other collection methods.\n(d) Any unpaid loan under this Article shall become a lien upon the assets of the hospital that received the loan. If any hospital provider, outside the usual course of its business, sells or transfers the major part of any one or more of (A) the real property and improvements, (B) the machinery and equipment, or (C) the furniture or fixtures, of any hospital that is subject to the provisions of this Article, the seller or transferor shall pay the Department the amount of any loan, penalty, and interest (if any) due from it under this Article up to the date of the sale or transfer. The Department may, in its discretion, foreclose on such a lien, but shall do so in a manner that is consistent with Section 5e of the Retailers' Occupation Tax Act. If the seller or transferor fails to pay any loan, penalty, and interest (if any) due, the purchaser or transferee of such asset shall be liable for the amount of the loan, penalties, and interest (if any) up to the amount of the reasonable value of the property acquired by the purchaser or transferee. The purchaser or transferee shall continue to be liable until the purchaser or transferee pays the full amount of the loan, penalties, and interest (if any) up to the amount of the reasonable value of the property acquired by the purchaser or transferee or until the purchaser or transferee receives from the Department a certificate showing that such loan, penalty, and interest have been paid or a certificate from the Department showing that no loan, penalty, or interest is due from the seller or transferor under this Article.\n(e) If a hospital provider fails to pay any monthly installment repayments, there shall, unless waived by the Department for reasonable cause, be added to the loan repayment obligation a penalty equal to the lesser of (i) 5% of the amount of the installment not paid on or before the due date plus 5% of the portion thereof remaining unpaid on the last day of each 30-day period thereafter or (ii) 100% of the installment amount not paid on or before the due date.","path":["CHAPTER 305 PUBLIC AID","Illinois Public Aid Code."],"source_url":"https://www.ilga.gov/legislation/ILCS/details?ActID=1413\u0026ChapterID=28\u0026ChapAct=FullText\u0026Print=True","current_through":"at least Public Act 104-790","vintage":"","retrieved_at":"2026-09-15T04:46:32Z","sha256":"cbc477798ad8a27b03063ab06a5dd2d5c4f6c17f7222a0e60c0e9be9239832b9","source_id":"us-il","stale":false,"prev":"us-il/305-ilcs-5-5j-20","next":"us-il/305-ilcs-5-5j-30"},"notice":"GroundRules: Original legal text. Not legal advice."}