2005 Illinois Code - Chapter 320 Aging 320 ILCS 25/      Senior Citizens and Disabled Persons Property Tax Relief and Pharmaceutical Assistance Act.

    (320 ILCS 25/1) (from Ch. 67 1/2, par. 401)
    Sec. 1. Short title. This Article shall be known and may be cited as the "Senior Citizens and Disabled Persons Property Tax Relief and Pharmaceutical Assistance Act". As used in this Article, "this Act" means this Article.
(Source: P.A. 83‑1531.)

    (320 ILCS 25/2) (from Ch. 67 1/2, par. 402)
    Sec. 2. Purpose.
    The purpose of this Act is to provide incentives to the senior citizens and disabled persons of this State to acquire and retain private housing of their choice and at the same time to relieve those citizens from the burdens of extraordinary property taxes against their increasingly restricted earning power, and thereby to reduce the requirements for public housing in this State.
(Source: P. A. 77‑2059.)

    (320 ILCS 25/3) (from Ch. 67 1/2, par. 403)
    Sec. 3. Definitions. As used in this Act, unless the context otherwise requires, words and phrases have the meanings set forth in the following Sections preceding Section 4.
(Source: P.A. 87‑895.)

    (320 ILCS 25/3.01) (from Ch. 67 1/2, par. 403.01)
    Sec. 3.01.
    "Claimant" means an individual who has filed a claim under this Act.
(Source: P. A. 77‑2059.)

    (320 ILCS 25/3.02) (from Ch. 67 1/2, par. 403.02)
    Sec. 3.02.
    "Department" means the Department of Revenue of this State.
(Source: P. A. 77‑2059.)

    (320 ILCS 25/3.03) (from Ch. 67 1/2, par. 403.03)
    Sec. 3.03.
    "Director" means the Director of Revenue of this State.
(Source: P. A. 77‑2059.)

    (320 ILCS 25/3.04) (from Ch. 67 1/2, par. 403.04)
    Sec. 3.04.
    "Gross Rent" means the total amount paid solely for the right to occupy a residence.
    If the residence is a nursing or sheltered care home, "gross rent" means the amount paid in a taxable year that is attributable to the cost of housing, but not of meals or care, for the claimant in that home, determined in accordance with regulations of the Department.
(Source: P.A. 78‑1249; 78‑1297.)

    (320 ILCS 25/3.05) (from Ch. 67 1/2, par. 403.05)
    Sec. 3.05.
    "Household" means a claimant or a claimant and his spouse living together in the same residence.
(Source: P. A. 77‑2059.)

    (320 ILCS 25/3.06) (from Ch. 67 1/2, par. 403.06)
    Sec. 3.06.
    "Household income" means the combined income of the members of a household.
(Source: P. A. 77‑2059.)

    (320 ILCS 25/3.07) (from Ch. 67 1/2, par. 403.07)
    Sec. 3.07. "Income" means adjusted gross income, properly reportable for federal income tax purposes under the provisions of the Internal Revenue Code, modified by adding thereto the sum of the following amounts to the extent deducted or excluded from gross income in the computation of adjusted gross income:
        (A) An amount equal to all amounts paid or accrued
    
as interest or dividends during the taxable year;
        (B) An amount equal to the amount of tax imposed by
    
the Illinois Income Tax Act paid for the taxable year;
        (C) An amount equal to all amounts received during
    
the taxable year as an annuity under an annuity, endowment or life insurance contract or under any other contract or agreement;
        (D) An amount equal to the amount of benefits paid
    
under the Federal Social Security Act during the taxable year;
        (E) An amount equal to the amount of benefits paid
    
under the Railroad Retirement Act during the taxable year;
        (F) An amount equal to the total amount of cash
    
public assistance payments received from any governmental agency during the taxable year other than benefits received pursuant to this Act;
        (G) An amount equal to any net operating loss
    
carryover deduction or capital loss carryover deduction during the taxable year;
        (H) For claim years beginning on or after January 1,
    
2002, an amount equal to any benefits received under the Workers' Compensation Act or the Workers' Occupational Diseases Act during the taxable year.
    "Income" does not include any grant assistance received under the Nursing Home Grant Assistance Act or any distributions or items of income described under subparagraph (X) of paragraph (2) of subsection (a) of Section 203 of the Illinois Income Tax Act.
    This amendatory Act of 1987 shall be effective for purposes of this Section for tax years ending on or after December 31, 1987.
(Source: P.A. 91‑676, eff. 12‑23‑99; 92‑131, eff. 7‑23‑01; 92‑519, eff. 1‑1‑02.)

    (320 ILCS 25/3.08) (from Ch. 67 1/2, par. 403.08)
    Sec. 3.08.
    "Internal Revenue Code" means the United States Internal Revenue Code of 1954 or any successor law or laws relating to federal income taxes in effect for the year.
(Source: P. A. 77‑2059.)

    (320 ILCS 25/3.09) (from Ch. 67 1/2, par. 403.09)
    Sec. 3.09. "Property taxes accrued" means the ad valorem property taxes extended against a residence, but does not include special assessments, interest or charges for service. In the case of real estate improved with a multidwelling or multipurpose building, "property taxes accrued" extended against a residence within such a building is an amount equal to the same percentage of the total property taxes extended against that real estate as improved as the value of the residence is to the total value of the building. If the multidwelling building is owned and operated as a cooperative, the value of an individual residence is the value of the interest in the cooperative held by the owner of record of the legal or equitable interest, other than a leasehold interest, in the cooperative which confers the right to occupy that residence. In determining the amount of grant under Section 4 for 1976 and thereafter, the applicable "property taxes accrued", as determined under this Section, are those payable or paid in the last preceding taxable year.
    In addition, if the residence is a mobile home as defined in and subject to the tax imposed by the Mobile Home Local Services Tax Act, "property taxes accrued" includes the amount of privilege tax paid during the calendar year for which benefits are claimed under that Act on that mobile home. Beginning in taxable year 1999, if (i) the residence is a mobile home, (ii) the resident is the record owner of the property upon which the mobile home is located, and (iii) the resident is liable for the taxes imposed under the Property Tax Code for both the mobile home and the property, then "property taxes accrued" includes the amount of property taxes paid on both the mobile home and the property upon which the mobile home is located.
(Source: P.A. 91‑357, eff. 7‑29‑99; 91‑391, eff. 7‑30‑99.)

    (320 ILCS 25/3.10) (from Ch. 67 1/2, par. 403.10)
    Sec. 3.10.
    "Regulations" includes rules promulgated and forms prescribed by the Department.
(Source: P. A. 77‑2059.)

    (320 ILCS 25/3.11) (from Ch. 67 1/2, par. 403.11)
    Sec. 3.11. "Rent constituting property taxes accrued" means 25% of the amount of gross rent paid in a taxable year for a residence which was subject to ad valorem property taxes in that year under the Property Tax Code.
(Source: P.A. 87‑860; 88‑670, eff. 12‑2‑94.)

    (320 ILCS 25/3.12) (from Ch. 67 1/2, par. 403.12)
    Sec. 3.12.
    "Residence" means the principal dwelling place occupied in this State by a household and so much of the surrounding land as is reasonably necessary for use of the dwelling as a home, and includes rental property, mobile homes, single family dwellings, and units in multifamily, multidwelling or multipurpose buildings. If the assessor has established a specific legal description for a portion of property constituting the residence, then that portion of property shall be deemed "residence" for the purposes of this Act. "Residence" also includes that portion of a nursing or sheltered care home occupied as a dwelling by a claimant, determined as prescribed in regulations of the Department.
(Source: P.A. 78‑1249.)

    (320 ILCS 25/3.13) (from Ch. 67 1/2, par. 403.13)
    Sec. 3.13.
    "Taxable year" means the calendar year during which ad valorem property taxes payable in the next succeeding calendar year were levied.
(Source: P. A. 77‑2059.)

    (320 ILCS 25/3.14) (from Ch. 67 1/2, par. 403.14)
    Sec. 3.14. "Disabled person" means a person unable to engage in any substantial gainful activity by reason of a medically determinable physical or mental impairment which can be expected to result in death or has lasted or can be expected to last for a continuous period of not less than 12 months. Disabled persons filing claims under this Act shall submit proof of disability in such form and manner as the Department shall by rule and regulation prescribe. Proof that a claimant is eligible to receive disability benefits under the Federal Social Security Act shall constitute proof of disability for purposes of this Act. Issuance of an Illinois Disabled Person Identification Card stating that the claimant is under a Class 2 disability, as defined in Section 4A of The Illinois Identification Card Act, shall constitute proof that the person named thereon is a disabled person for purposes of this Act. A disabled person not covered under the Federal Social Security Act and not presenting a Disabled Person Identification Card stating that the claimant is under a Class 2 disability shall be examined by a physician designated by the Department, and his status as a disabled person determined using the same standards as used by the Social Security Administration. The costs of any required examination shall be borne by the claimant.
(Source: P.A. 83‑1421.)

    (320 ILCS 25/3.15) (from Ch. 67 1/2, par. 403.15)
    Sec. 3.15. "Covered prescription drug" means (1) any cardiovascular agent or drug; (2) any insulin or other prescription drug used in the treatment of diabetes, including syringe and needles used to administer the insulin; (3) any prescription drug used in the treatment of arthritis, (4) beginning on January 1, 2001, any prescription drug used in the treatment of cancer, (5) beginning on January 1, 2001, any prescription drug used in the treatment of Alzheimer's disease, (6) beginning on January 1, 2001, any prescription drug used in the treatment of Parkinson's disease, (7) beginning on January 1, 2001, any prescription drug used in the treatment of glaucoma, (8) beginning on January 1, 2001, any prescription drug used in the treatment of lung disease and smoking related illnesses, (9) beginning on July 1, 2001, any prescription drug used in the treatment of osteoporosis, and (10) beginning on January 1, 2004, any prescription drug used in the treatment of multiple sclerosis. The specific agents or products to be included under such categories shall be listed in a handbook to be prepared and distributed by the Department. The general types of covered prescription drugs shall be indicated by rule.
(Source: P.A. 92‑10, eff. 6‑11‑01; 92‑790, eff. 8‑6‑02; 93‑528, eff. 1‑1‑04.)

    (320 ILCS 25/3.16) (from Ch. 67 1/2, par. 403.16)
    Sec. 3.16. "Reasonable cost" means Average Wholesale Price (AWP) minus 10% for products provided by authorized pharmacies plus a professional dispensing fee determined by the Department in accordance with its findings in a survey of professional pharmacy dispensing fees conducted at least every 12 months. For the purpose of this Act, AWP shall be determined from the latest publication of the Blue Book, a universally subscribed pharmacist reference guide annually published by the Hearst Corporation. AWP may also be derived electronically from the drug pricing database synonymous with the latest publication of the Blue Book and furnished in the National Drug Data File (NDDF) by First Data Bank (FDB), a service of the Hearst Corporation. The elements of such fees and methodology of such survey shall be promulgated as an administrative rule. Effective July 1, 1986, the professional dispensing fee shall be $3.60 per prescription and such amount shall be adjusted on July 1st of each year thereafter in accordance with a survey of professional pharmacy dispensing fees. The Department may establish maximum acquisition costs from time to time based upon information as to the cost at which covered products may be readily acquired by authorized pharmacies. In no case shall the reasonable cost of any given pharmacy exceed the price normally charged to the general public by that pharmacy. In the event that generic equivalents for covered prescription drugs are available at lower cost, the Department shall establish the maximum acquisition costs for such covered prescription drugs at the lower generic cost unless, pursuant to the conditions described in subsection (f) of Section 4, a non‑generic drug may be substituted.
    Effective July 1, 2002, the rates paid for products provided by authorized pharmacies and a professional dispensing fee shall be determined by the Department by rule.
(Source: P.A. 91‑699, eff. 1‑1‑01; 92‑597, eff. 6‑28‑02.)

    (320 ILCS 25/3.17) (from Ch. 67 1/2, par. 403.17)
    Sec. 3.17. "Authorized pharmacy" means any pharmacy registered in this State under the Pharmacy Practice Act of 1987.
(Source: P.A. 85‑1209.)

    (320 ILCS 25/4)(from Ch. 67 1/2, par. 404)
    Sec. 4. Amount of Grant.
    (a) In general. Any individual 65 years or older or any individual who will become 65 years old during the calendar year in which a claim is filed, and any surviving spouse of such a claimant, who at the time of death received or was entitled to receive a grant pursuant to this Section, which surviving spouse will become 65 years of age within the 24 months immediately following the death of such claimant and which surviving spouse but for his or her age is otherwise qualified to receive a grant pursuant to this Section, and any disabled person whose annual household income is less than $14,000 for grant years before the 1998 grant year, less than $16,000 for the 1998 and 1999 grant years, and less than (i) $21,218 for a household containing one person, (ii) $28,480 for a household containing 2 persons, or (iii) $35,740 for a household containing 3 or more persons for the 2000 grant year and thereafter and whose household is liable for payment of property taxes accrued or has paid rent constituting property taxes accrued and is domiciled in this State at the time he or she files his or her claim is entitled to claim a grant under this Act. With respect to claims filed by individuals who will become 65 years old during the calendar year in which a claim is filed, the amount of any grant to which that household is entitled shall be an amount equal to 1/12 of the amount to which the claimant would otherwise be entitled as provided in this Section, multiplied by the number of months in which the claimant was 65 in the calendar year in which the claim is filed.
    (b) Limitation. Except as otherwise provided in subsections (a) and (f) of this Section, the maximum amount of grant which a claimant is entitled to claim is the amount by which the property taxes accrued which were paid or payable during the last preceding tax year or rent constituting property taxes accrued upon the claimant's residence for the last preceding taxable year exceeds 3 1/2% of the claimant's household income for that year but in no event is the grant to exceed (i) $700 less 4.5% of household income for that year for those with a household income of $14,000 or less or (ii) $70 if household income for that year is more than $14,000.
    (c) Public aid recipients. If household income in one or more months during a year includes cash assistance in excess of $55 per month from the Department of Healthcare and Family Services or the Department of Human Services (acting as successor to the Department of Public Aid under the Department of Human Services Act) which was determined under regulations of that Department on a measure of need that included an allowance for actual rent or property taxes paid by the recipient of that assistance, the amount of grant to which that household is entitled, except as otherwise provided in subsection (a), shall be the product of (1) the maximum amount computed as specified in subsection (b) of this Section and (2) the ratio of the number of months in which household income did not include such cash assistance over $55 to the number twelve. If household income did not include such cash assistance over $55 for any months during the year, the amount of the grant to which the household is entitled shall be the maximum amount computed as specified in subsection (b) of this Section. For purposes of this paragraph (c), "cash assistance" does not include any amount received under the federal Supplemental Security Income (SSI) program.
    (d) Joint ownership. If title to the residence is held jointly by the claimant with a person who is not a member of his or her household, the amount of property taxes accrued used in computing the amount of grant to which he or she is entitled shall be the same percentage of property taxes accrued as is the percentage of ownership held by the claimant in the residence.
    (e) More than one residence. If a claimant has occupied more than one residence in the taxable year, he or she may claim only one residence for any part of a month. In the case of property taxes accrued, he or she shall prorate 1/12 of the total property taxes accrued on his or her residence to each month that he or she owned and occupied that residence; and, in the case of rent constituting property taxes accrued, shall prorate each month's rent payments to the residence actually occupied during that month.
    (f) There is hereby established a program of pharmaceutical assistance to the aged and disabled which shall be administered by the Department in accordance with this Act, to consist of payments to authorized pharmacies, on behalf of beneficiaries of the program, for the reasonable costs of covered prescription drugs. Each beneficiary who pays $5 for an identification card shall pay no additional prescription costs. Each beneficiary who pays $25 for an identification card shall pay $3 per prescription. In addition, after a beneficiary receives $2,000 in benefits during a State fiscal year, that beneficiary shall also be charged 20% of the cost of each prescription for which payments are made by the program during the remainder of the fiscal year. To become a beneficiary under this program a person must: (1) be (i) 65 years of age or older, or (ii) the surviving spouse of such a claimant, who at the time of death received or was entitled to receive benefits pursuant to this subsection, which surviving spouse will become 65 years of age within the 24 months immediately following the death of such claimant and which surviving spouse but for his or her age is otherwise qualified to receive benefits pursuant to this subsection, or (iii) disabled, and (2) be domiciled in this State at the time he or she files his or her claim, and (3) have a maximum household income of less than $14,000 for grant years before the 1998 grant year, less than $16,000 for the 1998 and 1999 grant years, and less than (i) $21,218 for a household containing one person, (ii) $28,480 for a household containing 2 persons, or (iii) $35,740 for a household containing 3 more persons for the 2000 grant year and thereafter. In addition, each eligible person must (1) obtain an identification card from the Department, (2) at the time the card is obtained, sign a statement assigning to the State of Illinois benefits which may be otherwise claimed under any private insurance plans, and (3) present the identification card to the dispensing pharmacist.
    The Department may adopt rules specifying participation requirements for the pharmaceutical assistance program, including copayment amounts, identification card fees, expenditure limits, and the benefit threshold after which a 20% charge is imposed on the cost of each prescription, to be in effect on and after July 1, 2004. Notwithstanding any other provision of this paragraph, however, the Department may not increase the identification card fee above the amount in effect on May 1, 2003 without the express consent of the General Assembly. To the extent practicable, those requirements shall be commensurate with the requirements provided in rules adopted by the Department of Healthcare and Family Services to implement the pharmacy assistance program under Section 5‑5.12a of the Illinois Public Aid Code.
    Whenever a generic equivalent for a covered prescription drug is available, the Department shall reimburse only for the reasonable costs of the generic equivalent, less the co‑pay established in this Section, unless (i) the covered prescription drug contains one or more ingredients defined as a narrow therapeutic index drug at 21 CFR 320.33, (ii) the prescriber indicates on the face of the prescription "brand medically necessary", and (iii) the prescriber specifies that a substitution is not permitted. When issuing an oral prescription for covered prescription medication described in item (i) of this paragraph, the prescriber shall stipulate "brand medically necessary" and that a substitution is not permitted. If the covered prescription drug and its authorizing prescription do not meet the criteria listed above, the beneficiary may purchase the non‑generic equivalent of the covered prescription drug by paying the difference between the generic cost and the non‑generic cost plus the beneficiary co‑pay.
    Any person otherwise eligible for pharmaceutical assistance under this Act whose covered drugs are covered by any public program for assistance in purchasing any covered prescription drugs shall be ineligible for assistance under this Act to the extent such costs are covered by such other plan.
    The fee to be charged by the Department for the identification card shall be equal to $5 per coverage year for persons below the official poverty line as defined by the United States Department of Health and Human Services and $25 per coverage year for all other persons.
    In the event that 2 or more persons are eligible for any benefit under this Act, and are members of the same household, (1) each such person shall be entitled to participate in the pharmaceutical assistance program, provided that he or she meets all other requirements imposed by this subsection and (2) each participating household member contributes the fee required for that person by the preceding paragraph for the purpose of obtaining an identification card.
    The provisions of this subsection (f), other than this paragraph, are inoperative after December 31, 2005. Beneficiaries who received benefits under the program established by this subsection (f) are not entitled, at the termination of the program, to any refund of the identification card fee paid under this subsection.
    (g) Effective January 1, 2006, there is hereby established a program of pharmaceutical assistance to the aged and disabled, entitled the Illinois Seniors and Disabled Drug Coverage Program, which shall be administered by the Department of Healthcare and Family Services and the Department on Aging in accordance with this subsection, to consist of coverage of specified prescription drugs on behalf of beneficiaries of the program as set forth in this subsection. The program under this subsection replaces and supersedes the program established under subsection (f), which shall end at midnight on December 31, 2005.
    To become a beneficiary under the program established under this subsection, a person must:
        (1) be (i) 65 years of age or older or (ii) disabled;
    
and
        (2) be domiciled in this State; and
        (3) enroll with a qualified Medicare Part D
    
Prescription Drug Plan if eligible and apply for all available subsidies under Medicare Part D; and
        (4) have a maximum household income of (i) less than
    
$21,218 for a household containing one person, (ii) less than $28,480 for a household containing 2 persons, or (iii) less than $35,740 for a household containing 3 or more persons. If any income eligibility limit set forth in items (i) through (iii) is less than 200% of the Federal Poverty Level for any year, the income eligibility limit for that year for households of that size shall be income equal to or less than 200% of the Federal Poverty Level.
    All individuals enrolled as of December 31, 2005, in the
    
pharmaceutical assistance program operated pursuant to subsection (f) of this Section and all individuals enrolled as of December 31, 2005, in the SeniorCare Medicaid waiver program operated pursuant to Section 5‑5.12a of the Illinois Public Aid Code shall be automatically enrolled in the program established by this subsection for the first year of operation without the need for further application, except that they must apply for Medicare Part D and the Low Income Subsidy under Medicare Part D. A person enrolled in the pharmaceutical assistance program operated pursuant to subsection (f) of this Section as of December 31, 2005, shall not lose eligibility in future years due only to the fact that they have not reached the age of 65.
    To the extent permitted by federal law, the Department
    
may act as an authorized representative of a beneficiary in order to enroll the beneficiary in a Medicare Part D Prescription Drug Plan if the beneficiary has failed to choose a plan and, where possible, to enroll beneficiaries in the low‑income subsidy program under Medicare Part D or assist them in enrolling in that program.
    Beneficiaries under the program established under this
    
subsection shall be divided into the following 5 eligibility groups:
        (A) Eligibility Group 1 shall consist of
    
beneficiaries who are not eligible for Medicare Part D coverage and who are:
            (i) disabled and under age 65; or
            (ii) age 65 or older, with incomes over 200% of
        
the Federal Poverty Level; or
            (iii) age 65 or older, with incomes at or below
        
200% of the Federal Poverty Level and not eligible for federally funded means‑tested benefits due to immigration status.
        (B) Eligibility Group 2 shall consist of
    
beneficiaries otherwise described in Eligibility Group 1 but who are eligible for Medicare Part D coverage.
        (C) Eligibility Group 3 shall consist of
    
beneficiaries age 65 or older, with incomes at or below 200% of the Federal Poverty Level, who are not barred from receiving federally funded means‑tested benefits due to immigration status and are eligible for Medicare Part D coverage.
        (D) Eligibility Group 4 shall consist of
    
beneficiaries age 65 or older, with incomes at or below 200% of the Federal Poverty Level, who are not barred from receiving federally funded means‑tested benefits due to immigration status and are not eligible for Medicare Part D coverage.
        If the State applies and receives federal approval
    
for a waiver under Title XIX of the Social Security Act, persons in Eligibility Group 4 shall continue to receive benefits through the approved waiver, and Eligibility Group 4 may be expanded to include disabled persons under age 65 with incomes under 200% of the Federal Poverty Level who are not eligible for Medicare and who are not barred from receiving federally funded means‑tested benefits due to immigration status.
        (E) On and after January 1, 2007, Eligibility Group
    
5 shall consist of beneficiaries who are otherwise described in Eligibility Group 1 but are eligible for Medicare Part D and have a diagnosis of HIV or AIDS.
    The program established under this subsection shall cover
    
the cost of covered prescription drugs in excess of the beneficiary cost‑sharing amounts set forth in this paragraph that are not covered by Medicare. In 2006, beneficiaries shall pay a co‑payment of $2 for each prescription of a generic drug and $5 for each prescription of a brand‑name drug. In future years, beneficiaries shall pay co‑payments equal to the co‑payments required under Medicare Part D for "other low‑income subsidy eligible individuals" pursuant to 42 CFR 423.782(b). For individuals in Eligibility Groups 1, 2, 3, and 4, once the program established under this subsection and Medicare combined have paid $1,750 in a year for covered prescription drugs, the beneficiary shall pay 20% of the cost of each prescription in addition to the co‑payments set forth in this paragraph. For individuals in Eligibility Group 5, once the program established under this subsection and Medicare combined have paid $1,750 in a year for covered prescription drugs, the beneficiary shall pay 20% of the cost of each prescription in addition to the co‑payments set forth in this paragraph unless the drug is included in the formulary of the Illinois AIDS Drug Assistance Program operated by the Illinois Department of Public Health. If the drug is included in the formulary of the Illinois AIDS Drug Assistance Program, individuals in Eligibility Group 5 shall continue to pay the co‑payments set forth in this paragraph after the program established under this subsection and Medicare combined have paid $1,750 in a year for covered prescription drugs.
    For beneficiaries eligible for Medicare Part D coverage,
    
the program established under this subsection shall pay 100% of the premiums charged by a qualified Medicare Part D Prescription Drug Plan for Medicare Part D basic prescription drug coverage, not including any late enrollment penalties. Qualified Medicare Part D Prescription Drug Plans may be limited by the Department of Healthcare and Family Services to those plans that sign a coordination agreement with the Department.
    Notwithstanding Section 3.15, for purposes of the program
    
established under this subsection, the term "covered prescription drug" has the following meanings:
        For Eligibility Group 1, "covered prescription drug"
    
means: (1) any cardiovascular agent or drug; (2) any insulin or other prescription drug used in the treatment of diabetes, including syringe and needles used to administer the insulin; (3) any prescription drug used in the treatment of arthritis; (4) any prescription drug used in the treatment of cancer; (5) any prescription drug used in the treatment of Alzheimer's disease; (6) any prescription drug used in the treatment of Parkinson's disease; (7) any prescription drug used in the treatment of glaucoma; (8) any prescription drug used in the treatment of lung disease and smoking‑related illnesses; (9) any prescription drug used in the treatment of osteoporosis; and (10) any prescription drug used in the treatment of multiple sclerosis. The Department may add additional therapeutic classes by rule. The Department may adopt a preferred drug list within any of the classes of drugs described in items (1) through (10) of this paragraph. The specific drugs or therapeutic classes of covered prescription drugs shall be indicated by rule.
        For Eligibility Group 2, "covered prescription drug"
    
means those drugs covered for Eligibility Group 1 that are also covered by the Medicare Part D Prescription Drug Plan in which the beneficiary is enrolled.
        For Eligibility Group 3, "covered prescription drug"
    
means those drugs covered by the Medicare Part D Prescription Drug Plan in which the beneficiary is enrolled.
        For Eligibility Group 4, "covered prescription drug"
    
means those drugs covered by the Medical Assistance Program under Article V of the Illinois Public Aid Code.
        For Eligibility Group 5, "covered prescription drug"
    
means: (1) those drugs covered for Eligibility Group 1 that are also covered by the Medicare Part D Prescription Drug Plan in which the beneficiary is enrolled; and (2) those drugs included in the formulary of the Illinois AIDS Drug Assistance Program operated by the Illinois Department of Public Health that are also covered by the Medicare Part D Prescription Drug Plan in which the beneficiary is enrolled.
    An individual in Eligibility Group 3 or 4 may opt to
    
receive a $25 monthly payment in lieu of the direct coverage described in this subsection.
    Any person otherwise eligible for pharmaceutical
    
assistance under this subsection whose covered drugs are covered by any public program is ineligible for assistance under this subsection to the extent that the cost of those drugs is covered by the other program.
    The Department of Healthcare and Family Services shall
    
establish by rule the methods by which it will provide for the coverage called for in this subsection. Those methods may include direct reimbursement to pharmacies or the payment of a capitated amount to Medicare Part D Prescription Drug Plans.
    For a pharmacy to be reimbursed under the program
    
established under this subsection, it must comply with rules adopted by the Department of Healthcare and Family Services regarding coordination of benefits with Medicare Part D Prescription Drug Plans. A pharmacy may not charge a Medicare‑enrolled beneficiary of the program established under this subsection more for a covered prescription drug than the appropriate Medicare cost‑sharing less any payment from or on behalf of the Department of Healthcare and Family Services.
    The Department of Healthcare and Family Services or the
    
Department on Aging, as appropriate, may adopt rules regarding applications, counting of income, proof of Medicare status, mandatory generic policies, and pharmacy reimbursement rates and any other rules necessary for the cost‑efficient operation of the program established under this subsection.
(Source: P.A. 93‑130, eff. 7‑10‑03; 94‑86, eff. 1‑1‑06; 94‑909, eff. 6‑23‑06.)

    (320 ILCS 25/4.1)
    Sec. 4.1. Information to the Department. Notwithstanding any other law to the contrary, entities subject to the Illinois Insurance Code, Comprehensive Health Insurance Plan Act, Dental Service Plan Act, Children's Health Insurance Program Act, Health Care Purchasing Group Act, Health Maintenance Organization Act, Limited Health Service Organization Act, Voluntary Health Services Plans Act, and the Workers' Compensation Act, including, but not limited to, insurers, health maintenance organizations, pharmacy benefit managers, third party administrators, fraternal benefit societies, group‑funded workers' compensation pools, municipal group‑funded pools, self‑funded or self‑insured welfare or benefit plans or programs, and any other entities that provide health coverage through an employer, union, trade association or other organization or source, or any other entities, must provide information to the Department, or its designee, that is necessary to carry out the purposes of this Act, including, but not limited to, the name, social security number, address, date of birth, and coverage of their policyholders, their subscribers, or the beneficiaries of their plans, benefits, or services who participate in the programs under this Act. The provision of this information to the Department or its designee is subject to the confidentiality provisions in Section 8a of this Act.
(Source: P.A. 92‑131, eff. 7‑23‑01; 92‑519, eff. 1‑1‑02.)

    (320 ILCS 25/5) (from Ch. 67 1/2, par. 405)
    Sec. 5. Procedure.
    (a) In general. Claims must be filed after January 1, on forms prescribed by the Department. No claim may be filed more than one year after December 31 of the year for which the claim is filed except that claims for 1976 may be filed until December 31, 1978. The pharmaceutical assistance identification card provided for in subsection (f) of Section 4 shall be valid for a period not to exceed one year. On and after January 1, 2002, however, to enable the Department to convert coverage for a pharmaceutical assistance program participant to a State fiscal year basis, a card shall be valid for a longer or shorter period than 12 months, depending on the date a timely claim is filed and as determined by the Department. All applicants for benefits under this program approved for benefits on or after July 1 but on or before December 31 of any State fiscal year are eligible for benefits through June 30 of that State fiscal year. All applicants for benefits under this program approved for benefits on or after January 1 but on or before June 30 of any State fiscal year are eligible for benefits through June 30 of the following State fiscal year.
    (b) Claim is Personal. The right to file a claim under this Act shall be personal to the claimant and shall not survive his death, but such right may be exercised on behalf of a claimant by his legal guardian or attorney‑in‑fact. If a claimant dies after having filed a timely claim, the amount thereof shall be disbursed to his surviving spouse or, if no spouse survives, to his surviving dependent minor children in equal parts, provided the spouse or child, as the case may be, resided with the claimant at the time he filed his claim. If at the time of disbursement neither the claimant nor his spouse is surviving, and no dependent minor children of the claimant are surviving the amount of the claim shall escheat to the State.
    (c) One claim per household. Only one member of a household may file a claim under this Act in any calendar year; where both members of a household are otherwise entitled to claim a grant under this Act, they must agree as to which of them will file a claim for that year.
    (d) Content of application form. The form prescribed by the Department for purposes of paragraph (a) shall include a table, appropriately keyed to the parts of the form on which the claimant is required to furnish information, which will enable the claimant to determine readily the approximate amount of grant to which he is entitled by relating levels of household income to property taxes accrued or rent constituting property taxes accrued.
    (e) Pharmaceutical Assistance Procedures. The Department shall establish the form and manner for application, and establish by January 1, 1986 a procedure to enable persons to apply for the additional grant or for the pharmaceutical assistance identification card on the same application form. The Department shall determine eligibility for pharmaceutical assistance using the applicant's current income. The Department shall determine a person's current income in the manner provided by the Department by rule.
(Source: P.A. 91‑533, eff. 8‑13‑99; 91‑699, eff. 1‑1‑01; 92‑131, eff. 7‑23‑01; 92‑519, eff. 1‑1‑02.)

    (320 ILCS 25/5.1) (from Ch. 67 1/2, par. 405.1)
    Sec. 5.1. Eligibility to receive a grant pursuant to this Act shall not be affected by participation in the "Senior Citizens Real Estate Tax Act", veto overridden November 2, 1983.
(Source: P.A. 84‑1308.)

    (320 ILCS 25/6)(from Ch. 67 1/2, par. 406)
    Sec. 6. Administration.
    (a) In general. Upon receipt of a timely filed claim, the Department shall determine whether the claimant is a person entitled to a grant under this Act and the amount of grant to which he is entitled under this Act. The Department may require the claimant to furnish reasonable proof of the statements of domicile, household income, rent paid, property taxes accrued and other matters on which entitlement is based, and may withhold payment of a grant until such additional proof is furnished.
    (b) Rental determination. If the Department finds that the gross rent used in the computation by a claimant of rent constituting property taxes accrued exceeds the fair rental value for the right to occupy that residence, the Department may determine the fair rental value for that residence and recompute rent constituting property taxes accrued accordingly.
    (c) Fraudulent claims. The Department shall deny claims which have been fraudulently prepared or when it finds that the claimant has acquired title to his residence or has paid rent for his residence primarily for the purpose of receiving a grant under this Act.
    (d) Pharmaceutical Assistance. The Department shall allow all pharmacies licensed under the Pharmacy Practice Act of 1987 to participate as authorized pharmacies unless they have been removed from that status for cause pursuant to the terms of this Section. The Director of the Department may enter into a written contract with any State agency, instrumentality or political subdivision, or a fiscal intermediary for the purpose of making payments to authorized pharmacies for covered prescription drugs and coordinating the program of pharmaceutical assistance established by this Act with other programs that provide payment for covered prescription drugs. Such agreement shall establish procedures for properly contracting for pharmacy services, validating reimbursement claims, validating compliance of dispensing pharmacists with the contracts for participation required under this Section, validating the reasonable costs of covered prescription drugs, and otherwise providing for the effective administration of this Act.
    The Department shall promulgate rules and regulations to implement and administer the program of pharmaceutical assistance required by this Act, which shall include the following:
        (1) Execution of contracts with pharmacies to
    
dispense covered prescription drugs. Such contracts shall stipulate terms and conditions for authorized pharmacies participation and the rights of the State to terminate such participation for breach of such contract or for violation of this Act or related rules and regulations of the Department;
        (2) Establishment of maximum limits on the size of
    
prescriptions, new or refilled, which shall be in amounts sufficient for 34 days, except as otherwise specified by rule for medical or utilization control reasons;
        (3) Establishment of liens upon any and all causes
    
of action which accrue to a beneficiary as a result of injuries for which covered prescription drugs are directly or indirectly required and for which the Director made payment or became liable for under this Act;
        (4) Charge or collection of payments from third
    
parties or private plans of assistance, or from other programs of public assistance for any claim that is properly chargeable under the assignment of benefits executed by beneficiaries as a requirement of eligibility for the pharmaceutical assistance identification card under this Act;
        (4.5) Provision for automatic enrollment of
    
beneficiaries into a Medicare Discount Card program authorized under the federal Medicare Modernization Act of 2003 (P.L. 108‑391) to coordinate coverage including Medicare Transitional Assistance;
        (5) Inspection of appropriate records and audit of
    
participating authorized pharmacies to ensure contract compliance, and to determine any fraudulent transactions or practices under this Act;
        (6) Annual determination of the reasonable costs of
    
covered prescription drugs for which payments are made under this Act, as provided in Section 3.16;
        (7) Payment to pharmacies under this Act in
    
accordance with the State Prompt Payment Act.
    The Department shall annually report to the Governor and the General Assembly by March 1st of each year on the administration of pharmaceutical assistance under this Act. By the effective date of this Act the Department shall determine the reasonable costs of covered prescription drugs in accordance with Section 3.16 of this Act.
(Source: P.A. 92‑651, eff. 7‑11‑02; 93‑841, eff. 7‑30‑04.)

    (320 ILCS 25/7) (from Ch. 67 1/2, par. 407)
    Sec. 7. Payment and denial of claims. (a) In general. The Director shall order the payment from appropriations made for that purpose of grants to claimants under this Act in the amounts to which the Department has determined they are entitled, respectively. If a claim is denied, the Director shall cause written notice of that denial and the reasons for that denial to be sent to the claimant.
    (b) Payment of claims one dollar and under. Where the amount of the grant computed under Section 4 is less than one dollar, the Department shall pay to the claimant one dollar.
    (c) Right to appeal. Any claimant aggrieved by the action of the Department under this Act, whether in the reduction of the amount of the grant claimed or in the denial of the claim, may request in writing that the Department reconsider its prior determination, setting out the facts on which his request is based. The Department shall consider the request and either modify or affirm its prior determination.
    (d) Administrative review. The decision of the Department to affirm its prior determination, or the failure of the Department to act on a request for reconsideration within 60 days, is a final administrative decision which is subject to judicial review under the Administrative Review Law, and all amendments and modifications thereof and the rules adopted thereto. The term "administrative decision" is defined as in Section 3‑101 of the Code of Civil Procedure.
(Source: P.A. 82‑783.)

    (320 ILCS 25/7.1) (from Ch. 67 1/2, par. 407.1)
    Sec. 7.1. (Repealed).
(Source: P.A. 90‑372, eff. 7‑1‑98. Repealed internally, eff. 7‑1‑98.)

    (320 ILCS 25/8) (from Ch. 67 1/2, par. 408)
    Sec. 8. Records. Every claimant of a grant under this Act shall keep such records, render such statements, file such forms and comply with such rules and regulations as the Department may from time to time prescribe. The Department may by regulations require landlords to furnish to tenants statements as to gross rent or rent constituting property taxes accrued.
(Source: P. A. 77‑2059.)

    (320 ILCS 25/8a) (from Ch. 67 1/2, par. 408.1)
    Sec. 8a. Confidentiality.
    (a) Except as otherwise provided in this Act all information received by the Department from claims filed under this Act, or from any investigation conducted under the provisions of this Act, shall be confidential, except for official purposes within the Department or pursuant to official procedures for collection of any State tax or enforcement of any civil or criminal penalty or sanction imposed by this Act or by any statute imposing a State tax, and any person who divulges any such information in any manner, except for such purposes and pursuant to order of the Director or in accordance with a proper judicial order, shall be guilty of a Class A misdemeanor.
    (b) Nothing contained in this Act shall prevent the Director from publishing or making available reasonable statistics concerning the operation of the grant programs contained in this Act wherein the contents of claims are grouped into aggregates in such a way that information contained in any individual claim shall not be disclosed.
    (c) The Department shall furnish to the Secretary of State such information as is reasonably necessary for the administration of reduced vehicle registration fees pursuant to Section 3‑806.3 of "The Illinois Vehicle Code".
(Source: P.A. 89‑399, eff. 8‑20‑95.)

    (320 ILCS 25/9) (from Ch. 67 1/2, par. 409)
    Sec. 9. Any person who files a fraudulent claim for a grant under this Act, or who for compensation prepares a claim for a grant and knowingly enters false information on a claim form for any claimant under this Act, or who fraudulently files multiple claim forms, or who fraudulently states that a nondisabled person is disabled, or who fraudulently procures a pharmaceutical assistance identification card, or who fraudulently uses such card to procure covered prescription drugs, or who, on behalf of an authorized pharmacy, files a fraudulent claim for payment, is guilty of a Class 4 felony for the first offense and is guilty of a Class 3 felony for each subsequent offense. The Department shall immediately suspend the use of the pharmaceutical assistance identification card of any person suspected of fraudulent procurement or fraudulent use of such card, and shall revoke such card upon a conviction. A person convicted of such fraud shall be permanently barred from the program of pharmaceutical assistance established under this Act. The Department may recover from a claimant, including an authorized pharmacy, any amount paid under this Act on account of an erroneous or fraudulent claim, together with 6% interest per year. A prosecution for a violation of this Section may be commenced at any time within 3 years of the commission of that violation.
(Source: P.A. 85‑299.)

    (320 ILCS 25/9.1) (from Ch. 67 1/2, par. 409.1)
    Sec. 9.1. (Repealed).
(Source: P.A. 92‑84, eff. 7‑1‑02. Repealed internally, eff. 7‑1‑02.)

    (320 ILCS 25/10) (from Ch. 67 1/2, par. 410)
    Sec. 10. Arrangements and Captions. No inference, implication, or presumption of legislative construction shall be drawn or made by reason of the location or grouping of any particular section or provision of this Act, nor shall any caption be given any legal effect.
(Source: P. A. 77‑2059.)

    (320 ILCS 25/11) (from Ch. 67 1/2, par. 411)
    Sec. 11. Severability. If any clause, sentence, section, provision or part of this Act or the application thereof to any person or circumstance shall be adjudged to be unconstitutional, the remainder of this Act or its application to persons or circumstances other than those to which it is held invalid, shall not be affected thereby.
(Source: P. A. 77‑2059.)

    (320 ILCS 25/12) (from Ch. 67 1/2, par. 412)
    Sec. 12. Regulations ‑ Department on Aging.
    (a) Regulations. The Director shall promulgate such regulations as are necessary or desirable to effectuate the purposes of this Act, including but not limited to the method of computing "gross rent" in the case of a claimant living in a nursing or sheltered care home.
    (b) The Department on Aging shall, to the extent of appropriations made for that purpose:
        (1) attempt to secure the cooperation of appropriate
    
federal, State and local agencies in securing the names and addresses of persons to whom this Act pertains;
        (2) prepare a mailing list of persons eligible for
    
grants under this Act;
        (3) secure the cooperation of the Department of
    
Revenue and of local business establishments to facilitate distribution of application forms under this Act to those eligible to file claims; and
        (4) through use of direct mail, newspaper
    
advertisements and radio and television advertisements, and all other appropriate means of communication, conduct an on‑going public relations program to increase awareness of eligible citizens of the grants under this Act and the procedures for applying for them.
(Source: P.A. 78‑1249.)

    (320 ILCS 25/13) (from Ch. 67 1/2, par. 413)
    Sec. 13. The Department of Revenue shall maintain a list of all persons who have qualified under this Act and shall make the list available to municipalities upon request.
    All information received by a municipality under this Section shall be confidential, except for official purposes, and any person who divulges or uses that information in any manner, except in accordance with a proper judicial order, shall be guilty of a Class B misdemeanor.
(Source: P.A. 87‑247.)

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