Rep. Dan Swanson
Filed: 4/15/2024
 
 
 




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1
AMENDMENT TO HOUSE BILL 4276


2 AMENDMENT NO. ______. Amend House Bill 4276 by replacing 
3everything after the enacting clause with the following:

4 "Section 5. The Life Care Facilities Act is amended by 
5adding Sections 5.1 and 5.2 as follows:

6 (210 ILCS 40/5.1 new)
7 Sec. 5.1. Pre-sale disclosures. 
8 (a) Prior to the execution of a refundable life care 
9contract and the transfer of any money or other property to a 
10provider or escrow agent, the provider shall deliver to the 
11consumer a pre-sale disclosure printed on paper. The pre-sale 
12disclosure shall be signed by the consumer prior to executing 
13the life care contract. The pre-sale disclosure shall include:
14  (1) the caption, "ENTRY FEE REFUNDS: CONSUMER NOTICE", 
15 in at least 28-point font and the remaining portion in at 
16 least 12-point font;
 
 
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1  (2) the caption, "The timing of refunds for past 
2 residents may not be indicative of your refund experience. 
3 Your ability to collect on the full amount of the 
4 calculated refund may be modified or nullified pending 
5 market conditions, any future sale of this organization, 
6 or in the event of bankruptcy. Current residents, former 
7 residents awaiting refunds, and the estates of former 
8 residents awaiting refunds shall be provided with the most 
9 recent entry fee refund data disclosure upon request.";
10  (3) for refunds returned by the provider in the most 
11 recently completed calendar year:
12   (A) the average number of months passed before the 
13 refund of an entry fee by the provider; and
14   (B) the median number of months passed before the 
15 refund of an entry fee by the provider; 
16  (4) the percentage of entry fee contracts awaiting 
17 refunds from the provider with wait times exceeding 24 
18 months as of the end of the most recently completed 
19 calendar year;
20  (5) the percentage of entry fee contracts awaiting 
21 refunds from the provider with wait times exceeding 36 
22 months as of the end of the most recently completed 
23 calendar year;
24  (6) the percentage of entry fee contracts awaiting 
25 refunds from the provider with wait times exceeding 60 
26 months as of the end of the most recently completed 
 
 
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1 calendar year; 
2  (7) the number of entry fee contracts awaiting refunds 
3 from the provider as of the last day of the most recently 
4 completed calendar year; and 
5  (8) the number of entry fee refunds returned by the 
6 provider in the most recently completed calendar year. 
7 (b) Pre-sale disclosures may include additional data by 
8calendar year.
9 (c) If a payee for an entry fee refund cannot be 
10determined, for purposes of calculating the data in subsection 
11(a), a refund shall be considered complete when a new resident 
12occupies the specified living unit.
13 (d) The most current pre-sale disclosure data detailed in 
14subsection (a) shall be made available, upon request, to 
15current residents that have refundable entry fee contracts, 
16former residents who have not yet received refunds for their 
17refundable entry fees, and the estates of former residents who 
18have not yet received refunds for their refundable entry fees. 

19 (210 ILCS 40/5.2 new)
20 Sec. 5.2. Living unit reappropriation. If an unoccupied 
21living unit is contemplated for use for a purpose other than as 
22a living unit, including, but not limited to, an exam room or a 
23storage room, and if there exist beneficiaries awaiting an 
24entry fee refund, the beneficiaries of the entry fee refund 
25must provide a signed acknowledgment of, and agreement to, the 
 
 
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