Bill Text: IL HB2477 | 2021-2022 | 102nd General Assembly | Introduced

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Bill Title: Provides that the Act may be referred to as the COVID-19 Small Business Relief Act. Creates the COVID-19 Immunity Act. Provides that an employer shall not be liable in a civil action claiming an injury from exposure or potential exposure to COVID-19 if the act or omission alleged to violate a duty of care of the employer was in compliance or consistent with guidance applicable at the time of the alleged exposure. Creates the COVID-19 Business Operation Compliance Act. Provides that a qualified employer may lawfully operate his or her business in the State by adhering to any health and safety guidance that is in place during a time when there is a COVID-19-related public health emergency. Creates the Temporary Employment Tort Moratorium Act. Provides that any lawsuit against a small business for wrongful termination that occurred in the calendar years of 2020 or 2021 shall be stayed until January 1, 2022. Amends the Illinois Emergency Management Agency Act. Provides that the Governor's 30 days of emergency powers shall not be extended, renewed, or successively issued by any subsequent disaster proclamations for the same disaster. Amends the Counties Code and the Illinois Municipal Code. Provides that a county board, board of county commissioners, or a city council may waive any fees or costs associated with a business license or registration required by law to operate a place of business upon a demonstration of financial hardship at any point in a tax year in which the county board has declared a local disaster related to the COVID-19 public health emergency. Amends the Unemployment Insurance Act. Provides that for an annual administrative fee not to exceed $5, an employer subject to the payment of contributions may pay its quarterly contributions due for wages paid during the first 3 quarters of a calendar year in equal installments. Provides that the Director of the Department of Employment Security may establish a temporary unemployment tax holiday for the purposes of providing temporary tax payment relief to an eligible employer in the State. Allows for the development and implementation of an unemployment benefits claims-processing and contribution-management model pilot program that is operated by a responsible private entity or administrator. Makes other changes. Effective immediately.

Spectrum: Partisan Bill (Republican 3-0)

Status: (Introduced - Dead) 2021-09-30 - Added Co-Sponsor Rep. Joe Sosnowski [HB2477 Detail]

Download: Illinois-2021-HB2477-Introduced.html

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102ND GENERAL ASSEMBLY State of Illinois 2021 and 2022 HB2477 Introduced , by Rep. Deanne M. Mazzochi SYNOPSIS AS INTRODUCED:
See Index
Provides that the Act may be referred to as the COVID-19 Small Business Relief Act. Creates the COVID-19 Immunity Act. Provides that an employer shall not be liable in a civil action claiming an injury from exposure or potential exposure to COVID-19 if the act or omission alleged to violate a duty of care of the employer was in compliance or consistent with guidance applicable at the time of the alleged exposure. Creates the COVID-19 Business Operation Compliance Act. Provides that a qualified employer may lawfully operate his or her business in the State by adhering to any health and safety guidance that is in place during a time when there is a COVID-19-related public health emergency. Creates the Temporary Employment Tort Moratorium Act. Provides that any lawsuit against a small business for wrongful termination that occurred in the calendar years of 2020 or 2021 shall be stayed until January 1, 2022. Amends the Illinois Emergency Management Agency Act. Provides that the Governor's 30 days of emergency powers shall not be extended, renewed, or successively issued by any subsequent disaster proclamations for the same disaster. Amends the Counties Code and the Illinois Municipal Code. Provides that a county board, board of county commissioners, or a city council may waive any fees or costs associated with a business license or registration required by law to operate a place of business upon a demonstration of financial hardship at any point in a tax year in which the county board has declared a local disaster related to the COVID-19 public health emergency. Amends the Unemployment Insurance Act. Provides that for an annual administrative fee not to exceed $5, an employer subject to the payment of contributions may pay its quarterly contributions due for wages paid during the first 3 quarters of a calendar year in equal installments. Provides that the Director of the Department of Employment Security may establish a temporary unemployment tax holiday for the purposes of providing temporary tax payment relief to an eligible employer in the State. Allows for the development and implementation of an unemployment benefits claims-processing and contribution-management model pilot program that is operated by a responsible private entity or administrator. Makes other changes. Effective immediately.
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A BILL FOR
HB2477 LRB102 14513 LNS 19866 b
AN ACT concerning COVID-19.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Article 1. COVID-19 Small Business Relief
Section 1-1. References to Act. This Act may be referred
to as the COVID-19 Small Business Relief Act.
Article 5. Civil Immunity for Small Businesses
Section 5-1. Short title. This Article may be cited as the
COVID-19 Immunity Act. References in this Article to "this
Act" mean this Article.
Section 5-5. Definitions. As used in this Act:
"COVID-19" means the novel coronavirus identified as
SARS-CoV-2, the disease caused by SARS-CoV-2, and conditions
associated with the disease.
"Employer" means any individual, partnership, association,
corporation, limited liability company, business trust, or any
person or group of persons acting directly or indirectly in
the interest of an employer in relation to an employee, for
which one to 50 persons are gainfully employed on some day
within a calendar year. An employer is subject to this Act in a

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calendar year on and after the first day in such calendar year
in which he employs one or more persons, and for the following
calendar year.
"Guidance" means written guidelines related to COVID-19
issued by the Centers for Disease Control and Prevention, the
Occupational Safety and Health Administration of the United
States Department of Labor, the Illinois Department of Public
Health, the Illinois Department of Commerce and Economic
Opportunity, or any other State agency, board, or commission.
Section 5-10. Civil immunity. Notwithstanding any other
provision of law, an employer shall not be liable in a civil
action claiming an injury from exposure or potential exposure
to COVID-19 if the act or omission alleged to violate a duty of
care of the employer was in compliance or consistent with
federal or State regulations, a presidential or gubernatorial
executive order, or guidance applicable at the time of the
alleged exposure. If 2 or more sources of guidance apply to the
conduct or risk at the time of the alleged exposure, the
employer shall not be liable if the conduct is consistent with
any applicable guidance.
Section 5-15. Exceptions. The immunity described in
Section 5-10 does not apply to willful misconduct, reckless
infliction of harm, or intentional infliction of harm. This
Act does not affect rights and remedies under the Workers'

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Compensation Act.
Article 10. Businesses Allowed to Operate Under Federal
Guidance
Section 10-1. Short title. This Article may be cited as
the COVID-19 Business Operation Compliance Act. References in
this Article to "this Act" mean this Article.
Section 10-5. Definitions. As used in this Act:
"COVID-19" means the novel coronavirus identified as
SARS-CoV-2, the disease caused by SARS-CoV-2, and conditions
associated with the disease.
"Guidance" means written guidelines related to COVID-19
issued by the Centers for Disease Control and Prevention, the
Occupational Safety and Health Administration of the United
States Department of Labor, the Illinois Department of Public
Health, the Illinois Department of Commerce and Economic
Opportunity, or any other State agency, board, or commission.
"Qualified employer" means any essential businesses and
operations as defined in Executive Order 2020-10 dated March
20, 2020.
Section 10-10. Lawful operations during a COVID-19-related
public health crisis. Notwithstanding any other provision of
law, a qualified employer may lawfully operate his or her

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business in the State by adhering to any health and safety
guidance that is in place during a time when there is a
COVID-19-related public health emergency. The qualified
employer may choose to adhere to specific federal guidance in
lieu of any guidance offered by the State or local
governmental agency if the federal guidance is deemed less
stringent by the qualified employer.
Section 10-15. Relation to other laws. This Act supersedes
any State law, including any local law or ordinance, contract,
agreement, policy, plan, practice, or other matter that
reduces, limits, or eliminates in any manner any protection
provided by this Act, including the establishment of
additional prerequisites to the exercise of any such
protection.
Article 15. Temporary Employment Tort Moratorium
Section 15-1. Short title. This Article may be cited as
the Temporary Employment Tort Moratorium Act. References in
this Article to "this Act" mean this Article.
Section 15-5. Temporary stay of wrongful termination
suits.
(a) Due to the vast effects of the COVID-19 pandemic on
small businesses and the response from the State government

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that made it even more difficult for small businesses to
operate, the purpose of this Act is to give small businesses
time to recuperate some of their losses before any possible
lawsuits may cause them any further harm.
(b) As used in this Section, "small business" means any
business with 50 or fewer employees.
(c) Any wrongful termination lawsuit against a small
business filed on the basis of a termination that occurred in
the calendar years of 2020 or 2021 shall be stayed until
January 1, 2022. This shall not abridge the right of a person
to file or obtain any remedy for a wrongful termination suit
and any statute of limitations period shall be tolled from the
date the wrongful termination occurred or should have been
discovered until January 1, 2022.
Article 20. Claims Against the State of Illinois; IEMA
Disaster Declaration Limitation
Section 20-5. The Illinois Emergency Management Agency Act
is amended by adding Section 7.5 as follows:
(20 ILCS 3305/7.5 new)
Sec. 7.5. Expiration of emergency powers of the Governor.
The Governor's 30 days of emergency powers shall not be
extended, renewed, or successively issued by any subsequent
disaster proclamations for the same disaster. Neither shall

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any disaster proclamations be extended, renewed, or
successively issued beyond 30 days for the same disaster.
Injunctive relief, attorney's fees, and court costs shall be
awarded to a prevailing plaintiff in a suit alleging that an
executive order by the Governor is in violation of this
Section.
Article 25. Business License and Registration Fee Waiver
Section 25-5. The Counties Code is amended by adding
Section 5-1186 as follows:
(55 ILCS 5/5-1186 new)
Sec. 5-1186. Waiver of business licensing and registration
fees for small businesses. Notwithstanding any other provision
of law, a county board or board of county commissioners may, by
resolution, waive any fees or costs associated with a business
license or registration required by law to operate a place of
business upon a demonstration of financial hardship at any
point in a tax year in which the county board has declared a
local disaster as provided in the Illinois Emergency
Management Agency Act related to the COVID-19 public health
emergency.
Section 25-10. The Illinois Municipal Code is amended by
adding Section 11-42-17 as follows:

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(65 ILCS 5/11-42-17 new)
Sec. 11-42-17. Waiver of business licensing and
registration fees for small businesses. Notwithstanding any
other provision of law, a city council of a municipality may,
by resolution, waive any fees or costs associated with a
business license or registration required by law to operate a
place of business upon a demonstration of financial hardship
at any point in a tax year in which the county board has
declared a local disaster as provided in the Illinois
Emergency Management Agency Act related to the COVID-19 public
health emergency.
Article 30. Unemployment Benefit Charges Relief Extended; No
Experience Factor Changes Based on COVID-19-Related
Unemployment
Section 30-5. The Unemployment Insurance Act is amended by
changing Section 1502.4 and by adding Section 1504.1 as
follows:
(820 ILCS 405/1502.4)
Sec. 1502.4. Benefit charges; COVID-19.
A. With respect to any benefits paid for a week of
unemployment that begins on or after March 15, 2020, and
before June 30, 2021 December 31, 2020, and is directly or

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indirectly attributable to COVID-19, notwithstanding any other
provisions to the contrary an employer that is subject to the
payment of contributions shall not be chargeable for any
benefit charges.
B. With respect to any regular benefits paid for a week of
unemployment that begins on or after March 15, 2020, and
before June 30, 2021 December 31, 2020, and is directly or
indirectly attributable to COVID-19, notwithstanding any other
provisions to the contrary except subsection E, a nonprofit
organization that is subject to making payments in lieu of
contributions shall be chargeable for 50% of the benefits
paid.
C. With respect to any benefits paid for a week of
unemployment that begins on or after March 15, 2020, and
before June 30, 2021 December 31, 2020, and is directly or
indirectly attributable to COVID-19, notwithstanding any other
provisions to the contrary except subsection E, the State and
any local government that is subject to making payments in
lieu of contributions shall be chargeable for 50% of the
benefits paid, irrespective of whether the State or local
government paid the individual who received the benefits wages
for insured work during the individual's base period.
D. Subsections A, B, and C shall only apply to the extent
that the employer can show that the individual's unemployment
for the week was directly or indirectly attributable to
COVID-19.

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E. No employer shall be chargeable for the week of
benefits paid to an individual under the provisions of Section
500D-1.
(Source: P.A. 101-633, eff. 6-5-20.)
(820 ILCS 405/1504.1 new)
Sec. 1504.1. State experience factor evaluation. The
Department shall recommend to the General Assembly and the
Governor that no change to the State's experience factor
should be made in a calendar year if the Department reasonably
believes that any change will result in increased costs to
employers in the State.
Article 35. Quarterly Unemployment Insurance Contributions
Section 35-5. The Unemployment Insurance Act is amended by
adding Section 1400.01 as follows:
(820 ILCS 405/1400.01 new)
Sec. 1400.01. Payments of contributions. For an annual
administrative fee not to exceed $5, an employer subject to
the payment of contributions may pay its quarterly
contributions due for wages paid during the first 3 quarters
of a calendar year in equal installments as follows:
(1) For contributions due for wages paid during the
first quarter of that calendar year, one-fourth of the

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contributions due shall be paid on or before April 30 of
that calendar year, one-fourth shall be paid on or before
July 31 of that calendar year, one-fourth shall be paid on
or before October 31 of that calendar year, and one-fourth
shall be paid on or before January 31 of the succeeding
calendar year.
(2) In addition to the payments specified in paragraph
(1), for contributions due for wages paid during the
second quarter of that calendar year, one-third of the
contributions due shall be paid on or before July 31 of
that calendar year, one-third shall be paid on or before
October 31 of that calendar year, and one-third shall be
paid on or before January 31 of the succeeding calendar
year.
(3) In addition to the payments specified in
paragraphs (1) and (2), for contributions due for wages
paid during the third quarter of that calendar year,
one-half of the contributions due shall be paid on or
before October 31 of that calendar year, and one-half
shall be paid on or before January 31 of the succeeding
calendar year.
(4) The annual administrative fee assessed for
electing to pay under this Section for a calendar year
shall be due and payable on or before April 30 of that
calendar year and shall be deposited into the Special
Administrative Account.

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Interest shall not accrue on any contribution that becomes
due for wages paid during the first 3 quarters of a calendar
year if the employer elects to utilize the provisions of this
Section and pays its contributions and administrative fee in
accordance with paragraphs (1) through (4). If an employer
elects to utilize the provisions of this Section but fails to
pay its contributions when due in accordance with paragraphs
(1) through (4), interest shall accrue as of the date that the
payment was originally due without regard to this Section.
The Director may adopt such rules as the Director deems
necessary to carry out this Section.
Article 40. Unemployment Tax Holiday
Section 40-5. The Unemployment Insurance Act is amended by
adding Section 1400.3 as follows:
(820 ILCS 405/1400.3 new)
Sec. 1400.3. Employer's contribution holiday. For calendar
year 2021, the Director may establish a temporary unemployment
tax holiday for the purposes of providing temporary tax
payment relief to an eligible employer in the State. As used in
this Section, "eligible employer" means an employer with 50 or
fewer employees who is subject to this Act.
Article 45. Private Sector Option for Unemployment Insurance

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Contribution and Benefit Pilot Program
Section 45-5. The Unemployment Insurance Act is amended by
adding Section 101 as follows:
(820 ILCS 405/101 new)
Sec. 101. Private Sector Option for Unemployment Insurance
Contribution and Benefit Pilot Program.
(a) The State is facing one of the most challenging
financial times in State history that was brought about by the
2019 novel coronavirus. While at the beginning of the global
pandemic, and to this day, the novel coronavirus created a
public health crisis, its continued impacts on public health
have additionally given way to an economic crisis. This has
placed an incredible strain on the Department of Employment
Security. Facing an unprecedented need for unemployment and
other assistance, the Department has proven ineffectual in its
safe, secure, and timely handling and processing of
unemployment claims and benefits. All across this State, there
have been countless cases of reported and suspected
unemployment fraud committed against State residents. The
great need for assistance by legitimate claimants and the
seemingly unknown levels of fraudulent claims has resulted in
an unworkable benefits delivery model that does not appear to
be improving. Therefore, the State affirms herein the need to
employ a new alternative method of processing unemployment

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claims that allows Illinois workers and businesses greater
flexibility, security, and cost-effectiveness.
(b) The Department may allow for the development and
implementation of an unemployment benefits claims-processing
and contribution-management model pilot program that is
operated by a responsible private entity or administrator with
all appropriate, safe, and secure integrity measures that are
required by State and federal laws governing the
administration of unemployment insurance benefit systems.
(c) In establishing the pilot program, the Department may
establish an unemployment insurance contribution model that
allows qualified employers to, in lieu of making regular
unemployment insurance contributions under the provisions of
this Act, secure a bond that is managed by the responsible
private entity or administrator for purposes of paying out any
qualified unemployment claims. Similarly, a qualified employee
may secure a bond that is managed by the responsible private
entity or administrator for purposes of accessing qualified
unemployment claims. In establishing the pilot program, the
Department may, additionally, allow for the portability of any
unemployment insurance that allows qualified employees to work
with the responsible private entity or administrator to ensure
that timely and secure payments are made from the bond. The
Department may set any reasonable criteria for the
establishment of the pilot program and may establish any
necessary guidelines so as to ensure the State's compliance

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with any federal law.
(d) The pilot program shall be overseen by the Department
and the Department, in consultation with the Department of
Revenue, may adopt any rules necessary to ensure that the
pilot program and the responsible private entity or
administrator that acts as the administrator of the pilot
program is abiding by all applicable State and federal laws.
(e) The Department may receive any and all information
deemed necessary and appropriate from the responsible private
entity or administrator to ensure the compliance of the
responsible private entity or administrator with all State and
federal laws, including any reporting requirements that the
Department may deem reasonable and appropriate.
(f) Participation in the pilot program created under this
Section may be limited to any qualified employee that:
(1) has filed for and received unemployment insurance
benefits in calendar year 2020 or 2021; or
(2) has been the victim of unemployment insurance
fraud; and
(3) is an employee of a qualified employer in the
State that employs less than 50 employees in the State.
(g) The pilot program under this Section shall become
effective beginning on January 1, 2022 and shall be in effect
until January 1, 2025.
(h) Nothing in this Section shall be interpreted to create
a new tax or increase the rate of contribution of any employer

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required under this Act.
(i) As used in this Section:
"Private administration of unemployment insurance
benefits" means the direct administration of State
unemployment insurance benefits for qualifying taxpayers and
businesses that elect to participate in the pilot program
created under this Section.
"Qualified employee" means an Illinois worker who filed
for and received unemployment benefits in calendar year 2020
or 2021 or an Illinois worker who was the victim of
unemployment insurance benefit fraud in calendar year 2020 or
2021.
"Qualified employer" means any business with 50 or fewer
employees.
"Responsible private entity or administrator" means a
nonpublic entity that has operated in the business of
insurance or unemployment insurance administration and is
licensed in the State and deemed capable and competent to
implement the provisions of the pilot program created under
this Section.
Article 99. Effective Date
Section 99-99. Effective date. This Act takes effect upon
becoming law.
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INDEX
Statutes amended in order of appearance