HEALTH CARE LABOR DISCLOSURE

Illinois General Assembly - Full Text of HB5780

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HB5780 - 104th General Assembly

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104TH GENERAL ASSEMBLY
State of Illinois
2025 and 2026
HB5780

Introduced , by Rep. Rick Ryan

SYNOPSIS AS INTRODUCED:

New Act

Creates the Labor Compliance Disclosure for Health Care Facilities
Act. Requires each applicant to submit a labor compliance disclosure
statement as a condition of approval by the Health Facilities and Services
Review Board and the Illinois Finance Authority for any project involving
State-supported bonds or financing. Provides that the Health Facilities
and Services Review Board and the Illinois Finance Authority shall
consider disclosed labor violations as part of their assessment of: (1)
financial feasibility; (2) management capability; and (3) public interest
and community impact. Sets forth provisions concerning verification and
interagency coordination and penalties for non-disclosure or
misrepresentation. Provides that the Health Facilities and Services Review
Board and the Illinois Finance Authority shall adopt rules necessary to
implement and administer the Act no later than 90 days after the effective
date of the Act.
LRB104 21861 SPS 37684 b

A BILL FOR

HB5780
LRB104 21861 SPS 37684 b
1

AN ACT concerning State government.

2

Be it enacted by the People of the State of Illinois,
3
represented in the General Assembly:

4

Section 1.
Short title.
This Act may be cited as the
Labor
5
Compliance Disclosure for Health Care Facilities Act.

6

Section 5.
Legislative findings.
7

(a) This State provides financial assistance, including
8
State-supported bonds and financing approvals, for health care
9
facilities and related services.
10

(b) Compliance with State and federal labor laws is a
11
material indicator of an applicant's operational integrity,
12
financial stewardship, and ability to safely and sustainably
13
deliver health care services.
14

(c) Transparency regarding labor law compliance promotes
15
responsible use of public resources and protects workers,
16
patients, and taxpayers.
17

(d) Requiring disclosure of labor violations as part of
18
the Health Facilities and Services Review Board and the
19
Illinois Finance Authority approval process is necessary to
20
ensure informed decision making when public financing is
21
involved.

22

Section 10.
Definitions.
As used in this Act:

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LRB104 21861 SPS 37684 b
1

"Applicant" means any entity seeking approval from the
2
Health Facilities and Services Review Board and the Illinois
3
Finance Authority for State-supported bonds, certificates of
4
need involving public financing, or other State-authorized
5
debt instruments for a health care facility or related
6
project.
7

"Final determination" includes administrative orders,
8
court judgments, or settlement agreements where liability was
9
admitted, found, or resolved.
10

"Labor violation" means any final or pending
11
determination, judgment, citation, or settlement within the
12
preceding 5 years involving State or federal laws concerning:
13
(i) wages and hours; (ii) occupational safety and health;
14
(iii) collective bargaining or labor relations; (iv) worker
15
misclassification; and (v) anti-retaliation or unfair labor
16
practices.

17

Section 15.
Mandatory labor violation disclosure.
18

(a) As a condition of approval by the Health Facilities
19
and Services Review Board and the Illinois Finance Authority
20
for any project involving State-supported bonds or financing,
21
each applicant shall submit a labor compliance disclosure
22
statement that includes:
23

(1) a list of all labor violations incurred by the
24

applicant, its parent entities, subsidiaries, or
25

controlling affiliates during the preceding 5 years;

HB5780
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LRB104 21861 SPS 37684 b
1

(2) the issuing agency or court;
2

(3) the date and nature of each violation;
3

(4) any penalties assessed or remedies ordered; and
4

(5) the current compliance status and corrective
5

actions taken.
6

(b) An applicant shall certify under penalty of perjury
7
that the disclosure required under subsection (a) is complete
8
and accurate.

9

Section 20.
Review and consideration by the Board and
10
Authority.
11

(a) The Health Facilities and Services Review Board and
12
the Illinois Finance Authority shall consider disclosed labor
13
violations as part of their assessment of: (i) financial
14
feasibility; (ii) management capability; and (iii) public
15
interest and community impact.
16

(b) The existence of labor violations shall not
17
automatically disqualify an applicant. If disclosed labor
18
violations, pending labor proceedings, or unresolved labor
19
compliance issues demonstrate systematic noncompliance or
20
material risk to the public interest, the Health Facilities
21
and Services Review Board and the Illinois Finance Authority
22
may: (i) delay approval until the matter is resolved or the
23
applicant demonstrates adequate corrective action; (ii) impose
24
conditions on approval; (iii) require additional reporting or
25
monitoring; or (iv) deny approval.

HB5780
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LRB104 21861 SPS 37684 b
1

(c) If a conditional approval is issued, the Health
2
Facilities and Services Review Board and the Illinois Finance
3
Authority shall identify the specific conditions imposed, the
4
deadline for compliance, and the consequences for
5
noncompliance. The failure to comply with any condition of the
6
approval may result in the suspension, revocation, or denial
7
of the approval, ineligibility for State-supported financing,
8
or civil penalties under Section 30.

9

Section 25.
Verification and interagency coordination.
10

(a) If disclosures involve a pending proceeding, repeated
11
violations, or proposed conditional approval, the Health
12
Facilities and Services Review Board and the Illinois Finance
13
Authority shall verify the disclosures through coordination
14
with: (i) the Department of Labor; (ii) the Attorney General;
15
(iii) the Department of Public Health; and (iv) any relevant
16
federal labor agencies.
17

(b) The Health Facilities and Services Review Board and
18
the Illinois Finance Authority may adopt rules to establish
19
verification procedures.

20

Section 30.
Penalties for non-disclosure or
21
misrepresentation.
An applicant that knowingly fails to
22
disclose a labor violation or submits materially false
23
information shall be subject to:
24

(1) denial or revocation of Board approval;

HB5780
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LRB104 21861 SPS 37684 b
1

(2) ineligibility for State-supported bonds for up to
2

5 years; and
3

(3) civil penalties not to exceed $50,000 per
4

violation.

5

Section 35.
Rulemaking.
The Health Facilities and Services
6
Review Board and the Illinois Finance Authority shall adopt
7
rules necessary to implement and administer this Act no later
8
than 90 days after the effective date of this Act.

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