4:48 State Payment Offset Policy
Section 1: Purpose
Pursuant to an Intergovernmental Agreement (“IGA”) by and between the Illinois Office of the Comptroller (the “Comptroller”) and the Board of Education (the “Board”) regarding access to the Comptroller’s Local Debt Recovery Program, the Board is authorized to use the Comptroller’s offset system to collect debts owed to the Board. The purpose of this policy is to establish the procedures for the Board to exercise its rights under the IGA to collect debts through the Comptroller.
Section 2: Definition
For purposes of this policy, the following definitions shall apply:
“Debt” – Any moneys owed to the Board which are less than 7 years past the date of final determination.
“Debtor” – Any person or entity that the District has identified as owing a debt as defined herein.
Section 3: Procedure
A. Review of Debts. Assistant Superintendent for Business & Operations shall review all debts owed to the Board on a periodic basis, but not less than semi-annually, and shall determine which debts should be subject to the Comptroller’s offset system.
B. Notice. For the debts that the Superintendent designee has determined are subject to the Comptroller’s offset system, the Superintendent designee shall issue a written notice sent by registered or certified mail to the debtors regarding such debts. Said written notice shall provide the following:
1. The amount of the debt;
2. The reason for the debt;
3. That the School District intends on initiating its rights under the IGA to collect the debt through the Comptroller; and
4. A statement that the debtor has the right to request an opportunity to dispute the debt or the amount of the debt to the Superintendent designee within 14 days after the Superintendent designee sends the written notice to the debtor.
C. Debtor’s Right to Dispute Debt Determination. If, within 14 days after the Superintendent designee sends the written notice described in Section 3.A of this policy, the debtor requests an opportunity to dispute the debt, the Superintendent designee shall provide the debtor with such opportunity within 30 days after the debtor makes the request. After the debtor’s presentation to the Superintendent designee, the Superintendent designee shall decide whether the debt is subject to collection under the IGA and shall provide the debtor with a written decision. The decision shall inform the debtor that the debtor may seek review of the decision with the Superintendent by making such a request in writing within 14 days after the Superintendent designee sends the decision to the debtor. If the debtor fails to timely request an opportunity to dispute the debt to the Superintendent designee, then the debt shall be subject to collection under the IGA.
D. Review of Superintendent Designee’s Decision. Within 14 days after the Superintendent designee sends notice of the Superintendent designee’s decision to the debtor, the debtor may request in writing that the Superintendent review the Superintendent designee’s decision. If such a request is made, the Superintendent shall review the Superintendent designee’s decision and any evidence the debtor presented to the Superintendent designee. The Superintendent shall provide a decision in writing to the debtor and the Superintendent’s decision shall be final. If the debtor fails to timely request review of the Superintendent designee’s decision to the Superintendent, then the debt shall be subject to collection under the IGA.
E. Submission of Debt to the Comptroller. If the debt is deemed subject to collection under the IGA by the Superintendent designee or the Superintendent, the Superintendent designee will submit the debt to the Comptroller pursuant to the IGA.
LEGAL REF.: 15 ILCS 405/10.05 and 10.05d 5 ILCS 220/3
ADOPTED: February 25, 2013