Bill
HB 2805
Arizona and Illinois adopt separate protections: Arizona creates a limited Work Opportunity Tax Credit for hiring targeted groups, capped at $10M/year; Illinois requires full, no-c
Note: The provided document combines two different bills both labeled HB 2805 from different states. Below are separate, concise summaries of each measure included in the document.
Purpose
- Encourage Arizona employers to hire individuals who are members of federally defined “targeted groups” (those eligible for the federal Work Opportunity Tax Credit, IRC §51).
Key provisions
- Creates a nonrefundable Arizona income tax credit for taxable years beginning after December 31, 2025.
- Credit allowed per “qualified member” (an employee certified by the Arizona Department of Economic Security (DES) as a targeted group member and for whom DES issues a state certification).
- Amount of credit = the lowest of:
1. The federal Work Opportunity Tax Credit the taxpayer properly claims for the year;
2. The taxpayer’s Arizona income tax liability for the year; or
3. $1,000 of qualified wages paid to or incurred for each qualified member in the taxable year.
- DES must issue employer certifications; credits/certifications are limited in the aggregate to $10,000,000 per calendar year and to no more than 10,000 certifications per calendar year.
- DES will certify on a first-come, first-served basis; if a requested certification would exceed the annual cap DES must deny it and notify the employer.
- Qualified wages used to claim this state credit cannot be used as the basis for any other state tax credit under the same chapter.
- Department of Revenue, in cooperation with DES, will adopt rules and forms to administer the credit.
- Definitions generally mirror federal law (IRC §51 definitions for “federal WOTC,” “targeted group,” and “qualified wages”).
Who is affected / impact
- Employers hiring WOTC-eligible individuals can potentially reduce Arizona income tax liability (subject to the $1,000-per-employee and $10M annual statewide caps).
- State revenue: potential reduction up to the program cap ($10M/year), depending on take-up.
- Administrative impacts for DES and Department of Revenue for certification and rulemaking.
Statutory reference: Amends Ariz. Rev. Stat. § 43-222 (review schedule) and adds § 43-1080. Purpose statement included.
Purpose
- Require accident & health insurance policies (individual and group) to fully cover certain examinations and testing for victims of specified criminal offenses without cost-sharing, and to provide mechanisms for state recovery when the State pays such claims.
Key provisions
- Requires individual and group accident and health policies that cover actual hospital/medical expenses to provide full coverage for examination and testing of victims of specific offenses (criminal code sections enumerated relating to sexual offenses and certain violent crimes), including attempts.
- Prohibits imposing a deductible, coinsurance, copayment, or any other cost-sharing requirement on this coverage.
- Exception: does not apply to the extent compliance would disqualify a high-deductible health plan from eligibility for a Health Savings Account under IRC §223.
- Requires insurers to, upon reasonable demand by the Department of Public Health, disclose names/identities of insureds entitled to benefits when the Department has paid or is about to pay hospital/medical expenses for which the insurer is liable.
- Information provided to the Department is confidential, not subject to subpoena, and may be used only for the purposes authorized by statute.
- Allows the Department of Public Health to seek and receive reimbursement from insurers for payments made when insurers are obligated to pay, provided the Department notifies the insurer of the claim before the insurer pays benefits to the insured.
- Effective date specified: January 1, 2026 (per synopsis).
Who is affected / impact
- Affected: insurers issuing individual and group accident & health policies in Illinois, victims of specified criminal offenses, the Illinois Department of Public Health.
- Insurers: will bear cost of fully covering certain forensic/medical exams without cost-sharing (subject to HSA-compatible exception), which may affect claims costs and potentially premiums.
- Victims: reduced financial barriers to obtain medical/forensic examinations and testing after qualifying offenses.
- State government: clarification/authority to recover funds when it pays covered expenses; administrative confidentiality protections mandated.
Legislative status (as provided)
- Document shows House passage (e.g., Third Reading passage noted 114–0 on 2025-04-08) and referral/assignment activity in the Senate (assigned to Insurance; subsequently re-referred to Assignments). Various committee and calendar actions are included in the file. (The legislative-history entries appear to mix records from multiple states and sessions; consult the official state legislative website for current roll-call and status.)
If you want, I can:
- Pull the latest official status from the relevant state legislature (Arizona or Illinois),
- Produce a one-page summary aimed at business/employer audiences (Arizona tax credit) or insurers/legal counsel (Illinois cost-sharing rule),
- Or create a side-by-side comparison of the two measures.
Compiled from official sources — confirm details with the bill’s official record.
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