IL HB4727

Creates a new criminal offense of "improper use of public funds" under the Criminal Code of 1961, applying to anyone who knowingly misappropriates, misuses, or unlawfully converts public funds made available through gubernatorial or legislative member initiatives.

Extends criminal liability to state and local government officials or employees who knowingly facilitate, aid, abet, or participate in the misappropriation or misuse of such public funds.

Defines "gubernatorial or legislative member initiative" as grants from state funds to specific units of local government, school districts, not-for-profit organizations, or non-governmental entities for infrastructure improvements or operating expenses, excluding statewide programs with generally applicable eligibility standards.

Establishes tiered penalties based on amount of money involved: Class A misdemeanor for less than $1,000; Class 3 felony for $1,000-$4,999; Class 2 felony for $5,000-$9,999; Class 1 felony for $10,000 or more.

Bars anyone convicted of a felony violation from receiving any grant or contract from the State of Illinois.