30 ILCS 105/35
As used in this Section, "state agency" is defined as provided in the Illinois State Auditing Act, except that this Section does not apply to state colleges and universities, the Illinois Mathematics and Science Academy, and their respective governing boards.
When any State agency receives a grant or contract from itself or another State agency from appropriated funds the recipient agency shall be restricted in the expenditure of these funds to the period during which the grantor agency was so restricted and to the terms and conditions under which such other agency received the appropriation. The restrictions shall include: any applicable restrictions in Section 25 of this Act, applicable federal regulations, and the terms, conditions and limitations of the appropriations to the other agency, even if the funds are deposited or interfund transferred for use in a non-appropriated fund. No State agency may accept or expend funds under a grant or contract for any purpose, program or activity not within the scope of the agency's powers and duties under Illinois law.
30 ILCS 105/35