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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 5. The Illinois Enterprise Zone Act is amended by
5		changing Section 5.5 as follows:
6		(20 ILCS 655/5.5) (from Ch. 67 1/2, par. 609.1)
7		Sec. 5.5. High Impact Business.
8		(a) In order to respond to unique opportunities to assist
9		in the encouragement, development, growth, and expansion of
10		the private sector through large scale investment and
11		development projects, the Department is authorized to receive
12		and approve applications for the designation of "High Impact
13		Businesses" in Illinois subject to the following conditions:
14		(1) such applications may be submitted at any time
15		during the year;
16		(2) such business is not located, at the time of
17		designation, in an enterprise zone designated pursuant to
18		this Act;
19		(3) the business intends to do one or more of the
20		following:
21		(A) the business intends to make a minimum
22		investment of $12,000,000 which will be placed in
23		service in qualified property and intends to create

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1		500 full-time equivalent jobs at a designated location
2		in Illinois or intends to make a minimum investment of
3		$30,000,000 which will be placed in service in
4		qualified property and intends to retain 1,500
5		full-time retained jobs at a designated location in
6		Illinois. The business must certify in writing that
7		the investments would not be placed in service in
8		qualified property and the job creation or job
9		retention would not occur without the tax credits and
10		exemptions set forth in subsection (b) of this
11		Section. The terms "placed in service" and "qualified
12		property" have the same meanings as described in
13		subsection (h) of Section 201 of the Illinois Income
14		Tax Act; or
15		(B) the business intends to establish a new
16		electric generating facility at a designated location
17		in Illinois. "New electric generating facility", for
18		purposes of this Section, means a newly-constructed
19		electric generation plant or a newly-constructed
20		generation capacity expansion at an existing electric
21		generation plant, including the transmission lines and
22		associated equipment that transfers electricity from
23		points of supply to points of delivery, and for which
24		such new foundation construction commenced not sooner
25		than July 1, 2001. Such facility shall be designed to
26		provide baseload electric generation and shall operate

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1		on a continuous basis throughout the year; and (i)
2		shall have an aggregate rated generating capacity of
3		at least 1,000 megawatts for all new units at one site
4		if it uses natural gas as its primary fuel and
5		foundation construction of the facility is commenced
6		on or before December 31, 2004, or shall have an
7		aggregate rated generating capacity of at least 400
8		megawatts for all new units at one site if it uses coal
9		or gases derived from coal as its primary fuel and
10		shall support the creation of at least 150 new
11		Illinois coal mining jobs, or (ii) shall be funded
12		through a federal Department of Energy grant before
13		December 31, 2010 and shall support the creation of
14		Illinois coal-mining jobs, or (iii) shall use coal
15		gasification or integrated gasification-combined cycle
16		units that generate electricity or chemicals, or both,
17		and shall support the creation of Illinois coal-mining
18		jobs. The business must certify in writing that the
19		investments necessary to establish a new electric
20		generating facility would not be placed in service and
21		the job creation in the case of a coal-fueled plant
22		would not occur without the tax credits and exemptions
23		set forth in subsection (b-5) of this Section. The
24		term "placed in service" has the same meaning as
25		described in subsection (h) of Section 201 of the
26		Illinois Income Tax Act; or

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1		(B-5) the business intends to establish a new
2		gasification facility at a designated location in
3		Illinois. As used in this Section, "new gasification
4		facility" means a newly constructed coal gasification
5		facility that generates chemical feedstocks or
6		transportation fuels derived from coal (which may
7		include, but are not limited to, methane, methanol,
8		and nitrogen fertilizer), that supports the creation
9		or retention of Illinois coal-mining jobs, and that
10		qualifies for financial assistance from the Department
11		before December 31, 2010. A new gasification facility
12		does not include a pilot project located within
13		Jefferson County or within a county adjacent to
14		Jefferson County for synthetic natural gas from coal;
15		or
16		(C) the business intends to establish production
17		operations at a new coal mine, re-establish production
18		operations at a closed coal mine, or expand production
19		at an existing coal mine at a designated location in
20		Illinois not sooner than July 1, 2001; provided that
21		the production operations result in the creation of
22		150 new Illinois coal mining jobs as described in
23		subdivision (a)(3)(B) of this Section, and further
24		provided that the coal extracted from such mine is
25		utilized as the predominant source for a new electric
26		generating facility. The business must certify in

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1		writing that the investments necessary to establish a
2		new, expanded, or reopened coal mine would not be
3		placed in service and the job creation would not occur
4		without the tax credits and exemptions set forth in
5		subsection (b-5) of this Section. The term "placed in
6		service" has the same meaning as described in
7		subsection (h) of Section 201 of the Illinois Income
8		Tax Act; or
9		(D) the business intends to construct new
10		transmission facilities or upgrade existing
11		transmission facilities at designated locations in
12		Illinois, for which construction commenced not sooner
13		than July 1, 2001. For the purposes of this Section,
14		"transmission facilities" means transmission lines
15		with a voltage rating of 115 kilovolts or above,
16		including associated equipment, that transfer
17		electricity from points of supply to points of
18		delivery and that transmit a majority of the
19		electricity generated by a new electric generating
20		facility designated as a High Impact Business in
21		accordance with this Section. The business must
22		certify in writing that the investments necessary to
23		construct new transmission facilities or upgrade
24		existing transmission facilities would not be placed
25		in service without the tax credits and exemptions set
26		forth in subsection (b-5) of this Section. The term

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1		"placed in service" has the same meaning as described
2		in subsection (h) of Section 201 of the Illinois
3		Income Tax Act; or
4		(E) the business intends to establish a new wind
5		power facility at a designated location in Illinois.
6		For purposes of this Section, "new wind power
7		facility" means a newly constructed electric
8		generation facility, or a newly constructed expansion
9		of an existing electric generation facility, or the
10		replacement of an existing electric generation
11		facility, including the demolition and removal of an
12		electric generation facility irrespective of whether
13		it will be replaced, placed in service or replaced on
14		or after July 1, 2009, that generates electricity
15		using wind energy devices, and such facility shall be
16		deemed to include any permanent structures associated
17		with the electric generation facility and all
18		associated transmission lines, substations, and other
19		equipment related to the generation of electricity
20		from wind energy devices. For purposes of this
21		Section, "wind energy device" means any device, with a
22		nameplate capacity of at least 0.5 megawatts, that is
23		used in the process of converting kinetic energy from
24		the wind to generate electricity; or
25		(F) the business commits to (i) make a minimum
26		investment of $500,000,000, which will be placed in

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1		service in a qualified property, (ii) create 125
2		full-time equivalent jobs at a designated location in
3		Illinois, (iii) establish a fertilizer plant at a
4		designated location in Illinois that complies with the
5		set-back standards as described in Table 1: Initial
6		Isolation and Protective Action Distances in the 2012
7		Emergency Response Guidebook published by the United
8		States Department of Transportation, (iv) pay a
9		prevailing wage for employees at that location who are
10		engaged in construction activities, and (v) secure an
11		appropriate level of general liability insurance to
12		protect against catastrophic failure of the fertilizer
13		plant or any of its constituent systems; in addition,
14		the business must agree to enter into a construction
15		project labor agreement including provisions
16		establishing wages, benefits, and other compensation
17		for employees performing work under the project labor
18		agreement at that location; for the purposes of this
19		Section, "fertilizer plant" means a newly constructed
20		or upgraded plant utilizing gas used in the production
21		of anhydrous ammonia and downstream nitrogen
22		fertilizer products for resale; for the purposes of
23		this Section, "prevailing wage" means the hourly cash
24		wages plus fringe benefits for training and
25		apprenticeship programs approved by the U.S.
26		Department of Labor, Bureau of Apprenticeship and

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1		Training, health and welfare, insurance, vacations and
2		pensions paid generally, in the locality in which the
3		work is being performed, to employees engaged in work
4		of a similar character on public works; this paragraph
5		(F) applies only to businesses that submit an
6		application to the Department within 60 days after
7		July 25, 2013 (the effective date of Public Act
8		98-109) this amendatory Act of the 98th General
9		Assembly; and
10		(4) no later than 90 days after an application is
11		submitted, the Department shall notify the applicant of
12		the Department's determination of the qualification of the
13		proposed High Impact Business under this Section.
14		(b) Businesses designated as High Impact Businesses
15		pursuant to subdivision (a)(3)(A) of this Section shall
16		qualify for the credits and exemptions described in the
17		following Acts: Section 9-222 and Section 9-222.1A of the
18		Public Utilities Act, subsection (h) of Section 201 of the
19		Illinois Income Tax Act, and Section 1d of the Retailers'
20		Occupation Tax Act; provided that these credits and exemptions
21		described in these Acts shall not be authorized until the
22		minimum investments set forth in subdivision (a)(3)(A) of this
23		Section have been placed in service in qualified properties
24		and, in the case of the exemptions described in the Public
25		Utilities Act and Section 1d of the Retailers' Occupation Tax
26		Act, the minimum full-time equivalent jobs or full-time

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1		retained jobs set forth in subdivision (a)(3)(A) of this
2		Section have been created or retained. Businesses designated
3		as High Impact Businesses under this Section shall also
4		qualify for the exemption described in Section 5l of the
5		Retailers' Occupation Tax Act. The credit provided in
6		subsection (h) of Section 201 of the Illinois Income Tax Act
7		shall be applicable to investments in qualified property as
8		set forth in subdivision (a)(3)(A) of this Section.
9		(b-5) Businesses designated as High Impact Businesses
10		pursuant to subdivisions (a)(3)(B), (a)(3)(B-5), (a)(3)(C),
11		and (a)(3)(D) of this Section shall qualify for the credits
12		and exemptions described in the following Acts: Section 51 of
13		the Retailers' Occupation Tax Act, Section 9-222 and Section
14		9-222.1A of the Public Utilities Act, and subsection (h) of
15		Section 201 of the Illinois Income Tax Act; however, the
16		credits and exemptions authorized under Section 9-222 and
17		Section 9-222.1A of the Public Utilities Act, and subsection
18		(h) of Section 201 of the Illinois Income Tax Act shall not be
19		authorized until the new electric generating facility, the new
20		gasification facility, the new transmission facility, or the
21		new, expanded, or reopened coal mine is operational, except
22		that a new electric generating facility whose primary fuel
23		source is natural gas is eligible only for the exemption under
24		Section 5l of the Retailers' Occupation Tax Act.
25		(b-6) Businesses designated as High Impact Businesses
26		pursuant to subdivision (a)(3)(E) of this Section shall

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1		qualify for the exemptions described in Section 5l of the
2		Retailers' Occupation Tax Act; any business so designated as a
3		High Impact Business being, for purposes of this Section, a
4		"Wind Energy Business".
5		(b-7) Beginning on January 1, 2021, businesses designated
6		as High Impact Businesses by the Department shall qualify for
7		the High Impact Business construction jobs credit under
8		subsection (h-5) of Section 201 of the Illinois Income Tax Act
9		if the business meets the criteria set forth in subsection (i)
10		of this Section. The total aggregate amount of credits awarded
11		under the Blue Collar Jobs Act (Article 20 of Public Act 101-9
12		this amendatory Act of the 101st General Assembly) shall not
13		exceed $20,000,000 in any State fiscal year.
14		(c) High Impact Businesses located in federally designated
15		foreign trade zones or sub-zones are also eligible for
16		additional credits, exemptions and deductions as described in
17		the following Acts: Section 9-221 and Section 9-222.1 of the
18		Public Utilities Act; and subsection (g) of Section 201, and
19		Section 203 of the Illinois Income Tax Act.
20		(d) Except for businesses contemplated under subdivision
21		(a)(3)(E) of this Section, existing Illinois businesses which
22		apply for designation as a High Impact Business must provide
23		the Department with the prospective plan for which 1,500
24		full-time retained jobs would be eliminated in the event that
25		the business is not designated.
26		(e) Except for new wind power facilities contemplated

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1		under subdivision (a)(3)(E) of this Section, new proposed
2		facilities which apply for designation as High Impact Business
3		must provide the Department with proof of alternative
4		non-Illinois sites which would receive the proposed investment
5		and job creation in the event that the business is not
6		designated as a High Impact Business.
7		(f) Except for businesses contemplated under subdivision
8		(a)(3)(E) of this Section, in the event that a business is
9		designated a High Impact Business and it is later determined
10		after reasonable notice and an opportunity for a hearing as
11		provided under the Illinois Administrative Procedure Act, that
12		the business would have placed in service in qualified
13		property the investments and created or retained the requisite
14		number of jobs without the benefits of the High Impact
15		Business designation, the Department shall be required to
16		immediately revoke the designation and notify the Director of
17		the Department of Revenue who shall begin proceedings to
18		recover all wrongfully exempted State taxes with interest. The
19		business shall also be ineligible for all State funded
20		Department programs for a period of 10 years.
21		(g) The Department shall revoke a High Impact Business
22		designation if the participating business fails to comply with
23		the terms and conditions of the designation. However, the
24		penalties for new wind power facilities or Wind Energy
25		Businesses for failure to comply with any of the terms or
26		conditions of the Illinois Prevailing Wage Act shall be only

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1		those penalties identified in the Illinois Prevailing Wage
2		Act, and the Department shall not revoke a High Impact
3		Business designation as a result of the failure to comply with
4		any of the terms or conditions of the Illinois Prevailing Wage
5		Act in relation to a new wind power facility or a Wind Energy
6		Business.
7		(h) Prior to designating a business, the Department shall
8		provide the members of the General Assembly and Commission on
9		Government Forecasting and Accountability with a report
10		setting forth the terms and conditions of the designation and
11		guarantees that have been received by the Department in
12		relation to the proposed business being designated.
13		(i) High Impact Business construction jobs credit.
14		Beginning on January 1, 2021, a High Impact Business may
15		receive a tax credit against the tax imposed under subsections
16		(a) and (b) of Section 201 of the Illinois Income Tax Act in an
17		amount equal to 50% of the amount of the incremental income tax
18		attributable to High Impact Business construction jobs credit
19		employees employed in the course of completing a High Impact
20		Business construction jobs project. However, the High Impact
21		Business construction jobs credit may equal 75% of the amount
22		of the incremental income tax attributable to High Impact
23		Business construction jobs credit employees if the High Impact
24		Business construction jobs credit project is located in an
25		underserved area.
26		The Department shall certify to the Department of Revenue:

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1		(1) the identity of taxpayers that are eligible for the High
2		Impact Business construction jobs credit; and (2) the amount
3		of High Impact Business construction jobs credits that are
4		claimed pursuant to subsection (h-5) of Section 201 of the
5		Illinois Income Tax Act in each taxable year. Any business
6		entity that receives a High Impact Business construction jobs
7		credit shall maintain a certified payroll pursuant to
8		subsection (j) of this Section.
9		As used in this subsection (i):
10		"High Impact Business construction jobs credit" means an
11		amount equal to 50% (or 75% if the High Impact Business
12		construction project is located in an underserved area) of the
13		incremental income tax attributable to High Impact Business
14		construction job employees. The total aggregate amount of
15		credits awarded under the Blue Collar Jobs Act (Article 20 of
16		Public Act 101-9 this amendatory Act of the 101st General
17		Assembly) shall not exceed $20,000,000 in any State fiscal
18		year
19		"High Impact Business construction job employee" means a
20		laborer or worker who is employed by an Illinois contractor or
21		subcontractor in the actual construction work on the site of a
22		High Impact Business construction job project.
23		"High Impact Business construction jobs project" means
24		building a structure or building or making improvements of any
25		kind to real property, undertaken and commissioned by a
26		business that was designated as a High Impact Business by the

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1		Department. The term "High Impact Business construction jobs
2		project" does not include the routine operation, routine
3		repair, or routine maintenance of existing structures,
4		buildings, or real property.
5		"Incremental income tax" means the total amount withheld
6		during the taxable year from the compensation of High Impact
7		Business construction job employees.
8		"Underserved area" means a geographic area that meets one
9		or more of the following conditions:
10		(1) the area has a poverty rate of at least 20%
11		according to the latest federal decennial census;
12		(2) 75% or more of the children in the area
13		participate in the federal free lunch program according to
14		reported statistics from the State Board of Education;
15		(3) at least 20% of the households in the area receive
16		assistance under the Supplemental Nutrition Assistance
17		Program (SNAP); or
18		(4) the area has an average unemployment rate, as
19		determined by the Illinois Department of Employment
20		Security, that is more than 120% of the national
21		unemployment average, as determined by the U.S. Department
22		of Labor, for a period of at least 2 consecutive calendar
23		years preceding the date of the application.
24		(j) Each contractor and subcontractor who is engaged in
25		and executing a High Impact Business Construction jobs
26		project, as defined under subsection (i) of this Section, for

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1		a business that is entitled to a credit pursuant to subsection
2		(i) of this Section shall:
3		(1) make and keep, for a period of 5 years from the
4		date of the last payment made on or after June 5, 2019 (the
5		effective date of Public Act 101-9) this amendatory Act of
6		the 101st General Assembly on a contract or subcontract
7		for a High Impact Business Construction Jobs Project,
8		records for all laborers and other workers employed by the
9		contractor or subcontractor on the project; the records
10		shall include:
11		(A) the worker's name;
12		(B) the worker's address;
13		(C) the worker's telephone number, if available;
14		(D) the worker's social security number;
15		(E) the worker's classification or
16		classifications;
17		(F) the worker's gross and net wages paid in each
18		pay period;
19		(G) the worker's number of hours worked each day;
20		(H) the worker's starting and ending times of work
21		each day;
22		(I) the worker's hourly wage rate; and
23		(J) the worker's hourly overtime wage rate;
24		(2) no later than the 15th day of each calendar month,
25		provide a certified payroll for the immediately preceding
26		month to the taxpayer in charge of the High Impact

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1		Business construction jobs project; within 5 business days
2		after receiving the certified payroll, the taxpayer shall
3		file the certified payroll with the Department of Labor
4		and the Department of Commerce and Economic Opportunity; a
5		certified payroll must be filed for only those calendar
6		months during which construction on a High Impact Business
7		construction jobs project has occurred; the certified
8		payroll shall consist of a complete copy of the records
9		identified in paragraph (1) of this subsection (j), but
10		may exclude the starting and ending times of work each
11		day; the certified payroll shall be accompanied by a
12		statement signed by the contractor or subcontractor or an
13		officer, employee, or agent of the contractor or
14		subcontractor which avers that:
15		(A) he or she has examined the certified payroll
16		records required to be submitted by the Act and such
17		records are true and accurate; and
18		(B) the contractor or subcontractor is aware that
19		filing a certified payroll that he or she knows to be
20		false is a Class A misdemeanor.
21		A general contractor is not prohibited from relying on a
22		certified payroll of a lower-tier subcontractor, provided the
23		general contractor does not knowingly rely upon a
24		subcontractor's false certification.
25		Any contractor or subcontractor subject to this
26		subsection, and any officer, employee, or agent of such

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1		contractor or subcontractor whose duty as an officer,
2		employee, or agent it is to file a certified payroll under this
3		subsection, who willfully fails to file such a certified
4		payroll on or before the date such certified payroll is
5		required by this paragraph to be filed and any person who
6		willfully files a false certified payroll that is false as to
7		any material fact is in violation of this Act and guilty of a
8		Class A misdemeanor.
9		The taxpayer in charge of the project shall keep the
10		records submitted in accordance with this subsection on or
11		after June 5, 2019 (the effective date of Public Act 101-9)
12		this amendatory Act of the 101st General Assembly for a period
13		of 5 years from the date of the last payment for work on a
14		contract or subcontract for the High Impact Business
15		construction jobs project.
16		The records submitted in accordance with this subsection
17		shall be considered public records, except an employee's
18		address, telephone number, and social security number, and
19		made available in accordance with the Freedom of Information
20		Act. The Department of Labor shall accept any reasonable
21		submissions by the contractor that meet the requirements of
22		this subsection (j) and shall share the information with the
23		Department in order to comply with the awarding of a High
24		Impact Business construction jobs credit. A contractor,
25		subcontractor, or public body may retain records required
26		under this Section in paper or electronic format.

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1		(k) Upon 7 business days' notice, each contractor and
2		subcontractor shall make available for inspection and copying
3		at a location within this State during reasonable hours, the
4		records identified in this subsection (j) to the taxpayer in
5		charge of the High Impact Business construction jobs project,
6		its officers and agents, the Director of the Department of
7		Labor and his or her deputies and agents, and to federal,
8		State, or local law enforcement agencies and prosecutors.
9		(Source: P.A. 101-9, eff. 6-5-19; revised 7-12-19.)