SB0025 EnrolledLRB104 07069 BAB 17106 b

1    AN ACT concerning regulation.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4
ARTICLE 1.

 
5    Section 1-1. Short title. This Article may be cited as the
6Municipal and Cooperative Electric Utility Transparent
7Planning Act. References in this Article to "this Act" mean
8this Article.
 
9    Section 1-5. Legislative findings and objectives. The
10General Assembly finds:
11        (1) Municipal and cooperative electric utilities
12    provide electricity to more than 1,000,000 State
13    residents.
14        (2) Municipal utilities are public bodies governed and
15    managed by elected public officials or their appointees.
16    Electric cooperatives are not-for-profit, member-owned
17    entities governed and managed by elected boards of
18    directors chosen by their member consumers. Due to their
19    governance structures, municipal and cooperative electric
20    utilities are exempt from certain regulatory requirements
21    under State and federal law.
22        (3) Because democratic elections by member-ratepayers

 

 

SB0025 Enrolled- 2 -LRB104 07069 BAB 17106 b

1    or customers are the ultimate guarantor of the integrity
2    and cost-effectiveness of these utilities' operations,
3    access to information and decision-making is crucial to
4    ensuring management of these utilities is prudent and
5    responsive.
6        (4) While not always applicable to municipal and
7    electric cooperatives, integrated resource planning
8    processes have been used in other states to attempt to
9    avoid capacity shortfalls, minimize ratepayer costs, and
10    increase public participation in and knowledge of electric
11    generation portfolio choices.
12        (5) It is in the long-term best interests of State
13    electricity customers and member-ratepayers that
14    electricity is provided by a diverse portfolio of
15    generation resources that may include generation
16    ownership, power supply contracts, storage resources, and
17    demand-side programs that minimizes costs and strives to
18    ensure reliable service to customers while considering
19    environmental impacts and that long-term utility planning
20    can help facilitate the achievement of reasonable and
21    stable rates, reliability, and State and federal
22    environmental law through such portfolios.
23        (6) Municipal and electric cooperatives utilities
24    should perform a comprehensive analysis of their existing
25    portfolio and identify opportunities to minimize
26    member-ratepayer and customer costs while maintaining

 

 

SB0025 Enrolled- 3 -LRB104 07069 BAB 17106 b

1    reliability and meeting State and federal environmental
2    law.
3        (7) To ensure utilities minimize ratepayer costs while
4    maintaining reliability and meeting State and federal
5    environmental law, and to increase transparency and
6    democratic participation, it is important that municipal
7    and cooperative electric utilities participate in an
8    integrated resource planning process with meaningful and
9    appropriate participation and engagement.
 
10    Section 1-10. Definitions. As used in this Act:
11    "Agency" means the Illinois Power Agency.
12    "Demand-side program" means a program implemented by or on
13behalf of a utility to reduce retail customer consumption
14(MWh) or shift the time of consumption of energy (MW) from end
15users, including energy efficiency programs, demand-response
16programs, and programs for the promotion or aggregation of
17distributed generation.
18    "Electric cooperative" has the meaning given to that term
19in Section 3-119 of the Public Utilities Act.
20    "Generation resource" means a facility for the generation
21of electricity.
22    "Integrated resource plan" or "IRP" means the planning
23process for a municipal power agency, municipality, or
24electric cooperative to evaluate energy supply and demand in
25order to meet long-term energy needs while minimizing costs

 

 

SB0025 Enrolled- 4 -LRB104 07069 BAB 17106 b

1and complying with federal and State environmental
2requirements, consistent with this Act.
3    "Municipality" has the meaning given to that term in
4Section 11-119.1-3 of the Illinois Municipal Code.
5    "Municipal power agency" has the meaning given to that
6term in Section 11-119.1-3 of the Illinois Municipal Code
7excluding single project municipal power agencies that do not
8plan for the full requirements of their members.
9    "Renewable generation resource" means a resource for
10generating electricity that uses wind, solar, hydro, or
11geothermal energy.
12    "Storage resource" means a commercially available
13technology that uses mechanical, chemical, or thermal
14processes to store energy and deliver the stored energy as
15electricity for use at a later time and is capable of being
16controlled by the distribution or transmission entity managing
17it, to enable and optimize the safe and reliable operation of
18the electric system.
19    "Utility" means a municipal power agency, municipality, or
20electric cooperative, including a generation and transmission
21electric cooperative that provides wholesale electricity to
22one or more distribution electric cooperatives.
 
23    Section 1-15. Purpose and contents of integrated resource
24plan.
25    (a) Beginning on or before January 1, 2027, and every 5

 

 

SB0025 Enrolled- 5 -LRB104 07069 BAB 17106 b

1years thereafter on or before January 1, all generation and
2transmission electric cooperatives with members in this State,
3all municipal power agencies, and all municipalities and
4distribution electric cooperatives that provide electricity
5for service to more than 7,000 retail electric customer meters
6shall initiate an integrated resource planning process to
7prepare and issue a preliminary integrated resource plan to be
8posted on its website by January 1 of the following year.
9Municipalities and electric cooperatives that are members of,
10and have a full requirements contract with, a municipal power
11agency or generation and transmission electric cooperative may
12adopt the integrated resource plan of such other utility. In
13the alternative, a municipality or electric cooperative that
14is a member of, and has other than a full requirements contract
15with, a municipal power agency or generation and transmission
16electric cooperative may include the resources or resource
17planning of the municipal power agency or generation and
18transmission electric cooperative in its integrated resource
19plan, and the municipal power agency or generation and
20transmission electric cooperative may adopt such
21municipality's or electric cooperative's integrated resource
22plan. An integrated resource plan completed by a utility on or
23after January 1, 2024 shall satisfy the first integrated
24resource plan requirement if it meets the criteria set forth
25in subsections (b) through (d).
26    (b) The purposes of the integrated resource plan are to

 

 

SB0025 Enrolled- 6 -LRB104 07069 BAB 17106 b

1consider and evaluate the utility's current portfolio,
2including electrical generation, power supply contracts,
3storage, and demand-side programs; to forecast future load
4changes; to facilitate prudent planning with respect to
5reliability, resources, energy and capacity procurements,
6power supply contract expiration, and timing of generation
7retirement; to determine what resource portfolio will maintain
8reliability consistent with RTO obligations; to minimize cost
9and meet State and federal environmental law; and to
10articulate steps the utility will take to minimize customer
11costs and consider environmental impacts through changes to
12its current generation portfolio through construction,
13procurement, retirement, demand-side programs, or other
14applicable technology or processes.
15    (c) As part of the integrated resource plan development
16process, a utility shall consider all resources reasonably
17available or reasonably likely to be available during the
18relevant time period to satisfy the demand for electricity
19services for a planning period of at least 5 years, taking into
20account both supply-side and demand-side electric power
21resources and cost and benefits projections for at least the
22next 20 years.
23    (d) A utility may include the results of an all-source
24request for proposals for generation resources and capacity
25contracts for delivery beginning within the next 5 years in
26its integrated resource plan. If the utility chooses not to

 

 

SB0025 Enrolled- 7 -LRB104 07069 BAB 17106 b

1include such results, the utility must provide notice to the
2utility's ratepayers upon issuance of the integrated resource
3plan that states why the utility has chosen not to include the
4results. A utility also shall include the following, at a
5minimum, in its integrated resource plan:
6        (1) A list of all electricity generation facilities
7    owned by the utility, in whole or in part. For each such
8    facility, the integrated resource plan shall report:
9            (A) general location;
10            (B) ownership information, if ownership is shared
11        with another entity;
12            (C) type of fuel;
13            (D) the date of commercial operation;
14            (E) expected useful life;
15            (F) expected retirement date for any resource
16        expected to retire within the next 8 years, and an
17        explanation of the reason for the retirement;
18            (G) nameplate, maximum output, and accredited
19        capacity;
20            (H) total MWh generated at the facility during the
21        previous calendar year;
22            (I) the date on which the facility is anticipated
23        to be fully depreciated; and
24            (J) any known and measurable compliance
25        obligations, or compliance obligations reasonably
26        expected to apply within the next 8 years, and an

 

 

SB0025 Enrolled- 8 -LRB104 07069 BAB 17106 b

1        estimate of reasonably anticipated expenditures
2        intended to meet those obligations.
3        (2) A list of all power purchase agreements to which
4    the utility is a party, whether as purchaser or seller,
5    including the following, if specified: the counterparty,
6    general location and type of generation resource providing
7    power per the agreement, date on which the agreement was
8    entered into, duration of the agreement, and the energy
9    and capacity terms of the agreement.
10        (3) A list of any sale transactions of any capacity to
11    any purchaser.
12        (4) A list of any demand-side programs and known
13    distributed generation.
14        (5) A narrative description of all existing
15    transmission facilities owned by the utility, in whole or
16    in part, that identifies anticipated transmission
17    constraints or critical contingencies, and identification
18    of the regional transmission organization, if any, that
19    exercises operational control over the transmission
20    facility.
21        (6) A description of all transmission investment
22    costs, disaggregated by expenditure, related to
23    interconnection costs and other transmission system
24    upgrades associated with a new generating resource or
25    increased injection rights from an existing generating
26    resource costing greater than $1,000,000 over the term of

 

 

SB0025 Enrolled- 9 -LRB104 07069 BAB 17106 b

1    the agreement.
2        (7) A copy of the most recent FERC Form 1 filed by the
3    utility. If no such FERC Form 1 has been filed, the utility
4    shall provide Form EIA 860, Form EIA 861, Form EIA 412, or
5    information applicable to the utility included in the
6    sections of FERC Form 1 or Form EIA 412 relating to
7    electric operating revenues, sales for resale, electric
8    operating and maintenance expenses, purchased power,
9    common utility plant and expenses, and electric energy
10    accounts for the prior calendar year. The utility shall
11    not be required to disclose any information required to be
12    protected from disclosure by the regional transmission
13    organizations.
14        (8) A range of load forecasts for the 5-year planning
15    period that incorporate varying assumptions regarding
16    electrification, economic growth, new regulation, and
17    major new customers, sufficient for capacity planning for
18    the utility. Such forecasts shall include:
19            (A) all relevant underlying assumptions;
20            (B) (i) historical analysis of hourly loads
21        consistent with NERC and regional transmission
22        organization reporting requirements; (ii) known or
23        projected changes to future loads; and (iii) growth
24        forecasts and trends by customer class or load type;
25            (C) analysis of the annual capacity and energy
26        impact of any demand-side programs, and energy

 

 

SB0025 Enrolled- 10 -LRB104 07069 BAB 17106 b

1        efficiency programs both current and projected;
2            (D) any reserve margin or other obligations placed
3        on the utility by regional transmission organizations
4        or other entity responsible for reliability standards
5        under State or federal law; and
6            (E) a comparison of past load forecasts and actual
7        realized load and a brief narrative description of any
8        unforeseen events to which any discrepancy may be
9        attributed.
10        (9) A 5-year action plan for meeting the forecasted
11    load that reasonably minimizes customer cost taking into
12    account load, fuel price, and regulatory uncertainty, that
13    ensures reliability consistent with RTO obligations, and
14    meets State and federal environmental law. As part of the
15    action plan, the utility shall:
16            (A) Identify any generation or storage resources
17        reasonably anticipated to be removed from service in
18        the 5 years following the date on which the integrated
19        resource plan is due to be completed.
20            (B) Determine whether given forecasted load growth
21        or unit retirements, or both, the utility will need to
22        procure additional accredited capacity and energy, and
23        provide a quantitative estimate of any such gap
24        between forecasted load and supply-side resources.
25            (C) Provide a narrative description of the
26        utility's process for evaluating possible resources to

 

 

SB0025 Enrolled- 11 -LRB104 07069 BAB 17106 b

1        secure additional needed capacity and energy.
2            (D) Provide a narrative description of the
3        utility's processes for assessing the economic value
4        of existing generation; and consistent with these
5        processes, explain whether any currently operating
6        units could be replaced by other resources at lower
7        cost to ratepayers while maintaining reliability.
8            (E) Identify a preferred portfolio of generation
9        resources, which may include storage, and demand-side
10        programs that, in the utility's judgment, meets its
11        forecasted load and complies with State and federal
12        environmental law, while minimizing ratepayer cost to
13        the extent reasonably achievable in the planning
14        period covered by the action plan. The portfolio shall
15        incorporate any accredited capacity or other
16        reliability requirements of any regional transmission
17        organization of which the utility is a member.
18            (F) Describe any anticipated capital expenditures
19        by the utility in excess of $1,000,000 at existing
20        generation facilities and the reason for such
21        expenditures.
22        (10) A description of all models and methodologies
23    used in performing the integrated resource planning
24    process. The utility shall provide, to any member of a
25    joint action agency or member of a generation and
26    transmission electric cooperative, reasonable access to

 

 

SB0025 Enrolled- 12 -LRB104 07069 BAB 17106 b

1    computer models used in the analysis that are not
2    proprietary to the owner of the model, such as software
3    that cannot be used without a licensing agreement, or
4    otherwise subject to confidentiality by the modeler.
5    (e) As part of the initial integrated resource plan, the
6utility shall identify all programs, grants, loans, or tax
7benefits for which the utility has applied for or plans to
8apply for pursuant to the federal Inflation Reduction Act of
92022 and shall state whether the utility has applied for or
10otherwise used the program, grant, loan, or tax benefit.
11    (f) Each utility shall consider and include, as part of
12its integrated resource plan, technically feasible least-cost
13portfolio scenarios, consistent with RTO reliability
14obligations, for constructing or procuring renewable energy
15resources to meet 40% of its energy needs by 2030, meeting the
16emissions reductions requirements under Public Act 102-662,
17and supplying 100% of its total projected load through
18carbon-free resources in combination with storage resources
19and demand-side programs by 2045.
 
20    Section 1-20. Stakeholder process for municipal power
21agencies and municipalities. Prior to the issuance of a final
22integrated resource plan, a municipal power agency or
23municipality required to prepare and issue an integrated
24resource plan shall hold one or more stakeholder meetings open
25to the municipal power agency's or municipality's ratepayers

 

 

SB0025 Enrolled- 13 -LRB104 07069 BAB 17106 b

1and members of the public before it issues a preliminary
2integrated resource plan and one or more such stakeholder
3meetings after the preliminary integrated resource plan is
4issued.
5    Notice of the meetings shall be posted to the municipal
6power agency's or municipality's website and notice of the
7initial meeting to customers through the normal billing
8process not less than 30 days prior to the initial meeting, and
9any municipality planning to adopt a municipal power agency's
10final integrated resource plan shall post the notice to its
11website or a link to the notice on the municipality's website
12and provide notice of the municipal power agency's initial
13meeting to customers through the normal billing process not
14less than 30 days prior to the initial meeting. During the
15first meeting the municipal power agency or municipality shall
16describe its proposed processes for developing the integrated
17resource plan and its core assumptions and constraints. In
18subsequent meetings, either before or after the preliminary
19integrated resource plan is issued, the municipal power agency
20or municipality shall present its proposed preferred
21portfolio, and describe any planned retirements, capital
22expenditures on existing generation resources likely to exceed
23$1,000,000, and planned construction. Each meeting shall
24provide opportunity for meaningful public engagement including
25reasonable time to ask questions, have those questions
26answered, and to provide public comment. Meetings shall be

 

 

SB0025 Enrolled- 14 -LRB104 07069 BAB 17106 b

1held at times accessible for working residents and shall be
2recorded, and the municipal power agency or municipality may
3consider language interpretation needs for non-English
4speaking ratepayers in areas with a significant proportion of
5non-English speaking residents. Following the meeting, the
6municipal power agency or municipality shall provide attendees
7with a reasonable means of providing public comment in writing
8and of accessing the recording.
 
9    Section 1-25. Procedures for preliminary and final
10integrated resource plans for municipal power agencies and
11municipalities.
12    (a) Each municipal power agency or municipality shall
13issue its preliminary integrated resource plan, as set forth
14in this Act, and post it publicly to the website maintained by
15the municipal power agency or municipality by January 1, 12
16months following the date of the calendar year for which the
17planning is required to begin. Any municipality planning to
18adopt a municipal power agency's final integrated resource
19plan shall post the preliminary integrated resource plan
20publicly to its website or a link to it on the municipality's
21website.
22    (b) The municipal power agency or municipality shall
23facilitate public comment on the preliminary integrated
24resource plan, as follows:
25        (1) upon issuance of the preliminary integrated

 

 

SB0025 Enrolled- 15 -LRB104 07069 BAB 17106 b

1    resource plan, the municipal power agency or municipality
2    and any municipality planning to adopt a municipal power
3    agency's final integrated resource plan shall post the
4    preliminary integrated resource plan or a link to it
5    publicly on its website. The plan shall remain publicly
6    accessible for at least 60 days;
7        (2) the municipal power agency or municipality shall
8    hold one or more public meetings, in person with remote
9    access, where it shall make a representative available to
10    address questions about the preliminary integrated
11    resource plan. The meetings shall be held no sooner than
12    15 days, and no later than 45 days, after the preliminary
13    integrated resource plan is made available to the public;
14        (3) the municipal power agency or municipality shall
15    accept public comments on the preliminary integrated
16    resource plan for 30 days following its public posting via
17    website, email, or mail. The municipal power agency or
18    municipality may extend this public comment period by an
19    additional 30 days upon request by ratepayers of the
20    municipal power agency or municipality or any entity that
21    plans to adopt the municipal power agency's or
22    municipality's final integrated resource plan; and
23        (4) The municipal power agency or municipality shall
24    review public comments and provide responses that
25    reasonably address all relevant issues or questions raised
26    by such comments. The municipal power agency or

 

 

SB0025 Enrolled- 16 -LRB104 07069 BAB 17106 b

1    municipality may modify its preliminary integrated
2    resource plan in response to these comments. The municipal
3    power agency or municipality shall prepare a document with
4    responses to public comments and submit this response
5    document to the Agency no later than 90 days after the
6    close of the comment period. This response document shall
7    be posted publicly on the municipality's or municipal
8    power agency's websites, as relevant, and on the website
9    of the Illinois Power Agency's website along with the
10    preliminary integrated resource plan, as submitted, and
11    any revisions made by the municipal power agency or
12    municipality in response to public comments.
13    (c) The Illinois Power Agency shall maintain public access
14to all integrated resource plans submitted pursuant to this
15Act, accessible through the Illinois Power Agency's website,
16for no less than 10 years following each integrated resource
17plan's initial submission.
 
18    Section 1-27. Member input and process for electric
19cooperatives completing an integrated resource plan.
20    (a) Each electric cooperative completing an integrated
21resource plan shall post its preliminary integrated resource
22plan on its website no later than 60 days after completion of
23the preliminary integrated resource plan. Any distribution
24electric cooperative intending to adopt a generation and
25transmission cooperative's integrated resource plan pursuant

 

 

SB0025 Enrolled- 17 -LRB104 07069 BAB 17106 b

1to Section 1-15 of this Act must also post the preliminary
2integrated resource plan or a link to the preliminary
3integrated resource plan on its own website. The preliminary
4integrated resource plan must remain publicly accessible for
5at least 60 days.
6    (b) After posting the preliminary integrated resource
7plan, but before completion of a final integrated resource
8plan, an electric cooperative preparing such a plan shall hold
9at least one meeting open to its members, including members of
10any member distribution cooperative and any other electric
11cooperative adopting the integrated resource plan. An electric
12cooperative intending to adopt the integrated resource plan
13pursuant to Section 1-15 of this Act may, but is not required
14to, hold its own meeting. If all other provisions of Section
151-15 are met, an electric cooperative may utilize its annual
16meeting of members to comply with the meeting requirements set
17forth in this Section.
18    (c) Notice of any meeting held pursuant to this Section
19shall be posted on the website of any electric cooperative
20whose members are eligible to attend the meeting and, if
21applicable, provided to members through the electric
22cooperative's normal billing process or regular communication
23channel, at least 30 days prior to the meeting. An electric
24cooperative intending to adopt the integrated resource plan
25pursuant to Section 1-15 of this Act shall post the meeting
26notice on its own website and notify members using the same

 

 

SB0025 Enrolled- 18 -LRB104 07069 BAB 17106 b

1timeline and methods.
2    (d) Each meeting shall provide an opportunity for
3meaningful member participation, including sufficient time for
4members to submit comments, ask questions, and receive
5responses. Meetings shall be held at times convenient for
6working members. The electric cooperative may consider
7language interpretation needs for non-English speaking members
8in areas with a significant non-English speaking population.
9At a minimum, the electric cooperative shall present the
10following information at the meeting:
11        (1) the purpose and process of developing an
12    integrated resource plan;
13        (2) the electric cooperative's process for developing
14    the integrated resource plan;
15        (3) the assumptions and scenarios considered by the
16    electric cooperative;
17        (4) an overview of supply and demand size resources
18    used to meet energy and capacity needs; and
19        (5) historical energy and capacity data, along with
20    assumptions regarding future load changes.
21    (e) Following the meeting, the electric cooperative shall
22provide a reasonable opportunity for members to submit written
23comments for at least 30 days. The electric cooperative shall
24review written comments and prepare a response document that
25summarizes and addresses relevant member comments. The
26electric cooperative shall post the response document on its

 

 

SB0025 Enrolled- 19 -LRB104 07069 BAB 17106 b

1website within 90 days after the close of the comment period.
2The electric cooperative may modify its preliminary integrated
3resource plan in response to comments. If the electric
4cooperative revises its preliminary integrated resource plan
5in response to comments, it shall post the modified
6preliminary integrated resource plan on its website.
7    (f) The Illinois Power Agency shall maintain a copy or a
8link to an electric cooperative's integrated resource plan
9completed pursuant to this Act on the Agency's website, for at
10least 10 years from the date of each plan's initial
11submission.
12    (g) An electric cooperative completing an integrated
13resource plan may select their own consulting firm, complete
14internally, or select a prequalified consulting firm from the
15list maintained by the Agency.
 
16    Section 1-30. IRP prequalified consulting firm list.
17    (a) The Illinois Power Agency shall maintain a list of
18qualified consulting firms for the purpose of developing
19integrated resource plans on behalf of the utility. In order
20to prequalify a consulting firm must have:
21        (1) direct previous experience preparing integrated
22    resource plans for utilities; assembling power supply
23    plans or portfolios for utilities;
24        (2) one or more employees with an advanced degree in
25    economics, mathematics, engineering, risk management, or a

 

 

SB0025 Enrolled- 20 -LRB104 07069 BAB 17106 b

1    related area of study;
2        (3) 10 years of experience in the electricity sector;
3        (4) expertise in wholesale electricity market rules,
4    market planning, market development, and market modeling.
5    This includes, but is not limited to, expertise in current
6    and ongoing FERC Order implementation into RTO markets,
7    RTO governing documents, including, but not limited to,
8    transmission planning processes, and resource planning;
9        (5) expertise in wholesale electricity market rules,
10    including those established by the federal Energy
11    Regulatory Commission and regional transmission
12    organizations; and
13        (6) adequate resources to perform and fulfill the
14    required functions and responsibilities.
15    (b) No later than January 1, 2026 or the effective date of
16this Act, whichever is later, the Illinois Power Agency shall
17issue a Request for Information seeking responses from
18consulting firms. Responses will be due within 45 days of that
19issuance. The Agency will review responses and within 45 days
20produce a list of prequalified consulting firms that the
21Agency determines meet all of the prequalification
22requirements contained in subsection (a) of this Section. A
23firm determined not to meet the requirements may request to
24submit additional information to the Agency for
25reconsideration. If the Agency subsequently determines a firm
26meets the requirements, the Agency shall add the firm to the

 

 

SB0025 Enrolled- 21 -LRB104 07069 BAB 17106 b

1list.
2    The list will be updated as additional consulting firms
3request to be added to the list and the Agency determines they
4meet the requirements contained in subsection (a) of this
5Section 1-30. The Agency shall not arbitrarily or capriciously
6deny inclusion to any qualified vendor that satisfies the
7minimum qualifications set forth in this Section 1-30.
8    (c) The Illinois Power Agency shall publish the list of
9prequalified consulting firms on its website. Upon request,
10the Agency shall also provide each prequalified consulting
11firm's response to the Request for Information to the affected
12utility.
13    (d) A utility required to submit an integrated resource
14plan may select a consulting firm on the Agency's list of
15prequalified consulting firms to develop the integrated
16resource plan and support stakeholder processes.
17    (e) The utility may apply for funding to offset its costs
18for its integrated resource plan through the Small Utility
19Clean Energy Planning Grant Program offered through the
20Illinois Finance Authority in its role as Climate Bank for the
21State of Illinois, subject to funding availability or subject
22to appropriation, and in accordance with program requirements
23and limitations.
 
24    Section 1-32. Planning purposes of an integrated resource
25plan.

 

 

SB0025 Enrolled- 22 -LRB104 07069 BAB 17106 b

1    (a) Nothing in this Act shall be construed to alter any
2regulatory authority or jurisdiction of any State agency with
3respect to any municipal power agency, municipality, or
4cooperative.
5    (b) The submission, posting, or publication of an
6integrated resource plan pursuant to this Act shall not create
7any binding obligation, commitment, or duty upon the municipal
8power agency, municipality, or electric cooperative regarding
9the construction, retirement, or operation of any facility, or
10the procurement of any resource.
11    (c) Nothing in this Act shall be construed to create a
12private right of action to enforce its provisions.
 
13    Section 1-90. The Open Meetings Act is amended by changing
14Section 2 as follows:
 
15    (5 ILCS 120/2)  (from Ch. 102, par. 42)
16    Sec. 2. Open meetings.
17    (a) Openness required. All meetings of public bodies shall
18be open to the public unless excepted in subsection (c) and
19closed in accordance with Section 2a.
20    (b) Construction of exceptions. The exceptions contained
21in subsection (c) are in derogation of the requirement that
22public bodies meet in the open, and therefore, the exceptions
23are to be strictly construed, extending only to subjects
24clearly within their scope. The exceptions authorize but do

 

 

SB0025 Enrolled- 23 -LRB104 07069 BAB 17106 b

1not require the holding of a closed meeting to discuss a
2subject included within an enumerated exception.
3    (c) Exceptions. A public body may hold closed meetings to
4consider the following subjects:
5        (1) The appointment, employment, compensation,
6    discipline, performance, or dismissal of specific
7    employees, specific individuals who serve as independent
8    contractors in a park, recreational, or educational
9    setting, or specific volunteers of the public body or
10    legal counsel for the public body, including hearing
11    testimony on a complaint lodged against an employee, a
12    specific individual who serves as an independent
13    contractor in a park, recreational, or educational
14    setting, or a volunteer of the public body or against
15    legal counsel for the public body to determine its
16    validity. However, a meeting to consider an increase in
17    compensation to a specific employee of a public body that
18    is subject to the Local Government Wage Increase
19    Transparency Act may not be closed and shall be open to the
20    public and posted and held in accordance with this Act.
21        (2) Collective negotiating matters between the public
22    body and its employees or their representatives, or
23    deliberations concerning salary schedules for one or more
24    classes of employees.
25        (3) The selection of a person to fill a public office,
26    as defined in this Act, including a vacancy in a public

 

 

SB0025 Enrolled- 24 -LRB104 07069 BAB 17106 b

1    office, when the public body is given power to appoint
2    under law or ordinance, or the discipline, performance or
3    removal of the occupant of a public office, when the
4    public body is given power to remove the occupant under
5    law or ordinance.
6        (4) Evidence or testimony presented in open hearing,
7    or in closed hearing where specifically authorized by law,
8    to a quasi-adjudicative body, as defined in this Act,
9    provided that the body prepares and makes available for
10    public inspection a written decision setting forth its
11    determinative reasoning.
12        (4.5) Evidence or testimony presented to a school
13    board regarding denial of admission to school events or
14    property pursuant to Section 24-24 of the School Code,
15    provided that the school board prepares and makes
16    available for public inspection a written decision setting
17    forth its determinative reasoning.
18        (5) The purchase or lease of real property for the use
19    of the public body, including meetings held for the
20    purpose of discussing whether a particular parcel should
21    be acquired.
22        (6) The setting of a price for sale or lease of
23    property owned by the public body.
24        (7) The sale or purchase of securities, investments,
25    or investment contracts. This exception shall not apply to
26    the investment of assets or income of funds deposited into

 

 

SB0025 Enrolled- 25 -LRB104 07069 BAB 17106 b

1    the Illinois Prepaid Tuition Trust Fund.
2        (8) Security procedures, school building safety and
3    security, and the use of personnel and equipment to
4    respond to an actual, a threatened, or a reasonably
5    potential danger to the safety of employees, students,
6    staff, the public, or public property.
7        (9) Student disciplinary cases.
8        (10) The placement of individual students in special
9    education programs and other matters relating to
10    individual students.
11        (11) Litigation, when an action against, affecting or
12    on behalf of the particular public body has been filed and
13    is pending before a court or administrative tribunal, or
14    when the public body finds that an action is probable or
15    imminent, in which case the basis for the finding shall be
16    recorded and entered into the minutes of the closed
17    meeting.
18        (12) The establishment of reserves or settlement of
19    claims as provided in the Local Governmental and
20    Governmental Employees Tort Immunity Act, if otherwise the
21    disposition of a claim or potential claim might be
22    prejudiced, or the review or discussion of claims, loss or
23    risk management information, records, data, advice or
24    communications from or with respect to any insurer of the
25    public body or any intergovernmental risk management
26    association or self insurance pool of which the public

 

 

SB0025 Enrolled- 26 -LRB104 07069 BAB 17106 b

1    body is a member.
2        (13) Conciliation of complaints of discrimination in
3    the sale or rental of housing, when closed meetings are
4    authorized by the law or ordinance prescribing fair
5    housing practices and creating a commission or
6    administrative agency for their enforcement.
7        (14) Informant sources, the hiring or assignment of
8    undercover personnel or equipment, or ongoing, prior or
9    future criminal investigations, when discussed by a public
10    body with criminal investigatory responsibilities.
11        (15) Professional ethics or performance when
12    considered by an advisory body appointed to advise a
13    licensing or regulatory agency on matters germane to the
14    advisory body's field of competence.
15        (16) Self evaluation, practices and procedures or
16    professional ethics, when meeting with a representative of
17    a statewide association of which the public body is a
18    member.
19        (17) The recruitment, credentialing, discipline or
20    formal peer review of physicians or other health care
21    professionals, or for the discussion of matters protected
22    under the federal Patient Safety and Quality Improvement
23    Act of 2005, and the regulations promulgated thereunder,
24    including 42 C.F.R. Part 3 (73 FR 70732), or the federal
25    Health Insurance Portability and Accountability Act of
26    1996, and the regulations promulgated thereunder,

 

 

SB0025 Enrolled- 27 -LRB104 07069 BAB 17106 b

1    including 45 C.F.R. Parts 160, 162, and 164, by a
2    hospital, or other institution providing medical care,
3    that is operated by the public body.
4        (18) Deliberations for decisions of the Prisoner
5    Review Board.
6        (19) Review or discussion of applications received
7    under the Experimental Organ Transplantation Procedures
8    Act.
9        (20) The classification and discussion of matters
10    classified as confidential or continued confidential by
11    the State Government Suggestion Award Board.
12        (21) Discussion of minutes of meetings lawfully closed
13    under this Act, whether for purposes of approval by the
14    body of the minutes or semi-annual review of the minutes
15    as mandated by Section 2.06.
16        (22) Deliberations for decisions of the State
17    Emergency Medical Services Disciplinary Review Board.
18        (23) The operation by a municipality of a municipal
19    utility or the operation of a municipal power agency or
20    municipal natural gas agency when the discussion involves:
21    (i) trade secrets or commercial or financial information
22    obtained from a person or business where the trade secrets
23    or commercial or financial information are furnished under
24    a claim that they are proprietary, privileged, or
25    confidential, and that disclosure of the trade secrets or
26    commercial or financial information would cause

 

 

SB0025 Enrolled- 28 -LRB104 07069 BAB 17106 b

1    competitive harm to the person or business; or
2    commercially sensitive information contained in offers to
3    buy or sell made in the competitive markets of a regional
4    transmission organization; and only insofar as the
5    discussion relates directly to such trade secrets or
6    information; (ii) physical or cybersecurity of facilities
7    or materials designated as Critical Energy/Electric
8    Infrastructure Information under federal law or
9    regulation; or (iii) ongoing contract negotiations or
10    results of a request for proposals relating to the
11    purchase, sale, or delivery of electricity or natural gas
12    from nonaffiliate entities; provided however, the
13    municipality, municipal power agency, or municipal natural
14    gas agency shall hold at least one public meeting as to any
15    contract discussed in whole or in part in closed session
16    prior to final action on the contract. (i) contracts
17    relating to the purchase, sale, or delivery of electricity
18    or natural gas or (ii) the results or conclusions of load
19    forecast studies.
20        (24) Meetings of a residential health care facility
21    resident sexual assault and death review team or the
22    Executive Council under the Abuse Prevention Review Team
23    Act.
24        (25) Meetings of an independent team of experts under
25    Brian's Law.
26        (26) Meetings of a mortality review team appointed

 

 

SB0025 Enrolled- 29 -LRB104 07069 BAB 17106 b

1    under the Department of Juvenile Justice Mortality Review
2    Team Act.
3        (27) (Blank).
4        (28) Correspondence and records (i) that may not be
5    disclosed under Section 11-9 of the Illinois Public Aid
6    Code or (ii) that pertain to appeals under Section 11-8 of
7    the Illinois Public Aid Code.
8        (29) Meetings between internal or external auditors
9    and governmental audit committees, finance committees, and
10    their equivalents, when the discussion involves internal
11    control weaknesses, identification of potential fraud risk
12    areas, known or suspected frauds, and fraud interviews
13    conducted in accordance with generally accepted auditing
14    standards of the United States of America.
15        (30) (Blank).
16        (31) Meetings and deliberations for decisions of the
17    Concealed Carry Licensing Review Board under the Firearm
18    Concealed Carry Act.
19        (32) Meetings between the Regional Transportation
20    Authority Board and its Service Boards when the discussion
21    involves review by the Regional Transportation Authority
22    Board of employment contracts under Section 28d of the
23    Metropolitan Transit Authority Act and Sections 3A.18 and
24    3B.26 of the Regional Transportation Authority Act.
25        (33) Those meetings or portions of meetings of the
26    advisory committee and peer review subcommittee created

 

 

SB0025 Enrolled- 30 -LRB104 07069 BAB 17106 b

1    under Section 320 of the Illinois Controlled Substances
2    Act during which specific controlled substance prescriber,
3    dispenser, or patient information is discussed.
4        (34) Meetings of the Tax Increment Financing Reform
5    Task Force under Section 2505-800 of the Department of
6    Revenue Law of the Civil Administrative Code of Illinois.
7        (35) Meetings of the group established to discuss
8    Medicaid capitation rates under Section 5-30.8 of the
9    Illinois Public Aid Code.
10        (36) Those deliberations or portions of deliberations
11    for decisions of the Illinois Gaming Board in which there
12    is discussed any of the following: (i) personal,
13    commercial, financial, or other information obtained from
14    any source that is privileged, proprietary, confidential,
15    or a trade secret; or (ii) information specifically
16    exempted from the disclosure by federal or State law.
17        (37) Deliberations for decisions of the Illinois Law
18    Enforcement Training Standards Board, the Certification
19    Review Panel, and the Illinois State Police Merit Board
20    regarding certification and decertification.
21        (38) Meetings of the Ad Hoc Statewide Domestic
22    Violence Fatality Review Committee of the Illinois
23    Criminal Justice Information Authority Board that occur in
24    closed executive session under subsection (d) of Section
25    35 of the Domestic Violence Fatality Review Act.
26        (39) Meetings of the regional review teams under

 

 

SB0025 Enrolled- 31 -LRB104 07069 BAB 17106 b

1    subsection (a) of Section 75 of the Domestic Violence
2    Fatality Review Act.
3        (40) Meetings of the Firearm Owner's Identification
4    Card Review Board under Section 10 of the Firearm Owners
5    Identification Card Act.
6    (d) Definitions. For purposes of this Section:
7    "Employee" means a person employed by a public body whose
8relationship with the public body constitutes an
9employer-employee relationship under the usual common law
10rules, and who is not an independent contractor.
11    "Public office" means a position created by or under the
12Constitution or laws of this State, the occupant of which is
13charged with the exercise of some portion of the sovereign
14power of this State. The term "public office" shall include
15members of the public body, but it shall not include
16organizational positions filled by members thereof, whether
17established by law or by a public body itself, that exist to
18assist the body in the conduct of its business.
19    "Quasi-adjudicative body" means an administrative body
20charged by law or ordinance with the responsibility to conduct
21hearings, receive evidence or testimony and make
22determinations based thereon, but does not include local
23electoral boards when such bodies are considering petition
24challenges.
25    (e) Final action. No final action may be taken at a closed
26meeting. Final action shall be preceded by a public recital of

 

 

SB0025 Enrolled- 32 -LRB104 07069 BAB 17106 b

1the nature of the matter being considered and other
2information that will inform the public of the business being
3conducted.
4(Source: P.A. 102-237, eff. 1-1-22; 102-520, eff. 8-20-21;
5102-558, eff. 8-20-21; 102-813, eff. 5-13-22; 103-311, eff.
67-28-23; 103-626, eff. 1-1-25.)
 
7    Section 1-95. The Public Utilities Act is amended by
8changing Section 8-406 as follows:
 
9    (220 ILCS 5/8-406)  (from Ch. 111 2/3, par. 8-406)
10    Sec. 8-406. Certificate of public convenience and
11necessity.
12    (a) No public utility not owning any city or village
13franchise nor engaged in performing any public service or in
14furnishing any product or commodity within this State as of
15July 1, 1921 and not possessing a certificate of public
16convenience and necessity from the Illinois Commerce
17Commission, the State Public Utilities Commission, or the
18Public Utilities Commission, at the time Public Act 84-617
19goes into effect (January 1, 1986), shall transact any
20business in this State until it shall have obtained a
21certificate from the Commission that public convenience and
22necessity require the transaction of such business. A
23certificate of public convenience and necessity requiring the
24transaction of public utility business in any area of this

 

 

SB0025 Enrolled- 33 -LRB104 07069 BAB 17106 b

1State shall include authorization to the public utility
2receiving the certificate of public convenience and necessity
3to construct such plant, equipment, property, or facility as
4is provided for under the terms and conditions of its tariff
5and as is necessary to provide utility service and carry out
6the transaction of public utility business by the public
7utility in the designated area.
8    (b) No public utility shall begin the construction of any
9new plant, equipment, property, or facility which is not in
10substitution of any existing plant, equipment, property, or
11facility, or any extension or alteration thereof or in
12addition thereto, unless and until it shall have obtained from
13the Commission a certificate that public convenience and
14necessity require such construction. Whenever after a hearing
15the Commission determines that any new construction or the
16transaction of any business by a public utility will promote
17the public convenience and is necessary thereto, it shall have
18the power to issue certificates of public convenience and
19necessity. The Commission shall determine that proposed
20construction will promote the public convenience and necessity
21only if the utility demonstrates: (1) that the proposed
22construction is necessary to provide adequate, reliable, and
23efficient service to its customers and is the least-cost means
24of satisfying the service needs of its customers or that the
25proposed construction will promote the development of an
26effectively competitive electricity market that operates

 

 

SB0025 Enrolled- 34 -LRB104 07069 BAB 17106 b

1efficiently, is equitable to all customers, and is the
2least-cost least cost means of satisfying those objectives;
3(2) that the utility is capable of efficiently managing and
4supervising the construction process and has taken sufficient
5action to ensure adequate and efficient construction and
6supervision thereof; and (3) that the utility is capable of
7financing the proposed construction without significant
8adverse financial consequences for the utility or its
9customers.
10    (b-5) As used in this subsection (b-5):
11    "Qualifying direct current applicant" means an entity that
12seeks to provide direct current bulk transmission service for
13the purpose of transporting electric energy in interstate
14commerce.
15    "Qualifying direct current project" means a high voltage
16direct current electric service line that crosses at least one
17Illinois border, the Illinois portion of which is physically
18located within the region of the Midcontinent Independent
19System Operator, Inc., or its successor organization, and runs
20through the counties of Pike, Scott, Greene, Macoupin,
21Montgomery, Christian, Shelby, Cumberland, and Clark, is
22capable of transmitting electricity at voltages of 345
23kilovolts or above, and may also include associated
24interconnected alternating current interconnection facilities
25in this State that are part of the proposed project and
26reasonably necessary to connect the project with other

 

 

SB0025 Enrolled- 35 -LRB104 07069 BAB 17106 b

1portions of the grid.
2    Notwithstanding any other provision of this Act, a
3qualifying direct current applicant that does not own,
4control, operate, or manage, within this State, any plant,
5equipment, or property used or to be used for the transmission
6of electricity at the time of its application or of the
7Commission's order may file an application on or before
8December 31, 2023 with the Commission pursuant to this Section
9or Section 8-406.1 for, and the Commission may grant, a
10certificate of public convenience and necessity to construct,
11operate, and maintain a qualifying direct current project. The
12qualifying direct current applicant may also include in the
13application requests for authority under Section 8-503. The
14Commission shall grant the application for a certificate of
15public convenience and necessity and requests for authority
16under Section 8-503 if it finds that the qualifying direct
17current applicant and the proposed qualifying direct current
18project satisfy the requirements of this subsection and
19otherwise satisfy the criteria of this Section or Section
208-406.1 and the criteria of Section 8-503, as applicable to
21the application and to the extent such criteria are not
22superseded by the provisions of this subsection. The
23Commission's order on the application for the certificate of
24public convenience and necessity shall also include the
25Commission's findings and determinations on the request or
26requests for authority pursuant to Section 8-503. Prior to

 

 

SB0025 Enrolled- 36 -LRB104 07069 BAB 17106 b

1filing its application under either this Section or Section
28-406.1, the qualifying direct current applicant shall conduct
33 public meetings in accordance with subsection (h) of this
4Section. If the qualifying direct current applicant
5demonstrates in its application that the proposed qualifying
6direct current project is designed to deliver electricity to a
7point or points on the electric transmission grid in either or
8both the PJM Interconnection, LLC or the Midcontinent
9Independent System Operator, Inc., or their respective
10successor organizations, the proposed qualifying direct
11current project shall be deemed to be, and the Commission
12shall find it to be, for public use. If the qualifying direct
13current applicant further demonstrates in its application that
14the proposed transmission project has a capacity of 1,000
15megawatts or larger and a voltage level of 345 kilovolts or
16greater, the proposed transmission project shall be deemed to
17satisfy, and the Commission shall find that it satisfies, the
18criteria stated in item (1) of subsection (b) of this Section
19or in paragraph (1) of subsection (f) of Section 8-406.1, as
20applicable to the application, without the taking of
21additional evidence on these criteria. Prior to the transfer
22of functional control of any transmission assets to a regional
23transmission organization, a qualifying direct current
24applicant shall request Commission approval to join a regional
25transmission organization in an application filed pursuant to
26this subsection (b-5) or separately pursuant to Section 7-102

 

 

SB0025 Enrolled- 37 -LRB104 07069 BAB 17106 b

1of this Act. The Commission may grant permission to a
2qualifying direct current applicant to join a regional
3transmission organization if it finds that the membership, and
4associated transfer of functional control of transmission
5assets, benefits Illinois customers in light of the attendant
6costs and is otherwise in the public interest. Nothing in this
7subsection (b-5) requires a qualifying direct current
8applicant to join a regional transmission organization.
9Nothing in this subsection (b-5) requires the owner or
10operator of a high voltage direct current transmission line
11that is not a qualifying direct current project to obtain a
12certificate of public convenience and necessity to the extent
13it is not otherwise required by this Section 8-406 or any other
14provision of this Act.
15    (c) As used in this subsection (c):
16    "Decommissioning" has the meaning given to that term in
17subsection (a) of Section 8-508.1.
18    "Nuclear power reactor" has the meaning given to that term
19in Section 8 of the Nuclear Safety Law of 2004.
20    After the effective date of this amendatory Act of the
21103rd General Assembly, no construction shall commence on any
22new nuclear power reactor with a nameplate capacity of more
23than 300 megawatts of electricity to be located within this
24State, and no certificate of public convenience and necessity
25or other authorization shall be issued therefor by the
26Commission, until the Illinois Emergency Management Agency and

 

 

SB0025 Enrolled- 38 -LRB104 07069 BAB 17106 b

1Office of Homeland Security, in consultation with the Illinois
2Environmental Protection Agency and the Illinois Department of
3Natural Resources, finds that the United States Government,
4through its authorized agency, has identified and approved a
5demonstrable technology or means for the disposal of high
6level nuclear waste, or until such construction has been
7specifically approved by a statute enacted by the General
8Assembly. Beginning January 1, 2026, construction may commence
9on a new nuclear power reactor with a nameplate capacity of 300
10megawatts of electricity or less within this State if the
11entity constructing the new nuclear power reactor has obtained
12all permits, licenses, permissions, or approvals governing the
13construction, operation, and funding of decommissioning of
14such nuclear power reactors required by: (1) this Act; (2) any
15rules adopted by the Illinois Emergency Management Agency and
16Office of Homeland Security under the authority of this Act;
17(3) any applicable federal statutes, including, but not
18limited to, the Atomic Energy Act of 1954, the Energy
19Reorganization Act of 1974, the Low-Level Radioactive Waste
20Policy Amendments Act of 1985, and the Energy Policy Act of
211992; (4) any regulations promulgated or enforced by the U.S.
22Nuclear Regulatory Commission, including, but not limited to,
23those codified at Title X, Parts 20, 30, 40, 50, 70, and 72 of
24the Code of Federal Regulations, as from time to time amended;
25and (5) any other federal or State statute, rule, or
26regulation governing the permitting, licensing, operation, or

 

 

SB0025 Enrolled- 39 -LRB104 07069 BAB 17106 b

1decommissioning of such nuclear power reactors. None of the
2rules developed by the Illinois Emergency Management Agency
3and Office of Homeland Security or any other State agency,
4board, or commission pursuant to this Act shall be construed
5to supersede the authority of the U.S. Nuclear Regulatory
6Commission. The changes made by this amendatory Act of the
7103rd General Assembly shall not apply to the uprate, renewal,
8or subsequent renewal of any license for an existing nuclear
9power reactor that began operation prior to the effective date
10of this amendatory Act of the 103rd General Assembly.
11    None of the changes made in this amendatory Act of the
12104th General Assembly this amendatory Act of the 103rd
13General Assembly are intended to authorize the construction of
14nuclear power plants powered by nuclear power reactors that
15are not either: (1) small modular nuclear reactors; or (2)    
16nuclear power reactors licensed by the U.S. Nuclear Regulatory
17Commission to operate in this State prior to the effective
18date of this amendatory Act of the 103rd General Assembly.
19    (d) In making its determination under subsection (b) of
20this Section, the Commission shall attach primary weight to
21the cost or cost savings to the customers of the utility. The
22Commission may consider any or all factors which will or may
23affect such cost or cost savings, including the public
24utility's engineering judgment regarding the materials used
25for construction.
26    (e) The Commission may issue a temporary certificate which

 

 

SB0025 Enrolled- 40 -LRB104 07069 BAB 17106 b

1shall remain in force not to exceed one year in cases of
2emergency, to assure maintenance of adequate service or to
3serve particular customers, without notice or hearing, pending
4the determination of an application for a certificate, and may
5by regulation exempt from the requirements of this Section
6temporary acts or operations for which the issuance of a
7certificate will not be required in the public interest.
8    A public utility shall not be required to obtain but may
9apply for and obtain a certificate of public convenience and
10necessity pursuant to this Section with respect to any matter
11as to which it has received the authorization or order of the
12Commission under the Electric Supplier Act, and any such
13authorization or order granted a public utility by the
14Commission under that Act shall as between public utilities be
15deemed to be, and shall have except as provided in that Act the
16same force and effect as, a certificate of public convenience
17and necessity issued pursuant to this Section.
18    No electric cooperative shall be made or shall become a
19party to or shall be entitled to be heard or to otherwise
20appear or participate in any proceeding initiated under this
21Section for authorization of power plant construction and as
22to matters as to which a remedy is available under the Electric
23Supplier Act.
24    (f) Such certificates may be altered or modified by the
25Commission, upon its own motion or upon application by the
26person or corporation affected. Unless exercised within a

 

 

SB0025 Enrolled- 41 -LRB104 07069 BAB 17106 b

1period of 2 years from the grant thereof, authority conferred
2by a certificate of convenience and necessity issued by the
3Commission shall be null and void.
4    No certificate of public convenience and necessity shall
5be construed as granting a monopoly or an exclusive privilege,
6immunity or franchise.
7    (g) A public utility that undertakes any of the actions
8described in items (1) through (3) of this subsection (g) or
9that has obtained approval pursuant to Section 8-406.1 of this
10Act shall not be required to comply with the requirements of
11this Section to the extent such requirements otherwise would
12apply. For purposes of this Section and Section 8-406.1 of
13this Act, "high voltage electric service line" means an
14electric line having a design voltage of 69,000 100,000 or
15more. For purposes of this subsection (g), a public utility
16may do any of the following:
17        (1) replace or upgrade any existing high voltage
18    electric service line and related facilities,
19    notwithstanding its length or, subject to applicable
20    Article VII requirements, ownership;
21        (2) relocate any existing high voltage electric
22    service line and related facilities, notwithstanding its
23    length, to accommodate construction or expansion of a
24    roadway or other transportation infrastructure; or
25        (3) construct a high voltage electric service line and
26    related facilities that is constructed solely to serve a

 

 

SB0025 Enrolled- 42 -LRB104 07069 BAB 17106 b

1    single customer's premises or to provide a generator
2    interconnection to the public utility's transmission
3    system and that will (i) pass under or over the premises
4    owned by the customer or generator to be served; (ii) pass    
5    or under or over premises for which the customer or
6    generator has secured the necessary right of way    
7    right-of-way; or (iii) be multi-circuited with the
8    facilities of the public utility.
9    (h) A public utility seeking to construct a high-voltage
10electric service line and related facilities (Project) must
11show that the utility has held a minimum of 2 pre-filing public
12meetings to receive public comment concerning the Project in
13each county where the Project is to be located, no earlier than
146 months prior to filing an application for a certificate of
15public convenience and necessity from the Commission. Notice
16of the public meeting shall be published in a newspaper of
17general circulation within the affected county once a week for
183 consecutive weeks, beginning no earlier than one month prior
19to the first public meeting. If the Project traverses 2
20contiguous counties and where in one county the transmission
21line mileage and number of landowners over whose property the
22proposed route traverses is one-fifth or less of the
23transmission line mileage and number of such landowners of the
24other county, then the utility may combine the 2 pre-filing
25meetings in the county with the greater transmission line
26mileage and affected landowners. All other requirements

 

 

SB0025 Enrolled- 43 -LRB104 07069 BAB 17106 b

1regarding pre-filing meetings shall apply in both counties.
2Notice of the public meeting, including a description of the
3Project, must be provided in writing to the clerk of each
4county where the Project is to be located. A representative of
5the Commission shall be invited to each pre-filing public
6meeting.
7    (h-5) A public utility seeking to construct a high-voltage
8electric service line and related facilities must also show
9that the Project has complied with training and competence
10requirements under subsection (b) of Section 15 of the
11Electric Transmission Systems Construction Standards Act.
12    (i) For applications filed after August 18, 2015 (the
13effective date of Public Act 99-399), the Commission shall, by
14certified mail, notify each owner of record of land, as
15identified in the records of the relevant county tax assessor,
16included in the right-of-way over which the utility seeks in
17its application to construct a high-voltage electric line of
18the time and place scheduled for the initial hearing on the
19public utility's application. The utility shall reimburse the
20Commission for the cost of the postage and supplies incurred
21for mailing the notice.
22    (j) In determining whether to issue a certificate of
23public convenience for a new electric generation facility to a
24municipal power agency that is required to obtain such a
25certificate to exercise its power of eminent domain pursuant
26to Section 11-119.1-10 of the Illinois Municipal Code, the

 

 

SB0025 Enrolled- 44 -LRB104 07069 BAB 17106 b

1Commission shall give due consideration to whether a
2generation unit of similar size and type is part of the
3municipal power agency's preferred portfolio or least-cost
4plan for achieving renewable energy goals in its most recent
5integrated resource plan, as described in subsection (d) of
6Section 1-15 of the Municipal and Cooperative Electric Utility
7Transparent Planning Act.    
8(Source: P.A. 102-609, eff. 8-27-21; 102-662, eff. 9-15-21;
9102-813, eff. 5-13-22; 102-931, eff. 5-27-22; 103-569, eff.
106-1-24; 103-1066, eff. 2-20-25.)
 
11    Section 1-100. The General Not For Profit Corporation Act
12of 1986 is amended by adding Section 108.22 as follows:
 
13    (805 ILCS 105/108.22 new)
14    Sec. 108.22. Distribution electric cooperatives.
15    (a) A distribution electric cooperative, as that term is
16used in the Electric Supplier Act, shall maintain a publicly
17accessible website and shall post the following documents and
18information on its website:
19        (1) The current bylaws.
20        (2) A schedule of all regular meetings, posted
21    annually and updated as necessary.
22        (3) Planned agendas for all regular and special board
23    meetings.
24        (4) Minutes of the regular session of each board

 

 

SB0025 Enrolled- 45 -LRB104 07069 BAB 17106 b

1    meeting, posted within 30 days of their approval.
2        (5) A description of the director election process,
3    including:
4            (A) eligibility requirements for director
5        candidates;
6            (B) nomination procedures;
7            (C) voting methods and member instructions; and
8            (D) election timelines and deadlines.
9    (b) A distribution electric cooperative may include in its
10bylaws procedures for accepting votes cast by mail or through
11secure online voting platforms.
12    (c) Each distribution electric cooperative shall adopt
13bylaws or written policies establishing a process that allows
14members to address the board of directors on matters relevant
15to the governance and operation of the cooperative.
 
16
ARTICLE 5.

 
17    Section 5-1. Short title. This Article may be cited as the
18Utility Data Access Act. References in this Article to "this
19Act" mean this Article.
 
20    Section 5-5. Findings.
21    (a) The General Assembly finds and declares that
22optimizing energy use through whole-building utility data
23access is in the public interest because it provides

 

 

SB0025 Enrolled- 46 -LRB104 07069 BAB 17106 b

1consumers, building owners, utilities, and states with
2significant economic benefits.
3    (b) The General Assembly further finds the following:
4        (1) implementing building energy use data access
5    legislation catalyzes the development of a strong market
6    for building energy services which will positively impact
7    the State's economy through significant job growth;
8        (2) improving the energy use efficiency of the
9    existing building stock is a key strategy to help preserve
10    the affordability of rental housing;
11        (3) energy use reductions stemming from data access
12    can result in direct cost savings to customers and in peak
13    load reductions that benefit all ratepayers;
14        (4) data access programs allow utilities to maximize
15    the value of their energy use efficiency portfolio by
16    engaging customers and directing them to energy efficiency
17    programs and by enabling utilities to target
18    low-performing buildings;
19        (5) implementing building data access enables building
20    owners in the State to qualify for certain federal and
21    other incentives to help them improve their assets;
22        (6) energy use data access is the foundation of a
23    successful efficiency strategy and enables building owners
24    to track energy use performance over time, set performance
25    goals, and justify cost-effective energy use upgrades; and
26        (7) absent whole-building energy use data access

 

 

SB0025 Enrolled- 47 -LRB104 07069 BAB 17106 b

1    legislation, building owners lack an efficient, defined
2    process to obtain energy performance of their buildings in
3    a manner that protects consumer confidentiality.
 
4    Section 5-10. Definitions. As used in this Act:
5    "Account holder" or "customer" means the person or entity
6authorized to access or modify utility account details.
7    "Aggregated usage data" means an aggregation of covered
8usage data, where all data associated with a qualified
9building or qualified property, including, but not limited to,
10data from tenant meters and from owner meters, are combined
11into one collective data point per utility data type, per time
12period, and where any unique identifiers or other personal
13information are removed or dissociated from individual meter
14data.
15    "Aggregation threshold" means 3 or more unique
16nonresidential qualified accounts or any combination of 5 or
17more residential and nonresidential unique qualified accounts
18of a property or building during the period for which data is
19requested.
20    "Benchmarking tool" means the ENERGY STAR Portfolio
21Manager web-based tool or any prudent and cost-effective
22alternative system or tool approved by the Commission should
23ENERGY STAR Portfolio Manager become inoperative or no longer
24useful to achieving the policy goals of the State of Illinois
25that (i) enables the periodic entry of a building's energy use

 

 

SB0025 Enrolled- 48 -LRB104 07069 BAB 17106 b

1data and other descriptive information about a building and
2(ii) rates a building's energy efficiency against that of
3comparable buildings nationwide.
4    "Commission" means the Illinois Commerce Commission.
5    "Covered usage data" means electric data collected from
6one or more utility meters that reflects the quantity and
7period of utility usage in the building, property, or portion
8thereof.
9    "Data recipient" means:
10        (1) an owner of the property or building;
11        (2) an owner of a portion of a property with regard to
12    covered usage data only for the utility consumption the
13    owner or the owner's tenants, if any, pay for and consume
14    in the owned portion;
15        (3) a tenant with regard to covered usage data only
16    for the utility consumption the tenant or the tenant's
17    subtenants, if any, pay for and consume in the space
18    leased by the tenant;
19        (4) the board, in the case of a condominium or
20    cooperative ownership of the property or building; or
21        (5) an agent authorized to receive the covered usage
22    data by anyone in paragraphs (1) through (4).
23    "Property" means:
24        (1) a single tax parcel;
25        (2) 2 or more tax parcels held in the cooperative or
26    condominium form of ownership and governed by a single

 

 

SB0025 Enrolled- 49 -LRB104 07069 BAB 17106 b

1    board of managers; or
2        (3) 2 or more colocated tax parcels owned or
3    controlled by the same entity.
4    "Qualified account" means a utility account that serves
5some or all of a building or property for which covered usage
6data is requested and that, as affirmed by the data recipient,
7was not controlled by the data recipient or its subsidiary
8during the time period for which covered usage data is
9requested.
10    "Qualified building" means a building that meets the
11aggregation threshold.
12    "Qualified data recipient" means a data recipient with
13respect to a qualified property or qualified building.
14    "Qualified property" means a property that meets the
15aggregation threshold.
16    "Utility" means an entity that is an electric utility with
17over 500,000 customers in this State and that is a public
18utility, as defined in Section 3-105 of the Public Utilities
19Act.
20    "Utility data type" means electric.
 
21    Section 5-15. Utility data access.
22    (a) Within 90 days after the effective date of this Act,
23the Commission shall open a proceeding to establish by rule,
24consistent with the Illinois Administrative Procedure Act and
25the requirements of subsection (c), procedures to implement

 

 

SB0025 Enrolled- 50 -LRB104 07069 BAB 17106 b

1the requirements of this Section. The Commission shall
2consider industry best practices along with Illinois law,
3rules, and Commission orders in developing the implementing
4rules. The governing authority of a public utility district,
5municipally owned utility, or cooperative utility may adopt a
6rule adopted by the Commission.
7    (b) No later than 2 years after the effective date of this
8Act, the Commission shall adopt procedures through the
9rulemaking proceeding identified in subsection (a) whereby:
10        (1) a utility shall retain usage data in the
11    possession of the utility on the effective date of this
12    Act or that is subsequently generated by the utility, for
13    a period 5 years or however long the utility retains usage
14    data in its active billing system, whichever is longer;
15        (2) a utility shall honor an account holder's
16    authorized request to transmit the account holder's
17    covered usage data held by the utility to any entity
18    designated by the account holder;
19        (3) a qualified data recipient with respect to a
20    qualified building or qualified property may request that
21    a utility provide aggregated usage data for the qualified
22    building or qualified property. Aggregated usage data
23    shall include identifiers of all meters associated with
24    the aggregate data and any other information needed for
25    data quality assurance;
26        (4) a utility shall establish a tool or process to

 

 

SB0025 Enrolled- 51 -LRB104 07069 BAB 17106 b

1    enable qualified data recipients to request data under
2    this subsection. The tool or process shall meet
3    specifications established by the Commission;
4        (5) the account holder request process and utility
5    delivery of requested data shall be convenient, secure,
6    and at the Commission's direction requests to the utility
7    may be submitted exclusively through an online portal; and
8        (6) a utility shall provide updates or corrections to
9    any previously provided usage information on the schedule
10    established in paragraph (5) of subsection (d). Data
11    recipients may request and receive timely revisions
12    correcting any previously provided usage information. A
13    utility shall also provide usage information on the
14    schedule established in paragraph (5) of subsection (d).
15    (c) Any covered usage data that a utility provides to a
16data recipient under this Section must meet the following
17requirements:
18        (1) The covered usage data must be available to be
19    requested online. A utility's validation of the
20    requester's identity shall be consistent with, and no more
21    onerous than, the utility's then-current practices.
22        (2) The covered usage data must be provided to the
23    data recipient in a timeframe, frequency, and format and
24    be delivered by a method as may be determined by the
25    Commission.
26    (d) Any covered usage data that a utility provides to a

 

 

SB0025 Enrolled- 52 -LRB104 07069 BAB 17106 b

1data recipient under this Section must:
2        (1) be provided to the data recipient within 30 days
3    after receiving the data recipient's valid request if the
4    request is received after the effective date of the
5    rulemaking identified in subsection (a) of this Section;
6        (2) for any initial upload of data to a data recipient
7    and subject to subsection (j) of this Section, a data
8    recipient must include all the data for the time period
9    required in paragraph (1) of subsection (b), regardless of
10    whether the data recipient had a business relationship
11    with the building or property during that period;
12        (3) include all necessary data and available usage
13    data points for data recipients to comply with reporting
14    requirements to which they are subject, including any such
15    usage data that the utility possesses;
16        (4) be directly uploaded to the benchmarking tool
17    account, or delivered in another format approved by the
18    Commission, depending on utility size under subsection
19    (e);
20        (5) be provided to the data recipient according to a
21    schedule set by the Commission, but no less than monthly;
22        (6) be provided until the data recipient revokes the
23    request for usage data or is no longer a data recipient or
24    is no longer a qualified data recipient with respect to
25    aggregated usage data;
26        (7) be accompanied by a list of all meters associated

 

 

SB0025 Enrolled- 53 -LRB104 07069 BAB 17106 b

1    with the covered usage data, including, but not limited
2    to, aggregated usage data, and shall be accompanied by any
3    other information the Commission deems necessary including
4    for data quality assurance; and
5        (8) be provided at no cost to the data recipient.
6    (e) The Commission shall direct that covered usage data
7shall be delivered to the data recipient in a standard format
8consistent with the benchmarking tool at the data recipient's
9request. The Commission shall direct electric utilities that
10serve at least 500,000 customers in the State to provide
11requested data by direct upload to the benchmarking tool and
12associate the data with the data recipient's benchmarking tool
13account.
14    (f) To ensure the validity and usefulness of covered usage
15data, the utility shall provide the best available consumption
16and other information, consistent with the utility's records
17as presented to account holders on the utility's customer
18portal and captured at the meter level.
19    (g) Once covered usage data has been made available to a
20duly authorized data recipient, such data may not be deleted
21or altered by a utility system, except as is necessary to
22correct errors or reflect rebills or is affected as part of the
23utility's billing data retention policy. If previously
24provided covered usage data is changed to correct errors,
25notification must be provided to the data recipient.
26    (h) Within 180 days after the effective date of this Act,

 

 

SB0025 Enrolled- 54 -LRB104 07069 BAB 17106 b

1the Commission shall adopt a standard form for a utility
2account holder to authorize the sharing of the utility account
3holder's covered usage data.
4    (i) For properties that do not meet the aggregation
5threshold and therefore require account holder authorization,
6the utility shall provide covered usage data to data
7recipients upon account holder authorization, which:
8        (1) may be provided in Commission-approved form;
9        (2) may be provided in a lease agreement provision;
10    and
11        (3) remains valid until the account holder revokes it,
12    regardless of how the authorization is provided.
13    (j) Access to covered usage data under this Section shall
14be subject to any rules the Commission has adopted or may
15choose to adopt, if the rules do not conflict with this
16Section.
17    (k) Except in cases where the utility has not followed
18processes established by this Act or the utility is grossly
19negligent, the utility shall be held harmless for third-party
20misuse of data shared under this Act and no cause of action may
21be initiated against the utility for such subsequent misuse.
22    (l) A utility may file for cost recovery of the reasonable
23and prudently incurred costs of providing covered usage data,
24including establishing, operating, and maintaining data
25aggregation and data access services, for the Commission to
26evaluate. A utility shall make good faith efforts to secure

 

 

SB0025 Enrolled- 55 -LRB104 07069 BAB 17106 b

1federal, State, or other relevant funding for such investments
2in the future. Any such funding the utility receives shall be
3deducted from future revenue requirements.
4    (m) The Commission may hire consultants and experts to
5execute their responsibilities under this Act, with the
6retention of those consultants and experts exempt from the
7requirements of Section 20-10 of the Illinois Procurement
8Code.
 
9
ARTICLE 90.

 
10    Section 90-5. The Department of Commerce and Economic
11Opportunity Law of the Civil Administrative Code of Illinois
12is amended by changing Section 605-1075 as follows:
 
13    (20 ILCS 605/605-1075)
14    Sec. 605-1075. Energy Transition Assistance Fund.
15    (a) The General Assembly hereby declares that management
16of several economic development programs requires a
17consolidated funding source to improve resource efficiency.
18The General Assembly specifically recognizes that properly
19serving communities and workers impacted by the energy
20transition requires that the Department of Commerce and
21Economic Opportunity have access to the resources required for
22the execution of the programs for workforce and contractor
23development, just transition investments and community

 

 

SB0025 Enrolled- 56 -LRB104 07069 BAB 17106 b

1support, and the implementation and administration of energy
2and justice efforts by the State.
3    (b) The Department shall be responsible for the
4administration of the Energy Transition Assistance Fund and
5shall allocate funding on the basis of priorities established
6in this Section. Each year, the Department shall determine the
7available amount of resources in the Fund that can be
8allocated to the programs identified in this Section, and
9allocate the funding accordingly. The Department shall, to the
10extent practical, consider both the short-term and long-term
11costs of the programs and allocate funding so that the
12Department is able to cover both the short-term and long-term
13costs of these programs using projected revenue.
14    The available funding for each year shall be allocated
15from the Fund in the following order of priority:
16        (1) for costs related to the Clean Jobs Workforce
17    Network Program, up to $21,000,000 annually prior to June
18    1, 2023; and $24,333,333 annually from June 1, 2023 to May
19    30, 2026; and $26,500,000 annually thereafter;
20        (2) for costs related to the Clean Energy Contractor
21    Incubator Program, up to $21,000,000 annually prior to
22    June 1, 2026 and up to $22,687,403 thereafter;
23        (3) for costs related to the Clean Energy Primes
24    Contractor Accelerator Program, up to $9,000,000 annually;
25        (4) for costs related to the Barrier Reduction
26    Program, up to $21,000,000 annually prior to June 1, 2026

 

 

SB0025 Enrolled- 57 -LRB104 07069 BAB 17106 b

1    and up to $22,143,079 annually thereafter;
2        (5) for costs related to the Jobs and Environmental
3    Justice Grant Program, up to $34,000,000 annually prior to
4    June 1, 2026 and up to $41,000,000 annually thereafter;
5        (6) for costs related to the Returning Residents Clean
6    Jobs Training Program, up to $6,000,000 annually;
7        (7) for costs related to Energy Transition Navigators,
8    up to $6,000,000 annually prior to June 1, 2026 and up to
9    $6,500,000 annually thereafter;
10        (8) for costs related to the Illinois Climate Works
11    Preapprenticeship Program, up to $10,000,000 annually;
12        (9) for costs related to Energy Transition Community
13    Support Grants, up to $40,000,000 annually;
14        (10) for costs related to the Displaced Energy Worker
15    Dependent Scholarship, upon request by the Illinois
16    Student Assistance Commission, up to $1,100,000 annually;
17        (11) up to $10,000,000 annually shall be transferred
18    to the Public Utilities Fund for use by the Illinois
19    Commerce Commission for costs of administering the changes
20    made to the Public Utilities Act by this amendatory Act of
21    the 102nd General Assembly;
22        (12) up to $4,000,000 annually shall be transferred to
23    the Illinois Power Agency Operations Fund for use by the
24    Illinois Power Agency; and
25        (13) for costs related to the Clean Energy Jobs and
26    Justice Fund, up to $1,000,000 annually.

 

 

SB0025 Enrolled- 58 -LRB104 07069 BAB 17106 b

1    The Department is authorized to utilize up to 10% of the
2Energy Transition Assistance Fund for administrative and
3operational expenses to implement the requirements of this
4Act.
5    (b-5) Beginning January 1, 2028, at the direction of the
6Department, the State Comptroller shall direct and the State
7Treasurer shall transfer up to $84,800,000 annually into the
8Electric Vehicle and Charging Fund from the Energy Transition
9Assistance Fund for costs related to transportation
10electrification programs, as described in Section 36 of the
11Electric Vehicle Rebate Act. The Environmental Protection
12Agency may use up to 3% of the annual allocation under this
13subsection (b-5) for administrative and operational expenses.    
14    (c) Within 30 days after the effective date of this
15amendatory Act of the 102nd General Assembly, each electric
16utility serving more than 500,000 customers in the State shall
17report to the Department its total kilowatt-hours of energy
18delivered during the 12 months ending on the immediately
19preceding May 31. By October 31, 2021 and each October 31
20thereafter, each electric utility serving more than 500,000
21customers in the State shall report to the Department its
22total kilowatt-hours of energy delivered during the 12 months
23ending on the immediately preceding May 31.
24    (d) The Department shall, within 60 days after the
25effective date of this amendatory Act of the 102nd General
26Assembly:

 

 

SB0025 Enrolled- 59 -LRB104 07069 BAB 17106 b

1        (1) determine the amount necessary, but not more than
2    $180,000,000, to meet the funding needs of the programs
3    reliant upon the Energy Transition Assistance Fund as a
4    revenue source for the period between the effective date
5    of this amendatory Act of the 102nd General Assembly and
6    December 31, 2021;
7        (2) determine, based on the kilowatt-hour deliveries
8    for the 12 months ending May 31, 2021 reported by the
9    electric utilities under subsection (c), the total energy
10    transition assistance charge to be allocated to each
11    electric utility for the period between the effective date
12    of this amendatory Act of the 102nd General Assembly and
13    December 31, 2021; and
14        (3) report the total energy transition assistance
15    charge applicable until December 31, 2021 to each electric
16    utility serving more than 500,000 customers in the State
17    and the Illinois Commerce Commission for purposes of
18    filing the tariff pursuant to Section 16-108.30 of the
19    Public Utilities Act.
20    (d-5) Notwithstanding subsection (d), the Department
21shall, within 60 days after the effective date of this
22amendatory Act of the 104th General Assembly, determine the
23amount necessary, but not more than $192,000,000, to meet the
24funding needs of the programs reliant upon the Energy
25Transition Assistance Fund as a revenue source.
26    (e) The Department shall by November 30, 2021, and each

 

 

SB0025 Enrolled- 60 -LRB104 07069 BAB 17106 b

1November 30 thereafter:
2        (1) determine the amount necessary, but not more than
3    $180,000,000 before the effective date of this amendatory
4    Act of the 104th General Assembly and not more than
5    $192,000,000, plus the amount needed to fund the programs
6    described in subsection (b-5), after the effective date of
7    this amendatory Act of the 104th General Assembly, to meet
8    the funding needs of the programs reliant upon the Energy
9    Transition Assistance Fund as a revenue source for the
10    immediately following calendar year;
11        (2) determine, based on the kilowatt-hour deliveries
12    for the 12 months ending on the immediately preceding May
13    31 reported to it by the electric utilities under
14    subsection (c), the total energy transition assistance
15    charge to be allocated to each electric utility for the
16    immediately following calendar year; and
17        (3) report the energy transition assistance charge
18    applicable for the immediately following calendar year to
19    each electric utility serving more than 500,000 customers
20    in the State and the Illinois Commerce Commission for
21    purposes of filing the tariff pursuant to Section
22    16-108.30 of the Public Utilities Act.
23    (f) The energy transition assistance charge may not exceed
24$192,000,000 plus the amount needed to fund the programs
25described in subsection (b-5) $180,000,000 annually. If, at
26the end of the calendar year, any surplus remains in the Energy

 

 

SB0025 Enrolled- 61 -LRB104 07069 BAB 17106 b

1Transition Assistance Fund, the Department may allocate the
2surplus from the fund in the following order of priority:
3        (1) for costs related to the development of the
4    Stretch Energy Codes and other standards at the Capital
5    Development Board, up to $500,000 annually, at the request
6    of the Board;
7        (2) up to $7,000,000 annually shall be transferred to
8    the Energy Efficiency Trust Fund and Clean Air Act Permit
9    Fund for use by the Environmental Protection Agency for
10    costs related to energy efficiency and weatherization, and
11    costs of implementation, administration, and enforcement
12    of the Clean Air Act; and
13        (3) for costs related to State fleet electrification
14    at the Department of Central Management Services, up to
15    $10,000,000 annually, at the request of the Department.
16(Source: P.A. 102-662, eff. 9-15-21.)
 
17    Section 90-6. The Electric Vehicle Act is amended by
18changing Sections 45 and 55 as follows:
 
19    (20 ILCS 627/45)
20    Sec. 45. Beneficial electrification.
21    (a) It is the intent of the General Assembly to decrease
22reliance on fossil fuels, reduce pollution from the
23transportation sector, increase access to electrification for
24all consumers, and ensure that electric vehicle adoption and

 

 

SB0025 Enrolled- 62 -LRB104 07069 BAB 17106 b

1increased electricity usage and demand do not place
2significant additional burdens on the electric system and
3create benefits for Illinois residents.
4        (1) Illinois should increase the adoption of electric
5    vehicles in the State to 1,000,000 by 2030.
6        (2) Illinois should strive to be the best state in the
7    nation in which to drive and manufacture electric
8    vehicles.
9        (3) Widespread adoption of electric vehicles is
10    necessary to electrify the transportation sector,
11    diversify the transportation fuel mix, drive economic
12    development, and protect air quality.
13        (4) Accelerating the adoption of electric vehicles
14    will drive the decarbonization of Illinois' transportation
15    sector.
16        (5) Expanded infrastructure investment will help
17    Illinois more rapidly decarbonize the transportation
18    sector.
19        (6) Statewide adoption of electric vehicles requires
20    increasing access to electrification for all consumers.
21        (7) Widespread adoption of electric vehicles requires
22    increasing public access to charging equipment throughout
23    Illinois, especially in low-income and environmental
24    justice communities, where levels of air pollution burden
25    tend to be higher.
26        (8) Widespread adoption of electric vehicles and

 

 

SB0025 Enrolled- 63 -LRB104 07069 BAB 17106 b

1    charging equipment has the potential to provide customers
2    with fuel cost savings and electric utility customers with
3    cost-saving benefits.
4        (9) Widespread adoption of electric vehicles can
5    improve an electric utility's electric system efficiency
6    and operational flexibility, including the ability of the
7    electric utility to integrate renewable energy resources
8    and make use of off-peak generation resources that support
9    the operation of charging equipment.
10        (10) Widespread adoption of electric vehicles should
11    stimulate innovation, competition, and increased choices
12    in charging equipment and networks and should also attract
13    private capital investments and create high-quality jobs
14    in Illinois.
15    (b) As used in this Section:
16    "Agency" means the Environmental Protection Agency.
17    "Beneficial electrification programs" means programs that
18lower carbon dioxide emissions, replace fossil fuel use,
19create cost savings, improve electric grid operations, reduce
20increases to peak demand, improve electric usage load shape,
21and align electric usage with times of renewable generation.
22All beneficial electrification programs shall provide for
23incentives such that customers are induced to use electricity
24at times of low overall system usage or at times when
25generation from renewable energy sources is high. "Beneficial
26electrification programs" include a portfolio of the

 

 

SB0025 Enrolled- 64 -LRB104 07069 BAB 17106 b

1following:
2        (1) time-of-use electric rates;
3        (2) hourly pricing electric rates;
4        (3) optimized charging programs or programs that
5    encourage charging at times beneficial to the electric
6    grid;
7        (4) optional demand-response programs specifically
8    related to electrification efforts;
9        (5) incentives for electrification and associated
10    infrastructure tied to using electricity at off-peak
11    times;
12        (6) incentives for electrification and associated
13    infrastructure targeted to medium-duty and heavy-duty
14    vehicles used by transit agencies;
15        (7) incentives for electrification and associated
16    infrastructure targeted to school buses;
17        (8) incentives for electrification and associated
18    infrastructure for medium-duty and heavy-duty government
19    and private fleet vehicles;
20        (9) low-income programs that provide access to
21    electric vehicles for communities where car ownership or
22    new car ownership is not common;
23        (10) incentives for electrification in eligible
24    communities;
25        (11) incentives or programs to enable quicker adoption
26    of electric vehicles by developing public charging

 

 

SB0025 Enrolled- 65 -LRB104 07069 BAB 17106 b

1    stations in dense areas, workplaces, and low-income
2    communities;
3        (12) incentives or programs to develop electric
4    vehicle infrastructure that minimizes range anxiety,
5    filling the gaps in deployment, particularly in rural
6    areas and along highway corridors;
7        (13) incentives to encourage the development of
8    electrification and renewable energy generation in close
9    proximity in order to reduce grid congestion;
10        (14) offer support to low-income communities who are
11    experiencing financial and accessibility barriers such
12    that electric vehicle ownership is not an option; and
13        (15) other such programs as defined by the Commission.
14    "Black, indigenous, and people of color" or "BIPOC" means
15people who are members of the groups described in
16subparagraphs (a) through (e) of paragraph (A) of subsection
17(1) of Section 2 of the Business Enterprise for Minorities,
18Women, and Persons with Disabilities Act.
19    "Commission" means the Illinois Commerce Commission.
20    "Coordinator" means the Electric Vehicle Coordinator.
21    "Electric vehicle" means a vehicle that is exclusively
22powered by and refueled by electricity, must be plugged in to
23charge, and is licensed to drive on public roadways. "Electric
24vehicle" does not include electric mopeds, electric
25off-highway vehicles, or hybrid electric vehicles and
26extended-range electric vehicles that are also equipped with

 

 

SB0025 Enrolled- 66 -LRB104 07069 BAB 17106 b

1conventional fueled propulsion or auxiliary engines.
2    "Electric vehicle charging station" means a station that
3delivers electricity from a source outside an electric vehicle
4into one or more electric vehicles.
5    "Environmental justice communities" means the definition
6of that term based on existing methodologies and findings,
7used and as may be updated by the Illinois Power Agency and its
8program administrator in the Illinois Solar for All Program.
9    "Equity investment eligible community" or "eligible
10community" means the geographic areas throughout Illinois
11which would most benefit from equitable investments by the
12State designed to combat discrimination and foster sustainable
13economic growth. Specifically, "eligible community" means the
14following areas:
15        (1) areas where residents have been historically
16    excluded from economic opportunities, including
17    opportunities in the energy sector, as defined pursuant to
18    Section 10-40 of the Cannabis Regulation and Tax Act; and
19        (2) areas where residents have been historically
20    subject to disproportionate burdens of pollution,
21    including pollution from the energy sector, as established
22    by environmental justice communities as defined by the
23    Illinois Power Agency pursuant to Illinois Power Agency
24    Act, excluding any racial or ethnic indicators.
25    "Equity investment eligible person" or "eligible person"
26means the persons who would most benefit from equitable

 

 

SB0025 Enrolled- 67 -LRB104 07069 BAB 17106 b

1investments by the State designed to combat discrimination and
2foster sustainable economic growth. Specifically, "eligible
3person" means the following people:
4        (1) persons whose primary residence is in an equity
5    investment eligible community;
6        (2) persons who are graduates of or currently enrolled
7    in the foster care system; or
8        (3) persons who were formerly incarcerated.
9    "Low-income" means persons and families whose income does
10not exceed 80% of the state median income for the current State
11fiscal year as established by the U.S. Department of Health
12and Human Services.
13    "Make-ready infrastructure" means the electrical and
14construction work necessary between the distribution circuit
15to the connection point of charging equipment.
16    "Optimized charging programs" mean programs whereby owners
17of electric vehicles can set their vehicles to be charged
18based on the electric system's current demand, retail or
19wholesale market rates, incentives, the carbon or other
20pollution intensity of the electric generation mix, the
21provision of grid services, efficient use of the electric
22grid, or the availability of clean energy generation.
23Optimized charging programs may be operated by utilities as
24well as third parties.
25    (c) The Commission shall initiate a workshop process no
26later than November 30, 2021 for the purpose of soliciting

 

 

SB0025 Enrolled- 68 -LRB104 07069 BAB 17106 b

1input on the design of beneficial electrification programs
2that the utility shall offer. The workshop shall be
3coordinated by the Staff of the Commission, or a facilitator
4retained by Staff, and shall be organized and facilitated in a
5manner that encourages representation from diverse
6stakeholders, including stakeholders representing
7environmental justice and low-income communities, and ensures
8equitable opportunities for participation, without requiring
9formal intervention or representation by an attorney.
10    The stakeholder workshop process shall take into
11consideration the benefits of electric vehicle adoption and
12barriers to adoption, including:
13        (1) the benefit of lower bills for customers who do
14    not charge electric vehicles;
15        (2) benefits to the distribution system from electric
16    vehicle usage;
17        (3) the avoidance and reduction in capacity costs from
18    optimized charging and off-peak charging;
19        (4) energy price and cost reductions;
20        (5) environmental benefits, including greenhouse gas
21    emission and other pollution reductions;
22        (6) current barriers to mass-market adoption,
23    including cost of ownership and availability of charging
24    stations;
25        (7) current barriers to increasing access among
26    populations that have limited access to electric vehicle

 

 

SB0025 Enrolled- 69 -LRB104 07069 BAB 17106 b

1    ownership, communities significantly impacted by
2    transportation-related pollution, and market segments that
3    create disproportionate pollution impacts;
4        (8) benefits of and incentives for medium-duty and
5    heavy-duty fleet vehicle electrification;
6        (9) opportunities for eligible communities to benefit
7    from electrification;
8        (10) geographic areas and market segments that should
9    be prioritized for electrification infrastructure
10    investment.
11    The workshops shall consider barriers, incentives,
12enabling rate structures, and other opportunities for the bill
13reduction and environmental benefits described in this
14subsection.
15    The workshop process shall conclude no later than February
1628, 2022. Following the workshop, the Staff of the Commission,
17or the facilitator retained by the Staff, shall prepare and
18submit a report, no later than March 31, 2022, to the
19Commission that includes, but is not limited to,
20recommendations for transportation electrification investment
21or incentives in the following areas:
22        (i) publicly accessible Level 2 and fast-charging
23    stations, with a focus on bringing access to
24    transportation electrification in densely populated areas
25    and workplaces within eligible communities;
26        (ii) medium-duty and heavy-duty charging

 

 

SB0025 Enrolled- 70 -LRB104 07069 BAB 17106 b

1    infrastructure used by government and private fleet
2    vehicles that serve or travel through environmental
3    justice or eligible communities;
4        (iii) medium-duty and heavy-duty charging
5    infrastructure used in school bus operations, whether
6    private or public, that primarily serve governmental or
7    educational institutions, and also serve or travel through
8    environmental justice or eligible communities;
9        (iv) public transit medium-duty and heavy-duty
10    charging infrastructure, developed in consultation with
11    public transportation agencies; and
12        (v) publicly accessible Level 2 and fast-charging
13    stations targeted to fill gaps in deployment, particularly
14    in rural areas and along State highway corridors.
15    The report must also identify the participants in the
16process, program designs proposed during the process,
17estimates of the costs and benefits of proposed programs, any
18material issues that remained unresolved at the conclusions of
19such process, and any recommendations for workshop process
20improvements. The report shall be used by the Commission to
21inform and evaluate the cost-effectiveness cost effectiveness    
22and achievement of goals within the submitted Beneficial
23Electrification Plans.
24    (d) No later than July 1, 2022, electric utilities serving
25greater than 500,000 customers in the State shall file a
26Beneficial Electrification Plan with the Illinois Commerce

 

 

SB0025 Enrolled- 71 -LRB104 07069 BAB 17106 b

1Commission for programs that start no later than January 1,
22023. The plan shall take into consideration recommendations
3from the workshop report described in this Section. Within 45
4days after the filing of the Beneficial Electrification Plan,
5the Commission shall, with reasonable notice, open an
6investigation to consider whether the plan meets the
7objectives and contains the information required by this
8Section. The Commission shall determine if the proposed plan
9is cost-beneficial and in the public interest. When
10considering if the plan is in the public interest and
11determining appropriate levels of cost recovery for
12investments and expenditures related to programs proposed by
13an electric utility, the Commission shall consider whether the
14investments and other expenditures are designed and reasonably
15expected to:
16        (1) maximize total energy cost savings and rate
17    reductions so that nonparticipants can benefit;
18        (2) address environmental justice interests by
19    ensuring there are significant opportunities for residents
20    and businesses in eligible communities to directly
21    participate in and benefit from beneficial electrification
22    programs;
23        (3) support at least a 40% investment of make-ready
24    infrastructure incentives to facilitate the rapid
25    deployment of charging equipment in or serving
26    environmental justice, low-income, and eligible

 

 

SB0025 Enrolled- 72 -LRB104 07069 BAB 17106 b

1    communities; however, nothing in this subsection is
2    intended to require a specific amount of spending in a
3    particular geographic area;
4        (4) support at least a 5% investment target in
5    electrifying medium-duty and heavy-duty school bus and
6    diesel public transportation vehicles located in or
7    serving environmental justice, low-income, and eligible
8    communities in order to provide those communities and
9    businesses with greater economic investment,
10    transportation opportunities, and a cleaner environment so
11    they can directly benefit from transportation
12    electrification efforts; however, nothing in this
13    subsection is intended to require a specific amount of
14    spending in a particular geographic area;
15        (5) stimulate innovation, competition, private
16    investment, and increased consumer choices in electric
17    vehicle charging equipment and networks;
18        (6) contribute to the reduction of carbon emissions
19    and meeting air quality standards, including improving air
20    quality in eligible communities who disproportionately
21    suffer from emissions from the medium-duty and heavy-duty
22    transportation sector;
23        (7) support the efficient and cost-effective use of
24    the electric grid in a manner that supports electric
25    vehicle charging operations; and
26        (8) provide resources to support private investment in

 

 

SB0025 Enrolled- 73 -LRB104 07069 BAB 17106 b

1    charging equipment for uses in public and private charging
2    applications, including residential, multi-family, fleet,
3    transit, community, and corridor applications.
4    The plan shall be determined to be cost-beneficial if the
5total cost of beneficial electrification expenditures is less
6than the net present value of increased electricity costs
7(defined as marginal avoided energy, avoided capacity, and
8avoided transmission and distribution system costs) avoided by
9programs under the plan, the net present value of reductions
10in other customer energy costs, net revenue from all electric
11charging in the service territory, and the societal value of
12reduced carbon emissions and surface-level pollutants,
13particularly in environmental justice communities. The
14calculation of costs and benefits should be based on net
15impacts, including the impact on customer rates.
16    The Commission shall approve, approve with modifications,
17or reject the plan within 270 days from the date of filing. The
18Commission may approve the plan if it finds that the plan will
19achieve the goals described in this Section and contains the
20information described in this Section. Proceedings under this
21Section shall proceed according to the rules provided by
22Article IX of the Public Utilities Act. Information contained
23in the approved plan shall be considered part of the record in
24any Commission proceeding under Section 16-107.6 of the Public
25Utilities Act, provided that a final order has not been
26entered prior to the initial filing date. The Beneficial

 

 

SB0025 Enrolled- 74 -LRB104 07069 BAB 17106 b

1Electrification Plan shall specifically address, at a minimum,
2the following:
3        (i) make-ready investments to facilitate the rapid
4    deployment of charging equipment throughout the State,
5    facilitate the electrification of public transit and other
6    vehicle fleets in the light-duty, medium-duty, and
7    heavy-duty sectors, and align with Agency-issued rebates
8    for charging equipment;
9        (ii) the development and implementation of beneficial
10    electrification programs, including time-of-use rates and
11    their benefit for electric vehicle users and for all
12    customers, optimized charging programs to achieve savings
13    identified, and new contracts and compensation for
14    services in those programs, through signals that allow
15    electric vehicle charging to respond to local system
16    conditions, manage critical peak periods, serve as a
17    demand response or peak resource, and maximize renewable
18    energy use and integration into the grid;
19        (iii) optional commercial tariffs utilizing
20    alternatives to traditional demand-based rate structures
21    to facilitate charging for light-duty, heavy-duty, and
22    fleet electric vehicles;
23        (iv) financial and other challenges to electric
24    vehicle usage in low-income communities, and strategies
25    for overcoming those challenges, particularly in
26    communities where and for people for whom car ownership is

 

 

SB0025 Enrolled- 75 -LRB104 07069 BAB 17106 b

1    not an option;
2        (v) methods of minimizing ratepayer impacts and
3    exempting or minimizing, to the extent possible,
4    low-income ratepayers from the costs associated with
5    facilitating the expansion of electric vehicle charging;
6        (vi) plans to increase access to Level 3 Public
7    Electric Vehicle Charging Infrastructure to serve vehicles
8    that need quicker charging times and vehicles of persons
9    who have no other access to charging infrastructure,
10    regardless of whether those projects participate in
11    optimized charging programs;
12        (vii) whether to establish charging standards for type
13    of plugs eligible for investment or incentive programs,
14    and if so, what standards;
15        (viii) opportunities for coordination and cohesion
16    with electric vehicle and electric vehicle charging
17    equipment incentives established by any agency,
18    department, board, or commission of the State, any other
19    unit of government in the State, any national programs, or
20    any unit of the federal government;
21        (ix) ideas for the development of online tools,
22    applications, and data sharing that provide essential
23    information to those charging electric vehicles, and
24    enable an automated charging response to price signals,
25    emission signals, real-time renewable generation
26    production, and other Commission-approved or

 

 

SB0025 Enrolled- 76 -LRB104 07069 BAB 17106 b

1    customer-desired indicators of beneficial charging times;
2    and
3        (x) customer education, outreach, and incentive
4    programs that increase awareness of the programs and the
5    benefits of transportation electrification, including
6    direct outreach to eligible communities.
7    (e) Proceedings under this Section shall proceed according
8to the rules provided by Article IX of the Public Utilities
9Act. Information contained in the approved plan shall be
10considered part of the record in any Commission proceeding
11under Section 16-107.6 of the Public Utilities Act, provided
12that a final order has not been entered prior to the initial
13filing date.
14    (f) The utility shall file an update to the plan on July 1,
152024 and every 3 years thereafter. This update shall describe
16transportation investments made during the prior plan period,
17investments planned for the following 24 months, and updates
18to the information required by this Section. Beginning with
19the first update, the    The utility shall develop the plan in
20conjunction with the distribution system planning process
21described in Section 16-105.17, including incorporation of
22stakeholder feedback from that process.
23    (g) Within 35 days after the utility files its report, the
24Commission shall, upon its own initiative, open an
25investigation regarding the utility's plan update to
26investigate whether the objectives described in this Section

 

 

SB0025 Enrolled- 77 -LRB104 07069 BAB 17106 b

1are being achieved. The Commission shall determine whether
2investment targets should be increased based on achievement of
3spending goals outlined in the Beneficial Electrification Plan
4and consistency with outcomes directed in the plan stakeholder
5workshop report. If the Commission finds, after notice and
6hearing, that the utility's plan is materially deficient, the
7Commission shall issue an order requiring the utility to
8devise a corrective action plan, subject to Commission
9approval, to bring the plan into compliance with the goals of
10this Section. The Commission's order shall be entered within
11270 days after the utility files its annual report. The
12contents of a plan filed under this Section shall be available
13for evidence in Commission proceedings. However, omission from
14an approved plan shall not render any future utility
15expenditure to be considered unreasonable or imprudent. The
16Commission may, upon sufficient evidence, allow expenditures
17that were not part of any particular distribution plan. The
18Commission shall consider revenues from electric vehicles in
19the utility's service territory in evaluating the retail rate
20impact. The retail rate impact from the development of
21electric vehicle infrastructure shall not exceed 1% per year
22of the total annual revenue requirements of the utility.
23    (h) In meeting the requirements of this Section, the
24utility shall demonstrate efforts to increase the use of
25contractors and electric vehicle charging station installers
26that meet multiple workforce equity actions, including, but

 

 

SB0025 Enrolled- 78 -LRB104 07069 BAB 17106 b

1not limited to:
2        (1) the business is headquartered in or the person
3    resides in an eligible community;
4        (2) the business is majority owned by eligible person
5    or the contractor is an eligible person;
6        (3) the business or person is certified by another
7    municipal, State, federal, or other certification for
8    disadvantaged businesses;
9        (4) the business or person meets the eligibility
10    criteria for a certification program such as:
11            (A) certified under Section 2 of the Business
12        Enterprise for Minorities, Women, and Persons with
13        Disabilities Act;
14            (B) certified by another municipal, State,
15        federal, or other certification for disadvantaged
16        businesses;
17            (C) submits an affidavit showing that the vendor
18        meets the eligibility criteria for a certification
19        program such as those in items (A) and (B);
20            (D) if the vendor is a nonprofit, meets any of the
21        criteria in those in item (A), (B), or (C) with the
22        exception that the nonprofit is not required to meet
23        any criteria related to being a for-profit entity, or
24        is controlled by a board of directors that consists of
25        51% or greater individuals who are equity investment
26        eligible persons; or

 

 

SB0025 Enrolled- 79 -LRB104 07069 BAB 17106 b

1            (E) ensuring that program implementation
2        contractors and electric vehicle charging station
3        installers pay employees working on electric vehicle
4        charging installations at or above the prevailing wage
5        rate as published by the Department of Labor.
6    Utilities shall establish reporting procedures for vendors
7that ensure compliance with this subsection, but are
8structured to avoid, wherever possible, placing an undue
9administrative burden on vendors.
10    (i) Program data collection.
11        (1) In order to ensure that the benefits provided to
12    Illinois residents and business by the clean energy
13    economy are equitably distributed across the State, it is
14    necessary to accurately measure the applicants and
15    recipients of this Program. The purpose of this paragraph
16    is to require the implementing utilities to collect all
17    data from Program applicants and beneficiaries to track
18    and improve equitable distribution of benefits across
19    Illinois communities. The further purpose is to measure
20    any potential impact of racial discrimination on the
21    distribution of benefits and provide the utilities the
22    information necessary to correct any discrimination
23    through methods consistent with State and federal law.
24        (2) The implementing utilities shall collect
25    demographic and geographic data for each applicant and
26    each person or business awarded benefits or contracts

 

 

SB0025 Enrolled- 80 -LRB104 07069 BAB 17106 b

1    under this Program.
2        (3) The implementing utilities shall collect the
3    following information from applicants and Program or
4    procurement beneficiaries where applicable:
5            (A) demographic information, including racial or
6        ethnic identity for real persons employed, contracted,
7        or subcontracted through the program;
8            (B) demographic information, including racial or
9        ethnic identity of business owners;
10            (C) geographic location of the residency of real
11        persons or geographic location of the headquarters for
12        businesses; and
13            (D) any other information necessary for the
14        purpose of achieving the purpose of this paragraph.
15        (4) The utility shall publish, at least annually,
16    aggregated information on the demographics of program and
17    procurement applicants and beneficiaries. The utilities
18    shall protect personal and confidential business
19    information as necessary.
20        (5) The utilities shall conduct a regular review
21    process to confirm the accuracy of reported data.
22        (6) On a quarterly basis, utilities shall collect data
23    necessary to ensure compliance with this Section and shall
24    communicate progress toward compliance to program
25    implementation contractors and electric vehicle charging
26    station installation vendors.

 

 

SB0025 Enrolled- 81 -LRB104 07069 BAB 17106 b

1        (7) Utilities filing Beneficial Electrification Plans
2    under this Section shall report annually to the Illinois
3    Commerce Commission and the General Assembly on how
4    hiring, contracting, job training, and other practices
5    related to its beneficial Beneficial electrification
6    programs enhance the diversity of vendors working on such
7    programs. These reports must include data on vendor and
8    employee diversity.
9    (j) Any Beneficial Electrification Plan under this Section
10shall terminate on December 31, 2028. Beginning January 1,
112029, utilities shall continue to support transportation
12electrification by maintaining responsibility for the
13following through the Multi-Year Integrated Grid Plans
14implemented by electric utilities pursuant to Section
1516-105.17 of the Public Utilities Act, beginning with the
16plans that include a time period that is after January 1, 2029:
17        (i) make-ready investments and other programs that
18    facilitate the rapid deployment of charging equipment
19    throughout the State, especially deployment that targets
20    medium-duty and heavy-duty vehicle electrification and
21    multi-unit buildings;
22        (ii) the development and implementation of (1)
23    time-of-use rates and the benefit of the rates for
24    electric vehicle users and for all customers, (2)
25    optimized charging programs to achieve identified savings,
26    and (3) new contracts and compensation for services in the

 

 

SB0025 Enrolled- 82 -LRB104 07069 BAB 17106 b

1    optimized charging programs, through signals that allow
2    electric vehicle charging to respond to local system
3    conditions, manage critical peak periods, serve as a
4    demand response or peak resource, and maximize renewable
5    energy use and integration into the grid; and
6        (iii) commercial tariffs that utilize alternatives to
7    traditional demand-based rate structures to facilitate
8    charging for light-duty, heavy-duty, and fleet electric
9    vehicles.
10    Utilities shall demonstrate methods of minimizing
11ratepayer impacts and exempting or minimizing, to the extent
12possible, low-income ratepayers from the costs associated with
13facilitating the expansion of electric vehicle charging.
14    (k) (j) The provisions of this Section are severable under
15Section 1.31 of the Statute on Statutes.
16(Source: P.A. 102-662, eff. 9-15-21; 102-820, eff. 5-13-22;
17103-154, eff. 6-30-23.)
 
18    (20 ILCS 627/55)
19    Sec. 55. Charging rebate program.
20    (a) In order to substantially offset the installation
21costs of electric vehicle charging infrastructure, beginning
22July 1, 2022, and continuing as long as funds are available,
23the Agency shall issue rebates, consistent with the
24Commission-approved Beneficial Electrification Plans in
25accordance with Section 45, to public and private

 

 

SB0025 Enrolled- 83 -LRB104 07069 BAB 17106 b

1organizations and companies to install and maintain Level 2 or
2Level 3 charging stations.
3    (b) The Agency shall award rebates or grants that fund up
4to 80% of the cost of the installation of charging stations.
5The Agency shall award additional incentives per port for
6every charging station installed in an eligible community and
7every charging station located to support eligible persons. In
8order to be eligible to receive a rebate or grant, the
9organization or company must submit an application to the
10Agency and commit to paying the prevailing wage for the
11installation project. The Agency shall by rule provide
12application and other programmatic details and requirements,
13including additional incentives for eligible communities. The
14Agency may determine per port or project caps based on a review
15of best practices and stakeholder engagement. The Agency shall
16accept applications on a rolling basis and shall award rebates
17or grants within 60 days of each application. The Agency must
18require that any grant or rebate applicant comply with the
19requirements of the Prevailing Wage Act for any installation
20of a charging station for which it seeks a rebate or grant.
21    (c) This Section is repealed on January 1, 2029.    
22(Source: P.A. 102-662, eff. 9-15-21; 102-673, eff. 11-30-21.)
 
23    Section 90-7. The Energy Transition Act is amended by
24changing Sections 5-35, 5-40, and 5-60 as follows:
 

 

 

SB0025 Enrolled- 84 -LRB104 07069 BAB 17106 b

1    (20 ILCS 730/5-35)
2    (Section scheduled to be repealed on September 15, 2045)
3    Sec. 5-35. Energy Transition Navigators.
4    (a) As used in this Section:
5    "Community-based provider" means a not-for-profit
6organization that has a history of serving low-wage or
7low-skilled workers or individuals from economically
8disadvantaged communities.
9    "Economically disadvantaged community" means areas of one
10or more census tracts where the average household income does
11not exceed 80% of the area median income.
12    (b) In order to engage eligible individuals to participate
13in the Clean Jobs Workforce Network Program, the Illinois
14Climate Works Preapprenticeship Program, Returning Residents
15Clean Jobs Program, Clean Energy Contractor Incubator Program,
16and Clean Energy Primes Contractor Accelerator Program and
17utilize the services offered under the Energy Transition
18Barrier Reduction Program, the Department shall, subject to
19appropriation, contract with community-based providers to
20serve as Energy Transition Navigators. Energy Transition
21Navigators shall provide education, outreach, and recruitment
22services to equity focused populations, prioritizing
23individuals eligible for the Clean Jobs Workforce Network
24Program or Illinois Climate Works Preapprenticeship Program,
25to make sure they are aware of and engaged in the statewide and
26local workforce development systems. Additional strategies may

 

 

SB0025 Enrolled- 85 -LRB104 07069 BAB 17106 b

1include, but are not limited to, recruitment activities and
2events.
3    (c) For members of equity focused populations,
4prioritizing individuals eligible for the Clean Jobs Workforce
5Network Program or Illinois Climate Works Preapprenticeship
6Program, who may be interested in entrepreneurial pursuits,
7Energy Transition Navigators may connect these individuals
8with their area Small Business Development Center, Procurement
9Technical Assistance Centers, or economic development
10organization to engage in services, including, but not limited
11to, business consulting, business planning, regulatory
12compliance, marketing, training, accessing capital, government
13bid, and certification assistance.
14    (d) Energy Transition Navigators shall engage equity
15focused populations, prioritizing individuals eligible for the
16Clean Jobs Workforce Network Program or Illinois Climate Works
17Preapprenticeship Program, organizations working with these
18populations, local workforce innovation boards, and other
19relevant stakeholders to coordinate outreach initiatives to
20promote information regarding programs and services offered
21under the Clean Jobs Workforce Network Program, the Illinois
22Climate Works Preapprenticeship Program, and the Energy
23Transition Barrier Reduction Program. Energy Transition
24Navigators shall provide support where reasonable to
25individuals and entities applying for these services and
26programs.

 

 

SB0025 Enrolled- 86 -LRB104 07069 BAB 17106 b

1    (e) Community education, outreach, and recruitment
2regarding the Clean Jobs Workforce Network Program, the
3Illinois Climate Works Preapprenticeship Program, and Energy
4Transition Barrier Reduction Program shall be targeted to the
5equity focused populations, prioritizing individuals eligible
6for the Clean Jobs Workforce Network Program or Illinois
7Climate Works Preapprenticeship Program.
8    (f) Community-based providers shall partner with
9educational institutions or organizations working with equity
10focused populations, local employers, labor unions, and others
11to identify members of equity focused populations in eligible
12communities who are unable to advance in their careers due to
13inadequate skills. Community-based providers shall provide
14information and consultation to equity focused populations,
15prioritizing individuals eligible for the Clean Jobs Workforce
16Network Program or Illinois Climate Works Preapprenticeship
17Program, on various educational opportunities and supportive
18services available to them.
19    (g) Community-based providers shall establish partnerships
20with employers, educational institutions, local economic
21development organizations, environmental justice
22organizations, trades groups, labor unions, and entities that
23provide jobs, including businesses and other nonprofit
24organizations, to target the skill needs of local industry.
25The community-based provider shall work with local workforce
26innovation boards and other relevant partners to develop skill

 

 

SB0025 Enrolled- 87 -LRB104 07069 BAB 17106 b

1curriculum and career pathway support for disadvantaged
2individuals in equity focused populations, prioritizing
3individuals eligible for the Clean Jobs Workforce Network
4Program or Illinois Climate Works Preapprenticeship Program,
5that meets local employers' needs and establishes job
6placement opportunities after training.
7    (h) Funding for the Program is subject to appropriation
8from the Energy Transition Assistance Fund. Priority in
9awarding grants under this Section will be given to
10organizations that also have experience serving populations
11impacted by climate change.    
12    (i) Each community-based organization that receives
13funding from the Department as an Energy Transition Navigator
14shall provide an annual report to the Department by April 1 of
15each calendar year. The annual report shall include the
16following information:
17        (1) a description of the community-based
18    organization's recruitment, screening, and training
19    efforts;
20        (2) the number of individuals who apply to,
21    participate in, and complete programs offered through the
22    Energy Transition Workforce Program, broken down by race,
23    gender, age, and location; and
24        (3) any other information deemed necessary by the
25    Department.
26(Source: P.A. 102-662, eff. 9-15-21.)
 

 

 

SB0025 Enrolled- 88 -LRB104 07069 BAB 17106 b

1    (20 ILCS 730/5-40)
2    (Section scheduled to be repealed on September 15, 2045)
3    Sec. 5-40. Illinois Climate Works Preapprenticeship
4Program.
5    (a) Subject to appropriation, the Department shall
6develop, and through Regional Administrators administer, the
7Illinois Climate Works Preapprenticeship Program. The goal of
8the Illinois Climate Works Preapprenticeship Program is to
9create a network of hubs throughout the State that will
10recruit, prescreen, and provide preapprenticeship skills
11training, for which participants may attend free of charge and
12receive a stipend, to create a qualified, diverse pipeline of
13workers who are prepared for careers in the construction and
14building trades and clean energy jobs opportunities therein.
15Upon completion of the Illinois Climate Works
16Preapprenticeship Program, the candidates will be connected to
17and prepared to successfully complete an apprenticeship
18program.
19    (b) Each Climate Works Hub that receives funding from the
20Energy Transition Assistance Fund shall provide an annual
21report to the Illinois Works Review Panel by April 1 of each
22calendar year. The annual report shall include the following
23information:
24        (1) a description of the Climate Works Hub's
25    recruitment, screening, and training efforts, including a

 

 

SB0025 Enrolled- 89 -LRB104 07069 BAB 17106 b

1    description of training related to construction and
2    building trades opportunities in clean energy jobs;
3        (2) the number of individuals who apply to,
4    participate in, and complete the Climate Works Hub's
5    program, broken down by race, gender, age, and veteran
6    status;
7        (3) the number of the individuals referenced in
8    paragraph (2) of this subsection who are initially
9    accepted and placed into apprenticeship programs in the
10    construction and building trades; and
11        (4) the number of individuals referenced in paragraph
12    (2) of this subsection who remain in apprenticeship
13    programs in the construction and building trades or have
14    become journeymen one calendar year after their placement,
15    as referenced in paragraph (3) of this subsection.
16    (c) Subject to appropriation, the Department shall provide
17funding to 3 Climate Works Hubs throughout the State,
18including one to the Illinois Department of Transportation
19Region 1, one to the Illinois Department of Transportation
20Regions 2 and 3, and one to the Illinois Department of
21Transportation Regions 4 and 5. An eligible organization may
22serve as the designated Climate Works Hub for all 5 regions.
23Climate Works Hubs shall be awarded grants in multi-year
24increments not to exceed 36 months. Each grant shall come with
25a one year initial term, with the Department renewing each
26year for 2 additional years unless the grantee either declines

 

 

SB0025 Enrolled- 90 -LRB104 07069 BAB 17106 b

1to continue or fails to meet reasonable performance measures
2that consider apprenticeship programs timeframes. The
3Department may take into account experience and performance as
4a previous grantee of the Climate Works Hub as part of the
5selection criteria for subsequent years.
6    (d) Each Climate Works Hub that receives funding from the
7Energy Transition Assistance Fund shall recruit, prescreen,
8and provide preapprenticeship training to program
9participants. Each Climate Works Hub that receives funding
10from the Energy Transition Assistance Fund shall:
11        (1) in each Hub Site where the applicant pool allows,
12    comply with the following:
13            (A) dedicate at least one-third of Program
14        placements to applicants who reside in a geographic
15        area that is impacted by economic and environmental
16        challenges, defined as an area that is both (i) an R3
17        Area, as defined pursuant to Section 10-40 of the
18        Cannabis Regulation and Tax Act, and (ii) an
19        environmental justice community, as defined by the
20        Illinois Power Agency under the Illinois Power Agency
21        Act, excluding any racial or ethnic indicators used by
22        the Agency unless and until the constitutional basis
23        for the inclusion of the factors in determining
24        Program admissions is established; among applicants
25        that satisfy these criteria, preference shall be given
26        to applicants who face barriers to employment,

 

 

SB0025 Enrolled- 91 -LRB104 07069 BAB 17106 b

1        including low educational attainment, prior
2        involvement with the criminal justice system, and
3        language barriers, and applicants that are graduates
4        of or currently enrolled in the foster care system;
5        and
6            (B) dedicate at least two-thirds of Program
7        placements to applicants who reside in a geographic
8        area that is impacted by economic or environmental
9        challenges, defined as an area that is either (i) an R3
10        Area, as defined pursuant to Section 10-40 of the
11        Cannabis Regulation and Tax Act, or (ii) an
12        environmental justice community, as defined by the
13        Illinois Power Agency in the Illinois Power Agency
14        Act, excluding any racial or ethnic indicators used by
15        the Agency unless and until the constitutional basis
16        for the inclusion of the factors in determining
17        Program admissions is established; among applicants
18        that satisfy these criteria, preference shall be given
19        to applicants who face barriers to employment,
20        including low educational attainment, prior
21        involvement with the criminal legal system, and
22        language barriers, and applicants that are graduates
23        of or currently enrolled in the foster care system;
24        and
25            (C) prioritize the remaining Program placements
26        for the following:

 

 

SB0025 Enrolled- 92 -LRB104 07069 BAB 17106 b

1                (i) applicants who are displaced energy
2            workers, as defined in the Energy Community
3            Reinvestment Act;
4                (ii) persons who face barriers to employment,
5            including low educational attainment, prior
6            involvement with the criminal justice system, and
7            language barriers; and
8                (iii) applicants who are graduates of or
9            currently enrolled in the foster care system,
10            regardless of the applicant's area of residence;    
11            Each Climate Works Hub that receives funding from
12            the Energy Transition Assistance Fund shall:
13        (1) recruit, prescreen, and provide preapprenticeship
14    training to equity investment eligible persons;
15        (2) provide training information related to
16    opportunities and certifications relevant to clean energy
17    jobs in the construction and building trades; and
18        (3) provide preapprentices with stipends they receive
19    that may vary depending on the occupation the individual
20    is training for.
21    (d-5) Priority shall be given to Climate Works Hubs that
22have an agreement with North American Building Trades Unions
23(NABTU) to utilize the Multi-Craft Core Curriculum or
24successor curriculums.
25    (e) Funding for the Program is subject to appropriation
26from the Energy Transition Assistance Fund.

 

 

SB0025 Enrolled- 93 -LRB104 07069 BAB 17106 b

1    (f) The Department shall adopt any rules deemed necessary
2to implement this Section.
3(Source: P.A. 102-662, eff. 9-15-21; 102-1031, eff. 5-27-22;
4102-1123, eff. 1-27-23.)
 
5    (20 ILCS 730/5-60)
6    (Section scheduled to be repealed on September 15, 2045)
7    Sec. 5-60. Jobs and Environmental Justice Grant Program.
8    (a) In order to provide upfront capital to support the
9development of projects, businesses, community organizations,
10and jobs creating opportunity for historically disadvantaged
11populations, and to provide seed capital to support community
12ownership of renewable energy projects, the Department of
13Commerce and Economic Opportunity shall create and administer
14a Jobs and Environmental Justice Grant Program. The grant
15program shall be designed to help remove barriers to project,
16community, and business development caused by a lack of
17capital.
18    (b) The grant program shall provide grant awards of up to
19$1,000,000 per application to support the development of
20renewable energy resources as defined in Section 1-10 of the
21Illinois Power Agency Act, and energy efficiency measures as
22defined in Section 8-103B of the Public Utilities Act. The
23amount of a grant award shall be based on a project's size and
24scope. Grants shall be provided upfront, in advance of other
25incentives, to provide businesses, organizations, and

 

 

SB0025 Enrolled- 94 -LRB104 07069 BAB 17106 b

1community groups with capital needed to plan, develop, and
2execute a project. Grants shall be designed to coordinate with
3and supplement existing incentive programs, such as the
4Adjustable Block program, the Illinois Solar for All Program,
5the community renewable generation projects, and renewable
6energy procurements as described in the Illinois Power Agency
7Act, as well as utility energy efficiency measures as
8described in Section 8-103B of the Public Utilities Act.
9    (c) The Jobs and Environmental Justice Grant Program shall
10include 2 subprograms:
11        (1) the Equitable Energy Future Grant Program; and
12        (2) the Community Solar Energy Sovereignty Grant
13    Program.
14    (d) The Equitable Energy Future Grant Program is designed
15to provide seed funding and pre-development funding
16opportunities for equity eligible contractors and support for
17compliance with or fulfillment of project labor agreement and
18prevailing wage requirements in the clean energy economy.
19        (1) The Equitable Energy Future Grant shall be awarded
20    to businesses and nonprofit organizations for costs
21    related to the following activities and project needs:
22            (i) planning and project development, including
23        costs for professional services such as architecture,
24        design, engineering, auditing, consulting, and
25        developer services;
26            (ii) project application, deposit, and approval;

 

 

SB0025 Enrolled- 95 -LRB104 07069 BAB 17106 b

1            (iii) purchasing and leasing of land;
2            (iv) permitting and zoning;
3            (v) interconnection application costs and fees,
4        studies, and expenses;
5            (vi) equipment and supplies;
6            (vii) community outreach, marketing, and
7        engagement; and
8            (viii) staff and operations expenses; and .
9            (ix) any support needed to comply with or fulfill
10        prevailing wage and project labor agreement
11        requirements in the clean energy economy.    
12        (2) Grants shall be awarded to projects that most
13    effectively provide opportunities for equity eligible
14    contractors and equity investment eligible communities,
15    and should consider the following criteria:
16            (i) projects that provide community benefits,
17        which are projects that have one or more of the
18        following characteristics: (A) greater than 50% of the
19        project's energy provided or saved benefits low-income
20        residents, or (B) the project benefits not-for-profit
21        organizations providing services to low-income
22        households, affordable housing owners, or
23        community-based limited liability companies providing
24        services to low-income households;
25            (ii) projects that are located in equity
26        investment eligible communities;

 

 

SB0025 Enrolled- 96 -LRB104 07069 BAB 17106 b

1            (iii) projects that provide on-the-job training;
2            (iv) projects that contract with contractors who
3        are participating or have participated in the Clean
4        Energy Contractor Incubator Program, Clean Energy
5        Primes Contractor Accelerator Program, or similar
6        programs; and    
7            (v) projects employ a minimum of 51% of its
8        workforce from participants and graduates of the Clean
9        Jobs Workforce Network Program, Illinois Climate Works
10        Preapprenticeship Program, and Returning Residents
11        Clean Jobs Training Program; and .
12            (vi) equity eligible contractors and contractors
13        participating in either the Clean Energy Primes
14        Contractor Accelerator Program or the Clean Energy
15        Contractor Incubator Program and that demonstrate
16        support needed on a company or project-specific basis
17        to comply with prevailing wage and project labor
18        agreement requirements in the clean energy economy.    
19        (3) Grants shall be awarded to applicants that meet
20    the following criteria:
21            (i) are equity eligible contractors per the equity
22        accountability systems described in subsection (c-10)
23        of Section 1-75 of the Illinois Power Agency Act, or
24        meet the equity building criteria in paragraph (9.5)
25        of subsection (g) of Section 8-103B of the Public
26        Utilities Act; and

 

 

SB0025 Enrolled- 97 -LRB104 07069 BAB 17106 b

1            (ii) provide demonstrable proof of a historical or
2        future, and persisting, long-term partnership with the
3        community in which the project will be located.
4    (e) The Community Solar Energy Sovereignty Grant Program
5shall be designed to support the pre-development and
6development of community solar projects that promote community
7ownership and energy sovereignty.
8        (1) Grants shall be awarded to applicants that best
9    demonstrate the ability and intent to create community
10    ownership and other local community benefits, including
11    local community wealth building via community renewable
12    generation projects. Grants shall be prioritized to
13    applicants for whom:
14            (i) the proposed project is located in and
15        supporting an equity investment eligible community or
16        communities; and
17            (ii) the proposed project provides additional
18        benefits for participating low-income households.
19        (2) Grant funds shall be awarded to support project
20    pre-development work and may also be awarded to support
21    the development of programs and entities to assist in the
22    long-term governance, management, and maintenance of
23    community solar projects, such as community solar
24    cooperatives. For example, funds may be awarded for:
25            (i) early stage project planning;
26            (ii) project team organization;

 

 

SB0025 Enrolled- 98 -LRB104 07069 BAB 17106 b

1            (iii) site identification;
2            (iv) organizing a project business model and
3        securing financing;
4            (v) procurement and contracting;
5            (vi) customer outreach and enrollment;
6            (vii) preliminary site assessments;
7            (viii) development of cooperative or community
8        ownership model; and
9            (ix) development of project models that allocate
10        benefits to equity investment eligible communities.
11        (3) Grant recipients shall submit reports to the
12    Department at the end of the grant term on the activities
13    pursued under their grant and any lessons learned for
14    publication on the Department's website so that other
15    energy sovereignty projects may learn from their
16    experience.
17        (4) Eligible applicants shall include community-based
18    organizations, as defined in the Illinois Power Agency's
19    long-term renewable resources procurement plan, or
20    technical service providers working in direct partnership
21    with community-based organizations.
22        (5) The amount of a grant shall be based on a projects'
23    size and scope. Grants shall allow for a significant
24    portion, or the entirety, of the grant value to be made
25    upfront, in advance of other incentives, to ensure
26    businesses and organizations have the capital needed to

 

 

SB0025 Enrolled- 99 -LRB104 07069 BAB 17106 b

1    plan, develop, and execute a project.
2    (f) The application process for both subprograms shall not
3be burdensome on applicants, nor require extensive technical
4knowledge, and shall be able to be completed on less than 4
5standard letter-sized pages.
6    (g) These grant subprograms may be coordinated with
7low-interest and no-interest financing opportunities offered
8through the Clean Energy Jobs and Justice Fund.
9    (h) The grant subprograms may have a budget of up to
10$41,000,000 $34,000,000 per year. No more than $8,500,000 25%    
11of the allocated budget shall go to the Community Solar Energy
12Sovereignty Grant Program. No more than $7,000,000 of the
13allocated budget shall go to financial assistance or technical
14assistance to support compliance with prevailing wage and
15project labor agreement requirements.    
16    (i) The Department shall endeavor to make expanded
17Equitable Energy Future Grant Program grants available in line
18with the timing of projects being constructed that have to
19comply with newly applicable project labor agreements
20requirements as a result of this amendatory Act of the 104th
21General Assembly.    
22    (j) The Department may engage contractors or provide
23grants to nonprofit organizations in order to provide
24technical assistance as part of this Program to equity
25eligible contractors and contractors participating in either
26the Clean Energy Primes Contractor Accelerator Program or

 

 

SB0025 Enrolled- 100 -LRB104 07069 BAB 17106 b

1Clean Energy Contractor Incubator Program that need support to
2comply with and fulfill prevailing wage and project labor
3agreement requirements in the clean energy economy.    
4(Source: P.A. 102-662, eff. 9-15-21.)
 
5    Section 90-8. The Nuclear Safety Law of 2004 is amended by
6changing Sections 8 and 40 as follows:
 
7    (20 ILCS 3310/8)
8    Sec. 8. Definitions. In this Act:
9    "IEMA-OHS" means the Illinois Emergency Management Agency
10and Office of Homeland Security, or its successor agency.
11    "Director" means the Director of IEMA-OHS.
12    "Nuclear facilities" means nuclear power plants,
13facilities housing nuclear test and research reactors,
14facilities for the chemical conversion of uranium, and
15facilities for the storage of spent nuclear fuel or high-level
16radioactive waste.
17    "Nuclear power plant" or "nuclear steam-generating
18facility" means a thermal power plant in which the energy
19(heat) released by the fissioning of nuclear fuel is used to
20boil water to produce steam.
21    "Nuclear power reactor" means an apparatus, other than an
22atomic weapon, designed or used to sustain nuclear fission in
23a self-supporting chain reaction.
24    "Small modular reactor" or "SMR" means an advanced nuclear

 

 

SB0025 Enrolled- 101 -LRB104 07069 BAB 17106 b

1reactor: (1) with a rated nameplate capacity of 300 electrical
2megawatts or less; and (2) that may be constructed and
3operated in combination with similar reactors at a single
4site.
5(Source: P.A. 103-569, eff. 6-1-24.)
 
6    (20 ILCS 3310/40)
7    Sec. 40. Regulation of nuclear safety.     
8    (a) The Agency shall have primary responsibility for the
9coordination and oversight of all State governmental functions
10concerning the regulation of nuclear power, including low
11level waste management, environmental monitoring,
12environmental radiochemical analysis, and transportation of
13nuclear waste. Functions performed by the Illinois State
14Police and the Department of Transportation in the area of
15nuclear safety, on the effective date of this Act, may
16continue to be performed by these agencies but under the
17direction of the Agency. All other governmental functions
18regulating nuclear safety shall be coordinated by the Agency.
19    (b) (Blank). IEMA-OHS, in consultation with the Illinois
20Environmental Protection Agency, shall adopt rules for the
21regulation of small modular reactors. The rules shall be
22adopted by January 1, 2026 and shall include criteria for
23decommissioning, environmental monitoring, and emergency
24preparedness. The rules shall include a fee structure to cover
25IEMA-OHS costs for regulation and inspection. The fee

 

 

SB0025 Enrolled- 102 -LRB104 07069 BAB 17106 b

1structure may include fees to cover costs of local government
2emergency response preparedness through grants administered by
3IEMA-OHS. None of the rules developed by the Illinois
4Emergency Management Agency and Office of Homeland Security or
5any other State agency, board, or commission pursuant to this
6Act shall be construed to supersede the authority of the U.S.
7Nuclear Regulatory Commission. The changes made by this
8amendatory Act of the 103rd General Assembly shall not apply
9to the uprate, renewal, or subsequent renewal of any license
10for an existing nuclear power reactor that began operation
11prior to the effective date of this amendatory Act of the 103rd
12General Assembly. Any fees collected under this subsection
13shall be deposited into the Nuclear Safety Emergency
14Preparedness Fund created pursuant to Section 7 of the
15Illinois Nuclear Safety Preparedness Act.
16    (c) (Blank). Consistent with federal law and policy
17statements of and cooperative agreements with the U.S. Nuclear
18Regulatory Commission with respect to State participation in
19health and safety regulation of nuclear facilities, and in
20recognition of the role provided for the states by such laws,
21policy statements, and cooperative agreements, IEMA-OHS may
22develop and implement a program for inspections of small
23modular reactors, both operational and non-operational. The
24owner of each small modular reactor shall allow access to
25IEMA-OHS inspectors of all premises and records of the small
26modular reactor. The IEMA-OHS inspectors shall operate in

 

 

SB0025 Enrolled- 103 -LRB104 07069 BAB 17106 b

1accordance with any cooperative agreements executed between
2IEMA-OHS and the U.S. Nuclear Regulatory Commission. The
3IEMA-OHS inspectors shall operate in accordance with the
4security plan for the small modular reactor. IEMA-OHS programs
5and activities under this Section shall not be inconsistent
6with federal law.
7    (d) (Blank). IEMA-OHS shall be authorized to conduct
8activities specified in Section 8 of the Illinois Nuclear
9Safety Preparedness Act in regard to small modular reactors.    
10(Source: P.A. 102-133, eff. 7-23-21; 102-538, eff. 8-20-21;
11102-813, eff. 5-13-22; 103-569, eff. 6-1-24.)
 
12    (20 ILCS 3310/75 rep.)
13    (20 ILCS 3310/90 rep.)
14    Section 90-10. The Nuclear Safety Law of 2004 is amended
15by repealing Sections 75 and 90.
 
16    Section 90-11. The Illinois Finance Authority Act is
17amended by changing Section 801-10 and by adding Section
18850-20 as follows:
 
19    (20 ILCS 3501/801-10)
20    Sec. 801-10. Definitions. The following terms, whenever
21used or referred to in this Act, shall have the following
22meanings, except in such instances where the context may
23clearly indicate otherwise:

 

 

SB0025 Enrolled- 104 -LRB104 07069 BAB 17106 b

1    (a) The term "Authority" means the Illinois Finance
2Authority created by this Act.
3    (b) The term "project" means an industrial project, clean
4energy project, energy storage project, conservation project,
5housing project, public purpose project, higher education
6project, health facility project, cultural institution
7project, municipal bond program project, PACE Project,
8agricultural facility or agribusiness, and "project" may
9include any combination of one or more of the foregoing
10undertaken jointly by any person with one or more other
11persons.
12    (c) The term "public purpose project" means (i) any
13project or facility, including without limitation land,
14buildings, structures, machinery, equipment and all other real
15and personal property, which is authorized or required by law
16to be acquired, constructed, improved, rehabilitated,
17reconstructed, replaced or maintained by any unit of
18government or any other lawful public purpose, including
19provision of working capital, which is authorized or required
20by law to be undertaken by any unit of government or (ii) costs
21incurred and other expenditures, including expenditures for
22management, investment, or working capital costs, incurred in
23connection with the reform, consolidation, or implementation
24of the transition process as described in Articles 22B and 22C
25of the Illinois Pension Code.
26    (d) The term "industrial project" means the acquisition,

 

 

SB0025 Enrolled- 105 -LRB104 07069 BAB 17106 b

1construction, refurbishment, creation, development or
2redevelopment of any facility, equipment, machinery, real
3property or personal property for use by any instrumentality
4of the State or its political subdivisions, for use by any
5person or institution, public or private, for profit or not
6for profit, or for use in any trade or business, including, but
7not limited to, any industrial, manufacturing, clean energy,
8or commercial enterprise that is located within or outside the
9State, provided that, with respect to a project involving
10property located outside the State, the property must be
11owned, operated, leased or managed by an entity located within
12the State or an entity affiliated with an entity located
13within the State, and which is (1) a capital project or clean
14energy project, including, but not limited to: (i) land and
15any rights therein, one or more buildings, structures or other
16improvements, machinery and equipment, whether now existing or
17hereafter acquired, and whether or not located on the same
18site or sites; (ii) all appurtenances and facilities
19incidental to the foregoing, including, but not limited to,
20utilities, access roads, railroad sidings, track, docking and
21similar facilities, parking facilities, dockage, wharfage,
22railroad roadbed, track, trestle, depot, terminal, switching
23and signaling or related equipment, site preparation and
24landscaping; and (iii) all non-capital costs and expenses
25relating thereto or (2) any addition to, renovation,
26rehabilitation or improvement of a capital project or a clean

 

 

SB0025 Enrolled- 106 -LRB104 07069 BAB 17106 b

1energy project, or (3) any activity or undertaking within or
2outside the State, provided that, with respect to a project
3involving property located outside the State, the property
4must be owned, operated, leased or managed by an entity
5located within the State or an entity affiliated with an
6entity located within the State, which the Authority
7determines will aid, assist or encourage economic growth,
8development or redevelopment within the State or any area
9thereof, will promote the expansion, retention or
10diversification of employment opportunities within the State
11or any area thereof or will aid in stabilizing or developing
12any industry or economic sector of the State economy. The term
13"industrial project" also means the production of motion
14pictures.
15    (e) The term "bond" or "bonds" shall include bonds, notes
16(including bond, grant or revenue anticipation notes),
17certificates and/or other evidences of indebtedness
18representing an obligation to pay money, including refunding
19bonds.
20    (f) The terms "lease agreement" and "loan agreement" shall
21mean: (i) an agreement whereby a project acquired by the
22Authority by purchase, gift or lease is leased to any person,
23corporation or unit of local government which will use or
24cause the project to be used as a project as heretofore defined
25upon terms providing for lease rental payments at least
26sufficient to pay when due all principal of, interest and

 

 

SB0025 Enrolled- 107 -LRB104 07069 BAB 17106 b

1premium, if any, on any bonds of the Authority issued with
2respect to such project, providing for the maintenance,
3insuring and operation of the project on terms satisfactory to
4the Authority, providing for disposition of the project upon
5termination of the lease term, including purchase options or
6abandonment of the premises, and such other terms as may be
7deemed desirable by the Authority, (ii) any agreement pursuant
8to which the Authority agrees to loan the proceeds of its bonds
9issued with respect to a project or other funds of the
10Authority to any person which will use or cause the project to
11be used as a project as heretofore defined or for any other
12lawful purpose upon terms providing for loan repayment
13installments at least sufficient to pay when due all principal
14of, interest and premium, if any, on any bonds of the
15Authority, if any, issued with respect to the project or for
16any other lawful purpose, and providing for maintenance,
17insurance and other matters as may be deemed desirable by the
18Authority, or (iii) any financing or refinancing agreement
19entered into by the Authority under subsection (aa) of Section
20801-40.
21    (g) The term "financial aid" means the expenditure of
22Authority funds or funds provided by the Authority through the
23issuance of its bonds, notes or other evidences of
24indebtedness or from other sources for the development,
25construction, acquisition or improvement of a project.
26    (h) The term "person" means an individual, corporation,

 

 

SB0025 Enrolled- 108 -LRB104 07069 BAB 17106 b

1unit of government, business trust, estate, trust, partnership
2or association, 2 or more persons having a joint or common
3interest, or any other legal entity.
4    (i) The term "unit of government" means the federal
5government, the State or unit of local government, a school
6district, or any agency or instrumentality, office, officer,
7department, division, bureau, commission, college or
8university thereof.
9    (j) The term "health facility" means: (a) any public or
10private institution, place, building, or agency required to be
11licensed under the Hospital Licensing Act; (b) any public or
12private institution, place, building, or agency required to be
13licensed under the Nursing Home Care Act, the Specialized
14Mental Health Rehabilitation Act of 2013, the ID/DD Community
15Care Act, or the MC/DD Act; (c) any public or licensed private
16hospital as defined in the Mental Health and Developmental
17Disabilities Code; (d) any such facility exempted from such
18licensure when the Director of Public Health attests that such
19exempted facility meets the statutory definition of a facility
20subject to licensure; (e) any other public or private health
21service institution, place, building, or agency which the
22Director of Public Health attests is subject to certification
23by the Secretary, U.S. Department of Health and Human Services
24under the Social Security Act, as now or hereafter amended, or
25which the Director of Public Health attests is subject to
26standard-setting by a recognized public or voluntary

 

 

SB0025 Enrolled- 109 -LRB104 07069 BAB 17106 b

1accrediting or standard-setting agency; (f) any public or
2private institution, place, building or agency engaged in
3providing one or more supporting services to a health
4facility; (g) any public or private institution, place,
5building or agency engaged in providing training in the
6healing arts, including, but not limited to, schools of
7medicine, dentistry, osteopathy, optometry, podiatry, pharmacy
8or nursing, schools for the training of x-ray, laboratory or
9other health care technicians and schools for the training of
10para-professionals in the health care field; (h) any public or
11private congregate, life or extended care or elderly housing
12facility or any public or private home for the aged or infirm,
13including, without limitation, any Facility as defined in the
14Life Care Facilities Act; (i) any public or private mental,
15emotional or physical rehabilitation facility or any public or
16private educational, counseling, or rehabilitation facility or
17home, for those persons with a developmental disability, those
18who are physically ill or disabled, the emotionally disturbed,
19those persons with a mental illness or persons with learning
20or similar disabilities or problems; (j) any public or private
21alcohol, drug or substance abuse diagnosis, counseling
22treatment or rehabilitation facility, (k) any public or
23private institution, place, building or agency licensed by the
24Department of Children and Family Services or which is not so
25licensed but which the Director of Children and Family
26Services attests provides child care, child welfare or other

 

 

SB0025 Enrolled- 110 -LRB104 07069 BAB 17106 b

1services of the type provided by facilities subject to such
2licensure; (l) any public or private adoption agency or
3facility; and (m) any public or private blood bank or blood
4center. "Health facility" also means a public or private
5structure or structures suitable primarily for use as a
6laboratory, laundry, nurses or interns residence or other
7housing or hotel facility used in whole or in part for staff,
8employees or students and their families, patients or
9relatives of patients admitted for treatment or care in a
10health facility, or persons conducting business with a health
11facility, physician's facility, surgicenter, administration
12building, research facility, maintenance, storage or utility
13facility and all structures or facilities related to any of
14the foregoing or required or useful for the operation of a
15health facility, including parking or other facilities or
16other supporting service structures required or useful for the
17orderly conduct of such health facility. "Health facility"
18also means, with respect to a project located outside the
19State, any public or private institution, place, building, or
20agency which provides services similar to those described
21above, provided that such project is owned, operated, leased
22or managed by a participating health institution located
23within the State, or a participating health institution
24affiliated with an entity located within the State.
25    (k) The term "participating health institution" means (i)
26a private corporation or association or (ii) a public entity

 

 

SB0025 Enrolled- 111 -LRB104 07069 BAB 17106 b

1of this State, in either case authorized by the laws of this
2State or the applicable state to provide or operate a health
3facility as defined in this Act and which, pursuant to the
4provisions of this Act, undertakes the financing, construction
5or acquisition of a project or undertakes the refunding or
6refinancing of obligations, loans, indebtedness or advances as
7provided in this Act.
8    (l) The term "health facility project", means a specific
9health facility work or improvement to be financed or
10refinanced (including without limitation through reimbursement
11of prior expenditures), acquired, constructed, enlarged,
12remodeled, renovated, improved, furnished, or equipped, with
13funds provided in whole or in part hereunder, any accounts
14receivable, working capital, liability or insurance cost or
15operating expense financing or refinancing program of a health
16facility with or involving funds provided in whole or in part
17hereunder, or any combination thereof.
18    (m) The term "bond resolution" means the resolution or
19resolutions authorizing the issuance of, or providing terms
20and conditions related to, bonds issued under this Act and
21includes, where appropriate, any trust agreement, trust
22indenture, indenture of mortgage or deed of trust providing
23terms and conditions for such bonds.
24    (n) The term "property" means any real, personal or mixed
25property, whether tangible or intangible, or any interest
26therein, including, without limitation, any real estate,

 

 

SB0025 Enrolled- 112 -LRB104 07069 BAB 17106 b

1leasehold interests, appurtenances, buildings, easements,
2equipment, furnishings, furniture, improvements, machinery,
3rights of way, structures, accounts, contract rights or any
4interest therein.
5    (o) The term "revenues" means, with respect to any
6project, the rents, fees, charges, interest, principal
7repayments, collections and other income or profit derived
8therefrom.
9    (p) The term "higher education project" means, in the case
10of a private institution of higher education, an educational
11facility to be acquired, constructed, enlarged, remodeled,
12renovated, improved, furnished, or equipped, or any
13combination thereof.
14    (q) The term "cultural institution project" means, in the
15case of a cultural institution, a cultural facility to be
16acquired, constructed, enlarged, remodeled, renovated,
17improved, furnished, or equipped, or any combination thereof.
18    (r) The term "educational facility" means any property
19located within the State, or any property located outside the
20State, provided that, if the property is located outside the
21State, it must be owned, operated, leased or managed by an
22entity located within the State or an entity affiliated with
23an entity located within the State, in each case constructed
24or acquired before or after the effective date of this Act,
25which is or will be, in whole or in part, suitable for the
26instruction, feeding, recreation or housing of students, the

 

 

SB0025 Enrolled- 113 -LRB104 07069 BAB 17106 b

1conducting of research or other work of a private institution
2of higher education, the use by a private institution of
3higher education in connection with any educational, research
4or related or incidental activities then being or to be
5conducted by it, or any combination of the foregoing,
6including, without limitation, any such property suitable for
7use as or in connection with any one or more of the following:
8an academic facility, administrative facility, agricultural
9facility, assembly hall, athletic facility, auditorium,
10boating facility, campus, communication facility, computer
11facility, continuing education facility, classroom, dining
12hall, dormitory, exhibition hall, fire fighting facility, fire
13prevention facility, food service and preparation facility,
14gymnasium, greenhouse, health care facility, hospital,
15housing, instructional facility, laboratory, library,
16maintenance facility, medical facility, museum, offices,
17parking area, physical education facility, recreational
18facility, research facility, stadium, storage facility,
19student union, study facility, theatre or utility.
20    (s) The term "cultural facility" means any property
21located within the State, or any property located outside the
22State, provided that, if the property is located outside the
23State, it must be owned, operated, leased or managed by an
24entity located within the State or an entity affiliated with
25an entity located within the State, in each case constructed
26or acquired before or after the effective date of this Act,

 

 

SB0025 Enrolled- 114 -LRB104 07069 BAB 17106 b

1which is or will be, in whole or in part, suitable for the
2particular purposes or needs of a cultural institution,
3including, without limitation, any such property suitable for
4use as or in connection with any one or more of the following:
5an administrative facility, aquarium, assembly hall,
6auditorium, botanical garden, exhibition hall, gallery,
7greenhouse, library, museum, scientific laboratory, theater or
8zoological facility, and shall also include, without
9limitation, books, works of art or music, animal, plant or
10aquatic life or other items for display, exhibition or
11performance. The term "cultural facility" includes buildings
12on the National Register of Historic Places which are owned or
13operated by nonprofit entities.
14    (t) "Private institution of higher education" means a
15not-for-profit educational institution which is not owned by
16the State or any political subdivision, agency,
17instrumentality, district or municipality thereof, which is
18authorized by law to provide a program of education beyond the
19high school level and which:
20        (1) Admits as regular students only individuals having
21    a certificate of graduation from a high school, or the
22    recognized equivalent of such a certificate;
23        (2) Provides an educational program for which it
24    awards a bachelor's degree, or provides an educational
25    program, admission into which is conditioned upon the
26    prior attainment of a bachelor's degree or its equivalent,

 

 

SB0025 Enrolled- 115 -LRB104 07069 BAB 17106 b

1    for which it awards a postgraduate degree, or provides not
2    less than a 2-year program which is acceptable for full
3    credit toward such a degree, or offers a 2-year program in
4    engineering, mathematics, or the physical or biological
5    sciences which is designed to prepare the student to work
6    as a technician and at a semiprofessional level in
7    engineering, scientific, or other technological fields
8    which require the understanding and application of basic
9    engineering, scientific, or mathematical principles or
10    knowledge;
11        (3) Is accredited by a nationally recognized
12    accrediting agency or association or, if not so
13    accredited, is an institution whose credits are accepted,
14    on transfer, by not less than 3 institutions which are so
15    accredited, for credit on the same basis as if transferred
16    from an institution so accredited, and holds an unrevoked
17    certificate of approval under the Private College Act from
18    the Board of Higher Education, or is qualified as a
19    "degree granting institution" under the Academic Degree
20    Act; and
21        (4) Does not discriminate in the admission of students
22    on the basis of race or color. "Private institution of
23    higher education" also includes any "academic
24    institution".
25    (u) The term "academic institution" means any
26not-for-profit institution which is not owned by the State or

 

 

SB0025 Enrolled- 116 -LRB104 07069 BAB 17106 b

1any political subdivision, agency, instrumentality, district
2or municipality thereof, which institution engages in, or
3facilitates academic, scientific, educational or professional
4research or learning in a field or fields of study taught at a
5private institution of higher education. Academic institutions
6include, without limitation, libraries, archives, academic,
7scientific, educational or professional societies,
8institutions, associations or foundations having such
9purposes.
10    (v) The term "cultural institution" means any
11not-for-profit institution which is not owned by the State or
12any political subdivision, agency, instrumentality, district
13or municipality thereof, which institution engages in the
14cultural, intellectual, scientific, educational or artistic
15enrichment of the people of the State. Cultural institutions
16include, without limitation, aquaria, botanical societies,
17historical societies, libraries, museums, performing arts
18associations or societies, scientific societies and zoological
19societies.
20    (w) The term "affiliate" means, with respect to financing
21of an agricultural facility or an agribusiness, any lender,
22any person, firm or corporation controlled by, or under common
23control with, such lender, and any person, firm or corporation
24controlling such lender.
25    (x) The term "agricultural facility" means land, any
26building or other improvement thereon or thereto, and any

 

 

SB0025 Enrolled- 117 -LRB104 07069 BAB 17106 b

1personal properties deemed necessary or suitable for use,
2whether or not now in existence, in farming, ranching, the
3production of agricultural commodities (including, without
4limitation, the products of aquaculture, hydroponics and
5silviculture) or the treating, processing or storing of such
6agricultural commodities when such activities are customarily
7engaged in by farmers as a part of farming and which land,
8building, improvement or personal property is located within
9the State, or is located outside the State, provided that, if
10such property is located outside the State, it must be owned,
11operated, leased, or managed by an entity located within the
12State or an entity affiliated with an entity located within
13the State.
14    (y) The term "lender" with respect to financing of an
15agricultural facility or an agribusiness, means any federal or
16State chartered bank, Federal Land Bank, Production Credit
17Association, Bank for Cooperatives, federal or State chartered
18savings and loan association or building and loan association,
19Small Business Investment Company or any other institution
20qualified within this State to originate and service loans,
21including, but without limitation to, insurance companies,
22credit unions and mortgage loan companies. "Lender" also means
23a wholly owned subsidiary of a manufacturer, seller or
24distributor of goods or services that makes loans to
25businesses or individuals, commonly known as a "captive
26finance company".

 

 

SB0025 Enrolled- 118 -LRB104 07069 BAB 17106 b

1    (z) The term "agribusiness" means any sole proprietorship,
2limited partnership, co-partnership, joint venture,
3corporation or cooperative which operates or will operate a
4facility located within the State or outside the State,
5provided that, if any facility is located outside the State,
6it must be owned, operated, leased, or managed by an entity
7located within the State or an entity affiliated with an
8entity located within the State, that is related to the
9processing of agricultural commodities (including, without
10limitation, the products of aquaculture, hydroponics and
11silviculture) or the manufacturing, production or construction
12of agricultural buildings, structures, equipment, implements,
13and supplies, or any other facilities or processes used in
14agricultural production. Agribusiness includes but is not
15limited to the following:
16        (1) grain handling and processing, including grain
17    storage, drying, treatment, conditioning, mailing and
18    packaging;
19        (2) seed and feed grain development and processing;
20        (3) fruit and vegetable processing, including
21    preparation, canning and packaging;
22        (4) processing of livestock and livestock products,
23    dairy products, poultry and poultry products, fish or
24    apiarian products, including slaughter, shearing,
25    collecting, preparation, canning and packaging;
26        (5) fertilizer and agricultural chemical

 

 

SB0025 Enrolled- 119 -LRB104 07069 BAB 17106 b

1    manufacturing, processing, application and supplying;
2        (6) farm machinery, equipment and implement
3    manufacturing and supplying;
4        (7) manufacturing and supplying of agricultural
5    commodity processing machinery and equipment, including
6    machinery and equipment used in slaughter, treatment,
7    handling, collecting, preparation, canning or packaging of
8    agricultural commodities;
9        (8) farm building and farm structure manufacturing,
10    construction and supplying;
11        (9) construction, manufacturing, implementation,
12    supplying or servicing of irrigation, drainage and soil
13    and water conservation devices or equipment;
14        (10) fuel processing and development facilities that
15    produce fuel from agricultural commodities or byproducts;
16        (11) facilities and equipment for processing and
17    packaging agricultural commodities specifically for
18    export;
19        (12) facilities and equipment for forestry product
20    processing and supplying, including sawmilling operations,
21    wood chip operations, timber harvesting operations, and
22    manufacturing of prefabricated buildings, paper, furniture
23    or other goods from forestry products;
24        (13) facilities and equipment for research and
25    development of products, processes and equipment for the
26    production, processing, preparation or packaging of

 

 

SB0025 Enrolled- 120 -LRB104 07069 BAB 17106 b

1    agricultural commodities and byproducts.
2    (aa) The term "asset" with respect to financing of any
3agricultural facility or any agribusiness, means, but is not
4limited to the following: cash crops or feed on hand;
5livestock held for sale; breeding stock; marketable bonds and
6securities; securities not readily marketable; accounts
7receivable; notes receivable; cash invested in growing crops;
8net cash value of life insurance; machinery and equipment;
9cars and trucks; farm and other real estate including life
10estates and personal residence; value of beneficial interests
11in trusts; government payments or grants; and any other
12assets.
13    (bb) The term "liability" with respect to financing of any
14agricultural facility or any agribusiness shall include, but
15not be limited to the following: accounts payable; notes or
16other indebtedness owed to any source; taxes; rent; amounts
17owed on real estate contracts or real estate mortgages;
18judgments; accrued interest payable; and any other liability.
19    (cc) The term "Predecessor Authorities" means those
20authorities as described in Section 845-75.
21    (dd) The term "housing project" means a specific work or
22improvement located within the State or outside the State and
23undertaken to provide residential dwelling accommodations,
24including the acquisition, construction or rehabilitation of
25lands, buildings and community facilities and in connection
26therewith to provide nonhousing facilities which are part of

 

 

SB0025 Enrolled- 121 -LRB104 07069 BAB 17106 b

1the housing project, including land, buildings, improvements,
2equipment and all ancillary facilities for use for offices,
3stores, retirement homes, hotels, financial institutions,
4service, health care, education, recreation or research
5establishments, or any other commercial purpose which are or
6are to be related to a housing development, provided that any
7work or improvement located outside the State is owned,
8operated, leased or managed by an entity located within the
9State, or any entity affiliated with an entity located within
10the State.
11    (ee) The term "conservation project" means any project
12including the acquisition, construction, rehabilitation,
13maintenance, operation, or upgrade that is intended to create
14or expand open space or to reduce energy usage through
15efficiency measures. For the purpose of this definition, "open
16space" has the definition set forth under Section 10 of the
17Illinois Open Land Trust Act.
18    (ff) The term "significant presence" means the existence
19within the State of the national or regional headquarters of
20an entity or group or such other facility of an entity or group
21of entities where a significant amount of the business
22functions are performed for such entity or group of entities.
23    (gg) The term "municipal bond issuer" means the State or
24any other state or commonwealth of the United States, or any
25unit of local government, school district, agency or
26instrumentality, office, department, division, bureau,

 

 

SB0025 Enrolled- 122 -LRB104 07069 BAB 17106 b

1commission, college or university thereof located in the State
2or any other state or commonwealth of the United States.
3    (hh) The term "municipal bond program project" means a
4program for the funding of the purchase of bonds, notes or
5other obligations issued by or on behalf of a municipal bond
6issuer.
7    (ii) The term "participating lender" means any trust
8company, bank, savings bank, credit union, merchant bank,
9investment bank, broker, investment trust, pension fund,
10building and loan association, savings and loan association,
11insurance company, venture capital company, or other
12institution approved by the Authority which provides a portion
13of the financing for a project.
14    (jj) The term "loan participation" means any loan in which
15the Authority co-operates with a participating lender to
16provide all or a portion of the financing for a project.
17    (kk) The term "PACE Project" means an energy project as
18defined in Section 5 of the Property Assessed Clean Energy
19Act.
20    (ll) The term "clean energy" means energy generation that
21is substantially free (90% or more) of carbon dioxide
22emissions by design or operations, or that otherwise
23contributes to the reduction in emissions of environmentally
24hazardous materials or reduces the volume of environmentally
25dangerous materials.
26    (mm) The term "clean energy project" means the

 

 

SB0025 Enrolled- 123 -LRB104 07069 BAB 17106 b

1acquisition, construction, refurbishment, creation,
2development or redevelopment of any facility, equipment,
3machinery, real property, or personal property for use by the
4State or any unit of local government, school district, agency
5or instrumentality, office, department, division, bureau,
6commission, college, or university of the State, for use by
7any person or institution, public or private, for profit or
8not for profit, or for use in any trade or business, which the
9Authority determines will aid, assist, or encourage the
10development or implementation of clean energy in the State, or
11as otherwise contemplated by Article 850.
12    (nn) The term "Climate Bank" means the Authority in the
13exercise of those powers conferred on it by this Act related to
14clean energy or clean water, drinking water, or wastewater
15treatment.
16    (oo) "Equity investment eligible community" and "eligible
17community" mean the geographic areas throughout Illinois that
18would most benefit from equitable investments by the State
19designed to combat discrimination. Specifically, the eligible
20communities shall be defined as the following areas:
21        (1) R3 Areas as established pursuant to Section 10-40
22    of the Cannabis Regulation and Tax Act, where residents
23    have historically been excluded from economic
24    opportunities, including opportunities in the energy
25    sector; and
26        (2) Environmental justice communities, as defined by

 

 

SB0025 Enrolled- 124 -LRB104 07069 BAB 17106 b

1    the Illinois Power Agency pursuant to the Illinois Power
2    Agency Act, where residents have historically been subject
3    to disproportionate burdens of pollution, including
4    pollution from the energy sector.
5    (pp) "Equity investment eligible person" and "eligible
6person" mean the persons who would most benefit from equitable
7investments by the State designed to combat discrimination.
8Specifically, eligible persons means the following people:
9        (1) persons whose primary residence is in an equity
10    investment eligible community;
11        (2) persons who are graduates of or currently enrolled
12    in the foster care system; or
13        (3) persons who were formerly incarcerated.
14    (qq) "Environmental justice community" means the
15definition of that term based on existing methodologies and
16findings used and as may be updated by the Illinois Power
17Agency and its program administrator in the Illinois Solar for
18All Program.
19    (rr) "Energy storage project" means a project that uses
20technology for the storage of energy, including, without
21limitation, the use of battery or electrochemical storage
22technology for mobile or stationary applications.    
23(Source: P.A. 104-6, eff. 6-16-25.)
 
24    (20 ILCS 3501/850-20 new)
25    Sec. 850-20. Thermal Energy Network Revolving Loan and

 

 

SB0025 Enrolled- 125 -LRB104 07069 BAB 17106 b

1Financial Assistance Program.
2    (a) As used in this Section:
3    "Program" means the Thermal Energy Network Revolving Loan
4and Financial Assistance Program established under this
5Section.    
6    "Thermal energy network" means all real estate, fixtures,
7and personal property operated, owned, used, or to be used for
8in connection with or to facilitate a community-scale
9distribution infrastructure project that transfers heat into
10and out of buildings using non-combusting thermal energy,
11sourced from zero-emission technologies, including geothermal
12energy, for the purpose of reducing emissions. "Thermal energy
13network" includes, but is not limited to, real estate,
14fixtures, and personal property that is operated, owned, or
15used by multiple parties and community geothermal systems.    
16    (b) In its role as the Climate Bank for the State, the
17Authority may, subject to available funding, establish and
18administer a Thermal Energy Network Revolving Loan and
19Financial Assistance Program. The Program shall provide access
20to capital for thermal energy network projects that take into
21consideration the risks involved in the development of shared
22heating and cooling systems and the required coordination
23among multiple customers, as well as the benefits of enabling
24low-cost decarbonization of residential, commercial, and
25industrial buildings and processes. The Program may provide
26loans, grants, or other financial assistance for thermal

 

 

SB0025 Enrolled- 126 -LRB104 07069 BAB 17106 b

1energy network projects.
2    (c) The Authority may establish internal accounts
3necessary to administer the Program, identify sources of
4public and private funding and financial capital, and develop
5any requirements or agreements necessary to successfully
6execute the Program.
7    (d) The Authority shall coordinate and enter into any
8necessary agreements with the Illinois Commerce Commission to
9(i) develop and offer funding and financing to thermal energy
10network pilot projects approved by the Commission under
11subsection (a) of Section 8-513 of the Public Utilities Act,
12(ii) receive funds as necessary and as approved by the
13Commission under subsection (b) of Section 8-513 of the Public
14Utilities Act, and (iii) establish any requirements necessary
15to ensure compliance with the objectives of any federal
16funding sources secured to support the Program.
17    (e) All repayments of loans or other financial assistance
18made under the Program shall be used or leveraged to provide
19additional capital to thermal energy network pilot projects
20that support the clean energy goals of the State, in
21coordination with any rules established by the Illinois
22Commerce Commission.
23    (f) The Authority may adopt any resolutions, plans, or
24rules and fix, determine, charge, or collect any fees,
25charges, costs, and expenses necessary to administer the
26Program under this Section.
 

 

 

SB0025 Enrolled- 127 -LRB104 07069 BAB 17106 b

1    Section 90-12. The Illinois Power Agency Act is amended by
2changing Sections 1-10, 1-20, 1-56, 1-75, and 1-125 as
3follows:
 
4    (20 ILCS 3855/1-10)
5    Sec. 1-10. Definitions.
6    "Agency" means the Illinois Power Agency.
7    "Agency loan agreement" means any agreement pursuant to
8which the Illinois Finance Authority agrees to loan the
9proceeds of revenue bonds issued with respect to a project to
10the Agency upon terms providing for loan repayment
11installments at least sufficient to pay when due all principal
12of, interest and premium, if any, on those revenue bonds, and
13providing for maintenance, insurance, and other matters in
14respect of the project.
15    "Authority" means the Illinois Finance Authority.
16    "Brownfield site photovoltaic project" means photovoltaics
17that are either:
18        (1) interconnected to an electric utility as defined
19    in this Section, a municipal utility as defined in this
20    Section, a public utility as defined in Section 3-105 of
21    the Public Utilities Act, or an electric cooperative as
22    defined in Section 3-119 of the Public Utilities Act and
23    located at a site that is regulated by any of the following
24    entities under the following programs:

 

 

SB0025 Enrolled- 128 -LRB104 07069 BAB 17106 b

1            (A) the United States Environmental Protection
2        Agency under the federal Comprehensive Environmental
3        Response, Compensation, and Liability Act of 1980, as
4        amended;
5            (B) the United States Environmental Protection
6        Agency under the Corrective Action Program of the
7        federal Resource Conservation and Recovery Act, as
8        amended;
9            (C) the Illinois Environmental Protection Agency
10        under the Illinois Site Remediation Program; or
11            (D) the Illinois Environmental Protection Agency
12        under the Illinois Solid Waste Program; or
13        (2) located at the site of a coal mine that has
14    permanently ceased coal production, permanently halted any
15    re-mining operations, and is no longer accepting any coal
16    combustion residues; has both completed all clean-up and
17    remediation obligations under the federal Surface Mining
18    and Reclamation Act of 1977 and all applicable Illinois
19    rules and any other clean-up, remediation, or ongoing
20    monitoring to safeguard the health and well-being of the
21    people of the State of Illinois, as well as demonstrated
22    compliance with all applicable federal and State
23    environmental rules and regulations, including, but not
24    limited, to 35 Ill. Adm. Code Part 845 and any rules for
25    historic fill of coal combustion residuals, including any
26    rules finalized in Subdocket A of Illinois Pollution

 

 

SB0025 Enrolled- 129 -LRB104 07069 BAB 17106 b

1    Control Board docket R2020-019.
2    "Clean coal facility" means an electric generating
3facility that uses primarily coal as a feedstock and that
4captures and sequesters carbon dioxide emissions at the
5following levels: at least 50% of the total carbon dioxide
6emissions that the facility would otherwise emit if, at the
7time construction commences, the facility is scheduled to
8commence operation before 2016, at least 70% of the total
9carbon dioxide emissions that the facility would otherwise
10emit if, at the time construction commences, the facility is
11scheduled to commence operation during 2016 or 2017, and at
12least 90% of the total carbon dioxide emissions that the
13facility would otherwise emit if, at the time construction
14commences, the facility is scheduled to commence operation
15after 2017. The power block of the clean coal facility shall
16not exceed allowable emission rates for sulfur dioxide,
17nitrogen oxides, carbon monoxide, particulates and mercury for
18a natural gas-fired combined-cycle facility the same size as
19and in the same location as the clean coal facility at the time
20the clean coal facility obtains an approved air permit. All
21coal used by a clean coal facility shall have high volatile
22bituminous rank and greater than 1.7 pounds of sulfur per
23million Btu content, unless the clean coal facility does not
24use gasification technology and was operating as a
25conventional coal-fired electric generating facility on June
261, 2009 (the effective date of Public Act 95-1027).

 

 

SB0025 Enrolled- 130 -LRB104 07069 BAB 17106 b

1    "Clean coal SNG brownfield facility" means a facility that
2(1) has commenced construction by July 1, 2015 on an urban
3brownfield site in a municipality with at least 1,000,000
4residents; (2) uses a gasification process to produce
5substitute natural gas; (3) uses coal as at least 50% of the
6total feedstock over the term of any sourcing agreement with a
7utility and the remainder of the feedstock may be either
8petroleum coke or coal, with all such coal having a high
9bituminous rank and greater than 1.7 pounds of sulfur per
10million Btu content unless the facility reasonably determines
11that it is necessary to use additional petroleum coke to
12deliver additional consumer savings, in which case the
13facility shall use coal for at least 35% of the total feedstock
14over the term of any sourcing agreement; and (4) captures and
15sequesters at least 85% of the total carbon dioxide emissions
16that the facility would otherwise emit.
17    "Clean coal SNG facility" means a facility that uses a
18gasification process to produce substitute natural gas, that
19sequesters at least 90% of the total carbon dioxide emissions
20that the facility would otherwise emit, that uses at least 90%
21coal as a feedstock, with all such coal having a high
22bituminous rank and greater than 1.7 pounds of sulfur per
23million Btu content, and that has a valid and effective permit
24to construct emission sources and air pollution control
25equipment and approval with respect to the federal regulations
26for Prevention of Significant Deterioration of Air Quality

 

 

SB0025 Enrolled- 131 -LRB104 07069 BAB 17106 b

1(PSD) for the plant pursuant to the federal Clean Air Act;
2provided, however, a clean coal SNG brownfield facility shall
3not be a clean coal SNG facility.
4    "Clean energy" means energy generation that is 90% or
5greater free of carbon dioxide emissions.
6    "Commission" means the Illinois Commerce Commission.
7    "Community renewable generation project" means an electric
8generating facility that:
9        (1) is powered by wind, solar thermal energy,
10    photovoltaic cells or panels, biodiesel, crops and
11    untreated and unadulterated organic waste biomass, and
12    hydropower that does not involve new construction of dams;
13        (2) is interconnected at the distribution system level
14    of an electric utility as defined in this Section, a
15    municipal utility as defined in this Section that owns or
16    operates electric distribution facilities, a public
17    utility as defined in Section 3-105 of the Public
18    Utilities Act, or an electric cooperative, as defined in
19    Section 3-119 of the Public Utilities Act;
20        (3) credits the value of electricity generated by the
21    facility to the subscribers of the facility; and
22        (4) is limited in nameplate capacity to less than or
23    equal to 10,000 5,000 kilowatts.
24    "Costs incurred in connection with the development and
25construction of a facility" means:
26        (1) the cost of acquisition of all real property,

 

 

SB0025 Enrolled- 132 -LRB104 07069 BAB 17106 b

1    fixtures, and improvements in connection therewith and
2    equipment, personal property, and other property, rights,
3    and easements acquired that are deemed necessary for the
4    operation and maintenance of the facility;
5        (2) financing costs with respect to bonds, notes, and
6    other evidences of indebtedness of the Agency;
7        (3) all origination, commitment, utilization,
8    facility, placement, underwriting, syndication, credit
9    enhancement, and rating agency fees;
10        (4) engineering, design, procurement, consulting,
11    legal, accounting, title insurance, survey, appraisal,
12    escrow, trustee, collateral agency, interest rate hedging,
13    interest rate swap, capitalized interest, contingency, as
14    required by lenders, and other financing costs, and other
15    expenses for professional services; and
16        (5) the costs of plans, specifications, site study and
17    investigation, installation, surveys, other Agency costs
18    and estimates of costs, and other expenses necessary or
19    incidental to determining the feasibility of any project,
20    together with such other expenses as may be necessary or
21    incidental to the financing, insuring, acquisition, and
22    construction of a specific project and starting up,
23    commissioning, and placing that project in operation.
24    "Delivery services" has the same definition as found in
25Section 16-102 of the Public Utilities Act.
26    "Delivery year" means the consecutive 12-month period

 

 

SB0025 Enrolled- 133 -LRB104 07069 BAB 17106 b

1beginning June 1 of a given year and ending May 31 of the
2following year.
3    "Department" means the Department of Commerce and Economic
4Opportunity.
5    "Director" means the Director of the Illinois Power
6Agency.
7    "Demand response Demand-response" means measures that
8decrease peak electricity demand or shift demand from peak to
9off-peak periods.
10    "Distributed renewable energy generation device" means a
11device that is:
12        (1) powered by wind, solar thermal energy,
13    photovoltaic cells or panels, biodiesel, crops and
14    untreated and unadulterated organic waste biomass, tree
15    waste, and hydropower that does not involve new
16    construction of dams, waste heat to power systems, or
17    qualified combined heat and power systems;
18        (2) interconnected at the distribution system level of
19    either an electric utility as defined in this Section, a
20    municipal utility as defined in this Section that owns or
21    operates electric distribution facilities, or a rural
22    electric cooperative as defined in Section 3-119 of the
23    Public Utilities Act;
24        (3) located on the customer side of the customer's
25    electric meter and is primarily used to offset that
26    customer's electricity load; and

 

 

SB0025 Enrolled- 134 -LRB104 07069 BAB 17106 b

1        (4) (blank).
2    "Energy efficiency" means measures that reduce the amount
3of electricity or natural gas consumed in order to achieve a
4given end use. "Energy efficiency" includes voltage
5optimization measures that optimize the voltage at points on
6the electric distribution voltage system and thereby reduce
7electricity consumption by electric customers' end use
8devices. "Energy efficiency" also includes measures that
9reduce the total Btus of electricity, natural gas, and other
10fuels needed to meet the end use or uses.
11    "Energy storage system" has the meaning given to that term
12in Section 16-135 of the Public Utilities Act. "Energy storage
13system" does not include technologies that require combustion.
14    "Energy storage resources" means the operational output or
15capabilities of energy storage systems. "Energy storage
16resources" includes, but is not limited to, energy, capacity,
17and energy storage credits.    
18    "Electric utility" has the same definition as found in
19Section 16-102 of the Public Utilities Act.
20    "Equity investment eligible community" or "eligible
21community" are synonymous and mean the geographic areas
22throughout Illinois which would most benefit from equitable
23investments by the State designed to combat discrimination.
24Specifically, the eligible communities shall be defined as the
25following areas:
26        (1) R3 Areas as established pursuant to Section 10-40

 

 

SB0025 Enrolled- 135 -LRB104 07069 BAB 17106 b

1    of the Cannabis Regulation and Tax Act, where residents
2    have historically been excluded from economic
3    opportunities, including opportunities in the energy
4    sector; and
5        (2) environmental justice communities, as defined by
6    the Illinois Power Agency pursuant to the Illinois Power
7    Agency Act, where residents have historically been subject
8    to disproportionate burdens of pollution, including
9    pollution from the energy sector.
10    "Equity eligible persons" or "eligible persons" means
11persons who would most benefit from equitable investments by
12the State designed to combat discrimination, specifically:
13        (1) persons who graduate from or are current or former
14    participants in the Clean Jobs Workforce Network Program,
15    the Clean Energy Contractor Incubator Program, the
16    Illinois Climate Works Preapprenticeship Program,
17    Returning Residents Clean Jobs Training Program, or the
18    Clean Energy Primes Contractor Accelerator Program, and
19    the solar training pipeline and multi-cultural jobs
20    program created in paragraphs (1) and (3) of subsection
21    (a) (a)(1) and (a)(3) of Section 16-108.12 16-208.12 of
22    the Public Utilities Act;
23        (2) persons who are graduates of or currently enrolled
24    in the foster care system;
25        (3) persons who were formerly incarcerated;
26        (4) persons whose primary residence is in an equity

 

 

SB0025 Enrolled- 136 -LRB104 07069 BAB 17106 b

1    investment eligible community.
2    "Equity eligible contractor" means a business that is
3majority-owned by eligible persons, or a nonprofit or
4cooperative that is majority-governed by eligible persons, or
5is a natural person that is an eligible person offering
6personal services as an independent contractor.
7    "Facility" means an electric generating unit or a
8co-generating unit that produces electricity along with
9related equipment necessary to connect the facility to an
10electric transmission or distribution system.
11    "General contractor" means the entity or organization with
12main responsibility for the building of a construction project
13and who is the party signing the prime construction contract
14for the project.
15    "Governmental aggregator" means one or more units of local
16government that individually or collectively procure
17electricity to serve residential retail electrical loads
18located within its or their jurisdiction.
19    "High voltage direct current converter station" means the
20collection of equipment that converts direct current energy
21from a high voltage direct current transmission line into
22alternating current using Voltage Source Conversion technology
23and that is interconnected with transmission or distribution
24assets located in Illinois.
25    "High voltage direct current renewable energy credit"
26means a renewable energy credit associated with a renewable

 

 

SB0025 Enrolled- 137 -LRB104 07069 BAB 17106 b

1energy resource where the renewable energy resource has
2entered into a contract to transmit the energy associated with
3such renewable energy credit over high voltage direct current
4transmission facilities.
5    "High voltage direct current transmission facilities"
6means the collection of installed equipment that converts
7alternating current energy in one location to direct current
8and transmits that direct current energy to a high voltage
9direct current converter station using Voltage Source
10Conversion technology. "High voltage direct current
11transmission facilities" includes the high voltage direct
12current converter station itself and associated high voltage
13direct current transmission lines. Notwithstanding the
14preceding, after September 15, 2021 (the effective date of
15Public Act 102-662), an otherwise qualifying collection of
16equipment does not qualify as high voltage direct current
17transmission facilities unless (1) its developer entered into
18a project labor agreement, is capable of transmitting
19electricity at 525kv with an Illinois converter station
20located and interconnected in the region of the PJM
21Interconnection, LLC, and the system does not operate as a
22public utility, as that term is defined in Section 3-105 of the
23Public Utilities Act, serving more than 100,000 customers as
24of January 1, 2021; or (2) its developer has entered into a
25project labor agreement prior to construction, the project is
26capable of transmitting electricity at 525 kilovolts or above,

 

 

SB0025 Enrolled- 138 -LRB104 07069 BAB 17106 b

1and the project has a converter station that is located in this
2State or in a state adjacent to this State and is
3interconnected to PJM Interconnection, LLC, the Midcontinent
4Independent System Operator, Inc., or their successor.
5    "Hydropower" means any method of electricity generation or
6storage that results from the flow of water, including
7impoundment facilities, diversion facilities, and pumped
8storage facilities.
9    "Index price" means the real-time energy settlement price
10at the applicable Illinois trading hub, such as PJM-NIHUB or
11MISO-IL, for a given settlement period.
12    "Indexed renewable energy credit" means a tradable credit
13that represents the environmental attributes of one megawatt
14hour of energy produced from a renewable energy resource, the
15price of which shall be calculated by subtracting the strike
16price offered by a new utility-scale wind project or a new
17utility-scale photovoltaic project from the index price in a
18given settlement period.
19    "Indexed renewable energy credit counterparty" has the
20same meaning as "public utility" as defined in Section 3-105
21of the Public Utilities Act.
22    "Local government" means a unit of local government as
23defined in Section 1 of Article VII of the Illinois
24Constitution.
25    "Modernized" or "retooled" means the construction, repair,
26maintenance, or significant expansion of turbines and existing

 

 

SB0025 Enrolled- 139 -LRB104 07069 BAB 17106 b

1hydropower dams.
2    "Municipality" means a city, village, or incorporated
3town.
4    "Municipal utility" means a public utility owned and
5operated by any subdivision or municipal corporation of this
6State.
7    "Nameplate capacity" means the aggregate inverter
8nameplate capacity in kilowatts AC.
9    "Person" means any natural person, firm, partnership,
10corporation, either domestic or foreign, company, association,
11limited liability company, joint stock company, or association
12and includes any trustee, receiver, assignee, or personal
13representative thereof.
14    "Project" means the planning, bidding, and construction of
15a facility.
16    "Project labor agreement" means a pre-hire collective
17bargaining agreement that covers all terms and conditions of
18employment on a specific construction project and must include
19the following:
20        (1) provisions establishing the minimum hourly wage
21    for each class of labor organization employee;
22        (2) provisions establishing the benefits and other
23    compensation for each class of labor organization
24    employee;
25        (3) provisions establishing that no strike or disputes
26    will be engaged in by the labor organization employees;

 

 

SB0025 Enrolled- 140 -LRB104 07069 BAB 17106 b

1        (4) provisions establishing that no lockout or
2    disputes will be engaged in by the general contractor
3    building the project; and
4        (5) provisions for minorities and women, as defined
5    under the Business Enterprise for Minorities, Women, and
6    Persons with Disabilities Act, setting forth goals for
7    apprenticeship hours to be performed by minorities and
8    women and setting forth goals for total hours to be
9    performed by underrepresented minorities and women.
10    A labor organization and the general contractor building
11the project shall have the authority to include other terms
12and conditions as they deem necessary.
13    "Public utility" has the same definition as found in
14Section 3-105 of the Public Utilities Act.
15    "Qualified combined heat and power systems" means systems
16that, either simultaneously or sequentially, produce
17electricity and useful thermal energy from a single fuel
18source. Such systems are eligible for "renewable energy
19credits" in an amount equal to its total energy output where a
20renewable fuel is consumed or in an amount equal to the net
21reduction in nonrenewable fuel consumed on a total energy
22output basis.
23    "Real property" means any interest in land together with
24all structures, fixtures, and improvements thereon, including
25lands under water and riparian rights, any easements,
26covenants, licenses, leases, rights-of-way, uses, and other

 

 

SB0025 Enrolled- 141 -LRB104 07069 BAB 17106 b

1interests, together with any liens, judgments, mortgages, or
2other claims or security interests related to real property.
3    "Renewable energy credit" means a tradable credit that
4represents the environmental attributes of one megawatt hour
5of energy produced from a renewable energy resource.
6    "Renewable energy resources" includes energy and its
7associated renewable energy credit or renewable energy credits
8from wind, solar thermal energy, photovoltaic cells and
9panels, biodiesel, anaerobic digestion, crops and untreated
10and unadulterated organic waste biomass, and hydropower that
11does not involve new construction of dams, waste heat to power
12systems, or qualified combined heat and power systems, or
13geothermal heating and cooling systems that qualify for the
14Geothermal Homes and Businesses Program. For purposes of this
15Act, landfill gas produced in the State is considered a
16renewable energy resource. "Renewable energy resources" does
17not include the incineration or burning of tires, garbage,
18general household, institutional, and commercial waste,
19industrial lunchroom or office waste, landscape waste,
20railroad crossties, utility poles, or construction or
21demolition debris, other than untreated and unadulterated
22waste wood. "Renewable energy resources" also includes high
23voltage direct current renewable energy credits and the
24associated energy converted to alternating current by a high
25voltage direct current converter station to the extent that:
26(1) the generator of such renewable energy resource contracted

 

 

SB0025 Enrolled- 142 -LRB104 07069 BAB 17106 b

1with a third party to transmit the energy over the high voltage
2direct current transmission facilities, and (2) the
3third-party contracting for delivery of renewable energy
4resources over the high voltage direct current transmission
5facilities have ownership rights over the unretired associated
6high voltage direct current renewable energy credit.
7    "Retail customer" has the same definition as found in
8Section 16-102 of the Public Utilities Act.
9    "Revenue bond" means any bond, note, or other evidence of
10indebtedness issued by the Authority, the principal and
11interest of which is payable solely from revenues or income
12derived from any project or activity of the Agency.
13    "Sequester" means permanent storage of carbon dioxide by
14injecting it into a saline aquifer, a depleted gas reservoir,
15or an oil reservoir, directly or through an enhanced oil
16recovery process that may involve intermediate storage,
17regardless of whether these activities are conducted by a
18clean coal facility, a clean coal SNG facility, a clean coal
19SNG brownfield facility, or a party with which a clean coal
20facility, clean coal SNG facility, or clean coal SNG
21brownfield facility has contracted for such purposes.
22    "Service area" has the same definition as found in Section
2316-102 of the Public Utilities Act.
24    "Settlement period" means the period of time utilized by
25MISO and PJM and their successor organizations as the basis
26for settlement calculations in the real-time energy market.

 

 

SB0025 Enrolled- 143 -LRB104 07069 BAB 17106 b

1    "Sourcing agreement" means (i) in the case of an electric
2utility, an agreement between the owner of a clean coal
3facility and such electric utility, which agreement shall have
4terms and conditions meeting the requirements of paragraph (3)
5of subsection (d) of Section 1-75, (ii) in the case of an
6alternative retail electric supplier, an agreement between the
7owner of a clean coal facility and such alternative retail
8electric supplier, which agreement shall have terms and
9conditions meeting the requirements of Section 16-115(d)(5) of
10the Public Utilities Act, and (iii) in case of a gas utility,
11an agreement between the owner of a clean coal SNG brownfield
12facility and the gas utility, which agreement shall have the
13terms and conditions meeting the requirements of subsection
14(h-1) of Section 9-220 of the Public Utilities Act.
15    "Strike price" means a contract price for energy and
16renewable energy credits from a new utility-scale wind project
17or a new utility-scale photovoltaic project.
18    "Subscriber" means a person who (i) takes delivery service
19from an electric utility, and (ii) has a subscription of no
20less than 200 watts to a community renewable generation
21project that is located in the electric utility's service
22area. No subscriber's subscriptions may total more than 40% of
23the nameplate capacity of an individual community renewable
24generation project. Entities that are affiliated by virtue of
25a common parent shall not represent multiple subscriptions
26that total more than 40% of the nameplate capacity of an

 

 

SB0025 Enrolled- 144 -LRB104 07069 BAB 17106 b

1individual community renewable generation project.
2    "Subscription" means an interest in a community renewable
3generation project expressed in kilowatts, which is sized
4primarily to offset part or all of the subscriber's
5electricity usage.
6    "Substitute natural gas" or "SNG" means a gas manufactured
7by gasification of hydrocarbon feedstock, which is
8substantially interchangeable in use and distribution with
9conventional natural gas.
10    "Total resource cost test" or "TRC test" means a standard
11that is met if, for an investment in energy efficiency or
12demand-response measures, the benefit-cost ratio is greater
13than one. The benefit-cost ratio is the ratio of the net
14present value of the total benefits of the program to the net
15present value of the total costs as calculated over the
16lifetime of the measures. A total resource cost test compares
17the sum of avoided electric utility costs, representing the
18benefits that accrue to the system and the participant in the
19delivery of those efficiency measures and including avoided
20costs associated with reduced use of natural gas or other
21fuels, avoided costs associated with reduced water
22consumption, and avoided costs associated with reduced
23operation and maintenance costs, and avoided societal costs
24associated with reductions in greenhouse gas emissions, as
25well as other quantifiable societal benefits, to the sum of
26all incremental costs of end-use measures that are implemented

 

 

SB0025 Enrolled- 145 -LRB104 07069 BAB 17106 b

1due to the program (including both utility and participant
2contributions), plus costs to administer, deliver, and
3evaluate each demand-side program, to quantify the net savings
4obtained by substituting the demand-side program for supply
5resources. The societal costs associated with greenhouse gas
6emissions shall be $200 per short ton, expressed in 2025
7dollars or the most recently approved estimate developed by
8the federal government using a real discount rate consistent
9with long-term Treasury bond yields, whichever is greater.
10Changes in greenhouse gas emissions due to changes in
11electricity consumption shall be estimated using long-run
12marginal emissions rates developed by the National Renewable
13Energy Laboratory's Cambium model or other Illinois-specific
14modeling of comparable analytical rigor. In calculating
15avoided costs of power and energy that an electric utility
16would otherwise have had to acquire, reasonable estimates
17shall be included of financial costs likely to be imposed by
18future regulations and legislation on emissions of greenhouse
19gases. In discounting future societal costs and benefits for
20the purpose of calculating net present values, a societal
21discount rate based on actual, long-term Treasury bond yields
22should be used. Notwithstanding anything to the contrary, the
23TRC test shall not include or take into account a calculation
24of market price suppression effects or demand reduction
25induced price effects.
26    "Utility-scale solar project" means an electric generating

 

 

SB0025 Enrolled- 146 -LRB104 07069 BAB 17106 b

1facility that:
2        (1) generates electricity using photovoltaic cells;
3    and
4        (2) has a nameplate capacity that is greater than
5    5,000 kilowatts alternating current (AC).
6    "Utility-scale wind project" means an electric generating
7facility that:
8        (1) generates electricity using wind; and
9        (2) has a nameplate capacity that is greater than
10    5,000 kilowatts.
11    "Waste Heat to Power Systems" means systems that capture
12and generate electricity from energy that would otherwise be
13lost to the atmosphere without the use of additional fuel.
14    "Zero emission credit" means a tradable credit that
15represents the environmental attributes of one megawatt hour
16of energy produced from a zero emission facility.
17    "Zero emission facility" means a facility that: (1) is
18fueled by nuclear power; and (2) is interconnected with PJM
19Interconnection, LLC or the Midcontinent Independent System
20Operator, Inc., or their successors.
21(Source: P.A. 102-662, eff. 9-15-21; 103-154, eff. 6-28-23;
22103-380, eff. 1-1-24.)
 
23    (20 ILCS 3855/1-20)
24    Sec. 1-20. General powers and duties of the Agency.
25    (a) The Agency is authorized to do each of the following:

 

 

SB0025 Enrolled- 147 -LRB104 07069 BAB 17106 b

1        (1) Develop electricity procurement plans to ensure
2    adequate, reliable, affordable, efficient, and
3    environmentally sustainable electric service at the lowest
4    total cost over time, taking into account any benefits of
5    price stability, for electric utilities that on December
6    31, 2005 provided electric service to at least 100,000
7    customers in Illinois and for small multi-jurisdictional
8    electric utilities that (A) on December 31, 2005 served
9    less than 100,000 customers in Illinois and (B) request a
10    procurement plan for their Illinois jurisdictional load.
11    Except as provided in paragraph (1.5) of this subsection
12    (a), the electricity procurement plans shall be updated on
13    an annual basis and shall include electricity generated
14    from renewable resources sufficient to achieve the
15    standards specified in this Act. Beginning with the
16    delivery year commencing June 1, 2017, develop procurement
17    plans to include zero emission credits generated from zero
18    emission facilities sufficient to achieve the standards
19    specified in this Act. Beginning with the delivery year
20    commencing on June 1, 2022, the Agency is authorized to
21    develop carbon mitigation credit procurement plans to
22    include carbon mitigation credits generated from
23    carbon-free energy resources sufficient to achieve the
24    standards specified in this Act.
25        (1.5) Develop a long-term renewable resources
26    procurement plan in accordance with subsection (c) of

 

 

SB0025 Enrolled- 148 -LRB104 07069 BAB 17106 b

1    Section 1-75 of this Act for renewable energy credits in
2    amounts sufficient to achieve the standards specified in
3    this Act for delivery years commencing June 1, 2017 and
4    for the programs and renewable energy credits specified in
5    Section 1-56 of this Act. Electricity procurement plans
6    for delivery years commencing after May 31, 2017, shall
7    not include procurement of renewable energy resources.
8        (2) Conduct competitive procurement processes to
9    procure the supply resources identified in the electricity
10    procurement plan, pursuant to Section 16-111.5 of the
11    Public Utilities Act, and, for the delivery year
12    commencing June 1, 2017, conduct procurement processes to
13    procure zero emission credits from zero emission
14    facilities, under subsection (d-5) of Section 1-75 of this
15    Act. For the delivery year commencing June 1, 2022, the
16    Agency is authorized to conduct procurement processes to
17    procure carbon mitigation credits from carbon-free energy
18    resources, under subsection (d-10) of Section 1-75 of this
19    Act.
20        (2.5) Beginning with the procurement for the 2017
21    delivery year, conduct competitive procurement processes
22    and implement programs to procure renewable energy credits
23    identified in the long-term renewable resources
24    procurement plan developed and approved under subsection
25    (c) of Section 1-75 of this Act and Section 16-111.5 of the
26    Public Utilities Act.

 

 

SB0025 Enrolled- 149 -LRB104 07069 BAB 17106 b

1        (2.10) Oversee the procurement by electric utilities
2    that served more than 300,000 customers in this State as
3    of January 1, 2019 of renewable energy credits from new
4    renewable energy facilities to be installed, along with
5    energy storage facilities, at or adjacent to the sites of
6    electric generating facilities that burned coal as their
7    primary fuel source as of January 1, 2016 in accordance
8    with subsection (c-5) of Section 1-75 of this Act.
9        (2.15) Oversee the procurement by electric utilities
10    of renewable energy credits from newly modernized or
11    retooled hydropower dams or dams that have been converted
12    to support hydropower generation.
13        (3) Develop electric generation and co-generation
14    facilities that use indigenous coal or renewable
15    resources, or both, financed with bonds issued by the
16    Illinois Finance Authority.
17        (4) Supply electricity from the Agency's facilities at
18    cost to one or more of the following: municipal electric
19    systems, governmental aggregators, or rural electric
20    cooperatives in Illinois.
21        (5) Develop a long-term energy storage resources
22    procurement plan and conduct competitive procurement
23    processes in accordance with subsection (d-20) of Section
24    1-75.    
25    (b) Except as otherwise limited by this Act, the Agency
26has all of the powers necessary or convenient to carry out the

 

 

SB0025 Enrolled- 150 -LRB104 07069 BAB 17106 b

1purposes and provisions of this Act, including without
2limitation, each of the following:
3        (1) To have a corporate seal, and to alter that seal at
4    pleasure, and to use it by causing it or a facsimile to be
5    affixed or impressed or reproduced in any other manner.
6        (2) To use the services of the Illinois Finance
7    Authority necessary to carry out the Agency's purposes.
8        (3) To negotiate and enter into loan agreements and
9    other agreements with the Illinois Finance Authority.
10        (4) To obtain and employ personnel and hire
11    consultants that are necessary to fulfill the Agency's
12    purposes, and to make expenditures for that purpose within
13    the appropriations for that purpose.
14        (5) To purchase, receive, take by grant, gift, devise,
15    bequest, or otherwise, lease, or otherwise acquire, own,
16    hold, improve, employ, use, and otherwise deal in and
17    with, real or personal property whether tangible or
18    intangible, or any interest therein, within the State.
19        (6) To acquire real or personal property, whether
20    tangible or intangible, including without limitation
21    property rights, interests in property, franchises,
22    obligations, contracts, and debt and equity securities,
23    and to do so by the exercise of the power of eminent domain
24    in accordance with Section 1-21; except that any real
25    property acquired by the exercise of the power of eminent
26    domain must be located within the State.

 

 

SB0025 Enrolled- 151 -LRB104 07069 BAB 17106 b

1        (7) To sell, convey, lease, exchange, transfer,
2    abandon, or otherwise dispose of, or mortgage, pledge, or
3    create a security interest in, any of its assets,
4    properties, or any interest therein, wherever situated.
5        (8) To purchase, take, receive, subscribe for, or
6    otherwise acquire, hold, make a tender offer for, vote,
7    employ, sell, lend, lease, exchange, transfer, or
8    otherwise dispose of, mortgage, pledge, or grant a
9    security interest in, use, and otherwise deal in and with,
10    bonds and other obligations, shares, or other securities
11    (or interests therein) issued by others, whether engaged
12    in a similar or different business or activity.
13        (9) To make and execute agreements, contracts, and
14    other instruments necessary or convenient in the exercise
15    of the powers and functions of the Agency under this Act,
16    including contracts with any person, including personal
17    service contracts, or with any local government, State
18    agency, or other entity; and all State agencies and all
19    local governments are authorized to enter into and do all
20    things necessary to perform any such agreement, contract,
21    or other instrument with the Agency. No such agreement,
22    contract, or other instrument shall exceed 40 years.
23        (10) To lend money, invest and reinvest its funds in
24    accordance with the Public Funds Investment Act, and take
25    and hold real and personal property as security for the
26    payment of funds loaned or invested.

 

 

SB0025 Enrolled- 152 -LRB104 07069 BAB 17106 b

1        (11) To borrow money at such rate or rates of interest
2    as the Agency may determine, issue its notes, bonds, or
3    other obligations to evidence that indebtedness, and
4    secure any of its obligations by mortgage or pledge of its
5    real or personal property, machinery, equipment,
6    structures, fixtures, inventories, revenues, grants, and
7    other funds as provided or any interest therein, wherever
8    situated.
9        (12) To enter into agreements with the Illinois
10    Finance Authority to issue bonds whether or not the income
11    therefrom is exempt from federal taxation.
12        (13) To procure insurance against any loss in
13    connection with its properties or operations in such
14    amount or amounts and from such insurers, including the
15    federal government, as it may deem necessary or desirable,
16    and to pay any premiums therefor.
17        (14) To negotiate and enter into agreements with
18    trustees or receivers appointed by United States
19    bankruptcy courts or federal district courts or in other
20    proceedings involving adjustment of debts and authorize
21    proceedings involving adjustment of debts and authorize
22    legal counsel for the Agency to appear in any such
23    proceedings.
24        (15) To file a petition under Chapter 9 of Title 11 of
25    the United States Bankruptcy Code or take other similar
26    action for the adjustment of its debts.

 

 

SB0025 Enrolled- 153 -LRB104 07069 BAB 17106 b

1        (16) To enter into management agreements for the
2    operation of any of the property or facilities owned by
3    the Agency.
4        (17) To enter into an agreement to transfer and to
5    transfer any land, facilities, fixtures, or equipment of
6    the Agency to one or more municipal electric systems,
7    governmental aggregators, or rural electric agencies or
8    cooperatives, for such consideration and upon such terms
9    as the Agency may determine to be in the best interest of
10    the residents of Illinois.
11        (18) To enter upon any lands and within any building
12    whenever in its judgment it may be necessary for the
13    purpose of making surveys and examinations to accomplish
14    any purpose authorized by this Act.
15        (19) To maintain an office or offices at such place or
16    places in the State as it may determine.
17        (20) To request information, and to make any inquiry,
18    investigation, survey, or study that the Agency may deem
19    necessary to enable it effectively to carry out the
20    provisions of this Act.
21        (21) To accept and expend appropriations.
22        (22) To engage in any activity or operation that is
23    incidental to and in furtherance of efficient operation to
24    accomplish the Agency's purposes, including hiring
25    employees that the Director deems essential for the
26    operations of the Agency.

 

 

SB0025 Enrolled- 154 -LRB104 07069 BAB 17106 b

1        (23) To adopt, revise, amend, and repeal rules with
2    respect to its operations, properties, and facilities as
3    may be necessary or convenient to carry out the purposes
4    of this Act, subject to the provisions of the Illinois
5    Administrative Procedure Act and Sections 1-22 and 1-35 of
6    this Act.
7        (24) To establish and collect charges and fees as
8    described in this Act.
9        (25) To conduct competitive gasification feedstock
10    procurement processes to procure the feedstocks for the
11    clean coal SNG brownfield facility in accordance with the
12    requirements of Section 1-78 of this Act.
13        (26) To review, revise, and approve sourcing
14    agreements and mediate and resolve disputes between gas
15    utilities and the clean coal SNG brownfield facility
16    pursuant to subsection (h-1) of Section 9-220 of the
17    Public Utilities Act.
18        (27) To request, review and accept proposals, execute
19    contracts, purchase renewable energy credits and otherwise
20    dedicate funds from the Illinois Power Agency Renewable
21    Energy Resources Fund to create and carry out the
22    objectives of the Illinois Solar for All Program in
23    accordance with Section 1-56 of this Act.
24        (28) To ensure Illinois residents and business benefit
25    from programs administered by the Agency and are properly
26    protected from any deceptive or misleading marketing

 

 

SB0025 Enrolled- 155 -LRB104 07069 BAB 17106 b

1    practices by participants in the Agency's programs and
2    procurements.
3    (c) In conducting the procurement of electricity or other
4products, beginning January 1, 2022, the Agency shall not
5procure any products or services from persons or organizations
6that are in violation of the Displaced Energy Workers Bill of
7Rights, as provided under the Energy Community Reinvestment
8Act at the time of the procurement event or fail to comply the
9labor standards established in subparagraph (Q) of paragraph
10(1) of subsection (c) of Section 1-75.
11(Source: P.A. 102-662, eff. 9-15-21; 103-380, eff. 1-1-24.)
 
12    (20 ILCS 3855/1-56)
13    Sec. 1-56. Illinois Power Agency Renewable Energy
14Resources Fund; Illinois Solar for All Program.
15    (a) The Illinois Power Agency Renewable Energy Resources
16Fund is created as a special fund in the State treasury.
17    (b) The Illinois Power Agency Renewable Energy Resources
18Fund shall be administered by the Agency as described in this
19subsection (b), provided that the changes to this subsection
20(b) made by Public Act 99-906 shall not interfere with
21existing contracts under this Section.
22        (1) The Illinois Power Agency Renewable Energy
23    Resources Fund shall be used to purchase renewable energy
24    credits according to any approved procurement plan
25    developed by the Agency prior to June 1, 2017.

 

 

SB0025 Enrolled- 156 -LRB104 07069 BAB 17106 b

1        (2) The Illinois Power Agency Renewable Energy
2    Resources Fund shall also be used to create the Illinois
3    Solar for All Program, which provides incentives for
4    low-income distributed generation and community solar
5    projects, and other associated approved expenditures. The
6    objectives of the Illinois Solar for All Program are to
7    bring photovoltaics to low-income communities in this
8    State in a manner that maximizes the development of new
9    photovoltaic generating facilities, to create a long-term,
10    low-income solar marketplace throughout this State, to
11    integrate, through interaction with stakeholders, with
12    existing energy efficiency initiatives, and to minimize
13    administrative costs. The Illinois Solar for All Program
14    shall be implemented in a manner that seeks to minimize
15    administrative costs, and maximize efficiencies and
16    synergies available through coordination with similar
17    initiatives, including the Adjustable Block program
18    described in subparagraphs (K) through (M) of paragraph
19    (1) of subsection (c) of Section 1-75, energy efficiency
20    programs, job training programs, and community action
21    agencies, and agencies that administer the Low-Income Home
22    Energy Assistance Program. The Agency shall strive to
23    ensure that renewable energy credits procured through the
24    Illinois Solar for All Program and each of its subprograms
25    are purchased from projects across the breadth of
26    low-income and environmental justice communities in

 

 

SB0025 Enrolled- 157 -LRB104 07069 BAB 17106 b

1    Illinois, including both urban and rural communities, are
2    not concentrated in a few communities, and do not exclude
3    particular low-income or environmental justice
4    communities. The Agency shall include a description of its
5    proposed approach to the design, administration,
6    implementation and evaluation of the Illinois Solar for
7    All Program, as part of the long-term renewable resources
8    procurement plan authorized by subsection (c) of Section
9    1-75 of this Act, and the program shall be designed to grow
10    the low-income solar market. The Agency or utility, as
11    applicable, shall purchase renewable energy credits from
12    the (i) photovoltaic distributed renewable energy
13    generation projects and (ii) community solar projects that
14    are procured under procurement processes authorized by the
15    long-term renewable resources procurement plans approved
16    by the Commission.
17        The Illinois Solar for All Program shall include the
18    program offerings described in subparagraphs (A) through
19    (E) of this paragraph (2), which the Agency shall
20    implement through contracts with third-party providers
21    and, subject to appropriation, pay the approximate amounts
22    identified using monies available in the Illinois Power
23    Agency Renewable Energy Resources Fund. Each contract that
24    provides for the installation of solar facilities shall
25    provide that the solar facilities will produce energy and
26    economic benefits, at a level determined by the Agency to

 

 

SB0025 Enrolled- 158 -LRB104 07069 BAB 17106 b

1    be reasonable, for the participating low-income customers.
2    The monies available in the Illinois Power Agency
3    Renewable Energy Resources Fund and not otherwise
4    committed to contracts executed under subsection (i) of
5    this Section, as well as, in the case of the programs
6    described under subparagraphs (A) through (E) of this
7    paragraph (2), funding authorized pursuant to subparagraph
8    (O) of paragraph (1) of subsection (c) of Section 1-75 of
9    this Act, shall initially be allocated among the programs
10    described in this paragraph (2), as follows: 35% of these
11    funds shall be allocated to programs described in
12    subparagraphs (A) and (E) of this paragraph (2), 40% of
13    these funds shall be allocated to programs described in
14    subparagraph (B) of this paragraph (2), and 25% of these
15    funds shall be allocated to programs described in
16    subparagraph (C) of this paragraph (2). The allocation of
17    funds among subparagraphs (A), (B), (C), and (E) of this
18    paragraph (2) may be changed if the Agency, after
19    receiving input through a stakeholder process, determines
20    incentives in subparagraph subparagraphs (A), (B), (C), or
21    (E) of this paragraph (2) have not been adequately
22    subscribed to fully utilize available Illinois Solar for
23    All Program funds.
24        Contracts that will be paid with funds in the Illinois
25    Power Agency Renewable Energy Resources Fund shall be
26    executed by the Agency. Contracts that will be paid with

 

 

SB0025 Enrolled- 159 -LRB104 07069 BAB 17106 b

1    funds collected by an electric utility shall be executed
2    by the electric utility.
3        Contracts under the Illinois Solar for All Program
4    shall include an approach, as set forth in the long-term
5    renewable resources procurement plans, to ensure the
6    wholesale market value of the energy is credited to
7    participating low-income customers or organizations and to
8    ensure tangible economic benefits flow directly to program
9    participants, except in the case of low-income
10    multi-family housing where the low-income customer does
11    not directly pay for energy. Priority shall be given to
12    projects that demonstrate meaningful involvement of
13    low-income community members in designing the initial
14    proposals. Acceptable proposals to implement projects must
15    demonstrate the applicant's ability to conduct initial
16    community outreach, education, and recruitment of
17    low-income participants in the community. Projects
18    submitted by approved vendors must either comply with the
19    minimum equity standard set forth in subsection (c-10) of
20    Section 1-75 of this Act or must include job training
21    opportunities if available, with the specific level of
22    trainee usage to be determined through the Agency's
23    long-term renewable resources procurement plan, and the
24    Illinois Solar for All Program Administrator shall
25    coordinate with the job training programs described in
26    paragraph (1) of subsection (a) of Section 16-108.12 of

 

 

SB0025 Enrolled- 160 -LRB104 07069 BAB 17106 b

1    the Public Utilities Act and in the Energy Transition Act.
2        The Agency shall make every effort to ensure that
3    small and emerging businesses, particularly those located
4    in low-income and environmental justice communities, are
5    able to participate in the Illinois Solar for All Program.
6    These efforts may include, but shall not be limited to,
7    proactive support from the program administrator,
8    different or preferred access to subprograms and
9    administrator-identified customers or grassroots
10    education provider-identified customers, and different
11    incentive levels. The Agency shall report on progress and
12    barriers to participation of small and emerging businesses
13    in the Illinois Solar for All Program at least once a year.
14    The report shall be made available on the Agency's website
15    and, in years when the Agency is updating its long-term
16    renewable resources procurement plan, included in that
17    Plan.
18            (A) Low-income single-family and small multifamily
19        solar incentive. This program will provide incentives
20        to low-income customers, either directly or through
21        solar providers, to increase the participation of
22        low-income households in photovoltaic on-site
23        distributed generation at residential buildings
24        containing one to 4 units. Companies participating in
25        this program that install solar panels shall commit to
26        meeting a minimum equity standard or hiring job

 

 

SB0025 Enrolled- 161 -LRB104 07069 BAB 17106 b

1        trainees for a portion of their low-income
2        installations, and an administrator shall facilitate
3        partnering the companies that install solar panels
4        with entities that provide solar panel installation
5        job training. It is a goal of this program that a
6        minimum of 25% of the incentives for this program be
7        allocated to projects located within environmental
8        justice communities. Contracts entered into under this
9        paragraph may be entered into with an entity that will
10        develop and administer the program and shall also
11        include contracts for renewable energy credits from
12        the photovoltaic distributed generation that is the
13        subject of the program, as set forth in the long-term
14        renewable resources procurement plan. Additionally:
15                (i) The Agency shall reserve a portion of this
16            program for projects that promote energy
17            sovereignty through ownership of projects by
18            low-income households, not-for-profit
19            organizations providing services to low-income
20            households, affordable housing owners, community
21            cooperatives, or community-based limited liability
22            companies providing services to low-income
23            households. Projects that feature energy ownership
24            should ensure that local people have control of
25            the project and reap benefits from the project
26            over and above energy bill savings. The Agency may

 

 

SB0025 Enrolled- 162 -LRB104 07069 BAB 17106 b

1            consider the inclusion of projects that promote
2            ownership over time or that involve partial
3            project ownership by communities, as promoting
4            energy sovereignty. Incentives for projects that
5            promote energy sovereignty may be higher than
6            incentives for equivalent projects that do not
7            promote energy sovereignty under this same
8            program.
9                (ii) Through its long-term renewable resources
10            procurement plan, the Agency shall consider
11            additional program and contract requirements to
12            ensure faithful compliance by applicants
13            benefiting from preferences for projects
14            designated to promote energy sovereignty. The
15            Agency shall make every effort to enable solar
16            providers already participating in the Adjustable
17            Block program Program under subparagraph (K) of
18            paragraph (1) of subsection (c) of Section 1-75 of
19            this Act, and particularly solar providers
20            developing projects under item (i) of subparagraph
21            (K) of paragraph (1) of subsection (c) of Section
22            1-75 of this Act to easily participate in the
23            Low-Income Distributed Generation Incentive
24            program described under this subparagraph (A), and
25            vice versa. This effort may include, but shall not
26            be limited to, utilizing similar or the same

 

 

SB0025 Enrolled- 163 -LRB104 07069 BAB 17106 b

1            application systems and processes, utilizing    
2            similar or the same forms and formats of
3            communication, and providing active outreach to
4            companies participating in one program but not the
5            other. The Agency shall report on efforts made to
6            encourage this cross-participation in its
7            long-term renewable resources procurement plan.
8                (iii) To maximize equitable participation in
9            this program and overcome challenges facing the
10            development of residential solar projects, the
11            Agency may propose a payment structure for
12            contracts executed pursuant to this subparagraph
13            (A) under which applicant firms are advanced
14            capital that is disbursed after contract execution
15            but before the contracted project's energization,
16            upon a demonstration of qualification or need
17            under criteria established by the Agency that are
18            focused on supporting the small and emerging
19            businesses and the businesses that most acutely
20            face barriers to capital access, which severely
21            limits the businesses' participation in the
22            program described in this subparagraph (A). The
23            amount or percentage of capital advanced before
24            project energization shall be designed to overcome
25            the barriers in access to capital that are faced
26            by an applicant. The amount or percentage of

 

 

SB0025 Enrolled- 164 -LRB104 07069 BAB 17106 b

1            advanced capital may vary under this subparagraph
2            (A) by an applicant's demonstration of need, with
3            such levels to be established through the
4            Long-Term Renewable Resources Procurement Plan and
5            any application requirements or evaluation
6            criteria developed under that Plan.    
7            (B) Low-Income Community Solar Project Initiative.
8        Incentives shall be offered to low-income customers,
9        either directly or through developers, to increase the
10        participation of low-income subscribers of community
11        solar projects. The developer of each project shall
12        identify its partnership with community stakeholders
13        regarding the location, development, and participation
14        in the project, provided that nothing shall preclude a
15        project from including an anchor tenant that does not
16        qualify as low-income. Companies participating in this
17        program that develop or install solar projects shall
18        commit to meeting a minimum equity standard or to    
19        hiring job trainees for a portion of their low-income
20        installations, and an administrator shall facilitate
21        partnering the companies that install solar projects
22        with entities that provide solar installation and
23        related job training. It is a goal of this program that
24        a minimum of 25% of the incentives for this program be
25        allocated to community photovoltaic projects in
26        environmental justice communities. The Agency shall

 

 

SB0025 Enrolled- 165 -LRB104 07069 BAB 17106 b

1        reserve a portion of this program for projects that
2        promote energy sovereignty through ownership of
3        projects by low-income households, not-for-profit
4        organizations providing services to low-income
5        households, affordable housing owners, or
6        community-based limited liability companies providing
7        services to low-income households. Projects that
8        feature energy ownership should ensure that local
9        people have control of the project and reap benefits
10        from the project over and above energy bill savings.
11        The Agency may consider the inclusion of projects that
12        promote ownership over time or that involve partial
13        project ownership by communities, as promoting energy
14        sovereignty. Incentives for projects that promote
15        energy sovereignty may be higher than incentives for
16        equivalent projects that do not promote energy
17        sovereignty under this same program. Contracts entered
18        into under this paragraph may be entered into with
19        developers and shall also include contracts for
20        renewable energy credits related to the program.
21            (C) Incentives for non-profits and public
22        facilities. Under this program funds shall be used to
23        support on-site photovoltaic distributed renewable
24        energy generation devices to serve the load associated
25        with not-for-profit customers and to support
26        photovoltaic distributed renewable energy generation

 

 

SB0025 Enrolled- 166 -LRB104 07069 BAB 17106 b

1        that uses photovoltaic technology to serve the load
2        associated with public sector customers taking service
3        at public buildings. Master-metered multifamily
4        buildings that primarily house income-eligible
5        residents may qualify under this subparagraph (C).
6        Nonprofits and public facilities that can demonstrate
7        that the nonprofit or public facility serves
8        income-qualified or environmental justice communities
9        may potentially qualify for the program, regardless of
10        physical location. Qualification may be determined
11        using the same procedures applied to critical service
12        provider requests for the purpose of establishing
13        project eligibility in areas that are not designated
14        as income-eligible or environmental justice
15        communities. Companies participating in this program
16        that develop or install solar projects shall commit to
17        meeting a minimum equity standard or to hiring job
18        trainees for a portion of their low-income
19        installations, and an administrator shall facilitate
20        partnering the companies that install solar projects
21        with entities that provide solar installation and
22        related job training. Through its long-term renewable
23        resources procurement plan, the Agency shall consider
24        additional program and contract requirements to ensure
25        faithful compliance by applicants benefiting from
26        preferences for projects designated to promote energy

 

 

SB0025 Enrolled- 167 -LRB104 07069 BAB 17106 b

1        sovereignty. It is a goal of this program that at least
2        25% of the incentives for this program be allocated to
3        projects located in environmental justice communities.
4        Contracts entered into under this paragraph may be
5        entered into with an entity that will develop and
6        administer the program or with developers and shall
7        also include contracts for renewable energy credits
8        related to the program.
9            (D) (Blank).
10            (E) Low-income large multifamily solar incentive.
11        This program shall provide incentives to low-income
12        customers, either directly or through solar providers,
13        to increase the participation of low-income households
14        in photovoltaic on-site distributed generation at
15        residential buildings with 5 or more units. Companies
16        participating in this program that develop or install
17        solar projects shall commit to meeting a minimum
18        equity standard or to hiring job trainees for a
19        portion of their low-income installations, and an
20        administrator shall facilitate partnering the
21        companies that install solar projects with entities
22        that provide solar installation and related job
23        training. It is a goal of this program that a minimum
24        of 25% of the incentives for this program be allocated
25        to projects located within environmental justice
26        communities. The Agency shall reserve a portion of

 

 

SB0025 Enrolled- 168 -LRB104 07069 BAB 17106 b

1        this program for projects that promote energy
2        sovereignty through ownership of projects by
3        low-income households, not-for-profit organizations
4        providing services to low-income households,
5        affordable housing owners, or community-based limited
6        liability companies providing services to low-income
7        households. Projects that feature energy ownership
8        should ensure that local people have control of the
9        project and reap benefits from the project over and
10        above energy bill savings. The Agency may consider the
11        inclusion of projects that promote ownership over time
12        or that involve partial project ownership by
13        communities, as promoting energy sovereignty.
14        Incentives for projects that promote energy
15        sovereignty may be higher than incentives for
16        equivalent projects that do not promote energy
17        sovereignty under this same program.
18        The requirement that a qualified person, as defined in
19    paragraph (1) of subsection (i) of this Section, install
20    photovoltaic devices does not apply to the Illinois Solar
21    for All Program described in this subsection (b).
22        In addition to the programs outlined in paragraphs (A)
23    through (E), the Agency and other parties may propose
24    additional programs through the long-term renewable
25    resources procurement plan Long-Term Renewable Resources
26    Procurement Plan developed and approved under paragraph

 

 

SB0025 Enrolled- 169 -LRB104 07069 BAB 17106 b

1    (5) of subsection (b) of Section 16-111.5 of the Public
2    Utilities Act. Additional programs may target market
3    segments not specified above and may also include
4    incentives targeted to increase the uptake of
5    nonphotovoltaic technologies by low-income customers,
6    including energy storage paired with photovoltaics, if the
7    Commission determines that the Illinois Solar for All
8    Program would provide greater benefits to the public
9    health and well-being of low-income residents through also
10    supporting that additional program versus supporting
11    programs already authorized.
12        (3) Costs associated with the Illinois Solar for All
13    Program and its components described in paragraph (2) of
14    this subsection (b), including, but not limited to, costs
15    associated with procuring experts, consultants, and the
16    program administrator referenced in this subsection (b)
17    and related incremental costs, costs related to income
18    verification and facilitating customer participation in
19    the program through referrals and other methods, costs
20    related to obtaining feedback on the program from parties
21    that do not have a financial interest, and costs related
22    to the evaluation of the Illinois Solar for All Program,
23    may be paid for using monies in the Illinois Power Agency
24    Renewable Energy Resources Fund, and funds allocated
25    pursuant to subparagraph (O) of paragraph (1) of
26    subsection (c) of Section 1-75, but the Agency or program

 

 

SB0025 Enrolled- 170 -LRB104 07069 BAB 17106 b

1    administrator shall strive to minimize costs in the
2    implementation of the program. The Agency or contracting
3    electric utility shall purchase renewable energy credits
4    from generation that is the subject of a contract under
5    subparagraphs (A) through (E) of paragraph (2) of this
6    subsection (b), and may pay for such renewable energy
7    credits through an upfront payment per installed kilowatt
8    of nameplate capacity paid once the device is
9    interconnected at the distribution system level of the
10    interconnecting utility and verified as energized. Unless
11    otherwise provided in the Agency's long-term renewable
12    resources procurement plan, payments Payments for
13    renewable energy credits shall be in exchange for all
14    renewable energy credits generated by the system during
15    the first 15 years of operation and shall be structured to
16    overcome barriers to participation in the solar market by
17    the low-income community. The incentives provided for in
18    this Section may be implemented through the pricing of
19    renewable energy credits where the prices paid for the
20    credits are higher than the prices from programs offered
21    under subsection (c) of Section 1-75 of this Act to
22    account for the additional capital necessary to
23    successfully access targeted market segments. The Agency
24    or contracting electric utility shall retire any renewable
25    energy credits purchased under this program and the
26    credits shall count toward the obligation under subsection

 

 

SB0025 Enrolled- 171 -LRB104 07069 BAB 17106 b

1    (c) of Section 1-75 of this Act for the electric utility to
2    which the project is interconnected, if applicable.
3        The Agency shall direct that up to 5% of the funds
4    available under the Illinois Solar for All Program to
5    community-based groups and other qualifying organizations
6    to assist in community-driven education efforts related to
7    the Illinois Solar for All Program, including general
8    energy education, job training program outreach efforts,
9    and other activities deemed to be qualified by the Agency.
10    Grassroots education funding shall not be used to support
11    the marketing by solar project development firms and
12    organizations, unless such education provides equal
13    opportunities for all applicable firms and organizations.
14        The Agency may direct up to 25% of the funds currently
15    allocated to subparagraphs (A), (C), and (E) of paragraph
16    (2) toward the Illinois Storage for All Program, which
17    provides incentives through grants, rebates, or other
18    incentives to encourage development of energy storage
19    colocated with photovoltaic distributed renewable energy
20    generation devices developed through the Illinois Solar
21    for All Program. Any unused Storage for All funds during a
22    program year may be reallocated to other Solar for All
23    Program projects that are waitlisted or otherwise not
24    selected due to funding limitation per the Agency's
25    defined process. The Illinois Storage for All Program
26    shall be available to current and future participants of

 

 

SB0025 Enrolled- 172 -LRB104 07069 BAB 17106 b

1    the low-income single-family and multifamily subprogram
2    described in subparagraphs (A) and (E) of paragraph (2),
3    and the subprogram for nonprofit and public facilities
4    described in subparagraph (C) of paragraph (2). If
5    developed, the Illinois Storage for All Program may be
6    designed to support community energy resilience, disaster
7    preparedness, and energy bill reductions, particularly for
8    residents of low-income and environmental justice
9    communities. The Agency may propose the funding amount,
10    structure, and details of the Illinois Storage for All
11    Program in the Agency's long-term renewable resources
12    procurement plan described in subsection (c) of Section
13    1-75 of this Act and Section 16-111.5 of the Public
14    Utilities Act, or through its energy storage resources
15    procurement plan described in subsection (d-20) of Section
16    1-75 of this Act. As part of the development of its initial
17    energy storage resources procurement plan, the Agency
18    shall engage stakeholders in the development of the
19    Illinois Storage for All Program, including, but not
20    limited to, members of the Illinois Commission on
21    Environmental Justice described in Section 10 of the
22    Environmental Justice Act, representatives of approved
23    vendors participating in the Illinois Solar for All
24    Program, representatives of community-based
25    organizations, and members of the Illinois Solar for All
26    Stakeholder Advisory Group. The stakeholder process shall

 

 

SB0025 Enrolled- 173 -LRB104 07069 BAB 17106 b

1    include, but not be limited to, an exploration of how to
2    ensure that the distributed storage will be accessible to
3    income-qualified households with zero upfront costs and in
4    coordination with job training programs, as well as how
5    the program may be supported by other programs or
6    initiatives to maximize storage benefits and limit
7    double-counting of incentives.    
8        (4) The Agency shall, consistent with the requirements
9    of this subsection (b), propose the Illinois Solar for All
10    Program terms, conditions, and requirements, including the
11    prices to be paid for renewable energy credits, and which
12    prices may be determined through a formula, through the
13    development, review, and approval of the Agency's
14    long-term renewable resources procurement plan described
15    in subsection (c) of Section 1-75 of this Act and Section
16    16-111.5 of the Public Utilities Act. In the course of the
17    Commission proceeding initiated to review and approve the
18    plan, including the Illinois Solar for All Program
19    proposed by the Agency, a party may propose an additional
20    low-income solar or solar incentive program, or
21    modifications to the programs proposed by the Agency, and
22    the Commission may approve an additional program, or
23    modifications to the Agency's proposed program, if the
24    additional or modified program more effectively maximizes
25    the benefits to low-income customers after taking into
26    account all relevant factors, including, but not limited

 

 

SB0025 Enrolled- 174 -LRB104 07069 BAB 17106 b

1    to, the extent to which a competitive market for
2    low-income solar has developed. Following the Commission's
3    approval of the Illinois Solar for All Program, the Agency
4    or a party may propose adjustments to the program terms,
5    conditions, and requirements, including the price offered
6    to new systems, to ensure the long-term viability and
7    success of the program. The Commission shall review and
8    approve any modifications to the program through the plan
9    revision process described in Section 16-111.5 of the
10    Public Utilities Act.
11        (5) The Agency shall issue a request for
12    qualifications for a third-party program administrator or
13    administrators to administer all or a portion of the
14    Illinois Solar for All Program. The third-party program
15    administrator shall be chosen through a competitive bid
16    process based on selection criteria and requirements
17    developed by the Agency, including, but not limited to,
18    experience in administering low-income energy programs and
19    overseeing statewide clean energy or energy efficiency
20    services. If the Agency retains a program administrator or
21    administrators to implement all or a portion of the
22    Illinois Solar for All Program, each administrator shall
23    periodically submit reports to the Agency and Commission
24    for each program that it administers, at appropriate
25    intervals to be identified by the Agency in its long-term
26    renewable resources procurement plan, subject to

 

 

SB0025 Enrolled- 175 -LRB104 07069 BAB 17106 b

1    Commission approval, provided that the reporting interval
2    is at least an annual period quarterly. The third-party
3    program administrator may be, but need not be, the same
4    administrator as for the Adjustable Block program
5    described in subparagraphs (K) through (M) of paragraph
6    (1) of subsection (c) of Section 1-75. The Agency, through
7    its long-term renewable resources procurement plan
8    approval process, shall also determine if individual
9    subprograms of the Illinois Solar for All Program are
10    better served by a different or separate Program
11    Administrator.
12        The third-party administrator's responsibilities
13    shall also include facilitating placement for graduates of
14    Illinois-based renewable energy-specific job training
15    programs, including the Clean Jobs Workforce Network
16    Program and the Illinois Climate Works Preapprenticeship
17    Program administered by the Department of Commerce and
18    Economic Opportunity and programs administered under
19    Section 16-108.12 of the Public Utilities Act. To increase
20    the uptake of trainees by participating firms, the
21    administrator shall also develop a web-based clearinghouse
22    for information available to both job training program
23    graduates and firms participating, directly or indirectly,
24    in Illinois solar incentive programs. The program
25    administrator shall also coordinate its activities with
26    entities implementing electric and natural gas

 

 

SB0025 Enrolled- 176 -LRB104 07069 BAB 17106 b

1    income-qualified energy efficiency programs, including
2    customer referrals to and from such programs, and connect
3    prospective low-income solar customers with any existing
4    deferred maintenance programs where applicable.
5        (6) The long-term renewable resources procurement plan
6    shall also provide for an independent evaluation of the
7    Illinois Solar for All Program. At least every 5 2 years,
8    the Agency shall select an independent evaluator to review
9    and report on the Illinois Solar for All Program and the
10    performance of the third-party program administrator of
11    the Illinois Solar for All Program. The evaluation shall
12    be based on objective criteria developed through a public
13    stakeholder process. The process shall include feedback
14    and participation from Illinois Solar for All Program
15    stakeholders, including participants and organizations in
16    environmental justice and historically underserved
17    communities. The report shall include a summary of the
18    evaluation of the Illinois Solar for All Program based on
19    the stakeholder developed objective criteria. The report
20    shall include the number of projects installed; the total
21    installed capacity in kilowatts; the average cost per
22    kilowatt of installed capacity to the extent reasonably
23    obtainable by the Agency; the number of jobs or job
24    opportunities created; economic, social, and environmental
25    benefits created; and the total administrative costs
26    expended by the Agency and program administrator to

 

 

SB0025 Enrolled- 177 -LRB104 07069 BAB 17106 b

1    implement and evaluate the program. The report shall be
2    prepared at least every 2 years and shall be delivered to
3    the Commission and posted on the Agency's website, and
4    shall be used, as needed, to revise the Illinois Solar for
5    All Program. The Commission shall also consider the
6    results of the evaluation as part of its review of the
7    long-term renewable resources procurement plan under
8    subsection (c) of Section 1-75 of this Act.
9        (7) If additional funding for the programs described
10    in this subsection (b) is available under subsection (k)
11    of Section 16-108 of the Public Utilities Act, then the
12    Agency shall submit a procurement plan to the Commission
13    no later than September 1, 2018, that proposes how the
14    Agency will procure programs on behalf of the applicable
15    utility. After notice and hearing, the Commission shall
16    approve, or approve with modification, the plan no later
17    than November 1, 2018.
18        (8) As part of the development and update of the
19    long-term renewable resources procurement plan authorized
20    by subsection (c) of Section 1-75 of this Act, the Agency
21    shall plan for: (A) actions to refer customers from the
22    Illinois Solar for All Program to electric and natural gas
23    income-qualified energy efficiency programs, and vice
24    versa, with the goal of increasing participation in both
25    of these programs; (B) effective procedures for data
26    sharing, as needed, to effectuate referrals between the

 

 

SB0025 Enrolled- 178 -LRB104 07069 BAB 17106 b

1    Illinois Solar for All Program and both electric and
2    natural gas income-qualified energy efficiency programs,
3    including sharing customer information directly with the
4    utilities, as needed and appropriate; and (C) efforts to
5    identify any existing deferred maintenance programs for
6    which prospective Solar for All Program customers may be
7    eligible and connect prospective customers for whom
8    deferred maintenance is or may be a barrier to solar
9    installation to those programs.
10    Income verification for participation in the Illinois
11Solar for All subprograms described in subparagraphs (A) and
12(C) of paragraph (2) may include pathways for verification
13that rely on self-attestation by the applicant if the
14applicant's residence is located within a low-income or
15environmental justice community as defined in this subsection
16(b). The Agency shall proactively explore approaches that make
17the income verification process less burdensome for residents
18of low-income or environmental justice communities, as defined
19in this subsection (b).    
20    As used in this subsection (b), "low-income households"
21means persons and families whose income does not exceed 80% of
22area median income, adjusted for family size and revised every
23year.
24    For the purposes of this subsection (b), the Agency shall
25define "environmental justice community" based on the
26methodologies and findings established by the Agency and the

 

 

SB0025 Enrolled- 179 -LRB104 07069 BAB 17106 b

1Administrator for the Illinois Solar for All Program in its
2initial long-term renewable resources procurement plan and as
3updated by the Agency and the Administrator for the Illinois
4Solar for All Program as part of the long-term renewable
5resources procurement plan update.
6    (b-5) After the receipt of all payments required by
7Section 16-115D of the Public Utilities Act, no additional
8funds shall be deposited into the Illinois Power Agency
9Renewable Energy Resources Fund unless directed by order of
10the Commission.
11    (b-10) After the receipt of all payments required by
12Section 16-115D of the Public Utilities Act and payment in
13full of all contracts executed by the Agency under subsections
14(b) and (i) of this Section, if the balance of the Illinois
15Power Agency Renewable Energy Resources Fund is under $5,000,
16then the Fund shall be inoperative and any remaining funds and
17any funds submitted to the Fund after that date, shall be
18transferred to the Supplemental Low-Income Energy Assistance
19Fund for use in the Low-Income Home Energy Assistance Program,
20as authorized by the Energy Assistance Act.
21    (b-15) The prevailing wage requirements set forth in the
22Prevailing Wage Act apply to each project that is undertaken
23pursuant to one or more of the programs of incentives and
24initiatives described in subsection (b) of this Section and
25for which a project application is submitted to the program
26after June 30, 2023 (the effective date of Public Act 103-188)    

 

 

SB0025 Enrolled- 180 -LRB104 07069 BAB 17106 b

1this amendatory Act of the 103rd General Assembly, except (i)
2projects that serve single-family or multi-family residential
3buildings and (ii) projects with an aggregate capacity of less
4than 100 kilowatts that serve houses of worship. The Agency
5shall require verification that all construction performed on
6a project by the renewable energy credit delivery contract
7holder, its contractors, or its subcontractors relating to the
8construction of the facility is performed by workers receiving
9an amount for that work that is greater than or equal to the
10general prevailing rate of wages as that term is defined in the
11Prevailing Wage Act, and the Agency may adjust renewable
12energy credit prices to account for increased labor costs.
13    In this subsection (b-15), "house of worship" has the
14meaning given in subparagraph (Q) of paragraph (1) of
15subsection (c) of Section 1-75.
16    (c) (Blank).
17    (d) (Blank).
18    (e) All renewable energy credits procured using monies
19from the Illinois Power Agency Renewable Energy Resources Fund
20shall be permanently retired.
21    (f) The selection of one or more third-party program
22managers or administrators, the selection of the independent
23evaluator, and the procurement processes described in this
24Section are exempt from the requirements of the Illinois
25Procurement Code, under Section 20-10 of that Code.
26    (g) All disbursements from the Illinois Power Agency

 

 

SB0025 Enrolled- 181 -LRB104 07069 BAB 17106 b

1Renewable Energy Resources Fund shall be made only upon
2warrants of the Comptroller drawn upon the Treasurer as
3custodian of the Fund upon vouchers signed by the Director or
4by the person or persons designated by the Director for that
5purpose. The Comptroller is authorized to draw the warrant
6upon vouchers so signed. The Treasurer shall accept all
7warrants so signed and shall be released from liability for
8all payments made on those warrants.
9    (h) The Illinois Power Agency Renewable Energy Resources
10Fund shall not be subject to sweeps, administrative charges,
11or chargebacks, including, but not limited to, those
12authorized under Section 8h of the State Finance Act, that
13would in any way result in the transfer of any funds from this
14Fund to any other fund of this State or in having any such
15funds utilized for any purpose other than the express purposes
16set forth in this Section.
17    (h-5) The Agency may assess fees to each bidder to recover
18the costs incurred in connection with a procurement process
19held under this Section. Fees collected from bidders shall be
20deposited into the Illinois Power Agency Renewable Energy
21Resources Fund.
22    (i) Supplemental procurement process.
23        (1) Within 90 days after June 30, 2014 (the effective
24    date of Public Act 98-672), the Agency shall develop a
25    one-time supplemental procurement plan limited to the
26    procurement of renewable energy credits, if available,

 

 

SB0025 Enrolled- 182 -LRB104 07069 BAB 17106 b

1    from new or existing photovoltaics, including, but not
2    limited to, distributed photovoltaic generation. Nothing
3    in this subsection (i) requires procurement of wind
4    generation through the supplemental procurement.
5        Renewable energy credits procured from new
6    photovoltaics, including, but not limited to, distributed
7    photovoltaic generation, under this subsection (i) must be
8    procured from devices installed by a qualified person. In
9    its supplemental procurement plan, the Agency shall
10    establish contractually enforceable mechanisms for
11    ensuring that the installation of new photovoltaics is
12    performed by a qualified person.
13        For the purposes of this paragraph (1), "qualified
14    person" means a person who performs installations of
15    photovoltaics, including, but not limited to, distributed
16    photovoltaic generation, and who: (A) has completed an
17    apprenticeship as a journeyman electrician from a United
18    States Department of Labor registered electrical
19    apprenticeship and training program and received a
20    certification of satisfactory completion; or (B) does not
21    currently meet the criteria under clause (A) of this
22    paragraph (1), but is enrolled in a United States
23    Department of Labor registered electrical apprenticeship
24    program, provided that the person is directly supervised
25    by a person who meets the criteria under clause (A) of this
26    paragraph (1); or (C) has obtained one of the following

 

 

SB0025 Enrolled- 183 -LRB104 07069 BAB 17106 b

1    credentials in addition to attesting to satisfactory
2    completion of at least 5 years or 8,000 hours of
3    documented hands-on electrical experience: (i) a North
4    American Board of Certified Energy Practitioners (NABCEP)
5    Installer Certificate for Solar PV; (ii) an Underwriters
6    Laboratories (UL) PV Systems Installer Certificate; (iii)
7    an Electronics Technicians Association, International
8    (ETAI) Level 3 PV Installer Certificate; or (iv) an
9    Associate in Applied Science degree from an Illinois
10    Community College Board approved community college program
11    in renewable energy or a distributed generation
12    technology.
13        For the purposes of this paragraph (1), "directly
14    supervised" means that there is a qualified person who
15    meets the qualifications under clause (A) of this
16    paragraph (1) and who is available for supervision and
17    consultation regarding the work performed by persons under
18    clause (B) of this paragraph (1), including a final
19    inspection of the installation work that has been directly
20    supervised to ensure safety and conformity with applicable
21    codes.
22        For the purposes of this paragraph (1), "install"
23    means the major activities and actions required to
24    connect, in accordance with applicable building and
25    electrical codes, the conductors, connectors, and all
26    associated fittings, devices, power outlets, or

 

 

SB0025 Enrolled- 184 -LRB104 07069 BAB 17106 b

1    apparatuses mounted at the premises that are directly
2    involved in delivering energy to the premises' electrical
3    wiring from the photovoltaics, including, but not limited
4    to, to distributed photovoltaic generation.
5        The renewable energy credits procured pursuant to the
6    supplemental procurement plan shall be procured using up
7    to $30,000,000 from the Illinois Power Agency Renewable
8    Energy Resources Fund. The Agency shall not plan to use
9    funds from the Illinois Power Agency Renewable Energy
10    Resources Fund in excess of the monies on deposit in such
11    fund or projected to be deposited into such fund. The
12    supplemental procurement plan shall ensure adequate,
13    reliable, affordable, efficient, and environmentally
14    sustainable renewable energy resources (including credits)
15    at the lowest total cost over time, taking into account
16    any benefits of price stability.
17        To the extent available, 50% of the renewable energy
18    credits procured from distributed renewable energy
19    generation shall come from devices of less than 25
20    kilowatts in nameplate capacity. Procurement of renewable
21    energy credits from distributed renewable energy
22    generation devices shall be done through multi-year
23    contracts of no less than 5 years. The Agency shall create
24    credit requirements for counterparties. In order to
25    minimize the administrative burden on contracting
26    entities, the Agency shall solicit the use of third

 

 

SB0025 Enrolled- 185 -LRB104 07069 BAB 17106 b

1    parties to aggregate distributed renewable energy. These
2    third parties shall enter into and administer contracts
3    with individual distributed renewable energy generation
4    device owners. An individual distributed renewable energy
5    generation device owner shall have the ability to measure
6    the output of his or her distributed renewable energy
7    generation device.
8        In developing the supplemental procurement plan, the
9    Agency shall hold at least one workshop open to the public
10    within 90 days after June 30, 2014 (the effective date of
11    Public Act 98-672) and shall consider any comments made by
12    stakeholders or the public. Upon development of the
13    supplemental procurement plan within this 90-day period,
14    copies of the supplemental procurement plan shall be
15    posted and made publicly available on the Agency's and
16    Commission's websites. All interested parties shall have
17    14 days following the date of posting to provide comment
18    to the Agency on the supplemental procurement plan. All
19    comments submitted to the Agency shall be specific,
20    supported by data or other detailed analyses, and, if
21    objecting to all or a portion of the supplemental
22    procurement plan, accompanied by specific alternative
23    wording or proposals. All comments shall be posted on the
24    Agency's and Commission's websites. Within 14 days
25    following the end of the 14-day review period, the Agency
26    shall revise the supplemental procurement plan as

 

 

SB0025 Enrolled- 186 -LRB104 07069 BAB 17106 b

1    necessary based on the comments received and file its
2    revised supplemental procurement plan with the Commission
3    for approval.
4        (2) Within 5 days after the filing of the supplemental
5    procurement plan at the Commission, any person objecting
6    to the supplemental procurement plan shall file an
7    objection with the Commission. Within 10 days after the
8    filing, the Commission shall determine whether a hearing
9    is necessary. The Commission shall enter its order
10    confirming or modifying the supplemental procurement plan
11    within 90 days after the filing of the supplemental
12    procurement plan by the Agency.
13        (3) The Commission shall approve the supplemental
14    procurement plan of renewable energy credits to be
15    procured from new or existing photovoltaics, including,
16    but not limited to, distributed photovoltaic generation,
17    if the Commission determines that it will ensure adequate,
18    reliable, affordable, efficient, and environmentally
19    sustainable electric service in the form of renewable
20    energy credits at the lowest total cost over time, taking
21    into account any benefits of price stability.
22        (4) The supplemental procurement process under this
23    subsection (i) shall include each of the following
24    components:
25            (A) Procurement administrator. The Agency may
26        retain a procurement administrator in the manner set

 

 

SB0025 Enrolled- 187 -LRB104 07069 BAB 17106 b

1        forth in item (2) of subsection (a) of Section 1-75 of
2        this Act to conduct the supplemental procurement or
3        may elect to use the same procurement administrator
4        administering the Agency's annual procurement under
5        Section 1-75.
6            (B) Procurement monitor. The procurement monitor
7        retained by the Commission pursuant to Section
8        16-111.5 of the Public Utilities Act shall:
9                (i) monitor interactions among the procurement
10            administrator and bidders and suppliers;
11                (ii) monitor and report to the Commission on
12            the progress of the supplemental procurement
13            process;
14                (iii) provide an independent confidential
15            report to the Commission regarding the results of
16            the procurement events;
17                (iv) assess compliance with the procurement
18            plan approved by the Commission for the
19            supplemental procurement process;
20                (v) preserve the confidentiality of supplier
21            and bidding information in a manner consistent
22            with all applicable laws, rules, regulations, and
23            tariffs;
24                (vi) provide expert advice to the Commission
25            and consult with the procurement administrator
26            regarding issues related to procurement process

 

 

SB0025 Enrolled- 188 -LRB104 07069 BAB 17106 b

1            design, rules, protocols, and policy-related
2            matters;
3                (vii) consult with the procurement
4            administrator regarding the development and use of
5            benchmark criteria, standard form contracts,
6            credit policies, and bid documents; and
7                (viii) perform, with respect to the
8            supplemental procurement process, any other
9            procurement monitor duties specifically delineated
10            within subsection (i) of this Section.
11            (C) Solicitation, prequalification, and
12        registration of bidders. The procurement administrator
13        shall disseminate information to potential bidders to
14        promote a procurement event, notify potential bidders
15        that the procurement administrator may enter into a
16        post-bid price negotiation with bidders that meet the
17        applicable benchmarks, provide supply requirements,
18        and otherwise explain the competitive procurement
19        process. In addition to such other publication as the
20        procurement administrator determines is appropriate,
21        this information shall be posted on the Agency's and
22        the Commission's websites. The procurement
23        administrator shall also administer the
24        prequalification process, including evaluation of
25        credit worthiness, compliance with procurement rules,
26        and agreement to the standard form contract developed

 

 

SB0025 Enrolled- 189 -LRB104 07069 BAB 17106 b

1        pursuant to item (D) of this paragraph (4). The
2        procurement administrator shall then identify and
3        register bidders to participate in the procurement
4        event.
5            (D) Standard contract forms and credit terms and
6        instruments. The procurement administrator, in
7        consultation with the Agency, the Commission, and
8        other interested parties and subject to Commission
9        oversight, shall develop and provide standard contract
10        forms for the supplier contracts that meet generally
11        accepted industry practices as well as include any
12        applicable State of Illinois terms and conditions that
13        are required for contracts entered into by an agency
14        of the State of Illinois. Standard credit terms and
15        instruments that meet generally accepted industry
16        practices shall be similarly developed. Contracts for
17        new photovoltaics shall include a provision attesting
18        that the supplier will use a qualified person for the
19        installation of the device pursuant to paragraph (1)
20        of subsection (i) of this Section. The procurement
21        administrator shall make available to the Commission
22        all written comments it receives on the contract
23        forms, credit terms, or instruments. If the
24        procurement administrator cannot reach agreement with
25        the parties as to the contract terms and conditions,
26        the procurement administrator must notify the

 

 

SB0025 Enrolled- 190 -LRB104 07069 BAB 17106 b

1        Commission of any disputed terms and the Commission
2        shall resolve the dispute. The terms of the contracts
3        shall not be subject to negotiation by winning
4        bidders, and the bidders must agree to the terms of the
5        contract in advance so that winning bids are selected
6        solely on the basis of price.
7            (E) Requests for proposals; competitive
8        procurement process. The procurement administrator
9        shall design and issue requests for proposals to
10        supply renewable energy credits in accordance with the
11        supplemental procurement plan, as approved by the
12        Commission. The requests for proposals shall set forth
13        a procedure for sealed, binding commitment bidding
14        with pay-as-bid settlement, and provision for
15        selection of bids on the basis of price, provided,
16        however, that no bid shall be accepted if it exceeds
17        the benchmark developed pursuant to item (F) of this
18        paragraph (4).
19            (F) Benchmarks. Benchmarks for each product to be
20        procured shall be developed by the procurement
21        administrator in consultation with Commission staff,
22        the Agency, and the procurement monitor for use in
23        this supplemental procurement.
24            (G) A plan for implementing contingencies in the
25        event of supplier default, Commission rejection of
26        results, or any other cause.

 

 

SB0025 Enrolled- 191 -LRB104 07069 BAB 17106 b

1        (5) Within 2 business days after opening the sealed
2    bids, the procurement administrator shall submit a
3    confidential report to the Commission. The report shall
4    contain the results of the bidding for each of the
5    products along with the procurement administrator's
6    recommendation for the acceptance and rejection of bids
7    based on the price benchmark criteria and other factors
8    observed in the process. The procurement monitor also
9    shall submit a confidential report to the Commission
10    within 2 business days after opening the sealed bids. The
11    report shall contain the procurement monitor's assessment
12    of bidder behavior in the process as well as an assessment
13    of the procurement administrator's compliance with the
14    procurement process and rules. The Commission shall review
15    the confidential reports submitted by the procurement
16    administrator and procurement monitor and shall accept or
17    reject the recommendations of the procurement
18    administrator within 2 business days after receipt of the
19    reports.
20        (6) Within 3 business days after the Commission
21    decision approving the results of a procurement event, the
22    Agency shall enter into binding contractual arrangements
23    with the winning suppliers using the standard form
24    contracts.
25        (7) The names of the successful bidders and the
26    average of the winning bid prices for each contract type

 

 

SB0025 Enrolled- 192 -LRB104 07069 BAB 17106 b

1    and for each contract term shall be made available to the
2    public within 2 days after the supplemental procurement
3    event. The Commission, the procurement monitor, the
4    procurement administrator, the Agency, and all
5    participants in the procurement process shall maintain the
6    confidentiality of all other supplier and bidding
7    information in a manner consistent with all applicable
8    laws, rules, regulations, and tariffs. Confidential
9    information, including the confidential reports submitted
10    by the procurement administrator and procurement monitor
11    pursuant to this Section, shall not be made publicly
12    available and shall not be discoverable by any party in
13    any proceeding, absent a compelling demonstration of need,
14    nor shall those reports be admissible in any proceeding
15    other than one for law enforcement purposes.
16        (8) The supplemental procurement provided in this
17    subsection (i) shall not be subject to the requirements
18    and limitations of subsections (c) and (d) of this
19    Section.
20        (9) Expenses incurred in connection with the
21    procurement process held pursuant to this Section,
22    including, but not limited to, the cost of developing the
23    supplemental procurement plan, the procurement
24    administrator, procurement monitor, and the cost of the
25    retirement of renewable energy credits purchased pursuant
26    to the supplemental procurement shall be paid for from the

 

 

SB0025 Enrolled- 193 -LRB104 07069 BAB 17106 b

1    Illinois Power Agency Renewable Energy Resources Fund. The
2    Agency shall enter into an interagency agreement with the
3    Commission to reimburse the Commission for its costs
4    associated with the procurement monitor for the
5    supplemental procurement process.
6(Source: P.A. 102-662, eff. 9-15-21; 103-188, eff. 6-30-23;
7103-605, eff. 7-1-24; 103-1066, eff. 2-20-25; revised
86-23-25.)
 
9    (20 ILCS 3855/1-75)
10    Sec. 1-75. Planning and Procurement Bureau. The Planning
11and Procurement Bureau has the following duties and
12responsibilities:
13    (a) The Planning and Procurement Bureau shall each year,
14beginning in 2008, develop procurement plans and conduct
15competitive procurement processes in accordance with the
16requirements of Section 16-111.5 of the Public Utilities Act
17for the eligible retail customers of electric utilities that
18on December 31, 2005 provided electric service to at least
19100,000 customers in Illinois. Beginning with the delivery
20year commencing on June 1, 2017, the Planning and Procurement
21Bureau shall develop plans and processes for the procurement
22of zero emission credits from zero emission facilities in
23accordance with the requirements of subsection (d-5) of this
24Section. Beginning on the effective date of this amendatory
25Act of the 102nd General Assembly, the Planning and

 

 

SB0025 Enrolled- 194 -LRB104 07069 BAB 17106 b

1Procurement Bureau shall develop plans and processes for the
2procurement of carbon mitigation credits from carbon-free
3energy resources in accordance with the requirements of
4subsection (d-10) of this Section. The Planning and
5Procurement Bureau shall also develop procurement plans and
6conduct competitive procurement processes in accordance with
7the requirements of Section 16-111.5 of the Public Utilities
8Act for the eligible retail customers of small
9multi-jurisdictional electric utilities that (i) on December
1031, 2005 served less than 100,000 customers in Illinois and
11(ii) request a procurement plan for their Illinois
12jurisdictional load. This Section shall not apply to a small
13multi-jurisdictional utility until such time as a small
14multi-jurisdictional utility requests the Agency to prepare a
15procurement plan for their Illinois jurisdictional load. For
16the purposes of this Section, the term "eligible retail
17customers" has the same definition as found in Section
1816-111.5(a) of the Public Utilities Act.
19    Beginning with the plan or plans to be implemented in the
202017 delivery year, the Agency shall no longer include the
21procurement of renewable energy resources in the annual
22procurement plans required by this subsection (a), except as
23provided in subsection (q) of Section 16-111.5 of the Public
24Utilities Act, and shall instead develop a long-term renewable
25resources procurement plan in accordance with subsection (c)
26of this Section and Section 16-111.5 of the Public Utilities

 

 

SB0025 Enrolled- 195 -LRB104 07069 BAB 17106 b

1Act.
2    In accordance with subsection (c-5) of this Section, the
3Planning and Procurement Bureau shall oversee the procurement
4by electric utilities that served more than 300,000 retail
5customers in this State as of January 1, 2019 of renewable
6energy credits from new utility-scale solar projects to be
7installed, along with energy storage facilities, at or
8adjacent to the sites of electric generating facilities that,
9as of January 1, 2016, burned coal as their primary fuel
10source.
11        (1) The Agency shall each year, beginning in 2008, as
12    needed, issue a request for qualifications for experts or
13    expert consulting firms to develop the procurement plans
14    in accordance with Section 16-111.5 of the Public
15    Utilities Act. In order to qualify an expert or expert
16    consulting firm must have:
17            (A) direct previous experience assembling
18        large-scale power supply plans or portfolios for
19        end-use customers;
20            (B) an advanced degree in economics, mathematics,
21        engineering, risk management, or a related area of
22        study;
23            (C) 10 years of experience in the electricity
24        sector, including managing supply risk;
25            (D) expertise in wholesale electricity market
26        rules, including those established by the Federal

 

 

SB0025 Enrolled- 196 -LRB104 07069 BAB 17106 b

1        Energy Regulatory Commission and regional transmission
2        organizations;
3            (E) expertise in credit protocols and familiarity
4        with contract protocols;
5            (F) adequate resources to perform and fulfill the
6        required functions and responsibilities; and
7            (G) the absence of a conflict of interest and
8        inappropriate bias for or against potential bidders or
9        the affected electric utilities.
10        (2) The Agency shall each year, as needed, issue a
11    request for qualifications for a procurement administrator
12    to conduct the competitive procurement processes in
13    accordance with Section 16-111.5 of the Public Utilities
14    Act. In order to qualify an expert or expert consulting
15    firm must have:
16            (A) direct previous experience administering a
17        large-scale competitive procurement process;
18            (B) an advanced degree in economics, mathematics,
19        engineering, or a related area of study;
20            (C) 10 years of experience in the electricity
21        sector, including risk management experience;
22            (D) expertise in wholesale electricity market
23        rules, including those established by the Federal
24        Energy Regulatory Commission and regional transmission
25        organizations;
26            (E) expertise in credit and contract protocols;

 

 

SB0025 Enrolled- 197 -LRB104 07069 BAB 17106 b

1            (F) adequate resources to perform and fulfill the
2        required functions and responsibilities; and
3            (G) the absence of a conflict of interest and
4        inappropriate bias for or against potential bidders or
5        the affected electric utilities.
6        (3) The Agency shall provide affected utilities and
7    other interested parties with the lists of qualified
8    experts or expert consulting firms identified through the
9    request for qualifications processes that are under
10    consideration to develop the procurement plans and to
11    serve as the procurement administrator. The Agency shall
12    also provide each qualified expert's or expert consulting
13    firm's response to the request for qualifications. All
14    information provided under this subparagraph shall also be
15    provided to the Commission. The Agency may provide by rule
16    for fees associated with supplying the information to
17    utilities and other interested parties. These parties
18    shall, within 5 business days, notify the Agency in
19    writing if they object to any experts or expert consulting
20    firms on the lists. Objections shall be based on:
21            (A) failure to satisfy qualification criteria;
22            (B) identification of a conflict of interest; or
23            (C) evidence of inappropriate bias for or against
24        potential bidders or the affected utilities.
25        The Agency shall remove experts or expert consulting
26    firms from the lists within 10 days if there is a

 

 

SB0025 Enrolled- 198 -LRB104 07069 BAB 17106 b

1    reasonable basis for an objection and provide the updated
2    lists to the affected utilities and other interested
3    parties. If the Agency fails to remove an expert or expert
4    consulting firm from a list, an objecting party may seek
5    review by the Commission within 5 days thereafter by
6    filing a petition, and the Commission shall render a
7    ruling on the petition within 10 days. There is no right of
8    appeal of the Commission's ruling.
9        (4) The Agency shall issue requests for proposals to
10    the qualified experts or expert consulting firms to
11    develop a procurement plan for the affected utilities and
12    to serve as procurement administrator.
13        (5) The Agency shall select an expert or expert
14    consulting firm to develop procurement plans based on the
15    proposals submitted and shall award contracts of up to 5
16    years to those selected.
17        (6) The Agency shall select an expert or expert
18    consulting firm, with approval of the Commission, to serve
19    as procurement administrator based on the proposals
20    submitted. If the Commission rejects, within 5 days, the
21    Agency's selection, the Agency shall submit another
22    recommendation within 3 days based on the proposals
23    submitted. The Agency shall award a 5-year contract to the
24    expert or expert consulting firm so selected with
25    Commission approval.
26    (b) The experts or expert consulting firms retained by the

 

 

SB0025 Enrolled- 199 -LRB104 07069 BAB 17106 b

1Agency shall, as appropriate, prepare procurement plans, and
2conduct a competitive procurement process as prescribed in
3Section 16-111.5 of the Public Utilities Act, to ensure
4adequate, reliable, affordable, efficient, and environmentally
5sustainable electric service at the lowest total cost over
6time, taking into account any benefits of price stability, for
7eligible retail customers of electric utilities that on
8December 31, 2005 provided electric service to at least
9100,000 customers in the State of Illinois, and for eligible
10Illinois retail customers of small multi-jurisdictional
11electric utilities that (i) on December 31, 2005 served less
12than 100,000 customers in Illinois and (ii) request a
13procurement plan for their Illinois jurisdictional load.
14    (c) Renewable portfolio standard.
15        (1)(A) The Agency shall develop a long-term renewable
16    resources procurement plan that shall include procurement
17    programs and competitive procurement events necessary to
18    meet the goals set forth in this subsection (c). The
19    initial long-term renewable resources procurement plan
20    shall be released for comment no later than 160 days after
21    June 1, 2017 (the effective date of Public Act 99-906).
22    The Agency shall review, and may revise on an expedited
23    basis, the long-term renewable resources procurement plan
24    at least every 2 years, which shall be conducted in
25    conjunction with the procurement plan under Section
26    16-111.5 of the Public Utilities Act to the extent

 

 

SB0025 Enrolled- 200 -LRB104 07069 BAB 17106 b

1    practicable to minimize administrative expense. No later
2    than 120 days after the effective date of this amendatory
3    Act of the 103rd General Assembly, the Agency shall
4    release for comment a revision to the long-term renewable
5    resources procurement plan, updating elements of the most
6    recently approved plan as needed to comply with this
7    amendatory Act of the 103rd General Assembly, and any
8    long-term renewable resources procurement plan update
9    published by the Agency but not yet approved by the
10    Illinois Commerce Commission shall be withdrawn. The
11    long-term renewable resources procurement plans shall be
12    subject to review and approval by the Commission under
13    Section 16-111.5 of the Public Utilities Act.
14        (B) Subject to subparagraph (F) of this paragraph (1),
15    the long-term renewable resources procurement plan shall
16    attempt to meet the goals for procurement of renewable
17    energy credits at levels of at least the following overall
18    percentages: 13% by the 2017 delivery year; increasing by
19    at least 1.5% each delivery year thereafter to at least
20    25% by the 2025 delivery year; increasing by at least 3%
21    each delivery year thereafter to at least 40% by the 2030
22    delivery year, and continuing at no less than 40% for each
23    delivery year thereafter. The Agency shall attempt to
24    procure 50% by delivery year 2040. The Agency shall
25    determine the annual increase between delivery year 2030
26    and delivery year 2040, if any, taking into account energy

 

 

SB0025 Enrolled- 201 -LRB104 07069 BAB 17106 b

1    demand, other energy resources, and other public policy
2    goals. In the event of a conflict between these goals and
3    the new wind, new photovoltaic, new geothermal heating and
4    cooling, and hydropower procurement requirements described
5    in items (i) through (iii) of subparagraph (C) of this
6    paragraph (1), the long-term plan shall prioritize
7    compliance with the new wind, new photovoltaic, new
8    geothermal heating and cooling, and hydropower procurement
9    requirements described in items (i) through (iii) of
10    subparagraph (C) of this paragraph (1) over the annual
11    percentage targets described in this subparagraph (B). The
12    Agency shall not comply with the annual percentage targets
13    described in this subparagraph (B) by procuring renewable
14    energy credits that are unlikely to lead to the
15    development of new renewable resources or new, modernized,
16    or retooled hydropower facilities.
17        For the delivery year beginning June 1, 2017, the
18    procurement plan shall attempt to include, subject to the
19    prioritization outlined in this subparagraph (B),
20    cost-effective renewable energy resources equal to at
21    least 13% of each utility's load for eligible retail
22    customers and 13% of the applicable portion of each
23    utility's load for retail customers who are not eligible
24    retail customers, which applicable portion shall equal 50%
25    of the utility's load for retail customers who are not
26    eligible retail customers on February 28, 2017.

 

 

SB0025 Enrolled- 202 -LRB104 07069 BAB 17106 b

1        For the delivery year beginning June 1, 2018, the
2    procurement plan shall attempt to include, subject to the
3    prioritization outlined in this subparagraph (B),
4    cost-effective renewable energy resources equal to at
5    least 14.5% of each utility's load for eligible retail
6    customers and 14.5% of the applicable portion of each
7    utility's load for retail customers who are not eligible
8    retail customers, which applicable portion shall equal 75%
9    of the utility's load for retail customers who are not
10    eligible retail customers on February 28, 2017.
11        For the delivery year beginning June 1, 2019, and for
12    each year thereafter, the procurement plans shall attempt
13    to include, subject to the prioritization outlined in this
14    subparagraph (B), cost-effective renewable energy
15    resources equal to a minimum percentage of each utility's
16    load for all retail customers as follows: 16% by June 1,
17    2019; increasing by 1.5% each year thereafter to 25% by
18    June 1, 2025; and 25% by June 1, 2026; increasing by at
19    least 3% each delivery year thereafter to at least 40% by
20    the 2030 delivery year, and continuing at no less than 40%
21    for each delivery year thereafter. The Agency shall
22    attempt to procure 50% by delivery year 2040. The Agency
23    shall determine the annual increase between delivery year
24    2030 and delivery year 2040, if any, taking into account
25    energy demand, other energy resources, and other public
26    policy goals.

 

 

SB0025 Enrolled- 203 -LRB104 07069 BAB 17106 b

1        For each delivery year, the Agency shall first
2    recognize each utility's obligations for that delivery
3    year under existing contracts. Any renewable energy
4    credits under existing contracts, including renewable
5    energy credits as part of renewable energy resources,
6    shall be used to meet the goals set forth in this
7    subsection (c) for the delivery year.
8        (C) The long-term renewable resources procurement plan
9    described in subparagraph (A) of this paragraph (1) shall
10    include the procurement of renewable energy credits from
11    new projects pursuant to the following terms:
12            (i) At least 10,000,000 renewable energy credits
13        delivered annually by the end of the 2021 delivery
14        year, and increasing ratably to reach 45,000,000
15        renewable energy credits delivered annually from new
16        wind and solar projects, from repowered wind projects,
17        or from retooled hydropower facilities by the end of
18        delivery year 2030 such that the goals in subparagraph
19        (B) of this paragraph (1) are met entirely by
20        procurements of renewable energy credits from new wind
21        and photovoltaic projects. Of that amount, to the
22        extent possible, the Agency shall endeavor to procure
23        45% from new and repowered wind and hydropower
24        projects and shall procure at least 55% from
25        photovoltaic projects. Of the amount to be procured
26        from photovoltaic projects, the Agency shall procure:

 

 

SB0025 Enrolled- 204 -LRB104 07069 BAB 17106 b

1        at least 50% from solar photovoltaic projects using
2        the program outlined in subparagraph (K) of this
3        paragraph (1) from distributed renewable energy
4        generation devices or community renewable generation
5        projects; at least 47% from utility-scale solar
6        projects; at least 3% from brownfield site
7        photovoltaic projects that are not community renewable
8        generation projects. The Agency may propose
9        adjustments to these percentages, including
10        establishing percentage-based goals for the
11        procurement of renewable energy credits from
12        modernized or retooled hydropower facilities and
13        repowered wind projects, through its long-term
14        renewable resources plan described in subparagraph (A)
15        of this paragraph (1) as necessary based on developer
16        interest, market conditions, budget considerations,
17        resource adequacy needs, or other factors.
18        Notwithstanding the percentage-based goals as
19        described in this Section, the Agency shall develop a
20        Geothermal Homes and Businesses Program for the
21        procurement of renewable energy credits from
22        geothermal heating and cooling systems.    
23            In developing the long-term renewable resources
24        procurement plan, the Agency shall consider other
25        approaches, in addition to competitive procurements,
26        that can be used to procure renewable energy credits

 

 

SB0025 Enrolled- 205 -LRB104 07069 BAB 17106 b

1        from brownfield site photovoltaic projects and thereby
2        help return blighted or contaminated land to
3        productive use while enhancing public health and the
4        well-being of Illinois residents, including those in
5        environmental justice communities, as defined using
6        existing methodologies and findings used by the Agency
7        and its Administrator in its Illinois Solar for All
8        Program. The Agency shall also consider other
9        approaches, in addition to competitive procurements,
10        to procure renewable energy credits from new and
11        existing hydropower facilities to support the
12        development and maintenance of these facilities. The
13        Agency shall explore options to convert existing dams
14        but shall not consider approaches to develop new dams
15        where they do not already exist. To encourage the
16        continued operation of utility-scale wind projects,
17        the Agency shall consider and may propose other
18        approaches in addition to competitive procurements to
19        procure renewable energy credits from repowered wind
20        projects.
21            (ii) In any given delivery year, if forecasted
22        expenses are less than the maximum budget available
23        under subparagraph (E) of this paragraph (1), the
24        Agency shall continue to procure new renewable energy
25        credits until that budget is exhausted in the manner
26        outlined in item (i) of this subparagraph (C).

 

 

SB0025 Enrolled- 206 -LRB104 07069 BAB 17106 b

1            (iii) For purposes of this Section:
2            "New wind projects" means wind renewable energy
3        facilities that are energized after June 1, 2017 for
4        the delivery year commencing June 1, 2017.
5            "New photovoltaic projects" means photovoltaic
6        renewable energy facilities that are energized after
7        June 1, 2017. Photovoltaic projects developed under
8        Section 1-56 of this Act shall not apply towards the
9        new photovoltaic project requirements in this
10        subparagraph (C).
11            "Repowered wind projects" means utility-scale wind
12        projects featuring the removal, replacement, or
13        expansion of turbines at an existing project site, as
14        defined in the long-term renewable resources
15        procurement plan, after the effective date of this
16        amendatory Act of the 103rd General Assembly.
17        Renewable energy credit contract awards used to
18        support repowered wind projects shall only cover the
19        incremental increase in facility electricity
20        production resultant from repowering.
21            "Geothermal heating and cooling system" means a
22        system located in this State that meets all of the
23        following requirements:
24                (I) the system exchanges thermal energy from
25            groundwater or a shallow ground source to generate
26            thermal energy through an electric geothermal heat

 

 

SB0025 Enrolled- 207 -LRB104 07069 BAB 17106 b

1            pump or a system of electric geothermal heat pumps
2            interconnected with any geothermal extraction
3            facility that is (1) a closed loop or a series of
4            closed loop systems in which fluid is permanently
5            confined within a pipe or tubing and does not come
6            in contact with the outside environment or (2) an
7            open loop system in which ground or surface water
8            is circulated in an environmentally safe manner
9            directly into the facility and returned to the
10            same aquifer or surface water source;
11                (II) the system meets or exceeds federal
12            Energy Star product specification standards for
13            Geothermal Heat Pumps established on January 1,
14            2012, as clarified by the Environmental Protection
15            Agency guidance document released on February 28,
16            2012 entitled "Clarification to the Geothermal
17            Heat Pump Verification Testing Requirements and
18            Basic Model Group Definition", or any successor
19            standards that meet or exceed these standards;
20                (III) the system replaces or displaces less
21            efficient space or water heating systems,
22            regardless of fuel type;
23                (IV) the system replaces or displaces less
24            efficient space cooling systems, when applicable;
25                (V) the system does not feed electricity back
26            to the grid, as defined at the level of the

 

 

SB0025 Enrolled- 208 -LRB104 07069 BAB 17106 b

1            geothermal heat pump; and
2                (VI) the system became operational on or after
3            the effective date of this amendatory Act of the
4            104th General Assembly.    
5            For purposes of calculating whether the Agency has
6        procured enough new wind and solar renewable energy
7        credits required by this subparagraph (C), renewable
8        energy facilities that have a multi-year renewable
9        energy credit delivery contract with the utility
10        through at least delivery year 2030 shall be
11        considered new, however no renewable energy credits
12        from contracts entered into before June 1, 2021 shall
13        be used to calculate whether the Agency has procured
14        the correct proportion of new wind and new solar
15        contracts described in this subparagraph (C) for
16        delivery year 2021 and thereafter.
17            (iv) The Agency may implement additional measures,
18        including eligibility requirements, to ensure that new
19        wind projects and new photovoltaic projects supported
20        through renewable energy credit contract awards are a
21        result of a contract award and are otherwise developed
22        pursuant to the financial certainty provided through a
23        contract award.
24        (D) Renewable energy credits shall be cost effective.
25    For purposes of this subsection (c), "cost effective"
26    means that the costs of procuring renewable energy

 

 

SB0025 Enrolled- 209 -LRB104 07069 BAB 17106 b

1    resources do not cause the limit stated in subparagraph
2    (E) of this paragraph (1) to be exceeded and, for
3    renewable energy credits procured through a competitive
4    procurement event, do not exceed benchmarks based on
5    market prices for like products in the region. For
6    purposes of this subsection (c), "like products" means
7    contracts for renewable energy credits from the same or
8    substantially similar technology, same or substantially
9    similar vintage (new or existing), the same or
10    substantially similar quantity, and the same or
11    substantially similar contract length and structure.
12    Benchmarks shall reflect development, financing, or
13    related costs resulting from requirements imposed through
14    other provisions of State law, including, but not limited
15    to, requirements in subparagraphs (P) and (Q) of this
16    paragraph (1) and the Renewable Energy Facilities
17    Agricultural Impact Mitigation Act. Confidential
18    benchmarks shall be developed by the procurement
19    administrator, in consultation with the Commission staff,
20    Agency staff, and the procurement monitor and shall be
21    subject to Commission review and approval. If price
22    benchmarks for like products in the region are not
23    available, the procurement administrator shall establish
24    price benchmarks based on publicly available data on
25    regional technology costs and expected current and future
26    regional energy prices. The benchmarks in this Section

 

 

SB0025 Enrolled- 210 -LRB104 07069 BAB 17106 b

1    shall not be used to curtail or otherwise reduce
2    contractual obligations entered into by or through the
3    Agency prior to June 1, 2017 (the effective date of Public
4    Act 99-906).
5        (E) For purposes of this subsection (c), the required
6    procurement of cost-effective renewable energy resources
7    for a particular year commencing prior to June 1, 2017
8    shall be measured as a percentage of the actual amount of
9    electricity (megawatt-hours) supplied by the electric
10    utility to eligible retail customers in the delivery year
11    ending immediately prior to the procurement, and, for
12    delivery years commencing on and after June 1, 2017, the
13    required procurement of cost-effective renewable energy
14    resources for a particular year shall be measured as a
15    percentage of the actual amount of electricity
16    (megawatt-hours) delivered by the electric utility in the
17    delivery year ending immediately prior to the procurement,
18    to all retail customers in its service territory. For
19    purposes of this subsection (c), the amount paid per
20    kilowatthour means the total amount paid for electric
21    service expressed on a per kilowatthour basis. For
22    purposes of this subsection (c), the total amount paid for
23    electric service includes without limitation amounts paid
24    for supply, transmission, capacity, distribution,
25    surcharges, and add-on taxes.
26        Notwithstanding the requirements of this subsection

 

 

SB0025 Enrolled- 211 -LRB104 07069 BAB 17106 b

1    (c), and except as provided in subparagraph (E-5) of
2    paragraph (1) of this subsection (c) or except as
3    otherwise authorized by the Commission in its approval of
4    the integrated resource plan under Section 16-202 of the
5    Public Utilities Act, the total of renewable energy
6    resources procured under the procurement plan for any
7    single year shall be subject to the limitations of this
8    subparagraph (E). Such procurement shall be reduced for
9    all retail customers based on the amount necessary to
10    limit the annual estimated average net increase due to the
11    costs of these resources included in the amounts paid by
12    eligible retail customers in connection with electric
13    service to no more than 4.25% of the amount paid per
14    kilowatthour by those customers during the year ending May
15    31, 2009, adjusted annually for inflation starting with
16    the first adjustment in the delivery year commencing June
17    1, 2026. For the purposes of this Section, the inflation
18    adjustment shall not be accrued or applied retroactively
19    prior to the effective date of this amendatory Act of the
20    104th General Assembly and shall apply prospectively
21    starting in 2025. The limitation shall be increased by an
22    additional 1.65 percentage points of the amount paid per
23    kilowatthour by eligible retail customers during the year
24    ending May 31, 2009 starting with the delivery year
25    commencing June 1, 2027. To arrive at a maximum dollar
26    amount of renewable energy resources to be procured for

 

 

SB0025 Enrolled- 212 -LRB104 07069 BAB 17106 b

1    the particular delivery year, the resulting per
2    kilowatthour amount shall be applied to the actual amount
3    of kilowatthours of electricity delivered, or applicable
4    portion of such amount as specified in paragraph (1) of
5    this subsection (c), as applicable, by the electric
6    utility in the delivery year immediately prior to the
7    procurement to all retail customers in its service
8    territory. The calculations required by this subparagraph
9    (E) shall be made only once for each delivery year at the
10    time that the renewable energy resources are procured.
11    Once the determination as to the amount of renewable
12    energy resources to procure is made based on the
13    calculations set forth in this subparagraph (E) and the
14    contracts procuring those amounts are executed between the
15    seller and applicable electric utility, no subsequent rate
16    impact determinations shall be made and no adjustments to
17    those contract amounts shall be allowed. As provided in
18    subparagraph (E-5) of paragraph (1) of this subsection
19    (c), the seller shall be entitled to full, prompt, and
20    uninterrupted payment under the applicable contract
21    notwithstanding the application of this subparagraph (E),
22    and all costs incurred under such contracts shall be fully
23    recoverable by the electric utility as provided in this
24    Section.
25        (E-5) If, for a particular delivery year, the
26    limitation on the amount of renewable energy resources to

 

 

SB0025 Enrolled- 213 -LRB104 07069 BAB 17106 b

1    be procured, as calculated pursuant to subparagraph (E) of
2    paragraph (1) of this subsection (c), would result in an
3    insufficient collection of funds to fully pay amounts due
4    to a seller under existing contracts executed under this
5    Section or executed under Section 1-56 of this Act, then
6    the following provisions shall apply to ensure full and
7    uninterrupted payment is made to such seller or sellers:
8            (i) If the electric utility has retained unspent
9        funds in an interest-bearing account as prescribed in
10        subsection (k) of Section 16-108 of the Public
11        Utilities Act, then the utility shall use those funds
12        to remit full payment to the sellers to ensure prompt
13        and uninterrupted payment of existing contractual
14        obligation.
15            (ii) If the funds described in item (i) of this
16        subparagraph (E-5) are insufficient to satisfy all
17        existing contractual obligations, then the electric
18        utility shall, nonetheless, remit full payment to the
19        sellers to ensure prompt and uninterrupted payment of
20        existing contractual obligations, provided that the
21        full costs shall be recoverable by the utility in
22        accordance with part (ee) of item (iv) of this
23        subsection (E-5).
24            (iii) The Agency shall promptly notify the
25        Commission that existing contractual obligations are
26        reasonably expected to exceed the maximum collection

 

 

SB0025 Enrolled- 214 -LRB104 07069 BAB 17106 b

1        authorized under subparagraph (E) of paragraph (1) of
2        this subsection (c) for the applicable delivery year.
3        The Agency shall also explain and confirm how the
4        operation of items (i) and (ii) of this subparagraph
5        (E-5) ensures that the electric utility will continue
6        to make prompt and uninterrupted payment under
7        existing contractual obligations. The Agency shall
8        provide this information to the Commission through a
9        notice filed in the Commission docket approving the
10        Agency's operative Long-Term Renewable Resources
11        Procurement Plan that includes the applicable delivery
12        year.
13            (iv) The Agency shall suspend or reduce new
14        contract awards for the procurement of renewable
15        energy credits until an Agency determination is made
16        under subparagraph (E) that additional procurements
17        would not cause the rate impact limitation of
18        subparagraph (E) to be exceeded. At least once
19        annually after the notice provided for in item (iii)
20        of this subparagraph (E-5) is made, the Agency shall
21        analyze existing contract obligations, projected
22        prices for indexed renewable energy credit contracts
23        executed under item (v) of subparagraph (G) of
24        paragraph (1) of subsection (c) of Section 1-75 of
25        this Act, and expected collections authorized under
26        subparagraph (E) to determine whether and to what

 

 

SB0025 Enrolled- 215 -LRB104 07069 BAB 17106 b

1        extent the limitations of subparagraph (E) would be
2        exceeded by additional renewable energy credit
3        procurement contract awards.
4                (aa) If the Agency determines that additional
5            renewable energy credit procurement contract
6            awards could be made without exceeding the
7            limitations of subparagraph (E), then the
8            procurements shall be authorized at a scale
9            determined not to exceed the limitations of
10            subparagraph (E) in a manner consistent with the
11            priorities of this Section.
12                (bb) If the Agency determines that additional
13            renewable energy credit procurement contract
14            awards cannot be made without exceeding the
15            limitations of subparagraph (E), then the Agency
16            shall suspend any new contract awards for the
17            procurement of renewable energy credits until a
18            new rate impact determination is made under
19            subparagraph (E).
20                (cc) Agency determinations made under this
21            item (iv) shall be detailed and comprehensive and,
22            if not made through the Agency's Long-Term
23            Renewable Resources Procurement Plan, shall be
24            filed as a compliance filing in the most recent
25            docketed proceeding approving the Agency's
26            Long-Term Renewable Resources Procurement Plan.

 

 

SB0025 Enrolled- 216 -LRB104 07069 BAB 17106 b

1                (dd) With respect to the procurement of
2            renewable energy credits authorized through
3            programs administered under subsection (b) of
4            Section 1-56 and subparagraphs (K) through (M) of
5            paragraph (1) of subsection (k) of Section 1-75 of
6            this Act, the award of contracts for the
7            procurement of renewable energy credits shall be
8            suspended or reduced only at the conclusion of the
9            program year in which the notice provided for
10            under item (iii) of this subparagraph (E-5) is
11            made.
12                (ee) The contract shall provide that, so long
13            as at least one of: (i) the cost recovery
14            mechanisms referenced in subsection (k) of Section
15            16-108 and subsection (l) of Section 16-111.5 of
16            the Public Utilities Act remains in full force
17            without limitation or (ii) the utility is
18            otherwise authorized and or entitled to full,
19            prompt, and uninterrupted recovery of its costs
20            through any other mechanism, then such seller
21            shall be entitled to full, prompt, and
22            uninterrupted payment under the applicable
23            contract notwithstanding the application of this
24            subparagraph (E).
25        (F) If the limitation on the amount of renewable
26    energy resources procured in subparagraph (E) of this

 

 

SB0025 Enrolled- 217 -LRB104 07069 BAB 17106 b

1    paragraph (1) prevents the Agency from meeting all of the
2    goals in this subsection (c), the Agency's long-term plan
3    shall prioritize compliance with the requirements of this
4    subsection (c) regarding renewable energy credits in the
5    following order:
6            (i) renewable energy credits under existing
7        contractual obligations as of June 1, 2021;
8            (i-5) funding for the Illinois Solar for All
9        Program, as described in subparagraph (O) of this
10        paragraph (1);
11            (ii) renewable energy credits necessary to comply
12        with the new wind and new photovoltaic procurement
13        requirements described in items (i) through (iii) of
14        subparagraph (C) of this paragraph (1); and
15            (iii) renewable energy credits necessary to meet
16        the remaining requirements of this subsection (c).
17        (G) The following provisions shall apply to the
18    Agency's procurement of renewable energy credits under
19    this subsection (c):
20            (i) Notwithstanding whether a long-term renewable
21        resources procurement plan has been approved, the
22        Agency shall conduct an initial forward procurement
23        for renewable energy credits from new utility-scale
24        wind projects within 160 days after June 1, 2017 (the
25        effective date of Public Act 99-906). For the purposes
26        of this initial forward procurement, the Agency shall

 

 

SB0025 Enrolled- 218 -LRB104 07069 BAB 17106 b

1        solicit 15-year contracts for delivery of 1,000,000
2        renewable energy credits delivered annually from new
3        utility-scale wind projects to begin delivery on June
4        1, 2019, if available, but not later than June 1, 2021,
5        unless the project has delays in the establishment of
6        an operating interconnection with the applicable
7        transmission or distribution system as a result of the
8        actions or inactions of the transmission or
9        distribution provider, or other causes for force
10        majeure as outlined in the procurement contract, in
11        which case, not later than June 1, 2022. Payments to
12        suppliers of renewable energy credits shall commence
13        upon delivery. Renewable energy credits procured under
14        this initial procurement shall be included in the
15        Agency's long-term plan and shall apply to all
16        renewable energy goals in this subsection (c).
17            (ii) Notwithstanding whether a long-term renewable
18        resources procurement plan has been approved, the
19        Agency shall conduct an initial forward procurement
20        for renewable energy credits from new utility-scale
21        solar projects and brownfield site photovoltaic
22        projects within one year after June 1, 2017 (the
23        effective date of Public Act 99-906). For the purposes
24        of this initial forward procurement, the Agency shall
25        solicit 15-year contracts for delivery of 1,000,000
26        renewable energy credits delivered annually from new

 

 

SB0025 Enrolled- 219 -LRB104 07069 BAB 17106 b

1        utility-scale solar projects and brownfield site
2        photovoltaic projects to begin delivery on June 1,
3        2019, if available, but not later than June 1, 2021,
4        unless the project has delays in the establishment of
5        an operating interconnection with the applicable
6        transmission or distribution system as a result of the
7        actions or inactions of the transmission or
8        distribution provider, or other causes for force
9        majeure as outlined in the procurement contract, in
10        which case, not later than June 1, 2022. The Agency may
11        structure this initial procurement in one or more
12        discrete procurement events. Payments to suppliers of
13        renewable energy credits shall commence upon delivery.
14        Renewable energy credits procured under this initial
15        procurement shall be included in the Agency's
16        long-term plan and shall apply to all renewable energy
17        goals in this subsection (c).
18            (iii) Notwithstanding whether the Commission has
19        approved the periodic long-term renewable resources
20        procurement plan revision described in Section
21        16-111.5 of the Public Utilities Act, the Agency shall
22        conduct at least one subsequent forward procurement
23        for renewable energy credits from new utility-scale
24        wind projects, new utility-scale solar projects, and
25        new brownfield site photovoltaic projects within 240
26        days after the effective date of this amendatory Act

 

 

SB0025 Enrolled- 220 -LRB104 07069 BAB 17106 b

1        of the 102nd General Assembly in quantities necessary
2        to meet the requirements of subparagraph (C) of this
3        paragraph (1) through the delivery year beginning June
4        1, 2021.
5            (iv) Notwithstanding whether the Commission has
6        approved the periodic long-term renewable resources
7        procurement plan revision described in Section
8        16-111.5 of the Public Utilities Act, the Agency shall
9        open capacity for each category in the Adjustable
10        Block program within 90 days after the effective date
11        of this amendatory Act of the 102nd General Assembly
12        manner:
13                (1) The Agency shall open the first block of
14            annual capacity for the category described in item
15            (i) of subparagraph (K) of this paragraph (1). The
16            first block of annual capacity for item (i) shall
17            be for at least 75 megawatts of total nameplate
18            capacity. The price of the renewable energy credit
19            for this block of capacity shall be 4% less than
20            the price of the last open block in this category.
21            Projects on a waitlist shall be awarded contracts
22            first in the order in which they appear on the
23            waitlist. Notwithstanding anything to the
24            contrary, for those renewable energy credits that
25            qualify and are procured under this subitem (1) of
26            this item (iv), the renewable energy credit

 

 

SB0025 Enrolled- 221 -LRB104 07069 BAB 17106 b

1            delivery contract value shall be paid in full,
2            based on the estimated generation during the first
3            15 years of operation, by the contracting
4            utilities at the time that the facility producing
5            the renewable energy credits is interconnected at
6            the distribution system level of the utility and
7            verified as energized and in compliance by the
8            Program Administrator. The electric utility shall
9            receive and retire all renewable energy credits
10            generated by the project for the first 15 years of
11            operation. Renewable energy credits generated by
12            the project thereafter shall not be transferred
13            under the renewable energy credit delivery
14            contract with the counterparty electric utility.
15                (2) The Agency shall open the first block of
16            annual capacity for the category described in item
17            (ii) of subparagraph (K) of this paragraph (1).
18            The first block of annual capacity for item (ii)
19            shall be for at least 75 megawatts of total
20            nameplate capacity.
21                    (A) The price of the renewable energy
22                credit for any project on a waitlist for this
23                category before the opening of this block
24                shall be 4% less than the price of the last
25                open block in this category. Projects on the
26                waitlist shall be awarded contracts first in

 

 

SB0025 Enrolled- 222 -LRB104 07069 BAB 17106 b

1                the order in which they appear on the
2                waitlist. Any projects that are less than or
3                equal to 25 kilowatts in size on the waitlist
4                for this capacity shall be moved to the
5                waitlist for paragraph (1) of this item (iv).
6                Notwithstanding anything to the contrary,
7                projects that were on the waitlist prior to
8                opening of this block shall not be required to
9                be in compliance with the requirements of
10                subparagraph (Q) of this paragraph (1) of this
11                subsection (c). Notwithstanding anything to
12                the contrary, for those renewable energy
13                credits procured from projects that were on
14                the waitlist for this category before the
15                opening of this block 20% of the renewable
16                energy credit delivery contract value, based
17                on the estimated generation during the first
18                15 years of operation, shall be paid by the
19                contracting utilities at the time that the
20                facility producing the renewable energy
21                credits is interconnected at the distribution
22                system level of the utility and verified as
23                energized by the Program Administrator. The
24                remaining portion shall be paid ratably over
25                the subsequent 4-year period. The electric
26                utility shall receive and retire all renewable

 

 

SB0025 Enrolled- 223 -LRB104 07069 BAB 17106 b

1                energy credits generated by the project during
2                the first 15 years of operation. Renewable
3                energy credits generated by the project
4                thereafter shall not be transferred under the
5                renewable energy credit delivery contract with
6                the counterparty electric utility.
7                    (B) The price of renewable energy credits
8                for any project not on the waitlist for this
9                category before the opening of the block shall
10                be determined and published by the Agency.
11                Projects not on a waitlist as of the opening
12                of this block shall be subject to the
13                requirements of subparagraph (Q) of this
14                paragraph (1), as applicable. Projects not on
15                a waitlist as of the opening of this block
16                shall be subject to the contract provisions
17                outlined in item (iii) of subparagraph (L) of
18                this paragraph (1). The Agency shall strive to
19                publish updated prices and an updated
20                renewable energy credit delivery contract as
21                quickly as possible.
22                (3) For opening the first 2 blocks of annual
23            capacity for projects participating in item (iii)
24            of subparagraph (K) of paragraph (1) of subsection
25            (c), projects shall be selected exclusively from
26            those projects on the ordinal waitlists of

 

 

SB0025 Enrolled- 224 -LRB104 07069 BAB 17106 b

1            community renewable generation projects
2            established by the Agency based on the status of
3            those ordinal waitlists as of December 31, 2020,
4            and only those projects previously determined to
5            be eligible for the Agency's April 2019 community
6            solar project selection process.
7                The first 2 blocks of annual capacity for item
8            (iii) shall be for 250 megawatts of total
9            nameplate capacity, with both blocks opening
10            simultaneously under the schedule outlined in the
11            paragraphs below. Projects shall be selected as
12            follows:
13                    (A) The geographic balance of selected
14                projects shall follow the Group classification
15                found in the Agency's Revised Long-Term
16                Renewable Resources Procurement Plan, with 70%
17                of capacity allocated to projects on the Group
18                B waitlist and 30% of capacity allocated to
19                projects on the Group A waitlist.
20                    (B) Contract awards for waitlisted
21                projects shall be allocated proportionate to
22                the total nameplate capacity amount across
23                both ordinal waitlists associated with that
24                applicant firm or its affiliates, subject to
25                the following conditions.
26                        (i) Each applicant firm having a

 

 

SB0025 Enrolled- 225 -LRB104 07069 BAB 17106 b

1                    waitlisted project eligible for selection
2                    shall receive no less than 500 kilowatts
3                    in awarded capacity across all groups, and
4                    no approved vendor may receive more than
5                    20% of each Group's waitlist allocation.
6                        (ii) Each applicant firm, upon
7                    receiving an award of program capacity
8                    proportionate to its waitlisted capacity,
9                    may then determine which waitlisted
10                    projects it chooses to be selected for a
11                    contract award up to that capacity amount.
12                        (iii) Assuming all other program
13                    requirements are met, applicant firms may
14                    adjust the nameplate capacity of applicant
15                    projects without losing waitlist
16                    eligibility, so long as no project is
17                    greater than 2,000 kilowatts in size.
18                        (iv) Assuming all other program
19                    requirements are met, applicant firms may
20                    adjust the expected production associated
21                    with applicant projects, subject to
22                    verification by the Program Administrator.
23                    (C) After a review of affiliate
24                information and the current ordinal waitlists,
25                the Agency shall announce the nameplate
26                capacity award amounts associated with

 

 

SB0025 Enrolled- 226 -LRB104 07069 BAB 17106 b

1                applicant firms no later than 90 days after
2                the effective date of this amendatory Act of
3                the 102nd General Assembly.
4                    (D) Applicant firms shall submit their
5                portfolio of projects used to satisfy those
6                contract awards no less than 90 days after the
7                Agency's announcement. The total nameplate
8                capacity of all projects used to satisfy that
9                portfolio shall be no greater than the
10                Agency's nameplate capacity award amount
11                associated with that applicant firm. An
12                applicant firm may decline, in whole or in
13                part, its nameplate capacity award without
14                penalty, with such unmet capacity rolled over
15                to the next block opening for project
16                selection under item (iii) of subparagraph (K)
17                of this subsection (c). Any projects not
18                included in an applicant firm's portfolio may
19                reapply without prejudice upon the next block
20                reopening for project selection under item
21                (iii) of subparagraph (K) of this subsection
22                (c).
23                    (E) The renewable energy credit delivery
24                contract shall be subject to the contract and
25                payment terms outlined in item (iv) of
26                subparagraph (L) of this subsection (c).

 

 

SB0025 Enrolled- 227 -LRB104 07069 BAB 17106 b

1                Contract instruments used for this
2                subparagraph shall contain the following
3                terms:
4                        (i) Renewable energy credit prices
5                    shall be fixed, without further adjustment
6                    under any other provision of this Act or
7                    for any other reason, at 10% lower than
8                    prices applicable to the last open block
9                    for this category, inclusive of any adders
10                    available for achieving a minimum of 50%
11                    of subscribers to the project's nameplate
12                    capacity being residential or small
13                    commercial customers with subscriptions of
14                    below 25 kilowatts in size;
15                        (ii) A requirement that a minimum of
16                    50% of subscribers to the project's
17                    nameplate capacity be residential or small
18                    commercial customers with subscriptions of
19                    below 25 kilowatts in size;
20                        (iii) Permission for the ability of a
21                    contract holder to substitute projects
22                    with other waitlisted projects without
23                    penalty should a project receive a
24                    non-binding estimate of costs to construct
25                    the interconnection facilities and any
26                    required distribution upgrades associated

 

 

SB0025 Enrolled- 228 -LRB104 07069 BAB 17106 b

1                    with that project of greater than 30 cents
2                    per watt AC of that project's nameplate
3                    capacity. In developing the applicable
4                    contract instrument, the Agency may
5                    consider whether other circumstances
6                    outside of the control of the applicant
7                    firm should also warrant project
8                    substitution rights.
9                    The Agency shall publish a finalized
10                updated renewable energy credit delivery
11                contract developed consistent with these terms
12                and conditions no less than 30 days before
13                applicant firms must submit their portfolio of
14                projects pursuant to item (D).
15                    (F) To be eligible for an award, the
16                applicant firm shall certify that not less
17                than prevailing wage, as determined pursuant
18                to the Illinois Prevailing Wage Act, was or
19                will be paid to employees who are engaged in
20                construction activities associated with a
21                selected project.
22                (4) The Agency shall open the first block of
23            annual capacity for the category described in item
24            (iv) of subparagraph (K) of this paragraph (1).
25            The first block of annual capacity for item (iv)
26            shall be for at least 50 megawatts of total

 

 

SB0025 Enrolled- 229 -LRB104 07069 BAB 17106 b

1            nameplate capacity. Renewable energy credit prices
2            shall be fixed, without further adjustment under
3            any other provision of this Act or for any other
4            reason, at the price in the last open block in the
5            category described in item (ii) of subparagraph
6            (K) of this paragraph (1). Pricing for future
7            blocks of annual capacity for this category may be
8            adjusted in the Agency's second revision to its
9            Long-Term Renewable Resources Procurement Plan.
10            Projects in this category shall be subject to the
11            contract terms outlined in item (iv) of
12            subparagraph (L) of this paragraph (1).
13                (5) The Agency shall open the equivalent of 2
14            years of annual capacity for the category
15            described in item (v) of subparagraph (K) of this
16            paragraph (1). The first block of annual capacity
17            for item (v) shall be for at least 10 megawatts of
18            total nameplate capacity. Notwithstanding the
19            provisions of item (v) of subparagraph (K) of this
20            paragraph (1), for the purpose of this initial
21            block, the agency shall accept new project
22            applications intended to increase the diversity of
23            areas hosting community solar projects, the
24            business models of projects, and the size of
25            projects, as described by the Agency in its
26            long-term renewable resources procurement plan

 

 

SB0025 Enrolled- 230 -LRB104 07069 BAB 17106 b

1            that is approved as of the effective date of this
2            amendatory Act of the 102nd General Assembly.
3            Projects in this category shall be subject to the
4            contract terms outlined in item (iii) of
5            subsection (L) of this paragraph (1).
6                (6) The Agency shall open the first blocks of
7            annual capacity for the category described in item
8            (vi) of subparagraph (K) of this paragraph (1),
9            with allocations of capacity within the block
10            generally matching the historical share of block
11            capacity allocated between the category described
12            in items (i) and (ii) of subparagraph (K) of this
13            paragraph (1). The first two blocks of annual
14            capacity for item (vi) shall be for at least 75
15            megawatts of total nameplate capacity. The price
16            of renewable energy credits for the blocks of
17            capacity shall be 4% less than the price of the
18            last open blocks in the categories described in
19            items (i) and (ii) of subparagraph (K) of this
20            paragraph (1). Pricing for future blocks of annual
21            capacity for this category may be adjusted in the
22            Agency's second revision to its Long-Term
23            Renewable Resources Procurement Plan. Projects in
24            this category shall be subject to the applicable
25            contract terms outlined in items (ii) and (iii) of
26            subparagraph (L) of this paragraph (1).

 

 

SB0025 Enrolled- 231 -LRB104 07069 BAB 17106 b

1            (v) Upon the effective date of this amendatory Act
2        of the 102nd General Assembly, for all competitive
3        procurements and any procurements of renewable energy
4        credit from new utility-scale wind and new
5        utility-scale photovoltaic projects, the Agency shall
6        procure indexed renewable energy credits and direct
7        respondents to offer a strike price.
8                (1) The purchase price of the indexed
9            renewable energy credit payment shall be
10            calculated for each settlement period. That
11            payment, for any settlement period, shall be equal
12            to the difference resulting from subtracting the
13            strike price from the index price for that
14            settlement period. If this difference results in a
15            negative number, the indexed REC counterparty
16            shall owe the seller the absolute value multiplied
17            by the quantity of energy produced in the relevant
18            settlement period. If this difference results in a
19            positive number, the seller shall owe the indexed
20            REC counterparty this amount multiplied by the
21            quantity of energy produced in the relevant
22            settlement period.
23                (2) Parties shall cash settle every month,
24            summing up all settlements (both positive and
25            negative, if applicable) for the prior month.
26                (3) To ensure funding in the annual budget

 

 

SB0025 Enrolled- 232 -LRB104 07069 BAB 17106 b

1            established under subparagraph (E) for indexed
2            renewable energy credit procurements for each year
3            of the term of such contracts, which must have a
4            minimum tenure of 20 calendar years, the
5            procurement administrator, Agency, Commission
6            staff, and procurement monitor shall quantify the
7            annual cost of the contract by utilizing one or
8            more an industry-standard, third-party forward
9            price curves curve for energy at the appropriate
10            hub or load zone, including the estimated
11            magnitude and timing of the price effects related
12            to federal carbon controls. Each forward price
13            curve shall contain a specific value of the
14            forecasted market price of electricity for each
15            annual delivery year of the contract. For
16            procurement planning purposes, the impact on the
17            annual budget for the cost of indexed renewable
18            energy credits for each delivery year shall be
19            determined as the expected annual contract
20            expenditure for that year, equaling the difference
21            between (i) the sum across all relevant contracts
22            of the applicable strike price multiplied by
23            contract quantity and (ii) the sum across all
24            relevant contracts of the forward price curve for
25            the applicable load zone for that year multiplied
26            by contract quantity. The contracting utility

 

 

SB0025 Enrolled- 233 -LRB104 07069 BAB 17106 b

1            shall not assume an obligation in excess of the
2            estimated annual cost of the contracts for indexed
3            renewable energy credits. Forward curves shall be
4            revised on an annual basis as updated forward
5            price curves are released and filed with the
6            Commission in the proceeding approving the
7            Agency's most recent long-term renewable resources
8            procurement plan. If the expected contract spend
9            is higher or lower than the total quantity of
10            contracts multiplied by the forward price curve
11            value for that year, the forward price curve shall
12            be updated by the procurement administrator, in
13            consultation with the Agency, Commission staff,
14            and procurement monitors, using then-currently
15            available price forecast data and additional
16            budget dollars shall be obligated or reobligated
17            as appropriate.
18                (4) To ensure that indexed renewable energy
19            credit prices remain predictable and affordable,
20            the Agency may consider the institution of a price
21            collar on REC prices paid under indexed renewable
22            energy credit procurements establishing floor and
23            ceiling REC prices applicable to indexed REC
24            contract prices. Any price collars applicable to
25            indexed REC procurements shall be proposed by the
26            Agency through its long-term renewable resources

 

 

SB0025 Enrolled- 234 -LRB104 07069 BAB 17106 b

1            procurement plan.
2            (vi) All procurements under this subparagraph (G),
3        including the procurement of renewable energy credits
4        from hydropower facilities, shall comply with the
5        geographic requirements in subparagraph (I) of this
6        paragraph (1) and shall follow the procurement
7        processes and procedures described in this Section and
8        Section 16-111.5 of the Public Utilities Act to the
9        extent practicable, and these processes and procedures
10        may be expedited to accommodate the schedule
11        established by this subparagraph (G). To ensure the
12        successful development of new renewable energy
13        projects supported through competitive procurements,
14        for any procurements conducted under items (i), (ii),
15        (iii), and (v) of this subparagraph (G) and any other
16        procurement of new utility-scale wind or utility-scale
17        solar projects that were entered into prior to January
18        1, 2025, the Agency shall allow, upon a demonstration
19        of need to ensure the commercial viability of a
20        project, for a one-time, post-award renegotiation of
21        select contract terms prior to the project's
22        commercial operation date through bilateral
23        negotiation between the Agency, the buyer, and a
24        winning bidder. Contract terms subject to
25        renegotiation may include the project map, as defined
26        under the applicable competitive solicitation, the

 

 

SB0025 Enrolled- 235 -LRB104 07069 BAB 17106 b

1        real estate footprint or any limitations thereof, the
2        location of the generators, or a potential reduction
3        in the quantity of renewable energy credits to be
4        delivered. Provisions related to a renewable energy
5        credit delivery shortfall and the event of default may
6        be replaced with similar provisions approved by the
7        Agency in subsequent years or subsequent to a
8        successful bid. Post-award renegotiation of
9        competitively bid renewable energy credit contracts
10        entered into prior to January 1, 2025 shall not be
11        permitted to the extent such renegotiation would
12        result in (1) the point of interconnection being
13        within the service area of a different state, a
14        different regional transmission organization zone, or
15        a different regional transmission organization, (2)
16        the generator no longer meeting the definition of the
17        resource category for which the winning bidder was
18        originally awarded a contract, (3) the generator no
19        longer meeting the Agency's public interest criteria
20        as established in the long-term renewable resources
21        plan in effect at the time of the contract award, or
22        (4) a change to material terms of the renewable energy
23        credit contract unrelated to project land or footprint
24        or the number of renewable energy credits to be
25        delivered, including the applicable bid price or
26        strike price. If the Agency, the buyer, and the

 

 

SB0025 Enrolled- 236 -LRB104 07069 BAB 17106 b

1        winning bidder reach an agreement on amended terms,
2        then, upon petition by the winning bidder or current
3        seller, the Commission shall issue an order directing
4        the utility counterparty to execute an amendment
5        drafted by the Agency with the revised terms to the
6        renewable energy credit contract, the product order,
7        or both. The Agency shall provide the amendment to the
8        utility within 15 business days after the Commission's
9        order, and the utility shall execute the amendment no
10        more than 7 calendar days after delivery by the
11        Agency.    
12            (vii) On and after the effective date of this
13        amendatory Act of the 103rd General Assembly, for all
14        procurements of renewable energy credits from
15        hydropower facilities, the Agency shall establish
16        contract terms designed to optimize existing
17        hydropower facilities through modernization or
18        retooling and establish new hydropower facilities at
19        existing dams. Procurements made under this item (vii)
20        shall prioritize projects located in designated
21        environmental justice communities, as defined in
22        subsection (b) of Section 1-56 of this Act, or in
23        projects located in units of local government with
24        median incomes that do not exceed 82% of the median
25        income of the State.
26        (H) The procurement of renewable energy resources for

 

 

SB0025 Enrolled- 237 -LRB104 07069 BAB 17106 b

1    a given delivery year shall be reduced as described in
2    this subparagraph (H) if an alternative retail electric
3    supplier meets the requirements described in this
4    subparagraph (H).
5            (i) Within 45 days after June 1, 2017 (the
6        effective date of Public Act 99-906), an alternative
7        retail electric supplier or its successor shall submit
8        an informational filing to the Illinois Commerce
9        Commission certifying that, as of December 31, 2015,
10        the alternative retail electric supplier owned one or
11        more electric generating facilities that generates
12        renewable energy resources as defined in Section 1-10
13        of this Act, provided that such facilities are not
14        powered by wind or photovoltaics, and the facilities
15        generate one renewable energy credit for each
16        megawatthour of energy produced from the facility.
17            The informational filing shall identify each
18        facility that was eligible to satisfy the alternative
19        retail electric supplier's obligations under Section
20        16-115D of the Public Utilities Act as described in
21        this item (i).
22            (ii) For a given delivery year, the alternative
23        retail electric supplier may elect to supply its
24        retail customers with renewable energy credits from
25        the facility or facilities described in item (i) of
26        this subparagraph (H) that continue to be owned by the

 

 

SB0025 Enrolled- 238 -LRB104 07069 BAB 17106 b

1        alternative retail electric supplier.
2            (iii) The alternative retail electric supplier
3        shall notify the Agency and the applicable utility, no
4        later than February 28 of the year preceding the
5        applicable delivery year or 15 days after June 1, 2017
6        (the effective date of Public Act 99-906), whichever
7        is later, of its election under item (ii) of this
8        subparagraph (H) to supply renewable energy credits to
9        retail customers of the utility. Such election shall
10        identify the amount of renewable energy credits to be
11        supplied by the alternative retail electric supplier
12        to the utility's retail customers and the source of
13        the renewable energy credits identified in the
14        informational filing as described in item (i) of this
15        subparagraph (H), subject to the following
16        limitations:
17                For the delivery year beginning June 1, 2018,
18            the maximum amount of renewable energy credits to
19            be supplied by an alternative retail electric
20            supplier under this subparagraph (H) shall be 68%
21            multiplied by 25% multiplied by 14.5% multiplied
22            by the amount of metered electricity
23            (megawatt-hours) delivered by the alternative
24            retail electric supplier to Illinois retail
25            customers during the delivery year ending May 31,
26            2016.

 

 

SB0025 Enrolled- 239 -LRB104 07069 BAB 17106 b

1                For delivery years beginning June 1, 2019 and
2            each year thereafter, the maximum amount of
3            renewable energy credits to be supplied by an
4            alternative retail electric supplier under this
5            subparagraph (H) shall be 68% multiplied by 50%
6            multiplied by 16% multiplied by the amount of
7            metered electricity (megawatt-hours) delivered by
8            the alternative retail electric supplier to
9            Illinois retail customers during the delivery year
10            ending May 31, 2016, provided that the 16% value
11            shall increase by 1.5% each delivery year
12            thereafter to 25% by the delivery year beginning
13            June 1, 2025, and thereafter the 25% value shall
14            apply to each delivery year.
15            For each delivery year, the total amount of
16        renewable energy credits supplied by all alternative
17        retail electric suppliers under this subparagraph (H)
18        shall not exceed 9% of the Illinois target renewable
19        energy credit quantity. The Illinois target renewable
20        energy credit quantity for the delivery year beginning
21        June 1, 2018 is 14.5% multiplied by the total amount of
22        metered electricity (megawatt-hours) delivered in the
23        delivery year immediately preceding that delivery
24        year, provided that the 14.5% shall increase by 1.5%
25        each delivery year thereafter to 25% by the delivery
26        year beginning June 1, 2025, and thereafter the 25%

 

 

SB0025 Enrolled- 240 -LRB104 07069 BAB 17106 b

1        value shall apply to each delivery year.
2            If the requirements set forth in items (i) through
3        (iii) of this subparagraph (H) are met, the charges
4        that would otherwise be applicable to the retail
5        customers of the alternative retail electric supplier
6        under paragraph (6) of this subsection (c) for the
7        applicable delivery year shall be reduced by the ratio
8        of the quantity of renewable energy credits supplied
9        by the alternative retail electric supplier compared
10        to that supplier's target renewable energy credit
11        quantity. The supplier's target renewable energy
12        credit quantity for the delivery year beginning June
13        1, 2018 is 14.5% multiplied by the total amount of
14        metered electricity (megawatt-hours) delivered by the
15        alternative retail supplier in that delivery year,
16        provided that the 14.5% shall increase by 1.5% each
17        delivery year thereafter to 25% by the delivery year
18        beginning June 1, 2025, and thereafter the 25% value
19        shall apply to each delivery year.
20            On or before April 1 of each year, the Agency shall
21        annually publish a report on its website that
22        identifies the aggregate amount of renewable energy
23        credits supplied by alternative retail electric
24        suppliers under this subparagraph (H).
25        (I) The Agency shall design its long-term renewable
26    energy procurement plan to maximize the State's interest

 

 

SB0025 Enrolled- 241 -LRB104 07069 BAB 17106 b

1    in the health, safety, and welfare of its residents,
2    including but not limited to minimizing sulfur dioxide,
3    nitrogen oxide, particulate matter and other pollution
4    that adversely affects public health in this State,
5    increasing fuel and resource diversity in this State,
6    enhancing the reliability and resiliency of the
7    electricity distribution system in this State, meeting
8    goals to limit carbon dioxide emissions under federal or
9    State law, and contributing to a cleaner and healthier
10    environment for the citizens of this State. In order to
11    further these legislative purposes, renewable energy
12    credits shall be eligible to be counted toward the
13    renewable energy requirements of this subsection (c) if
14    they are generated from facilities located in this State.
15    The Agency may qualify renewable energy credits from
16    facilities located in states adjacent to Illinois or
17    renewable energy credits associated with the electricity
18    generated by a utility-scale wind energy facility or
19    utility-scale photovoltaic facility and transmitted by a
20    qualifying direct current project described in subsection
21    (b-5) of Section 8-406 of the Public Utilities Act to a
22    delivery point on the electric transmission grid located
23    in this State or a state adjacent to Illinois, if the
24    generator demonstrates and the Agency determines that the
25    operation of such facility or facilities will help promote
26    the State's interest in the health, safety, and welfare of

 

 

SB0025 Enrolled- 242 -LRB104 07069 BAB 17106 b

1    its residents based on the public interest criteria
2    described above. For the purposes of this Section,
3    renewable resources that are delivered via a high voltage
4    direct current converter station located in Illinois shall
5    be deemed generated in Illinois at the time and location
6    the energy is converted to alternating current by the high
7    voltage direct current converter station if the high
8    voltage direct current transmission line: (i) after the
9    effective date of this amendatory Act of the 102nd General
10    Assembly, was constructed with a project labor agreement;
11    (ii) is capable of transmitting electricity at 525kv;
12    (iii) has an Illinois converter station located and
13    interconnected in the region of the PJM Interconnection,
14    LLC; (iv) does not operate as a public utility; and (v) if
15    the high voltage direct current transmission line was
16    energized after June 1, 2023. To ensure that the public
17    interest criteria are applied to the procurement and given
18    full effect, the Agency's long-term procurement plan shall
19    describe in detail how each public interest factor shall
20    be considered and weighted for facilities located in
21    states adjacent to Illinois.
22        (J) In order to promote the competitive development of
23    renewable energy resources in furtherance of the State's
24    interest in the health, safety, and welfare of its
25    residents, renewable energy credits shall not be eligible
26    to be counted toward the renewable energy requirements of

 

 

SB0025 Enrolled- 243 -LRB104 07069 BAB 17106 b

1    this subsection (c) if they are sourced from a generating
2    unit whose costs were being recovered through rates
3    regulated by this State or any other state or states on or
4    after January 1, 2017. Each contract executed to purchase
5    renewable energy credits under this subsection (c) shall
6    provide for the contract's termination if the costs of the
7    generating unit supplying the renewable energy credits
8    subsequently begin to be recovered through rates regulated
9    by this State or any other state or states; and each
10    contract shall further provide that, in that event, the
11    supplier of the credits must return 110% of all payments
12    received under the contract. Amounts returned under the
13    requirements of this subparagraph (J) shall be retained by
14    the utility and all of these amounts shall be used for the
15    procurement of additional renewable energy credits from
16    new wind or new photovoltaic resources as defined in this
17    subsection (c). The long-term plan shall provide that
18    these renewable energy credits shall be procured in the
19    next procurement event.
20        Notwithstanding the limitations of this subparagraph
21    (J), renewable energy credits sourced from generating
22    units that are constructed, purchased, owned, or leased by
23    an electric utility as part of an approved project,
24    program, or pilot under Section 1-56 of this Act shall be
25    eligible to be counted toward the renewable energy
26    requirements of this subsection (c), regardless of how the

 

 

SB0025 Enrolled- 244 -LRB104 07069 BAB 17106 b

1    costs of these units are recovered. As long as a
2    generating unit or an identifiable portion of a generating
3    unit has not had and does not have its costs recovered
4    through rates regulated by this State or any other state,
5    HVDC renewable energy credits associated with that
6    generating unit or identifiable portion thereof shall be
7    eligible to be counted toward the renewable energy
8    requirements of this subsection (c).
9        (K) The long-term renewable resources procurement plan
10    developed by the Agency in accordance with subparagraph
11    (A) of this paragraph (1) shall include an Adjustable
12    Block program for the procurement of renewable energy
13    credits from new photovoltaic projects that are
14    distributed renewable energy generation devices or new
15    photovoltaic community renewable generation projects. The
16    Adjustable Block program shall be generally designed to
17    provide for the steady, predictable, and sustainable
18    growth of new solar photovoltaic development in Illinois.
19    To this end, the Adjustable Block program shall provide a
20    transparent annual schedule of prices and quantities to
21    enable the photovoltaic market to scale up and for
22    renewable energy credit prices to adjust at a predictable
23    rate over time. The prices set by the Adjustable Block
24    program can be reflected as a set value or as the product
25    of a formula.
26        The Adjustable Block program shall include for each

 

 

SB0025 Enrolled- 245 -LRB104 07069 BAB 17106 b

1    category of eligible projects for each delivery year: a
2    single block of nameplate capacity, a price for renewable
3    energy credits within that block, and the terms and
4    conditions for securing a spot on a waitlist once the
5    block is fully committed or reserved. Except as outlined
6    below, the waitlist of projects in a given year will carry
7    over to apply to the subsequent year when another block is
8    opened. Only projects energized on or after June 1, 2017
9    shall be eligible for the Adjustable Block program. For
10    each category for each delivery year the Agency shall
11    determine the amount of generation capacity in each block,
12    and the purchase price for each block, provided that the
13    purchase price provided and the total amount of generation
14    in all blocks for all categories shall be sufficient to
15    meet the goals in this subsection (c). The Agency shall
16    strive to issue a single block sized to provide for
17    stability and market growth. The Agency shall establish
18    program eligibility requirements that ensure that projects
19    that enter the program are sufficiently mature to indicate
20    a demonstrable path to completion. The Agency may
21    periodically review its prior decisions establishing the
22    amount of generation capacity in each block, and the
23    purchase price for each block, and may propose, on an
24    expedited basis, changes to these previously set values,
25    including but not limited to redistributing these amounts
26    and the available funds as necessary and appropriate,

 

 

SB0025 Enrolled- 246 -LRB104 07069 BAB 17106 b

1    subject to Commission approval as part of the periodic
2    plan revision process described in Section 16-111.5 of the
3    Public Utilities Act. The Agency may define different
4    block sizes, purchase prices, or other distinct terms and
5    conditions for projects located in different utility
6    service territories if the Agency deems it necessary to
7    meet the goals in this subsection (c).
8        The Adjustable Block program shall include the
9    following categories in at least the following amounts:
10            (i) At least 20% from distributed renewable energy
11        generation devices with a nameplate capacity of no
12        more than 25 kilowatts.
13            (ii) At least 20% from distributed renewable
14        energy generation devices with a nameplate capacity of
15        more than 25 kilowatts and no more than 5,000
16        kilowatts. The Agency may create sub-categories within
17        this category to account for the differences between
18        projects for small commercial customers, large
19        commercial customers, and public or non-profit
20        customers. A project shall not be colocated with one
21        or more other distributed renewable energy generation
22        projects if the aggregate nameplate capacity of the
23        projects exceeds 5,000 kilowatts AC. Notwithstanding
24        any other provision of this Section, if 2 or more
25        projects are developed, owned, or controlled by or
26        originate from the same developer or an affiliated

 

 

SB0025 Enrolled- 247 -LRB104 07069 BAB 17106 b

1        developer and the projects serve affiliated loads, the
2        projects shall be colocated if the projects are
3        located on adjacent parcels. If 2 or more projects are
4        developed, owned, or controlled by or originate from
5        the same developer and the projects serve unaffiliated
6        loads, the projects may be colocated if documentation
7        indicates affiliated management and ownership in the
8        pre-development, development, construction, and
9        management of the projects and the projects are
10        located on a single or adjacent parcels.
11        Notwithstanding any subsequent transfer, assignment,
12        or conveyance of ownership or development rights to
13        separate legal entities, the Agency shall consider, in
14        its determination of whether projects are affiliated,
15        evidence that the projects were pre-developed by the
16        same legal entity or an affiliated entity. If the
17        Agency determines the projects are affiliated, the
18        projects shall be treated as colocated for purposes of
19        aggregate nameplate capacity limitations and renewable
20        energy credit pricing adjustments. The Agency shall
21        make exceptions on a case-by-case basis if it is
22        demonstrated that projects on one parcel or projects
23        on adjacent parcels are unaffiliated. For purposes of
24        determining colocation, an approved vendor who submits
25        an application for a distributed renewable energy
26        generation project shall be required to submit an

 

 

SB0025 Enrolled- 248 -LRB104 07069 BAB 17106 b

1        affidavit attesting that the project is not affiliated
2        with any other distributed renewable energy generation
3        project such that, if the 2 projects were deemed
4        colocated, the projects would exceed the 5,000
5        kilowatts nameplate capacity limitation. The receipt
6        of an affidavit shall not restrict the Agency's
7        ability to investigate and determine whether the
8        project is, in fact, colocated.
9            For purposes of this item (ii):
10            "Affiliate" has the meaning given to that term in
11        subitem (3) of item (iii) of this subparagraph (K).
12            "Colocated" means 2 or more distributed renewable
13        energy generation projects that are located on a
14        single parcel, except for projects where the owner of
15        the applicable retail electric account is confirmed to
16        be unaffiliated and the projects serve distinct
17        electrical loads.
18            "Control" has the meaning given to that term in
19        subitem (3) of item (iii) of this subparagraph (K).
20            (iii) At least 30% from photovoltaic community
21        renewable generation projects. Capacity for this
22        category for the first 2 delivery years after the
23        effective date of this amendatory Act of the 102nd
24        General Assembly shall be allocated to waitlist
25        projects as provided in paragraph (3) of item (iv) of
26        subparagraph (G). Starting in the third delivery year

 

 

SB0025 Enrolled- 249 -LRB104 07069 BAB 17106 b

1        after the effective date of this amendatory Act of the
2        102nd General Assembly or earlier if the Agency
3        determines there is additional capacity needed for to
4        meet previous delivery year requirements, the
5        following shall apply:
6                (1) the Agency shall select projects on a
7            first-come, first-serve basis, however the Agency
8            may suggest additional methods to prioritize
9            projects that are submitted at the same time;
10                (2) projects shall have subscriptions of 25 kW
11            or less for at least 50% of the facility's
12            nameplate capacity and the Agency shall price the
13            renewable energy credits with that as a factor;
14                (3) projects shall not be colocated with one
15            or more other photovoltaic community renewable
16            generation projects such that the aggregate
17            nameplate capacity exceeds 10,000 kilowatts. The
18            total nameplate capacity of colocated projects
19            shall be the sum of the nameplate capacities of
20            the individual projects. For purposes of this
21            subitem (3), separate legal formation of approved
22            vendors, owners, or developers shall not preclude
23            a finding of affiliation by the Agency. Evidence
24            of affiliation may include, but is not limited to,
25            shared personnel, common contractual or financing
26            arrangements, a shared interconnection agreement,

 

 

SB0025 Enrolled- 250 -LRB104 07069 BAB 17106 b

1            distinct interconnection agreements obtained by
2            the same pre-development entity that are
3            subsequently sold to distinct legal entities,
4            familial relationships, or any demonstrable
5            pattern of coordinated action in the
6            pre-development, development, construction, or
7            management of photovoltaic community renewable
8            generation projects.
9                The Agency shall determine affiliation based
10            on evidence that projects either (i) share a
11            common origin on a parcel that has been subdivided
12            in the 5 years before the date of application or
13            (ii) were pre-developed before the beginning of
14            construction by the same legal entity or an
15            affiliated legal entity. The determination shall
16            be made notwithstanding any subsequent transfer,
17            assignment, or conveyance of ownership or
18            development rights to separate legal entities. If
19            the Agency determines the projects are affiliated,
20            the projects shall be treated as colocated for the
21            purposes of aggregate nameplate capacity
22            limitations and renewable energy credit pricing
23            adjustments. The Agency shall make exceptions to
24            this subitem (3) on a case-by-case basis if it is
25            demonstrated that projects on one parcel or
26            projects on adjacent parcels are unaffiliated.

 

 

SB0025 Enrolled- 251 -LRB104 07069 BAB 17106 b

1                A parcel shall not be divided into multiple
2            parcels within the 5 years before the submission
3            of a project application. If a parcel is divided
4            within the preceding 5 years, a colocation
5            determination shall be made based on the
6            boundaries of the previous undivided parcel.
7                For purposes of determining colocation, an
8            approved vendor who submits an application for a
9            community renewable generation project shall be
10            required to submit an affidavit attesting that (i)
11            the parcel on which the project is sited has not
12            been subdivided within the 5 years preceding the
13            project application and (ii) the project is not
14            affiliated with any other community renewable
15            energy project in a manner that would cause the 2
16            projects, if deemed colocated, to exceed the
17            10,000 kilowatt nameplate capacity limitation. The
18            receipt of an affidavit shall not restrict the
19            Agency's ability to investigate and determine
20            whether the project is colocated.
21                Multiple community solar projects sited on
22            distinct structures located on a single parcel
23            shall be considered colocated and must demonstrate
24            that the projects are unaffiliated in order to not
25            be considered colocated. Each colocated project
26            shall receive the renewable energy credit price

 

 

SB0025 Enrolled- 252 -LRB104 07069 BAB 17106 b

1            corresponding to the total, aggregated nameplate
2            capacity of the colocated systems, as determined
3            at the time the second project's application is
4            submitted to the Agency. If the second colocated
5            project has been constructed and placed in service
6            prior to application, and was placed in service
7            more than 2 years after Commission approval of the
8            original project, the colocation pricing
9            adjustment shall not apply, and each project shall
10            receive the standalone renewable energy credit
11            price for its individual capacity.    
12                For purposes of this subitem (3):
13                "Affiliate" means any other entity that,
14            directly or indirectly through one or more
15            intermediaries, is controlled by or is under
16            common control of the primary entity or a third
17            entity. "Affiliate" includes family members for
18            the purposes of colocation between projects.
19            "Affiliate" does not include entities that have
20            shared sales or revenue-sharing arrangements or
21            common debt and equity financing arrangements.
22                "Colocated" means 2 or more photovoltaic
23            community renewable generation projects located on
24            a single parcel or adjacent parcels, unless it is
25            demonstrated that the projects are developed by
26            unaffiliated entities.

 

 

SB0025 Enrolled- 253 -LRB104 07069 BAB 17106 b

1                "Control" means the possession, directly or
2            indirectly, of the power to direct the management
3            and policies of an entity , as defined in the
4            Agency's first revised long-term renewable
5            resources procurement plan approved by the
6            Commission on February 18, 2020, such that the
7            aggregate nameplate capacity exceeds 5,000
8            kilowatts; and
9                (4) projects greater than 2 MW may not apply
10            until after the approval of the Agency's revised
11            Long-Term Renewable Resources Procurement Plan
12            after the effective date of this amendatory Act of
13            the 102nd General Assembly.
14            (iv) At least 15% from distributed renewable
15        generation devices or photovoltaic community renewable
16        generation projects installed on public school land.
17        The Agency may create subcategories within this
18        category to account for the differences between
19        project size or location. Projects located within
20        environmental justice communities or within
21        Organizational Units that fall within Tier 1 or Tier 2
22        shall be given priority. Each of the Agency's periodic
23        updates to its long-term renewable resources
24        procurement plan to incorporate the procurement
25        described in this subparagraph (iv) shall also include
26        the proposed quantities or blocks, pricing, and

 

 

SB0025 Enrolled- 254 -LRB104 07069 BAB 17106 b

1        contract terms applicable to the procurement as
2        indicated herein. In each such update and procurement,
3        the Agency shall set the renewable energy credit price
4        and establish payment terms for the renewable energy
5        credits procured pursuant to this subparagraph (iv)
6        that make it feasible and affordable for public
7        schools to install photovoltaic distributed renewable
8        energy devices on their premises, including, but not
9        limited to, those public schools subject to the
10        prioritization provisions of this subparagraph. For
11        the purposes of this item (iv):
12            "Environmental Justice Community" shall have the
13        same meaning set forth in the Agency's long-term
14        renewable resources procurement plan;
15            "Organization Unit", "Tier 1" and "Tier 2" shall
16        have the meanings set for in Section 18-8.15 of the
17        School Code;
18            "Public schools" shall have the meaning set forth
19        in Section 1-3 of the School Code and includes public
20        institutions of higher education, as defined in the
21        Board of Higher Education Act.
22            (v) At least 5% from community-driven community
23        solar projects intended to provide more direct and
24        tangible connection and benefits to the communities
25        which they serve or in which they operate and,
26        additionally, to increase the variety of community

 

 

SB0025 Enrolled- 255 -LRB104 07069 BAB 17106 b

1        solar locations, models, and options in Illinois. As
2        part of its long-term renewable resources procurement
3        plan, the Agency shall develop selection criteria for
4        projects participating in this category. Nothing in
5        this Section shall preclude the Agency from creating a
6        selection process that maximizes community ownership
7        and community benefits in selecting projects to
8        receive renewable energy credits. Selection criteria
9        shall include:
10                (1) community ownership or community
11            wealth-building;
12                (2) additional direct and indirect community
13            benefit, beyond project participation as a
14            subscriber, including, but not limited to,
15            economic, environmental, social, cultural, and
16            physical benefits;
17                (3) meaningful involvement in project
18            organization and development by community members
19            or nonprofit organizations or public entities
20            located in or serving the community;
21                (4) engagement in project operations and
22            management by nonprofit organizations, public
23            entities, or community members; and
24                (5) whether a project is developed in response
25            to a site-specific RFP developed by community
26            members or a nonprofit organization or public

 

 

SB0025 Enrolled- 256 -LRB104 07069 BAB 17106 b

1            entity located in or serving the community.
2            Selection criteria may also prioritize projects
3        that:
4                (1) are developed in collaboration with or to
5            provide complementary opportunities for the Clean
6            Jobs Workforce Network Program, the Illinois
7            Climate Works Preapprenticeship Program, the
8            Returning Residents Clean Jobs Training Program,
9            the Clean Energy Contractor Incubator Program, or
10            the Clean Energy Primes Contractor Accelerator
11            Program;
12                (2) increase the diversity of locations of
13            community solar projects in Illinois, including by
14            locating in urban areas and population centers;
15                (3) are located in Equity Investment Eligible
16            Communities;
17                (4) are not greenfield projects;
18                (5) serve only local subscribers;
19                (6) have a nameplate capacity that does not
20            exceed 500 kW;
21                (7) are developed by an equity eligible
22            contractor; or
23                (8) otherwise meaningfully advance the goals
24            of providing more direct and tangible connection
25            and benefits to the communities which they serve
26            or in which they operate and increasing the

 

 

SB0025 Enrolled- 257 -LRB104 07069 BAB 17106 b

1            variety of community solar locations, models, and
2            options in Illinois.
3            For the purposes of this item (v):
4            "Community" means a social unit in which people
5        come together regularly to effect change; a social
6        unit in which participants are marked by a cooperative
7        spirit, a common purpose, or shared interests or
8        characteristics; or a space understood by its
9        residents to be delineated through geographic
10        boundaries or landmarks.
11            "Community benefit" means a range of services and
12        activities that provide affirmative, economic,
13        environmental, social, cultural, or physical value to
14        a community; or a mechanism that enables economic
15        development, high-quality employment, and education
16        opportunities for local workers and residents, or
17        formal monitoring and oversight structures such that
18        community members may ensure that those services and
19        activities respond to local knowledge and needs.
20            "Community ownership" means an arrangement in
21        which an electric generating facility is, or over time
22        will be, in significant part, owned collectively by
23        members of the community to which an electric
24        generating facility provides benefits; members of that
25        community participate in decisions regarding the
26        governance, operation, maintenance, and upgrades of

 

 

SB0025 Enrolled- 258 -LRB104 07069 BAB 17106 b

1        and to that facility; and members of that community
2        benefit from regular use of that facility.
3            Terms and guidance within these criteria that are
4        not defined in this item (v) shall be defined by the
5        Agency, with stakeholder input, during the development
6        of the Agency's long-term renewable resources
7        procurement plan. The Agency shall develop regular
8        opportunities for projects to submit applications for
9        projects under this category, and develop selection
10        criteria that gives preference to projects that better
11        meet individual criteria as well as projects that
12        address a higher number of criteria.
13            (vi) At least 10% from distributed renewable
14        energy generation devices, which includes distributed
15        renewable energy devices with a nameplate capacity
16        under 5,000 kilowatts or photovoltaic community
17        renewable generation projects, from applicants that
18        are equity eligible contractors. The Agency may create
19        subcategories within this category to account for the
20        differences between project size and type. The Agency
21        shall propose to increase the percentage in this item
22        (vi) over time to 40% based on factors, including, but
23        not limited to, the number of equity eligible
24        contractors and capacity used in this item (vi) in
25        previous delivery years.
26            The Agency shall propose a payment structure for

 

 

SB0025 Enrolled- 259 -LRB104 07069 BAB 17106 b

1        contracts executed pursuant to this paragraph under
2        which, upon a demonstration of qualification or need
3        under criteria established by the Agency that is
4        focused on supporting small and emerging businesses
5        and businesses that most acutely face barriers to the
6        access of capital, applicant firms are advanced
7        capital disbursed after contract execution but before
8        the contracted project's energization. The amount or
9        percentage of capital advanced prior to project
10        energization shall be sufficient to both cover any
11        increase in development costs resulting from
12        prevailing wage requirements or project-labor
13        agreements, and designed to overcome barriers in
14        access to capital faced by equity eligible
15        contractors. The amount or percentage of advanced
16        capital may vary by subcategory within this category
17        and by an applicant's demonstration of need, with such
18        levels to be established through the Long-Term
19        Renewable Resources Procurement Plan authorized under
20        subparagraph (A) of paragraph (1) of subsection (c) of
21        this Section and any application requirements or
22        evaluation criteria developed pursuant to the Plan.
23            Contracts developed featuring capital advanced
24        prior to a project's energization shall feature
25        provisions to ensure both the successful development
26        of applicant projects and the delivery of the

 

 

SB0025 Enrolled- 260 -LRB104 07069 BAB 17106 b

1        renewable energy credits for the full term of the
2        contract, including ongoing collateral requirements
3        and other provisions deemed necessary by the Agency,
4        and may include energization timelines longer than for
5        comparable project types. The percentage or amount of
6        capital advanced prior to project energization shall
7        not operate to increase the overall contract value,
8        however contracts executed under this subparagraph may
9        feature renewable energy credit prices higher than
10        those offered to similar projects participating in
11        other categories. Capital advanced prior to
12        energization shall serve to reduce the ratable
13        payments made after energization under items (ii) and
14        (iii) of subparagraph (L) or payments made for each
15        renewable energy credit delivery under item (iv) of
16        subparagraph (L).
17            For projects developed under this item (vi), the
18        Agency shall take steps to encourage higher portions
19        of contract value to be provided to equity eligible
20        contractors and to support equity eligible persons who
21        participate in this Program and who exercise control
22        and actively manage their businesses and their
23        businesses' contractual projects. These steps may
24        include, but are not limited to, differentiated REC
25        prices, exceptions or exemptions, and other mechanisms
26        and requirements for nonnominal contract value to be

 

 

SB0025 Enrolled- 261 -LRB104 07069 BAB 17106 b

1        provided to equity eligible contractors and equity
2        eligible persons as a prerequisite to Program
3        participation. Any steps taken shall aim to encourage
4        and grow the meaningful participation of equity
5        eligible contractors in this State's clean energy
6        economy. All entities participating under this item
7        (vi) shall comply with the minimum equity standard set
8        forth under Section 1-75.    
9            (vii) The remaining capacity shall be allocated by
10        the Agency in order to respond to market demand. The
11        Agency shall allocate any discretionary capacity prior
12        to the beginning of each delivery year.
13            (viii) The Agency, through its long-term renewable
14        resources procurement plan, may implement solutions to
15        maintain stable and consistent REC offerings allocated
16        to systems described in item (i) of this subparagraph
17        (K) to avoid gaps in availability during a delivery
18        year, including, but not limited to, creating a
19        floating block of REC capacity in a given delivery
20        year.    
21        To the extent there is uncontracted capacity from any
22    block in any of categories (i) through (vi) at the end of a
23    delivery year, the Agency shall redistribute that capacity
24    to one or more other categories giving priority to
25    categories with projects on a waitlist. The redistributed
26    capacity shall be added to the annual capacity in the

 

 

SB0025 Enrolled- 262 -LRB104 07069 BAB 17106 b

1    subsequent delivery year, and the price for renewable
2    energy credits shall be the price for the new delivery
3    year. Redistributed capacity shall not be considered
4    redistributed when determining whether the goals in this
5    subsection (K) have been met.
6        Notwithstanding anything to the contrary, as the
7    Agency increases the capacity in item (vi) to 40% over
8    time, the Agency may reduce the capacity of items (i)
9    through (v) proportionate to the capacity of the
10    categories of projects in item (vi), to achieve a balance
11    of project types.
12        The Adjustable Block program shall be designed to
13    ensure that renewable energy credits are procured from
14    projects in diverse locations and are not concentrated in
15    a few regional areas.
16        (L) Notwithstanding provisions for advancing capital
17    prior to project energization found in item (vi) of
18    subparagraph (K), the procurement of photovoltaic
19    renewable energy credits under items (i) through (vi) of
20    subparagraph (K) of this paragraph (1) shall otherwise be
21    subject to the following contract and payment terms:
22            (i) (Blank).
23            (ii) Unless otherwise provided for in the Agency's
24        approved long-term plan, for For those renewable
25        energy credits that qualify and are procured under
26        item (i) of subparagraph (K) of this paragraph (1),

 

 

SB0025 Enrolled- 263 -LRB104 07069 BAB 17106 b

1        and any similar category projects that are procured
2        under item (vi) of subparagraph (K) of this paragraph
3        (1) that qualify and are procured under item (vi), the
4        contract length shall be 15 years. Beginning on the
5        effective date of this amendatory Act of the 104th
6        General Assembly, and including the remainder of
7        program year 2026-2027, 50% of the renewable energy
8        credit delivery contract value, based on the estimated
9        generation during the first 15 years of operation,
10        shall be paid The renewable energy credit delivery
11        contract value shall be paid in full, based on the
12        estimated generation during the first 15 years of
13        operation, by the contracting utilities at the time
14        that the facility producing the renewable energy
15        credits is interconnected at the distribution system
16        level of the utility and verified as energized and
17        compliant by the Program Administrator. The remaining
18        portion of the renewable energy credit delivery
19        contract value shall be paid ratably over the
20        subsequent 6-year period. Relative to a contract
21        structure under which the full renewable energy credit
22        delivery contract value shall be paid in full at the
23        time of interconnection and verification of
24        energization, the Agency shall consider the impact of
25        deferred payments across the subsequent payment period
26        when establishing renewable energy credit prices. The

 

 

SB0025 Enrolled- 264 -LRB104 07069 BAB 17106 b

1        electric utility shall receive and retire all
2        renewable energy credits generated by the project for
3        the first 15 years of operation. Renewable energy
4        credits generated by the project thereafter shall not
5        be transferred under the renewable energy credit
6        delivery contract with the counterparty electric
7        utility.
8            (iii) Unless otherwise provided for in the
9        Agency's approved long-term plan, for For those
10        renewable energy credits that qualify and are procured
11        under item (ii) and (v) of subparagraph (K) of this
12        paragraph (1) and any like projects similar category    
13        that qualify and are procured under items (iv) and    
14        item (vi), the contract length shall be 15 years. 15%
15        of the renewable energy credit delivery contract
16        value, based on the estimated generation during the
17        first 15 years of operation, shall be paid by the
18        contracting utilities at the time that the facility
19        producing the renewable energy credits is
20        interconnected at the distribution system level of the
21        utility and verified as energized and compliant by the
22        Program Administrator. The remaining portion shall be
23        paid ratably over the subsequent 6-year period. The
24        electric utility shall receive and retire all
25        renewable energy credits generated by the project for
26        the first 15 years of operation. Renewable energy

 

 

SB0025 Enrolled- 265 -LRB104 07069 BAB 17106 b

1        credits generated by the project thereafter shall not
2        be transferred under the renewable energy credit
3        delivery contract with the counterparty electric
4        utility.
5            (iv) Unless otherwise provided for in the Agency's
6        approved long-term plan, for For those renewable
7        energy credits that qualify and are procured under
8        item items (iii) and (iv) of subparagraph (K) of this
9        paragraph (1), and any like projects that qualify and
10        are procured under items (iv) and item (vi), the
11        renewable energy credit delivery contract length shall
12        be 20 years and shall be paid over the delivery term,
13        not to exceed during each delivery year the contract
14        price multiplied by the estimated annual renewable
15        energy credit generation amount. If generation of
16        renewable energy credits during a delivery year
17        exceeds the estimated annual generation amount, the
18        excess renewable energy credits shall be carried
19        forward to future delivery years and shall not expire
20        during the delivery term. If generation of renewable
21        energy credits during a delivery year, including
22        carried forward excess renewable energy credits, if
23        any, is less than the estimated annual generation
24        amount, payments during such delivery year will not
25        exceed the quantity generated plus the quantity
26        carried forward multiplied by the contract price. The

 

 

SB0025 Enrolled- 266 -LRB104 07069 BAB 17106 b

1        electric utility shall receive all renewable energy
2        credits generated by the project during the first 20
3        years of operation and retire all renewable energy
4        credits paid for under this item (iv) and return at the
5        end of the delivery term all renewable energy credits
6        that were not paid for. Renewable energy credits
7        generated by the project thereafter shall not be
8        transferred under the renewable energy credit delivery
9        contract with the counterparty electric utility.
10        Notwithstanding the preceding, for those projects
11        participating under item (iii) of subparagraph (K),
12        the contract price for a delivery year shall be based
13        on subscription levels as measured on the higher of
14        the first business day of the delivery year or the
15        first business day 6 months after the first business
16        day of the delivery year. Subscription of 90% of
17        nameplate capacity or greater shall be deemed to be
18        fully subscribed for the purposes of this item (iv).
19        For projects receiving a 20-year delivery contract,
20        REC prices shall be adjusted downward for consistency
21        with the incentive levels previously determined to be
22        necessary to support projects under 15-year delivery
23        contracts, taking into consideration any additional
24        new requirements placed on the projects, including,
25        but not limited to, labor standards.
26            (v) Each contract shall include provisions to

 

 

SB0025 Enrolled- 267 -LRB104 07069 BAB 17106 b

1        ensure the delivery of the estimated quantity of
2        renewable energy credits and ongoing collateral
3        requirements and other provisions deemed appropriate
4        by the Agency.
5            (vi) The utility shall be the counterparty to the
6        contracts executed under this subparagraph (L) that
7        are approved by the Commission under the process
8        described in Section 16-111.5 of the Public Utilities
9        Act. No contract shall be executed for an amount that
10        is less than one renewable energy credit per year.
11            (vii) If, at any time, approved applications for
12        the Adjustable Block program exceed funds collected by
13        the electric utility or would cause the Agency to
14        exceed the limitation described in subparagraph (E) of
15        this paragraph (1) on the amount of renewable energy
16        resources that may be procured, then the Agency may
17        consider future uncommitted funds to be reserved for
18        these contracts on a first-come, first-served basis.
19            (viii) Nothing in this Section shall require the
20        utility to advance any payment or pay any amounts that
21        exceed the actual amount of revenues anticipated to be
22        collected by the utility under paragraph (6) of this
23        subsection (c) and subsection (k) of Section 16-108 of
24        the Public Utilities Act inclusive of eligible funds
25        collected in prior years and alternative compliance
26        payments for use by the utility.

 

 

SB0025 Enrolled- 268 -LRB104 07069 BAB 17106 b

1            (ix) Notwithstanding other requirements of this
2        subparagraph (L), no modification shall be required to
3        Adjustable Block program contracts if they were
4        already executed prior to the establishment, approval,
5        and implementation of new contract forms as a result
6        of this amendatory Act of the 102nd General Assembly.
7            (x) Contracts may be assignable, but only to
8        entities first deemed by the Agency to have met
9        program terms and requirements applicable to direct
10        program participation. In developing contracts for the
11        delivery of renewable energy credits, the Agency shall
12        be permitted to establish fees applicable to each
13        contract assignment.
14        (M) The Agency shall be authorized to retain one or
15    more experts or expert consulting firms to develop,
16    administer, implement, operate, and evaluate the
17    Adjustable Block program described in subparagraph (K) of
18    this paragraph (1), as well as the Geothermal Homes and
19    Businesses Program described in subparagraph (S) of this
20    paragraph (1), and the Agency shall retain the consultant
21    or consultants in the same manner, to the extent
22    practicable, as the Agency retains others to administer
23    provisions of this Act, including, but not limited to, the
24    procurement administrator. The selection of experts and
25    expert consulting firms and the procurement process
26    described in this subparagraph (M) are exempt from the

 

 

SB0025 Enrolled- 269 -LRB104 07069 BAB 17106 b

1    requirements of Section 20-10 of the Illinois Procurement
2    Code, under Section 20-10 of that Code. The Agency shall
3    strive to minimize administrative expenses in the
4    implementation of the Adjustable Block program.
5        The Program Administrator may charge application fees
6    to participating firms to cover the cost of program
7    administration. Any application fee amounts shall
8    initially be determined through the long-term renewable
9    resources procurement plan, and modifications to any
10    application fee that deviate more than 25% from the
11    Commission's approved value must be approved by the
12    Commission as a long-term plan revision under Section
13    16-111.5 of the Public Utilities Act. The Agency shall
14    consider stakeholder feedback when making adjustments to
15    application fees and shall notify stakeholders in advance
16    of any planned changes.
17        In addition to covering the costs of program
18    administration, the Agency, in conjunction with its
19    Program Administrator, may also use the proceeds of such
20    fees charged to participating firms to support public
21    education and ongoing regional and national coordination
22    with nonprofit organizations, public bodies, and others
23    engaged in the implementation of renewable energy
24    incentive programs or similar initiatives. This work may
25    include developing papers and reports, hosting regional
26    and national conferences, and other work deemed necessary

 

 

SB0025 Enrolled- 270 -LRB104 07069 BAB 17106 b

1    by the Agency to position the State of Illinois as a
2    national leader in renewable energy incentive program
3    development and administration.
4        The Agency and its consultant or consultants shall
5    monitor block activity, share program activity with
6    stakeholders and conduct quarterly meetings to discuss
7    program activity and market conditions. If necessary, the
8    Agency may make prospective administrative adjustments to
9    the Adjustable Block program and the Geothermal Homes and
10    Businesses Program design, such as making adjustments to
11    purchase prices as necessary to achieve the goals of this
12    subsection (c). Program modifications to any block price
13    that do not deviate from the Commission's approved value
14    by more than 10% shall take effect immediately and are not
15    subject to Commission review and approval. Program
16    modifications to any block price that deviate more than
17    10% from the Commission's approved value must be approved
18    by the Commission as a long-term plan amendment under
19    Section 16-111.5 of the Public Utilities Act. The Agency
20    shall consider stakeholder feedback when making
21    adjustments to the Adjustable Block and the Geothermal
22    Homes and Businesses Program design and shall notify
23    stakeholders in advance of any planned changes.
24        The Agency and its program administrators for both the
25    Adjustable Block program, and the Illinois Solar for All
26    Program, and the Geothermal Homes and Businesses Program    

 

 

SB0025 Enrolled- 271 -LRB104 07069 BAB 17106 b

1    consistent with the requirements of this subsection (c)
2    and subsection (b) of Section 1-56 of this Act, shall
3    propose the Adjustable Block program terms, conditions,
4    and requirements, including the prices to be paid for
5    renewable energy credits, where applicable, and
6    requirements applicable to participating entities and
7    project applications, through the development, review, and
8    approval of the Agency's long-term renewable resources
9    procurement plan described in this subsection (c) and
10    paragraph (5) of subsection (b) of Section 16-111.5 of the
11    Public Utilities Act. Terms, conditions, and requirements
12    for program participation shall include the following:
13            (i) The Agency shall establish a registration
14        process for entities seeking to qualify for
15        program-administered incentive funding and establish
16        baseline qualifications for vendor approval. The
17        Agency shall also establish program requirements and
18        minimum contract terms for vendors and others involved
19        in the marketing, sale, installation, and financing of
20        distributed generation systems and community solar
21        subscriptions to prevent misleading marketing and
22        abusive practices and to otherwise protect customers.    
23        The Agency must maintain a list of approved entities
24        on each program's website, and may revoke a vendor's
25        ability to receive program-administered incentive
26        funding status upon a determination that the vendor

 

 

SB0025 Enrolled- 272 -LRB104 07069 BAB 17106 b

1        failed to comply with contract terms, the law, or
2        other program requirements.
3            (ii) The Agency shall establish program
4        requirements and minimum contract terms to ensure
5        projects are properly installed and produce their
6        expected amounts of energy. Program requirements may
7        include on-site inspections and photo documentation of
8        projects under construction. The Agency may require
9        repairs, alterations, or additions to remedy any
10        material deficiencies discovered. Vendors who have a
11        disproportionately high number of deficient systems
12        may lose their eligibility to continue to receive
13        State-administered incentive funding through Agency
14        programs and procurements.
15            (iii) To discourage deceptive marketing or other
16        bad faith business practices, the Agency may require
17        direct program participants, including agents
18        operating on their behalf, to provide standardized
19        disclosures to a customer prior to that customer's
20        execution of a contract for the development of a
21        distributed generation system, or a subscription to a
22        community solar project, or the development of a
23        geothermal heating and cooling system.
24            (iv) The Agency shall establish one or multiple
25        Consumer Complaints Centers to accept complaints
26        regarding businesses that participate in, or otherwise

 

 

SB0025 Enrolled- 273 -LRB104 07069 BAB 17106 b

1        benefit from, State-administered incentive funding
2        through Agency-administered programs. The Agency shall
3        maintain a public database of complaints with any
4        confidential or particularly sensitive information
5        redacted from public entries.
6            (v) Through a filing in the proceeding for the
7        approval of its long-term renewable energy resources
8        procurement plan, the Agency shall provide an annual
9        written report to the Illinois Commerce Commission
10        documenting the frequency and nature of complaints and
11        any enforcement actions taken in response to those
12        complaints.
13            (vi) The Agency shall schedule regular meetings
14        with representatives of the Office of the Attorney
15        General, the Illinois Commerce Commission, consumer
16        protection groups, and other interested stakeholders
17        to share relevant information about consumer
18        protection, project compliance, and complaints
19        received.
20            (vii) To the extent that complaints received
21        implicate the jurisdiction of the Office of the
22        Attorney General, the Illinois Commerce Commission, or
23        local, State, or federal law enforcement, the Agency
24        shall also refer complaints to those entities as
25        appropriate.
26            (viii) The Agency may, at its discretion,

 

 

SB0025 Enrolled- 274 -LRB104 07069 BAB 17106 b

1        establish a registration process for entities, or a
2        subset of entities, that provide financing for
3        consumers for the purchase of distributed renewable
4        generation devices. The Agency may establish baseline
5        qualifications for financing entity approval,
6        including defining the circumstances under which
7        financing entities may be subject to registration. The
8        Agency may also establish program requirements for
9        entities that provide financing for the purchase of
10        distributed renewable generation devices, which may
11        include marketing and disclosure requirements, other
12        requirements as further defined by the Agency through
13        its long-term plan, and any consumer protection
14        requirements developed or modified thereto. If the
15        Agency establishes a registration process for
16        financing entities, the Agency may revoke a financing
17        entity's approval in a program upon a determination
18        that the financing entity failed to comply with
19        contract terms, the law, or other program
20        requirements. The Agency may also establish program
21        requirements that prohibit distributed renewable
22        generation devices intending to apply for
23        program-administered incentive funding from receiving
24        program funding if the consumer's purchase of the
25        device was financed by an entity whose approval status
26        in the program has been revoked. These registration

 

 

SB0025 Enrolled- 275 -LRB104 07069 BAB 17106 b

1        requirements may apply to entities that finance
2        projects intended to apply for program-administered
3        incentive funding even if those entities do not
4        receive any portion of the program-administered
5        incentive funding.
6            (ix) The Agency, at its discretion, may require
7        that vendors, as part of the application and annual
8        recertification process, present the Agency or its
9        designee with a security bond equal to an amount
10        determined to be reasonable by the Agency. The bond
11        shall be for the benefit of customers harmed by the
12        vendor's violation of Agency requirements or other
13        applicable laws or regulations. The Agency may
14        determine that it is reasonable to have no bond
15        requirement for some categories of vendors or enhanced
16        bond requirements for vendors that the Agency has
17        deemed to pose more acute risks.
18            (x) For distributed renewable generation devices,
19        the Agency may, in its discretion, establish
20        provisions that restrict, prohibit, or create
21        additional requirements for distributed renewable
22        generation device sales or financing offers through
23        which the customer is promised the pass-through of a
24        portion or all of the payments received by the
25        approved vendor for the delivery of renewable energy
26        credits only after the receipt of such payment by the

 

 

SB0025 Enrolled- 276 -LRB104 07069 BAB 17106 b

1        approved vendor. The requirements may include the use
2        of an escrow process developed by the Agency through
3        which renewable energy credit payments are made to an
4        escrow agent who then disburses the promised amount to
5        the customer and the remainder to the vendor. The
6        requirements in this item (x) shall in no way prohibit
7        the upfront discounting of the purchase price, lease
8        payment, or power purchase agreement rate based on the
9        anticipated receipt of renewable energy credit
10        contract payments by the approved vendor.
11            (xi) To the extent that distributed renewable
12        generation device sales or financing offers through
13        which the customer is promised the pass-through of a
14        portion or all of the payments received by the vendor
15        for the delivery of renewable energy credits after the
16        receipt of such payment by the vendor are permitted,
17        the following requirements may be implemented, at the
18        Agency's discretion, in a time and manner determined
19        by the Agency:
20                (I) the vendor shall submit proof of customer
21            payments to the Agency as the Agency deems
22            necessary; and
23                (II) the vendor shall represent and warrant on
24            a form developed by the Agency that the vendor is
25            not insolvent, has not voluntarily filed for
26            bankruptcy, and has not been subject to or

 

 

SB0025 Enrolled- 277 -LRB104 07069 BAB 17106 b

1            threatened with involuntary insolvency.
2            (xii) To ensure that customers receive full and
3        uninterrupted benefits and services promised by
4        vendors, the Agency may propose additional solutions
5        through its long-term renewable resources procurement
6        plan described in this subsection (c) and paragraph
7        (5) of subsection (b) of Section 16-111.5 of the
8        Public Utilities Act. The solutions may allow for
9        collections made pursuant to subsection (k) of Section
10        16-108 of the Public Utilities Act to support the
11        programs and procurements outlined in paragraph (1) of
12        subsection (c) of this Section to be leveraged to (1)
13        ensure that a vendor's promised payments are received
14        by customers, (2) incentivize vendors to establish
15        service agreements with customers whose original
16        vendor has become nonresponsive, (3) ensure that
17        customers receive restitution for financial harm
18        proven to be caused by a program vendor or its
19        designee, or (4) otherwise ensure that customers do
20        not suffer loss or harm through activities supported
21        by the Adjustable Block program and the Illinois Solar
22        for All Program.    
23        (N) The Agency shall establish the terms, conditions,
24    and program requirements for photovoltaic community
25    renewable generation projects with a goal to expand access
26    to a broader group of energy consumers, to ensure robust

 

 

SB0025 Enrolled- 278 -LRB104 07069 BAB 17106 b

1    participation opportunities for residential and small
2    commercial customers and those who cannot install
3    renewable energy on their own properties. Subject to
4    reasonable limitations, any plan approved by the
5    Commission shall allow subscriptions to community
6    renewable generation projects to be portable and
7    transferable. For purposes of this subparagraph (N),
8    "portable" means that subscriptions may be retained by the
9    subscriber even if the subscriber relocates or changes its
10    address within the same utility service territory; and
11    "transferable" means that a subscriber may assign or sell
12    subscriptions to another person within the same utility
13    service territory.
14        Through the development of its long-term renewable
15    resources procurement plan, the Agency may consider
16    whether community renewable generation projects utilizing
17    technologies other than photovoltaics should be supported
18    through State-administered incentive funding, and may
19    issue requests for information to gauge market demand.
20        Electric utilities shall provide a monetary credit to
21    a subscriber's subsequent bill for service for the
22    proportional output of a community renewable generation
23    project attributable to that subscriber as specified in
24    Section 16-107.5 of the Public Utilities Act.
25        The Agency shall purchase renewable energy credits
26    from subscribed shares of photovoltaic community renewable

 

 

SB0025 Enrolled- 279 -LRB104 07069 BAB 17106 b

1    generation projects through the Adjustable Block program
2    described in subparagraph (K) of this paragraph (1) or
3    through the Illinois Solar for All Program described in
4    Section 1-56 of this Act. The electric utility shall
5    purchase any unsubscribed energy from community renewable
6    generation projects that are Qualifying Facilities ("QF")
7    under the electric utility's tariff for purchasing the
8    output from QFs under Public Utilities Regulatory Policies
9    Act of 1978.
10        The owners of and any subscribers to a community
11    renewable generation project shall not be considered
12    public utilities or alternative retail electricity
13    suppliers under the Public Utilities Act solely as a
14    result of their interest in or subscription to a community
15    renewable generation project and shall not be required to
16    become an alternative retail electric supplier by
17    participating in a community renewable generation project
18    with a public utility.
19        (O) For the delivery year beginning June 1, 2018, the
20    long-term renewable resources procurement plan required by
21    this subsection (c) shall provide for the Agency to
22    procure contracts to continue offering the Illinois Solar
23    for All Program described in subsection (b) of Section
24    1-56 of this Act, and the contracts approved by the
25    Commission shall be executed by the utilities that are
26    subject to this subsection (c). The long-term renewable

 

 

SB0025 Enrolled- 280 -LRB104 07069 BAB 17106 b

1    resources procurement plan shall allocate up to
2    $50,000,000 per delivery year to fund the programs, and
3    the plan shall determine the amount of funding to be
4    apportioned to the programs identified in subsection (b)
5    of Section 1-56 of this Act; provided that for the
6    delivery years beginning June 1, 2021, June 1, 2022, and
7    June 1, 2023, the long-term renewable resources
8    procurement plan may average the annual budgets over a
9    3-year period to account for program ramp-up. For the
10    delivery years beginning June 1, 2021, June 1, 2024, June
11    1, 2027, and June 1, 2030 and additional $10,000,000 shall
12    be provided to the Department of Commerce and Economic
13    Opportunity to implement the workforce development
14    programs and reporting as outlined in Section 16-108.12 of
15    the Public Utilities Act. In making the determinations
16    required under this subparagraph (O), the Commission shall
17    consider the experience and performance under the programs
18    and any evaluation reports. The Commission shall also
19    provide for an independent evaluation of those programs on
20    a periodic basis that are funded under this subparagraph
21    (O).
22        (P) All programs and procurements under this
23    subsection (c) shall be designed to encourage
24    participating projects to use a diverse and equitable
25    workforce and a diverse set of contractors, including
26    minority-owned businesses, disadvantaged businesses,

 

 

SB0025 Enrolled- 281 -LRB104 07069 BAB 17106 b

1    trade unions, graduates of any workforce training programs
2    administered under this Act, and small businesses.
3        The Agency shall develop a method to optimize
4    procurement of renewable energy credits from proposed
5    utility-scale projects that are located in communities
6    eligible to receive Energy Transition Community Grants
7    pursuant to Section 10-20 of the Energy Community
8    Reinvestment Act. If this requirement conflicts with other
9    provisions of law or the Agency determines that full
10    compliance with the requirements of this subparagraph (P)
11    would be unreasonably costly or administratively
12    impractical, the Agency is to propose alternative
13    approaches to achieve development of renewable energy
14    resources in communities eligible to receive Energy
15    Transition Community Grants pursuant to Section 10-20 of
16    the Energy Community Reinvestment Act or seek an exemption
17    from this requirement from the Commission.
18        (Q) Each facility listed in subitems (i) through (ix)
19    of item (1) of this subparagraph (Q) for which a renewable
20    energy credit delivery contract is signed after the
21    effective date of this amendatory Act of the 102nd General
22    Assembly is subject to the following requirements through
23    the Agency's long-term renewable resources procurement
24    plan:
25            (1) Each facility shall be subject to the
26        prevailing wage requirements included in the

 

 

SB0025 Enrolled- 282 -LRB104 07069 BAB 17106 b

1        Prevailing Wage Act. The Agency shall require
2        verification that all construction performed on the
3        facility by the renewable energy credit delivery
4        contract holder, its contractors, or its
5        subcontractors relating to construction of the
6        facility is performed by construction employees
7        receiving an amount for that work equal to or greater
8        than the general prevailing rate, as that term is
9        defined in Section 2 3 of the Prevailing Wage Act. For
10        purposes of this item (1), "house of worship" means
11        property that is both (1) used exclusively by a
12        religious society or body of persons as a place for
13        religious exercise or religious worship and (2)
14        recognized as exempt from taxation pursuant to Section
15        15-40 of the Property Tax Code. This item (1) shall
16        apply to any of the following:
17                (i) all new utility-scale wind projects;
18                (ii) all new utility-scale photovoltaic
19            projects and repowered wind projects;
20                (iii) all new brownfield photovoltaic
21            projects;
22                (iv) all new photovoltaic community renewable
23            energy facilities that qualify for item (iii) of
24            subparagraph (K) of this paragraph (1);
25                (v) all new community driven community
26            photovoltaic projects that qualify for item (v) of

 

 

SB0025 Enrolled- 283 -LRB104 07069 BAB 17106 b

1            subparagraph (K) of this paragraph (1);
2                (vi) all new photovoltaic projects on public
3            school land that qualify for item (iv) of
4            subparagraph (K) of this paragraph (1);
5                (vii) all new photovoltaic distributed
6            renewable energy generation devices that (1)
7            qualify for item (i) of subparagraph (K) of this
8            paragraph (1); (2) are not projects that serve
9            single-family or multi-family residential
10            buildings; and (3) are not houses of worship where
11            the aggregate capacity including colocated    
12            collocated projects would not exceed 100
13            kilowatts;
14                (viii) all new photovoltaic distributed
15            renewable energy generation devices that (1)
16            qualify for item (ii) of subparagraph (K) of this
17            paragraph (1); (2) are not projects that serve
18            single-family or multi-family residential
19            buildings; and (3) are not houses of worship where
20            the aggregate capacity including colocated    
21            collocated projects would not exceed 100
22            kilowatts;
23                (ix) all new, modernized, or retooled
24            hydropower facilities;
25                (x) all new geothermal heating and cooling
26            systems awarded through the Geothermal Homes and

 

 

SB0025 Enrolled- 284 -LRB104 07069 BAB 17106 b

1            Businesses Program under subparagraph (S) of this
2            paragraph (1) that do not serve (1) single-family
3            residential buildings, (2) multi-family
4            residential buildings with aggregate geothermal
5            system tonnage, including colocated projects, of
6            no more than 29 tons, or (3) houses of worship with
7            aggregate geothermal system tonnage, including
8            colocated projects, of no more than 29 tons.
9            (2) Renewable energy credits procured from new
10        utility-scale wind projects, new utility-scale solar
11        projects, new brownfield solar projects, repowered
12        wind projects, and retooled hydropower facilities
13        pursuant to Agency procurement events occurring after
14        the effective date of this amendatory Act of the 102nd
15        General Assembly and photovoltaic community renewable
16        generation projects where the aggregate capacity,
17        including colocated projects, exceeds 3,000 kilowatts
18        pursuant to a renewable energy credit delivery
19        contract approved by the Illinois Commerce Commission
20        under the Adjustable Block Program after the effective
21        date of this amendatory Act of the 104th General
22        Assembly must be from facilities built by general
23        contractors that must enter into a project labor
24        agreement, as defined by this Act, prior to
25        construction. Photovoltaic community renewable
26        generation projects on a program waitlist as of the

 

 

SB0025 Enrolled- 285 -LRB104 07069 BAB 17106 b

1        effective date of this amendatory Act of the 104th
2        General Assembly awarded capacity for the program year
3        commencing June 1, 2026 or any program year thereafter
4        shall not be exempt from the project labor agreement
5        requirements of this item (2). The project labor
6        agreement shall be filed with the Director in
7        accordance with procedures established by the Agency
8        through its long-term renewable resources procurement
9        plan. Any information submitted to the Agency in this
10        item (2) shall be considered commercially sensitive
11        information. At a minimum, the project labor agreement
12        must provide the names, addresses, and occupations of
13        the owner of the plant and the individuals
14        representing the labor organization employees
15        participating in the project labor agreement
16        consistent with the Project Labor Agreements Act. The
17        agreement must also specify the terms and conditions
18        as defined by this Act.
19            (2.5) Energy storage credits procured from battery
20        storage projects pursuant to Agency procurement events
21        and additional energy storage resources procured in
22        accordance with subparagraph (B) of paragraph (3) of
23        subsection (d-20) of this Section pursuant to Agency
24        procurement events occurring after the effective date
25        of this amendatory Act of the 104th General Assembly
26        must be from facilities built by general contractors

 

 

SB0025 Enrolled- 286 -LRB104 07069 BAB 17106 b

1        that must enter into a project labor agreement prior
2        to construction. The project labor agreement shall be
3        filed with the Director in accordance with procedures
4        established by the Agency through its long-term
5        renewable resources procurement plan. Any information
6        submitted to the Agency pursuant to this item (2.5)
7        shall be considered commercially sensitive
8        information. At a minimum, the project labor agreement
9        must provide the names, addresses, and occupations of
10        the owner of the plant and the individuals
11        representing the labor organization employees
12        participating in the project labor agreement
13        consistent with the Project Labor Agreements Act. The
14        agreement must also specify the terms and conditions,
15        as defined by this Act.    
16            (3) It is the intent of this Section to ensure that
17        economic development occurs across Illinois
18        communities, that emerging businesses may grow, and
19        that there is improved access to the clean energy
20        economy by persons who have greater economic burdens
21        to success. The Agency shall take into consideration
22        the unique cost of compliance of this subparagraph (Q)
23        that might be borne by equity eligible contractors,
24        shall include such costs when determining the price of
25        renewable energy credits in the Adjustable Block
26        program and the Geothermal Homes and Businesses

 

 

SB0025 Enrolled- 287 -LRB104 07069 BAB 17106 b

1        Program, and shall take such costs into consideration
2        in a nondiscriminatory manner when comparing bids for
3        competitive procurements. The Agency shall consider
4        costs associated with compliance whether in the
5        development, financing, or construction of projects.
6        The Agency shall periodically review the assumptions
7        in these costs and may adjust prices, in compliance
8        with subparagraph (M) of this paragraph (1).
9        (R) In its long-term renewable resources procurement
10    plan, the Agency shall establish a self-direct renewable
11    portfolio standard compliance program for eligible
12    self-direct customers that purchase renewable energy
13    credits from utility-scale wind and solar projects through
14    long-term agreements for purchase of renewable energy
15    credits as described in this Section. Such long-term
16    agreements may include the purchase of energy or other
17    products on a physical or financial basis and may involve
18    an alternative retail electric supplier as defined in
19    Section 16-102 of the Public Utilities Act. This program
20    shall take effect in the delivery year commencing June 1,
21    2023.
22            (1) For the purposes of this subparagraph:
23            "Eligible self-direct customer" means any retail
24        customers of an electric utility that serves 3,000,000
25        or more retail customers in the State and whose total
26        highest 30-minute demand was more than 10,000

 

 

SB0025 Enrolled- 288 -LRB104 07069 BAB 17106 b

1        kilowatts, or any retail customers of an electric
2        utility that serves less than 3,000,000 retail
3        customers but more than 500,000 retail customers in
4        the State and whose total highest 15-minute demand was
5        more than 10,000 kilowatts.
6            "Retail customer" has the meaning set forth in
7        Section 16-102 of the Public Utilities Act and
8        multiple retail customer accounts under the same
9        corporate parent may aggregate their account demands
10        to meet the 10,000 kilowatt threshold. The criteria
11        for determining whether this subparagraph is
12        applicable to a retail customer shall be based on the
13        12 consecutive billing periods prior to the start of
14        the year in which the application is filed.
15            (2) For renewable energy credits to count toward
16        the self-direct renewable portfolio standard
17        compliance program, they must:
18                (i) qualify as renewable energy credits as
19            defined in Section 1-10 of this Act;
20                (ii) be sourced from one or more renewable
21            energy generating facilities that comply with the
22            geographic requirements as set forth in
23            subparagraph (I) of paragraph (1) of subsection
24            (c) as interpreted through the Agency's long-term
25            renewable resources procurement plan, or, where
26            applicable, the geographic requirements that

 

 

SB0025 Enrolled- 289 -LRB104 07069 BAB 17106 b

1            governed utility-scale renewable energy credits at
2            the time the eligible self-direct customer entered
3            into the applicable renewable energy credit
4            purchase agreement;
5                (iii) be procured through long-term contracts
6            with term lengths of at least 10 years either
7            directly with the renewable energy generating
8            facility or through a bundled power purchase
9            agreement, a virtual power purchase agreement, an
10            agreement between the renewable generating
11            facility, an alternative retail electric supplier,
12            and the customer, or such other structure as is
13            permissible under this subparagraph (R);
14                (iv) be equivalent in volume to at least 40%
15            of the eligible self-direct customer's usage,
16            determined annually by the eligible self-direct
17            customer's usage during the previous delivery
18            year, measured to the nearest megawatt-hour;
19                (v) be retired by or on behalf of the large
20            energy customer;
21                (vi) be sourced from new utility-scale wind
22            projects or new utility-scale solar projects; and
23                (vii) if the contracts for renewable energy
24            credits are entered into after the effective date
25            of this amendatory Act of the 102nd General
26            Assembly, the new utility-scale wind projects or

 

 

SB0025 Enrolled- 290 -LRB104 07069 BAB 17106 b

1            new utility-scale solar projects must comply with
2            the requirements established in subparagraphs (P)
3            and (Q) of paragraph (1) of this subsection (c)
4            and subsection (c-10).
5            (3) The self-direct renewable portfolio standard
6        compliance program shall be designed to allow eligible
7        self-direct customers to procure new renewable energy
8        credits from new utility-scale wind projects or new
9        utility-scale photovoltaic projects. The Agency shall
10        annually determine the amount of utility-scale
11        renewable energy credits it will include each year
12        from the self-direct renewable portfolio standard
13        compliance program, subject to receiving qualifying
14        applications. In making this determination, the Agency
15        shall evaluate publicly available analyses and studies
16        of the potential market size for utility-scale
17        renewable energy long-term purchase agreements by
18        commercial and industrial energy customers and make
19        that report publicly available. If demand for
20        participation in the self-direct renewable portfolio
21        standard compliance program exceeds availability, the
22        Agency shall ensure participation is evenly split
23        between commercial and industrial users to the extent
24        there is sufficient demand from both customer classes.
25        Each renewable energy credit procured pursuant to this
26        subparagraph (R) by a self-direct customer shall

 

 

SB0025 Enrolled- 291 -LRB104 07069 BAB 17106 b

1        reduce the total volume of renewable energy credits
2        the Agency is otherwise required to procure from new
3        utility-scale projects pursuant to subparagraph (C) of
4        paragraph (1) of this subsection (c) on behalf of
5        contracting utilities where the eligible self-direct
6        customer is located. The self-direct customer shall
7        file an annual compliance report with the Agency
8        pursuant to terms established by the Agency through
9        its long-term renewable resources procurement plan to
10        be eligible for participation in this program.
11        Customers must provide the Agency with their most
12        recent electricity billing statements or other
13        information deemed necessary by the Agency to
14        demonstrate they are an eligible self-direct customer.
15            (4) The Commission shall approve a reduction in
16        the volumetric charges collected pursuant to Section
17        16-108 of the Public Utilities Act for approved
18        eligible self-direct customers equivalent to the
19        anticipated cost of renewable energy credit deliveries
20        under contracts for new utility-scale wind and new
21        utility-scale solar entered for each delivery year
22        after the large energy customer begins retiring
23        eligible new utility-scale utility scale renewable
24        energy credits for self-compliance. The self-direct
25        credit amount shall be determined annually and is
26        equal to the estimated portion of the cost authorized

 

 

SB0025 Enrolled- 292 -LRB104 07069 BAB 17106 b

1        by subparagraph (E) of paragraph (1) of this
2        subsection (c) that supported the annual procurement
3        of utility-scale renewable energy credits in the prior
4        delivery year using a methodology described in the
5        long-term renewable resources procurement plan,
6        expressed on a per kilowatthour basis, and does not
7        include (i) costs associated with any contracts
8        entered into before the delivery year in which the
9        customer files the initial compliance report to be
10        eligible for participation in the self-direct program,
11        and (ii) costs associated with procuring renewable
12        energy credits through existing and future contracts
13        through the Adjustable Block Program, subsection (c-5)
14        of this Section 1-75, and the Solar for All Program.
15        The Agency shall assist the Commission in determining
16        the current and future costs. The Agency must
17        determine the self-direct credit amount for new and
18        existing eligible self-direct customers and submit
19        this to the Commission in an annual compliance filing.
20        The Commission must approve the self-direct credit
21        amount by June 1, 2023 and June 1 of each delivery year
22        thereafter.
23            (5) Customers described in this subparagraph (R)
24        shall apply, on a form developed by the Agency, to the
25        Agency to be designated as a self-direct eligible
26        customer. Once the Agency determines that a

 

 

SB0025 Enrolled- 293 -LRB104 07069 BAB 17106 b

1        self-direct customer is eligible for participation in
2        the program, the self-direct customer will remain
3        eligible until the end of the term of the contract.
4        Thereafter, application may be made not less than 12
5        months before the filing date of the long-term
6        renewable resources procurement plan described in this
7        Act. At a minimum, such application shall contain the
8        following:
9                (i) the customer's certification that, at the
10            time of the customer's application, the customer
11            qualifies to be a self-direct eligible customer,
12            including documents demonstrating that
13            qualification;
14                (ii) the customer's certification that the
15            customer has entered into or will enter into by
16            the beginning of the applicable procurement year,
17            one or more bilateral contracts for new wind
18            projects or new photovoltaic projects, including
19            supporting documentation;
20                (iii) certification that the contract or
21            contracts for new renewable energy resources are
22            long-term contracts with term lengths of at least
23            10 years, including supporting documentation;
24                (iv) certification of the quantities of
25            renewable energy credits that the customer will
26            purchase each year under such contract or

 

 

SB0025 Enrolled- 294 -LRB104 07069 BAB 17106 b

1            contracts, including supporting documentation;
2                (v) proof that the contract is sufficient to
3            produce renewable energy credits to be equivalent
4            in volume to at least 40% of the large energy
5            customer's usage from the previous delivery year,
6            measured to the nearest megawatt-hour; and
7                (vi) certification that the customer intends
8            to maintain the contract for the duration of the
9            length of the contract.
10            (6) If a customer receives the self-direct credit
11        but fails to properly procure and retire renewable
12        energy credits as required under this subparagraph
13        (R), the Commission, on petition from the Agency and
14        after notice and hearing, may direct such customer's
15        utility to recover the cost of the wrongfully received
16        self-direct credits plus interest through an adder to
17        charges assessed pursuant to Section 16-108 of the
18        Public Utilities Act. Self-direct customers who
19        knowingly fail to properly procure and retire
20        renewable energy credits and do not notify the Agency
21        are ineligible for continued participation in the
22        self-direct renewable portfolio standard compliance
23        program.
24        (S) Beginning with the long-term renewable resources
25    procurement plan covering program and procurement activity
26    for the delivery year beginning on June 1, 2028, any

 

 

SB0025 Enrolled- 295 -LRB104 07069 BAB 17106 b

1    long-term renewable resources procurement plan developed
2    by the Agency in accordance with subparagraph (A) of this
3    paragraph (1) shall include a Geothermal Homes and
4    Businesses Program for the procurement of geothermal
5    renewable energy credits from new geothermal heating and
6    cooling systems. The long-term renewable resources
7    procurement plan shall allocate up to $10,000,000 per
8    delivery year to fund the Program as described in this
9    subparagraph (S). The Program shall be designed to
10    stimulate the steady, predictable, and sustainable growth
11    of new geothermal heating and cooling system deployment in
12    this State and meet gaps in the marketplace. To this end,
13    the Geothermal Homes and Businesses Program shall provide
14    a transparent annual schedule of prices and quantities to
15    enable the geothermal heating and cooling market to scale
16    up and renewable energy credit prices to adjust at a
17    predictable rate over time. The prices set by the
18    Geothermal Homes and Businesses Program may be reflected
19    as a set value or as the product of a formula.
20                (i) The Geothermal Homes and Businesses Program
21        shall allocate blocks of renewable energy credits as
22        follows:
23                (1) The Agency may create categories for the
24            Program based on structure features and use cases,
25            including categories based on the nature and size
26            of the Program's projects, customers, communities

 

 

SB0025 Enrolled- 296 -LRB104 07069 BAB 17106 b

1            in which a project is located, and other
2            attributes, defined at the discretion of the
3            Agency through its long-term plan.    
4                (2) The Agency shall propose an initial single
5            annual block for each Program delivery year for
6            each category it creates through the delivery year
7            beginning on June 1, 2035. The Program shall
8            include the following for eligible projects for
9            each delivery year: (I) a block of geothermal
10            renewable energy credit volumes; (II) a price for
11            renewable energy credits from geothermal heating
12            and cooling systems within the identified block;
13            and (III) the terms and conditions for securing a
14            spot on a waitlist once the block is fully
15            committed or reserved. The Agency may periodically
16            review its prior decisions establishing the amount
17            of geothermal renewable energy credit volumes in
18            each annual block and the purchase price for each
19            block and may propose, on an expedited basis,
20            changes to the previously set values, including,
21            but not limited to, redistributing the amounts and
22            the available funds as necessary and appropriate,
23            subject to Commission approval. The Agency may
24            define different block sizes, purchase prices, or
25            other distinct terms and conditions for projects
26            located in different utility service territories

 

 

SB0025 Enrolled- 297 -LRB104 07069 BAB 17106 b

1            if the Agency deems it necessary.
2                (3) The Agency may develop an intra-year and
3            year-to-year waitlist and block reservation policy
4            that balances market certainty, program
5            availability, and expedient project deployment.
6                (4) For the program year beginning on June 1,
7            2028, at least 33% of each annual block shall be
8            available to be reserved for systems that are
9            residential, as defined by the Agency. The Agency
10            shall endeavor to ensure at least 40% of each
11            annual block is available to be reserved by
12            systems located in Equity Investment Eligible
13            Communities. At least 10% of all annual blocks
14            shall be available to be reserved by systems from
15            applicants that are equity eligible contractors,
16            and the Agency shall propose to increase the
17            percentage of systems from applicants that are
18            equity eligible contractors over time to 40% based
19            on factors that include, but are not limited to,
20            the number of equity eligible contractors and the
21            volume used under this clause (4) in previous
22            delivery years. For long-term renewable resources
23            procurement plans developed thereafter, the Agency
24            may propose adjustments to the minimum percentages
25            based on developer interest, market interest and
26            availability, and other factors.

 

 

SB0025 Enrolled- 298 -LRB104 07069 BAB 17106 b

1                (5) The Agency shall establish Program
2            eligibility requirements that ensure that systems
3            that enter the Program are sufficiently mature
4            enough to indicate a demonstrable path to
5            completion and other terms, conditions, and
6            requirements for the program, including vendor
7            registration and approval, sales and marketing
8            requirements, and other consumer protection
9            requirements as the Agency deems necessary.
10                (6) The Program shall be designed to ensure
11            that geothermal renewable energy credits are
12            procured from projects in diverse locations and
13            are not procured from projects that are
14            concentrated in a few regional areas.
15                (7) The Agency, through its long-term
16            renewable resources procurement plan, may
17            implement solutions to maintain stable and
18            consistent REC offerings to avoid gaps in
19            availability during a delivery year, including,
20            but not limited to, creating a floating block of
21            REC capacity in a given delivery year.
22            (ii) Energy derived from a geothermal heating and
23        cooling system shall be eligible for inclusion in
24        meeting the requirements of the Program. Geothermal
25        renewable energy credits shall be expressed in
26        megawatt-hour units. To make this calculation, the

 

 

SB0025 Enrolled- 299 -LRB104 07069 BAB 17106 b

1        Agency (1) shall identify an appropriate formula
2        supported by a geothermal industry trade organization,
3        a national laboratory, or another data-backed and
4        verifiable methodology, (2) may propose adjustments to
5        any formulas for its proposed renewable energy credit
6        calculation methodology, and (3) may reflect
7        calculation methodologies already in use for other
8        State renewable portfolio standards, if applicable and
9        appropriate. The Agency shall determine the form and
10        manner in which the renewable energy credits are
11        verified and retired, in accordance with national best
12        practices.
13            Geothermal renewable energy credits retired by
14        obligated utilities for compliance with the Program
15        are only valid for compliance if those geothermal
16        renewable energy credits have not been previously
17        retired by another entity that is not the obligated
18        utility on any tracking system, carbon registry, or
19        other accounting mechanism at any time. Additionally,
20        geothermal renewable energy credits retired by
21        obligated utilities for compliance with the Program
22        shall only be valid for compliance if those geothermal
23        renewable energy credits have not been used to
24        substantiate a public emissions or energy usage claim
25        by any other another entity that is not the obligated
26        utility, of any type and at any time, whether or not

 

 

SB0025 Enrolled- 300 -LRB104 07069 BAB 17106 b

1        the geothermal renewable energy credits were actually
2        retired on a tracking system, registry, or other
3        accounting mechanism at the time of the public
4        emissions-based claim. Geothermal renewable energy
5        credits generated for compliance with the Program
6        shall be valid only if retired once, and claimed once,
7        by the obligated utility.
8            In order to promote the competitive development of
9        geothermal heating and cooling systems in furtherance
10        of this State's interest in the health, safety, and
11        welfare of its residents, renewable energy credits
12        from geothermal heating and cooling systems shall not
13        be eligible for purchase and retirement under this Act
14        if the credits are sourced from a geothermal heating
15        and cooling system for which costs are being recovered
16        on or after the effective date of this amendatory Act
17        of the 104th General Assembly through rates regulated
18        by this State or any other state.
19            (iii) The Agency shall establish Program
20        requirements and minimum contract terms to ensure that
21        projects are properly installed and that projects
22        operate to the level of expected benefits. The
23        contract terms shall include, but are not limited to,
24        the following:
25                (1) The capital that is not advanced shall be
26            disbursed upon a schedule determined by the

 

 

SB0025 Enrolled- 301 -LRB104 07069 BAB 17106 b

1            Agency, based on the total contracted fulfillment
2            over the delivery term, not to exceed, during each
3            delivery year, the contract price multiplied by
4            the estimated annual renewable energy credit
5            generation amount. Payment structures shall
6            include provisions that provide portions of the
7            renewable energy credit delivery contract value
8            upon energization, including no less than 40% of
9            the contract value for residential projects, based
10            on the estimated renewable energy credit
11            production during the contract term.
12                (2) For renewable energy credits that qualify
13            and are procured under the Program, the delivery
14            contract length shall be 15 years.
15                (3) For contracts that are paid upon the
16            delivery of renewable energy credits, if
17            generation of renewable energy credits from
18            geothermal heating and cooling systems during a
19            delivery year exceeds the estimated annual
20            generation amount, the excess of such renewable
21            energy credits shall be carried forward to future
22            delivery years and shall not expire during the
23            delivery term. If the renewable energy credit
24            generation during a delivery year, including any
25            carried forward excess renewable energy credits,
26            is less than the estimated annual generation

 

 

SB0025 Enrolled- 302 -LRB104 07069 BAB 17106 b

1            amount, payments during the delivery year shall
2            not exceed the quantity generated plus the
3            quantity carried forward multiplied by the
4            contract price. The electric utility shall receive
5            all renewable energy credits generated by the
6            project during the first 15 years of operation,
7            and retire all renewable energy credits paid for
8            under this clause (3) and return at the end of the
9            delivery term all geothermal renewable energy
10            credits that were not paid for. Renewable energy
11            credits generated by the project thereafter shall
12            not be transferred under the renewable energy
13            credit delivery contract with the counterparty
14            electric utility.
15                (4) For renewable energy contracts for any
16            type of community, shared, or similar geothermal
17            heating and cooling system that operates using a
18            subscription model and for which subscriptions are
19            a basis for contractual payments, subscription of
20            90% of total renewable energy credit volumes or
21            greater shall be deemed to be fully subscribed.
22                (5) Beginning with the long-term renewable
23            resources procurement plan covering the delivery
24            year beginning on June 1, 2030, the Agency may
25            propose a payment structure for Program contracts
26            upon a demonstration of qualification or need

 

 

SB0025 Enrolled- 303 -LRB104 07069 BAB 17106 b

1            under criteria established by the Agency that is
2            focused on supporting the small and emerging
3            businesses and the businesses that most acutely
4            face barriers to capital access. Successful
5            applicant firms shall have advanced capital
6            disbursed before renewable energy credits are
7            first generated. The maximum amount or percentage
8            of capital advanced shall be included in the
9            long-term renewable resources procurement plan,
10            and any amount actually advanced shall be designed
11            to overcome the barriers in access to capital that
12            are faced by an applicant through that applicant's
13            demonstration of need. The amount or percentage of
14            advanced capital may vary by year, or inter-year,
15            by structure category, block, and other factors as
16            deemed applicable by the Agency and by an
17            applicant's demonstration of need. Contracts
18            featuring capital advanced prior to system
19            operation shall feature provisions to ensure both
20            the successful development of applicant projects
21            and the delivery of renewable energy credits for
22            the full term of the contract, including ongoing
23            collateral requirements and other provisions
24            deemed necessary by the Agency. The percentage or
25            amount of capital advanced prior to system
26            operation shall not increase the overall contract

 

 

SB0025 Enrolled- 304 -LRB104 07069 BAB 17106 b

1            value.
2                (6) Each contract shall include provisions to
3            ensure the delivery of the estimated quantity of
4            geothermal renewable energy credits, including a
5            requirement of performance assurance in an amount
6            deemed appropriate by the Agency.
7                (7) An obligated utility shall be the
8            counterparty to the contracts executed under this
9            subparagraph (S) that are approved by the
10            Commission. No contract shall be executed for an
11            amount that is less than one geothermal renewable
12            energy credit per year.
13                (8) Nothing in this subparagraph (S) shall
14            require the utility to advance any payment or pay
15            any amounts that exceed the actual amount of
16            revenues anticipated to be collected by the
17            utility inclusive of eligible funds collected in
18            prior years and alternative compliance payments
19            for use by the utility.
20                (9) Contracts may be assignable, but only to
21            entities first deemed by the Agency to have met
22            Program terms and requirements applicable to
23            direct Program participation. In developing
24            contracts for the delivery of renewable energy
25            credits from geothermal heating and cooling
26            systems, the Agency may establish fees applicable

 

 

SB0025 Enrolled- 305 -LRB104 07069 BAB 17106 b

1            to each contract assignment.
2                (10) If, at any time, approved applications
3            for the Program exceed funds collected by the
4            electric utility or would cause the Agency to
5            exceed the limitation on the amount of renewable
6            energy resources that may be procured, then the
7            Agency may consider future uncommitted funds to be
8            reserved for these contracts on a first-come,
9            first-served basis.
10            (iv) In order to advance priority access to the
11        clean energy economy for businesses and workers from
12        communities that have been excluded from economic
13        opportunities in the energy sector, been subject to
14        disproportionate levels of pollution, and
15        disproportionately experienced negative public health
16        outcomes, the Agency shall apply its equity
17        accountability system and minimum equity standards
18        established under subsections (c-10), (c-15), (c-20),
19        (c-25), and (c-30) to geothermal heating and cooling
20        system renewable energy credit procurement and
21        programs and may include any proposed modifications to
22        the equity accountability system and minimum equity
23        standards that may be warranted with respect to
24        geothermal heating and cooling systems in its plan
25        submission to the Commission under Section 16-111.5 of
26        the Public Utilities Act.

 

 

SB0025 Enrolled- 306 -LRB104 07069 BAB 17106 b

1            (v) Projects shall be developed in compliance with
2        the prevailing wage and project labor agreement
3        requirements, as applicable, for renewable energy
4        projects in subparagraph (Q) of paragraph (1) of
5        subsection (c). Projects approved under this Program
6        are subject to the prevailing wage requirements
7        outlined in subitem (x) of item (1) of subparagraph
8        (Q) of paragraph (1) of this subsection (c). Renewable
9        energy credits for any single geothermal heating and
10        cooling project that is 142 tons or larger and is
11        procured under this Program after the effective date
12        of this amendatory Act of the 104th General Assembly
13        shall only be eligible if the associated project was
14        built by general contractors who entered into a
15        project labor agreement prior to construction. The
16        project labor agreement shall be filed with the
17        Director in accordance with procedures established by
18        the Agency through its long-term renewable resources
19        procurement plan. The project labor agreement shall
20        provide the names, addresses, and occupations of the
21        owner of the plant and the individuals representing
22        the labor organization employees that participate in
23        the project labor agreement. The project labor
24        agreement shall also specify terms and conditions as
25        provided in this Act.
26            (vi) The Agency shall strive to minimize

 

 

SB0025 Enrolled- 307 -LRB104 07069 BAB 17106 b

1        administrative expenses in the implementation of the
2        Program. The Agency may use any existing program
3        administrator and any applicable subcontractors to
4        develop, administer, implement, operate, and evaluate
5        the Program.    
6        (T) Renewable energy credits procured under Agency
7    procurements or programs for community solar projects with
8    more than 3 megawatts in nameplate capacity must be
9    procured from facilities built by general contractors
10    that, prior to construction, enter into a project labor
11    agreement, as defined by this Act, subject to the
12    following requirements and limitations:
13            (i) The project labor agreement shall be filed
14        with the Director in accordance with procedures
15        established by the Agency through its long-term
16        renewable resources procurement plan. Any information
17        submitted to the Agency under this item (i) shall be
18        considered commercially sensitive information.
19            (ii) At a minimum, the project labor agreement
20        must provide the names, addresses, and occupations of
21        the owner of the project and any individuals
22        representing the labor organization of the employees
23        participating in the project labor agreement
24        consistent with the Project Labor Agreements Act. The
25        project labor agreement must also meet the terms and
26        conditions, as set forth in this Act.

 

 

SB0025 Enrolled- 308 -LRB104 07069 BAB 17106 b

1            (iii) It is the intent of this Section to ensure
2        that economic development occurs across communities in
3        this State, that emerging businesses may grow, and
4        that there is improved access to the clean energy
5        economy by persons who have greater economic burdens
6        to success. The Agency shall take into consideration
7        the unique cost of compliance of this subparagraph (T)
8        that may be borne by equity eligible contractors and
9        shall include those costs when determining the price
10        of renewable energy credits in the Adjustable Block
11        program. The Agency shall consider costs associated
12        with compliance, including in the development,
13        financing, or construction of projects. The Agency
14        shall periodically review the assumptions in these
15        costs and may adjust prices in compliance with
16        subparagraph (M) of this paragraph (1).    
17        (2) (Blank).
18        (3) (Blank).
19        (4) The electric utility shall retire all renewable
20    energy credits used to comply with the standard.
21        (5) Beginning with the 2010 delivery year and ending
22    June 1, 2017, an electric utility subject to this
23    subsection (c) shall apply the lesser of the maximum
24    alternative compliance payment rate or the most recent
25    estimated alternative compliance payment rate for its
26    service territory for the corresponding compliance period,

 

 

SB0025 Enrolled- 309 -LRB104 07069 BAB 17106 b

1    established pursuant to subsection (d) of Section 16-115D
2    of the Public Utilities Act to its retail customers that
3    take service pursuant to the electric utility's hourly
4    pricing tariff or tariffs. The electric utility shall
5    retain all amounts collected as a result of the
6    application of the alternative compliance payment rate or
7    rates to such customers, and, beginning in 2011, the
8    utility shall include in the information provided under
9    item (1) of subsection (d) of Section 16-111.5 of the
10    Public Utilities Act the amounts collected under the
11    alternative compliance payment rate or rates for the prior
12    year ending May 31. Notwithstanding any limitation on the
13    procurement of renewable energy resources imposed by item
14    (2) of this subsection (c), the Agency shall increase its
15    spending on the purchase of renewable energy resources to
16    be procured by the electric utility for the next plan year
17    by an amount equal to the amounts collected by the utility
18    under the alternative compliance payment rate or rates in
19    the prior year ending May 31.
20        (6) The electric utility shall be entitled to recover
21    all of its costs associated with the procurement of
22    renewable energy credits under plans approved under this
23    Section and Section 16-111.5 of the Public Utilities Act.
24    These costs shall include associated reasonable expenses
25    for implementing the procurement programs, including, but
26    not limited to, the costs of administering and evaluating

 

 

SB0025 Enrolled- 310 -LRB104 07069 BAB 17106 b

1    the Adjustable Block program and the Geothermal Homes and
2    Businesses Program, through an automatic adjustment clause
3    tariff in accordance with subsection (k) of Section 16-108
4    of the Public Utilities Act.
5        (7) Renewable energy credits procured from new
6    photovoltaic projects or new distributed renewable energy
7    generation devices under this Section after June 1, 2017
8    (the effective date of Public Act 99-906) must be procured
9    from devices installed by a qualified person in compliance
10    with the requirements of Section 16-128A of the Public
11    Utilities Act and any rules or regulations adopted
12    thereunder.
13        In meeting the renewable energy requirements of this
14    subsection (c), to the extent feasible and consistent with
15    State and federal law, the renewable energy credit
16    procurements, Adjustable Block solar program, and
17    community renewable generation program shall provide
18    employment opportunities for all segments of the
19    population and workforce, including minority-owned and
20    female-owned business enterprises, and shall not,
21    consistent with State and federal law, discriminate based
22    on race or socioeconomic status.
23    (c-5) Procurement of renewable energy credits from new
24renewable energy facilities installed at or adjacent to the
25sites of electric generating facilities that burn or burned
26coal as their primary fuel source.

 

 

SB0025 Enrolled- 311 -LRB104 07069 BAB 17106 b

1        (1) In addition to the procurement of renewable energy
2    credits pursuant to long-term renewable resources
3    procurement plans in accordance with subsection (c) of
4    this Section and Section 16-111.5 of the Public Utilities
5    Act, the Agency shall conduct procurement events in
6    accordance with this subsection (c-5) for the procurement
7    by electric utilities that served more than 300,000 retail
8    customers in this State as of January 1, 2019 of renewable
9    energy credits from new renewable energy facilities to be
10    installed at or adjacent to the sites of electric
11    generating facilities that, as of January 1, 2016, burned
12    coal as their primary fuel source and meet the other
13    criteria specified in this subsection (c-5). For purposes
14    of this subsection (c-5), "new renewable energy facility"
15    means a new utility-scale solar project as defined in this
16    Section 1-75. The renewable energy credits procured
17    pursuant to this subsection (c-5) may be included or
18    counted for purposes of compliance with the amounts of
19    renewable energy credits required to be procured pursuant
20    to subsection (c) of this Section to the extent that there
21    are otherwise shortfalls in compliance with such
22    requirements. The procurement of renewable energy credits
23    by electric utilities pursuant to this subsection (c-5)
24    shall be funded solely by revenues collected from the Coal
25    to Solar and Energy Storage Initiative Charge provided for
26    in this subsection (c-5) and subsection (i-5) of Section

 

 

SB0025 Enrolled- 312 -LRB104 07069 BAB 17106 b

1    16-108 of the Public Utilities Act, shall not be funded by
2    revenues collected through any of the other funding
3    mechanisms provided for in subsection (c) of this Section,
4    and shall not be subject to the limitation imposed by
5    subsection (c) on charges to retail customers for costs to
6    procure renewable energy resources pursuant to subsection
7    (c), and shall not be subject to any other requirements or
8    limitations of subsection (c).
9        (2) The Agency shall conduct 2 procurement events to
10    select owners of electric generating facilities meeting
11    the eligibility criteria specified in this subsection
12    (c-5) to enter into long-term contracts to sell renewable
13    energy credits to electric utilities serving more than
14    300,000 retail customers in this State as of January 1,
15    2019. The first procurement event shall be conducted no
16    later than March 31, 2022, unless the Agency elects to
17    delay it, until no later than May 1, 2022, due to its
18    overall volume of work, and shall be to select owners of
19    electric generating facilities located in this State and
20    south of federal Interstate Highway 80 that meet the
21    eligibility criteria specified in this subsection (c-5).
22    The second procurement event shall be conducted no sooner
23    than September 30, 2022 and no later than October 31, 2022
24    and shall be to select owners of electric generating
25    facilities located anywhere in this State that meet the
26    eligibility criteria specified in this subsection (c-5).

 

 

SB0025 Enrolled- 313 -LRB104 07069 BAB 17106 b

1    The Agency shall establish and announce a time period,
2    which shall begin no later than 30 days prior to the
3    scheduled date for the procurement event, during which
4    applicants may submit applications to be selected as
5    suppliers of renewable energy credits pursuant to this
6    subsection (c-5). The eligibility criteria for selection
7    as a supplier of renewable energy credits pursuant to this
8    subsection (c-5) shall be as follows:
9            (A) The applicant owns an electric generating
10        facility located in this State that: (i) as of January
11        1, 2016, burned coal as its primary fuel to generate
12        electricity; and (ii) has, or had prior to retirement,
13        an electric generating capacity of at least 150
14        megawatts. The electric generating facility can be
15        either: (i) retired as of the date of the procurement
16        event; or (ii) still operating as of the date of the
17        procurement event.
18            (B) The applicant is not (i) an electric
19        cooperative as defined in Section 3-119 of the Public
20        Utilities Act, or (ii) an entity described in
21        subsection (b)(1) of Section 3-105 of the Public
22        Utilities Act, or an association or consortium of or
23        an entity owned by entities described in (i) or (ii);
24        and the coal-fueled electric generating facility was
25        at one time owned, in whole or in part, by a public
26        utility as defined in Section 3-105 of the Public

 

 

SB0025 Enrolled- 314 -LRB104 07069 BAB 17106 b

1        Utilities Act.
2            (C) If participating in the first procurement
3        event, the applicant proposes and commits to construct
4        and operate, at the site, and if necessary for
5        sufficient space on property adjacent to the existing
6        property, at which the electric generating facility
7        identified in paragraph (A) is located: (i) a new
8        renewable energy facility of at least 20 megawatts but
9        no more than 100 megawatts of electric generating
10        capacity, and (ii) an energy storage facility having a
11        storage capacity equal to at least 2 megawatts and at
12        most 10 megawatts. If participating in the second
13        procurement event, the applicant proposes and commits
14        to construct and operate, at the site, and if
15        necessary for sufficient space on property adjacent to
16        the existing property, at which the electric
17        generating facility identified in paragraph (A) is
18        located: (i) a new renewable energy facility of at
19        least 5 megawatts but no more than 20 megawatts of
20        electric generating capacity, and (ii) an energy
21        storage facility having a storage capacity equal to at
22        least 0.5 megawatts and at most one megawatt.
23            (D) The applicant agrees that the new renewable
24        energy facility and the energy storage facility will
25        be constructed or installed by a qualified entity or
26        entities in compliance with the requirements of

 

 

SB0025 Enrolled- 315 -LRB104 07069 BAB 17106 b

1        subsection (g) of Section 16-128A of the Public
2        Utilities Act and any rules adopted thereunder.
3            (E) The applicant agrees that personnel operating
4        the new renewable energy facility and the energy
5        storage facility will have the requisite skills,
6        knowledge, training, experience, and competence, which
7        may be demonstrated by completion or current
8        participation and ultimate completion by employees of
9        an accredited or otherwise recognized apprenticeship
10        program for the employee's particular craft, trade, or
11        skill, including through training and education
12        courses and opportunities offered by the owner to
13        employees of the coal-fueled electric generating
14        facility or by previous employment experience
15        performing the employee's particular work skill or
16        function.
17            (F) The applicant commits that not less than the
18        prevailing wage, as determined pursuant to the
19        Prevailing Wage Act, will be paid to the applicant's
20        employees engaged in construction activities
21        associated with the new renewable energy facility and
22        the new energy storage facility and to the employees
23        of applicant's contractors engaged in construction
24        activities associated with the new renewable energy
25        facility and the new energy storage facility, and
26        that, on or before the commercial operation date of

 

 

SB0025 Enrolled- 316 -LRB104 07069 BAB 17106 b

1        the new renewable energy facility, the applicant shall
2        file a report with the Agency certifying that the
3        requirements of this subparagraph (F) have been met.
4            (G) The applicant commits that if selected, it
5        will negotiate a project labor agreement for the
6        construction of the new renewable energy facility and
7        associated energy storage facility that includes
8        provisions requiring the parties to the agreement to
9        work together to establish diversity threshold
10        requirements and to ensure best efforts to meet
11        diversity targets, improve diversity at the applicable
12        job site, create diverse apprenticeship opportunities,
13        and create opportunities to employ former coal-fired
14        power plant workers.
15            (H) The applicant commits to enter into a contract
16        or contracts for the applicable duration to provide
17        specified numbers of renewable energy credits each
18        year from the new renewable energy facility to
19        electric utilities that served more than 300,000
20        retail customers in this State as of January 1, 2019,
21        at a price of $30 per renewable energy credit. The
22        price per renewable energy credit shall be fixed at
23        $30 for the applicable duration and the renewable
24        energy credits shall not be indexed renewable energy
25        credits as provided for in item (v) of subparagraph
26        (G) of paragraph (1) of subsection (c) of Section 1-75

 

 

SB0025 Enrolled- 317 -LRB104 07069 BAB 17106 b

1        of this Act. The applicable duration of each contract
2        shall be 20 years, unless the applicant is physically
3        interconnected to the PJM Interconnection, LLC
4        transmission grid and had a generating capacity of at
5        least 1,200 megawatts as of January 1, 2021, in which
6        case the applicable duration of the contract shall be
7        15 years.
8            (I) The applicant's application is certified by an
9        officer of the applicant and by an officer of the
10        applicant's ultimate parent company, if any.
11        (3) An applicant may submit applications to contract
12    to supply renewable energy credits from more than one new
13    renewable energy facility to be constructed at or adjacent
14    to one or more qualifying electric generating facilities
15    owned by the applicant. The Agency may select new
16    renewable energy facilities to be located at or adjacent
17    to the sites of more than one qualifying electric
18    generation facility owned by an applicant to contract with
19    electric utilities to supply renewable energy credits from
20    such facilities.
21        (4) The Agency shall assess fees to each applicant to
22    recover the Agency's costs incurred in receiving and
23    evaluating applications, conducting the procurement event,
24    developing contracts for sale, delivery and purchase of
25    renewable energy credits, and monitoring the
26    administration of such contracts, as provided for in this

 

 

SB0025 Enrolled- 318 -LRB104 07069 BAB 17106 b

1    subsection (c-5), including fees paid to a procurement
2    administrator retained by the Agency for one or more of
3    these purposes.
4        (5) The Agency shall select the applicants and the new
5    renewable energy facilities to contract with electric
6    utilities to supply renewable energy credits in accordance
7    with this subsection (c-5). In the first procurement
8    event, the Agency shall select applicants and new
9    renewable energy facilities to supply renewable energy
10    credits, at a price of $30 per renewable energy credit,
11    aggregating to no less than 400,000 renewable energy
12    credits per year for the applicable duration, assuming
13    sufficient qualifying applications to supply, in the
14    aggregate, at least that amount of renewable energy
15    credits per year; and not more than 580,000 renewable
16    energy credits per year for the applicable duration. In
17    the second procurement event, the Agency shall select
18    applicants and new renewable energy facilities to supply
19    renewable energy credits, at a price of $30 per renewable
20    energy credit, aggregating to no more than 625,000
21    renewable energy credits per year less the amount of
22    renewable energy credits each year contracted for as a
23    result of the first procurement event, for the applicable
24    durations. The number of renewable energy credits to be
25    procured as specified in this paragraph (5) shall not be
26    reduced based on renewable energy credits procured in the

 

 

SB0025 Enrolled- 319 -LRB104 07069 BAB 17106 b

1    self-direct renewable energy credit compliance program
2    established pursuant to subparagraph (R) of paragraph (1)
3    of subsection (c) of Section 1-75.
4        (6) The obligation to purchase renewable energy
5    credits from the applicants and their new renewable energy
6    facilities selected by the Agency shall be allocated to
7    the electric utilities based on their respective
8    percentages of kilowatthours delivered to delivery
9    services customers to the aggregate kilowatthour
10    deliveries by the electric utilities to delivery services
11    customers for the year ended December 31, 2021. In order
12    to achieve these allocation percentages between or among
13    the electric utilities, the Agency shall require each
14    applicant that is selected in the procurement event to
15    enter into a contract with each electric utility for the
16    sale and purchase of renewable energy credits from each
17    new renewable energy facility to be constructed and
18    operated by the applicant, with the sale and purchase
19    obligations under the contracts to aggregate to the total
20    number of renewable energy credits per year to be supplied
21    by the applicant from the new renewable energy facility.
22        (7) The Agency shall submit its proposed selection of
23    applicants, new renewable energy facilities to be
24    constructed, and renewable energy credit amounts for each
25    procurement event to the Commission for approval. The
26    Commission shall, within 2 business days after receipt of

 

 

SB0025 Enrolled- 320 -LRB104 07069 BAB 17106 b

1    the Agency's proposed selections, approve the proposed
2    selections if it determines that the applicants and the
3    new renewable energy facilities to be constructed meet the
4    selection criteria set forth in this subsection (c-5) and
5    that the Agency seeks approval for contracts of applicable
6    durations aggregating to no more than the maximum amount
7    of renewable energy credits per year authorized by this
8    subsection (c-5) for the procurement event, at a price of
9    $30 per renewable energy credit.
10        (8) The Agency, in conjunction with its procurement
11    administrator if one is retained, the electric utilities,
12    and potential applicants for contracts to produce and
13    supply renewable energy credits pursuant to this
14    subsection (c-5), shall develop a standard form contract
15    for the sale, delivery and purchase of renewable energy
16    credits pursuant to this subsection (c-5). Each contract
17    resulting from the first procurement event shall allow for
18    a commercial operation date for the new renewable energy
19    facility of either June 1, 2023 or June 1, 2024, with such
20    dates subject to adjustment as provided in this paragraph.
21    Each contract resulting from the second procurement event
22    shall provide for a commercial operation date on June 1
23    next occurring up to 48 months after execution of the
24    contract. Each contract shall provide that the owner shall
25    receive payments for renewable energy credits for the
26    applicable durations beginning with the commercial

 

 

SB0025 Enrolled- 321 -LRB104 07069 BAB 17106 b

1    operation date of the new renewable energy facility. The
2    form contract shall provide for adjustments to the
3    commercial operation and payment start dates as needed due
4    to any delays in completing the procurement and
5    contracting processes, in finalizing interconnection
6    agreements and installing interconnection facilities, and
7    in obtaining other necessary governmental permits and
8    approvals. The form contract shall be, to the maximum
9    extent possible, consistent with standard electric
10    industry contracts for sale, delivery, and purchase of
11    renewable energy credits while taking into account the
12    specific requirements of this subsection (c-5). The form
13    contract shall provide for over-delivery and
14    under-delivery of renewable energy credits within
15    reasonable ranges during each 12-month period and penalty,
16    default, and enforcement provisions for failure of the
17    selling party to deliver renewable energy credits as
18    specified in the contract and to comply with the
19    requirements of this subsection (c-5). The standard form
20    contract shall specify that all renewable energy credits
21    delivered to the electric utility pursuant to the contract
22    shall be retired. The Agency shall make the proposed
23    contracts available for a reasonable period for comment by
24    potential applicants, and shall publish the final form
25    contract at least 30 days before the date of the first
26    procurement event.

 

 

SB0025 Enrolled- 322 -LRB104 07069 BAB 17106 b

1        (9) Coal to Solar and Energy Storage Initiative
2    Charge.
3            (A) By no later than July 1, 2022, each electric
4        utility that served more than 300,000 retail customers
5        in this State as of January 1, 2019 shall file a tariff
6        with the Commission for the billing and collection of
7        a Coal to Solar and Energy Storage Initiative Charge
8        in accordance with subsection (i-5) of Section 16-108
9        of the Public Utilities Act, with such tariff to be
10        effective, following review and approval or
11        modification by the Commission, beginning January 1,
12        2023. The tariff shall provide for the calculation and
13        setting of the electric utility's Coal to Solar and
14        Energy Storage Initiative Charge to collect revenues
15        estimated to be sufficient, in the aggregate, (i) to
16        enable the electric utility to pay for the renewable
17        energy credits it has contracted to purchase in the
18        delivery year beginning June 1, 2023 and each delivery
19        year thereafter from new renewable energy facilities
20        located at the sites of qualifying electric generating
21        facilities, and (ii) to fund the grant payments to be
22        made in each delivery year by the Department of
23        Commerce and Economic Opportunity, or any successor
24        department or agency, which shall be referred to in
25        this subsection (c-5) as the Department, pursuant to
26        paragraph (10) of this subsection (c-5). The electric

 

 

SB0025 Enrolled- 323 -LRB104 07069 BAB 17106 b

1        utility's tariff shall provide for the billing and
2        collection of the Coal to Solar and Energy Storage
3        Initiative Charge on each kilowatthour of electricity
4        delivered to its delivery services customers within
5        its service territory and shall provide for an annual
6        reconciliation of revenues collected with actual
7        costs, in accordance with subsection (i-5) of Section
8        16-108 of the Public Utilities Act.
9            (B) Each electric utility shall remit on a monthly
10        basis to the State Treasurer, for deposit in the Coal
11        to Solar and Energy Storage Initiative Fund provided
12        for in this subsection (c-5), the electric utility's
13        collections of the Coal to Solar and Energy Storage
14        Initiative Charge in the amount estimated to be needed
15        by the Department for grant payments pursuant to grant
16        contracts entered into by the Department pursuant to
17        paragraph (10) of this subsection (c-5).
18        (10) Coal to Solar and Energy Storage Initiative Fund.
19            (A) The Coal to Solar and Energy Storage
20        Initiative Fund is established as a special fund in
21        the State treasury. The Coal to Solar and Energy
22        Storage Initiative Fund is authorized to receive, by
23        statutory deposit, that portion specified in item (B)
24        of paragraph (9) of this subsection (c-5) of moneys
25        collected by electric utilities through imposition of
26        the Coal to Solar and Energy Storage Initiative Charge

 

 

SB0025 Enrolled- 324 -LRB104 07069 BAB 17106 b

1        required by this subsection (c-5). The Coal to Solar
2        and Energy Storage Initiative Fund shall be
3        administered by the Department to provide grants to
4        support the installation and operation of energy
5        storage facilities at the sites of qualifying electric
6        generating facilities meeting the criteria specified
7        in this paragraph (10).
8            (B) The Coal to Solar and Energy Storage
9        Initiative Fund shall not be subject to sweeps,
10        administrative charges, or chargebacks, including, but
11        not limited to, those authorized under Section 8h of
12        the State Finance Act, that would in any way result in
13        the transfer of those funds from the Coal to Solar and
14        Energy Storage Initiative Fund to any other fund of
15        this State or in having any such funds utilized for any
16        purpose other than the express purposes set forth in
17        this paragraph (10).
18            (C) The Department shall utilize up to
19        $280,500,000 in the Coal to Solar and Energy Storage
20        Initiative Fund for grants, assuming sufficient
21        qualifying applicants, to support installation of
22        energy storage facilities at the sites of up to 3
23        qualifying electric generating facilities located in
24        the Midcontinent Independent System Operator, Inc.,
25        region in Illinois and the sites of up to 2 qualifying
26        electric generating facilities located in the PJM

 

 

SB0025 Enrolled- 325 -LRB104 07069 BAB 17106 b

1        Interconnection, LLC region in Illinois that meet the
2        criteria set forth in this subparagraph (C). The
3        criteria for receipt of a grant pursuant to this
4        subparagraph (C) are as follows:
5                (1) the electric generating facility at the
6            site has, or had prior to retirement, an electric
7            generating capacity of at least 150 megawatts;
8                (2) the electric generating facility burns (or
9            burned prior to retirement) coal as its primary
10            source of fuel;
11                (3) if the electric generating facility is
12            retired, it was retired subsequent to January 1,
13            2016;
14                (4) the owner of the electric generating
15            facility has not been selected by the Agency
16            pursuant to this subsection (c-5) of this Section
17            to enter into a contract to sell renewable energy
18            credits to one or more electric utilities from a
19            new renewable energy facility located or to be
20            located at or adjacent to the site at which the
21            electric generating facility is located;
22                (5) the electric generating facility located
23            at the site was at one time owned, in whole or in
24            part, by a public utility as defined in Section
25            3-105 of the Public Utilities Act;
26                (6) the electric generating facility at the

 

 

SB0025 Enrolled- 326 -LRB104 07069 BAB 17106 b

1            site is not owned by (i) an electric cooperative
2            as defined in Section 3-119 of the Public
3            Utilities Act, or (ii) an entity described in
4            subsection (b)(1) of Section 3-105 of the Public
5            Utilities Act, or an association or consortium of
6            or an entity owned by entities described in items
7            (i) or (ii);
8                (7) the proposed energy storage facility at
9            the site will have energy storage capacity of at
10            least 37 megawatts;
11                (8) the owner commits to place the energy
12            storage facility into commercial operation on
13            either June 1, 2023, June 1, 2024, or June 1, 2025,
14            with such date subject to adjustment as needed due
15            to any delays in completing the grant contracting
16            process, in finalizing interconnection agreements
17            and in installing interconnection facilities, and
18            in obtaining necessary governmental permits and
19            approvals;
20                (9) the owner agrees that the new energy
21            storage facility will be constructed or installed
22            by a qualified entity or entities consistent with
23            the requirements of subsection (g) of Section
24            16-128A of the Public Utilities Act and any rules
25            adopted under that Section;
26                (10) the owner agrees that personnel operating

 

 

SB0025 Enrolled- 327 -LRB104 07069 BAB 17106 b

1            the energy storage facility will have the
2            requisite skills, knowledge, training, experience,
3            and competence, which may be demonstrated by
4            completion or current participation and ultimate
5            completion by employees of an accredited or
6            otherwise recognized apprenticeship program for
7            the employee's particular craft, trade, or skill,
8            including through training and education courses
9            and opportunities offered by the owner to
10            employees of the coal-fueled electric generating
11            facility or by previous employment experience
12            performing the employee's particular work skill or
13            function;
14                (11) the owner commits that not less than the
15            prevailing wage, as determined pursuant to the
16            Prevailing Wage Act, will be paid to the owner's
17            employees engaged in construction activities
18            associated with the new energy storage facility
19            and to the employees of the owner's contractors
20            engaged in construction activities associated with
21            the new energy storage facility, and that, on or
22            before the commercial operation date of the new
23            energy storage facility, the owner shall file a
24            report with the Department certifying that the
25            requirements of this subparagraph (11) have been
26            met; and

 

 

SB0025 Enrolled- 328 -LRB104 07069 BAB 17106 b

1                (12) the owner commits that if selected to
2            receive a grant, it will negotiate a project labor
3            agreement for the construction of the new energy
4            storage facility that includes provisions
5            requiring the parties to the agreement to work
6            together to establish diversity threshold
7            requirements and to ensure best efforts to meet
8            diversity targets, improve diversity at the
9            applicable job site, create diverse apprenticeship
10            opportunities, and create opportunities to employ
11            former coal-fired power plant workers.
12            The Department shall accept applications for this
13        grant program until March 31, 2022 and shall announce
14        the award of grants no later than June 1, 2022. The
15        Department shall make the grant payments to a
16        recipient in equal annual amounts for 10 years
17        following the date the energy storage facility is
18        placed into commercial operation. The annual grant
19        payments to a qualifying energy storage facility shall
20        be $110,000 per megawatt of energy storage capacity,
21        with total annual grant payments pursuant to this
22        subparagraph (C) for qualifying energy storage
23        facilities not to exceed $28,050,000 in any year.
24            (D) Grants of funding for energy storage
25        facilities pursuant to subparagraph (C) of this
26        paragraph (10), from the Coal to Solar and Energy

 

 

SB0025 Enrolled- 329 -LRB104 07069 BAB 17106 b

1        Storage Initiative Fund, shall be memorialized in
2        grant contracts between the Department and the
3        recipient. The grant contracts shall specify the date
4        or dates in each year on which the annual grant
5        payments shall be paid.
6            (E) All disbursements from the Coal to Solar and
7        Energy Storage Initiative Fund shall be made only upon
8        warrants of the Comptroller drawn upon the Treasurer
9        as custodian of the Fund upon vouchers signed by the
10        Director of the Department or by the person or persons
11        designated by the Director of the Department for that
12        purpose. The Comptroller is authorized to draw the
13        warrants upon vouchers so signed. The Treasurer shall
14        accept all written warrants so signed and shall be
15        released from liability for all payments made on those
16        warrants.
17        (11) Diversity, equity, and inclusion plans.
18            (A) Each applicant selected in a procurement event
19        to contract to supply renewable energy credits in
20        accordance with this subsection (c-5) and each owner
21        selected by the Department to receive a grant or
22        grants to support the construction and operation of a
23        new energy storage facility or facilities in
24        accordance with this subsection (c-5) shall, within 60
25        days following the Commission's approval of the
26        applicant to contract to supply renewable energy

 

 

SB0025 Enrolled- 330 -LRB104 07069 BAB 17106 b

1        credits or within 60 days following execution of a
2        grant contract with the Department, as applicable,
3        submit to the Commission a diversity, equity, and
4        inclusion plan setting forth the applicant's or
5        owner's numeric goals for the diversity composition of
6        its supplier entities for the new renewable energy
7        facility or new energy storage facility, as
8        applicable, which shall be referred to for purposes of
9        this paragraph (11) as the project, and the
10        applicant's or owner's action plan and schedule for
11        achieving those goals.
12            (B) For purposes of this paragraph (11), diversity
13        composition shall be based on the percentage, which
14        shall be a minimum of 25%, of eligible expenditures
15        for contract awards for materials and services (which
16        shall be defined in the plan) to business enterprises
17        owned by minority persons, women, or persons with
18        disabilities as defined in Section 2 of the Business
19        Enterprise for Minorities, Women, and Persons with
20        Disabilities Act, to LGBTQ business enterprises, to
21        veteran-owned business enterprises, and to business
22        enterprises located in environmental justice
23        communities. The diversity composition goals of the
24        plan may include eligible expenditures in areas for
25        vendor or supplier opportunities in addition to
26        development and construction of the project, and may

 

 

SB0025 Enrolled- 331 -LRB104 07069 BAB 17106 b

1        exclude from eligible expenditures materials and
2        services with limited market availability, limited
3        production and availability from suppliers in the
4        United States, such as solar panels and storage
5        batteries, and material and services that are subject
6        to critical energy infrastructure or cybersecurity
7        requirements or restrictions. The plan may provide
8        that the diversity composition goals may be met
9        through Tier 1 Direct or Tier 2 subcontracting
10        expenditures or a combination thereof for the project.
11            (C) The plan shall provide for, but not be limited
12        to: (i) internal initiatives, including multi-tier
13        initiatives, by the applicant or owner, or by its
14        engineering, procurement and construction contractor
15        if one is used for the project, which for purposes of
16        this paragraph (11) shall be referred to as the EPC
17        contractor, to enable diverse businesses to be
18        considered fairly for selection to provide materials
19        and services; (ii) requirements for the applicant or
20        owner or its EPC contractor to proactively solicit and
21        utilize diverse businesses to provide materials and
22        services; and (iii) requirements for the applicant or
23        owner or its EPC contractor to hire a diverse
24        workforce for the project. The plan shall include a
25        description of the applicant's or owner's diversity
26        recruiting efforts both for the project and for other

 

 

SB0025 Enrolled- 332 -LRB104 07069 BAB 17106 b

1        areas of the applicant's or owner's business
2        operations. The plan shall provide for the imposition
3        of financial penalties on the applicant's or owner's
4        EPC contractor for failure to exercise best efforts to
5        comply with and execute the EPC contractor's diversity
6        obligations under the plan. The plan may provide for
7        the applicant or owner to set aside a portion of the
8        work on the project to serve as an incubation program
9        for qualified businesses, as specified in the plan,
10        owned by minority persons, women, persons with
11        disabilities, LGBTQ persons, and veterans, and
12        businesses located in environmental justice
13        communities, seeking to enter the renewable energy
14        industry.
15            (D) The applicant or owner may submit a revised or
16        updated plan to the Commission from time to time as
17        circumstances warrant. The applicant or owner shall
18        file annual reports with the Commission detailing the
19        applicant's or owner's progress in implementing its
20        plan and achieving its goals and any modifications the
21        applicant or owner has made to its plan to better
22        achieve its diversity, equity and inclusion goals. The
23        applicant or owner shall file a final report on the
24        fifth June 1 following the commercial operation date
25        of the new renewable energy resource or new energy
26        storage facility, but the applicant or owner shall

 

 

SB0025 Enrolled- 333 -LRB104 07069 BAB 17106 b

1        thereafter continue to be subject to applicable
2        reporting requirements of Section 5-117 of the Public
3        Utilities Act.
4    (c-10) Equity accountability system. It is the purpose of
5this subsection (c-10) to create an equity accountability
6system, which includes the minimum equity standards for all
7renewable energy procurements, the equity category of the
8Adjustable Block Program, and the equity prioritization for
9noncompetitive procurements, that is successful in advancing
10priority access to the clean energy economy for businesses and
11workers from communities that have been excluded from economic
12opportunities in the energy sector, have been subject to
13disproportionate levels of pollution, and have
14disproportionately experienced negative public health
15outcomes. Further, it is the purpose of this subsection to
16ensure that this equity accountability system is successful in
17advancing equity across Illinois by providing access to the
18clean energy economy for businesses and workers from
19communities that have been historically excluded from economic
20opportunities in the energy sector, have been subject to
21disproportionate levels of pollution, and have
22disproportionately experienced negative public health
23outcomes.
24        (1) Minimum equity standards. The Agency shall create
25    programs with the purpose of increasing access to and
26    development of equity eligible contractors, who are prime

 

 

SB0025 Enrolled- 334 -LRB104 07069 BAB 17106 b

1    contractors and subcontractors, across all of the programs
2    it manages. All applications for renewable energy credit
3    procurements shall comply with specific minimum equity
4    commitments. Starting in the delivery year immediately
5    following the next long-term renewable resources
6    procurement plan, at least 10% of the project workforce
7    for each entity participating in a procurement program
8    outlined in this subsection (c-10) must be done by equity
9    eligible persons or equity eligible contractors. The
10    Agency shall increase the minimum percentage each delivery
11    year thereafter by increments that ensure a statewide
12    average of 30% of the project workforce for each entity
13    participating in a procurement program is done by equity
14    eligible persons or equity eligible contractors by 2030.
15    The Agency shall propose a schedule of percentage
16    increases to the minimum equity standards in its draft
17    revised renewable energy resources procurement plan
18    submitted to the Commission for approval pursuant to
19    paragraph (5) of subsection (b) of Section 16-111.5 of the
20    Public Utilities Act. In determining these annual
21    increases, the Agency shall have the discretion to
22    establish different minimum equity standards for different
23    types of procurements and different regions of the State
24    if the Agency finds that doing so will further the
25    purposes of this subsection (c-10). The proposed schedule
26    of annual increases shall be revisited and updated on an

 

 

SB0025 Enrolled- 335 -LRB104 07069 BAB 17106 b

1    annual basis. Revisions shall be developed with
2    stakeholder input, including from equity eligible persons,
3    equity eligible contractors, clean energy industry
4    representatives, and community-based organizations that
5    work with such persons and contractors.
6            (A) At the start of each delivery year, the Agency
7        shall require a compliance plan from each entity
8        participating in a procurement program of subsection
9        (c) of this Section, and entities opting to comply
10        with the minimum equity standard through the Illinois
11        Solar for All Program under Section 1-56 of this Act,    
12        that demonstrates how they will achieve compliance
13        with the minimum equity standard percentage for work
14        completed in that delivery year. If an entity applies
15        for its approved vendor or designee status between
16        delivery years, the Agency shall require a compliance
17        plan at the time of application.
18            (B) Halfway through each delivery year, the Agency
19        shall require each entity participating in a
20        procurement program to confirm that it will achieve
21        compliance in that delivery year, when applicable. The
22        Agency may offer corrective action plans to entities
23        that are not on track to achieve compliance.
24            (C) At the end of each delivery year, each entity
25        participating and completing work in that delivery
26        year in a procurement program of subsection (c) shall

 

 

SB0025 Enrolled- 336 -LRB104 07069 BAB 17106 b

1        submit a report to the Agency that demonstrates how it
2        achieved compliance with the minimum equity standards
3        percentage for that delivery year.
4            (D) The Agency shall prohibit participation in
5        procurement programs by an approved vendor or
6        designee, as applicable, or entities with which an
7        approved vendor or designee, as applicable, shares a
8        common parent company if an approved vendor or
9        designee, as applicable, failed to meet the minimum
10        equity standards for the prior delivery year. Waivers
11        approved for lack of equity eligible persons or equity
12        eligible contractors in a geographic area of a project
13        shall not count against the approved vendor or
14        designee. The Agency shall offer a corrective action
15        plan for any such entities to assist them in obtaining
16        compliance and shall allow continued access to
17        procurement programs upon an approved vendor or
18        designee demonstrating compliance.
19            (E) The Agency shall pursue efficiencies achieved
20        by combining with other approved vendor or designee
21        reporting.
22        (2) Equity accountability system within the Adjustable
23    Block program. The equity category described in item (vi)
24    of subparagraph (K) of subsection (c) is only available to
25    applicants that are equity eligible contractors.
26        (3) Equity accountability system within competitive

 

 

SB0025 Enrolled- 337 -LRB104 07069 BAB 17106 b

1    procurements. Through its long-term renewable resources
2    procurement plan, the Agency shall develop requirements
3    for ensuring that competitive procurement processes,
4    including utility-scale solar, utility-scale wind, and
5    brownfield site photovoltaic projects, advance the equity
6    goals of this subsection (c-10). Subject to Commission
7    approval, the Agency shall develop bid application
8    requirements and a bid evaluation methodology for ensuring
9    that utilization of equity eligible contractors, whether
10    as bidders or as participants on project development, is
11    optimized, including requiring that winning or successful
12    applicants for utility-scale projects are or will partner
13    with equity eligible contractors and giving preference to
14    bids through which a higher portion of contract value
15    flows to equity eligible contractors. To the extent
16    practicable, entities participating in competitive
17    procurements shall also be required to meet all the equity
18    accountability requirements for approved vendors and their
19    designees under this subsection (c-10). In developing
20    these requirements, the Agency shall also consider whether
21    equity goals can be further advanced through additional
22    measures.
23        (4) In the first revision to the long-term renewable
24    energy resources procurement plan and each revision
25    thereafter, the Agency shall include the following:
26            (A) The current status and number of equity

 

 

SB0025 Enrolled- 338 -LRB104 07069 BAB 17106 b

1        eligible contractors listed in the Energy Workforce
2        Equity Database designed in subsection (c-25),
3        including the number of equity eligible contractors
4        with current certifications as issued by the Agency.
5            (B) A mechanism for measuring, tracking, and
6        reporting project workforce at the approved vendor or
7        designee level, as applicable, which shall include a
8        measurement methodology and records to be made
9        available for audit by the Agency or the Program
10        Administrator.
11            (C) A program for approved vendors, designees,
12        eligible persons, and equity eligible contractors to
13        receive trainings, guidance, and other support from
14        the Agency or its designee regarding the equity
15        category outlined in item (vi) of subparagraph (K) of
16        paragraph (1) of subsection (c) and in meeting the
17        minimum equity standards of this subsection (c-10).
18            (D) A process for certifying equity eligible
19        contractors and equity eligible persons. The
20        certification process shall coordinate with the Energy
21        Workforce Equity Database set forth in subsection
22        (c-25).
23            (E) An application for waiver of the minimum
24        equity standards of this subsection, which the Agency
25        shall have the discretion to grant in rare
26        circumstances. The Agency may grant such a waiver

 

 

SB0025 Enrolled- 339 -LRB104 07069 BAB 17106 b

1        where the applicant provides evidence of significant
2        efforts toward meeting the minimum equity commitment,
3        including: use of the Energy Workforce Equity
4        Database; efforts to hire or contract with entities
5        that hire eligible persons; and efforts to establish
6        contracting relationships with eligible contractors.
7        The Agency shall support applicants in understanding
8        the Energy Workforce Equity Database and other
9        resources for pursuing compliance of the minimum
10        equity standards. Waivers shall be project-specific,
11        unless the Agency deems it necessary to grant a waiver
12        across a portfolio of projects, and in effect for no
13        longer than one year. Any waiver extension or
14        subsequent waiver request from an applicant shall be
15        subject to the requirements of this Section and shall
16        specify efforts made to reach compliance. When
17        considering whether to grant a waiver, and to what
18        extent, the Agency shall consider the degree to which
19        similarly situated applicants have been able to meet
20        these minimum equity commitments. For repeated waiver
21        requests for specific lack of eligible persons or
22        eligible contractors available, the Agency shall make
23        recommendations to target recruitment to add such
24        eligible persons or eligible contractors to the
25        database.
26        (5) The Agency shall collect information about work on

 

 

SB0025 Enrolled- 340 -LRB104 07069 BAB 17106 b

1    projects or portfolios of projects subject to these
2    minimum equity standards to ensure compliance with this
3    subsection (c-10). Reporting in furtherance of this
4    requirement may be combined with other annual reporting
5    requirements. Such reporting shall include proof of
6    certification of each equity eligible contractor or equity
7    eligible person during the applicable time period.
8        As part of the reporting requirement under this
9    subparagraph (5), the Agency shall collect and report
10    information about the use of equity eligible contractors
11    and equity eligible persons, as well as Minimum Equity
12    Standard compliance and waiver usage on the Adjustable
13    Block program and utility-scale projects subject to
14    project labor agreements. The Agency shall note any
15    instances of the projects being unable to meet or
16    requiring a waiver to meet Minimum Equity Standard
17    requirements and the location of those projects.
18        On an annual basis, the Agency shall submit a written
19    summary of its findings on an annual basis to the General
20    Assembly and the Governor and shall make the report and
21    summary available on the Agency's website.
22        (6) The Agency shall keep confidential all information
23    and communication that provides private or personal
24    information.
25        (7) Modifications to the equity accountability system.
26    As part of the update of the long-term renewable resources

 

 

SB0025 Enrolled- 341 -LRB104 07069 BAB 17106 b

1    procurement plan to be initiated in 2023, or sooner if the
2    Agency deems necessary, the Agency shall determine the
3    extent to which the equity accountability system described
4    in this subsection (c-10) has advanced the goals of this
5    amendatory Act of the 102nd General Assembly, including
6    through the inclusion of equity eligible persons and
7    equity eligible contractors in renewable energy credit
8    projects. If the Agency finds that the equity
9    accountability system has failed to meet those goals to
10    its fullest potential, the Agency may revise the following
11    criteria for future Agency procurements: (A) the
12    percentage of project workforce, or other appropriate
13    workforce measure, certified as equity eligible persons or
14    equity eligible contractors; (B) definitions for equity
15    investment eligible persons and equity investment eligible
16    community; and (C) such other modifications necessary to
17    advance the goals of this amendatory Act of the 102nd
18    General Assembly effectively. Such revised criteria may
19    also establish distinct equity accountability systems for
20    different types of procurements or different regions of
21    the State if the Agency finds that doing so will further
22    the purposes of such programs. Revisions shall be
23    developed with stakeholder input, including from equity
24    eligible persons, equity eligible contractors, and
25    community-based organizations that work with such persons
26    and contractors.

 

 

SB0025 Enrolled- 342 -LRB104 07069 BAB 17106 b

1    (c-15) Racial discrimination elimination powers and
2process.
3        (1) Purpose. It is the purpose of this subsection to
4    empower the Agency and other State actors to remedy racial
5    discrimination in Illinois' clean energy economy as
6    effectively and expediently as possible, including through
7    the use of race-conscious remedies, such as race-conscious
8    contracting and hiring goals, as consistent with State and
9    federal law.
10        (2) Racial disparity and discrimination review
11    process.
12            (A) Within one year after awarding contracts using
13        the equity actions processes established in this
14        Section, the Agency shall publish a report evaluating
15        the effectiveness of the equity actions point criteria
16        of this Section in increasing participation of equity
17        eligible persons and equity eligible contractors. The
18        report shall disaggregate participating workers and
19        contractors by race and ethnicity. The report shall be
20        forwarded to the Governor, the General Assembly, and
21        the Illinois Commerce Commission and be made available
22        to the public.
23            (B) As soon as is practicable thereafter, the
24        Agency, in consultation with the Department of
25        Commerce and Economic Opportunity, Department of
26        Labor, and other agencies that may be relevant, shall

 

 

SB0025 Enrolled- 343 -LRB104 07069 BAB 17106 b

1        commission and publish a disparity and availability
2        study that measures the presence and impact of
3        discrimination on minority businesses and workers in
4        Illinois' clean energy economy. The Agency may hire
5        consultants and experts to conduct the disparity and
6        availability study, with the retention of those
7        consultants and experts exempt from the requirements
8        of Section 20-10 of the Illinois Procurement Code. The
9        Illinois Power Agency shall forward a copy of its
10        findings and recommendations to the Governor, the
11        General Assembly, and the Illinois Commerce
12        Commission. If the disparity and availability study
13        establishes a strong basis in evidence that there is
14        discrimination in Illinois' clean energy economy, the
15        Agency, Department of Commerce and Economic
16        Opportunity, Department of Labor, Department of
17        Corrections, and other appropriate agencies shall take
18        appropriate remedial actions, including race-conscious
19        remedial actions as consistent with State and federal
20        law, to effectively remedy this discrimination. Such
21        remedies may include modification of the equity
22        accountability system as described in subsection
23        (c-10).
24    (c-20) Program data collection.
25        (1) Purpose. Data collection, data analysis, and
26    reporting are critical to ensure that the benefits of the

 

 

SB0025 Enrolled- 344 -LRB104 07069 BAB 17106 b

1    clean energy economy provided to Illinois residents and
2    businesses are equitably distributed across the State. The
3    Agency shall collect data from program applicants in order
4    to track and improve equitable distribution of benefits
5    across Illinois communities for all procurements the
6    Agency conducts. The Agency shall use this data to, among
7    other things, measure any potential impact of racial
8    discrimination on the distribution of benefits and provide
9    information necessary to correct any discrimination
10    through methods consistent with State and federal law.
11        (2) Agency collection of program data. The Agency
12    shall collect demographic and geographic data for each
13    entity awarded contracts under any Agency-administered
14    program.
15        (3) Required information to be collected. The Agency
16    shall collect the following information from applicants
17    and program participants where applicable:
18            (A) demographic information, including racial or
19        ethnic identity for real persons employed, contracted,
20        or subcontracted through the program and owners of
21        businesses or entities that apply to receive renewable
22        energy credits from the Agency;
23            (B) geographic location of the residency of real
24        persons employed, contracted, or subcontracted through
25        the program and geographic location of the
26        headquarters of the business or entity that applies to

 

 

SB0025 Enrolled- 345 -LRB104 07069 BAB 17106 b

1        receive renewable energy credits from the Agency; and
2            (C) any other information the Agency determines is
3        necessary for the purpose of achieving the purpose of
4        this subsection.
5        (4) Publication of collected information. The Agency
6    shall publish, at least annually, information on the
7    demographics of program participants on an aggregate
8    basis.
9        (5) Nothing in this subsection shall be interpreted to
10    limit the authority of the Agency, or other agency or
11    department of the State, to require or collect demographic
12    information from applicants of other State programs.
13    (c-25) Energy Workforce Equity Database.
14        (1) The Agency, in consultation with the Department of
15    Commerce and Economic Opportunity, shall create an Energy
16    Workforce Equity Database, and may contract with a third
17    party to do so ("database program administrator"). If the
18    Department decides to contract with a third party, that
19    third party shall be exempt from the requirements of
20    Section 20-10 of the Illinois Procurement Code. The Energy
21    Workforce Equity Database shall be a searchable database
22    of suppliers, vendors, and subcontractors for clean energy
23    industries that is:
24            (A) publicly accessible;
25            (B) easy for people to find and use;
26            (C) organized by company specialty or field;

 

 

SB0025 Enrolled- 346 -LRB104 07069 BAB 17106 b

1            (D) region-specific; and
2            (E) populated with information including, but not
3        limited to, contacts for suppliers, vendors, or
4        subcontractors who are minority and women-owned
5        business enterprise certified or who participate or
6        have participated in any of the programs described in
7        this Act.
8        (2) The Agency shall create an easily accessible,
9    public facing online tool using the database information
10    that includes, at a minimum, the following:
11            (A) a map of environmental justice and equity
12        investment eligible communities;
13            (B) job postings and recruiting opportunities;
14            (C) a means by which recruiting clean energy
15        companies can find and interact with current or former
16        participants of clean energy workforce training
17        programs;
18            (D) information on workforce training service
19        providers and training opportunities available to
20        prospective workers;
21            (E) renewable energy company diversity reporting;
22            (F) a list of equity eligible contractors with
23        their contact information, types of work performed,
24        and locations worked in;
25            (G) reporting on outcomes of the programs
26        described in the workforce programs of the Energy

 

 

SB0025 Enrolled- 347 -LRB104 07069 BAB 17106 b

1        Transition Act, including information such as, but not
2        limited to, retention rate, graduation rate, and
3        placement rates of trainees; and
4            (H) information about the Jobs and Environmental
5        Justice Grant Program, the Clean Energy Jobs and
6        Justice Fund, and other sources of capital.
7        (3) The Agency shall ensure the database is regularly
8    updated to ensure information is current and shall
9    coordinate with the Department of Commerce and Economic
10    Opportunity to ensure that it includes information on
11    individuals and entities that are or have participated in
12    the Clean Jobs Workforce Network Program, Clean Energy
13    Contractor Incubator Program, Returning Residents Clean
14    Jobs Training Program, or Clean Energy Primes Contractor
15    Accelerator Program.
16    (c-30) Enforcement of minimum equity standards. All
17entities seeking renewable energy credits must submit an
18annual report to demonstrate compliance with each of the
19equity commitments required under subsection (c-10). If the
20Agency concludes the entity has not met or maintained its
21minimum equity standards required under the applicable
22subparagraphs under subsection (c-10), the Agency shall deny
23the entity's ability to participate in procurement programs in
24subsection (c), including by withholding approved vendor or
25designee status. The Agency may require the entity to enter
26into a corrective action plan. An entity that is not

 

 

SB0025 Enrolled- 348 -LRB104 07069 BAB 17106 b

1recertified for failing to meet required equity actions in
2subparagraph (c-10) may reapply once they have a corrective
3action plan and achieve compliance with the minimum equity
4standards.
5    (d) Clean coal portfolio standard.
6        (1) The procurement plans shall include electricity
7    generated using clean coal. Each utility shall enter into
8    one or more sourcing agreements with the initial clean
9    coal facility, as provided in paragraph (3) of this
10    subsection (d), covering electricity generated by the
11    initial clean coal facility representing at least 5% of
12    each utility's total supply to serve the load of eligible
13    retail customers in 2015 and each year thereafter, as
14    described in paragraph (3) of this subsection (d), subject
15    to the limits specified in paragraph (2) of this
16    subsection (d). It is the goal of the State that by January
17    1, 2025, 25% of the electricity used in the State shall be
18    generated by cost-effective clean coal facilities. For
19    purposes of this subsection (d), "cost-effective" means
20    that the expenditures pursuant to such sourcing agreements
21    do not cause the limit stated in paragraph (2) of this
22    subsection (d) to be exceeded and do not exceed cost-based
23    benchmarks, which shall be developed to assess all
24    expenditures pursuant to such sourcing agreements covering
25    electricity generated by clean coal facilities, other than
26    the initial clean coal facility, by the procurement

 

 

SB0025 Enrolled- 349 -LRB104 07069 BAB 17106 b

1    administrator, in consultation with the Commission staff,
2    Agency staff, and the procurement monitor and shall be
3    subject to Commission review and approval.
4        A utility party to a sourcing agreement shall
5    immediately retire any emission credits that it receives
6    in connection with the electricity covered by such
7    agreement.
8        Utilities shall maintain adequate records documenting
9    the purchases under the sourcing agreement to comply with
10    this subsection (d) and shall file an accounting with the
11    load forecast that must be filed with the Agency by July 15
12    of each year, in accordance with subsection (d) of Section
13    16-111.5 of the Public Utilities Act.
14        A utility shall be deemed to have complied with the
15    clean coal portfolio standard specified in this subsection
16    (d) if the utility enters into a sourcing agreement as
17    required by this subsection (d).
18        (2) For purposes of this subsection (d), the required
19    execution of sourcing agreements with the initial clean
20    coal facility for a particular year shall be measured as a
21    percentage of the actual amount of electricity
22    (megawatt-hours) supplied by the electric utility to
23    eligible retail customers in the planning year ending
24    immediately prior to the agreement's execution. For
25    purposes of this subsection (d), the amount paid per
26    kilowatthour means the total amount paid for electric

 

 

SB0025 Enrolled- 350 -LRB104 07069 BAB 17106 b

1    service expressed on a per kilowatthour basis. For
2    purposes of this subsection (d), the total amount paid for
3    electric service includes without limitation amounts paid
4    for supply, transmission, distribution, surcharges and
5    add-on taxes.
6        Notwithstanding the requirements of this subsection
7    (d), the total amount paid under sourcing agreements with
8    clean coal facilities pursuant to the procurement plan for
9    any given year shall be reduced by an amount necessary to
10    limit the annual estimated average net increase due to the
11    costs of these resources included in the amounts paid by
12    eligible retail customers in connection with electric
13    service to:
14            (A) in 2010, no more than 0.5% of the amount paid
15        per kilowatthour by those customers during the year
16        ending May 31, 2009;
17            (B) in 2011, the greater of an additional 0.5% of
18        the amount paid per kilowatthour by those customers
19        during the year ending May 31, 2010 or 1% of the amount
20        paid per kilowatthour by those customers during the
21        year ending May 31, 2009;
22            (C) in 2012, the greater of an additional 0.5% of
23        the amount paid per kilowatthour by those customers
24        during the year ending May 31, 2011 or 1.5% of the
25        amount paid per kilowatthour by those customers during
26        the year ending May 31, 2009;

 

 

SB0025 Enrolled- 351 -LRB104 07069 BAB 17106 b

1            (D) in 2013, the greater of an additional 0.5% of
2        the amount paid per kilowatthour by those customers
3        during the year ending May 31, 2012 or 2% of the amount
4        paid per kilowatthour by those customers during the
5        year ending May 31, 2009; and
6            (E) thereafter, the total amount paid under
7        sourcing agreements with clean coal facilities
8        pursuant to the procurement plan for any single year
9        shall be reduced by an amount necessary to limit the
10        estimated average net increase due to the cost of
11        these resources included in the amounts paid by
12        eligible retail customers in connection with electric
13        service to no more than the greater of (i) 2.015% of
14        the amount paid per kilowatthour by those customers
15        during the year ending May 31, 2009 or (ii) the
16        incremental amount per kilowatthour paid for these
17        resources in 2013. These requirements may be altered
18        only as provided by statute.
19        No later than June 30, 2015, the Commission shall
20    review the limitation on the total amount paid under
21    sourcing agreements, if any, with clean coal facilities
22    pursuant to this subsection (d) and report to the General
23    Assembly its findings as to whether that limitation unduly
24    constrains the amount of electricity generated by
25    cost-effective clean coal facilities that is covered by
26    sourcing agreements.

 

 

SB0025 Enrolled- 352 -LRB104 07069 BAB 17106 b

1        (3) Initial clean coal facility. In order to promote
2    development of clean coal facilities in Illinois, each
3    electric utility subject to this Section shall execute a
4    sourcing agreement to source electricity from a proposed
5    clean coal facility in Illinois (the "initial clean coal
6    facility") that will have a nameplate capacity of at least
7    500 MW when commercial operation commences, that has a
8    final Clean Air Act permit on June 1, 2009 (the effective
9    date of Public Act 95-1027), and that will meet the
10    definition of clean coal facility in Section 1-10 of this
11    Act when commercial operation commences. The sourcing
12    agreements with this initial clean coal facility shall be
13    subject to both approval of the initial clean coal
14    facility by the General Assembly and satisfaction of the
15    requirements of paragraph (4) of this subsection (d) and
16    shall be executed within 90 days after any such approval
17    by the General Assembly. The Agency and the Commission
18    shall have authority to inspect all books and records
19    associated with the initial clean coal facility during the
20    term of such a sourcing agreement. A utility's sourcing
21    agreement for electricity produced by the initial clean
22    coal facility shall include:
23            (A) a formula contractual price (the "contract
24        price") approved pursuant to paragraph (4) of this
25        subsection (d), which shall:
26                (i) be determined using a cost of service

 

 

SB0025 Enrolled- 353 -LRB104 07069 BAB 17106 b

1            methodology employing either a level or deferred
2            capital recovery component, based on a capital
3            structure consisting of 45% equity and 55% debt,
4            and a return on equity as may be approved by the
5            Federal Energy Regulatory Commission, which in any
6            case may not exceed the lower of 11.5% or the rate
7            of return approved by the General Assembly
8            pursuant to paragraph (4) of this subsection (d);
9            and
10                (ii) provide that all miscellaneous net
11            revenue, including but not limited to net revenue
12            from the sale of emission allowances, if any,
13            substitute natural gas, if any, grants or other
14            support provided by the State of Illinois or the
15            United States Government, firm transmission
16            rights, if any, by-products produced by the
17            facility, energy or capacity derived from the
18            facility and not covered by a sourcing agreement
19            pursuant to paragraph (3) of this subsection (d)
20            or item (5) of subsection (d) of Section 16-115 of
21            the Public Utilities Act, whether generated from
22            the synthesis gas derived from coal, from SNG, or
23            from natural gas, shall be credited against the
24            revenue requirement for this initial clean coal
25            facility;
26            (B) power purchase provisions, which shall:

 

 

SB0025 Enrolled- 354 -LRB104 07069 BAB 17106 b

1                (i) provide that the utility party to such
2            sourcing agreement shall pay the contract price
3            for electricity delivered under such sourcing
4            agreement;
5                (ii) require delivery of electricity to the
6            regional transmission organization market of the
7            utility that is party to such sourcing agreement;
8                (iii) require the utility party to such
9            sourcing agreement to buy from the initial clean
10            coal facility in each hour an amount of energy
11            equal to all clean coal energy made available from
12            the initial clean coal facility during such hour
13            times a fraction, the numerator of which is such
14            utility's retail market sales of electricity
15            (expressed in kilowatthours sold) in the State
16            during the prior calendar month and the
17            denominator of which is the total retail market
18            sales of electricity (expressed in kilowatthours
19            sold) in the State by utilities during such prior
20            month and the sales of electricity (expressed in
21            kilowatthours sold) in the State by alternative
22            retail electric suppliers during such prior month
23            that are subject to the requirements of this
24            subsection (d) and paragraph (5) of subsection (d)
25            of Section 16-115 of the Public Utilities Act,
26            provided that the amount purchased by the utility

 

 

SB0025 Enrolled- 355 -LRB104 07069 BAB 17106 b

1            in any year will be limited by paragraph (2) of
2            this subsection (d); and
3                (iv) be considered pre-existing contracts in
4            such utility's procurement plans for eligible
5            retail customers;
6            (C) contract for differences provisions, which
7        shall:
8                (i) require the utility party to such sourcing
9            agreement to contract with the initial clean coal
10            facility in each hour with respect to an amount of
11            energy equal to all clean coal energy made
12            available from the initial clean coal facility
13            during such hour times a fraction, the numerator
14            of which is such utility's retail market sales of
15            electricity (expressed in kilowatthours sold) in
16            the utility's service territory in the State
17            during the prior calendar month and the
18            denominator of which is the total retail market
19            sales of electricity (expressed in kilowatthours
20            sold) in the State by utilities during such prior
21            month and the sales of electricity (expressed in
22            kilowatthours sold) in the State by alternative
23            retail electric suppliers during such prior month
24            that are subject to the requirements of this
25            subsection (d) and paragraph (5) of subsection (d)
26            of Section 16-115 of the Public Utilities Act,

 

 

SB0025 Enrolled- 356 -LRB104 07069 BAB 17106 b

1            provided that the amount paid by the utility in
2            any year will be limited by paragraph (2) of this
3            subsection (d);
4                (ii) provide that the utility's payment
5            obligation in respect of the quantity of
6            electricity determined pursuant to the preceding
7            clause (i) shall be limited to an amount equal to
8            (1) the difference between the contract price
9            determined pursuant to subparagraph (A) of
10            paragraph (3) of this subsection (d) and the
11            day-ahead price for electricity delivered to the
12            regional transmission organization market of the
13            utility that is party to such sourcing agreement
14            (or any successor delivery point at which such
15            utility's supply obligations are financially
16            settled on an hourly basis) (the "reference
17            price") on the day preceding the day on which the
18            electricity is delivered to the initial clean coal
19            facility busbar, multiplied by (2) the quantity of
20            electricity determined pursuant to the preceding
21            clause (i); and
22                (iii) not require the utility to take physical
23            delivery of the electricity produced by the
24            facility;
25            (D) general provisions, which shall:
26                (i) specify a term of no more than 30 years,

 

 

SB0025 Enrolled- 357 -LRB104 07069 BAB 17106 b

1            commencing on the commercial operation date of the
2            facility;
3                (ii) provide that utilities shall maintain
4            adequate records documenting purchases under the
5            sourcing agreements entered into to comply with
6            this subsection (d) and shall file an accounting
7            with the load forecast that must be filed with the
8            Agency by July 15 of each year, in accordance with
9            subsection (d) of Section 16-111.5 of the Public
10            Utilities Act;
11                (iii) provide that all costs associated with
12            the initial clean coal facility will be
13            periodically reported to the Federal Energy
14            Regulatory Commission and to purchasers in
15            accordance with applicable laws governing
16            cost-based wholesale power contracts;
17                (iv) permit the Illinois Power Agency to
18            assume ownership of the initial clean coal
19            facility, without monetary consideration and
20            otherwise on reasonable terms acceptable to the
21            Agency, if the Agency so requests no less than 3
22            years prior to the end of the stated contract
23            term;
24                (v) require the owner of the initial clean
25            coal facility to provide documentation to the
26            Commission each year, starting in the facility's

 

 

SB0025 Enrolled- 358 -LRB104 07069 BAB 17106 b

1            first year of commercial operation, accurately
2            reporting the quantity of carbon emissions from
3            the facility that have been captured and
4            sequestered and report any quantities of carbon
5            released from the site or sites at which carbon
6            emissions were sequestered in prior years, based
7            on continuous monitoring of such sites. If, in any
8            year after the first year of commercial operation,
9            the owner of the facility fails to demonstrate
10            that the initial clean coal facility captured and
11            sequestered at least 50% of the total carbon
12            emissions that the facility would otherwise emit
13            or that sequestration of emissions from prior
14            years has failed, resulting in the release of
15            carbon dioxide into the atmosphere, the owner of
16            the facility must offset excess emissions. Any
17            such carbon offsets must be permanent, additional,
18            verifiable, real, located within the State of
19            Illinois, and legally and practicably enforceable.
20            The cost of such offsets for the facility that are
21            not recoverable shall not exceed $15 million in
22            any given year. No costs of any such purchases of
23            carbon offsets may be recovered from a utility or
24            its customers. All carbon offsets purchased for
25            this purpose and any carbon emission credits
26            associated with sequestration of carbon from the

 

 

SB0025 Enrolled- 359 -LRB104 07069 BAB 17106 b

1            facility must be permanently retired. The initial
2            clean coal facility shall not forfeit its
3            designation as a clean coal facility if the
4            facility fails to fully comply with the applicable
5            carbon sequestration requirements in any given
6            year, provided the requisite offsets are
7            purchased. However, the Attorney General, on
8            behalf of the People of the State of Illinois, may
9            specifically enforce the facility's sequestration
10            requirement and the other terms of this contract
11            provision. Compliance with the sequestration
12            requirements and offset purchase requirements
13            specified in paragraph (3) of this subsection (d)
14            shall be reviewed annually by an independent
15            expert retained by the owner of the initial clean
16            coal facility, with the advance written approval
17            of the Attorney General. The Commission may, in
18            the course of the review specified in item (vii),
19            reduce the allowable return on equity for the
20            facility if the facility willfully fails to comply
21            with the carbon capture and sequestration
22            requirements set forth in this item (v);
23                (vi) include limits on, and accordingly
24            provide for modification of, the amount the
25            utility is required to source under the sourcing
26            agreement consistent with paragraph (2) of this

 

 

SB0025 Enrolled- 360 -LRB104 07069 BAB 17106 b

1            subsection (d);
2                (vii) require Commission review: (1) to
3            determine the justness, reasonableness, and
4            prudence of the inputs to the formula referenced
5            in subparagraphs (A)(i) through (A)(iii) of
6            paragraph (3) of this subsection (d), prior to an
7            adjustment in those inputs including, without
8            limitation, the capital structure and return on
9            equity, fuel costs, and other operations and
10            maintenance costs and (2) to approve the costs to
11            be passed through to customers under the sourcing
12            agreement by which the utility satisfies its
13            statutory obligations. Commission review shall
14            occur no less than every 3 years, regardless of
15            whether any adjustments have been proposed, and
16            shall be completed within 9 months;
17                (viii) limit the utility's obligation to such
18            amount as the utility is allowed to recover
19            through tariffs filed with the Commission,
20            provided that neither the clean coal facility nor
21            the utility waives any right to assert federal
22            pre-emption or any other argument in response to a
23            purported disallowance of recovery costs;
24                (ix) limit the utility's or alternative retail
25            electric supplier's obligation to incur any
26            liability until such time as the facility is in

 

 

SB0025 Enrolled- 361 -LRB104 07069 BAB 17106 b

1            commercial operation and generating power and
2            energy and such power and energy is being
3            delivered to the facility busbar;
4                (x) provide that the owner or owners of the
5            initial clean coal facility, which is the
6            counterparty to such sourcing agreement, shall
7            have the right from time to time to elect whether
8            the obligations of the utility party thereto shall
9            be governed by the power purchase provisions or
10            the contract for differences provisions;
11                (xi) append documentation showing that the
12            formula rate and contract, insofar as they relate
13            to the power purchase provisions, have been
14            approved by the Federal Energy Regulatory
15            Commission pursuant to Section 205 of the Federal
16            Power Act;
17                (xii) provide that any changes to the terms of
18            the contract, insofar as such changes relate to
19            the power purchase provisions, are subject to
20            review under the public interest standard applied
21            by the Federal Energy Regulatory Commission
22            pursuant to Sections 205 and 206 of the Federal
23            Power Act; and
24                (xiii) conform with customary lender
25            requirements in power purchase agreements used as
26            the basis for financing non-utility generators.

 

 

SB0025 Enrolled- 362 -LRB104 07069 BAB 17106 b

1        (4) Effective date of sourcing agreements with the
2    initial clean coal facility. Any proposed sourcing
3    agreement with the initial clean coal facility shall not
4    become effective unless the following reports are prepared
5    and submitted and authorizations and approvals obtained:
6            (i) Facility cost report. The owner of the initial
7        clean coal facility shall submit to the Commission,
8        the Agency, and the General Assembly a front-end
9        engineering and design study, a facility cost report,
10        method of financing (including but not limited to
11        structure and associated costs), and an operating and
12        maintenance cost quote for the facility (collectively
13        "facility cost report"), which shall be prepared in
14        accordance with the requirements of this paragraph (4)
15        of subsection (d) of this Section, and shall provide
16        the Commission and the Agency access to the work
17        papers, relied upon documents, and any other backup
18        documentation related to the facility cost report.
19            (ii) Commission report. Within 6 months following
20        receipt of the facility cost report, the Commission,
21        in consultation with the Agency, shall submit a report
22        to the General Assembly setting forth its analysis of
23        the facility cost report. Such report shall include,
24        but not be limited to, a comparison of the costs
25        associated with electricity generated by the initial
26        clean coal facility to the costs associated with

 

 

SB0025 Enrolled- 363 -LRB104 07069 BAB 17106 b

1        electricity generated by other types of generation
2        facilities, an analysis of the rate impacts on
3        residential and small business customers over the life
4        of the sourcing agreements, and an analysis of the
5        likelihood that the initial clean coal facility will
6        commence commercial operation by and be delivering
7        power to the facility's busbar by 2016. To assist in
8        the preparation of its report, the Commission, in
9        consultation with the Agency, may hire one or more
10        experts or consultants, the costs of which shall be
11        paid for by the owner of the initial clean coal
12        facility. The Commission and Agency may begin the
13        process of selecting such experts or consultants prior
14        to receipt of the facility cost report.
15            (iii) General Assembly approval. The proposed
16        sourcing agreements shall not take effect unless,
17        based on the facility cost report and the Commission's
18        report, the General Assembly enacts authorizing
19        legislation approving (A) the projected price, stated
20        in cents per kilowatthour, to be charged for
21        electricity generated by the initial clean coal
22        facility, (B) the projected impact on residential and
23        small business customers' bills over the life of the
24        sourcing agreements, and (C) the maximum allowable
25        return on equity for the project; and
26            (iv) Commission review. If the General Assembly

 

 

SB0025 Enrolled- 364 -LRB104 07069 BAB 17106 b

1        enacts authorizing legislation pursuant to
2        subparagraph (iii) approving a sourcing agreement, the
3        Commission shall, within 90 days of such enactment,
4        complete a review of such sourcing agreement. During
5        such time period, the Commission shall implement any
6        directive of the General Assembly, resolve any
7        disputes between the parties to the sourcing agreement
8        concerning the terms of such agreement, approve the
9        form of such agreement, and issue an order finding
10        that the sourcing agreement is prudent and reasonable.
11        The facility cost report shall be prepared as follows:
12            (A) The facility cost report shall be prepared by
13        duly licensed engineering and construction firms
14        detailing the estimated capital costs payable to one
15        or more contractors or suppliers for the engineering,
16        procurement and construction of the components
17        comprising the initial clean coal facility and the
18        estimated costs of operation and maintenance of the
19        facility. The facility cost report shall include:
20                (i) an estimate of the capital cost of the
21            core plant based on one or more front end
22            engineering and design studies for the
23            gasification island and related facilities. The
24            core plant shall include all civil, structural,
25            mechanical, electrical, control, and safety
26            systems.

 

 

SB0025 Enrolled- 365 -LRB104 07069 BAB 17106 b

1                (ii) an estimate of the capital cost of the
2            balance of the plant, including any capital costs
3            associated with sequestration of carbon dioxide
4            emissions and all interconnects and interfaces
5            required to operate the facility, such as
6            transmission of electricity, construction or
7            backfeed power supply, pipelines to transport
8            substitute natural gas or carbon dioxide, potable
9            water supply, natural gas supply, water supply,
10            water discharge, landfill, access roads, and coal
11            delivery.
12            The quoted construction costs shall be expressed
13        in nominal dollars as of the date that the quote is
14        prepared and shall include capitalized financing costs
15        during construction, taxes, insurance, and other
16        owner's costs, and an assumed escalation in materials
17        and labor beyond the date as of which the construction
18        cost quote is expressed.
19            (B) The front end engineering and design study for
20        the gasification island and the cost study for the
21        balance of plant shall include sufficient design work
22        to permit quantification of major categories of
23        materials, commodities and labor hours, and receipt of
24        quotes from vendors of major equipment required to
25        construct and operate the clean coal facility.
26            (C) The facility cost report shall also include an

 

 

SB0025 Enrolled- 366 -LRB104 07069 BAB 17106 b

1        operating and maintenance cost quote that will provide
2        the estimated cost of delivered fuel, personnel,
3        maintenance contracts, chemicals, catalysts,
4        consumables, spares, and other fixed and variable
5        operations and maintenance costs. The delivered fuel
6        cost estimate will be provided by a recognized third
7        party expert or experts in the fuel and transportation
8        industries. The balance of the operating and
9        maintenance cost quote, excluding delivered fuel
10        costs, will be developed based on the inputs provided
11        by duly licensed engineering and construction firms
12        performing the construction cost quote, potential
13        vendors under long-term service agreements and plant
14        operating agreements, or recognized third party plant
15        operator or operators.
16            The operating and maintenance cost quote
17        (including the cost of the front end engineering and
18        design study) shall be expressed in nominal dollars as
19        of the date that the quote is prepared and shall
20        include taxes, insurance, and other owner's costs, and
21        an assumed escalation in materials and labor beyond
22        the date as of which the operating and maintenance
23        cost quote is expressed.
24            (D) The facility cost report shall also include an
25        analysis of the initial clean coal facility's ability
26        to deliver power and energy into the applicable

 

 

SB0025 Enrolled- 367 -LRB104 07069 BAB 17106 b

1        regional transmission organization markets and an
2        analysis of the expected capacity factor for the
3        initial clean coal facility.
4            (E) Amounts paid to third parties unrelated to the
5        owner or owners of the initial clean coal facility to
6        prepare the core plant construction cost quote,
7        including the front end engineering and design study,
8        and the operating and maintenance cost quote will be
9        reimbursed through Coal Development Bonds.
10        (5) Re-powering and retrofitting coal-fired power
11    plants previously owned by Illinois utilities to qualify
12    as clean coal facilities. During the 2009 procurement
13    planning process and thereafter, the Agency and the
14    Commission shall consider sourcing agreements covering
15    electricity generated by power plants that were previously
16    owned by Illinois utilities and that have been or will be
17    converted into clean coal facilities, as defined by
18    Section 1-10 of this Act. Pursuant to such procurement
19    planning process, the owners of such facilities may
20    propose to the Agency sourcing agreements with utilities
21    and alternative retail electric suppliers required to
22    comply with subsection (d) of this Section and item (5) of
23    subsection (d) of Section 16-115 of the Public Utilities
24    Act, covering electricity generated by such facilities. In
25    the case of sourcing agreements that are power purchase
26    agreements, the contract price for electricity sales shall

 

 

SB0025 Enrolled- 368 -LRB104 07069 BAB 17106 b

1    be established on a cost of service basis. In the case of
2    sourcing agreements that are contracts for differences,
3    the contract price from which the reference price is
4    subtracted shall be established on a cost of service
5    basis. The Agency and the Commission may approve any such
6    utility sourcing agreements that do not exceed cost-based
7    benchmarks developed by the procurement administrator, in
8    consultation with the Commission staff, Agency staff and
9    the procurement monitor, subject to Commission review and
10    approval. The Commission shall have authority to inspect
11    all books and records associated with these clean coal
12    facilities during the term of any such contract.
13        (6) Costs incurred under this subsection (d) or
14    pursuant to a contract entered into under this subsection
15    (d) shall be deemed prudently incurred and reasonable in
16    amount and the electric utility shall be entitled to full
17    cost recovery pursuant to the tariffs filed with the
18    Commission.
19    (d-5) Zero emission standard.
20        (1) Beginning with the delivery year commencing on
21    June 1, 2017, the Agency shall, for electric utilities
22    that serve at least 100,000 retail customers in this
23    State, procure contracts with zero emission facilities
24    that are reasonably capable of generating cost-effective
25    zero emission credits in an amount approximately equal to
26    16% of the actual amount of electricity delivered by each

 

 

SB0025 Enrolled- 369 -LRB104 07069 BAB 17106 b

1    electric utility to retail customers in the State during
2    calendar year 2014. For an electric utility serving fewer
3    than 100,000 retail customers in this State that
4    requested, under Section 16-111.5 of the Public Utilities
5    Act, that the Agency procure power and energy for all or a
6    portion of the utility's Illinois load for the delivery
7    year commencing June 1, 2016, the Agency shall procure
8    contracts with zero emission facilities that are
9    reasonably capable of generating cost-effective zero
10    emission credits in an amount approximately equal to 16%
11    of the portion of power and energy to be procured by the
12    Agency for the utility. The duration of the contracts
13    procured under this subsection (d-5) shall be for a term
14    of 10 years ending May 31, 2027. The quantity of zero
15    emission credits to be procured under the contracts shall
16    be all of the zero emission credits generated by the zero
17    emission facility in each delivery year; however, if the
18    zero emission facility is owned by more than one entity,
19    then the quantity of zero emission credits to be procured
20    under the contracts shall be the amount of zero emission
21    credits that are generated from the portion of the zero
22    emission facility that is owned by the winning supplier.
23        The 16% value identified in this paragraph (1) is the
24    average of the percentage targets in subparagraph (B) of
25    paragraph (1) of subsection (c) of this Section for the 5
26    delivery years beginning June 1, 2017.

 

 

SB0025 Enrolled- 370 -LRB104 07069 BAB 17106 b

1        The procurement process shall be subject to the
2    following provisions:
3            (A) Those zero emission facilities that intend to
4        participate in the procurement shall submit to the
5        Agency the following eligibility information for each
6        zero emission facility on or before the date
7        established by the Agency:
8                (i) the in-service date and remaining useful
9            life of the zero emission facility;
10                (ii) the amount of power generated annually
11            for each of the years 2005 through 2015, and the
12            projected zero emission credits to be generated
13            over the remaining useful life of the zero
14            emission facility, which shall be used to
15            determine the capability of each facility;
16                (iii) the annual zero emission facility cost
17            projections, expressed on a per megawatthour
18            basis, over the next 6 delivery years, which shall
19            include the following: operation and maintenance
20            expenses; fully allocated overhead costs, which
21            shall be allocated using the methodology developed
22            by the Institute for Nuclear Power Operations;
23            fuel expenditures; non-fuel capital expenditures;
24            spent fuel expenditures; a return on working
25            capital; the cost of operational and market risks
26            that could be avoided by ceasing operation; and

 

 

SB0025 Enrolled- 371 -LRB104 07069 BAB 17106 b

1            any other costs necessary for continued
2            operations, provided that "necessary" means, for
3            purposes of this item (iii), that the costs could
4            reasonably be avoided only by ceasing operations
5            of the zero emission facility; and
6                (iv) a commitment to continue operating, for
7            the duration of the contract or contracts executed
8            under the procurement held under this subsection
9            (d-5), the zero emission facility that produces
10            the zero emission credits to be procured in the
11            procurement.
12            The information described in item (iii) of this
13        subparagraph (A) may be submitted on a confidential
14        basis and shall be treated and maintained by the
15        Agency, the procurement administrator, and the
16        Commission as confidential and proprietary and exempt
17        from disclosure under subparagraphs (a) and (g) of
18        paragraph (1) of Section 7 of the Freedom of
19        Information Act. The Office of Attorney General shall
20        have access to, and maintain the confidentiality of,
21        such information pursuant to Section 6.5 of the
22        Attorney General Act.
23            (B) The price for each zero emission credit
24        procured under this subsection (d-5) for each delivery
25        year shall be in an amount that equals the Social Cost
26        of Carbon, expressed on a price per megawatthour

 

 

SB0025 Enrolled- 372 -LRB104 07069 BAB 17106 b

1        basis. However, to ensure that the procurement remains
2        affordable to retail customers in this State if
3        electricity prices increase, the price in an
4        applicable delivery year shall be reduced below the
5        Social Cost of Carbon by the amount ("Price
6        Adjustment") by which the market price index for the
7        applicable delivery year exceeds the baseline market
8        price index for the consecutive 12-month period ending
9        May 31, 2016. If the Price Adjustment is greater than
10        or equal to the Social Cost of Carbon in an applicable
11        delivery year, then no payments shall be due in that
12        delivery year. The components of this calculation are
13        defined as follows:
14                (i) Social Cost of Carbon: The Social Cost of
15            Carbon is $16.50 per megawatthour, which is based
16            on the U.S. Interagency Working Group on Social
17            Cost of Carbon's price in the August 2016
18            Technical Update using a 3% discount rate,
19            adjusted for inflation for each year of the
20            program. Beginning with the delivery year
21            commencing June 1, 2023, the price per
22            megawatthour shall increase by $1 per
23            megawatthour, and continue to increase by an
24            additional $1 per megawatthour each delivery year
25            thereafter.
26                (ii) Baseline market price index: The baseline

 

 

SB0025 Enrolled- 373 -LRB104 07069 BAB 17106 b

1            market price index for the consecutive 12-month
2            period ending May 31, 2016 is $31.40 per
3            megawatthour, which is based on the sum of (aa)
4            the average day-ahead energy price across all
5            hours of such 12-month period at the PJM
6            Interconnection LLC Northern Illinois Hub, (bb)
7            50% multiplied by the Base Residual Auction, or
8            its successor, capacity price for the rest of the
9            RTO zone group determined by PJM Interconnection
10            LLC, divided by 24 hours per day, and (cc) 50%
11            multiplied by the Planning Resource Auction, or
12            its successor, capacity price for Zone 4
13            determined by the Midcontinent Independent System
14            Operator, Inc., divided by 24 hours per day.
15                (iii) Market price index: The market price
16            index for a delivery year shall be the sum of
17            projected energy prices and projected capacity
18            prices determined as follows:
19                    (aa) Projected energy prices: the
20                projected energy prices for the applicable
21                delivery year shall be calculated once for the
22                year using the forward market price for the
23                PJM Interconnection, LLC Northern Illinois
24                Hub. The forward market price shall be
25                calculated as follows: the energy forward
26                prices for each month of the applicable

 

 

SB0025 Enrolled- 374 -LRB104 07069 BAB 17106 b

1                delivery year averaged for each trade date
2                during the calendar year immediately preceding
3                that delivery year to produce a single energy
4                forward price for the delivery year. The
5                forward market price calculation shall use
6                data published by the Intercontinental
7                Exchange, or its successor.
8                    (bb) Projected capacity prices:
9                        (I) For the delivery years commencing
10                    June 1, 2017, June 1, 2018, and June 1,
11                    2019, the projected capacity price shall
12                    be equal to the sum of (1) 50% multiplied
13                    by the Base Residual Auction, or its
14                    successor, price for the rest of the RTO
15                    zone group as determined by PJM
16                    Interconnection LLC, divided by 24 hours
17                    per day and, (2) 50% multiplied by the
18                    resource auction price determined in the
19                    resource auction administered by the
20                    Midcontinent Independent System Operator,
21                    Inc., in which the largest percentage of
22                    load cleared for Local Resource Zone 4,
23                    divided by 24 hours per day, and where
24                    such price is determined by the
25                    Midcontinent Independent System Operator,
26                    Inc.

 

 

SB0025 Enrolled- 375 -LRB104 07069 BAB 17106 b

1                        (II) For the delivery year commencing
2                    June 1, 2020, and each year thereafter,
3                    the projected capacity price shall be
4                    equal to the sum of (1) 50% multiplied by
5                    the Base Residual Auction, or its
6                    successor, price for the ComEd zone as
7                    determined by PJM Interconnection LLC,
8                    divided by 24 hours per day, and (2) 50%
9                    multiplied by the resource auction price
10                    determined in the resource auction
11                    administered by the Midcontinent
12                    Independent System Operator, Inc., in
13                    which the largest percentage of load
14                    cleared for Local Resource Zone 4, divided
15                    by 24 hours per day, and where such price
16                    is determined by the Midcontinent
17                    Independent System Operator, Inc.
18            For purposes of this subsection (d-5):
19                "Rest of the RTO" and "ComEd Zone" shall have
20            the meaning ascribed to them by PJM
21            Interconnection, LLC.
22                "RTO" means regional transmission
23            organization.
24            (C) No later than 45 days after June 1, 2017 (the
25        effective date of Public Act 99-906), the Agency shall
26        publish its proposed zero emission standard

 

 

SB0025 Enrolled- 376 -LRB104 07069 BAB 17106 b

1        procurement plan. The plan shall be consistent with
2        the provisions of this paragraph (1) and shall provide
3        that winning bids shall be selected based on public
4        interest criteria that include, but are not limited
5        to, minimizing carbon dioxide emissions that result
6        from electricity consumed in Illinois and minimizing
7        sulfur dioxide, nitrogen oxide, and particulate matter
8        emissions that adversely affect the citizens of this
9        State. In particular, the selection of winning bids
10        shall take into account the incremental environmental
11        benefits resulting from the procurement, such as any
12        existing environmental benefits that are preserved by
13        the procurements held under Public Act 99-906 and
14        would cease to exist if the procurements were not
15        held, including the preservation of zero emission
16        facilities. The plan shall also describe in detail how
17        each public interest factor shall be considered and
18        weighted in the bid selection process to ensure that
19        the public interest criteria are applied to the
20        procurement and given full effect.
21            For purposes of developing the plan, the Agency
22        shall consider any reports issued by a State agency,
23        board, or commission under House Resolution 1146 of
24        the 98th General Assembly and paragraph (4) of
25        subsection (d) of this Section, as well as publicly
26        available analyses and studies performed by or for

 

 

SB0025 Enrolled- 377 -LRB104 07069 BAB 17106 b

1        regional transmission organizations that serve the
2        State and their independent market monitors.
3            Upon publishing of the zero emission standard
4        procurement plan, copies of the plan shall be posted
5        and made publicly available on the Agency's website.
6        All interested parties shall have 10 days following
7        the date of posting to provide comment to the Agency on
8        the plan. All comments shall be posted to the Agency's
9        website. Following the end of the comment period, but
10        no more than 60 days later than June 1, 2017 (the
11        effective date of Public Act 99-906), the Agency shall
12        revise the plan as necessary based on the comments
13        received and file its zero emission standard
14        procurement plan with the Commission.
15            If the Commission determines that the plan will
16        result in the procurement of cost-effective zero
17        emission credits, then the Commission shall, after
18        notice and hearing, but no later than 45 days after the
19        Agency filed the plan, approve the plan or approve
20        with modification. For purposes of this subsection
21        (d-5), "cost effective" means the projected costs of
22        procuring zero emission credits from zero emission
23        facilities do not cause the limit stated in paragraph
24        (2) of this subsection to be exceeded.
25            (C-5) As part of the Commission's review and
26        acceptance or rejection of the procurement results,

 

 

SB0025 Enrolled- 378 -LRB104 07069 BAB 17106 b

1        the Commission shall, in its public notice of
2        successful bidders:
3                (i) identify how the winning bids satisfy the
4            public interest criteria described in subparagraph
5            (C) of this paragraph (1) of minimizing carbon
6            dioxide emissions that result from electricity
7            consumed in Illinois and minimizing sulfur
8            dioxide, nitrogen oxide, and particulate matter
9            emissions that adversely affect the citizens of
10            this State;
11                (ii) specifically address how the selection of
12            winning bids takes into account the incremental
13            environmental benefits resulting from the
14            procurement, including any existing environmental
15            benefits that are preserved by the procurements
16            held under Public Act 99-906 and would have ceased
17            to exist if the procurements had not been held,
18            such as the preservation of zero emission
19            facilities;
20                (iii) quantify the environmental benefit of
21            preserving the resources identified in item (ii)
22            of this subparagraph (C-5), including the
23            following:
24                    (aa) the value of avoided greenhouse gas
25                emissions measured as the product of the zero
26                emission facilities' output over the contract

 

 

SB0025 Enrolled- 379 -LRB104 07069 BAB 17106 b

1                term multiplied by the U.S. Environmental
2                Protection Agency eGrid subregion carbon
3                dioxide emission rate and the U.S. Interagency
4                Working Group on Social Cost of Carbon's price
5                in the August 2016 Technical Update using a 3%
6                discount rate, adjusted for inflation for each
7                delivery year; and
8                    (bb) the costs of replacement with other
9                zero carbon dioxide resources, including wind
10                and photovoltaic, based upon the simple
11                average of the following:
12                        (I) the price, or if there is more
13                    than one price, the average of the prices,
14                    paid for renewable energy credits from new
15                    utility-scale wind projects in the
16                    procurement events specified in item (i)
17                    of subparagraph (G) of paragraph (1) of
18                    subsection (c) of this Section; and
19                        (II) the price, or if there is more
20                    than one price, the average of the prices,
21                    paid for renewable energy credits from new
22                    utility-scale solar projects and
23                    brownfield site photovoltaic projects in
24                    the procurement events specified in item
25                    (ii) of subparagraph (G) of paragraph (1)
26                    of subsection (c) of this Section and,

 

 

SB0025 Enrolled- 380 -LRB104 07069 BAB 17106 b

1                    after January 1, 2015, renewable energy
2                    credits from photovoltaic distributed
3                    generation projects in procurement events
4                    held under subsection (c) of this Section.
5            Each utility shall enter into binding contractual
6        arrangements with the winning suppliers.
7            The procurement described in this subsection
8        (d-5), including, but not limited to, the execution of
9        all contracts procured, shall be completed no later
10        than May 10, 2017. Based on the effective date of
11        Public Act 99-906, the Agency and Commission may, as
12        appropriate, modify the various dates and timelines
13        under this subparagraph and subparagraphs (C) and (D)
14        of this paragraph (1). The procurement and plan
15        approval processes required by this subsection (d-5)
16        shall be conducted in conjunction with the procurement
17        and plan approval processes required by subsection (c)
18        of this Section and Section 16-111.5 of the Public
19        Utilities Act, to the extent practicable.
20        Notwithstanding whether a procurement event is
21        conducted under Section 16-111.5 of the Public
22        Utilities Act, the Agency shall immediately initiate a
23        procurement process on June 1, 2017 (the effective
24        date of Public Act 99-906).
25            (D) Following the procurement event described in
26        this paragraph (1) and consistent with subparagraph

 

 

SB0025 Enrolled- 381 -LRB104 07069 BAB 17106 b

1        (B) of this paragraph (1), the Agency shall calculate
2        the payments to be made under each contract for the
3        next delivery year based on the market price index for
4        that delivery year. The Agency shall publish the
5        payment calculations no later than May 25, 2017 and
6        every May 25 thereafter.
7            (E) Notwithstanding the requirements of this
8        subsection (d-5), the contracts executed under this
9        subsection (d-5) shall provide that the zero emission
10        facility may, as applicable, suspend or terminate
11        performance under the contracts in the following
12        instances:
13                (i) A zero emission facility shall be excused
14            from its performance under the contract for any
15            cause beyond the control of the resource,
16            including, but not restricted to, acts of God,
17            flood, drought, earthquake, storm, fire,
18            lightning, epidemic, war, riot, civil disturbance
19            or disobedience, labor dispute, labor or material
20            shortage, sabotage, acts of public enemy,
21            explosions, orders, regulations or restrictions
22            imposed by governmental, military, or lawfully
23            established civilian authorities, which, in any of
24            the foregoing cases, by exercise of commercially
25            reasonable efforts the zero emission facility
26            could not reasonably have been expected to avoid,

 

 

SB0025 Enrolled- 382 -LRB104 07069 BAB 17106 b

1            and which, by the exercise of commercially
2            reasonable efforts, it has been unable to
3            overcome. In such event, the zero emission
4            facility shall be excused from performance for the
5            duration of the event, including, but not limited
6            to, delivery of zero emission credits, and no
7            payment shall be due to the zero emission facility
8            during the duration of the event.
9                (ii) A zero emission facility shall be
10            permitted to terminate the contract if legislation
11            is enacted into law by the General Assembly that
12            imposes or authorizes a new tax, special
13            assessment, or fee on the generation of
14            electricity, the ownership or leasehold of a
15            generating unit, or the privilege or occupation of
16            such generation, ownership, or leasehold of
17            generation units by a zero emission facility.
18            However, the provisions of this item (ii) do not
19            apply to any generally applicable tax, special
20            assessment or fee, or requirements imposed by
21            federal law.
22                (iii) A zero emission facility shall be
23            permitted to terminate the contract in the event
24            that the resource requires capital expenditures in
25            excess of $40,000,000 that were neither known nor
26            reasonably foreseeable at the time it executed the

 

 

SB0025 Enrolled- 383 -LRB104 07069 BAB 17106 b

1            contract and that a prudent owner or operator of
2            such resource would not undertake.
3                (iv) A zero emission facility shall be
4            permitted to terminate the contract in the event
5            the Nuclear Regulatory Commission terminates the
6            resource's license.
7            (F) If the zero emission facility elects to
8        terminate a contract under subparagraph (E) of this
9        paragraph (1), then the Commission shall reopen the
10        docket in which the Commission approved the zero
11        emission standard procurement plan under subparagraph
12        (C) of this paragraph (1) and, after notice and
13        hearing, enter an order acknowledging the contract
14        termination election if such termination is consistent
15        with the provisions of this subsection (d-5).
16        (2) For purposes of this subsection (d-5), the amount
17    paid per kilowatthour means the total amount paid for
18    electric service expressed on a per kilowatthour basis.
19    For purposes of this subsection (d-5), the total amount
20    paid for electric service includes, without limitation,
21    amounts paid for supply, transmission, distribution,
22    surcharges, and add-on taxes.
23        Notwithstanding the requirements of this subsection
24    (d-5), the contracts executed under this subsection (d-5)
25    shall provide that the total of zero emission credits
26    procured under a procurement plan shall be subject to the

 

 

SB0025 Enrolled- 384 -LRB104 07069 BAB 17106 b

1    limitations of this paragraph (2). For each delivery year,
2    the contractual volume receiving payments in such year
3    shall be reduced for all retail customers based on the
4    amount necessary to limit the net increase that delivery
5    year to the costs of those credits included in the amounts
6    paid by eligible retail customers in connection with
7    electric service to no more than 1.65% of the amount paid
8    per kilowatthour by eligible retail customers during the
9    year ending May 31, 2009. The result of this computation
10    shall apply to and reduce the procurement for all retail
11    customers, and all those customers shall pay the same
12    single, uniform cents per kilowatthour charge under
13    subsection (k) of Section 16-108 of the Public Utilities
14    Act. To arrive at a maximum dollar amount of zero emission
15    credits to be paid for the particular delivery year, the
16    resulting per kilowatthour amount shall be applied to the
17    actual amount of kilowatthours of electricity delivered by
18    the electric utility in the delivery year immediately
19    prior to the procurement, to all retail customers in its
20    service territory. Unpaid contractual volume for any
21    delivery year shall be paid in any subsequent delivery
22    year in which such payments can be made without exceeding
23    the amount specified in this paragraph (2). The
24    calculations required by this paragraph (2) shall be made
25    only once for each procurement plan year. Once the
26    determination as to the amount of zero emission credits to

 

 

SB0025 Enrolled- 385 -LRB104 07069 BAB 17106 b

1    be paid is made based on the calculations set forth in this
2    paragraph (2), no subsequent rate impact determinations
3    shall be made and no adjustments to those contract amounts
4    shall be allowed. All costs incurred under those contracts
5    and in implementing this subsection (d-5) shall be
6    recovered by the electric utility as provided in this
7    Section.
8        No later than June 30, 2019, the Commission shall
9    review the limitation on the amount of zero emission
10    credits procured under this subsection (d-5) and report to
11    the General Assembly its findings as to whether that
12    limitation unduly constrains the procurement of
13    cost-effective zero emission credits.
14        (3) Six years after the execution of a contract under
15    this subsection (d-5), the Agency shall determine whether
16    the actual zero emission credit payments received by the
17    supplier over the 6-year period exceed the Average ZEC
18    Payment. In addition, at the end of the term of a contract
19    executed under this subsection (d-5), or at the time, if
20    any, a zero emission facility's contract is terminated
21    under subparagraph (E) of paragraph (1) of this subsection
22    (d-5), then the Agency shall determine whether the actual
23    zero emission credit payments received by the supplier
24    over the term of the contract exceed the Average ZEC
25    Payment, after taking into account any amounts previously
26    credited back to the utility under this paragraph (3). If

 

 

SB0025 Enrolled- 386 -LRB104 07069 BAB 17106 b

1    the Agency determines that the actual zero emission credit
2    payments received by the supplier over the relevant period
3    exceed the Average ZEC Payment, then the supplier shall
4    credit the difference back to the utility. The amount of
5    the credit shall be remitted to the applicable electric
6    utility no later than 120 days after the Agency's
7    determination, which the utility shall reflect as a credit
8    on its retail customer bills as soon as practicable;
9    however, the credit remitted to the utility shall not
10    exceed the total amount of payments received by the
11    facility under its contract.
12        For purposes of this Section, the Average ZEC Payment
13    shall be calculated by multiplying the quantity of zero
14    emission credits delivered under the contract times the
15    average contract price. The average contract price shall
16    be determined by subtracting the amount calculated under
17    subparagraph (B) of this paragraph (3) from the amount
18    calculated under subparagraph (A) of this paragraph (3),
19    as follows:
20            (A) The average of the Social Cost of Carbon, as
21        defined in subparagraph (B) of paragraph (1) of this
22        subsection (d-5), during the term of the contract.
23            (B) The average of the market price indices, as
24        defined in subparagraph (B) of paragraph (1) of this
25        subsection (d-5), during the term of the contract,
26        minus the baseline market price index, as defined in

 

 

SB0025 Enrolled- 387 -LRB104 07069 BAB 17106 b

1        subparagraph (B) of paragraph (1) of this subsection
2        (d-5).
3        If the subtraction yields a negative number, then the
4    Average ZEC Payment shall be zero.
5        (4) Cost-effective zero emission credits procured from
6    zero emission facilities shall satisfy the applicable
7    definitions set forth in Section 1-10 of this Act.
8        (5) The electric utility shall retire all zero
9    emission credits used to comply with the requirements of
10    this subsection (d-5).
11        (6) Electric utilities shall be entitled to recover
12    all of the costs associated with the procurement of zero
13    emission credits through an automatic adjustment clause
14    tariff in accordance with subsection (k) and (m) of
15    Section 16-108 of the Public Utilities Act, and the
16    contracts executed under this subsection (d-5) shall
17    provide that the utilities' payment obligations under such
18    contracts shall be reduced if an adjustment is required
19    under subsection (m) of Section 16-108 of the Public
20    Utilities Act.
21        (7) This subsection (d-5) shall become inoperative on
22    January 1, 2028.
23    (d-10) Nuclear Plant Assistance; carbon mitigation
24credits.
25    (1) The General Assembly finds:
26        (A) The health, welfare, and prosperity of all

 

 

SB0025 Enrolled- 388 -LRB104 07069 BAB 17106 b

1    Illinois citizens require that the State of Illinois act
2    to avoid and not increase carbon emissions from electric
3    generation sources while continuing to ensure affordable,
4    stable, and reliable electricity to all citizens.
5        (B) Absent immediate action by the State to preserve
6    existing carbon-free energy resources, those resources may
7    retire, and the electric generation needs of Illinois'
8    retail customers may be met instead by facilities that
9    emit significant amounts of carbon pollution and other
10    harmful air pollutants at a high social and economic cost
11    until Illinois is able to develop other forms of clean
12    energy.
13        (C) The General Assembly finds that nuclear power
14    generation is necessary for the State's transition to 100%
15    clean energy, and ensuring continued operation of nuclear
16    plants advances environmental and public health interests
17    through providing carbon-free electricity while reducing
18    the air pollution profile of the Illinois energy
19    generation fleet.
20        (D) The clean energy attributes of nuclear generation
21    facilities support the State in its efforts to achieve
22    100% clean energy.
23        (E) The State currently invests in various forms of
24    clean energy, including, but not limited to, renewable
25    energy, energy efficiency, and low-emission vehicles,
26    among others.

 

 

SB0025 Enrolled- 389 -LRB104 07069 BAB 17106 b

1        (F) The Environmental Protection Agency commissioned
2    an independent audit which provided a detailed assessment
3    of the financial condition of the Illinois nuclear fleet
4    to evaluate its financial viability and whether the
5    environmental benefits of such resources were at risk. The
6    report identified the risk of losing the environmental
7    benefits of several specific nuclear units. The report
8    also identified that the LaSalle County Generating Station
9    will continue to operate through 2026 and therefore is not
10    eligible to participate in the carbon mitigation credit
11    program.
12        (G) Nuclear plants provide carbon-free energy, which
13    helps to avoid many health-related negative impacts for
14    Illinois residents.
15        (H) The procurement of carbon mitigation credits
16    representing the environmental benefits of carbon-free
17    generation will further the State's efforts at achieving
18    100% clean energy and decarbonizing the electricity sector
19    in a safe, reliable, and affordable manner. Further, the
20    procurement of carbon emission credits will enhance the
21    health and welfare of Illinois residents through decreased
22    reliance on more highly polluting generation.
23        (I) The General Assembly therefore finds it necessary
24    to establish carbon mitigation credits to ensure decreased
25    reliance on more carbon-intensive energy resources, for
26    transitioning to a fully decarbonized electricity sector,

 

 

SB0025 Enrolled- 390 -LRB104 07069 BAB 17106 b

1    and to help ensure health and welfare of the State's
2    residents.
3    (2) As used in this subsection:
4    "Baseline costs" means costs used to establish a customer
5protection cap that have been evaluated through an independent
6audit of a carbon-free energy resource conducted by the
7Environmental Protection Agency that evaluated projected
8annual costs for operation and maintenance expenses; fully
9allocated overhead costs, which shall be allocated using the
10methodology developed by the Institute for Nuclear Power
11Operations; fuel expenditures; nonfuel capital expenditures;
12spent fuel expenditures; a return on working capital; the cost
13of operational and market risks that could be avoided by
14ceasing operation; and any other costs necessary for continued
15operations, provided that "necessary" means, for purposes of
16this definition, that the costs could reasonably be avoided
17only by ceasing operations of the carbon-free energy resource.
18    "Carbon mitigation credit" means a tradable credit that
19represents the carbon emission reduction attributes of one
20megawatt-hour of energy produced from a carbon-free energy
21resource.
22    "Carbon-free energy resource" means a generation facility
23that: (1) is fueled by nuclear power; and (2) is
24interconnected to PJM Interconnection, LLC.
25    (3) Procurement.
26        (A) Beginning with the delivery year commencing on

 

 

SB0025 Enrolled- 391 -LRB104 07069 BAB 17106 b

1    June 1, 2022, the Agency shall, for electric utilities
2    serving at least 3,000,000 retail customers in the State,
3    seek to procure contracts for no more than approximately
4    54,500,000 cost-effective carbon mitigation credits from
5    carbon-free energy resources because such credits are
6    necessary to support current levels of carbon-free energy
7    generation and ensure the State meets its carbon dioxide
8    emissions reduction goals. The Agency shall not make a
9    partial award of a contract for carbon mitigation credits
10    covering a fractional amount of a carbon-free energy
11    resource's projected output.
12        (B) Each carbon-free energy resource that intends to
13    participate in a procurement shall be required to submit
14    to the Agency the following information for the resource
15    on or before the date established by the Agency:
16            (i) the in-service date and remaining useful life
17        of the carbon-free energy resource;
18            (ii) the amount of power generated annually for
19        each of the past 10 years, which shall be used to
20        determine the capability of each facility;
21            (iii) a commitment to be reflected in any contract
22        entered into pursuant to this subsection (d-10) to
23        continue operating the carbon-free energy resource at
24        a capacity factor of at least 88% annually on average
25        for the duration of the contract or contracts executed
26        under the procurement held under this subsection

 

 

SB0025 Enrolled- 392 -LRB104 07069 BAB 17106 b

1        (d-10), except in an instance described in
2        subparagraph (E) of paragraph (1) of subsection (d-5)
3        of this Section or made impracticable as a result of
4        compliance with law or regulation;
5            (iv) financial need and the risk of loss of the
6        environmental benefits of such resource, which shall
7        include the following information:
8                (I) the carbon-free energy resource's cost
9            projections, expressed on a per megawatt-hour
10            basis, over the next 5 delivery years, which shall
11            include the following: operation and maintenance
12            expenses; fully allocated overhead costs, which
13            shall be allocated using the methodology developed
14            by the Institute for Nuclear Power Operations;
15            fuel expenditures; nonfuel capital expenditures;
16            spent fuel expenditures; a return on working
17            capital; the cost of operational and market risks
18            that could be avoided by ceasing operation; and
19            any other costs necessary for continued
20            operations, provided that "necessary" means, for
21            purposes of this subitem (I), that the costs could
22            reasonably be avoided only by ceasing operations
23            of the carbon-free energy resource; and
24                (II) the carbon-free energy resource's revenue
25            projections, including energy, capacity, ancillary
26            services, any other direct State support, known or

 

 

SB0025 Enrolled- 393 -LRB104 07069 BAB 17106 b

1            anticipated federal attribute credits, known or
2            anticipated tax credits, and any other direct
3            federal support.
4        The information described in this subparagraph (B) may
5    be submitted on a confidential basis and shall be treated
6    and maintained by the Agency, the procurement
7    administrator, and the Commission as confidential and
8    proprietary and exempt from disclosure under subparagraphs
9    (a) and (g) of paragraph (1) of Section 7 of the Freedom of
10    Information Act. The Office of the Attorney General shall
11    have access to, and maintain the confidentiality of, such
12    information pursuant to Section 6.5 of the Attorney
13    General Act.
14        (C) The Agency shall solicit bids for the contracts
15    described in this subsection (d-10) from carbon-free
16    energy resources that have satisfied the requirements of
17    subparagraph (B) of this paragraph (3). The contracts
18    procured pursuant to a procurement event shall reflect,
19    and be subject to, the following terms, requirements, and
20    limitations:
21            (i) Contracts are for delivery of carbon
22        mitigation credits, and are not energy or capacity
23        sales contracts requiring physical delivery. Pursuant
24        to item (iii), contract payments shall fully deduct
25        the value of any monetized federal production tax
26        credits, credits issued pursuant to a federal clean

 

 

SB0025 Enrolled- 394 -LRB104 07069 BAB 17106 b

1        energy standard, and other federal credits if
2        applicable.
3            (ii) Contracts for carbon mitigation credits shall
4        commence with the delivery year beginning on June 1,
5        2022 and shall be for a term of 5 delivery years
6        concluding on May 31, 2027.
7            (iii) The price per carbon mitigation credit to be
8        paid under a contract for a given delivery year shall
9        be equal to an accepted bid price less the sum of:
10                (I) one of the following energy price indices,
11            selected by the bidder at the time of the bid for
12            the term of the contract:
13                    (aa) the weighted-average hourly day-ahead
14                price for the applicable delivery year at the
15                busbar of all resources procured pursuant to
16                this subsection (d-10), weighted by actual
17                production from the resources; or
18                    (bb) the projected energy price for the
19                PJM Interconnection, LLC Northern Illinois Hub
20                for the applicable delivery year determined
21                according to subitem (aa) of item (iii) of
22                subparagraph (B) of paragraph (1) of
23                subsection (d-5).
24                (II) the Base Residual Auction Capacity Price
25            for the ComEd zone as determined by PJM
26            Interconnection, LLC, divided by 24 hours per day,

 

 

SB0025 Enrolled- 395 -LRB104 07069 BAB 17106 b

1            for the applicable delivery year for the first 3
2            delivery years, and then any subsequent delivery
3            years unless the PJM Interconnection, LLC applies
4            the Minimum Offer Price Rule to participating
5            carbon-free energy resources because they supply
6            carbon mitigation credits pursuant to this Section
7            at which time, upon notice by the carbon-free
8            energy resource to the Commission and subject to
9            the Commission's confirmation, the value under
10            this subitem shall be zero, as further described
11            in the carbon mitigation credit procurement plan;
12            and
13                (III) any value of monetized federal tax
14            credits, direct payments, or similar subsidy
15            provided to the carbon-free energy resource from
16            any unit of government that is not already
17            reflected in energy prices.
18            If the price-per-megawatt-hour calculation
19        performed under item (iii) of this subparagraph (C)
20        for a given delivery year results in a net positive
21        value, then the electric utility counterparty to the
22        contract shall multiply such net value by the
23        applicable contract quantity and remit the amount to
24        the supplier.
25            To protect retail customers from retail rate
26        impacts that may arise upon the initiation of carbon

 

 

SB0025 Enrolled- 396 -LRB104 07069 BAB 17106 b

1        policy changes, if the price-per-megawatt-hour
2        calculation performed under item (iii) of this
3        subparagraph (C) for a given delivery year results in
4        a net negative value, then the supplier counterparty
5        to the contract shall multiply such net value by the
6        applicable contract quantity and remit such amount to
7        the electric utility counterparty. The electric
8        utility shall reflect such amounts remitted by
9        suppliers as a credit on its retail customer bills as
10        soon as practicable.
11            (iv) To ensure that retail customers in Northern
12        Illinois do not pay more for carbon mitigation credits
13        than the value such credits provide, and
14        notwithstanding the provisions of this subsection
15        (d-10), the Agency shall not accept bids for contracts
16        that exceed a customer protection cap equal to the
17        baseline costs of carbon-free energy resources.
18            The baseline costs for the applicable year shall
19        be the following:
20                (I) For the delivery year beginning June 1,
21            2022, the baseline costs shall be an amount equal
22            to $30.30 per megawatt-hour.
23                (II) For the delivery year beginning June 1,
24            2023, the baseline costs shall be an amount equal
25            to $32.50 per megawatt-hour.
26                (III) For the delivery year beginning June 1,

 

 

SB0025 Enrolled- 397 -LRB104 07069 BAB 17106 b

1            2024, the baseline costs shall be an amount equal
2            to $33.43 per megawatt-hour.
3                (IV) For the delivery year beginning June 1,
4            2025, the baseline costs shall be an amount equal
5            to $33.50 per megawatt-hour.
6                (V) For the delivery year beginning June 1,
7            2026, the baseline costs shall be an amount equal
8            to $34.50 per megawatt-hour.
9            An Environmental Protection Agency consultant
10        forecast, included in a report issued April 14, 2021,
11        projects that a carbon-free energy resource has the
12        opportunity to earn on average approximately $30.28
13        per megawatt-hour, for the sale of energy and capacity
14        during the time period between 2022 and 2027.
15        Therefore, the sale of carbon mitigation credits
16        provides the opportunity to receive an additional
17        amount per megawatt-hour in addition to the projected
18        prices for energy and capacity.
19            Although actual energy and capacity prices may
20        vary from year-to-year, the General Assembly finds
21        that this customer protection cap will help ensure
22        that the cost of carbon mitigation credits will be
23        less than its value, based upon the social cost of
24        carbon identified in the Technical Support Document
25        issued in February 2021 by the U.S. Interagency
26        Working Group on Social Cost of Greenhouse Gases and

 

 

SB0025 Enrolled- 398 -LRB104 07069 BAB 17106 b

1        the PJM Interconnection, LLC carbon dioxide marginal
2        emission rate for 2020, and that a carbon-free energy
3        resource receiving payment for carbon mitigation
4        credits receives no more than necessary to keep those
5        units in operation.
6        (D) No later than 7 days after the effective date of
7    this amendatory Act of the 102nd General Assembly, the
8    Agency shall publish its proposed carbon mitigation credit
9    procurement plan. The Plan shall provide that winning bids
10    shall be selected by taking into consideration which
11    resources best match public interest criteria that
12    include, but are not limited to, minimizing carbon dioxide
13    emissions that result from electricity consumed in
14    Illinois and minimizing sulfur dioxide, nitrogen oxide,
15    and particulate matter emissions that adversely affect the
16    citizens of this State. The selection of winning bids
17    shall also take into account the incremental environmental
18    benefits resulting from the procurement or procurements,
19    such as any existing environmental benefits that are
20    preserved by a procurement held under this subsection
21    (d-10) and would cease to exist if the procurement were
22    not held, including the preservation of carbon-free energy
23    resources. For those bidders having the same public
24    interest criteria score, the relative ranking of such
25    bidders shall be determined by price. The Plan shall
26    describe in detail how each public interest factor shall

 

 

SB0025 Enrolled- 399 -LRB104 07069 BAB 17106 b

1    be considered and weighted in the bid selection process to
2    ensure that the public interest criteria are applied to
3    the procurement. The Plan shall, to the extent practical
4    and permissible by federal law, ensure that successful
5    bidders make commercially reasonable efforts to apply for
6    federal tax credits, direct payments, or similar subsidy
7    programs that support carbon-free generation and for which
8    the successful bidder is eligible. Upon publishing of the
9    carbon mitigation credit procurement plan, copies of the
10    plan shall be posted and made publicly available on the
11    Agency's website. All interested parties shall have 7 days
12    following the date of posting to provide comment to the
13    Agency on the plan. All comments shall be posted to the
14    Agency's website. Following the end of the comment period,
15    but no more than 19 days later than the effective date of
16    this amendatory Act of the 102nd General Assembly, the
17    Agency shall revise the plan as necessary based on the
18    comments received and file its carbon mitigation credit
19    procurement plan with the Commission.
20        (E) If the Commission determines that the plan is
21    likely to result in the procurement of cost-effective
22    carbon mitigation credits, then the Commission shall,
23    after notice and hearing and opportunity for comment, but
24    no later than 42 days after the Agency filed the plan,
25    approve the plan or approve it with modification. For
26    purposes of this subsection (d-10), "cost-effective" means

 

 

SB0025 Enrolled- 400 -LRB104 07069 BAB 17106 b

1    carbon mitigation credits that are procured from
2    carbon-free energy resources at prices that are within the
3    limits specified in this paragraph (3). As part of the
4    Commission's review and acceptance or rejection of the
5    procurement results, the Commission shall, in its public
6    notice of successful bidders:
7            (i) identify how the selected carbon-free energy
8        resources satisfy the public interest criteria
9        described in this paragraph (3) of minimizing carbon
10        dioxide emissions that result from electricity
11        consumed in Illinois and minimizing sulfur dioxide,
12        nitrogen oxide, and particulate matter emissions that
13        adversely affect the citizens of this State;
14            (ii) specifically address how the selection of
15        carbon-free energy resources takes into account the
16        incremental environmental benefits resulting from the
17        procurement, including any existing environmental
18        benefits that are preserved by the procurements held
19        under this amendatory Act of the 102nd General
20        Assembly and would have ceased to exist if the
21        procurements had not been held, such as the
22        preservation of carbon-free energy resources;
23            (iii) quantify the environmental benefit of
24        preserving the carbon-free energy resources procured
25        pursuant to this subsection (d-10), including the
26        following:

 

 

SB0025 Enrolled- 401 -LRB104 07069 BAB 17106 b

1                (I) an assessment value of avoided greenhouse
2            gas emissions measured as the product of the
3            carbon-free energy resources' output over the
4            contract term, using generally accepted
5            methodologies for the valuation of avoided
6            emissions; and
7                (II) an assessment of costs of replacement
8            with other carbon-free energy resources and
9            renewable energy resources, including wind and
10            photovoltaic generation, based upon an assessment
11            of the prices paid for renewable energy credits
12            through programs and procurements conducted
13            pursuant to subsection (c) of Section 1-75 of this
14            Act, and the additional storage necessary to
15            produce the same or similar capability of matching
16            customer usage patterns.
17        (F) The procurements described in this paragraph (3),
18    including, but not limited to, the execution of all
19    contracts procured, shall be completed no later than
20    December 3, 2021. The procurement and plan approval
21    processes required by this paragraph (3) shall be
22    conducted in conjunction with the procurement and plan
23    approval processes required by Section 16-111.5 of the
24    Public Utilities Act, to the extent practicable. However,
25    the Agency and Commission may, as appropriate, modify the
26    various dates and timelines under this subparagraph and

 

 

SB0025 Enrolled- 402 -LRB104 07069 BAB 17106 b

1    subparagraphs (D) and (E) of this paragraph (3) to meet
2    the December 3, 2021 contract execution deadline.
3    Following the completion of such procurements, and
4    consistent with this paragraph (3), the Agency shall
5    calculate the payments to be made under each contract in a
6    timely fashion.
7        (F-1) Costs incurred by the electric utility pursuant
8    to a contract authorized by this subsection (d-10) shall
9    be deemed prudently incurred and reasonable in amount, and
10    the electric utility shall be entitled to full cost
11    recovery pursuant to a tariff or tariffs filed with the
12    Commission.
13        (G) The counterparty electric utility shall retire all
14    carbon mitigation credits used to comply with the
15    requirements of this subsection (d-10).
16        (H) If a carbon-free energy resource is sold to
17    another owner, the rights, obligations, and commitments
18    under this subsection (d-10) shall continue to the
19    subsequent owner.
20        (I) This subsection (d-10) shall become inoperative on
21    January 1, 2028.
22    (d-20) Energy storage system portfolio standard.
23        (1) The General Assembly finds that the deployment of
24    energy storage systems is necessary to successfully
25    integrate high levels of renewable energy, to avoid the
26    creation and increase of carbon emissions from electric

 

 

SB0025 Enrolled- 403 -LRB104 07069 BAB 17106 b

1    generation sources, and to ensure affordable, stable,
2    clean, reliable, and resilient electricity.
3        (2) The Agency shall develop an energy storage system
4    resources procurement plan that includes the competitive
5    procurement events, procurement programs, or both, as
6    necessary (i) to meet the goals set forth in this
7    subsection (d-20), (ii) to meet the planning requirements
8    established under Sections 16-201 and 16-202 of the Public
9    Utilities Act, (iii) to meet the clean energy policy
10    established by Public Act 102-662, and (iv) to cause
11    electric utilities serving more than 300,000 customers in
12    the State as of January 1, 2019 to contract for energy
13    storage resources. The energy storage system resources
14    procurement plan approval processes shall be conducted
15    consistent with the processes outlined in paragraph (6) of
16    subsection (b) of Section 16-111.5 of the Public Utilities
17    Act, with the initial energy storage system resources
18    procurement plan released for comment in calendar year
19    2027. The Agency shall review and may revise the energy
20    storage system resources procurement plan at least every 2
21    years. The Agency shall establish, and the Commission
22    shall approve or approve as modified, an energy storage
23    system resources procurement plan that includes:
24            (A) storage targets in addition to the initial
25        procurements specified in paragraph (3) of this
26        subsection (d-20) at levels identified through the

 

 

SB0025 Enrolled- 404 -LRB104 07069 BAB 17106 b

1        integrated resource planning process outlined in
2        Section 16-202 of the Public Utilities Act;
3            (B) a bid selection process that is based on the
4        bid price, when compared with an equal energy storage
5        duration and interconnected to the same independent
6        system operator (ISO) or regional transmission
7        organization (RTO), and that may provide for
8        consideration of the following:
9                (i) the project's viability and ability to
10            meet or exceed operational date targets;
11                (ii) the developer's experience;
12                (iii) requirements for demonstration of
13            binding site control that are sufficient for
14            proposed energy storage facilities;
15                (iv) the availability or dependence on any
16            transmission expansion or upgrades needed; and
17                (v) other resource adequacy and reliability
18            considerations;
19            (C) consideration of the need to ensure adequate,
20        reliable, affordable, efficient, and environmentally
21        sustainable electric service at the lowest total cost
22        over time;
23            (D) proposals for the financial support of energy
24        storage systems using contract models, which may
25        include, but are not limited to, the following:
26                (i) an indexed storage credit procurement,

 

 

SB0025 Enrolled- 405 -LRB104 07069 BAB 17106 b

1            including payments to energy storage system owners
2            or operators with any offsets and refunds for
3            potential energy and capacity revenues;
4                (ii) support for energy storage system
5            resources through contract structures that do not
6            create contractual obligations on utilities that
7            are not contingent on full and timely cost
8            recovery, that avoid negative financial impacts on
9            the utilities, and that are agreed upon by the
10            utilities; and
11                (iii) other approaches as deemed suitable by
12            the Agency and the Commission; and
13            (E) consideration that the Agency may include a
14        methodology that could prioritize procurement of
15        energy storage resources that are located in
16        communities eligible to receive Energy Transition
17        Community Grants pursuant to Section 10-20 of the
18        Energy Community Reinvestment Act.    
19        In developing its procurement plan and conducting the
20    storage procurements outlined in this paragraph (2) and in
21    paragraph (3), the Agency may use the services of expert
22    consulting firms identified in paragraphs (1) and (2) of
23    subsection (a) of this Section.
24        (3) Notwithstanding whether an energy storage system
25    resources procurement plan has been approved, the
26    following provisions shall apply to the Agency's initial

 

 

SB0025 Enrolled- 406 -LRB104 07069 BAB 17106 b

1    procurement of energy storage system resources under this
2    subsection (d-20):
3            (A) The Agency shall conduct an initial energy
4        storage procurement on or before August 26, 2026 or 90
5        days after the effective date of this amendatory Act
6        of the 104th General Assembly, whichever is earlier.
7        For the purposes of this initial energy storage
8        procurement, the Agency shall conduct a procurement
9        that results in electric utilities that served more
10        than 300,000 customers in the State as of January 1,
11        2019 contracting for at least 1,038 megawatts of
12        cost-effective stand-alone energy storage systems that
13        can achieve commercial operation on or before December
14        31, 2029 or an alternative date proposed by the Agency
15        that is no later than December 31, 2030. The
16        procurement target shall be separated for projects
17        interconnected within Midcontinent Independent System
18        Operator Local Resource Zone 4 (MISO Zone 4) and for
19        projects interconnected within the PJM
20        Interconnection, LLC ComEd Locational Deliverability
21        Area (PJM ComEd Area) as follows:
22                (i) 450 megawatts in MISO Zone 4; and
23                (ii) 588 megawatts in the PJM ComEd Area.
24            For purposes of this subsection (d-20),
25        "stand-alone" means systems that are (i) separately
26        metered by a revenue-quality meter that satisfies the

 

 

SB0025 Enrolled- 407 -LRB104 07069 BAB 17106 b

1        requirements of the RTO; (ii) operate independently
2        without constraints or hindrances from other
3        generation units; and (iii) demonstrate the ability to
4        charge and discharge independent of any generation
5        unit output.    
6            (B) The Agency shall conduct a series of
7        additional energy storage procurements that result in
8        electric utilities contracting for energy storage
9        resources in an amount of 3,000 megawatts of
10        cumulative energy storage capacity for projects
11        committed to reaching commercial operation on or
12        before December 31, 2030, or an alternative date
13        proposed by the Agency, subject to extension for a
14        delay due to interconnection of the energy storage
15        system, a delay in obtaining permits necessary to
16        build or operate the energy storage system, or other
17        circumstances at the discretion of the Agency.
18            The additional energy storage resources
19        procurements shall be conducted in calendar years 2027
20        and 2028 in a manner that ensures the quantities
21        listed in this subparagraph (B), and as updated in the
22        integrated resource plan approved by the Commission
23        pursuant to Section 16-201 of the Public Utilities
24        Act, are met in the specified timeframe. To the extent
25        the integrated resource planning process outlined in
26        Section 16-202 of the Public Utilities Act authorizes

 

 

SB0025 Enrolled- 408 -LRB104 07069 BAB 17106 b

1        energy storage system procurement amounts above the
2        amount identified in this subparagraph (B), the Agency
3        shall conduct additional energy storage procurements
4        in 2028, 2029, 2030, and thereafter that result in
5        electric utilities contracting for energy storage
6        resources at those additional identified levels. The
7        procurements shall be conducted in a manner that
8        maximizes projects available in the MISO and PJM
9        queues, ensures the likelihood of project development
10        through the development of project maturity
11        requirements, enables sufficient competition for price
12        competitiveness, and aligns to the extent practicable
13        with regional transmission organization study phases.
14        The procurements shall select projects interconnected
15        to MISO Zone 4 and the PJM ComEd Area and shall follow
16        either (i) a similar geographic split to the ratio of
17        quantities established in subparagraph (A) of this
18        paragraph (3), (ii) an alternative geographic split
19        proposed by the Agency based on project availability
20        in advanced stages of the MISO and PJM queues, or (iii)
21        that is informed by MISO and PJM planning activities,
22        auctions, or reports that indicate capacity resource
23        shortages or impending shortages and that reflect the
24        assessments made through the processes outlined in
25        subparagraph (A) of paragraph (2). The additional
26        energy storage capacity procurements may be adjusted

 

 

SB0025 Enrolled- 409 -LRB104 07069 BAB 17106 b

1        upward if determined necessary through the planning
2        process outlined in Section 16-201 of the Public
3        Utilities Act at times determined by the Commission.
4            (C) The initial energy storage resources
5        procurement under subparagraph (A) of this paragraph
6        (3) shall adopt a standard indexed storage credit
7        contract modeled after the contract and follow a
8        process modeled after the process included in the
9        staff report submitted to the Governor, General
10        Assembly, and Commission pursuant to subsection (g) of
11        Section 16-135 of the Public Utilities Act on May 1,
12        2025. In developing the procurement rules and
13        procurement process for the initial procurement, the
14        Agency shall provide an opportunity for comment on the
15        indexed storage credit contract included in the May 1,
16        2025 staff report and shall adopt modifications to the
17        contract consistent with the process outlined in
18        paragraph (2) of subsection (e) of Section 16-111.5 of
19        the Public Utilities Act.
20            (D) For the additional energy storage resources
21        procurements conducted in accordance with subparagraph
22        (B) of this paragraph (3), the Agency may, among other
23        considerations, consider other contract structures if
24        such contract structures and agreements do not create
25        contractual obligations on utilities that are not
26        contingent on full and timely cost recovery, avoid

 

 

SB0025 Enrolled- 410 -LRB104 07069 BAB 17106 b

1        negative financial impacts on the utilities, and are
2        agreed upon by the participating utility.
3            (E) The initial and additional energy storage
4        resources procurements under this paragraph (3) shall
5        solicit 20-year contracts.
6            (F) The Agency shall submit its proposed selection
7        of successful bids for each procurement event pursuant
8        to paragraphs (2) and (3) to the Commission for
9        approval consistent with the processes outlined in
10        Section 16-111.5 of the Public Utilities Act to the
11        extent practicable.
12        (4) The energy storage system resources procurement
13    plans developed by the Agency may consider alternatives to
14    the initial and additional procurement terms described in
15    paragraph (3) of this subsection (d-20), including, but
16    not limited to:
17            (A) alternatives to the standard indexed storage
18        credit contract used in the initial terms described in
19        subparagraph (C) of paragraph (3) of this subsection
20        (d-20);
21            (B) energy storage systems that are not
22        stand-alone;    
23            (C) proportionate allocations between MISO Zone 4
24        and the PJM ComEd Area that are not based upon load
25        share, including allocations reflecting the
26        assessments made through the processes outlined in

 

 

SB0025 Enrolled- 411 -LRB104 07069 BAB 17106 b

1        subparagraph (A) of paragraph (2);
2            (D) contract lengths other than 20 years;
3            (E) energy storage system durations other than 4
4        hours; and
5            (F) energy storage systems connected to the
6        distribution systems of the electric utilities.
7        The Agency may propose specific timelines for energy
8    storage system resources procurements, which may differ
9    across RTO zones, that are based in part upon a
10    consideration of (i) the timing of the release of
11    interconnection cost information through both MISO and PJM
12    interconnection queue processes, (ii) factors that
13    maximize the likelihood of successful project development,
14    (iii) enabling sufficient competition for price
15    competitiveness, and (iv) aligning to the extent
16    practicable with RTO study phases.
17        (5) The Agency shall procure cost-effective energy
18    storage credits or other contract instruments intended to
19    facilitate the successful development of energy storage
20    projects. The procurement administrator shall establish
21    confidential price benchmarks based on publicly available
22    data on regional technology costs. Confidential price
23    benchmarks shall be developed by the procurement
24    administrator, in consultation with Commission staff,
25    Agency staff, and the procurement monitor, and shall be
26    subject to Commission review and approval. Price

 

 

SB0025 Enrolled- 412 -LRB104 07069 BAB 17106 b

1    benchmarks shall reflect development costs, financing
2    costs, and related costs resulting from requirements
3    imposed through other provisions of State law. As used in
4    this paragraph (5), "cost-effective" means a bidder's bid
5    price that does not exceed confidential price benchmarks.
6        (6) All procurements under this subsection (d-20)
7    shall comply with the geographic requirements in
8    subparagraph (I) of paragraph (1) of subsection (c) of
9    Section 1-75 and shall follow the procurement processes
10    and procedures described in this Section and Section
11    16-111.5 of the Public Utilities Act, to the extent
12    practicable. The processes and procedures may be expedited
13    to accommodate the schedule established by this Section.
14    The Agency shall require all bidders to pay to the Agency a
15    nonrefundable deposit determined by the Agency and no less
16    than $10,000 per bid as practical. The Agency may also
17    assess bidder and supplier fees to cover the cost of
18    procurement events and develop collateral requirements to
19    maximize the likelihood of successful project development.
20    Bidders in the initial and additional procurements
21    described in paragraph (3) of this subsection (d-20) shall
22    also demonstrate experience in developing to commercial
23    readiness. As used in this paragraph (6), "developing to
24    commercial readiness" means having notice to proceed in
25    owning or operating energy facilities with a combined
26    nameplate capacity of at least 100 megawatts.

 

 

SB0025 Enrolled- 413 -LRB104 07069 BAB 17106 b

1        (7) In order to advance priority access to the clean
2    energy economy for businesses and workers from communities
3    that have been excluded from economic opportunities in the
4    energy sector, have been subject to disproportionate
5    levels of pollution, and have disproportionately
6    experienced negative public health outcomes, the Agency
7    shall apply its equity accountability system and minimum
8    equity standards established under subsections (c-10),
9    (c-15), (c-20), (c-25), and (c-30) of this Section to
10    energy storage procurement and programs and may include
11    any proposed modifications to the equity accountability
12    system and minimum equity standards that may be warranted
13    with respect to energy storage resources in its plan
14    submission to the Commission under Section 16-111.5 of the
15    Public Utilities Act.
16        (8) Projects shall be developed in compliance with the
17    prevailing wage and project labor agreement requirements
18    for renewable energy projects in subparagraph (Q) of
19    paragraph (1) of subsection (c) of Section 1-75.
20        (9) An entity operating an energy storage facility
21    shall demonstrate that it has entered into a labor peace
22    agreement with a bona fide labor organization that is
23    actively engaged in representing its employees. The labor
24    peace agreement shall apply to the employees necessary for
25    the ongoing maintenance and operation of the energy
26    storage facility. The existence of a labor peace agreement

 

 

SB0025 Enrolled- 414 -LRB104 07069 BAB 17106 b

1    shall be an ongoing material condition of an entity's
2    authorization to maintain and operate the energy storage
3    facility.    
4        (10) In order to promote the competitive development
5    of energy storage systems in furtherance of the State's
6    interest in the health, safety, and welfare of its
7    residents, storage credits shall not be eligible to be
8    selected under this subsection (d-20) if the energy
9    storage resources are sourced from an energy storage
10    system whose costs were being recovered through rates
11    regulated by the State or any other state or states on or
12    after January 1, 2017. No entity shall be permitted to bid
13    unless it certifies to the Agency that it is not an
14    electric utility, as defined in Section 16-102 of the
15    Public Utilities Act, serving more than 10,000 customers
16    in the State.
17        (11) The Agency shall require, as a prerequisite to
18    payment for any storage credits, that the winning bidder
19    provide the Agency or its designee a copy of the
20    interconnection agreement under which the applicable
21    energy storage system is connected to the transmission or
22    distribution system.
23        (12) Contracts shall provide that, if the cost
24    recovery mechanism referenced in subsection (k) of Section
25    16-108 of the Public Utilities Act remains in full force
26    without amendment or the utility is otherwise authorized

 

 

SB0025 Enrolled- 415 -LRB104 07069 BAB 17106 b

1    or entitled to full, prompt, and uninterrupted recovery of
2    its costs through any other mechanism, then such seller
3    shall be entitled to full, prompt, and uninterrupted
4    payment under the applicable contract notwithstanding the
5    application of this paragraph (12).    
6    (e) The draft procurement plans are subject to public
7comment, as required by Section 16-111.5 of the Public
8Utilities Act.
9    (f) The Agency shall submit the final procurement plan to
10the Commission. The Agency shall revise a procurement plan if
11the Commission determines that it does not meet the standards
12set forth in Section 16-111.5 of the Public Utilities Act.
13    (g) The Agency shall assess fees to each affected utility
14to recover the costs incurred in preparation of procurement
15plans and in the operation of programs the annual procurement
16plan for the utility.
17    (h) The Agency shall assess fees to each bidder to recover
18the costs incurred in connection with a competitive
19procurement process.
20    (i) A renewable energy credit, carbon emission credit,
21zero emission credit, or carbon mitigation credit can only be
22used once to comply with a single portfolio or other standard
23as set forth in subsection (c), subsection (d), or subsection
24(d-5) of this Section, respectively. A renewable energy
25credit, carbon emission credit, zero emission credit, or
26carbon mitigation credit cannot be used to satisfy the

 

 

SB0025 Enrolled- 416 -LRB104 07069 BAB 17106 b

1requirements of more than one standard. If more than one type
2of credit is issued for the same megawatt hour of energy, only
3one credit can be used to satisfy the requirements of a single
4standard. After such use, the credit must be retired together
5with any other credits issued for the same megawatt hour of
6energy.
7(Source: P.A. 102-662, eff. 9-15-21; 103-380, eff. 1-1-24;
8103-580, eff. 12-8-23; 103-1066, eff. 2-20-25.)
 
9    (20 ILCS 3855/1-125)
10    Sec. 1-125. Agency annual reports.
11    (a) By March February 15 of each year, the Agency shall
12report annually to the Governor and the General Assembly on
13the operations and transactions of the Agency. The annual
14report shall include, but not be limited to, each of the
15following:
16        (1) The average quantity, price, and term of all
17    contracts for electricity procured under the procurement
18    plans for electric utilities.
19        (2) (Blank).
20        (3) The quantity, price, and rate impact of all energy
21    efficiency and demand response measures purchased for
22    electric utilities, and any measures included in the
23    procurement plan pursuant to Section 16-111.5B of the
24    Public Utilities Act.
25        (4) The amount of power and energy produced by each

 

 

SB0025 Enrolled- 417 -LRB104 07069 BAB 17106 b

1    Agency facility.
2        (5) The quantity of electricity supplied by each
3    Agency facility to municipal electric systems,
4    governmental aggregators, or rural electric cooperatives
5    in Illinois.
6        (6) The revenues as allocated by the Agency to each
7    facility.
8        (7) The costs as allocated by the Agency to each
9    facility.
10        (8) The accumulated depreciation for each facility.
11        (9) The status of any projects under development.
12        (10) Basic financial and operating information
13    specifically detailed for the reporting year and
14    including, but not limited to, income and expense
15    statements, balance sheets, and changes in financial
16    position, all in accordance with generally accepted
17    accounting principles, debt structure, and a summary of
18    funds on a cash basis.
19        (11) The average quantity, price, contract type and
20    term, and rate impact of all renewable resources procured
21    under the long-term renewable resources procurement plans
22    for electric utilities.
23        (12) A comparison of the costs associated with the
24    Agency's procurement of renewable energy resources to (A)
25    the Agency's costs associated with electricity generated
26    by other types of generation facilities and (B) the

 

 

SB0025 Enrolled- 418 -LRB104 07069 BAB 17106 b

1    benefits associated with the Agency's procurement of
2    renewable energy resources.
3        (13) An analysis of the rate impacts associated with
4    the Illinois Power Agency's procurement of renewable
5    resources, including, but not limited to, any long-term
6    contracts, on the eligible retail customers of electric
7    utilities. The analysis shall include the Agency's
8    estimate of the total dollar impact that the Agency's
9    procurement of renewable resources has had on the annual
10    electricity bills of the customer classes that comprise
11    each eligible retail customer class taking service from an
12    electric utility.
13        (14) (Blank).
14    (b) In addition to reporting on the transactions and
15operations of the Agency, the Agency shall also endeavor to
16report on the following items through its annual report,
17recognizing that full and accurate information may not be
18available for certain items:
19        (1) The overall nameplate capacity amount of installed
20    and scheduled renewable energy generation capacity
21    physically located in Illinois.
22        (2) The percentage of installed and scheduled
23    renewable energy generation capacity as a share of overall
24    electricity generation capacity physically located in
25    Illinois.
26        (3) The amount of megawatt hours produced by renewable

 

 

SB0025 Enrolled- 419 -LRB104 07069 BAB 17106 b

1    energy generation capacity physically located in Illinois
2    for the preceding delivery year.
3        (4) The percentage of megawatt hours produced by
4    renewable energy generation capacity physically located in
5    Illinois as a share of overall electricity generation from
6    facilities physically located in Illinois for the
7    preceding delivery year and as a share of retail
8    electricity sales in Illinois.
9        (5) The renewable portfolio standard expenditures made
10    pursuant to paragraph (1) of subsection (c) of Section
11    1-75 and the total scheduled and installed renewable
12    generation capacity expected to result from these
13    investments. This information shall include the total cost
14    of REC delivery contracts of the renewable portfolio
15    standard by project category, including, but not limited
16    to, renewable energy credits delivery contracts entered
17    into pursuant to subparagraphs (C), (G), (K), and (R) of
18    paragraph (1) of subsection (c) Section 1-75. The Agency
19    shall also report on the total amount of customer load
20    featuring renewable portfolio standard compliance
21    obligations scheduled to be met by self-direct customers
22    pursuant to subparagraph (R) of paragraph (1) of
23    subsection (c) of Section 1-75, as well as the minimum
24    annual quantities of renewable energy credits scheduled to
25    be retired by those customers and amount of installed
26    renewable energy generating capacity used to meet the

 

 

SB0025 Enrolled- 420 -LRB104 07069 BAB 17106 b

1    requirements of subparagraph (R) of paragraph (1) of
2    subsection (c) of Section 1-75.
3    The Agency may seek assistance from the Illinois Commerce
4Commission in developing its annual report and may also retain
5the services of its expert consulting firm used to develop its
6procurement plans as outlined in paragraph (1) of subsection
7(a) of Section 1-75. Confidential or commercially sensitive
8business information provided by retail customers, alternative
9retail electric suppliers, or other parties shall be kept
10confidential by the Agency consistent with Section 1-120, but
11may be publicly reported in aggregate form.
12(Source: P.A. 102-662, eff. 9-15-21.)
 
13    Section 90-14. The State Finance Act is amended by
14changing Sections 5.136, 5.427, and 8.3 as follows:
 
15    (30 ILCS 105/5.136)
16    Sec. 5.136. The Low-Level Radioactive Waste Facility
17Development and Operation Fund.
18(Source: P.A. 99-933, eff. 1-27-17.)
 
19    (30 ILCS 105/5.427)
20    Sec. 5.427. The Electric Vehicle Rebate and Charging Fund.
21(Source: P.A. 102-662, eff. 9-15-21.)
 
22    (30 ILCS 105/8.3)

 

 

SB0025 Enrolled- 421 -LRB104 07069 BAB 17106 b

1    Sec. 8.3. Money in the Road Fund shall, if and when the
2State of Illinois incurs any bonded indebtedness for the
3construction of permanent highways, be set aside and used for
4the purpose of paying and discharging annually the principal
5and interest on that bonded indebtedness then due and payable,
6and for no other purpose. The surplus, if any, in the Road Fund
7after the payment of principal and interest on that bonded
8indebtedness then annually due shall be used as follows:
9        first -- to pay the cost of administration of Chapters
10    2 through 10 of the Illinois Vehicle Code, except the cost
11    of administration of Articles I and II of Chapter 3 of that
12    Code, and to pay the costs of the Executive Ethics
13    Commission for oversight and administration of the Chief
14    Procurement Officer appointed under paragraph (2) of
15    subsection (a) of Section 10-20 of the Illinois
16    Procurement Code for transportation; and
17        secondly -- for expenses of the Department of
18    Transportation for construction, reconstruction,
19    improvement, repair, maintenance, operation, and
20    administration of highways in accordance with the
21    provisions of laws relating thereto, or for any purpose
22    related or incident to and connected therewith, including
23    the separation of grades of those highways with railroads
24    and with highways and including the payment of awards made
25    by the Illinois Workers' Compensation Commission under the
26    terms of the Workers' Compensation Act or Workers'

 

 

SB0025 Enrolled- 422 -LRB104 07069 BAB 17106 b

1    Occupational Diseases Act for injury or death of an
2    employee of the Division of Highways in the Department of
3    Transportation; or for the acquisition of land and the
4    erection of buildings for highway purposes, including the
5    acquisition of highway right-of-way or for investigations
6    to determine the reasonably anticipated future highway
7    needs; or for making of surveys, plans, specifications and
8    estimates for and in the construction and maintenance of
9    flight strips and of highways necessary to provide access
10    to military and naval reservations, to defense industries
11    and defense-industry sites, and to the sources of raw
12    materials and for replacing existing highways and highway
13    connections shut off from general public use at military
14    and naval reservations and defense-industry sites, or for
15    the purchase of right-of-way, except that the State shall
16    be reimbursed in full for any expense incurred in building
17    the flight strips; or for the operating and maintaining of
18    highway garages; or for patrolling and policing the public
19    highways and conserving the peace; or for the operating
20    expenses of the Department relating to the administration
21    of public transportation programs; or, during fiscal year
22    2024, for the purposes of a grant not to exceed $9,108,400
23    to the Regional Transportation Authority on behalf of PACE
24    for the purpose of ADA/Para-transit expenses; or, during
25    fiscal year 2025, for the purposes of a grant not to exceed
26    $10,020,000 to the Regional Transportation Authority on

 

 

SB0025 Enrolled- 423 -LRB104 07069 BAB 17106 b

1    behalf of PACE for the purpose of ADA/Para-transit
2    expenses; or for any of those purposes or any other
3    purpose that may be provided by law.
4    Appropriations for any of those purposes are payable from
5the Road Fund. Appropriations may also be made from the Road
6Fund for the administrative expenses of any State agency that
7are related to motor vehicles or arise from the use of motor
8vehicles.
9    Beginning with fiscal year 1980 and thereafter, no Road
10Fund monies shall be appropriated to the following Departments
11or agencies of State government for administration, grants, or
12operations; but this limitation is not a restriction upon
13appropriating for those purposes any Road Fund monies that are
14eligible for federal reimbursement:
15        1. Department of Public Health;
16        2. Department of Transportation, only with respect to
17    subsidies for one-half fare Student Transportation and
18    Reduced Fare for Elderly, except fiscal year 2024 when no
19    more than $19,063,500 may be expended and except fiscal
20    year 2025 when no more than $20,969,900 may be expended;
21        3. Department of Central Management Services, except
22    for expenditures incurred for group insurance premiums of
23    appropriate personnel;
24        4. Judicial Systems and Agencies.
25    Beginning with fiscal year 1981 and thereafter, no Road
26Fund monies shall be appropriated to the following Departments

 

 

SB0025 Enrolled- 424 -LRB104 07069 BAB 17106 b

1or agencies of State government for administration, grants, or
2operations; but this limitation is not a restriction upon
3appropriating for those purposes any Road Fund monies that are
4eligible for federal reimbursement:
5        1. Illinois State Police, except for expenditures with
6    respect to the Division of Patrol and Division of Criminal
7    Investigation;
8        2. Department of Transportation, only with respect to
9    Intercity Rail Subsidies, except fiscal year 2024 when no
10    more than $60,000,000 may be expended and except fiscal
11    year 2025 when no more than $67,000,000 may be expended,
12    and Rail Freight Services.
13    Beginning with fiscal year 1982 and thereafter, no Road
14Fund monies shall be appropriated to the following Departments
15or agencies of State government for administration, grants, or
16operations; but this limitation is not a restriction upon
17appropriating for those purposes any Road Fund monies that are
18eligible for federal reimbursement: Department of Central
19Management Services, except for awards made by the Illinois
20Workers' Compensation Commission under the terms of the
21Workers' Compensation Act or Workers' Occupational Diseases
22Act for injury or death of an employee of the Division of
23Highways in the Department of Transportation.
24    Beginning with fiscal year 1984 and thereafter, no Road
25Fund monies shall be appropriated to the following Departments
26or agencies of State government for administration, grants, or

 

 

SB0025 Enrolled- 425 -LRB104 07069 BAB 17106 b

1operations; but this limitation is not a restriction upon
2appropriating for those purposes any Road Fund monies that are
3eligible for federal reimbursement:
4        1. Illinois State Police, except not more than 40% of
5    the funds appropriated for the Division of Patrol and
6    Division of Criminal Investigation;
7        2. State Officers.
8    Beginning with fiscal year 1984 and thereafter, no Road
9Fund monies shall be appropriated to any Department or agency
10of State government for administration, grants, or operations
11except as provided hereafter; but this limitation is not a
12restriction upon appropriating for those purposes any Road
13Fund monies that are eligible for federal reimbursement. It
14shall not be lawful to circumvent the above appropriation
15limitations by governmental reorganization or other methods.
16Appropriations shall be made from the Road Fund only in
17accordance with the provisions of this Section.
18    Money in the Road Fund shall, if and when the State of
19Illinois incurs any bonded indebtedness for the construction
20of permanent highways, be set aside and used for the purpose of
21paying and discharging during each fiscal year the principal
22and interest on that bonded indebtedness as it becomes due and
23payable as provided in the General Obligation Bond Act, and
24for no other purpose. The surplus, if any, in the Road Fund
25after the payment of principal and interest on that bonded
26indebtedness then annually due shall be used as follows:

 

 

SB0025 Enrolled- 426 -LRB104 07069 BAB 17106 b

1        first -- to pay the cost of administration of Chapters
2    2 through 10 of the Illinois Vehicle Code; and
3        secondly -- no Road Fund monies derived from fees,
4    excises, or license taxes relating to registration,
5    operation and use of vehicles on public highways or to
6    fuels used for the propulsion of those vehicles, shall be
7    appropriated or expended other than for costs of
8    administering the laws imposing those fees, excises, and
9    license taxes, statutory refunds and adjustments allowed
10    thereunder, administrative costs of the Department of
11    Transportation, including, but not limited to, the
12    operating expenses of the Department relating to the
13    administration of public transportation programs, payment
14    of debts and liabilities incurred in construction and
15    reconstruction of public highways and bridges, acquisition
16    of rights-of-way for and the cost of construction,
17    reconstruction, maintenance, repair, and operation of
18    public highways and bridges under the direction and
19    supervision of the State, political subdivision, or
20    municipality collecting those monies, or during fiscal
21    year 2024 for the purposes of a grant not to exceed
22    $9,108,400 to the Regional Transportation Authority on
23    behalf of PACE for the purpose of ADA/Para-transit
24    expenses, or during fiscal year 2025 for the purposes of a
25    grant not to exceed $10,020,000 to the Regional
26    Transportation Authority on behalf of PACE for the purpose

 

 

SB0025 Enrolled- 427 -LRB104 07069 BAB 17106 b

1    of ADA/Para-transit expenses, and the costs for patrolling
2    and policing the public highways (by the State, political
3    subdivision, or municipality collecting that money) for
4    enforcement of traffic laws. The separation of grades of
5    such highways with railroads and costs associated with
6    protection of at-grade highway and railroad crossing shall
7    also be permissible.
8    Appropriations for any of such purposes are payable from
9the Road Fund or the Grade Crossing Protection Fund as
10provided in Section 8 of the Motor Fuel Tax Law.
11    Except as provided in this paragraph, beginning with
12fiscal year 1991 and thereafter, no Road Fund monies shall be
13appropriated to the Illinois State Police for the purposes of
14this Section in excess of its total fiscal year 1990 Road Fund
15appropriations for those purposes unless otherwise provided in
16Section 5g of this Act. For fiscal years 2003, 2004, 2005,
172006, and 2007 only, no Road Fund monies shall be appropriated
18to the Department of State Police for the purposes of this
19Section in excess of $97,310,000. For fiscal year 2008 only,
20no Road Fund monies shall be appropriated to the Department of
21State Police for the purposes of this Section in excess of
22$106,100,000. For fiscal year 2009 only, no Road Fund monies
23shall be appropriated to the Department of State Police for
24the purposes of this Section in excess of $114,700,000.
25Beginning in fiscal year 2010, no Road Fund moneys shall be
26appropriated to the Illinois State Police. It shall not be

 

 

SB0025 Enrolled- 428 -LRB104 07069 BAB 17106 b

1lawful to circumvent this limitation on appropriations by
2governmental reorganization or other methods unless otherwise
3provided in Section 5g of this Act.
4    In fiscal year 1994, no Road Fund monies shall be
5appropriated to the Secretary of State for the purposes of
6this Section in excess of the total fiscal year 1991 Road Fund
7appropriations to the Secretary of State for those purposes,
8plus $9,800,000. It shall not be lawful to circumvent this
9limitation on appropriations by governmental reorganization or
10other method.
11    Beginning with fiscal year 1995 and thereafter, no Road
12Fund monies shall be appropriated to the Secretary of State
13for the purposes of this Section in excess of the total fiscal
14year 1994 Road Fund appropriations to the Secretary of State
15for those purposes. It shall not be lawful to circumvent this
16limitation on appropriations by governmental reorganization or
17other methods.
18    Beginning with fiscal year 2000, total Road Fund
19appropriations to the Secretary of State for the purposes of
20this Section shall not exceed the amounts specified for the
21following fiscal years:
22    Fiscal Year 2000$80,500,000;
23    Fiscal Year 2001$80,500,000;
24    Fiscal Year 2002$80,500,000;
25    Fiscal Year 2003$130,500,000;
26    Fiscal Year 2004$130,500,000;

 

 

SB0025 Enrolled- 429 -LRB104 07069 BAB 17106 b

1    Fiscal Year 2005$130,500,000;
2    Fiscal Year 2006 $130,500,000;
3    Fiscal Year 2007 $130,500,000;
4    Fiscal Year 2008$130,500,000;
5    Fiscal Year 2009 $130,500,000.
6    For fiscal year 2010, no road fund moneys shall be
7appropriated to the Secretary of State.
8    Beginning in fiscal year 2011, moneys in the Road Fund
9shall be appropriated to the Secretary of State for the
10exclusive purpose of paying refunds due to overpayment of fees
11related to Chapter 3 of the Illinois Vehicle Code unless
12otherwise provided for by law.
13    Beginning in fiscal year 2025, moneys in the Road Fund may
14be appropriated to the Environmental Protection Agency for the
15exclusive purpose of making deposits into the Electric Vehicle
16Rebate and Charging Fund, subject to appropriation, to be used
17for purposes consistent with Section 11 of Article IX of the
18Illinois Constitution.
19    It shall not be lawful to circumvent this limitation on
20appropriations by governmental reorganization or other
21methods.
22    No new program may be initiated in fiscal year 1991 and
23thereafter that is not consistent with the limitations imposed
24by this Section for fiscal year 1984 and thereafter, insofar
25as appropriation of Road Fund monies is concerned.
26    Nothing in this Section prohibits transfers from the Road

 

 

SB0025 Enrolled- 430 -LRB104 07069 BAB 17106 b

1Fund to the State Construction Account Fund under Section 5e
2of this Act; nor to the General Revenue Fund, as authorized by
3Public Act 93-25.
4    The additional amounts authorized for expenditure in this
5Section by Public Acts 92-0600, 93-0025, 93-0839, and 94-91
6shall be repaid to the Road Fund from the General Revenue Fund
7in the next succeeding fiscal year that the General Revenue
8Fund has a positive budgetary balance, as determined by
9generally accepted accounting principles applicable to
10government.
11    The additional amounts authorized for expenditure by the
12Secretary of State and the Department of State Police in this
13Section by Public Act 94-91 shall be repaid to the Road Fund
14from the General Revenue Fund in the next succeeding fiscal
15year that the General Revenue Fund has a positive budgetary
16balance, as determined by generally accepted accounting
17principles applicable to government.
18(Source: P.A. 102-16, eff. 6-17-21; 102-538, eff. 8-20-21;
19102-699, eff. 4-19-22; 102-813, eff. 5-13-22; 103-8, eff.
206-7-23; 103-34, eff. 1-1-24; 103-588, eff. 6-5-24; 103-605,
21eff. 7-1-24; 103-616, eff. 7-1-24; revised 8-5-24.)
 
22    Section 90-15. The Illinois Procurement Code is amended by
23changing Sections 1-10 and 30-20 as follows:
 
24    (30 ILCS 500/1-10)

 

 

SB0025 Enrolled- 431 -LRB104 07069 BAB 17106 b

1    Sec. 1-10. Application.
2    (a) This Code applies only to procurements for which
3bidders, offerors, potential contractors, or contractors were
4first solicited on or after July 1, 1998. This Code shall not
5be construed to affect or impair any contract, or any
6provision of a contract, entered into based on a solicitation
7prior to the implementation date of this Code as described in
8Article 99, including, but not limited to, any covenant
9entered into with respect to any revenue bonds or similar
10instruments. All procurements for which contracts are
11solicited between the effective date of Articles 50 and 99 and
12July 1, 1998 shall be substantially in accordance with this
13Code and its intent.
14    (b) This Code shall apply regardless of the source of the
15funds with which the contracts are paid, including federal
16assistance moneys. This Code shall not apply to:
17        (1) Contracts between the State and its political
18    subdivisions or other governments, or between State
19    governmental bodies, except as specifically provided in
20    this Code.
21        (2) Grants, except for the filing requirements of
22    Section 20-80.
23        (3) Purchase of care, except as provided in Section
24    5-30.6 of the Illinois Public Aid Code and this Section.
25        (4) Hiring of an individual as an employee and not as
26    an independent contractor, whether pursuant to an

 

 

SB0025 Enrolled- 432 -LRB104 07069 BAB 17106 b

1    employment code or policy or by contract directly with
2    that individual.
3        (5) Collective bargaining contracts.
4        (6) Purchase of real estate, except that notice of
5    this type of contract with a value of more than $25,000
6    must be published in the Procurement Bulletin within 10
7    calendar days after the deed is recorded in the county of
8    jurisdiction. The notice shall identify the real estate
9    purchased, the names of all parties to the contract, the
10    value of the contract, and the effective date of the
11    contract.
12        (7) Contracts necessary to prepare for anticipated
13    litigation, enforcement actions, or investigations,
14    provided that the chief legal counsel to the Governor
15    shall give his or her prior approval when the procuring
16    agency is one subject to the jurisdiction of the Governor,
17    and provided that the chief legal counsel of any other
18    procuring entity subject to this Code shall give his or
19    her prior approval when the procuring entity is not one
20    subject to the jurisdiction of the Governor.
21        (8) (Blank).
22        (9) Procurement expenditures by the Illinois
23    Conservation Foundation when only private funds are used.
24        (10) (Blank).
25        (11) Public-private agreements entered into according
26    to the procurement requirements of Section 20 of the

 

 

SB0025 Enrolled- 433 -LRB104 07069 BAB 17106 b

1    Public-Private Partnerships for Transportation Act and
2    design-build agreements entered into according to the
3    procurement requirements of Section 25 of the
4    Public-Private Partnerships for Transportation Act.
5        (12) (A) Contracts for legal, financial, and other
6    professional and artistic services entered into by the
7    Illinois Finance Authority in which the State of Illinois
8    is not obligated. Such contracts shall be awarded through
9    a competitive process authorized by the members of the
10    Illinois Finance Authority and are subject to Sections
11    5-30, 20-160, 50-13, 50-20, 50-35, and 50-37 of this Code,
12    as well as the final approval by the members of the
13    Illinois Finance Authority of the terms of the contract.
14        (B) Contracts for legal and financial services entered
15    into by the Illinois Housing Development Authority in
16    connection with the issuance of bonds in which the State
17    of Illinois is not obligated. Such contracts shall be
18    awarded through a competitive process authorized by the
19    members of the Illinois Housing Development Authority and
20    are subject to Sections 5-30, 20-160, 50-13, 50-20, 50-35,
21    and 50-37 of this Code, as well as the final approval by
22    the members of the Illinois Housing Development Authority
23    of the terms of the contract.
24        (13) Contracts for services, commodities, and
25    equipment to support the delivery of timely forensic
26    science services in consultation with and subject to the

 

 

SB0025 Enrolled- 434 -LRB104 07069 BAB 17106 b

1    approval of the Chief Procurement Officer as provided in
2    subsection (d) of Section 5-4-3a of the Unified Code of
3    Corrections, except for the requirements of Sections
4    20-60, 20-65, 20-70, and 20-160 and Article 50 of this
5    Code; however, the Chief Procurement Officer may, in
6    writing with justification, waive any certification
7    required under Article 50 of this Code. For any contracts
8    for services which are currently provided by members of a
9    collective bargaining agreement, the applicable terms of
10    the collective bargaining agreement concerning
11    subcontracting shall be followed.
12        On and after January 1, 2019, this paragraph (13),
13    except for this sentence, is inoperative.
14        (14) Contracts for participation expenditures required
15    by a domestic or international trade show or exhibition of
16    an exhibitor, member, or sponsor.
17        (15) Contracts with a railroad or utility that
18    requires the State to reimburse the railroad or utilities
19    for the relocation of utilities for construction or other
20    public purpose. Contracts included within this paragraph
21    (15) shall include, but not be limited to, those
22    associated with: relocations, crossings, installations,
23    and maintenance. For the purposes of this paragraph (15),
24    "railroad" means any form of non-highway ground
25    transportation that runs on rails or electromagnetic
26    guideways and "utility" means: (1) public utilities as

 

 

SB0025 Enrolled- 435 -LRB104 07069 BAB 17106 b

1    defined in Section 3-105 of the Public Utilities Act, (2)
2    telecommunications carriers as defined in Section 13-202
3    of the Public Utilities Act, (3) electric cooperatives as
4    defined in Section 3.4 of the Electric Supplier Act, (4)
5    telephone or telecommunications cooperatives as defined in
6    Section 13-212 of the Public Utilities Act, (5) rural
7    water or waste water systems with 10,000 connections or
8    less, (6) a holder as defined in Section 21-201 of the
9    Public Utilities Act, and (7) municipalities owning or
10    operating utility systems consisting of public utilities
11    as that term is defined in Section 11-117-2 of the
12    Illinois Municipal Code.
13        (16) Procurement expenditures necessary for the
14    Department of Public Health to provide the delivery of
15    timely newborn screening services in accordance with the
16    Newborn Metabolic Screening Act.
17        (17) Procurement expenditures necessary for the
18    Department of Agriculture, the Department of Financial and
19    Professional Regulation, the Department of Human Services,
20    and the Department of Public Health to implement the
21    Compassionate Use of Medical Cannabis Program and Opioid
22    Alternative Pilot Program requirements and ensure access
23    to medical cannabis for patients with debilitating medical
24    conditions in accordance with the Compassionate Use of
25    Medical Cannabis Program Act.
26        (18) This Code does not apply to any procurements

 

 

SB0025 Enrolled- 436 -LRB104 07069 BAB 17106 b

1    necessary for the Department of Agriculture, the
2    Department of Financial and Professional Regulation, the
3    Department of Human Services, the Department of Commerce
4    and Economic Opportunity, and the Department of Public
5    Health to implement the Cannabis Regulation and Tax Act if
6    the applicable agency has made a good faith determination
7    that it is necessary and appropriate for the expenditure
8    to fall within this exemption and if the process is
9    conducted in a manner substantially in accordance with the
10    requirements of Sections 20-160, 25-60, 30-22, 50-5,
11    50-10, 50-10.5, 50-12, 50-13, 50-15, 50-20, 50-21, 50-35,
12    50-36, 50-37, 50-38, and 50-50 of this Code; however, for
13    Section 50-35, compliance applies only to contracts or
14    subcontracts over $100,000. Notice of each contract
15    entered into under this paragraph (18) that is related to
16    the procurement of goods and services identified in
17    paragraph (1) through (9) of this subsection shall be
18    published in the Procurement Bulletin within 14 calendar
19    days after contract execution. The Chief Procurement
20    Officer shall prescribe the form and content of the
21    notice. Each agency shall provide the Chief Procurement
22    Officer, on a monthly basis, in the form and content
23    prescribed by the Chief Procurement Officer, a report of
24    contracts that are related to the procurement of goods and
25    services identified in this subsection. At a minimum, this
26    report shall include the name of the contractor, a

 

 

SB0025 Enrolled- 437 -LRB104 07069 BAB 17106 b

1    description of the supply or service provided, the total
2    amount of the contract, the term of the contract, and the
3    exception to this Code utilized. A copy of any or all of
4    these contracts shall be made available to the Chief
5    Procurement Officer immediately upon request. The Chief
6    Procurement Officer shall submit a report to the Governor
7    and General Assembly no later than November 1 of each year
8    that includes, at a minimum, an annual summary of the
9    monthly information reported to the Chief Procurement
10    Officer. This exemption becomes inoperative 5 years after
11    June 25, 2019 (the effective date of Public Act 101-27).
12        (19) Acquisition of modifications or adjustments,
13    limited to assistive technology devices and assistive
14    technology services, adaptive equipment, repairs, and
15    replacement parts to provide reasonable accommodations (i)
16    that enable a qualified applicant with a disability to
17    complete the job application process and be considered for
18    the position such qualified applicant desires, (ii) that
19    modify or adjust the work environment to enable a
20    qualified current employee with a disability to perform
21    the essential functions of the position held by that
22    employee, (iii) to enable a qualified current employee
23    with a disability to enjoy equal benefits and privileges
24    of employment as are enjoyed by other similarly situated
25    employees without disabilities, and (iv) that allow a
26    customer, client, claimant, or member of the public

 

 

SB0025 Enrolled- 438 -LRB104 07069 BAB 17106 b

1    seeking State services full use and enjoyment of and
2    access to its programs, services, or benefits.
3        For purposes of this paragraph (19):
4        "Assistive technology devices" means any item, piece
5    of equipment, or product system, whether acquired
6    commercially off the shelf, modified, or customized, that
7    is used to increase, maintain, or improve functional
8    capabilities of individuals with disabilities.
9        "Assistive technology services" means any service that
10    directly assists an individual with a disability in
11    selection, acquisition, or use of an assistive technology
12    device.
13        "Qualified" has the same meaning and use as provided
14    under the federal Americans with Disabilities Act when
15    describing an individual with a disability.
16        (20) Procurement expenditures necessary for the
17    Illinois Commerce Commission to hire third-party
18    facilitators pursuant to Sections 16-105.17 and 16-108.18
19    of the Public Utilities Act or an ombudsman pursuant to
20    Section 16-107.5 of the Public Utilities Act, a
21    facilitator pursuant to Section 16-105.17 of the Public
22    Utilities Act, or a grid auditor pursuant to Section
23    16-105.10 of the Public Utilities Act, a facilitator,
24    expert, or consultant pursuant to Sections 16-126.2 and
25    16-202 of the Public Utilities Act, a procurement monitor
26    pursuant to Section 16-111.5 of the Public Utilities Act,

 

 

SB0025 Enrolled- 439 -LRB104 07069 BAB 17106 b

1    an ombudsperson pursuant to Section 20-145 of the Public
2    Utilities Act, or consultants and experts pursuant to
3    Section 5-15 of the Utility Data Access Act.
4        (21) Procurement expenditures for the purchase,
5    renewal, and expansion of software, software licenses, or
6    software maintenance agreements that support the efforts
7    of the Illinois State Police to enforce, regulate, and
8    administer the Firearm Owners Identification Card Act, the
9    Firearm Concealed Carry Act, the Firearms Restraining
10    Order Act, the Firearm Dealer License Certification Act,
11    the Law Enforcement Agencies Data System (LEADS), the
12    Uniform Crime Reporting Act, the Criminal Identification
13    Act, the Illinois Uniform Conviction Information Act, and
14    the Gun Trafficking Information Act, or establish or
15    maintain record management systems necessary to conduct
16    human trafficking investigations or gun trafficking or
17    other stolen firearm investigations. This paragraph (21)
18    applies to contracts entered into on or after January 10,
19    2023 (the effective date of Public Act 102-1116) and the
20    renewal of contracts that are in effect on January 10,
21    2023 (the effective date of Public Act 102-1116).
22        (22) Contracts for project management services and
23    system integration services required for the completion of
24    the State's enterprise resource planning project. This
25    exemption becomes inoperative 5 years after June 7, 2023
26    (the effective date of the changes made to this Section by

 

 

SB0025 Enrolled- 440 -LRB104 07069 BAB 17106 b

1    Public Act 103-8). This paragraph (22) applies to
2    contracts entered into on or after June 7, 2023 (the
3    effective date of the changes made to this Section by
4    Public Act 103-8) and the renewal of contracts that are in
5    effect on June 7, 2023 (the effective date of the changes
6    made to this Section by Public Act 103-8).
7        (23) Procurements necessary for the Department of
8    Insurance to implement the Illinois Health Benefits
9    Exchange Law if the Department of Insurance has made a
10    good faith determination that it is necessary and
11    appropriate for the expenditure to fall within this
12    exemption. The procurement process shall be conducted in a
13    manner substantially in accordance with the requirements
14    of Sections 20-160 and 25-60 and Article 50 of this Code. A
15    copy of these contracts shall be made available to the
16    Chief Procurement Officer immediately upon request. This
17    paragraph is inoperative 5 years after June 27, 2023 (the
18    effective date of Public Act 103-103).
19        (24) Contracts for public education programming,
20    noncommercial sustaining announcements, public service
21    announcements, and public awareness and education
22    messaging with the nonprofit trade associations of the
23    providers of those services that inform the public on
24    immediate and ongoing health and safety risks and hazards.
25        (25) Procurements necessary for the Department of
26    Early Childhood to implement the Department of Early

 

 

SB0025 Enrolled- 441 -LRB104 07069 BAB 17106 b

1    Childhood Act if the Department has made a good faith
2    determination that it is necessary and appropriate for the
3    expenditure to fall within this exemption. This exemption
4    shall only be used for products and services procured
5    solely for use by the Department of Early Childhood. The
6    procurements may include those necessary to design and
7    build integrated, operational systems of programs and
8    services. The procurements may include, but are not
9    limited to, those necessary to align and update program
10    standards, integrate funding systems, design and establish
11    data and reporting systems, align and update models for
12    technical assistance and professional development, design
13    systems to manage grants and ensure compliance, design and
14    implement management and operational structures, and
15    establish new means of engaging with families, educators,
16    providers, and stakeholders. The procurement processes
17    shall be conducted in a manner substantially in accordance
18    with the requirements of Article 50 (ethics) and Sections
19    5-5 (Procurement Policy Board), 5-7 (Commission on Equity
20    and Inclusion), 20-80 (contract files), 20-120
21    (subcontractors), 20-155 (paperwork), 20-160
22    (ethics/campaign contribution prohibitions), 25-60
23    (prevailing wage), and 25-90 (prohibited and authorized
24    cybersecurity) of this Code. Beginning January 1, 2025,
25    the Department of Early Childhood shall provide a
26    quarterly report to the General Assembly detailing a list

 

 

SB0025 Enrolled- 442 -LRB104 07069 BAB 17106 b

1    of expenditures and contracts for which the Department
2    uses this exemption. This paragraph is inoperative on and
3    after July 1, 2027.
4        (26) (25) Procurements that are necessary for
5    increasing the recruitment and retention of State
6    employees, particularly minority candidates for
7    employment, including:
8            (A) procurements related to registration fees for
9        job fairs and other outreach and recruitment events;
10            (B) production of recruitment materials; and
11            (C) other services related to recruitment and
12        retention of State employees.
13        The exemption under this paragraph (26) (25) applies
14    only if the State agency has made a good faith
15    determination that it is necessary and appropriate for the
16    expenditure to fall within this paragraph (26) (25). The
17    procurement process under this paragraph (26) (25) shall
18    be conducted in a manner substantially in accordance with
19    the requirements of Sections 20-160 and 25-60 and Article
20    50 of this Code. A copy of these contracts shall be made
21    available to the Chief Procurement Officer immediately
22    upon request. Nothing in this paragraph (26) (25)    
23    authorizes the replacement or diminishment of State
24    responsibilities in hiring or the positions that
25    effectuate that hiring. This paragraph (26) (25) is
26    inoperative on and after June 30, 2029.

 

 

SB0025 Enrolled- 443 -LRB104 07069 BAB 17106 b

1    Notwithstanding any other provision of law, for contracts
2with an annual value of more than $100,000 entered into on or
3after October 1, 2017 under an exemption provided in any
4paragraph of this subsection (b), except paragraph (1), (2),
5or (5), each State agency shall post to the appropriate
6procurement bulletin the name of the contractor, a description
7of the supply or service provided, the total amount of the
8contract, the term of the contract, and the exception to the
9Code utilized. The chief procurement officer shall submit a
10report to the Governor and General Assembly no later than
11November 1 of each year that shall include, at a minimum, an
12annual summary of the monthly information reported to the
13chief procurement officer.
14    (c) This Code does not apply to the electric power
15procurement process provided for under Section 1-75 of the
16Illinois Power Agency Act and Section 16-111.5 of the Public
17Utilities Act. This Code does not apply to the procurement of
18technical and policy experts pursuant to Section 1-129 of the
19Illinois Power Agency Act.
20    (d) Except for Section 20-160 and Article 50 of this Code,
21and as expressly required by Section 9.1 of the Illinois
22Lottery Law, the provisions of this Code do not apply to the
23procurement process provided for under Section 9.1 of the
24Illinois Lottery Law.
25    (e) This Code does not apply to the process used by the
26Capital Development Board to retain a person or entity to

 

 

SB0025 Enrolled- 444 -LRB104 07069 BAB 17106 b

1assist the Capital Development Board with its duties related
2to the determination of costs of a clean coal SNG brownfield
3facility, as defined by Section 1-10 of the Illinois Power
4Agency Act, as required in subsection (h-3) of Section 9-220
5of the Public Utilities Act, including calculating the range
6of capital costs, the range of operating and maintenance
7costs, or the sequestration costs or monitoring the
8construction of clean coal SNG brownfield facility for the
9full duration of construction.
10    (f) (Blank).
11    (g) (Blank).
12    (h) This Code does not apply to the process to procure or
13contracts entered into in accordance with Sections 11-5.2 and
1411-5.3 of the Illinois Public Aid Code.
15    (i) Each chief procurement officer may access records
16necessary to review whether a contract, purchase, or other
17expenditure is or is not subject to the provisions of this
18Code, unless such records would be subject to attorney-client
19privilege.
20    (j) This Code does not apply to the process used by the
21Capital Development Board to retain an artist or work or works
22of art as required in Section 14 of the Capital Development
23Board Act.
24    (k) This Code does not apply to the process to procure
25contracts, or contracts entered into, by the State Board of
26Elections or the State Electoral Board for hearing officers

 

 

SB0025 Enrolled- 445 -LRB104 07069 BAB 17106 b

1appointed pursuant to the Election Code.
2    (l) This Code does not apply to the processes used by the
3Illinois Student Assistance Commission to procure supplies and
4services paid for from the private funds of the Illinois
5Prepaid Tuition Fund. As used in this subsection (l), "private
6funds" means funds derived from deposits paid into the
7Illinois Prepaid Tuition Trust Fund and the earnings thereon.
8    (m) This Code shall apply regardless of the source of
9funds with which contracts are paid, including federal
10assistance moneys. Except as specifically provided in this
11Code, this Code shall not apply to procurement expenditures
12necessary for the Department of Public Health to conduct the
13Healthy Illinois Survey in accordance with Section 2310-431 of
14the Department of Public Health Powers and Duties Law of the
15Civil Administrative Code of Illinois.
16(Source: P.A. 102-175, eff. 7-29-21; 102-483, eff 1-1-22;
17102-558, eff. 8-20-21; 102-600, eff. 8-27-21; 102-662, eff.
189-15-21; 102-721, eff. 1-1-23; 102-813, eff. 5-13-22;
19102-1116, eff. 1-10-23; 103-8, eff. 6-7-23; 103-103, eff.
206-27-23; 103-570, eff. 1-1-24; 103-580, eff. 12-8-23; 103-594,
21eff. 6-25-24; 103-605, eff. 7-1-24; 103-865, eff. 1-1-25;
22revised 11-26-24.)
 
23    (30 ILCS 500/30-20)
24    Sec. 30-20. Prequalification.
25    (a) The Capital Development Board shall promulgate rules

 

 

SB0025 Enrolled- 446 -LRB104 07069 BAB 17106 b

1for the development of prequalified supplier lists for
2construction and construction-related professional services
3and the periodic updating of those lists. Construction and
4construction-related professional services contracts over
5$25,000 may be awarded to any qualified suppliers.
6    (b) If deemed necessary by the Agency, the The Illinois
7Power Agency shall promulgate rules for the development of
8prequalified supplier lists for construction and
9construction-related professional services and the periodic
10updating of those lists. Construction and construction-related    
11construction related professional services contracts over
12$25,000 may be awarded to any qualified suppliers, pursuant to
13a competitive bidding process.
14(Source: P.A. 95-481, eff. 8-28-07.)
 
15    Section 90-17. The Illinois Works Jobs Program Act is
16amended by changing Section 20-15 as follows:
 
17    (30 ILCS 559/20-15)
18    Sec. 20-15. Illinois Works Preapprenticeship Program;
19Illinois Works Bid Credit Program.
20    (a) The Illinois Works Preapprenticeship Program is
21established and shall be administered by the Department. The
22goal of the Illinois Works Preapprenticeship Program is to
23create a network of community-based organizations throughout
24the State that will recruit, prescreen, and provide

 

 

SB0025 Enrolled- 447 -LRB104 07069 BAB 17106 b

1preapprenticeship skills training, for which participants may
2attend free of charge and receive a stipend, to create a
3qualified, diverse pipeline of workers who are prepared for
4careers in the construction and building trades. Upon
5completion of the Illinois Works Preapprenticeship Program,
6the candidates will be skilled and work-ready.
7    (b) There is created the Illinois Works Fund, a special
8fund in the State treasury. The Illinois Works Fund shall be
9administered by the Department. The Illinois Works Fund shall
10be used to provide funding for community-based organizations
11throughout the State. In addition to any other transfers that
12may be provided for by law, on and after July 1, 2019 at the
13direction of the Director of the Governor's Office of
14Management and Budget, the State Comptroller shall direct and
15the State Treasurer shall transfer amounts not exceeding a
16total of $50,000,000 from the Rebuild Illinois Projects Fund
17to the Illinois Works Fund.
18    (b-5) In addition to any other transfers that may be
19provided for by law, beginning July 1, 2024 and each July 1
20thereafter, or as soon thereafter as practical, the State
21Comptroller shall direct and the State Treasurer shall
22transfer $27,500,000 from the Capital Projects Fund to the
23Illinois Works Fund.
24    (c) Each community-based organization that receives
25funding from the Illinois Works Fund shall provide an annual
26report to the Illinois Works Review Panel by April 1 of each

 

 

SB0025 Enrolled- 448 -LRB104 07069 BAB 17106 b

1calendar year. The annual report shall include the following
2information:
3        (1) a description of the community-based
4    organization's recruitment, screening, and training
5    efforts;
6        (2) the number of individuals who apply to,
7    participate in, and complete the community-based
8    organization's program, broken down by race, gender, age,
9    and veteran status; and
10    (3) the number of the individuals referenced in item (2)
11    of this subsection who are initially accepted and placed
12    into apprenticeship programs in the construction and
13    building trades.
14    (d) The Department shall create and administer the
15Illinois Works Bid Credit Program that shall provide economic
16incentives, through bid credits, to encourage contractors and
17subcontractors to provide contracting and employment
18opportunities to historically underrepresented populations in
19the construction industry.
20    The Illinois Works Bid Credit Program shall allow
21contractors and subcontractors to earn bid credits for use
22toward future bids for public works projects contracted by the
23State or an agency of the State in order to increase the
24chances that the contractor and the subcontractors will be
25selected.
26    Contractors or subcontractors may be eligible to earn bid

 

 

SB0025 Enrolled- 449 -LRB104 07069 BAB 17106 b

1credits for employing apprentices who have been verified by
2the Department to have completed the Illinois Works
3Preapprenticeship Program, the Climate Works Preapprenticeship
4Program, or the Highway Construction Careers Training Program.
5Contractors or subcontractors shall earn bid credits at a rate
6established by the Department and based on labor hours worked
7by apprentices who have been verified by the Department to
8have completed the Illinois Works Preapprenticeship Program,
9the Climate Works Preapprenticeship Program, or the Highway
10Construction Careers Training Program. In order to earn bid
11credits, contractors and subcontractors shall provide the
12Department with certified payroll documenting the hours
13performed by apprentices who have been verified by the
14Department to have completed the Illinois Works
15Preapprenticeship Program, the Climate Works Preapprenticeship
16Program, or the Highway Construction Careers Training Program.
17Contractors and subcontractors can use bid credits toward
18future bids for public works projects contracted or funded by
19the State or an agency of the State in order to increase the
20likelihood of being selected as the contractor for the public
21works project toward which they have applied the bid credit.
22The Department shall establish the rate by rule and shall
23publish it on the Department's website. The rule may include
24maximum bid credits allowed per contractor, per subcontractor,
25per apprentice, per bid, or per year.
26    The Illinois Works Credit Bank is hereby created and shall

 

 

SB0025 Enrolled- 450 -LRB104 07069 BAB 17106 b

1be administered by the Department. The Illinois Works Credit
2Bank shall track the bid credits.
3    A contractor or subcontractor who has been awarded bid
4credits under any other State program for employing
5apprentices who have completed the Illinois Works
6Preapprenticeship Program is not eligible to receive bid
7credits under the Illinois Works Bid Credit Program relating
8to the same contract.
9    The Department shall report to the Illinois Works Review
10Panel the following: (i) the number of bid credits awarded by
11the Department; (ii) the number of bid credits submitted by
12the contractor or subcontractor to the agency administering
13the public works contract; and (iii) the number of bid credits
14accepted by the agency for such contract. Any agency that
15awards bid credits pursuant to the Illinois Works Credit Bank
16Program shall report to the Department the number of bid
17credits it accepted for the public works contract.
18    Upon a finding that a contractor or subcontractor has
19reported falsified records to the Department in order to
20fraudulently obtain bid credits, the Department may bar the
21contractor or subcontractor from participating in the Illinois
22Works Bid Credit Program and may suspend the contractor or
23subcontractor from bidding on or participating in any public
24works project. False or fraudulent claims for payment relating
25to false bid credits may be subject to damages and penalties
26under applicable law.

 

 

SB0025 Enrolled- 451 -LRB104 07069 BAB 17106 b

1    (e) The Department shall adopt any rules deemed necessary
2to implement this Section. In order to provide for the
3expeditious and timely implementation of this Act, the
4Department may adopt emergency rules. The adoption of
5emergency rules authorized by this subsection is deemed to be
6necessary for the public interest, safety, and welfare.
7(Source: P.A. 103-8, eff. 6-7-23; 103-305, eff. 7-28-23;
8103-588, eff. 6-5-24; 103-605, eff. 7-1-24; 104-2, eff.
96-16-25.)
 
10    Section 90-20. The Property Tax Code is amended by adding
11Division 22 as follows:
 
12    (35 ILCS 200/Art. 10 Div. 22 heading new)
13
Division 22. Commercial energy storage systems

 
14    (35 ILCS 200/10-920 new)
15    Sec. 10-920. Definitions. As used in this Division:
16    "Allowance for physical depreciation" means the product of
17the quotient that is generated by dividing the actual age in
18years of the commercial energy storage system on the
19assessment date by 25 years multiplied by the commercial
20energy storage system's trended real property cost basis.
21"Allowance for physical depreciation" may not exceed an amount
22that reduces the value of the commercial energy storage system
23to 30% of its trended real property cost basis or less.

 

 

SB0025 Enrolled- 452 -LRB104 07069 BAB 17106 b

1    "Commercial energy storage system" means any device or
2assembly of devices that is (i) either installed as a
3stand-alone system or tied to a power generation system, (ii)
4used for the primary purpose of storing of energy for
5wholesale or retail sale and not primarily for storage to
6later consume on the property on which the device resides, and
7(iii) an energy storage system, as defined in Section 16-135
8of the Public Utilities Act.
9    "Commercial energy storage system real property cost
10basis" means the owner of the commercial energy storage
11system's interest in the land within the project boundaries
12and real property improvements and shall be calculated at $65
13per kilowatt-hour of rated kilowatt-hour energy capacity.
14    "Consumer Price Index" means the index published by the
15Bureau of Labor Statistics of the United States Department of
16Labor that measures the average change in prices of goods and
17services purchased by all urban consumers, United States city
18average, all items, 1982-84 = 100.
19    "Rated kWh energy capacity" means the maximum amount of
20stored energy in kilowatt hours. "Trended real property cost
21basis" means the commercial energy storage system real
22property cost basis multiplied by the trending factor.
23    "Trending factor" means the following:
24        (1) for stand-alone commercial energy storage systems,
25    the lesser of 2% or the number generated by dividing the
26    Consumer Price Index published by the Bureau of Labor

 

 

SB0025 Enrolled- 453 -LRB104 07069 BAB 17106 b

1    Statistics in the December immediately preceding the
2    assessment date by the Consumer Price Index published by
3    the Bureau of Labor Statistics in December of 2024; or
4        (2) for commercial energy storage systems tied to a
5    power generation system, a trending factor of 1.00.
 
6    (35 ILCS 200/10-925 new)
7    Sec. 10-925. Improvement valuation of commercial energy
8systems. Beginning in assessment year 2026, the fair cash
9value of commercial energy storage system improvements shall
10be determined by subtracting the allowance for physical
11depreciation from the commercial energy storage system trended
12real property cost basis. Functional obsolescence and external
13obsolescence of the commercial energy storage system
14improvements may further reduce the fair cash value of the
15improvements to the extent the obsolescence is proven by the
16taxpayer by clear and convincing evidence, except that the
17combined depreciation from all functional and economic
18obsolescence shall not exceed 70% of the trended real property
19cost basis. The chief county assessment officer may make
20reasonable adjustments to the actual age of the commercial
21energy storage system to account for the routine replacement
22or upgrade of system components.
 
23    (35 ILCS 200/10-930 new)
24    Sec. 10-930. Commercial energy storage systems;

 

 

SB0025 Enrolled- 454 -LRB104 07069 BAB 17106 b

1equalization. Commercial energy storage systems that are
2subject to assessment under this Division are not subject to
3equalization factors applied by the Department, any board of
4review, an assessor, or a chief county assessment officer.
 
5    (35 ILCS 200/10-935 new)
6    Sec. 10-935. Survey for commercial energy storage systems;
7parcel identification numbers. Notwithstanding any other
8provision of law, the owner of the commercial energy storage
9system shall commission a metes and bounds survey description
10of the land upon which the commercial energy storage system is
11located, including access routes, over which the owner of the
12commercial energy storage system has exclusive control. Land
13held for future development shall not be included in the
14project area for real property assessment purposes. The owner
15of the commercial energy storage system shall, at the owner's
16own expense, use a State-registered land surveyor to prepare
17the survey. The owner of the commercial energy storage system
18shall deliver a copy of the survey to the chief county
19assessment officer and to the owner of the land upon which the
20commercial energy storage system is located. Upon receiving a
21copy of the survey and an agreed acknowledgment to the
22separate parcel identification number by the owner of the land
23upon which the commercial energy storage system is
24constructed, the chief county assessment officer shall issue a
25separate parcel identification number for the real property

 

 

SB0025 Enrolled- 455 -LRB104 07069 BAB 17106 b

1improvements, including the land containing the commercial
2energy storage system, to be used only for the purposes of
3property assessment for taxation. If no survey is provided,
4the chief county assessment officer shall determine the area
5of the site that is occupied by the commercial energy storage
6system. The chief county assessment officer's determination
7shall be final and may not be challenged on review by the owner
8of the commercial energy storage system. The property records
9shall contain the legal description of the commercial energy
10storage system parcel and describe any leasehold interest or
11other interest of the owner of the commercial energy storage
12system in the property. A plat prepared under this Section
13shall not be construed as a violation of the Plat Act.
14    Surveys that are prepared in accordance with either
15Section 10-740 or Section 10-620 and that also include the
16location of a commercial energy storage system in the survey's
17metes and bounds description shall satisfy the requirements of
18this Section.
 
19    (35 ILCS 200/10-940 new)
20    Sec. 10-940. Real estate taxes. Notwithstanding the
21provisions of Section 9-175 of this Code, the owner of the
22commercial energy storage system shall be liable for the real
23estate taxes for the land and real property improvements of
24the commercial energy storage system. Notwithstanding the
25foregoing, the owner of the land upon which a commercial

 

 

SB0025 Enrolled- 456 -LRB104 07069 BAB 17106 b

1energy storage system is located may pay any unpaid tax of the
2commercial energy storage system parcel prior to the
3initiation of any tax sale proceedings.
 
4    (35 ILCS 200/10-945 new)
5    Sec. 10-945. Property assessed as farmland.
6Notwithstanding any other provision of law, real property
7assessed as farmland in accordance with Section 10-110 in the
8assessment year prior to valuation under this Division shall
9return to being assessed as farmland in accordance with
10Section 10-110 in the year following completion of the removal
11of the commercial energy storage system if the property is
12returned to a farm use, as defined in Section 1-60,
13notwithstanding that the land was not used for farming for the
142 preceding years.
 
15    (35 ILCS 200/10-950 new)
16    Sec. 10-950. Abatements. Any taxing district may, upon a
17majority vote of its governing authority and after the
18determination of the assessed valuation as set forth in this
19Code, order the clerk of the appropriate municipality or
20county to abate any portion of real property taxes otherwise
21levied or extended by the taxing district on a commercial
22energy storage system.
 
23    (35 ILCS 200/10-953 new)

 

 

SB0025 Enrolled- 457 -LRB104 07069 BAB 17106 b

1    Sec. 10-953. Cook County exemption. This Division 22 does
2not apply to any property located within Cook County.
 
3    (35 ILCS 200/10-955 new)
4    Sec. 10-955. Applicability. The provisions of this
5Division apply for assessment years 2026 through 2040.
 
6    Section 90-22. The Radioactive Waste Compact Enforcement
7Act is amended by changing Section 15, 25, 30, and 31 as
8follows:
 
9    (45 ILCS 141/15)
10    Sec. 15. Definitions. In this Act:
11    "IEMA-OHS" means the Illinois Emergency Management Agency
12and Office of Homeland Security, or its successor agency.
13    "Commission" means the Central Midwest Interstate
14Low-Level Radioactive Waste Commission.
15    "Compact" means the Central Midwest Interstate Low-Level
16Radioactive Waste Compact.
17    "Director" means the Director of IEMA-OHS.
18    "Disposal" means the isolation of waste from the biosphere
19in a permanent facility designed for that purpose.
20    "Facility" means a parcel of land or site, together with
21the structures, equipment, and improvements on or appurtenant
22to the land or site, that is used or is being developed for the
23treatment, storage or disposal of low-level radioactive waste.

 

 

SB0025 Enrolled- 458 -LRB104 07069 BAB 17106 b

1    "Low-level radioactive waste" or "waste" means radioactive
2waste not classified as (1) high-level radioactive waste, (2)
3transuranic waste, (3) spent nuclear fuel, or (4) byproduct
4material as defined in Sections 11e(2), 11e(3), and 11e(4) of
5the Atomic Energy Act (42 U.S.C. 2014). This definition shall
6apply notwithstanding any declaration by the federal
7government, a state, or any regulatory agency that any
8radioactive material is exempt from any regulatory control.
9    "Management plan" means the plan adopted by the Commission
10for the storage, transportation, treatment and disposal of
11waste within the region.
12    "Nuclear facilities" means nuclear power plants,
13facilities housing nuclear test and research reactors,
14facilities for the chemical conversion of uranium, and
15facilities for the storage of spent nuclear fuel or high-level
16radioactive waste.
17    "Nuclear power plant" or "nuclear steam-generating
18facility" means a thermal power plant in which the energy
19(heat) released by the fissioning of nuclear fuel is used to
20boil water to produce steam.
21    "Nuclear power reactor" means an apparatus, other than an
22atomic weapon, designed or used to sustain nuclear fission in
23a self-supporting chain reaction.
24    "Person" means any individual, corporation, business
25enterprise or other legal entity, public or private, and any
26legal successor, representative, agent or agency of that

 

 

SB0025 Enrolled- 459 -LRB104 07069 BAB 17106 b

1individual, corporation, business enterprise, or legal entity.
2    "Region" means the geographical area of the State of
3Illinois and the Commonwealth of Kentucky.
4    "Regional Facility" means any facility as defined in this
5Act that is (1) located in Illinois, and (2) established by
6Illinois pursuant to designation of Illinois as a host state
7by the Commission.
8    "Small modular reactor" or "SMR" means an advanced nuclear
9reactor: (1) with a rated nameplate capacity of 300 electrical
10megawatts or less; and (2) that may be constructed and
11operated in combination with similar reactors at a single
12site.
13    "Storage" means the temporary holding of radioactive
14material for treatment or disposal.
15    "Treatment" means any method, technique or process,
16including storage for radioactive decay, designed to change
17the physical, chemical, or biological characteristics of the
18radioactive material in order to render the radioactive
19material safe for transport or management, amenable to
20recovery, convertible to another usable material, or reduced
21in volume.
22(Source: P.A. 103-306, eff. 7-28-23; 103-569, eff. 6-1-24.)
 
23    (45 ILCS 141/25)
24    Sec. 25. Enforcement.
25    (a) The Agency shall adopt regulations to administer and

 

 

SB0025 Enrolled- 460 -LRB104 07069 BAB 17106 b

1enforce the provisions of this Act. The regulations shall be
2adopted with the consultation and cooperation of the
3Commission.
4    Regulations adopted by the Agency under this Act shall
5prohibit the shipment into or acceptance of waste in Illinois
6if the shipment or acceptance would result in a violation of
7any provision of the Compact or this Act.
8    (b) The Agency may, by regulation, impose conditions on
9the shipment into or acceptance of waste in Illinois that the
10Agency determines to be reasonable and necessary to enforce
11the provisions of this Act. The conditions may include, but
12are not limited to (i) requiring prior notification of any
13proposed shipment or receipt of waste; (ii) requiring the
14shipper or recipient to identify the location to which the
15waste will be sent for disposal following treatment or storage
16in Illinois; (iii) limiting the time that waste from outside
17Illinois may be held in Illinois; (iv) requiring the shipper
18or recipient to post bond or by other mechanism to assure that
19radioactive material will not be treated, stored, or disposed
20of in Illinois in violation of any provision of this Act; (v)
21requiring that the shipper consent to service of process
22before shipment of waste into Illinois.
23    (c) The Agency shall, by regulation, impose a system of
24civil penalties in accordance with the provisions of this Act.
25Amounts recovered under these regulations shall be deposited
26in the Low-Level Radioactive Waste Facility Development and    

 

 

SB0025 Enrolled- 461 -LRB104 07069 BAB 17106 b

1Operation Fund.
2    (d) The regulations adopted by the Agency may provide for
3the granting of exemptions, but only upon a showing by the
4applicant that the granting of an exemption would be
5consistent with the Compact.
6(Source: P.A. 103-569, eff. 6-1-24.)
 
7    (45 ILCS 141/30)
8    Sec. 30. Penalties.
9    (a) Any person who ships or receives radioactive material
10in violation of any provision of this Act or a regulation of
11the Agency adopted under this Act shall be subject to a civil
12penalty not to exceed $100,000 per occurrence.
13    (b) Any person who fails to pay a civil penalty imposed by
14regulations adopted under this Act, or any portion of the
15penalty, shall be liable in a civil action in an amount not to
16exceed 4 times the amount imposed and not paid.
17    (c) Any person who intentionally violates a provision of
18subsection (a)(1), (a)(2), (a)(3), (a)(4) or (a)(6) of Section
1920 of this Act shall be guilty of a Class 4 felony.
20    (d) At the request of the Agency, the Attorney General
21shall, on behalf of the State, bring an action for the recovery
22of any civil penalty or the prosecution of any criminal
23offense provided for by this Act. Any civil penalties so
24recovered shall be deposited in the Low-Level Radioactive
25Waste Facility Development and Operation Fund.

 

 

SB0025 Enrolled- 462 -LRB104 07069 BAB 17106 b

1(Source: P.A. 95-777, eff. 8-4-08.)
 
2    (45 ILCS 141/31)
3    Sec. 31. The Agency may accept donations of money,
4equipment, supplies, materials, and services from any person
5for accomplishing the purposes of this Act. Any donation of
6money shall be deposited in the Low-Level Radioactive Waste
7Facility Development and Operation Fund and shall be expended
8by the Agency only in accordance with the purposes of the
9donation.
10(Source: P.A. 95-777, eff. 8-4-08.)
 
11    Section 90-27. The Counties Code is amended by adding
12Division 5-46 and Section 5-12024 and changing Section 5-12020
13as follows:
 
14    (55 ILCS 5/5-12020)
15    Sec. 5-12020. Commercial wind energy facilities and
16commercial solar energy facilities.
17    (a) As used in this Section:
18    "Commercial solar energy facility" means a "commercial
19solar energy system" as defined in Section 10-720 of the
20Property Tax Code. "Commercial solar energy facility" does not
21mean a utility-scale solar energy facility being constructed
22at a site that was eligible to participate in a procurement
23event conducted by the Illinois Power Agency pursuant to

 

 

SB0025 Enrolled- 463 -LRB104 07069 BAB 17106 b

1subsection (c-5) of Section 1-75 of the Illinois Power Agency
2Act.
3    "Commercial wind energy facility" means a wind energy
4conversion facility of equal or greater than 500 kilowatts in
5total nameplate generating capacity. "Commercial wind energy
6facility" includes a wind energy conversion facility seeking
7an extension of a permit to construct granted by a county or
8municipality before January 27, 2023 (the effective date of
9Public Act 102-1123).
10    "Facility owner" means (i) a person with a direct
11ownership interest in a commercial wind energy facility or a
12commercial solar energy facility, or both, regardless of
13whether the person is involved in acquiring the necessary
14rights, permits, and approvals or otherwise planning for the
15construction and operation of the facility, and (ii) at the
16time the facility is being developed, a person who is acting as
17a developer of the facility by acquiring the necessary rights,
18permits, and approvals or by planning for the construction and
19operation of the facility, regardless of whether the person
20will own or operate the facility.
21    "Nonparticipating property" means real property that is
22not a participating property.
23    "Nonparticipating residence" means a residence that is
24located on nonparticipating property and that is existing and
25occupied on the date that an application for a permit to
26develop the commercial wind energy facility or the commercial

 

 

SB0025 Enrolled- 464 -LRB104 07069 BAB 17106 b

1solar energy facility is filed with the county.
2    "Occupied community building" means any one or more of the
3following buildings that is existing and occupied on the date
4that the application for a permit to develop the commercial
5wind energy facility or the commercial solar energy facility
6is filed with the county: a school, place of worship, day care
7facility, public library, or community center.
8    "Participating property" means real property that is the
9subject of a written agreement between a facility owner and
10the owner of the real property that provides the facility
11owner an easement, option, lease, or license to use the real
12property for the purpose of constructing a commercial wind
13energy facility, a commercial solar energy facility, or
14supporting facilities. "Participating property" also includes
15real property that is owned by a facility owner for the purpose
16of constructing a commercial wind energy facility, a
17commercial solar energy facility, or supporting facilities.
18    "Participating residence" means a residence that is
19located on participating property and that is existing and
20occupied on the date that an application for a permit to
21develop the commercial wind energy facility or the commercial
22solar energy facility is filed with the county.
23    "Protected lands" means real property that is:
24        (1) subject to a permanent conservation right
25    consistent with the Real Property Conservation Rights Act;
26    or

 

 

SB0025 Enrolled- 465 -LRB104 07069 BAB 17106 b

1        (2) registered or designated as a nature preserve,
2    buffer, or land and water reserve under the Illinois
3    Natural Areas Preservation Act.
4    "Supporting facilities" means the transmission lines,
5substations, access roads, meteorological towers, storage
6containers, and equipment associated with the generation and
7storage of electricity by the commercial wind energy facility
8or commercial solar energy facility. "Supporting facilities"
9includes energy storage systems capable of absorbing energy
10and storing it for use at a later time, including, but not
11limited to, batteries and other electrochemical and
12electromechanical technologies or systems.    
13    "Wind tower" includes the wind turbine tower, nacelle, and
14blades.
15    (b) Notwithstanding any other provision of law or whether
16the county has formed a zoning commission and adopted formal
17zoning under Section 5-12007, a county may establish standards
18for commercial wind energy facilities, commercial solar energy
19facilities, or both. The standards may include all of the
20requirements specified in this Section but may not include
21requirements for commercial wind energy facilities or
22commercial solar energy facilities that are more restrictive
23than specified in this Section. A county may also regulate the
24siting of commercial wind energy facilities with standards
25that are not more restrictive than the requirements specified
26in this Section in unincorporated areas of the county that are

 

 

SB0025 Enrolled- 466 -LRB104 07069 BAB 17106 b

1outside the zoning jurisdiction of a municipality and that are
2outside the 1.5-mile radius surrounding the zoning
3jurisdiction of a municipality. A county may also regulate the
4siting of commercial solar energy facilities with standards
5that are not more restrictive than the requirements specified
6in this Section in unincorporated areas of the county that are
7outside of the zoning jurisdiction of a municipality.    
8    (c) If a county has elected to establish standards under
9subsection (b), before the county grants siting approval or a
10special use permit for a commercial wind energy facility or a
11commercial solar energy facility, or modification of an
12approved siting or special use permit, the county board of the
13county in which the facility is to be sited or the zoning board
14of appeals for the county shall hold at least one public
15hearing. The public hearing shall be conducted in accordance
16with the Open Meetings Act and shall conclude be held not more
17than 60 days after the filing of the application for the
18facility. The county shall allow interested parties to a
19special use permit an opportunity to present evidence and to
20cross-examine witnesses at the hearing, but the county may
21impose reasonable restrictions on the public hearing,
22including reasonable time limitations on the presentation of
23evidence and the cross-examination of witnesses. The county
24shall also allow public comment at the public hearing in
25accordance with the Open Meetings Act. The county shall make
26its siting and permitting decisions not more than 30 days

 

 

SB0025 Enrolled- 467 -LRB104 07069 BAB 17106 b

1after the conclusion of the public hearing. Notice of the
2hearing shall be published in a newspaper of general
3circulation in the county. A facility owner must enter into an
4agricultural impact mitigation agreement with the Department
5of Agriculture prior to the date of the required public
6hearing. A commercial wind energy facility owner seeking an
7extension of a permit granted by a county prior to July 24,
82015 (the effective date of Public Act 99-132) must enter into
9an agricultural impact mitigation agreement with the
10Department of Agriculture prior to a decision by the county to
11grant the permit extension. Counties may allow test wind
12towers or test solar energy systems to be sited without formal
13approval by the county board.
14    (d) A county with an existing zoning ordinance in conflict
15with this Section shall amend that zoning ordinance to be in
16compliance with this Section within 120 days after January 27,
172023 (the effective date of Public Act 102-1123).
18    (e) A county may require:
19        (1) a wind tower of a commercial wind energy facility
20    to be sited as follows, with setback distances measured
21    from the center of the base of the wind tower:
 
22Setback Description           Setback Distance
 
23Occupied Community            2.1 times the maximum blade tip
24Buildings                     height of the wind tower to the

 

 

SB0025 Enrolled- 468 -LRB104 07069 BAB 17106 b

1                              nearest point on the outside
2                              wall of the structure
 
3Participating Residences      1.1 times the maximum blade tip
4                              height of the wind tower to the
5                              nearest point on the outside
6                              wall of the structure
 
7Nonparticipating Residences   2.1 times the maximum blade tip
8                              height of the wind tower to the
9                              nearest point on the outside
10                              wall of the structure
 
11Boundary Lines of             None
12Participating Property 
 
13Boundary Lines of             1.1 times the maximum blade tip
14Nonparticipating Property     height of the wind tower to the
15                              nearest point on the property
16                              line of the nonparticipating
17                              property
 
18Public Road Rights-of-Way     1.1 times the maximum blade tip
19                              height of the wind tower
20                              to the center point of the
21                              public road right-of-way
 

 

 

SB0025 Enrolled- 469 -LRB104 07069 BAB 17106 b

1Overhead Communication and    1.1 times the maximum blade tip
2Electric Transmission         height of the wind tower to the
3and Distribution Facilities   nearest edge of the property
4(Not Including Overhead       line, easement, or 
5Utility Service Lines to      right-of-way 
6Individual Houses or          containing the overhead line
7Outbuildings)
 
8Overhead Utility Service      None
9Lines to Individual
10Houses or Outbuildings
 
11Fish and Wildlife Areas       2.1 times the maximum blade
12and Illinois Nature           tip height of the wind tower
13Preserve Commission           to the nearest point on the
14Protected Lands               property line of the fish and
15                              wildlife area or protected
16                              land
17    This Section does not exempt or excuse compliance with
18    electric facility clearances approved or required by the
19    National Electrical Code, the The National Electrical
20    Safety Code, the Illinois Commerce Commission, and the    
21    Federal Energy Regulatory Commission, and their designees
22    or successors; .    
23        (2) a wind tower of a commercial wind energy facility

 

 

SB0025 Enrolled- 470 -LRB104 07069 BAB 17106 b

1    to be sited so that industry standard computer modeling
2    indicates that any occupied community building or
3    nonparticipating residence will not experience more than
4    30 hours per year of shadow flicker under planned
5    operating conditions;
6        (3) a commercial solar energy facility to be sited as
7    follows, with setback distances measured from the nearest
8    edge of any above-ground component of the facility,
9    excluding fencing:
 
10Setback Description           Setback Distance
 
11Occupied Community            150 feet from the nearest
12Buildings and Dwellings on    point on the outside wall 
13Nonparticipating Properties   of the structure
 
14Boundary Lines of             None
15Participating Property    
 
16Public Road Rights-of-Way     50 feet from the nearest
17                              edge of the public 
18                              right-of-way 
 
19Boundary Lines of             50 feet to the nearest
20Nonparticipating Property     point on the property
21                              line of the nonparticipating

 

 

SB0025 Enrolled- 471 -LRB104 07069 BAB 17106 b

1                              property
 
2        (4) a commercial solar energy facility to be sited so
3    that the facility's perimeter is enclosed by fencing
4    having a height of at least 6 feet and no more than 25
5    feet; and
6        (5) a commercial solar energy facility to be sited so
7    that no component of a solar panel has a height of more
8    than 20 feet above ground when the solar energy facility's
9    arrays are at full tilt.
10    This subsection (e) shall not preclude the ability of a
11county to require a reasonable setback distance between
12fencing and public rights-of-way if the requirement is not
13specific to commercial wind energy facilities or commercial
14solar energy facilities and does not preclude the development
15of commercial wind energy facilities or commercial solar
16energy facilities or the ability of commercial wind energy
17facilities or commercial solar energy facilities to comply
18with the requirements set forth in this subsection (e).    
19    The requirements set forth in this subsection (e) may be
20waived subject to the written consent of the owner of each
21affected nonparticipating property.
22    (f) A county may not set a sound limitation for wind towers
23in commercial wind energy facilities or any components in
24commercial solar energy facilities that is more restrictive
25than the sound limitations established by the Illinois

 

 

SB0025 Enrolled- 472 -LRB104 07069 BAB 17106 b

1Pollution Control Board under 35 Ill. Adm. Code Parts 900,
2901, and 910. Additionally, in accordance with Section 25 of
3the Environmental Protection Act, a participating property,
4participating residence, nonparticipating property,
5nonparticipating residence, or any combination of those
6properties or residences may waive enforcement of the rules
7adopted by the Illinois Pollution Control Board under 35 Ill.
8Adm. Code Parts 900, 901, and 910 by written waiver that
9complies with the applicable directive established in Section
1025 of the Environmental Protection Act and is recorded in the
11Office of the Recorder of the county in which the
12participating property, participating residence,
13nonparticipating property, or nonparticipating residence is
14located. Once recorded, such a waiver shall be binding on any
15current and future owners, residents, lessees, invitees, and
16users of the participating property, participating residence,
17nonparticipating property, or nonparticipating residence for
18enforcement purposes. An owner of any participating residence
19or nonparticipating residence shall disclose the existence of
20such a waiver to any lessee before entering any new lease for
21the residence.    
22    A seller or transferor of a participating property,
23participating residence, nonparticipating property,
24nonparticipating residence, or any combination of those
25properties or residences shall disclose the existence of such
26a waiver to any buyer or transferee before any sale or transfer

 

 

SB0025 Enrolled- 473 -LRB104 07069 BAB 17106 b

1of the property. If disclosure of the waiver occurs after the
2buyer has made an offer to purchase the property, the seller
3shall disclose the existence of the waiver before accepting
4the buyer's offer and shall (1) allow the buyer an opportunity
5to review the disclosure and (2) inform the buyer that the
6buyer has the right to amend the buyer's offer.    
7    (g) A county may not place any restriction on the
8installation or use of a commercial wind energy facility or a
9commercial solar energy facility unless it adopts an ordinance
10that complies with this Section. A county may not establish
11siting standards for supporting facilities that preclude
12development of commercial wind energy facilities or commercial
13solar energy facilities.
14    A request for siting approval or a special use permit for a
15commercial wind energy facility or a commercial solar energy
16facility, or modification of an approved siting or special use
17permit, shall be approved if the request is in compliance with
18the standards and conditions imposed in this Act, the zoning
19ordinance adopted consistent with this Act Code, and the
20conditions imposed under State and federal statutes and
21regulations.
22    (h) A county may not adopt zoning regulations that
23disallow, permanently or temporarily, commercial wind energy
24facilities or commercial solar energy facilities from being
25developed or operated in any district zoned to allow
26agricultural or industrial uses.

 

 

SB0025 Enrolled- 474 -LRB104 07069 BAB 17106 b

1    (i) (Blank). A county may not require permit application
2fees for a commercial wind energy facility or commercial solar
3energy facility that are unreasonable. All application fees
4imposed by the county shall be consistent with fees for
5projects in the county with similar capital value and cost.    
6    (i-5) All siting approval or special use permit
7application fees for a commercial wind energy facility or
8commercial solar energy facility must be reasonable. Fees that
9do not exceed $5,000 per each megawatt of nameplate capacity
10of the energy facility, up to a maximum of $125,000, shall be
11considered presumptively reasonable. A county may also require
12reimbursement from the applicant for any reasonable expenses
13incurred by the county in processing the siting approval or
14special use permit application in excess of the maximum fee. A
15siting approval or special use permit shall not be subject to
16any time deadline to start construction or obtain a building
17permit of less than 5 years from the date of siting approval or
18special use permit approval. A county shall allow an applicant
19to request an extension of the deadline based upon reasonable
20cause for the extension request. The exemption shall not be
21unreasonably withheld, conditioned, or denied.
22    (i-10) A county may require, for a commercial wind energy
23facility or commercial solar energy facility, a single
24building permit and a reasonable permit fee for the facility
25which includes all supporting facilities. County building
26permit fees for commercial wind energy facility or commercial

 

 

SB0025 Enrolled- 475 -LRB104 07069 BAB 17106 b

1solar energy facility that do not exceed $5,000 per each
2megawatt of nameplate capacity of the energy facility, up to a
3maximum of $75,000, shall be considered presumptively
4reasonable. A county may also require reimbursement from the
5applicant for any reasonable expenses incurred by the county
6in processing the building permit in excess of the maximum
7fee. A county may require an applicant, upon start of
8construction of the facility, to maintain liability insurance
9that is commercially reasonable and consistent with prevailing
10industry standards for similar energy facilities.
11    (j) Except as otherwise provided in this Section, a county
12shall not require standards for construction, decommissioning,
13or deconstruction of a commercial wind energy facility or
14commercial solar energy facility or related financial
15assurances that are more restrictive than those included in
16the Department of Agriculture's standard wind farm
17agricultural impact mitigation agreement, template 81818, or
18standard solar agricultural impact mitigation agreement,
19version 8.19.19, as applicable and in effect on December 31,
202022. The amount of any decommissioning payment shall be in
21accordance with the financial assurance required by those
22agricultural impact mitigation agreements.
23    (j-5) A commercial wind energy facility or a commercial
24solar energy facility shall file a farmland drainage plan with
25the county and impacted drainage districts outlining how
26surface and subsurface drainage of farmland will be restored

 

 

SB0025 Enrolled- 476 -LRB104 07069 BAB 17106 b

1during and following construction or deconstruction of the
2facility. The plan is to be created independently by the
3facility developer and shall include the location of any
4potentially impacted drainage district facilities to the
5extent this information is publicly available from the county
6or the drainage district, plans to repair any subsurface
7drainage affected during construction or deconstruction using
8procedures outlined in the agricultural impact mitigation
9agreement entered into by the commercial wind energy facility
10owner or commercial solar energy facility owner, and
11procedures for the repair and restoration of surface drainage
12affected during construction or deconstruction. All surface
13and subsurface damage shall be repaired as soon as reasonably
14practicable.
15    (k) A county may not condition approval of a commercial
16wind energy facility or commercial solar energy facility on a
17property value guarantee and may not require a facility owner
18to pay into a neighboring property devaluation escrow account.
19    (l) A county may require certain vegetative screening
20between a surrounding a commercial wind energy facility or    
21commercial solar energy facility and nonparticipating
22residences. A county but may not require earthen berms or
23similar structures. Vegetative screening requirements shall be
24commercially reasonable and limited in height at full maturity
25to avoid reduction of the productive energy output of the
26commercial solar energy facility. A county may not require

 

 

SB0025 Enrolled- 477 -LRB104 07069 BAB 17106 b

1vegetative screening to exceed 5 feet in height when first
2installed or prior to commercial operation date. The screening
3requirements shall take into account the size and location of
4the facility, visibility from nonparticipating residences,
5compatibility of native plant species, cost and feasibility of
6installation and maintenance, and industry standards and best
7practices for commercial solar energy facilities.    
8    (m) A county may set blade tip height limitations for wind
9towers in commercial wind energy facilities but may not set a
10blade tip height limitation that is more restrictive than the
11height allowed under a Determination of No Hazard to Air
12Navigation by the Federal Aviation Administration under 14 CFR
13Part 77.
14    (n) A county may require that a commercial wind energy
15facility owner or commercial solar energy facility owner
16provide:
17        (1) the results and recommendations from consultation
18    with the Illinois Department of Natural Resources that are
19    obtained through the Ecological Compliance Assessment Tool
20    (EcoCAT) or a comparable successor tool; and
21        (2) (blank). the results of the United States Fish and
22    Wildlife Service's Information for Planning and Consulting
23    environmental review or a comparable successor tool that
24    is consistent with (i) the "U.S. Fish and Wildlife
25    Service's Land-Based Wind Energy Guidelines" and (ii) any
26    applicable United States Fish and Wildlife Service solar

 

 

SB0025 Enrolled- 478 -LRB104 07069 BAB 17106 b

1    wildlife guidelines that have been subject to public
2    review.    
3    (o) A county may require a commercial wind energy facility
4or commercial solar energy facility to adhere to the
5recommendations provided by the Illinois Department of Natural
6Resources in an EcoCAT natural resource review report under 17
7Ill. Adm. Code Part 1075.
8    (p) A county may require a facility owner to:
9        (1) demonstrate avoidance of protected lands as
10    identified by the Illinois Department of Natural Resources
11    and the Illinois Nature Preserve Commission; or
12        (2) consider the recommendations of the Illinois
13    Department of Natural Resources for setbacks from
14    protected lands, including areas identified by the
15    Illinois Nature Preserve Commission.
16    (q) A county may require that a facility owner provide
17evidence of consultation with the Illinois State Historic
18Preservation Office to assess potential impacts on
19State-registered historic sites under the Illinois State
20Agency Historic Resources Preservation Act.
21    (r) To maximize community benefits, including, but not
22limited to, reduced stormwater runoff, flooding, and erosion
23at the ground mounted solar energy system, improved soil
24health, and increased foraging habitat for game birds,
25songbirds, and pollinators, a county may (1) require a
26commercial solar energy facility owner to plant, establish,

 

 

SB0025 Enrolled- 479 -LRB104 07069 BAB 17106 b

1and maintain for the life of the facility vegetative ground
2cover, consistent with the goals of the Pollinator-Friendly
3Solar Site Act and (2) require the submittal of a vegetation
4management plan that is in compliance with the agricultural
5impact mitigation agreement in the application to construct
6and operate a commercial solar energy facility in the county
7if the vegetative ground cover and vegetation management plan
8comply with the requirements of the underlying agreement with
9the landowner or landowners where the facility will be
10constructed.
11    No later than 90 days after January 27, 2023 (the
12effective date of Public Act 102-1123), the Illinois
13Department of Natural Resources shall develop guidelines for
14vegetation management plans that may be required under this
15subsection for commercial solar energy facilities. The
16guidelines must include guidance for short-term and long-term
17property management practices that provide and maintain native
18and non-invasive naturalized perennial vegetation to protect
19the health and well-being of pollinators.
20    (s) If a facility owner enters into a road use agreement
21with the Illinois Department of Transportation, a road
22district, or other unit of local government relating to a
23commercial wind energy facility or a commercial solar energy
24facility, the road use agreement shall require the facility
25owner to be responsible for (i) the reasonable cost of
26improving roads used by the facility owner to construct the

 

 

SB0025 Enrolled- 480 -LRB104 07069 BAB 17106 b

1commercial wind energy facility or the commercial solar energy
2facility and (ii) the reasonable cost of repairing roads used
3by the facility owner during construction of the commercial
4wind energy facility or the commercial solar energy facility
5so that those roads are in a condition that is safe for the
6driving public after the completion of the facility's
7construction. Roadways improved in preparation for and during
8the construction of the commercial wind energy facility or
9commercial solar energy facility shall be repaired and
10restored to the improved condition at the reasonable cost of
11the developer if the roadways have degraded or were damaged as
12a result of construction-related activities.
13    The road use agreement shall not require the facility
14owner to pay costs, fees, or charges for road work that is not
15specifically and uniquely attributable to the construction of
16the commercial wind energy facility or the commercial solar
17energy facility. No road district or other unit of local
18government may request or require permit fees, fines, or other
19payment obligations as a requirement for a road use agreement
20with a facility owner unless the amount of the reasonable
21permit fee or payment is equivalent to the amount of actual
22expenses incurred by the road district or other unit of local
23government for negotiating, executing, constructing, or
24implementing the road use agreement. The road use agreement
25shall not require any road work to be performed by or paid for
26by the facility owner that is not specifically and uniquely

 

 

SB0025 Enrolled- 481 -LRB104 07069 BAB 17106 b

1attributable to the road improvements required for the
2construction of the commercial wind energy facility or the
3commercial solar energy facility or the restoration of the
4roads used by the facility owner during construction-related
5activities. Road-related fees, permit fees, or other charges
6imposed by the Illinois Department of Transportation, a road
7district, or other unit of local government under a road use
8agreement with the facility owner shall be reasonably related
9to the cost of administration of the road use agreement.    
10    (s-5) The facility owner shall also compensate landowners
11for crop losses or other agricultural damages resulting from
12damage to the drainage system caused by the construction of
13the commercial wind energy facility or the commercial solar
14energy facility. The commercial wind energy facility owner or
15commercial solar energy facility owner shall repair or pay for
16the repair of all damage to the subsurface drainage system
17caused by the construction of the commercial wind energy
18facility or the commercial solar energy facility in accordance
19with the agriculture impact mitigation agreement requirements
20for repair of drainage. The commercial wind energy facility
21owner or commercial solar energy facility owner shall repair
22or pay for the repair and restoration of surface drainage
23caused by the construction or deconstruction of the commercial
24wind energy facility or the commercial solar energy facility
25as soon as reasonably practicable.
26    (t) Notwithstanding any other provision of law, a facility

 

 

SB0025 Enrolled- 482 -LRB104 07069 BAB 17106 b

1owner with siting approval from a county to construct a
2commercial wind energy facility or a commercial solar energy
3facility is authorized to cross or impact a drainage system,
4including, but not limited to, drainage tiles, open drainage
5ditches, culverts, and water gathering vaults, owned or under
6the control of a drainage district under the Illinois Drainage
7Code without obtaining prior agreement or approval from the
8drainage district in accordance with the farmland drainage
9plan required by subsection (j-5).
10    (u) The amendments to this Section adopted in Public Act
11102-1123 do not apply to: (1) an application for siting
12approval or for a special use permit for a commercial wind
13energy facility or commercial solar energy facility if the
14application was submitted to a unit of local government before
15January 27, 2023 (the effective date of Public Act 102-1123);
16(2) a commercial wind energy facility or a commercial solar
17energy facility if the facility owner has submitted an
18agricultural impact mitigation agreement to the Department of
19Agriculture before January 27, 2023 (the effective date of
20Public Act 102-1123); or (3) a commercial wind energy or
21commercial solar energy development on property that is
22located within an enterprise zone certified under the Illinois
23Enterprise Zone Act, that was classified as industrial by the
24appropriate zoning authority on or before January 27, 2023,
25and that is located within 4 miles of the intersection of
26Interstate 88 and Interstate 39; or (4) a commercial wind

 

 

SB0025 Enrolled- 483 -LRB104 07069 BAB 17106 b

1energy or commercial solar energy development on property in
2Madison County that is located within the area that has as its
3northern boundary the portion of Drexelius Road that is
4between the intersection of Drexelius Road and Wolf Road and
5the intersection of Drexelius Road and Fosterburg Road, that
6has as its eastern boundary the portion of Fosterburg Road
7that is between the intersection of Fosterburg Road and
8Drexelius Road and the intersection of Fosterburg Road and
9Wolf Road, and that has as its southern and western boundaries
10the portion of Wolf Road that is between the intersection of
11Fosterburg Road and Wolf Road and the intersection of
12Drexelius Road and Wolf Road.
13(Source: P.A. 102-1123, eff. 1-27-23; 103-81, eff. 6-9-23;
14103-580, eff. 12-8-23; revised 7-29-24.)
 
15    (55 ILCS 5/5-12024 new)
16    Sec. 5-12024. Energy storage systems.
17    (a) As used in this Section:
18    "Energy storage system" means a facility with an aggregate
19energy capacity that is greater than 1,000 kilowatts and that
20is capable of absorbing energy and storing it for use at a
21later time, including, but not limited to, electrochemical and
22electromechanical technologies. "Energy storage system" does
23not include technologies that require combustion. "Energy
24storage system" also does not include energy storage systems
25associated with commercial solar energy facilities or

 

 

SB0025 Enrolled- 484 -LRB104 07069 BAB 17106 b

1commercial wind energy facilities as defined in Section
25-12020.
3    "Excused service interruption" means any period during
4which an energy storage system does not store or discharge
5electricity and that is planned or reasonably foreseeable for
6standard commercial operation, including any unavailability
7caused by a buyer; storage capacity tests; system emergencies;
8curtailments, including curtailment orders; transmission
9system outages; compliance with any operating restriction;
10serial defects; and planned outages.
11    "Facility owner" means (i) a person with a direct
12ownership interest in an energy storage system, regardless of
13whether the person is involved in acquiring the necessary
14rights, permits, and approvals or otherwise planning for the
15construction and operation of the facility and (ii) a person
16who, at the time the facility is being developed, is acting as
17a developer of the facility by acquiring the necessary rights,
18permits, and approvals or by planning for the construction and
19operation of the facility, regardless of whether the person
20will own or operate the facility.
21    "Force majeure" means any event or circumstance that
22delays or prevents an energy storage system from timely
23performing all or a portion of its commercial operations if
24the act or event, despite the exercise of commercially
25reasonable efforts, cannot be avoided by and is beyond the
26reasonable control, whether direct or indirect, of, and

 

 

SB0025 Enrolled- 485 -LRB104 07069 BAB 17106 b

1without the fault or negligence of, a facility owner or
2operator or any of its assignees. "Force majeure" includes,
3but is not limited to:
4        (1) fire, flood, tornado, or other natural disasters
5    or acts of God;
6        (2) war, civil strife, terrorist attack, or other
7    similar acts of violence;
8        (3) unavailability of materials, equipment, services,
9    or labor, including unavailability due to global supply
10    chain shortages;
11        (4) utility or energy shortages or acts or omissions
12    of public utility providers;
13        (5) any delay resulting from a pandemic, epidemic, or
14    other public health emergency or related restrictions; and
15        (6) litigation or a regulatory proceeding regarding a
16    facility.
17    "NFPA" means the National Fire Protection Association.
18    "Nonparticipating property" means real property that is
19not a participating property.
20    "Nonparticipating residence" means a residence that is
21located on nonparticipating property and that exists and is
22occupied on the date that the application for a permit to
23develop an energy storage system is filed with the county.
24    "Occupied community building" means a school, place of
25worship, day care facility, public library, or community
26center that is occupied on the date that the application for a

 

 

SB0025 Enrolled- 486 -LRB104 07069 BAB 17106 b

1permit to develop an energy storage system is filed with the
2county in which the building is located.
3    "Participating property" means real property that is the
4subject of a written agreement between a facility owner and
5the owner of the real property and that provides the facility
6owner an easement, option, lease, or license to use the real
7property for the purpose of constructing an energy storage
8system or supporting facilities.
9    "Protected lands" means real property that is: (i) subject
10to a permanent conservation right consistent with the Real
11Property Conservation Rights Act; or (ii) registered or
12designated as a nature preserve, buffer, or land and water
13reserve under the Illinois Natural Areas Preservation Act.
14    "Supporting facilities" means the transmission lines,
15substations, switchyard, access roads, meteorological towers,
16storage containers, and equipment associated with the
17generation, storage, and dispatch of electricity by an energy
18storage system.
19    (b) Notwithstanding any other provision of law, if a
20county has formed a zoning commission and adopted formal
21zoning under Section 5-12007, then a county may establish
22standards for energy storage systems in areas of the county
23that are not within the zoning jurisdiction of a municipality.
24The standards may include all of the requirements specified in
25this Section but may not include requirements for energy
26storage systems that are more restrictive than specified in

 

 

SB0025 Enrolled- 487 -LRB104 07069 BAB 17106 b

1this Section or requirements that are not specified in this
2Section.
3    (c) A county may require the energy storage facility to
4comply with the version of NFPA 855 "Standard for the
5Installation of Stationary Energy Storage Systems" in effect
6on the effective date of this amendatory Act or any successor
7standard issued by the NFPA in effect on the date of siting or
8special use permit approval. A county may not include
9requirements for energy storage systems that are more
10restrictive than NFPA 855 "Standard for the Installation of
11Stationary Energy Storage Systems" unless required by this
12Section.
13    (d) If a county has elected to establish standards under
14subsection (b), then the zoning board of appeals for the
15county shall hold at least one public hearing before the
16county grants (i) siting approval or a special use permit for
17an energy storage system or (ii) modification of an approved
18siting or special use permit. The public hearing shall be
19conducted in accordance with the Open Meetings Act and shall
20conclude not more than 60 days after the filing of the
21application for the facility. The county shall allow
22interested parties to a special use permit an opportunity to
23present evidence and to cross-examine witnesses at the
24hearing, but the county may impose reasonable restrictions on
25the public hearing, including reasonable time limitations on
26the presentation of evidence and the cross-examination of

 

 

SB0025 Enrolled- 488 -LRB104 07069 BAB 17106 b

1witnesses. The county shall also allow public comment at the
2public hearing in accordance with the Open Meetings Act. The
3county shall make its siting and permitting decisions not more
4than 30 days after the conclusion of the public hearing.
5Notice of the hearing shall be published in a newspaper of
6general circulation in the county.
7    (e) A county with an existing zoning ordinance in conflict
8with this Section shall amend that zoning ordinance to comply
9with this Section within 120 days after the effective date of
10this amendatory Act of the 104th General Assembly.
11    (f) A county shall require an energy storage system to be
12sited as follows, with setback distances measured from the
13nearest edge of the nearest battery or other electrochemical
14or electromechanical enclosure:
 
15Setback Description           Setback Distance
 
16Occupied Community            150 feet from the nearest 
17Buildings and                 point of the outside wall of
18Nonparticipating Residences   the occupied community building
19                              or nonparticipating residence
 
20Boundary Lines of             50 feet to the nearest point
21Occupied Community            on the property line of
22Buildings and                 the occupied community building
23Nonparticipating Residences   or nonparticipating property
 

 

 

SB0025 Enrolled- 489 -LRB104 07069 BAB 17106 b

1Public Road Rights-of-Way     50 feet from the nearest edge
2                              of the right-of-way
3        (2) A county shall also require an energy storage
4    system to be sited so that the facility's perimeter is
5    enclosed by fencing having a height of at least 7 feet and
6    no more than 25 feet.
7    This Section does not exempt or excuse compliance with
8electric facility clearances approved or required by the
9National Electrical Code, the National Electrical Safety Code,
10the Illinois Commerce Commission, the Federal Energy
11Regulatory Commission, and their designees or successors.
12    (g) A county may not set a sound limitation for energy
13storage systems that is more restrictive than the sound
14limitations established by the Illinois Pollution Control
15Board under 35 Ill. Adm. Code Parts 900, 901, and 910. After
16commercial operation, a county may require the facility owner
17to provide, not more than once, octave band sound pressure
18level measurements from a reasonable number of sampled
19locations at the perimeter of the energy storage system to
20demonstrate compliance with this Section.
21    (h) The provisions set forth in subsection (f) may be
22waived subject to the written consent of the owner of each
23affected nonparticipating property or nonparticipating
24residence.
25    (i) A county may not place any restriction on the

 

 

SB0025 Enrolled- 490 -LRB104 07069 BAB 17106 b

1installation or use of an energy storage system unless it has
2formed a zoning commission and adopted formal zoning under
3Section 5-12007 and adopts an ordinance that complies with
4this Section. A county may not establish siting standards for
5supporting facilities that preclude development of an energy
6storage system.
7    (j) A request for siting approval or a special use permit
8for an energy storage system, or modification of an approved
9siting approval or special use permit, shall be approved if
10the request complies with the standards and conditions imposed
11in this Code, the zoning ordinance adopted consistent with
12this Section, and other State and federal statutes and
13regulations. The siting approval or special use permit
14approved by the county shall grant the facility owner a period
15of at least 3 years after county approval to obtain a building
16permit or commence construction of the energy storage system,
17before the siting approval or special use permit may become
18subject to revocation by the county. Facility owners may be
19granted an extension on obtaining building permits or
20commencing constructing upon a showing of good cause. A
21facility owner's request for an extension may not be
22unreasonably withheld, conditioned, or denied.
23    (k) A county may not adopt zoning regulations that
24disallow, permanently or temporarily, an energy storage system
25from being developed or operated in any district zones to
26allow agricultural or industrial uses.

 

 

SB0025 Enrolled- 491 -LRB104 07069 BAB 17106 b

1    (l) A facility owner shall file a farmland drainage plan
2with the county and impacted drainage districts that outlines
3how surface and subsurface drainage of farmland will be
4restored during and following the construction or
5deconstruction of the energy storage system. The plan shall be
6created independently by the facility owner and shall include
7the location of any potentially impacted drainage district
8facilities to the extent the information is publicly available
9from the county or the drainage district and plans to repair
10any subsurface drainage affected during construction or
11deconstruction using procedures outlined in the
12decommissioning plan. All surface and subsurface damage shall
13be repaired as soon as reasonably practicable.
14    (m) A facility owner shall compensate landowners for crop
15losses or other agricultural damages resulting from damage to
16a drainage system caused by the construction of an energy
17storage system. The facility owner shall repair or pay for the
18repair of all damage to the subsurface drainage system caused
19by the construction of the energy storage system. The facility
20owner shall repair or pay for the repair and restoration of
21surface drainage caused by the construction or deconstruction
22of the energy storage facility as soon as reasonably
23practicable.    
24    (n) County siting approval or special use permit
25application fees for an energy storage system shall not exceed
26the lesser of (i) $5,000 per each megawatt of nameplate

 

 

SB0025 Enrolled- 492 -LRB104 07069 BAB 17106 b

1capacity of the energy storage system or (ii) $50,000.
2    (o) The county may require a facility owner to provide a
3decommissioning plan to the county. The decommissioning plan
4may include all requirements for decommissioning plans in NFPA
5855 and may also require the facility owner to:
6        (1) state how the energy storage system will be
7    decommissioned, including removal to a depth of 3 feet of
8    all structures that have no ongoing purpose and all debris
9    and restoration of the soil and any vegetation to a
10    condition as close as reasonably practicable to the soil's
11    and vegetation's preconstruction condition within 18
12    months of the end of project life or facility abandonment;
13        (2) include provisions related to commercially
14    reasonable efforts to reuse or recycle of equipment and
15    components associated with the commercial offsite energy
16    storage system;
17        (3) include financial assurance in the form of a
18    reclamation or surety bond or other commercially available
19    financial assurance that is acceptable to the county, with
20    the county or participating property owner as beneficiary.
21    The amount of the financial assurance shall not be more
22    than the estimated cost of decommissioning the energy
23    facility, after deducting salvage value, as calculated by
24    a professional engineer licensed to practice engineering
25    in this State with expertise in preparing decommissioning
26    estimates, retained by the applicant. The financial

 

 

SB0025 Enrolled- 493 -LRB104 07069 BAB 17106 b

1    assurance shall be provided to the county incrementally as
2    follows:
3            (A) 25% before the start of full commercial
4        operation;
5            (B) 50% before the start of the 5th year of
6        commercial operation; and
7            (C) 100% by the start of the tenth year of
8        commercial operation;
9        (4) update the amount of the financial assurance not
10    more than every 5 years for the duration of commercial
11    operations. The amount shall be calculated by a
12    professional engineer licensed to practice engineering in
13    this State with expertise in decommissioning, hired by the
14    facility owner; and
15        (5) decommission the energy storage system, in
16    accordance with an approved decommissioning plan, within
17    18 months after abandonment. An energy storage system that
18    has not stored electrical energy for 12 consecutive months
19    or that fails, for a period of 6 consecutive months, to pay
20    a property owner who is party to a written agreement,
21    including, but not limited to, an easement, option, lease,
22    or license under the terms of which an energy storage
23    system is constructed on the property, amounts owed in
24    accordance with the written agreement shall be considered
25    abandoned, except when the inability to store energy is
26    the result of an event of force majeure or excused service

 

 

SB0025 Enrolled- 494 -LRB104 07069 BAB 17106 b

1    interruption.
2    (p) A county may not condition approval of an energy
3storage system on a property value guarantee and may not
4require a facility owner to pay into a neighboring property
5devaluation escrow account.
6    (q) A county may require that a facility owner provide the
7results and recommendations from consultation with the
8Department of Natural Resources that are obtained through the
9Ecological Compliance Assessment Tool (EcoCAT) or a comparable
10successor tool.
11    (r) A county may require an energy storage system to
12adhere to the recommendations provided by the Department of
13Natural Resources in an Agency Action Report under 17 Ill.
14Adm. Code 1075.
15    (s) A county may require a facility owner to:
16        (1) demonstrate avoidance of protected lands as
17    identified by the Department of Natural Resources and the
18    Illinois Nature Preserves Commission; or
19        (2) consider the recommendations of the Department of
20    Natural Resources for setbacks from protected lands,
21    including areas identified by the Illinois Nature
22    Preserves Commission.
23    (t) A county may require that a facility owner provide
24evidence of consultation with the Illinois Historic
25Preservation Division to assess potential impacts on
26State-registered historic sites under the Illinois State

 

 

SB0025 Enrolled- 495 -LRB104 07069 BAB 17106 b

1Agency Historic Resources Preservation Act.
2    (u) A county may require that an application for siting
3approval or special use permit include the following
4information on a site plan:
5        (1) a description of the property lines and physical
6    features, including roads, for the facility site;
7        (2) a description of the proposed changes to the
8    landscape of the facility site, including vegetation
9    clearing and planting, exterior lighting, and screening or
10    structures; and
11        (3) a description of the zoning district designation
12    for the parcel of land comprising the facility site.
13    (v) A county may not prohibit an energy storage system
14from undertaking periodic augmentation to maintain the
15approximate original capacity of the energy storage system. A
16county may not require renewed or additional siting approval
17or special use permit approval of periodic augmentation to
18maintain the approximate original capacity of the energy
19storage system.
20    (w) A county that issues a building permit for energy
21storage systems shall review and process building permit
22applications within 60 days after receipt of the building
23permit application. If a county does not grant or deny the
24building permit application within 60 days, the building
25permit shall be deemed granted. If a county denies a building
26permit application, it shall specify the reason for the denial

 

 

SB0025 Enrolled- 496 -LRB104 07069 BAB 17106 b

1in writing as part of its denial.
2    (x) A county may require a single building permit and a
3reasonable permit fee for the facility which includes all
4supporting facilities. A county building permit fee for an
5energy storage system that does not exceed the lesser of (i)
6$5,000 per each megawatt of nameplate capacity of the energy
7storage system or (ii) $50,000 shall be considered
8presumptively reasonable. A county may require that the
9application for building permit contain:
10        (1) an electrical diagram detailing the battery energy
11    storage system layout, associated components, and
12    electrical interconnection methods, with all National
13    Electrical Code compliant disconnects and overcurrent
14    devices; and
15        (2) an equipment specification sheet.
16    (y) A county may require the facility owner to submit to
17the county prior to the facility's commercial operation a
18commissioning report meeting the requirements of NFPA 855
19Sections 4.2.4, 6.1.3, and 6.1.5.5, as published in 2023, or
20the applicable Sections in the most recent version of NFPA
21855.
22    (z) A county may require the facility owner to submit to
23the county prior to the facility's commercial operation a
24hazard mitigation analysis meeting the requirements of NFPA
25855 Section 4.4 or the applicable Sections in the most recent
26version of NFPA 855.

 

 

SB0025 Enrolled- 497 -LRB104 07069 BAB 17106 b

1    (aa) A county may require the facility owner to submit to
2the county an emergency operations plan meeting the
3requirements of NFPA 855 Section 4.3.2.1.4, published in 2023,
4or applicable Sections in the most recent version of NFPA 855,
5prior to commercial operation.
6    (bb) A county may require a warning that complies with
7requirements in NFPA 855 Section 4.7.4, published in 2023, or
8applicable sections in the most recent version of NFPA 855.
9    (cc) A county may require the energy storage system to
10adhere to the principles for responsible outdoor lighting
11provided by the International Dark-Sky Association and shall
12limit outdoor lighting to that which is minimally required for
13safety and operational purposes. Any outdoor lighting shall be
14reasonably shielded and downcast from all residences and
15adjacent properties.
16    (dd) This Section does not exempt compliance with fire and
17safety standards and guidance established for the installation
18of lithium-ion battery energy storage systems set by the NFPA.
19    (ee) Prior to commencement of commercial operation, the
20facility owner shall offer to provide training for local fire
21departments and emergency responders in accordance with the
22facility emergency operations plan. A copy of the emergency
23operations plan shall be given to the facility owner, the
24local fire department, and emergency responders. All batteries
25integrated within an energy storage system shall be listed
26under the UL 1973 Standard. All batteries integrated within an

 

 

SB0025 Enrolled- 498 -LRB104 07069 BAB 17106 b

1energy storage system shall be listed in accordance with UL
29540 Standard, either from the manufacturer or by a field
3evaluation.
4    (ff) If a facility owner enters into a road use agreement
5with the Department of Transportation, a road district, or
6other unit of local government relating to an energy storage
7system, then the road use agreement shall require the facility
8owner to be responsible for (i) the reasonable cost of
9improving, if necessary, roads used by the facility owner to
10construct the energy storage system and (ii) the reasonable
11cost of repairing roads used by the facility owner during
12construction of the energy storage system so that those roads
13are in a condition that is safe for the driving public after
14the completion of the facility's construction. A roadway
15improved in preparation for and during the construction of the
16energy storage system shall be repaired and restored to the
17improved condition at the reasonable cost of the developer if
18the roadways have degraded or were damaged as a result of
19construction-related activities.
20    The road use agreement shall not require the facility
21owner to pay costs, fees, or charges for road work that is not
22specifically and uniquely attributable to the construction of
23the energy storage system. No road district or other unit of
24local government may request or require a fine, permit fee, or
25other payment obligation as a requirement for a road use
26agreement with a facility owner unless the amount of the fine,

 

 

SB0025 Enrolled- 499 -LRB104 07069 BAB 17106 b

1permit fee, or other payment obligation is equivalent to the
2amount of actual expenses incurred by the road district or
3other unit of local government for negotiating, executing,
4constructing, or implementing the road use agreement. The road
5use agreement shall not require the facility owner to perform
6or pay for any road work that is unrelated to the road
7improvements required for the construction of the commercial
8wind energy facility or the commercial solar energy facility
9or the restoration of the roads used by the facility owner
10during construction-related activities.
11    (gg) The provisions of this amendatory Act of the 104th
12General Assembly do not apply to an application for siting
13approval or special use permit for an energy storage system if
14the application was submitted to a county before the effective
15date of this amendatory Act of the 104th General Assembly.
 
16    (55 ILCS 5/Art. 5 Div. 5-46 heading new)
17
Division 5-46. Solar Bill of Rights

 
18    (55 ILCS 5/5-46005 new)
19    Sec. 5-46005. Definitions. As used in this Division:
20    "Low-voltage solar-powered device" means a piece of
21equipment designed for a particular purpose, including, but
22not limited to, doorbells, security systems, and illumination
23equipment, powered by a solar collector operating at less than
2450 volts, and located:

 

 

SB0025 Enrolled- 500 -LRB104 07069 BAB 17106 b

1        (1) entirely within the lot or parcel owned by the
2    property owner; or
3        (2) within a common area without being permanently
4    attached to common property.
5    "Solar collector" means:
6        (1) an assembly, structure, or design, including
7    passive elements, used for gathering, concentrating, or
8    absorbing direct and indirect solar energy and specially
9    designed for holding a substantial amount of useful
10    thermal energy and to transfer that energy to a gas,
11    solid, or liquid or to use that energy directly;
12        (2) a mechanism that absorbs solar energy and converts
13    it into electricity;
14        (3) a mechanism or process used for gathering solar
15    energy through wind or thermal gradients; or
16        (4) a component used to transfer thermal energy to a
17    gas, solid, or liquid, or to convert it into electricity.
18    "Solar energy" means radiant energy received from the sun
19at wavelengths suitable for heat transfer, photosynthetic use,
20or photovoltaic use.
21    "Solar energy system" means:
22        (1) a complete assembly, structure, or design of a
23    solar collector or a solar storage mechanism that uses
24    solar energy for generating electricity or for heating or
25    cooling gases, solids, liquids, or other materials; and
26        (2) the design, materials, or elements of a system and

 

 

SB0025 Enrolled- 501 -LRB104 07069 BAB 17106 b

1    its maintenance, operation, and labor components, and the
2    necessary components, if any, of supplemental conventional
3    energy systems designed or constructed to interface with a
4    solar energy system.
5    "Solar storage mechanism" means equipment or elements,
6such as piping and transfer mechanisms, containers, heat
7exchangers, batteries, or controls thereof and gases, solids,
8liquids, or combinations thereof, that are utilized for
9storing solar energy, gathered by a solar collector, for
10subsequent use.
 
11    (55 ILCS 5/5-46010 new)
12    Sec. 5-46010. Prohibitions. Notwithstanding any provision
13of this Code or other provision of law, the adoption of any
14ordinance or resolution or the exercise of any power by a
15county that prohibits or has the effect of prohibiting the
16installation of a solar energy system or low-voltage
17solar-powered devices is expressly prohibited.
 
18    (55 ILCS 5/5-46020 new)
19    Sec. 5-46020. Costs; attorney's fees. In any litigation
20arising under this Division or involving the application of
21this Division, the prevailing party shall be entitled to costs
22and reasonable attorney's fees.
 
23    (55 ILCS 5/5-46025 new)

 

 

SB0025 Enrolled- 502 -LRB104 07069 BAB 17106 b

1    Sec. 5-46025. Applicability.
2    (a) As used in this Section, "shared roof" means any roof
3that (i) serves more than one unit, including, but not limited
4to, a contiguous roof serving adjacent units, or (ii) is part
5of the common elements or common area of a unit.
6    (b) This Division shall not apply to any building that:
7        (1) is greater than 60 feet in height; or
8        (2) has a shared roof.
9    (c) Notwithstanding subsection (b) of this Section, this
10Division shall apply to any building with a shared roof:
11        (1) where the solar energy system is located entirely
12    within that portion of the shared roof that is owned and
13    maintained by the property owner;
14        (2) where all property owners sharing the shared roof
15    are in agreement to install a solar energy system; or
16        (3) to the extent this Division applies to low-voltage
17    solar-powered devices.    
 
18    Section 90-30. The Illinois Municipal Code is amended by
19adding Division 15.5 as follows:
 
20    (65 ILCS 5/Art. 11 Div. 15.5 heading new)
21
Division 15.5. Solar Bill of Rights

 
22    (65 ILCS 5/11-15.5-5 new)
23    Sec. 11-15.5-5. Definitions. As used in this Division:

 

 

SB0025 Enrolled- 503 -LRB104 07069 BAB 17106 b

1    "Low-voltage solar-powered device" means a piece of
2equipment designed for a particular purpose, including, but
3not limited to, doorbells, security systems, and illumination
4equipment, powered by a solar collector operating at less than
550 volts, and located:
6        (1) entirely within the lot or parcel owned by the
7    property owner; or
8        (2) within a common area without being permanently
9    attached to common property.
10    "Solar collector" means:
11        (1) an assembly, structure, or design, including
12    passive elements, used for gathering, concentrating, or
13    absorbing direct and indirect solar energy and specially
14    designed for holding a substantial amount of useful
15    thermal energy and to transfer that energy to a gas,
16    solid, or liquid or to use that energy directly;
17        (2) a mechanism that absorbs solar energy and converts
18    it into electricity;
19        (3) a mechanism or process used for gathering solar
20    energy through wind or thermal gradients; or
21        (4) a component used to transfer thermal energy to a
22    gas, solid, or liquid, or to convert it into electricity.
23    "Solar energy" means radiant energy received from the sun
24at wavelengths suitable for heat transfer, photosynthetic use,
25or photovoltaic use.
26    "Solar energy system" means:

 

 

SB0025 Enrolled- 504 -LRB104 07069 BAB 17106 b

1        (1) a complete assembly, structure, or design of a
2    solar collector or a solar storage mechanism that uses
3    solar energy for generating electricity or for heating or
4    cooling gases, solids, liquids, or other materials; and
5        (2) the design, materials, or elements of a system and
6    its maintenance, operation, and labor components, and the
7    necessary components, if any, of supplemental conventional
8    energy systems designed or constructed to interface with a
9    solar energy system.
10    "Solar storage mechanism" means equipment or elements,
11such as piping and transfer mechanisms, containers, heat
12exchangers, batteries, or controls thereof and gases, solids,
13liquids, or combinations thereof, that are utilized for
14storing solar energy, gathered by a solar collector, for
15subsequent use.
 
16    (65 ILCS 5/11-15.5-10 new)
17    Sec. 11-15.5-10. Prohibitions. Notwithstanding any
18provision of this Code or other provision of law, the adoption
19of any ordinance or resolution or the exercise of any power, by
20municipality that prohibits or has the effect of prohibiting
21the installation of a solar energy system or low-voltage
22solar-powered devices is expressly prohibited. Municipalities
23that own local electric distribution systems may adopt and
24implement reasonable policies, consistent with Section 17-900
25of the Public Utilities Act, regarding the interconnection and

 

 

SB0025 Enrolled- 505 -LRB104 07069 BAB 17106 b

1use of solar energy systems.
 
2    (65 ILCS 5/11-15.5-20 new)
3    Sec. 11-15.5-20. Costs; attorney's fees. In any litigation
4arising under this Division or involving the application of
5this Division, the prevailing party shall be entitled to costs
6and reasonable attorney's fees.
 
7    (65 ILCS 5/11-15.5-25 new)
8    Sec. 11-15.5-25. Applicability.
9    (a) As used in this Section, "shared roof" means any roof
10that (i) serves more than one unit, including, but not limited
11to, a contiguous roof serving adjacent units, or (ii) is part
12of the common elements or common area of a unit.
13    (b) This Division shall not apply to any building that:
14        (1) is greater than 60 feet in height; or
15        (2) has a shared roof.
16    (c) Notwithstanding subsection (b) of this Section, this
17Division shall apply to any building with a shared roof:
18        (1) where the solar energy system is located entirely
19    within that portion of the shared roof owned and
20    maintained by the property owner;
21        (2) where all property owners sharing the shared roof
22    are in agreement to install a solar energy system; or
23        (3) to the extent this Division applies to low-voltage
24    solar-powered devices.
 

 

 

SB0025 Enrolled- 506 -LRB104 07069 BAB 17106 b

1    Section 90-35. The Public Utilities Act is amended by
2changing Sections 7-102, 8-103B, 8-104, 8-512, 9-229,
316-107.5, 16-107.6, 16-108, 16-108.19, 16-108.30, 16-111.5,
416-111.7, 16-115A, 16-119A, and 17-900 and by adding Sections
58-101.1, 8-513, 16-105.17, 16-107.8, 16-107.9, 16-126.2,
616-145, 16-201, 16-202, 20-140, 20-145, and Article 23 as
7follows:
 
8    (220 ILCS 5/7-102)  (from Ch. 111 2/3, par. 7-102)
9    Sec. 7-102. Transactions requiring Commission approval.
10    (A) Unless the consent and approval of the Commission is
11first obtained or unless such approval is waived by the
12Commission or is exempted in accordance with the provisions of
13this Section or of any other Section of this Act:    
14        (a) No 2 or more public utilities may enter into
15    contracts with each other that will enable such public
16    utilities to operate their lines or plants in connection
17    with each other.    
18        (b) No public utility may purchase, lease, or in any
19    other manner acquire control, direct or indirect, over the
20    franchises, licenses, permits, plants, equipment, business
21    or other property of any other public utility.    
22        (c) No public utility may assign, transfer, lease,
23    mortgage, sell (by option or otherwise), or otherwise
24    dispose of or encumber the whole or any part of its

 

 

SB0025 Enrolled- 507 -LRB104 07069 BAB 17106 b

1    franchises, licenses, permits, plant, equipment, business,
2    or other property, but the consent and approval of the
3    Commission shall not be required for the sale, lease,
4    assignment or transfer (1) by any public utility of any
5    tangible personal property which is not necessary or
6    useful in the performance of its duties to the public, or    
7    (2) by any electric utility, as defined by Section 16-105,
8    of functional control to a regional transmission operator,
9    as defined in Section 16-126, of facilities operating at
10    69,000 volts and that would otherwise qualify for such
11    transfer under the applicable rules of the regional
12    transmission operator taking functional control, or (3) by
13    any railroad of any real or tangible personal property.    
14        (d) No public utility may by any means, direct or
15    indirect, merge or consolidate its franchises, licenses,
16    permits, plants, equipment, business or other property
17    with that of any other public utility.    
18        (e) No public utility may purchase, acquire, take or
19    receive any stock, stock certificates, bonds, notes or
20    other evidences of indebtedness of any other public
21    utility.    
22        (f) No public utility may in any manner, directly or
23    indirectly, guarantee the performance of any contract or
24    other obligation of any other person, firm or corporation
25    whatsoever.    
26        (g) No public utility may use, appropriate, or divert

 

 

SB0025 Enrolled- 508 -LRB104 07069 BAB 17106 b

1    any of its moneys, property or other resources in or to any
2    business or enterprise which is not, prior to such use,
3    appropriation or diversion essentially and directly
4    connected with or a proper and necessary department or
5    division of the business of such public utility; provided
6    that this subsection shall not be construed as modifying
7    subsections (a) through (e) of this Section.    
8        (h) No public utility may, directly or indirectly,
9    invest, loan or advance, or permit to be invested, loaned
10    or advanced any of its moneys, property or other resources
11    in, for, in behalf of or to any other person, firm, trust,
12    group, association, company or corporation whatsoever,
13    except that no consent or approval by the Commission is
14    necessary for the purchase of stock in development credit
15    corporations organized under the Illinois Development
16    Credit Corporation Act, providing that no such purchase
17    may be made hereunder if, as a result of such purchase, the
18    cumulative purchase price of all such shares owned by the
19    utility would exceed one-fiftieth of one per cent of the
20    utility's gross operating revenue for the preceding
21    calendar year.
22    (B) Any public utility may present to the Commission for
23approval options or contracts to sell or lease real property,
24notwithstanding that the value of the property under option
25may have changed between the date of the option and the
26subsequent date of sale or lease. If the options or contracts

 

 

SB0025 Enrolled- 509 -LRB104 07069 BAB 17106 b

1are approved by the Commission, subsequent sales or leases in
2conformance with those options or contracts may be made by the
3public utility without any further action by the Commission.
4If approval of the options or contracts is denied by the
5Commission, the options or contracts are void and any
6consideration theretofore paid to the public utility must be
7refunded within 30 days following disapproval of the
8application.
9    (C) The proceedings for obtaining the approval of the
10Commission provided for in this Section shall be as follows:
11There shall be filed with the Commission a petition, joint or
12otherwise, as the case may be, signed and verified by the
13president, any vice president, secretary, treasurer,
14comptroller, general manager, or chief engineer of the
15respective companies, or by the person or company, as the case
16may be, clearly setting forth the object and purposes desired,
17and setting forth the full and complete terms of the proposed
18assignment, transfer, lease, mortgage, purchase, sale, merger,
19consolidation, contract or other transaction, as the case may
20be. Upon the filing of such petition, the Commission shall, if
21it deems necessary, fix a time and place for the hearing
22thereon. After such hearing, or in case no hearing is
23required, if the Commission is satisfied that such petition
24should reasonably be granted, and that the public will be
25convenienced thereby, the Commission shall make such order in
26the premises as it may deem proper and as the circumstances may

 

 

SB0025 Enrolled- 510 -LRB104 07069 BAB 17106 b

1require, attaching such conditions as it may deem proper, and
2thereupon it shall be lawful to do the things provided for in
3such order. The Commission shall impose such conditions as
4will protect the interest of minority and preferred
5stockholders.
6    (D) The Commission shall have power by general rules
7applicable alike to all public utilities, other than electric
8and gas public utilities, affected thereby to waive the filing
9and necessity for approval of the following: (a) sales of
10property involving a consideration of not more than $300,000
11for utilities with gross revenues in excess of $50,000,000
12annually and a consideration of not more than $100,000 for all
13other utilities; (b) leases, easements and licenses involving
14a consideration or rental of not more than $30,000 per year for
15utilities with gross revenues in excess of $50,000,000
16annually and a consideration or rental of not more than
17$10,000 per year for all other utilities; (c) leases of office
18building space not required by the public utility in rendering
19service to the public; (d) the temporary leasing, lending or
20interchanging of equipment in the ordinary course of business
21or in case of an emergency; and (e) purchase-money mortgages
22given by a public utility in connection with the purchase of
23tangible personal property where the total obligation to be
24secured shall be payable within a period not exceeding one
25year. However, if the Commission, after a hearing, finds that
26any public utility to which such rule is applicable is abusing

 

 

SB0025 Enrolled- 511 -LRB104 07069 BAB 17106 b

1or has abused such general rule and thereby is evading
2compliance with the standard established herein, the
3Commission shall have power to require such public utility to
4thereafter file and receive the Commission's approval upon all
5such transactions as described in this Section, but such
6general rule shall remain in full force and effect as to all
7other public utilities to which such rule is applicable.
8    (E) The filing of, and the consent and approval of the
9Commission for, any assignment, transfer, lease, mortgage,
10purchase, sale, merger, consolidation, contract or other
11transaction by an electric or gas public utility with gross
12revenues in all jurisdictions of $250,000,000 or more annually
13involving a sale price or annual consideration in an amount of
14$5,000,000 or less shall not be required. The Commission shall
15also have the authority, on petition by an electric or gas
16public utility with gross revenues in all jurisdictions of
17$250,000,000 or more annually, to establish by order higher
18thresholds than the foregoing for the requirement of approval
19of transactions by the Commission pursuant to this Section for
20the electric or gas public utility, but no greater than 1% of
21the electric or gas public utility's average total gross
22utility plant in service in the case of sale, assignment or
23acquisition of property, or 2.5% of the electric or gas public
24utility's total revenue in the case of other sales price or
25annual consideration, in each case based on the preceding
26calendar year, and subject to the power of the Commission,

 

 

SB0025 Enrolled- 512 -LRB104 07069 BAB 17106 b

1after notice and hearing, to further revise those thresholds
2at a later date. In addition to the foregoing, the Commission
3shall have power by general rules applicable alike to all
4electric and gas public utilities affected thereby to waive
5the filing and necessity for approval of the following: (a)
6sales of property involving a consideration of $100,000 or
7less for electric and gas utilities with gross revenues in all
8jurisdictions of less than $250,000,000 annually; (b) leases,
9easements and licenses involving a consideration or rental of
10not more than $10,000 per year for electric and gas utilities
11with gross revenues in all jurisdictions of less than
12$250,000,000 annually; (c) leases of office building space not
13required by the electric or gas public utility in rendering
14service to the public; (d) the temporary leasing, lending or
15interchanging of equipment in the ordinary course of business
16or in the case of an emergency; and (e) purchase-money
17mortgages given by an electric or gas public utility in
18connection with the purchase of tangible personal property
19where the total obligation to be secured shall be payable
20within a period of one year or less. However, if the
21Commission, after a hearing, finds that any electric or gas
22public utility is abusing or has abused such general rule and
23thereby is evading compliance with the standard established
24herein, the Commission shall have power to require such
25electric or gas public utility to thereafter file and receive
26the Commission's approval upon all such transactions as

 

 

SB0025 Enrolled- 513 -LRB104 07069 BAB 17106 b

1described in this Section and not exempted pursuant to the
2first sentence of this paragraph or to subsection (g) of
3Section 16-111 of this Act, but such general rule shall remain
4in full force and effect as to all other electric and gas
5public utilities.
6    Every assignment, transfer, lease, mortgage, sale or other
7disposition or encumbrance of the whole or any part of the
8franchises, licenses, permits, plant, equipment, business or
9other property of any public utility, or any merger or
10consolidation thereof, and every contract, purchase of stock,
11or other transaction referred to in this Section and not
12exempted in accordance with the provisions of the immediately
13preceding paragraph of this Section, made otherwise than in
14accordance with an order of the Commission authorizing the
15same, except as provided in this Section, shall be void. The
16provisions of this Section shall not apply to any transactions
17by or with a political subdivision or municipal corporation of
18this State.
19    (F) The provisions of this Section do not apply to the
20purchase or sale of emission allowances created under and
21defined in Title IV of the federal Clean Air Act Amendments of
221990 (P.L. 101-549), as amended.
23(Source: P.A. 90-561, eff. 12-16-97; 91-357, eff. 7-29-99.)
 
24    (220 ILCS 5/8-101.1 new)
25    Sec. 8-101.1. Duties of public utilities; labor force.

 

 

SB0025 Enrolled- 514 -LRB104 07069 BAB 17106 b

1    (a) As used in this Section:
2    "Labor force" means the employees hired directly by the
3utility and all employees of any and all suppliers and
4subcontractors of the utility tasked with the construction,
5maintenance and repair of such utility's infrastructure.
6    "Public utility" means a public utility, as defined in
7Section 3-105 of this Act, serving more than 100,000 customers
8as of January 1, 2025.
9    "Substantial change in labor force" means either (1) a
10greater than 5% reduction in the total labor force or (2) more
11than a 5% decrease in the ratio of labor force spending
12compared to capital spending.
13    (b) A public utility shall ensure that it has the
14necessary labor force in order to furnish, provide, and
15maintain such service instrumentalities, equipment, and
16facilities to promote the safety, health, comfort, and
17convenience of its patrons, employees, and the public and to
18be in all respects adequate, efficient, just, and reasonable.
19    (c) Unless the Commission specifically orders and except
20as otherwise provided in this Section, no substantial change
21shall be made by any public utility in its labor force unless
22the public utility provides notice to the Commission at least
2345 days before the implementation of the change. A public
24utility shall include a report with its notice that provides
25the following:
26        (1) a detailed analysis and explanation of how and why

 

 

SB0025 Enrolled- 515 -LRB104 07069 BAB 17106 b

1    a change in a specific law, regulation, or market factor
2    requires the public utility to make the substantial change
3    in its labor force; and
4        (2) whether the substantial change in the public
5    utility's labor force, at a minimum:
6            (i) is in the public interest;
7            (ii) will not endanger the quality and
8        availability of public utility services;
9            (iii) will not have a negative impact on the
10        safety or reliability of public utility services; and
11            (iv) is designed to minimize the financial
12        hardship on the members of its labor force impacted by
13        the substantial change.
 
14    (220 ILCS 5/8-103B)
15    Sec. 8-103B. Energy efficiency and demand-response
16measures.
17    (a) It is the policy of the State that electric utilities
18are required to use cost-effective energy efficiency and
19demand-response measures to reduce delivery load. Requiring
20investment in cost-effective energy efficiency and
21demand-response measures will reduce direct and indirect costs
22to consumers by decreasing environmental impacts and by
23avoiding or delaying the need for new generation,
24transmission, and distribution infrastructure. It serves the
25public interest to allow electric utilities to recover costs

 

 

SB0025 Enrolled- 516 -LRB104 07069 BAB 17106 b

1for reasonably and prudently incurred expenditures for energy
2efficiency and demand-response measures. As used in this
3Section, "cost-effective" means that the measures satisfy the
4total resource cost test. The low-income measures described in
5subsection (c) of this Section shall not be required to meet
6the total resource cost test. For purposes of this Section,
7the terms "energy-efficiency", "demand-response", "electric
8utility", and "total resource cost test" have the meanings set
9forth in the Illinois Power Agency Act. "Black, indigenous,
10and people of color" and "BIPOC" means people who are members
11of the groups described in subparagraphs (a) through (e) of
12paragraph (A) of subsection (1) of Section 2 of the Business
13Enterprise for Minorities, Women, and Persons with
14Disabilities Act.
15    (a-5) This Section applies to electric utilities serving
16more than 500,000 retail customers in the State for those
17multi-year plans commencing after December 31, 2017.
18    (b) For purposes of this Section, through calendar year
192026, electric utilities subject to this Section that serve
20more than 3,000,000 retail customers in the State shall be
21deemed to have achieved a cumulative persisting annual savings
22of 6.6% from energy efficiency measures and programs
23implemented during the period beginning January 1, 2012 and
24ending December 31, 2017, which percent is based on the deemed
25average weather normalized sales of electric power and energy
26during calendar years 2014, 2015, and 2016 of 88,000,000 MWhs.

 

 

SB0025 Enrolled- 517 -LRB104 07069 BAB 17106 b

1For the purposes of this subsection (b) and subsection (b-5),
2the 88,000,000 MWhs of deemed electric power and energy sales
3shall be reduced by the number of MWhs equal to the sum of the
4annual consumption of customers that have opted out of
5subsections (a) through (j) of this Section under paragraph
6(1) of subsection (l) of this Section, as averaged across the
7calendar years 2014, 2015, and 2016. After 2017, the deemed
8value of cumulative persisting annual savings from energy
9efficiency measures and programs implemented during the period
10beginning January 1, 2012 and ending December 31, 2017, shall
11be reduced each year, as follows, and the applicable value
12shall be applied to and count toward the utility's achievement
13of the cumulative persisting annual savings goals set forth in
14subsection (b-5):
15        (1) 5.8% deemed cumulative persisting annual savings
16    for the year ending December 31, 2018;
17        (2) 5.2% deemed cumulative persisting annual savings
18    for the year ending December 31, 2019;
19        (3) 4.5% deemed cumulative persisting annual savings
20    for the year ending December 31, 2020;
21        (4) 4.0% deemed cumulative persisting annual savings
22    for the year ending December 31, 2021;
23        (5) 3.5% deemed cumulative persisting annual savings
24    for the year ending December 31, 2022;
25        (6) 3.1% deemed cumulative persisting annual savings
26    for the year ending December 31, 2023;

 

 

SB0025 Enrolled- 518 -LRB104 07069 BAB 17106 b

1        (7) 2.8% deemed cumulative persisting annual savings
2    for the year ending December 31, 2024;
3        (8) 2.5% deemed cumulative persisting annual savings
4    for the year ending December 31, 2025; and    
5        (9) 2.3% deemed cumulative persisting annual savings
6    for the year ending December 31, 2026. ;
7        (10) 2.1% deemed cumulative persisting annual savings
8    for the year ending December 31, 2027;
9        (11) 1.8% deemed cumulative persisting annual savings
10    for the year ending December 31, 2028;
11        (12) 1.7% deemed cumulative persisting annual savings
12    for the year ending December 31, 2029;
13        (13) 1.5% deemed cumulative persisting annual savings
14    for the year ending December 31, 2030;
15        (14) 1.3% deemed cumulative persisting annual savings
16    for the year ending December 31, 2031;
17        (15) 1.1% deemed cumulative persisting annual savings
18    for the year ending December 31, 2032;
19        (16) 0.9% deemed cumulative persisting annual savings
20    for the year ending December 31, 2033;
21        (17) 0.7% deemed cumulative persisting annual savings
22    for the year ending December 31, 2034;
23        (18) 0.5% deemed cumulative persisting annual savings
24    for the year ending December 31, 2035;
25        (19) 0.4% deemed cumulative persisting annual savings
26    for the year ending December 31, 2036;

 

 

SB0025 Enrolled- 519 -LRB104 07069 BAB 17106 b

1        (20) 0.3% deemed cumulative persisting annual savings
2    for the year ending December 31, 2037;
3        (21) 0.2% deemed cumulative persisting annual savings
4    for the year ending December 31, 2038;
5        (22) 0.1% deemed cumulative persisting annual savings
6    for the year ending December 31, 2039; and
7        (23) 0.0% deemed cumulative persisting annual savings
8    for the year ending December 31, 2040 and all subsequent
9    years.    
10    For purposes of this Section, "cumulative persisting
11annual savings" means the total electric energy savings in a
12given year from measures installed in that year or in previous
13years, but no earlier than January 1, 2012, that are still
14operational and providing savings in that year because the
15measures have not yet reached the end of their useful lives.
16    (b-5) Beginning in 2018 and through calendar year 2026,
17electric utilities subject to this Section that serve more
18than 3,000,000 retail customers in the State shall achieve the
19following cumulative persisting annual savings goals, as
20modified by subsection (f) of this Section and as compared to
21the deemed baseline of 88,000,000 MWhs of electric power and
22energy sales set forth in subsection (b), as reduced by the
23number of MWhs equal to the sum of the annual consumption of
24customers that have opted out of subsections (a) through (j)
25of this Section under paragraph (1) of subsection (l) of this
26Section as averaged across the calendar years 2014, 2015, and

 

 

SB0025 Enrolled- 520 -LRB104 07069 BAB 17106 b

12016, through the implementation of energy efficiency measures
2during the applicable year and in prior years, but no earlier
3than January 1, 2012:
4        (1) 7.8% cumulative persisting annual savings for the
5    year ending December 31, 2018;
6        (2) 9.1% cumulative persisting annual savings for the
7    year ending December 31, 2019;
8        (3) 10.4% cumulative persisting annual savings for the
9    year ending December 31, 2020;
10        (4) 11.8% cumulative persisting annual savings for the
11    year ending December 31, 2021;
12        (5) 13.1% cumulative persisting annual savings for the
13    year ending December 31, 2022;
14        (6) 14.4% cumulative persisting annual savings for the
15    year ending December 31, 2023;
16        (7) 15.7% cumulative persisting annual savings for the
17    year ending December 31, 2024;
18        (8) 17% cumulative persisting annual savings for the
19    year ending December 31, 2025; and    
20        (9) 17.9% cumulative persisting annual savings for the
21    year ending December 31, 2026. ;
22        (10) 18.8% cumulative persisting annual savings for
23    the year ending December 31, 2027;
24        (11) 19.7% cumulative persisting annual savings for
25    the year ending December 31, 2028;
26        (12) 20.6% cumulative persisting annual savings for

 

 

SB0025 Enrolled- 521 -LRB104 07069 BAB 17106 b

1    the year ending December 31, 2029; and
2        (13) 21.5% cumulative persisting annual savings for
3    the year ending December 31, 2030.
4    No later than December 31, 2021, the Illinois Commerce
5Commission shall establish additional cumulative persisting
6annual savings goals for the years 2031 through 2035. No later
7than December 31, 2024, the Illinois Commerce Commission shall
8establish additional cumulative persisting annual savings
9goals for the years 2036 through 2040. The Commission shall
10also establish additional cumulative persisting annual savings
11goals every 5 years thereafter to ensure that utilities always
12have goals that extend at least 11 years into the future. The
13cumulative persisting annual savings goals beyond the year
142030 shall increase by 0.9 percentage points per year, absent
15a Commission decision to initiate a proceeding to consider
16establishing goals that increase by more or less than that
17amount. Such a proceeding must be conducted in accordance with
18the procedures described in subsection (f) of this Section. If
19such a proceeding is initiated, the cumulative persisting
20annual savings goals established by the Commission through
21that proceeding shall reflect the Commission's best estimate
22of the maximum amount of additional savings that are forecast
23to be cost-effectively achievable unless such best estimates
24would result in goals that represent less than 0.5 percentage
25point annual increases in total cumulative persisting annual
26savings. The Commission may only establish goals that

 

 

SB0025 Enrolled- 522 -LRB104 07069 BAB 17106 b

1represent less than 0.5 percentage point annual increases in
2cumulative persisting annual savings if it can demonstrate,
3based on clear and convincing evidence and through independent
4analysis, that 0.5 percentage point increases are not
5cost-effectively achievable. The Commission shall inform its
6decision based on an energy efficiency potential study that
7conforms to the requirements of this Section.    
8    (b-10) For purposes of this Section, through calendar year
92026, electric utilities subject to this Section that serve
10less than 3,000,000 retail customers but more than 500,000
11retail customers in the State shall be deemed to have achieved
12a cumulative persisting annual savings of 6.6% from energy
13efficiency measures and programs implemented during the period
14beginning January 1, 2012 and ending December 31, 2017, which
15is based on the deemed average weather normalized sales of
16electric power and energy during calendar years 2014, 2015,
17and 2016 of 36,900,000 MWhs. For the purposes of this
18subsection (b-10) and subsection (b-15), the 36,900,000 MWhs
19of deemed electric power and energy sales shall be reduced by
20the number of MWhs equal to the sum of the annual consumption
21of customers that have opted out of subsections (a) through
22(j) of this Section under paragraph (1) of subsection (l) of
23this Section, as averaged across the calendar years 2014,
242015, and 2016. After 2017, the deemed value of cumulative
25persisting annual savings from energy efficiency measures and
26programs implemented during the period beginning January 1,

 

 

SB0025 Enrolled- 523 -LRB104 07069 BAB 17106 b

12012 and ending December 31, 2017, shall be reduced each year,
2as follows, and the applicable value shall be applied to and
3count toward the utility's achievement of the cumulative
4persisting annual savings goals set forth in subsection
5(b-15):
6        (1) 5.8% deemed cumulative persisting annual savings
7    for the year ending December 31, 2018;
8        (2) 5.2% deemed cumulative persisting annual savings
9    for the year ending December 31, 2019;
10        (3) 4.5% deemed cumulative persisting annual savings
11    for the year ending December 31, 2020;
12        (4) 4.0% deemed cumulative persisting annual savings
13    for the year ending December 31, 2021;
14        (5) 3.5% deemed cumulative persisting annual savings
15    for the year ending December 31, 2022;
16        (6) 3.1% deemed cumulative persisting annual savings
17    for the year ending December 31, 2023;
18        (7) 2.8% deemed cumulative persisting annual savings
19    for the year ending December 31, 2024;
20        (8) 2.5% deemed cumulative persisting annual savings
21    for the year ending December 31, 2025; and    
22        (9) 2.3% deemed cumulative persisting annual savings
23    for the year ending December 31, 2026. ;    
24        (10) 2.1% deemed cumulative persisting annual savings
25    for the year ending December 31, 2027;
26        (11) 1.8% deemed cumulative persisting annual savings

 

 

SB0025 Enrolled- 524 -LRB104 07069 BAB 17106 b

1    for the year ending December 31, 2028;
2        (12) 1.7% deemed cumulative persisting annual savings
3    for the year ending December 31, 2029;
4        (13) 1.5% deemed cumulative persisting annual savings
5    for the year ending December 31, 2030;
6        (14) 1.3% deemed cumulative persisting annual savings
7    for the year ending December 31, 2031;
8        (15) 1.1% deemed cumulative persisting annual savings
9    for the year ending December 31, 2032;
10        (16) 0.9% deemed cumulative persisting annual savings
11    for the year ending December 31, 2033;
12        (17) 0.7% deemed cumulative persisting annual savings
13    for the year ending December 31, 2034;
14        (18) 0.5% deemed cumulative persisting annual savings
15    for the year ending December 31, 2035;
16        (19) 0.4% deemed cumulative persisting annual savings
17    for the year ending December 31, 2036;
18        (20) 0.3% deemed cumulative persisting annual savings
19    for the year ending December 31, 2037;
20        (21) 0.2% deemed cumulative persisting annual savings
21    for the year ending December 31, 2038;
22        (22) 0.1% deemed cumulative persisting annual savings
23    for the year ending December 31, 2039; and
24        (23) 0.0% deemed cumulative persisting annual savings
25    for the year ending December 31, 2040 and all subsequent
26    years.    

 

 

SB0025 Enrolled- 525 -LRB104 07069 BAB 17106 b

1    (b-15) Beginning in 2018 and through calendar year 2026,
2electric utilities subject to this Section that serve less
3than 3,000,000 retail customers but more than 500,000 retail
4customers in the State shall achieve the following cumulative
5persisting annual savings goals, as modified by subsection
6(b-20) and subsection (f) of this Section and as compared to
7the deemed baseline as reduced by the number of MWhs equal to
8the sum of the annual consumption of customers that have opted
9out of subsections (a) through (j) of this Section under
10paragraph (1) of subsection (l) of this Section as averaged
11across the calendar years 2014, 2015, and 2016, through the
12implementation of energy efficiency measures during the
13applicable year and in prior years, but no earlier than
14January 1, 2012:
15        (1) 7.4% cumulative persisting annual savings for the
16    year ending December 31, 2018;
17        (2) 8.2% cumulative persisting annual savings for the
18    year ending December 31, 2019;
19        (3) 9.0% cumulative persisting annual savings for the
20    year ending December 31, 2020;
21        (4) 9.8% cumulative persisting annual savings for the
22    year ending December 31, 2021;
23        (5) 10.6% cumulative persisting annual savings for the
24    year ending December 31, 2022;
25        (6) 11.4% cumulative persisting annual savings for the
26    year ending December 31, 2023;

 

 

SB0025 Enrolled- 526 -LRB104 07069 BAB 17106 b

1        (7) 12.2% cumulative persisting annual savings for the
2    year ending December 31, 2024;
3        (8) 13% cumulative persisting annual savings for the
4    year ending December 31, 2025; and    
5        (9) 13.6% cumulative persisting annual savings for the
6    year ending December 31, 2026. ;
7        (10) 14.2% cumulative persisting annual savings for
8    the year ending December 31, 2027;
9        (11) 14.8% cumulative persisting annual savings for
10    the year ending December 31, 2028;
11        (12) 15.4% cumulative persisting annual savings for
12    the year ending December 31, 2029; and
13        (13) 16% cumulative persisting annual savings for the
14    year ending December 31, 2030.    
15    No later than December 31, 2021, the Illinois Commerce
16Commission shall establish additional cumulative persisting
17annual savings goals for the years 2031 through 2035. No later
18than December 31, 2024, the Illinois Commerce Commission shall
19establish additional cumulative persisting annual savings
20goals for the years 2036 through 2040. The Commission shall
21also establish additional cumulative persisting annual savings
22goals every 5 years thereafter to ensure that utilities always
23have goals that extend at least 11 years into the future. The
24cumulative persisting annual savings goals beyond the year
252030 shall increase by 0.6 percentage points per year, absent
26a Commission decision to initiate a proceeding to consider

 

 

SB0025 Enrolled- 527 -LRB104 07069 BAB 17106 b

1establishing goals that increase by more or less than that
2amount. Such a proceeding must be conducted in accordance with
3the procedures described in subsection (f) of this Section. If
4such a proceeding is initiated, the cumulative persisting
5annual savings goals established by the Commission through
6that proceeding shall reflect the Commission's best estimate
7of the maximum amount of additional savings that are forecast
8to be cost-effectively achievable unless such best estimates
9would result in goals that represent less than 0.4 percentage
10point annual increases in total cumulative persisting annual
11savings. The Commission may only establish goals that
12represent less than 0.4 percentage point annual increases in
13cumulative persisting annual savings if it can demonstrate,
14based on clear and convincing evidence and through independent
15analysis, that 0.4 percentage point increases are not
16cost-effectively achievable. The Commission shall inform its
17decision based on an energy efficiency potential study that
18conforms to the requirements of this Section.    
19    (b-16) In 2027 and each year thereafter, each electric
20utility subject to this Section shall achieve the following
21savings goals:
22        (1) A utility that serves more than 3,000,000 retail
23    customers in the State must achieve incremental annual
24    energy savings for customers in an amount that is equal to
25    2% of the utility's average annual electricity sales from
26    2021 through 2023 to customers. A utility that serves less

 

 

SB0025 Enrolled- 528 -LRB104 07069 BAB 17106 b

1    than 3,000,000 retail customers but more than 500,000
2    retail customers in the State must achieve incremental
3    annual energy savings for customers in an amount that is
4    equal to 1.4% in 2027, 1.7% in 2028, and 2% in 2029 and
5    every year thereafter of the utility's average annual
6    electricity sales from 2021 through 2023 to customers. The
7    incremental annual energy savings requirements set forth
8    in this paragraph (1) may be reduced by 0.025 percentage
9    points for every percentage point increase, above the 25%
10    minimum to be targeted at low-income households as
11    specified in paragraph (c) of this Section, in the portion
12    of total efficiency program spending that is on low-income
13    or moderate-income efficiency programs. The incremental
14    annual savings requirement shall not be reduced to a level
15    less than 0.25 percentage points less than the energy
16    savings requirement applicable to the calendar year, even
17    if the sum of low-income spending and moderate-income
18    spending is greater than 35% of total spending.
19        (2) A utility that serves less than 3,000,000 retail
20    customers but more than 500,000 retail customers in the
21    State must achieve an incremental annual coincident peak
22    demand savings goal from energy efficiency measures
23    installed as a result of the utility's programs by
24    customers in an amount that is equal to the energy savings
25    goal from paragraph (1) of this Section divided by the
26    actual average ratio of kilowatt-hour savings to

 

 

SB0025 Enrolled- 529 -LRB104 07069 BAB 17106 b

1    coincident peak demand reduction achieved by the utility
2    through its energy efficiency programs in 2023. If the
3    season in which coincident peak demands are experienced,
4    the hours of the day that peak demands are experienced,
5    and the methods by which peak demand impacts from
6    efficiency measures are estimated are different in the
7    future than when 2023 peak demand impacts were originally
8    estimated, the 2023 peak demand impacts shall be
9    recomputed using such updated peak definitions and
10    estimation methods for the purpose of establishing future
11    coincident peak demand savings goals. To the extent that a
12    utility counts either improvements to the efficiency of
13    the use of gas and other fuels or the electrification of
14    gas and other fuels toward its energy savings goal, as
15    permitted under paragraphs (b-25) and (b-27) of this
16    Section, it must estimate the actual impacts on coincident
17    peak demand from such measures and count them, whether
18    positive or negative, toward its coincident peak demand
19    savings goal. Only coincident peak demand savings from
20    efficiency measures shall count toward this goal. To the
21    extent that some efficiency measures enable demand
22    response, only the peak demand savings from the energy
23    efficiency upgrade shall count toward the goal. Nothing in
24    this Section shall limit the ability of peak demand
25    savings from such enabled demand-response initiatives to
26    count for other, non-energy efficiency performance

 

 

SB0025 Enrolled- 530 -LRB104 07069 BAB 17106 b

1    standard performance metrics established for the utility.
2        (3) Each utility's incremental annual energy savings,
3    and coincident peak demand savings if a utility serves
4    less than 3,000,000 retail customers but more than 500,000
5    retail customers in the State, must be achieved with an
6    average savings life of at least 12 years. In no event can
7    more than one-fifth of the incremental annual savings or
8    the coincident peak demand savings counted toward a
9    utility's annual savings goal in any given year be derived
10    from efficiency measures with average savings lives of
11    less than 5 years. Average savings lives may be shorter
12    than the average operational lives of measures installed
13    if the measures do not produce savings in every year in
14    which the measures operate or if the savings that measures
15    produce decline during the measures' operational lives.
16            For the purposes of this Section, "incremental annual
17    energy savings" means the total electric energy savings
18    from all measures installed in a calendar year that will
19    be realized within 12 months of each measure's
20    installation; "moderate-income" means income between 80%
21    of area median income and 300% of the federal poverty
22    limit; "incremental annual coincident peak demand savings"
23    means the total coincident peak reduction from all energy
24    efficiency measures installed in a calendar year that will
25    be realized within 12 months of each measure's
26    installation; "average savings life" means the lifetime

 

 

SB0025 Enrolled- 531 -LRB104 07069 BAB 17106 b

1    savings that would be realized as a result of a utility's
2    efficiency programs divided by the incremental annual
3    savings such programs produce.    
4    (b-20) Each electric utility subject to this Section may
5include cost-effective voltage optimization measures in its
6plans submitted under subsections (f) and (g) of this Section,
7and the costs incurred by a utility to implement the measures
8under a Commission-approved plan shall be recovered under the
9provisions of Article IX or Section 16-108.5 of this Act. For
10purposes of this Section, the measure life of voltage
11optimization measures shall be 15 years. The measure life
12period is independent of the depreciation rate of the voltage
13optimization assets deployed. Utilities may claim savings from
14voltage optimization on circuits for more than 15 years if
15they can demonstrate that they have made additional
16investments necessary to enable voltage optimization savings
17to continue beyond 15 years. Such demonstrations must be
18subject to the review of independent evaluation.
19    Within 270 days after June 1, 2017 (the effective date of
20Public Act 99-906), an electric utility that serves less than
213,000,000 retail customers but more than 500,000 retail
22customers in the State shall file a plan with the Commission
23that identifies the cost-effective voltage optimization
24investment the electric utility plans to undertake through
25December 31, 2024. The Commission, after notice and hearing,
26shall approve or approve with modification the plan within 120

 

 

SB0025 Enrolled- 532 -LRB104 07069 BAB 17106 b

1days after the plan's filing and, in the order approving or
2approving with modification the plan, the Commission shall
3adjust the applicable cumulative persisting annual savings
4goals set forth in subsection (b-15) to reflect any amount of
5cost-effective energy savings approved by the Commission that
6is greater than or less than the following cumulative
7persisting annual savings values attributable to voltage
8optimization for the applicable year:
9        (1) 0.0% of cumulative persisting annual savings for
10    the year ending December 31, 2018;
11        (2) 0.17% of cumulative persisting annual savings for
12    the year ending December 31, 2019;
13        (3) 0.17% of cumulative persisting annual savings for
14    the year ending December 31, 2020;
15        (4) 0.33% of cumulative persisting annual savings for
16    the year ending December 31, 2021;
17        (5) 0.5% of cumulative persisting annual savings for
18    the year ending December 31, 2022;
19        (6) 0.67% of cumulative persisting annual savings for
20    the year ending December 31, 2023;
21        (7) 0.83% of cumulative persisting annual savings for
22    the year ending December 31, 2024; and
23        (8) 1.0% of cumulative persisting annual savings for
24    the year ending December 31, 2025 and all subsequent
25    years.
26    (b-25) In the event an electric utility jointly offers an

 

 

SB0025 Enrolled- 533 -LRB104 07069 BAB 17106 b

1energy efficiency measure or program with a gas utility under
2plans approved under this Section and Section 8-104 of this
3Act, the electric utility may continue offering the program,
4including the gas energy efficiency measures, in the event the
5gas utility discontinues funding the program. In that event,
6the energy savings value associated with such other fuels
7shall be converted to electric energy savings on an equivalent
8Btu basis for the premises. However, the electric utility
9shall prioritize programs for low-income residential customers
10to the extent practicable. An electric utility may recover the
11costs of offering the gas energy efficiency measures under
12this subsection (b-25).
13    For those energy efficiency measures or programs that save
14both electricity and other fuels but are not jointly offered
15with a gas utility under plans approved under this Section and
16Section 8-104 or not offered with an affiliated gas utility
17under paragraph (6) of subsection (f) of Section 8-104 of this
18Act, the electric utility may count savings of fuels other
19than electricity toward the achievement of its annual savings
20goal, and the energy savings value associated with such other
21fuels shall be converted to electric energy savings on an
22equivalent Btu basis at the premises.
23    For an electric utility that serves more than 3,000,000
24retail customers in the State, on and after January 1, 2027,
25the electric utility may only count savings of other fuels
26under this subsection (b-25) toward the achievement of its

 

 

SB0025 Enrolled- 534 -LRB104 07069 BAB 17106 b

1annual electric energy savings goal when such other fuel
2savings are from weatherization measures that reduce heat loss
3through the building envelope, insulating mechanical systems,
4or the heating distribution system, including, but not limited
5to, air sealing and building shell measures. This limitation
6on counting other fuel savings from efficiency measures toward
7a utility's energy savings goal shall not affect the utility's
8ability to claim savings from electrification measures
9installed pursuant to the requirements in subsection (b-27).    
10    In no event shall more than 10% of each year's applicable
11annual total savings requirement, as defined in paragraph
12(7.5) of subsection (g) of this Section be met through savings
13of fuels other than electricity. For an electric utility that
14serves more than 3,000,000 retail customers in the State, in
15no event shall more than 30% of each year's incremental annual
16energy savings requirement, as defined in subsection (b-16) of
17this Section, be met through savings of fuels other than
18electricity. For an electric utility that serves less than
193,000,000 retail customers but more than 500,000 retail
20customers in the State, in no event shall more than 20% of each
21year's incremental annual energy savings requirement, as
22defined in subsection (b-16) of this Section, be met through
23savings of fuels other than electricity.    
24    (b-27) Beginning in 2022, an electric utility may offer
25and promote measures that electrify space heating, water
26heating, cooling, drying, cooking, industrial processes, and

 

 

SB0025 Enrolled- 535 -LRB104 07069 BAB 17106 b

1other building and industrial end uses that would otherwise be
2served by combustion of fossil fuel at the premises, provided
3that the electrification measures reduce total energy
4consumption at the premises. The electric utility may count
5the reduction in energy consumption at the premises toward
6achievement of its annual savings goals. The reduction in
7energy consumption at the premises shall be calculated as the
8difference between: (A) the reduction in Btu consumption of
9fossil fuels as a result of electrification, converted to
10kilowatt-hour equivalents by dividing by 3,412 Btus per
11kilowatt hour; and (B) the increase in kilowatt hours of
12electricity consumption resulting from the displacement of
13fossil fuel consumption as a result of electrification. An
14electric utility may recover the costs of offering and
15promoting electrification measures under this subsection
16(b-27).
17    At least 33% of all costs of offering and promoting
18electrification measures under this subsection (b-27) must be
19for supporting installation of electrification measures
20through programs exclusively targeted to low-income
21households. The percentage requirement may be reduced if the
22utility can demonstrate that it is not possible to achieve the
23level of low-income electrification spending, while supporting
24programs for non-low-income residential and business
25electrification, because of limitations regarding the number
26of low-income households in its service territory that would

 

 

SB0025 Enrolled- 536 -LRB104 07069 BAB 17106 b

1be able to meet program eligibility requirements set forth in
2the multi-year energy efficiency plan. If the 33% low-income
3electrification spending requirement is reduced, the utility
4must prioritize support of low-income electrification in
5housing that meets program eligibility requirements over
6electrification spending on non-low-income residential or
7business customers.
8    The ratio of spending on electrification measures targeted
9to low-income, multifamily buildings to spending on
10electrification measures targeted to low-income, single-family
11buildings shall be designed to achieve levels of
12electrification savings from each building type that are
13approximately proportional to the magnitude of cost-effective
14electrification savings potential in each building type.    
15    In no event shall electrification savings counted toward
16each year's applicable annual total savings requirement, as
17defined in paragraph (7.5) of subsection (g) of this Section,
18or counted toward each year's incremental annual savings, as
19defined in paragraph (b-16) of this Section, be greater than:
20        (1) 5% per year for each year from 2022 through 2025;
21        (2) 20% 10% per year for each year from 2026 and all
22    subsequent years through 2029; and
23        (3) (blank). 15% per year for 2030 and all subsequent
24    years.
25In addition, a minimum of 25% of all electrification savings
26counted toward a utility's applicable annual total savings

 

 

SB0025 Enrolled- 537 -LRB104 07069 BAB 17106 b

1requirement must be from electrification of end uses in
2low-income housing. The limitations on electrification savings
3that may be counted toward a utility's annual savings goals
4are separate from and in addition to the subsection (b-25)
5limitations governing the counting of the other fuel savings
6resulting from efficiency measures and programs.
7    As part of the annual informational filing to the
8Commission that is required under paragraph (9) of subsection
9(g) of this Section, each utility shall identify the specific
10electrification measures offered under this subsection (b-27);
11the quantity of each electrification measure that was
12installed by its customers; the average total cost, average
13utility cost, average reduction in fossil fuel consumption,
14and average increase in electricity consumption associated
15with each electrification measure; the portion of
16installations of each electrification measure that were in
17low-income single-family housing, low-income multifamily
18housing, non-low-income single-family housing, non-low-income
19multifamily housing, commercial buildings, and industrial
20facilities; and the quantity of savings associated with each
21measure category in each customer category that are being
22counted toward the utility's applicable annual total savings
23requirement or counted toward each year's incremental annual
24savings, as defined in paragraph (b-16) of this Section. Prior
25to installing or promoting an electrification measures    
26measure, the utility shall provide customers a customer with

 

 

SB0025 Enrolled- 538 -LRB104 07069 BAB 17106 b

1estimates an estimate of the impact of the new measures    
2measure on the customer's average monthly electric bill and
3total annual energy expenses.
4    (c) Electric utilities shall be responsible for overseeing
5the design, development, and filing of energy efficiency plans
6with the Commission and may, as part of that implementation,
7outsource various aspects of program development and
8implementation. A minimum of 10%, for electric utilities that
9serve more than 3,000,000 retail customers in the State, and a
10minimum of 7%, for electric utilities that serve less than
113,000,000 retail customers but more than 500,000 retail
12customers in the State, of the utility's entire portfolio
13funding level for a given year shall be used to procure
14cost-effective energy efficiency measures from units of local
15government, municipal corporations, school districts, public
16housing, public institutions of higher education, and
17community college districts, provided that a minimum
18percentage of available funds shall be used to procure energy
19efficiency from public housing, which percentage shall be
20equal to public housing's share of public building energy
21consumption.
22    The utilities shall also implement energy efficiency
23measures targeted at low-income households, which, for
24purposes of this Section, shall be defined as households at or
25below 80% of area median income, and expenditures to implement
26the measures shall be no less than 25% of total energy

 

 

SB0025 Enrolled- 539 -LRB104 07069 BAB 17106 b

1efficiency program spending approved by the Commission
2pursuant to review of plans filed under subsection (f) of this
3Section $40,000,000 per year for electric utilities that serve
4more than 3,000,000 retail customers in the State and no less
5than $13,000,000 per year for electric utilities that serve
6less than 3,000,000 retail customers but more than 500,000
7retail customers in the State. The ratio of spending on
8efficiency programs targeted at low-income multifamily
9buildings to spending on efficiency programs targeted at
10low-income single-family buildings shall be designed to
11achieve levels of savings from each building type that are
12approximately proportional to the magnitude of cost-effective
13lifetime savings potential in each building type. Investment
14in low-income whole-building weatherization programs shall
15constitute a minimum of 80% of a utility's total budget
16specifically dedicated to serving low-income customers.
17    The utilities shall work to bundle low-income energy
18efficiency offerings with other programs that serve low-income
19households to maximize the benefits going to these households.
20The utilities shall market and implement low-income energy
21efficiency programs in coordination with low-income assistance
22programs, the Illinois Solar for All Program, and
23weatherization whenever practicable. The program implementer
24shall walk the customer through the enrollment process for any
25programs for which the customer is eligible. The utilities
26shall also pilot targeting customers with high arrearages,

 

 

SB0025 Enrolled- 540 -LRB104 07069 BAB 17106 b

1high energy intensity (ratio of energy usage divided by home
2or unit square footage), or energy assistance programs with
3energy efficiency offerings, and then track reduction in
4arrearages as a result of the targeting. This targeting and
5bundling of low-income energy programs shall be offered to
6both low-income single-family and multifamily customers
7(owners and residents).
8    The utilities shall invest in health and safety measures
9appropriate and necessary for comprehensively weatherizing a
10home or multifamily building, and shall implement a health and
11safety fund of at least 15% of the total income-qualified
12weatherization budget that shall be used for the purpose of
13making grants for technical assistance, construction,
14reconstruction, improvement, or repair of buildings to
15facilitate their participation in the energy efficiency
16programs targeted at low-income single-family and multifamily
17households. These funds may also be used for the purpose of
18making grants for technical assistance, construction,
19reconstruction, improvement, or repair of the following
20buildings to facilitate their participation in the energy
21efficiency programs created by this Section: (1) buildings
22that are owned or operated by registered 501(c)(3) public
23charities; and (2) day care centers, day care homes, or group
24day care homes, as defined under 89 Ill. Adm. Code Part 406,
25407, or 408, respectively.
26    Each electric utility shall assess opportunities to

 

 

SB0025 Enrolled- 541 -LRB104 07069 BAB 17106 b

1implement cost-effective energy efficiency measures and
2programs through a public housing authority or authorities
3located in its service territory. If such opportunities are
4identified, the utility shall propose such measures and
5programs to address the opportunities. Expenditures to address
6such opportunities shall be credited toward the minimum
7procurement and expenditure requirements set forth in this
8subsection (c).
9    Implementation of energy efficiency measures and programs
10targeted at low-income households should be contracted, when
11it is practicable, to independent third parties that have
12demonstrated capabilities to serve such households, with a
13preference for not-for-profit entities and government agencies
14that have existing relationships with or experience serving
15low-income communities in the State.
16    Each electric utility shall develop and implement
17reporting procedures that address and assist in determining
18the amount of energy savings that can be applied to the
19low-income procurement and expenditure requirements set forth
20in this subsection (c). Each electric utility shall also track
21the types and quantities or volumes of insulation and air
22sealing materials, and their associated energy saving
23benefits, installed in energy efficiency programs targeted at
24low-income single-family and multifamily households.
25    The electric utilities shall participate in a low-income
26energy efficiency accountability committee ("the committee"),

 

 

SB0025 Enrolled- 542 -LRB104 07069 BAB 17106 b

1which will directly inform the design, implementation, and
2evaluation of the low-income and public-housing energy
3efficiency programs. The committee shall be comprised of the
4electric utilities subject to the requirements of this
5Section, the gas utilities subject to the requirements of
6Section 8-104 of this Act, the utilities' low-income energy
7efficiency implementation contractors, nonprofit
8organizations, community action agencies, advocacy groups,
9State and local governmental agencies, public-housing
10organizations, and representatives of community-based
11organizations, especially those living in or working with
12environmental justice communities and BIPOC communities. The
13committee shall be composed of 2 geographically differentiated
14subcommittees: one for stakeholders in northern Illinois and
15one for stakeholders in central and southern Illinois. The
16subcommittees shall meet together at least twice per year.
17    There shall be one statewide leadership committee led by
18and composed of community-based organizations that are
19representative of BIPOC and environmental justice communities
20and that includes equitable representation from BIPOC
21communities. The leadership committee shall be composed of an
22equal number of representatives from the 2 subcommittees. The
23subcommittees shall address specific programs and issues, with
24the leadership committee convening targeted workgroups as
25needed. The leadership committee may elect to work with an
26independent facilitator to solicit and organize feedback,

 

 

SB0025 Enrolled- 543 -LRB104 07069 BAB 17106 b

1recommendations and meeting participation from a wide variety
2of community-based stakeholders. If a facilitator is used,
3they shall be fair and responsive to the needs of all
4stakeholders involved in the committee. For a utility that
5serves more than 3,000,000 retail customers in the State, if a
6facilitator is used, they shall be retained by Commission
7staff.    
8     All committee meetings must be accessible, with rotating
9locations if meetings are held in-person, virtual
10participation options, and materials and agendas circulated in
11advance.
12    There shall also be opportunities for direct input by
13committee members outside of committee meetings, such as via
14individual meetings, surveys, emails and calls, to ensure
15robust participation by stakeholders with limited capacity and
16ability to attend committee meetings. Committee meetings shall
17emphasize opportunities to bundle and coordinate delivery of
18low-income energy efficiency with other programs that serve
19low-income communities, such as the Illinois Solar for All
20Program and bill payment assistance programs. Meetings shall
21include educational opportunities for stakeholders to learn
22more about these additional offerings, and the committee shall
23assist in figuring out the best methods for coordinated
24delivery and implementation of offerings when serving
25low-income communities. The committee shall directly and
26equitably influence and inform utility low-income and

 

 

SB0025 Enrolled- 544 -LRB104 07069 BAB 17106 b

1public-housing energy efficiency programs and priorities.
2Participating utilities shall implement recommendations from
3the committee whenever possible.
4    Participating utilities shall track and report how input
5from the committee has led to new approaches and changes in
6their energy efficiency portfolios. This reporting shall occur
7at committee meetings and in quarterly energy efficiency
8reports to the Stakeholder Advisory Group and Illinois
9Commerce Commission, and other relevant reporting mechanisms.
10Participating utilities shall also report on relevant equity
11data and metrics requested by the committee, such as energy
12burden data, geographic, racial, and other relevant
13demographic data on where programs are being delivered and
14what populations programs are serving.
15    The Illinois Commerce Commission shall oversee and have
16relevant staff participate in the committee. The committee
17shall have a budget of 0.25% of each utility's entire
18efficiency portfolio funding for a given year. The budget
19shall be overseen by the Commission. The budget shall be used
20to provide grants for community-based organizations serving on
21the leadership committee, stipends for community-based
22organizations participating in the committee, grants for
23community-based organizations to do energy efficiency outreach
24and education, and relevant meeting needs as determined by the
25leadership committee. The education and outreach shall
26include, but is not limited to, basic energy efficiency

 

 

SB0025 Enrolled- 545 -LRB104 07069 BAB 17106 b

1education, information about low-income energy efficiency
2programs, and information on the committee's purpose,
3structure, and activities.
4    (d) Notwithstanding any other provision of law to the
5contrary, a utility providing approved energy efficiency
6measures and, if applicable, demand-response measures in the
7State shall be permitted to recover all reasonable and
8prudently incurred costs of those measures from all retail
9customers, except as provided in subsection (l) of this
10Section, as follows, provided that nothing in this subsection
11(d) permits the double recovery of such costs from customers:
12        (1) The utility may recover its costs through an
13    automatic adjustment clause tariff filed with and approved
14    by the Commission. The tariff shall be established outside
15    the context of a general rate case. Each year the
16    Commission shall initiate a review to reconcile any
17    amounts collected with the actual costs and to determine
18    the required adjustment to the annual tariff factor to
19    match annual expenditures. To enable the financing of the
20    incremental capital expenditures, including regulatory
21    assets, for electric utilities that serve less than
22    3,000,000 retail customers but more than 500,000 retail
23    customers in the State, the utility's actual year-end
24    capital structure that includes a common equity ratio,
25    excluding goodwill, of up to and including 50% of the
26    total capital structure shall be deemed reasonable and

 

 

SB0025 Enrolled- 546 -LRB104 07069 BAB 17106 b

1    used to set rates.
2        (2) A utility may recover its costs through an energy
3    efficiency formula rate approved by the Commission under a
4    filing under subsections (f) and (g) of this Section,
5    which shall specify the cost components that form the
6    basis of the rate charged to customers with sufficient
7    specificity to operate in a standardized manner and be
8    updated annually with transparent information that
9    reflects the utility's actual costs to be recovered during
10    the applicable rate year, which is the period beginning
11    with the first billing day of January and extending
12    through the last billing day of the following December.
13    The energy efficiency formula rate shall be implemented
14    through a tariff filed with the Commission under
15    subsections (f) and (g) of this Section that is consistent
16    with the provisions of this paragraph (2) and that shall
17    be applicable to all delivery services customers. The
18    Commission shall conduct an investigation of the tariff in
19    a manner consistent with the provisions of this paragraph
20    (2), subsections (f) and (g) of this Section, and the
21    provisions of Article IX of this Act to the extent they do
22    not conflict with this paragraph (2). The energy
23    efficiency formula rate approved by the Commission shall
24    remain in effect at the discretion of the utility and
25    shall do the following:
26            (A) Provide for the recovery of the utility's

 

 

SB0025 Enrolled- 547 -LRB104 07069 BAB 17106 b

1        actual costs incurred under this Section that are
2        prudently incurred and reasonable in amount consistent
3        with Commission practice and law. The sole fact that a
4        cost differs from that incurred in a prior calendar
5        year or that an investment is different from that made
6        in a prior calendar year shall not imply the
7        imprudence or unreasonableness of that cost or
8        investment.
9            (B) Reflect the utility's actual year-end capital
10        structure for the applicable calendar year, excluding
11        goodwill, subject to a determination of prudence and
12        reasonableness consistent with Commission practice and
13        law. To enable the financing of the incremental
14        capital expenditures, including regulatory assets, for
15        electric utilities that serve less than 3,000,000
16        retail customers but more than 500,000 retail
17        customers in the State, a participating electric
18        utility's actual year-end capital structure that
19        includes a common equity ratio, excluding goodwill, of
20        up to and including 50% of the total capital structure
21        shall be deemed reasonable and used to set rates.
22            (C) Include a cost of equity that shall be equal to
23        the baseline cost of equity approved by the Commission
24        for the utility's electric distribution rates
25        effective during the applicable year, whether those
26        rates are set pursuant to Section 9-201, subparagraph

 

 

SB0025 Enrolled- 548 -LRB104 07069 BAB 17106 b

1        (B) of paragraph (3) of subsection (d) of Section
2        16-108.18, or any successor electric distribution
3        ratemaking paradigm. , which shall be calculated as the
4        sum of the following:
5                (i) the average for the applicable calendar
6            year of the monthly average yields of 30-year U.S.
7            Treasury bonds published by the Board of Governors
8            of the Federal Reserve System in its weekly H.15
9            Statistical Release or successor publication; and
10                (ii) 580 basis points.
11            At such time as the Board of Governors of the
12        Federal Reserve System ceases to include the monthly
13        average yields of 30-year U.S. Treasury bonds in its
14        weekly H.15 Statistical Release or successor
15        publication, the monthly average yields of the U.S.
16        Treasury bonds then having the longest duration
17        published by the Board of Governors in its weekly H.15
18        Statistical Release or successor publication shall
19        instead be used for purposes of this paragraph (2).
20            (D) Permit and set forth protocols, subject to a
21        determination of prudence and reasonableness
22        consistent with Commission practice and law, for the
23        following:
24                (i) recovery of incentive compensation expense
25            that is based on the achievement of operational
26            metrics, including metrics related to budget

 

 

SB0025 Enrolled- 549 -LRB104 07069 BAB 17106 b

1            controls, outage duration and frequency, safety,
2            customer service, efficiency and productivity, and
3            environmental compliance; however, this protocol
4            shall not apply if such expense related to costs
5            incurred under this Section is recovered under
6            Article IX or Section 16-108.5 of this Act;
7            incentive compensation expense that is based on
8            net income or an affiliate's earnings per share
9            shall not be recoverable under the energy
10            efficiency formula rate;
11                (ii) recovery of pension and other
12            post-employment benefits expense, provided that
13            such costs are supported by an actuarial study;
14            however, this protocol shall not apply if such
15            expense related to costs incurred under this
16            Section is recovered under Article IX or Section
17            16-108.5 of this Act;
18                (iii) recovery of existing regulatory assets
19            over the periods previously authorized by the
20            Commission;
21                (iv) as described in subsection (e),
22            amortization of costs incurred under this Section;
23            and
24                (v) projected, weather normalized billing
25            determinants for the applicable rate year.
26            (E) Provide for an annual reconciliation, as

 

 

SB0025 Enrolled- 550 -LRB104 07069 BAB 17106 b

1        described in paragraph (3) of this subsection (d),
2        less any deferred taxes related to the reconciliation,
3        with interest at an annual rate of return equal to the
4        utility's weighted average cost of capital, including
5        a revenue conversion factor calculated to recover or
6        refund all additional income taxes that may be payable
7        or receivable as a result of that return, of the energy
8        efficiency revenue requirement reflected in rates for
9        each calendar year, beginning with the calendar year
10        in which the utility files its energy efficiency
11        formula rate tariff under this paragraph (2), with
12        what the revenue requirement would have been had the
13        actual cost information for the applicable calendar
14        year been available at the filing date.
15        The utility shall file, together with its tariff, the
16    projected costs to be incurred by the utility during the
17    rate year under the utility's multi-year plan approved
18    under subsections (f) and (g) of this Section, including,
19    but not limited to, the projected capital investment costs
20    and projected regulatory asset balances with
21    correspondingly updated depreciation and amortization
22    reserves and expense, that shall populate the energy
23    efficiency formula rate and set the initial rates under
24    the formula.
25        The Commission shall review the proposed tariff in
26    conjunction with its review of a proposed multi-year plan,

 

 

SB0025 Enrolled- 551 -LRB104 07069 BAB 17106 b

1    as specified in paragraph (5) of subsection (g) of this
2    Section. The review shall be based on the same evidentiary
3    standards, including, but not limited to, those concerning
4    the prudence and reasonableness of the costs incurred by
5    the utility, the Commission applies in a hearing to review
6    a filing for a general increase in rates under Article IX
7    of this Act. The initial rates shall take effect beginning
8    with the January monthly billing period following the
9    Commission's approval.
10        The tariff's rate design and cost allocation across
11    customer classes shall be consistent with the utility's
12    automatic adjustment clause tariff in effect on June 1,
13    2017 (the effective date of Public Act 99-906); however,
14    the Commission may revise the tariff's rate design and
15    cost allocation in subsequent proceedings under paragraph
16    (3) of this subsection (d).
17        If the energy efficiency formula rate is terminated,
18    the then current rates shall remain in effect until such
19    time as the energy efficiency costs are incorporated into
20    new rates that are set under this subsection (d) or
21    Article IX of this Act, subject to retroactive rate
22    adjustment, with interest, to reconcile rates charged with
23    actual costs.
24        (3) The provisions of this paragraph (3) shall only
25    apply to an electric utility that has elected to file an
26    energy efficiency formula rate under paragraph (2) of this

 

 

SB0025 Enrolled- 552 -LRB104 07069 BAB 17106 b

1    subsection (d). Subsequent to the Commission's issuance of
2    an order approving the utility's energy efficiency formula
3    rate structure and protocols, and initial rates under
4    paragraph (2) of this subsection (d), the utility shall
5    file, on or before June 1 of each year, with the Chief
6    Clerk of the Commission its updated cost inputs to the
7    energy efficiency formula rate for the applicable rate
8    year and the corresponding new charges, as well as the
9    information described in paragraph (9) of subsection (g)
10    of this Section. Each such filing shall conform to the
11    following requirements and include the following
12    information:
13            (A) The inputs to the energy efficiency formula
14        rate for the applicable rate year shall be based on the
15        projected costs to be incurred by the utility during
16        the rate year under the utility's multi-year plan
17        approved under subsections (f) and (g) of this
18        Section, including, but not limited to, projected
19        capital investment costs and projected regulatory
20        asset balances with correspondingly updated
21        depreciation and amortization reserves and expense.
22        The filing shall also include a reconciliation of the
23        energy efficiency revenue requirement that was in
24        effect for the prior rate year (as set by the cost
25        inputs for the prior rate year) with the actual
26        revenue requirement for the prior rate year

 

 

SB0025 Enrolled- 553 -LRB104 07069 BAB 17106 b

1        (determined using a year-end rate base) that uses
2        amounts reflected in the applicable FERC Form 1 that
3        reports the actual costs for the prior rate year. Any
4        over-collection or under-collection indicated by such
5        reconciliation shall be reflected as a credit against,
6        or recovered as an additional charge to, respectively,
7        with interest calculated at a rate equal to the
8        utility's weighted average cost of capital approved by
9        the Commission for the prior rate year, the charges
10        for the applicable rate year. Such over-collection or
11        under-collection shall be adjusted to remove any
12        deferred taxes related to the reconciliation, for
13        purposes of calculating interest at an annual rate of
14        return equal to the utility's weighted average cost of
15        capital approved by the Commission for the prior rate
16        year, including a revenue conversion factor calculated
17        to recover or refund all additional income taxes that
18        may be payable or receivable as a result of that
19        return. Each reconciliation shall be certified by the
20        participating utility in the same manner that FERC
21        Form 1 is certified. The filing shall also include the
22        charge or credit, if any, resulting from the
23        calculation required by subparagraph (E) of paragraph
24        (2) of this subsection (d).
25            Notwithstanding any other provision of law to the
26        contrary, the intent of the reconciliation is to

 

 

SB0025 Enrolled- 554 -LRB104 07069 BAB 17106 b

1        ultimately reconcile both the revenue requirement
2        reflected in rates for each calendar year, beginning
3        with the calendar year in which the utility files its
4        energy efficiency formula rate tariff under paragraph
5        (2) of this subsection (d), with what the revenue
6        requirement determined using a year-end rate base for
7        the applicable calendar year would have been had the
8        actual cost information for the applicable calendar
9        year been available at the filing date.
10            For purposes of this Section, "FERC Form 1" means
11        the Annual Report of Major Electric Utilities,
12        Licensees and Others that electric utilities are
13        required to file with the Federal Energy Regulatory
14        Commission under the Federal Power Act, Sections 3,
15        4(a), 304 and 209, modified as necessary to be
16        consistent with 83 Ill. Adm. Code Part 415 as of May 1,
17        2011. Nothing in this Section is intended to allow
18        costs that are not otherwise recoverable to be
19        recoverable by virtue of inclusion in FERC Form 1.
20            (B) The new charges shall take effect beginning on
21        the first billing day of the following January billing
22        period and remain in effect through the last billing
23        day of the next December billing period regardless of
24        whether the Commission enters upon a hearing under
25        this paragraph (3).
26            (C) The filing shall include relevant and

 

 

SB0025 Enrolled- 555 -LRB104 07069 BAB 17106 b

1        necessary data and documentation for the applicable
2        rate year. Normalization adjustments shall not be
3        required.
4        Within 45 days after the utility files its annual
5    update of cost inputs to the energy efficiency formula
6    rate, the Commission shall with reasonable notice,
7    initiate a proceeding concerning whether the projected
8    costs to be incurred by the utility and recovered during
9    the applicable rate year, and that are reflected in the
10    inputs to the energy efficiency formula rate, are
11    consistent with the utility's approved multi-year plan
12    under subsections (f) and (g) of this Section and whether
13    the costs incurred by the utility during the prior rate
14    year were prudent and reasonable. The Commission shall
15    also have the authority to investigate the information and
16    data described in paragraph (9) of subsection (g) of this
17    Section, including the proposed adjustment to the
18    utility's return on equity component of its weighted
19    average cost of capital. During the course of the
20    proceeding, each objection shall be stated with
21    particularity and evidence provided in support thereof,
22    after which the utility shall have the opportunity to
23    rebut the evidence. Discovery shall be allowed consistent
24    with the Commission's Rules of Practice, which Rules of
25    Practice shall be enforced by the Commission or the
26    assigned administrative law judge. The Commission shall

 

 

SB0025 Enrolled- 556 -LRB104 07069 BAB 17106 b

1    apply the same evidentiary standards, including, but not
2    limited to, those concerning the prudence and
3    reasonableness of the costs incurred by the utility,
4    during the proceeding as it would apply in a proceeding to
5    review a filing for a general increase in rates under
6    Article IX of this Act. The Commission shall not, however,
7    have the authority in a proceeding under this paragraph
8    (3) to consider or order any changes to the structure or
9    protocols of the energy efficiency formula rate approved
10    under paragraph (2) of this subsection (d). In a
11    proceeding under this paragraph (3), the Commission shall
12    enter its order no later than the earlier of 195 days after
13    the utility's filing of its annual update of cost inputs
14    to the energy efficiency formula rate or December 15. The
15    utility's proposed return on equity calculation, as
16    described in paragraphs (7) through (9) of subsection (g)
17    of this Section, shall be deemed the final, approved
18    calculation on December 15 of the year in which it is filed
19    unless the Commission enters an order on or before
20    December 15, after notice and hearing, that modifies such
21    calculation consistent with this Section. The Commission's
22    determinations of the prudence and reasonableness of the
23    costs incurred, and determination of such return on equity
24    calculation, for the applicable calendar year shall be
25    final upon entry of the Commission's order and shall not
26    be subject to reopening, reexamination, or collateral

 

 

SB0025 Enrolled- 557 -LRB104 07069 BAB 17106 b

1    attack in any other Commission proceeding, case, docket,
2    order, rule, or regulation; however, nothing in this
3    paragraph (3) shall prohibit a party from petitioning the
4    Commission to rehear or appeal to the courts the order
5    under the provisions of this Act.
6    (e) Beginning on June 1, 2017 (the effective date of
7Public Act 99-906), a utility subject to the requirements of
8this Section may elect to defer, as a regulatory asset, up to
9the full amount of its expenditures incurred under this
10Section for each annual period, including, but not limited to,
11any expenditures incurred above the funding level set by
12subsection (f) of this Section for a given year. The total
13expenditures deferred as a regulatory asset in a given year
14shall be amortized and recovered over a period that is equal to
15the weighted average of the energy efficiency measure lives
16implemented for that year that are reflected in the regulatory
17asset. The unamortized balance shall be recognized as of
18December 31 for a given year. The utility shall also earn a
19return on the total of the unamortized balances of all of the
20energy efficiency regulatory assets, less any deferred taxes
21related to those unamortized balances, at an annual rate equal
22to the utility's weighted average cost of capital that
23includes, based on a year-end capital structure, the utility's
24actual cost of debt for the applicable calendar year and a cost
25of equity, which shall be determined as set forth in
26subparagraph (C) of paragraph (2) of subsection of this

 

 

SB0025 Enrolled- 558 -LRB104 07069 BAB 17106 b

1Section calculated as the sum of the (i) the average for the
2applicable calendar year of the monthly average yields of
330-year U.S. Treasury bonds published by the Board of
4Governors of the Federal Reserve System in its weekly H.15
5Statistical Release or successor publication; and (ii) 580
6basis points, including a revenue conversion factor calculated
7to recover or refund all additional income taxes that may be
8payable or receivable as a result of that return. Capital
9investment costs shall be depreciated and recovered over their
10useful lives consistent with generally accepted accounting
11principles. The weighted average cost of capital shall be
12applied to the capital investment cost balance, less any
13accumulated depreciation and accumulated deferred income
14taxes, as of December 31 for a given year.
15    When an electric utility creates a regulatory asset under
16the provisions of this Section, the costs are recovered over a
17period during which customers also receive a benefit which is
18in the public interest. Accordingly, it is the intent of the
19General Assembly that an electric utility that elects to
20create a regulatory asset under the provisions of this Section
21shall recover all of the associated costs as set forth in this
22Section. After the Commission has approved the prudence and
23reasonableness of the costs that comprise the regulatory
24asset, the electric utility shall be permitted to recover all
25such costs, and the value and recoverability through rates of
26the associated regulatory asset shall not be limited, altered,

 

 

SB0025 Enrolled- 559 -LRB104 07069 BAB 17106 b

1impaired, or reduced.
2    (f) Beginning in 2017, each electric utility shall file an
3energy efficiency plan with the Commission to meet the energy
4efficiency standards for the next applicable multi-year period
5beginning January 1 of the year following the filing,
6according to the schedule set forth in paragraphs (1) through
7(3) of this subsection (f). If a utility does not file such a
8plan on or before the applicable filing deadline for the plan,
9it shall face a penalty of $100,000 per day until the plan is
10filed.
11        (1) No later than 30 days after June 1, 2017 (the
12    effective date of Public Act 99-906), each electric
13    utility shall file a 4-year energy efficiency plan
14    commencing on January 1, 2018 that is designed to achieve
15    the cumulative persisting annual savings goals specified
16    in paragraphs (1) through (4) of subsection (b-5) of this
17    Section or in paragraphs (1) through (4) of subsection
18    (b-15) of this Section, as applicable, through
19    implementation of energy efficiency measures; however, the
20    goals may be reduced if the utility's expenditures are
21    limited pursuant to subsection (m) of this Section or, for
22    a utility that serves less than 3,000,000 retail
23    customers, if each of the following conditions are met:
24    (A) the plan's analysis and forecasts of the utility's
25    ability to acquire energy savings demonstrate that
26    achievement of such goals is not cost effective; and (B)

 

 

SB0025 Enrolled- 560 -LRB104 07069 BAB 17106 b

1    the amount of energy savings achieved by the utility as
2    determined by the independent evaluator for the most
3    recent year for which savings have been evaluated
4    preceding the plan filing was less than the average annual
5    amount of savings required to achieve the goals for the
6    applicable 4-year plan period. Except as provided in
7    subsection (m) of this Section, annual increases in
8    cumulative persisting annual savings goals during the
9    applicable 4-year plan period shall not be reduced to
10    amounts that are less than the maximum amount of
11    cumulative persisting annual savings that is forecast to
12    be cost-effectively achievable during the 4-year plan
13    period. The Commission shall review any proposed goal
14    reduction as part of its review and approval of the
15    utility's proposed plan.
16        (2) No later than March 1, 2021, each electric utility
17    shall file a 4-year energy efficiency plan commencing on
18    January 1, 2022 that is designed to achieve the cumulative
19    persisting annual savings goals specified in paragraphs
20    (5) through (8) of subsection (b-5) of this Section or in
21    paragraphs (5) through (8) of subsection (b-15) of this
22    Section, as applicable, through implementation of energy
23    efficiency measures; however, the goals may be reduced if
24    either (1) clear and convincing evidence demonstrates,
25    through independent analysis, that the expenditure limits
26    in subsection (m) of this Section preclude full

 

 

SB0025 Enrolled- 561 -LRB104 07069 BAB 17106 b

1    achievement of the goals or (2) each of the following
2    conditions are met: (A) the plan's analysis and forecasts
3    of the utility's ability to acquire energy savings
4    demonstrate by clear and convincing evidence and through
5    independent analysis that achievement of such goals is not
6    cost effective; and (B) the amount of energy savings
7    achieved by the utility as determined by the independent
8    evaluator for the most recent year for which savings have
9    been evaluated preceding the plan filing was less than the
10    average annual amount of savings required to achieve the
11    goals for the applicable 4-year plan period. If there is
12    not clear and convincing evidence that achieving the
13    savings goals specified in paragraph (b-5) or (b-15) of
14    this Section is possible both cost-effectively and within
15    the expenditure limits in subsection (m), such savings
16    goals shall not be reduced. Except as provided in
17    subsection (m) of this Section, annual increases in
18    cumulative persisting annual savings goals during the
19    applicable 4-year plan period shall not be reduced to
20    amounts that are less than the maximum amount of
21    cumulative persisting annual savings that is forecast to
22    be cost-effectively achievable during the 4-year plan
23    period. The Commission shall review any proposed goal
24    reduction as part of its review and approval of the
25    utility's proposed plan.
26        (2.5) Provisions of the multi-year plans for calendar

 

 

SB0025 Enrolled- 562 -LRB104 07069 BAB 17106 b

1    years 2026 through 2029 that relate to calendar year 2026
2    and that were filed by the electric utilities on February
3    28, 2025 shall remain in effect through calendar year
4    2026. Provisions of the plans for calendar years 2027
5    through 2029 shall be modified and resubmitted to the
6    Commission by the electric utilities pursuant to paragraph
7    (3) of this subsection (f).    
8        (3) No later than the effective date of this
9    amendatory Act of the 104th General Assembly March 1,
10    2025, each electric utility shall file a 3-year 4-year    
11    energy efficiency plan commencing on January 1, 2027 2026    
12    that is designed to achieve, through implementation of
13    energy efficiency measures, lifetime energy equal to the
14    product of the incremental annual savings goals defined by
15    paragraph (1) of subsection (b-16) and the minimum average
16    savings life defined by paragraph (3) of subsection
17    (b-16). The 3-year energy efficiency plan of a utility
18    that serves less than 3,000,000 retail customers but more
19    than 500,000 retail customers in the State must also be
20    designed to achieve lifetime peak demand savings equal to
21    the product of the incremental annual savings goals
22    defined by paragraph (2) of subsection (b-16) and the
23    minimum average savings life defined by paragraph (3) of
24    subsection (b-16) through implementation of energy
25    efficiency measures. The savings goals may be reduced if:
26    (i) clear and convincing evidence and independent analysis

 

 

SB0025 Enrolled- 563 -LRB104 07069 BAB 17106 b

1    demonstrates that the expenditure limits in subsection (m)
2    of this Section preclude full achievement of the goals,
3    (ii) each of the following conditions are met: (A) the
4    plan's analysis and forecasts of the utility's ability to
5    acquire energy savings demonstrate by clear and convincing
6    evidence and through independent analysis that achievement
7    of such goals is not cost-effective; and (B) the amount of
8    energy savings achieved by the utility, as determined by
9    the independent evaluator, for the most recent year for
10    which savings have been evaluated preceding the plan
11    filing was less than the average annual amount of savings
12    required to achieve the goals for the applicable
13    multi-year plan period, or (iii) changes in federal law,
14    programs, or tariffs have a significant and demonstrable
15    impact on the cost of delivering measures and programs. If
16    there is not clear and convincing evidence that achieving
17    the savings goals specified in subsection (b-16) is not
18    possible both cost-effectively and within the expenditure
19    limits in subsection (m), such savings goals shall not be
20    reduced. Except as provided in subsection (m), annual
21    savings goals during the applicable multi-year plan period
22    shall not be reduced to amounts that are less than the
23    maximum amount of annual savings that is forecasted to be
24    cost-effectively achievable during the applicable
25    multi-year plan period. The Commission shall review any
26    proposed goal reduction as part of its review and approval

 

 

SB0025 Enrolled- 564 -LRB104 07069 BAB 17106 b

1    of the utility's proposed plan. the cumulative persisting
2    annual savings goals specified in paragraphs (9) through
3    (12) of subsection (b-5) of this Section or in paragraphs
4    (9) through (12) of subsection (b-15) of this Section, as
5    applicable, through implementation of energy efficiency
6    measures; however, the goals may be reduced if either (1)
7    clear and convincing evidence demonstrates, through
8    independent analysis, that the expenditure limits in
9    subsection (m) of this Section preclude full achievement
10    of the goals or (2) each of the following conditions are
11    met: (A) the plan's analysis and forecasts of the
12    utility's ability to acquire energy savings demonstrate by
13    clear and convincing evidence and through independent
14    analysis that achievement of such goals is not cost
15    effective; and (B) the amount of energy savings achieved
16    by the utility as determined by the independent evaluator
17    for the most recent year for which savings have been
18    evaluated preceding the plan filing was less than the
19    average annual amount of savings required to achieve the
20    goals for the applicable 4-year plan period. If there is
21    not clear and convincing evidence that achieving the
22    savings goals specified in paragraphs (b-5) or (b-15) of
23    this Section is possible both cost-effectively and within
24    the expenditure limits in subsection (m), such savings
25    goals shall not be reduced. Except as provided in
26    subsection (m) of this Section, annual increases in

 

 

SB0025 Enrolled- 565 -LRB104 07069 BAB 17106 b

1    cumulative persisting annual savings goals during the
2    applicable 4-year plan period shall not be reduced to
3    amounts that are less than the maximum amount of
4    cumulative persisting annual savings that is forecast to
5    be cost-effectively achievable during the 4-year plan
6    period. The Commission shall review any proposed goal
7    reduction as part of its review and approval of the
8    utility's proposed plan.    
9        (4) No later than March 1, 2029, and every 4 years
10    thereafter, each electric utility shall file a 4-year
11    energy efficiency plan commencing on January 1, 2030, and
12    every 4 years thereafter, respectively, that is designed
13    to achieve the cumulative persisting annual savings goals
14    established by the Illinois Commerce Commission pursuant
15    to direction of subsections (b-5) and (b-15) of this
16    Section, as applicable, through implementation of energy
17    efficiency measures, lifetime energy equal to the product
18    of the incremental annual savings goals defined by
19    paragraph (1) of subsection (b-16) and the minimum average
20    savings life described in paragraph (C) of subsection
21    (b-16) of this Section. The multi-year energy efficiency
22    plan of a utility that serves less than 3,000,000 retail
23    customers but more than 500,000 retail customers in the
24    State must also be designed to achieve lifetime peak
25    demand savings equal to the product of the incremental
26    annual savings goals defined by paragraph (2) of

 

 

SB0025 Enrolled- 566 -LRB104 07069 BAB 17106 b

1    subsection (b-16) and the minimum average savings life
2    defined by paragraph (3) of subsection (b-16) through
3    implementation of energy efficiency measures. However ;
4    however, the goals may be reduced if: either (1) clear and
5    convincing evidence and independent analysis demonstrates
6    that the expenditure limits in subsection (m) of this
7    Section preclude full achievement of the goals; or (2)
8    each of the following conditions are met: (A) the plan's
9    analysis and forecasts of the utility's ability to acquire
10    energy savings demonstrate by clear and convincing
11    evidence and through independent analysis that achievement
12    of such goals is not cost-effective; and (B) the amount of
13    energy savings achieved by the utility as determined by
14    the independent evaluator for the most recent year for
15    which savings have been evaluated preceding the plan
16    filing was less than the average annual amount of savings
17    required to achieve the goals for the applicable
18    multi-year 4-year plan period; or (3) changes in federal
19    law, programs, or tariffs have a significant and
20    demonstrable impact on the cost of delivering measures and
21    programs. If there is not clear and convincing evidence
22    that achieving the savings goals specified in paragraph
23    (b-16) paragraphs (b-5) or (b-15) of this Section is
24    possible both cost-effectively and within the expenditure
25    limits in subsection (m), such savings goals shall not be
26    reduced. Except as provided in subsection (m) of this

 

 

SB0025 Enrolled- 567 -LRB104 07069 BAB 17106 b

1    Section, annual increases in cumulative persisting annual
2    savings goals during the applicable multi-year 4-year plan
3    period shall not be reduced to amounts that are less than
4    the maximum amount of cumulative persisting annual savings
5    that is forecast to be cost-effectively achievable during
6    the applicable multi-year 4-year plan period. The
7    Commission shall review any proposed goal reduction as
8    part of its review and approval of the utility's proposed
9    plan.
10    Each utility's plan shall set forth the utility's
11proposals to meet the energy efficiency standards identified
12in subsection (b-5), or (b-15), or (b-16), as applicable and
13as such standards may have been modified under this subsection
14(f), taking into account the unique circumstances of the
15utility's service territory. For those plans commencing on
16January 1, 2018, the Commission shall seek public comment on
17the utility's plan and shall issue an order approving or
18disapproving each plan no later than 105 days after June 1,
192017 (the effective date of Public Act 99-906). For those
20plans commencing after December 31, 2021, the Commission shall
21seek public comment on the utility's plan and shall issue an
22order approving or disapproving each plan within 6 months
23after its submission. If the Commission disapproves a plan,
24the Commission shall, within 30 days, describe in detail the
25reasons for the disapproval and describe a path by which the
26utility may file a revised draft of the plan to address the

 

 

SB0025 Enrolled- 568 -LRB104 07069 BAB 17106 b

1Commission's concerns satisfactorily. If the utility does not
2refile with the Commission within 60 days, the utility shall
3be subject to penalties at a rate of $100,000 per day until the
4plan is filed. This process shall continue, and penalties
5shall accrue, until the utility has successfully filed a
6portfolio of energy efficiency and demand-response measures.
7Penalties shall be deposited into the Energy Efficiency Trust
8Fund.
9    (g) In submitting proposed plans and funding levels under
10subsection (f) of this Section to meet the savings goals
11identified in subsection (b-5), or (b-15), or (b-16) of this
12Section, as applicable, the utility shall:
13        (1) Demonstrate that its proposed energy efficiency
14    measures will achieve the applicable requirements that are
15    identified in subsection (b-5), or (b-15), or (b-16) of
16    this Section, as modified by subsection (f) of this
17    Section.
18        (2) (Blank).
19        (2.5) Demonstrate consideration of program options for
20    (A) advancing new building codes, appliance standards, and
21    municipal regulations governing existing and new building
22    efficiency improvements and (B) supporting efforts to
23    improve compliance with new building codes, appliance
24    standards and municipal regulations, as potentially
25    cost-effective means of acquiring energy savings to count
26    toward savings goals.

 

 

SB0025 Enrolled- 569 -LRB104 07069 BAB 17106 b

1        (3) Demonstrate that its overall portfolio of
2    measures, not including low-income programs described in
3    subsection (c) of this Section, is cost-effective using
4    the total resource cost test or complies with paragraphs
5    (1) through (3) of subsection (f) of this Section and
6    represents a diverse cross-section of opportunities for
7    customers of all rate classes, other than those customers
8    described in subsection (l) of this Section, to
9    participate in the programs. Individual measures need not
10    be cost effective.
11        (3.5) Demonstrate that the utility's plan integrates
12    the delivery of energy efficiency programs with natural
13    gas efficiency programs, programs promoting distributed
14    solar, programs promoting demand response and other
15    efforts to address bill payment issues, including, but not
16    limited to, LIHEAP and the Percentage of Income Payment
17    Plan, to the extent such integration is practical and has
18    the potential to enhance customer engagement, minimize
19    market confusion, or reduce administrative costs.
20        (4) If the utility chooses, present Present a
21    third-party energy efficiency implementation program
22    subject to the following requirements:
23            (A) (blank); beginning with the year commencing
24        January 1, 2019, electric utilities that serve more
25        than 3,000,000 retail customers in the State shall
26        fund third-party energy efficiency programs in an

 

 

SB0025 Enrolled- 570 -LRB104 07069 BAB 17106 b

1        amount that is no less than $25,000,000 per year, and
2        electric utilities that serve less than 3,000,000
3        retail customers but more than 500,000 retail
4        customers in the State shall fund third-party energy
5        efficiency programs in an amount that is no less than
6        $8,350,000 per year;
7            (B) during 2018, the utility shall conduct a
8        solicitation process for purposes of requesting
9        proposals from third-party vendors for those
10        third-party energy efficiency programs to be offered
11        during one or more of the years commencing January 1,
12        2019, January 1, 2020, and January 1, 2021; for those
13        multi-year plans commencing on January 1, 2022 and
14        January 1, 2026, the utility shall conduct a
15        solicitation process during 2021 and 2025,
16        respectively, for purposes of requesting proposals
17        from third-party vendors for those third-party energy
18        efficiency programs to be offered during one or more
19        years of the respective multi-year plan period; for
20        each solicitation process, the utility shall identify
21        the sector, technology, or geographical area for which
22        it is seeking requests for proposals; the solicitation
23        process must be either for programs that fill gaps in
24        the utility's program portfolio and for programs that
25        target low-income customers, business sectors,
26        building types, geographies, or other specific parts

 

 

SB0025 Enrolled- 571 -LRB104 07069 BAB 17106 b

1        of its customer base with initiatives that would be
2        more effective at reaching these customer segments
3        than the utilities' programs filed in its energy
4        efficiency plans;
5            (C) the utility shall propose the bidder
6        qualifications, performance measurement process, and
7        contract structure, which must include a performance
8        payment mechanism and general terms and conditions;
9        the proposed qualifications, process, and structure
10        shall be subject to Commission approval; and
11            (D) the utility shall retain an independent third
12        party to score the proposals received through the
13        solicitation process described in this paragraph (4),
14        rank them according to their cost per lifetime
15        kilowatt-hours saved, and assemble the portfolio of
16        third-party programs.
17        The electric utility shall recover all costs
18    associated with Commission-approved, third-party
19    administered programs regardless of the success of those
20    programs.
21        (4.5) Implement cost-effective demand-response
22    measures to reduce peak demand by 0.1% over the prior year
23    for eligible retail customers, as defined in Section
24    16-111.5 of this Act, and for customers that elect hourly
25    service from the utility pursuant to Section 16-107 of
26    this Act, provided those customers have not been declared

 

 

SB0025 Enrolled- 572 -LRB104 07069 BAB 17106 b

1    competitive. This requirement continues until December 31,
2    2026.
3        (5) Include a proposed or revised cost-recovery tariff
4    mechanism, as provided for under subsection (d) of this
5    Section, to fund the proposed energy efficiency and
6    demand-response measures and to ensure the recovery of the
7    prudently and reasonably incurred costs of
8    Commission-approved programs.
9        (6) Provide for an annual independent evaluation of
10    the performance of the cost-effectiveness of the utility's
11    portfolio of measures, as well as a full review of the
12    multi-year plan results of the broader net program impacts
13    and, to the extent practical, for adjustment of the
14    measures on a going-forward basis as a result of the
15    evaluations. The resources dedicated to evaluation shall
16    not exceed 3% of portfolio resources in any given year.
17        (7) For electric utilities that serve more than
18    3,000,000 retail customers in the State:
19            (A) Through December 31, 2026 2025, provide for an
20        adjustment to the return on equity component of the
21        utility's weighted average cost of capital calculated
22        under subsection (d) of this Section:
23                (i) If the independent evaluator determines
24            that the utility achieved a cumulative persisting
25            annual savings that is less than the applicable
26            annual incremental goal, then the return on equity

 

 

SB0025 Enrolled- 573 -LRB104 07069 BAB 17106 b

1            component shall be reduced by a maximum of 200
2            basis points in the event that the utility
3            achieved no more than 75% of such goal. If the
4            utility achieved more than 75% of the applicable
5            annual incremental goal but less than 100% of such
6            goal, then the return on equity component shall be
7            reduced by 8 basis points for each percent by
8            which the utility failed to achieve the goal.
9                (ii) If the independent evaluator determines
10            that the utility achieved a cumulative persisting
11            annual savings that is more than the applicable
12            annual incremental goal, then the return on equity
13            component shall be increased by a maximum of 200
14            basis points in the event that the utility
15            achieved at least 125% of such goal. If the
16            utility achieved more than 100% of the applicable
17            annual incremental goal but less than 125% of such
18            goal, then the return on equity component shall be
19            increased by 8 basis points for each percent by
20            which the utility achieved above the goal. If the
21            applicable annual incremental goal was reduced
22            under paragraph (1) or (2) of subsection (f) of
23            this Section, then the following adjustments shall
24            be made to the calculations described in this item
25            (ii):
26                    (aa) the calculation for determining

 

 

SB0025 Enrolled- 574 -LRB104 07069 BAB 17106 b

1                achievement that is at least 125% of the
2                applicable annual incremental goal shall use
3                the unreduced applicable annual incremental
4                goal to set the value; and
5                    (bb) the calculation for determining
6                achievement that is less than 125% but more
7                than 100% of the applicable annual incremental
8                goal shall use the reduced applicable annual
9                incremental goal to set the value for 100%
10                achievement of the goal and shall use the
11                unreduced goal to set the value for 125%
12                achievement. The 8 basis point value shall
13                also be modified, as necessary, so that the
14                200 basis points are evenly apportioned among
15                each percentage point value between 100% and
16                125% achievement.
17            (B) (Blank). For the period January 1, 2026
18        through December 31, 2029 and in all subsequent 4-year
19        periods, provide for an adjustment to the return on
20        equity component of the utility's weighted average
21        cost of capital calculated under subsection (d) of
22        this Section:
23                (i) If the independent evaluator determines
24            that the utility achieved a cumulative persisting
25            annual savings that is less than the applicable
26            annual incremental goal, then the return on equity

 

 

SB0025 Enrolled- 575 -LRB104 07069 BAB 17106 b

1            component shall be reduced by a maximum of 200
2            basis points in the event that the utility
3            achieved no more than 66% of such goal. If the
4            utility achieved more than 66% of the applicable
5            annual incremental goal but less than 100% of such
6            goal, then the return on equity component shall be
7            reduced by 6 basis points for each percent by
8            which the utility failed to achieve the goal.
9                (ii) If the independent evaluator determines
10            that the utility achieved a cumulative persisting
11            annual savings that is more than the applicable
12            annual incremental goal, then the return on equity
13            component shall be increased by a maximum of 200
14            basis points in the event that the utility
15            achieved at least 134% of such goal. If the
16            utility achieved more than 100% of the applicable
17            annual incremental goal but less than 134% of such
18            goal, then the return on equity component shall be
19            increased by 6 basis points for each percent by
20            which the utility achieved above the goal. If the
21            applicable annual incremental goal was reduced
22            under paragraph (3) of subsection (f) of this
23            Section, then the following adjustments shall be
24            made to the calculations described in this item
25            (ii):
26                    (aa) the calculation for determining

 

 

SB0025 Enrolled- 576 -LRB104 07069 BAB 17106 b

1                achievement that is at least 134% of the
2                applicable annual incremental goal shall use
3                the unreduced applicable annual incremental
4                goal to set the value; and
5                    (bb) the calculation for determining
6                achievement that is less than 134% but more
7                than 100% of the applicable annual incremental
8                goal shall use the reduced applicable annual
9                incremental goal to set the value for 100%
10                achievement of the goal and shall use the
11                unreduced goal to set the value for 134%
12                achievement. The 6 basis point value shall
13                also be modified, as necessary, so that the
14                200 basis points are evenly apportioned among
15                each percentage point value between 100% and
16                134% achievement.
17            (C) (Blank). Notwithstanding the provisions of
18        subparagraphs (A) and (B) of this paragraph (7), if
19        the applicable annual incremental goal for an electric
20        utility is ever less than 0.6% of deemed average
21        weather normalized sales of electric power and energy
22        during calendar years 2014, 2015, and 2016, an
23        adjustment to the return on equity component of the
24        utility's weighted average cost of capital calculated
25        under subsection (d) of this Section shall be made as
26        follows:

 

 

SB0025 Enrolled- 577 -LRB104 07069 BAB 17106 b

1                (i) If the independent evaluator determines
2            that the utility achieved a cumulative persisting
3            annual savings that is less than would have been
4            achieved had the applicable annual incremental
5            goal been achieved, then the return on equity
6            component shall be reduced by a maximum of 200
7            basis points if the utility achieved no more than
8            75% of its applicable annual total savings
9            requirement as defined in paragraph (7.5) of this
10            subsection. If the utility achieved more than 75%
11            of the applicable annual total savings requirement
12            but less than 100% of such goal, then the return on
13            equity component shall be reduced by 8 basis
14            points for each percent by which the utility
15            failed to achieve the goal.
16                (ii) If the independent evaluator determines
17            that the utility achieved a cumulative persisting
18            annual savings that is more than would have been
19            achieved had the applicable annual incremental
20            goal been achieved, then the return on equity
21            component shall be increased by a maximum of 200
22            basis points if the utility achieved at least 125%
23            of its applicable annual total savings
24            requirement. If the utility achieved more than
25            100% of the applicable annual total savings
26            requirement but less than 125% of such goal, then

 

 

SB0025 Enrolled- 578 -LRB104 07069 BAB 17106 b

1            the return on equity component shall be increased
2            by 8 basis points for each percent by which the
3            utility achieved above the applicable annual total
4            savings requirement. If the applicable annual
5            incremental goal was reduced under paragraph (1)
6            or (2) of subsection (f) of this Section, then the
7            following adjustments shall be made to the
8            calculations described in this item (ii):
9                    (aa) the calculation for determining
10                achievement that is at least 125% of the
11                applicable annual total savings requirement
12                shall use the unreduced applicable annual
13                incremental goal to set the value; and
14                    (bb) the calculation for determining
15                achievement that is less than 125% but more
16                than 100% of the applicable annual total
17                savings requirement shall use the reduced
18                applicable annual incremental goal to set the
19                value for 100% achievement of the goal and
20                shall use the unreduced goal to set the value
21                for 125% achievement. The 8 basis point value
22                shall also be modified, as necessary, so that
23                the 200 basis points are evenly apportioned
24                among each percentage point value between 100%
25                and 125% achievement.
26        (7.5) For purposes of this Section, the term

 

 

SB0025 Enrolled- 579 -LRB104 07069 BAB 17106 b

1    "applicable annual incremental goal" means the difference
2    between the cumulative persisting annual savings goal for
3    the calendar year that is the subject of the independent
4    evaluator's determination and the cumulative persisting
5    annual savings goal for the immediately preceding calendar
6    year, as such goals are defined in subsections (b-5) and
7    (b-15) of this Section and as these goals may have been
8    modified as provided for under subsection (b-20) and
9    paragraphs (1) and (2) through (3) of subsection (f) of
10    this Section. Under subsections (b), (b-5), (b-10), and
11    (b-15) of this Section, a utility must first replace
12    energy savings from measures that have expired before any
13    progress towards achievement of its applicable annual
14    incremental goal may be counted. Savings may expire
15    because measures installed in previous years have reached
16    the end of their lives, because measures installed in
17    previous years are producing lower savings in the current
18    year than in the previous year, or for other reasons
19    identified by independent evaluators. Notwithstanding
20    anything else set forth in this Section, the difference
21    between the actual annual incremental savings achieved in
22    any given year, including the replacement of energy
23    savings that have expired, and the applicable annual
24    incremental goal shall not affect adjustments to the
25    return on equity for subsequent calendar years under this
26    subsection (g).

 

 

SB0025 Enrolled- 580 -LRB104 07069 BAB 17106 b

1        In this Section, "applicable annual total savings
2    requirement" means the total amount of new annual savings
3    that the utility must achieve in any given year to achieve
4    the applicable annual incremental goal. This is equal to
5    the applicable annual incremental goal plus the total new
6    annual savings that are required to replace savings that
7    expired in or at the end of the previous year.
8        (8) For electric utilities that serve less than
9    3,000,000 retail customers but more than 500,000 retail
10    customers in the State:
11            (A) Through December 31, 2026 2025, the applicable
12        annual incremental goal shall be compared to the
13        annual incremental savings as determined by the
14        independent evaluator.
15                (i) The return on equity component shall be
16            reduced by 8 basis points for each percent by
17            which the utility did not achieve 84.4% of the
18            applicable annual incremental goal.
19                (ii) The return on equity component shall be
20            increased by 8 basis points for each percent by
21            which the utility exceeded 100% of the applicable
22            annual incremental goal.
23                (iii) The return on equity component shall not
24            be increased or decreased if the annual
25            incremental savings as determined by the
26            independent evaluator is greater than 84.4% of the

 

 

SB0025 Enrolled- 581 -LRB104 07069 BAB 17106 b

1            applicable annual incremental goal and less than
2            100% of the applicable annual incremental goal.
3                (iv) The return on equity component shall not
4            be increased or decreased by an amount greater
5            than 200 basis points pursuant to this
6            subparagraph (A).
7            (B) (Blank). For the period of January 1, 2026
8        through December 31, 2029 and in all subsequent 4-year
9        periods, the applicable annual incremental goal shall
10        be compared to the annual incremental savings as
11        determined by the independent evaluator.
12                (i) The return on equity component shall be
13            reduced by 6 basis points for each percent by
14            which the utility did not achieve 100% of the
15            applicable annual incremental goal.
16                (ii) The return on equity component shall be
17            increased by 6 basis points for each percent by
18            which the utility exceeded 100% of the applicable
19            annual incremental goal.
20                (iii) The return on equity component shall not
21            be increased or decreased by an amount greater
22            than 200 basis points pursuant to this
23            subparagraph (B).
24            (C) (Blank). Notwithstanding provisions in
25        subparagraphs (A) and (B) of paragraph (7) of this
26        subsection, if the applicable annual incremental goal

 

 

SB0025 Enrolled- 582 -LRB104 07069 BAB 17106 b

1        for an electric utility is ever less than 0.6% of
2        deemed average weather normalized sales of electric
3        power and energy during calendar years 2014, 2015 and
4        2016, an adjustment to the return on equity component
5        of the utility's weighted average cost of capital
6        calculated under subsection (d) of this Section shall
7        be made as follows:
8                (i) The return on equity component shall be
9            reduced by 8 basis points for each percent by
10            which the utility did not achieve 100% of the
11            applicable annual total savings requirement.
12                (ii) The return on equity component shall be
13            increased by 8 basis points for each percent by
14            which the utility exceeded 100% of the applicable
15            annual total savings requirement.
16                (iii) The return on equity component shall not
17            be increased or decreased by an amount greater
18            than 200 basis points pursuant to this
19            subparagraph (C).
20            (D) (Blank). If the applicable annual incremental
21        goal was reduced under paragraph (1), (2), (3), or (4)
22        of subsection (f) of this Section, then the following
23        adjustments shall be made to the calculations
24        described in subparagraphs (A), (B), and (C) of this
25        paragraph (8):
26                (i) The calculation for determining

 

 

SB0025 Enrolled- 583 -LRB104 07069 BAB 17106 b

1            achievement that is at least 125% or 134%, as
2            applicable, of the applicable annual incremental
3            goal or the applicable annual total savings
4            requirement, as applicable, shall use the
5            unreduced applicable annual incremental goal to
6            set the value.
7                (ii) For the period through December 31, 2025,
8            the calculation for determining achievement that
9            is less than 125% but more than 100% of the
10            applicable annual incremental goal or the
11            applicable annual total savings requirement, as
12            applicable, shall use the reduced applicable
13            annual incremental goal to set the value for 100%
14            achievement of the goal and shall use the
15            unreduced goal to set the value for 125%
16            achievement. The 8 basis point value shall also be
17            modified, as necessary, so that the 200 basis
18            points are evenly apportioned among each
19            percentage point value between 100% and 125%
20            achievement.
21                (iii) For the period of January 1, 2026
22            through December 31, 2029 and all subsequent
23            4-year periods, the calculation for determining
24            achievement that is less than 125% or 134%, as
25            applicable, but more than 100% of the applicable
26            annual incremental goal or the applicable annual

 

 

SB0025 Enrolled- 584 -LRB104 07069 BAB 17106 b

1            total savings requirement, as applicable, shall
2            use the reduced applicable annual incremental goal
3            to set the value for 100% achievement of the goal
4            and shall use the unreduced goal to set the value
5            for 125% achievement. The 6 basis-point value or 8
6            basis-point value, as applicable, shall also be
7            modified, as necessary, so that the 200 basis
8            points are evenly apportioned among each
9            percentage point value between 100% and 125% or
10            between 100% and 134% achievement, as applicable.
11        (8.5) Beginning January 1, 2027, a utility that serves
12    greater than 500,000 retail customers in the State shall
13    have the utility's return on equity modified for
14    performance on the utility's energy savings and peak
15    demand savings goals as follows:
16            (A) The return on equity for a utility that serves
17        more than 3,000,000 retail customers in the State may
18        be adjusted up or down by a maximum of 200 basis points
19        for its performance relative to its incremental annual
20        energy savings goal. The return on equity for a
21        utility that serves less than 3,000,000 retail
22        customers but more than 500,000 retail customers in
23        the State may be adjusted up or down by a maximum of
24        100 basis points for its performance relative to its
25        incremental annual energy savings goal and a maximum
26        of 100 basis points for its performance relative to

 

 

SB0025 Enrolled- 585 -LRB104 07069 BAB 17106 b

1        its incremental annual coincident peak demand savings
2        goal.
3            (B) A utility's performance on its savings goals
4        shall be established by comparing the actual lifetime
5        energy, and coincident peak demand savings if a
6        utility serves less than 3,000,000 retail customers
7        but more than 500,000 retail customers in the State,
8        achieved from efficiency measures installed in a given
9        year to the product of the incremental annual goals
10        established in paragraphs (1) and (2) of subsection
11        (b-16) and the minimum average savings lives
12        established in paragraph (3) of subsection (b-16), as
13        modified, if applicable, by the Commission under
14        paragraph (4) of subsection (f) of this Section. For
15        the purposes of this paragraph (8.5), "lifetime
16        savings" means the total incremental savings that
17        installed efficiency measures are projected to
18        produce, relative to what would have occurred absent
19        to the utility's efficiency programs, over the useful
20        lives of the measures. Performance on the energy
21        savings goal, and coincident peak demand savings if a
22        utility serves less than 3,000,000 retail customers
23        but more than 500,000 retail customers in the State,
24        shall be assessed separately, such that it is possible
25        to earn penalties on both, earn bonuses on both, or
26        earn a bonus for performance on one goal and a penalty

 

 

SB0025 Enrolled- 586 -LRB104 07069 BAB 17106 b

1        on the other.
2            (C) No bonus shall be earned if a utility does not
3        achieve greater than 100% of an approved goal. The
4        maximum bonus for a goal shall be earned if the utility
5        achieves 125% of the unmodified goal. For a utility
6        that serves less than 3,000,000 retail customers but
7        more than 500,000 retail customers in the State, the
8        bonus earned for achieving more than 100% of an
9        approved goal but less than 125% of the unmodified
10        goal shall be linearly interpolated. For a utility
11        with more than 3,000,000 retail customers, the maximum
12        bonus for a goal shall be earned if the utility
13        achieves 125% of the unmodified goal. For a utility
14        with more than 3,000,000 retail customers, the bonus
15        earned for achieving more than 100% of an approved
16        goal but less than 125% of the unmodified goal shall be
17        linearly interpolated.
18            (D) For utilities with greater than 3,000,000
19        retail customers, the return on equity shall be
20        unmodified due to performance on an individual goal
21        only if the utility achieves exactly 100% of the goal.
22        For utilities with more than 500,000 but fewer than
23        3,000,000 retail customers, the return on equity shall
24        be unmodified for achieving between 85% and 100% of
25        the goal.
26            (E) Penalties may be earned for falling short of

 

 

SB0025 Enrolled- 587 -LRB104 07069 BAB 17106 b

1        goals, with the magnitude of any penalty being a
2        function of both the size of the utility and whether
3        goals established in subsection (b-16) are modified by
4        the Commission under paragraph (4) of subsection (f)
5        of this Section, as follows:
6                (i) If the savings goals specified in
7            subsection (b-16) of this Section are unmodified,
8            a utility with more than 3,000,000 retail
9            customers shall earn the maximum penalty allocated
10            to a goal for achieving 75% or less of the goal.
11            The penalty for achieving greater than 75% but
12            less than 100% of the goal shall be linearly
13            interpolated.
14                (ii) If the savings goals specified in
15            subsection (b-16) of this Section are unmodified,
16            a utility with more than 500,000 but fewer than
17            3,000,000 retail customers shall earn the maximum
18            penalty allocated to a goal for achieving at least
19            33.3 percentage points less than the bottom end of
20            the deadband specified in subparagraph (D) of this
21            paragraph (8.5). The penalty for achieving less
22            than the bottom end of the deadband and greater
23            than 33.3 percentage points less than the bottom
24            end of the deadband shall be linearly
25            interpolated.
26                (iii) If either the energy or peak demand

 

 

SB0025 Enrolled- 588 -LRB104 07069 BAB 17106 b

1            savings goals specified in subsection (b-16) are
2            reduced under paragraph (3) or (4) of subsection
3            (f) of this Section, the maximum penalty allocated
4            to a goal shall be earned if the utility achieves
5            80% or less of the modified goal. The penalty for
6            achieving more than 80% but less than 100% of a
7            modified goal shall be linearly interpolated.    
8        (9) The utility shall submit the energy savings data
9    to the independent evaluator no later than 30 days after
10    the close of the plan year. The independent evaluator
11    shall determine the cumulative persisting annual savings
12    and annual incremental savings for a given plan year, as
13    well as an estimate of job impacts and other macroeconomic
14    impacts of the efficiency programs for that year, no later
15    than 120 days after the close of the plan year. The utility
16    shall submit an informational filing to the Commission no
17    later than 160 days after the close of the plan year that
18    attaches the independent evaluator's final report
19    identifying the cumulative persisting annual savings for
20    the year and calculates, under paragraph (7) or (8) of
21    this subsection (g), as applicable, any resulting change
22    to the utility's return on equity component of the
23    weighted average cost of capital applicable to the next
24    plan year beginning with the January monthly billing
25    period and extending through the December monthly billing
26    period. However, if the utility recovers the costs

 

 

SB0025 Enrolled- 589 -LRB104 07069 BAB 17106 b

1    incurred under this Section under paragraphs (2) and (3)
2    of subsection (d) of this Section, then the utility shall
3    not be required to submit such informational filing, and
4    shall instead submit the information that would otherwise
5    be included in the informational filing as part of its
6    filing under paragraph (3) of such subsection (d) that is
7    due on or before June 1 of each year.
8        For those utilities that must submit the informational
9    filing, the Commission may, on its own motion or by
10    petition, initiate an investigation of such filing,
11    provided, however, that the utility's proposed return on
12    equity calculation shall be deemed the final, approved
13    calculation on December 15 of the year in which it is filed
14    unless the Commission enters an order on or before
15    December 15, after notice and hearing, that modifies such
16    calculation consistent with this Section.
17        The adjustments to the return on equity component
18    described in paragraphs (7) and (8) of this subsection (g)
19    shall be applied as described in such paragraphs through a
20    separate tariff mechanism, which shall be filed by the
21    utility under subsections (f) and (g) of this Section.
22        (9.5) The utility must demonstrate how it will ensure
23    that program implementation contractors and energy
24    efficiency installation vendors will promote workforce
25    equity and quality jobs. For all construction,
26    installation, or other related services procured under

 

 

SB0025 Enrolled- 590 -LRB104 07069 BAB 17106 b

1    this Section, an electric utility must:
2            (A) award a bid preference of 2% to a contractor if
3        the contractor certifies under oath that the
4        contractor's primary place of business is located
5        within the utility's service area; and
6            (B) award a bid preference of 2% to a contractor if
7        the contractor certifies under oath that at least 85%
8        of the workforce to be utilized for such construction,
9        installation, or other related services reside in the
10        utility's service area.    
11        (9.6) Utilities shall collect data necessary to ensure
12    compliance with paragraph (9.5) no less than quarterly and
13    shall communicate progress toward compliance with
14    paragraph (9.5) to program implementation contractors and
15    energy efficiency installation vendors no less than
16    quarterly. Utilities shall work with relevant vendors,
17    providing education, training, and other resources needed
18    to ensure compliance and, where necessary, adjusting or
19    terminating work with vendors that cannot assist with
20    compliance.
21        (10) Utilities required to implement efficiency
22    programs under subsections (b-5), and (b-10), and (b-16)    
23    shall report annually to the Illinois Commerce Commission
24    and the General Assembly on how hiring, contracting, job
25    training, and other practices related to its energy
26    efficiency programs enhance the diversity of vendors

 

 

SB0025 Enrolled- 591 -LRB104 07069 BAB 17106 b

1    working on such programs. These reports must include data
2    on vendor and employee diversity, including data on the
3    implementation of paragraphs (9.5) and (9.6) and the
4    proportion of total program dollars awarded to firms that
5    meet the criteria of subparagraphs (A) and (B) of
6    paragraph (9.5). If the utility is not meeting the
7    requirements of paragraphs (9.5) and (9.6), the utility
8    shall submit a plan to adjust their activities so that
9    they meet the requirements of paragraphs (9.5) and (9.6)
10    within the following year.
11    (h) No more than 4% of energy efficiency and
12demand-response program revenue may be allocated for research,
13development, or pilot deployment of new equipment or measures.
14Electric utilities shall work with interested stakeholders to
15formulate a plan for how these funds should be spent,
16incorporate statewide approaches for these allocations, and
17file a 4-year plan that demonstrates that collaboration. If a
18utility files a request for modified annual energy savings
19goals with the Commission, then a utility shall forgo spending
20portfolio dollars on research and development proposals.
21    (i) When practicable, electric utilities shall incorporate
22advanced metering infrastructure data into the planning,
23implementation, and evaluation of energy efficiency measures
24and programs, subject to the data privacy and confidentiality
25protections of applicable law.
26    (j) The independent evaluator shall follow the guidelines

 

 

SB0025 Enrolled- 592 -LRB104 07069 BAB 17106 b

1and use the savings set forth in Commission-approved energy
2efficiency policy manuals and technical reference manuals, as
3each may be updated from time to time. Until such time as
4measure life values for energy efficiency measures implemented
5for low-income households under subsection (c) of this Section
6are incorporated into such Commission-approved manuals, the
7low-income measures shall have the same measure life values
8that are established for same measures implemented in
9households that are not low-income households.
10    (k) Notwithstanding any provision of law to the contrary,
11an electric utility subject to the requirements of this
12Section may file a tariff cancelling an automatic adjustment
13clause tariff in effect under this Section or Section 8-103,
14which shall take effect no later than one business day after
15the date such tariff is filed. Thereafter, the utility shall
16be authorized to defer and recover its expenditures incurred
17under this Section through a new tariff authorized under
18subsection (d) of this Section or in the utility's next rate
19case under Article IX or Section 16-108.5 of this Act, with
20interest at an annual rate equal to the utility's weighted
21average cost of capital as approved by the Commission in such
22case. If the utility elects to file a new tariff under
23subsection (d) of this Section, the utility may file the
24tariff within 10 days after June 1, 2017 (the effective date of
25Public Act 99-906), and the cost inputs to such tariff shall be
26based on the projected costs to be incurred by the utility

 

 

SB0025 Enrolled- 593 -LRB104 07069 BAB 17106 b

1during the calendar year in which the new tariff is filed and
2that were not recovered under the tariff that was cancelled as
3provided for in this subsection. Such costs shall include
4those incurred or to be incurred by the utility under its
5multi-year plan approved under subsections (f) and (g) of this
6Section, including, but not limited to, projected capital
7investment costs and projected regulatory asset balances with
8correspondingly updated depreciation and amortization reserves
9and expense. The Commission shall, after notice and hearing,
10approve, or approve with modification, such tariff and cost
11inputs no later than 75 days after the utility filed the
12tariff, provided that such approval, or approval with
13modification, shall be consistent with the provisions of this
14Section to the extent they do not conflict with this
15subsection (k). The tariff approved by the Commission shall
16take effect no later than 5 days after the Commission enters
17its order approving the tariff.
18    No later than 60 days after the effective date of the
19tariff cancelling the utility's automatic adjustment clause
20tariff, the utility shall file a reconciliation that
21reconciles the moneys collected under its automatic adjustment
22clause tariff with the costs incurred during the period
23beginning June 1, 2016 and ending on the date that the electric
24utility's automatic adjustment clause tariff was cancelled. In
25the event the reconciliation reflects an under-collection, the
26utility shall recover the costs as specified in this

 

 

SB0025 Enrolled- 594 -LRB104 07069 BAB 17106 b

1subsection (k). If the reconciliation reflects an
2over-collection, the utility shall apply the amount of such
3over-collection as a one-time credit to retail customers'
4bills.
5    (l) For the calendar years covered by a multi-year plan
6commencing after December 31, 2017, subsections (a) through
7(j) of this Section do not apply to eligible large private
8energy customers that have chosen to opt out of multi-year
9plans consistent with this subsection (1).
10        (1) For purposes of this subsection (l), "eligible
11    large private energy customer" means any retail customers,
12    except for federal, State, municipal, and other public
13    customers, of an electric utility that serves more than
14    3,000,000 retail customers, except for federal, State,
15    municipal and other public customers, in the State and
16    whose total highest 30 minute demand was more than 10,000
17    kilowatts, or any retail customers of an electric utility
18    that serves less than 3,000,000 retail customers but more
19    than 500,000 retail customers in the State and whose total
20    highest 15 minute demand was more than 10,000 kilowatts.
21    For purposes of this subsection (l), "retail customer" has
22    the meaning set forth in Section 16-102 of this Act.
23    However, for a business entity with multiple sites located
24    in the State, where at least one of those sites qualifies
25    as an eligible large private energy customer, then any of
26    that business entity's sites, properly identified on a

 

 

SB0025 Enrolled- 595 -LRB104 07069 BAB 17106 b

1    form for notice, shall be considered eligible large
2    private energy customers for the purposes of this
3    subsection (l). A determination of whether this subsection
4    is applicable to a customer shall be made for each
5    multi-year plan beginning after December 31, 2017. The
6    criteria for determining whether this subsection (l) is
7    applicable to a retail customer shall be based on the 12
8    consecutive billing periods prior to the start of the
9    first year of each such multi-year plan.
10        (2) Within 45 days after September 15, 2021 (the
11    effective date of Public Act 102-662), the Commission
12    shall prescribe the form for notice required for opting
13    out of energy efficiency programs. The notice must be
14    submitted to the retail electric utility 12 months before
15    the next energy efficiency planning cycle. However, within
16    120 days after the Commission's initial issuance of the
17    form for notice, eligible large private energy customers
18    may submit a form for notice to an electric utility. The
19    form for notice for opting out of energy efficiency
20    programs shall include all of the following:
21            (A) a statement indicating that the customer has
22        elected to opt out;
23            (B) the account numbers for the customer accounts
24        to which the opt out shall apply;
25            (C) the mailing address associated with the
26        customer accounts identified under subparagraph (B);

 

 

SB0025 Enrolled- 596 -LRB104 07069 BAB 17106 b

1            (D) an American Society of Heating, Refrigerating,
2        and Air-Conditioning Engineers (ASHRAE) level 2 or
3        higher audit report conducted by an independent
4        third-party expert identifying cost-effective energy
5        efficiency project opportunities that could be
6        invested in over the next 10 years. A retail customer
7        with specialized processes may utilize a self-audit
8        process in lieu of the ASHRAE audit;
9            (E) a description of the customer's plans to
10        reallocate the funds toward internal energy efficiency
11        efforts identified in the subparagraph (D) report,
12        including, but not limited to: (i) strategic energy
13        management or other programs, including descriptions
14        of targeted buildings, equipment and operations; (ii)
15        eligible energy efficiency measures; and (iii)
16        expected energy savings, itemized by technology. If
17        the subparagraph (D) audit report identifies that the
18        customer currently utilizes the best available energy
19        efficient technology, equipment, programs, and
20        operations, the customer may provide a statement that
21        more efficient technology, equipment, programs, and
22        operations are not reasonably available as a means of
23        satisfying this subparagraph (E); and
24            (F) the effective date of the opt out, which will
25        be the next January 1 following notice of the opt out.
26        (3) Upon receipt of a properly and timely noticed

 

 

SB0025 Enrolled- 597 -LRB104 07069 BAB 17106 b

1    request for opt out submitted by an eligible large private
2    energy customer, the retail electric utility shall grant
3    the request, file the request with the Commission and,
4    beginning January 1 of the following year, the opted out
5    customer shall no longer be assessed the costs of the plan
6    and shall be prohibited from participating in that 4-year
7    plan cycle to give the retail utility the certainty to
8    design program plan proposals.
9        (4) Upon a customer's election to opt out under
10    paragraphs (1) and (2) of this subsection (l) and
11    commencing on the effective date of said opt out, the
12    account properly identified in the customer's notice under
13    paragraph (2) shall not be subject to any cost recovery
14    and shall not be eligible to participate in, or directly
15    benefit from, compliance with energy efficiency cumulative
16    persisting savings requirements under subsections (a)
17    through (j).
18        (5) A utility's cumulative persisting annual savings
19    targets will exclude any opted out load.
20        (6) The request to opt out is only valid for the
21    requested plan cycle. An eligible large private energy
22    customer must also request to opt out for future energy
23    plan cycles, otherwise the customer will be included in
24    the future energy plan cycle.
25    (m) Notwithstanding the requirements of this Section, as
26part of a proceeding to approve a multi-year plan under

 

 

SB0025 Enrolled- 598 -LRB104 07069 BAB 17106 b

1subsections (f) and (g) of this Section if the multi-year plan
2has been designed to maximize savings, but does not meet the
3cost cap limitations of this Section, the Commission shall
4reduce the amount of energy efficiency measures implemented
5for any single year, and whose costs are recovered under
6subsection (d) of this Section, by an amount necessary to
7limit the estimated average net increase due to the cost of the
8measures to no more than
9        (1) 3.5% for each of the 4 years beginning January 1,
10    2018,
11        (2) (blank),
12        (3) 4% for each of the 4 years beginning January 1,
13    2022,
14        (3.5) 4.25% for 2026,    
15        (4) 4.25% for electric utilities that serve more than
16    3,000,000 retail customers in the State, and 4.21% for
17    2027, 5.25% for 2028, and 6.06% for 2029 for electric
18    utilities with less than 3,000,000 retail customers but
19    more than 500,000 retail customers in the State, for the 3    
20    4 years beginning January 1, 2027 2026, and
21        (5) the percentage specified in paragraph (4)
22    applicable to 2029 4.25% plus an increase sufficient to
23    account for the rate of inflation between January 1, 2027    
24    2026 and January 1 of the first year of each subsequent
25    4-year plan cycle,
26of the average amount paid per kilowatthour by residential

 

 

SB0025 Enrolled- 599 -LRB104 07069 BAB 17106 b

1eligible retail customers during calendar year 2015 for plans
2in effect through 2026 and during calendar year 2023 for plans
3commencing in 2027 and thereafter. An electric utility may
4plan to spend up to 10% more in any year during an applicable
5multi-year plan period, including any transition period
6authorized under paragraph (2.5) of subsection (f), to
7cost-effectively achieve additional savings so long as the
8average over the applicable multi-year plan period, which
9shall include any transition period, does not exceed the
10percentages defined in items (1) through (5). To determine the
11total amount that may be spent by an electric utility in any
12single year, the applicable percentage of the average amount
13paid per kilowatthour shall be multiplied by the total amount
14of energy delivered by such electric utility in the calendar
15year 2015 for plans in effect through 2026 and during calendar
16year 2023 for plans commencing in 2027 and thereafter,
17adjusted to reflect the proportion of the utility's load
18attributable to customers that have opted out of subsections
19(a) through (j) of this Section under subsection (l) of this
20Section. For purposes of this subsection (m), the amount paid
21per kilowatthour includes, without limitation, estimated
22amounts paid for supply, transmission, distribution,
23surcharges, and add-on taxes. For purposes of this Section,
24"eligible retail customers" shall have the meaning set forth
25in Section 16-111.5 of this Act. Once the Commission has
26approved a plan under subsections (f) and (g) of this Section,

 

 

SB0025 Enrolled- 600 -LRB104 07069 BAB 17106 b

1no subsequent rate impact determinations shall be made.
2    (n) A utility shall take advantage of the efficiencies
3available through existing Illinois Home Weatherization
4Assistance Program infrastructure and services, such as
5enrollment, marketing, quality assurance and implementation,
6which can reduce the need for similar services at a lower cost
7than utility-only programs, subject to capacity constraints at
8community action agencies, for both single-family and
9multifamily weatherization services, to the extent Illinois
10Home Weatherization Assistance Program community action
11agencies provide multifamily services. A utility's plan shall
12demonstrate that in formulating annual weatherization budgets,
13it has sought input and coordination with community action
14agencies regarding agencies' capacity to expand and maximize
15Illinois Home Weatherization Assistance Program delivery using
16the ratepayer dollars collected under this Section.
17(Source: P.A. 102-662, eff. 9-15-21; 103-154, eff. 6-30-23;
18103-613, eff. 7-1-24.)
 
19    (220 ILCS 5/8-104)
20    Sec. 8-104. Natural gas energy efficiency programs.
21    (a) It is the policy of the State that natural gas
22utilities and the Department of Commerce and Economic
23Opportunity are required to use cost-effective energy
24efficiency to reduce direct and indirect costs to consumers.
25It serves the public interest to allow natural gas utilities

 

 

SB0025 Enrolled- 601 -LRB104 07069 BAB 17106 b

1to recover costs for reasonably and prudently incurred
2expenses for cost-effective energy efficiency measures.
3    (b) For purposes of this Section, "energy efficiency"
4means measures that reduce the amount of energy required to
5achieve a given end use. "Energy efficiency" also includes
6measures that reduce the total Btus of electricity and natural
7gas needed to meet the end use or uses. "Cost-effective" means
8that the measures satisfy the total resource cost test which,
9for purposes of this Section, means a standard that is met if,
10for an investment in energy efficiency, the benefit-cost ratio
11is greater than one. The benefit-cost ratio is the ratio of the
12net present value of the total benefits of the measures to the
13net present value of the total costs as calculated over the
14lifetime of the measures. The total resource cost test
15compares the sum of avoided natural gas utility costs,
16representing the benefits that accrue to the system and the
17participant in the delivery of those efficiency measures, as
18well as other quantifiable societal benefits, including
19avoided electric utility costs, to the sum of all incremental
20costs of end use measures (including both utility and
21participant contributions), plus costs to administer, deliver,
22and evaluate each demand-side measure, to quantify the net
23savings obtained by substituting demand-side measures for
24supply resources. In calculating avoided costs, reasonable
25estimates shall be included for financial costs likely to be
26imposed by future regulation of emissions of greenhouse gases.

 

 

SB0025 Enrolled- 602 -LRB104 07069 BAB 17106 b

1The low-income programs described in item (4) of subsection
2(f) of this Section shall not be required to meet the total
3resource cost test.
4    (c) Natural gas utilities shall implement cost-effective
5energy efficiency measures to meet at least the following
6natural gas savings requirements, which shall be based upon
7the total amount of gas delivered to retail customers, other
8than the customers described in subsection (m) of this
9Section, during calendar year 2009 multiplied by the
10applicable percentage. Natural gas utilities may comply with
11this Section by meeting the annual incremental savings goal in
12the applicable year or by showing that total cumulative annual
13savings within a multi-year planning period associated with
14measures implemented after May 31, 2011 were equal to the sum
15of each annual incremental savings requirement from the first
16day of the multi-year planning period through the last day of
17the multi-year planning period:
18        (1) 0.2% by May 31, 2012;
19        (2) an additional 0.4% by May 31, 2013, increasing
20    total savings to .6%;
21        (3) an additional 0.6% by May 31, 2014, increasing
22    total savings to 1.2%;
23        (4) an additional 0.8% by May 31, 2015, increasing
24    total savings to 2.0%;
25        (5) an additional 1% by May 31, 2016, increasing total
26    savings to 3.0%;

 

 

SB0025 Enrolled- 603 -LRB104 07069 BAB 17106 b

1        (6) an additional 1.2% by May 31, 2017, increasing
2    total savings to 4.2%;
3        (7) an additional 1.4% in the year commencing January
4    1, 2018;
5        (8) an additional 1.5% in the year commencing January
6    1, 2019; and
7        (9) an additional 1.5% in each 12-month period
8    thereafter.
9    (d) Notwithstanding the requirements of subsection (c) of
10this Section, a natural gas utility shall limit the amount of
11energy efficiency implemented in any multi-year reporting
12period established by subsection (f) of Section 8-104 of this
13Act, by an amount necessary to limit the estimated average
14increase in the amounts paid by retail customers in connection
15with natural gas service to no more than 2% in the applicable
16multi-year reporting period. The energy savings requirements
17in subsection (c) of this Section may be reduced by the
18Commission for the subject plan, if the utility demonstrates
19by substantial evidence that it is highly unlikely that the
20requirements could be achieved without exceeding the
21applicable spending limits in any multi-year reporting period.
22No later than September 1, 2013, the Commission shall review
23the limitation on the amount of energy efficiency measures
24implemented pursuant to this Section and report to the General
25Assembly, in the report required by subsection (k) of this
26Section, its findings as to whether that limitation unduly

 

 

SB0025 Enrolled- 604 -LRB104 07069 BAB 17106 b

1constrains the procurement of energy efficiency measures.
2    (e) The provisions of this subsection (e) apply to those
3multi-year plans that commence prior to January 1, 2018. The
4utility shall utilize 75% of the available funding associated
5with energy efficiency programs approved by the Commission,
6and may outsource various aspects of program development and
7implementation. The remaining 25% of available funding shall
8be used by the Department of Commerce and Economic Opportunity
9to implement energy efficiency measures that achieve no less
10than 20% of the requirements of subsection (c) of this
11Section. Such measures shall be designed in conjunction with
12the utility and approved by the Commission. The Department may
13outsource development and implementation of energy efficiency
14measures. A minimum of 10% of the entire portfolio of
15cost-effective energy efficiency measures shall be procured
16from local government, municipal corporations, school
17districts, public institutions of higher education, and
18community college districts. Five percent of the entire
19portfolio of cost-effective energy efficiency measures may be
20granted to local government and municipal corporations for
21market transformation initiatives. The Department shall
22coordinate the implementation of these measures and shall
23integrate delivery of natural gas efficiency programs with
24electric efficiency programs delivered pursuant to Section
258-103 of this Act, unless the Department can show that
26integration is not feasible.

 

 

SB0025 Enrolled- 605 -LRB104 07069 BAB 17106 b

1    The apportionment of the dollars to cover the costs to
2implement the Department's share of the portfolio of energy
3efficiency measures shall be made to the Department once the
4Department has executed rebate agreements, grants, or
5contracts for energy efficiency measures and provided
6supporting documentation for those rebate agreements, grants,
7and contracts to the utility. The Department is authorized to
8adopt any rules necessary and prescribe procedures in order to
9ensure compliance by applicants in carrying out the purposes
10of rebate agreements for energy efficiency measures
11implemented by the Department made under this Section.
12    The details of the measures implemented by the Department
13shall be submitted by the Department to the Commission in
14connection with the utility's filing regarding the energy
15efficiency measures that the utility implements.
16    The portfolio of measures, administered by both the
17utilities and the Department, shall, in combination, be
18designed to achieve the annual energy savings requirements set
19forth in subsection (c) of this Section, as modified by
20subsection (d) of this Section.
21    The utility and the Department shall agree upon a
22reasonable portfolio of measures and determine the measurable
23corresponding percentage of the savings goals associated with
24measures implemented by the Department.
25    No utility shall be assessed a penalty under subsection
26(f) of this Section for failure to make a timely filing if that

 

 

SB0025 Enrolled- 606 -LRB104 07069 BAB 17106 b

1failure is the result of a lack of agreement with the
2Department with respect to the allocation of responsibilities
3or related costs or target assignments. In that case, the
4Department and the utility shall file their respective plans
5with the Commission and the Commission shall determine an
6appropriate division of measures and programs that meets the
7requirements of this Section.
8    (e-5) The provisions of this subsection (e-5) shall be
9applicable to those multi-year plans that commence after
10December 31, 2017. Natural gas utilities shall be responsible
11for overseeing the design, development, and filing of their
12efficiency plans with the Commission and may outsource
13development and implementation of energy efficiency measures.
14A minimum of 10% of the entire portfolio of cost-effective
15energy efficiency measures shall be procured from local
16government, municipal corporations, school districts, public
17institutions of higher education, and community college
18districts; unless a utility files a plan or amended plan under
19the provisions of subsection (e-20), in which case the minimum
20spend for measures from such public customers shall be equal
21to at least 30% of non-residential spending. Five percent of
22the entire portfolio of cost-effective energy efficiency
23measures may be granted to local government and municipal
24corporations for market transformation initiatives.
25    Through calendar year 2026, the The utilities shall also
26present a portfolio of energy efficiency measures

 

 

SB0025 Enrolled- 607 -LRB104 07069 BAB 17106 b

1proportionate to the share of total annual utility revenues in
2Illinois from households at or below 150% of the poverty
3level. Such programs shall be targeted to households with
4incomes at or below 80% of area median income.
5    (e-7) Beginning January 1, 2027, the following
6requirements shall be in effect for efficiency programs
7targeted to low-income households. For the purposes of this
8Section, "low-income households" means households with incomes
9at or below 80% of the area median income. Utilities shall
10leverage existing State and federal low-income weatherization
11programs and delivery capacity to the extent practicable.
12Utilities shall also prioritize contracting with
13organizations, government agencies, and businesses with a
14track record of delivering weatherization services in
15low-income communities in this State to deliver any low-income
16programs that are not integrated with State and federal
17low-income weatherization programs.    
18    (e-8) Beginning January 1, 2027, the following
19requirements shall be in effect for efficiency programs
20targeted to low-income households, except for single-fuel gas
21utilities with less than 1,000,000 customers:
22        (1) The portion of the entire budget for efficiency
23    programs that is spent on efficiency programs for
24    low-income households shall be no less than the greater
25    of: (A) 25% or (B) five percentage points more than the
26    proportion of total annual gas sales to non-opt-out retail

 

 

SB0025 Enrolled- 608 -LRB104 07069 BAB 17106 b

1    customers that are consumed by low-income households.
2        (2) The portion of spending on efficiency measures
3    that are targeted to low-income households that is
4    delivered through whole building weatherization programs
5    that comprehensively address building envelope efficiency
6    upgrade opportunities as well as other efficiency measures
7    shall be at least 80%.
8        (3) Utilities shall invest in health and safety
9    measures that are appropriate and necessary for
10    comprehensively weatherizing the single-family and
11    multi-family buildings of low-income households, with up
12    to 15% of income-qualified program spending made available
13    for such purposes.    
14    (e-10) A utility providing approved energy efficiency
15measures in this State shall be permitted to recover costs of
16those measures through an automatic adjustment clause tariff
17filed with and approved by the Commission. The tariff shall be
18established outside the context of a general rate case and
19shall be applicable to the utility's customers other than the
20customers described in subsection (m) of this Section. Each
21year the Commission shall initiate a review to reconcile any
22amounts collected with the actual costs and to determine the
23required adjustment to the annual tariff factor to match
24annual expenditures.
25    (e-15) For those multi-year plans that commence prior to
26January 1, 2018, each utility shall include, in its recovery

 

 

SB0025 Enrolled- 609 -LRB104 07069 BAB 17106 b

1of costs, the costs estimated for both the utility's and the
2Department's implementation of energy efficiency measures.
3Costs collected by the utility for measures implemented by the
4Department shall be submitted to the Department pursuant to
5Section 605-323 of the Civil Administrative Code of Illinois,
6shall be deposited into the Energy Efficiency Portfolio
7Standards Fund, and shall be used by the Department solely for
8the purpose of implementing these measures. A utility shall
9not be required to advance any moneys to the Department but
10only to forward such funds as it has collected. The Department
11shall report to the Commission on an annual basis regarding
12the costs actually incurred by the Department in the
13implementation of the measures. Any changes to the costs of
14energy efficiency measures as a result of plan modifications
15shall be appropriately reflected in amounts recovered by the
16utility and turned over to the Department.
17    (e-20) The provisions of this Section shall be applicable
18to multi-year plans that commence after the effective date of
19this amendatory Act of the 104th General Assembly and are
20submitted by single fuel service utilities on or before the
21effective date of this amendatory Act of the 104th General
22Assembly. A natural gas utility may propose, as part of its
23submission of a multi-year plan, to increase the amount of
24energy efficiency implemented in any multi-year planning
25period above the level that can be achieved under the spending
26cap set forth in subsection (d) of this Section. The first plan

 

 

SB0025 Enrolled- 610 -LRB104 07069 BAB 17106 b

1to increase energy efficiency may be submitted as an amendment
2to the utility's plan for calendar years 2027 through 2029,
3but any amended plans must be filed with the Commission by
4March 1, 2026 or the effective date of this amendatory Act of
5the 104th General Assembly, whichever is later. In addition to
6the policy goals established in subsection (f), the Commission
7shall consider, in determining the appropriateness of a
8proposal, whether the multi-year plan at a minimum:    
9        (1) identifies a cost-effective portfolio of measures
10    and specifies the natural gas savings that are reasonably
11    likely to be achieved by the utility;
12        (2) demonstrates that the plan or modified plan, at a
13    minimum, will result in a portfolio of energy efficiency
14    measures that will provide more natural gas savings than
15    would have been achieved in a plan subject to subsection
16    (c);
17        (3) demonstrates that the plan reflects efforts to
18    coordinate delivery of electric utility efficiency
19    programs where such coordination can reduce costs,
20    increase effectiveness of outreach to customers, and
21    increase savings. A gas utility may count electricity
22    savings toward its gas efficiency savings goals subject to
23    the following limitations:
24            (A) only electricity savings produced as a result
25        of the installation of a gas efficiency measure, such
26        as reductions in electricity consumption by gas

 

 

SB0025 Enrolled- 611 -LRB104 07069 BAB 17106 b

1        furnace fans and electric air conditioners that
2        results from the installation of insulation measures
3        that reduce gas used for space heating, may be
4        counted;
5            (B) such electricity savings may only be counted
6        when they are generated in service territories not
7        served by electric utilities subject to Section
8        8-103B;
9            (C) no more than 5% of the total savings claimed
10        toward a gas utility's savings goal may be from such
11        electricity savings. For the purposes of this Section,
12        a kilowatt-hour of savings is equal to 0.03412 gas
13        therms;
14        (4) demonstrates whether an increase in funding is
15    necessary to meet the proposed increase in the amount of
16    energy efficiency;
17        (5) prioritizes income-qualified measures and
18    weatherization measures; and
19        (6) demonstrates that the multi-year plan strikes a
20    reasonable balance between the goals of the following:
21            (A) increasing cost-effective efficiency savings
22        and related greenhouse gas emission reductions;
23            (B) reducing overall gas system costs, recognizing
24        that efficiency investments reduce usage and, in turn,
25        the potential need for system investments over the
26        long-term;

 

 

SB0025 Enrolled- 612 -LRB104 07069 BAB 17106 b

1            (C) increasing energy affordability, especially
2        for low-income customers;
3            (D) within the residential sector, prioritizing
4        investment in weatherization and other measures that
5        reduce heating loads over gas equipment measures; and
6            (E) providing a diverse cross-section of
7        opportunities for customers of all rate classes to
8        participate in efficiency programs.
9    For single-fuel gas utilities with less than 1,000,000
10customers, the following requirements shall be in effect for
11efficiency programs targeted to low-income households:
12        (1) For gas utilities with greater than 300,000
13    customers, the portion of the entire budget for efficiency
14    programs that is spent on efficiency programs for
15    low-income households shall be no less than the greater of
16    (A) 25% or (B) five percentage points more than the
17    proportion of total annual gas sales to non-opt-out retail
18    customers that are consumed by low-income households. For
19    gas utilities with 300,000 or fewer customers, the portion
20    of the entire budget for efficiency programs that is spent
21    on efficiency programs for low-income households shall be
22    no less than the greater of (A) 15% or (B) five percentage
23    points more than the proportion of total annual gas sales
24    to non-opt-out retail customers that are consumed by
25    low-income households.
26        (2) The portion of spending on efficiency measures

 

 

SB0025 Enrolled- 613 -LRB104 07069 BAB 17106 b

1    targeted to low-income households that shall be delivered
2    through whole building weatherization programs that
3    comprehensively address building envelope efficiency
4    upgrade opportunities as well as other efficiency measures
5    shall be at least 80%.
6        (3) Utilities shall invest in health and safety
7    measures appropriate and necessary for comprehensively
8    weatherizing the single-family and multi-family buildings
9    of low-income households, with up to 15% of
10    income-qualified program spending made available for such
11    purposes.
12    As part of its order approving the plan or modified plan,
13the Commission is authorized to:
14        (1) adjust the limitation on the amount of energy
15    efficiency measures implemented pursuant to subsection (d)
16    to the extent necessary to meet the increase in the amount
17    of energy efficiency approved by the Commission pursuant
18    to this subsection (e-20);
19        (2) adjust the public sector spending requirements
20    pursuant to subsection (e-5);    
21        (3) adopt an incentive mechanism for the utility to
22    meet or exceed the goals associated with its proposed
23    multi-year plan if the utility meets or exceeds the
24    following minimum requirements:
25            (A) the utility proposes a plan budget over the
26        applicable multi-year period that is equal to or

 

 

SB0025 Enrolled- 614 -LRB104 07069 BAB 17106 b

1        greater than 5% of the amounts paid by non-opt-out
2        retail customers in connection with natural gas
3        service in the applicable multi-year period;
4            (B) for efficiency program years 2027 through
5        2029, the utility achieves average incremental annual
6        savings of at least 0.7% of total average annual gas
7        sales to non-opt-out retail customers over the years
8        2023 through 2025. For multi-year efficiency program
9        plans beginning after 2029, achieving average
10        incremental annual savings of at least 0.8% of total
11        average annual gas sales to non-opt-out retail
12        customers during the 3-year period ending 2 years
13        prior to the first year of the plan. In all multi-year
14        periods, the minimum incremental annual savings
15        requirement shall be reduced by 0.01 percentage points
16        for every 1 percentage point increase in low-income or
17        moderate-income spending above the minimum levels
18        required by subsection (e-5). In no event shall the
19        minimum incremental annual savings requirement be
20        reduced by more than 0.10 percentage points even if
21        low-income or moderate-income spending is increased by
22        more than 10 percentage points above the minimum
23        levels required by subsection (e-5). The Commission
24        may reduce the magnitude of the minimum savings
25        requirements under this subparagraph (B) if the
26        utility can demonstrate that it is not possible to

 

 

SB0025 Enrolled- 615 -LRB104 07069 BAB 17106 b

1        achieve them with a budget equal to 5% of revenues from
2        eligible customers while meeting other minimum
3        requirements. If a utility attempts to demonstrate
4        that it cannot meet the minimum savings requirements
5        in this paragraph with a budget equal to 5% of revenues
6        from eligible customers, and the Commission finds that
7        the utility has not made a sufficiently compelling
8        demonstration, the utility may withdraw its plan and
9        file a revised plan;
10            (C) the utility achieves an average savings life
11        of at least 12 years. Average savings lives may be
12        shorter than the average operational lives of measures
13        if the measures do not produce savings in every year in
14        which they operate or if the savings that measures
15        produce decline during their operational lives; and
16            (D) the utility spends at least 67% of all
17        financial incentive dollars on efficiency measures
18        that (1) reduce the space heating loads of buildings
19        through improvements such as to building envelopes,
20        ventilation systems, space heating distribution
21        systems, and space heating system controls; (2) reduce
22        the water heating loads of buildings such as through
23        insulation of hot water pipes, recovery and reuse of
24        heat from waste water and reductions in the amount of
25        hot water required to meet customer needs; or (3)
26        reduce the process heat loads of industrial

 

 

SB0025 Enrolled- 616 -LRB104 07069 BAB 17106 b

1        facilities. Any spending on health and safety measures
2        shall count toward this requirement. No financial
3        incentive spending on furnaces, boilers, water
4        heaters, and other gas-consuming equipment may be
5        counted toward this requirement; and
6        (4) for modified plans, require a compliance filing
7    from the utility to adjust budgets and natural gas savings
8    targets, if necessary, to reflect the final level of
9    customers opting out under subsection (m-1).
10    For the purposes of this subsection (e-20):
11    "Average savings life" means (i) the savings that will be
12realized as a result of a utility's efficiency programs over
13the lives of all efficiency measures divided by (ii) the
14savings that will be produced in the first year after such
15measures are installed.    
16    "Moderate-income" means income between 80% of area median
17income and 300% of the federal poverty limit.    
18    (f) No later than October 1, 2010, each gas utility shall
19file an energy efficiency plan with the Commission to meet the
20energy efficiency standards through May 31, 2014. No later
21than October 1, 2013, each gas utility shall file an energy
22efficiency plan with the Commission to meet the energy
23efficiency standards through May 31, 2017. Beginning in 2017
24and every 4 years thereafter, each utility shall file an
25energy efficiency plan with the Commission to meet the energy
26efficiency standards for the next applicable 4-year period

 

 

SB0025 Enrolled- 617 -LRB104 07069 BAB 17106 b

1beginning January 1 of the year following the filing. For
2those multi-year plans commencing on January 1, 2018, each
3utility shall file its proposed energy efficiency plan no
4later than 30 days after the effective date of this amendatory
5Act of the 99th General Assembly or May 1, 2017, whichever is
6later. Beginning in 2021 and every 4 years thereafter, each
7utility shall file its energy efficiency plan no later than
8March 1. If a utility does not file such a plan on or before
9the applicable filing deadline for the plan, then it shall
10face a penalty of $100,000 per day until the plan is filed.
11    Each utility's plan shall set forth the utility's
12proposals to meet the utility's portion of the energy
13efficiency standards identified in subsection (c) of this
14Section, as modified by subsection (d) of this Section, taking
15into account the unique circumstances of the utility's service
16territory. For those plans commencing after December 31, 2021,
17the Commission shall seek public comment on the utility's plan
18and shall issue an order approving or disapproving each plan
19within 6 months after its submission. For those plans
20commencing on January 1, 2018, the Commission shall seek
21public comment on the utility's plan and shall issue an order
22approving or disapproving each plan no later than August 31,
232017, or 105 days after the effective date of this amendatory
24Act of the 99th General Assembly, whichever is later. If the
25Commission disapproves a plan, the Commission shall, within 30
26days, describe in detail the reasons for the disapproval and

 

 

SB0025 Enrolled- 618 -LRB104 07069 BAB 17106 b

1describe a path by which the utility may file a revised draft
2of the plan to address the Commission's concerns
3satisfactorily. If the utility does not refile with the
4Commission within 60 days after the disapproval, the utility
5shall be subject to penalties at a rate of $100,000 per day
6until the plan is filed. This process shall continue, and
7penalties shall accrue, until the utility has successfully
8filed a portfolio of energy efficiency measures. Penalties
9shall be deposited into the Energy Efficiency Trust Fund and
10the cost of any such penalties may not be recovered from
11ratepayers. In submitting proposed energy efficiency plans and
12funding levels to meet the savings goals adopted by this Act
13the utility shall:
14        (1) Demonstrate that its proposed energy efficiency
15    measures will achieve the requirements that are identified
16    in subsection (c) of this Section, as modified by
17    subsection (d) of this Section.
18        (2) Present specific proposals to implement new
19    building and appliance standards that have been placed
20    into effect.
21        (3) Present estimates of the total amount paid for gas
22    service expressed on a per therm basis associated with the
23    proposed portfolio of measures designed to meet the
24    requirements that are identified in subsection (c) of this
25    Section, as modified by subsection (d) of this Section.
26        (4) For those multi-year plans that commence prior to

 

 

SB0025 Enrolled- 619 -LRB104 07069 BAB 17106 b

1    January 1, 2018, coordinate with the Department to present
2    a portfolio of energy efficiency measures proportionate to
3    the share of total annual utility revenues in Illinois
4    from households at or below 150% of the poverty level.
5    Such programs shall be targeted to households with incomes
6    at or below 80% of area median income.
7        (5) Demonstrate that its overall portfolio of energy
8    efficiency measures, not including low-income programs
9    described in item (4) of this subsection (f) and
10    subsection (e-5) of this Section, are cost-effective using
11    the total resource cost test and represent a diverse cross
12    section of opportunities for customers of all rate classes
13    to participate in the programs.
14        (6) Demonstrate that a gas utility affiliated with an
15    electric utility that is required to comply with Section
16    8-103 or 8-103B of this Act has integrated gas and
17    electric efficiency measures into a single program that
18    reduces program or participant costs and appropriately
19    allocates costs to gas and electric ratepayers. For those
20    multi-year plans that commence prior to January 1, 2018,
21    the Department shall integrate all gas and electric
22    programs it delivers in any such utilities' service
23    territories, unless the Department can show that
24    integration is not feasible or appropriate.
25        (7) Include a proposed cost recovery tariff mechanism
26    to fund the proposed energy efficiency measures and to

 

 

SB0025 Enrolled- 620 -LRB104 07069 BAB 17106 b

1    ensure the recovery of the prudently and reasonably
2    incurred costs of Commission-approved programs.
3        (8) Provide for quarterly status reports tracking
4    implementation of and expenditures for the utility's
5    portfolio of measures and, if applicable, the Department's
6    portfolio of measures, an annual independent review, and a
7    full independent evaluation of the multi-year results of
8    the performance and the cost-effectiveness of the
9    utility's and, if applicable, Department's portfolios of
10    measures and broader net program impacts and, to the
11    extent practical, for adjustment of the measures on a
12    going forward basis as a result of the evaluations. The
13    resources dedicated to evaluation shall not exceed 3% of
14    portfolio resources in any given multi-year period.
15    (g) No more than 3% of expenditures on energy efficiency
16measures may be allocated for demonstration of breakthrough
17equipment and devices.
18    (h) Illinois natural gas utilities that are affiliated by
19virtue of a common parent company may, at the utilities'
20request, be considered a single natural gas utility for
21purposes of complying with this Section.
22    (i) If, after 3 years, a gas utility fails to meet the
23efficiency standard specified in subsection (c) of this
24Section as modified by subsection (d), then it shall make a
25contribution to the Low-Income Home Energy Assistance Program.
26The total liability for failure to meet the goal shall be

 

 

SB0025 Enrolled- 621 -LRB104 07069 BAB 17106 b

1assessed as follows:
2        (1) a large gas utility shall pay $600,000;
3        (2) a medium gas utility shall pay $400,000; and
4        (3) a small gas utility shall pay $200,000.
5    For purposes of this Section, (i) a "large gas utility" is
6a gas utility that on December 31, 2008, served more than
71,500,000 gas customers in Illinois; (ii) a "medium gas
8utility" is a gas utility that on December 31, 2008, served
9fewer than 1,500,000, but more than 500,000 gas customers in
10Illinois; and (iii) a "small gas utility" is a gas utility that
11on December 31, 2008, served fewer than 500,000 and more than
12100,000 gas customers in Illinois. The costs of this
13contribution may not be recovered from ratepayers.
14    If a gas utility fails to meet the efficiency standard
15specified in subsection (c) of this Section, as modified by
16subsection (d) of this Section, in any 2 consecutive
17multi-year planning periods, then the responsibility for
18implementing the utility's energy efficiency measures shall be
19transferred to an independent program administrator selected
20by the Commission. Reasonable and prudent costs incurred by
21the independent program administrator to meet the efficiency
22standard specified in subsection (c) of this Section, as
23modified by subsection (d) of this Section, may be recovered
24from the customers of the affected gas utilities, other than
25customers described in subsection (m) of this Section. The
26utility shall provide the independent program administrator

 

 

SB0025 Enrolled- 622 -LRB104 07069 BAB 17106 b

1with all information and assistance necessary to perform the
2program administrator's duties including but not limited to
3customer, account, and energy usage data, and shall allow the
4program administrator to include inserts in customer bills.
5The utility may recover reasonable costs associated with any
6such assistance.
7    (j) No utility shall be deemed to have failed to meet the
8energy efficiency standards to the extent any such failure is
9due to a failure of the Department.
10    (k) Not later than January 1, 2012, the Commission shall
11develop and solicit public comment on a plan to foster
12statewide coordination and consistency between statutorily
13mandated natural gas and electric energy efficiency programs
14to reduce program or participant costs or to improve program
15performance. Not later than September 1, 2013, the Commission
16shall issue a report to the General Assembly containing its
17findings and recommendations.
18    (l) This Section does not apply to a gas utility that on
19January 1, 2009, provided gas service to fewer than 100,000
20customers in Illinois.
21    (m) Subsections (a) through (k) of this Section do not
22apply to customers of a natural gas utility that have a North
23American Industry Classification System code number that is
2422111 or any such code number beginning with the digits 31, 32,
25or 33 and (i) annual usage in the aggregate of 4 million therms
26or more within the service territory of the affected gas

 

 

SB0025 Enrolled- 623 -LRB104 07069 BAB 17106 b

1utility or with aggregate usage of 8 million therms or more in
2this State and complying with the provisions of item (l) of
3this subsection (m); or (ii) using natural gas as feedstock
4and meeting the usage requirements described in item (i) of
5this subsection (m), to the extent such annual feedstock usage
6is greater than 60% of the customer's total annual usage of
7natural gas.
8        (1) Customers described in this subsection (m) of this
9    Section shall apply, on a form approved on or before
10    October 1, 2009 by the Department, to the Department to be
11    designated as a self-directing customer ("SDC") or as an
12    exempt customer using natural gas as a feedstock from
13    which other products are made, including, but not limited
14    to, feedstock for a hydrogen plant, on or before the 1st
15    day of February, 2010. Thereafter, application may be made
16    not less than 6 months before the filing date of the gas
17    utility energy efficiency plan described in subsection (f)
18    of this Section; however, a new customer that commences
19    taking service from a natural gas utility after February
20    1, 2010 may apply to become a SDC or exempt customer up to
21    30 days after beginning service. Customers described in
22    this subsection (m) that have not already been approved by
23    the Department may apply to be designated a self-directing
24    customer or exempt customer, on a form approved by the
25    Department, between September 1, 2013 and September 30,
26    2013. Customer applications that are approved by the

 

 

SB0025 Enrolled- 624 -LRB104 07069 BAB 17106 b

1    Department under this amendatory Act of the 98th General
2    Assembly shall be considered to be a self-directing
3    customer or exempt customer, as applicable, for the
4    current 3-year planning period effective December 1, 2013.
5    Such application shall contain the following:
6            (A) the customer's certification that, at the time
7        of its application, it qualifies to be a SDC or exempt
8        customer described in this subsection (m) of this
9        Section;
10            (B) in the case of a SDC, the customer's
11        certification that it has established or will
12        establish by the beginning of the utility's multi-year
13        planning period commencing subsequent to the
14        application, and will maintain for accounting
15        purposes, an energy efficiency reserve account and
16        that the customer will accrue funds in said account to
17        be held for the purpose of funding, in whole or in
18        part, energy efficiency measures of the customer's
19        choosing, which may include, but are not limited to,
20        projects involving combined heat and power systems
21        that use the same energy source both for the
22        generation of electrical or mechanical power and the
23        production of steam or another form of useful thermal
24        energy or the use of combustible gas produced from
25        biomass, or both;
26            (C) in the case of a SDC, the customer's

 

 

SB0025 Enrolled- 625 -LRB104 07069 BAB 17106 b

1        certification that annual funding levels for the
2        energy efficiency reserve account will be equal to 2%
3        of the customer's cost of natural gas, composed of the
4        customer's commodity cost and the delivery service
5        charges paid to the gas utility, or $150,000,
6        whichever is less;
7            (D) in the case of a SDC, the customer's
8        certification that the required reserve account
9        balance will be capped at 3 years' worth of accruals
10        and that the customer may, at its option, make further
11        deposits to the account to the extent such deposit
12        would increase the reserve account balance above the
13        designated cap level;
14            (E) in the case of a SDC, the customer's
15        certification that by October 1 of each year,
16        beginning no sooner than October 1, 2012, the customer
17        will report to the Department information, for the
18        12-month period ending May 31 of the same year, on all
19        deposits and reductions, if any, to the reserve
20        account during the reporting year, and to the extent
21        deposits to the reserve account in any year are in an
22        amount less than $150,000, the basis for such reduced
23        deposits; reserve account balances by month; a
24        description of energy efficiency measures undertaken
25        by the customer and paid for in whole or in part with
26        funds from the reserve account; an estimate of the

 

 

SB0025 Enrolled- 626 -LRB104 07069 BAB 17106 b

1        energy saved, or to be saved, by the measure; and that
2        the report shall include a verification by an officer
3        or plant manager of the customer or by a registered
4        professional engineer or certified energy efficiency
5        trade professional that the funds withdrawn from the
6        reserve account were used for the energy efficiency
7        measures;
8            (F) in the case of an exempt customer, the
9        customer's certification of the level of gas usage as
10        feedstock in the customer's operation in a typical
11        year and that it will provide information establishing
12        this level, upon request of the Department;
13            (G) in the case of either an exempt customer or a
14        SDC, the customer's certification that it has provided
15        the gas utility or utilities serving the customer with
16        a copy of the application as filed with the
17        Department;
18            (H) in the case of either an exempt customer or a
19        SDC, certification of the natural gas utility or
20        utilities serving the customer in Illinois including
21        the natural gas utility accounts that are the subject
22        of the application; and
23            (I) in the case of either an exempt customer or a
24        SDC, a verification signed by a plant manager or an
25        authorized corporate officer attesting to the
26        truthfulness and accuracy of the information contained

 

 

SB0025 Enrolled- 627 -LRB104 07069 BAB 17106 b

1        in the application.
2        (2) The Department shall review the application to
3    determine that it contains the information described in
4    provisions (A) through (I) of item (1) of this subsection
5    (m), as applicable. The review shall be completed within
6    30 days after the date the application is filed with the
7    Department. Absent a determination by the Department
8    within the 30-day period, the applicant shall be
9    considered to be a SDC or exempt customer, as applicable,
10    for all subsequent multi-year planning periods, as of the
11    date of filing the application described in this
12    subsection (m). If the Department determines that the
13    application does not contain the applicable information
14    described in provisions (A) through (I) of item (1) of
15    this subsection (m), it shall notify the customer, in
16    writing, of its determination that the application does
17    not contain the required information and identify the
18    information that is missing, and the customer shall
19    provide the missing information within 15 working days
20    after the date of receipt of the Department's
21    notification.
22        (3) The Department shall have the right to audit the
23    information provided in the customer's application and
24    annual reports to ensure continued compliance with the
25    requirements of this subsection. Based on the audit, if
26    the Department determines the customer is no longer in

 

 

SB0025 Enrolled- 628 -LRB104 07069 BAB 17106 b

1    compliance with the requirements of items (A) through (I)
2    of item (1) of this subsection (m), as applicable, the
3    Department shall notify the customer in writing of the
4    noncompliance. The customer shall have 30 days to
5    establish its compliance, and failing to do so, may have
6    its status as a SDC or exempt customer revoked by the
7    Department. The Department shall treat all information
8    provided by any customer seeking SDC status or exemption
9    from the provisions of this Section as strictly
10    confidential.
11        (4) Upon request, or on its own motion, the Commission
12    may open an investigation, no more than once every 3 years
13    and not before October 1, 2014, to evaluate the
14    effectiveness of the self-directing program described in
15    this subsection (m).
16    Customers described in this subsection (m) that applied to
17the Department on January 3, 2013, were approved by the
18Department on February 13, 2013 to be a self-directing
19customer or exempt customer, and receive natural gas from a
20utility that provides gas service to at least 500,000 retail
21customers in Illinois and electric service to at least
221,000,000 retail customers in Illinois shall be considered to
23be a self-directing customer or exempt customer, as
24applicable, for the current 3-year planning period effective
25December 1, 2013.
26    (m-1) For utilities that file an amended plan for the

 

 

SB0025 Enrolled- 629 -LRB104 07069 BAB 17106 b

1period covering calendar years 2027 through 2029, and for all
2utilities for all calendar years covered by a multi-year plan
3commencing on or after January 1, 2030, subsections (a)
4through (k) of this Section do not apply to eligible customers
5of a natural gas utility that have chosen to opt out of
6multi-year plans.
7        (1) For purposes of this subsection (m-1), "eligible
8    customer" means any retail customer of a natural gas
9    utility, except for federal, State, municipal and other
10    public customers, with a North American Industry
11    Classification System code number that is 22111 or any
12    such code number beginning with the digits 31, 32, or 33
13    and (i) annual usage in the aggregate of 4,000,000 therms
14    or more within the service territory of the affected gas
15    utility or with aggregate usage of 8,000,000 therms or
16    more in this State; or (ii) using natural gas as feedstock
17    and meeting the usage requirements described in item (i)
18    of this paragraph (1), to the extent such annual feedstock
19    usage is greater than 60% of the customer's total annual
20    usage of natural gas. A determination of whether this
21    subsection is applicable to a customer shall be made for
22    each multi-year plan beginning after January 1, 2026. The
23    criteria for determining whether this subsection is
24    applicable shall be the 12 consecutive billing periods
25    prior to the start of the first year of each such
26    multi-year plan.

 

 

SB0025 Enrolled- 630 -LRB104 07069 BAB 17106 b

1        (2) Within 45 days after the effective date of this
2    amendatory Act of the 104th General Assembly, the
3    Commission shall prescribe the form for notice required
4    for opting out of energy efficiency programs. Within 120
5    days after the Commission's initial issuance of the form
6    for notice, customers described in paragraph (1) of this
7    subsection (m-1) may submit completed forms to the natural
8    gas utility. Thereafter, forms must be submitted to the
9    natural gas utility not less than 6 months before the
10    filing date of the gas utility energy efficiency plan
11    described in subsection (f) of this Section; however, a
12    new customer that commences taking service from a natural
13    gas utility after January 1, 2026 may submit a form up to
14    30 days after beginning service. The form for notice for
15    opting out of natural gas energy efficiency programs shall
16    contain the following:
17            (A) a statement indicating that the customer has
18        elected to opt-out;
19            (B) the account numbers for the customer accounts
20        to which the opt out shall apply;
21            (C) the mailing address associated with each
22        customer account identified under subparagraph (B);
23            (D) the customer's certification that, at the time
24        its form was submitted, it qualifies as an eligible
25        customer, as described in paragraph (1) of this
26        subsection (m-1);

 

 

SB0025 Enrolled- 631 -LRB104 07069 BAB 17106 b

1            (E) an American Society of Heating, Refrigerating,
2        and Air Conditioning Engineers (ASHRAE) level 2 or
3        higher audit report conducted by an independent
4        third-party expert identifying cost-effective energy
5        efficiency project opportunities that could be
6        invested in over the next 10 years. A customer with a
7        specialized process may use a self-audit process in
8        lieu of an ASHRAE audit;
9            (F) a description of the customer's plans to
10        reallocate funds toward internal energy efficiency
11        efforts identified in the subparagraph (E) report,
12        including, but not limited to: (i) strategic energy
13        management or other programs, including descriptions
14        of targeted buildings, equipment and operations; (ii)
15        eligible energy efficiency measures; and (iii)
16        expected energy savings, itemized by technology. If
17        the subparagraph (E) audit report identifies that the
18        customer currently utilizes the best available energy
19        efficient technology, equipment, programs, and
20        operations, the customer may provide a statement that
21        more efficient technology, equipment, programs, and
22        operations are not reasonably available as a means of
23        satisfying this subparagraph (F); and
24            (G) a verification signed by a plant manager or an
25        authorized corporate officer attesting to the
26        truthfulness and accuracy of the information contained

 

 

SB0025 Enrolled- 632 -LRB104 07069 BAB 17106 b

1        in the application.
2        (3) Upon receipt of a properly and timely noticed
3    request for opt out submitted by an eligible large private
4    energy customer, the natural gas utility shall grant the
5    request and file the request with the Commission, and,
6    beginning January 1 of the first year of the next
7    multi-year energy efficiency plan cycle, the opted out
8    customer shall no longer be assessed the costs of the plan
9    and shall be prohibited from participating in that
10    multi-year plan cycle to give the natural gas utility the
11    certainty to design program plan proposals.
12        (4) The request to opt out is only valid for the
13    requested plan cycle. An eligible large private energy
14    customer must also request to opt out for future energy
15    efficiency plan cycles, otherwise the customer will be
16    included in the future energy efficiency plan cycle.    
17    (n) The applicability of this Section to customers
18described in subsection (m) of this Section is conditioned on
19the existence of the SDC program. In no event will any
20provision of this Section apply to such customers after
21January 1, 2020.
22    (o) Utilities' 3-year energy efficiency plans approved by
23the Commission on or before the effective date of this
24amendatory Act of the 99th General Assembly for the period
25June 1, 2014 through May 31, 2017 shall continue to be in force
26and effect through December 31, 2017 so that the energy

 

 

SB0025 Enrolled- 633 -LRB104 07069 BAB 17106 b

1efficiency programs set forth in those plans continue to be
2offered during the period June 1, 2017 through December 31,
32017. Each utility is authorized to increase, on a pro rata
4basis, the energy savings goals and budgets approved in its
5plan to reflect the additional 7 months of the plan's
6operation.
7(Source: P.A. 103-613, eff. 7-1-24.)
 
8    (220 ILCS 5/8-512)
9    Sec. 8-512. Renewable energy access plan.
10    (a) It is the policy of this State to promote
11cost-effective transmission system development that ensures
12reliability of the electric transmission system, lowers carbon
13emissions, minimizes long-term costs for consumers, and
14supports the electric policy goals of this State. The General
15Assembly finds that:
16        (1) Transmission planning, primarily for reliability
17    purposes, but also for economic and public policy reasons
18    is conducted by regional transmission organizations in
19    which transmission-owning Illinois utilities and other
20    stakeholders are members.
21        (2) Order No. 1000 of the Federal Energy Regulatory
22    Commission requires regional transmission organizations to
23    plan for transmission system needs in light of State
24    public policies and to accept input from states during the
25    transmission system planning processes.

 

 

SB0025 Enrolled- 634 -LRB104 07069 BAB 17106 b

1        (3) The State of Illinois does not currently have a
2    comprehensive power and environmental policy planning
3    process to identify transmission infrastructure needs that
4    can serve as a vital input into the regional and
5    interregional transmission organization planning
6    processes conducted under Order No. 1000 and other laws
7    and regulations.
8        (4) This State is an electricity generation and power
9    transmission hub, and can leverage that position to invest
10    in infrastructure that enables new and existing Illinois
11    generators to meet the public policy goals of the State of
12    Illinois and of interconnected states while
13    cost-effectively supporting tens of thousands of jobs in
14    the renewable energy sector in this State.
15        (5) The nation has a need to readily access this
16    State's low-cost, clean electric power, and this State
17    also desires access to clean energy resources in other
18    states to develop and support its low-carbon economy and
19    keep electricity prices low in Illinois and interconnected
20    States.
21        (6) Existing transmission infrastructure may constrain
22    the State's achievement of 100% renewable energy by 2050,
23    the accelerated adoption of electric vehicles in a just
24    and equitable way, and electrification of additional
25    sectors of the Illinois economy.
26        (7) Transmission system congestion within this State

 

 

SB0025 Enrolled- 635 -LRB104 07069 BAB 17106 b

1    and the regional transmission organizations serving this
2    State limits the ability of this State's existing and new
3    electric generation facilities that do not emit carbon
4    dioxide, including renewable energy resources and zero
5    emission facilities, to serve the public policy goals of
6    this State and other states, which constrains investment
7    in this State.
8        (8) Investment in infrastructure to support existing
9    and new electric generation facilities that do not emit
10    carbon dioxide, including renewable energy resources and
11    zero emission facilities, stimulates significant economic
12    development and job growth in this State, as well as
13    creates environmental and public health benefits in this
14    State.
15        (9) Creating a forward-looking plan for this State's
16    electric transmission infrastructure, as opposed to
17    relying on case-by-case development and repeated marginal
18    upgrades, will achieve a lower-cost system for Illinois'
19    electricity customers. A forward-looking plan can also
20    help integrate and achieve a comprehensive set of
21    objectives and multiple state, regional, and national
22    policy goals.
23        (10) Alternatives to overhead electric transmission
24    lines can achieve cost-effective resolution of system
25    impacts and warrant investigation of the circumstances
26    under which those alternatives should be considered and

 

 

SB0025 Enrolled- 636 -LRB104 07069 BAB 17106 b

1    approved. The alternatives are likely to be beneficial as
2    investment in electric transmission infrastructure moves
3    forward.
4        (11) Because transmission planning is conducted
5    primarily by the regional transmission organizations, the
6    Commission should be advocating for the State's interests
7    at the regional transmission organizations to ensure that
8    such planning facilitates the State's policies and goals,
9    including overall consumer savings, power system
10    reliability, economic development, environmental
11    improvement, and carbon reduction.
12        (12) Advanced transmission technologies have an
13    important role to play in meeting the State's clean energy
14    goals. For the purposes of this Section, "advanced
15    transmission technology" is hardware or software that
16    provides cost-effective increases to the capacity,
17    efficiency, or reliability of existing transmission
18    infrastructure, and includes, but is not limited to: (i)
19    technology that dynamically adjusts the rated capacity of
20    transmission lines based on real-time conditions; (ii)
21    advanced power flow controls used to actively control the
22    flow of electricity across transmission lines to optimize
23    usage or relieve congestion; (iii) software or hardware
24    used to identify optimal transmission grid configurations
25    or enable routing power flows around congestion points;
26    and (iv) advanced transmission line conductors that have a

 

 

SB0025 Enrolled- 637 -LRB104 07069 BAB 17106 b

1    direct current electrical resistance at least 10% lower
2    than existing conductors of a similar diameter on the
3    transmission system.    
4    (b) Consistent with the findings identified in subsection
5(a), the Commission shall open an investigation to develop and
6adopt an initial a renewable energy access plan no later than
7December 31, 2022. To assist and support the Commission in the
8development of the plan, the Commission shall retain the
9services of technical and policy experts with relevant fields
10of expertise, solicit technical and policy analysis from the
11public, and provide for a 120-day open public comment period
12after publication of a draft report, which shall be published
13no later than 90 days after the comment period ends. The plan
14shall, at a minimum, do the following:
15        (1) designate renewable energy access plan zones
16    throughout this State in areas in which renewable energy
17    resources and suitable land areas are sufficient for
18    developing generating capacity from renewable energy
19    technologies;
20        (2) develop a plan to achieve transmission capacity
21    necessary to deliver the electric output from renewable
22    energy technologies in the renewable energy access plan
23    zones to customers in Illinois and other states in a
24    manner that is most beneficial and cost-effective to
25    customers;
26        (3) use this State's position as an electricity

 

 

SB0025 Enrolled- 638 -LRB104 07069 BAB 17106 b

1    generation and power transmission hub to create new
2    investment in this State's renewable energy resources;
3        (4) consider programs, policies, and electric
4    transmission projects that can be adopted within this
5    State that promote the cost-effective delivery of power
6    from renewable energy resources interconnected to the bulk
7    electric system to meet the renewable portfolio standard
8    targets under subsection (c) of Section 1-75 of the
9    Illinois Power Agency Act;
10        (5) consider proposals to improve regional
11    transmission organizations' regional and interregional
12    system planning processes, especially proposals that
13    reduce costs and emissions, create jobs, and increase
14    State and regional power system reliability to prevent
15    high-cost outages that can endanger lives, and analyze of
16    how those proposals would improve reliability and
17    cost-effective delivery of electricity in Illinois and the
18    region;
19        (6) make findings and policy recommendations based on
20    technical and policy analysis regarding locations of
21    renewable energy access plan zones and the transmission
22    system developments needed to cost-effectively achieve the
23    public policy goals identified herein;
24        (6.5) make findings and policy recommendations based
25    on analysis regarding the impact of converting non-powered
26    dams to hydropower dams relative to the alternative

 

 

SB0025 Enrolled- 639 -LRB104 07069 BAB 17106 b

1    renewable energy resources; and
2        (7) present the Commission's conclusions and proposed
3    recommendations based on its analysis and use the findings
4    and policy recommendations to determine actions that the
5    Commission should take.
6    (c) No later than December 31, 2025, and updated no later
7than 180 days after the effective date of this amendatory Act
8of the 104th General Assembly to incorporate changes pursuant
9to this amendatory Act of the 104th General Assembly, and
10every other year thereafter starting in 2028, the Commission
11shall open an investigation to develop and adopt a an updated    
12renewable energy access plan update that considers electric
13transmission projects, transmission policies, transmission
14alternatives, advanced transmission technologies, other ways
15to expand capacity on existing or future transmission, and
16transmission headroom and, at a minimum, : evaluates the
17implementation and effectiveness of the renewable energy
18access plan, recommends improvements to the renewable energy
19access plan, and provides changes to transmission capacity
20necessary to deliver electric output from the renewable energy
21access plan zones.
22        (1) evaluates the implementation and effectiveness of
23    the renewable energy access plan;
24        (2) recommends improvements to the renewable energy
25    access plan;
26        (3) includes updated inputs and assumptions developed

 

 

SB0025 Enrolled- 640 -LRB104 07069 BAB 17106 b

1    under the integrated resource plan developed and approved
2    pursuant to Section 16-201 and Section 16-202;
3        (4) may request utilities and other parties to
4    specifically identify all elements of the existing
5    transmission system where advanced transmission
6    technologies are likely to achieve enhanced system
7    resilience or reliability, reduce potential siting
8    conflicts or land impacts from the development of new
9    transmission lines, promote the cost-effective delivery of
10    power from renewable energy resources interconnected to
11    the bulk electric system, enable the interconnection of
12    renewable energy resources, or reduce curtailment of
13    renewable energy resources. The plan must identify all
14    elements of the existing transmission system which have
15    experienced capacity constraints or congestion within the
16    prior 2 years and explain whether any advanced
17    transmission technology could reduce or resolve the
18    capacity constraint or congestion;
19        (5) includes an evaluation of identified and proposed
20    transmission projects, including proposed advanced
21    transmission technology projects, based on independent
22    analysis of costs and benefits, including customer bill
23    impacts over the life of the project and achievement of
24    State clean energy goals. Projects shall be evaluated in
25    coordination with other proposals, and may include a
26    combined evaluation of portfolios of projects;

 

 

SB0025 Enrolled- 641 -LRB104 07069 BAB 17106 b

1        (6) develops a recommended list of transmission
2    projects and advanced transmission technology projects
3    that achieve the clean energy public policy objectives of
4    the State. Nothing in this Section shall limit the
5    recommended list of transmission projects to those
6    initially proposed. However, no transmission or advanced
7    transmission technology project can be included in the
8    recommended list unless evaluated; and
9        (7) considers additional mechanisms designed to
10    capture the potential value of geographically diverse
11    resources that proposed interregional transmission
12    projects may provide.    
13    The Commission may evaluate options for implementation of
14the recommended list of transmission projects and advanced
15transmission technology projects that achieve the clean energy
16public policy objectives of the State, including through the
17use of a state agreement approach or a similar structure made
18available through the relevant regional transmission
19organizations, and approves final recommendations on
20implementation.
21    The Commission may invite any interested party to identify
22transmission projects, including any associated network
23upgrades, necessary to facilitate achievement of the goals of
24the plan and the most recently approved integrated resource
25plan. Proposals for projects shall include a description of
26each project; a proposed target date for completion; an

 

 

SB0025 Enrolled- 642 -LRB104 07069 BAB 17106 b

1estimated timeline for development; the energy, capacity, and
2generation profile of renewable generation and energy storage
3enabled by the project; anticipated new loads served by the
4project; the proposed technology used, including the use of
5any advanced transmission technologies; and the status of any
6permits or approvals necessary. For projects with a target
7completion date of within 5 years from the date of proposal,
8the proposal must also include an estimated cost of the
9project and the proposed routing corridor. The Commission
10shall aim to complete the updated plan investigation within 12
11months of opening.
12    (d) Each transmission-owning State utility serving more
13than 200,000 customers in this State may prepare a plan for
14integrating advanced transmission technologies into the
15utility's existing transmission system. The plan must identify
16all elements of the existing transmission system where
17advanced transmission technologies are likely to achieve any
18of the following purposes:
19        (1) enhance system resilience or reliability;
20        (2) reduce potential siting conflicts or land impacts
21    from the development of new transmission lines;
22        (3) promote the cost-effective delivery of power from
23    renewable energy resources interconnected to the bulk
24    electric system to meet the renewable portfolio standard
25    targets under subsection (c) of Section 1-75 of the
26    Illinois Power Agency Act;

 

 

SB0025 Enrolled- 643 -LRB104 07069 BAB 17106 b

1        (4) enable the interconnection of renewable energy
2    resources to meet the renewable portfolio standard targets
3    under subsection (c) of Section 1-75 of the Illinois Power
4    Agency Act; or
5        (5) reduce curtailment of renewable or zero-carbon
6    resources.
7    The plan must identify all elements of the existing
8transmission system which have experienced capacity
9constraints or congestion within the prior 2 years and explain
10whether any advanced transmission technology could reduce or
11resolve the capacity constraint or congestion. Each
12transmission-owning State utility may submit an advanced
13transmission technology integration plan to the Commission for
14consideration as part of the Commission's updated renewable
15energy access plan investigation under subsection (c). In the
16Commission's updated renewable energy access plan, the
17Commission may evaluate, request modifications for, change the
18timelines of implementation for, and determine the next steps
19for each advanced transmission integration plan.
20    (e) Each transmission-owning State utility serving more
21than 200,000 customers in this State may conduct a
22comprehensive Transmission Headroom Study that shall identify,
23at a minimum, the points of interconnection with unused,
24existing transmission headroom on the State system, including
25available capacity behind existing, underutilized points of
26interconnection, and the amount of available headroom in

 

 

SB0025 Enrolled- 644 -LRB104 07069 BAB 17106 b

1megawatts at each identified point of interconnection. Each
2transmission-owning State utility may submit a Transmission
3Headroom Study to the Commission for consideration as part of
4the Commission's updated renewable energy access plan
5investigation under subsection (c).
6    (f) The Commission shall approve an updated renewable
7energy access plan if it finds that, at a minimum, the evidence
8in the investigation meets the criteria outlined in subsection
9(c) and demonstrates that the updated plan will support the
10clean energy public policy objectives of the State.    
11    (g) The Commission shall notify the applicable regional
12transmission organizations and utilities of any final
13recommendations to support the clean energy public policy
14objectives of the State.
15    (h) Nothing in this Section alters the rights of
16transmission utilities (i) under rates on file with the
17Federal Energy Regulatory Commission or the Illinois Commerce
18Commission, (ii) under orders and determinations of the
19Federal Energy Regulatory Commission or a regional
20transmission organization, or (iii) under applicable State
21laws and policies.
22(Source: P.A. 102-662, eff. 9-15-21; 103-380, eff. 1-1-24.)
 
23    (220 ILCS 5/8-513 new)
24    Sec. 8-513. Thermal Energy Network Pilot Program.
25    (a) The Commission shall coordinate with the Illinois

 

 

SB0025 Enrolled- 645 -LRB104 07069 BAB 17106 b

1Finance Authority, in its role as Climate Bank for the State,
2to leverage any available federal funding to support thermal
3energy network pilot projects through the provision of grants
4or to provide or leverage financing. If that federal funding
5is not available or not sufficient to meet program objectives,
6the Commission shall authorize the allocation of up to
7$20,000,000 to support the thermal energy network pilot
8projects, to be provided to the Illinois Finance Authority to
9distribute to projects as a grant or to provide or leverage
10financing. The Illinois Finance Authority shall submit
11projects that have already been approved by the Illinois
12Finance Authority to the Commission for review and approval in
13a form and manner determined by the Commission. The Commission
14shall approve projects that it deems to be just, reasonable,
15and in the public interest. Any allocation of funding shall
16provide for the Illinois Finance Authority to use a portion of
17such allocated funds to support its reasonable administrative
18costs in administering the program under this Section.
19    (b) An electric utility shall be entitled to recover,
20through tariffed charges approved by the Commission, all of
21the costs associated with projects authorized for funding by
22the Commission pursuant to this Section and shall be recovered
23as part of the utility's costs incurred under Section 45 of the
24Electric Vehicle Act. If any authorized funds have not been
25recovered by the utility as of January 1, 2029, the
26Environmental Protection Agency shall allocate the remaining

 

 

SB0025 Enrolled- 646 -LRB104 07069 BAB 17106 b

1funds to the Illinois Finance Authority as part of its
2beneficial electrification programs described in Section 45 of
3the Electric Vehicle Act.    
4    (c) As part of any pilot project proposed pursuant to this
5Section, the Commission is authorized to approve any specific
6customer rebates and incentives and any project-specific
7tariffs and rules. The Commission may create a standard
8proposed rate structure or minimum requirements for a rate
9structure to be required of all thermal energy network pilot
10projects. The Commission may approve the proposed rate
11structure of a thermal energy network pilot project if the
12projected heating and cooling costs for end users is not
13greater than the projected heating and cooling costs the end
14users would have incurred if the end users had not
15participated in the program. In its approval process, the
16Commission shall take into account scenarios where pilot
17projects enhance comfort and safety for customers through
18expanded access to affordable heating and cooling.
19    (d) Approved thermal energy network pilot projects shall
20report to the Commission, on a quarterly basis and until
21completion of the thermal energy network pilot project, the
22status of each thermal energy network pilot project. The
23Commission shall post and make publicly available the reports
24on its website. The reports shall include, but not be limited
25to:
26        (1) the stage of development of each pilot project;

 

 

SB0025 Enrolled- 647 -LRB104 07069 BAB 17106 b

1        (2) the barriers to development;
2        (3) the number of customers served;
3        (4) the costs of the pilot project;
4        (5) the number of jobs retained or created by the
5    pilot project;
6        (6) energy savings and fuel savings from the project
7    and energy consumption by the project; and
8        (7) other information the Commission deems to be in
9    the public interest or considers likely to prove useful or
10    relevant to the rulemaking described in subsection (i).
11    (e) Any entity operating a Commission-approved thermal
12energy network pilot project shall demonstrate that it has
13entered into a labor peace agreement with a bona fide labor
14organization that is actively engaged in representing its
15employees. The labor peace agreement shall apply to the
16employees necessary for the ongoing maintenance and operation
17of the thermal energy network. The existence of a labor peace
18agreement shall be an ongoing material condition of an
19entity's authorization to maintain and operate the thermal
20energy networks.
21    (f) Any contractor or subcontractor that performs work on
22a thermal energy network pilot project under this Section
23shall be a responsible bidder, as described in Section 30-22
24of the Illinois Procurement Code, and shall certify that not
25less than prevailing wage, as determined under the Prevailing
26Wage Act, was or will be paid to the employees who are engaged

 

 

SB0025 Enrolled- 648 -LRB104 07069 BAB 17106 b

1in construction activities associated with the pilot thermal
2energy network system. The contractor or subcontractor shall
3submit evidence to the Commission that it complied with the
4requirements of this subsection (f). For any approved thermal
5energy network pilot project, the contractor or subcontractor
6shall submit evidence that the contractor or subcontractor has
7entered into a fully executed project labor agreement for the
8thermal energy network system prior to the initiation of
9construction activities.
 
10    (220 ILCS 5/9-229)
11    Sec. 9-229. Consideration of attorney and expert
12compensation as an expense and intervenor compensation fund.
13    (a) The Commission shall specifically assess the justness
14and reasonableness of any amount expended by a public utility
15to compensate attorneys or technical experts to prepare and
16litigate a general rate case filing. This issue shall be
17expressly addressed in the Commission's final order.
18    (b) The State of Illinois shall create a Consumer
19Intervenor Compensation Fund subject to the following:
20        (1) Provision of compensation for consumer interest
21    representatives Consumer Interest Representatives that
22    intervene in Illinois Commerce Commission proceedings will
23    increase public engagement, encourage additional
24    transparency, expand the information available to the
25    Commission, and improve decision-making.

 

 

SB0025 Enrolled- 649 -LRB104 07069 BAB 17106 b

1        (2) As used in this Section, "consumer Consumer    
2    interest representative" means:
3            (A) a residential utility customer or group of
4        residential utility customers represented by a
5        not-for-profit group or organization registered with
6        the Illinois Attorney General under the Solicitation
7        for Charity Act;
8            (B) representatives of not-for-profit groups or
9        organizations whose membership is limited to
10        residential utility customers; or
11            (C) representatives of not-for-profit groups or
12        organizations whose membership includes Illinois
13        residents and that address the community, economic,
14        environmental, or social welfare of Illinois
15        residents, except government agencies or intervenors    
16        specifically authorized by Illinois law to participate
17        in Commission proceedings on behalf of Illinois
18        consumers.
19        (3) A consumer interest representative is eligible to
20    receive compensation from the Consumer Intervenor
21    Compensation Fund consumer intervenor compensation fund if
22    its participation included lay or expert testimony or
23    legal briefing and argument concerning the expenses,
24    investments, rate design, rate impact, development of an
25    integrated resource plan pursuant to Section 16-201 and
26    any related proceedings, or other matters affecting the

 

 

SB0025 Enrolled- 650 -LRB104 07069 BAB 17106 b

1    pricing, rates, costs or other charges associated with
2    utility service and , the Commission does not find the
3    participation to be immaterial adopts a material
4    recommendation related to a significant issue in the
5    docket, and participation caused a significant financial
6    hardship to the participant; however, no consumer interest
7    representative shall be eligible to receive an award
8    pursuant to this Section if the consumer interest
9    representative receives any compensation, funding, or
10    donations, directly or indirectly, from parties that have
11    a financial interest in the outcome of the proceeding.
12    Funding from residential ratepayers shall not be
13    considered funding from a party with a financial interest
14    unless determined to be by the Commission. The Commission
15    shall determine participation by the consumer interest
16    representative to be material if recommendations made by
17    the consumer interest representative are:
18            (A) relevant to issues in the proceeding on which
19        the Commission makes a finding;
20            (B) supported by facts, such as studies, methods,
21        or calculations, or by legal or policy analysis; and
22            (C) offered by the consumer interest
23        representative into evidence in the record of that
24        proceeding, or for legal or policy analysis, are filed
25        in the docket of that proceeding, through briefing,
26        motion, or other method.    

 

 

SB0025 Enrolled- 651 -LRB104 07069 BAB 17106 b

1        (4) Within 30 days after September 15, 2021 (the
2    effective date of Public Act 102-662), each utility that
3    files a request for an increase in rates under Article IX
4    or Article XVI shall deposit an amount equal to one half of
5    the rate case attorney and expert expense allowed by the
6    Commission, but not to exceed $500,000, into the fund
7    within 35 days of the date of the Commission's final Order
8    in the rate case or 20 days after the denial of rehearing
9    under Section 10-113 of this Act, whichever is later. The
10    Consumer Intervenor Compensation Fund shall be used to
11    provide payment to consumer interest representatives as
12    described in this Section.
13        (5) An electric public utility with 3,000,000 or more
14    retail customers shall contribute $450,000 to the Consumer
15    Intervenor Compensation Fund within 60 days after
16    September 15, 2021 (the effective date of Public Act
17    102-662). A combined electric and gas public utility
18    serving fewer than 3,000,000 but more than 500,000 retail
19    customers shall contribute $225,000 to the Consumer
20    Intervenor Compensation Fund within 60 days after
21    September 15, 2021 (the effective date of Public Act
22    102-662). A gas public utility with 1,500,000 or more
23    retail customers that is not a combined electric and gas
24    public utility shall contribute $225,000 to the Consumer
25    Intervenor Compensation Fund within 60 days after
26    September 15, 2021 (the effective date of Public Act

 

 

SB0025 Enrolled- 652 -LRB104 07069 BAB 17106 b

1    102-662). A gas public utility with fewer than 1,500,000
2    retail customers but more than 300,000 retail customers
3    that is not a combined electric and gas public utility
4    shall contribute $80,000 to the Consumer Intervenor
5    Compensation Fund within 60 days after September 15, 2021
6    (the effective date of Public Act 102-662). A gas public
7    utility with fewer than 300,000 retail customers that is
8    not a combined electric and gas public utility shall
9    contribute $20,000 to the Consumer Intervenor Compensation
10    Fund within 60 days after September 15, 2021 (the
11    effective date of Public Act 102-662). A combined electric
12    and gas public utility serving fewer than 500,000 retail
13    customers shall contribute $20,000 to the Consumer
14    Intervenor Compensation Fund within 60 days after
15    September 15, 2021 (the effective date of Public Act
16    102-662). A water or sewer public utility serving more
17    than 100,000 retail customers shall contribute $80,000,
18    and a water or sewer public utility serving fewer than
19    100,000 but more than 10,000 retail customers shall
20    contribute $20,000.
21        (6)(A) Prior to the entry of a final order Final Order    
22    in a docketed case, the Commission Administrator shall
23    provide a payment to a consumer interest representative
24    that demonstrates through a verified application for
25    funding that the consumer interest representative's
26    participation or intervention without an award of fees or

 

 

SB0025 Enrolled- 653 -LRB104 07069 BAB 17106 b

1    costs imposes a significant financial cost for the
2    consumer interest representative hardship based on a
3    schedule to be developed by the Commission. The
4    Administrator may require verification of costs expected
5    to be incurred, including statements of expected hours
6    spent, as a condition to paying the consumer interest
7    representative prior to the entry of a final order Final
8    Order in a docketed case. The upfront payment prior to the
9    entry of a final order in the relevant docketed case shall
10    be subject to the reconciliation process described in
11    subparagraph (C) of this paragraph. For purposes of
12    upfront payments provided for under this subparagraph, and
13    provided the testimony or legal argument was offered into
14    evidence or filed in the docket, a decision by the
15    Commission prior to entry of a final order that a consumer
16    interest representative's evidence or legal argument is
17    relevant to issues in the proceeding under subparagraph
18    (A) of paragraph (3) shall not be subject to
19    reconsideration. Any compensation awarded shall be subject
20    to review and reconciliation under subparagraph (C) of
21    this paragraph. Payments made after the issuance of a
22    final order in the relevant docketed case do not require
23    the reconciliation.    
24        (B) If the Commission does not find the participation
25    to be immaterial adopts a material recommendation related
26    to a significant issue in the docket and participation

 

 

SB0025 Enrolled- 654 -LRB104 07069 BAB 17106 b

1    caused a financial hardship to the participant, then the
2    consumer interest representative shall be allowed payment
3    for some or all of the consumer interest representative's
4    reasonable attorney's or advocate's fees, reasonable
5    expert witness fees, and other reasonable costs of
6    preparation for and participation in a hearing or
7    proceeding. Expenses related to travel or meals shall not
8    be compensable. Expenses incurred by participation in
9    workshops or other informal processes outside a docketed
10    proceeding shall not be compensable. Attorneys and expert
11    witnesses who represent or testify for more than one party
12    in the same docketed proceeding and perform essentially
13    the same work on behalf of the parties shall not be
14    compensated more than once for those same services
15    rendered in that proceeding.    
16        (C) The consumer interest representative shall submit
17    an itemized request for compensation to the Consumer
18    Intervenor Compensation Fund, including the advocate's or
19    attorney's reasonable fee rate, the number of hours
20    expended, reasonable expert and expert witness fees, and
21    other reasonable costs for the preparation for and
22    participation in the hearing and briefing within 30 days
23    after of the Commission's final order or the Commission's    
24    after denial or decision on rehearing, if any, whichever
25    is later. If compensation is provided prior to the entry
26    of a final order in a docketed case, such compensation

 

 

SB0025 Enrolled- 655 -LRB104 07069 BAB 17106 b

1    shall be adjusted following the final order to reconcile
2    the difference between actual eligible expenses incurred
3    and the amount of compensation provided prior to the entry
4    of the final order. The reconciliation adjustment shall
5    ensure that the total compensation awarded to the
6    applicant is no more and no less than the actual eligible
7    expenses incurred. Payments made after the issuance of a
8    final order in the relevant docketed case do not require
9    the reconciliation.    
10        (7) Administration of the Fund.
11        (A) The Consumer Intervenor Compensation Fund is
12    created as a special fund in the State treasury. All
13    disbursements from the Consumer Intervenor Compensation
14    Fund shall be made only upon warrants of the Comptroller
15    drawn upon the Treasurer as custodian of the Fund upon
16    vouchers signed by the Executive Director of the
17    Commission or by the person or persons designated by the
18    Director for that purpose. The Comptroller is authorized
19    to draw the warrant upon vouchers so signed. The Treasurer
20    shall accept all warrants so signed and shall be released
21    from liability for all payments made on those warrants.
22    The Consumer Intervenor Compensation Fund shall be
23    administered by an Administrator that is a person or
24    entity that is independent of the Commission. The
25    administrator will be responsible for the prudent
26    management of the Consumer Intervenor Compensation Fund

 

 

SB0025 Enrolled- 656 -LRB104 07069 BAB 17106 b

1    and for recommendations for the award of consumer
2    intervenor compensation from the Consumer Intervenor
3    Compensation Fund. The Commission shall issue a request
4    for qualifications for a third-party program administrator
5    to administer the Consumer Intervenor Compensation Fund.
6    The third-party administrator shall be chosen through a
7    competitive bid process based on selection criteria and
8    requirements developed by the Commission. The Illinois
9    Procurement Code does not apply to the hiring or payment
10    of the Administrator. All Administrator costs may be paid
11    for using monies from the Consumer Intervenor Compensation
12    Fund, but the Program Administrator shall strive to
13    minimize costs in the implementation of the program.
14        (B) The computation of compensation awarded from the
15    fund shall take into consideration the market rates paid
16    to persons of comparable training and experience who offer
17    similar services, but may not exceed the comparable market
18    rate for services paid by the public utility as part of its
19    rate case expense.
20        (C)(1) Recommendations on the award of compensation by
21    the administrator shall include consideration of whether
22    the participation was material Commission adopted a
23    material recommendation related to a significant issue in
24    the docket and whether participation caused a financial
25    hardship to the participant and the payment of
26    compensation is fair, just and reasonable.

 

 

SB0025 Enrolled- 657 -LRB104 07069 BAB 17106 b

1        (2) Recommendations on the award of compensation by
2    the administrator shall be submitted to the Commission for
3    approval within 30 days after when the application for
4    funding is submitted to the administrator. Unless the
5    Commission initiates an investigation within 60 45 days
6    after an application for funding is submitted to the
7    administrator, the Commission shall within 90 days after
8    the application is submitted to the administrator, or as
9    soon as practicable thereafter, award funding to the
10    applicant. Notice of the administrator's award
11    recommendation the notice to the Commission, the award of
12    compensation shall be allowed 45 days after notice to the
13    Commission. Such notice shall be given by filing with the
14    Commission on the Commission's e-docket system, and
15    keeping open for public inspection the award for
16    compensation proposed by the Administrator. The Commission
17    shall have power, and it is hereby given authority, either
18    upon complaint or upon its own initiative without
19    complaint, at once, and if it so orders, without answer or
20    other formal pleadings, but upon reasonable notice, to
21    enter upon a hearing concerning the propriety of the
22    award.
23    (c) The Commission may adopt rules to implement this
24Section.
25(Source: P.A. 102-662, eff. 9-15-21; 103-605, eff. 7-1-24.)
 

 

 

SB0025 Enrolled- 658 -LRB104 07069 BAB 17106 b

1    (220 ILCS 5/16-105.17)
2    Sec. 16-105.17. Multi-Year Integrated Grid Plan.
3    (a) The General Assembly finds that ensuring alignment of
4regulated utility operations, expenditures, and investments
5with public benefit goals, including safety, reliability,
6resiliency, affordability, equity, emissions reductions, and
7expansion of clean distributed energy resources, is critical
8to maximizing the benefits of the interconnected utility grid
9and cost-effective utility expenditures on the grid. It is the
10policy of the State to promote inclusive, comprehensive,
11transparent, cost-effective distribution system planning and
12disclosures processes that minimize long-term costs for
13Illinois customers and support the achievement of State
14renewable energy development and other clean energy, public
15health, and environmental policy goals. Utility distribution
16system expenditures, programs, investments, and policies must
17be evaluated in coordination with these goals. In particular,
18the General Assembly finds that:
19        (1) Investment in infrastructure to support and enable
20    existing and new distributed energy resources creates
21    significant economic development, environmental, and
22    public health benefits in the State.
23        (2) Illinois' electricity distribution system must
24    cost-effectively integrate renewable energy resources,
25    including utility-scale renewable energy resources,
26    community renewable generation, and distributed renewable

 

 

SB0025 Enrolled- 659 -LRB104 07069 BAB 17106 b

1    energy resources, support beneficial electrification,
2    including electric vehicle use and adoption, promote
3    opportunities for third-party investment in
4    nontraditional, grid-related technologies and resources
5    such as batteries, solar photovoltaic panels, and smart
6    thermostats, reduce energy usage generally and especially
7    during times of greatest reliance on fossil fuels, and
8    enhance customer engagement opportunities.
9        (3) Inclusive distribution system planning is an
10    essential tool for the Commission, public utilities, and
11    stakeholders to effectively coordinate environmental,
12    consumer, reliability, and equity goals at fair and
13    reasonable costs, and for ensuring transparent utility
14    accountability for meeting those goals.
15        (4) Any planning process should advance Illinois
16    energy policy goals while ensuring utility investments are
17    cost-effective. Such a process should maximize the sharing
18    of information, minimize overlap with existing filing
19    requirements to ensure robust stakeholder participation,
20    and recognize the responsibility of the utility to manage
21    the grid in a safe, reliable manner.
22        (5) The General Assembly is concerned that, in the
23    absence of a transparent, meaningful distribution system
24    planning process, utility investments may not always serve
25    customers' best interests, appropriately promote the
26    expansion of clean distributed energy resources, and

 

 

SB0025 Enrolled- 660 -LRB104 07069 BAB 17106 b

1    advance equity and environmental justice.
2        (6) The General Assembly is also encouraged by the
3    opportunities presented by nontraditional solutions to
4    utility, customer, and grid needs that may be more
5    efficient and cost-effective, and less environmentally
6    harmful than traditional solutions. Nontraditional
7    solutions include distributed energy resources owned or
8    implemented by customers and independent third parties,
9    controllable load, beneficial electrification, or rate
10    design that encourages efficient energy use.
11        (7) The General Assembly finds that Illinois
12    utilities' current processes for planning their
13    distribution system should be made more accessible and
14    transparent to individuals and communities, and that more
15    inclusive and accessible distribution system planning
16    processes would be in the interests of all Illinois
17    residents.
18        (8) The General Assembly finds it would be beneficial
19    to require utilities to demonstrate how their spending
20    promotes identified State clean energy goals, such as
21    integrating renewable energy, empowering customers to make
22    informed choices, supporting electric vehicles, beneficial
23    electrification, and energy storage, achieving equity
24    goals, enhancing resilience, and maintaining reliability.
25    The General Assembly therefore directs the utilities to
26implement distribution system planning as described in this

 

 

SB0025 Enrolled- 661 -LRB104 07069 BAB 17106 b

1Section in order to accelerate progress on Illinois clean
2energy and environmental goals and hold electric utilities
3publicly accountable for their performance.
4    (b) Unless otherwise specified, the terms used in this
5Section shall have the same meanings as defined in Sections
616-102 and 16-107.6. As used in this Section:
7    "Demand response" means measures that decrease peak
8electricity demand or shift demand from peak to off-peak
9periods.
10    "Distributed energy resources" or "DER" means a wide range
11of technologies that are connected to the grid, including
12those that are located on the customer side of the customer's
13electric meter and can provide value to the distribution
14system, including, but not limited to, distributed generation,
15energy storage, electric vehicles, and demand response
16technologies.
17    "Environmental justice communities" means the definition
18of that term based on existing methodologies and findings,
19used and as may be updated by the Illinois Power Agency and its
20Program Administrator in the Illinois Solar for All Program.
21    (c) This Section applies to electric utilities serving
22more than 500,000 retail customers in the State.
23    (d) The Multi-Year Integrated Grid Plan ("the Plan") shall
24be designed to:
25        (1) ensure coordination of the State's renewable
26    energy goals, climate and environmental goals with the

 

 

SB0025 Enrolled- 662 -LRB104 07069 BAB 17106 b

1    utility's distribution system investments, and programs
2    and policies over a 5-year planning horizon to maximize
3    the benefits of each while ensuring utility expenditures
4    are cost-effective;
5        (2) optimize utilization of electricity grid assets
6    and resources to minimize total system costs;
7        (3) support efforts to bring the benefits of grid
8    modernization and clean energy, including, but not limited
9    to, deployment of distributed energy resources, to all
10    retail customers, and support efforts to bring at least
11    40% of the benefits of those benefits to Equity Investment
12    Eligible Communities. Nothing in this paragraph is meant
13    to require a specific amount of spending in a particular
14    geographic area;
15        (4) enable greater customer engagement, empowerment,
16    and options for energy services;
17        (5) reduce grid congestion, minimize the time and
18    expense associated with interconnection, and increase the
19    capacity of the distribution grid to host increasing
20    levels of distributed energy resources, to facilitate
21    availability and development of distributed energy
22    resources, particularly in locations that enhance consumer
23    and environmental benefits;
24        (6) ensure opportunities for robust public
25    participation through open, transparent planning
26    processes.

 

 

SB0025 Enrolled- 663 -LRB104 07069 BAB 17106 b

1        (7) provide for the analysis of the cost-effectiveness
2    of proposed system investments, which takes into account
3    environmental costs and benefits;
4        (8) to the maximum extent practicable, achieve or
5    support the achievement of Illinois environmental goals,
6    including those described in Section 9.10 of the
7    Environmental Protection Act and Section 1-75 of the
8    Illinois Power Agency Act, and emissions reductions
9    required to improve the health, safety, and prosperity of
10    all Illinois residents;
11        (9) support existing Illinois policy goals promoting
12    the long-term growth of energy efficiency, demand
13    response, and investments in renewable energy resources;
14        (10) provide sufficient public information to the
15    Commission, stakeholders, and market participants in order
16    to enable nonemitting customer-owned or third-party
17    distributed energy resources, acting individually or in
18    aggregate, to seamlessly and easily connect to the grid,
19    provide grid benefits, support grid services, and achieve
20    environmental outcomes, without necessarily requiring
21    utility ownership or controlling interest over those
22    resources, and enable those resources to act as
23    alternatives to utility capital investments; and
24        (11) provide delivery services at rates that are
25    affordable to all customers, including low-income
26    customers.

 

 

SB0025 Enrolled- 664 -LRB104 07069 BAB 17106 b

1    (e) Plan Development Stakeholder Process.
2        (1) To promote the transparency of utility
3    distributions system planned investments and the planning
4    process for those investments, the Commission shall
5    convene a workshop process, over a period of no less than 5
6    months, for each such utility for the purpose of
7    establishing an open, inclusive, and cooperative forum
8    regarding such investments. The workshops shall be
9    facilitated by an independent, third-party facilitator
10    selected by the Commission. Data and projections provided
11    through the workshop process shall be designed to provide
12    participants with information about the electric utility's
13    (i) historic distribution system investments for at least
14    the 5 years prior to the year in which the workshop is held
15    and (ii) planned investments for the 5-year period
16    following the year in which the workshop is held. The
17    workshop process shall recognize that estimates for later
18    years will be less reliable and indicative of future
19    conduct than estimates for earlier years and that the
20    electric utility is subject to financial and system
21    planning processes. No later than January 1, 2022, the
22    facilitator shall initiate a series of workshops for each
23    electric utility subject to this Section. The series of
24    workshops shall include no fewer than 6 workshops and
25    shall conclude no later than June 1, 2022.
26        (2) The workshops shall be designed to achieve the

 

 

SB0025 Enrolled- 665 -LRB104 07069 BAB 17106 b

1    following objectives:
2            (A) review utilities' planned capital investments
3        and supporting data;
4            (B) review how utilities plan to invest in their
5        distribution system in order to meet the system's
6        projected needs;
7            (C) review system and locational data on
8        reliability, resiliency, DER, and service quality
9        provided by the utilities;
10            (D) solicit and consider input from diverse
11        stakeholders, including representatives from
12        environmental justice communities, geographically
13        diverse communities, low-income representatives,
14        consumer representatives, environmental
15        representatives, organized labor representatives,
16        third-party technology providers, and utilities;
17            (E) consider proposals from utilities and
18        stakeholders on programs and policies necessary to
19        achieve the objectives in subsection (d) of this
20        Section;
21            (F) consider proposals applicable to each
22        component of the utilities' Multi-Year Integrated Grid
23        Plan filings under paragraph (2) of subsection (f) of
24        this Section;
25            (G) educate and equip interested stakeholders so
26        that they can effectively and efficiently provide

 

 

SB0025 Enrolled- 666 -LRB104 07069 BAB 17106 b

1        feedback and input to the electric utility; and
2            (H) review planned capital investment to ensure
3        that delivery services are provided at rates that are
4        affordable to all customers, including low-income
5        customers.
6        (3) To the extent any of the information in
7    subparagraphs (A) through (H) of paragraph (2) of this
8    subsection is designated as confidential and proprietary
9    under the Commission's rules, the proponent of the
10    designation shall have the burden of making the requisite
11    showing under the Commission's rules. For data that is
12    determined to be confidential or that includes personally
13    identifiable information, the Commission may develop
14    procedures and processes to enable data sharing with
15    parties and stakeholders while ensuring the
16    confidentiality of the information.
17        (4) Workshops should be organized and facilitated in a
18    manner that encourages representation from diverse
19    stakeholders, ensuring equitable opportunities for
20    participation, without requiring formal intervention or
21    representation by an attorney. Workshops should be held
22    during both day and evening hours, in a variety of
23    locations within each electric utility's service
24    territory, and should allow remote participation.
25        (5) It is a goal of the State that this workshop
26    process will provide a forum for interested stakeholders

 

 

SB0025 Enrolled- 667 -LRB104 07069 BAB 17106 b

1    to effectively and efficiently provide feedback and input
2    to the electric utility. It is also a goal of the State
3    that stakeholder participation in this process will
4    prepare stakeholders to more capably participate in
5    Multi-Year Rate Plan proceedings conducted pursuant to
6    Section 16-108.18 of this Act, if they so elect. As part of
7    the workshop process, the electric utility shall submit to
8    the Commission the electric utility's capital investments
9    proposal, and supporting data described in subparagraphs
10    (A) through (C) of paragraph (2) of this subsection (e)
11    before the start of workshops to allow interested
12    stakeholders to reasonably review data before attending
13    workshops. The Commission shall make public the utility
14    capital investments proposal by posting it on the
15    Commission's website and set the location and time of any
16    workshop to be held as part of the workshop process, and
17    establish a data request process, consistent with the
18    Commission's rules, that affords workshop participants
19    opportunities to submit data requests to the utility, and
20    receive responses in accordance with the utility's
21    obligations under the law, prior to the workshop,
22    regarding the information described in this paragraph (5).
23    Upon the written request of a workshop participant, the
24    utility shall also present at a given workshop at least
25    one appropriate company representative who can address the
26    specific written questions or written categories of

 

 

SB0025 Enrolled- 668 -LRB104 07069 BAB 17106 b

1    questions identified in advance by the workshop
2    participant regarding issues related to the utility's
3    Multi-Year Integrated Grid Plan. To facilitate public
4    feedback, the administrator facilitating the workshops
5    shall, throughout the workshop process, develop questions
6    for stakeholder input on topics being considered. This may
7    include, but is not limited to: design of the workshop
8    process, locational data and information provided by
9    utilities, alignment of plans, programs, investments and
10    objectives, and other topics as deemed appropriate by the
11    Commission facilitation staff. Stakeholder feedback shall
12    not be limited to these questions. The information
13    provided as part of the workshop process pursuant to this
14    subsection (e) is intended to be informational and to
15    provide a preliminary view of costs and investments, which
16    may change. Accordingly, the information provided pursuant
17    to this subsection (e) shall not be binding on the utility
18    and shall not be the sole basis for a finding in any
19    Commission proceeding of imprudence, unreasonableness, or
20    lack of use or usefulness of any individual or aggregate
21    level of utility plant or other investment or expenditure
22    addressed; however, information contained in the plan may
23    be used in a proceeding before the Commission, with weight
24    of such evidence to be determined by the Commission.
25        (6) Workshops shall not be considered settlement
26    negotiations, compromise negotiations, or offers to

 

 

SB0025 Enrolled- 669 -LRB104 07069 BAB 17106 b

1    compromise for the purposes of Illinois Rule of Evidence
2    408. All materials shared as a part of the workshop
3    process, and that are not determined to be confidential as
4    described in paragraph (3) of this subsection (e), shall
5    be made publicly available on a website made available by
6    the Commission.
7        (7) On conclusion of the workshops, the Commission
8    shall open a comment period that allows interested and
9    diverse stakeholders to submit comments and
10    recommendations regarding the utility's Multi-Year
11    Integrated Grid Plan filing. Based on the workshop process
12    and stakeholder comments and recommendations offered
13    verbally or in writing during the workshops and in writing
14    during the comment period following the workshops, the
15    independent third-party facilitator shall prepare a
16    report, to be submitted to the Commission no later than
17    July 1, 2022, describing the stakeholders, discussions,
18    proposals, and areas of consensus and disagreement from
19    the workshop process, and making recommendations to the
20    Commission regarding the utility's Multi-Year Integrated
21    Grid Plan. Interested stakeholders shall have an
22    opportunity to provide comment on the independent
23    third-party facilitator report.
24        (8) Based on discussions in the workshops, the
25    independent third-party facilitator report, and
26    stakeholder comments and recommendations made during and

 

 

SB0025 Enrolled- 670 -LRB104 07069 BAB 17106 b

1    following the workshop process, the Commission shall issue
2    initiating orders no later than August 1, 2022, requiring
3    the electric utilities subject to this Section to file the
4    first Multi-Year Integrated Grid Plan no later than
5    January 20, 2023. The initiating orders shall specify the
6    requirements applicable to the utilities' Multi-Year
7    Integrated Grid Plans, which shall supplement and not
8    replace those requirements described in subsection (f) of
9    this Section.
10    (f) Multi-Year Integrated Grid Plan.
11        (1) Pursuant to this subsection (f) and the initiating
12    orders of the Commission, each electric utility subject to
13    this Section shall, no later than January 20, 2023, submit
14    its first Multi-Year Integrated Grid Plan. No later than
15    January 20, 2026, and every 4 years thereafter, the
16    utility shall submit its subsequent Plan. Each Plan shall:
17            (A) incorporate requirements established by the
18        Commission in its initiating order; and
19            (B) propose distribution system investment
20        programs, policies, and plans designed to optimize
21        achievement of the objectives set forth in subsection
22        (d) of this Section and achieve the metrics approved
23        by the Commission pursuant to Section 16-108.18 of
24        this Act.
25        To the extent practicable and reasonable, all
26    programs, policies, and initiatives proposed by the

 

 

SB0025 Enrolled- 671 -LRB104 07069 BAB 17106 b

1    utility in its plan should be informed by stakeholder
2    input received during the workshop process pursuant to
3    subsection (e) of this Section. Where specific stakeholder
4    input has not been incorporated in proposed programs,
5    policies, and plans, the electric utility shall provide an
6    explanation as to why that input was not incorporated.
7        (2) In order to ensure electric utilities' ability to
8    meet the goals and objectives set forth in this Section,
9    the Multi-Year Integrated Grid Plans must include, at
10    minimum, the following information:
11            (A) A description of the utility's distribution
12        system planning process, including:
13                (i) the overview of the process, including
14            frequency and duration of the process, roles, and
15            responsibilities of utility personnel and
16            departments involved;
17                (ii) a summary of the meetings with
18            stakeholders conducted prior to filing of the plan
19            with the Commission.
20                (iii) the description of any coordination of
21            the processes with any other planning process
22            internal or external to the utility, including
23            those required by a regional transmission
24            operator.
25            (B) A detailed description of the current
26        operating conditions for the distribution system

 

 

SB0025 Enrolled- 672 -LRB104 07069 BAB 17106 b

1        separately presented for each of the utility's
2        operating areas, where possible, including a detailed
3        description, with supporting data, of system
4        conditions, including baseline data regarding the
5        utility's distribution system from the utility's
6        annual report to the Commission, total distribution
7        system substation capacity in kVa, total miles of
8        primary overhead distribution wire, and total miles of
9        primary underground distribution cable, distributed
10        energy resource deployment by type, size, customer
11        class, and geographic dispersion as to those DERs that
12        have completed the interconnection process, the most
13        current distribution line loss study, current and
14        expected System Average Interruption Frequency Index
15        and Customer Average Interruption Duration Index data
16        for the system, identification of the system model
17        software currently used and planned software
18        deployments, and other data needs as requested by the
19        Commission or as determined through Commission rules.
20        The description shall also include the utility's most
21        recent system load and peak demand forecast for at
22        least the next 5 years, and up to 10 years if
23        available, a discussion of how the forecast was
24        prepared and how distributed energy resources and
25        energy efficiency were factored into the forecast, and
26        identification of the forecasting software currently

 

 

SB0025 Enrolled- 673 -LRB104 07069 BAB 17106 b

1        used and planned software deployments.
2            (C) Financial Data.
3                (i) For each of the preceding 5 years, the
4            utility's distribution system investments by the
5            investment categories tracked by the utility,
6            including, but not limited to, new business,
7            facility relocation, capacity expansion, system
8            performance, preventive maintenance, corrective
9            maintenance, the total amount of investments
10            associated with the integration of DERs, the total
11            amount of charges to DER developers and retail
12            customers for interconnection of DERs to the
13            distribution system, and a list of each major
14            investment category the utility used to maintain
15            its routine standing operational activities and
16            the associated plant in service amount for each
17            category in which the plant in service amount is
18            at least $2,000,000;
19                (ii) For each of the preceding 5 years, data
20            on and a discussion of the utility's distribution
21            system operation and maintenance expenses;
22                (iii) A 5-year long-range forecast of
23            distribution system capital investments and
24            operational and maintenance expenses, including a
25            discussion of any projections for expenses for the
26            categories listed in subparagraph (i) of this item

 

 

SB0025 Enrolled- 674 -LRB104 07069 BAB 17106 b

1            (C).
2            (D) System data on DERs on the utility's
3        distribution system, including the total number and
4        nameplate capacity of DERs that completed
5        interconnection in the prior year, current DER
6        deployment by type, size, and geographic dispersion,
7        to the extent that granular geographic information
8        does not disclose personally identifiable information,
9        and other data as requested by the Commission or
10        determined by Commission rules.
11            (E) Hosting Capacity and Interconnection
12        Requirements.
13                (i) The utility shall make available on its
14            website the hosting capacity analysis results that
15            shall include mapping and GIS capability, as well
16            as any other requirements requested by the
17            Commission or determined through Commission rules.
18            The plan shall identify where the hosting capacity
19            analysis results shall be made publicly available.
20            This shall also include an assessment of the
21            impact of utility investments over the next 5
22            years on hosting capacity and a narrative
23            discussion of how the hosting capacity analysis
24            advances customer-sited distributed energy
25            resources, including electric vehicles, energy
26            storage systems, and photovoltaic resources, and

 

 

SB0025 Enrolled- 675 -LRB104 07069 BAB 17106 b

1            how the identification of interconnection points
2            on the distribution system will support the
3            continued development of distributed energy
4            resources.
5                (ii) Discussion of the utility's
6            interconnection requirements and how they comply
7            with the Commission's applicable regulations.
8            (F) Identification and discussion of the scenarios
9        considered in the development of the utility's
10        Multi-Year Integrated Grid Plan, including DER
11        scenarios, and discussion of base-case and alternative
12        scenarios, how the scenarios were developed and
13        selected, and how the scenarios include a reasonable
14        mix of DERs scenarios, types, and geographic
15        dispersion. Scenarios shall at least consider the
16        5-year forecast horizon of the Multi-Year Integrated
17        Grid Plan, but may also consider longer-term scenarios
18        where data is available. The plan shall also include
19        requirements requested by the Commission or determined
20        through Commission rules.
21            (G) An evaluation of the short-term and long-run
22        benefits and costs of distributed energy resources
23        located on the distribution system, including, but not
24        limited to, the locational, temporal, and
25        performance-based benefits and costs of distributed
26        energy resources. The utility shall use the results of

 

 

SB0025 Enrolled- 676 -LRB104 07069 BAB 17106 b

1        this evaluation to inform its analysis of Solution
2        Sourcing Opportunities, including nonwires
3        alternatives, under subparagraph (K) of paragraph (2)
4        subsection (f) of this Section. The Commission may use
5        the data produced through this evaluation to, among
6        other use-cases, inform the Commission's investigation
7        and establishment of tariffs and compensation for
8        distributed energy resources interconnecting to the
9        utility's distribution system, including rebates
10        provided by the electric utility pursuant to Section
11        16-107.6 of this Act.
12            (H) Long-term Distribution System Investment Plan.
13                (i) The utility's planned distribution capital
14            investments for the period covered by the planning
15            process required by this Section, by the
16            investment categories used by the utility, and
17            with discussion of any individual planned projects
18            with a planned total investment gross amount of
19            $3,000,000 or more and of the alternatives
20            considered by the utility to such individual
21            projects including any non-traditional
22            alternatives and DER alternatives, and supporting
23            data. This shall provide sufficiently detailed
24            explanations of how the planned investments shall
25            support the goals in subsection (d) of this
26            Section.

 

 

SB0025 Enrolled- 677 -LRB104 07069 BAB 17106 b

1                (ii) Discussion of how the utility's capital
2            investments plan is consistent with Commission
3            orders regarding the procurement of renewable
4            resources as discussed in Section 16-111.5 of this
5            Act, energy efficiency plans as discussed in
6            Section 8-103B, distributed generation rebates as
7            discussed in Section 16-107.6, and any other
8            Commission order affecting the goals described in
9            subsection (d) of this Section.
10                (iii) A plan for achieving the applicable
11            metrics that were approved by the Commission for
12            the utility pursuant to subsection (e) of Section
13            16-108.18 of this Act.
14                (iv) A narrative discussion of the utility's
15            vision for the distribution system over the next 5
16            years.
17                (v) Any additional information requested by
18            the Commission or determined through Commission
19            rules.
20            (I) A detailed description of historic
21        distribution system operations and maintenance
22        expenditures for the preceding 5 years and of planned
23        or projected operations and maintenance expenditures
24        for the period covered by the planning process
25        required by this Section, as well as the data,
26        reasoning and explanation supporting planned or

 

 

SB0025 Enrolled- 678 -LRB104 07069 BAB 17106 b

1        projected expenditures. Any additional information
2        requested by the Commission or determined through
3        Commission rules.
4            (J) A detailed plan for achieving the applicable
5        metrics that were approved by the Commission for the
6        utility pursuant to subsection (e) of Section
7        16-108.18 of this Act, including, but not limited to,
8        the following:
9                (i) A description of, exclusive of low-income
10            rate relief programs and other income-qualified
11            programs, how the utility is supporting efforts to
12            bring 40% of benefits from programs, policies, and
13            initiatives proposed in their Multi-Year
14            Integrated Grid Plan to ratepayers in low-income
15            and environmental justice communities. This shall
16            also include any information requested by the
17            Commission or determined through Commission rules.
18            Nothing in this subparagraph is meant to require a
19            specific amount of spending in a particular
20            geographic area.
21                (ii) A detailed analysis of current and
22            projected flexible resources, including resource
23            type, size (in MW and MWh), location and
24            environmental impact, as well as anticipated needs
25            that can be met using flexible resources, to meet
26            the goals described in subsection (d) of this

 

 

SB0025 Enrolled- 679 -LRB104 07069 BAB 17106 b

1            Section, to meet the applicable metrics that were
2            approved by the Commission for the utility
3            pursuant to subsection (e) of Section 16-108.18 of
4            this Act, and any other Commission order affecting
5            the goals described in subsection (d) of this
6            Section.
7                (iii) Any additional information requested by
8            the Commission or determined through Commission
9            rules.
10            (K) Identification of potential cost-effective
11        solutions from nontraditional and third-party owned
12        investments that could meet anticipated grid needs,
13        including, but not limited to, distributed energy
14        resources procurements, tariffs or contracts,
15        programmatic solutions, rate design options,
16        technologies or programs that facilitate load
17        flexibility, nonwires alternatives, and other
18        solutions that are intended to meet the objectives
19        described at subsection (d). It is the policy of this
20        State that cost-effective third-party or
21        customer-owned distributed energy resources create
22        robust competition and customer choice and shall be
23        considered as appropriate. The Commission shall
24        establish rules determining data or methods for
25        Solution Sourcing Opportunities.
26            (L) A detailed description of the utility's

 

 

SB0025 Enrolled- 680 -LRB104 07069 BAB 17106 b

1        interoperability plan, which must describe the manner
2        in which the electric utility's current and planned
3        distribution system investments will work together and
4        exchange information and data, the extent to which the
5        utility is implementing open standards and interfaces
6        with third-party distributed energy resource owners
7        and aggregators, and the utility's plan for
8        interoperability testing and certification.
9            (M) For plans that include a time period that is
10        after January 1, 2029, a description of efforts to
11        support transportation electrification through the
12        following:
13                (i) make-ready investments and other programs
14            to facilitate the rapid deployment of charging
15            equipment throughout this State, especially
16            deployment that targets medium-duty and heavy-duty
17            vehicle electrification and multi-unit buildings;
18                (ii) the development and implementation of (1)
19            time-of-use rates and their benefit for electric
20            vehicle users and for all customers, (2) optimized
21            charging programs to achieve identified savings,
22            and (3) new contracts and compensation for
23            services in the optimized charging programs,
24            through signals that allow electric vehicle
25            charging to respond to local system conditions,
26            manage critical peak periods, serve as a demand

 

 

SB0025 Enrolled- 681 -LRB104 07069 BAB 17106 b

1            response or peak resource, and maximize renewable
2            energy use and integration into the grid; and
3                (iii) commercial tariffs utilizing
4            alternatives to traditional demand-based rate
5            structures that facilitate charging for
6            light-duty, heavy-duty, and fleet electric
7            vehicles.
8                For items (i) through (iii), the utility shall
9            demonstrate methods of minimizing ratepayer
10            impacts and exempting or minimizing, to the extent
11            possible, low-income ratepayers from the costs
12            associated with facilitating the expansion of
13            electric vehicle charging. Investments, programs,
14            and activities proposed to meet the obligations of
15            this subparagraph (M) shall be evaluated and
16            approved by the Commission using the same
17            standards of cost-effectiveness, as described in
18            paragraph (7) of subsection (d), and not be
19            subject to evaluation standards applied to other
20            investments, programs, and activities, such as
21            energy efficiency programs.    
22        (3) To the extent any information in utilities'
23    Multi-Year Integrated Grid Plans is designated as
24    confidential and proprietary under the Commission's rules,
25    the proponent of the designation shall have the burden of
26    making the requisite showing under the Commission's rules.

 

 

SB0025 Enrolled- 682 -LRB104 07069 BAB 17106 b

1    For data that is determined to be confidential or that
2    includes personally identifiable information, the
3    Commission may develop procedures and processes to enable
4    data sharing with parties and stakeholders while ensuring
5    the confidentiality of the information. All confidential
6    information exchanged, submitted, or shared by a utility
7    pursuant to this Section shall be protected from
8    intentional and accidental dissemination. The Commission
9    shall have authority to supervise, protect, and restrict
10    access to all confidential, commercially sensitive, or
11    system security related information and data, and shall be
12    authorized to take all necessary steps to protect that
13    information from unauthorized disclosure. This paragraph
14    shall not be interpreted to require a utility to make
15    publicly available any information or data that could
16    compromise the physical or cyber security of a utility's
17    distribution system. Any party that accidentally
18    disseminates confidential information obtained pursuant to
19    a proceeding initiated in accordance with this Section, or
20    is the victim of a cyber-security breach, must notify the
21    affected utility, the Illinois Attorney General, and the
22    Commission staff with 24 hours of knowledge of such
23    dissemination or breach. Any party that fails to provide
24    required notification of such a breach shall be subject to
25    remedies available to the Commission and the Illinois
26    Attorney General.

 

 

SB0025 Enrolled- 683 -LRB104 07069 BAB 17106 b

1        (4) It is the policy of this State that holistic
2    consideration of all related investments, planning
3    processes, tariffs, rate design options, programs, and
4    other utility policies and plans shall be required. To
5    that end, the Commission shall consider, comprehensively,
6    the impact of all related plans, tariffs, programs, and
7    policies on the Plan and on each other, including:
8            (A) time-of-use pricing program pursuant to
9        Section 16-107.7 of this Act, hourly pricing program
10        pursuant to Section 16-107 of this Act, and any other
11        time-variant or dynamic pricing program;
12            (B) distributed generation rebate pursuant to
13        Section 16-107.6 of this Act;
14            (C) net electricity metering, pursuant to Section
15        16-107.5 of this Act;
16            (D) energy efficiency programs pursuant to Section
17        8-103B of this Act;
18            (E) beneficial electrification programs pursuant
19        to Section 16-107.8 of this Act;
20            (F) Equitable Energy Upgrade Program pursuant to
21        Section 16-111.10 of this Act;
22            (G) renewable energy programs and procurements set
23        forth in the Illinois Power Agency Act, including, but
24        not limited to, those set forth in the long-term
25        renewable resources procurement plan developed
26        pursuant to Section 1-20 of that Act; and

 

 

SB0025 Enrolled- 684 -LRB104 07069 BAB 17106 b

1            (H) other plans, programs, and policies that are
2        relevant to distribution grid investments, costs,
3        planning, and other categories as requested by the
4        Commission.
5        The Plan shall comprehensively detail the relationship
6    between these plans, tariffs, and programs and to the
7    electric utility's achievement of the objectives in
8    subsection (d). The Plan shall be designed to coordinate
9    each of these plans, programs, and tariffs with the
10    electric utility's long-term distribution system
11    investment planning in order to maximize the benefits of
12    each.
13        (5) The initiating order for the initial Multi-Year
14    Integrated Grid Plan, as well as each electric utility's
15    subsequent Integrated Grid Plans under subsection (g),
16    shall begin a contested proceeding as described in
17    subsection (d) of Section 10-101.1 of this Act.
18            (A) In evaluating a utility's Plan, the Commission
19        shall consider, at minimum, whether the Plan:
20                (1) meets the objectives of this Section;
21                (2) includes the components in paragraph (2)
22            of subsection (f) of this Section;
23                (3) considers and incorporates, where
24            practicable, input from interested stakeholders,
25            including parties and people who offer public
26            comment without legal representation;

 

 

SB0025 Enrolled- 685 -LRB104 07069 BAB 17106 b

1                (4) considers nontraditional, including
2            third-party owned, investment alternatives that
3            can meet grid needs and provide additional
4            benefits (including consumer, economic, and
5            environmental benefits) beyond comparable,
6            traditional utility-planned capital investments;
7                (5) equitably benefits environmental justice
8            communities; and
9                (6) maximizes consumer, environmental,
10            economic, and community benefits over a 10-year
11            horizon.
12            (B) The Commission, after notice and hearing,
13        shall modify each electric utility's Plan as necessary
14        to comply with the objectives of this Section. The
15        Commission may approve, or modify and approve, a Plan
16        only if it finds that the Plan is reasonable, complies
17        with the objectives and requirements of this Section,
18        and reasonably incorporates input from parties. The
19        Commission may reject each electric utility's Plan if
20        it finds that the Plan does not comply with the
21        objectives and requirements of this Section. If the
22        Commission enters an order rejecting a Plan, the
23        utility must refile a Plan within 3 months after that
24        order, and until the Commission approves a Plan, the
25        utility's existing Plan will remain in effect.
26            (C) For the initial Integrated Grid Plan filings,

 

 

SB0025 Enrolled- 686 -LRB104 07069 BAB 17106 b

1        the Commission shall enter an order approving,
2        modifying, or rejecting the Plan no later than
3        December 15, 2023. For subsequent Integrated Grid Plan
4        filings, the Commission shall enter an order
5        approving, modifying, or rejecting the Plan no later
6        than December 15 of the year in which it was filed.
7            (D) Each electric utility shall file its proposed
8        Initial Multi-Year Integrated Grid Plan no later than
9        January 20, 2023. Prior to that date and following the
10        initiating order, the Commission shall initiate a case
11        management conference and shall take any appropriate
12        steps to begin meaningful consideration of issues,
13        including enabling interested parties to begin
14        conducting discovery.
15        (6) As part of its order approving a utility's
16    Multi-Year Integrated Grid Plan, including any
17    modifications required, the Commission may create a
18    subsequent implementation plan docket, or multiple
19    implementation plan dockets, if the Commission determines
20    that multiple dockets would be preferable, to consider a
21    utility's detailed plan or plans, as directed in the
22    Commission's order.
23    (g) No later than January 20, 2026 and every 4 years
24thereafter, each electric utility subject to this Section
25shall file a new Multi-Year Integrated Grid Plan for the
26subsequent 4 delivery years after the completion of the

 

 

SB0025 Enrolled- 687 -LRB104 07069 BAB 17106 b

1then-effective Plan. Each Plan shall meet the requirements
2described in subsection (f) of this Section, and shall be
3preceded by a workshop process which meets the same
4requirements described in subsection (e). If appropriate, the
5Commission may require additional implementation dockets to
6follow Subsequent Multi-Year Integrated Grid Plan filings.
7    (h) During the period leading to approval of the first
8Multi-Year Integrated Grid Plan, each electric utility will
9necessarily continue to invest in its distribution grid. Those
10investments will be subject to a determination of prudence and
11reasonableness consistent with Commission practice and law.
12Any failure of such investments to conform to the Multi-Year
13Integrated Grid Plan ultimately approved shall not imply
14imprudence or unreasonableness.
15    (i) The Commission shall adopt rules to carry out the
16provisions of this Section under the emergency rulemaking
17provisions set forth in Section 5-45 of the Illinois
18Administrative Procedure Act, and such emergency rules may be
19effective no later than 90 days after the effective date of
20this amendatory Act of the 102nd General Assembly.
21(Source: P.A. 102-662, eff. 9-15-21.)
 
22    (220 ILCS 5/16-107.5)
23    Sec. 16-107.5. Net electricity metering.
24    (a) The General Assembly finds and declares that a program
25to provide net electricity metering, as defined in this

 

 

SB0025 Enrolled- 688 -LRB104 07069 BAB 17106 b

1Section, for eligible customers can encourage private
2investment in renewable energy resources, stimulate economic
3growth, enhance the continued diversification of Illinois'
4energy resource mix, and protect the Illinois environment.
5Further, to achieve the goals of this Act that robust options
6for customer-site distributed generation and storage continue
7to thrive in Illinois, the General Assembly finds that a
8predictable transition must be ensured for customers between
9full net metering at the retail electricity rate to the
10distribution generation rebate described in Section 16-107.6.
11    (b) As used in this Section: ,    
12        (i) "Community community renewable generation project"
13    shall have the meaning set forth in Section 1-10 of the
14    Illinois Power Agency Act. ;    
15        (ii) "Eligible eligible customer" means a retail
16    customer that owns, hosts, or operates, including any
17    third-party owned systems, a solar, wind, or other
18    eligible renewable electrical generating facility or an
19    eligible storage device that is located on the customer's
20    premises or customer's side of the billing meter and is
21    intended primarily to offset the customer's own current or
22    future electrical requirements. ;    
23        (iii) "Electricity electricity provider" means an
24    electric utility or alternative retail electric supplier. ;    
25        (iv) "Eligible eligible renewable electrical
26    generating facility" means a generator, which may include

 

 

SB0025 Enrolled- 689 -LRB104 07069 BAB 17106 b

1    the colocation co-location of an energy storage system,
2    that is interconnected under rules adopted by the
3    Commission and is powered by solar electric energy, wind,
4    dedicated crops grown for electricity generation,
5    agricultural residues, untreated and unadulterated wood
6    waste, livestock manure, anaerobic digestion of livestock
7    or food processing waste, fuel cells or microturbines
8    powered by renewable fuels, or hydroelectric energy. ;    
9        (v) "Net net electricity metering" (or "net metering")
10    means the measurement, during the billing period
11    applicable to an eligible customer, of the net amount of
12    electricity supplied by an electricity provider to the
13    customer or provided to the electricity provider by the
14    customer or subscriber. ;    
15        (vi) "Subscriber subscriber" shall have the meaning as
16    set forth in Section 1-10 of the Illinois Power Agency
17    Act. ;    
18        (vii) "Subscription subscription" shall have the
19    meaning set forth in Section 1-10 of the Illinois Power
20    Agency Act. ;    
21        (viii) "Energy energy storage system" means
22    commercially available technology that is capable of
23    absorbing energy and storing it for a period of time for
24    use at a later time, including, but not limited to,
25    electrochemical, thermal, and electromechanical
26    technologies, and may be interconnected behind the

 

 

SB0025 Enrolled- 690 -LRB104 07069 BAB 17106 b

1    customer's meter or interconnected behind its own meter. ;
2    and    
3        (ix) "Future future electrical requirements" means
4    modeled electrical requirements upon occupation of a new
5    or vacant property, and other reasonable expectations of
6    future electrical use, as well as, for occupied
7    properties, a reasonable approximation of the annual load
8    of 2 electric vehicles and, for non-electric heating
9    customers, a reasonable approximation of the incremental
10    electric load associated with fuel switching. The
11    approximations shall be applied to the appropriate net
12    metering tariff and do not need to be unique to each
13    individual eligible customer. The utility shall submit
14    these approximations to the Commission for review,
15    modification, and approval.
16        (x) "Vehicle storage system" means a vehicle that when
17    connected to an electric utility's distribution system is
18    capable of being an energy storage system, as defined in
19    Section 16-107.6.    
20    (c) A net metering facility shall be equipped with
21metering equipment that can measure the flow of electricity in
22both directions at the same rate.
23        (1) For eligible customers whose electric service has
24    not been declared competitive pursuant to Section 16-113
25    of this Act as of July 1, 2011 and whose electric delivery
26    service is provided and measured on a kilowatt-hour basis

 

 

SB0025 Enrolled- 691 -LRB104 07069 BAB 17106 b

1    and electric supply service is not provided based on
2    hourly pricing, this shall typically be accomplished
3    through use of a single, bi-directional meter. If the
4    eligible customer's existing electric revenue meter does
5    not meet this requirement, the electricity provider shall
6    arrange for the local electric utility or a meter service
7    provider to install and maintain a new revenue meter at
8    the electricity provider's expense, which may be the smart
9    meter described by subsection (b) of Section 16-108.5 of
10    this Act.
11        (2) For eligible customers whose electric service has
12    not been declared competitive pursuant to Section 16-113
13    of this Act as of July 1, 2011 and whose electric delivery
14    service is provided and measured on a kilowatt demand
15    basis and electric supply service is not provided based on
16    hourly pricing, this shall typically be accomplished
17    through use of a dual channel meter capable of measuring
18    the flow of electricity both into and out of the
19    customer's facility at the same rate and ratio. If such
20    customer's existing electric revenue meter does not meet
21    this requirement, then the electricity provider shall
22    arrange for the local electric utility or a meter service
23    provider to install and maintain a new revenue meter at
24    the electricity provider's expense, which may be the smart
25    meter described by subsection (b) of Section 16-108.5 of
26    this Act.

 

 

SB0025 Enrolled- 692 -LRB104 07069 BAB 17106 b

1        (3) For all other eligible customers, until such time
2    as the local electric utility installs a smart meter, as
3    described by subsection (b) of Section 16-108.5 of this
4    Act, the electricity provider may arrange for the local
5    electric utility or a meter service provider to install
6    and maintain metering equipment capable of measuring the
7    flow of electricity both into and out of the customer's
8    facility at the same rate and ratio, typically through the
9    use of a dual channel meter. If the eligible customer's
10    existing electric revenue meter does not meet this
11    requirement, then the costs of installing such equipment
12    shall be paid for by the customer.
13    (d) An electricity provider shall measure and charge or
14credit for the net electricity supplied to eligible customers
15or provided by eligible customers whose electric service has
16not been declared competitive pursuant to Section 16-113 of
17this Act as of July 1, 2011 and whose electric delivery service
18is provided and measured on a kilowatt-hour basis and electric
19supply service is not provided based on hourly pricing in the
20following manner:
21        (1) If the amount of electricity used by the customer
22    during the billing period exceeds the amount of
23    electricity produced by the customer, the electricity
24    provider shall charge the customer for the net electricity
25    supplied to and used by the customer as provided in
26    subsection (e-5) of this Section.

 

 

SB0025 Enrolled- 693 -LRB104 07069 BAB 17106 b

1        (2) If the amount of electricity produced by a
2    customer during the billing period exceeds the amount of
3    electricity used by the customer during that billing
4    period, the electricity provider supplying that customer
5    shall apply a 1:1 kilowatt-hour credit to a subsequent
6    bill for service to the customer for the net electricity
7    supplied to the electricity provider. The electricity
8    provider shall continue to carry over any excess
9    kilowatt-hour credits earned and apply those credits to
10    subsequent billing periods to offset any
11    customer-generator consumption in those billing periods
12    until all credits are used or until the end of the
13    annualized period.
14        (3) At the end of the year or annualized over the
15    period that service is supplied by means of net metering,
16    or in the event that the retail customer terminates
17    service with the electricity provider prior to the end of
18    the year or the annualized period, any remaining credits
19    in the customer's account shall expire.
20    (d-5) An electricity provider shall measure and charge or
21credit for the net electricity supplied to eligible customers
22or provided by eligible customers whose electric service has
23not been declared competitive pursuant to Section 16-113 of
24this Act as of July 1, 2011 and whose electric delivery service
25is provided and measured on a kilowatt-hour basis and electric
26supply service is provided based on hourly pricing or

 

 

SB0025 Enrolled- 694 -LRB104 07069 BAB 17106 b

1time-of-use rates in the following manner:
2        (1) If the amount of electricity used by the customer
3    during any hourly period or time-of-use period exceeds the
4    amount of electricity produced by the customer, the
5    electricity provider shall charge the customer for the net
6    electricity supplied to and used by the customer according
7    to the terms of the contract or tariff to which the same
8    customer would be assigned to or be eligible for if the
9    customer was not a net metering customer.
10        (2) If the amount of electricity produced by a
11    customer during any hourly period or time-of-use period
12    exceeds the amount of electricity used by the customer
13    during that hourly period or time-of-use period, the
14    energy provider shall apply a credit for the net
15    kilowatt-hours produced in such period. The credit shall
16    consist of an energy credit and a delivery service credit.
17    The energy credit shall be valued at the same price per
18    kilowatt-hour as the electric service provider would
19    charge for kilowatt-hour energy sales during that same
20    hourly period or time-of-use period. The delivery credit
21    shall be equal to the net kilowatt-hours produced in such
22    hourly period or time-of-use period times a credit that
23    reflects all kilowatt-hour based charges in the customer's
24    electric service rate, excluding energy charges.
25    (e) An electricity provider shall measure and charge or
26credit for the net electricity supplied to eligible customers

 

 

SB0025 Enrolled- 695 -LRB104 07069 BAB 17106 b

1whose electric service has not been declared competitive
2pursuant to Section 16-113 of this Act as of July 1, 2011 and
3whose electric delivery service is provided and measured on a
4kilowatt demand basis and electric supply service is not
5provided based on hourly pricing in the following manner:
6        (1) If the amount of electricity used by the customer
7    during the billing period exceeds the amount of
8    electricity produced by the customer, then the electricity
9    provider shall charge the customer for the net electricity
10    supplied to and used by the customer as provided in
11    subsection (e-5) of this Section. The customer shall
12    remain responsible for all taxes, fees, and utility
13    delivery charges that would otherwise be applicable to the
14    net amount of electricity used by the customer.
15        (2) If the amount of electricity produced by a
16    customer during the billing period exceeds the amount of
17    electricity used by the customer during that billing
18    period, then the electricity provider supplying that
19    customer shall apply a 1:1 kilowatt-hour credit that
20    reflects the kilowatt-hour based charges in the customer's
21    electric service rate to a subsequent bill for service to
22    the customer for the net electricity supplied to the
23    electricity provider. The electricity provider shall
24    continue to carry over any excess kilowatt-hour credits
25    earned and apply those credits to subsequent billing
26    periods to offset any customer-generator consumption in

 

 

SB0025 Enrolled- 696 -LRB104 07069 BAB 17106 b

1    those billing periods until all credits are used or until
2    the end of the annualized period.
3        (3) At the end of the year or annualized over the
4    period that service is supplied by means of net metering,
5    or in the event that the retail customer terminates
6    service with the electricity provider prior to the end of
7    the year or the annualized period, any remaining credits
8    in the customer's account shall expire.
9    (e-5) An electricity provider shall provide electric
10service to eligible customers who utilize net metering at
11non-discriminatory rates that are identical, with respect to
12rate structure, retail rate components, and any monthly
13charges, to the rates that the customer would be charged if not
14a net metering customer. An electricity provider shall not
15charge net metering customers any fee or charge or require
16additional equipment, insurance, or any other requirements not
17specifically authorized by interconnection standards
18authorized by the Commission, unless the fee, charge, or other
19requirement would apply to other similarly situated customers
20who are not net metering customers. The customer will remain
21responsible for all taxes, fees, and utility delivery charges
22that would otherwise be applicable to the net amount of
23electricity used by the customer. Subsections (c) through (e)
24of this Section shall not be construed to prevent an
25arms-length agreement between an electricity provider and an
26eligible customer that sets forth different prices, terms, and

 

 

SB0025 Enrolled- 697 -LRB104 07069 BAB 17106 b

1conditions for the provision of net metering service,
2including, but not limited to, the provision of the
3appropriate metering equipment for non-residential customers.
4    (f) Notwithstanding the requirements of subsections (c)
5through (e-5) of this Section, an electricity provider must
6require dual-channel metering for customers operating eligible
7renewable electrical generating facilities to whom the
8provisions of neither subsection (d), (d-5), nor (e) of this
9Section apply. In such cases, electricity charges and credits
10shall be determined as follows:
11        (1) The electricity provider shall assess and the
12    customer remains responsible for all taxes, fees, and
13    utility delivery charges that would otherwise be
14    applicable to the gross amount of kilowatt-hours supplied
15    to the eligible customer by the electricity provider.
16        (2) Each month that service is supplied by means of
17    dual-channel metering, the electricity provider shall
18    compensate the eligible customer for any excess
19    kilowatt-hour credits at the electricity provider's
20    avoided cost of electricity supply over the monthly period
21    or as otherwise specified by the terms of a power-purchase
22    agreement negotiated between the customer and electricity
23    provider.
24        (3) For all eligible net metering customers taking
25    service from an electricity provider under contracts or
26    tariffs employing hourly or time-of-use rates, any monthly

 

 

SB0025 Enrolled- 698 -LRB104 07069 BAB 17106 b

1    consumption of electricity shall be calculated according
2    to the terms of the contract or tariff to which the same
3    customer would be assigned to or be eligible for if the
4    customer was not a net metering customer. When those same
5    customer-generators are net generators during any discrete
6    hourly or time-of-use period, the net kilowatt-hours
7    produced shall be valued at the same price per
8    kilowatt-hour as the electric service provider would
9    charge for retail kilowatt-hour sales during that same
10    time-of-use period.
11    (g) For purposes of federal and State laws providing
12renewable energy credits or greenhouse gas credits, the
13eligible customer shall be treated as owning and having title
14to the renewable energy attributes, renewable energy credits,
15and greenhouse gas emission credits related to any electricity
16produced by the qualified generating unit. The electricity
17provider may not condition participation in a net metering
18program on the signing over of a customer's renewable energy
19credits; provided, however, this subsection (g) shall not be
20construed to prevent an arms-length agreement between an
21electricity provider and an eligible customer that sets forth
22the ownership or title of the credits.
23    (h) Within 120 days after the effective date of this
24amendatory Act of the 95th General Assembly, the Commission
25shall establish standards for net metering and, if the
26Commission has not already acted on its own initiative,

 

 

SB0025 Enrolled- 699 -LRB104 07069 BAB 17106 b

1standards for the interconnection of eligible renewable
2generating equipment to the utility system. The
3interconnection standards shall address any procedural
4barriers, delays, and administrative costs associated with the
5interconnection of customer-generation while ensuring the
6safety and reliability of the units and the electric utility
7system. The Commission shall consider the Institute of
8Electrical and Electronics Engineers (IEEE) Standard 1547 and
9the issues of (i) reasonable and fair fees and costs, (ii)
10clear timelines for major milestones in the interconnection
11process, (iii) nondiscriminatory terms of agreement, and (iv)
12any best practices for interconnection of distributed
13generation.
14    (h-5) Within 90 days after the effective date of this
15amendatory Act of the 102nd General Assembly, the Commission
16shall:
17        (1) establish an Interconnection Working Group. The
18    working group shall include representatives from electric
19    utilities, developers of renewable electric generating
20    facilities, other industries that regularly apply for
21    interconnection with the electric utilities,
22    representatives of distributed generation customers, the
23    Commission Staff, and such other stakeholders with a
24    substantial interest in the topics addressed by the
25    Interconnection Working Group. The Interconnection Working
26    Group shall address at least the following issues:

 

 

SB0025 Enrolled- 700 -LRB104 07069 BAB 17106 b

1            (A) cost and best available technology for
2        interconnection and metering, including the
3        standardization and publication of standard costs;
4            (B) transparency, accuracy and use of the
5        distribution interconnection queue and hosting
6        capacity maps;
7            (C) distribution system upgrade cost avoidance
8        through use of advanced inverter functions;
9            (D) predictability of the queue management process
10        and enforcement of timelines;
11            (E) benefits and challenges associated with group
12        studies and cost sharing;
13            (F) minimum requirements for application to the
14        interconnection process and throughout the
15        interconnection process to avoid queue clogging
16        behavior;
17            (G) process and customer service for
18        interconnecting customers adopting distributed energy
19        resources, including energy storage;
20            (H) options for metering distributed energy
21        resources, including energy storage;
22            (I) interconnection of new technologies, including
23        smart inverters and energy storage;
24            (J) collect, share, and examine data on Level 1
25        interconnection costs, including cost and type of
26        upgrades required for interconnection, and use this

 

 

SB0025 Enrolled- 701 -LRB104 07069 BAB 17106 b

1        data to inform the final standardized cost of Level 1
2        interconnection; and
3            (K) such other technical, policy, and tariff
4        issues related to and affecting interconnection
5        performance and customer service as determined by the
6        Interconnection Working Group.
7        The Commission may create subcommittees of the
8    Interconnection Working Group to focus on specific issues
9    of importance, as appropriate. The Interconnection Working
10    Group shall report to the Commission on recommended
11    improvements to interconnection rules and tariffs and
12    policies as determined by the Interconnection Working
13    Group at least every 6 months. Such reports shall include
14    consensus recommendations of the Interconnection Working
15    Group and, if applicable, additional recommendations for
16    which consensus was not reached. The Commission shall use
17    the report from the Interconnection Working Group to
18    determine whether processes should be commenced to
19    formally codify or implement the recommendations;
20        (2) create or contract for an Ombudsman to resolve
21    interconnection disputes through non-binding arbitration.
22    The Ombudsman may be paid in full or in part through fees
23    levied on the initiators of the dispute; and
24        (3) determine a single standardized cost for Level 1
25    interconnections, which shall not exceed $200.
26    (i) All electricity providers shall begin to offer net

 

 

SB0025 Enrolled- 702 -LRB104 07069 BAB 17106 b

1metering no later than April 1, 2008.
2    (j) An electricity provider shall provide net metering to
3eligible customers according to subsections (d), (d-5), and
4(e). Eligible renewable electrical generating facilities for
5which eligible customers registered for net metering before
6January 1, 2025 shall continue to receive net metering
7services according to subsections (d), (d-5), and (e) of this
8Section for the lifetime of the system, regardless of whether
9those retail customers change electricity providers or whether
10the retail customer benefiting from the system changes. On and
11after January 1, 2025, any eligible customer that applies for
12net metering and previously would have qualified under
13subsections (d), (d-5), or (e) shall only be eligible for net
14metering as described in subsection (n).
15    (k) Each electricity provider shall maintain records and
16report annually to the Commission the total number of net
17metering customers served by the provider, as well as the
18type, capacity, and energy sources of the generating systems
19used by the net metering customers. Nothing in this Section
20shall limit the ability of an electricity provider to request
21the redaction of information deemed by the Commission to be
22confidential business information.
23    (l)(1) Notwithstanding the definition of "eligible
24customer" in item (ii) of subsection (b) of this Section, each
25electricity provider shall allow net metering as set forth in
26this subsection (l) and for the following projects, provided

 

 

SB0025 Enrolled- 703 -LRB104 07069 BAB 17106 b

1that only electric utilities serving more than 200,000
2customers as of January 1, 2021 shall provide net metering for
3projects that are eligible for subparagraph (C) of this
4paragraph (1) and have energized after the effective date of
5this amendatory Act of the 102nd General Assembly:
6        (A) properties owned or leased by multiple customers
7    that contribute to the operation of an eligible renewable
8    electrical generating facility through an ownership or
9    leasehold interest of at least 200 watts in such facility,
10    such as a community-owned wind project, a community-owned
11    biomass project, a community-owned solar project, or a
12    community methane digester processing livestock waste from
13    multiple sources, provided that the facility is also
14    located within the utility's service territory;
15        (B) individual units, apartments, or properties
16    located in a single building that are owned or leased by
17    multiple customers and collectively served by a common
18    eligible renewable electrical generating facility, such as
19    an office or apartment building, a shopping center or
20    strip mall served by photovoltaic panels on the roof; and
21        (C) subscriptions to community renewable generation
22    projects, including community renewable generation
23    projects on the customer's side of the billing meter of a
24    host facility and partially used for the customer's own
25    load.
26    In addition, the nameplate capacity of the eligible

 

 

SB0025 Enrolled- 704 -LRB104 07069 BAB 17106 b

1renewable electric generating facility that serves the demand
2of the properties, units, or apartments identified in
3paragraphs (1) and (2) of this subsection (l) shall not exceed
45,000 kilowatts in nameplate capacity in total. Any eligible
5renewable electrical generating facility or community
6renewable generation project that is powered by photovoltaic
7electric energy and installed after the effective date of this
8amendatory Act of the 99th General Assembly must be installed
9by a qualified person in compliance with the requirements of
10Section 16-128A of the Public Utilities Act and any rules or
11regulations adopted thereunder.
12    (2) Notwithstanding anything to the contrary, an
13electricity provider shall provide credits for the electricity
14produced by the projects described in paragraph (1) of this
15subsection (l). The electricity provider shall provide credits
16that include at least energy supply, capacity, transmission,
17and, if applicable, the purchased energy adjustment on the
18subscriber's monthly bill equal to the subscriber's share of
19the production of electricity from the project, as determined
20by paragraph (3) of this subsection (l). For customers with
21transmission or capacity charges not charged on a
22kilowatt-hour basis, the electricity provider shall prepare a
23reasonable approximation of the kilowatt-hour equivalent value
24and provide that value as a monetary credit. The electricity
25provider shall submit these approximation methodologies to the
26Commission for review, modification, and approval.

 

 

SB0025 Enrolled- 705 -LRB104 07069 BAB 17106 b

1Notwithstanding anything to the contrary, customers on payment
2plans or participating in budget billing programs shall have
3credits applied on a monthly basis.
4    (3) Notwithstanding anything to the contrary and
5regardless of whether a subscriber to an eligible community
6renewable generation project receives power and energy service
7from the electric utility or an alternative retail electric
8supplier, for projects eligible under paragraph (C) of
9subparagraph (1) of this subsection (l), electric utilities
10serving more than 200,000 customers as of January 1, 2021
11shall provide the monetary credits to a subscriber's
12subsequent bill for the electricity produced by community
13renewable generation projects. The electric utility shall
14provide monetary credits to a subscriber's subsequent bill at
15the utility's total price to compare equal to the subscriber's
16share of the production of electricity from the project, as
17determined by paragraph (5) of this subsection (l). For the
18purposes of this subsection, "total price to compare" means
19the rate or rates published by the Illinois Commerce
20Commission for energy supply for eligible customers receiving
21supply service from the electric utility, and shall include
22energy, capacity, transmission, and the purchased energy
23adjustment. Notwithstanding anything to the contrary,
24customers on payment plans or participating in budget billing
25programs shall have credits applied on a monthly basis. Any
26applicable credit or reduction in load obligation from the

 

 

SB0025 Enrolled- 706 -LRB104 07069 BAB 17106 b

1production of the community renewable generating projects
2receiving a credit under this subsection shall be credited to
3the electric utility to offset the cost of providing the
4credit. To the extent that the credit or load obligation
5reduction does not completely offset the cost of providing the
6credit to subscribers of community renewable generation
7projects as described in this subsection, the electric utility
8may recover the remaining costs through its Multi-Year Rate
9Plan. All electric utilities serving 200,000 or fewer
10customers as of January 1, 2021 shall only provide the
11monetary credits to a subscriber's subsequent bill for the
12electricity produced by community renewable generation
13projects if the subscriber receives power and energy service
14from the electric utility. Alternative retail electric
15suppliers providing power and energy service to a subscriber
16located within the service territory of an electric utility
17not subject to Sections 16-108.18 and 16-118 shall provide the
18monetary credits to the subscriber's subsequent bill for the
19electricity produced by community renewable generation
20projects.
21    (4) If requested by the owner or operator of a community
22renewable generating project, an electric utility serving more
23than 200,000 customers as of January 1, 2021 shall enter into a
24net crediting agreement with the owner or operator to include
25a subscriber's subscription fee on the subscriber's monthly
26electric bill and provide the subscriber with a net credit

 

 

SB0025 Enrolled- 707 -LRB104 07069 BAB 17106 b

1equivalent to the total bill credit value for that generation
2period minus the subscription fee, provided the subscription
3fee is structured as a fixed percentage of bill credit value.
4The net crediting agreement shall set forth payment terms from
5the electric utility to the owner or operator of the community
6renewable generating project, and the electric utility may
7charge a net crediting fee to the owner or operator of a
8community renewable generating project that may not exceed 1%    
92% of the subscription fee bill credit value. Notwithstanding
10anything to the contrary, an electric utility serving 200,000
11customers or fewer as of January 1, 2021 shall not be obligated
12to enter into a net crediting agreement with the owner or
13operator of a community renewable generating project. An
14electric utility shall use the same net crediting format for
15subscribers on payment plans and subscribers participating in
16budget billing programs. For the purposes of this paragraph
17(4), "net crediting" means a program offered by an electric
18utility under which the electric utility, upon authorization
19by or on behalf of a subscriber, remits the cash value of the
20subscription fee to the owner or operator of the community
21renewable generation facility without regard to whether the
22subscriber has paid the subscriber's monthly electric bill and
23places the cash value of the remaining bill credit on the
24subscriber's bill.    
25    (5) For the purposes of facilitating net metering, the
26owner or operator of the eligible renewable electrical

 

 

SB0025 Enrolled- 708 -LRB104 07069 BAB 17106 b

1generating facility or community renewable generation project
2shall be responsible for determining the amount of the credit
3that each customer or subscriber participating in a project
4under this subsection (l) is to receive in the following
5manner:
6        (A) The owner or operator shall, on a monthly basis,
7    provide to the electric utility the kilowatthours of
8    generation attributable to each of the utility's retail
9    customers and subscribers participating in projects under
10    this subsection (l) in accordance with the customer's or
11    subscriber's share of the eligible renewable electric
12    generating facility's or community renewable generation
13    project's output of power and energy for such month. The
14    owner or operator shall electronically transmit such
15    calculations and associated documentation to the electric
16    utility, in a format or method set forth in the applicable
17    tariff, on a monthly basis so that the electric utility
18    can reflect the monetary credits on customers' and
19    subscribers' electric utility bills. The electric utility
20    shall be permitted to revise its tariffs to implement the
21    provisions of this amendatory Act of the 102nd General
22    Assembly. The owner or operator shall separately provide
23    the electric utility with the documentation detailing the
24    calculations supporting the credit in the manner set forth
25    in the applicable tariff.
26        (B) For those participating customers and subscribers

 

 

SB0025 Enrolled- 709 -LRB104 07069 BAB 17106 b

1    who receive their energy supply from an alternative retail
2    electric supplier, the electric utility shall remit to the
3    applicable alternative retail electric supplier the
4    information provided under subparagraph (A) of this
5    paragraph (3) for such customers and subscribers in a
6    manner set forth in such alternative retail electric
7    supplier's net metering program, or as otherwise agreed
8    between the utility and the alternative retail electric
9    supplier. The alternative retail electric supplier shall
10    then submit to the utility the amount of the charges for
11    power and energy to be applied to such customers and
12    subscribers, including the amount of the credit associated
13    with net metering.
14        (C) A participating customer or subscriber may provide
15    authorization as required by applicable law that directs
16    the electric utility to submit information to the owner or
17    operator of the eligible renewable electrical generating
18    facility or community renewable generation project to
19    which the customer or subscriber has an ownership or
20    leasehold interest or a subscription. Such information
21    shall be limited to the components of the net metering
22    credit calculated under this subsection (l), including the
23    bill credit rate, total kilowatthours, and total monetary
24    credit value applied to the customer's or subscriber's
25    bill for the monthly billing period.
26    (l-5) Within 90 days after the effective date of this

 

 

SB0025 Enrolled- 710 -LRB104 07069 BAB 17106 b

1amendatory Act of the 102nd General Assembly, each electric
2utility subject to this Section shall file a tariff or tariffs
3to implement the provisions of subsection (l) of this Section,
4which shall, consistent with the provisions of subsection (l),
5describe the terms and conditions under which owners or
6operators of qualifying properties, units, or apartments may
7participate in net metering. The Commission shall approve, or
8approve with modification, the tariff within 120 days after
9the effective date of this amendatory Act of the 102nd General
10Assembly.
11    (l-10) Within 30 days after the effective date of this
12amendatory Act of the 104th General Assembly, each electricity
13provider shall modify its tariffs to allow net metering as set
14forth in this subsection for an energy storage system or
15vehicle storage system energized after the effective date of
16this amendatory Act of the 104th General Assembly with a
17nameplate capacity of not more than 5,000 kilowatts. If the
18Commission chooses to suspend the modified tariffs, the
19Commission shall issue a final order approving, or approving
20with modification, the modified tariffs no later than 90 days
21after the Commission initiates the docket.    
22    An energy storage system or vehicle storage system
23eligible for net metering under this subsection may be
24interconnected behind the meter of a retail customer or at the
25distribution system level of an electric utility as follows:
26        (A) if the energy storage system or vehicle storage

 

 

SB0025 Enrolled- 711 -LRB104 07069 BAB 17106 b

1    system is interconnected behind the meter of a retail
2    customer, in order to receive net metering under this
3    subsection, the eligible customer behind whose meter the
4    energy storage system is interconnected must receive
5    service from an electricity provider under an hourly
6    supply tariff, a time-of-use supply tariff, or a
7    time-of-use contract with an alternative retail electric
8    supplier; or
9        (B) if the energy storage system or vehicle storage
10    system is interconnected at the distribution system level
11    of an electric utility and not behind the meter of a retail
12    customer, the energy storage system or vehicle storage
13    system must receive service from an electricity provider
14    as a retail customer under an hourly supply tariff
15    authorized by Section 16-107, a supply tariff or contract
16    on substantially similar terms and conditions with an
17    alternative retail electric supplier, a time-of-use supply
18    tariff, or a time-of-use supply contract with an
19    alternative retail electric supplier.
20    If the energy storage system or vehicle storage system is
21interconnected behind the meter of an eligible customer, the
22eligible customer shall receive net metering based on hourly
23or time-of-use rates in accordance with the terms of
24subsection (d-5) or (f) or paragraph (2) of subsection (n) of
25this Section, as applicable to the eligible customer. If the
26energy storage system or vehicle storage system is

 

 

SB0025 Enrolled- 712 -LRB104 07069 BAB 17106 b

1interconnected at the distribution system level of an electric
2utility and not behind the meter of a retail customer, then the
3energy storage system or vehicle storage system shall receive
4net metering pursuant to the terms of subsection (f) of this
5Section.    
6    (m) Nothing in this Section shall affect the right of an
7electricity provider to continue to provide, or the right of a
8retail customer to continue to receive service pursuant to a
9contract for electric service between the electricity provider
10and the retail customer in accordance with the prices, terms,
11and conditions provided for in that contract. Either the
12electricity provider or the customer may require compliance
13with the prices, terms, and conditions of the contract.
14    (n) On and after January 1, 2025, the net metering
15services described in subsections (d), (d-5), and (e) of this
16Section shall no longer be offered, except as to those
17eligible renewable electrical generating facilities for which
18retail customers are receiving net metering service under
19these subsections at the time the net metering services under
20those subsections are no longer offered; those systems shall
21continue to receive net metering services described in
22subsections (d), (d-5), and (e) of this Section for the
23lifetime of the system, regardless of if those retail
24customers change electricity providers or whether the retail
25customer benefiting from the system changes. The electric
26utility serving more than 200,000 customers as of January 1,

 

 

SB0025 Enrolled- 713 -LRB104 07069 BAB 17106 b

12021 is responsible for ensuring the billing credits continue
2without lapse for the lifetime of systems, as required in
3subsection (o). Those retail customers that begin taking net
4metering service after the date that net metering services are
5no longer offered under such subsections shall be subject to
6the provisions set forth in the following paragraphs (1)
7through (3) of this subsection (n):
8        (1) An electricity provider shall charge or credit for
9    the net electricity supplied to eligible customers or
10    provided by eligible customers whose electric supply
11    service is not provided based on hourly pricing in the
12    following manner:
13            (A) If the amount of electricity used by the
14        customer during the monthly billing period exceeds the
15        amount of electricity produced by the customer, then
16        the electricity provider shall charge the customer for
17        the net kilowatt-hour based electricity charges
18        reflected in the customer's electric service rate
19        supplied to and used by the customer as provided in
20        paragraph (3) of this subsection (n).
21            (B) If the amount of electricity produced by a
22        customer during the monthly billing period exceeds the
23        amount of electricity used by the customer during that
24        billing period, then the electricity provider
25        supplying that customer shall apply a 1:1
26        kilowatt-hour energy or monetary credit kilowatt-hour

 

 

SB0025 Enrolled- 714 -LRB104 07069 BAB 17106 b

1        supply charges to the customer's subsequent bill. The
2        customer shall choose between 1:1 kilowatt-hour or
3        monetary credit at the time of application. For the
4        purposes of this subsection, "kilowatt-hour supply
5        charges" means the kilowatt-hour equivalent values for
6        energy, capacity, transmission, and the purchased
7        energy adjustment, if applicable. Notwithstanding
8        anything to the contrary, customers on payment plans
9        or participating in budget billing programs shall have
10        credits applied on a monthly basis. The electricity
11        provider shall continue to carry over any excess
12        kilowatt-hour or monetary energy credits earned and
13        apply those credits to subsequent billing periods. For
14        customers with transmission or capacity charges not
15        charged on a kilowatt-hour basis, the electricity
16        provider shall prepare a reasonable approximation of
17        the kilowatt-hour equivalent value and provide that
18        value as a monetary credit. The electricity provider
19        shall submit these approximation methodologies to the
20        Commission for review, modification, and approval.
21            (C) (Blank).
22        (2) An electricity provider shall charge or credit for
23    the net electricity supplied to eligible customers or
24    provided by eligible customers whose electric supply
25    service is provided based on hourly pricing in the
26    following manner:

 

 

SB0025 Enrolled- 715 -LRB104 07069 BAB 17106 b

1            (A) If the amount of electricity used by the
2        customer during any hourly period exceeds the amount
3        of electricity produced by the customer, then the
4        electricity provider shall charge the customer for the
5        net electricity supplied to and used by the customer
6        as provided in paragraph (3) of this subsection (n).
7            (B) If the amount of electricity produced by a
8        customer during any hourly period exceeds the amount
9        of electricity used by the customer during that hourly
10        period, the energy provider shall calculate an energy
11        credit for the net kilowatt-hours produced in such
12        period, and shall apply that credit as a monetary
13        credit to the customer's subsequent bill. The value of
14        the energy credit shall be calculated using the same
15        price per kilowatt-hour as the electric service
16        provider would charge for kilowatt-hour energy sales
17        during that same hourly period and shall also include
18        values for capacity and transmission. For customers
19        with transmission or capacity charges not charged on a
20        kilowatt-hour basis, the electricity provider shall
21        prepare a reasonable approximation of the
22        kilowatt-hour equivalent value and provide that value
23        as a monetary credit. The electricity provider shall
24        submit these approximation methodologies to the
25        Commission for review, modification, and approval.
26        Notwithstanding anything to the contrary, customers on

 

 

SB0025 Enrolled- 716 -LRB104 07069 BAB 17106 b

1        payment plans or participating in budget billing
2        programs shall have credits applied on a monthly
3        basis.
4        (3) An electricity provider shall provide electric
5    service to eligible customers who utilize net metering at
6    non-discriminatory rates that are identical, with respect
7    to rate structure, retail rate components, and any monthly
8    charges, to the rates that the customer would be charged
9    if not a net metering customer. An electricity provider
10    shall charge the customer for the net electricity supplied
11    to and used by the customer according to the terms of the
12    contract or tariff to which the same customer would be
13    assigned or be eligible for if the customer was not a net
14    metering customer. An electricity provider shall not
15    charge net metering customers any fee or charge or require
16    additional equipment, insurance, or any other requirements
17    not specifically authorized by interconnection standards
18    authorized by the Commission, unless the fee, charge, or
19    other requirement would apply to other similarly situated
20    customers who are not net metering customers. The customer
21    remains responsible for the gross amount of delivery
22    services charges, supply-related charges that are kilowatt
23    based, and all taxes and fees related to such charges. The
24    customer also remains responsible for all taxes and fees
25    that would otherwise be applicable to the net amount of
26    electricity used by the customer. Paragraphs (1) and (2)

 

 

SB0025 Enrolled- 717 -LRB104 07069 BAB 17106 b

1    of this subsection (n) shall not be construed to prevent
2    an arms-length agreement between an electricity provider
3    and an eligible customer that sets forth different prices,
4    terms, and conditions for the provision of net metering
5    service, including, but not limited to, the provision of
6    the appropriate metering equipment for non-residential
7    customers. Nothing in this paragraph (3) shall be
8    interpreted to mandate that a utility that is only
9    required to provide delivery services to a given customer
10    must also sell electricity to such customer.
11    (o) Within 90 days after the effective date of this
12amendatory Act of the 102nd General Assembly, each electric
13utility subject to this Section shall file a tariff, which
14shall, consistent with the provisions of this Section, propose
15the terms and conditions under which a customer may
16participate in net metering. The tariff for electric utilities
17serving more than 200,000 customers as of January 1, 2021
18shall also provide a streamlined and transparent bill
19crediting system for net metering to be managed by the
20electric utilities. The terms and conditions shall include,
21but are not limited to, that an electric utility shall manage
22and maintain billing of net metering credits and charges
23regardless of if the eligible customer takes net metering
24under an electric utility or alternative retail electric
25supplier. The electric utility serving more than 200,000
26customers as of January 1, 2021 shall process and approve all

 

 

SB0025 Enrolled- 718 -LRB104 07069 BAB 17106 b

1net metering applications, even if an eligible customer is
2served by an alternative retail electric supplier; and the
3utility shall forward application approval to the appropriate
4alternative retail electric supplier. Eligibility for net
5metering shall remain with the owner of the utility billing
6address such that, if an eligible renewable electrical
7generating facility changes ownership, the net metering
8eligibility transfers to the new owner. The electric utility
9serving more than 200,000 customers as of January 1, 2021
10shall manage net metering billing for eligible customers to
11ensure full crediting occurs on electricity bills, including,
12but not limited to, ensuring net metering crediting begins
13upon commercial operation date, net metering billing transfers
14immediately if an eligible customer switches from an electric
15utility to alternative retail electric supplier or vice versa,
16and net metering billing transfers between ownership of a
17valid billing address. All transfers referenced in the
18preceding sentence shall include transfer of all banked
19credits. All electric utilities serving 200,000 or fewer
20customers as of January 1, 2021 shall manage net metering
21billing for eligible customers receiving power and energy
22service from the electric utility to ensure full crediting
23occurs on electricity bills, ensuring net metering crediting
24begins upon commercial operation date, net metering billing
25transfers immediately if an eligible customer switches from an
26electric utility to alternative retail electric supplier or

 

 

SB0025 Enrolled- 719 -LRB104 07069 BAB 17106 b

1vice versa, and net metering billing transfers between
2ownership of a valid billing address. Alternative retail
3electric suppliers providing power and energy service to
4eligible customers located within the service territory of an
5electric utility serving 200,000 or fewer customers as of
6January 1, 2021 shall manage net metering billing for eligible
7customers to ensure full crediting occurs on electricity
8bills, including, but not limited to, ensuring net metering
9crediting begins upon commercial operation date, net metering
10billing transfers immediately if an eligible customer switches
11from an electric utility to alternative retail electric
12supplier or vice versa, and net metering billing transfers
13between ownership of a valid billing address.
14(Source: P.A. 102-662, eff. 9-15-21.)
 
15    (220 ILCS 5/16-107.6)
16    Sec. 16-107.6. Distributed generation and storage rebate.
17    (a) In this Section:
18    "Additive services" means the services that distributed
19energy resources provide to the energy system and society that
20are described in Section 16-107.9 not (1) already included in
21the base rebates for system-wide grid services; or (2)
22otherwise already compensated. Additive services may reflect,
23but shall not be limited to, any geographic, time-based,
24performance-based, and other benefits of distributed energy
25resources, as well as the present and future technological

 

 

SB0025 Enrolled- 720 -LRB104 07069 BAB 17106 b

1capabilities of distributed energy resources and present and
2future grid needs.
3    "Distributed energy resource" means a wide range of
4technologies that are located on the customer side of the
5customer's electric meter, including, but not limited to,
6distributed generation, energy storage, electric vehicles, and
7demand response technologies.
8    "Distributed storage" means energy storage systems that
9are interconnected behind the customer's meter to the
10distribution system or interconnected behind the storage
11system's own meter to the distribution system.    
12    "Energy storage system" means commercially available
13technology that is capable of absorbing energy and storing it
14for a period of time for use at a later time, including, but
15not limited to, electrochemical, thermal, and
16electromechanical technologies, and may be interconnected
17behind the customer's meter or interconnected behind its own
18meter.
19    "Smart inverter" means a device that converts direct
20current into alternating current and meets the IEEE 1547-2018
21equipment standards. Until devices that meet the IEEE
221547-2018 standard are available, devices that meet the UL
231741 SA standard are acceptable.
24    "Subscriber" has the meaning set forth in Section 1-10 of
25the Illinois Power Agency Act.
26    "Subscription" has the meaning set forth in Section 1-10

 

 

SB0025 Enrolled- 721 -LRB104 07069 BAB 17106 b

1of the Illinois Power Agency Act.
2    "System-wide grid services" means the benefits that a
3distributed energy resource provides to the distribution grid
4for a period of no less than 25 years. System-wide grid
5services do not vary by location, time, or the performance
6characteristics of the distributed energy resource.
7System-wide grid services include, but are not limited to,
8avoided or deferred distribution capacity costs, resilience
9and reliability benefits, avoided or deferred distribution
10operation and maintenance costs, distribution voltage and
11power quality benefits, and line loss reductions.
12    "Threshold date" means the date 2 years after the
13effective date of this amendatory Act of the 104th General
14Assembly December 31, 2024 or the date on which the utility's
15tariff or tariffs authorized by Section 16-107.9 setting the
16new compensation values established under subsection (e) take
17effect, whichever is later.
18    (b) An electric utility that serves more than 200,000
19customers in the State shall file a petition with the
20Commission requesting approval of the utility's tariff to
21provide a rebate to the owner or operator of distributed
22generation, including third-party owned systems, that meets
23the following criteria:
24        (1) has a nameplate generating capacity no greater
25    than 5,000 kilowatts and is primarily used to offset a
26    customer's electricity load, or as otherwise as defined

 

 

SB0025 Enrolled- 722 -LRB104 07069 BAB 17106 b

1    for community renewable generation projects in Section
2    1-10 of the Illinois Power Agency Act;
3        (2) is located on the customer's side of the billing
4    meter and for the customer's own use;
5        (3) is interconnected to electric distribution
6    facilities owned by the electric utility under rules
7    adopted by the Commission by means of one or more
8    inverters or smart inverters required by this Section, as
9    applicable.
10    For purposes of this Section, "distributed generation"
11shall satisfy the definition of distributed renewable energy
12generation device set forth in Section 1-10 of the Illinois
13Power Agency Act to the extent such definition is consistent
14with the requirements of this Section.
15    In addition, any new photovoltaic distributed generation
16that is installed after June 1, 2017 (the effective date of
17Public Act 99-906) must be installed by a qualified person, as
18defined by subsection (i) of Section 1-56 of the Illinois
19Power Agency Act.
20    The tariff shall include a base rebate that compensates
21distributed generation for the system-wide grid services
22associated with distributed generation and, after the
23proceeding described in subsection (e) of this Section, an
24additional payment or payments for any the additive services
25identified by the Commission under Section 16-107.9. The
26distributed generation and storage tariff shall provide that

 

 

SB0025 Enrolled- 723 -LRB104 07069 BAB 17106 b

1the smart inverter or smart inverters associated with the
2distributed generation shall provide autonomous response to
3grid conditions through its default settings as approved by
4the Commission. Default settings may not be changed after the
5execution of the interconnection agreement except by mutual
6agreement between the utility and the owner or operator of the
7distributed generation. Nothing in this Section shall negate
8or supersede Institute of Electrical and Electronics Engineers
9equipment standards or other similar standards or
10requirements. The tariff shall not limit the ability of the
11smart inverter or smart inverters or other distributed energy
12resource to provide wholesale market products such as
13regulation, demand response, or other services, or limit the
14ability of the owner of the smart inverter or the other
15distributed energy resource to receive compensation for
16providing those wholesale market products or services.
17    (b-5) Within 30 days after the effective date of this
18amendatory Act of the 102nd General Assembly, each electric
19public utility with 3,000,000 or more retail customers shall
20file a tariff with the Commission that further compensates any
21retail customer that installs or has installed photovoltaic
22facilities paired with energy storage facilities on or
23adjacent to its premises for the benefits the facilities
24provide to the distribution grid. The tariff shall provide
25that, in addition to the other rebates identified in this
26Section, the electric utility shall rebate to such retail

 

 

SB0025 Enrolled- 724 -LRB104 07069 BAB 17106 b

1customer (i) the previously incurred and future costs of
2installing interconnection facilities and related
3infrastructure to enable full participation in the PJM
4Interconnection, LLC or its successor organization frequency
5regulation market; and (ii) all wholesale demand charges
6incurred after the effective date of this amendatory Act of
7the 102nd General Assembly. The Commission shall approve, or
8approve with modification, the tariff within 120 days after
9the utility's filing.
10    To be eligible for a rebate described in this subsection
11(b-5), the owner or operator of the distributed generation
12shall provide proof of participation in the frequency
13regulation market. Upon providing proof of participation, the
14retail customer shall be entitled to a rebate equal to the cost
15of the interconnection facilities paid to ComEd, regardless of
16whether the retail customer would have incurred the
17interconnection costs in the absence of participating in the
18frequency regulation market, plus the cost of software,
19telecommunications hardware, and telemetry paid to enable
20communication with PJM for purposes of participating in the
21frequency regulation market. A utility providing rebates
22described in this subsection (b-5) shall be entitled to
23recover the costs of the rebates as provided for in subsection
24(h) of this Section. To the extent the electric utility's
25tariff is modified to comply with this subsection (b-5), it
26shall file a revised tariff with the Commission within 120

 

 

SB0025 Enrolled- 725 -LRB104 07069 BAB 17106 b

1days after the effective date of this amendatory Act of the
2104th General Assembly, and the Commission shall approve, or
3approve with modification, the tariff within 240 days after
4the Commission initiates the docket.    
5    (c) The proposed tariff authorized by subsection (b) of
6this Section shall include the following participation terms
7for rebates to be applied under this Section for distributed
8generation that satisfies the criteria set forth in subsection
9(b) of this Section:
10        (1) The owner or operator of distributed generation or
11    distributed storage that services customers not eligible
12    for net metering under subsection (d), (d-5), or (e) of
13    Section 16-107.5 of this Act may apply for a rebate as
14    provided for in this Section. The Until the threshold
15    date, the value of the rebate shall be $250 per kilowatt of
16    nameplate generating capacity, measured as nominal DC
17    power output, of that customer's distributed generation.
18    To the extent the distributed generation also has an
19    associated energy storage, then until the threshold date
20    for systems other than community renewable generation
21    projects paired with an energy storage system, the energy
22    storage system shall be separately compensated with a base    
23    rebate of $250 per kilowatt-hour of nameplate capacity. To
24    the extent that a community renewable generation project
25    is paired with an energy storage system or an energy
26    storage system that is paired with distributed generation,

 

 

SB0025 Enrolled- 726 -LRB104 07069 BAB 17106 b

1    the energy storage system shall be separately compensated
2    with a rebate of $250 per kilowatt-hour of nameplate
3    capacity. A stand-alone energy storage system shall be
4    compensated with a rebate of $250 per kilowatt-hour of
5    nameplate capacity. Any distributed generation device that
6    is compensated for storage in this subsection (1) after
7    the effective date of this amendatory Act of the 104th
8    General Assembly before the threshold date shall
9    participate in one or more programs authorized by
10    paragraph (1) of subsection (e). Compensation determined
11    through the Multi-Year Integrated Grid Planning process
12    that are designed to meet peak reduction and flexibility.
13    After the threshold date, the value of the base rebate and
14    additional compensation for any additive services shall be
15    as determined by the Commission in the proceeding
16    described in Section 16-107.9 subsection (e) of this
17    Section, provided that the value of the base rebate for
18    system-wide grid services shall not be lower than $250 per
19    kilowatt of nameplate generating capacity of distributed
20    generation or community renewable generation project. To
21    the extent that an electric utility's tariffs are
22    inconsistent with the requirements of this paragraph (1)
23    as modified by this amendatory Act of the 104th General
24    Assembly, the electric utility shall, within 60 days after
25    the effective date of this amendatory Act of the 104th
26    General Assembly, file modified tariffs consistent with

 

 

SB0025 Enrolled- 727 -LRB104 07069 BAB 17106 b

1    the requirements of this paragraph (1). If the Commission
2    chooses to suspend the modified tariffs following notice
3    and hearing, the Commission shall issue an order
4    approving, or approving with modification, the modified
5    tariffs no later than 90 days after the Commission
6    initiates the docket.    
7        (2) The owner or operator of distributed generation
8    that, before the threshold date, would have been eligible
9    for net metering under subsection (d), (d-5), or (e) of
10    Section 16-107.5 of this Act and that has not previously
11    received a distributed generation rebate, may apply for a
12    rebate as provided for in this Section. Until December 31,
13    2029 the threshold date, the value of the base rebate
14    shall be $300 per kilowatt of nameplate generating
15    capacity, measured as nominal DC power output, of the
16    distributed generation. On or after January 1, 2030, the
17    value of the base rebate shall be $250 per kilowatt of
18    nameplate generating capacity, measured as nominal DC
19    power output, of the distributed generation. The owner or
20    operator of distributed generation that, before the
21    threshold date, is eligible for net metering under
22    subsection (d), (d-5), or (e) of Section 16-107.5 of this
23    Act may apply for a base rebate for an associated energy
24    storage device behind the same retail customer meter as
25    the distributed generation, regardless of whether the
26    distributed generation applies for a rebate for the

 

 

SB0025 Enrolled- 728 -LRB104 07069 BAB 17106 b

1    distributed generation device. An The energy storage
2    system, whether or not paired with distributed generation,    
3    shall be separately compensated at a base payment of $300
4    per kilowatt-hour of nameplate capacity until the
5    threshold date. After the threshold date, a stand-alone
6    energy storage system shall be compensated with a rebate
7    of $250 per kilowatt-hour of nameplate capacity. Any
8    distributed generation device that is compensated for
9    storage in this subsection (2) has the option to before
10    the threshold date shall participate in either an a peak
11    time rebate program, hourly pricing program, or
12    time-of-use rate program and any distributed generation
13    device that is compensated for storage in this subsection
14    (2) after the effective date of this amendatory Act of the
15    104th General Assembly shall participate in a scheduled
16    dispatch program set forth in paragraph (1) of subsection
17    (e) when it becomes available offered by the applicable
18    electric utility. Compensation After the threshold date,
19    the value of the base rebate and additional compensation    
20    for any additive services or other programs shall be as
21    determined by the Commission in the proceeding described
22    in Section 16-107.9 subsection (e) of this Section,
23    provided that, prior to December 31, 2029, the value of
24    the base rebate for system-wide services shall not be
25    lower than $300 per kilowatt of nameplate generating
26    capacity of distributed generation, after which it shall

 

 

SB0025 Enrolled- 729 -LRB104 07069 BAB 17106 b

1    not be lower than $250 per kilowatt of nameplate capacity.
2    The eligibility of energy storage devices that are
3    interconnected behind the same retail customer meter as
4    the distributed generation shall not be limited to energy
5    storage devices interconnected after the effective date of
6    this amendatory Act of the 103rd General Assembly. To the
7    extent that an electric utility's tariffs are inconsistent
8    with the requirements of this paragraph (2) as modified by
9    this amendatory Act of the 104th General Assembly this
10    amendatory Act of the 103rd General Assembly, such
11    electric utility shall, within 60 30 days, file modified
12    tariffs consistent with the requirements of this paragraph
13    (2).
14        (3) Upon approval of a rebate application submitted
15    under this subsection (c), the retail customer shall no
16    longer be entitled to receive any delivery service credits
17    for the excess electricity generated by its facility and
18    shall be subject to the provisions of subsection (n) of
19    Section 16-107.5 of this Act unless the owner or operator
20    receives a rebate only for an energy storage device and
21    not for the distributed generation device.
22        (4) To be eligible for a rebate described in this
23    subsection (c), the owner or operator of the distributed
24    generation must have a smart inverter installed and in
25    operation on the distributed generation.
26        (5) The owner or operator of any distributed

 

 

SB0025 Enrolled- 730 -LRB104 07069 BAB 17106 b

1    generation or distributed storage system whose electric
2    service has not been declared competitive under Section
3    16-113 as of July 1, 2011 or the owner or operator of a
4    community renewable generation project participating in
5    the Adjustable Block Program as a community-driven
6    community solar project as defined in item (v) of
7    subparagraph (K) of paragraph (1) of subsection (c) of
8    Section 1-75 of the Illinois Power Agency Act and that has
9    an interconnection agreement dated after the effective
10    date of this amendatory Act of the 104th General Assembly
11    shall be eligible for an additional payment or payments to
12    the applicable rebate under paragraphs (1) or (2) of this
13    subsection (c) in an amount set by tariff and approved by
14    the Commission if located in an equity investment eligible
15    community, as defined in Section 1-10 of the Illinois
16    Power Agency Act, at the time the interconnection
17    agreement is signed.    
18    (d) The Commission shall review the proposed tariff
19authorized by subsection (b) of this Section and may make
20changes to the tariff that are consistent with this Section
21and with the Commission's authority under Article IX of this
22Act, subject to notice and hearing. Following notice and
23hearing, the Commission shall issue an order approving, or
24approving with modification, such tariff no later than 240
25days after the utility files its tariff. Upon the effective
26date of this amendatory Act of the 102nd General Assembly, an

 

 

SB0025 Enrolled- 731 -LRB104 07069 BAB 17106 b

1electric utility shall file a petition with the Commission to
2amend and update any existing tariffs to comply with
3subsections (b) and (c).
4    (e) By no later than June 30, 2026 June 30, 2023, the
5Commission shall establish a scheduled dispatch virtual power
6plant program in which customers that own or operate an energy
7storage system that receive a rebate for the distributed
8storage portion under paragraphs (1) and (2) of subsection (c)
9are required to participate open an independent, statewide
10investigation into the value of, and compensation for,
11distributed energy resources. The Commission shall conduct the
12investigation, but may arrange for experts or consultants
13independent of the utilities and selected by the Commission to
14assist with the investigation. The cost of the investigation
15shall be shared by the utilities filing tariffs under
16subsection (b) of this Section but may be recovered as an
17expense through normal ratemaking procedures.
18        (1) The scheduled dispatch virtual power plant program
19    shall require an enrollment period of 5 years and require
20    each participating system to commit to dispatch each
21    weekday during the months of June, July, August, and
22    September from 4 p.m. to 6 p.m. for systems interconnected
23    behind the meter of a retail customer and from 4 p.m. to 7
24    p.m. for systems interconnected on the distribution system
25    of an electric utility and not behind the meter of a retail
26    customer. For stand-alone storage, commitments to dispatch

 

 

SB0025 Enrolled- 732 -LRB104 07069 BAB 17106 b

1    shall be voluntary. Upon petition by the applicable
2    electric utility or on its own motion, the Commission may
3    approve different dispatch schedules provided that
4    dispatch events do not exceed 80 days and shall not exceed
5    2 hours for systems interconnected behind the meter of a
6    retail customer or 3 hours for systems interconnected on
7    the distribution system of an electric utility and not
8    behind the meter of a retail customer. The Commission
9    shall ensure that the investigation includes, at minimum,
10    diverse sets of stakeholders; a review of best practices
11    in calculating the value of distributed energy resource
12    benefits; a review of the full value of the distributed
13    energy resources and the manner in which each component of
14    that value is or is not otherwise compensated; and
15    assessments of how the value of distributed energy
16    resources may evolve based on the present and future
17    technological capabilities of distributed energy resources
18    and based on present and future grid needs.    
19        (2) The scheduled dispatch virtual power plant program
20    shall be open to all customer classes with eligible
21    distributed energy resources and shall measure performance
22    based on combined export of paired resources if the
23    eligible device is inverter-based renewables paired with
24    storage through at least December 31, 2030 and until the
25    Commission approves and the utility implements a tariff
26    under subsection (d) of Section 16-107.9 of this Act, at

 

 

SB0025 Enrolled- 733 -LRB104 07069 BAB 17106 b

1    which time such customers shall be transitioned to that
2    tariff in a manner prescribed in the tariff. The scheduled
3    dispatch virtual power plant program shall be required for
4    all community renewable generation projects paired with
5    distributed energy resources without regard to the
6    threshold date. The Commission's final order concluding
7    this investigation shall establish an annual process and
8    formula for the compensation of distributed generation and
9    energy storage systems, and an initial set of inputs for
10    that formula. The Commission's final order concluding this
11    investigation shall establish base rebates that compensate
12    distributed generation, community renewable generation
13    projects and energy storage systems for the system-wide
14    grid services that they provide. Those base rebate values
15    shall be consistent across the state, and shall not vary
16    by customer, customer class, customer location, or any
17    other variable. With respect to rebates for distributed
18    generation or community renewable generation projects,
19    that rebate shall not be lower than $250 per kilowatt of
20    nameplate generating capacity of the distributed
21    generation or community renewable generation project. The
22    Commission's final order concluding this proceeding shall
23    also direct the utilities to update the formula, on an
24    annual basis, with inputs derived from their integrated
25    grid plans developed pursuant to Section 16-105.17. The
26    base rebate shall be updated annually based on the annual

 

 

SB0025 Enrolled- 734 -LRB104 07069 BAB 17106 b

1    updates to the formula inputs, but, with respect to
2    rebates for distributed generation or community renewable
3    generation projects, shall be no lower than $250 per
4    kilowatt of nameplate generating capacity of the
5    distributed generation or community renewable generation
6    project.
7        (3) Compensation shall be set by the Commission but
8    shall not be less than $10 per kilowatt of average
9    dispatch during identified hours, paid to enrolled
10    customers or project owners at end of program year. For
11    distributed generation interconnected to an electric
12    utility's distribution system and not behind the meter of
13    a retail customer, dispatch to determine compensation
14    shall be measured at point of interconnection. For
15    distributed generation and storage interconnected behind
16    the meter of a retail customer, dispatch to determine
17    compensation shall be measured at the inverter connected
18    to the storage device. The Commission shall also
19    determine, as a part of its investigation under this
20    subsection, whether distributed energy resources can
21    provide any additive services. Those additive services may
22    include services that are provided through
23    utility-controlled responses to grid conditions. If the
24    Commission determines that distributed energy resources
25    can provide additive grid services, the Commission shall
26    determine the terms and conditions for the operation and

 

 

SB0025 Enrolled- 735 -LRB104 07069 BAB 17106 b

1    compensation of those services. That compensation shall be
2    above and beyond the base rebate that the distributed
3    energy generation, community renewable generation project
4    and energy storage system receives. Compensation for
5    additive services may vary by location, time, performance
6    characteristics, technology types, or other variables.
7        (4) No later than June 1, 2026, each public utility
8    shall file an initial scheduled dispatch virtual power
9    plant tariff. The Commission shall approve, or approve
10    with modifications, the initial scheduled dispatch virtual
11    power plant tariff for each utility not later than June
12    30, 2026. The Commission shall ensure that compensation
13    for distributed energy resources, including base rebates
14    and any payments for additive services, shall reflect all
15    reasonably known and measurable values of the distributed
16    generation over its full expected useful life.
17    Compensation for additive services shall reflect, but
18    shall not be limited to, any geographic, time-based,
19    performance-based, and other benefits of distributed
20    generation, as well as the present and future
21    technological capabilities of distributed energy resources
22    and present and future grid needs.
23        (5) The Commission, by its own motion or by petition
24    by an electric utility, may establish other additive
25    services programs in addition to the virtual power plant
26    program under Section 16-107.9. Nothing in this Section is

 

 

SB0025 Enrolled- 736 -LRB104 07069 BAB 17106 b

1    intended to preempt or delay the implementation of other
2    utility programs for devices that are not a part of the
3    scheduled dispatch virtual power plant program that the
4    Commission or utility may propose or require. The
5    Commission shall consider the electric utility's
6    integrated grid plan developed pursuant to Section
7    16-105.17 of this Act to help identify the value of
8    distributed energy resources for the purpose of
9    calculating the compensation described in this subsection.    
10        (6) No later than December 31, 2028, the utilities
11    shall file with the Commission a report that includes
12    information on the following: (A) the number of
13    participants in the scheduled dispatch program; (B)
14    impacts to energy supply prices and wholesale market
15    activities; (C) impacts on distribution system investments
16    and planning; and (D) any potential pathways by which the
17    virtual power plan program described in Section 16-107.9
18    may be designed to capture wholesale market value through
19    participation in the wholesale market and apply that
20    wholesale market revenue to reduce utility distribution or
21    electric supply rates for customers. The Commission shall
22    determine additional compensation for distributed energy
23    resources that creates savings and value on the
24    distribution system by being co-located or in close
25    proximity to electric vehicle charging infrastructure in
26    use by medium-duty and heavy-duty vehicles, primarily

 

 

SB0025 Enrolled- 737 -LRB104 07069 BAB 17106 b

1    serving environmental justice communities, as outlined in
2    the utility integrated grid planning process under Section
3    16-105.17 of this Act.    
4    No later than 60 days after the Commission enters its
5final order under this subsection (e), each utility shall file
6its updated tariff or tariffs in compliance with the order,
7including new tariffs for the recovery of costs incurred under
8this subsection (e) that shall provide for volumetric-based
9cost recovery, and the Commission shall approve, or approve
10with modification, the tariff or tariffs within 240 days after
11the utility's filing.    
12    (f) Notwithstanding any provision of this Act to the
13contrary, the owner or operator of a community renewable
14generation project as defined in Section 1-10 of the Illinois
15Power Agency Act whether or not a paired energy storage system
16or the owner or operator of an energy storage system that is
17eligible for net metering under subsection (l-10) of Section
1816-107.5 shall also be eligible to apply for the rebate
19described in this Section. The owner or operator of the
20community renewable generation project whether or not a paired
21energy storage system or the owner or operator of an energy
22storage system that is eligible for net metering under
23subsection (l-10) of Section 16-107.5 may apply for a rebate
24only if the owner or operator, or previous owner or operator,
25of the community renewable generation project whether or not a
26paired energy storage system or the owner or operator of an

 

 

SB0025 Enrolled- 738 -LRB104 07069 BAB 17106 b

1energy storage system that is eligible for net metering under
2subsection (l-10) of Section 16-107.5 has not already
3submitted an application, and, regardless of whether the
4subscriber is a residential or non-residential customer, may
5be allowed the amount identified in paragraph (1) of
6subsection (c) applicable on the date that the application is
7submitted.
8    (g) The owner of a distributed storage system, whether or
9not paired with distributed generation, the distributed
10generation or community renewable generation project may apply
11for the rebate or rebates approved under this Section at the
12time of execution of an interconnection agreement with the
13distribution utility and shall receive the value available at
14that time of execution of the interconnection agreement,
15provided the project reaches mechanical completion within 24
16months after execution of the interconnection agreement. If
17the project has not reached mechanical completion within 24
18months after execution, the owner may reapply for the rebate
19or rebates approved under this Section available at the time
20of application and shall receive the value available at the
21time of application. The utility shall issue the rebate no
22later than 60 days after the project is energized. In the event
23the application is incomplete or the utility is otherwise
24unable to calculate the payment based on the information
25provided by the owner, the utility shall issue the payment no
26later than 60 days after the application is complete or all

 

 

SB0025 Enrolled- 739 -LRB104 07069 BAB 17106 b

1requested information is received.
2    (h) An electric utility shall recover from its retail
3customers all of the costs of the rebates made under a tariff
4or tariffs approved under subsection (d) of this Section,
5including, but not limited to, the value of the rebates and all
6costs incurred by the utility to comply with and implement
7subsections (b), (b-5), and (c), and (e) of this Section, but
8not including costs incurred by the utility to comply with and
9implement subsection (e) of this Section, consistent with the
10following provisions:
11        (1) The utility shall defer the full amount of its
12    costs as a regulatory asset. The total costs deferred as a
13    regulatory asset shall be amortized over a 15-year period.
14    The unamortized balance shall be recognized as of December
15    31 for a given year. The utility shall also earn a return
16    on the total of the unamortized balance of the regulatory
17    assets, less any deferred taxes related to the unamortized
18    balance, at an annual rate equal to the utility's weighted
19    average cost of capital that includes, based on a year-end
20    capital structure, the utility's actual cost of debt for
21    the applicable calendar year and a cost of equity, which
22    shall be equal to the baseline cost of equity approved by
23    the Commission for the utility's electric distribution
24    rates case effective during the applicable year, whether
25    those rates are set pursuant to Section 9-201,
26    subparagraph (B) of paragraph (3) of subsection (d) of

 

 

SB0025 Enrolled- 740 -LRB104 07069 BAB 17106 b

1    Section 16-108.18, or any successor electric distribution
2    ratemaking paradigm calculated as the sum of (i) the
3    average for the applicable calendar year of the monthly
4    average yields of 30-year U.S. Treasury bonds published by
5    the Board of Governors of the Federal Reserve System in
6    its weekly H.15 Statistical Release or successor
7    publication; and (ii) 580 basis points, including a
8    revenue conversion factor calculated to recover or refund
9    all additional income taxes that may be payable or
10    receivable as a result of that return.
11        When an electric utility creates a regulatory asset
12    under the provisions of this paragraph (1) of subsection
13    (h), the costs are recovered over a period during which
14    customers also receive a benefit, which is in the public
15    interest. Accordingly, it is the intent of the General
16    Assembly that an electric utility that elects to create a
17    regulatory asset under the provisions of this paragraph
18    (1) shall recover all of the associated costs, including,
19    but not limited to, its cost of capital as set forth in
20    this paragraph (1). After the Commission has approved the
21    prudence and reasonableness of the costs that comprise the
22    regulatory asset, the electric utility shall be permitted
23    to recover all such costs, and the value and
24    recoverability through rates of the associated regulatory
25    asset shall not be limited, altered, impaired, or reduced.
26    To enable the financing of the incremental capital

 

 

SB0025 Enrolled- 741 -LRB104 07069 BAB 17106 b

1    expenditures, including regulatory assets, for electric
2    utilities that serve less than 3,000,000 retail customers
3    but more than 500,000 retail customers in the State, the
4    utility's actual year-end capital structure that includes
5    a common equity ratio, excluding goodwill, of up to and
6    including 50% of the total capital structure shall be
7    deemed reasonable and used to set rates.
8        (2) The utility, at its election, may recover all of
9    the costs as part of a filing for a general increase in
10    rates under Article IX of this Act, as part of an annual
11    filing to update a performance-based formula rate under
12    Section 16-108.18 subsection (d) of Section 16-108.5 of
13    this Act, or through an automatic adjustment clause
14    tariff, provided that nothing in this paragraph (2)
15    permits the double recovery of such costs from customers.
16    If the utility elects to recover the costs it incurs under
17    subsections (b), (b-5), and (c), and (e) through an
18    automatic adjustment clause tariff, the utility may file
19    its proposed tariff together with the tariff it files
20    under subsection (b) of this Section or at a later time.
21    The proposed tariff shall provide for an annual
22    reconciliation, less any deferred taxes related to the
23    reconciliation, with interest at an annual rate of return
24    equal to the utility's weighted average cost of capital as
25    calculated under paragraph (1) of this subsection (h),
26    including a revenue conversion factor calculated to

 

 

SB0025 Enrolled- 742 -LRB104 07069 BAB 17106 b

1    recover or refund all additional income taxes that may be
2    payable or receivable as a result of that return, of the
3    revenue requirement reflected in rates for each calendar
4    year, beginning with the calendar year in which the
5    utility files its automatic adjustment clause tariff under
6    this subsection (h), with what the revenue requirement
7    would have been had the actual cost information for the
8    applicable calendar year been available at the filing
9    date. The Commission shall review the proposed tariff and
10    may make changes to the tariff that are consistent with
11    this Section and with the Commission's authority under
12    Article IX of this Act, subject to notice and hearing.
13    Following notice and hearing, the Commission shall issue
14    an order approving, or approving with modification, such
15    tariff no later than 240 days after the utility files its
16    tariff.
17    (i) (Blank). An electric utility shall recover from its
18retail customers, on a volumetric basis, all of the costs of
19the rebates made under a tariff or tariffs placed into effect
20under subsection (e) of this Section, including, but not
21limited to, the value of the rebates and all costs incurred by
22the utility to comply with and implement subsection (e) of
23this Section, consistent with the following provisions:
24        (1) The utility may defer a portion of its costs as a
25    regulatory asset. The Commission shall determine the
26    portion that may be appropriately deferred as a regulatory

 

 

SB0025 Enrolled- 743 -LRB104 07069 BAB 17106 b

1    asset. Factors that the Commission shall consider in
2    determining the portion of costs that shall be deferred as
3    a regulatory asset include, but are not limited to: (i)
4    whether and the extent to which a cost effectively
5    deferred or avoided other distribution system operating
6    costs or capital expenditures; (ii) the extent to which a
7    cost provides environmental benefits; (iii) the extent to
8    which a cost improves system reliability or resilience;
9    (iv) the electric utility's distribution system plan
10    developed pursuant to Section 16-105.17 of this Act; (v)
11    the extent to which a cost advances equity principles; and
12    (vi) such other factors as the Commission deems
13    appropriate. The remainder of costs shall be deemed an
14    operating expense and shall be recoverable if found
15    prudent and reasonable by the Commission.    
16        The total costs deferred as a regulatory asset shall
17    be amortized over a 15-year period. The unamortized
18    balance shall be recognized as of December 31 for a given
19    year. The utility shall also earn a return on the total of
20    the unamortized balance of the regulatory assets, less any
21    deferred taxes related to the unamortized balance, at an
22    annual rate equal to the utility's weighted average cost
23    of capital that includes, based on a year-end capital
24    structure, the utility's actual cost of debt for the
25    applicable calendar year and a cost of equity, which shall
26    be calculated as the sum of: (I) the average for the

 

 

SB0025 Enrolled- 744 -LRB104 07069 BAB 17106 b

1    applicable calendar year of the monthly average yields of
2    30-year U.S. Treasury bonds published by the Board of
3    Governors of the Federal Reserve System in its weekly H.15
4    Statistical Release or successor publication; and (II) 580
5    basis points, including a revenue conversion factor
6    calculated to recover or refund all additional income
7    taxes that may be payable or receivable as a result of that
8    return.
9        (2) The utility may recover all of the costs through
10    an automatic adjustment clause tariff, on a volumetric
11    basis. The utility may file its proposed cost-recovery
12    tariff together with the tariff it files under subsection
13    (e) of this Section or at a later time. The proposed tariff
14    shall provide for an annual reconciliation, less any
15    deferred taxes related to the reconciliation, with
16    interest at an annual rate of return equal to the
17    utility's weighted average cost of capital as calculated
18    under paragraph (1) of this subsection (i), including a
19    revenue conversion factor calculated to recover or refund
20    all additional income taxes that may be payable or
21    receivable as a result of that return, of the revenue
22    requirement reflected in rates for each calendar year,
23    beginning with the calendar year in which the utility
24    files its automatic adjustment clause tariff under this
25    subsection (i), with what the revenue requirement would
26    have been had the actual cost information for the

 

 

SB0025 Enrolled- 745 -LRB104 07069 BAB 17106 b

1    applicable calendar year been available at the filing
2    date. The Commission shall review the proposed tariff and
3    may make changes to the tariff that are consistent with
4    this Section and with the Commission's authority under
5    Article IX of this Act, subject to notice and hearing.
6    Following notice and hearing, the Commission shall issue
7    an order approving, or approving with modification, such
8    tariff no later than 240 days after the utility files its
9    tariff.    
10    (j) No later than 90 days after the Commission enters an
11order, or order on rehearing, whichever is later, approving an
12electric utility's proposed tariff under this Section, the
13electric utility shall provide notice of the availability of
14rebates under this Section.
15    (k) No later than January 1, 2030, the utilities shall
16file with the Commission a report that includes:
17        (1) the number and geographic distribution of
18    participants receiving rebates pursuant to this Section;
19        (2) impacts to energy supply prices and wholesale
20    market activities;
21        (3) impacts on distribution system investments and
22    planning; and
23        (4) any other values deemed relevant by the
24    Commission.
25    (l) Upon petition by the applicable electric utility or on
26its own motion, the Commission may adjust rebate levels for

 

 

SB0025 Enrolled- 746 -LRB104 07069 BAB 17106 b

1new customers and make other appropriate changes to the rebate
2program in a manner that is consistent with the State's clean
3energy goals and the public interest.    
4(Source: P.A. 102-662, eff. 9-15-21; 102-1031, eff. 5-27-22;
5103-1066, eff. 2-20-25.)
 
6    (220 ILCS 5/16-107.8 new)
7    Sec. 16-107.8. Time-of-use pricing.
8    (a) The General Assembly finds that market-based
9time-of-use rates and pricing plans can reduce costs and help
10the State achieve its energy policy goals by improving load
11shape, encouraging energy conservation, and shifting usage
12away from periods where fossil fuels are used. By providing
13consumers information relating the costs of service to the
14time of energy usage, time-of-use rates can help consumers
15reduce energy bills by using electricity when it is less
16costly.
17    (b) An electric utility shall offer at least one
18market-based rate option for eligible retail customers,
19including, but not limited to, customers participating in net
20electricity metering under the terms of Section 16-107.5, who
21choose to take power and energy supply service from the
22utility. The provisions of Section 16-107.5 notwithstanding,
23energy credits for net-metering customers shall be valued at
24the same price per kilowatt-hour as the price per
25kilowatt-hour that the electric service provider would charge

 

 

SB0025 Enrolled- 747 -LRB104 07069 BAB 17106 b

1for kilowatt-hour energy sales during the same hourly
2time-of-use period. The utility shall file its time-of-use
3rate tariff no later than 120 days after the effective date of
4this amendatory Act of the 104th General Assembly. The tariff
5or tariffs shall be subject to the following requirements:
6        (1) If more than one tariff is proposed, at least one
7    tariff shall include at least the following 3 time blocks:
8            (A) a peak time block of consecutive hours best
9        reflecting the average consecutive highest system
10        power and energy use per hour in a calendar day;
11            (B) an off-peak time block, which reflects the
12        next highest system power and energy demands in a
13        calendar day; and
14            (C) a super-off-peak time block, defined as all
15        other hours in a calendar day.
16            Time blocks shall reflect the hour and weekday for
17        which the costs of services outlined in paragraphs (2)
18        and (3) of this subsection (b) are charged.
19        (2) The tariff or tariffs shall describe the
20    methodology for determining the prices for each time block
21    using the applicable average zonal and capacity prices of
22    the PJM Interconnection, LLC (PJM) and the Midcontinent
23    Independent System Operator (MISO) and describe the manner
24    in which customers who elect time-of-use pricing will be
25    provided with the time blocks, associated block pricing,
26    and day-ahead energy prices. Costs for electric capacity

 

 

SB0025 Enrolled- 748 -LRB104 07069 BAB 17106 b

1    shall be determined in a manner that recovers the capacity
2    obligation costs incurred by the electric utility.
3        (3) The time-of-use rate shall include the costs of
4    transmission services and the charges for network
5    integration transmission service, transmission
6    enhancement, and locational reliability, as these terms
7    are defined in the PJM and MISO Open Access Transmission
8    Tariffs and manuals. If the Open Access Transmission
9    Tariff or the manuals subsequently rename those terms, the
10    services reflected under those terms shall continue to be
11    included in the time-of-use rate described in this
12    paragraph (3).
13        (4) Adjustments to the charges set by the tariff may
14    be made on a monthly basis and adjustments to the time
15    blocks may be made on an annual basis. A utility shall
16    submit to the Commission, through a supplemental
17    information sheet, a tariff schedule. Customers shall be
18    provided at least 2 weeks advance notice of any changes to
19    charges or time blocks.
20        (5) A purchased energy adjustment shall be calculated
21    to fully recover costs to supply power and energy. A
22    utility shall procure power and energy in the applicable
23    day-ahead market.
24    (c) The Commission shall approve or approve with
25modifications the tariff or tariffs after notice and hearing.
26A proceeding under this subsection (c) may not exceed 240 days

 

 

SB0025 Enrolled- 749 -LRB104 07069 BAB 17106 b

1in length.
2    (d) An electric utility shall submit an annual report to
3the Commission no later than April 1 of each year that
4describes the operation and results of the rate option,
5including information concerning the number and types of
6customers using the rate option, changes in customers' energy
7use patterns, an assessment of the value of the rate option to
8both participants and nonparticipants, and recommendations
9concerning modification of the rate option and the tariff or
10tariffs filed under this Section. The report shall be made
11available to the public on the Commission's website.
12    (e) Once a tariff or tariffs has been in effect, the
13Commission may, upon complaint, petition, or its own
14initiative, open a proceeding to investigate whether changes
15or modifications, consistent with the requirements of this
16Section, to the tariff or tariffs, rate option administration,
17or any other rate option element is necessary to achieve the
18goals described in subsection (a). Such a proceeding may not
19last more than 180 days from the date upon which the
20investigation was opened.
21    (f) An electric utility shall be entitled to recover
22prudent and reasonable costs incurred in complying with this
23Section from its eligible retail customers.
24    (g) An electric utility's tariff or tariffs filed under
25this Section shall be subject to the provisions of Article IX
26as long as such provisions do not conflict with this Section.

 

 

SB0025 Enrolled- 750 -LRB104 07069 BAB 17106 b

1    (h) This Section does not apply to an electric utility
2that provides service to 100,000 or fewer customers.    
 
3    (220 ILCS 5/16-107.9 new)
4    Sec. 16-107.9. Virtual power plant program.
5    (a) As used in this Section:
6    "Aggregator" means a third-party entity that participates
7in the program, other than the electric utility or its
8affiliate, that (i) represents and aggregates the load of
9participating customers who collectively have the ability to
10deploy 100 kilowatts or more of deployment of eligible devices
11and (ii) is responsible for performance of the aggregation in
12the program.
13    "Battery" means a behind-the-meter energy storage device
14and associated equipment that operate together to fulfill
15program requirements.
16    "Commission" means the Illinois Commerce Commission.
17    "Customer" means an active electric service account holder
18of a utility.
19    "Direct participant" means a customer that enrolls in the
20program directly with the utility, rather than participating
21in the program through an aggregator.
22    "Distributed energy resource" has the meaning set forth in
23Section 16-107.6.
24    "Distributed energy resources management system" means a
25platform that may be used by distribution system operators or

 

 

SB0025 Enrolled- 751 -LRB104 07069 BAB 17106 b

1utilities to integrate grid resources, such as distributed
2energy resources, into system operations.
3    "Eligible device" means a customer or third party-owned
4distributed energy resource that satisfies the requirements
5for participation in the program as specified in the relevant
6program rider. "Eligible device" also means any device that
7can be controlled to respond to pricing, provide services,
8including decrease peak electricity demand or shift demand
9from peak to off-peak periods, or inject power to the grid.
10"Eligible device" includes, but is not limited to,
11behind-the-meter energy storage systems, smart thermostats,
12electric vehicle batteries, including fleets, and distributed
13renewable energy devices paired with one or more energy
14storage systems.
15    "Emergency event" means an event called by the utility
16with fewer than 24 hours notice.
17    "Energy storage system" has the meaning set forth in
18subsection (a) of Section 16-107.6.
19    "Enrolled customer" means a customer that participates in
20the program through either an aggregator or as a direct
21participant.
22    "Enrolled device" means an enrolled customer's eligible
23device, as specified in the relevant tariff.
24    "Enterprise distributed energy resources management
25system" means a platform operated by the electric utility that
26interfaces with a grid-edge distributed energy resources

 

 

SB0025 Enrolled- 752 -LRB104 07069 BAB 17106 b

1management system to integrate distributed energy resources
2into utility electric system operations.
3    "Grid-edge distributed energy resources management system"
4means a platform owned by a party other than the electric
5utility that may be used to integrate distributed energy
6resources.
7    "Grid event" means a grid condition for which the utility
8schedules or remotely dispatches enrolled devices to respond
9to, as specified in the grid service opportunities for each
10tariff.
11    "Grid service" means a capacity, energy, or ancillary
12service that supports grid operations.
13    "Participating customer" means an aggregator or a direct
14retail customer, as defined in Section 16-102, with one or
15more eligible devices.
16    "Performance payment" means a payment made to the
17participant based on the performance of an enrolled device
18providing a grid service during a grid event.
19    "Performance payment rate" means the compensation rate
20paid to participants for providing a particular grid service
21during a grid event.
22    "Smart inverter" has the meaning set forth in subsection
23(a) of Section 16-107.6.
24    "Upfront payment" means a one-time payment made at the
25time of enrollment.
26    "Virtual power plant" means an aggregation of

 

 

SB0025 Enrolled- 753 -LRB104 07069 BAB 17106 b

1behind-the-meter distributed energy resources operated in
2coordination to provide one or more grid services.
3    (b) The General Assembly finds that:
4        (1) virtual power plants are dynamic load management
5    and energy supply resources that can support grid
6    operations, reduce ratepayer costs, and achieve other
7    important public policy goals;
8        (2) virtual power plants can reduce demand for grid
9    supplied electricity during peak periods, shift
10    electricity consumption out of peak periods, make
11    renewable energy generated during off-peak periods
12    available for use during peak periods, supply energy to
13    the grid at desired times, provide frequency regulation,
14    voltage support, and other ancillary services, reduce
15    strain on the distribution system, manage localized peaks,
16    improve system resiliency and reliability, and provide
17    other grid services;
18        (3) virtual power plants can facilitate and optimize
19    the utilization of electrical generation from wind and
20    solar energy to help utilities increase hosting capacity
21    and integrate more renewable energy resources;
22        (4) virtual power plants can reduce costs to
23    ratepayers by utilizing customer-sited resources to
24    provide grid services, avoiding or reducing reliance on
25    fossil-fuel fired peaker plants, avoiding or deferring the
26    need to construct new and more costly grid scale

 

 

SB0025 Enrolled- 754 -LRB104 07069 BAB 17106 b

1    resources, optimizing the use of existing assets, and
2    avoiding or deferring distribution and transmission system
3    upgrades and other grid investments;
4        (5) virtual power plants can promote equity by
5    reducing costs for all ratepayers, expanding access to
6    distributed energy resources among low-income and
7    moderate-income customers through improved distributed
8    energy resource finance ability, and providing other
9    important co-benefits, including reduction in emissions of
10    greenhouse gases and other pollutants, especially in
11    environmental justice and other disadvantaged communities
12    that host fossil fuel generation plants;
13        (6) the United States Department of Energy estimates
14    that the United States could deploy 80 to 160 gigawatts of
15    virtual power plants by 2030, a tripling of current
16    levels, to support the rapid electrification of vehicles
17    and homes and provide on the order of $10,000,000,000 in
18    ratepayer savings annually. The deployment of virtual
19    power plants can provide energy cost savings and other
20    benefits to the people of Illinois;
21        (7) there are significant barriers to deployment and
22    operation of virtual power plants, including the need for
23    statutory and regulatory guidance and support, greater
24    consistency in virtual power plant programs across
25    regulatory jurisdictions, and for utility commitments to
26    incorporate the use of virtual power plants into system

 

 

SB0025 Enrolled- 755 -LRB104 07069 BAB 17106 b

1    operations and long-term resource planning;
2        (8) it is in the public interest to advance customer
3    choice and leverage the expertise of private, non-utility
4    entities to advance innovation and implement
5    cost-effective clean energy solutions; and
6        (9) the policy of Illinois shall be to maximize the
7    use of virtual power plants comprised of customer-owned
8    and third party-owned distributed energy resources to
9    deliver system services and other benefits through utility
10    administered virtual power plant programs in accordance
11    with the provisions of this amendatory Act of the 104th
12    General Assembly.
13    (c) No later than December 31, 2028, the Commission shall
14approve at least one virtual power plant tariff for each
15electric utility serving more than 300,000 customers in the
16State as of January 1, 2023. Each utility shall file a tariff
17or tariffs for approval no later than December 31, 2027 to
18allow retail customers in the electric utility's service areas
19to participate in a virtual power plant program proposal
20consistent with the provisions of this Section. The Commission
21shall provide opportunities for stakeholders to provide input
22on the virtual power plant programs proposed for
23implementation by each utility, which the Commission shall
24take into consideration in its review of each utility's
25filing. No later than one year after the utility's filing, the
26Commission shall approve or modify and approve each utility's

 

 

SB0025 Enrolled- 756 -LRB104 07069 BAB 17106 b

1virtual power plant program proposal for immediate
2implementation by the utility.
3    (d) The virtual power plant program filed under subsection
4(c) shall be developed for implementation through a tariff
5offering with standard terms and conditions for participation.
6The virtual power plant program tariff shall allow for
7customers with battery storage, non-battery storage and
8electric vehicle technologies to enroll the devices in the
9program through aggregators or directly with the utility. The
10virtual power plant program tariff shall:
11        (1) provide a mechanism to incorporate existing
12    programs, such as smart thermostat demand-response or
13    electric vehicle charging programs currently offered by
14    the utility, under the virtual power plant program
15    framework;
16        (2) provide grid services opportunities for each
17    eligible technology that customers and aggregators may
18    provide, which shall include, at minimum, reducing the
19    utility's applicable capacity and transmission obligations
20    and capturing daily wholesale energy arbitrage
21    opportunities through provision of grid services;
22        (3) provide additional functions and grid service
23    opportunities that the Commission determines are
24    supportive of efficient planning and operation of the
25    electrical grid, including:
26            (A) minimizing the use of fossil fuels at peak

 

 

SB0025 Enrolled- 757 -LRB104 07069 BAB 17106 b

1        times;
2            (B) local peak demand reductions;
3            (C) locational value;
4            (D) the avoidance or deferral of local
5        transmission or distribution upgrades or capacity
6        expansion;
7            (E) voltage support and other ancillary services;
8        and
9            (F) emergency grid services;
10        (4) provide operational parameters, which shall
11    include, at a minimum:
12            (A) minimum and maximum numbers of grid events for
13        which the utility may require dispatch from the
14        enrolled distributed energy resources;
15            (B) months of the year that grid events may occur;
16            (C) days of the week that grid events may occur;
17            (D) times of day that grid events may occur;
18            (E) maximum duration of grid events; and
19            (F) minimum day-ahead advance notification
20        requirement of grid events, except for emergency
21        events, as applicable;
22        (5) include provisions for aggregators to participate
23    in the virtual power plant program, participate in the
24    utility's distributed energy resource management system as
25    available, automatically enroll and manage their
26    customers' participation, receive dispatch signals and

 

 

SB0025 Enrolled- 758 -LRB104 07069 BAB 17106 b

1    other communications from the utility, deliver performance
2    measurement and verification data to the utility, and
3    receive virtual power plant program payments directly from
4    the utility;
5        (6) include provisions that provide a standardized
6    process for any eligible aggregator to enroll in the
7    program and authorize the eligible aggregators to manage
8    individual customer device participation without
9    additional authorizations from the utility;
10        (7) include provisions that allow a participating
11    customer with multiple eligible devices to enroll the
12    technologies either directly without an aggregator or
13    through one or more aggregators in applicable programs
14    under the tariff approved under this Section, provided
15    that no particular device is accounted for more than once;
16        (8) include provisions for direct participant
17    customers to participate with the utility's distributed
18    energy resource management system as available, receive
19    dispatch signals and other communications from the
20    utility, deliver performance measurement and verification
21    data to the utility, and receive virtual power plant
22    program payments directly from the utility. Any provisions
23    implementing this subpart that necessitate the
24    installation of equipment to enable direct participation
25    via the utility shall apply to customers who elect to
26    participate as a direct participant and shall not be

 

 

SB0025 Enrolled- 759 -LRB104 07069 BAB 17106 b

1    required of customers who participate via an aggregator or
2    to customers who do not participate in the virtual power
3    plant program;
4        (9) provide for measurement and verification of
5    battery non-battery, and electric vehicle technologies
6    performance directly at the device without the requirement
7    for the installation of an additional meter;
8        (10) include upfront payment or performance payment
9    compensation mechanisms for the peak reduction service, as
10    well as for non-battery and electric vehicle technologies
11    as the Commission deems appropriate. The performance
12    payment shall be based on the average capacity provided
13    during grid events. The Commission shall approve
14    additional compensation mechanisms as it determines
15    appropriate for other grid services provided under the
16    battery, non-battery and electric vehicle riders. The
17    virtual power plant program shall not assess penalties for
18    non-performance; provided, however, that the Commission
19    may approve reasonable mechanisms to disenroll customers
20    for continued non-performance;
21        (11) enable low-to-moderate income customers,
22    community-driven community solar projects, and customers
23    whose electric service has not been declared competitive
24    pursuant to Section 16-113 as of July 1, 2011 located in
25    equity investment eligible investment communities to
26    receive a higher upfront enrollment payment. The

 

 

SB0025 Enrolled- 760 -LRB104 07069 BAB 17106 b

1    Commission shall coordinate with State energy officials
2    and departments to make funding from federal programs and
3    such other sources as may be available for use in
4    providing higher upfront payments to customers classes as
5    may be approved by the Commission in accordance with this
6    subsection;
7        (12) provide that the performance payment rate
8    applicable at the time of enrollment shall be for 5 years,
9    after which time the participant may reenroll at the then
10    applicable performance payment rate for an additional
11    5-year term;
12        (13) provide for a transition of customers from the
13    scheduled dispatch program described in Section 16-107.6
14    to the virtual power plant program; and
15        (14) allow enrolled customers to participate in other
16    applicable interconnection tariffs and grid service
17    programs outside the virtual power plant program, so long
18    as it does not result in double-counting of benefits for
19    the same grid services.
20    (e) The Commission may adopt other reasonable requirements
21for participation consistent with this subsection, provided
22that collateral from an aggregator shall not be required for
23participation.
24    (f) The utility may contract with a third party-owned
25distributed energy resource management system provider to
26assist with program implementation; however, implementation

 

 

SB0025 Enrolled- 761 -LRB104 07069 BAB 17106 b

1shall not be delayed due to the lack of utility-owned
2distributed energy resource management system capabilities or
3third party-owned distributed energy resource management
4system capabilities.
5    (g) The utility shall not send or receive dispatch signals
6directly to or from any participating customer represented by
7an aggregator for an event under the virtual power plant
8program described in this Section.
9    (h) Participating aggregators shall have capabilities to
10receive event signals from utilities or utility-contracted
11distributed energy resources management system providers.
12    (i) Utilities shall recover reasonably and prudently
13incurred costs to facilitate the virtual power plant program
14approved under subsection (c), including, but not limited to,
15distributed energy resource management systems provider and
16other service contract costs, operations and maintenance
17expenses, information technology costs, and other costs,
18expenses, and investments that the Commission finds necessary
19and prudent for the development and implementation of the
20program. The utility shall recover the cost of virtual power
21plant program upfront payments and performance payments and
22such other payments made to participants through the tariff
23filed pursuant to subsection (h) of Section 16-107.6.
24    (j) No later than January 31 of each year, each utility
25shall file an annual report that includes, but is not limited
26to:

 

 

SB0025 Enrolled- 762 -LRB104 07069 BAB 17106 b

1        (1) the total capacity enrolled in each program rider
2    developed in accordance with the requirements of Section,
3    broken down by technology type, customer class, and
4    aggregator and direct participant status for each grid
5    service opportunity offered in the prior calendar year;
6        (2) recommendations to increase participation in the
7    virtual power plant program; and
8        (3) any other information that the Commission may
9    require.
10    (k) Each utility shall amend existing tariffs and
11procedures that limit the ability of customers to participate
12in providing grid services under the program, such as
13limitations on charging energy storage devices with grid
14energy or exporting energy to the grid from battery discharge.
15    (l) The tariffs approved by the Commission shall not
16reflect any additional charges, fees, or insurance
17requirements imposed on those owning or operating
18demand-response technologies beyond those imposed on similarly
19situated customers that do not own or operate demand-response
20technologies.    
21    (m) As a condition of participating in the programs
22described in this Section, prior to enrollment of a customer
23by an aggregator, the aggregator shall disclose the following:
24        (1) the payments, expressed as an amount or a formula,
25    to be provided to the customer;
26        (2) between the aggregator and customer, who is

 

 

SB0025 Enrolled- 763 -LRB104 07069 BAB 17106 b

1    responsible for paying penalties or fees; and
2        (3) between the aggregator and customer, who is
3    responsible for posting collateral, if required.
4    Any tariff authorized by this Section shall incorporate
5the requirements under this subsection and shall require the
6electric utility to establish a complaint and Commission
7notification process and, on order of the Commission, suspend
8any aggregator repeatedly or egregiously violating such
9requirements.    
 
10    (220 ILCS 5/16-108)
11    Sec. 16-108. Recovery of costs associated with the
12provision of delivery and other services.
13    (a) An electric utility shall file a delivery services
14tariff with the Commission at least 210 days prior to the date
15that it is required to begin offering such services pursuant
16to this Act. An electric utility shall provide the components
17of delivery services that are subject to the jurisdiction of
18the Federal Energy Regulatory Commission at the same prices,
19terms and conditions set forth in its applicable tariff as
20approved or allowed into effect by that Commission. The
21Commission shall otherwise have the authority pursuant to
22Article IX to review, approve, and modify the prices, terms
23and conditions of those components of delivery services not
24subject to the jurisdiction of the Federal Energy Regulatory
25Commission, including the authority to determine the extent to

 

 

SB0025 Enrolled- 764 -LRB104 07069 BAB 17106 b

1which such delivery services should be offered on an unbundled
2basis. In making any such determination the Commission shall
3consider, at a minimum, the effect of additional unbundling on
4(i) the objective of just and reasonable rates, (ii) electric
5utility employees, and (iii) the development of competitive
6markets for electric energy services in Illinois.
7    (b) The Commission shall enter an order approving, or
8approving as modified, the delivery services tariff no later
9than 30 days prior to the date on which the electric utility
10must commence offering such services. The Commission may
11subsequently modify such tariff pursuant to this Act.
12    (c) The electric utility's tariffs shall define the
13classes of its customers for purposes of delivery services
14charges. Delivery services shall be priced and made available
15to all retail customers electing delivery services in each
16such class on a nondiscriminatory basis regardless of whether
17the retail customer chooses the electric utility, an affiliate
18of the electric utility, or another entity as its supplier of
19electric power and energy. Charges for delivery services shall
20be cost based, and shall allow the electric utility to recover
21the costs of providing delivery services through its charges
22to its delivery service customers that use the facilities and
23services associated with such costs. Such costs shall include
24the costs of owning, operating and maintaining transmission
25and distribution facilities. The Commission shall also be
26authorized to consider whether, and if so to what extent, the

 

 

SB0025 Enrolled- 765 -LRB104 07069 BAB 17106 b

1following costs are appropriately included in the electric
2utility's delivery services rates: (i) the costs of that
3portion of generation facilities used for the production and
4absorption of reactive power in order that retail customers
5located in the electric utility's service area can receive
6electric power and energy from suppliers other than the
7electric utility, and (ii) the costs associated with the use
8and redispatch of generation facilities to mitigate
9constraints on the transmission or distribution system in
10order that retail customers located in the electric utility's
11service area can receive electric power and energy from
12suppliers other than the electric utility. Nothing in this
13subsection shall be construed as directing the Commission to
14allocate any of the costs described in (i) or (ii) that are
15found to be appropriately included in the electric utility's
16delivery services rates to any particular customer group or
17geographic area in setting delivery services rates.
18    (d) The Commission shall establish charges, terms and
19conditions for delivery services that are just and reasonable
20and shall take into account customer impacts when establishing
21such charges. In establishing charges, terms and conditions
22for delivery services, the Commission shall take into account
23voltage level differences. A retail customer shall have the
24option to request to purchase electric service at any delivery
25service voltage reasonably and technically feasible from the
26electric facilities serving that customer's premises provided

 

 

SB0025 Enrolled- 766 -LRB104 07069 BAB 17106 b

1that there are no significant adverse impacts upon system
2reliability or system efficiency. A retail customer shall also
3have the option to request to purchase electric service at any
4point of delivery that is reasonably and technically feasible
5provided that there are no significant adverse impacts on
6system reliability or efficiency. Such requests shall not be
7unreasonably denied.
8    (e) Electric utilities shall recover the costs of
9installing, operating or maintaining facilities for the
10particular benefit of one or more delivery services customers,
11including without limitation any costs incurred in complying
12with a customer's request to be served at a different voltage
13level, directly from the retail customer or customers for
14whose benefit the costs were incurred, to the extent such
15costs are not recovered through the charges referred to in
16subsections (c) and (d) of this Section.
17    (f) An electric utility shall be entitled but not required
18to implement transition charges in conjunction with the
19offering of delivery services pursuant to Section 16-104. If
20an electric utility implements transition charges, it shall
21implement such charges for all delivery services customers and
22for all customers described in subsection (h), but shall not
23implement transition charges for power and energy that a
24retail customer takes from cogeneration or self-generation
25facilities located on that retail customer's premises, if such
26facilities meet the following criteria:    

 

 

SB0025 Enrolled- 767 -LRB104 07069 BAB 17106 b

1        (i) the cogeneration or self-generation facilities
2    serve a single retail customer and are located on that
3    retail customer's premises (for purposes of this
4    subparagraph and subparagraph (ii), an industrial or
5    manufacturing retail customer and a third party contractor
6    that is served by such industrial or manufacturing
7    customer through such retail customer's own electrical
8    distribution facilities under the circumstances described
9    in subsection (vi) of the definition of "alternative
10    retail electric supplier" set forth in Section 16-102,
11    shall be considered a single retail customer);    
12        (ii) the cogeneration or self-generation facilities
13    either (A) are sized pursuant to generally accepted
14    engineering standards for the retail customer's electrical
15    load at that premises (taking into account standby or
16    other reliability considerations related to that retail
17    customer's operations at that site) or (B) if the facility
18    is a cogeneration facility located on the retail
19    customer's premises, the retail customer is the thermal
20    host for that facility and the facility has been designed
21    to meet that retail customer's thermal energy requirements
22    resulting in electrical output beyond that retail
23    customer's electrical demand at that premises, comply with
24    the operating and efficiency standards applicable to
25    "qualifying facilities" specified in title 18 Code of
26    Federal Regulations Section 292.205 as in effect on the

 

 

SB0025 Enrolled- 768 -LRB104 07069 BAB 17106 b

1    effective date of this amendatory Act of 1999;    
2        (iii) the retail customer on whose premises the
3    facilities are located either has an exclusive right to
4    receive, and corresponding obligation to pay for, all of
5    the electrical capacity of the facility, or in the case of
6    a cogeneration facility that has been designed to meet the
7    retail customer's thermal energy requirements at that
8    premises, an identified amount of the electrical capacity
9    of the facility, over a minimum 5-year period; and    
10        (iv) if the cogeneration facility is sized for the
11    retail customer's thermal load at that premises but
12    exceeds the electrical load, any sales of excess power or
13    energy are made only at wholesale, are subject to the
14    jurisdiction of the Federal Energy Regulatory Commission,
15    and are not for the purpose of circumventing the
16    provisions of this subsection (f).
17If a generation facility located at a retail customer's
18premises does not meet the above criteria, an electric utility
19implementing transition charges shall implement a transition
20charge until December 31, 2006 for any power and energy taken
21by such retail customer from such facility as if such power and
22energy had been delivered by the electric utility. Provided,
23however, that an industrial retail customer that is taking
24power from a generation facility that does not meet the above
25criteria but that is located on such customer's premises will
26not be subject to a transition charge for the power and energy

 

 

SB0025 Enrolled- 769 -LRB104 07069 BAB 17106 b

1taken by such retail customer from such generation facility if
2the facility does not serve any other retail customer and
3either was installed on behalf of the customer and for its own
4use prior to January 1, 1997, or is both predominantly fueled
5by byproducts of such customer's manufacturing process at such
6premises and sells or offers an average of 300 megawatts or
7more of electricity produced from such generation facility
8into the wholesale market. Such charges shall be calculated as
9provided in Section 16-102, and shall be collected on each
10kilowatt-hour delivered under a delivery services tariff to a
11retail customer from the date the customer first takes
12delivery services until December 31, 2006 except as provided
13in subsection (h) of this Section. Provided, however, that an
14electric utility, other than an electric utility providing
15service to at least 1,000,000 customers in this State on
16January 1, 1999, shall be entitled to petition for entry of an
17order by the Commission authorizing the electric utility to
18implement transition charges for an additional period ending
19no later than December 31, 2008. The electric utility shall
20file its petition with supporting evidence no earlier than 16
21months, and no later than 12 months, prior to December 31,
222006. The Commission shall hold a hearing on the electric
23utility's petition and shall enter its order no later than 8
24months after the petition is filed. The Commission shall
25determine whether and to what extent the electric utility
26shall be authorized to implement transition charges for an

 

 

SB0025 Enrolled- 770 -LRB104 07069 BAB 17106 b

1additional period. The Commission may authorize the electric
2utility to implement transition charges for some or all of the
3additional period, and shall determine the mitigation factors
4to be used in implementing such transition charges; provided,
5that the Commission shall not authorize mitigation factors
6less than 110% of those in effect during the 12 months ended
7December 31, 2006. In making its determination, the Commission
8shall consider the following factors: the necessity to
9implement transition charges for an additional period in order
10to maintain the financial integrity of the electric utility;
11the prudence of the electric utility's actions in reducing its
12costs since the effective date of this amendatory Act of 1997;
13the ability of the electric utility to provide safe, adequate
14and reliable service to retail customers in its service area;
15and the impact on competition of allowing the electric utility
16to implement transition charges for the additional period.
17    (g) The electric utility shall file tariffs that establish
18the transition charges to be paid by each class of customers to
19the electric utility in conjunction with the provision of
20delivery services. The electric utility's tariffs shall define
21the classes of its customers for purposes of calculating
22transition charges. The electric utility's tariffs shall
23provide for the calculation of transition charges on a
24customer-specific basis for any retail customer whose average
25monthly maximum electrical demand on the electric utility's
26system during the 6 months with the customer's highest monthly

 

 

SB0025 Enrolled- 771 -LRB104 07069 BAB 17106 b

1maximum electrical demands equals or exceeds 3.0 megawatts for
2electric utilities having more than 1,000,000 customers, and
3for other electric utilities for any customer that has an
4average monthly maximum electrical demand on the electric
5utility's system of one megawatt or more, and (A) for which
6there exists data on the customer's usage during the 3 years
7preceding the date that the customer became eligible to take
8delivery services, or (B) for which there does not exist data
9on the customer's usage during the 3 years preceding the date
10that the customer became eligible to take delivery services,
11if in the electric utility's reasonable judgment there exists
12comparable usage information or a sufficient basis to develop
13such information, and further provided that the electric
14utility can require customers for which an individual
15calculation is made to sign contracts that set forth the
16transition charges to be paid by the customer to the electric
17utility pursuant to the tariff.
18    (h) An electric utility shall also be entitled to file
19tariffs that allow it to collect transition charges from
20retail customers in the electric utility's service area that
21do not take delivery services but that take electric power or
22energy from an alternative retail electric supplier or from an
23electric utility other than the electric utility in whose
24service area the customer is located. Such charges shall be
25calculated, in accordance with the definition of transition
26charges in Section 16-102, for the period of time that the

 

 

SB0025 Enrolled- 772 -LRB104 07069 BAB 17106 b

1customer would be obligated to pay transition charges if it
2were taking delivery services, except that no deduction for
3delivery services revenues shall be made in such calculation,
4and usage data from the customer's class shall be used where
5historical usage data is not available for the individual
6customer. The customer shall be obligated to pay such charges
7on a lump sum basis on or before the date on which the customer
8commences to take service from the alternative retail electric
9supplier or other electric utility, provided, that the
10electric utility in whose service area the customer is located
11shall offer the customer the option of signing a contract
12pursuant to which the customer pays such charges ratably over
13the period in which the charges would otherwise have applied.
14    (i) An electric utility shall be entitled to add to the
15bills of delivery services customers charges pursuant to
16Sections 9-221, 9-222 (except as provided in Section 9-222.1),
17and Section 16-114 of this Act, Section 5-5 of the Electricity
18Infrastructure Maintenance Fee Law, Section 6-5 of the
19Renewable Energy, Energy Efficiency, and Coal Resources
20Development Law of 1997, and Section 13 of the Energy
21Assistance Act.
22    (i-5) An electric utility required to impose the Coal to
23Solar and Energy Storage Initiative Charge provided for in
24subsection (c-5) of Section 1-75 of the Illinois Power Agency
25Act shall add such charge to the bills of its delivery services
26customers pursuant to the terms of a tariff conforming to the

 

 

SB0025 Enrolled- 773 -LRB104 07069 BAB 17106 b

1requirements of subsection (c-5) of Section 1-75 of the
2Illinois Power Agency Act and this subsection (i-5) and filed
3with and approved by the Commission. The electric utility
4shall file its proposed tariff with the Commission on or
5before July 1, 2022 to be effective, after review and approval
6or modification by the Commission, beginning January 1, 2023.
7On or before December 1, 2022, the Commission shall review the
8electric utility's proposed tariff, including by conducting a
9docketed proceeding if deemed necessary by the Commission, and
10shall approve the proposed tariff or direct the electric
11utility to make modifications the Commission finds necessary
12for the tariff to conform to the requirements of subsection
13(c-5) of Section 1-75 of the Illinois Power Agency Act and this
14subsection (i-5). The electric utility's tariff shall provide
15for imposition of the Coal to Solar and Energy Storage
16Initiative Charge on a per-kilowatthour basis to all
17kilowatthours delivered by the electric utility to its
18delivery services customers. The tariff shall provide for the
19calculation of the Coal to Solar and Energy Storage Initiative
20Charge to be in effect for the year beginning January 1, 2023
21and each year beginning January 1 thereafter, sufficient to
22collect the electric utility's estimated payment obligations
23for the delivery year beginning the following June 1 under
24contracts for purchase of renewable energy credits entered
25into pursuant to subsection (c-5) of Section 1-75 of the
26Illinois Power Agency Act and the obligations of the

 

 

SB0025 Enrolled- 774 -LRB104 07069 BAB 17106 b

1Department of Commerce and Economic Opportunity, or any
2successor department or agency, which for purposes of this
3subsection (i-5) shall be referred to as the Department, to
4make grant payments during such delivery year from the Coal to
5Solar and Energy Storage Initiative Fund pursuant to grant
6contracts entered into pursuant to subsection (c-5) of Section
71-75 of the Illinois Power Agency Act, and using the electric
8utility's kilowatthour deliveries to its delivery services
9customers during the delivery year ended May 31 of the
10preceding calendar year. On or before November 1 of each year
11beginning November 1, 2022, the Department shall notify the
12electric utilities of the amount of the Department's estimated
13obligations for grant payments during the delivery year
14beginning the following June 1 pursuant to grant contracts
15entered into pursuant to subsection (c-5) of Section 1-75 of
16the Illinois Power Agency Act; and each electric utility shall
17incorporate in the calculation of its Coal to Solar and Energy
18Storage Initiative Charge the fractional portion of the
19Department's estimated obligations equal to the electric
20utility's kilowatthour deliveries to its delivery services
21customers in the delivery year ended the preceding May 31
22divided by the aggregate deliveries of both electric utilities
23to delivery services customers in such delivery year. The
24electric utility shall remit on a monthly basis to the State
25Treasurer, for deposit in the Coal to Solar and Energy Storage
26Initiative Fund provided for in subsection (c-5) of Section

 

 

SB0025 Enrolled- 775 -LRB104 07069 BAB 17106 b

11-75 of the Illinois Power Agency Act, the electric utility's
2collections of the Coal to Solar and Energy Storage Initiative
3Charge estimated to be needed by the Department for grant
4payments pursuant to grant contracts entered into pursuant to
5subsection (c-5) of Section 1-75 of the Illinois Power Agency
6Act. The initial charge under the electric utility's tariff
7shall be effective for kilowatthours delivered beginning
8January 1, 2023, and thereafter shall be revised to be
9effective January 1, 2024 and each January 1 thereafter, based
10on the payment obligations for the delivery year beginning the
11following June 1. The tariff shall provide for the electric
12utility to make an annual filing with the Commission on or
13before November 15 of each year, beginning in 2023, setting
14forth the Coal to Solar and Energy Storage Initiative Charge
15to be in effect for the year beginning the following January 1.
16The electric utility's tariff shall also provide that the
17electric utility shall make a filing with the Commission on or
18before August 1 of each year beginning in 2024 setting forth a
19reconciliation, for the delivery year ended the preceding May
2031, of the electric utility's collections of the Coal to Solar
21and Energy Storage Initiative Charge against actual payments
22for renewable energy credits pursuant to contracts entered
23into, and the actual grant payments by the Department pursuant
24to grant contracts entered into, pursuant to subsection (c-5)
25of Section 1-75 of the Illinois Power Agency Act. The tariff
26shall provide that any excess or shortfall of collections to

 

 

SB0025 Enrolled- 776 -LRB104 07069 BAB 17106 b

1payments shall be deducted from or added to, on a
2per-kilowatthour basis, the Coal to Solar and Energy Storage
3Initiative Charge, over the 6-month period beginning October 1
4of that calendar year.
5    (j) If a retail customer that obtains electric power and
6energy from cogeneration or self-generation facilities
7installed for its own use on or before January 1, 1997,
8subsequently takes service from an alternative retail electric
9supplier or an electric utility other than the electric
10utility in whose service area the customer is located for any
11portion of the customer's electric power and energy
12requirements formerly obtained from those facilities
13(including that amount purchased from the utility in lieu of
14such generation and not as standby power purchases, under a
15cogeneration displacement tariff in effect as of the effective
16date of this amendatory Act of 1997), the transition charges
17otherwise applicable pursuant to subsections (f), (g), or (h)
18of this Section shall not be applicable in any year to that
19portion of the customer's electric power and energy
20requirements formerly obtained from those facilities,
21provided, that for purposes of this subsection (j), such
22portion shall not exceed the average number of kilowatt-hours
23per year obtained from the cogeneration or self-generation
24facilities during the 3 years prior to the date on which the
25customer became eligible for delivery services, except as
26provided in subsection (f) of Section 16-110.

 

 

SB0025 Enrolled- 777 -LRB104 07069 BAB 17106 b

1    (k) The electric utility shall be entitled to recover
2through tariffed charges all of the costs associated with the
3purchase of zero emission credits from zero emission
4facilities to meet the requirements of subsection (d-5) of
5Section 1-75 of the Illinois Power Agency Act and all of the
6costs associated with the purchase of carbon mitigation
7credits from carbon-free energy resources to meet the
8requirements of subsection (d-10) of Section 1-75 of the
9Illinois Power Agency Act. Such costs shall include the costs
10of procuring the zero emission credits and carbon mitigation
11credits from carbon-free energy resources, as well as the
12reasonable costs that the utility incurs as part of the
13procurement processes and to implement and comply with plans
14and processes approved by the Commission under subsections
15(d-5) and (d-10). The costs shall be allocated across all
16retail customers through a single, uniform cents per
17kilowatt-hour charge applicable to all retail customers, which
18shall appear as a separate line item on each customer's bill.
19The electric utility shall be entitled to recover through
20tariffed charges approved by the Commission all of the prudent
21and reasonable costs associated with energy storage resources
22procurements to meet the energy storage system portfolio
23standard of subsection (d-20) of Section 1-75 of the Illinois
24Power Agency Act. Such costs shall include the contract costs
25for the energy storage system resources and the prudent and
26reasonable costs that the utility incurs as part of the

 

 

SB0025 Enrolled- 778 -LRB104 07069 BAB 17106 b

1procurement processes and in implementing and complying with
2plans and processes approved by the Commission under
3subsection (d-20). The costs associated with the purchase of
4energy storage system resources shall be allocated across all
5retail customers in proportion to the amount of energy storage
6system resources the utility procures for such customers
7through a single, uniform cents per kilowatt-hour charge
8applicable to such retail customers, which shall appear as a
9separate line item on each customer's bill. Beginning June 1,
102017, the electric utility shall be entitled to recover
11through tariffed charges all of the costs associated with the
12purchase of renewable energy resources to meet the renewable
13energy resource standards of subsection (c) of Section 1-75 of
14the Illinois Power Agency Act, under procurement plans as
15approved in accordance with that Section and Section 16-111.5
16of this Act. Such costs shall include the costs of procuring
17the renewable energy resources, as well as the reasonable
18costs that the utility incurs as part of the procurement
19processes and to implement and comply with plans and processes
20approved by the Commission under such Sections. The costs
21associated with the purchase of renewable energy resources
22shall be allocated across all retail customers in proportion
23to the amount of renewable energy resources the utility
24procures for such customers through a single, uniform cents
25per kilowatt-hour charge applicable to such retail customers,
26which shall appear as a separate line item on each such

 

 

SB0025 Enrolled- 779 -LRB104 07069 BAB 17106 b

1customer's bill. The credits, costs, and penalties associated
2with the self-direct renewable portfolio standard compliance
3program described in subparagraph (R) of paragraph (1) of
4subsection (c) of Section 1-75 of the Illinois Power Agency
5Act shall be allocated to approved eligible self-direct
6customers by the utility in a cents per kilowatt-hour credit,
7cost, or penalty, which shall appear as a separate line item on
8each such customer's bill.
9    Notwithstanding whether the Commission has approved the
10initial long-term renewable resources procurement plan as of
11June 1, 2017, an electric utility shall place new tariffed
12charges into effect beginning with the June 2017 monthly
13billing period, to the extent practicable, to begin recovering
14the costs of procuring renewable energy resources, as those
15charges are calculated under the limitations described in
16subparagraph (E) of paragraph (1) of subsection (c) of Section
171-75 of the Illinois Power Agency Act. Notwithstanding the
18date on which the utility places such new tariffed charges
19into effect, the utility shall be permitted to collect the
20charges under such tariff as if the tariff had been in effect
21beginning with the first day of the June 2017 monthly billing
22period. For the delivery years commencing June 1, 2017, June
231, 2018, June 1, 2019, and each delivery year thereafter, the
24electric utility shall deposit into a separate interest
25bearing account of a financial institution the monies
26collected under the tariffed charges. Money collected from

 

 

SB0025 Enrolled- 780 -LRB104 07069 BAB 17106 b

1customers for the procurement of renewable energy resources in
2a given delivery year may be spent by the utility for the
3procurement of renewable resources over any of the following 5
4delivery years, after which unspent money shall be credited
5back to retail customers. The electric utility shall spend all
6money collected in earlier delivery years that has not yet
7been returned to customers, first, before spending money
8collected in later delivery years. Any interest earned shall
9be credited back to retail customers under the reconciliation
10proceeding provided for in this subsection (k), provided that
11the electric utility shall first be reimbursed from the
12interest for the administrative costs that it incurs to
13administer and manage the account. Any taxes due on the funds
14in the account, or interest earned on it, will be paid from the
15account or, if insufficient monies are available in the
16account, from the monies collected under the tariffed charges
17to recover the costs of procuring renewable energy resources.
18Monies deposited in the account shall be subject to the
19review, reconciliation, and true-up process described in this
20subsection (k) that is applicable to the funds collected and
21costs incurred for the procurement of renewable energy
22resources.
23    The electric utility shall be entitled to recover all of
24the costs identified in this subsection (k) through automatic
25adjustment clause tariffs applicable to all of the utility's
26retail customers that allow the electric utility to adjust its

 

 

SB0025 Enrolled- 781 -LRB104 07069 BAB 17106 b

1tariffed charges consistent with this subsection (k). The
2determination as to whether any excess funds were collected
3during a given delivery year for the purchase of renewable
4energy resources, and the crediting of any excess funds back
5to retail customers, shall not be made until after the close of
6the delivery year, which will ensure that the maximum amount
7of funds is available to implement the approved long-term
8renewable resources procurement plan during a given delivery
9year. The amount of excess funds eligible to be credited back
10to retail customers shall be reduced by an amount equal to the
11payment obligations required by any contracts entered into by
12an electric utility under contracts described in subsection
13(b) of Section 1-56 and subsection (c) of Section 1-75 of the
14Illinois Power Agency Act, even if such payments have not yet
15been made and regardless of the delivery year in which those
16payment obligations were incurred. Notwithstanding anything to
17the contrary, including in tariffs authorized by this
18subsection (k) in effect before the effective date of this
19amendatory Act of the 102nd General Assembly, all unspent
20funds as of May 31, 2021, excluding any funds credited to
21customers during any utility billing cycle that commences
22prior to the effective date of this amendatory Act of the 102nd
23General Assembly, shall remain in the utility account and
24shall on a first in, first out basis be used toward utility
25payment obligations under contracts described in subsection
26(b) of Section 1-56 and subsection (c) of Section 1-75 of the

 

 

SB0025 Enrolled- 782 -LRB104 07069 BAB 17106 b

1Illinois Power Agency Act. The electric utility's collections
2under such automatic adjustment clause tariffs to recover the
3costs of renewable energy resources, zero emission credits
4from zero emission facilities, energy storage resources, and
5carbon mitigation credits from carbon-free energy resources
6shall be subject to separate annual review, reconciliation,
7and true-up against actual costs by the Commission under a
8procedure that shall be specified in the electric utility's
9automatic adjustment clause tariffs and that shall be approved
10by the Commission in connection with its approval of such
11tariffs. The procedure shall provide that any difference
12between the electric utility's collections for energy storage
13resources, zero emission credits, and carbon mitigation
14credits under the automatic adjustment charges for an annual
15period and the electric utility's actual costs of energy
16storage resources, zero emission credits from zero emission
17facilities, and carbon mitigation credits from carbon-free
18energy resources for that same annual period shall be refunded
19to or collected from, as applicable, the electric utility's
20retail customers in subsequent periods.
21    Nothing in this subsection (k) is intended to affect,
22limit, or change the right of the electric utility to recover
23the costs associated with the procurement of renewable energy
24resources for periods commencing before, on, or after June 1,
252017, as otherwise provided in the Illinois Power Agency Act.
26    The funding available under this subsection (k), if any,

 

 

SB0025 Enrolled- 783 -LRB104 07069 BAB 17106 b

1for the programs described under subsection (b) of Section
21-56 of the Illinois Power Agency Act shall not reduce the
3amount of funding for the programs described in subparagraph
4(O) of paragraph (1) of subsection (c) of Section 1-75 of the
5Illinois Power Agency Act. If funding is available under this
6subsection (k) for programs described under subsection (b) of
7Section 1-56 of the Illinois Power Agency Act, then the
8long-term renewable resources plan shall provide for the
9Agency to procure contracts in an amount that does not exceed
10the funding, and the contracts approved by the Commission
11shall be executed by the applicable utility or utilities.
12    (l) A utility that has terminated any contract executed
13under subsection (d-5) or (d-10) of Section 1-75 of the
14Illinois Power Agency Act shall be entitled to recover any
15remaining balance associated with the purchase of zero
16emission credits prior to such termination, and such utility
17shall also apply a credit to its retail customer bills in the
18event of any over-collection.
19    (m)(1) An electric utility that recovers its costs of
20procuring zero emission credits from zero emission facilities
21through a cents-per-kilowatthour charge under subsection (k)
22of this Section shall be subject to the requirements of this
23subsection (m). Notwithstanding anything to the contrary, such
24electric utility shall, beginning on April 30, 2018, and each
25April 30 thereafter until April 30, 2026, calculate whether
26any reduction must be applied to such cents-per-kilowatthour

 

 

SB0025 Enrolled- 784 -LRB104 07069 BAB 17106 b

1charge that is paid by retail customers of the electric
2utility that have opted out of subsections (a) through (j) of
3Section 8-103B of this Act under subsection (l) of Section
48-103B. Such charge shall be reduced for such customers for
5the next delivery year commencing on June 1 based on the amount
6necessary, if any, to limit the annual estimated average net
7increase for the prior calendar year due to the future energy
8investment costs to no more than 1.3% of 5.98 cents per
9kilowatt-hour, which is the average amount paid per
10kilowatthour for electric service during the year ending
11December 31, 2015 by Illinois industrial retail customers, as
12reported to the Edison Electric Institute.
13    The calculations required by this subsection (m) shall be
14made only once for each year, and no subsequent rate impact
15determinations shall be made.
16    (2) For purposes of this Section, "future energy
17investment costs" shall be calculated by subtracting the
18cents-per-kilowatthour charge identified in subparagraph (A)
19of this paragraph (2) from the sum of the
20cents-per-kilowatthour charges identified in subparagraph (B)
21of this paragraph (2):
22        (A) The cents-per-kilowatthour charge identified in
23    the electric utility's tariff placed into effect under
24    Section 8-103 of the Public Utilities Act that, on
25    December 1, 2016, was applicable to those retail customers
26    that have opted out of subsections (a) through (j) of

 

 

SB0025 Enrolled- 785 -LRB104 07069 BAB 17106 b

1    Section 8-103B of this Act under subsection (l) of Section
2    8-103B.
3        (B) The sum of the following cents-per-kilowatthour
4    charges applicable to those retail customers that have
5    opted out of subsections (a) through (j) of Section 8-103B
6    of this Act under subsection (l) of Section 8-103B,
7    provided that if one or more of the following charges has
8    been in effect and applied to such customers for more than
9    one calendar year, then each charge shall be equal to the
10    average of the charges applied over a period that
11    commences with the calendar year ending December 31, 2017
12    and ends with the most recently completed calendar year
13    prior to the calculation required by this subsection (m):
14            (i) the cents-per-kilowatthour charge to recover
15        the costs incurred by the utility under subsection
16        (d-5) of Section 1-75 of the Illinois Power Agency
17        Act, adjusted for any reductions required under this
18        subsection (m); and
19            (ii) the cents-per-kilowatthour charge to recover
20        the costs incurred by the utility under Section
21        16-107.6 of the Public Utilities Act.
22        If no charge was applied for a given calendar year
23    under item (i) or (ii) of this subparagraph (B), then the
24    value of the charge for that year shall be zero.
25    (3) If a reduction is required by the calculation
26performed under this subsection (m), then the amount of the

 

 

SB0025 Enrolled- 786 -LRB104 07069 BAB 17106 b

1reduction shall be multiplied by the number of years reflected
2in the averages calculated under subparagraph (B) of paragraph
3(2) of this subsection (m). Such reduction shall be applied to
4the cents-per-kilowatthour charge that is applicable to those
5retail customers that have opted out of subsections (a)
6through (j) of Section 8-103B of this Act under subsection (l)
7of Section 8-103B beginning with the next delivery year
8commencing after the date of the calculation required by this
9subsection (m).
10    (4) The electric utility shall file a notice with the
11Commission on May 1 of 2018 and each May 1 thereafter until May
121, 2026 containing the reduction, if any, which must be
13applied for the delivery year which begins in the year of the
14filing. The notice shall contain the calculations made
15pursuant to this Section. By October 1 of each year beginning
16in 2018, each electric utility shall notify the Commission if
17it appears, based on an estimate of the calculation required
18in this subsection (m), that a reduction will be required in
19the next year.
20(Source: P.A. 102-662, eff. 9-15-21.)
 
21    (220 ILCS 5/16-108.19)
22    Sec. 16-108.19. Division of Integrated Distribution
23Planning.
24    (a) The Commission shall employ establish the Division of
25Integrated Distribution Planning within the Bureau of Public

 

 

SB0025 Enrolled- 787 -LRB104 07069 BAB 17106 b

1Utilities. The Division shall be staffed by no less than 13    
2professionals, including engineers, rate analysts,
3accountants, policy analysts, utility research and analysis
4analysts, cybersecurity analysts, informational technology
5specialists, and lawyers, and other personnel deemed necessary
6and appropriate by the Executive Director to review and
7evaluate Integrated Grid Plans, updates to Integrated Grid
8Plans, audits, and other duties as assigned. The personnel may
9be organized or assigned into departments, bureaus, sections,
10or divisions as determined by the Executive Director pursuant
11to the authority granted under this Section by the Chief of the
12Public Utilities Bureau.
13    (b) The Division of Integrated Distribution Planning shall
14be established by January 1, 2022.
15(Source: P.A. 102-662, eff. 9-15-21.)
 
16    (220 ILCS 5/16-108.30)
17    Sec. 16-108.30. Energy Transition Assistance Fund.
18    (a) The Energy Transition Assistance Fund is hereby
19created as a special fund in the State treasury Treasury. The
20Energy Transition Assistance Fund is authorized to receive
21moneys collected pursuant to this Section. Subject to
22appropriation, the Department of Commerce and Economic
23Opportunity shall use moneys from the Energy Transition
24Assistance Fund consistent with the purposes of this Act.
25    (b) An electric utility serving more than 500,000

 

 

SB0025 Enrolled- 788 -LRB104 07069 BAB 17106 b

1customers in the State shall assess an energy transition
2assistance charge on all its retail customers for the Energy
3Transition Assistance Fund. The utility's total charge shall
4be set based upon the value determined by the Department of
5Commerce and Economic Opportunity pursuant to subsection (d)
6or (e), as applicable, of Section 605-1075 of the Department
7of Commerce and Economic Opportunity Law of the Civil
8Administrative Code of Illinois. For each utility, the charge
9shall be recovered through a single, uniform cents per
10kilowatt-hour charge applicable to all retail customers. For
11each utility, the charge shall not exceed 1.45% 1.3% of the
12amount paid per kilowatthour by eligible retail customers
13during the year ending May 31, 2009. Beginning January 1,
142028, the limitation shall be increased by an additional 0.636
15percentage points of the amount paid per kilowatt-hour by
16eligible retail customers during the year ending May 31, 2009,
17which would collect the equivalent of the average annual
18budget of the programs administered by the utilities under
19Section 45 of the Electric Vehicle Act for the years 2026
20through 2028.    
21    (c) Within 75 days of the effective date of this
22amendatory Act of the 102nd General Assembly, each electric
23utility serving more than 500,000 customers in the State shall
24file with the Illinois Commerce Commission tariffs
25incorporating the energy transition assistance charge in other
26charges stated in such tariffs, which energy transition

 

 

SB0025 Enrolled- 789 -LRB104 07069 BAB 17106 b

1assistance charges shall become effective no later than the
2beginning of the first billing cycle that begins on or after
3January 1, 2022. Each electric utility serving more than
4500,000 customers in the State shall, prior to the beginning
5of each calendar year starting with calendar year 2023, file
6with the Illinois Commerce Commission tariff revisions to
7incorporate annual revisions to the energy transition
8assistance charge as prescribed by the Department of Commerce
9and Economic Opportunity pursuant to Section 605-1075 of the
10Department of Commerce and Economic Opportunity Law of the
11Civil Administrative Code of Illinois so that such revision
12becomes effective no later than the beginning of the first
13billing cycle in each respective year.
14    (d) The energy transition assistance charge shall be
15considered a charge for public utility service.
16    (e) By the 20th day of the month following the month in
17which the charges imposed by this Section were collected, each
18electric utility serving more than 500,000 customers in the
19State shall remit to Department of Revenue all moneys received
20as payment of the energy transition assistance charge on a
21return prescribed and furnished by the Department of Revenue
22showing such information as the Department of Revenue may
23reasonably require. If a customer makes a partial payment, a
24public utility may apply such partial payments first to
25amounts owed to the utility. No customer may be subjected to
26disconnection of his or her utility service for failure to pay

 

 

SB0025 Enrolled- 790 -LRB104 07069 BAB 17106 b

1the energy transition assistance charge.
2    If any payment provided for in this subsection exceeds the
3electric utility's liabilities under this Act, as shown on an
4original return, the Department may authorize the electric
5utility to credit such excess payment against liability
6subsequently to be remitted to the Department under this Act,
7in accordance with reasonable rules adopted by the Department.
8    All the provisions of Sections 4, 5, 5a, 5b, 5c, 5d, 5e,
95f, 5g, 5i, 5j, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 11a, 12, and 13
10of the Retailers' Occupation Tax Act that are not inconsistent
11with this Act apply, as far as practicable, to the charge
12imposed by this Act to the same extent as if those provisions
13were included in this Act. References in the incorporated
14Sections of the Retailers' Occupation Tax Act to retailers, to
15sellers, or to persons engaged in the business of selling
16tangible personal property mean persons required to remit the
17charge imposed under this Act.
18    (f) The Department of Revenue shall deposit into the
19Energy Transition Assistance Fund all moneys remitted to it in
20accordance with this Section.
21    (g) The Department of Revenue may establish such rules as
22it deems necessary to implement this Section.
23    (h) The Department of Commerce and Economic Opportunity
24may establish such rules as it deems necessary to implement
25this Section.
26(Source: P.A. 102-662, eff. 9-15-21; 102-1031, eff. 5-27-22.)
 

 

 

SB0025 Enrolled- 791 -LRB104 07069 BAB 17106 b

1    (220 ILCS 5/16-111.5)
2    Sec. 16-111.5. Provisions relating to procurement.
3    (a) An electric utility that on December 31, 2005 served
4at least 100,000 customers in Illinois shall procure power and
5energy for its eligible retail customers in accordance with
6the applicable provisions set forth in Section 1-75 of the
7Illinois Power Agency Act and this Section. Beginning with the
8delivery year commencing on June 1, 2017, such electric
9utility shall also procure zero emission credits from zero
10emission facilities in accordance with the applicable
11provisions set forth in Section 1-75 of the Illinois Power
12Agency Act, and, for years beginning on or after June 1, 2017,
13the utility shall procure renewable energy resources in
14accordance with the applicable provisions set forth in Section
151-75 of the Illinois Power Agency Act and this Section.
16Beginning with the delivery year commencing on June 1, 2022,
17an electric utility serving over 3,000,000 customers shall
18also procure carbon mitigation credits from carbon-free energy
19resources in accordance with the applicable provisions set
20forth in Section 1-75 of the Illinois Power Agency Act and this
21Section. Beginning with the delivery year commencing on June
221, 2026, an electric utility serving more than 300,000
23customers in the State as of January 1, 2019 shall also procure
24energy storage resources in accordance with the applicable
25provisions of subsection (d-20) of Section 1-75 of the

 

 

SB0025 Enrolled- 792 -LRB104 07069 BAB 17106 b

1Illinois Power Agency Act and this Section. A small
2multi-jurisdictional electric utility that on December 31,
32005 served less than 100,000 customers in Illinois may elect
4to procure power and energy for all or a portion of its
5eligible Illinois retail customers in accordance with the
6applicable provisions set forth in this Section and Section
71-75 of the Illinois Power Agency Act. This Section shall not
8apply to a small multi-jurisdictional utility until such time
9as a small multi-jurisdictional utility requests the Illinois
10Power Agency to prepare a procurement plan for its eligible
11retail customers. "Eligible retail customers" for the purposes
12of this Section means those retail customers that purchase
13power and energy from the electric utility under fixed-price
14bundled service tariffs, other than those retail customers
15whose service is declared or deemed competitive under Section
1616-113 and those other customer groups specified in this
17Section, including self-generating customers, customers
18electing hourly pricing, or those customers who are otherwise
19ineligible for fixed-price bundled tariff service. Except as
20otherwise provided for in subsection (b-10), for For those
21customers that are excluded from the procurement plan's
22electric supply service requirements, and the utility shall
23procure any supply requirements, including capacity, ancillary
24services, and hourly priced energy, in the applicable markets
25as needed to serve those customers, provided that the utility
26may include in its procurement plan load requirements for the

 

 

SB0025 Enrolled- 793 -LRB104 07069 BAB 17106 b

1load that is associated with those retail customers whose
2service has been declared or deemed competitive pursuant to
3Section 16-113 of this Act to the extent that those customers
4are purchasing power and energy during one of the transition
5periods identified in subsection (b) of Section 16-113 of this
6Act.
7    (b) A procurement plan shall be prepared for each electric
8utility consistent with the applicable requirements of the
9Illinois Power Agency Act and this Section. For purposes of
10this Section, Illinois electric utilities that are affiliated
11by virtue of a common parent company are considered to be a
12single electric utility. Small multi-jurisdictional utilities
13may request a procurement plan for a portion of or all of its
14Illinois load. Each procurement plan shall analyze the
15projected balance of supply and demand for those retail
16customers to be included in the plan's electric supply service
17requirements over a 5-year period, with the first planning
18year beginning on June 1 of the year following the year in
19which the plan is filed. The plan shall specifically identify
20the wholesale products to be procured following plan approval,
21and shall follow all the requirements set forth in the Public
22Utilities Act and all applicable State and federal laws,
23statutes, rules, or regulations, as well as Commission orders.
24Nothing in this Section precludes consideration of contracts
25longer than 5 years and related forecast data. Unless
26specified otherwise in this Section, in the procurement plan

 

 

SB0025 Enrolled- 794 -LRB104 07069 BAB 17106 b

1or in the implementing tariff, any procurement occurring in
2accordance with this plan shall be competitively bid through a
3request for proposals process. Approval and implementation of
4the procurement plan shall be subject to review and approval
5by the Commission according to the provisions set forth in
6this Section. A procurement plan shall include each of the
7following components:
8        (1) Hourly load analysis. This analysis shall include:
9            (i) multi-year historical analysis of hourly
10        loads;
11            (ii) switching trends and competitive retail
12        market analysis;
13            (iii) known or projected changes to future loads;
14        and
15            (iv) growth forecasts by customer class.
16        (2) Analysis of the impact of any demand side and
17    renewable energy initiatives. This analysis shall include:
18            (i) the impact of demand response programs and
19        energy efficiency programs, both current and
20        projected; for small multi-jurisdictional utilities,
21        the impact of demand response and energy efficiency
22        programs approved pursuant to Section 8-408 of this
23        Act, both current and projected; and
24            (ii) supply side needs that are projected to be
25        offset by purchases of renewable energy resources, if
26        any.

 

 

SB0025 Enrolled- 795 -LRB104 07069 BAB 17106 b

1        (3) A plan for meeting the expected load requirements
2    that will not be met through preexisting contracts. This
3    plan shall include:
4            (i) definitions of the different Illinois retail
5        customer classes for which supply is being purchased;
6            (ii) the proposed mix of demand-response products
7        for which contracts will be executed during the next
8        year. For small multi-jurisdictional electric
9        utilities that on December 31, 2005 served fewer than
10        100,000 customers in Illinois, these shall be defined
11        as demand-response products offered in an energy
12        efficiency plan approved pursuant to Section 8-408 of
13        this Act. The cost-effective demand-response measures
14        shall be procured whenever the cost is lower than
15        procuring comparable capacity products, provided that
16        such products shall:
17                (A) be procured by a demand-response provider
18            from those retail customers included in the plan's
19            electric supply service requirements;
20                (B) at least satisfy the demand-response
21            requirements of the regional transmission
22            organization market in which the utility's service
23            territory is located, including, but not limited
24            to, any applicable capacity or dispatch
25            requirements;
26                (C) provide for customers' participation in

 

 

SB0025 Enrolled- 796 -LRB104 07069 BAB 17106 b

1            the stream of benefits produced by the
2            demand-response products;
3                (D) provide for reimbursement by the
4            demand-response provider of the utility for any
5            costs incurred as a result of the failure of the
6            supplier of such products to perform its
7            obligations thereunder; and
8                (E) meet the same credit requirements as apply
9            to suppliers of capacity, in the applicable
10            regional transmission organization market;
11            (iii) monthly forecasted system supply
12        requirements, including expected minimum, maximum, and
13        average values for the planning period;
14            (iv) the proposed mix and selection of standard
15        wholesale products for which contracts will be
16        executed during the next year, separately or in
17        combination, to meet that portion of its load
18        requirements not met through pre-existing contracts,
19        including but not limited to monthly 5 x 16 peak period
20        block energy, monthly off-peak wrap energy, monthly 7
21        x 24 energy, annual 5 x 16 energy, other standardized
22        energy or capacity products designed to provide
23        eligible retail customer benefits from commercially
24        deployed advanced technologies including but not
25        limited to high voltage direct current converter
26        stations, as such term is defined in Section 1-10 of

 

 

SB0025 Enrolled- 797 -LRB104 07069 BAB 17106 b

1        the Illinois Power Agency Act, whether or not such
2        product is currently available in wholesale markets,
3        annual off-peak wrap energy, annual 7 x 24 energy,
4        monthly capacity, annual capacity, peak load capacity
5        obligations, capacity purchase plan, and ancillary
6        services;
7            (v) proposed term structures for each wholesale
8        product type included in the proposed procurement plan
9        portfolio of products; and
10            (vi) an assessment of the price risk, load
11        uncertainty, and other factors that are associated
12        with the proposed procurement plan; this assessment,
13        to the extent possible, shall include an analysis of
14        the following factors: contract terms, time frames for
15        securing products or services, fuel costs, weather
16        patterns, transmission costs, market conditions, and
17        the governmental regulatory environment; the proposed
18        procurement plan shall also identify alternatives for
19        those portfolio measures that are identified as having
20        significant price risk and mitigation in the form of
21        additional retail customer and ratepayer price,
22        reliability, and environmental benefits from
23        standardized energy products delivered from
24        commercially deployed advanced technologies,
25        including, but not limited to, high voltage direct
26        current converter stations, as such term is defined in

 

 

SB0025 Enrolled- 798 -LRB104 07069 BAB 17106 b

1        Section 1-10 of the Illinois Power Agency Act, whether
2        or not such product is currently available in
3        wholesale markets.
4        (4) Proposed procedures for balancing loads. The
5    procurement plan shall include, for load requirements
6    included in the procurement plan, the process for (i)
7    hourly balancing of supply and demand and (ii) the
8    criteria for portfolio re-balancing in the event of
9    significant shifts in load.
10        (5) Long-Term Renewable Resources Procurement Plan.
11    The Agency shall prepare a long-term renewable resources
12    procurement plan for the procurement of renewable energy
13    credits under Sections 1-56 and 1-75 of the Illinois Power
14    Agency Act for delivery beginning in the 2017 delivery
15    year.
16            (i) The initial long-term renewable resources
17        procurement plan and all subsequent revisions shall be
18        subject to review and approval by the Commission. For
19        the purposes of this Section, "delivery year" has the
20        same meaning as in Section 1-10 of the Illinois Power
21        Agency Act. For purposes of this Section, "Agency"
22        shall mean the Illinois Power Agency.
23            (ii) The long-term renewable resources planning
24        process shall be conducted as follows:
25                (A) Electric utilities shall provide a range
26            of load forecasts to the Illinois Power Agency

 

 

SB0025 Enrolled- 799 -LRB104 07069 BAB 17106 b

1            within 45 days of the Agency's request for
2            forecasts, which request shall specify the length
3            and conditions for the forecasts including, but
4            not limited to, the quantity of distributed
5            generation expected to be interconnected for each
6            year.
7                (B) The Agency shall publish for comment the
8            initial long-term renewable resources procurement
9            plan no later than 120 days after the effective
10            date of this amendatory Act of the 99th General
11            Assembly and shall review, and may revise, the
12            plan at least every 2 years thereafter. To the
13            extent practicable, the Agency shall review and
14            propose any revisions to the long-term renewable
15            energy resources procurement plan in conjunction
16            with the Agency's other planning and approval
17            processes conducted under this Section. Plans may
18            be released on separate dates, but the Agency
19            shall, to the extent practicable, release both
20            plans across a 30-day period. The initial
21            long-term renewable resources procurement plan
22            shall:
23                    (aa) Identify the procurement programs and
24                competitive procurement events consistent with
25                the applicable requirements of the Illinois
26                Power Agency Act and shall be designed to

 

 

SB0025 Enrolled- 800 -LRB104 07069 BAB 17106 b

1                achieve the goals set forth in subsection (c)
2                of Section 1-75 of that Act.
3                    (bb) Include a schedule for procurements
4                for renewable energy credits from
5                utility-scale wind projects, utility-scale
6                solar projects, and brownfield site
7                photovoltaic projects consistent with
8                subparagraph (G) of paragraph (1) of
9                subsection (c) of Section 1-75 of the Illinois
10                Power Agency Act.
11                    (cc) Identify the process whereby the
12                Agency will submit to the Commission for
13                review and approval the proposed contracts to
14                implement the programs required by such plan.
15                If so authorized by the Commission in its
16            order approving the procurement plan, the
17            procurement plan shall provide that small
18            multi-jurisdictional electric utilities that, on
19            December 31, 2005, served fewer than 100,000
20            customers in Illinois shall, in lieu of serving as
21            counterparties to contracts for the delivery of
22            renewable energy credits, instead provide an
23            amount equivalent to the contracts for the
24            delivery of renewable energy credits in
25            collections to utilities that served at least
26            100,000 customers in Illinois as a compliance

 

 

SB0025 Enrolled- 801 -LRB104 07069 BAB 17106 b

1            payment for the procurement of additional
2            renewable energy credits to satisfy that small
3            multi-jurisdictional electric utility's
4            obligation for compliance with the goals set forth
5            in subsection (c) of Section 1-75 of the Illinois
6            Power Agency Act. This authorization may include
7            the transfer of existing contract obligations.    
8                Copies of the initial long-term renewable
9            resources procurement plan and all subsequent
10            revisions shall be posted and made publicly
11            available on the Agency's and Commission's
12            websites, and copies shall also be provided to
13            each affected electric utility. An affected
14            utility and other interested parties shall have 45
15            days following the date of posting to provide
16            comment to the Agency on the initial long-term
17            renewable resources procurement plan and all
18            subsequent revisions. All comments submitted to
19            the Agency shall be specific, supported by data or
20            other detailed analyses, and, if objecting to all
21            or a portion of the procurement plan, accompanied
22            by specific alternative wording or proposals. All
23            comments shall be posted on the Agency's and
24            Commission's websites. During this 45-day comment
25            period, the Agency shall hold at least one virtual
26            or in-person public hearing for within each

 

 

SB0025 Enrolled- 802 -LRB104 07069 BAB 17106 b

1            utility's service area that is subject to the
2            requirements of this paragraph (5) for the purpose
3            of receiving public comment. Within 21 days
4            following the end of the 45-day review period, the
5            Agency may revise the long-term renewable
6            resources procurement plan based on the comments
7            received and shall file the plan with the
8            Commission for review and approval.
9                (C) Within 14 days after the filing of the
10            initial long-term renewable resources procurement
11            plan or any subsequent revisions, any person
12            objecting to the plan may file an objection with
13            the Commission. Within 21 days after the filing of
14            the plan, the Commission shall determine whether a
15            hearing is necessary. The Commission shall enter
16            its order confirming or modifying the initial
17            long-term renewable resources procurement plan or
18            any subsequent revisions within 120 days after the
19            filing of the plan by the Illinois Power Agency.
20                (D) The Commission shall approve the initial
21            long-term renewable resources procurement plan and
22            any subsequent revisions, including expressly the
23            forecast used in the plan and taking into account
24            that funding will be limited to the amount of
25            revenues actually collected by the utilities, if
26            the Commission determines that the plan will

 

 

SB0025 Enrolled- 803 -LRB104 07069 BAB 17106 b

1            reasonably and prudently accomplish the
2            requirements of Section 1-56 and subsection (c) of
3            Section 1-75 of the Illinois Power Agency Act. The
4            Commission shall also approve the process for the
5            submission, review, and approval of the proposed
6            contracts to procure renewable energy credits or
7            implement the programs authorized by the
8            Commission pursuant to a long-term renewable
9            resources procurement plan approved under this
10            Section.
11                In approving any long-term renewable resources
12            procurement plan after the effective date of this
13            amendatory Act of the 102nd General Assembly, the
14            Commission shall approve or modify the Agency's
15            proposal for minimum equity standards pursuant to
16            subsection (c-10) of Section 1-75 of the Illinois
17            Power Agency Act. The Commission shall consider
18            any analysis performed by the Agency in developing
19            its proposal, including past performance,
20            availability of equity eligible contractors, and
21            availability of equity eligible persons at the
22            time the long-term renewable resources procurement
23            plan is approved.
24            (iii) The Agency or third parties contracted by
25        the Agency shall implement all programs authorized by
26        the Commission in an approved long-term renewable

 

 

SB0025 Enrolled- 804 -LRB104 07069 BAB 17106 b

1        resources procurement plan without further review and
2        approval by the Commission. Third parties shall not
3        begin implementing any programs or receive any payment
4        under this Section until the Commission has approved
5        the contract or contracts under the process authorized
6        by the Commission in item (D) of subparagraph (ii) of
7        paragraph (5) of this subsection (b) and the third
8        party and the Agency or utility, as applicable, have
9        executed the contract. For those renewable energy
10        credits subject to procurement through a competitive
11        bid process under the plan or under the initial
12        forward procurements for wind and solar resources
13        described in subparagraph (G) of paragraph (1) of
14        subsection (c) of Section 1-75 of the Illinois Power
15        Agency Act, the Agency shall follow the procurement
16        process specified in the provisions relating to
17        electricity procurement in subsections (e) through (i)
18        of this Section.
19            (iv) An electric utility shall recover its costs
20        associated with the procurement of renewable energy
21        credits under this Section and pursuant to subsection
22        (c-5) of Section 1-75 of the Illinois Power Agency Act
23        through an automatic adjustment clause tariff under
24        subsection (k) or a tariff pursuant to subsection
25        (i-5), as applicable, of Section 16-108 of this Act. A
26        utility shall not be required to advance any payment

 

 

SB0025 Enrolled- 805 -LRB104 07069 BAB 17106 b

1        or pay any amounts under this Section that exceed the
2        actual amount of revenues collected by the utility
3        under paragraph (6) of subsection (c) of Section 1-75
4        of the Illinois Power Agency Act, subsection (c-5) of
5        Section 1-75 of the Illinois Power Agency Act, and
6        subsection (k) or subsection (i-5), as applicable, of
7        Section 16-108 of this Act, and contracts executed
8        under this Section shall expressly incorporate this
9        limitation.
10            (v) For the public interest, safety, and welfare,
11        the Agency and the Commission may adopt rules to carry
12        out the provisions of this Section on an emergency
13        basis immediately following the effective date of this
14        amendatory Act of the 99th General Assembly.
15            (vi) On or before July 1 of each year, the
16        Commission shall hold an informal hearing for the
17        purpose of receiving comments on the prior year's
18        procurement process and any recommendations for
19        change.
20        (6) Energy Storage System Resources Procurement Plan.
21    The Agency shall prepare an energy storage system
22    resources procurement plan for the procurement of energy
23    storage system resources in compliance with this Section
24    and subsection (d-20) of Section 1-75 of the Illinois
25    Power Agency Act.
26            (i) The initial energy storage system resources

 

 

SB0025 Enrolled- 806 -LRB104 07069 BAB 17106 b

1        procurement plan and all subsequent revisions shall be
2        subject to review and approval by the Commission. For
3        the purposes of this paragraph (6), "delivery year"
4        has the meaning given to that term in Section 1-10 of
5        the Illinois Power Agency Act, and "Agency" means the
6        Illinois Power Agency.
7            (ii) The energy storage system resources
8        procurement planning process shall be conducted as
9        follows:
10                (A) The Agency shall publish for comment the
11            initial energy storage system resources
12            procurement plan no later than June 1, 2027 and
13            may revise the plan at least every 2 years
14            thereafter. To the extent practicable, the Agency
15            shall review and propose any revisions to the
16            energy storage system resources procurement plan
17            in conjunction with the Agency's long-term
18            renewable resources procurement plan. The initial
19            energy storage system resources plan shall:
20                    (aa) include a schedule for procurements
21                for energy storage system resources consistent
22                with subsection (d-20) of Section 1-75 of the
23                Illinois Power Agency Act and the integrated
24                resource planning process outlined in Section
25                16-202; and
26                    (bb) identify the process whereby the

 

 

SB0025 Enrolled- 807 -LRB104 07069 BAB 17106 b

1                Agency will submit to the Commission for
2                review and approval the proposed contracts to
3                implement the programs required by the plan.
4                Copies of the initial energy storage system
5            resources procurement plan and all subsequent
6            revisions shall be posted and made publicly
7            available on the Agency's and Commission's
8            websites, and copies shall also be provided to
9            each affected electric utility. An affected
10            utility and other interested parties shall have 45
11            days after the date of posting to provide comment
12            to the Agency on the initial storage system
13            resources procurement plan and all subsequent
14            revisions. All comments shall be posted on the
15            Agency's and the Commission's websites.
16                (B) The Commission shall approve the initial
17            energy storage system resources procurement plan
18            and any subsequent revisions if the Commission
19            determines that the plan will reasonably and
20            prudently accomplish the requirements of
21            subsection (d-20) of Section 1-75 of the Illinois
22            Power Agency Act. The Commission shall also
23            approve the process for the submission, review,
24            and approval of the proposed contracts to procure
25            energy storage system resources or implement the
26            programs authorized by the Commission pursuant to

 

 

SB0025 Enrolled- 808 -LRB104 07069 BAB 17106 b

1            an energy storage system resources procurement
2            plan approved under this Section.
3            (iii) The Agency or third parties contracted by
4        the Agency shall implement all programs authorized by
5        the Commission in an approved energy storage system
6        resources procurement plan without further review and
7        approval by the Commission. Third parties shall not
8        begin implementing any programs or receive any payment
9        under this Section until the Commission has approved a
10        contract under the energy storage system resources
11        procurement process under this Section.
12            (iv) An electric utility shall recover its prudent
13        and reasonable costs associated with the procurement
14        of energy storage system resources procurements under
15        this Section and under subsection (d-20) of Section
16        1-75 of the Illinois Power Agency Act through an
17        automatic adjustment clause tariff under subsection
18        (k) of Section 16-108.    
19    (b-5) An electric utility that as of January 1, 2019
20served more than 300,000 retail customers in this State shall
21purchase renewable energy credits from new renewable energy
22facilities constructed at or adjacent to the sites of
23coal-fueled electric generating facilities in this State in
24accordance with subsection (c-5) of Section 1-75 of the
25Illinois Power Agency Act and shall purchase energy storage
26credits, or other services as applicable, for energy storage

 

 

SB0025 Enrolled- 809 -LRB104 07069 BAB 17106 b

1system resources in accordance with subsection (d-20) of
2Section 1-75 of the Illinois Power Agency Act. Except as
3expressly provided in this Section, the plans and procedures
4for such procurements shall not be included in the procurement
5plans provided for in this Section, but rather shall be
6conducted and implemented solely in accordance with subsection
7(c-5) of Section 1-75 of the Illinois Power Agency Act.
8    (b-10) Beginning with the procurement plan for the
9delivery year commencing on June 1, 2027, in recognition of
10the potential need to facilitate additional supply to address
11any resource adequacy challenges through a stable and
12competitively neutral cost allocation mechanism, upon an
13identification of need by the Commission in the resource
14adequacy report prepared pursuant to subsection (o) of Section
159.15 of the Environmental Protection Act, and as such need is
16updated by the integrated resource planning process outlined
17in subsection (b), the procurement plan shall also include the
18procurement of energy, capacity, environmental attributes,
19resource adequacy attributes, or some combination thereof
20intended to serve all retail customers. Any procurements
21proposed under this subsection (b-10) shall feature long-term
22contracts, shall be structured to facilitate new and additive
23supply resources, and shall be sized to ensure that the
24substantial majority of any load-serving entity's supply
25portfolio is not composed of contracts awarded under this
26subsection (b-10). Any procurement should consider the value

 

 

SB0025 Enrolled- 810 -LRB104 07069 BAB 17106 b

1of higher capacity resources that aid in resource adequacy.
2The Agency shall propose contract structures that do not
3create contractual obligations on utilities that are not
4contingent on full and timely cost recovery, that avoid
5negative financial impacts on the utilities, and that are
6implemented through contracts that are agreed upon by the
7utilities.
8        (1) Facilities eligible for long-term contracts under
9    this subsection (b-10) must be new clean energy resources,
10    as defined in Section 1-10 of the Illinois Power Agency
11    Act, including clean generation associated high voltage
12    direct current transmission facilities, and must qualify
13    as an accredited capacity resource within the service
14    areas of PJM Interconnection, LLC, or Midcontinent
15    Independent System Operator, Inc. For purposes of this
16    subsection (b-10), "new" means energized on or after the
17    effective date of this amendatory Act of the 104th General
18    Assembly.
19        (2) Contracts may take the form of a sourcing
20    agreement, power purchase agreement, or other instrument
21    as determined by the Commission in approving the plan, and
22    may feature fixed or variable pricing structures,
23    including utilization of a contract for differences in
24    pricing structure. Contracts may feature both electric
25    utilities and alternative retail electric suppliers as
26    counterparties. In approving the contract structure

 

 

SB0025 Enrolled- 811 -LRB104 07069 BAB 17106 b

1    utilized for any contract awards made pursuant to this
2    subsection (b-10), the Commission shall prioritize
3    structures that ensure stable, reliable, and competitively
4    neutral allocations of costs and responsibilities.
5        (3) Purchases made under contracts awarded through
6    this subsection (b-10) shall be funded in a competitively
7    neutral manner as determined by the Commission in
8    approving the plan. To meet contract obligations, the
9    Commission may order collections from all retail customers
10    or from all load-serving entities, including alternative
11    retail electric suppliers as defined in Section 16-102 of
12    this Act, as a means of ensuring a fair and competitively
13    neutral allocation of contract costs. In establishing
14    collections, the Agency may propose and the Commission may
15    approve adjustments for load-serving entities that have
16    contracts entered into before the effective date of this
17    amendatory Act of the 104th General Assembly for energy,
18    capacity, or environmental attributes to ensure customers
19    are not double-billed for the same service.
20        (4) The Agency may propose and the Commission may
21    approve additional terms, conditions, and requirements
22    applicable to this procurement process through development
23    and approval of the Agency's annual electricity
24    procurement plan.
25        (5) The manner and form for developing contracts,
26    qualifying potential counterparties, and awarding

 

 

SB0025 Enrolled- 812 -LRB104 07069 BAB 17106 b

1    contracts shall be proposed as part of the annual
2    electricity procurement plan described in this subsection
3    (b-10). However, to the extent practicable, the proposed
4    approach for contract development and award should
5    endeavor to follow the provisions of subsections (c) and
6    (e) through (i) of this Section.
7        (6) As further outlined in Section 16-115A, compliance
8    with any procurement process proposed under this
9    subsection (b-10) shall be considered a condition of
10    service for alternative retail electric suppliers.    
11    (c) The provisions of this subsection (c) shall not apply
12to procurements conducted pursuant to subsection (c-5) of
13Section 1-75 of the Illinois Power Agency Act. However, the
14Agency may retain a procurement administrator to assist the
15Agency in planning and carrying out the procurement events and
16implementing the other requirements specified in such
17subsection (c-5) of Section 1-75 of the Illinois Power Agency
18Act, with the costs incurred by the Agency for the procurement
19administrator to be recovered through fees charged to
20applicants for selection to sell and deliver renewable energy
21credits to electric utilities pursuant to subsection (c-5) of
22Section 1-75 of the Illinois Power Agency Act. The procurement
23process set forth in Section 1-75 of the Illinois Power Agency
24Act and subsection (e) of this Section shall be administered
25by a procurement administrator and monitored by a procurement
26monitor.

 

 

SB0025 Enrolled- 813 -LRB104 07069 BAB 17106 b

1        (1) The procurement administrator shall:
2            (i) design the final procurement process in
3        accordance with Section 1-75 of the Illinois Power
4        Agency Act and subsection (e) of this Section
5        following Commission approval of the procurement plan;
6            (ii) develop benchmarks in accordance with
7        subsection (e)(3) to be used to evaluate bids; these
8        benchmarks shall be submitted to the Commission for
9        review and approval on a confidential basis prior to
10        the procurement event;
11            (iii) serve as the interface between the electric
12        utility and suppliers;
13            (iv) manage the bidder pre-qualification and
14        registration process;
15            (v) obtain the electric utilities' agreement to
16        the final form of all supply contracts and credit
17        collateral agreements;
18            (vi) administer the request for proposals process;
19            (vii) have the discretion to negotiate to
20        determine whether bidders are willing to lower the
21        price of bids that meet the benchmarks approved by the
22        Commission; any post-bid negotiations with bidders
23        shall be limited to price only and shall be completed
24        within 24 hours after opening the sealed bids and
25        shall be conducted in a fair and unbiased manner; in
26        conducting the negotiations, there shall be no

 

 

SB0025 Enrolled- 814 -LRB104 07069 BAB 17106 b

1        disclosure of any information derived from proposals
2        submitted by competing bidders; if information is
3        disclosed to any bidder, it shall be provided to all
4        competing bidders;
5            (viii) maintain confidentiality of supplier and
6        bidding information in a manner consistent with all
7        applicable laws, rules, regulations, and tariffs;
8            (ix) submit a confidential report to the
9        Commission recommending acceptance or rejection of
10        bids;
11            (x) notify the utility of contract counterparties
12        and contract specifics; and
13            (xi) administer related contingency procurement
14        events.
15        (2) The procurement monitor, who shall be retained by
16    the Commission, shall:
17            (i) monitor interactions among the procurement
18        administrator, suppliers, and utility;
19            (ii) monitor and report to the Commission on the
20        progress of the procurement process;
21            (iii) provide an independent confidential report
22        to the Commission regarding the results of the
23        procurement event;
24            (iv) assess compliance with the procurement plans
25        approved by the Commission for each utility that on
26        December 31, 2005 provided electric service to at

 

 

SB0025 Enrolled- 815 -LRB104 07069 BAB 17106 b

1        least 100,000 customers in Illinois and for each small
2        multi-jurisdictional utility that on December 31, 2005
3        served less than 100,000 customers in Illinois;
4            (v) preserve the confidentiality of supplier and
5        bidding information in a manner consistent with all
6        applicable laws, rules, regulations, and tariffs;
7            (vi) provide expert advice to the Commission and
8        consult with the procurement administrator regarding
9        issues related to procurement process design, rules,
10        protocols, and policy-related matters; and
11            (vii) consult with the procurement administrator
12        regarding the development and use of benchmark
13        criteria, standard form contracts, credit policies,
14        and bid documents.
15    (d) Except as provided in subsection (j), the planning
16process shall be conducted as follows:
17        (1) Beginning in 2008, each Illinois utility procuring
18    power pursuant to this Section shall annually provide a
19    range of load forecasts to the Illinois Power Agency by
20    July 15 of each year, or such other date as may be required
21    by the Commission or Agency. The load forecasts shall
22    cover the 5-year procurement planning period for the next
23    procurement plan and shall include hourly data
24    representing a high-load, low-load, and expected-load
25    scenario for the load of those retail customers included
26    in the plan's electric supply service requirements. The

 

 

SB0025 Enrolled- 816 -LRB104 07069 BAB 17106 b

1    utility shall provide supporting data and assumptions for
2    each of the scenarios.
3        (2) Beginning in 2008, the Illinois Power Agency shall
4    prepare a procurement plan by August 15th of each year, or
5    such other date as may be required by the Commission. The
6    procurement plan shall identify the portfolio of
7    demand-response and power and energy products to be
8    procured. Cost-effective demand-response measures shall be
9    procured as set forth in item (iii) of subsection (b) of
10    this Section. Copies of the procurement plan shall be
11    posted and made publicly available on the Agency's and
12    Commission's websites, and copies shall also be provided
13    to each affected electric utility. An affected utility
14    shall have 30 days following the date of posting to
15    provide comment to the Agency on the procurement plan.
16    Other interested entities also may comment on the
17    procurement plan. All comments submitted to the Agency
18    shall be specific, supported by data or other detailed
19    analyses, and, if objecting to all or a portion of the
20    procurement plan, accompanied by specific alternative
21    wording or proposals. All comments shall be posted on the
22    Agency's and Commission's websites. During this 30-day
23    comment period, the Agency shall hold at least one virtual
24    or in-person public hearing for within each utility's
25    service area for the purpose of receiving public comment
26    on the procurement plan. Within 14 days following the end

 

 

SB0025 Enrolled- 817 -LRB104 07069 BAB 17106 b

1    of the 30-day review period, the Agency shall revise the
2    procurement plan as necessary based on the comments
3    received and file the procurement plan with the Commission
4    and post the procurement plan on the websites.
5        (3) Within 5 days after the filing of the procurement
6    plan, any person objecting to the procurement plan shall
7    file an objection with the Commission. Within 10 days
8    after the filing, the Commission shall determine whether a
9    hearing is necessary. The Commission shall enter its order
10    confirming or modifying the procurement plan within 90
11    days after the filing of the procurement plan by the
12    Illinois Power Agency.
13        (4) The Commission shall approve the procurement plan,
14    including expressly the forecast used in the procurement
15    plan, if the Commission determines that it will ensure
16    adequate, reliable, affordable, efficient, and
17    environmentally sustainable electric service at the lowest
18    total cost over time, taking into account any benefits of
19    price stability.
20        (4.5) The Commission shall review the Agency's
21    recommendations for the selection of applicants to enter
22    into long-term contracts for the sale and delivery of
23    renewable energy credits from new renewable energy
24    facilities to be constructed at or adjacent to the sites
25    of coal-fueled electric generating facilities in this
26    State in accordance with the provisions of subsection

 

 

SB0025 Enrolled- 818 -LRB104 07069 BAB 17106 b

1    (c-5) of Section 1-75 of the Illinois Power Agency Act,
2    and shall approve the Agency's recommendations if the
3    Commission determines that the applicants recommended by
4    the Agency for selection, the proposed new renewable
5    energy facilities to be constructed, the amounts of
6    renewable energy credits to be delivered pursuant to the
7    contracts, and the other terms of the contracts, are
8    consistent with the requirements of subsection (c-5) of
9    Section 1-75 of the Illinois Power Agency Act.
10    (e) The procurement process shall include each of the
11following components:
12        (1) Solicitation, pre-qualification, and registration
13    of bidders. The procurement administrator shall
14    disseminate information to potential bidders to promote a
15    procurement event, notify potential bidders that the
16    procurement administrator may enter into a post-bid price
17    negotiation with bidders that meet the applicable
18    benchmarks, provide supply requirements, and otherwise
19    explain the competitive procurement process. In addition
20    to such other publication as the procurement administrator
21    determines is appropriate, this information shall be
22    posted on the Illinois Power Agency's and the Commission's
23    websites. The procurement administrator shall also
24    administer the prequalification process, including
25    evaluation of credit worthiness, compliance with
26    procurement rules, and agreement to the standard form

 

 

SB0025 Enrolled- 819 -LRB104 07069 BAB 17106 b

1    contract developed pursuant to paragraph (2) of this
2    subsection (e). The procurement administrator shall then
3    identify and register bidders to participate in the
4    procurement event.
5        (2) Standard contract forms and credit terms and
6    instruments. The procurement administrator, in
7    consultation with the utilities, the Commission, and other
8    interested parties and subject to Commission oversight,
9    shall develop and provide standard contract forms for the
10    supplier contracts that meet generally accepted industry
11    practices. Standard credit terms and instruments that meet
12    generally accepted industry practices shall be similarly
13    developed. The procurement administrator shall make
14    available to the Commission all written comments it
15    receives on the contract forms, credit terms, or
16    instruments. If the procurement administrator cannot reach
17    agreement with the applicable electric utility as to the
18    contract terms and conditions, the procurement
19    administrator must notify the Commission of any disputed
20    terms and the Commission shall resolve the dispute. The
21    terms of the contracts shall not be subject to negotiation
22    by winning bidders, and the bidders must agree to the
23    terms of the contract in advance so that winning bids are
24    selected solely on the basis of price.
25        (3) Establishment of a market-based price benchmark.
26    As part of the development of the procurement process, the

 

 

SB0025 Enrolled- 820 -LRB104 07069 BAB 17106 b

1    procurement administrator, in consultation with the
2    Commission staff, Agency staff, and the procurement
3    monitor, shall establish benchmarks for evaluating the
4    final prices in the contracts for each of the products
5    that will be procured through the procurement process. The
6    benchmarks shall be based on price data for similar
7    products for the same delivery period and same delivery
8    hub, or other delivery hubs after adjusting for that
9    difference. The price benchmarks may also be adjusted to
10    take into account differences between the information
11    reflected in the underlying data sources and the specific
12    products and procurement process being used to procure
13    power for the Illinois utilities. The benchmarks shall be
14    confidential but shall be provided to, and will be subject
15    to Commission review and approval, prior to a procurement
16    event.
17        (4) Request for proposals competitive procurement
18    process. The procurement administrator shall design and
19    issue a request for proposals to supply electricity in
20    accordance with each utility's procurement plan, as
21    approved by the Commission. The request for proposals
22    shall set forth a procedure for sealed, binding commitment
23    bidding with pay-as-bid settlement, and provision for
24    selection of bids on the basis of price.
25        (5) A plan for implementing contingencies in the event
26    of supplier default or failure of the procurement process

 

 

SB0025 Enrolled- 821 -LRB104 07069 BAB 17106 b

1    to fully meet the expected load requirement due to
2    insufficient supplier participation, Commission rejection
3    of results, or any other cause.
4            (i) Event of supplier default: In the event of
5        supplier default, the utility shall review the
6        contract of the defaulting supplier to determine if
7        the amount of supply is 200 megawatts or greater, and
8        if there are more than 60 days remaining of the
9        contract term. If both of these conditions are met,
10        and the default results in termination of the
11        contract, the utility shall immediately notify the
12        Illinois Power Agency that a request for proposals
13        must be issued to procure replacement power, and the
14        procurement administrator shall run an additional
15        procurement event. If the contracted supply of the
16        defaulting supplier is less than 200 megawatts or
17        there are less than 60 days remaining of the contract
18        term, the utility shall procure power and energy from
19        the applicable regional transmission organization
20        market, including ancillary services, capacity, and
21        day-ahead or real time energy, or both, for the
22        duration of the contract term to replace the
23        contracted supply; provided, however, that if a needed
24        product is not available through the regional
25        transmission organization market it shall be purchased
26        from the wholesale market.

 

 

SB0025 Enrolled- 822 -LRB104 07069 BAB 17106 b

1            (ii) Failure of the procurement process to fully
2        meet the expected load requirement: If the procurement
3        process fails to fully meet the expected load
4        requirement due to insufficient supplier participation
5        or due to a Commission rejection of the procurement
6        results, the procurement administrator, the
7        procurement monitor, and the Commission staff shall
8        meet within 10 days to analyze potential causes of low
9        supplier interest or causes for the Commission
10        decision. If changes are identified that would likely
11        result in increased supplier participation, or that
12        would address concerns causing the Commission to
13        reject the results of the prior procurement event, the
14        procurement administrator may implement those changes
15        and rerun the request for proposals process according
16        to a schedule determined by those parties and
17        consistent with Section 1-75 of the Illinois Power
18        Agency Act and this subsection. In any event, a new
19        request for proposals process shall be implemented by
20        the procurement administrator within 90 days after the
21        determination that the procurement process has failed
22        to fully meet the expected load requirement.
23            (iii) In all cases where there is insufficient
24        supply provided under contracts awarded through the
25        procurement process to fully meet the electric
26        utility's load requirement, the utility shall meet the

 

 

SB0025 Enrolled- 823 -LRB104 07069 BAB 17106 b

1        load requirement by procuring power and energy from
2        the applicable regional transmission organization
3        market, including ancillary services, capacity, and
4        day-ahead or real time energy, or both; provided,
5        however, that if a needed product is not available
6        through the regional transmission organization market
7        it shall be purchased from the wholesale market.
8        (6) The procurement processes described in this
9    subsection and in subsection (c-5) of Section 1-75 of the
10    Illinois Power Agency Act are exempt from the requirements
11    of the Illinois Procurement Code, pursuant to Section
12    20-10 of that Code.
13    (f) Within 2 business days after opening the sealed bids,
14the procurement administrator shall submit a confidential
15report to the Commission. The report shall contain the results
16of the bidding for each of the products along with the
17procurement administrator's recommendation for the acceptance
18and rejection of bids based on the price benchmark criteria
19and other factors observed in the process. The procurement
20monitor also shall submit a confidential report to the
21Commission within 2 business days after opening the sealed
22bids. The report shall contain the procurement monitor's
23assessment of bidder behavior in the process as well as an
24assessment of the procurement administrator's compliance with
25the procurement process and rules. The Commission shall review
26the confidential reports submitted by the procurement

 

 

SB0025 Enrolled- 824 -LRB104 07069 BAB 17106 b

1administrator and procurement monitor, and shall accept or
2reject the recommendations of the procurement administrator
3within 2 business days after receipt of the reports.
4    (g) Within 3 business days after the Commission decision
5approving the results of a procurement event, the utility
6shall enter into binding contractual arrangements with the
7winning suppliers using the standard form contracts; except
8that the utility shall not be required either directly or
9indirectly to execute the contracts if a tariff that is
10consistent with subsection (l) of this Section has not been
11approved and placed into effect for that utility.
12    (h) For the procurement of standard wholesale products,
13the names of the successful bidders and the load weighted
14average of the winning bid prices for each contract type and
15for each contract term shall be made available to the public at
16the time of Commission approval of a procurement event. For
17procurements conducted to meet the requirements of subsection
18(b) of Section 1-56 or subsection (c) of Section 1-75 of the
19Illinois Power Agency Act governed by the provisions of this
20Section, the address and nameplate capacity of the new
21renewable energy generating facility proposed by a winning
22bidder shall also be made available to the public at the time
23of Commission approval of a procurement event, along with the
24business address and contact information for any winning
25bidder. An estimate or approximation of the nameplate capacity
26of the new renewable energy generating facility may be

 

 

SB0025 Enrolled- 825 -LRB104 07069 BAB 17106 b

1disclosed if necessary to protect the confidentiality of
2individual bid prices.
3    The Commission, the procurement monitor, the procurement
4administrator, the Illinois Power Agency, and all participants
5in the procurement process shall maintain the confidentiality
6of all other supplier and bidding information in a manner
7consistent with all applicable laws, rules, regulations, and
8tariffs. Confidential information, including the confidential
9reports submitted by the procurement administrator and
10procurement monitor pursuant to subsection (f) of this
11Section, shall not be made publicly available and shall not be
12discoverable by any party in any proceeding, absent a
13compelling demonstration of need, nor shall those reports be
14admissible in any proceeding other than one for law
15enforcement purposes.
16    For procurements conducted to meet the requirements of
17subsection (b) of Section 1-56 or subsection (c) of Section
181-75 of the Illinois Power Agency Act, the Illinois Power
19Agency may release aggregated information related to
20participation levels across product types and the basis of
21rejection for non-accepted bids if the Commission, the
22procurement monitor, the procurement administrator, and the
23Illinois Power Agency determine that the release of this
24information would not result in the disclosure of confidential
25bid information or negatively impact the competitiveness of
26future renewable energy credit procurements. The Agency may

 

 

SB0025 Enrolled- 826 -LRB104 07069 BAB 17106 b

1also release information about the development status of new
2renewable energy projects under contract and project-specific
3information about renewable energy credit delivery quantities
4for projects under contract if the Commission, the procurement
5monitor, the procurement administrator, and the Illinois Power
6Agency determine that the release of this information would
7not result in the disclosure of confidential bid information
8or negatively impact the competitiveness of future renewable
9energy credit procurements.    
10    (i) Within 2 business days after a Commission decision
11approving the results of a procurement event or such other
12date as may be required by the Commission from time to time,
13the utility shall file for informational purposes with the
14Commission its actual or estimated retail supply charges, as
15applicable, by customer supply group reflecting the costs
16associated with the procurement and computed in accordance
17with the tariffs filed pursuant to subsection (l) of this
18Section and approved by the Commission.
19    (j) Within 60 days following August 28, 2007 (the
20effective date of Public Act 95-481), each electric utility
21that on December 31, 2005 provided electric service to at
22least 100,000 customers in Illinois shall prepare and file
23with the Commission an initial procurement plan, which shall
24conform in all material respects to the requirements of the
25procurement plan set forth in subsection (b); provided,
26however, that the Illinois Power Agency Act shall not apply to

 

 

SB0025 Enrolled- 827 -LRB104 07069 BAB 17106 b

1the initial procurement plan prepared pursuant to this
2subsection. The initial procurement plan shall identify the
3portfolio of power and energy products to be procured and
4delivered for the period June 2008 through May 2009, and shall
5identify the proposed procurement administrator, who shall
6have the same experience and expertise as is required of a
7procurement administrator hired pursuant to Section 1-75 of
8the Illinois Power Agency Act. Copies of the procurement plan
9shall be posted and made publicly available on the
10Commission's website. The initial procurement plan may include
11contracts for renewable resources that extend beyond May 2009.
12        (i) Within 14 days following filing of the initial
13    procurement plan, any person may file a detailed objection
14    with the Commission contesting the procurement plan
15    submitted by the electric utility. All objections to the
16    electric utility's plan shall be specific, supported by
17    data or other detailed analyses. The electric utility may
18    file a response to any objections to its procurement plan
19    within 7 days after the date objections are due to be
20    filed. Within 7 days after the date the utility's response
21    is due, the Commission shall determine whether a hearing
22    is necessary. If it determines that a hearing is
23    necessary, it shall require the hearing to be completed
24    and issue an order on the procurement plan within 60 days
25    after the filing of the procurement plan by the electric
26    utility.

 

 

SB0025 Enrolled- 828 -LRB104 07069 BAB 17106 b

1        (ii) The order shall approve or modify the procurement
2    plan, approve an independent procurement administrator,
3    and approve or modify the electric utility's tariffs that
4    are proposed with the initial procurement plan. The
5    Commission shall approve the procurement plan if the
6    Commission determines that it will ensure adequate,
7    reliable, affordable, efficient, and environmentally
8    sustainable electric service at the lowest total cost over
9    time, taking into account any benefits of price stability.
10    (k) (Blank).
11    (k-5) (Blank).
12    (l) An electric utility shall recover its costs incurred
13under this Section and subsection (c-5) of Section 1-75 of the
14Illinois Power Agency Act, including, but not limited to, the
15costs of procuring power and energy demand-response resources
16under this Section and its costs for purchasing renewable
17energy credits pursuant to subsection (c-5) of Section 1-75 of
18the Illinois Power Agency Act. The utility shall file with the
19initial procurement plan its proposed tariffs through which
20its costs of procuring power that are incurred pursuant to a
21Commission-approved procurement plan and those other costs
22identified in this subsection (l), will be recovered. The
23tariffs shall include a formula rate or charge designed to
24pass through both the costs incurred by the utility in
25procuring a supply of electric power and energy for the
26applicable customer classes with no mark-up or return on the

 

 

SB0025 Enrolled- 829 -LRB104 07069 BAB 17106 b

1price paid by the utility for that supply, plus any just and
2reasonable costs that the utility incurs in arranging and
3providing for the supply of electric power and energy. The
4formula rate or charge shall also contain provisions that
5ensure that its application does not result in over or under
6recovery due to changes in customer usage and demand patterns,
7and that provide for the correction, on at least an annual
8basis, of any accounting errors that may occur. A utility
9shall recover through the tariff all reasonable costs incurred
10to implement or comply with any procurement plan that is
11developed and put into effect pursuant to Section 1-75 of the
12Illinois Power Agency Act and this Section, and for the
13procurement of renewable energy credits pursuant to subsection
14(c-5) of Section 1-75 of the Illinois Power Agency Act,
15including any fees assessed by the Illinois Power Agency,
16costs associated with load balancing, and contingency plan
17costs. The electric utility shall also recover its full costs
18of procuring electric supply for which it contracted before
19the effective date of this Section in conjunction with the
20provision of full requirements service under fixed-price
21bundled service tariffs subsequent to December 31, 2006. All
22such costs shall be deemed to have been prudently incurred.
23The pass-through tariffs that are filed and approved pursuant
24to this Section shall not be subject to review under, or in any
25way limited by, Section 16-111(i) of this Act. All of the costs
26incurred by the electric utility associated with the purchase

 

 

SB0025 Enrolled- 830 -LRB104 07069 BAB 17106 b

1of zero emission credits in accordance with subsection (d-5)
2of Section 1-75 of the Illinois Power Agency Act, all costs
3incurred by the electric utility associated with the purchase
4of carbon mitigation credits in accordance with subsection
5(d-10) of Section 1-75 of the Illinois Power Agency Act, and,
6beginning June 1, 2017, all of the costs incurred by the
7electric utility associated with the purchase of renewable
8energy resources in accordance with Sections 1-56 and 1-75 of
9the Illinois Power Agency Act, and all of the costs incurred by
10the electric utility in purchasing renewable energy credits in
11accordance with subsection (c-5) of Section 1-75 of the
12Illinois Power Agency Act, shall be recovered through the
13electric utility's tariffed charges applicable to all of its
14retail customers, as specified in subsection (k) or subsection
15(i-5), as applicable, of Section 16-108 of this Act, and shall
16not be recovered through the electric utility's tariffed
17charges for electric power and energy supply to its eligible
18retail customers.
19    (m) The Commission has the authority to adopt rules to
20carry out the provisions of this Section. For the public
21interest, safety, and welfare, the Commission also has
22authority to adopt rules to carry out the provisions of this
23Section on an emergency basis immediately following August 28,
242007 (the effective date of Public Act 95-481).
25    (n) Notwithstanding any other provision of this Act, any
26affiliated electric utilities that submit a single procurement

 

 

SB0025 Enrolled- 831 -LRB104 07069 BAB 17106 b

1plan covering their combined needs may procure for those
2combined needs in conjunction with that plan, and may enter
3jointly into power supply contracts, purchases, and other
4procurement arrangements, and allocate capacity and energy and
5cost responsibility therefor among themselves in proportion to
6their requirements.
7    (o) On or before June 1 of each year, the Commission shall
8hold an informal hearing for the purpose of receiving comments
9on the prior year's procurement process and any
10recommendations for change.
11    (p) An electric utility subject to this Section may
12propose to invest, lease, own, or operate an electric
13generation facility as part of its procurement plan, provided
14the utility demonstrates that such facility is the least-cost
15option to provide electric service to those retail customers
16included in the plan's electric supply service requirements.
17If the facility is shown to be the least-cost option and is
18included in a procurement plan prepared in accordance with
19Section 1-75 of the Illinois Power Agency Act and this
20Section, then the electric utility shall make a filing
21pursuant to Section 8-406 of this Act, and may request of the
22Commission any statutory relief required thereunder. If the
23Commission grants all of the necessary approvals for the
24proposed facility, such supply shall thereafter be considered
25as a pre-existing contract under subsection (b) of this
26Section. The Commission shall in any order approving a

 

 

SB0025 Enrolled- 832 -LRB104 07069 BAB 17106 b

1proposal under this subsection specify how the utility will
2recover the prudently incurred costs of investing in, leasing,
3owning, or operating such generation facility through just and
4reasonable rates charged to those retail customers included in
5the plan's electric supply service requirements. Cost recovery
6for facilities included in the utility's procurement plan
7pursuant to this subsection shall not be subject to review
8under or in any way limited by the provisions of Section
916-111(i) of this Act. Nothing in this Section is intended to
10prohibit a utility from filing for a fuel adjustment clause as
11is otherwise permitted under Section 9-220 of this Act.
12    (q) If the Illinois Power Agency filed with the
13Commission, under Section 16-111.5 of this Act, its proposed
14procurement plan for the period commencing June 1, 2017, and
15the Commission has not yet entered its final order approving
16the plan on or before the effective date of this amendatory Act
17of the 99th General Assembly, then the Illinois Power Agency
18shall file a notice of withdrawal with the Commission, after
19the effective date of this amendatory Act of the 99th General
20Assembly, to withdraw the proposed procurement of renewable
21energy resources to be approved under the plan, other than the
22procurement of renewable energy credits from distributed
23renewable energy generation devices using funds previously
24collected from electric utilities' retail customers that take
25service pursuant to electric utilities' hourly pricing tariff
26or tariffs and, for an electric utility that serves less than

 

 

SB0025 Enrolled- 833 -LRB104 07069 BAB 17106 b

1100,000 retail customers in the State, other than the
2procurement of renewable energy credits from distributed
3renewable energy generation devices. Upon receipt of the
4notice, the Commission shall enter an order that approves the
5withdrawal of the proposed procurement of renewable energy
6resources from the plan. The initially proposed procurement of
7renewable energy resources shall not be approved or be the
8subject of any further hearing, investigation, proceeding, or
9order of any kind.
10    This amendatory Act of the 99th General Assembly preempts
11and supersedes any order entered by the Commission that
12approved the Illinois Power Agency's procurement plan for the
13period commencing June 1, 2017, to the extent it is
14inconsistent with the provisions of this amendatory Act of the
1599th General Assembly. To the extent any previously entered
16order approved the procurement of renewable energy resources,
17the portion of that order approving the procurement shall be
18void, other than the procurement of renewable energy credits
19from distributed renewable energy generation devices using
20funds previously collected from electric utilities' retail
21customers that take service under electric utilities' hourly
22pricing tariff or tariffs and, for an electric utility that
23serves less than 100,000 retail customers in the State, other
24than the procurement of renewable energy credits for
25distributed renewable energy generation devices.
26(Source: P.A. 102-662, eff. 9-15-21.)
 

 

 

SB0025 Enrolled- 834 -LRB104 07069 BAB 17106 b

1    (220 ILCS 5/16-111.7)
2    Sec. 16-111.7. On-bill financing program; electric
3utilities.
4    (a) The Illinois General Assembly finds that Illinois
5homes and businesses have the potential to save energy through
6conservation and cost-effective energy efficiency measures.
7Programs created pursuant to this Section will allow utility
8customers to purchase cost-effective energy efficiency
9measures, including measures set forth in a
10Commission-approved energy efficiency and demand-response plan
11under Section 8-103 or 8-103B of this Act, with no required
12initial upfront payment, and to pay the cost of those products
13and services over time on their utility bill.
14    (b) Notwithstanding any other provision of this Act, an
15electric utility serving more than 100,000 customers on
16January 1, 2009 shall offer a Commission-approved on-bill
17financing program ("program") that allows its eligible retail
18customers, as that term is defined in Section 16-111.5 of this
19Act, who own a residential single family home, duplex, or
20other residential building with 4 or less units, or
21condominium at which the electric service is being provided
22(i) to borrow funds from a third party lender in order to
23purchase electric energy efficiency measures approved under
24the program for installation in such home or condominium
25without any required upfront payment and (ii) to pay back such

 

 

SB0025 Enrolled- 835 -LRB104 07069 BAB 17106 b

1funds over time through the electric utility's bill. Based
2upon the process described in subsection (b-5) of this
3Section, small commercial customers who own the premises at
4which electric service is being provided may be included in
5such program. After receiving a request from an electric
6utility for approval of a proposed program and tariffs
7pursuant to this Section, the Commission shall render its
8decision within 120 days. If no decision is rendered within
9120 days, then the request shall be deemed to be approved.
10    Beginning no later than December 31, 2013, an electric
11utility subject to this subsection (b) shall also offer its
12program to eligible retail customers that own multifamily
13residential or mixed-use buildings with no more than 50
14residential units, provided, however, that such customers must
15either be a residential customer or small commercial customer
16and may not use the program in such a way that repayment of the
17cost of energy efficiency measures is made through tenants'
18utility bills. An electric utility may impose a per site loan
19limit not to exceed $150,000. The program, and loans issued
20thereunder, shall only be offered to customers of the utility
21that meet the requirements of this Section and that also have
22an electric service account at the premises where the energy
23efficiency measures being financed shall be installed.
24Beginning no later than 2 years after the effective date of
25this amendatory Act of the 99th General Assembly, the 50
26residential unit limitation described in this paragraph shall

 

 

SB0025 Enrolled- 836 -LRB104 07069 BAB 17106 b

1no longer apply, and the utility shall replace the per site
2loan limit of $150,000 with a loan limit that correlates to a
3maximum monthly payment that does not exceed 50% of the
4customer's average utility bill over the prior 12-month
5period.
6    Beginning no later than 2 years after the effective date
7of this amendatory Act of the 99th General Assembly, an
8electric utility subject to this subsection (b) shall also
9offer its program to eligible retail customers that are Unit
10Owners' Associations, as defined in subsection (o) of Section
112 of the Condominium Property Act, or Master Associations, as
12defined in subsection (u) of the Condominium Property Act.
13However, such customers must either be residential customers
14or small commercial customers and may not use the program in
15such a way that repayment of the cost of energy efficiency
16measures is made through unit owners' utility bills. The
17program and loans issued under the program shall only be
18offered to customers of the utility that meet the requirements
19of this Section and that also have an electric service account
20at the premises where the energy efficiency measures being
21financed shall be installed.
22    For purposes of this Section, "small commercial customer"
23means, for an electric utility serving more than 3,000,000
24retail customers, those customers having peak demand of less
25than 100 kilowatts, and, for an electric utility serving less
26than 3,000,000 retail customers, those customers having peak

 

 

SB0025 Enrolled- 837 -LRB104 07069 BAB 17106 b

1demand of less than 150 kilowatts; provided, however, that in
2the event the Commission, after the effective date of this
3amendatory Act of the 98th General Assembly, approves changes
4to a utility's tariffs that reflects new or revised demand
5criteria for the utility's customer rate classifications, then
6the utility may file a petition with the Commission to revise
7the applicable definition of a small commercial customer to
8reflect the new or revised demand criteria for the purposes of
9this Section. After notice and hearing, the Commission shall
10enter an order approving, or approving with modification, the
11revised definition within 60 days after the utility files the
12petition.
13    (b-5) Within 30 days after the effective date of this
14amendatory Act of the 96th General Assembly, the Commission
15shall convene a workshop process during which interested
16participants may discuss issues related to the program,
17including program design, eligible electric energy efficiency
18measures, vendor qualifications, and a methodology for
19ensuring ongoing compliance with such qualifications,
20financing, sample documents such as request for proposals,
21contracts and agreements, dispute resolution, pre-installment
22and post-installment verification, and evaluation. The
23workshop process shall be completed within 150 days after the
24effective date of this amendatory Act of the 96th General
25Assembly.
26    (c) Not later than 60 days following completion of the

 

 

SB0025 Enrolled- 838 -LRB104 07069 BAB 17106 b

1workshop process described in subsection (b-5) of this
2Section, each electric utility subject to subsection (b) of
3this Section shall submit a proposed program to the Commission
4that contains the following components:
5        (1) A list of recommended electric energy efficiency
6    measures that will be eligible for on-bill financing. An
7    eligible electric energy efficiency measure ("measure")
8    shall be a product or service for which one or more of the
9    following is true:
10            (A) (blank);
11            (B) the projected electricity savings (determined
12        by rates in effect at the time of purchase) are
13        sufficient to cover the costs of implementing the
14        measures, including finance charges and any program
15        fees not recovered pursuant to subsection (f) of this
16        Section; or
17            (C) the product or service is included in a
18        Commission-approved energy efficiency and
19        demand-response plan under Section 8-103 or 8-103B of
20        this Act.
21        (1.5) Beginning no later than 2 years after the
22    effective date of this amendatory Act of the 99th General
23    Assembly, an eligible electric energy efficiency measure
24    (measure) shall be a product or service that qualifies
25    under subparagraph (B) or (C) of paragraph (1) of this
26    subsection (c) or for which one or more of the following is

 

 

SB0025 Enrolled- 839 -LRB104 07069 BAB 17106 b

1    true:
2            (A) a building energy assessment, performed by an
3        energy auditor who is certified by the Building
4        Performance Institute or who holds a similar
5        certification, has recommended the product or service
6        as likely to be cost effective over the course of its
7        installed life for the building in which the measure
8        is to be installed; or
9            (B) the product or service is necessary to safely
10        or correctly install to code or industry standard an
11        efficiency measure, including, but not limited to,
12        installation work; changes needed to plumbing or
13        electrical connections; upgrades to wiring or
14        fixtures; removal of hazardous materials; correction
15        of leaks; changes to thermostats, controls, or similar
16        devices; and changes to venting or exhaust
17        necessitated by the measure. However, the costs of the
18        product or service described in this subparagraph (B)
19        shall not exceed 25% of the total cost of installing
20        the measure.
21        (2) The electric utility shall issue a request for
22    proposals ("RFP") to lenders for purposes of providing
23    financing to participants to pay for approved measures.
24    The RFP criteria shall include, but not be limited to, the
25    interest rate, origination fees, and credit terms. The
26    utility shall select the winning bidders based on its

 

 

SB0025 Enrolled- 840 -LRB104 07069 BAB 17106 b

1    evaluation of these criteria, with a preference for those
2    bids containing the rates, fees, and terms most favorable
3    to participants;
4        (3) The utility shall work with the lenders selected
5    pursuant to the RFP process, and with vendors, to
6    establish the terms and processes pursuant to which a
7    participant can purchase eligible electric energy
8    efficiency measures using the financing obtained from the
9    lender. The vendor shall explain and offer the approved
10    financing packaging to those customers identified in
11    subsection (b) of this Section and shall assist customers
12    in applying for financing. As part of the process, vendors
13    shall also provide to participants information about any
14    other incentives that may be available for the measures.
15        (4) The lender shall conduct credit checks or
16    undertake other appropriate measures to limit credit risk,
17    and shall review and approve or deny financing
18    applications submitted by customers identified in
19    subsection (b) of this Section. Following the lender's
20    approval of financing and the participant's purchase of
21    the measure or measures, the lender shall forward payment
22    information to the electric utility, and the utility shall
23    add as a separate line item on the participant's utility
24    bill a charge showing the amount due under the program
25    each month.
26        (5) A loan issued to a participant pursuant to the

 

 

SB0025 Enrolled- 841 -LRB104 07069 BAB 17106 b

1    program shall be the sole responsibility of the
2    participant, and any dispute that may arise concerning the
3    loan's terms, conditions, or charges shall be resolved
4    between the participant and lender. Upon transfer of the
5    property title for the premises at which the participant
6    receives electric service from the utility or the
7    participant's request to terminate service at such
8    premises, the participant shall pay in full its electric
9    utility bill, including all amounts due under the program,
10    provided that this obligation may be modified as provided
11    in subsection (g) of this Section. Amounts due under the
12    program shall be deemed amounts owed for residential and,
13    as appropriate, small commercial electric service.
14        (6) The electric utility shall remit payment in full
15    to the lender each month on behalf of the participant. In
16    the event a participant defaults on payment of its
17    electric utility bill, the electric utility shall continue
18    to remit all payments due under the program to the lender,
19    and the utility shall be entitled to recover all costs
20    related to a participant's nonpayment through the
21    automatic adjustment clause tariff established pursuant to
22    Section 16-111.8 of this Act. In addition, the electric
23    utility shall retain a security interest in the measure or
24    measures purchased under the program, and the utility
25    retains its right to disconnect a participant that
26    defaults on the payment of its utility bill.

 

 

SB0025 Enrolled- 842 -LRB104 07069 BAB 17106 b

1        (7) The total outstanding amount financed under the
2    program in this subsection and subsection (c-5) of this
3    Section shall not exceed $2.5 million for an electric
4    utility or electric utilities under a single holding
5    company, provided that the electric utility or electric
6    utilities may petition the Commission for an increase in
7    such amount. Beginning after the effective date of this
8    amendatory Act of the 99th General Assembly, the total
9    maximum outstanding amount financed under the program in
10    this subsection and subsections (c-5) and (c-10) of this
11    Section shall increase by $5,000,000 per year until such
12    time as the total maximum outstanding amount financed
13    reaches $20,000,000. For purposes of this Section,
14    "maximum outstanding amount financed" means the sum of all
15    principal that has been loaned and not yet repaid.
16    (c-5) Within 120 days after the effective date of this
17amendatory Act of the 98th General Assembly, each electric
18utility subject to the requirements of this Section shall
19submit an informational filing to the Commission that
20describes its plan for implementing the provisions of this
21amendatory Act of the 98th General Assembly on or before
22December 31, 2013. Such filing shall also describe how the
23electric utility shall coordinate its program with any gas
24utility or utilities that provide gas service to buildings
25within the electric utility's service territory so that it is
26practical and feasible for the owner of a multifamily building

 

 

SB0025 Enrolled- 843 -LRB104 07069 BAB 17106 b

1to make a single application to access loans for both gas and
2electric energy efficiency measures in any individual
3building.
4    (c-10) No later than 365 days after the effective date of
5this amendatory Act of the 99th General Assembly, each
6electric utility subject to the requirements of this Section
7shall submit an informational filing to the Commission that
8describes its plan for implementing the provisions of this
9amendatory Act of the 99th General Assembly that were
10incorporated into this Section. Such filing shall also include
11the criteria to be used by the program for determining if
12measures to be financed are eligible electric energy
13efficiency measures, as defined by paragraph (1.5) of
14subsection (c) of this Section.
15    (d) A program approved by the Commission shall also
16include the following criteria and guidelines for such
17program:
18        (1) guidelines for financing of measures installed
19    under a program, including, but not limited to, RFP
20    criteria and limits on both individual loan amounts and
21    the duration of the loans;
22        (2) criteria and standards for identifying and
23    approving measures;
24        (3) qualifications of vendors that will market or
25    install measures, as well as a methodology for ensuring
26    ongoing compliance with such qualifications;

 

 

SB0025 Enrolled- 844 -LRB104 07069 BAB 17106 b

1        (4) sample contracts and agreements necessary to
2    implement the measures and program; and
3        (5) the types of data and information that utilities
4    and vendors participating in the program shall collect for
5    purposes of preparing the reports required under
6    subsection (g) of this Section.
7    (e) The proposed program submitted by each electric
8utility shall be consistent with the provisions of this
9Section that define operational, financial and billing
10arrangements between and among program participants, vendors,
11lenders, and the electric utility.
12    (f) An electric utility shall recover all of the prudently
13incurred costs of offering a program approved by the
14Commission pursuant to this Section, including, but not
15limited to, all start-up and administrative costs and the
16costs for program evaluation. All prudently incurred costs
17under this Section shall be recovered from the residential and
18small commercial retail customer classes eligible to
19participate in the program through the automatic adjustment
20clause tariff established pursuant to Section 8-103 or 8-103B
21of this Act.
22    (g) An independent evaluation of a program shall be
23conducted after 3 years of the program's operation. The
24electric utility shall retain an independent evaluator who
25shall evaluate the effects of the measures installed under the
26program and the overall operation of the program, including,

 

 

SB0025 Enrolled- 845 -LRB104 07069 BAB 17106 b

1but not limited to, customer eligibility criteria and whether
2the payment obligation for permanent electric energy
3efficiency measures that will continue to provide benefits of
4energy savings should attach to the meter location. As part of
5the evaluation process, the evaluator shall also solicit
6feedback from participants and interested stakeholders. The
7evaluator shall issue a report to the Commission on its
8findings no later than 4 years after the date on which the
9program commenced, and the Commission shall issue a report to
10the Governor and General Assembly including a summary of the
11information described in this Section as well as its
12recommendations as to whether the program should be
13discontinued, continued with modification or modifications or
14continued without modification, provided that any recommended
15modifications shall only apply prospectively and to measures
16not yet installed or financed.
17    (h) An electric utility offering a Commission-approved
18program pursuant to this Section shall not be required to
19comply with any other statute, order, rule, or regulation of
20this State that may relate to the offering of such program,
21provided that nothing in this Section is intended to limit the
22electric utility's obligation to comply with this Act and the
23Commission's orders, rules, and regulations, including Part
24280 of Title 83 of the Illinois Administrative Code.
25    (i) The source of a utility customer's electric supply
26shall not disqualify a customer from participation in the

 

 

SB0025 Enrolled- 846 -LRB104 07069 BAB 17106 b

1utility's on-bill financing program. Customers of alternative
2retail electric suppliers may participate in the program under
3the same terms and conditions applicable to the utility's
4supply customers.
5    (j) This Section is repealed on January 1, 2027.    
6(Source: P.A. 98-586, eff. 8-27-13; 99-906, eff. 6-1-17.)
 
7    (220 ILCS 5/16-115A)
8    Sec. 16-115A. Obligations of alternative retail electric
9suppliers.
10    (a) An alternative retail electric supplier:
11        (i) shall comply with the requirements imposed on
12    public utilities by Sections 8-201 through 8-207, 8-301,
13    8-505 and 8-507 of this Act, to the extent that these
14    Sections have application to the services being offered by
15    the alternative retail electric supplier;
16        (ii) shall continue to comply with the requirements
17    for certification stated in subsection (d) of Section
18    16-115;
19        (iii) by May 31, 2020 and every June 30 thereafter,
20    shall submit to the Commission and the Office of the
21    Attorney General the rates the retail electric supplier
22    charged to residential customers in the prior year,
23    including each distinct rate charged and whether the rate
24    was a fixed or variable rate, the basis for the variable
25    rate, and any fees charged in addition to the supply rate,

 

 

SB0025 Enrolled- 847 -LRB104 07069 BAB 17106 b

1    including monthly fees, flat fees, or other service
2    charges; and
3        (iv) shall make publicly available on its website,
4    without the need for a customer login, rate information
5    for all of its variable, time-of-use, and fixed rate
6    contracts currently available to residential customers,
7    including, but not limited to, fixed monthly charges,
8    early termination fees, and kilowatt-hour charges; .
9        (v) shall provide to the Commission, in the form and
10    manner requested, the information necessary for the
11    Commission to compile and submit the integrated resource
12    plan required under Section 16-201; and
13        (vi) shall comply with the Commission's determinations
14    made pursuant to subsection (b-10) of Section 16-111.5.
15    (b) An alternative retail electric supplier shall obtain
16verifiable authorization from a customer, in a form or manner
17approved by the Commission consistent with Section 2EE of the
18Consumer Fraud and Deceptive Business Practices Act, before
19the customer is switched from another supplier.
20    (c) No alternative retail electric supplier, or electric
21utility other than the electric utility in whose service area
22a customer is located, shall (i) enter into or employ any
23arrangements which have the effect of preventing a retail
24customer with a maximum electrical demand of less than one
25megawatt from having access to the services of the electric
26utility in whose service area the customer is located or (ii)

 

 

SB0025 Enrolled- 848 -LRB104 07069 BAB 17106 b

1charge retail customers for such access. This subsection shall
2not be construed to prevent an arms-length agreement between a
3supplier and a retail customer that sets a term of service,
4notice period for terminating service and provisions governing
5early termination through a tariff or contract as allowed by
6Section 16-119.
7    (d) An alternative retail electric supplier that is
8certified to serve residential or small commercial retail
9customers shall not:
10        (1) deny service to a customer or group of customers
11    nor establish any differences as to prices, terms,
12    conditions, services, products, facilities, or in any
13    other respect, whereby such denial or differences are
14    based upon race, gender or income, except as provided in
15    Section 16-115E.
16        (2) deny service to a customer or group of customers
17    based on locality nor establish any unreasonable
18    difference as to prices, terms, conditions, services,
19    products, or facilities as between localities.
20        (3) warrant that it has a residential customer or
21    small commercial retail customer's express consent
22    agreement to access interval data as described in
23    subsection (b) of Section 16-122, unless the alternative
24    retail electric supplier has:
25            (A) disclosed to the consumer at the outset of the
26        offer that the alternative retail electric supplier

 

 

SB0025 Enrolled- 849 -LRB104 07069 BAB 17106 b

1        will access the consumer's interval data from the
2        consumer's utility with the consumer's express
3        agreement and the consumer's option to refuse to
4        provide express agreement to access the consumer's
5        interval data; and
6            (B) obtained the consumer's express agreement for
7        the alternative retail electric supplier to access the
8        consumer's interval data from the consumer's utility
9        in a separate letter of agency, a distinct response to
10        a third-party verification, or as a separate
11        affirmative consent during a recorded enrollment
12        initiated by the consumer. The disclosure by the
13        alternative retail electric supplier to the consumer
14        in this Section shall be conducted in, translated
15        into, and provided in a language in which the consumer
16        subject to the disclosure is able to understand and
17        communicate.
18        (4) release, sell, license, or otherwise disclose any
19    customer interval data obtained under Section 16-122 to
20    any third person except as provided for in Section 16-122
21    and paragraphs (1) through (4) of subsection (d-5) of
22    Section 2EE of the Consumer Fraud and Deceptive Business
23    Practices Act.
24    (e) An alternative retail electric supplier shall comply
25with the following requirements with respect to the marketing,
26offering and provision of products or services to residential

 

 

SB0025 Enrolled- 850 -LRB104 07069 BAB 17106 b

1and small commercial retail customers:
2        (i) All marketing materials, including, but not
3    limited to, electronic marketing materials, in-person
4    solicitations, and telephone solicitations, shall contain
5    information that adequately discloses the prices, terms,
6    and conditions of the products or services that the
7    alternative retail electric supplier is offering or
8    selling to the customer and shall disclose the current
9    utility electric supply price to compare applicable at the
10    time the alternative retail electric supplier is offering
11    or selling the products or services to the customer and
12    shall disclose the date on which the utility electric
13    supply price to compare became effective and the date on
14    which it will expire. The utility electric supply price to
15    compare shall be the sum of the electric supply charge and
16    the transmission services charge and shall not include the
17    purchased electricity adjustment. The disclosure shall
18    include a statement that the price to compare does not
19    include the purchased electricity adjustment, and, if
20    applicable, the range of the purchased electricity
21    adjustment. All marketing materials, including, but not
22    limited to, electronic marketing materials, in-person
23    solicitations, and telephone solicitations, shall include
24    the following statement:
25            "(Name of the alternative retail electric
26        supplier) is not the same entity as your electric

 

 

SB0025 Enrolled- 851 -LRB104 07069 BAB 17106 b

1        delivery company. You are not required to enroll with
2        (name of alternative retail electric supplier).
3        Beginning on (effective date), the electric supply
4        price to compare is (price in cents per kilowatt
5        hour). The electric utility electric supply price will
6        expire on (expiration date). The utility electric
7        supply price to compare does not include the purchased
8        electricity adjustment factor. For more information go
9        to the Illinois Commerce Commission's free website at
10        www.pluginillinois.org.
11        If applicable, the statement shall also include the
12    following statement:
13            "The purchased electricity adjustment factor may
14        range between +.5 cents and -.5 cents per kilowatt
15        hour.".
16        This paragraph (i) does not apply to goodwill or
17    institutional advertising.
18        (ii) Before any customer is switched from another
19    supplier, the alternative retail electric supplier shall
20    give the customer written information that adequately
21    discloses, in plain language, the prices, terms and
22    conditions of the products and services being offered and
23    sold to the customer. This written information shall be
24    provided in a language in which the customer subject to
25    the marketing or solicitation is able to understand and
26    communicate, and the alternative retail electric supplier

 

 

SB0025 Enrolled- 852 -LRB104 07069 BAB 17106 b

1    shall not switch a customer who is unable to understand
2    and communicate in a language in which the marketing or
3    solicitation was conducted. The alternative retail
4    electric supplier shall comply with Section 2N of the
5    Consumer Fraud and Deceptive Business Practices Act.
6        (iii) An alternative retail electric supplier shall
7    provide documentation to the Commission and to customers
8    that substantiates any claims made by the alternative
9    retail electric supplier regarding the technologies and
10    fuel types used to generate the electricity offered or
11    sold to customers.
12        (iv) The alternative retail electric supplier shall
13    provide to the customer (1) itemized billing statements
14    that describe the products and services provided to the
15    customer and their prices, and (2) an additional
16    statement, at least annually, that adequately discloses
17    the average monthly prices, and the terms and conditions,
18    of the products and services sold to the customer.
19        (v) All in-person and telephone solicitations shall be
20    conducted in, translated into, and provided in a language
21    in which the consumer subject to the marketing or
22    solicitation is able to understand and communicate. An
23    alternative retail electric supplier shall terminate a
24    solicitation if the consumer subject to the marketing or
25    communication is unable to understand and communicate in
26    the language in which the marketing or solicitation is

 

 

SB0025 Enrolled- 853 -LRB104 07069 BAB 17106 b

1    being conducted. An alternative retail electric supplier
2    shall comply with Section 2N of the Consumer Fraud and
3    Deceptive Business Practices Act.
4        (vi) Each alternative retail electric supplier shall
5    conduct training for individual representatives engaged in
6    in-person solicitation and telemarketing to residential
7    customers on behalf of that alternative retail electric
8    supplier prior to conducting any such solicitations on the
9    alternative retail electric supplier's behalf. Each
10    alternative retail electric supplier shall submit a copy
11    of its training material to the Commission on an annual
12    basis and the Commission shall have the right to review
13    and require updates to the material. After initial
14    training, each alternative retail electric supplier shall
15    be required to conduct refresher training for its
16    individual representatives every 6 months.
17    (f) An alternative retail electric supplier may limit the
18overall size or availability of a service offering by
19specifying one or more of the following: a maximum number of
20customers, maximum amount of electric load to be served, time
21period during which the offering will be available, or other
22comparable limitation, but not including the geographic
23locations of customers within the area which the alternative
24retail electric supplier is certificated to serve. The
25alternative retail electric supplier shall file the terms and
26conditions of such service offering including the applicable

 

 

SB0025 Enrolled- 854 -LRB104 07069 BAB 17106 b

1limitations with the Commission prior to making the service
2offering available to customers.
3    (g) Nothing in this Section shall be construed as
4preventing an alternative retail electric supplier, which is
5an affiliate of, or which contracts with, (i) an industry or
6trade organization or association, (ii) a membership
7organization or association that exists for a purpose other
8than the purchase of electricity, or (iii) another
9organization that meets criteria established in a rule adopted
10by the Commission, from offering through the organization or
11association services at prices, terms and conditions that are
12available solely to the members of the organization or
13association.
14(Source: P.A. 102-459, eff. 8-20-21; 103-237, eff. 6-30-23.)
 
15    (220 ILCS 5/16-119A)
16    Sec. 16-119A. Functional separation.
17    (a) Within 90 days after the effective date of this
18amendatory Act of 1997, the Commission shall open a rulemaking
19proceeding to establish standards of conduct for every
20electric utility described in subsection (b). To create
21efficient competition between suppliers of generating services
22and sellers of such services at retail and wholesale, the
23rules shall allow all customers of a public utility that
24distributes electric power and energy to purchase electric
25power and energy from the supplier of their choice in

 

 

SB0025 Enrolled- 855 -LRB104 07069 BAB 17106 b

1accordance with the provisions of Section 16-104. In addition,
2the rules shall address relations between providers of any 2
3services described in subsection (b) to prevent undue
4discrimination and promote efficient competition. Provided,
5however, that a proposed rule shall not be published prior to
6May 15, 1999.
7    (b) The Commission shall also have the authority to
8investigate the need for, and adopt rules requiring,
9functional separation between the generation services and the
10delivery services of those electric utilities whose principal
11service area is in Illinois as necessary to meet the objective
12of creating efficient competition between suppliers of
13generating services and sellers of such services at retail and
14wholesale. After January 1, 2003, the Commission shall also
15have the authority to investigate the need for, and adopt
16rules requiring, functional separation between an electric
17utility's competitive and non-competitive services.
18    (b-5) If there is a change in ownership of a majority of
19the voting capital stock of an electric utility or the
20ownership or control of any entity that owns or controls a
21majority of the voting capital stock of an electric utility,
22the electric utility shall have the right to file with the
23Commission a new plan. The newly filed plan shall supersede
24any plan previously approved by the Commission pursuant to
25this Section for that electric utility, subject to Commission
26approval. This subsection only applies to the extent that the

 

 

SB0025 Enrolled- 856 -LRB104 07069 BAB 17106 b

1Commission rules for the functional separation of delivery
2services and generation services provide an electric utility
3with the ability to select from 2 or more options to comply
4with this Section. The electric utility may file its revised
5plan with the Commission up to one calendar year after the
6conclusion of the sale, purchase, or any other transfer of
7ownership described in this subsection. In all other respects,
8an electric utility must comply with the Commission rules in
9effect under this Section. The Commission may promulgate rules
10to implement this subsection. This subsection shall have no
11legal effect after January 1, 2005.
12    (c) In establishing or considering the need for rules
13under subsections (a) and (b), the Commission shall take into
14account the effects on the cost and reliability of service and
15the obligation of the utility to provide bundled service under
16this Act. The Commission shall adopt rules that are a cost
17effective means to ensure compliance with this Section.
18    (d) Nothing in this Section shall be construed as imposing
19any requirements or obligations that are in conflict with
20federal law.
21    (e) Notwithstanding anything to the contrary, an electric
22utility may market and promote the services, rates and
23programs authorized by Sections 16-107, 16-107.8, and 16-108.6
24of this Act.
25(Source: P.A. 99-906, eff. 6-1-17.)
 

 

 

SB0025 Enrolled- 857 -LRB104 07069 BAB 17106 b

1    (220 ILCS 5/16-126.2 new)
2    Sec. 16-126.2. Energy Reliability Corporation of Illinois.
3    (a) The General Assembly finds that:
4        (1) When Illinois restructured its electric market in
5    1997, Illinois' largest 2 electric utilities unexpectedly
6    elected to join 2 different regional transmission
7    organizations (RTO), which effectively split the State
8    into 2 zones.
9        (2) Illinois' bifurcated, existing RTO membership
10    structure has created significant concerns related to
11    delays in transmission build out, excessively long
12    interconnection queue processes, favoring polluting
13    generation resources over more cost-effective clean
14    sources, inhibiting State policies, and inexplicably
15    frustrating State efforts to address its resource adequacy
16    needs through the development of new generation.
17        (3) The governance structures of PJM Interconnection,
18    LLC (PJM) and the Midcontinent Independent System
19    Operator, Inc. (MISO) have consistently failed to
20    represent Illinois' interests.
21        (4) The Illinois Commerce Commission and the Illinois
22    Power Agency have the expertise to evaluate and present
23    findings related to the costs and benefits of Illinois
24    pursuing any one of the following 3 options: (1)
25    establishing a single, State-specific Independent System
26    Operator (ISO); (2) consolidating Illinois' existing

 

 

SB0025 Enrolled- 858 -LRB104 07069 BAB 17106 b

1    bifurcated RTO membership structure into one existing RTO;
2    or (3) maintaining the existing bifurcated RTO structure.
3    (b) The Commission and the Illinois Power Agency shall
4conduct a joint study and publish the findings of the study to
5evaluate whether (1) establishing a single State-operated ISO;
6(2) consolidating this State's bifurcated RTO membership into
7an existing RTO; or (3) maintaining the existing bifurcated
8RTO structure, would be consistent with the State's goals and
9would maximize benefits to State businesses and residents. As
10a part of this evaluation, the Commission and the Illinois
11Power Agency shall analyze whether it would be feasible and
12practical for this State to pursue any of the options
13described in this subsection (b).
14    (c) The Commission and the Illinois Power Agency shall
15examine the costs and benefits, over a 20-year period, of this
16State pursuing any of the options described in subsection (b).
17The study shall examine the costs and benefits of such
18participation over 20 years. The study shall examine the costs
19and benefits to State ratepayers, including, but not limited
20to, consideration of the regulatory, reliability, operational,
21and competitive benefits of this State participating in one
22existing RTO, as compared to participating in a State-specific
23ISO, or continuing to participate in the current bifurcated
24RTO structure. The costs and benefits evaluated should include
25resource adequacy benefits, resilience, affordability, equity,
26the impact on the environment, and the general health, safety,

 

 

SB0025 Enrolled- 859 -LRB104 07069 BAB 17106 b

1and welfare of the People of this State.
2    The study shall, at a minimum, include the following, and
3it may consider or suggest additional or alternative items:
4        (1) the appropriate timetable to (i) establish and
5    effectively transition to a State-specific ISO, or (ii)
6    consolidate into an existing RTO, taking into account how
7    that schedule could support the emission reduction
8    timeline established in Section 9.15 of the Environmental
9    Protection Act; and
10        (2) the appropriate benefits and costs to consider,
11    such as the regulatory, reliability, operational, and
12    competitive benefits, including, but not limited to:
13            (i) capacity market benefits and costs of
14        separating from the PJM and MISO territories versus
15        those of the status quo;
16            (ii) transmission benefits and costs of separating
17        from the PJM and MISO territories versus those of a
18        State-specific ISO;
19            (iii) the legal, correct, and appropriate exit
20        fees for leaving regional transmission organizations;
21            (iv) managing the State's energy resources to
22        supply electricity throughout the State versus the
23        existing bifurcated structure;
24            (v) the potential improvements in interconnection
25        queue speed versus the current lengthy delays in the
26        PJM and MISO processes;

 

 

SB0025 Enrolled- 860 -LRB104 07069 BAB 17106 b

1            (vi) the potential for a State-specific ISO to
2        more effectively value and enable resources, such as
3        storage of renewable resources, demand response,
4        energy efficiency, and the adoption of new
5        technologies and applications, versus the current PJM
6        and MISO structures; and
7            (vii) an evaluation of any improved ability for
8        the State to meet its goals and objectives in a new
9        State-specific ISO versus the existing structure.
10        After the completion of the study, if the Commission
11    and the Illinois Power Agency find that the results of the
12    study were overall beneficial to the citizens of this
13    State, then the Commission and the Illinois Power Agency
14    may conduct and publish an additional ISO policy study
15    that explores the steps required to establish a
16    State-specific ISO. The Governor and members of the
17    General Assembly may request an additional ISO policy
18    study, or any other follow-up study, regardless of the
19    outcome of the original study. An additional study may,
20    for example, investigate the steps required for this State
21    to consolidate into one existing RTO.
22        The additional ISO policy study shall investigate a
23    governance structure and design that would enable State
24    policy independence and more fully support State resource
25    adequacy and reliability while also complying with FERC
26    Order 2000. The additional ISO study may investigate how a

 

 

SB0025 Enrolled- 861 -LRB104 07069 BAB 17106 b

1    State-specific ISO would be able to demonstrate the
2    following issues, including, but not limited to:
3        (i) independence from market participants;
4        (ii) an appropriate scope and regional configuration;
5        (iii) possession of operational authority for all
6    transmission facilities under the control of the
7    State-specific ISO;
8        (iv) exclusive authority to maintain short-term
9    reliability of the grid;
10        (v) tariff administration and design;
11        (vi) congestion management;
12        (vii) management of parallel path flows;
13        (viii) provision of last resort for ancillary
14    services;
15        (ix) development of an Open Access Same-time
16    Information System (OASIS);
17        (x) market monitoring; and
18        (xi) responsibility for planning and expanding
19    facilities under its control.
20    (d) The Commission and the Illinois Power Agency shall
21retain the services of technical and policy experts with
22relevant fields of expertise. Given the critical and rapid
23actions required under this Section, the Commission and the
24Illinois Power Agency may procure the services of any
25facilitator, expert, or consultant to assist with the
26implementation of this Section. Such procurement is exempt

 

 

SB0025 Enrolled- 862 -LRB104 07069 BAB 17106 b

1from the requirements of the Illinois Procurement Code under
2Section 20-10 of the Illinois Procurement Code. The Commission
3and the Illinois Power Agency may jointly determine that the
4cost of any contract pursuant to this Section may be borne
5initially by the relevant electric public utilities, but shall
6be recovered as an expense through normal ratemaking
7procedures. The Illinois Finance Authority, the Illinois
8Environmental Protection Agency, and the Department of
9Commerce and Economic Opportunity shall provide support to and
10consult with the Commission and the Illinois Power Agency when
11requested. The Commission and the Illinois Power Agency may
12consult with other State agencies, commissions, or task forces
13as needed.
14    (e) The Commission and the Illinois Power Agency may
15solicit information, including confidential or proprietary
16information, from entities likely to be impacted by the
17creation of a State-specific ISO. The Commission and the
18Illinois Power Agency may consult with and seek assistance
19from (i) Independent System Operators in other states, such as
20Texas, California, and New York, (ii) federal agencies, such
21as the Federal Energy Regulatory Commission, and (iii) the
22regional transmission organizations PJM and MISO. Any
23information designated as confidential or proprietary
24information by the entity providing the information shall be
25kept confidential by the Commission, its consultants, and its
26contractors, and the Illinois Power Agency, its consultants,

 

 

SB0025 Enrolled- 863 -LRB104 07069 BAB 17106 b

1and its contractors, and is not subject to disclosure under
2the Freedom of Information Act. The Office of the Attorney
3General shall have access to, and maintain the confidentiality
4of, such information pursuant to Section 6.5 of the Attorney
5General Act.
6    (f) The Commission and the Illinois Power Agency shall
7publish the joint final policy study no later than December 1,
82026 and suitable copies shall be delivered to the Governor
9and members of the General Assembly.    
 
10    (220 ILCS 5/16-145 new)
11    Sec. 16-145. Powering Up Illinois.
12    (a) For the purposes of this Section:
13    "Electric utility" means an electric utility serving more
14than 500,000 customers in this State.
15    "Energization" and "energize" means the connection of new
16electric vehicle charging infrastructure projects over 5
17megawatts to the electrical grid or upgrading electrical
18capacity to provide adequate service to such electric vehicle
19charging infrastructure projects. "Energization" and
20"energize" do not include activities related to connecting
21electricity supply resources.
22    "Energization time period" means the period of time that
23begins when the electric utility receives a substantially
24complete energization project application and ends when the
25electric service associated with the project is installed and

 

 

SB0025 Enrolled- 864 -LRB104 07069 BAB 17106 b

1energized, consistent with the service obligations set forth
2in the Section 8-101 of the Public Utilities Act.
3    (b) The Commission shall adopt rules to establish and
4track reasonable average and maximum target energization time
5periods for energization projects. Such rules shall, at a
6minimum, establish the following:
7        (1) reasonable average and maximum target energization
8    time periods. The targets shall ensure that work is
9    completed in a safe and reliable manner that minimizes
10    delay in meeting the date requested by a customer for
11    completion of the energization project to the greatest
12    extent possible. The targets may vary based on factors,
13    including, but not limited to, customer class, size of the
14    project, the complexity and magnitude of the work
15    required, and uncertainties regarding the readiness of the
16    customer project needing energization. The targets may
17    also recognize any factors beyond the electric utility's
18    control;
19        (2) requirements for an electric utility to report to
20    the Commission, at least annually, in order to track and
21    improve electric utility performance. The report shall, at
22    a minimum, include the average, median, and standard
23    deviation time between receiving an application for
24    electrical service and energizing the electrical service,
25    and detailed explanations for energization time periods
26    that exceed the target maximum for energization projects,

 

 

SB0025 Enrolled- 865 -LRB104 07069 BAB 17106 b

1    constraints and obstacles to each type of energization,
2    including, but not limited to, funding limitations,
3    qualified staffing availability, or equipment
4    availability, and any other information that the
5    Commission, in its discretion, concludes that such reports
6    should contain; and
7        (3) procedures for customers to report energization
8    delays to the Commission.
9    (c) If an electric utility's average time period for
10energization in a calendar year exceeds the Commission's
11target averages or if an electric utility has exceeded the
12Commission's target maximums as established by rule, the
13electric utility shall include in its report pursuant to rules
14adopted under paragraph (2) of subsection (b) a detailed
15remedial plan for meeting the targets in the future. The
16Commission may require modification to the electric utility's
17remedial plan to ensure that the electric utility meets
18targets promptly.
19    (d) Data reported by electric utilities shall be
20anonymized or aggregated to the extent necessary to prevent
21identifying individual customers. The Commission shall make
22all such reports publicly available.
23    (e) In addition to requiring remedial plans pursuant to
24subsection (c) of this Section, the Commission may require an
25electric utility to take any remedial actions necessary to
26achieve the Commission's targets.    
 

 

 

SB0025 Enrolled- 866 -LRB104 07069 BAB 17106 b

1    (220 ILCS 5/16-201 new)
2    Sec. 16-201. Integrated resource plan development.
3    (a) The General Assembly hereby finds that:
4        (1) In 2021, Illinois set itself on the path to a clean
5    energy future that would produce the least amount of
6    carbon and copollutant emissions while ensuring adequate,
7    reliable, affordable, efficient, and environmentally
8    sustainable electric service at the lowest total cost over
9    time and in a manner that benefits the Illinois economy
10    and workforce and improves the quality of life, including
11    environmental health, for all its citizens.
12        (2) In the ensuing years, Illinois has created a
13    strong economic environment that has led to the
14    revitalization and expansion of its manufacturing sector
15    and has made Illinois an attractive place for the
16    technology industry to locate new data and quantum
17    computing centers. These developments have led to the
18    creation of good-paying jobs for working families.
19        (3) The unforeseen growth in the manufacturing and
20    technology sectors will likely lead to a dramatic increase
21    in electricity demand over time.
22        (4) The long interconnection times and the capacity
23    market structures enacted by the 2 regional transmission
24    organizations that Illinois is split between further
25    exacerbate the potential for an imbalance between

 

 

SB0025 Enrolled- 867 -LRB104 07069 BAB 17106 b

1    electricity supply and demand.
2        (5) The new sources of load growth from the
3    manufacturing and technology sectors combined with
4    external challenges require a more nimble and responsive
5    administrative approach to effectively address future
6    resource adequacy challenges.
7        (6) The Illinois agencies that oversee and implement
8    Illinois energy policy must have the ability to (i) fully
9    understand current and future resource adequacy needs,
10    (ii) plan for what resources could be utilized to address
11    such needs, (iii) be able to coordinate, modify, expand,
12    and direct all of Illinois' existing energy programs and
13    policies so as to address any resource adequacy or
14    reliability concerns, and (iv) direct the development of
15    new energy programs and policies in order meet resource
16    adequacy and reliability needs without the need for
17    additional legislative action.
18    (b) The purpose of this Section is to ensure that the
19Commission, the agencies, electric utilities supplying
20electric service in Illinois, stakeholders, market
21participants, and policymakers have a common set of data and
22information regarding the State's electricity resource needs
23in order to plan for sufficient electricity resources to serve
24Illinois customers in a manner that is adequate, safe,
25reliable, affordable, efficient, environmentally sustainable,
26at the lowest cost over time, and consistent with the energy

 

 

SB0025 Enrolled- 868 -LRB104 07069 BAB 17106 b

1policy goals of the State, including, but not limited to, the
2clean energy policy established by Public Act 102-662. To that
3end, this Section establishes a requirement that the agencies
4prepare an integrated resource plan and submit such plan to
5the Commission consistent with this Section for the
6Commission's review and approval after an opportunity for
7notice and hearing.
8    (c) Unless otherwise specified, as used in this Section,
9the following terms shall have the following meanings:
10        (1) "Advanced transmission technologies" means
11    technologies, tools, and software that improve power flows
12    over transmission systems and lines. "Advanced
13    transmission technologies" includes, but is not limited
14    to, the following:
15            (i) technology that dynamically adjusts the rated
16        capacity of transmission lines based on real-time
17        conditions;
18            (ii) advanced power flow controls used to actively
19        control the flow of electricity across transmission
20        lines to optimize usage or relieve congestion;
21            (iii) software or hardware used to identify
22        optimal transmission grid configurations or enable
23        routing power flows around congestion points; and
24            (iv) advanced transmission line conductors that
25        have a direct current electrical resistance at least
26        10% lower than existing conductors of a similar

 

 

SB0025 Enrolled- 869 -LRB104 07069 BAB 17106 b

1        diameter on the transmission system.
2        (2) "Agencies" means the Illinois Commerce Commission
3    Staff, the Illinois Power Agency, the Illinois Finance
4    Authority, the Illinois Environmental Protection Agency,
5    and any consultants those agencies retain, including, but
6    not limited to, the consultant retained by the Commission
7    pursuant to subsection (j) of this Section and the
8    consultant retained by the Illinois Power Agency pursuant
9    to paragraph (1) of subsection (a) of Section 1-75 of the
10    Illinois Power Agency Act.
11        (3) "Clean energy" means energy generation that
12    either:
13            (A) emits no on-site SO2, NOx, mercury, or any
14        other regulated pollutants; or
15            (B) as shown through pollution control
16        technologies, has reduced a generator's CO2 emissions
17        by 90% compared to what the generator would have
18        otherwise emitted and that has CO2 emissions less than
19        130 lb/MWh.
20        (4) "Regional transmission organization" or "RTO"
21    means PJM Interconnection, LLC (PJM) and the Midcontinent
22    Independent System Operator, Inc. (MISO) or the regional
23    transmission organization or independent system operator
24    of which the electric utility is a member or would be a
25    member, given the location of the electric utility's
26    customers, if it were required to be a member.

 

 

SB0025 Enrolled- 870 -LRB104 07069 BAB 17106 b

1    (d) The agencies, coordinated by Commission staff, shall
2compile and propose an integrated resource plan in compliance
3with this Section. The agencies may consult with each electric
4utility that has more than 500,000 electric retail customers
5in developing the plan and the plan shall consider any
6necessary interactions between RTO zones in the State.
7Commission staff shall submit the initial integrated resource
8plan to the Commission no later than November 15, 2026, the
9second integrated resource plan to the Commission no later
10than September 30, 2029, and each subsequent plan to the
11Commission every 4 years thereafter no later than September 30
12of the applicable year. For the first integrated resource plan
13due on November 15, 2026, the agencies shall take into account
14the resource adequacy report prepared pursuant to subsection
15(o) of Section 9.15 of the Environmental Protection Act and
16shall specifically address any and all divergences from the
17analysis and conclusions in the report. At any time after the
18submission of a plan, the agencies may submit an update to the
19plan if the agencies believe that a material change in the
20inputs or conclusions of the plan is warranted. The agencies
21shall notify the Commission as soon as practicable of the
22material change and the potential update to the plan. The
23Commission shall publish the integrated resource plan on its
24website.
25    (e) An alternative retail electric supplier shall provide
26information related to the resource needs of its customers

 

 

SB0025 Enrolled- 871 -LRB104 07069 BAB 17106 b

1located in an electric utility's service territory as
2requested by the agencies or the Commission to compile and
3develop the plan required by this Section.
4    (f) Commission staff shall lead the agencies in the
5development of the integrated resource plan to ensure that a
6plan submitted pursuant to this Section includes a detailed
7analysis of the following:
8        (1) an evaluation of the future electric resource
9    needs in each electric utility's service area for periods
10    of at least 5, 10, 15, and 20 years such that the plan
11    coincides with the timelines established in Section 9.15
12    of Title II of the Environmental Protection Act and is
13    designed to support those standards to the maximum extent
14    practicable on the schedule established therein;
15        (2) peak demand and energy usage forecasts, such that
16    the plan:
17            (i) contains no fewer than 3 scenarios of (i)
18        forecasted peak demand, (ii) net peak demand if
19        different from peak demand, (iii) non-coincidental
20        peak demand, and (iv) energy usage, to capture a
21        reasonable range of forecasts based on historic trends
22        and a diverse range of more conservative to high load
23        growth based on reasonable projections. The scenarios
24        should consider estimates of peak demand corresponding
25        to seasons or other applicable time periods as defined
26        by the regional transmission organization in which

 

 

SB0025 Enrolled- 872 -LRB104 07069 BAB 17106 b

1        this State's electric utilities are a member;
2            (ii) reflects known changes in facility and
3        appliance codes and standards;
4            (iii) reflects load reductions from
5        State-sponsored programs;
6            (iv) reflects load reductions from programs
7        sponsored by electric utilities;
8            (v) reflects load reductions from aggregators of
9        retail customers that can be applied to the host
10        load-serving entity's resource adequacy requirement;
11            (vi) reflects load reductions from any other
12        sources including out-of-state programs that could
13        influence load;
14            (vii) reflects expected adoption of other
15        distributed energy resources, including
16        behind-the-meter generation; and
17            (viii) includes any additional sensitivities as
18        determined by the agencies;
19        (3) an analysis of all generation and energy resource
20    options available to meet the range of load forecasts with
21    a focus on the first period of at least 5 years covered by
22    the plan, including an analysis of existing supply found
23    within each electric utility's service area and new supply
24    expected to come online across that period of at least 5
25    years, such that the plan shall consider the following:
26            (i) the current and projected status of electric

 

 

SB0025 Enrolled- 873 -LRB104 07069 BAB 17106 b

1        resource adequacy throughout the State from sources
2        the agencies deem reasonable;
3            (ii) a range of resource options that can be
4        deployed at a reasonable scale, that provide clean
5        energy to the maximum extent practicable, and that
6        include generation and energy resources on both the
7        demand-side and supply-side;
8            (iii) developing technologies that will be
9        commercially viable during the period of analysis;
10            (iv) reflect reasonable assumptions for capital
11        and operating costs and the performance of resource
12        technologies. The calculation of resource costs shall
13        include reasonable expected costs for transmission
14        interconnection and network upgrades made necessary by
15        the addition of each resource; and
16            (v) appropriate considerations for implementation,
17        such as:
18                (A) timelines for implementation, including,
19            but not limited to, siting, permitting,
20            engineering, transmission interconnection, and the
21            time it takes to modify existing programs or
22            create new programs and put them into operation;
23                (B) recommendations for how new clean
24            resources should be developed to respond to
25            resource adequacy challenges; and
26                (C) any other requirements for implementation;

 

 

SB0025 Enrolled- 874 -LRB104 07069 BAB 17106 b

1        (4) confirmation that the resource adequacy and
2    reliability requirements employed in the plan meet the
3    following conditions:
4            (i) the plan must reflect planning reserve margin
5        requirements established by the corresponding RTO,
6        other resource adequacy requirements set by an
7        applicable authority as authorized by the State, or
8        another standard chosen by the Commission; and
9            (ii) the integrated resource plan may reflect a
10        supplemental reliability analysis, including the
11        evaluation of reliability metrics not prescribed by an
12        RTO or other applicable authority as authorized by the
13        State;
14        (5) consistency with existing State and federal
15    environmental laws and policies, including, but not
16    limited to, the decarbonization goals set forth in Section
17    9.15 of the Illinois Environmental Protection Act. The
18    plan may consider potential changes in State and federal
19    environmental laws and policies. The plan must provide
20    expected emissions for CO2, SO2, NOx, mercury, and any
21    other regulated pollutants in order to analyze the impact
22    of retirement timelines on emissions reductions. The plan
23    must be consistent with the State's other clean energy
24    goals and targets, including, but not limited to, its
25    renewable portfolio standard, its energy efficiency
26    portfolio standard, the carbon mitigation credit program,

 

 

SB0025 Enrolled- 875 -LRB104 07069 BAB 17106 b

1    and its energy storage system portfolio standard. The plan
2    shall include an analysis of the following:
3            (i) the State's current progress toward its
4        renewable energy resource development goals, its
5        storage development goals, and its energy efficiency
6        and demand-response goals, as well as the pace of the
7        development of renewables, energy storage, including
8        distributed storage, the deployment of virtual power
9        plants, and demand-response utilization; and
10            (ii) the status of the State's CO2e and copollutant
11        emissions reductions and its current status and
12        progress toward developing emerging clean energy
13        technologies;
14        (6) consideration of the following additional issues:
15            (i) an integrated resource plan shall be designed
16        to collectively meet all of Illinois' energy policy
17        goals and shall describe:
18                (A) how the plan complies with the various
19            requirements of State energy policy;
20                (B) the assumptions and analytical methods
21            used in the plan;
22                (C) recommendations for how State policy
23            should serve to facilitate the development of new
24            resources;
25                (D) the impacts of the plan on customer costs,
26            including net present value costs relative to

 

 

SB0025 Enrolled- 876 -LRB104 07069 BAB 17106 b

1            alternatives; and
2                (E) how the plan improves energy equity within
3            environmental justice and equity investment
4            eligible communities, as defined by the Energy
5            Transition Act, including, but not limited to,
6            reducing energy burden, ensuring affordability of
7            electric utility bills and uninterruptible
8            essential utility service, and reducing barriers
9            to accessing renewable energy;    
10            (ii) an integrated resource plan shall include a
11        discussion of the steps needed to implement the plan,
12        including, but not limited to, options and steps to
13        bring on new or increased energy generated from any
14        recommended resources for the 5 years after the plan
15        would be implemented, that align with State clean
16        energy policy;
17            (iii) an integrated resource plan shall consider
18        the information and conclusions set forth in the
19        renewable energy access plan developed in accordance
20        with Section 8-512, including, but not limited to,
21        information concerning the locations of renewable
22        energy access plan zones, considerations of advanced
23        transmission technologies to increase efficiencies,
24        and different transmission planning options and cost
25        allocations;
26            (iv) an integrated resource plan may consider the

 

 

SB0025 Enrolled- 877 -LRB104 07069 BAB 17106 b

1        impacts of future or anticipated changes in State and
2        federal energy laws and policies; and
3            (v) any solutions for any additional conclusions;
4        (7) if the agencies choose, portfolio-optimization
5    results based on the following:
6            (i) capacity expansion and production cost
7        modeling consistent with the conditions and
8        constraints set forth in this Section;
9            (ii) optimized candidate portfolios that align
10        with the load-growth scenarios described in paragraph
11        (2) of subsection (f) of this Section and any
12        additional portfolios chosen by the agencies to
13        reflect alternative policy or technology assumptions;
14            (iii) a comparison of total system cost on a
15        net-present-value basis, customer rate and bill
16        impacts, risk metrics, including, but not limited to,
17        cost variability under fuel-price and load shocks,
18        emissions trajectories, and key reliability
19        indicators; and
20            (iv) an identification of a preferred portfolio or
21        portfolios that best satisfy the objectives of
22        affordability, reliability, equity, and emission
23        reduction and a narrative explanation of why the
24        portfolio is recommended; and
25    The agencies may request that PJM and MISO, or their
26respective successor organizations, conduct a resource

 

 

SB0025 Enrolled- 878 -LRB104 07069 BAB 17106 b

1adequacy and reliability study. The study shall include the
2megawatt amount of energy storage capacity that would maintain
3resource adequacy during the study period to fully meet the
4requirements for CO2e and copollutant emissions reductions
5under Public Act 102-662 that would not otherwise be met by the
6interconnection queue and without large transmission upgrades,
7including maintaining sufficient in-State capacity to meet the
8zonal requirements of MISO Zone 4 or the PJM ComEd Zone. The
9study shall also identify recommended geographic locations for
10new storage and clean energy to mitigate local reliability
11risks, including at or near the sites of any generator
12deactivations to maximize the efficient utilization of
13existing infrastructure.    
 
14    (220 ILCS 5/16-202 new)
15    Sec. 16-202. Integrated resource plan review and approval.
16    (a) The Commission shall enter its order approving or
17approving with modifications an integrated resource plan
18within 180 days after the agencies filing the plan and any
19companion reports or other information. The Commission may
20extend the period of review of the plan for no more than an
21additional 180 days.
22    (b) The Commission may approve a plan or a modified plan
23and authorize its implementation only if, after notice and
24hearing, including the conduct of discovery and taking of
25evidence, it finds that the plan:

 

 

SB0025 Enrolled- 879 -LRB104 07069 BAB 17106 b

1        (1) addresses any resource adequacy challenges in the
2    5 years immediately following approval of the plan, while
3    also taking into account the 10 years following the plan;
4        (2) prepares the State to best address issues of
5    resource adequacy at the least amount of CO2e and
6    copollutant emissions;
7        (3) considers the emissions' impacts on environmental
8    justice communities while taking into account all
9    applicable labor and equity standards;
10        (4) supports the provisioning of adequate, reliable,
11    affordable, efficient, and environmentally sustainable
12    electric service at the lowest total cost over time; and
13        (5) utilizes the expansion of renewable energy, energy
14    storage, virtual power plants and distributed energy
15    storage, energy efficiency, demand response, time-of-use
16    rates or other mechanisms designed to manage peak load,
17    transmission development, carbon mitigation credits or any
18    other clean energy strategies to the maximum extent
19    practicable to resolve any identified resource adequacy
20    shortfall or reliability violation in a cost-effective,
21    affordable, timely, and clean manner.
22    (c) The Commission may, as a part of its decision to
23approve a plan or modified plan and to the extent consistent
24with the uniform allocation of costs required under subsection
25(k) of Section 16-108, order changes to existing programs,
26direct specific actions within existing programs including the

 

 

SB0025 Enrolled- 880 -LRB104 07069 BAB 17106 b

1authorization to support the expansion of an existing program,
2including, but not limited to:
3        (1) any of the following plans or programs designed to
4    increase the amount of generation and capacity available:
5            (i) the Long-Term Renewable Resources Procurement
6        Plan, including programs and procurements authorized
7        through that Plan, and to increase the limitations
8        placed on the procurement of renewable energy
9        resources established pursuant to subparagraph (E) of
10        paragraph (1) of subsection (c) of Section 1-75 of the
11        Illinois Power Agency Act in order to increase,
12        direct, or adjust procurements of renewable energy
13        resources to support new renewable energy projects;
14            (ii) the Energy Storage Resources Procurement
15        Plan, including programs and procurements authorized
16        through that Plan, and to increase the procurement of
17        energy storage established pursuant to subsection
18        (d-20) of Section 1-75 of the Illinois Power Agency
19        Act in order to increase or adjust procurements for
20        new energy storage;
21            (iii) the carbon mitigation credit procurement
22        plans established pursuant to subsection (d-10) of
23        Section 1-75 of the Illinois Power Agency Act in order
24        to preserve existing carbon-free energy resources,
25        including extending or expanding carbon mitigation
26        credit contract awards in accordance with a new

 

 

SB0025 Enrolled- 881 -LRB104 07069 BAB 17106 b

1        schedule of baseline costs;
2            (iv) the Illinois Power Agency's annual
3        electricity procurement plans established pursuant to
4        paragraph (2) of subsection (d) of Section 16-111.5,
5        including modification of the products to be procured
6        and allowing for costs associated with the purchase of
7        new or additional products to be socialized across all
8        retail customers or all load-serving entities, as
9        applicable; and
10            (v) any additional programs designed to procure
11        appropriate sources of new clean energy and capacity
12        resources, including any associated clean attribute
13        credits; and
14        (2) any of the following designed to manage energy
15    demand, including, but not limited to:
16            (i) extending or expanding the energy efficiency
17        programs implemented by electric utilities and the
18        limitation on the amount of energy efficiency and
19        demand-response measures implemented pursuant to
20        Section 8-103B in order to gain increased load
21        reductions; and
22            (ii) the Multi-Year Integrated Grid Plans
23        implemented by electric utilities pursuant to Section
24        16-105.17 in order to extend or expand programs
25        related to peak load management and reduction,
26        including, but not limited to, virtual power plants,

 

 

SB0025 Enrolled- 882 -LRB104 07069 BAB 17106 b

1        front of the meter distributed storage, demand
2        response, and time-of-use rates.
3    (d) If all of the changes made to the programs pursuant to
4this Section would reasonably be insufficient to balance
5supply and demand and avoid a resource adequacy shortfall,
6then the Commission may delay, in whole or in part, the CO2e    
7and copollutant emissions reductions requirements found in
8Section 9.15 of the Environmental Protection Act but only to
9the minimum extent and duration necessary to address the
10resource adequacy shortfall needs of the State. If the
11Commission finds that reducing or delaying the emissions
12reductions requirements is necessary, despite any or all of
13the changes made pursuant to this Section, then it shall also
14include in its final order recommendations to the General
15Assembly on what additional policies may be adopted that could
16avoid future modifications to the emissions reductions.
17    (e) Unless otherwise specified by the Commission, the
18order approving the plan or modified plan shall become
19effective January 1 of the calendar year immediately following
20the issuance of the order. The agencies, electric utilities,
21and any other impacted entities shall comply with any of the
22Commission's orders, and when required seek approval from the
23Commission and make any required modifications to their plans,
24programs, or related initiatives in a manner consistent with
25the process and timing for those changes as outlined in the
26approved plans or, if none is specified, as soon as

 

 

SB0025 Enrolled- 883 -LRB104 07069 BAB 17106 b

1practicable. If the integrated resource plan approved by the
2Commission contains recommendations that are outside the
3Commission's authority, the Commission shall communicate any
4such recommendations to the Governor and the General Assembly.
5    (f) Given the critical and rapid actions required under
6this Section, the Commission may procure the services of any
7facilitator, expert, or consultant, including the procurement
8monitor retained by the Commission pursuant to paragraph (2)
9of subsection (c) of Section 16-111.5. Such procurement is
10exempt from the requirements of the Illinois Procurement Code,
11pursuant to Section 20-10 of that Code.
12    (g) Costs that are prudently and reasonably incurred by
13electric utilities to comply with the requirements of this
14Section shall be recovered and shall be excluded from the
15calculation performed under paragraph (6) of subsection (f) of
16Section 16-108.18. Nothing in the Commission's order directing
17changes to a prior approved plan as enumerated in this Section
18shall be the sole basis for a finding of imprudence or
19unreasonableness or the lack of use or usefulness of any
20investment or expenditure.    
21    (h) If the Commission's final order under this Section
22includes the approval of rate increases through the expansion
23of existing programs, the creation of new programs, or the
24increase of limitations placed on procurements as described
25under paragraphs (1) and (2) of subsection (c), the Commission
26shall submit notice to the General Assembly of the increases

 

 

SB0025 Enrolled- 884 -LRB104 07069 BAB 17106 b

1included in the final order, including the estimated monthly
2cost impact on customers and the expected costs savings or
3benefits of such actions. After receipt of a notice, any
4member of the General Assembly may introduce in the General
5Assembly a joint resolution stating that the General Assembly
6desires to suspend the rate increases, or suspend a portion of
7the rate increases, identified in the final order and
8specifying the rationale for the General Assembly's
9determination.
10        (1) If the General Assembly passes a joint resolution
11    under this subsection (h) that takes effect prior to the
12    effective date of the Commission's final order, the
13    General Assembly shall send notice to the Commission of
14    the resolution, and the Commission shall suspend its final
15    order. Within 30 days of receipt of the General Assembly's
16    notice, the Commission shall reopen the docket approving
17    the plan or modified plan in order to take into account the
18    General Assembly's reduction or elimination of the rate
19    increases. The Commission shall approve the modified plan
20    within 120 days of reopening the docket, including the
21    conduct of discovery and the taking of evidence, and send
22    notice to the General Assembly of its modified plan. The
23    General Assembly may rescind its desire to suspend the
24    rate increases, or suspend a portion of the rate
25    increases, by adoption of a subsequent joint resolution by
26    each chamber of the General Assembly within 30 days of

 

 

SB0025 Enrolled- 885 -LRB104 07069 BAB 17106 b

1    receipt of the Commission's notice that would put into
2    effect the Commission's original final order.
3        (2) If the General Assembly fails to pass a joint
4    resolution under this subsection (h) prior to the
5    effective date of the Commission's final order, the
6    associated rate increases shall go into effect pursuant to
7    the schedule specified in the Commission's final order
8    approving the plan or modified plan.    
9    (i) The Commission may adopt rules to implement the
10requirements of this Section.    
 
11    (220 ILCS 5/17-900)
12    Sec. 17-900. Customer self-generation of electricity.
13    (a) The General Assembly finds and declares that municipal
14systems and electric cooperatives shall continue to be
15governed by their respective governing bodies, but that such
16governing bodies should recognize and implement policies to
17provide the opportunity for their residential and small
18commercial customers who wish to self-generate electricity and
19for reasonable credits to customers for excess electricity,
20balanced against the rights of the other non-self-generating
21customers. This includes creating consistent, fair policies
22that are accessible to all customers and transparent, fair
23processes for raising and addressing any concerns.
24    (b) Customers have the right to install renewable
25generating facilities to be located on the customer's premises

 

 

SB0025 Enrolled- 886 -LRB104 07069 BAB 17106 b

1or customer's side of the billing meter and that are intended
2primarily to offset the customer's own electrical requirements
3and produce, consume, and store their own renewable energy
4without discriminatory repercussions from an electric
5cooperative or municipal system. This includes a customer's
6rights to:
7        (1) generate, consume, and deliver excess renewable
8    energy to the distribution grid and reduce his or her use
9    of electricity obtained from the grid;
10        (2) use technology to store energy at his or her
11    residence;
12        (3) interconnect his or her electrical system that
13    generates renewable energy, stores energy, or any
14    combination thereof, with the electricity meter on the
15    customer's premises that is provided by an electric
16    cooperative or municipal system:
17            (A) in a timely manner;
18            (B) in accordance with requirements established by
19        the electric cooperative or municipal utility to
20        ensure the safety of utility workers; and
21            (C) after providing written notice to the electric
22        cooperative or municipal utility system providing
23        service in the service territory, installing a
24        nomenclature plate on the electrical meter panel and
25        meeting all applicable State and local safety and
26        electrical code requirements associated with

 

 

SB0025 Enrolled- 887 -LRB104 07069 BAB 17106 b

1        installing a parallel distributed generation system;
2        and
3        (4) receive fair credit for excess energy delivered to
4    the distribution grid; and
5        (5) for residential and small commercial customers,
6    interconnect renewable energy systems sized up to and
7    including 25 kW AC.
8    (c) The policies of municipal systems and electric
9cooperatives regarding self-generation and credits for excess
10electricity may reasonably differ from those required of other
11entities by Article XVI of the Public Utilities Act or other
12Acts. The credits must recognize the value of self-generation
13to the distribution grid and benefits to other customers.
14    (c-5) The policies of municipal systems and electric
15cooperatives regarding self-generation and credits for excess
16electricity shall not require customers to name the municipal
17system or electric cooperative as an additional insured on the
18customer's insurance policies or have any minimum liability
19limit requirement in connection with the installation and
20operation of renewable generating facilities if the renewable
21generating facilities meet the safety standards listed in the
22applicable interconnection agreement and the contractor used
23to install the renewable generating facilities is licensed and
24possesses commercial general liability insurance coverage of
25at least $1,000,000 per occurrence and $2,000,000 in the
26aggregate per year.    

 

 

SB0025 Enrolled- 888 -LRB104 07069 BAB 17106 b

1    (d) Within 180 days after this amendatory Act of the 102nd
2General Assembly, each electric cooperative and municipal
3system shall update its policies for the interconnection and
4fair crediting of customer self-generation and storage if
5necessary, to comply with the standards of subsection (b) of
6this Section. Each electric cooperative and municipal system
7shall post its updated policies to a public-facing area of its
8website.
9    (e) An electric cooperative or municipal system customer
10who produces, consumes, and stores his or her own renewable
11energy shall not face discriminatory rate design, fees or
12charges, treatment, or excessive compliance requirements that
13would unreasonably affect that customer's right to
14self-generate electricity as provided for in this Section.
15    (f) An electric cooperative or municipal utility system
16customer shall have a right to appeal any decision related to
17self-generation and storage that violates these rights to
18self-generation and non-discrimination pursuant to the
19provisions of this Section through a complaint under the
20Administrative Review Law or similar legal process.
21(Source: P.A. 102-662, eff. 9-15-21.)
 
22    (220 ILCS 5/20-140 new)
23    Sec. 20-140. Interconnection Working Group.
24    (a) The Commission shall establish an Interconnection
25Working Group. The Working Group shall include representatives

 

 

SB0025 Enrolled- 889 -LRB104 07069 BAB 17106 b

1from electric utilities, developers of renewable electric
2generating facilities, representatives of new large loads
3seeking grid interconnection, other industries that regularly
4apply for interconnection with the electric utilities as
5appropriate, representatives of distributed generation
6customers, the Commission staff, and other stakeholders with a
7substantial interest in the topics addressed by the
8Interconnection Working Group.
9    (b) The Interconnection Working Group shall address at
10least the following issues in relation to new generation and
11new large loads:
12        (1) the cost of and the best available technology for
13    interconnection and metering, including the
14    standardization and publication of standard costs;
15        (2) transparency, accuracy, and use of the
16    distribution interconnection queue and hosting capacity
17    maps;
18        (3) distribution system upgrade cost avoidance through
19    use of advanced inverter functions, energy storage, and
20    load management;
21        (4) predictability of the queue management process and
22    enforcement of timelines;
23        (5) benefits and challenges associated with group
24    studies and cost sharing;
25        (6) minimum requirements for application to the
26    interconnection process and throughout the interconnection

 

 

SB0025 Enrolled- 890 -LRB104 07069 BAB 17106 b

1    process to avoid queue clogging behavior;
2        (7) the process and customer service for
3    interconnecting customers adopting distributed energy
4    resources, including energy storage;
5        (8) options for metering distributed energy resources,
6    including energy storage;
7        (9) interconnection of new technologies, including
8    smart inverters and energy storage;
9        (10) collection, examination, and sharing of data on
10    Level 1 interconnection costs, including cost and type of
11    upgrades required for interconnection, and the use of this
12    data to inform the final standardized cost of Level 1
13    interconnection;
14        (11) determination of a single standardized cost for
15    Level 1 interconnections, which shall not exceed $200; and
16        (12) such other technical, policy, and tariff issues
17    related to and affecting interconnection performance and
18    customer service as determined by the Interconnection
19    Working Group.
20    (c) The Commission may create subcommittees of the
21Interconnection Working Group to focus on specific issues of
22importance, as appropriate.
23    (d) The Interconnection Working Group shall report to the
24Commission on recommended improvements to interconnection
25rules, tariffs, and policies as determined by the
26Interconnection Working Group at least every year. A report

 

 

SB0025 Enrolled- 891 -LRB104 07069 BAB 17106 b

1shall include consensus recommendations of the Interconnection
2Working Group and, if applicable, additional recommendations
3for which consensus was not reached. Non-consensus shall not
4be a basis for excluding recommendations that are majority or
5minority recommendations. The Commission shall use the report
6from the Interconnection Working Group to determine whether
7processes should be commenced to formally codify or implement
8the recommendations. The Interconnection Working Group shall
9provide the reports under this subsection (d) to the
10Commission on at least the following topics in the order
11listed below within a reasonable time, but no later than 12
12months, after the effective date of this amendatory Act of the
13104th General Assembly: (A) a mechanism for good cause
14extensions to construction timelines as long as the
15interconnection customer reasonably demonstrates progress; (B)
16a mechanism for all electric utilities to accept cash, letters
17of credit, or bonds for any deposits required under the
18interconnection agreement; (C) cost sharing for distribution
19system upgrades and interconnection facilities for multiple
20interconnection customers attempting to interconnect on the
21same feeder or substation; (D) requirements that
22interconnection studies process without delay based on queue
23position or status of applications ahead in the queue, and
24associated requirements for disclosure of contingent upgrades;
25(E) provisions allowing for queue reservation for the
26interconnection of projects installed on public school land to

 

 

SB0025 Enrolled- 892 -LRB104 07069 BAB 17106 b

1accommodate timing constraints of school board approval and
2budgeting; and (F) if feasible within the time allotted for
3the initial report, parameters for utility interconnection
4studies of energy storage systems not paired with distributed
5generation that are based on the proposed operational profile
6of the energy storage systems.
7    (d-5) Within 12 months after the report directed by
8subsection (d) has been submitted, the Working Group shall
9report to the Commission on the following: (A) mandatory
10disclosures on the hosting capacity map and studies for
11contingent upgrades including timelines for notice of
12responsibility and payment; (B) a framework for concurrent
13study on multiple feeders for a distributed energy resource;
14and (C) if not provided in the initial report required under
15subsection (d), parameters for utility interconnection studies
16of energy storage systems not paired with distributed
17generation that are based on the proposed operational profile
18of the energy storage systems.
19    (d-10) Within 12 months after the report directed by
20subsection (d-5) has been submitted, the Working Group shall
21report to the Commission on the following: (A) dynamic hosting
22capacity maps; (B) standards for public queue and hosting
23capacity map information regarding individual projects in
24queue, including (i) distributed generation nameplate
25capacity, (ii) paired or stand-alone energy storage system
26nameplate capacity, (iii) detailed estimated upgrade costs,

 

 

SB0025 Enrolled- 893 -LRB104 07069 BAB 17106 b

1and (iv) systems that have completed upgrades and withdrawn
2projects; and (C) timelines for refund of deposits if the
3interconnection agreement is terminated. Within the same time
4period, utilities shall publish all final interconnection
5agreements, facilities studies, and system impact studies.
6    (d-15) Within 12 months after the report directed by
7subsection (d-10) has been submitted, the Working Group shall
8report to the Commission on the following: (A) level of detail
9of costs in system impact and facilities studies and level 2
10studies; and (B) a cap on charges to the interconnection
11customer based on a percentage of the non-binding cost
12estimate in the facilities study, system impact study, or
13level 2 study.
14    (e) In collaboration with the General Counsel of the
15Commission, the Office of Retail Market Development shall
16develop policies and procedures to facilitate employees of the
17Office in leading the Interconnection Working Group without
18interference with docketed proceedings. The policies and
19procedures developed under this subsection (e) shall be
20designed to allow the Interconnection Working Group to work
21without interruption.    
 
22    (220 ILCS 5/20-145 new)
23    Sec. 20-145. Interconnection Monitor.
24    (a) The Office of Retail Market Development may employ,
25designate, or otherwise retain the services of an Ombudsperson

 

 

SB0025 Enrolled- 894 -LRB104 07069 BAB 17106 b

1who, in addition to the roles described in this Act, is
2responsible for overseeing electric utility compliance with
3the standards established by this Section and other regulatory
4or statutory obligations regarding interconnections.
5    (b) The Ombudsperson may from time to time request, and
6each electric utility shall timely provide records and
7information to carry out his or her duties under this Section.
8    (c) The Office shall monitor interconnection between
9electric utilities and applicants for interconnection and
10interconnection customers. The Office may request, and
11electric utilities shall promptly provide, information and
12records related to pending, successful, and terminated
13interconnections.
14    (d) The Office may require electric utilities to provide a
15detailed breakdown of the non-binding costs of operation and
16an estimate that transparently itemizes operational costs,
17including equipment by type or model, labor, operation and
18maintenance, engineering and design, permitting, easements and
19rights-of-way, direct overhead, and indirect overhead.
20    (e) The Office may establish an informal interconnection
21dispute resolution process that may supersede 83 Ill. Adm.
22Code 466.130, 83 Ill. Adm. Code 467.80, and interconnection
23agreements to the extent described in this subsection (e).
24Following the informal process described in this Section,
25including any extensions agreed upon by the parties, an
26electric utility, an interconnection customer, or an

 

 

SB0025 Enrolled- 895 -LRB104 07069 BAB 17106 b

1interconnection applicant may submit the interconnection
2dispute to the Ombudsperson, or his or her designee. The
3Ombudsperson, or his or her designee, shall provide a
4recommended resolution of such dispute within 30 days after
5the Ombudsperson determines that full information from all
6parties to the dispute has been received. The electric
7utility, the interconnection customer, the interconnection
8applicant, or any other party authorized to initiate dispute
9resolution under the Commission's rules authorized by this Act
10may include the Ombudsperson's recommendation in any formal
11complaint before the Commission.
12    (f) The Office is encouraged to include at least one
13employee, at the Bureau Chief's discretion, with a background
14in engineering of renewable resources and distribution
15interconnections.    
 
16    (220 ILCS 5/Art. XXIII heading new)
17
ARTICLE XXIII. SITING OF QUALIFIED ENERGY FACILITIES

 
18    (220 ILCS 5/23-105 new)
19    Sec. 23-105. Findings. The General Assembly finds that the
20timely siting and development of commercial wind energy
21facilities, commercial solar energy facilities and energy
22storage system facilities is critical to the State's energy
23security and that it is the policy of the State that:    
24        (1) the General Assembly has adopted state-wide county

 

 

SB0025 Enrolled- 896 -LRB104 07069 BAB 17106 b

1    siting regulations to establish uniform standards for
2    commercial wind energy facilities, commercial solar energy
3    facilities, and energy storage system facilities
4    throughout this State;
5        (2) a consistent dispute resolution process, with
6    respect to the siting and development of commercial wind
7    energy facilities, commercial solar energy facilities and
8    energy storage system facilities is necessary to provide
9    fair and expeditious decisions on siting disputes to
10    parties affected by the development and siting of a
11    renewable energy project;
12        (3) empowering the Commission to resolve siting
13    disputes and issue siting certificates would allow parties
14    to avoid time-consuming and costly litigation and would
15    provide consistency and certainty to the renewable energy
16    siting and development process in the State; and
17        (4) the Commission has the relevant expertise to
18    establish and govern a renewable energy siting certificate
19    issuance and dispute resolution process.
 
20    (220 ILCS 5/23-110 new)
21    Sec. 23-110. Definitions. In this Article:
22    "Applicable State siting law" means Section 5-12020 of the
23Counties Code for commercial wind energy facilities and
24commercial solar energy facilities and means Section 5-12024
25of the Counties Code for energy storage system facilities    

 

 

SB0025 Enrolled- 897 -LRB104 07069 BAB 17106 b

1    "Commercial solar energy facility" has the meaning given
2to that term in subsection (a) of Section 5-12020 of the
3Counties Code. "Commercial solar energy facility" includes
4supporting facilities, as defined in subsection (a) of Section
55-12020 of the Counties Code.
6    "Commercial wind energy facility" has the meaning given to
7that term in subsection (a) of Section 5-12020 of the Counties
8Code. "Commercial wind energy facility" includes supporting
9facilities, as defined in subsection (a) of Section 5-12020 of
10the Counties Code.    
11    "Energy storage system facility" has the meaning given to
12that term in Section 5-12024 of the Counties Code. "Energy
13storage system facility" includes supporting facilities, as
14defined in subsection (a) of Section 5-12024 of the Counties
15Code.    
16    "Facility owner" means the owner of or an applicant for a
17qualified energy facility.    
18    "Qualified energy facility" means any one or more of the
19following that has a nameplate capacity of 50 megawatts or
20greater and is located in an unincorporated area not within
21the zoning jurisdiction of an incorporated municipality: a
22commercial wind energy facility, a commercial solar energy
23facility, or an energy storage system facility.    
24    "Respondent" means the county, municipality, township,
25road district, or other unit of local government whose action
26or inaction is the subject of the dispute.    
 

 

 

SB0025 Enrolled- 898 -LRB104 07069 BAB 17106 b

1    (220 ILCS 5/23-115 new)
2    Sec. 23-115. Resolution of disputes between facility
3owners and units of local government related to the siting of
4qualified energy facilities.    
5    (a) The expedited procedures in this Section shall be used
6to enforce the provisions of the applicable State siting law.
7    (b) No petition may be filed under this Section until the
8facility owner that intends to file the petition has first
9notified the respondent of the alleged violation of the
10applicable State siting law and offered the respondent 7 days
11to correct or take substantial steps to begin and diligently
12pursue curing the alleged violation. Provision of notice and
13the opportunity to correct the situation creates a rebuttable
14presumption of knowledge under this Section. After the filing
15of a petition under this Section, the parties may agree to
16follow the mediation process under Section 10-101.1 of this
17Act. The time periods specified in subdivision (c)(7) of this
18Section shall be tolled during the time spent in mediation
19under Section 10-101.1.
20    (c) A facility owner may file a petition with the
21Commission alleging a violation of the applicable State siting
22law in accordance with this subsection. The following
23procedures shall govern the dispute resolution process:
24        (1) The petition shall be filed with the Chief Clerk
25    of the Commission and shall be served in hand upon the

 

 

SB0025 Enrolled- 899 -LRB104 07069 BAB 17106 b

1    respondent, the executive director, and the general
2    counsel of the Commission at the time of the filing.
3        (2) A petition filed under this subsection shall
4    include a statement that the requirements of subsection
5    (b) have been fulfilled and that the respondent did not
6    correct the situation as requested.
7        (3) Reasonable discovery specific to the issue of the
8    petition may commence upon filing of the petition.
9        (4) An answer and any other responsive pleading to the
10    petition shall be filed with the Commission and served at
11    the same time upon the complainant, the executive
12    director, and the general counsel of the Commission within
13    7 days after the date on which the petition is filed.
14        (5) If the answer or responsive pleading raises the
15    issue that the petition violates subsection (f) of this
16    Section, the complainant may file a reply to such
17    allegation within 3 days after actual service of such
18    answer or responsive pleading. Within 4 days after the
19    time for filing a reply has expired, the administrative
20    law judge shall either issue a written decision dismissing
21    the petition as frivolous in violation of subsection (f)
22    of this Section including the reasons for such disposition
23    or shall issue an order directing that the petition shall
24    proceed.
25        (6) A pre-hearing conference shall be held within 14
26    days after the date on which the petition is filed.

 

 

SB0025 Enrolled- 900 -LRB104 07069 BAB 17106 b

1        (7) The hearing shall commence within 45 days of the
2    date on which the petition is filed and shall be conducted
3    by an administrative law judge. Parties and the Commission
4    staff shall be entitled to present evidence and legal
5    argument in oral or written form as deemed appropriate by
6    the administrative law judge. The administrative law judge
7    shall issue a proposed order within 90 days after the date
8    on which the petition is filed. The proposed order shall
9    include reasons for the disposition of the petition and,
10    if a violation of the applicable State siting law is
11    found, directions and a deadline for correction of the
12    violation.
13        (8) Any party may file a petition requesting the
14    Commission to review the proposed order of the
15    administrative law judge or arbitrator within 5 days after
16    the proposed order is issued and file exceptions to the
17    proposed order. Any party may file a response to a
18    petition for review within 3 business days after actual
19    service of the petition. After the time for filing of the
20    petition for review, but no later than 60 days after the
21    proposed order of the administrative law judge, the
22    Commission shall decide to adopt the proposed order of the
23    administrative law judge or shall issue its own final
24    order.
25    (d) In resolving disputes filed under this Section, the
26administrative law judge and the Commission shall make

 

 

SB0025 Enrolled- 901 -LRB104 07069 BAB 17106 b

1determinations based on the requirements and intent of the
2applicable State siting law.
3    (e) In resolving disputes under this Section, the
4Commission shall have authority to issue a siting certificate
5for a qualified energy facility if the Commission determines
6that:
7        (1) the respondent denied the qualified energy
8    facility a siting certificate; and
9        (2) the qualified energy facility is in compliance
10    with the applicable State siting laws for a qualified
11    energy facility.
12    For the purposes of this Section, a commercial wind energy
13facility and commercial solar energy facility shall be in
14compliance with Section 5-12020 of the Counties Code and an
15energy storage system shall be in compliance with Section
165-12024 of the Counties Code. If the Commission determines
17that there is substantial harm to the facility owner, the
18Commission may, notwithstanding any other provision of this
19Act, seek temporary, preliminary, or permanent injunctive
20relief from a court of competent jurisdiction either before or
21after the hearing.
22    (f) A party shall not bring or defend a proceeding brought
23under this Section or assert or controvert an issue in a
24proceeding brought under this Section, unless there is a
25non-frivolous basis for doing so. By presenting a pleading,
26written motion, or other paper in petition or defense of the

 

 

SB0025 Enrolled- 902 -LRB104 07069 BAB 17106 b

1actions or inaction of a party under this Section, a party is
2certifying to the Commission that to the best of that party's
3knowledge, information, and belief, formed after a reasonable
4inquiry of the subject matter of the petition or defense, that
5the petition or defense is well grounded in law and fact, and
6under the circumstances:
7        (1) it is not being presented to harass the other
8    party, cause unnecessary delay, or create needless
9    increases in the cost of litigation; and
10        (2) the allegations and other factual contentions have
11    evidentiary support or, if specifically so identified, are
12    likely to have evidentiary support after reasonable
13    opportunity for further investigation or discovery as
14    defined herein.
15    (g) If, after notice and a reasonable opportunity to
16respond, the Commission determines that subsection (f) has
17been violated, the Commission shall impose appropriate
18sanctions upon the party or parties that have violated
19subsection (i) or are responsible for the violation.
20    (h) An appeal of a Commission order made pursuant to this
21Section shall not effectuate a stay of the order unless a court
22of competent jurisdiction specifically finds that the party
23seeking the stay will likely succeed on the merits, that the
24party will suffer irreparable harm without the stay, and that
25the stay is in the public interest.
26    (i) The Commission shall assess the parties under this

 

 

SB0025 Enrolled- 903 -LRB104 07069 BAB 17106 b

1subsection for all of the Commission's costs of investigation
2and conduct of the proceedings brought under this Section
3including, but not limited to, the prorated salaries of staff,
4attorneys, administrative law judges, and support personnel
5and including any travel and per diem, directly attributable
6to the petition brought pursuant to this Section, but
7excluding those costs provided for in subsection (g), dividing
8the costs according to the resolution of the petition brought
9under this Section. All assessments made under this subsection
10shall be paid into the Public Utility Fund within 60 days after
11receiving notice of the assessments from the Commission.
12Interest at the statutory rate shall accrue after the
13expiration of the 60-day period. The Commission is authorized
14to apply to a court of competent jurisdiction for an order
15requiring payment.
 
16    (220 ILCS 5/23-120 new)
17    Sec. 23-120. Effect of siting certificate. A siting
18approval certificate authorizes the facility owner receiving
19the certificate to construct, maintain, and decommission the
20qualified energy facility.
 
21    (220 ILCS 5/23-125 new)
22    Sec. 23-125. Rulemaking. The Commission may adopt rules to
23implement the requirements of this Article.
 

 

 

SB0025 Enrolled- 904 -LRB104 07069 BAB 17106 b

1    Section 90-40. The Electric Transmission Systems
2Construction Standards Act is amended by changing Sections 5
3and 15 as follows:
 
4    (220 ILCS 32/5)
5    Sec. 5. Definitions. For the purposes of this Act:
6    "Commission" means the Illinois Commerce Commission.
7    "Construction contractor" means any nonutility entity
8responsible for the construction, installation, maintenance,
9or repair of electric transmission systems subject to this
10Act.
11    "Electric transmission systems" means an electrical
12transmission system designed and constructed with the
13capability of being safely and reliably energized at 69
14kilovolts or more, including transmission lines, transmission
15towers, conductors, insulators, foundations, grounding
16systems, access roads, and all associated transmission
17facilities, including transmission substations. "Electric
18transmission systems" does not include projects located on the
19electric generating facility's side of the facility's point of
20interconnection or facilities not functionally classified as
21transmission systems, regardless of voltage.
22    "OSHA" means Occupational Safety and Health
23Administration.
24    "Utility" means an entity that is a public utility, as
25defined in Section 3-105 of the Public Utilities Act, and that

 

 

SB0025 Enrolled- 905 -LRB104 07069 BAB 17106 b

1serves residential customers. has the meaning given to that
2term in Section 3-105 of the Public Utilities Act.
3(Source: P.A. 103-1066, eff. 2-20-25.)
 
4    (220 ILCS 32/15)
5    Sec. 15. Requirements for construction contractors.
6    (a) Prevailing wage compliance. All utilities and    
7construction contractors responsible for the construction,
8installation, maintenance, or repair of electric transmission
9systems shall pay employees performing the construction,
10installation, maintenance, or repair work of such systems
11wages and benefits consistent with the Prevailing Wage Act.
12    (b) Training and competence requirement. To ensure safety
13and reliability in the construction, installation,
14maintenance, and repair of electric transmission systems, each
15electric utility and construction contractor must demonstrate
16the competence of their employees who are performing the work
17of construction, installation, maintenance, or repair of
18electric transmission systems, which shall be consistent with
19the standards required by Illinois utilities as of January 1,
202007, or greater. Competence must include, at a minimum: (1)
21completion, or active participation with ultimate completion,
22in an accredited or recognized apprenticeship program for the
23relevant craft, trade, or skill; or (2) a minimum of 2 years of
24direct employment in the specific work function.
25    The Commission shall oversee compliance to ensure

 

 

SB0025 Enrolled- 906 -LRB104 07069 BAB 17106 b

1employees meet these standards.
2    (c) Safety training. All employees engaged in the
3construction, installation, maintenance, or repair of electric
4transmission systems must successfully complete OSHA-certified
5safety training required for their specific roles on the
6project site.
7    (d) Diversity Plan.
8        (1) All construction contractors engaged in the
9    construction, installation, maintenance, or repair of
10    electric transmission systems shall develop a Diversity
11    Plan that sets forth:
12            (A) the goals for apprenticeship hours to be
13        performed by minorities and women;
14            (B) the goals for total hours to be performed by
15        underrepresented minorities and women; and
16            (C) spending for women-owned, minority-owned,
17        veteran-owned, and small business enterprises in the
18        previous calendar year.
19        (2) These goals shall be expressed as a percentage of
20    the total work performed by the construction contractor
21    submitting the plan and the actual spending for all
22    women-owned, minority-owned, veteran-owned, and small
23    business enterprises shall also be expressed as a
24    percentage of the total work performed by the construction
25    contractor submitting the Diversity Plan.
26        (3) For purposes of the Diversity Plan, minorities and

 

 

SB0025 Enrolled- 907 -LRB104 07069 BAB 17106 b

1    women shall have the same definition as defined in the
2    Business Enterprise for Minorities, Women, and Persons
3    with Disabilities Act.
4        (4) The construction contractor shall submit the
5    Diversity Plan to the Commission.
6(Source: P.A. 103-1066, eff. 2-20-25.)
 
7    Section 90-45. The Environmental Protection Act is amended
8by changing Sections 9.15, 25, and 39 as follows:
 
9    (415 ILCS 5/9.15)
10    Sec. 9.15. Greenhouse gases.
11    (a) An air pollution construction permit shall not be
12required due to emissions of greenhouse gases if the
13equipment, site, or source is not subject to regulation, as
14defined by 40 CFR 52.21, as now or hereafter amended, for
15greenhouse gases or is otherwise not addressed in this Section
16or by the Board in regulations for greenhouse gases. These
17exemptions do not relieve an owner or operator from the
18obligation to comply with other applicable rules or
19regulations.
20    (b) An air pollution operating permit shall not be
21required due to emissions of greenhouse gases if the
22equipment, site, or source is not subject to regulation, as
23defined by Section 39.5 of this Act, for greenhouse gases or is
24otherwise not addressed in this Section or by the Board in

 

 

SB0025 Enrolled- 908 -LRB104 07069 BAB 17106 b

1regulations for greenhouse gases. These exemptions do not
2relieve an owner or operator from the obligation to comply
3with other applicable rules or regulations.
4    (c) (Blank).
5    (d) (Blank).
6    (e) (Blank).
7    (f) As used in this Section:
8    "Carbon dioxide emission" means the plant annual CO2 total
9output emission as measured by the United States Environmental
10Protection Agency in its Emissions & Generation Resource
11Integrated Database (eGrid), or its successor.
12    "Carbon dioxide equivalent emissions" or "CO2e" means the
13sum total of the mass amount of emissions in tons per year,
14calculated by multiplying the mass amount of each of the 6
15greenhouse gases specified in Section 3.207, in tons per year,
16by its associated global warming potential as set forth in 40
17CFR 98, subpart A, table A-1 or its successor, and then adding
18them all together.
19    "Cogeneration" or "combined heat and power" refers to any
20system that, either simultaneously or sequentially, produces
21electricity and useful thermal energy from a single fuel
22source.
23    "Copollutants" refers to the 6 criteria pollutants that
24have been identified by the United States Environmental
25Protection Agency pursuant to the Clean Air Act.
26    "Electric generating unit" or "EGU" means a fossil

 

 

SB0025 Enrolled- 909 -LRB104 07069 BAB 17106 b

1fuel-fired stationary boiler, combustion turbine, or combined
2cycle system that serves a generator that has a nameplate
3capacity greater than 25 MWe and produces electricity for
4sale.
5    "Environmental justice community" means the definition of
6that term based on existing methodologies and findings, used
7and as may be updated by the Illinois Power Agency and its
8program administrator in the Illinois Solar for All Program.
9    "Equity investment eligible community" or "eligible
10community" means the geographic areas throughout Illinois that
11would most benefit from equitable investments by the State
12designed to combat discrimination and foster sustainable
13economic growth. Specifically, eligible community means the
14following areas:
15        (1) areas where residents have been historically
16    excluded from economic opportunities, including
17    opportunities in the energy sector, as defined as R3 areas
18    pursuant to Section 10-40 of the Cannabis Regulation and
19    Tax Act; and
20        (2) areas where residents have been historically
21    subject to disproportionate burdens of pollution,
22    including pollution from the energy sector, as established
23    by environmental justice communities as defined by the
24    Illinois Power Agency pursuant to the Illinois Power
25    Agency Act, excluding any racial or ethnic indicators.
26    "Equity investment eligible person" or "eligible person"

 

 

SB0025 Enrolled- 910 -LRB104 07069 BAB 17106 b

1means the persons who would most benefit from equitable
2investments by the State designed to combat discrimination and
3foster sustainable economic growth. Specifically, eligible
4person means the following people:
5        (1) persons whose primary residence is in an equity
6    investment eligible community;
7        (2) persons whose primary residence is in a
8    municipality, or a county with a population under 100,000,
9    where the closure of an electric generating unit or mine
10    has been publicly announced or the electric generating
11    unit or mine is in the process of closing or closed within
12    the last 5 years;
13        (3) persons who are graduates of or currently enrolled
14    in the foster care system; or
15        (4) persons who were formerly incarcerated.
16    "Existing emissions" means:
17        (1) for CO2e, the total average tons-per-year of CO2e
18    emitted by the EGU or large GHG-emitting unit either in
19    the years 2018 through 2020 or, if the unit was not yet in
20    operation by January 1, 2018, in the first 3 full years of
21    that unit's operation; and
22        (2) for any copollutant, the total average
23    tons-per-year of that copollutant emitted by the EGU or
24    large GHG-emitting unit either in the years 2018 through
25    2020 or, if the unit was not yet in operation by January 1,
26    2018, in the first 3 full years of that unit's operation.

 

 

SB0025 Enrolled- 911 -LRB104 07069 BAB 17106 b

1    "Green hydrogen" means a power plant technology in which
2an EGU creates electric power exclusively from electrolytic
3hydrogen, in a manner that produces zero carbon and
4copollutant emissions, using hydrogen fuel that is
5electrolyzed using a 100% renewable zero carbon emission
6energy source.
7    "Large greenhouse gas-emitting unit" or "large
8GHG-emitting unit" means a unit that is an electric generating
9unit or other fossil fuel-fired unit that itself has a
10nameplate capacity or serves a generator that has a nameplate
11capacity greater than 25 MWe and that produces electricity,
12including, but not limited to, coal-fired, coal-derived,
13oil-fired, natural gas-fired, and cogeneration units.
14    "NOx emission rate" means the plant annual NOx total output
15emission rate as measured by the United States Environmental
16Protection Agency in its Emissions & Generation Resource
17Integrated Database (eGrid), or its successor, in the most
18recent year for which data is available.
19    "Public greenhouse gas-emitting units" or "public
20GHG-emitting unit" means large greenhouse gas-emitting units,
21including EGUs, that are wholly owned, directly or indirectly,
22by one or more municipalities, municipal corporations, joint
23municipal electric power agencies, electric cooperatives, or
24other governmental or nonprofit entities, whether organized
25and created under the laws of Illinois or another state.
26    "SO2 emission rate" means the "plant annual SO2 total

 

 

SB0025 Enrolled- 912 -LRB104 07069 BAB 17106 b

1output emission rate" as measured by the United States
2Environmental Protection Agency in its Emissions & Generation
3Resource Integrated Database (eGrid), or its successor, in the
4most recent year for which data is available.
5    (g) All EGUs and large greenhouse gas-emitting units that
6use coal or oil as a fuel and are not public GHG-emitting units
7shall permanently reduce all CO2e and copollutant emissions to
8zero no later than January 1, 2030.
9    (h) All EGUs and large greenhouse gas-emitting units that
10use coal as a fuel and are public GHG-emitting units shall
11permanently reduce CO2e emissions to zero no later than
12December 31, 2045. Any source or plant with such units must
13also reduce their CO2e emissions by 45% from existing
14emissions by no later than January 1, 2035. If the emissions
15reduction requirement is not achieved by December 31, 2035,
16the plant shall retire one or more units or otherwise reduce
17its CO2e emissions by 45% from existing emissions by June 30,
182038.
19    (i) All EGUs and large greenhouse gas-emitting units that
20use gas as a fuel and are not public GHG-emitting units shall
21permanently reduce all CO2e and copollutant emissions to zero,
22including through unit retirement or the use of 100% green
23hydrogen or other similar technology that is commercially
24proven to achieve zero carbon emissions, according to the
25following:
26        (1) No later than January 1, 2030: all EGUs and large

 

 

SB0025 Enrolled- 913 -LRB104 07069 BAB 17106 b

1    greenhouse gas-emitting units that have a NOx emissions
2    rate of greater than 0.12 lbs/MWh or a SO2 emission rate of
3    greater than 0.006 lb/MWh, and are located in or within 3
4    miles of an environmental justice community designated as
5    of January 1, 2021 or an equity investment eligible
6    community.
7        (2) No later than January 1, 2040: all EGUs and large
8    greenhouse gas-emitting units that have a NOx emission
9    rate of greater than 0.12 lbs/MWh or a SO2 emission rate
10    greater than 0.006 lb/MWh, and are not located in or
11    within 3 miles of an environmental justice community
12    designated as of January 1, 2021 or an equity investment
13    eligible community. After January 1, 2035, each such EGU
14    and large greenhouse gas-emitting unit shall reduce its
15    CO2e emissions by at least 50% from its existing emissions
16    for CO2e, and shall be limited in operation to, on average,
17    6 hours or less per day, measured over a calendar year, and
18    shall not run for more than 24 consecutive hours except in
19    emergency conditions, as designated by a Regional
20    Transmission Organization or Independent System Operator.
21        (3) No later than January 1, 2035: all EGUs and large
22    greenhouse gas-emitting units that began operation prior
23    to the effective date of this amendatory Act of the 102nd
24    General Assembly and have a NOx emission rate of less than
25    or equal to 0.12 lb/MWh and a SO2 emission rate less than
26    or equal to 0.006 lb/MWh, and are located in or within 3

 

 

SB0025 Enrolled- 914 -LRB104 07069 BAB 17106 b

1    miles of an environmental justice community designated as
2    of January 1, 2021 or an equity investment eligible
3    community. Each such EGU and large greenhouse gas-emitting
4    unit shall reduce its CO2e emissions by at least 50% from
5    its existing emissions for CO2e no later than January 1,
6    2030.
7        (4) No later than January 1, 2040: All remaining EGUs
8    and large greenhouse gas-emitting units that have a heat
9    rate greater than or equal to 7000 BTU/kWh. Each such EGU
10    and Large greenhouse gas-emitting unit shall reduce its
11    CO2e emissions by at least 50% from its existing emissions
12    for CO2e no later than January 1, 2035.
13        (5) No later than January 1, 2045: all remaining EGUs
14    and large greenhouse gas-emitting units.
15    (j) All EGUs and large greenhouse gas-emitting units that
16use gas as a fuel and are public GHG-emitting units shall
17permanently reduce all CO2e and copollutant emissions to zero,
18including through unit retirement or the use of 100% green
19hydrogen or other similar technology that is commercially
20proven to achieve zero carbon emissions by January 1, 2045.
21    (k) All EGUs and large greenhouse gas-emitting units that
22utilize combined heat and power or cogeneration technology
23shall permanently reduce all CO2e and copollutant emissions to
24zero, including through unit retirement or the use of 100%
25green hydrogen or other similar technology that is
26commercially proven to achieve zero carbon emissions by

 

 

SB0025 Enrolled- 915 -LRB104 07069 BAB 17106 b

1January 1, 2045.
2    (k-5) No EGU or large greenhouse gas-emitting unit that
3uses gas as a fuel and is not a public GHG-emitting unit may
4emit, in any 12-month period, CO2e or copollutants in excess of
5that unit's existing emissions for those pollutants.
6    (l) Notwithstanding subsections (g) through (k-5), large
7GHG-emitting units including EGUs may temporarily continue
8emitting CO2e and copollutants after any applicable deadline
9specified in any of subsections (g) through (k-5) if it has
10been determined, as described in paragraphs (1) and (2) of
11this subsection, that ongoing operation of the EGU is
12necessary to maintain power grid supply and reliability or
13ongoing operation of large GHG-emitting unit that is not an
14EGU is necessary to serve as an emergency backup to
15operations. Up to and including the occurrence of an emission
16reduction deadline under subsection (i), all EGUs and large
17GHG-emitting units must comply with the following terms:
18        (1) if an EGU or large GHG-emitting unit that is a
19    participant in a regional transmission organization
20    intends to retire, it must submit documentation to the
21    appropriate regional transmission organization by the
22    appropriate deadline that meets all applicable regulatory
23    requirements necessary to obtain approval to permanently
24    cease operating the large GHG-emitting unit;
25        (2) if any EGU or large GHG-emitting unit that is a
26    participant in a regional transmission organization

 

 

SB0025 Enrolled- 916 -LRB104 07069 BAB 17106 b

1    receives notice that the regional transmission
2    organization has determined that continued operation of
3    the unit is required, the unit may continue operating
4    until the issue identified by the regional transmission
5    organization is resolved. The owner or operator of the
6    unit must cooperate with the regional transmission
7    organization in resolving the issue and must reduce its
8    emissions to zero, consistent with the requirements under
9    subsection (g), (h), (i), (j), (k), or (k-5), as
10    applicable, as soon as practicable when the issue
11    identified by the regional transmission organization is
12    resolved; and
13        (3) any large GHG-emitting unit that is not a
14    participant in a regional transmission organization shall
15    be allowed to continue emitting CO2e and copollutants
16    after the zero-emission date specified in subsection (g),
17    (h), (i), (j), (k), or (k-5), as applicable, in the
18    capacity of an emergency backup unit if approved by the
19    Illinois Commerce Commission.
20    (m) No variance, adjusted standard, or other regulatory
21relief otherwise available in this Act may be granted to the
22emissions reduction and elimination obligations in this
23Section.
24    (n) By June 30 of each year, beginning in 2025, the Agency
25shall prepare and publish on its website a report setting
26forth the actual greenhouse gas emissions from individual

 

 

SB0025 Enrolled- 917 -LRB104 07069 BAB 17106 b

1units and the aggregate statewide emissions from all units for
2the prior year.
3    (o) The Every 5 years beginning in 2025, the Environmental
4Protection Agency, Illinois Power Agency, and Illinois
5Commerce Commission shall jointly prepare, and release
6publicly, a report to the General Assembly that examines the
7State's current progress toward its renewable energy resource
8development goals, the status of CO2e and copollutant
9emissions reductions, the current status and progress toward
10developing and implementing green hydrogen technologies, the
11current and projected status of electric resource adequacy and
12reliability throughout the State for the period beginning 5
13years ahead, and proposed solutions for any findings. The
14Environmental Protection Agency, Illinois Power Agency, and
15Illinois Commerce Commission shall consult PJM
16Interconnection, LLC and Midcontinent Independent System
17Operator, Inc., or their respective successor organizations
18regarding forecasted resource adequacy and reliability needs,
19anticipated new generation interconnection, new transmission
20development or upgrades, and any announced large GHG-emitting
21unit closure dates and include this information in the report.
22The report shall be released publicly by no later than
23December 15 of the year it is prepared. If the Environmental
24Protection Agency, Illinois Power Agency, and Illinois
25Commerce Commission jointly conclude in the report that the
26data from the regional grid operators, the pace of renewable

 

 

SB0025 Enrolled- 918 -LRB104 07069 BAB 17106 b

1energy development, the pace of development of energy storage
2and demand response utilization, transmission capacity, and
3the CO2e and copollutant emissions reductions required by
4subsection (i) or (k-5) reasonably demonstrate that a resource
5adequacy shortfall will occur, including whether there will be
6sufficient in-state capacity to meet the zonal requirements of
7MISO Zone 4 or the PJM ComEd Zone, per the requirements of the
8regional transmission organizations, or that the regional
9transmission operators determine that a reliability violation
10will occur during the time frame the study is evaluating, then
11the Illinois Power Agency, in conjunction with the
12Environmental Protection Agency shall develop a plan to reduce
13or delay CO2e and copollutant emissions reductions
14requirements only to the extent and for the duration necessary
15to meet the resource adequacy and reliability needs of the
16State, including allowing any plants whose emission reduction
17deadline has been identified in the plan as creating a
18reliability concern to continue operating, including operating
19with reduced emissions or as emergency backup where
20appropriate. The plan shall also consider the use of renewable
21energy, energy storage, demand response, transmission
22development, or other strategies to resolve the identified
23resource adequacy shortfall or reliability violation.
24        (1) In developing the plan, the Environmental
25    Protection Agency and the Illinois Power Agency shall hold
26    at least one workshop open to, and accessible at a time and

 

 

SB0025 Enrolled- 919 -LRB104 07069 BAB 17106 b

1    place convenient to, the public and shall consider any
2    comments made by stakeholders or the public. Upon
3    development of the plan, copies of the plan shall be
4    posted and made publicly available on the Environmental
5    Protection Agency's, the Illinois Power Agency's, and the
6    Illinois Commerce Commission's websites. All interested
7    parties shall have 60 days following the date of posting
8    to provide comment to the Environmental Protection Agency
9    and the Illinois Power Agency on the plan. All comments
10    submitted to the Environmental Protection Agency and the
11    Illinois Power Agency shall be encouraged to be specific,
12    supported by data or other detailed analyses, and, if
13    objecting to all or a portion of the plan, accompanied by
14    specific alternative wording or proposals. All comments
15    shall be posted on the Environmental Protection Agency's,
16    the Illinois Power Agency's, and the Illinois Commerce
17    Commission's websites. Within 30 days following the end of
18    the 60-day review period, the Environmental Protection
19    Agency and the Illinois Power Agency shall revise the plan
20    as necessary based on the comments received and file its
21    revised plan with the Illinois Commerce Commission for
22    approval.
23        (2) Within 60 days after the filing of the revised
24    plan at the Illinois Commerce Commission, any person
25    objecting to the plan shall file an objection with the
26    Illinois Commerce Commission. Within 30 days after the

 

 

SB0025 Enrolled- 920 -LRB104 07069 BAB 17106 b

1    expiration of the comment period, the Illinois Commerce
2    Commission shall determine whether an evidentiary hearing
3    is necessary. The Illinois Commerce Commission shall also
4    host 3 public hearings within 90 days after the plan is
5    filed. Following the evidentiary and public hearings, the
6    Illinois Commerce Commission shall enter its order
7    approving or approving with modifications the reliability
8    mitigation plan within 180 days.
9        (3) The Illinois Commerce Commission shall only
10    approve the plan if the Illinois Commerce Commission
11    determines that it will resolve the resource adequacy or
12    reliability deficiency identified in the reliability
13    mitigation plan at the least amount of CO2e and copollutant
14    emissions, taking into consideration the emissions impacts
15    on environmental justice communities, and that it will
16    ensure adequate, reliable, affordable, efficient, and
17    environmentally sustainable electric service at the lowest
18    total cost over time, taking into account the impact of
19    increases in emissions.
20        (4) If the resource adequacy or reliability deficiency
21    identified in the reliability mitigation plan is resolved
22    or reduced, the Environmental Protection Agency and the
23    Illinois Power Agency may file an amended plan adjusting
24    the reduction or delay in CO2e and copollutant emission
25    reduction requirements identified in the plan.
26(Source: P.A. 102-662, eff. 9-15-21; 102-1031, eff. 5-27-22.)
 

 

 

SB0025 Enrolled- 921 -LRB104 07069 BAB 17106 b

1    (415 ILCS 5/25)  (from Ch. 111 1/2, par. 1025)
2    Sec. 25. The Board, pursuant to the procedures prescribed
3in Title VII of this Act, may adopt regulations prescribing
4limitations on noise emissions beyond the boundaries of the
5property of any person and prescribing requirements and
6standards for equipment and procedures for monitoring noise
7and the collection, reporting and retention of data resulting
8from such monitoring.
9    The Board shall, by regulations under this Section,
10categorize the types and sources of noise emissions that
11unreasonably interfere with the enjoyment of life, or with any
12lawful business, or activity, and shall prescribe for each
13such category the maximum permissible limits on such noise
14emissions. The Board shall secure the co-operation of the
15Department in determining the categories of noise emission and
16the technological and economic feasibility of such noise level
17limits.
18    In connection with any commercial solar energy facility or
19commercial wind energy facility, the fee simple owner of a
20participating property, participating residence,
21nonparticipating property, nonparticipating residence, or any
22combination of those properties and residences may enter into
23a written waiver agreement or other similar instrument
24pursuant to which the owner agrees to waive the enforcement,
25either entirely or on a limited basis, of the rules and

 

 

SB0025 Enrolled- 922 -LRB104 07069 BAB 17106 b

1regulations that are adopted under this Section or Section 24
2of this Act and that pertain to the facility. Such a waiver
3shall be recorded in the Office of the Recorder of the county
4in which the participating property, participating residence,
5nonparticipating property, or nonparticipating residence is
6located and, once recorded, shall be binding upon and
7constructive notice to all current and future owners,
8residents, lessees, invitees, and users of the property so
9long as the recorded waiver includes a legal description or
10location of the affected property and a reference that it
11waives certain provisions of this Act and their enforcement,
12as well as certain rules and regulations adopted under this
13Act and their enforcement. Upon the recording of such a
14waiver, in addition to the owner, the Board, Agency, or other
15person shall not be permitted to enforce the rules and
16regulations adopted under this Section or Section 24, and
17those rules and regulations shall not be effective, to the
18extent the rules and regulations for the affected property
19have been waived under this Section, against the facility that
20is the subject of the recorded waiver. An owner of any
21participating residence or nonparticipating residence shall
22disclose the existence of such a waiver to any lessee before
23entering any new lease for the residence. A seller of any
24participating property, participating residence,
25nonparticipating property, nonparticipating residence, or any
26combination of those properties and residences shall disclose

 

 

SB0025 Enrolled- 923 -LRB104 07069 BAB 17106 b

1the existence of the waiver before any sale or other transfer
2of the property. If disclosure of the waiver occurs after the
3buyer has made an offer to purchase the property, the seller
4shall disclose the existence of the waiver before accepting
5the buyer's offer and shall (1) allow the buyer an opportunity
6to review the disclosure and (2) inform the buyer that the
7buyer has the right to amend the buyer's offer. As used in this
8Section, "commercial solar energy facility", "commercial wind
9energy facility", "nonparticipating property",
10"nonparticipating residence", "participating property", and
11"participating residence" have the meanings given in
12subsection (a) of Section 5-12020 of the Counties Code.    
13    In establishing such limits, the Board, in addition to
14considering those factors set forth in Section 27 of this Act,
15shall consider the adverse ecological effects on and
16interference with the enjoyment of natural, scenic, wilderness
17or other outdoor recreational areas, parks, and forests
18occasioned by noise emissions from automotive, mechanical, and
19other sources and may establish lower permissible noise levels
20applicable to sources in such outdoor recreational uses.
21    No Board standards for monitoring noise or regulations
22prescribing limitations on noise emissions shall apply to any
23organized amateur or professional sporting activity except as
24otherwise provided in this Section. Baseball, football or
25soccer sporting events played during nighttime hours, by
26professional athletes, in a city with more than 1,000,000

 

 

SB0025 Enrolled- 924 -LRB104 07069 BAB 17106 b

1inhabitants, in a stadium at which such nighttime events were
2not played prior to July 1, 1982, shall be subject to nighttime
3noise emission regulations promulgated by the Illinois
4Pollution Control Board; however, the following events shall
5not be subject to such regulations:
6    (1) baseball World Series games, league championship
7series games and other playoff games played after the
8conclusion of the regular season, and baseball All Star games;
9and
10    (2) sporting events or other events held in a stadium
11which replaces a stadium not subject to such regulations and
12constructed within 1500 yards of the original stadium by the
13Illinois Sports Facilities Authority.
14    For purposes of this Section and Section 24, "beyond the
15boundaries of his property" or "beyond the boundaries of the
16property of any person" includes personal property as well as
17real property.
18(Source: P.A. 89-445, eff. 2-7-96.)
 
19    (415 ILCS 5/39)  (from Ch. 111 1/2, par. 1039)
20    Sec. 39. Issuance of permits; procedures.
21    (a) When the Board has by regulation required a permit for
22the construction, installation, or operation of any type of
23facility, equipment, vehicle, vessel, or aircraft, the
24applicant shall apply to the Agency for such permit and it
25shall be the duty of the Agency to issue such a permit upon

 

 

SB0025 Enrolled- 925 -LRB104 07069 BAB 17106 b

1proof by the applicant that the facility, equipment, vehicle,
2vessel, or aircraft will not cause a violation of this Act or
3of regulations hereunder. The Agency shall adopt such
4procedures as are necessary to carry out its duties under this
5Section. In making its determinations on permit applications
6under this Section the Agency may consider prior adjudications
7of noncompliance with this Act by the applicant that involved
8a release of a contaminant into the environment. In granting
9permits, the Agency may impose reasonable conditions
10specifically related to the applicant's past compliance
11history with this Act as necessary to correct, detect, or
12prevent noncompliance. The Agency may impose such other
13conditions as may be necessary to accomplish the purposes of
14this Act, and as are not inconsistent with the regulations
15promulgated by the Board hereunder. Except as otherwise
16provided in this Act, a bond or other security shall not be
17required as a condition for the issuance of a permit. If the
18Agency denies any permit under this Section, the Agency shall
19transmit to the applicant within the time limitations of this
20Section specific, detailed statements as to the reasons the
21permit application was denied. Such statements shall include,
22but not be limited to, the following:
23        (i) the Sections of this Act which may be violated if
24    the permit were granted;
25        (ii) the provision of the regulations, promulgated
26    under this Act, which may be violated if the permit were

 

 

SB0025 Enrolled- 926 -LRB104 07069 BAB 17106 b

1    granted;
2        (iii) the specific type of information, if any, which
3    the Agency deems the applicant did not provide the Agency;
4    and
5        (iv) a statement of specific reasons why the Act and
6    the regulations might not be met if the permit were
7    granted.
8    If there is no final action by the Agency within 90 days
9after the filing of the application for permit, the applicant
10may deem the permit issued; except that this time period shall
11be extended to 180 days when (1) notice and opportunity for
12public hearing are required by State or federal law or
13regulation, (2) the application which was filed is for any
14permit to develop a landfill subject to issuance pursuant to
15this subsection, or (3) the application that was filed is for a
16MSWLF unit required to issue public notice under subsection
17(p) of Section 39. The 90-day and 180-day time periods for the
18Agency to take final action do not apply to NPDES permit
19applications under subsection (b) of this Section, to RCRA
20permit applications under subsection (d) of this Section, to
21UIC permit applications under subsection (e) of this Section,
22or to CCR surface impoundment applications under subsection
23(y) of this Section.
24    The Agency shall publish notice of all final permit
25determinations for development permits for MSWLF units and for
26significant permit modifications for lateral expansions for

 

 

SB0025 Enrolled- 927 -LRB104 07069 BAB 17106 b

1existing MSWLF units one time in a newspaper of general
2circulation in the county in which the unit is or is proposed
3to be located.
4    After January 1, 1994 and until July 1, 1998, operating
5permits issued under this Section by the Agency for sources of
6air pollution permitted to emit less than 25 tons per year of
7any combination of regulated air pollutants, as defined in
8Section 39.5 of this Act, shall be required to be renewed only
9upon written request by the Agency consistent with applicable
10provisions of this Act and regulations promulgated hereunder.
11Such operating permits shall expire 180 days after the date of
12such a request. The Board shall revise its regulations for the
13existing State air pollution operating permit program
14consistent with this provision by January 1, 1994.
15    After June 30, 1998, operating permits issued under this
16Section by the Agency for sources of air pollution that are not
17subject to Section 39.5 of this Act and are not required to
18have a federally enforceable State operating permit shall be
19required to be renewed only upon written request by the Agency
20consistent with applicable provisions of this Act and its
21rules. Such operating permits shall expire 180 days after the
22date of such a request. Before July 1, 1998, the Board shall
23revise its rules for the existing State air pollution
24operating permit program consistent with this paragraph and
25shall adopt rules that require a source to demonstrate that it
26qualifies for a permit under this paragraph.

 

 

SB0025 Enrolled- 928 -LRB104 07069 BAB 17106 b

1    Each air pollution construction permit for diesel powered
2backup generators to a source that is a data center, as defined
3in subsection (c) of Section 605-1025 of the Department of
4Commerce and Economic Opportunity Law of the Civil
5Administrative Code of Illinois, that is applied for 6 months
6after the effective date of this amendatory Act of the 104th
7General Assembly and that is required to have a federally
8enforceable State operating permit or a Clean Air Act Permit
9Program permit shall, in addition to any other applicable
10requirements, require each backup generator to: (i) meet
11standards at least as protective as Tier 4 standards for
12non-road diesel engines set out by the United States
13Environmental Protection Agency in 40 CFR 1039, as it exists
14on the effective date of this amendatory Act of the 104th
15General Assembly, and (ii) operate solely as an emergency or
16standby unit in accordance with 35 Ill. Adm. Code 211.1920, as
17it exists on the effective date of this amendatory Act of the
18104th General Assembly. If a diesel powered backup generator
19becomes out of compliance with the Tier 4 standards for
20non-road compression-ignition engines during a power outage,
21the backup generator may (1) continue to operate for up to 24
22sequential hours after becoming noncompliant with the Tier 4
23standards or (2) operate when compliance is achieved.
24Notwithstanding any provision of law to the contrary,
25operation of the backup generator for up to 24 sequential
26hours after becoming noncompliant with the Tier 4 standards

 

 

SB0025 Enrolled- 929 -LRB104 07069 BAB 17106 b

1shall not be considered a violation of the permit.    
2    Each air pollution construction permit for natural gas
3powered backup generators for a source that is a data center,
4as defined in subsection (c) of Section 605-1025 of the
5Department of Commerce and Economic Opportunity Law of the
6Civil Administrative Code of Illinois, that is applied for 6
7months after the effective date of this amendatory Act of the
8104th General Assembly and that is required to have a
9federally enforceable State operating permit or a Clean Air
10Act Permit Program permit shall, in addition to any other
11applicable requirements, require each backup generator to: (i)
12meet standards at least as protective as Tier 2 standards for
13non-road large spark-ignition engines set out by the United
14States Environmental Protection Agency in 40 CFR 1048, as it
15exists on the effective date of this amendatory Act of the
16104th General Assembly, and (ii) operate solely as an
17emergency or standby unit in accordance with 35 Ill. Adm. Code
18211.1920, as it exists on the effective date of this
19amendatory Act of the 104th General Assembly. If a natural gas
20powered backup generator becomes out of compliance with the
21Tier 2 standards for non-road large spark-ignition engines
22during a power outage, the backup generator may (1) continue
23to operate for up to 24 sequential hours after becoming
24noncompliant with the Tier 2 standards or (2) operate when
25compliance is achieved. Notwithstanding any provision of law
26to the contrary, operation of the backup generator for up to 24

 

 

SB0025 Enrolled- 930 -LRB104 07069 BAB 17106 b

1sequential hours after becoming noncompliant with the Tier 2
2standards shall not be considered a violation of the permit.    
3    (b) The Agency may issue NPDES permits exclusively under
4this subsection for the discharge of contaminants from point
5sources into navigable waters, all as defined in the Federal
6Water Pollution Control Act, as now or hereafter amended,
7within the jurisdiction of the State, or into any well.
8    All NPDES permits shall contain those terms and
9conditions, including, but not limited to, schedules of
10compliance, which may be required to accomplish the purposes
11and provisions of this Act.
12    The Agency may issue general NPDES permits for discharges
13from categories of point sources which are subject to the same
14permit limitations and conditions. Such general permits may be
15issued without individual applications and shall conform to
16regulations promulgated under Section 402 of the Federal Water
17Pollution Control Act, as now or hereafter amended.
18    The Agency may include, among such conditions, effluent
19limitations and other requirements established under this Act,
20Board regulations, the Federal Water Pollution Control Act, as
21now or hereafter amended, and regulations pursuant thereto,
22and schedules for achieving compliance therewith at the
23earliest reasonable date.
24    The Agency shall adopt filing requirements and procedures
25which are necessary and appropriate for the issuance of NPDES
26permits, and which are consistent with the Act or regulations

 

 

SB0025 Enrolled- 931 -LRB104 07069 BAB 17106 b

1adopted by the Board, and with the Federal Water Pollution
2Control Act, as now or hereafter amended, and regulations
3pursuant thereto.
4    The Agency, subject to any conditions which may be
5prescribed by Board regulations, may issue NPDES permits to
6allow discharges beyond deadlines established by this Act or
7by regulations of the Board without the requirement of a
8variance, subject to the Federal Water Pollution Control Act,
9as now or hereafter amended, and regulations pursuant thereto.
10    (c) Except for those facilities owned or operated by
11sanitary districts organized under the Metropolitan Water
12Reclamation District Act, no permit for the development or
13construction of a new pollution control facility may be
14granted by the Agency unless the applicant submits proof to
15the Agency that the location of the facility has been approved
16by the county board of the county if in an unincorporated area,
17or the governing body of the municipality when in an
18incorporated area, in which the facility is to be located in
19accordance with Section 39.2 of this Act. For purposes of this
20subsection (c), and for purposes of Section 39.2 of this Act,
21the appropriate county board or governing body of the
22municipality shall be the county board of the county or the
23governing body of the municipality in which the facility is to
24be located as of the date when the application for siting
25approval is filed.
26    In the event that siting approval granted pursuant to

 

 

SB0025 Enrolled- 932 -LRB104 07069 BAB 17106 b

1Section 39.2 has been transferred to a subsequent owner or
2operator, that subsequent owner or operator may apply to the
3Agency for, and the Agency may grant, a development or
4construction permit for the facility for which local siting
5approval was granted. Upon application to the Agency for a
6development or construction permit by that subsequent owner or
7operator, the permit applicant shall cause written notice of
8the permit application to be served upon the appropriate
9county board or governing body of the municipality that
10granted siting approval for that facility and upon any party
11to the siting proceeding pursuant to which siting approval was
12granted. In that event, the Agency shall conduct an evaluation
13of the subsequent owner or operator's prior experience in
14waste management operations in the manner conducted under
15subsection (i) of Section 39 of this Act.
16    Beginning August 20, 1993, if the pollution control
17facility consists of a hazardous or solid waste disposal
18facility for which the proposed site is located in an
19unincorporated area of a county with a population of less than
20100,000 and includes all or a portion of a parcel of land that
21was, on April 1, 1993, adjacent to a municipality having a
22population of less than 5,000, then the local siting review
23required under this subsection (c) in conjunction with any
24permit applied for after that date shall be performed by the
25governing body of that adjacent municipality rather than the
26county board of the county in which the proposed site is

 

 

SB0025 Enrolled- 933 -LRB104 07069 BAB 17106 b

1located; and for the purposes of that local siting review, any
2references in this Act to the county board shall be deemed to
3mean the governing body of that adjacent municipality;
4provided, however, that the provisions of this paragraph shall
5not apply to any proposed site which was, on April 1, 1993,
6owned in whole or in part by another municipality.
7    In the case of a pollution control facility for which a
8development permit was issued before November 12, 1981, if an
9operating permit has not been issued by the Agency prior to
10August 31, 1989 for any portion of the facility, then the
11Agency may not issue or renew any development permit nor issue
12an original operating permit for any portion of such facility
13unless the applicant has submitted proof to the Agency that
14the location of the facility has been approved by the
15appropriate county board or municipal governing body pursuant
16to Section 39.2 of this Act.
17    After January 1, 1994, if a solid waste disposal facility,
18any portion for which an operating permit has been issued by
19the Agency, has not accepted waste disposal for 5 or more
20consecutive calendar years, before that facility may accept
21any new or additional waste for disposal, the owner and
22operator must obtain a new operating permit under this Act for
23that facility unless the owner and operator have applied to
24the Agency for a permit authorizing the temporary suspension
25of waste acceptance. The Agency may not issue a new operation
26permit under this Act for the facility unless the applicant

 

 

SB0025 Enrolled- 934 -LRB104 07069 BAB 17106 b

1has submitted proof to the Agency that the location of the
2facility has been approved or re-approved by the appropriate
3county board or municipal governing body under Section 39.2 of
4this Act after the facility ceased accepting waste.
5    Except for those facilities owned or operated by sanitary
6districts organized under the Metropolitan Water Reclamation
7District Act, and except for new pollution control facilities
8governed by Section 39.2, and except for fossil fuel mining
9facilities, the granting of a permit under this Act shall not
10relieve the applicant from meeting and securing all necessary
11zoning approvals from the unit of government having zoning
12jurisdiction over the proposed facility.
13    Before beginning construction on any new sewage treatment
14plant or sludge drying site to be owned or operated by a
15sanitary district organized under the Metropolitan Water
16Reclamation District Act for which a new permit (rather than
17the renewal or amendment of an existing permit) is required,
18such sanitary district shall hold a public hearing within the
19municipality within which the proposed facility is to be
20located, or within the nearest community if the proposed
21facility is to be located within an unincorporated area, at
22which information concerning the proposed facility shall be
23made available to the public, and members of the public shall
24be given the opportunity to express their views concerning the
25proposed facility.
26    The Agency may issue a permit for a municipal waste

 

 

SB0025 Enrolled- 935 -LRB104 07069 BAB 17106 b

1transfer station without requiring approval pursuant to
2Section 39.2 provided that the following demonstration is
3made:
4        (1) the municipal waste transfer station was in
5    existence on or before January 1, 1979 and was in
6    continuous operation from January 1, 1979 to January 1,
7    1993;
8        (2) the operator submitted a permit application to the
9    Agency to develop and operate the municipal waste transfer
10    station during April of 1994;
11        (3) the operator can demonstrate that the county board
12    of the county, if the municipal waste transfer station is
13    in an unincorporated area, or the governing body of the
14    municipality, if the station is in an incorporated area,
15    does not object to resumption of the operation of the
16    station; and
17        (4) the site has local zoning approval.
18    (d) The Agency may issue RCRA permits exclusively under
19this subsection to persons owning or operating a facility for
20the treatment, storage, or disposal of hazardous waste as
21defined under this Act. Subsection (y) of this Section, rather
22than this subsection (d), shall apply to permits issued for
23CCR surface impoundments.
24    All RCRA permits shall contain those terms and conditions,
25including, but not limited to, schedules of compliance, which
26may be required to accomplish the purposes and provisions of

 

 

SB0025 Enrolled- 936 -LRB104 07069 BAB 17106 b

1this Act. The Agency may include among such conditions
2standards and other requirements established under this Act,
3Board regulations, the Resource Conservation and Recovery Act
4of 1976 (P.L. 94-580), as amended, and regulations pursuant
5thereto, and may include schedules for achieving compliance
6therewith as soon as possible. The Agency shall require that a
7performance bond or other security be provided as a condition
8for the issuance of a RCRA permit.
9    In the case of a permit to operate a hazardous waste or PCB
10incinerator as defined in subsection (k) of Section 44, the
11Agency shall require, as a condition of the permit, that the
12operator of the facility perform such analyses of the waste to
13be incinerated as may be necessary and appropriate to ensure
14the safe operation of the incinerator.
15    The Agency shall adopt filing requirements and procedures
16which are necessary and appropriate for the issuance of RCRA
17permits, and which are consistent with the Act or regulations
18adopted by the Board, and with the Resource Conservation and
19Recovery Act of 1976 (P.L. 94-580), as amended, and
20regulations pursuant thereto.
21    The applicant shall make available to the public for
22inspection all documents submitted by the applicant to the
23Agency in furtherance of an application, with the exception of
24trade secrets, at the office of the county board or governing
25body of the municipality. Such documents may be copied upon
26payment of the actual cost of reproduction during regular

 

 

SB0025 Enrolled- 937 -LRB104 07069 BAB 17106 b

1business hours of the local office. The Agency shall issue a
2written statement concurrent with its grant or denial of the
3permit explaining the basis for its decision.
4    (e) The Agency may issue UIC permits exclusively under
5this subsection to persons owning or operating a facility for
6the underground injection of contaminants as defined under
7this Act.
8    All UIC permits shall contain those terms and conditions,
9including, but not limited to, schedules of compliance, which
10may be required to accomplish the purposes and provisions of
11this Act. The Agency may include among such conditions
12standards and other requirements established under this Act,
13Board regulations, the Safe Drinking Water Act (P.L. 93-523),
14as amended, and regulations pursuant thereto, and may include
15schedules for achieving compliance therewith. The Agency shall
16require that a performance bond or other security be provided
17as a condition for the issuance of a UIC permit.
18    The Agency shall adopt filing requirements and procedures
19which are necessary and appropriate for the issuance of UIC
20permits, and which are consistent with the Act or regulations
21adopted by the Board, and with the Safe Drinking Water Act
22(P.L. 93-523), as amended, and regulations pursuant thereto.
23    The applicant shall make available to the public for
24inspection all documents submitted by the applicant to the
25Agency in furtherance of an application, with the exception of
26trade secrets, at the office of the county board or governing

 

 

SB0025 Enrolled- 938 -LRB104 07069 BAB 17106 b

1body of the municipality. Such documents may be copied upon
2payment of the actual cost of reproduction during regular
3business hours of the local office. The Agency shall issue a
4written statement concurrent with its grant or denial of the
5permit explaining the basis for its decision.
6    (f) In making any determination pursuant to Section 9.1 of
7this Act:
8        (1) The Agency shall have authority to make the
9    determination of any question required to be determined by
10    the Clean Air Act, as now or hereafter amended, this Act,
11    or the regulations of the Board, including the
12    determination of the Lowest Achievable Emission Rate,
13    Maximum Achievable Control Technology, or Best Available
14    Control Technology, consistent with the Board's
15    regulations, if any.
16        (2) The Agency shall adopt requirements as necessary
17    to implement public participation procedures, including,
18    but not limited to, public notice, comment, and an
19    opportunity for hearing, which must accompany the
20    processing of applications for PSD permits. The Agency
21    shall briefly describe and respond to all significant
22    comments on the draft permit raised during the public
23    comment period or during any hearing. The Agency may group
24    related comments together and provide one unified response
25    for each issue raised.
26        (3) Any complete permit application submitted to the

 

 

SB0025 Enrolled- 939 -LRB104 07069 BAB 17106 b

1    Agency under this subsection for a PSD permit shall be
2    granted or denied by the Agency not later than one year
3    after the filing of such completed application.
4        (4) The Agency shall, after conferring with the
5    applicant, give written notice to the applicant of its
6    proposed decision on the application, including the terms
7    and conditions of the permit to be issued and the facts,
8    conduct, or other basis upon which the Agency will rely to
9    support its proposed action.
10    (g) The Agency shall include as conditions upon all
11permits issued for hazardous waste disposal sites such
12restrictions upon the future use of such sites as are
13reasonably necessary to protect public health and the
14environment, including permanent prohibition of the use of
15such sites for purposes which may create an unreasonable risk
16of injury to human health or to the environment. After
17administrative and judicial challenges to such restrictions
18have been exhausted, the Agency shall file such restrictions
19of record in the Office of the Recorder of the county in which
20the hazardous waste disposal site is located.
21    (h) A hazardous waste stream may not be deposited in a
22permitted hazardous waste site unless specific authorization
23is obtained from the Agency by the generator and disposal site
24owner and operator for the deposit of that specific hazardous
25waste stream. The Agency may grant specific authorization for
26disposal of hazardous waste streams only after the generator

 

 

SB0025 Enrolled- 940 -LRB104 07069 BAB 17106 b

1has reasonably demonstrated that, considering technological
2feasibility and economic reasonableness, the hazardous waste
3cannot be reasonably recycled for reuse, nor incinerated or
4chemically, physically, or biologically treated so as to
5neutralize the hazardous waste and render it nonhazardous. In
6granting authorization under this Section, the Agency may
7impose such conditions as may be necessary to accomplish the
8purposes of the Act and are consistent with this Act and
9regulations promulgated by the Board hereunder. If the Agency
10refuses to grant authorization under this Section, the
11applicant may appeal as if the Agency refused to grant a
12permit, pursuant to the provisions of subsection (a) of
13Section 40 of this Act. For purposes of this subsection (h),
14the term "generator" has the meaning given in Section 3.205 of
15this Act, unless: (1) the hazardous waste is treated,
16incinerated, or partially recycled for reuse prior to
17disposal, in which case the last person who treats,
18incinerates, or partially recycles the hazardous waste prior
19to disposal is the generator; or (2) the hazardous waste is
20from a response action, in which case the person performing
21the response action is the generator. This subsection (h) does
22not apply to any hazardous waste that is restricted from land
23disposal under 35 Ill. Adm. Code 728.
24    (i) Before issuing any RCRA permit, any permit for a waste
25storage site, sanitary landfill, waste disposal site, waste
26transfer station, waste treatment facility, waste incinerator,

 

 

SB0025 Enrolled- 941 -LRB104 07069 BAB 17106 b

1or any waste-transportation operation, any permit or interim
2authorization for a clean construction or demolition debris
3fill operation, or any permit required under subsection (d-5)
4of Section 55, the Agency shall conduct an evaluation of the
5prospective owner's or operator's prior experience in waste
6management operations, clean construction or demolition debris
7fill operations, and tire storage site management. The Agency
8may deny such a permit, or deny or revoke interim
9authorization, if the prospective owner or operator or any
10employee or officer of the prospective owner or operator has a
11history of:
12        (1) repeated violations of federal, State, or local
13    laws, regulations, standards, or ordinances in the
14    operation of waste management facilities or sites, clean
15    construction or demolition debris fill operation
16    facilities or sites, or tire storage sites; or
17        (2) conviction in this or another State of any crime
18    which is a felony under the laws of this State, or
19    conviction of a felony in a federal court; or conviction
20    in this or another state or federal court of any of the
21    following crimes: forgery, official misconduct, bribery,
22    perjury, or knowingly submitting false information under
23    any environmental law, regulation, or permit term or
24    condition; or
25        (3) proof of gross carelessness or incompetence in
26    handling, storing, processing, transporting, or disposing

 

 

SB0025 Enrolled- 942 -LRB104 07069 BAB 17106 b

1    of waste, clean construction or demolition debris, or used
2    or waste tires, or proof of gross carelessness or
3    incompetence in using clean construction or demolition
4    debris as fill.
5    (i-5) Before issuing any permit or approving any interim
6authorization for a clean construction or demolition debris
7fill operation in which any ownership interest is transferred
8between January 1, 2005, and the effective date of the
9prohibition set forth in Section 22.52 of this Act, the Agency
10shall conduct an evaluation of the operation if any previous
11activities at the site or facility may have caused or allowed
12contamination of the site. It shall be the responsibility of
13the owner or operator seeking the permit or interim
14authorization to provide to the Agency all of the information
15necessary for the Agency to conduct its evaluation. The Agency
16may deny a permit or interim authorization if previous
17activities at the site may have caused or allowed
18contamination at the site, unless such contamination is
19authorized under any permit issued by the Agency.
20    (j) The issuance under this Act of a permit to engage in
21the surface mining of any resources other than fossil fuels
22shall not relieve the permittee from its duty to comply with
23any applicable local law regulating the commencement,
24location, or operation of surface mining facilities.
25    (k) A development permit issued under subsection (a) of
26Section 39 for any facility or site which is required to have a

 

 

SB0025 Enrolled- 943 -LRB104 07069 BAB 17106 b

1permit under subsection (d) of Section 21 shall expire at the
2end of 2 calendar years from the date upon which it was issued,
3unless within that period the applicant has taken action to
4develop the facility or the site. In the event that review of
5the conditions of the development permit is sought pursuant to
6Section 40 or 41, or permittee is prevented from commencing
7development of the facility or site by any other litigation
8beyond the permittee's control, such two-year period shall be
9deemed to begin on the date upon which such review process or
10litigation is concluded.
11    (l) No permit shall be issued by the Agency under this Act
12for construction or operation of any facility or site located
13within the boundaries of any setback zone established pursuant
14to this Act, where such construction or operation is
15prohibited.
16    (m) The Agency may issue permits to persons owning or
17operating a facility for composting landscape waste. In
18granting such permits, the Agency may impose such conditions
19as may be necessary to accomplish the purposes of this Act, and
20as are not inconsistent with applicable regulations
21promulgated by the Board. Except as otherwise provided in this
22Act, a bond or other security shall not be required as a
23condition for the issuance of a permit. If the Agency denies
24any permit pursuant to this subsection, the Agency shall
25transmit to the applicant within the time limitations of this
26subsection specific, detailed statements as to the reasons the

 

 

SB0025 Enrolled- 944 -LRB104 07069 BAB 17106 b

1permit application was denied. Such statements shall include
2but not be limited to the following:
3        (1) the Sections of this Act that may be violated if
4    the permit were granted;
5        (2) the specific regulations promulgated pursuant to
6    this Act that may be violated if the permit were granted;
7        (3) the specific information, if any, the Agency deems
8    the applicant did not provide in its application to the
9    Agency; and
10        (4) a statement of specific reasons why the Act and
11    the regulations might be violated if the permit were
12    granted.
13    If no final action is taken by the Agency within 90 days
14after the filing of the application for permit, the applicant
15may deem the permit issued. Any applicant for a permit may
16waive the 90-day limitation by filing a written statement with
17the Agency.
18    The Agency shall issue permits for such facilities upon
19receipt of an application that includes a legal description of
20the site, a topographic map of the site drawn to the scale of
21200 feet to the inch or larger, a description of the operation,
22including the area served, an estimate of the volume of
23materials to be processed, and documentation that:
24        (1) the facility includes a setback of at least 200
25    feet from the nearest potable water supply well;
26        (2) the facility is located outside the boundary of

 

 

SB0025 Enrolled- 945 -LRB104 07069 BAB 17106 b

1    the 10-year floodplain or the site will be floodproofed;
2        (3) the facility is located so as to minimize
3    incompatibility with the character of the surrounding
4    area, including at least a 200 foot setback from any
5    residence, and in the case of a facility that is developed
6    or the permitted composting area of which is expanded
7    after November 17, 1991, the composting area is located at
8    least 1/8 mile from the nearest residence (other than a
9    residence located on the same property as the facility);
10        (4) the design of the facility will prevent any
11    compost material from being placed within 5 feet of the
12    water table, will adequately control runoff from the site,
13    and will collect and manage any leachate that is generated
14    on the site;
15        (5) the operation of the facility will include
16    appropriate dust and odor control measures, limitations on
17    operating hours, appropriate noise control measures for
18    shredding, chipping and similar equipment, management
19    procedures for composting, containment and disposal of
20    non-compostable wastes, procedures to be used for
21    terminating operations at the site, and recordkeeping
22    sufficient to document the amount of materials received,
23    composted, and otherwise disposed of; and
24        (6) the operation will be conducted in accordance with
25    any applicable rules adopted by the Board.
26    The Agency shall issue renewable permits of not longer

 

 

SB0025 Enrolled- 946 -LRB104 07069 BAB 17106 b

1than 10 years in duration for the composting of landscape
2wastes, as defined in Section 3.155 of this Act, based on the
3above requirements.
4    The operator of any facility permitted under this
5subsection (m) must submit a written annual statement to the
6Agency on or before April 1 of each year that includes an
7estimate of the amount of material, in tons, received for
8composting.
9    (n) The Agency shall issue permits jointly with the
10Department of Transportation for the dredging or deposit of
11material in Lake Michigan in accordance with Section 18 of the
12Rivers, Lakes, and Streams Act.
13    (o) (Blank).
14    (p) (1) Any person submitting an application for a permit
15for a new MSWLF unit or for a lateral expansion under
16subsection (t) of Section 21 of this Act for an existing MSWLF
17unit that has not received and is not subject to local siting
18approval under Section 39.2 of this Act shall publish notice
19of the application in a newspaper of general circulation in
20the county in which the MSWLF unit is or is proposed to be
21located. The notice must be published at least 15 days before
22submission of the permit application to the Agency. The notice
23shall state the name and address of the applicant, the
24location of the MSWLF unit or proposed MSWLF unit, the nature
25and size of the MSWLF unit or proposed MSWLF unit, the nature
26of the activity proposed, the probable life of the proposed

 

 

SB0025 Enrolled- 947 -LRB104 07069 BAB 17106 b

1activity, the date the permit application will be submitted,
2and a statement that persons may file written comments with
3the Agency concerning the permit application within 30 days
4after the filing of the permit application unless the time
5period to submit comments is extended by the Agency.
6    When a permit applicant submits information to the Agency
7to supplement a permit application being reviewed by the
8Agency, the applicant shall not be required to reissue the
9notice under this subsection.
10    (2) The Agency shall accept written comments concerning
11the permit application that are postmarked no later than 30
12days after the filing of the permit application, unless the
13time period to accept comments is extended by the Agency.
14    (3) Each applicant for a permit described in part (1) of
15this subsection shall file a copy of the permit application
16with the county board or governing body of the municipality in
17which the MSWLF unit is or is proposed to be located at the
18same time the application is submitted to the Agency. The
19permit application filed with the county board or governing
20body of the municipality shall include all documents submitted
21to or to be submitted to the Agency, except trade secrets as
22determined under Section 7.1 of this Act. The permit
23application and other documents on file with the county board
24or governing body of the municipality shall be made available
25for public inspection during regular business hours at the
26office of the county board or the governing body of the

 

 

SB0025 Enrolled- 948 -LRB104 07069 BAB 17106 b

1municipality and may be copied upon payment of the actual cost
2of reproduction.
3    (q) Within 6 months after July 12, 2011 (the effective
4date of Public Act 97-95), the Agency, in consultation with
5the regulated community, shall develop a web portal to be
6posted on its website for the purpose of enhancing review and
7promoting timely issuance of permits required by this Act. At
8a minimum, the Agency shall make the following information
9available on the web portal:
10        (1) Checklists and guidance relating to the completion
11    of permit applications, developed pursuant to subsection
12    (s) of this Section, which may include, but are not
13    limited to, existing instructions for completing the
14    applications and examples of complete applications. As the
15    Agency develops new checklists and develops guidance, it
16    shall supplement the web portal with those materials.
17        (2) Within 2 years after July 12, 2011 (the effective
18    date of Public Act 97-95), permit application forms or
19    portions of permit applications that can be completed and
20    saved electronically, and submitted to the Agency
21    electronically with digital signatures.
22        (3) Within 2 years after July 12, 2011 (the effective
23    date of Public Act 97-95), an online tracking system where
24    an applicant may review the status of its pending
25    application, including the name and contact information of
26    the permit analyst assigned to the application. Until the

 

 

SB0025 Enrolled- 949 -LRB104 07069 BAB 17106 b

1    online tracking system has been developed, the Agency
2    shall post on its website semi-annual permitting
3    efficiency tracking reports that include statistics on the
4    timeframes for Agency action on the following types of
5    permits received after July 12, 2011 (the effective date
6    of Public Act 97-95): air construction permits, new NPDES
7    permits and associated water construction permits, and
8    modifications of major NPDES permits and associated water
9    construction permits. The reports must be posted by
10    February 1 and August 1 each year and shall include:
11            (A) the number of applications received for each
12        type of permit, the number of applications on which
13        the Agency has taken action, and the number of
14        applications still pending; and
15            (B) for those applications where the Agency has
16        not taken action in accordance with the timeframes set
17        forth in this Act, the date the application was
18        received and the reasons for any delays, which may
19        include, but shall not be limited to, (i) the
20        application being inadequate or incomplete, (ii)
21        scientific or technical disagreements with the
22        applicant, USEPA, or other local, state, or federal
23        agencies involved in the permitting approval process,
24        (iii) public opposition to the permit, or (iv) Agency
25        staffing shortages. To the extent practicable, the
26        tracking report shall provide approximate dates when

 

 

SB0025 Enrolled- 950 -LRB104 07069 BAB 17106 b

1        cause for delay was identified by the Agency, when the
2        Agency informed the applicant of the problem leading
3        to the delay, and when the applicant remedied the
4        reason for the delay.
5    (r) Upon the request of the applicant, the Agency shall
6notify the applicant of the permit analyst assigned to the
7application upon its receipt.
8    (s) The Agency is authorized to prepare and distribute
9guidance documents relating to its administration of this
10Section and procedural rules implementing this Section.
11Guidance documents prepared under this subsection shall not be
12considered rules and shall not be subject to the Illinois
13Administrative Procedure Act. Such guidance shall not be
14binding on any party.
15    (t) Except as otherwise prohibited by federal law or
16regulation, any person submitting an application for a permit
17may include with the application suggested permit language for
18Agency consideration. The Agency is not obligated to use the
19suggested language or any portion thereof in its permitting
20decision. If requested by the permit applicant, the Agency
21shall meet with the applicant to discuss the suggested
22language.
23    (u) If requested by the permit applicant, the Agency shall
24provide the permit applicant with a copy of the draft permit
25prior to any public review period.
26    (v) If requested by the permit applicant, the Agency shall

 

 

SB0025 Enrolled- 951 -LRB104 07069 BAB 17106 b

1provide the permit applicant with a copy of the final permit
2prior to its issuance.
3    (w) An air pollution permit shall not be required due to
4emissions of greenhouse gases, as specified by Section 9.15 of
5this Act.
6    (x) If, before the expiration of a State operating permit
7that is issued pursuant to subsection (a) of this Section and
8contains federally enforceable conditions limiting the
9potential to emit of the source to a level below the major
10source threshold for that source so as to exclude the source
11from the Clean Air Act Permit Program, the Agency receives a
12complete application for the renewal of that permit, then all
13of the terms and conditions of the permit shall remain in
14effect until final administrative action has been taken on the
15application for the renewal of the permit.
16    (y) The Agency may issue permits exclusively under this
17subsection to persons owning or operating a CCR surface
18impoundment subject to Section 22.59.
19    (z) If a mass animal mortality event is declared by the
20Department of Agriculture in accordance with the Animal
21Mortality Act:
22        (1) the owner or operator responsible for the disposal
23    of dead animals is exempted from the following:
24            (i) obtaining a permit for the construction,
25        installation, or operation of any type of facility or
26        equipment issued in accordance with subsection (a) of

 

 

SB0025 Enrolled- 952 -LRB104 07069 BAB 17106 b

1        this Section;
2            (ii) obtaining a permit for open burning in
3        accordance with the rules adopted by the Board; and
4            (iii) registering the disposal of dead animals as
5        an eligible small source with the Agency in accordance
6        with Section 9.14 of this Act;
7        (2) as applicable, the owner or operator responsible
8    for the disposal of dead animals is required to obtain the
9    following permits:
10            (i) an NPDES permit in accordance with subsection
11        (b) of this Section;
12            (ii) a PSD permit or an NA NSR permit in accordance
13        with Section 9.1 of this Act;
14            (iii) a lifetime State operating permit or a
15        federally enforceable State operating permit, in
16        accordance with subsection (a) of this Section; or
17            (iv) a CAAPP permit, in accordance with Section
18        39.5 of this Act.
19    All CCR surface impoundment permits shall contain those
20terms and conditions, including, but not limited to, schedules
21of compliance, which may be required to accomplish the
22purposes and provisions of this Act, Board regulations, the
23Illinois Groundwater Protection Act and regulations pursuant
24thereto, and the Resource Conservation and Recovery Act and
25regulations pursuant thereto, and may include schedules for
26achieving compliance therewith as soon as possible.

 

 

SB0025 Enrolled- 953 -LRB104 07069 BAB 17106 b

1    The Board shall adopt filing requirements and procedures
2that are necessary and appropriate for the issuance of CCR
3surface impoundment permits and that are consistent with this
4Act or regulations adopted by the Board, and with the RCRA, as
5amended, and regulations pursuant thereto.
6    The applicant shall make available to the public for
7inspection all documents submitted by the applicant to the
8Agency in furtherance of an application, with the exception of
9trade secrets, on its public internet website as well as at the
10office of the county board or governing body of the
11municipality where CCR from the CCR surface impoundment will
12be permanently disposed. Such documents may be copied upon
13payment of the actual cost of reproduction during regular
14business hours of the local office.
15    The Agency shall issue a written statement concurrent with
16its grant or denial of the permit explaining the basis for its
17decision.
18(Source: P.A. 101-171, eff. 7-30-19; 102-216, eff. 1-1-22;
19102-558, eff. 8-20-21; 102-813, eff. 5-13-22.)
 
20    Section 90-50. The Electric Vehicle Rebate Act is amended
21by changing Sections 35, 40, and 45 and by adding Section 36 as
22follows:
 
23    (415 ILCS 120/35)
24    Sec. 35. User fees.

 

 

SB0025 Enrolled- 954 -LRB104 07069 BAB 17106 b

1    (a) The Office of the Secretary of State shall collect
2annual user fees from any individual, partnership,
3association, corporation, or agency of the United States
4government that registers any combination of 10 or more of the
5following types of motor vehicles in the Covered Area: (1)
6vehicles of the First Division, as defined in the Illinois
7Vehicle Code; (2) vehicles of the Second Division registered
8under the B, C, D, F, H, MD, MF, MG, MH and MJ plate
9categories, as defined in the Illinois Vehicle Code; and (3)
10commuter vans and livery vehicles as defined in the Illinois
11Vehicle Code. This Section does not apply to vehicles
12registered under the International Registration Plan under
13Section 3-402.1 of the Illinois Vehicle Code. The user fee
14shall be $20 for each vehicle registered in the Covered Area
15for each fiscal year. The Office of the Secretary of State
16shall collect the $20 when a vehicle's registration fee is
17paid.
18    (b) Owners of State, county, and local government
19vehicles, rental vehicles, antique vehicles, expanded-use
20antique vehicles, electric vehicles, and motorcycles are
21exempt from paying the user fees on such vehicles.
22    (c) The Office of the Secretary of State shall deposit the
23user fees collected into the Electric Vehicle and Charging    
24Rebate Fund.
25(Source: P.A. 101-505, eff. 1-1-20; 102-662, eff. 9-15-21.)
 

 

 

SB0025 Enrolled- 955 -LRB104 07069 BAB 17106 b

1    (415 ILCS 120/36 new)
2    Sec. 36. Electric vehicle and charging financial
3assistance.    
4    (a) Beginning January 1, 2029, the Agency shall administer
5grants and other forms of financial assistance to support the
6electrification of the transportation sector, including
7electric passenger vehicles, electric school buses and
8electric transit buses, electric medium-duty and heavy-duty
9trucks, and electric vehicle charging infrastructure. The
10Agency shall also implement customer education and outreach
11programs that increase awareness of the programs for and the
12benefits of transportation electrification. The programs under
13this Section shall be developed and implemented pursuant to
14the goals outlined in Section 45 of the Electric Vehicle Act.
15    (b) No later than March 1, 2028, and every 3 years
16thereafter, the Agency shall publish a draft Transportation
17Electrification Plan that specifies the proposed programs and
18allocation of funds for the following 3 calendar years. The
19Agency shall solicit public comments on the design of the Plan
20and the funding allocations and shall incorporate any public
21comments into the final Plan. The Plan shall take into
22consideration lessons learned from the implementation of
23utility Beneficial Electrification Plans under the Electric
24Vehicle Act. Within 180 days after the publication of the
25draft Plan, the Agency shall publish a final Plan.
26    (c) The Agency shall have broad authority to provide

 

 

SB0025 Enrolled- 956 -LRB104 07069 BAB 17106 b

1grants and other forms of financial assistance to public and
2private entities under this Section pursuant to the Grant
3Accountability and Transparency Act. Awardees under this
4Section shall comply with the requirements of the Prevailing
5Wage Act for charging station installations. The Agency may
6provide additional incentives for projects located in eligible
7communities.
8    (d) Funds shall be made available from the Electric
9Vehicle and Charging Fund to the Agency pursuant to subsection
10(c). The annual budget for Agency-administered transportation
11electrification programs shall be equivalent to the annual
12budget of programs administered by utilities under the
13Electric Vehicle Act for the years 2026 through 2028.
 
14    (415 ILCS 120/40)
15    Sec. 40. Appropriations from the Electric Vehicle and
16Charging Rebate Fund.     
17    (a) The Agency shall estimate the amount of user fees
18expected to be collected under Section 35 of this Act for each
19fiscal year. User fee funds shall be deposited into and
20distributed from the Electric Vehicle and Charging Rebate Fund
21in the following manner:    
22        (1) Through fiscal year 2023, an annual amount not to
23    exceed $225,000 may be appropriated to the Agency from the
24    Electric Vehicle and Charging Rebate Fund to pay its costs
25    of administering the programs authorized by Section 27 of

 

 

SB0025 Enrolled- 957 -LRB104 07069 BAB 17106 b

1    this Act. Beginning in fiscal year 2024 and in each fiscal
2    year thereafter, an annual amount not to exceed $600,000
3    may be appropriated to the Agency from the Electric
4    Vehicle and Charging Rebate Fund to pay its costs of
5    administering the programs authorized by Section 27 of
6    this Act. An amount not to exceed $225,000 may be
7    appropriated to the Secretary of State from the Electric
8    Vehicle and Charging Rebate Fund to pay the Secretary of
9    State's costs of administering the programs authorized
10    under this Act.    
11        (2) In fiscal year 2022 and each fiscal year
12    thereafter, after appropriation of the amounts authorized
13    by item (1) of subsection (a) of this Section, the
14    remaining moneys estimated to be collected during each
15    fiscal year shall be appropriated.    
16        (3) (Blank).    
17        (4) Moneys appropriated to fund the programs
18    authorized in Sections 25 and 30 shall be expended only
19    after they have been collected and deposited into the
20    Electric Vehicle and Charging Rebate Fund.
21    (b) Amounts appropriated to and deposited into the
22Electric Vehicle and Charging Rebate Fund from the General
23Revenue Fund, or any other fund, shall be distributed from the
24Electric Vehicle and Charging Rebate Fund to fund the program
25authorized in Section 27.
26(Source: P.A. 103-8, eff. 6-7-23; 103-363, eff. 7-28-23;

 

 

SB0025 Enrolled- 958 -LRB104 07069 BAB 17106 b

1103-605, eff. 7-1-24; 104-6, eff. 7-1-25.)
 
2    (415 ILCS 120/45)
3    Sec. 45. Electric Vehicle and Charging Rebate Fund;
4creation; deposit of user fees. A separate fund in the State
5treasury Treasury called the Electric Vehicle and Charging    
6Rebate Fund is created, into which shall be transferred the
7user fees as provided in Section 35, funds as provided in
8Section 605-1075 of the Department of Commerce and Economic
9Opportunity Law of the Civil Administrative Code of Illinois,    
10and any other revenues, deposits, State appropriations,
11contributions, grants, gifts, bequests, legacies of money and
12securities, or transfers as provided by law from, without
13limitation, governmental entities, private sources,
14foundations, trade associations, industry organizations, and
15not-for-profit organizations.
16(Source: P.A. 102-662, eff. 9-15-21.)
 
17    Section 90-55. The Illinois Nuclear Safety Preparedness
18Act is amended by changing Sections 3, 4, 5, 8, and 9 and by
19adding Section 6.5 as follows:
 
20    (420 ILCS 5/3)  (from Ch. 111 1/2, par. 4303)
21    Sec. 3. Definitions. Unless the context otherwise clearly
22requires, as used in this Act:
23    (1) "Agency" or "IEMA-OHS" means the Illinois Emergency

 

 

SB0025 Enrolled- 959 -LRB104 07069 BAB 17106 b

1Management Agency and Office of Homeland Security, or its
2successor agency.
3    (2) "Director" means the Director of the Agency.
4    (2.5) "Emergency planning zone" means a generic area
5around a commercial nuclear facility used to assist in
6off-site emergency planning and the development of a
7significant response base.    
8    (3) "Person" means any individual, corporation,
9partnership, firm, association, trust, estate, public or
10private institution, group, agency, political subdivision of
11this State, any other state or political subdivision or agency
12thereof, and any legal successor, representative, agent, or
13agency of the foregoing.
14    (4) "NRC" means the United States Nuclear Regulatory
15Commission or any agency which succeeds to its functions in
16the licensing of nuclear power reactors or facilities for
17storing spent nuclear fuel.
18    (5) "High-level radioactive waste" means (1) the highly
19radioactive material resulting from the reprocessing of spent
20nuclear fuel including liquid waste produced directly in
21reprocessing and any solid material derived from such liquid
22waste that contains fission products in sufficient
23concentrations; and (2) the highly radioactive material that
24the NRC has determined to be high-level radioactive waste
25requiring permanent isolation.
26    (6) "Nuclear facilities" means nuclear power plants,

 

 

SB0025 Enrolled- 960 -LRB104 07069 BAB 17106 b

1facilities housing nuclear test and research reactors,
2facilities for the chemical conversion of uranium, and
3facilities for the storage of spent nuclear fuel or high-level
4radioactive waste.
5    (7) "Spent nuclear fuel" means fuel that has been
6withdrawn from a nuclear reactor following irradiation, the
7constituent elements of which have not been separated by
8reprocessing.
9    (8) "Transuranic waste" means material contaminated with
10elements that have an atomic number greater than 92, including
11neptunium, plutonium, americium, and curium, excluding
12radioactive wastes shipped to a licensed low-level radioactive
13waste disposal facility.
14    (9) "Highway route controlled quantity of radioactive
15materials" means that quantity of radioactive materials
16defined as a highway route controlled quantity under rules of
17the United States Department of Transportation, or any
18successor agency.
19    (10) "Nuclear power plant" or "nuclear steam-generating
20facility" means a thermal power plant in which the energy
21(heat) released by the fissioning of nuclear fuel is used to
22boil water to produce steam.
23    (11) "Nuclear power reactor" means an apparatus, other
24than an atomic weapon, designed or used to sustain nuclear
25fission in a self-supporting chain reaction.
26    (12) (Blank). "Small modular reactor" or "SMR" means an

 

 

SB0025 Enrolled- 961 -LRB104 07069 BAB 17106 b

1advanced nuclear reactor: (1) with a rated nameplate capacity
2of 300 electrical megawatts or less; and (2) that may be
3constructed and operated in combination with similar reactors
4at a single site.
5    (13) "Site boundary" means the line beyond which the land
6or property is not owned, leased, or otherwise controlled by
7the licensee.    
8(Source: P.A. 103-569, eff. 6-1-24.)
 
9    (420 ILCS 5/4)  (from Ch. 111 1/2, par. 4304)
10    Sec. 4. Nuclear accident plans; fees.     
11    (a) Persons engaged within this State in the production of
12electricity utilizing nuclear energy, the operation of nuclear
13test and research reactors, the chemical conversion of
14uranium, or the transportation, storage or possession of spent
15nuclear fuel or high-level radioactive waste shall pay fees to
16cover the cost of establishing plans and programs to deal with
17the possibility of nuclear accidents. Except as provided
18below, the fees shall be used to fund those Agency and local
19government activities defined as necessary by the Director to
20implement and maintain the plans and programs authorized by
21this Act.
22    (b) Local governments incurring expenses attributable to
23implementation and maintenance of the plans and programs
24authorized by this Act may apply to the Agency for
25compensation for those expenses, and upon approval by the

 

 

SB0025 Enrolled- 962 -LRB104 07069 BAB 17106 b

1Director of applications submitted by local governments, the
2Agency shall compensate local governments from fees collected
3under this Section. The Agency shall, by rule, determine the
4method for compensating local governments under this Section.    
5Compensation for local governments shall include $250,000 in
6any year through fiscal year 1993, $275,000 in fiscal year
71994 and fiscal year 1995, $300,000 in fiscal year 1996,
8$400,000 in fiscal year 1997, and $450,000 in fiscal year 1998
9and thereafter.    
10    (c) Appropriations to the Agency Department of Nuclear
11Safety (of which the Agency is the successor) for compensation
12to local governments from the Nuclear Safety Emergency
13Preparedness Fund provided for in this Section shall not
14exceed $1,500,000 $650,000 per State fiscal year. Expenditures
15from these appropriations shall not exceed, in a single State
16fiscal year, the annual compensation amount made available to
17local governments under this Section, unexpended funds made
18available for local government compensation in the previous
19fiscal year, and funds recovered under the Illinois Grant
20Funds Recovery Act during previous fiscal years.
21Notwithstanding any other provision of this Act, the
22expenditure limitation for fiscal year 1998 shall include the
23additional $100,000 made available to local governments for
24fiscal year 1997 under this amendatory Act of 1997. The Agency
25shall, by rule, determine the method for compensating local
26governments under this Section. The appropriation shall not

 

 

SB0025 Enrolled- 963 -LRB104 07069 BAB 17106 b

1exceed $500,000 in any year preceding fiscal year 1996; the
2appropriation shall not exceed $625,000 in fiscal year 1996,
3$725,000 in fiscal year 1997, and $775,000 in fiscal year 1998
4and thereafter. The fees shall consist of the following:
5    (d) Persons operating commercial nuclear power reactors
6shall pay fees as follows:    
7        (1) A one-time fee for each nuclear power reactor
8    commencing operation in this State after January 1, 2026    
9    charge of $590,000 per nuclear power station in this State    
10    to be paid pursuant to Section 5 of this Act and according
11    to the following: by the owners of the stations.
12            (A) $1,500,000 for a reactor located at a new site
13        requiring an emergency planning zone;
14            (B) $500,000 for a reactor located on the site of a
15        reactor that commenced operation prior to January 1,
16        2026;
17            (C) $600,000 for a reactor located at a new site
18        not requiring an emergency planning zone.
19        (1.5) For nuclear power reactors in operation on
20    January 1, 2026, a one-time fee of $500,000 per nuclear
21    power reactor in this State to be paid pursuant to Section
22    5 of this Act.    
23        (2) For nuclear power reactors that have a plume
24    exposure pathway emergency planning zone that extends
25    beyond the site boundary, an annual fee per nuclear power
26    reactor shall be as follows: An additional charge of

 

 

SB0025 Enrolled- 964 -LRB104 07069 BAB 17106 b

1    $240,000 per nuclear power station for which a fee under
2    subparagraph (1) was paid before June 30, 1982.
3            (A) For the first fiscal year following the
4        effective date of this amendatory Act of the 104th
5        General Assembly, the base fee shall be $3,900,000 per
6        operating reactor.
7            (B) For each of the 9 fiscal years after the
8        effective date of this amendatory Act of the 104th
9        General Assembly, the base fee shall be increased
10        annually by 1.5% of the prior fiscal year's fee.
11            (C) The annual adjustment described in
12        subparagraph (B) of this paragraph (2) shall terminate
13        after the tenth fiscal year. Beginning with the 11th
14        fiscal year, and for each fiscal year thereafter, the
15        base fee shall remain at the amount established in the
16        tenth fiscal year and shall not be subject to further
17        automatic increases under this Section, unless and
18        until this subparagraph (C) is amended by the General
19        Assembly.
20            (D) Payment shall be made pursuant to Section 5 of
21        this Act.
22        (3) For nuclear power reactors not required to have an
23    emergency planning zone, the annual fee per nuclear
24    reactor shall be $750,000 until the NRC terminates the
25    license. Through June 30, 1982, an annual fee of $75,000
26    per year for each nuclear power reactor for which an

 

 

SB0025 Enrolled- 965 -LRB104 07069 BAB 17106 b

1    operating license has been issued by the NRC, and after
2    June 30, 1982, and through June 30, 1984 an annual fee of
3    $180,000 per year for each nuclear power reactor for which
4    an operating license has been issued by the NRC, and after
5    June 30, 1984, and through June 30, 1991, an annual fee of
6    $400,000 for each nuclear power reactor for which an
7    operating license has been issued by the NRC, to be paid by
8    the owners of nuclear power reactors operating in this
9    State. After June 30, 1991, the owners of nuclear power
10    reactors in this State for which operating licenses have
11    been issued by the NRC shall pay the following fees for
12    each such nuclear power reactor: for State fiscal year
13    1992, $925,000; for State fiscal year 1993, $975,000; for
14    State fiscal year 1994; $1,010,000; for State fiscal year
15    1995, $1,060,000; for State fiscal years 1996 and 1997,
16    $1,110,000; for State fiscal year 1998, $1,314,000; for
17    State fiscal year 1999, $1,368,000; for State fiscal year
18    2000, $1,404,000; for State fiscal year 2001, $1,696,455;
19    for State fiscal year 2002, $1,730,636; for State fiscal
20    year 2003 through State fiscal year 2011, $1,757,727; for
21    State fiscal year 2012 and subsequent fiscal years,
22    $1,903,182.
23        (3.5) The owner of a nuclear power reactor that
24    notifies the Nuclear Regulatory Commission that the
25    nuclear power reactor has permanently ceased operations
26    during State fiscal year 1998 shall pay the following fees

 

 

SB0025 Enrolled- 966 -LRB104 07069 BAB 17106 b

1    for each such nuclear power reactor: $1,368,000 for State
2    fiscal year 1999 and $1,404,000 for State fiscal year
3    2000.
4        (4) For nuclear power reactors with an emergency
5    planning zone constructed on a new site after January 1,
6    2026, the operator or the owner shall reimburse the Agency
7    for the actual costs of any equipment, materials, and
8    labor provided for development, installation, and
9    maintenance of monitoring systems as required under
10    paragraphs (1), (2), (3), and (7) of subsection (a) of
11    Section 8 of this Act. The operator or owner shall be
12    invoiced by the Agency and payment shall be due within 60
13    days after the date of the invoice. A capital expenditure
14    surcharge of $1,400,000 per nuclear power station in this
15    State, whether operating or under construction, shall be
16    paid by the owners of the station.
17        (5) An annual fee of $25,000 per year for each site for
18    which a valid operating license has been issued by NRC for
19    the operation of an away-from-reactor spent nuclear fuel
20    or high-level radioactive waste storage facility, to be
21    paid by the owners of facilities for the storage of spent
22    nuclear fuel or high-level radioactive waste for others in
23    this State.
24        (6) A one-time charge of $280,000 for each facility in
25    this State housing a nuclear test and research reactor, to
26    be paid by the operator of the facility. However, this

 

 

SB0025 Enrolled- 967 -LRB104 07069 BAB 17106 b

1    charge shall not be required to be paid by any
2    tax-supported institution.
3        (7) A one-time charge of $50,000 for each facility in
4    this State for the chemical conversion of uranium, to be
5    paid by the owner of the facility.
6        (8) An annual fee of $150,000 per year for each
7    facility in this State housing a nuclear test and research
8    reactor, to be paid by the operator of the facility.
9    However, this annual fee shall not be required to be paid
10    by any tax-supported institution.
11        (9) An annual fee of $15,000 per year for each
12    facility in this State for the chemical conversion of
13    uranium, to be paid by the owner of the facility.
14        (10) A fee assessed at the rate of $2,500 per truck for
15    each truck shipment and $4,500 for the first cask and
16    $3,000 for each additional cask for each rail shipment of
17    spent nuclear fuel, high-level radioactive waste,
18    transuranic waste, or a highway route controlled quantity
19    of radioactive materials received at or departing from any
20    nuclear power station or away-from-reactor spent nuclear
21    fuel, high-level radioactive waste, transuranic waste
22    storage facility, or other facility in this State to be
23    paid by the shipper of the spent nuclear fuel, high level
24    radioactive waste, transuranic waste, or highway route
25    controlled quantity of radioactive material. Truck
26    shipments of greater than 250 miles in Illinois are

 

 

SB0025 Enrolled- 968 -LRB104 07069 BAB 17106 b

1    subject to a surcharge of $25 per mile over 250 miles for
2    each truck in the shipment.
3        (11) A fee assessed at the rate of $2,500 per truck for
4    each truck shipment and $4,500 for the first cask and
5    $3,000 for each additional cask for each rail shipment of
6    spent nuclear fuel, high-level radioactive waste,
7    transuranic waste, or a highway route controlled quantity
8    of radioactive materials traversing the State to be paid
9    by the shipper of the spent nuclear fuel, high level
10    radioactive waste, transuranic waste, or highway route
11    controlled quantity of radioactive material. Truck
12    shipments of greater than 250 miles in Illinois are
13    subject to a surcharge of $25 per mile over 250 miles for
14    each truck in the shipment. For truck shipments of less
15    than 100 miles in Illinois that consist entirely of
16    cobalt-60 or other medical isotopes or both, the $2,500
17    per truck fee shall be reduced to $1,500 for the first
18    truck and $750 for each additional truck in the same
19    shipment.
20        (12) In each of the State fiscal years 1988 through
21    1991, in addition to the annual fee provided for in
22    subparagraph (3), a fee of $400,000 for each nuclear power
23    reactor for which an operating license has been issued by
24    the NRC, to be paid by the owners of nuclear power reactors
25    operating in this State. Within 120 days after the end of
26    the State fiscal years ending June 30, 1988, June 30,

 

 

SB0025 Enrolled- 969 -LRB104 07069 BAB 17106 b

1    1989, June 30, 1990, and June 30, 1991, the Agency shall
2    determine the expenses of the Illinois Nuclear Safety
3    Preparedness Program paid from funds appropriated for
4    those fiscal years.
5(Source: P.A. 97-195, eff. 7-25-11; 97-732, eff. 6-30-12;
698-728, eff. 1-1-15.)
 
7    (420 ILCS 5/5)  (from Ch. 111 1/2, par. 4305)
8    Sec. 5. Nuclear power reactor or spent fuel storage
9facility operating license fees.        
10    (a) Except as otherwise provided in this Section, within
1130 days after the beginning of each State fiscal year, each
12person who possessed a valid operating license issued by the
13NRC for a nuclear power reactor or a spent fuel storage
14facility during any portion of the previous fiscal year shall
15pay to the Agency the fees imposed by Section 4 of this Act.
16    (b) The one-time fee for new nuclear power reactors    
17facility charge assessed pursuant to subparagraph (1) of
18subsection (d) of Section 4 of this Act shall be paid to the
19Agency not less than 2 years prior to scheduled commencement
20of commercial operation. The one-time fee is only applicable
21to nuclear power reactors constructed after January 1, 2026.    
22The additional facility charge assessed pursuant to
23subparagraph (2) of Section 4 shall be paid to the Department
24within 90 days of June 30, 1982. Fees assessed pursuant to
25subparagraph (3) of Section 4 for State fiscal year 1992 shall

 

 

SB0025 Enrolled- 970 -LRB104 07069 BAB 17106 b

1be payable as follows: $400,000 due on August 1, 1991, and
2$525,000 due on January 1, 1992. Fees assessed pursuant to
3subparagraph (3) of Section 4 for State fiscal years 1993
4through 2011 shall be due and payable in two equal payments on
5July 1 and January 1 during the fiscal year in which the fee is
6due. For State fiscal year 2012 and subsequent fiscal years,
7fees shall be due and payable in 4 equal payments on July 1,
8October 1, January 1, and April 1 during the fiscal year in
9which the fee is due. Fees assessed pursuant to subparagraph
10(4) of Section 4 shall be paid in six payments, the first, in
11the amount of $400,000, shall be due and payable 30 days after
12the effective date of this Amendatory Act of 1984. Subsequent
13payments shall be in the amount of $200,000 each, and shall be
14due and payable annually on August 1, 1985 through August 1,
151989, inclusive. Fees assessed under the provisions of
16subparagraphs (6) and (7) of Section 4 of this Act shall be
17paid on or before January 1, 1990. Fees assessed under the
18provisions of subparagraphs (8) and (9) of Section 4 of this
19Act shall be paid on or before January 1st of each year,
20beginning January 1, 1990. Fees assessed under the provisions
21of subparagraphs (10) and (11) of Section 4 of this Act shall
22be paid to the Agency within 60 days after completion of such
23shipments within this State. Fees assessed pursuant to
24subparagraph (12) of Section 4 shall be paid to the Agency by
25each person who possessed a valid operating license issued by
26the NRC for a nuclear power reactor during any portion of the

 

 

SB0025 Enrolled- 971 -LRB104 07069 BAB 17106 b

1previous State fiscal year as follows: the fee due in fiscal
2year 1988 shall be paid on January 15, 1988, the fee due in
3fiscal year 1989 shall be paid on December 1, 1988, and
4subsequent fees shall be paid annually on December 1, 1989
5through December 1, 1990.
6    (c) The one-time fee assessed pursuant to subparagraph
7(1.5) of subsection (d) of Section 4 of this Act shall be paid
8in 4 equal installments to the Agency on July 1, 2026, October
91, 2026, January 1, 2027, and April 1, 2027.
10    (d) The annual fee for each nuclear power reactor assessed
11pursuant to subparagraphs (2) and (3) of subsection (d) of
12Section 4 of this Act shall be paid in 4 equal installments to
13the Agency on July 1, October 1, January 1, and April 1 of the
14State fiscal year the fee is due.    
15    (e) Fees assessed under the provisions of subparagraphs
16(8) and (9) of subsection (d) of Section 4 of this Act shall be
17paid on or before January 1 of each year.    
18    (f) Fees assessed under the provisions of subparagraphs
19(10) and (11) of subsection (d) of Section 4 of this Act shall
20be paid to the Agency within 60 days after completion of such
21shipments within this State.    
22    (b) Fees assessed pursuant to paragraph (3.5) of Section 4
23for State fiscal years 1999 and 2000 shall be due and payable
24in 2 equal payments on July 1 and January 1 during the fiscal
25year in which the fee is due. The fee due on July 1, 1998 shall
26be payable on that date, or within 10 days after the effective

 

 

SB0025 Enrolled- 972 -LRB104 07069 BAB 17106 b

1date of this amendatory Act of 1998, whichever is later.
2    (g) (c) Any person who fails to pay a fee assessed under
3Section 4 of this Act within 90 days after the fee is payable
4is liable in a civil action for an amount not to exceed 4 times
5the amount assessed and not paid. The action shall be brought
6by the Attorney General at the request of the Agency. If the
7action involves a fixed facility in Illinois, the action shall
8be brought in the Circuit Court of the county in which the
9facility is located. If the action does not involve a fixed
10facility in Illinois, the action shall be brought in the
11Circuit Court of Sangamon County.
12(Source: P.A. 97-195, eff. 7-25-11.)
 
13    (420 ILCS 5/6.5 new)
14    Sec. 6.5. Rulemaking. The Agency is authorized to adopt
15rules as appropriate to implement any provision of this Act
16not otherwise specified.
 
17    (420 ILCS 5/8)  (from Ch. 111 1/2, par. 4308)
18    Sec. 8. (a) The Illinois Nuclear Safety Preparedness
19Program shall consist of an assessment of the potential
20nuclear accidents, their radiological consequences, and the
21necessary protective actions required to mitigate the effects
22of such accidents. It shall include, but not necessarily be
23limited to:
24        (1) Development of a remote effluent monitoring system

 

 

SB0025 Enrolled- 973 -LRB104 07069 BAB 17106 b

1    capable of reliably detecting and quantifying accidental
2    radioactive releases from nuclear power plants to the
3    environment;
4        (2) Development of an environmental monitoring program
5    for nuclear facilities other than nuclear power plants;
6        (3) Development of procedures for radiological
7    assessment and radiation exposure control for areas
8    surrounding each nuclear facility in Illinois;
9        (4) Radiological training of State and local emergency
10    response personnel in accordance with the Agency's
11    responsibilities under the program;
12        (5) Participation in the development of accident
13    scenarios and in the exercising of fixed facility nuclear
14    emergency response plans;
15        (6) Development of mitigative emergency planning
16    standards including, but not limited to, standards
17    pertaining to evacuations, re-entry into evacuated areas,
18    contaminated foodstuffs and contaminated water supplies;
19        (7) Provision of specialized response equipment
20    necessary to accomplish this task;
21        (8) Implementation of the Boiler and Pressure Vessel
22    Safety program at nuclear steam-generating facilities as
23    mandated by Section 2005-35 of the Department of Nuclear
24    Safety Law, or its successor statute;
25        (9) Development and implementation of a plan for
26    inspecting and escorting all shipments of spent nuclear

 

 

SB0025 Enrolled- 974 -LRB104 07069 BAB 17106 b

1    fuel, high-level radioactive waste, transuranic waste, and
2    highway route controlled quantities of radioactive
3    materials in Illinois;
4        (10) Implementation of the program under the Illinois
5    Nuclear Facility Safety Act; and
6        (11) Development and implementation of a
7    radiochemistry laboratory capable of preparing
8    environmental samples, performing analyses,
9    quantification, and reporting for assessment and radiation
10    exposure control due to accidental radioactive releases
11    from nuclear power plants into the environment.
12    (b) The Agency may incorporate data collected by the
13operator of a nuclear facility into the Agency's remote
14monitoring system.
15    (c) The owners of each nuclear power reactor in Illinois
16shall provide the Agency all system status signals which
17initiate Emergency Action Level Declarations, actuate accident
18mitigation and provide mitigation verification as directed by
19the Agency. The Agency shall designate by rule those system
20status signals that must be provided. Signals providing
21indication of operating power level shall also be provided.
22The owners of the nuclear power reactors shall, at their
23expense, ensure that valid signals will be provided
24continuously 24 hours a day.
25    All such signals shall be provided in a manner and at a
26frequency specified by the Agency for incorporation into and

 

 

SB0025 Enrolled- 975 -LRB104 07069 BAB 17106 b

1augmentation of the remote effluent monitoring system
2specified in paragraph (1) of subsection (a) of this Section.
3Provision shall be made for assuring that such system status
4and power level signals shall be available to the Agency
5during reactor operation as well as throughout accidents and
6subsequent recovery operations.
7    For nuclear reactors with operating licenses issued by the
8Nuclear Regulatory Commission prior to the effective date of
9this amendatory Act, such system status and power level
10signals shall be provided to the Department of Nuclear Safety
11(of which the Agency is the successor) by March 1, 1985. For
12reactors without such a license on the effective date of this
13amendatory Act, such signals shall be provided to the
14Department prior to commencing initial fuel load for such
15reactor. Nuclear reactors receiving their operating license
16after September 7, 1984 (the effective date of Public Act
1783-1342), but before July 1, 1985, shall provide such system
18status and power level signals to the Department of Nuclear
19Safety (of which the Agency is the successor) by September 1,
201985.
21(Source: P.A. 102-133, eff. 7-23-21; 103-154, eff. 6-30-23.)
 
22    (420 ILCS 5/9)  (from Ch. 111 1/2, par. 4309)
23    Sec. 9. Any equipment purchased by the Agency to be
24installed on the premises of a nuclear facility pursuant to
25the provisions of subsections (1), (2) and (7) of Section 8 of

 

 

SB0025 Enrolled- 976 -LRB104 07069 BAB 17106 b

1this Act shall be installed by the owner of such nuclear
2facility in accordance with criteria and standards established
3by the Director of the Agency, including criteria for
4location, supporting utilities, and methods of installation.
5Such installation shall be at no cost to the Agency. The owner
6of the nuclear facility shall also, at its expense, pay for
7modifications of its facility as requested by the Agency    
8Department to accommodate the Agency's equipment including
9updated equipment, and to accommodate changes in the Agency's
10criteria and standards.
11(Source: P.A. 93-1029, eff. 8-25-04.)
 
12    (420 ILCS 5/2.5 rep.)
13    Section 90-60. The Illinois Nuclear Safety Preparedness
14Act is amended by repealing Section 2.5.
 
15    Section 90-65. The Illinois Nuclear Facility Safety Act is
16amended by changing Sections 3.5, 5, and 7 as follows:
 
17    (420 ILCS 10/3.5)
18    Sec. 3.5. Definitions. In this Act:
19    "Agency" "IEMA-OHS" means the Illinois Emergency
20Management Agency and Office of Homeland Security, or its
21successor agency.
22    "Director" means the Director of IEMA-OHS.    
23    "Nuclear facilities" means nuclear power plants,

 

 

SB0025 Enrolled- 977 -LRB104 07069 BAB 17106 b

1facilities housing nuclear test and research reactors,
2facilities for the chemical conversion of uranium, and
3facilities for the storage of spent nuclear fuel or high-level
4radioactive waste.
5    "Nuclear power plant" or "nuclear steam-generating
6facility" means a thermal power plant in which the energy
7(heat) released by the fissioning of nuclear fuel is used to
8boil water to produce steam.
9    "Nuclear power reactor" means an apparatus, other than an
10atomic weapon, designed or used to sustain nuclear fission in
11a self-supporting chain reaction.
12    "Small modular reactor" or "SMR" means an advanced nuclear
13reactor: (1) with a rated nameplate capacity of 300 electrical
14megawatts or less; and (2) that may be constructed and
15operated in combination with similar reactors at a single
16site.
17(Source: P.A. 103-569, eff. 6-1-24.)
 
18    (420 ILCS 10/5)  (from Ch. 111 1/2, par. 4355)
19    Sec. 5. Program for Illinois nuclear power plant
20inspectors.
21    (a) Consistent with federal law and policy statements of
22and cooperative agreements with the Nuclear Regulatory
23Commission with respect to State participation in health and
24safety regulation of nuclear facilities, and in recognition of
25the role provided for the states by such laws, policy

 

 

SB0025 Enrolled- 978 -LRB104 07069 BAB 17106 b

1statements and cooperative agreements, the Agency shall
2develop and implement a program for Illinois resident    
3inspectors that, when fully implemented, shall provide for one
4full-time Agency Illinois resident inspector for at each
5nuclear power plant in Illinois. The owner of each of the
6nuclear power plants to which they are assigned shall provide,
7at its expense, office space and equipment reasonably required
8by the resident inspectors while they are on the premises of
9the nuclear power plants. The Illinois resident inspectors
10shall operate in accordance with a cooperative agreement
11executed by the Agency and the Nuclear Regulatory Commission
12and shall have access to the nuclear power plants to which they
13have been assigned in accordance with that agreement;
14provided, however, that the Illinois resident inspectors shall
15have no greater access than is afforded to an a resident    
16inspector of the Nuclear Regulatory Commission.
17    (b) The Agency may also inspect licensed nuclear power
18plants that have permanently ceased operations. The
19inspections shall be performed by inspectors qualified as
20Illinois resident inspectors. The inspectors need not be
21resident at nuclear power plants that have permanently ceased
22operations. The inspectors shall conduct inspections in
23accordance with a cooperative agreement executed by the Agency
24and the Nuclear Regulatory Commission and shall have access to
25the nuclear power plants that have permanently ceased
26operations; provided, however, that the Illinois inspectors

 

 

SB0025 Enrolled- 979 -LRB104 07069 BAB 17106 b

1shall have no greater access than is afforded to inspectors of
2the Nuclear Regulatory Commission. The owner of each of the
3nuclear power plants that has permanently ceased operations
4shall provide, at its expense, office space and equipment
5reasonably required by the inspectors while they are on the
6premises of the nuclear power plants.
7    (c) The Illinois resident inspectors and inspectors
8assigned under subsection (b) shall each operate in accordance
9with the security plan for the nuclear power plant to which
10they are assigned, but in no event shall they be required to
11meet any requirements imposed by a nuclear power plant owner
12that are not imposed on resident inspectors and inspectors of
13the Nuclear Regulatory Commission. The Agency programs and
14activities under this Section shall not be inconsistent with
15federal law.
16(Source: P.A. 95-777, eff. 8-4-08.)
 
17    (420 ILCS 10/7)  (from Ch. 111 1/2, par. 4357)
18    Sec. 7. The Agency shall not engage in any program of
19Illinois resident inspectors or inspectors assigned under
20subsection (b) of Section 5 at any nuclear power plant in
21Illinois except as specifically directed by law.
22(Source: P.A. 95-777, eff. 8-4-08.)
 
23    Section 90-70. The Illinois Low-Level Radioactive Waste
24Management Act is amended by changing Sections 3, 13, 14, 15,

 

 

SB0025 Enrolled- 980 -LRB104 07069 BAB 17106 b

117, and 21 as follows:
 
2    (420 ILCS 20/3)  (from Ch. 111 1/2, par. 241-3)
3    Sec. 3. Definitions. As used in this Act:    
4    "Agency" or "IEMA-OHS" means the Illinois Emergency
5Management Agency and Office of Homeland Security, or its
6successor agency.
7    "Broker" means any person who takes possession of
8low-level waste for purposes of consolidation and shipment.
9    "Compact" means the Central Midwest Interstate Low-Level
10Radioactive Waste Compact.
11    "Decommissioning" means the measures taken at the end of a
12facility's operating life to assure the continued protection
13of the public from any residual radioactivity or other
14potential hazards present at a facility.
15    "Director" means the Director of the Agency.
16    "Disposal" means the isolation of waste from the biosphere
17in a permanent facility designed for that purpose.
18    "Facility" means a parcel of land or site, together with
19structures, equipment and improvements on or appurtenant to
20the land or site, which is used or is being developed for the
21treatment, storage or disposal of low-level radioactive waste.
22"Facility" does not include lands, sites, structures, or
23equipment used by a generator in the generation of low-level
24radioactive wastes.
25    "Generator" means any person who produces or possesses

 

 

SB0025 Enrolled- 981 -LRB104 07069 BAB 17106 b

1low-level radioactive waste in the course of or incident to
2manufacturing, power generation, processing, medical diagnosis
3and treatment, research, education, or other activity.
4    "Hazardous waste" means a waste, or combination of wastes,
5which because of its quantity, concentration, or physical,
6chemical, or infectious characteristics may cause or
7significantly contribute to an increase in mortality or an
8increase in serious, irreversible, or incapacitating
9reversible, illness; or pose a substantial present or
10potential hazard to human health or the environment when
11improperly treated, stored, transported, or disposed of, or
12otherwise managed, and which has been identified, by
13characteristics or listing, as hazardous under Section 3001 of
14the Resource Conservation and Recovery Act of 1976, P.L.
1594-580 or under regulations of the Pollution Control Board.
16    "High-level radioactive waste" means:
17        (1) the highly radioactive material resulting from the
18    reprocessing of spent nuclear fuel including liquid waste
19    produced directly in reprocessing and any solid material
20    derived from the liquid waste that contains fission
21    products in sufficient concentrations; and
22        (2) the highly radioactive material that the Nuclear
23    Regulatory Commission has determined, on the effective
24    date of this Amendatory Act of 1988, to be high-level
25    radioactive waste requiring permanent isolation.
26    "Low-level radioactive waste" or "waste" means radioactive

 

 

SB0025 Enrolled- 982 -LRB104 07069 BAB 17106 b

1waste not classified as (1) high-level radioactive waste, (2)
2transuranic waste, (3) spent nuclear fuel, or (4) byproduct
3material as defined in Sections 11e(2), 11e(3), and 11e(4) of
4the Atomic Energy Act of 1954 (42 U.S.C. 2014). This
5definition shall apply notwithstanding any declaration by the
6federal government, a state, or any regulatory agency that any
7radioactive material is exempt from any regulatory control.
8    "Mixed waste" means waste that is both "hazardous waste"
9and "low-level radioactive waste" as defined in this Act.
10    "Nuclear facilities" means nuclear power plants,
11facilities housing nuclear test and research reactors,
12facilities for the chemical conversion of uranium, and
13facilities for the storage of spent nuclear fuel or high-level
14radioactive waste.
15    "Nuclear power plant" or "nuclear steam-generating
16facility" means a thermal power plant in which the energy
17(heat) released by the fissioning of nuclear fuel is used to
18boil water to produce steam.
19    "Nuclear power reactor" means an apparatus, other than an
20atomic weapon, designed or used to sustain nuclear fission in
21a self-supporting chain reaction.    
22    "Person" means an individual, corporation, business
23enterprise, or other legal entity either public or private and
24any legal successor, representative, agent, or agency of that
25individual, corporation, business enterprise, or legal entity.
26    "Post-closure care" means the continued monitoring of the

 

 

SB0025 Enrolled- 983 -LRB104 07069 BAB 17106 b

1regional disposal facility after closure for the purposes of
2detecting a need for maintenance, ensuring environmental
3safety, and determining compliance with applicable licensure
4and regulatory requirements, and includes undertaking any
5remedial actions necessary to protect public health and the
6environment from radioactive releases from the facility.
7    "Regional disposal facility" or "disposal facility" means
8the facility established by the State of Illinois under this
9Act for disposal away from the point of generation of waste
10generated in the region of the Compact.
11    "Release" means any spilling, leaking, pumping, pouring,
12emitting, emptying, discharging, injecting, escaping,
13leaching, dumping, or disposing into the environment of
14low-level radioactive waste.
15    "Remedial action" means those actions taken in the event
16of a release or threatened release of low-level radioactive
17waste into the environment, to prevent or minimize the release
18of the waste so that it does not migrate to cause substantial
19danger to present or future public health or welfare or the
20environment. The term includes, but is not limited to, actions
21at the location of the release such as storage, confinement,
22perimeter protection using dikes, trenches or ditches, clay
23cover, neutralization, cleanup of released low-level
24radioactive wastes, recycling or reuse, dredging or
25excavations, repair or replacement of leaking containers,
26collection of leachate and runoff, onsite treatment or

 

 

SB0025 Enrolled- 984 -LRB104 07069 BAB 17106 b

1incineration, provision of alternative water supplies, and any
2monitoring reasonably required to assure that these actions
3protect human health and the environment.
4    "Scientific Surveys" means, collectively, the Illinois
5State Geological Survey and the Illinois State Water Survey of
6the University of Illinois.
7    "Shallow land burial" means a land disposal facility in
8which radioactive waste is disposed of in or within the upper
930 meters of the earth's surface. However, this definition
10shall not include an enclosed, engineered, structurally
11re-enforced and solidified bunker that extends below the
12earth's surface.
13    "Small modular reactor" or "SMR" means an advanced nuclear
14reactor: (1) with a rated nameplate capacity of 300 electrical
15megawatts or less; and (2) that may be constructed and
16operated in combination with similar reactors at a single
17site.
18    "Storage" means the temporary holding of waste for
19treatment or disposal for a period determined by Agency
20regulations.
21    "Treatment" means any method, technique, or process,
22including storage for radioactive decay, designed to change
23the physical, chemical, or biological characteristics or
24composition of any waste in order to render the waste safer for
25transport, storage, or disposal, amenable to recovery,
26convertible to another usable material, or reduced in volume.

 

 

SB0025 Enrolled- 985 -LRB104 07069 BAB 17106 b

1    "Waste management" means the storage, transportation,
2treatment, or disposal of waste.
3(Source: P.A. 103-306, eff. 7-28-23; 103-569, eff. 6-1-24;
4revised 7-30-24.)
 
5    (420 ILCS 20/13)  (from Ch. 111 1/2, par. 241-13)
6    Sec. 13. Waste fees.
7    (a) The Agency shall collect a fee from each generator of
8low-level radioactive wastes in this State, except for units
9of local government as otherwise provided in this subsection.
10Except as provided in subsection (b) subdivision (b)(2) and
11subsections (c) and (d), the amount of the fee shall be $100    
12$50.00 or the following amount, whichever is greater:
13        (1) $1 per cubic foot of waste shipped for storage,
14    treatment or disposal if storage of the waste for shipment
15    occurred prior to September 7, 1984;
16        (2) $2 per cubic foot of waste stored for shipment if
17    storage of the waste occurs on or after September 7, 1984,
18    but prior to October 1, 1985;
19        (1) (3) $3 per cubic foot of waste stored for shipment
20    if storage of the waste occurs on or after October 1, 1985;
21    and    
22        (4) $2 per cubic foot of waste shipped for storage,
23    treatment or disposal if storage of the waste for shipment
24    occurs on or after September 7, 1984 but prior to October
25    1, 1985, provided that no fee has been collected

 

 

SB0025 Enrolled- 986 -LRB104 07069 BAB 17106 b

1    previously for storage of the waste;
2        (2) (5) $3 per cubic foot of waste shipped for
3    storage, treatment, or disposal if storage of the waste
4    for shipment occurs on or after October 1, 1985, provided
5    that no fees have been collected previously for storage of
6    the waste.
7    All fees collected under this subsection Such fees shall
8be collected annually or as determined by the Agency and shall
9be deposited into in the fund low-level radioactive waste
10funds as provided in Section 14 of this Act. Notwithstanding
11any other provision of this Act, no fee under this Section
12shall be collected from a generator for waste generated
13incident to manufacturing before December 31, 1980, and
14shipped for disposal outside of this State before December 31,
151992, as part of a site reclamation leading to license
16termination.
17    Units of local government are exempt from the fee
18provisions of this subsection.    
19    (b) The owner of any nuclear power reactor that has a
20license issued by the Nuclear Regulatory Commission for any
21portion of a State fiscal year shall pay an annual fee in
22accordance with subsection (a) or $30,000 per nuclear power
23reactor, whichever is less. The fee shall be paid by July 1 of
24each State fiscal year. All moneys collected under this
25subsection shall be deposited pursuant to Section 14 and
26expended, subject to appropriation, for the purposes provided

 

 

SB0025 Enrolled- 987 -LRB104 07069 BAB 17106 b

1in Section 14. (1) Small modular reactors shall pay low-level
2radioactive waste fees in accordance with subsection (a).    
3    (2) Each nuclear power reactor in this State for which an
4operating license has been issued by the Nuclear Regulatory
5Commission shall not be subject to the fee required by
6subsection (a) with respect to (1) waste stored for shipment
7if storage of the waste occurs on or after January 1, 1986; and
8(2) waste shipped for storage, treatment or disposal if
9storage of the waste for shipment occurs on or after January 1,
101986. In lieu of the fee, each reactor shall be required to pay
11an annual fee as provided in this subsection for the
12treatment, storage and disposal of low-level radioactive
13waste. Beginning with State fiscal year 1986 and through State
14fiscal year 1997, fees shall be due and payable on January 1st
15of each year. For State fiscal year 1998 and all subsequent
16State fiscal years, fees shall be due and payable on July 1 of
17each fiscal year. The fee due on July 1, 1997 shall be payable
18on that date, or within 10 days after the effective date of
19this amendatory Act of 1997, whichever is later.
20    The owner of any nuclear power reactor that has an
21operating license issued by the Nuclear Regulatory Commission
22for any portion of State fiscal year 1998 shall continue to pay
23an annual fee of $90,000 for the treatment, storage, and
24disposal of low-level radioactive waste through State fiscal
25year 2002. The fee shall be due and payable on July 1 of each
26fiscal year. The fee due on July 1, 1998 shall be payable on

 

 

SB0025 Enrolled- 988 -LRB104 07069 BAB 17106 b

1that date, or within 10 days after the effective date of this
2amendatory Act of 1998, whichever is later. If the balance in
3the Low-Level Radioactive Waste Facility Operation Fund    
4Low-Level Radioactive Waste Facility Development and Operation
5Fund falls below $500,000, at as of the end of any fiscal year
6after fiscal year 2002, the Agency is authorized to assess by
7rule, after notice and a hearing, an additional annual fee to
8be paid by the owners of nuclear power reactors for which
9operating licenses have been issued by the Nuclear Regulatory
10Commission, except that no additional annual fee shall be
11assessed because of the fund balance at the end of fiscal year
122005 or the end of fiscal year 2006. The additional annual fee
13shall be payable on the date or dates specified by rule and
14shall not exceed $30,000 per nuclear power operating reactor
15per year.
16    (c) (Blank). In each of State fiscal years 1988, 1989 and
171990, in addition to the fee imposed in subsections (b) and
18(d), the owner of each nuclear power reactor in this State for
19which an operating license has been issued by the Nuclear
20Regulatory Commission shall pay a fee of $408,000. If an
21operating license is issued during one of those 3 fiscal
22years, the owner shall pay a prorated amount of the fee equal
23to $1,117.80 multiplied by the number of days in the fiscal
24year during which the nuclear power reactor was licensed.
25    The fee shall be due and payable as follows: in fiscal year
261988, $204,000 shall be paid on October 1, 1987 and $102,000

 

 

SB0025 Enrolled- 989 -LRB104 07069 BAB 17106 b

1shall be paid on each of January 1, 1988 and April 1, 1988; in
2fiscal year 1989, $102,000 shall be paid on each of July 1,
31988, October 1, 1988, January 1, 1989 and April 1, 1989; and
4in fiscal year 1990, $102,000 shall be paid on each of July 1,
51989, October 1, 1989, January 1, 1990 and April 1, 1990. If
6the operating license is issued during one of the 3 fiscal
7years, the owner shall be subject to those payment dates, and
8their corresponding amounts, on which the owner possesses an
9operating license and, on June 30 of the fiscal year of
10issuance of the license, whatever amount of the prorated fee
11remains outstanding.
12    All of the amounts collected by the Agency under this
13subsection (c) shall be deposited into the Low-Level
14Radioactive Waste Facility Development and Operation Fund
15created under subsection (a) of Section 14 of this Act and
16expended, subject to appropriation, for the purposes provided
17in that subsection.
18    (d) (Blank). In addition to the fees imposed in
19subsections (b) and (c), the owners of nuclear power reactors
20in this State for which operating licenses have been issued by
21the Nuclear Regulatory Commission shall pay the following fees
22for each such nuclear power reactor: for State fiscal year
231989, $325,000 payable on October 1, 1988, $162,500 payable on
24January 1, 1989, and $162,500 payable on April 1, 1989; for
25State fiscal year 1990, $162,500 payable on July 1, $300,000
26payable on October 1, $300,000 payable on January 1 and

 

 

SB0025 Enrolled- 990 -LRB104 07069 BAB 17106 b

1$300,000 payable on April 1; for State fiscal year 1991,
2either (1) $150,000 payable on July 1, $650,000 payable on
3September 1, $675,000 payable on January 1, and $275,000
4payable on April 1, or (2) $150,000 on July 1, $130,000 on the
5first day of each month from August through December, $225,000
6on the first day of each month from January through March and
7$92,000 on the first day of each month from April through June;
8for State fiscal year 1992, $260,000 payable on July 1,
9$900,000 payable on September 1, $300,000 payable on October
101, $150,000 payable on January 1, and $100,000 payable on
11April 1; for State fiscal year 1993, $100,000 payable on July
121, $230,000 payable on August 1 or within 10 days after July
1331, 1992, whichever is later, and $355,000 payable on October
141; for State fiscal year 1994, $100,000 payable on July 1,
15$75,000 payable on October 1 and $75,000 payable on April 1;
16for State fiscal year 1995, $100,000 payable on July 1,
17$75,000 payable on October 1, and $75,000 payable on April 1,
18for State fiscal year 1996, $100,000 payable on July 1,
19$75,000 payable on October 1, and $75,000 payable on April 1.
20The owner of any nuclear power reactor that has an operating
21license issued by the Nuclear Regulatory Commission for any
22portion of State fiscal year 1998 shall pay an annual fee of
23$30,000 through State fiscal year 2003. For State fiscal year
242004 and subsequent fiscal years, the owner of any nuclear
25power reactor that has an operating license issued by the
26Nuclear Regulatory Commission shall pay an annual fee of

 

 

SB0025 Enrolled- 991 -LRB104 07069 BAB 17106 b

1$30,000 per reactor, provided that the fee shall not apply to a
2nuclear power reactor with regard to which the owner notified
3the Nuclear Regulatory Commission during State fiscal year
41998 that the nuclear power reactor permanently ceased
5operations. The fee shall be due and payable on July 1 of each
6fiscal year. The fee due on July 1, 1998 shall be payable on
7that date, or within 10 days after the effective date of this
8amendatory Act of 1998, whichever is later. The fee due on July
91, 1997 shall be payable on that date or within 10 days after
10the effective date of this amendatory Act of 1997, whichever
11is later. If the payments under this subsection for fiscal
12year 1993 due on January 1, 1993, or on April 1, 1993, or both,
13were due before the effective date of this amendatory Act of
14the 87th General Assembly, then those payments are waived and
15need not be made.
16    All of the amounts collected by the Agency under this
17subsection (d) shall be deposited into the Low-Level
18Radioactive Waste Facility Development and Operation Fund
19created pursuant to subsection (a) of Section 14 of this Act
20and expended, subject to appropriation, for the purposes
21provided in that subsection.
22    All payments made by licensees under this subsection (d)
23for fiscal year 1992 that are not appropriated and obligated
24by the Agency above $1,750,000 per reactor in fiscal year
251992, shall be credited to the licensees making the payments
26to reduce the per reactor fees required under this subsection

 

 

SB0025 Enrolled- 992 -LRB104 07069 BAB 17106 b

1(d) for fiscal year 1993.
2    (e) (Blank). The Agency shall promulgate rules and
3regulations establishing standards for the collection of the
4fees authorized by this Section. The regulations shall
5include, but need not be limited to:
6        (1) the records necessary to identify the amounts of
7    low-level radioactive wastes produced;
8        (2) the form and submission of reports to accompany
9    the payment of fees to the Agency; and
10        (3) the time and manner of payment of fees to the
11    Agency, which payments shall not be more frequent than
12    quarterly.
13    (f) Any operating agreement entered into under subsection
14(b) of Section 5 of this Act between the Agency and any
15disposal facility contractor shall, subject to the provisions
16of this Act, authorize the contractor to impose upon and
17collect from persons using the disposal facility fees designed
18and set at levels reasonably calculated to produce sufficient
19revenues (1) to pay all costs and expenses properly incurred
20or accrued in connection with, and properly allocated to,
21performance of the contractor's obligations under the
22operating agreement, and (2) to provide reasonable and
23appropriate compensation or profit to the contractor under the
24operating agreement. For purposes of this subsection (f), the
25term "costs and expenses" may include, without limitation, (i)
26direct and indirect costs and expenses for labor, services,

 

 

SB0025 Enrolled- 993 -LRB104 07069 BAB 17106 b

1equipment, materials, insurance and other risk management
2costs, interest and other financing charges, and taxes or fees
3in lieu of taxes; (ii) payments to or required by the United
4States, the State of Illinois or any agency or department
5thereof, the Central Midwest Interstate Low-Level Radioactive
6Waste Compact, and subject to the provisions of this Act, any
7unit of local government; (iii) amortization of capitalized
8costs with respect to the disposal facility and its
9development, including any capitalized reserves; and (iv)
10payments with respect to reserves, accounts, escrows or trust
11funds required by law or otherwise provided for under the
12operating agreement.    
13    (g) (Blank).
14    (h) (Blank).
15    (i) (Blank).
16    (j) (Blank).
17    (j-5) Prior to commencement of facility operations, the
18Agency shall adopt rules providing for the establishment and
19collection of fees and charges with respect to the use of the
20disposal facility as provided in subsection (f) of this
21Section.
22    (k) The regional disposal facility shall be subject to ad
23valorem real estate taxes lawfully imposed by units of local
24government and school districts with jurisdiction over the
25facility. No other local government tax, surtax, fee or other
26charge on activities at the regional disposal facility shall

 

 

SB0025 Enrolled- 994 -LRB104 07069 BAB 17106 b

1be allowed except as authorized by the Agency.
2    (l) The Agency shall have the power, in the event that
3acceptance of waste for disposal at the regional disposal
4facility is suspended, delayed or interrupted, to impose
5emergency fees on the generators of low-level radioactive
6waste. Generators shall pay emergency fees within 30 days of
7receipt of notice of the emergency fees. The Agency Department    
8shall deposit all of the receipts of any fees collected under
9this subsection into the Low-Level Radioactive Waste Facility
10Operation Fund Low-Level Radioactive Waste Facility
11Development and Operation Fund created under subsection (b) of
12Section 14. Emergency fees may be used to mitigate the impacts
13of the suspension or interruption of acceptance of waste for
14disposal. The requirements for rulemaking in the Illinois
15Administrative Procedure Act shall not apply to the imposition
16of emergency fees under this subsection.
17    (m) The Agency shall adopt promulgate any other rules and
18regulations as may be necessary to implement this Section.
19(Source: P.A. 103-569, eff. 6-1-24.)
 
20    (420 ILCS 20/14)  (from Ch. 111 1/2, par. 241-14)
21    Sec. 14. Waste management funds.
22    (a) There is hereby created in the State Treasury a
23special fund to be known as the Low-Level Radioactive Waste
24Facility Operation Fund Low-Level Radioactive Waste Facility
25Development and Operation Fund. All monies within the

 

 

SB0025 Enrolled- 995 -LRB104 07069 BAB 17106 b

1Low-Level Radioactive Waste Facility Operation Fund Low-Level
2Radioactive Waste Facility Development and Operation Fund    
3shall be invested by the State Treasurer in accordance with
4established investment practices. Interest earned by such
5investment shall be returned to the Low-Level Radioactive
6Waste Facility Operation Fund Low-Level Radioactive Waste
7Facility Development and Operation Fund. The Agency shall
8deposit all receipts from the fees required under subsections
9(a) and (b) of Section 13 in the State Treasury to the credit
10of this Fund. Subject to appropriation, the Agency is
11authorized to expend all moneys in the Fund in amounts it deems
12necessary for:
13        (1) hiring personnel and any other operating and
14    contingent expenses necessary for the proper
15    administration of this Act;
16        (2) contracting with any firm for the purpose of
17    carrying out the purposes of this Act;
18        (3) grants to the Central Midwest Interstate Low-Level
19    Radioactive Waste Commission;
20        (4) hiring personnel, contracting with any person, and
21    meeting any other expenses incurred by the Agency in
22    fulfilling its responsibilities under the Radioactive
23    Waste Compact Enforcement Act;
24        (5) activities under Sections 10, 10.2 and 10.3;
25        (6) payment of fees in lieu of taxes to a local
26    government having within its boundaries a regional

 

 

SB0025 Enrolled- 996 -LRB104 07069 BAB 17106 b

1    disposal facility;
2        (7) payment of grants to counties or municipalities
3    under Section 12.1; and
4        (8) fulfillment of obligations under a community
5    agreement under Section 12.1;
6        (9) decommissioning and other procedures required for
7    the proper closure of a regional disposal facility;    
8        (10) monitoring, inspecting, and other procedures
9    required for the proper closure, decommissioning, and
10    post-closure care of a regional disposal facility;    
11        (11) taking any remedial actions necessary to protect
12    human health and the environment from releases or
13    threatened releases of wastes from a regional disposal
14    facility;    
15        (12) the purchase of facility and third-party
16    liability insurance necessary during the institutional
17    control period of a regional disposal facility;    
18        (13) mitigating the impacts of the suspension or
19    interruption of the acceptance of waste for disposal; and    
20        (14) compensating any person suffering any damages or
21    losses to a person or property caused by a release from the
22    regional disposal facility as provided for in Section 15.
23    In spending monies pursuant to such appropriations, the
24Agency shall to the extent practicable avoid duplicating
25expenditures made by any firm pursuant to a contract awarded
26under this Section.

 

 

SB0025 Enrolled- 997 -LRB104 07069 BAB 17106 b

1    (b) There is hereby created in the State Treasury a
2special fund to be known as the Low-Level Radioactive Waste
3Facility Closure, Post-Closure Care and Compensation Fund. All
4monies within the Low-Level Radioactive Waste Facility
5Closure, Post-Closure Care and Compensation Fund shall be
6invested by the State Treasurer in accordance with established
7investment practices. Interest earned by such investment shall
8be returned to the Low-Level Radioactive Waste Facility
9Closure, Post-Closure Care and Compensation Fund. All deposits
10into this Fund shall be held by the State Treasurer separate
11and apart from all public money or funds of this State. Subject
12to appropriation, the Agency is authorized to expend any
13moneys in this Fund in amounts it deems necessary for:
14        (1) decommissioning and other procedures required for
15    the proper closure of the regional disposal facility;
16        (2) monitoring, inspecting, and other procedures
17    required for the proper closure, decommissioning, and
18    post-closure care of the regional disposal facility;
19        (3) taking any remedial actions necessary to protect
20    human health and the environment from releases or
21    threatened releases of wastes from the regional disposal
22    facility;
23        (4) the purchase of facility and third-party liability
24    insurance necessary during the institutional control
25    period of the regional disposal facility;
26        (5) mitigating the impacts of the suspension or

 

 

SB0025 Enrolled- 998 -LRB104 07069 BAB 17106 b

1    interruption of the acceptance of waste for disposal;
2        (6) compensating any person suffering any damages or
3    losses to a person or property caused by a release from the
4    regional disposal facility as provided for in Section 15;
5    and
6        (7) fulfillment of obligations under a community
7    agreement under Section 12.1.
8    On or before March 1 of each year through March 1, 2025,
9the Agency shall deliver to the Governor, the President and
10Minority Leader of the Senate, the Speaker and Minority Leader
11of the House, and each of the generators that have contributed
12during the preceding State fiscal year to the Fund a financial
13statement, certified and verified by the Director, which
14details all receipts and expenditures from the Fund during the
15preceding State fiscal year. The financial statements shall
16identify all sources of income to the Fund and all recipients
17of expenditures from the Fund, shall specify the amounts of
18all the income and expenditures, and shall indicate the
19amounts of all the income and expenditures, and shall indicate
20the purpose for all expenditures.
21    On July 1, 2025, or as soon thereafter as practical, the
22State Comptroller shall direct and the State Treasurer shall
23transfer the remaining balance from the Low-Level Radioactive
24Waste Facility Closure, Post-Closure Care and Compensation
25Fund into the Low-Level Radioactive Waste Facility Operation
26Fund Low-Level Radioactive Waste Facility Development and

 

 

SB0025 Enrolled- 999 -LRB104 07069 BAB 17106 b

1Operation Fund. Upon completion of the transfer, the Low-Level
2Radioactive Waste Facility Closure, Post-Closure Care and
3Compensation Fund is dissolved, and any future deposits due to
4that Fund and any outstanding obligations or liabilities of
5that Fund shall pass to the Low-Level Radioactive Waste
6Facility Development and Operation Fund.
7    (c) (Blank).
8    (d) The Agency may accept for any of its purposes and
9functions any donations, grants of money, equipment, supplies,
10materials, and services from any state or the United States,
11or from any institution, person, firm or corporation. Any
12donation or grant of money shall be deposited into the
13Low-Level Radioactive Waste Facility Operation Fund Low-Level
14Radioactive Waste Facility Development and Operation Fund.
15(Source: P.A. 104-2, eff. 6-16-25.)
 
16    (420 ILCS 20/15)  (from Ch. 111 1/2, par. 241-15)
17    Sec. 15. Compensation.
18    (a) Any person may apply to the Agency pursuant to this
19Section for compensation of a loss caused by the release, in
20Illinois, of radioactivity from the regional disposal
21facility. The Agency shall prescribe appropriate forms and
22procedures for claims filed pursuant to this Section, which
23shall include, as a minimum, the following:    
24        (1) Provisions requiring the claimant to make a sworn
25    verification of the claim to the best of his or her

 

 

SB0025 Enrolled- 1000 -LRB104 07069 BAB 17106 b

1    knowledge.    
2        (2) A full description, supported by appropriate
3    evidence from government agencies, of the release of the
4    radioactivity claimed to be the cause of the physical
5    injury, illness, loss of income or property damage.    
6        (3) If making a claim based upon physical injury or
7    illness, certification of the medical history of the
8    claimant for the 5 years preceding the date of the claim,
9    along with certification of the alleged physical injury or
10    illness, and expenses for the physical injury or illness,
11    made by hospitals, physicians or other qualified medical
12    authorities.    
13        (4) If making a claim for lost income, information on
14    the claimant's income as reported on his or her federal
15    income tax return or other document for the preceding 3
16    years in order to compute lost wages or income.
17    (b) The Agency shall hold at least one hearing, if
18requested by the claimant, within 60 days of submission of a
19claim to the Agency. The Director shall render a decision on a
20claim within 30 days of the hearing unless all of the parties
21to the claim agree in writing to an extension of time. All
22decisions rendered by the Director shall be in writing, with
23notification to all appropriate parties. The decision shall be
24considered a final administrative decision for the purposes of
25judicial review.
26    (c) The following losses shall be compensable under this

 

 

SB0025 Enrolled- 1001 -LRB104 07069 BAB 17106 b

1Section, provided that the Agency has found that the claimant
2has established, by the weight of the evidence, that the
3losses were proximately caused by the designated release and
4are not otherwise compensable under law:    
5        (1) One hundred percent of uninsured, out-of-pocket
6    medical expenses, for up to 3 years from the onset of
7    treatment;    
8        (2) Eighty percent of any uninsured, actual lost
9    wages, or business income in lieu of wages, caused by
10    injury to the claimant or the claimant's property, not to
11    exceed $15,000 per year for 3 years;    
12        (3) Eighty percent of any losses or damages to real or
13    personal property; and    
14        (4) One hundred percent of costs of any remedial
15    actions on such property necessary to protect human health
16    and the environment.
17    (d) No claim may be presented to the Agency under this
18Section later than 5 years from the date of discovery of the
19damage or loss.
20    (e) Compensation for any damage or loss under this Section
21shall preclude indemnification or reimbursement from any other
22source for the identical damage or loss, and indemnification
23or reimbursement from any other source shall preclude
24compensation under this Section.
25    (f) The Agency shall adopt, and revise when appropriate,
26rules and regulations necessary to implement the provisions of

 

 

SB0025 Enrolled- 1002 -LRB104 07069 BAB 17106 b

1this Section, including methods that provide for establishing
2that a claimant has exercised reasonable diligence in
3satisfying the conditions of the application requirements, for
4specifying the proof necessary to establish a damage or loss
5compensable under this Section and for establishing the
6administrative procedures to be followed in reviewing claims.
7    (g) Claims approved by the Director shall be paid from the
8Low-Level Radioactive Waste Facility Operation Fund Low-Level
9Radioactive Waste Facility Development and Operation Fund,
10except that claims shall not be paid in excess of the amount
11available in the Fund. In the case of insufficient amounts in
12the Fund to satisfy claims against the Fund, the General
13Assembly may appropriate monies to the Fund in amounts it
14deems necessary to pay the claims.
15(Source: P.A. 104-2, eff. 6-16-25.)
 
16    (420 ILCS 20/17)  (from Ch. 111 1/2, par. 241-17)
17    Sec. 17. Penalties.
18    (a) Any person operating any facility in violation of
19Section 8 shall be subject to a civil penalty not to exceed
20$100,000 per day of violation.
21    (b) Any person failing to pay the fees provided for in
22Section 13 shall be liable to a civil penalty not to exceed 4
23times the amount of the fees not paid.
24    (c) At the request of the Agency, the civil penalties
25shall be recovered in an action brought by the Attorney

 

 

SB0025 Enrolled- 1003 -LRB104 07069 BAB 17106 b

1General on behalf of the State in the circuit court in which
2the violation occurred. All amounts collected from fines under
3this Section shall be deposited into the Low-Level Radioactive
4Waste Facility Operation Fund Low-Level Radioactive Waste
5Facility Development and Operation Fund.
6(Source: P.A. 104-2, eff. 6-16-25.)
 
7    (420 ILCS 20/21)  (from Ch. 111 1/2, par. 241-21)
8    Sec. 21. Shared Liability. Any state which enacts the
9Central Midwest Interstate Low-Level Radioactive Waste Compact
10and has as its resident a generator shall be liable for the
11cost of post-closure care in excess of funds available from
12the Low-Level Radioactive Waste Facility Operation Fund    
13Low-Level Radioactive Waste Facility Development and Operation
14Fund or from any liability insurance or other means of
15establishing financial responsibility in an amount sufficient
16to provide for any necessary corrective actions or liabilities
17arising during the period of post-closure care. The extent of
18such liability shall not be in excess of the prorated share of
19the volume of waste placed in the facility by the generators of
20each state which has enacted the Central Midwest Interstate
21Low-Level Radioactive Waste Compact. However, this Section
22shall not apply to a party state with a total volume of waste
23recorded on low-level radioactive waste manifests for any year
24that is less than 10 percent of the total volume recorded on
25such manifests for the region during the same year.

 

 

SB0025 Enrolled- 1004 -LRB104 07069 BAB 17106 b

1(Source: P.A. 104-2, eff. 6-16-25.)
 
2    Section 90-75. The Radioactive Waste Storage Act is
3amended by changing Sections 0.05 and 1 as follows:
 
4    (420 ILCS 35/0.05)
5    Sec. 0.05. Definitions. In this Act:
6    "IEMA-OHS" means the Illinois Emergency Management Agency
7and Office of Homeland Security, or its successor agency.
8    "Director" means the Director of IEMA-OHS.
9    "Nuclear power plant" or "nuclear steam-generating
10facility" means a thermal power plant in which the energy
11(heat) released by the fissioning of nuclear fuel is used to
12boil water to produce steam.
13    "Nuclear facilities" means nuclear power plants,
14facilities housing nuclear test and research reactors,
15facilities for the chemical conversion of uranium, and
16facilities for the storage of spent nuclear fuel or high-level
17radioactive waste.
18    "Nuclear power reactor" means an apparatus, other than an
19atomic weapon, designed or used to sustain nuclear fission in
20a self-supporting chain reaction.
21    "Small modular reactor" or "SMR" means an advanced nuclear
22reactor: (1) with a rated nameplate capacity of 300 electrical
23megawatts or less; and (2) that may be constructed and
24operated in combination with similar reactors at a single

 

 

SB0025 Enrolled- 1005 -LRB104 07069 BAB 17106 b

1site.
2(Source: P.A. 103-569, eff. 6-1-24.)
 
3    (420 ILCS 35/1)  (from Ch. 111 1/2, par. 230.1)
4    Sec. 1. The Director is authorized to acquire by private
5purchase, acceptance, or by condemnation in the manner
6provided for the exercise of the power of eminent domain under
7the Eminent Domain Act, any and all lands, buildings and
8grounds where radioactive by-products and wastes produced by
9industrial, medical, agricultural, scientific or other
10organizations can be concentrated, stored or otherwise
11disposed in a manner consistent with the public health and
12safety. Whenever, in the judgment of the Director, it is
13necessary to relocate existing facilities for the
14construction, operation, closure or long-term care of a
15facility for the safe and secure disposal of low-level
16radioactive waste, the cost of relocating such existing
17facilities may be deemed a part of the disposal facility land
18acquisition and the Agency may, on behalf of the State, pay
19such costs. Existing facilities include public utilities,
20commercial or industrial facilities, residential buildings,
21and such other public or privately owned buildings as the
22Director deems necessary for relocation. The Agency is
23authorized to operate a relocation program, and to pay such
24costs of relocation as are provided in the federal "Uniform
25Relocation Assistance and Real Property Acquisition Policies

 

 

SB0025 Enrolled- 1006 -LRB104 07069 BAB 17106 b

1Act", Public Law 91-646. The Director is authorized to exceed
2the maximum payments provided pursuant to the federal "Uniform
3Relocation Assistance and Real Property Acquisition Policies
4Act" if necessary to assure the provision of decent, safe, and
5sanitary housing, or to secure a suitable alternate location.
6Payments issued under this Section shall be made from the
7Low-level Radioactive Waste Facility Development and Operation
8Fund established by the Illinois Low-Level Radioactive Waste
9Management Act.
10(Source: P.A. 103-569, eff. 6-1-24.)
 
11    Section 90-80. The Radioactive Waste Tracking and
12Permitting Act is amended by changing Sections 10 and 15 as
13follows:
 
14    (420 ILCS 37/10)
15    Sec. 10. Definitions. As used in this Act:    
16    (a) "Agency" or "IEMA-OHS" means the Illinois Emergency
17Management Agency and Office of Homeland Security, or its
18successor agency.
19    (b) "Director" means the Director of the Agency.
20    (c) "Disposal" means the isolation of waste from the
21biosphere in a permanent facility designed for that purpose.
22    (d) "Facility" means a parcel of land or a site, together
23with structures, equipment, and improvements on or appurtenant
24to the land or site, that is used or is being developed for the

 

 

SB0025 Enrolled- 1007 -LRB104 07069 BAB 17106 b

1treatment, storage, or disposal of low-level radioactive
2waste.
3    (e) "Low-level radioactive waste" or "waste" means
4radioactive waste not classified as (1) high-level radioactive
5waste, (2) transuranic waste, (3) spent nuclear fuel, or (4)
6byproduct material as defined in Sections 11e(2), 11e(3), and
711e(4) of the Atomic Energy Act (42 U.S.C. 2014). This
8definition shall apply notwithstanding any declaration by the
9federal government, a state, or any regulatory agency that any
10radioactive material is exempt from any regulatory control.
11    (e-5) "Nuclear facilities" means nuclear power plants,
12facilities housing nuclear test and research reactors,
13facilities for the chemical conversion of uranium, and
14facilities for the storage of spent nuclear fuel or high-level
15radioactive waste.
16    (e-10) "Nuclear power plant" or "nuclear steam-generating
17facility" means a thermal power plant in which the energy
18(heat) released by the fissioning of nuclear fuel is used to
19boil water to produce steam.
20    (e-15) "Nuclear power reactor" means an apparatus, other
21than an atomic weapon, designed or used to sustain nuclear
22fission in a self-supporting chain reaction.
23    (e-20) (Blank). "Small modular reactor" or "SMR" means an
24advanced nuclear reactor: (1) with a rated nameplate capacity
25of 300 electrical megawatts or less; and (2) that may be
26constructed and operated in combination with similar reactors

 

 

SB0025 Enrolled- 1008 -LRB104 07069 BAB 17106 b

1at a single site.
2    (f) "Person" means an individual, corporation, business
3enterprise, or other legal entity, public or private, or any
4legal successor, representative, agent, or agency of that
5individual, corporation, business enterprise, or legal entity.
6    (g) "Regional facility" or "disposal facility" means a
7facility that is located in Illinois and established by
8Illinois, under designation of Illinois as a host state by the
9Commission for disposal of waste.
10    (h) "Storage" means the temporary holding of waste for
11treatment or disposal for a period determined by Agency
12regulations.
13    (i) "Treatment" means any method, technique, or process,
14including storage for radioactive decay, that is designed to
15change the physical, chemical, or biological characteristics
16or composition of any waste in order to render the waste safer
17for transport, storage, or disposal, amenable to recovery,
18convertible to another usable material, or reduced in volume.
19(Source: P.A. 103-306, eff. 7-28-23; 103-569, eff. 6-1-24;
20revised 7-31-24.)
 
21    (420 ILCS 37/15)
22    Sec. 15. Permit requirements for the storage, treatment,
23and disposal of waste at a disposal facility.
24    (a) Upon adoption of regulations under subsection (c) of
25this Section, no person shall deposit any low-level

 

 

SB0025 Enrolled- 1009 -LRB104 07069 BAB 17106 b

1radioactive waste at a storage, treatment, or disposal
2facility in Illinois licensed under Section 8 of the Illinois
3Low-Level Radioactive Waste Management Act without a permit
4granted by the Agency.
5    (b) Upon adoption of regulations under subsection (c) of
6this Section, no person shall operate a storage, treatment, or
7disposal facility licensed under Section 8 of the Illinois
8Low-Level Radioactive Waste Management Act without a permit
9granted by the Agency.
10    (c) The Agency shall adopt regulations providing for the
11issuance, suspension, and revocation of permits required under
12subsections (a) and (b) of this Section. The regulations may
13provide a system for tracking low-level radioactive waste to
14ensure that waste that other states are responsible for
15disposing of under federal law does not become the
16responsibility of the State of Illinois. The regulations shall
17be consistent with the Federal Hazardous Materials
18Transportation Act.
19    (d) The Agency may enter into a contract or contracts for
20operation of the system for tracking low-level radioactive
21waste as provided in subsection (c) of this Section.
22    (e) A person who violates this Section or any regulation
23promulgated under this Section shall be subject to a civil
24penalty, not to exceed $10,000, for each violation. Each day a
25violation continues shall constitute a separate offense. A
26person who fails to pay a civil penalty imposed by a regulation

 

 

SB0025 Enrolled- 1010 -LRB104 07069 BAB 17106 b

1adopted under this Section, or any portion of the penalty, is
2liable in a civil action in an amount not to exceed 4 times the
3amount imposed and not paid. At the request of the Agency, the
4Attorney General shall, on behalf of the State, bring an
5action for the recovery of any civil penalty provided for by
6this Section. Any civil penalties so recovered shall be
7deposited into the Low-Level Radioactive Waste Facility
8Operation Fund Low-Level Radioactive Waste Facility
9Development and Operation.
10(Source: P.A. 103-569, eff. 6-1-24; 104-2, eff. 6-16-25.)
 
11    Section 90-85. The Radiation Protection Act of 1990 is
12amended by changing Section 4 as follows:
 
13    (420 ILCS 40/4)  (from Ch. 111 1/2, par. 210-4)
14    (Section scheduled to be repealed on January 1, 2027)
15    Sec. 4. Definitions. As used in this Act:
16    (a) "Accreditation" means the process by which the Agency
17grants permission to persons meeting the requirements of this
18Act and the Agency's rules and regulations to engage in the
19practice of administering radiation to human beings.
20    (a-2) "Agency" or "IEMA-OHS" means the Illinois Emergency
21Management Agency and Office of Homeland Security, or its
22successor agency.
23    (a-3) "Assistant Director" means the Assistant Director of
24the Agency.

 

 

SB0025 Enrolled- 1011 -LRB104 07069 BAB 17106 b

1    (a-5) "By-product material" means: (1) any radioactive
2material (except special nuclear material) yielded in or made
3radioactive by exposure to radiation incident to the process
4of producing or utilizing special nuclear material; (2) the
5tailings or wastes produced by the extraction or concentration
6of uranium or thorium from any ore processed primarily for its
7source material content, including discrete surface wastes
8resulting from underground solution extraction processes but
9not including underground ore bodies depleted by such solution
10extraction processes; (3) any discrete source of radium-226
11that is produced, extracted, or converted after extraction,
12before, on, or after August 8, 2005, for use for a commercial,
13medical, or research activity; (4) any material that has been
14made radioactive by use of a particle accelerator and is
15produced, extracted, or converted after extraction before, on,
16or after August 8, 2005, for use for a commercial, medical, or
17research activity; and (5) any discrete source of naturally
18occurring radioactive material, other than source material,
19that is extracted or converted after extraction for use in
20commercial, medical, or research activity before, on, or after
21August 8, 2005, and which the U.S. Nuclear Regulatory
22Commission, in consultation with the Administrator of the
23Environmental Protection Agency, the Secretary of Energy, the
24Secretary of Homeland Security, and the head of any other
25appropriate Federal agency, determines would pose a threat to
26the public health and safety or the common defense and

 

 

SB0025 Enrolled- 1012 -LRB104 07069 BAB 17106 b

1security similar to the threat posed by a discrete source or
2radium-226.
3    (b) (Blank).
4    (c) (Blank).
5    (d) "General license" means a license, pursuant to
6regulations promulgated by the Agency, effective without the
7filing of an application to transfer, acquire, own, possess or
8use quantities of, or devices or equipment utilizing,
9radioactive material, including but not limited to by-product,
10source or special nuclear materials.
11    (d-1) "Identical in substance" means the regulations
12promulgated by the Agency would require the same actions with
13respect to ionizing radiation, for the same group of affected
14persons, as would federal laws, regulations, or orders if any
15federal agency, including but not limited to the Nuclear
16Regulatory Commission, Food and Drug Administration, or
17Environmental Protection Agency, administered the subject
18program in Illinois.
19    (d-3) "Mammography" means radiography of the breast
20primarily for the purpose of enabling a physician to determine
21the presence, size, location and extent of cancerous or
22potentially cancerous tissue in the breast.
23    (d-5) "Nuclear facilities" means nuclear power plants,
24facilities housing nuclear test and research reactors,
25facilities for the chemical conversion of uranium, and
26facilities for the storage of spent nuclear fuel or high-level

 

 

SB0025 Enrolled- 1013 -LRB104 07069 BAB 17106 b

1radioactive waste.
2    (d-5.5) "Nuclear power plant" or "nuclear steam-generating
3facility" means a thermal power plant in which the energy
4(heat) released by the fissioning of nuclear fuel is used to
5boil water to produce steam.
6    (d-5.10) "Nuclear power reactor" means an apparatus, other
7than an atomic weapon, designed or used to sustain nuclear
8fission in a self-supporting chain reaction.
9    (d-7) "Operator" is an individual, group of individuals,
10partnership, firm, corporation, association, or other entity
11conducting the business or activities carried on within a
12radiation installation.
13    (e) "Person" means any individual, corporation,
14partnership, firm, association, trust, estate, public or
15private institution, group, agency, political subdivision of
16this State, any other State or political subdivision or agency
17thereof, and any legal successor, representative, agent, or
18agency of the foregoing, other than the United States Nuclear
19Regulatory Commission, or any successor thereto, and other
20than federal government agencies licensed by the United States
21Nuclear Regulatory Commission, or any successor thereto.
22"Person" also includes a federal entity (and its contractors)
23if the federal entity agrees to be regulated by the State or as
24otherwise allowed under federal law.
25    (f) "Radiation" or "ionizing radiation" means gamma rays
26and x-rays, alpha and beta particles, high speed electrons,

 

 

SB0025 Enrolled- 1014 -LRB104 07069 BAB 17106 b

1neutrons, protons, and other nuclear particles or
2electromagnetic radiations capable of producing ions directly
3or indirectly in their passage through matter; but does not
4include sound or radio waves or visible, infrared, or
5ultraviolet light.
6    (f-5) "Radiation emergency" means the uncontrolled release
7of radioactive material from a radiation installation which
8poses a potential threat to the public health, welfare, and
9safety.
10    (g) "Radiation installation" is any location or facility
11where radiation machines are used or where radioactive
12material is produced, transported, stored, disposed of, or
13used for any purpose.
14    (h) "Radiation machine" is any device that produces
15radiation when in use.
16    (i) "Radioactive material" means any solid, liquid, or
17gaseous substance which emits radiation spontaneously.
18    (j) "Radiation source" or "source of ionizing radiation"
19means a radiation machine or radioactive material as defined
20herein.
21    (j-5) (Blank). "Small modular reactor" or "SMR" means an
22advanced nuclear reactor: (1) with a rated nameplate capacity
23of 300 electrical megawatts or less; and (2) that may be
24constructed and operated in combination with similar reactors
25at a single site.
26    (k) "Source material" means (1) uranium, thorium, or any

 

 

SB0025 Enrolled- 1015 -LRB104 07069 BAB 17106 b

1other material which the Agency declares by order to be source
2material after the United States Nuclear Regulatory
3Commission, or any successor thereto, has determined the
4material to be such; or (2) ores containing one or more of the
5foregoing materials, in such concentration as the Agency
6declares by order to be source material after the United
7States Nuclear Regulatory Commission, or any successor
8thereto, has determined the material in such concentration to
9be source material.
10    (l) "Special nuclear material" means (1) plutonium,
11uranium 233, uranium enriched in the isotope 233 or in the
12isotope 235, and any other material which the Agency declares
13by order to be special nuclear material after the United
14States Nuclear Regulatory Commission, or any successor
15thereto, has determined the material to be such, but does not
16include source material; or (2) any material artificially
17enriched by any of the foregoing, but does not include source
18material.
19    (m) "Specific license" means a license, issued after
20application, to use, manufacture, produce, transfer, receive,
21acquire, own, or possess quantities of, or devices or
22equipment utilizing radioactive materials.
23(Source: P.A. 103-569, eff. 6-1-24.)
 
24    Section 90-90. The Uranium and Thorium Mill Tailings
25Control Act is amended by changing Section 10 as follows:
 

 

 

SB0025 Enrolled- 1016 -LRB104 07069 BAB 17106 b

1    (420 ILCS 42/10)
2    Sec. 10. Definitions. As used in this Act:
3    "Agency" or "IEMA-OHS" means the Illinois Emergency
4Management Agency and Office of Homeland Security, or its
5successor agency.
6    "By-product material" means the tailings or wastes
7produced by the extraction or concentration of uranium or
8thorium from any ore processed primarily for its source
9material content, including discrete surface wastes resulting
10from underground solution extraction processes but not
11including underground ore bodies depleted by such solution
12extraction processes.
13    "Director" means the Director of the Agency.
14    "Nuclear facilities" means nuclear power plants,
15facilities housing nuclear test and research reactors,
16facilities for the chemical conversion of uranium, and
17facilities for the storage of spent nuclear fuel or high-level
18radioactive waste.
19    "Nuclear power plant" or "nuclear steam-generating
20facility" means a thermal power plant in which the energy
21(heat) released by the fissioning of nuclear fuel is used to
22boil water to produce steam.
23    "Nuclear power reactor" means an apparatus, other than an
24atomic weapon, designed or used to sustain nuclear fission in
25a self-supporting chain reaction.

 

 

SB0025 Enrolled- 1017 -LRB104 07069 BAB 17106 b

1    "Person" means any individual, corporation, partnership,
2firm, association, trust, estate, public or private
3institution, group, agency, political subdivision of this
4State, any other State or political subdivision or agency
5thereof, and any legal successor, representative, agent, or
6agency of the foregoing, other than the United States Nuclear
7Regulatory Commission, or any successor thereto, and other
8than federal government agencies licensed by the United States
9Nuclear Regulatory Commission, or any successor thereto.
10    "Radiation emergency" means the uncontrolled release of
11radioactive material from a radiation installation that poses
12a potential threat to the public health, welfare, and safety.
13    "Small modular reactor" or "SMR" means an advanced nuclear
14reactor: (1) with a rated nameplate capacity of 300 electrical
15megawatts or less; and (2) that may be constructed and
16operated in combination with similar reactors at a single
17site.
18    "Source material" means (i) uranium, thorium, or any other
19material that the Agency declares by order to be source
20material after the United States Nuclear Regulatory Commission
21or its successor has determined the material to be source
22material; or (ii) ores containing one or more of those
23materials in such concentration as the Agency declares by
24order to be source material after the United States Nuclear
25Regulatory Commission or its successor has determined the
26material in such concentration to be source material.

 

 

SB0025 Enrolled- 1018 -LRB104 07069 BAB 17106 b

1    "Specific license" means a license, issued after
2application, to use, manufacture, produce, transfer, receive,
3acquire, own, or possess quantities of radioactive materials
4or devices or equipment utilizing radioactive materials.
5(Source: P.A. 103-569, eff. 6-1-24.)
 
6    Section 90-95. The Laser System Act of 1997 is amended by
7changing Section 15 as follows:
 
8    (420 ILCS 56/15)
9    Sec. 15. Definitions. For the purposes of this Act, unless
10the context requires otherwise:
11    "Agency" or "IEMA-OHS" means the Illinois Emergency
12Management Agency and Office of Homeland Security, or its
13successor agency.
14    "Director" means the Director of the Agency.
15    "FDA" means the Food and Drug Administration of the United
16States Department of Health and Human Services.
17    "Laser installation" means a location or facility where
18laser systems are produced, stored, disposed of, or used for
19any purpose. "Laser installation" does not include any private
20residence.
21    "Laser installation operator" means an individual, group
22of individuals, partnership, firm, corporation, association,
23or other entity conducting any business or activity within a
24laser installation.

 

 

SB0025 Enrolled- 1019 -LRB104 07069 BAB 17106 b

1    "Laser machine" means a device that is capable of
2producing or projecting laser radiation when associated
3controlled devices are operated.
4    "Laser radiation" means an electromagnetic radiation
5emitted from a laser system and includes all reflected
6radiation, any secondary radiation, or other forms of energy
7resulting from the primary laser beam.
8    "Laser safety officer" means an individual who is
9qualified by training and experience in the evaluation and
10control of laser hazards, as evidenced by satisfaction of the
11training and experience requirements adopted by the Agency
12under subsection (b) of Section 16, and who is designated,
13where required by Sections 16 and 17, by a laser installation
14operator or temporary laser display operator to have the
15authority and responsibility to establish and administer a
16laser radiation protection program for a particular laser
17installation or temporary laser display.
18    "Laser system" means a device, laser projector, laser
19machine, equipment, or other apparatus that applies a source
20of energy to a gas, liquid, crystal, or other solid substances
21or combination thereof in a manner that electromagnetic
22radiations of a relatively uniform wave length are amplified
23and emitted in a cohesive beam capable of transmitting the
24energy developed in a manner that may be harmful to living
25tissues, including, but not limited to, electromagnetic waves
26in the range of visible, infrared, or ultraviolet light. Such

 

 

SB0025 Enrolled- 1020 -LRB104 07069 BAB 17106 b

1systems in schools, colleges, occupational schools, and State
2colleges and other State institutions are also included in the
3definition of "laser systems". "Laser system" includes laser
4machines but does not include any device, machine, equipment,
5or other apparatus used in the provision of communications
6through fiber optic cable.
7    "Nuclear facilities" means nuclear power plants,
8facilities housing nuclear test and research reactors,
9facilities for the chemical conversion of uranium, and
10facilities for the storage of spent nuclear fuel or high-level
11radioactive waste.
12    "Nuclear power plant" or "nuclear steam-generating
13facility" means a thermal power plant in which the energy
14(heat) released by the fissioning of nuclear fuel is used to
15boil water to produce steam.
16    "Nuclear power reactor" means an apparatus, other than an
17atomic weapon, designed or used to sustain nuclear fission in
18a self-supporting chain reaction.
19    "Small modular reactor" or "SMR" means an advanced nuclear
20reactor: (1) with a rated nameplate capacity of 300 electrical
21megawatts or less; and (2) that may be constructed and
22operated in combination with similar reactors at a single
23site.
24    "Temporary laser display" means a visual effect display
25created for a limited period of time at a laser installation by
26a laser system that is not a permanent fixture in the laser

 

 

SB0025 Enrolled- 1021 -LRB104 07069 BAB 17106 b

1installation for the entertainment of the public or invitees,
2regardless of whether admission is charged or whether the
3laser display takes place indoors or outdoors.
4    "Temporary laser display operator" means an individual,
5group of individuals, partnership, firm, corporation,
6association, or other entity conducting a temporary laser
7display at a laser installation.
8(Source: P.A. 102-558, eff. 8-20-21; 103-277, eff. 7-28-23;
9103-569, eff. 6-1-24.)
 
10
ARTICLE 99.

 
11    Section 99-97. Severability. The provisions of this Act
12are severable under Section 1.31 of the Statute on Statutes.