Bill Amendment: IL SB0018 | 2021-2022 | 102nd General Assembly

NOTE: For additional amemendments please see the Bill Drafting List

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Bill Title: ENERGY-TECH

Status: 2021-09-10 - Rule 19(a) / Re-referred to Rules Committee [SB0018 Detail]

Download: Illinois-2021-SB0018-Senate_Amendment_001.html

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Sen. Michael E. Hastings

Filed: 8/31/2021

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AMENDMENT TO SENATE BILL 18
AMENDMENT NO. ______. Amend Senate Bill 18 by replacing
everything after the enacting clause with the following:
"Article 5. Energy Transition
Section 5-1. Short title. This Article may be cited as the
Energy Transition Act. As used in this Article, "this Act"
refers to this Article.
Section 5-5. Definitions. As used in this Act:
"Apprentice" means a participant in an apprenticeship
program approved by and registered with the United States
Department of Labor's Bureau of Apprenticeship and Training.
"Apprenticeship program" means an apprenticeship and
training program approved by and registered with the United
States Department of Labor's Bureau of Apprenticeship and
Training.

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"Black, indigenous, and people of color" or "BIPOC" means
people who are members of the groups described in
subparagraphs (a) through (e) of paragraph (A) of subsection
(1) of Section 2 of the Business Enterprise for Minorities,
Women, and Persons with Disabilities Act.
"Community-based organizations" means an organization
that: (1) provides employment, skill development, or related
services to members of the community; (2) includes community
colleges, nonprofits, and local governments; (3) has at least
one main operating office in the community or region it
serves; and (4) demonstrates relationships with local
residents and other organizations serving the community.
"Department" means the Department of Commerce and Economic
Opportunity, unless the text solely specifies a particular
Department.
"Director" means the Director of Commerce and Economic
Opportunity.
"Equity eligible contractor" or "eligible contractor"
means:
(1) a business that is majority-owned by equity
investment eligible individuals or persons who are or have
been participants in the Clean Jobs Workforce Network
Program, Clean Energy Contractor Incubator Program,
Returning Residents Clean Jobs Training Program, Illinois
Climate Works Preapprenticeship Program, or Clean Energy
Primes Contractor Accelerator Program;

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(2) a nonprofit or cooperative that is
majority-governed by equity investment eligible
individuals or persons who are or have been participants
in the Clean Jobs Workforce Network Program, Clean Energy
Contractor Incubator Program, Returning Residents Clean
Jobs Training Program, Illinois Climate Works
Preapprenticeship Program, or Clean Energy Primes
Contractor Accelerator Program; or
(3) an equity investment eligible person or an
individual who is or has been a participant in the Clean
Jobs Workforce Network Program, Clean Energy Contractor
Incubator Program, Returning Residents Clean Jobs Training
Program, Illinois Climate Works Preapprenticeship Program,
or Clean Energy Primes Contractor Accelerator Program and
who is offering personal services as an independent
contractor.
"Equity focused populations" means (i) low-income persons;
(ii) persons residing in equity investment eligible
communities; (iii) persons who identify as black, indigenous,
and people of color; (iv) formerly convicted persons; (v)
persons who are or were in the child welfare system; (vi)
energy workers; (vii) dependents of displaced energy workers;
(viii) women; (ix) LGBTQ+, transgender, or gender
nonconforming persons; (x) persons with disabilities; and (xi)
members of any of these groups who are also youth.
"Equity investment eligible community" and "eligible

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community" are synonymous and mean the geographic areas
throughout Illinois which would most benefit from equitable
investments by the State designed to combat discrimination and
foster sustainable economic growth. Specifically, the eligible
communities means the following areas:
(1) R3 Areas as established pursuant to Section 10-40
of the Cannabis Regulation and Tax Act, where residents
have historically been excluded from economic
opportunities, including opportunities in the energy
sector; and
(2) Environmental justice communities, as defined by
the Illinois Power Agency pursuant to the Illinois Power
Agency Act, but excluding racial and ethnic indicators,
where residents have historically been subject to
disproportionate burdens of pollution, including pollution
from the energy sector.
"Equity investment eligible person" and "eligible person"
are synonymous and mean the persons who would most benefit
from equitable investments by the State designed to combat
discrimination and foster sustainable economic growth.
Specifically, eligible persons means the following people:
(1) persons whose primary residence is in an equity
investment eligible community;
(2) persons who are graduates of or currently enrolled
in the foster care system; or
(3) persons who were formerly incarcerated.

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"Climate Works Hub" means a nonprofit organization
selected by the Department to act as a workforce intermediary
and to participate in the Illinois Climate Works
Preapprenticeship Program. To qualify as a Climate Works Hub,
the organization must demonstrate the following:
(1) the ability to effectively serve diverse and
underrepresented populations, including by providing
employment services to such populations;
(2) experience with the construction and building
trades;
(3) the ability to recruit, prescreen, and provide
preapprenticeship training to prepare workers for
employment in the construction and building trades; and
(4) a plan to provide the following:
(A) preparatory classes;
(B) workplace readiness skills, such as resume
preparation and interviewing techniques;
(C) strategies for overcoming barriers to entry
and completion of an apprenticeship program; and
(D) any prerequisites for acceptance into an
apprenticeship program.
Section 5-10. Findings. The General Assembly finds that
the clean energy sector is a growing area of the economy in the
State of Illinois. The General Assembly further finds that
State investment in the clean energy economy in Illinois can

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be a vehicle for expanding equitable access to public health,
safety, a cleaner environment, quality jobs, and economic
opportunity.
It is in the public policy interest of the State to ensure
that Illinois residents from communities disproportionately
impacted by climate change, communities facing coal plant or
coal mine closures, and economically disadvantaged communities
and individuals experiencing barriers to employment have
access to State programs and good jobs and career
opportunities in growing sectors of the State economy. To
promote those interests in the growing clean energy sector,
the General Assembly hereby creates this Act to increase
access to and opportunities for education, training, and
support services these individuals need to succeed in the
labor market generally and the clean energy sector
specifically. The General Assembly further finds that the
programs included in this Act are essential to equitable,
statewide access to quality training, jobs, and economic
opportunities across the clean energy sector.
Section 5-15. Regional Administrators.
(a) Subject to appropriation, the Department shall select
3 unique Regional Administrators: one Regional Administrator
for coordination of the work in the Northern Illinois Program
Delivery Area, one Regional Administrator for coordination of
the work in the Central Illinois Program Delivery Area, and

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one Regional Administrator for coordination of the work in the
Southern Illinois Program Delivery Area.
(b) The Regional Administrators shall have strong
capabilities, experience, and knowledge related to program
development and fiscal management; cultural and language
competency needed to be effective in their respective
communities to be served; expertise in working in and with
BIPOC and environmental justice communities; knowledge and
experience in working with employer or sectoral partnerships,
if applicable, in clean energy or related sectors; and
awareness of industry trends and activities, workforce
development best practices, regional workforce development
needs, regional and industry employers, and community
development. The Regional Administrators shall demonstrate a
track record of strong partnerships with community-based
organizations and labor organizations.
(c) The Regional Administrators shall work together to
administer the implementation of the Clean Jobs Workforce
Network Program, the Illinois Climate Works Preapprenticeship
Program, the Clean Energy Contractor Incubator Program, and
the Returning Resident Clean Jobs Training Program.
Section 5-20. Clean Jobs Workforce Network Program.
(a) As used in this Section, "Program" means the Clean
Jobs Workforce Network Program.
(b) Subject to appropriation, the Department shall develop

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and, through Regional Administrators, administer the Clean
Jobs Workforce Network Program to create a network of 13
Program delivery Hub Sites with program elements delivered by
community-based organizations and their subcontractors
geographically distributed across the State including at least
one Hub Site located in or near each of the following areas:
Chicago (South Side), Chicago (Southwest and West Sides),
Waukegan, Rockford, Aurora, Joliet, Peoria, Champaign,
Danville, Decatur, Carbondale, East St. Louis, and Alton.
(c) The Program shall be available to members of one or
more of the populations eligible under subsection (d) to enter
and complete the career pipeline leading to an
industry-recognized certification or credential, or
postsecondary credential for clean energy or related sector
jobs, with the goal of serving all of the equity focused
populations distributed across the network.
(d) The Program shall be available to members of one or
more of the population groups listed as equity focused
populations from communities in the following order of
priority:
(i) Communities that host coal-fired power plants or
coal mines.
(ii) Communities across the State.
(e) In admitting program participants, for each workforce
Hub Site, the Regional Administrators shall:
(1) in each Hub Site where the applicant pool allows:

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(A) dedicate at least one-third of program
placements to applicants who reside in a geographic
area that is impacted by economic and environmental
challenges, defined as an area that is both (i) an R3
Area, as defined pursuant to Section 10-40 of the
Cannabis Regulation and Tax Act, and (ii) an
environmental justice community, as defined by the
Illinois Power Agency, excluding any racial or ethnic
indicators used by the agency unless and until the
constitutional basis for their inclusion in
determining program admissions is established. Among
applicants that satisfy these criteria, preference
shall be given to applicants who face barriers to
employment, such as low educational attainment, prior
involvement with the criminal legal system, and
language barriers; and applicants that are graduates
of or currently enrolled in the foster care system;
and
(B) dedicate at least two-thirds of program
placements to applicants that satisfy the criteria in
paragraph (1) or who reside in a geographic area that
is impacted by economic or environmental challenges,
defined as an area that is either (i) an R3 Area, as
defined pursuant to Section 10-40 of the Cannabis
Regulation and Tax Act, or (ii) an environmental
justice community, as defined by the Illinois Power

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Agency, excluding any racial or ethnic indicators used
by the agency unless and until the constitutional
basis for their inclusion in determining program
admissions is established. Among applicants that
satisfy these criteria, preference shall be given to
applicants who face barriers to employment, such as
low educational attainment, prior involvement with the
criminal legal system, and language barriers; and
applicants that are graduates of or currently enrolled
in the foster care system; and
(2) prioritize the remaining program placements for:
applicants who are displaced energy workers as defined in
the Energy Community Reinvestment Act; persons who face
barriers to employment, including low educational
attainment, prior involvement with the criminal legal
system, and language barriers; and applicants who are
graduates of or currently enrolled in the foster care
system, regardless of the applicant's area of residence.
The Department and Regional Administrators shall protect
the confidentiality of any personal information provided by
program applicants regarding the applicant's status as a
formerly incarcerated person or foster care recipient;
however, the Department or Regional Administrators may publish
aggregated data on the number of participants that were
formerly incarcerated or foster care recipients so long as
that publication protects the identities of those persons.

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Any person who applies to the program may elect not to
share with the Department or Regional Administrators whether
he or she is a graduate or currently enrolled in the foster
care system or was formerly convicted.
(f) Program elements for each Hub Site shall be provided
by a community-based organization. The Department shall
initially select a community-based organization in each Hub
Site and shall subsequently select a community-based
organization in each Hub Site every 3 years. Community-based
organizations delivering program elements outlined in
subsection (g) may provide all elements required or may
subcontract to other entities for provision of portions of
program elements, including, but not limited to,
administrative soft and hard skills for program participants,
delivery of specific training in the core curriculum, or
provision of other support functions for program delivery
compliance.
(g) The Clean Jobs Workforce Hubs Network shall:
(1) coordinate with Energy Transition Navigators: (i)
to increase participation in the Clean Jobs Workforce
Network Program and clean energy and related sector
workforce and training opportunities; (ii) coordinate
recruitment, communications, and ongoing engagement with
potential employers, including, but not limited to,
activities such as job matchmaking initiatives, hosting
events such as job fairs, and collaborating with other Hub

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Sites to identify and implement best practices for
employer engagement; and (iii) leverage community-based
organizations, educational institutions, and
community-based and labor-based training providers to
ensure members of equity focused populations across the
State have dedicated and sustained support to enter and
complete the career pipeline for clean energy and related
sector jobs;
(2) develop formal partnerships, including formal
sector partnerships between community-based organizations
and entities that provide clean energy jobs, including
businesses, nonprofit organizations, and worker-owned
cooperatives, to ensure that Program participants have
priority access to employment training and hiring
opportunities; and
(3) implement the Clean Jobs Curriculum to provide,
including, but not limited to, training, certification
preparation, job readiness, and skill development,
including soft skills, math skills, technical skills,
certification test preparation, and other development
needed, to Program participants.
(h) Funding for the Program is subject to appropriation
from the Energy Transition Assistance Fund.
(i) The Department shall require submission of quarterly
reports, including program performance metrics by each Hub
Site to the Regional Administrator of their Program Delivery

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Area. Program performance metric include, but are not limited
to:
(1) demographic data, including racial, gender,
residency in eligible communities, and geographic
distribution data, on Program trainees entering and
graduating the Program;
(2) demographic data, including racial, gender,
residency in eligible communities, and geographic
distribution data, on Program trainees who are placed in
employment, including the percentages of trainees by race,
gender, and geographic categories in each individual job
type or category and whether employment is union,
nonunion, or nonunion via temporary agency;
(3) trainee job acquisition and retention statistics,
including the duration of employment (start and end dates
of hires) by race, gender, and geography;
(4) hourly wages, including hourly overtime pay rate,
and benefits of trainees placed into employment by race,
gender, and geography;
(5) percentage of jobs by race, gender, and geography
held by Program trainees or graduates that are full-time
equivalent positions, meaning that the position held is
full-time, direct, and permanent based on 2,080 hours
worked per year (paid directly by the employer, whose
activities, schedule, and manner of work the employer
controls, and receives pay and benefits in the same manner

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as permanent employees); and
(6) qualitative data consisting of open-ended
reporting on pertinent issues, including, but not limited
to, qualitative descriptions accompanying metrics or
identifying key successes and challenges.
(j) Within 3 years after the effective date of this Act,
the Department shall select an independent evaluator to review
and prepare a report on the performance of the Program and
Regional Administrators.
Section 5-25. Clean Jobs Curriculum.
(a) As used in this Section, "clean energy jobs", subject
to administrative rules, means jobs in the solar energy, wind
energy, energy efficiency, energy storage, solar thermal,
green hydrogen, geothermal, electric vehicle industries, other
renewable energy industries, industries achieving emission
reductions, and other related sectors including related
industries that manufacture, develop, build, maintain, or
provide ancillary services to renewable energy resources or
energy efficiency products or services, including the
manufacture and installation of healthier building materials
that contain fewer hazardous chemicals. "Clean energy jobs"
includes administrative, sales, other support functions within
these industries and other related sector industries.
(b) The Department shall convene a comprehensive
stakeholder process that includes representatives from the

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State Board of Education, the Illinois Community College
Board, the Department of Labor, community-based organizations,
workforce development providers, labor unions, building
trades, educational institutions, residents of BIPOC and
low-income communities, residents of environmental justice
communities, clean energy businesses, nonprofit organizations,
worker-owned cooperatives, other groups that provide clean
energy jobs opportunities, groups that provide construction
and building trades job opportunities, and other participants
to identify the career pathways and training curriculum needed
for participants to be skilled, work ready, and able to enter
clean energy jobs. The curriculum shall:
(1) identify the core training curricular competency
areas needed to prepare workers to enter clean energy and
related sector jobs;
(2) identify a set of required core cross-training
competencies provided in each training area for clean
energy jobs with the goal of enabling any trainee to
receive a standard set of skills common to multiple
training areas that would provide a foundation for
pursuing a career composed of multiple clean energy job
types;
(3) include approaches to integrate broad occupational
training to provide career entry into the general
construction and building trades sector and any remedial
education and work readiness support necessary to achieve

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educational and professional eligibility thresholds; and
(4) identify on-the-job training formats, where
relevant, and identify suggested trainer certification
standards, where relevant.
(c) The Department shall publish a report that includes
the findings, recommendations, and core curriculum identified
by the stakeholder group and shall post a copy of the report on
its public website. The Department shall convene the process
described to update and modify the recommended curriculum
every 3 years to ensure the curriculum contents are current to
the evolving clean energy industries, practices, and
technologies.
(d) Organizations that receive funding to provide training
under the Clean Jobs Workforce Network Program, including, but
not limited to, community-based and labor-based training
providers, and educational institutions must use the core
curriculum that is developed under this Section.
Section 5-30. Energy Transition Barrier Reduction Program.
(a) As used in this Section, "Program" means the Energy
Transition Barrier Reduction Program.
(b) Subject to appropriation, the Department shall create
and administer an Energy Transition Barrier Reduction Program.
The Program shall be used to provide supportive services for
individuals impacted by the energy transition. Services
allowed are intended to help program-eligible individuals

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overcome financial and other barriers to participation in the
Clean Jobs Workforce Network Program and the Illinois Climate
Works Preapprenticeship Program.
(c) The Program shall be available to program-eligible
individuals from communities in the following order of
priority:
(1) communities that host coal-fired power plants or
coal mines;
(2) communities across the State.
(d) The Department shall determine appropriate allowable
program costs, elements, and financial supports to reduce
barriers to successful participation in the Clean Jobs
Workforce Program and the Illinois Climate Works
Preapprenticeship Program for equity focused populations.
(e) Community-based organizations and other nonprofits
selected by the Department shall provide supportive services
described in this Section to equity focused populations
participating in the Clean Jobs Workforce Network Program and
Illinois Climate Works Preapprenticeship Program.
(f) The community-based organizations that provide support
services under this Section shall coordinate with the Energy
Transition Navigators to ensure equity focused populations
have access to these services.
(g) Funding for the Program is subject to appropriation
from the Energy Transition Assistance Fund.

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Section 5-35. Energy Transition Navigators.
(a) As used in this Section:
"Community-based provider" means a not-for-profit
organization that has a history of serving low-wage or
low-skilled workers or individuals from economically
disadvantaged communities.
"Economically disadvantaged community" means areas of one
or more census tracts where the average household income does
not exceed 80% of the area median income.
(b) In order to engage equity focused populations to
participate in the Clean Jobs Workforce Network Program and
the Illinois Climate Works Preapprenticeship Program and
utilize the services offered under the Energy Transition
Barrier Reduction Program, the Department shall, subject to
appropriation, contract with community-based providers to
serve as Energy Transition Navigators. Energy Transition
Navigators shall provide education, outreach, and recruitment
services to equity focused populations, prioritizing
Program-eligible individuals, to make sure they are aware of
and engaged in the statewide and local workforce development
systems. Additional strategies may include, but are not
limited to, recruitment activities and events.
(c) For members of equity focused populations,
prioritizing Program-eligible individuals, who may be
interested in entrepreneurial pursuits, Energy Transition
Navigators may connect these individuals with their area Small

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Business Development Center, Procurement Technical Assistance
Centers, or economic development organization to engage in
services, including, but not limited to, business consulting,
business planning, regulatory compliance, marketing, training,
accessing capital, government bid, and certification
assistance.
(d) Energy Transition Navigators shall engage equity
focused populations, prioritizing Program-eligible
individuals, organizations working with these populations,
local workforce innovation boards, and other relevant
stakeholders to coordinate outreach initiatives to promote
information regarding programs and services offered under the
Clean Jobs Workforce Network Program, the Illinois Climate
Works Preapprenticeship Program, and the Energy Transition
Barrier Reduction Program. Energy Transition Navigators shall
provide support where reasonable to individuals and entities
applying for these services and programs.
(e) Community education, outreach, and recruitment
regarding the Clean Jobs Workforce Network Program, the
Illinois Climate Works Preapprenticeship Program, and Energy
Transition Barrier Reduction Program shall be targeted to the
equity focused populations, prioritizing Program-eligible
individuals.
(f) Community-based providers shall partner with
educational institutions or organizations working with equity
focused populations, local employers, labor unions, and others

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to identify members of equity focused populations in eligible
communities who are unable to advance in their careers due to
inadequate skills. Community-based providers shall provide
information and consultation to equity focused populations,
prioritizing Program-eligible individuals, on various
educational opportunities and supportive services available to
them.
(g) Community-based providers shall establish partnerships
with employers, educational institutions, local economic
development organizations, environmental justice
organizations, trades groups, labor unions, and entities that
provide jobs, including businesses and other nonprofit
organizations, to target the skill needs of local industry.
The community-based provider shall work with local workforce
innovation boards and other relevant partners to develop skill
curriculum and career pathway support for disadvantaged
individuals in equity focused populations, prioritizing
Program-eligible individuals, that meets local employers'
needs and establishes job placement opportunities after
training.
(h) Funding for the Program is subject to appropriation
from the Energy Transition Assistance Fund. Priority in
awarding grants under this Section will be given to
organizations that also have experience serving populations
impacted by climate change.
(i) Each community-based organization that receives

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funding from the Department as an Energy Transition Navigator
shall provide an annual report to the Department by April 1 of
each calendar year. The annual report shall include the
following information:
(1) a description of the community-based
organization's recruitment, screening, and training
efforts;
(2) the number of individuals who apply to,
participate in, and complete programs offered through the
Energy Transition Workforce Program, broken down by race,
gender, age, and location; and
(3) any other information deemed necessary by the
Department.
Section 5-40. Illinois Climate Works Preapprenticeship
Program.
(a) Subject to appropriation, the Department shall
develop, and through Regional Administrators administer, the
Illinois Climate Works Preapprenticeship Program. The goal of
the Illinois Climate Works Preapprenticeship Program is to
create a network of hubs throughout the State that will
recruit, prescreen, and provide preapprenticeship skills
training, for which participants may attend free of charge and
receive a stipend, to create a qualified, diverse pipeline of
workers who are prepared for careers in the construction and
building trades and clean energy jobs opportunities therein.

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Upon completion of the Illinois Climate Works
Preapprenticeship Program, the candidates will be connected to
and prepared to successfully complete an apprenticeship
program.
(b) Each Climate Works Hub that receives funding from the
Energy Transition Assistance Fund shall provide an annual
report to the Illinois Works Review Panel by April 1 of each
calendar year. The annual report shall include the following
information:
(1) a description of the Climate Works Hub's
recruitment, screening, and training efforts, including a
description of training related to construction and
building trades opportunities in clean energy jobs;
(2) the number of individuals who apply to,
participate in, and complete the Climate Works Hub's
program, broken down by race, gender, age, and veteran
status;
(3) the number of the individuals referenced in
paragraph (2) of this subsection who are initially
accepted and placed into apprenticeship programs in the
construction and building trades; and
(4) the number of individuals referenced in paragraph
(2) of this subsection who remain in apprenticeship
programs in the construction and building trades or have
become journeymen one calendar year after their placement,
as referenced in paragraph (3) of this subsection.

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(c) Subject to appropriation, the Department shall provide
funding to 3 Climate Works Hubs throughout the State,
including one to the Illinois Department of Transportation
Region 1, one to the Illinois Department of Transportation
Regions 2 and 3, and one to the Illinois Department of
Transportation Regions 4 and 5. The Department shall initially
select a community-based provider in each region and shall
subsequently select a community-based provider in each region
every 3 years.
(d) The Climate Works Hubs shall recruit, prescreen, and
provide preapprenticeship training to equity investment
eligible persons. This training shall include information
related to opportunities and certifications relevant to clean
energy jobs in the construction and building trades.
(e) Training provided by the Climate Works Hubs shall be
available to members of equity focused populations from
communities in the following order of priority: (i)
communities that host coal-fired power plants or coal mines,
or both; and (ii) communities across the State.
(f) Funding for the Program is subject to appropriation
from the Energy Transition Assistance Fund.
(g) The Department shall adopt any rules deemed necessary
to implement this Section.
Section 5-45. Clean Energy Contractor Incubator Program.
(a) As used in this Section, "community-based

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organization" means a nonprofit organization, including an
accredited public college or university that:
(1) has a history of providing business-related
assistance and knowledge to help entrepreneurs start, run,
and grow their businesses;
(2) has knowledge of construction and clean energy
trades;
(3) demonstrates relationships with local residents
and other organizations serving the community; and
(4) demonstrates the ability to effectively serve
diverse and underrepresented populations.
(b) Subject to appropriation, the Department shall
develop, and through the Regional Administrators, administer
the Clean Energy Contractor Incubator Program ("Program") to
create a network of 13 Program delivery Hub Sites with program
elements delivered by community-based organizations and their
subcontractors geographically distributed across the State,
including at least one Hub Site located in or near each of the
following areas: Chicago (South Side), Chicago (Southwest and
West Sides), Waukegan, Rockford, Aurora, Joliet, Peoria,
Champaign, Danville, Decatur, Carbondale, East St. Louis, and
Alton.
(c) In admitting program participants, for each Contractor
Incubator Hub Site the Regional Administrators shall:
(1) in each Hub Site where the applicant pool allows:
(A) dedicate at least one-third of program

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placements to the owners of clean energy contractor
businesses and nonprofits who reside in a geographic
area that is impacted by economic and environmental
challenges, defined as an area that is both (i) an R3
Area, as defined pursuant to Section 10-40 of the
Cannabis Regulation and Tax Act, and (ii) an
environmental justice community, as defined by the
Illinois Power Agency, excluding any racial or ethnic
indicators used by the agency unless and until the
constitutional basis for their inclusion in
determining program admissions is established. Among
applicants that satisfy these criteria, preference
shall be given to applicants who face barriers to
employment, such as low educational attainment, prior
involvement with the criminal legal system, and
language barriers; and applicants that are graduates
of or currently enrolled in the foster care system;
and
(B) dedicate at least two-thirds of program
placements to the owners of clean energy contractor
businesses and nonprofits that satisfy the criteria in
paragraph (1) or who reside in eligible communities.
Among applicants who live in eligible communities,
preference shall be given to applicants who face
barriers to employment, such as low educational
attainment, prior involvement with the criminal legal

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system, and language barriers; and applicants that are
graduates of or currently enrolled in the foster care
system; and
(2) prioritize the remaining program placements for:
applicants who are displaced energy workers as defined in
the Energy Community Reinvestment Act; persons who face
barriers to employment, including low educational
attainment, prior involvement with the criminal legal
system, and language barriers; and applicants who are
graduates of or currently enrolled in the foster care
system, regardless of the applicants' area of residence.
Consideration shall also be given to any current or past
participant in the Clean Jobs Workforce Network Program,
Illinois Climate Works Preapprenticeship Program, or Returning
Residents Clean Energy Jobs Training Program.
The Department and Regional Administrators shall protect
the confidentiality of any personal information provided by
program applicants regarding the applicant's status as a
formerly incarcerated person or foster care recipient;
however, the Department or Regional Administrators may publish
aggregated data on the number of participants that were
formerly incarcerated or foster care recipients so long as
that publication protects the identities of those persons.
Any person who applies to the program may elect not to
share with the Department or Regional Administrators whether
he or she is a graduate or currently enrolled in the foster

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care system or was formerly convicted.
(d) Program elements at each Hub Site shall be provided by
a local community-based organization. The Department shall
initially select a community-based organization in each Hub
Site and shall subsequently select a community-based
organization in each Hub Site every 3 years. Community-based
organizations delivering program elements outlined in
subsection (e) may provide all elements required or may
subcontract to other entities for provision of portions of
program elements, including, but not limited to,
administrative soft and hard skills for program participants,
delivery of specific training in the core curriculum, or
provision of other support functions for program delivery
compliance.
(e) The Clean Energy Contractor Incubator Program shall:
(1) provide access to low-cost capital for small clean
energy businesses and contractors;
(2) provide support for obtaining financial assurance,
including, but not limited to: bonding; back office
services; insurance, permits, training and certifications;
business planning; and low-interest loans;
(3) train, mentor, and provide other support needed to
allow participant contractors to: (i) build their
businesses and connect to specific projects, (ii) register
as approved vendors, (iii) engage in approved vendor
subcontracting and qualified installer opportunities, (iv)

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develop partnering and networking skills, (v) compete for
capital and other resources, and (vi) execute clean
energy-related project installations and subcontracts;
(4) ensure that participant contractors, community
partners, and potential contractor clients are aware of
and engaged in the Program;
(5) provide prevailing wage compliance training and
back office support to implement prevailing wage
practices; and
(6) provide recruitment and ongoing engagement with
entities that hire contractors and subcontractors,
programs providing renewable energy resource-related
projects, incentive programs, and approved vendor and
qualified installer opportunities, including, but not
limited to, activities such as matchmaking, events, and
collaborating with other Hub Sites.
(f) Funding for the Program is subject to appropriation
from the Energy Transition Assistance Fund.
(g) The Department shall require submission of quarterly
reports including program performance metrics by each Hub Site
to the Regional Administrator of their Program Delivery Area.
Program performance metrics include, but are not limited to:
(1) demographic data including: race, gender,
geographic location, R3 residency, Environmental Justice
Community residency, foster care system participation, and
justice-involvement for the owners of contractors

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applying, accepted into, and graduating from the Program;
(2) the number of projects completed by participant
contractors, alone or in partnership, by race, gender,
geographic location, R3 residency, Environmental Justice
Community residency, foster care system participation, and
justice-involvement for the owners of contractors;
(3) the number of partnerships with participant
contractors that are expected to result in contracts for
work by the participant contractor, by race, gender,
geographic location, R3 residency, Environmental Justice
Community residency, foster care system participation, and
justice-involvement for the owners of contractors;
(4) changes in participant contractors' business
revenue, by race, gender, geographic location, R3
residency, Environmental Justice Community residency,
foster care system participation, and justice-involvement
for the owners of contractors;
(5) the number of new hires by participant
contractors, by race, gender, geographic location, R3
residency, Environmental Justice Community residency,
foster care system participation, and justice-involvement
for the owners of contractors;
(6) demographic data, including race, gender,
geographic location, R3 residency, Environmental Justice
Community residency, foster care system participation, and
justice-involvement, and average wage data, for new hires

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by participant contractors;
(7) certifications held by participant contractors,
and number of participants holding each certification,
including, but not limited to, registration under the
Business Enterprise for Minorities, Women, and Persons
with Disabilities Act program and other programs intended
to certify BIPOC entities;
(8) the number of Program sessions attended by
participant contractors, aggregated by race; and
(9) indicators relevant for assessing the general
financial health of participant contractors.
(h) Within 3 years after the effective date of this Act,
the Department shall select an independent evaluator to review
and prepare a report on the performance of the Program and
Regional Administrators. The report shall be posted publicly.
Section 5-50. Returning Residents Clean Jobs Training
Program.
(a) Subject to appropriation, the Department shall develop
and, in coordination with the Department of Corrections,
administer the Returning Residents Clean Jobs Training
Program.
(b) As used in this Section:
"Commitment" means a judicially determined placement in
the custody of the Department of Corrections on the basis of a
conviction.

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"Committed person" means a person committed to the
Department of Corrections.
"Community-based organization" means an organization that:
(1) provides employment, skill development, or related
services to members of the community;
(2) includes community colleges, nonprofits, and local
governments; and
(3) has a history of serving inmates or formerly
convicted persons.
"Correctional institution or facility" means a Department
of Corrections building or part of a Department of Corrections
building where committed persons are detained in a secure
manner.
"Department" means the Department of Corrections.
"Discharge" means the end of a sentence or the final
termination of a detainee's physical commitment to and
confinement in the Department of Corrections.
"Program" means the Returning Residents Clean Jobs
Training Program.
"Program Administrator" means, for each Program Delivery
Area, the administrator selected by the Department pursuant to
paragraph (1) of subsection (g) of this Section.
"Returning resident" means any United States resident who
is: (i) 17 years of age or older; (ii) in the physical custody
of the Department of Corrections; and (iii) scheduled to be
re-entering society within 36 months.

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(c) Returning Residents Clean Jobs Training Program.
(1) Connected services. The Program shall prepare
graduates to work in the solar power and energy efficiency
industries.
(2) Recruitment of participants. The Program
Administrators shall, in coordination with the Department
of Corrections, educate committed persons in both men's
and women's correctional institutions and facilities on
the benefits of the Program and how to enroll in the
Program.
(3) Connection to employers. The Program
Administrators shall, with assistance from the Regional
Administrators, connect Program graduates with potential
employers in the solar power and energy efficiency and
related industries.
(4) Graduation. Participants who successfully complete
all assignments in the Program shall receive a Program
graduation certificate and any certifications earned in
the process.
(5) Eligibility. A committed person in a correctional
institution or facility is eligible if the committed
person:
(i) is within 36 months of expected release;
(ii) consented in writing to participation in the
Program;
(iii) meets all Program and testing requirements;

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(iv) is willing to follow all Program
requirements; and
(v) does not pose a safety and security risk for
the facility or any person.
The Department of Corrections shall have sole discretion
to determine whether a committed person's participation in the
Program poses a safety and security risk for the facility or
any person. The Department of Corrections shall determine
whether a committed person is eligible to participate in the
Program.
(d) Program entry and testing requirements. To enter the
Returning Residents Clean Jobs Training Program, committed
persons must complete a simple application, undergo an
interview and coaching session, and must score a minimum of a
6.0 or above on the Test for Adult Basic Education. The
Returning Residents Clean Jobs Training Program shall include
a one-week pre-program orientation that ensures the candidates
understand and are interested in continuing the Program.
Candidates that successfully complete the orientation may
continue to the full Program.
(d-5) Once approved for the new program, candidates must
receive essential employability skills training as part of
vocational or occupational training. Training must lead to
certifications or credentials that prepare candidates for
employment.
(e) Removal from the Program. The Department of

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Corrections may remove a committed person enrolled in the
Program for violation of institutional rules; failure to
participate or meet expectations of the Program; failure of a
drug test; disruptive behavior; or for reasons of safety,
security, and order of the facility.
(f) Drug testing. A clean drug test is required to
complete the Returning Residents Clean Jobs Training Program.
A drug test shall be administered at least once prior to
graduation. The Department of Corrections shall be responsible
for the drug testing of applicants.
(g) Curriculum.
(1) The Department of Commerce and Economic
Opportunity shall design a curriculum for the Program that
is as similar as practical to the Clean Jobs Curriculum
and meets in-facility requirements. The curriculum shall
focus on preparing graduates for employment in the solar
power and energy efficiency industries. The Program shall
include structured hands-on activities in correctional
institutions or facilities, including classroom spaces and
outdoor spaces, to instruct participants in the core
curriculum established in this Act. The Department shall
consult with the Department of Corrections to ensure all
curriculum elements may be available within Department of
Corrections facilities.
(2) The Program Administrators shall collaborate to
create and publish a guidebook that allows for the

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implementation of the curriculum and provides information
on all necessary and useful resources for Program
participants and graduates.
(h) Program administration.
(1) The Department of Commerce and Economic
Opportunity shall establish and hire a Program
Administrator for each Program Delivery Area to administer
and coordinate the Program. The Program Administrators
shall have strong capabilities, experience, and knowledge
related to program development and economic management;
cultural and language competency needed to be effective in
the communities to be served; expertise in working in and
with equity investment eligible communities; knowledge and
experience in working with providers of clean energy jobs;
and awareness of solar power and energy efficiency
industry trends and activities, workforce development best
practices, regional workforce development needs, and
community development. The Program Administrators shall
demonstrate a track record of strong partnerships with
community-based organizations.
The Program Administrator must pass a background check
administered by the Department of Corrections and be
approved by the Department of Corrections to work within a
secure facility prior to being hired by the Department of
Commerce and Economic Opportunity for a Program delivery
area.

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(2) The Program Administrators shall:
(i) coordinate with Regional Administrators and
the Clean Jobs Workforce Network Program to ensure
that execution, performance, partnerships, marketing,
and Program access across the State consistent with
respecting regional differences;
(ii) work with community-based organizations
approved to provide industry-recognized credentials or
education institutions to deliver the Program;
(iii) collaborate to create and publish an
employer "Hiring Returning Residents" handbook that
includes benefits and expectations of hiring returning
residents, guidance on how to recruit, hire, and
retain returning residents, guidance on how to access
State and federal tax credits and incentives and State
and federal resources, guidance on how to update
company policies to support hiring and supporting
returning residents, and an understanding of the harm
in one-size-fits-all policies toward returning
residents. The handbook shall be updated every 5 years
or more frequently if needed to ensure that its
contents are accurate. The handbook shall be made
available on the Department's website;
(iv) work with potential employers to promote
company policies to support hiring and supporting
returning residents via employee/employer liability,

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coverage, insurance, bonding, training, hiring
practices, and retention support;
(v) provide services such as job coaching and
financial coaching to Program graduates to support
employment longevity; and
(vi) identify clean energy job opportunities and
assist participants in achieving employment. The
Program shall include at least one job fair; include
job placement discussions with clean energy employers;
establish a partnership with Illinois solar energy
businesses and trade associations to identify solar
employers that support and hire returning residents;
and involve the Department of Commerce and Economic
Opportunity, Regional Administrators, and the Advisory
Council in finding employment for participants and
graduates in the clean energy and related sector
industries.
(3) The Department shall select community-based
organizations to provide Program elements at each
facility. Community-based organizations shall be
competitively selected by the Department of Commerce and
Economic Opportunity. Community-based organizations
delivering the Program elements outlined may provide all
elements required or may subcontract to other entities for
the provision of portions of Program elements. All
contractors who have regular interactions with committed

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persons, regularly access a Department of Corrections
facility, or regularly access a committed person's
personal identifying information or other data elements
must pass a Department of Corrections background check
prior to being approved to administer the Program elements
at a facility.
(4) The Department shall aim to include training in
conjunction with other pre-release procedures and
movements. Delays in a workshop being provided shall not
cause delays in discharge.
(5) The Program Administrators may establish shortened
Returning Resident Clean Jobs Training Programs to prepare
and place graduates in the Clean Jobs Workforce Network
Program or the Illinois Climate Works Preapprenticeship
Program following the graduate's release from commitment.
Any graduate of these programs must be guaranteed
placement in a Clean Jobs Workforce Hubs training program
or the Illinois Climate Works Preapprenticeship Program.
(6) The Director of Corrections shall:
(i) Ensure that the wardens or superintendents of
all correctional institutions and facilities visibly
post information on the Program in an accessible
manner for committed individuals.
(ii) Identify the institutions and facilities
within the Department of Corrections that will offer
the Program. The determination of which facility will

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offer the Program shall be based on available
programming space, staffing, population, facility
mission, security concerns, and any other relevant
factor in determining suitable locations for the
Program.
(i) Performance metrics.
(1) The Program Administrators shall collect data to
evaluate and ensure Program and participant success,
including:
(i) the number of returning residents who enrolled
in the Program;
(ii) the number of returning residents who
completed the Program;
(iii) the total number of individuals discharged;
(iv) the demographics of each entering and
graduating class;
(v) the percentage of graduates employed at 6 and
12 months after release;
(vi) the recidivism rate of Program participants
at 3 and 5 years after release;
(vii) the candidates interviewed and hiring
status;
(viii) the graduate employment status, such as
hire date, pay rates, whether full-time, part-time, or
seasonal, and separation date; and
(ix) continuing education and certifications

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gained by Program graduates.
(2) The Department of Commerce and Economic
Opportunity shall publish an annual report containing
these performance metrics. Data may be disaggregated by
institution, discharge, or residence address of resident,
and other factors.
(j) Funding. Funding for the Program is subject to
appropriation from the Energy Transition Assistance Fund.
Funding may be made available from other lawful sources,
including donations, grants, and federal incentives.
(k) Access. The Program instructors and staff must pass a
background check administered by the Department of Corrections
prior to entering a Department of Corrections institution or
facility. The Warden or Superintendent shall have the
authority to deny a Program instructor or staff member entry
into an institution or facility for safety and security
concerns or failure to follow all facility procedures or
protocols. A Program instructor or staff member administering
the Program may be terminated or have his or her contract
canceled if the Program instructor or staff member is denied
entry into an institution or facility for safety and security
concerns.
Section 5-55. Clean Energy Primes Contractor Accelerator
Program.
(a) As used in this Section:

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"Approved vendor" means the definition of that term used
and as may be updated by the Illinois Power Agency.
"Minority business" means a minority-owned business as
defined in Section 2 of the Business Enterprise for
Minorities, Women, and Persons with Disabilities Act.
"Minority Business Enterprise certification" means the
certification or recognition certification affidavit from the
State of Illinois Department of Central Management Services
Business Enterprise Program or a program with equivalent
requirements.
"Program" means the Clean Energy Primes Contractor
Accelerator Program.
"Returning resident" has the meaning given to that term in
Section 5-50 of this Act.
(b) Subject to appropriation, the Department shall
develop, and through a Primes Program Administrator and
Regional Primes Program Leads described in this Section,
administer the Clean Energy Primes Contractor Accelerator
Program. The Program shall be administered in 3 program
delivery areas: the Northern Illinois Program Delivery Area
covering Northern Illinois, the Central Illinois Program
Delivery Area covering Central Illinois, and the Southern
Illinois Program Delivery Area covering Southern Illinois.
Prior to developing the Program, the Department shall solicit
public comments, with a 30-day comment period, to gather input
on Program implementation and associated community outreach

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options.
(c) The Program shall be available to selected contractors
who best meet the following criteria:
(1) 2 or more years of experience in a clean energy or
a related contracting field;
(2) at least $5,000 in annual business; and
(3) a substantial and demonstrated commitment of
investing in and partnering with individuals and
institutions in equity investment eligible communities.
(c-5) The Department shall develop scoring criteria to
select contractors for the Program, which shall consider:
(1) projected hiring and industry job creation,
including wage and benefit expectations;
(2) a clear vision of strategic business growth and
how increased capitalization would benefit the business;
(3) past project work quality and demonstration of
technical knowledge;
(4) capacity the applicant is anticipated to bring to
project development;
(5) willingness to assume risk;
(6) anticipated revenues from future projects;
(7) history of commitment to advancing equity as
demonstrated by, among other things, employment of or
ownership by equity investment eligible persons and a
history of partnership with equity focused community
organizations or government programs; and

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(8) business models that build wealth in the larger
underserved community.
Applicants for Program participation shall be allowed to
reapply for a future cohort if they are not selected, and the
Primes Program Administrator shall inform each applicant of
this option.
(d) The Department, in consultation with the Primes
Program Administrator and Regional Primes Program Leads, shall
select a new cohort of participant contractors from each
Program Delivery Area every 18 months. Each regional cohort
shall include between 3 and 5 participants. The Program shall
cap contractors in the energy efficiency sector at 50% of
available cohort spots and 50% of available grants and loans,
if possible.
(e) The Department shall hire a Primes Program
Administrator with experience in leading a large
contractor-based business in Illinois; coaching and mentoring;
the Illinois clean energy industry; and working with equity
investment eligible community members, organizations, and
businesses.
(f) The Department shall select 3 Regional Primes Program
Leads who shall report directly to the Primes Program
Administrator. The Regional Primes Program Leads shall be
located within their Program Delivery Area and have experience
in leading a large contractor-based business in Illinois;
coaching and mentoring; the Illinois clean energy industry;

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developing relationships with companies in the Program
Delivery Area; and working with equity investment eligible
community members, organizations, and businesses.
(g) The Department may determine how Program elements will
be delivered or may contract with organizations with
experience delivering the Program elements described in
subsection (h) of this Section.
(h) The Clean Energy Primes Contractor Accelerator Program
shall provide participants with:
(1) a 5-year, 6-month progressive course of one-on-one
coaching to assist each participant in developing an
achievable 5-year business plan, including review of
monthly metrics, and advice on achieving participant's
goals;
(2) operational support grants not to exceed
$1,000,000 annually to support the growth of participant
contractors with access to capital for upfront project
costs and pre-development funding, among others. The
amount of the grant shall be based on anticipated project
size and scope;
(3) business coaching based on the participant's
needs;
(4) a mentorship of approximately 2 years provided by
a qualified company in the participant's field;
(5) access to Clean Energy Contractor Incubator
Program services;

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(6) assistance with applying for Minority Business
Enterprise certification and other relevant certifications
and approved vendor status for programs offered by
utilities or other entities;
(7) assistance with preparing bids and Request for
Proposal applications;
(8) opportunities to be listed in any relevant
directories and databases organized by the Department of
Central Management Services;
(9) opportunities to connect with participants in
other Department programs;
(10) assistance connecting with and initiating
participation in the Illinois Power Agency's Adjustable
Block program, the Illinois Solar for All Program, and
utility programs; and
(11) financial development assistance programs such as
zero-interest and low-interest loans with the Climate Bank
as established by Article 850 of the Illinois Finance
Authority Act or a comparable financing mechanism. The
Illinois Finance Authority shall retain authority to
determine loan repayment terms and conditions.
(i) The Primes Program Administrator shall:
(1) collect and report performance metrics as
described in this Section;
(2) review and assess:
(i) participant work plans and annual goals; and

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(ii) the mentorship program, including approved
mentor companies and their stipend awards; and
(3) work with the Regional Primes Program Leads to
publicize the Program; design and implement a mentorship
program; and ensure participants are quickly on-boarded.
(j) The Regional Primes Program Leads shall:
(1) publicize the Program; the budget shall include
funds to pay community-based organizations with a track
record of working with equity investment eligible
communities to complete this work;
(2) recruit qualified Program applicants;
(3) assist Program applicants with the application
process;
(4) introduce participants to the Program offerings;
(5) conduct entry and annual assessments with
participants to identify training, coaching, and other
Program service needs;
(6) assist participants in developing goals on entry
and annually, and assessing progress toward meeting the
goals;
(7) establish a metric reporting system with each
participant and track the metrics for progress against the
contractor's work plan and Program goals;
(8) assist participants in receiving their Minority
Business Enterprise certification and any other relevant
certifications and approved vendor statuses;

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(9) match participants with Clean Energy Contractor
Incubator Program offerings and individualized expert
coaching, including training on working with returning
residents and companies that employ them;
(10) pair participants with a mentor company;
(11) facilitate connections between participants and
potential subcontractors and employees;
(12) dispense a participant's awarded operational
grant funding;
(13) connect participants to zero-interest and
low-interest loans from the Climate Bank as established by
Article 850 of the Illinois Finance Authority Act or a
comparable financing mechanism;
(14) encourage participants to apply for appropriate
State and private business opportunities;
(15) review a participant's progress and make a
recommendation to the Department about whether the
participant should continue in the Program, be considered
a Program graduate, and whether adjustments should be made
to a participant's grant funding, loans, and related
services;
(16) solicit information from participants, which
participants shall be required to provide, necessary to
understand the participant's business, including financial
and income information, certifications that the
participant is seeking to obtain, and ownership, employee,

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and subcontractor data, including compensation, length of
service, and demographics; and
(17) other duties as required.
(k) Performance metrics. The Primes Program Administrator
and Regional Primes Program Leads shall collaborate to collect
and report the following metrics quarterly to the Department
and Advisory Council:
(1) demographic information on cohort recruiting and
formation, including racial, gender, geographic
distribution data, and data on the number and percentage
of R3 residents, environmental justice community
residents, foster care alumni, and formerly convicted
persons who are cohort applicants and admitted
participants;
(2) participant contractor engagement in other
Illinois clean energy programs such as the Adjustable
Block program, Illinois Solar for All Program, and the
utility-run energy efficiency and electric vehicle
programs;
(3) retention of participants in each cohort;
(4) total projects bid, started, and completed by
participants, including information about revenue, hiring,
and subcontractor relationships with projects;
(5) certifications issued;
(6) employment data for contractor hires and industry
jobs created, including demographic, salary, length of

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service, and geographic data;
(7) grants and loans distributed; and
(8) participant satisfaction with the Program.
The metrics in paragraphs (2), (4), and (6) shall be
collected from Program participants and graduates for 10 years
from their entrance into the Program to help the Department
and Program Administrators understand the Program's long-term
effect.
Data should be anonymized where needed to protect
participant privacy.
The Department shall make such reports publicly available
on its website.
(l) Mentorship Program.
(1) The Regional Primes Program Leads shall recruit,
and the Primes Program Administrator shall select, with
approval from the Department, private companies with the
following qualifications to mentor participants and assist
them in succeeding in the clean energy industry:
(i) excellent standing with state clean energy
programs;
(ii) 4 or more years of experience in their field;
and
(iii) a proven track record of success in their
field.
(2) Mentor companies may receive a stipend, determined
by the Department, for their participation. Mentor

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companies may identify what level of stipend they require.
(3) The Primes Program Administrator shall develop
guidelines for mentor company-mentee profit sharing or
purchased services agreements.
(4) The Regional Primes Program Leads shall:
(i) collaborate with mentor companies and
participants to create a plan for ongoing contact such
as on-the-job training, site walkthroughs, business
process and structure walkthroughs, quality assurance
and quality control reviews, and other relevant
activities;
(ii) recommend the mentor company-mentee pairings
and associated mentor company stipends for approval;
(iii) conduct an annual review of each mentor
company-mentee pairing and recommend whether the
pairing continues for a second year and the level of
stipend that is appropriate. The review shall also
ensure that any profit sharing and purchased services
agreements adhere to the guidelines established by the
Primes Program Administrator.
(5) Contractors may request reassignment to a new
mentor company.
(m) Disparity study. The Program Administrator shall
cooperate with the Illinois Power Agency in the conduct of a
disparity study, as described in subsection (c-15) of Section
1-75 of the Illinois Power Agency Act, and in the effectuation

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of appropriate remedies necessary to address any
discrimination that such study may find. Potential remedies
shall include, but not be limited to, race-conscious remedies
to rapidly eliminate discrimination faced by minority
businesses and works in the industry this Program serves,
consistent with the law. Remedies shall be developed through
consultation with individuals, companies, and organizations
that have expertise on discrimination faced in the market and
potential legally permissible remedies for addressing it.
Notwithstanding any other requirement of this Section, the
Program Administrator shall modify program participation
criteria or goals as soon as the report has been published, in
such a way as is consistent with state and federal law, to
rapidly eliminate discrimination on minority businesses and
workers in the industry this Program serves by setting
standards for Program participation. This study will be paid
for with funds from the Energy Transition Assistance Fund or
any other lawful source.
(n) Program budget.
(1) The Department may allocate up to $3,000,000
annually to the Primes Program Administrator for each of
the 3 regional budgets from the Energy Transition
Assistance Fund.
(2) The Primes Program Administrator shall work with
the Illinois Finance Authority and the Climate Bank as
established by Article 850 of the Illinois Finance

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Authority Act or comparable financing institution so that
loan loss reserves may be sufficient to underwrite
$7,000,000 in low-interest loans in each of the 3 Program
delivery areas.
(3) Any grant and loan funding shall be made available
to participants in a timely fashion.
Section 5-60. Jobs and Environmental Justice Grant
Program.
(a) In order to provide upfront capital to support the
development of projects, businesses, community organizations,
and jobs creating opportunity for historically disadvantaged
populations, and to provide seed capital to support community
ownership of renewable energy projects, the Program shall
create and administer a Jobs and Environmental Justice Grant
Program. The grant program shall be designed to help remove
barriers to project, community, and business development
caused by a lack of capital.
(b) The grant program shall provide grant awards of up to
$1,000,000 per application to support the development of
renewable energy resources as defined in Section 1-10 of the
Illinois Power Agency Act, and energy efficiency measures as
defined in Section 8-103B of the Public Utilities Act. The
amount of a grant award shall be based on a project's size and
scope. Grants shall be provided upfront, in advance of other
incentives, to provide businesses, organizations, and

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community groups with capital needed to plan, develop, and
execute a project. Grants shall be designed to coordinate with
and supplement existing incentive programs, such as the
Adjustable Block program, the Illinois Solar for All Program,
the community renewable generation projects, and renewable
energy procurements as described in the Illinois Power Agency
Act, as well as utility energy efficiency measures as
described in Section 8-103B of the Public Utilities Act.
(c) The Jobs and Environmental Justice Grant Program shall
include 2 subprograms:
(1) the Equitable Energy Future Grant Program; and
(2) the Community Solar Energy Sovereignty Grant
Program.
(d) The Equitable Energy Future Grant Program is designed
to provide seed funding and pre-development funding
opportunities for disadvantaged contractors and to projects
that earn Equitable Energy Future Certification under Section
1-75 of the Illinois Power Agency Act.
(1) The Equitable Energy Future Grant shall be awarded
to businesses and nonprofit organizations for costs
related to the following activities and project needs:
(i) planning and project development, including
costs for professional services such as architecture,
design, engineering, auditing, consulting, and
developer services;
(ii) project application, deposit, and approval;

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(iii) purchasing and leasing of land;
(iv) permitting and zoning;
(v) interconnection application costs and fees,
studies, and expenses;
(vi) equipment and supplies;
(vii) community outreach, marketing, and
engagement; and
(viii) staff and operations expenses.
(2) Grants shall be awarded to projects that most
effectively provide opportunities for equity eligible
contractors and equity investment eligible communities,
and should consider the following criteria:
(i) projects that provide community benefits,
which are projects that have one or more of the
following characteristics: (A) greater than 50% of the
project's energy provided or saved benefits low-income
residents, or (B) the project benefits not-for-profit
organizations providing services to low-income
households, affordable housing owners, or
community-based limited liability companies providing
services to low-income households;
(ii) projects that are located in equity
investment eligible communities;
(iii) projects that provide on-the-job training;
(iv) projects that contract with contractors who
are participating or have participated in the Clean

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Energy Contractor Incubator Program, Clean Energy
Primes Contractor Accelerator Program, or similar
programs; and
(v) projects employ a minimum of 51% of its
workforce from participants and graduates of the Clean
Jobs Workforce Network Program, Illinois Climate Works
Preapprenticeship Program, and Returning Residents
Clean Jobs Training Program.
(3) Grants shall be awarded to applicants that meet
the following criteria:
(i) earn Equitable Energy Future Certification per
the equity accountability systems described in
subsection (c-10) of Section 1-75 of the Illinois
Power Agency Act, or meet the equity building criteria
in paragraph (9.5) of subsection (g) of Section 8-103B
of the Public Utilities Act; and
(ii) provide demonstrable proof of a historical or
future, and persisting, long-term partnership with the
community in which the project will be located.
(e) The Community Solar Energy Sovereignty Grant Program
shall be designed to support the pre-development and
development of community solar projects that promote community
ownership and energy sovereignty.
(1) Grants shall be awarded to applicants that best
demonstrate the ability and intent to create community
ownership and other local community benefits, including

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local community wealth building via community renewable
generation projects. Grants shall be prioritized to
applicants for whom:
(i) the proposed project is located in and
supporting an equity investment eligible community or
communities; and
(ii) the proposed project provides additional
benefits for participating low-income households.
(2) Grant funds shall be awarded to support project
pre-development work and may also be awarded to support
the development of programs and entities to assist in the
long-term governance, management, and maintenance of
community solar projects, such as community solar
cooperatives. For example, funds may be awarded for:
(i) early stage project planning;
(ii) project team organization;
(iii) site identification;
(iv) organizing a project business model and
securing financing;
(v) procurement and contracting;
(vi) customer outreach and enrollment;
(vii) preliminary site assessments;
(viii) development of cooperative or community
ownership model; and
(ix) development of project models that allocate
benefits to equity investment eligible communities.

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(3) Grant recipients shall submit reports to the
Agency at the end of the grant term on the activities
pursued under their grant and any lessons learned for
publication on the Agency's website so that other energy
sovereignty projects may learn from their experience.
(4) Eligible applicants shall include community-based
organizations, as defined in the Illinois Power Agency's
long-term renewable resources procurement plan, or
technical service providers working in direct partnership
with community-based organizations.
(5) The amount of a grant shall be based on a projects'
size and scope. Grants shall allow for a significant
portion, or the entirety, of the grant value to be made
upfront, in advance of other incentives, to ensure
businesses and organizations have the capital needed to
plan, develop, and execute a project.
(f) The application process for both subprograms shall not
be burdensome on applicants, nor require extensive technical
knowledge, and shall be able to be completed on less than 4
standard letter-sized pages.
(g) The Program shall coordinate its grant subprograms
with the Clean Energy Jobs and Justice Fund to coordinate
grants under this Program with low-interest and no-interest
financing opportunities offered by the fund.
(h) The grant subprograms may have a budget of up to
$34,000,000 per year. No more than 25% of the allocated budget

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shall go to the Community Solar Energy Sovereignty Grant
Program.
Section 5-65. Energy Workforce Advisory Council.
(a) The Energy Workforce Advisory Council is hereby
created within the Department.
(b) The Council shall consist of the following voting
members appointed by the Governor with the advice and consent
of the Senate, chosen to ensure diverse geographic
representation:
(1) two members representing trade associations
representing companies active in the clean energy
industries;
(2) two members representing a labor union;
(3) one member who has participated in the workforce
development programs created under this Act;
(4) two members representing higher education;
(5) two members representing economic development
organizations;
(6) two members representing local workforce
innovation boards;
(7) two residents of environmental justice
communities;
(8) three members from community-based organizations
in environmental justice communities and community-based
organizations serving low-income persons and families;

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(9) two members who are policy or implementation
experts on small business development, contractor
incubation, or small business lending and financing needs;
(10) two members who are policy or implementation
experts on workforce development for populations and
individuals such as low-income persons and families,
environmental justice communities, BIPOC communities,
formerly convicted persons, persons who are or were in the
child welfare system, energy workers, gender nonconforming
and transgender individuals, and youth; and
(11) two representatives of clean energy businesses,
nonprofit organizations, or other groups that provide
clean energy.
The President of the Senate, the Minority Leader of the
Senate, the Speaker of the House of Representatives, and the
Minority Leader of the House of Representatives shall each
appoint 2 nonvoting members of the Council.
(c) The Council shall:
(1) coordinate and inform on worker and contractor
support priorities beyond current federal, State, local,
and private programs and resources;
(2) advise and produce recommendations for further
federal, State, and local programs and activities;
(3) fulfill other duties determined by the Council to
further the success of the Workforce Hubs, Incubators, and
Returning Residents Programs;

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(4) review program performance metrics;
(5) provide recommendations to the Department on the
administration of the following programs:
(i) the Clean Jobs Workforce Network Program;
(ii) the Illinois Climate Works Preapprenticeship
Program;
(iii) the Clean Energy Contractor Incubator
Program;
(iv) the Returning Residents Clean Jobs Training
Program; and
(v) the Clean Energy Primes Contractor Accelerator
Program;
(6) recommend outreach opportunities to ensure that
program contracting, training, and other opportunities are
widely publicized;
(7) participate in independent program evaluations;
and
(8) assist the Department by providing insight into
how relevant State, local, and federal programs are viewed
by residents, businesses, and institutions within their
respective communities.
(d) The Council shall conduct its first meeting within 30
days after all members have been appointed. The Council shall
meet quarterly after its first meeting. Additional hearings
and public meetings are permitted at the discretion of the
members. The Council may meet in person or through video or

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audio conference. Meeting times may be varied to accommodate
Council member schedules.
(e) Members shall serve without compensation and shall be
reimbursed for reasonable expenses incurred in the performance
of their duties from funds appropriated for that purpose.
Section 5-90. Repealer. This Act is repealed 14 years
after the effective date of this Act.
Section 5-95. The Illinois Finance Authority Act is
amended by changing Sections 801-1, 801-5, 801-10, and 801-40
and adding Article 850 as follows:
(20 ILCS 3501/801-1)
Sec. 801-1. Short Title. Articles 801 through 850 845 of
this Act may be cited as the Illinois Finance Authority Act.
References to "this Act" in Articles 801 through 850 845 are
references to the Illinois Finance Authority Act.
(Source: P.A. 95-331, eff. 8-21-07.)
(20 ILCS 3501/801-5)
Sec. 801-5. Findings and declaration of policy. The
General Assembly hereby finds, determines and declares:
(a) that there are a number of existing State authorities
authorized to issue bonds to alleviate the conditions and
promote the objectives set forth below; and to provide a

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stronger, better coordinated development effort, it is
determined to be in the interest of promoting the health,
safety, morals and general welfare of all the people of the
State to consolidate certain of such existing authorities into
one finance authority;
(b) that involuntary unemployment affects the health,
safety, morals and general welfare of the people of the State
of Illinois;
(c) that the economic burdens resulting from involuntary
unemployment fall in part upon the State in the form of public
assistance and reduced tax revenues, and in the event the
unemployed worker and his family migrate elsewhere to find
work, may also fall upon the municipalities and other taxing
districts within the areas of unemployment in the form of
reduced tax revenues, thereby endangering their financial
ability to support necessary governmental services for their
remaining inhabitants;
(d) that a vigorous growing economy is the basic source of
job opportunities;
(e) that protection against involuntary unemployment, its
economic burdens and the spread of economic stagnation can
best be provided by promoting, attracting, stimulating and
revitalizing industry, manufacturing and commerce in the
State;
(f) that the State has a responsibility to help create a
favorable climate for new and improved job opportunities for

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its citizens by encouraging the development of commercial
businesses and industrial and manufacturing plants within the
State;
(g) that increased availability of funds for construction
of new facilities and the expansion and improvement of
existing facilities for industrial, commercial and
manufacturing facilities will provide for new and continued
employment in the construction industry and alleviate the
burden of unemployment;
(h) that in the absence of direct governmental subsidies
the unaided operations of private enterprise do not provide
sufficient resources for residential construction,
rehabilitation, rental or purchase, and that support from
housing related commercial facilities is one means of
stimulating residential construction, rehabilitation, rental
and purchase;
(i) that it is in the public interest and the policy of
this State to foster and promote by all reasonable means the
provision of adequate capital markets and facilities for
borrowing money by units of local government, and for the
financing of their respective public improvements and other
governmental purposes within the State from proceeds of bonds
or notes issued by those governmental units; and to assist
local governmental units in fulfilling their needs for those
purposes by use of creation of indebtedness;
(j) that it is in the public interest and the policy of

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this State to the extent possible, to reduce the costs of
indebtedness to taxpayers and residents of this State and to
encourage continued investor interest in the purchase of bonds
or notes of governmental units as sound and preferred
securities for investment; and to encourage governmental units
to continue their independent undertakings of public
improvements and other governmental purposes and the financing
thereof, and to assist them in those activities by making
funds available at reduced interest costs for orderly
financing of those purposes, especially during periods of
restricted credit or money supply, and particularly for those
governmental units not otherwise able to borrow for those
purposes;
(k) that in this State the following conditions exist: (i)
an inadequate supply of funds at interest rates sufficiently
low to enable persons engaged in agriculture in this State to
pursue agricultural operations at present levels; (ii) that
such inability to pursue agricultural operations lessens the
supply of agricultural commodities available to fulfill the
needs of the citizens of this State; (iii) that such inability
to continue operations decreases available employment in the
agricultural sector of the State and results in unemployment
and its attendant problems; (iv) that such conditions prevent
the acquisition of an adequate capital stock of farm equipment
and machinery, much of which is manufactured in this State,
therefore impairing the productivity of agricultural land and,

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further, causing unemployment or lack of appropriate increase
in employment in such manufacturing; (v) that such conditions
are conducive to consolidation of acreage of agricultural land
with fewer individuals living and farming on the traditional
family farm; (vi) that these conditions result in a loss in
population, unemployment and movement of persons from rural to
urban areas accompanied by added costs to communities for
creation of new public facilities and services; (vii) that
there have been recurrent shortages of funds for agricultural
purposes from private market sources at reasonable rates of
interest; (viii) that these shortages have made the sale and
purchase of agricultural land to family farmers a virtual
impossibility in many parts of the State; (ix) that the
ordinary operations of private enterprise have not in the past
corrected these conditions; and (x) that a stable supply of
adequate funds for agricultural financing is required to
encourage family farmers in an orderly and sustained manner
and to reduce the problems described above;
(l) that for the benefit of the people of the State of
Illinois, the conduct and increase of their commerce, the
protection and enhancement of their welfare, the development
of continued prosperity and the improvement of their health
and living conditions it is essential that all the people of
the State be given the fullest opportunity to learn and to
develop their intellectual and mental capacities and skills;
that to achieve these ends it is of the utmost importance that

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private institutions of higher education within the State be
provided with appropriate additional means to assist the
people of the State in achieving the required levels of
learning and development of their intellectual and mental
capacities and skills and that cultural institutions within
the State be provided with appropriate additional means to
expand the services and resources which they offer for the
cultural, intellectual, scientific, educational and artistic
enrichment of the people of the State;
(m) that in order to foster civic and neighborhood pride,
citizens require access to facilities such as educational
institutions, recreation, parks and open spaces, entertainment
and sports, a reliable transportation network, cultural
facilities and theaters and other facilities as authorized by
this Act, and that it is in the best interests of the State to
lower the costs of all such facilities by providing financing
through the State;
(n) that to preserve and protect the health of the
citizens of the State, and lower the costs of health care, that
financing for health facilities should be provided through the
State; and it is hereby declared to be the policy of the State,
in the interest of promoting the health, safety, morals and
general welfare of all the people of the State, to address the
conditions noted above, to increase job opportunities and to
retain existing jobs in the State, by making available through
the Illinois Finance Authority, hereinafter created, funds for

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the development, improvement and creation of industrial,
housing, local government, educational, health, public purpose
and other projects; to issue its bonds and notes to make funds
at reduced rates and on more favorable terms for borrowing by
local governmental units through the purchase of the bonds or
notes of the governmental units; and to make or acquire loans
for the acquisition and development of agricultural
facilities; to provide financing for private institutions of
higher education, cultural institutions, health facilities and
other facilities and projects as authorized by this Act; and
to grant broad powers to the Illinois Finance Authority to
accomplish and to carry out these policies of the State which
are in the public interest of the State and of its taxpayers
and residents;
(o) that providing financing alternatives for projects
that are located outside the State that are owned, operated,
leased, managed by, or otherwise affiliated with, institutions
located within the State would promote the economy of the
State for the benefit of the health, welfare, safety, trade,
commerce, industry, and economy of the people of the State by
creating employment opportunities in the State and lowering
the cost of accessing healthcare, private education, or
cultural institutions in the State by reducing the cost of
financing or operating those projects; and
(p) that the realization of the objectives of the
Authority identified in this Act including, without

10200SB0018sam001 - 68 - LRB102 12600 LNS 28802 a
limitation, those designed (1) to assist and enable veterans,
minorities, women and disabled individuals to own and operate
small businesses; (2) to assist in the delivery of
agricultural assistance; and (3) to aid, assist, and encourage
economic growth and development within this State, will be
enhanced by empowering the Authority to purchase loan
participations from participating lenders; .
(q) that climate change threatens the health, welfare, and
prosperity of all the residents of the State;
(r) combating climate change is necessary to preserve and
enhance the health, welfare, and prosperity of all the
residents of the State;
(s) that the promotion of the development and
implementation of clean energy is necessary to combat climate
change and is hereby declared to be the policy of the State;
and
(t) that designating the Authority as the "Climate Bank"
to aid in all respects with providing financial assistance,
programs, and products to finance and otherwise develop and
implement equitable clean energy opportunities in the State to
mitigate or adapt to the negative consequences of climate
change in an equitable manner will further the clean energy
policy of the State.
(Source: P.A. 100-919, eff. 8-17-18.)
(20 ILCS 3501/801-10)

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Sec. 801-10. Definitions. The following terms, whenever
used or referred to in this Act, shall have the following
meanings, except in such instances where the context may
clearly indicate otherwise:
(a) The term "Authority" means the Illinois Finance
Authority created by this Act.
(b) The term "project" means an industrial project, clean
energy project, conservation project, housing project, public
purpose project, higher education project, health facility
project, cultural institution project, municipal bond program
project, PACE Project, agricultural facility or agribusiness,
and "project" may include any combination of one or more of the
foregoing undertaken jointly by any person with one or more
other persons.
(c) The term "public purpose project" means (i) any
project or facility, including without limitation land,
buildings, structures, machinery, equipment and all other real
and personal property, which is authorized or required by law
to be acquired, constructed, improved, rehabilitated,
reconstructed, replaced or maintained by any unit of
government or any other lawful public purpose, including
provision of working capital, which is authorized or required
by law to be undertaken by any unit of government or (ii) costs
incurred and other expenditures, including expenditures for
management, investment, or working capital costs, incurred in
connection with the reform, consolidation, or implementation

10200SB0018sam001 - 70 - LRB102 12600 LNS 28802 a
of the transition process as described in Articles 22B and 22C
of the Illinois Pension Code.
(d) The term "industrial project" means the acquisition,
construction, refurbishment, creation, development or
redevelopment of any facility, equipment, machinery, real
property or personal property for use by any instrumentality
of the State or its political subdivisions, for use by any
person or institution, public or private, for profit or not
for profit, or for use in any trade or business, including, but
not limited to, any industrial, manufacturing, clean energy,
or commercial enterprise that is located within or outside the
State, provided that, with respect to a project involving
property located outside the State, the property must be
owned, operated, leased or managed by an entity located within
the State or an entity affiliated with an entity located
within the State, and which is (1) a capital project or clean
energy project, including, but not limited to: (i) land and
any rights therein, one or more buildings, structures or other
improvements, machinery and equipment, whether now existing or
hereafter acquired, and whether or not located on the same
site or sites; (ii) all appurtenances and facilities
incidental to the foregoing, including, but not limited to,
utilities, access roads, railroad sidings, track, docking and
similar facilities, parking facilities, dockage, wharfage,
railroad roadbed, track, trestle, depot, terminal, switching
and signaling or related equipment, site preparation and

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landscaping; and (iii) all non-capital costs and expenses
relating thereto or (2) any addition to, renovation,
rehabilitation or improvement of a capital project or a clean
energy project, or (3) any activity or undertaking within or
outside the State, provided that, with respect to a project
involving property located outside the State, the property
must be owned, operated, leased or managed by an entity
located within the State or an entity affiliated with an
entity located within the State, which the Authority
determines will aid, assist or encourage economic growth,
development or redevelopment within the State or any area
thereof, will promote the expansion, retention or
diversification of employment opportunities within the State
or any area thereof or will aid in stabilizing or developing
any industry or economic sector of the State economy. The term
"industrial project" also means the production of motion
pictures.
(e) The term "bond" or "bonds" shall include bonds, notes
(including bond, grant or revenue anticipation notes),
certificates and/or other evidences of indebtedness
representing an obligation to pay money, including refunding
bonds.
(f) The terms "lease agreement" and "loan agreement" shall
mean: (i) an agreement whereby a project acquired by the
Authority by purchase, gift or lease is leased to any person,
corporation or unit of local government which will use or

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cause the project to be used as a project as heretofore defined
upon terms providing for lease rental payments at least
sufficient to pay when due all principal of, interest and
premium, if any, on any bonds of the Authority issued with
respect to such project, providing for the maintenance,
insuring and operation of the project on terms satisfactory to
the Authority, providing for disposition of the project upon
termination of the lease term, including purchase options or
abandonment of the premises, and such other terms as may be
deemed desirable by the Authority, or (ii) any agreement
pursuant to which the Authority agrees to loan the proceeds of
its bonds issued with respect to a project or other funds of
the Authority to any person which will use or cause the project
to be used as a project as heretofore defined upon terms
providing for loan repayment installments at least sufficient
to pay when due all principal of, interest and premium, if any,
on any bonds of the Authority, if any, issued with respect to
the project, and providing for maintenance, insurance and
other matters as may be deemed desirable by the Authority.
(g) The term "financial aid" means the expenditure of
Authority funds or funds provided by the Authority through the
issuance of its bonds, notes or other evidences of
indebtedness or from other sources for the development,
construction, acquisition or improvement of a project.
(h) The term "person" means an individual, corporation,
unit of government, business trust, estate, trust, partnership

10200SB0018sam001 - 73 - LRB102 12600 LNS 28802 a
or association, 2 or more persons having a joint or common
interest, or any other legal entity.
(i) The term "unit of government" means the federal
government, the State or unit of local government, a school
district, or any agency or instrumentality, office, officer,
department, division, bureau, commission, college or
university thereof.
(j) The term "health facility" means: (a) any public or
private institution, place, building, or agency required to be
licensed under the Hospital Licensing Act; (b) any public or
private institution, place, building, or agency required to be
licensed under the Nursing Home Care Act, the Specialized
Mental Health Rehabilitation Act of 2013, the ID/DD Community
Care Act, or the MC/DD Act; (c) any public or licensed private
hospital as defined in the Mental Health and Developmental
Disabilities Code; (d) any such facility exempted from such
licensure when the Director of Public Health attests that such
exempted facility meets the statutory definition of a facility
subject to licensure; (e) any other public or private health
service institution, place, building, or agency which the
Director of Public Health attests is subject to certification
by the Secretary, U.S. Department of Health and Human Services
under the Social Security Act, as now or hereafter amended, or
which the Director of Public Health attests is subject to
standard-setting by a recognized public or voluntary
accrediting or standard-setting agency; (f) any public or

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private institution, place, building or agency engaged in
providing one or more supporting services to a health
facility; (g) any public or private institution, place,
building or agency engaged in providing training in the
healing arts, including, but not limited to, schools of
medicine, dentistry, osteopathy, optometry, podiatry, pharmacy
or nursing, schools for the training of x-ray, laboratory or
other health care technicians and schools for the training of
para-professionals in the health care field; (h) any public or
private congregate, life or extended care or elderly housing
facility or any public or private home for the aged or infirm,
including, without limitation, any Facility as defined in the
Life Care Facilities Act; (i) any public or private mental,
emotional or physical rehabilitation facility or any public or
private educational, counseling, or rehabilitation facility or
home, for those persons with a developmental disability, those
who are physically ill or disabled, the emotionally disturbed,
those persons with a mental illness or persons with learning
or similar disabilities or problems; (j) any public or private
alcohol, drug or substance abuse diagnosis, counseling
treatment or rehabilitation facility, (k) any public or
private institution, place, building or agency licensed by the
Department of Children and Family Services or which is not so
licensed but which the Director of Children and Family
Services attests provides child care, child welfare or other
services of the type provided by facilities subject to such

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licensure; (l) any public or private adoption agency or
facility; and (m) any public or private blood bank or blood
center. "Health facility" also means a public or private
structure or structures suitable primarily for use as a
laboratory, laundry, nurses or interns residence or other
housing or hotel facility used in whole or in part for staff,
employees or students and their families, patients or
relatives of patients admitted for treatment or care in a
health facility, or persons conducting business with a health
facility, physician's facility, surgicenter, administration
building, research facility, maintenance, storage or utility
facility and all structures or facilities related to any of
the foregoing or required or useful for the operation of a
health facility, including parking or other facilities or
other supporting service structures required or useful for the
orderly conduct of such health facility. "Health facility"
also means, with respect to a project located outside the
State, any public or private institution, place, building, or
agency which provides services similar to those described
above, provided that such project is owned, operated, leased
or managed by a participating health institution located
within the State, or a participating health institution
affiliated with an entity located within the State.
(k) The term "participating health institution" means (i)
a private corporation or association or (ii) a public entity
of this State, in either case authorized by the laws of this

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State or the applicable state to provide or operate a health
facility as defined in this Act and which, pursuant to the
provisions of this Act, undertakes the financing, construction
or acquisition of a project or undertakes the refunding or
refinancing of obligations, loans, indebtedness or advances as
provided in this Act.
(l) The term "health facility project", means a specific
health facility work or improvement to be financed or
refinanced (including without limitation through reimbursement
of prior expenditures), acquired, constructed, enlarged,
remodeled, renovated, improved, furnished, or equipped, with
funds provided in whole or in part hereunder, any accounts
receivable, working capital, liability or insurance cost or
operating expense financing or refinancing program of a health
facility with or involving funds provided in whole or in part
hereunder, or any combination thereof.
(m) The term "bond resolution" means the resolution or
resolutions authorizing the issuance of, or providing terms
and conditions related to, bonds issued under this Act and
includes, where appropriate, any trust agreement, trust
indenture, indenture of mortgage or deed of trust providing
terms and conditions for such bonds.
(n) The term "property" means any real, personal or mixed
property, whether tangible or intangible, or any interest
therein, including, without limitation, any real estate,
leasehold interests, appurtenances, buildings, easements,

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equipment, furnishings, furniture, improvements, machinery,
rights of way, structures, accounts, contract rights or any
interest therein.
(o) The term "revenues" means, with respect to any
project, the rents, fees, charges, interest, principal
repayments, collections and other income or profit derived
therefrom.
(p) The term "higher education project" means, in the case
of a private institution of higher education, an educational
facility to be acquired, constructed, enlarged, remodeled,
renovated, improved, furnished, or equipped, or any
combination thereof.
(q) The term "cultural institution project" means, in the
case of a cultural institution, a cultural facility to be
acquired, constructed, enlarged, remodeled, renovated,
improved, furnished, or equipped, or any combination thereof.
(r) The term "educational facility" means any property
located within the State, or any property located outside the
State, provided that, if the property is located outside the
State, it must be owned, operated, leased or managed by an
entity located within the State or an entity affiliated with
an entity located within the State, in each case constructed
or acquired before or after the effective date of this Act,
which is or will be, in whole or in part, suitable for the
instruction, feeding, recreation or housing of students, the
conducting of research or other work of a private institution

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of higher education, the use by a private institution of
higher education in connection with any educational, research
or related or incidental activities then being or to be
conducted by it, or any combination of the foregoing,
including, without limitation, any such property suitable for
use as or in connection with any one or more of the following:
an academic facility, administrative facility, agricultural
facility, assembly hall, athletic facility, auditorium,
boating facility, campus, communication facility, computer
facility, continuing education facility, classroom, dining
hall, dormitory, exhibition hall, fire fighting facility, fire
prevention facility, food service and preparation facility,
gymnasium, greenhouse, health care facility, hospital,
housing, instructional facility, laboratory, library,
maintenance facility, medical facility, museum, offices,
parking area, physical education facility, recreational
facility, research facility, stadium, storage facility,
student union, study facility, theatre or utility.
(s) The term "cultural facility" means any property
located within the State, or any property located outside the
State, provided that, if the property is located outside the
State, it must be owned, operated, leased or managed by an
entity located within the State or an entity affiliated with
an entity located within the State, in each case constructed
or acquired before or after the effective date of this Act,
which is or will be, in whole or in part, suitable for the

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

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less than a 2-year program which is acceptable for full
credit toward such a degree, or offers a 2-year program in
engineering, mathematics, or the physical or biological
sciences which is designed to prepare the student to work
as a technician and at a semiprofessional level in
engineering, scientific, or other technological fields
which require the understanding and application of basic
engineering, scientific, or mathematical principles or
knowledge;
(3) Is accredited by a nationally recognized
accrediting agency or association or, if not so
accredited, is an institution whose credits are accepted,
on transfer, by not less than 3 institutions which are so
accredited, for credit on the same basis as if transferred
from an institution so accredited, and holds an unrevoked
certificate of approval under the Private College Act from
the Board of Higher Education, or is qualified as a
"degree granting institution" under the Academic Degree
Act; and
(4) Does not discriminate in the admission of students
on the basis of race or color. "Private institution of
higher education" also includes any "academic
institution".
(u) The term "academic institution" means any
not-for-profit institution which is not owned by the State or
any political subdivision, agency, instrumentality, district

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or municipality thereof, which institution engages in, or
facilitates academic, scientific, educational or professional
research or learning in a field or fields of study taught at a
private institution of higher education. Academic institutions
include, without limitation, libraries, archives, academic,
scientific, educational or professional societies,
institutions, associations or foundations having such
purposes.
(v) The term "cultural institution" means any
not-for-profit institution which is not owned by the State or
any political subdivision, agency, instrumentality, district
or municipality thereof, which institution engages in the
cultural, intellectual, scientific, educational or artistic
enrichment of the people of the State. Cultural institutions
include, without limitation, aquaria, botanical societies,
historical societies, libraries, museums, performing arts
associations or societies, scientific societies and zoological
societies.
(w) The term "affiliate" means, with respect to financing
of an agricultural facility or an agribusiness, any lender,
any person, firm or corporation controlled by, or under common
control with, such lender, and any person, firm or corporation
controlling such lender.
(x) The term "agricultural facility" means land, any
building or other improvement thereon or thereto, and any
personal properties deemed necessary or suitable for use,

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whether or not now in existence, in farming, ranching, the
production of agricultural commodities (including, without
limitation, the products of aquaculture, hydroponics and
silviculture) or the treating, processing or storing of such
agricultural commodities when such activities are customarily
engaged in by farmers as a part of farming and which land,
building, improvement or personal property is located within
the State, or is located outside the State, provided that, if
such property is located outside the State, it must be owned,
operated, leased, or managed by an entity located within the
State or an entity affiliated with an entity located within
the State.
(y) The term "lender" with respect to financing of an
agricultural facility or an agribusiness, means any federal or
State chartered bank, Federal Land Bank, Production Credit
Association, Bank for Cooperatives, federal or State chartered
savings and loan association or building and loan association,
Small Business Investment Company or any other institution
qualified within this State to originate and service loans,
including, but without limitation to, insurance companies,
credit unions and mortgage loan companies. "Lender" also means
a wholly owned subsidiary of a manufacturer, seller or
distributor of goods or services that makes loans to
businesses or individuals, commonly known as a "captive
finance company".
(z) The term "agribusiness" means any sole proprietorship,

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limited partnership, co-partnership, joint venture,
corporation or cooperative which operates or will operate a
facility located within the State or outside the State,
provided that, if any facility is located outside the State,
it must be owned, operated, leased, or managed by an entity
located within the State or an entity affiliated with an
entity located within the State, that is related to the
processing of agricultural commodities (including, without
limitation, the products of aquaculture, hydroponics and
silviculture) or the manufacturing, production or construction
of agricultural buildings, structures, equipment, implements,
and supplies, or any other facilities or processes used in
agricultural production. Agribusiness includes but is not
limited to the following:
(1) grain handling and processing, including grain
storage, drying, treatment, conditioning, mailing and
packaging;
(2) seed and feed grain development and processing;
(3) fruit and vegetable processing, including
preparation, canning and packaging;
(4) processing of livestock and livestock products,
dairy products, poultry and poultry products, fish or
apiarian products, including slaughter, shearing,
collecting, preparation, canning and packaging;
(5) fertilizer and agricultural chemical
manufacturing, processing, application and supplying;

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(6) farm machinery, equipment and implement
manufacturing and supplying;
(7) manufacturing and supplying of agricultural
commodity processing machinery and equipment, including
machinery and equipment used in slaughter, treatment,
handling, collecting, preparation, canning or packaging of
agricultural commodities;
(8) farm building and farm structure manufacturing,
construction and supplying;
(9) construction, manufacturing, implementation,
supplying or servicing of irrigation, drainage and soil
and water conservation devices or equipment;
(10) fuel processing and development facilities that
produce fuel from agricultural commodities or byproducts;
(11) facilities and equipment for processing and
packaging agricultural commodities specifically for
export;
(12) facilities and equipment for forestry product
processing and supplying, including sawmilling operations,
wood chip operations, timber harvesting operations, and
manufacturing of prefabricated buildings, paper, furniture
or other goods from forestry products;
(13) facilities and equipment for research and
development of products, processes and equipment for the
production, processing, preparation or packaging of
agricultural commodities and byproducts.

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

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

10200SB0018sam001 - 87 - LRB102 12600 LNS 28802 a
or any other state or commonwealth of the United States.
(hh) The term "municipal bond program project" means a
program for the funding of the purchase of bonds, notes or
other obligations issued by or on behalf of a municipal bond
issuer.
(ii) The term "participating lender" means any trust
company, bank, savings bank, credit union, merchant bank,
investment bank, broker, investment trust, pension fund,
building and loan association, savings and loan association,
insurance company, venture capital company, or other
institution approved by the Authority which provides a portion
of the financing for a project.
(jj) The term "loan participation" means any loan in which
the Authority co-operates with a participating lender to
provide all or a portion of the financing for a project.
(kk) The term "PACE Project" means an energy project as
defined in Section 5 of the Property Assessed Clean Energy
Act.
(ll) The term "clean energy" means energy generation that
is substantially free (90% or more) of carbon dioxide
emissions by design or operations, or that otherwise
contributes to the reduction in emissions of environmentally
hazardous materials or reduces the volume of environmentally
dangerous materials.
(mm) The term "clean energy project" means the
acquisition, construction, refurbishment, creation,

10200SB0018sam001 - 88 - LRB102 12600 LNS 28802 a
development or redevelopment of any facility, equipment,
machinery, real property, or personal property for use by the
State or any unit of local government, school district, agency
or instrumentality, office, department, division, bureau,
commission, college, or university of the State, for use by
any person or institution, public or private, for profit or
not for profit, or for use in any trade or business, which the
Authority determines will aid, assist, or encourage the
development or implementation of clean energy in the State, or
as otherwise contemplated by Article 850.
(nn) The term "Climate Bank" means the Authority in the
exercise of those powers conferred on it by this Act related to
clean energy or clean water, drinking water, or wastewater
treatment.
(oo) "equity investment eligible community" and "eligible
community" mean the geographic areas throughout Illinois that
would most benefit from equitable investments by the State
designed to combat discrimination. Specifically, the eligible
communities shall be defined as the following areas:
(1) R3 Areas as established pursuant to Section 10-40
of the Cannabis Regulation and Tax Act, where residents
have historically been excluded from economic
opportunities, including opportunities in the energy
sector; and
(2) Environmental justice communities, as defined by
the Illinois Power Agency pursuant to the Illinois Power

10200SB0018sam001 - 89 - LRB102 12600 LNS 28802 a
Agency Act, where residents have historically been subject
to disproportionate burdens of pollution, including
pollution from the energy sector.
(pp) "Equity investment eligible person" and "eligible
person" mean the persons who would most benefit from equitable
investments by the State designed to combat discrimination.
Specifically, eligible persons means the following people:
(1) persons whose primary residence is in an equity
investment eligible community;
(2) persons who are graduates of or currently enrolled
in the foster care system; or
(3) persons who were formerly incarcerated.
(qq) "Environmental justice community" means the
definition of that term based on existing methodologies and
findings used and as may be updated by the Illinois Power
Agency and its program administrator in the Illinois Solar for
All Program.
(Source: P.A. 100-919, eff. 8-17-18; 101-610, eff. 1-1-20.)
(20 ILCS 3501/801-40)
Sec. 801-40. In addition to the powers otherwise
authorized by law and in addition to the foregoing general
corporate powers, the Authority shall also have the following
additional specific powers to be exercised in furtherance of
the purposes of this Act.
(a) The Authority shall have power (i) to accept grants,

10200SB0018sam001 - 90 - LRB102 12600 LNS 28802 a
loans or appropriations from the federal government or the
State, or any agency or instrumentality thereof, or, in the
case of clean energy projects, any not-for-profit
philanthropic or other charitable organization, public or
private, to be used for the operating expenses of the
Authority, or for any purposes of the Authority, including the
making of direct loans of such funds with respect to projects,
and (ii) to enter into any agreement with the federal
government or the State, or any agency or instrumentality
thereof, in relationship to such grants, loans or
appropriations.
(b) The Authority shall have power to procure and enter
into contracts for any type of insurance and indemnity
agreements covering loss or damage to property from any cause,
including loss of use and occupancy, or covering any other
insurable risk.
(c) The Authority shall have the continuing power to issue
bonds for its corporate purposes. Bonds may be issued by the
Authority in one or more series and may provide for the payment
of any interest deemed necessary on such bonds, of the costs of
issuance of such bonds, of any premium on any insurance, or of
the cost of any guarantees, letters of credit or other similar
documents, may provide for the funding of the reserves deemed
necessary in connection with such bonds, and may provide for
the refunding or advance refunding of any bonds or for
accounts deemed necessary in connection with any purpose of

10200SB0018sam001 - 91 - LRB102 12600 LNS 28802 a
the Authority. The bonds may bear interest payable at any time
or times and at any rate or rates, notwithstanding any other
provision of law to the contrary, and such rate or rates may be
established by an index or formula which may be implemented or
established by persons appointed or retained therefor by the
Authority, or may bear no interest or may bear interest
payable at maturity or upon redemption prior to maturity, may
bear such date or dates, may be payable at such time or times
and at such place or places, may mature at any time or times
not later than 40 years from the date of issuance, may be sold
at public or private sale at such time or times and at such
price or prices, may be secured by such pledges, reserves,
guarantees, letters of credit, insurance contracts or other
similar credit support or liquidity instruments, may be
executed in such manner, may be subject to redemption prior to
maturity, may provide for the registration of the bonds, and
may be subject to such other terms and conditions all as may be
provided by the resolution or indenture authorizing the
issuance of such bonds. The holder or holders of any bonds
issued by the Authority may bring suits at law or proceedings
in equity to compel the performance and observance by any
person or by the Authority or any of its agents or employees of
any contract or covenant made with the holders of such bonds
and to compel such person or the Authority and any of its
agents or employees to perform any duties required to be
performed for the benefit of the holders of any such bonds by

10200SB0018sam001 - 92 - LRB102 12600 LNS 28802 a
the provision of the resolution authorizing their issuance,
and to enjoin such person or the Authority and any of its
agents or employees from taking any action in conflict with
any such contract or covenant. Notwithstanding the form and
tenor of any such bonds and in the absence of any express
recital on the face thereof that it is non-negotiable, all
such bonds shall be negotiable instruments. Pending the
preparation and execution of any such bonds, temporary bonds
may be issued as provided by the resolution. The bonds shall be
sold by the Authority in such manner as it shall determine. The
bonds may be secured as provided in the authorizing resolution
by the receipts, revenues, income and other available funds of
the Authority and by any amounts derived by the Authority from
the loan agreement or lease agreement with respect to the
project or projects; and bonds may be issued as general
obligations of the Authority payable from such revenues, funds
and obligations of the Authority as the bond resolution shall
provide, or may be issued as limited obligations with a claim
for payment solely from such revenues, funds and obligations
as the bond resolution shall provide. The Authority may grant
a specific pledge or assignment of and lien on or security
interest in such rights, revenues, income, or amounts and may
grant a specific pledge or assignment of and lien on or
security interest in any reserves, funds or accounts
established in the resolution authorizing the issuance of
bonds. Any such pledge, assignment, lien or security interest

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for the benefit of the holders of the Authority's bonds shall
be valid and binding from the time the bonds are issued without
any physical delivery or further act, and shall be valid and
binding as against and prior to the claims of all other parties
having claims against the Authority or any other person
irrespective of whether the other parties have notice of the
pledge, assignment, lien or security interest. As evidence of
such pledge, assignment, lien and security interest, the
Authority may execute and deliver a mortgage, trust agreement,
indenture or security agreement or an assignment thereof. A
remedy for any breach or default of the terms of any such
agreement by the Authority may be by mandamus proceedings in
any court of competent jurisdiction to compel the performance
and compliance therewith, but the agreement may prescribe by
whom or on whose behalf such action may be instituted. It is
expressly understood that the Authority may, but need not,
acquire title to any project with respect to which it
exercises its authority.
(d) With respect to the powers granted by this Act, the
Authority may adopt rules and regulations prescribing the
procedures by which persons may apply for assistance under
this Act. Nothing herein shall be deemed to preclude the
Authority, prior to the filing of any formal application, from
conducting preliminary discussions and investigations with
respect to the subject matter of any prospective application.
(e) The Authority shall have power to acquire by purchase,

10200SB0018sam001 - 94 - LRB102 12600 LNS 28802 a
lease, gift or otherwise any property or rights therein from
any person useful for its purposes, whether improved for the
purposes of any prospective project, or unimproved. The
Authority may also accept any donation of funds for its
purposes from any such source. The Authority shall have no
independent power of condemnation but may acquire any property
or rights therein obtained upon condemnation by any other
authority, governmental entity or unit of local government
with such power.
(f) The Authority shall have power to develop, construct
and improve either under its own direction, or through
collaboration with any approved applicant, or to acquire
through purchase or otherwise, any project, using for such
purpose the proceeds derived from the sale of its bonds or from
governmental loans or grants, and to hold title in the name of
the Authority to such projects.
(g) The Authority shall have power to lease pursuant to a
lease agreement any project so developed and constructed or
acquired to the approved tenant on such terms and conditions
as may be appropriate to further the purposes of this Act and
to maintain the credit of the Authority. Any such lease may
provide for either the Authority or the approved tenant to
assume initially, in whole or in part, the costs of
maintenance, repair and improvements during the leasehold
period. In no case, however, shall the total rentals from any
project during any initial leasehold period or the total loan

10200SB0018sam001 - 95 - LRB102 12600 LNS 28802 a
repayments to be made pursuant to any loan agreement, be less
than an amount necessary to return over such lease or loan
period (1) all costs incurred in connection with the
development, construction, acquisition or improvement of the
project and for repair, maintenance and improvements thereto
during the period of the lease or loan; provided, however,
that the rentals or loan repayments need not include costs met
through the use of funds other than those obtained by the
Authority through the issuance of its bonds or governmental
loans; (2) a reasonable percentage additive to be agreed upon
by the Authority and the borrower or tenant to cover a properly
allocable portion of the Authority's general expenses,
including, but not limited to, administrative expenses,
salaries and general insurance, and (3) an amount sufficient
to pay when due all principal of, interest and premium, if any
on, any bonds issued by the Authority with respect to the
project. The portion of total rentals payable under clause (3)
of this subsection (g) shall be deposited in such special
accounts, including all sinking funds, acquisition or
construction funds, debt service and other funds as provided
by any resolution, mortgage or trust agreement of the
Authority pursuant to which any bond is issued.
(h) The Authority has the power, upon the termination of
any leasehold period of any project, to sell or lease for a
further term or terms such project on such terms and
conditions as the Authority shall deem reasonable and

10200SB0018sam001 - 96 - LRB102 12600 LNS 28802 a
consistent with the purposes of the Act. The net proceeds from
all such sales and the revenues or income from such leases
shall be used to satisfy any indebtedness of the Authority
with respect to such project and any balance may be used to pay
any expenses of the Authority or be used for the further
development, construction, acquisition or improvement of
projects. In the event any project is vacated by a tenant prior
to the termination of the initial leasehold period, the
Authority shall sell or lease the facilities of the project on
the most advantageous terms available. The net proceeds of any
such disposition shall be treated in the same manner as the
proceeds from sales or the revenues or income from leases
subsequent to the termination of any initial leasehold period.
(i) The Authority shall have the power to make loans, or to
purchase loan participations in loans made, to persons to
finance a project, to enter into loan agreements or agreements
with participating lenders with respect thereto, and to accept
guarantees from persons of its loans or the resultant
evidences of obligations of the Authority.
(j) The Authority may fix, determine, charge and collect
any premiums, fees, charges, costs and expenses, including,
without limitation, any application fees, commitment fees,
program fees, financing charges or publication fees from any
person in connection with its activities under this Act.
(k) In addition to the funds established as provided
herein, the Authority shall have the power to create and

10200SB0018sam001 - 97 - LRB102 12600 LNS 28802 a
establish such reserve funds and accounts as may be necessary
or desirable to accomplish its purposes under this Act and to
deposit its available monies into the funds and accounts.
(l) At the request of the governing body of any unit of
local government, the Authority is authorized to market such
local government's revenue bond offerings by preparing bond
issues for sale, advertising for sealed bids, receiving bids
at its offices, making the award to the bidder that offers the
most favorable terms or arranging for negotiated placements or
underwritings of such securities. The Authority may, at its
discretion, offer for concurrent sale the revenue bonds of
several local governments. Sales by the Authority of revenue
bonds under this Section shall in no way imply State guarantee
of such debt issue. The Authority may require such financial
information from participating local governments as it deems
necessary in order to carry out the purposes of this
subsection (1).
(m) The Authority may make grants to any county to which
Division 5-37 of the Counties Code is applicable to assist in
the financing of capital development, construction and
renovation of new or existing facilities for hospitals and
health care facilities under that Act. Such grants may only be
made from funds appropriated for such purposes from the Build
Illinois Bond Fund.
(n) The Authority may establish an urban development
action grant program for the purpose of assisting

10200SB0018sam001 - 98 - LRB102 12600 LNS 28802 a
municipalities in Illinois which are experiencing severe
economic distress to help stimulate economic development
activities needed to aid in economic recovery. The Authority
shall determine the types of activities and projects for which
the urban development action grants may be used, provided that
such projects and activities are broadly defined to include
all reasonable projects and activities the primary objectives
of which are the development of viable urban communities,
including decent housing and a suitable living environment,
and expansion of economic opportunity, principally for persons
of low and moderate incomes. The Authority shall enter into
grant agreements from monies appropriated for such purposes
from the Build Illinois Bond Fund. The Authority shall monitor
the use of the grants, and shall provide for audits of the
funds as well as recovery by the Authority of any funds
determined to have been spent in violation of this subsection
(n) or any rule or regulation promulgated hereunder. The
Authority shall provide technical assistance with regard to
the effective use of the urban development action grants. The
Authority shall file an annual report to the General Assembly
concerning the progress of the grant program.
(o) The Authority may establish a Housing Partnership
Program whereby the Authority provides zero-interest loans to
municipalities for the purpose of assisting in the financing
of projects for the rehabilitation of affordable multi-family
housing for low and moderate income residents. The Authority

10200SB0018sam001 - 99 - LRB102 12600 LNS 28802 a
may provide such loans only upon a municipality's providing
evidence that it has obtained private funding for the
rehabilitation project. The Authority shall provide 3 State
dollars for every 7 dollars obtained by the municipality from
sources other than the State of Illinois. The loans shall be
made from monies appropriated for such purpose from the Build
Illinois Bond Fund. The total amount of loans available under
the Housing Partnership Program shall not exceed $30,000,000.
State loan monies under this subsection shall be used only for
the acquisition and rehabilitation of existing buildings
containing 4 or more dwelling units. The terms of any loan made
by the municipality under this subsection shall require
repayment of the loan to the municipality upon any sale or
other transfer of the project. In addition, the Authority may
use any moneys appropriated for such purpose from the Build
Illinois Bond Fund, including funds loaned under this
subsection and repaid as principal or interest, and investment
income on such funds, to make the loans authorized by
subsection (z), without regard to any restrictions or
limitations provided in this subsection.
(p) The Authority may award grants to universities and
research institutions, research consortiums and other
not-for-profit entities for the purposes of: remodeling or
otherwise physically altering existing laboratory or research
facilities, expansion or physical additions to existing
laboratory or research facilities, construction of new

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laboratory or research facilities or acquisition of modern
equipment to support laboratory or research operations
provided that such grants (i) be used solely in support of
project and equipment acquisitions which enhance technology
transfer, and (ii) not constitute more than 60 percent of the
total project or acquisition cost.
(q) Grants may be awarded by the Authority to units of
local government for the purpose of developing the appropriate
infrastructure or defraying other costs to the local
government in support of laboratory or research facilities
provided that such grants may not exceed 40% of the cost to the
unit of local government.
(r) In addition to the powers granted to the Authority
under subsection (i), and in all cases supplemental to it, the
Authority may establish a direct loan program to make loans
to, or may purchase participations in loans made by
participating lenders to, individuals, partnerships,
corporations, or other business entities for the purpose of
financing an industrial project, as defined in Section 801-10
of this Act. For the purposes of such program and not by way of
limitation on any other program of the Authority, including,
without limitation, programs established under subsection (i),
the Authority shall have the power to issue bonds, notes, or
other evidences of indebtedness including commercial paper for
purposes of providing a fund of capital from which it may make
such loans. The Authority shall have the power to use any

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appropriations from the State made especially for the
Authority's direct loan program, or moneys at any time held by
the Authority under this Act outside the State treasury in the
custody of either the Treasurer of the Authority or a trustee
or depository appointed by the Authority, for additional
capital to make such loans or purchase such loan
participations, or for the purposes of reserve funds or
pledged funds which secure the Authority's obligations of
repayment of any bond, note or other form of indebtedness
established for the purpose of providing capital for which it
intends to make such loans or purchase such loan
participations. For the purpose of obtaining such capital, the
Authority may also enter into agreements with financial
institutions, participating lenders, and other persons for the
purpose of administering a loan participation program, selling
loans or developing a secondary market for such loans or loan
participations. Loans made under the direct loan program
specifically established under this subsection (r), including
loans under such program made by participating lenders in
which the Authority purchases a participation, may be in an
amount not to exceed $600,000 and shall be made for a portion
of an industrial project which does not exceed 50% of the total
project. No loan may be made by the Authority unless approved
by the affirmative vote of at least 8 members of the board. The
Authority shall establish procedures and publish rules which
shall provide for the submission, review, and analysis of each

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direct loan and loan participation application and which shall
preserve the ability of each board member and the Executive
Director, as applicable, to reach an individual business
judgment regarding the propriety of each direct loan or loan
participation. The collective discretion of the board to
approve or disapprove each loan shall be unencumbered. The
Authority may establish and collect such fees and charges,
determine and enforce such terms and conditions, and charge
such interest rates as it determines to be necessary and
appropriate to the successful administration of the direct
loan program, including purchasing loan participations. The
Authority may require such interests in collateral and such
guarantees as it determines are necessary to protect the
Authority's interest in the repayment of the principal and
interest of each loan and loan participation made under the
direct loan program. The restrictions established under this
subsection (r) shall not be applicable to any loan or loan
participation made under subsection (i) or to any loan or loan
participation made under any other Section of this Act.
(s) The Authority may guarantee private loans to third
parties up to a specified dollar amount in order to promote
economic development in this State.
(t) The Authority may adopt rules and regulations as may
be necessary or advisable to implement the powers conferred by
this Act.
(u) The Authority shall have the power to issue bonds,

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notes or other evidences of indebtedness, which may be used to
make loans to units of local government which are authorized
to enter into loan agreements and other documents and to issue
bonds, notes and other evidences of indebtedness for the
purpose of financing the protection of storm sewer outfalls,
the construction of adequate storm sewer outfalls, and the
provision for flood protection of sanitary sewage treatment
plans, in counties that have established a stormwater
management planning committee in accordance with Section
5-1062 of the Counties Code. Any such loan shall be made by the
Authority pursuant to the provisions of Section 820-5 to
820-60 of this Act. The unit of local government shall pay back
to the Authority the principal amount of the loan, plus annual
interest as determined by the Authority. The Authority shall
have the power, subject to appropriations by the General
Assembly, to subsidize or buy down a portion of the interest on
such loans, up to 4% per annum.
(v) The Authority may accept security interests as
provided in Sections 11-3 and 11-3.3 of the Illinois Public
Aid Code.
(w) Moral Obligation. In the event that the Authority
determines that monies of the Authority will not be sufficient
for the payment of the principal of and interest on its bonds
during the next State fiscal year, the Chairperson, as soon as
practicable, shall certify to the Governor the amount required
by the Authority to enable it to pay such principal of and

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interest on the bonds. The Governor shall submit the amount so
certified to the General Assembly as soon as practicable, but
no later than the end of the current State fiscal year. This
subsection shall apply only to any bonds or notes as to which
the Authority shall have determined, in the resolution
authorizing the issuance of the bonds or notes, that this
subsection shall apply. Whenever the Authority makes such a
determination, that fact shall be plainly stated on the face
of the bonds or notes and that fact shall also be reported to
the Governor. In the event of a withdrawal of moneys from a
reserve fund established with respect to any issue or issues
of bonds of the Authority to pay principal or interest on those
bonds, the Chairperson of the Authority, as soon as
practicable, shall certify to the Governor the amount required
to restore the reserve fund to the level required in the
resolution or indenture securing those bonds. The Governor
shall submit the amount so certified to the General Assembly
as soon as practicable, but no later than the end of the
current State fiscal year. The Authority shall obtain written
approval from the Governor for any bonds and notes to be issued
under this Section. In addition to any other bonds authorized
to be issued under Sections 825-60, 825-65(e), 830-25 and
845-5, the principal amount of Authority bonds outstanding
issued under this Section 801-40(w) or under 20 ILCS 3850/1-80
or 30 ILCS 360/2-6(c), which have been assumed by the
Authority, shall not exceed $150,000,000. This subsection (w)

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shall in no way be applied to any bonds issued by the Authority
on behalf of the Illinois Power Agency under Section 825-90 of
this Act.
(x) The Authority may enter into agreements or contracts
with any person necessary or appropriate to place the payment
obligations of the Authority under any of its bonds in whole or
in part on any interest rate basis, cash flow basis, or other
basis desired by the Authority, including without limitation
agreements or contracts commonly known as "interest rate swap
agreements", "forward payment conversion agreements", and
"futures", or agreements or contracts to exchange cash flows
or a series of payments, or agreements or contracts, including
without limitation agreements or contracts commonly known as
"options", "puts", or "calls", to hedge payment, rate spread,
or similar exposure; provided that any such agreement or
contract shall not constitute an obligation for borrowed money
and shall not be taken into account under Section 845-5 of this
Act or any other debt limit of the Authority or the State of
Illinois.
(y) The Authority shall publish summaries of projects and
actions approved by the members of the Authority on its
website. These summaries shall include, but not be limited to,
information regarding the:
(1) project;
(2) Board's action or actions;
(3) purpose of the project;

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(4) Authority's program and contribution;
(5) volume cap;
(6) jobs retained;
(7) projected new jobs;
(8) construction jobs created;
(9) estimated sources and uses of funds;
(10) financing summary;
(11) project summary;
(12) business summary;
(13) ownership or economic disclosure statement;
(14) professional and financial information;
(15) service area; and
(16) legislative district.
The disclosure of information pursuant to this subsection
shall comply with the Freedom of Information Act.
(z) Consistent with the findings and declaration of policy
set forth in item (j) of Section 801-5 of this Act, the
Authority shall have the power to make loans to the Police
Officers' Pension Investment Fund authorized by Section
22B-120 of the Illinois Pension Code and to make loans to the
Firefighters' Pension Investment Fund authorized by Section
22C-120 of the Illinois Pension Code. Notwithstanding anything
in this Act to the contrary, loans authorized by Section
22B-120 and Section 22C-120 of the Illinois Pension Code may
be made from any of the Authority's funds, including, but not
limited to, funds in its Illinois Housing Partnership Program

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Fund, its Industrial Project Insurance Fund, or its Illinois
Venture Investment Fund.
(Source: P.A. 100-919, eff. 8-17-18; 101-610, eff. 1-1-20.)
(20 ILCS 3501/Art. 850 heading new)
ARTICLE 850
GENERAL PROVISIONS
(20 ILCS 3501/850-5 new)
Sec. 850-5. Climate Bank. The General Assembly designates
the Authority as the Climate Bank to aid in all respects with
providing financial assistance, programs, and products to
finance and otherwise develop and facilitate opportunities to
develop clean energy and provide clean water, drinking water,
and wastewater treatment in the State. Nothing in this Section
shall be deemed to supersede powers and regulatory duties
conferred to other State agencies or governmental units.
(20 ILCS 3501/850-10 new)
Sec. 850-10. Powers and duties.
(a) The Authority shall have the powers enumerated in this
Act to assist in the development and implementation of clean
energy in the State. The powers enumerated in this Article
shall be in addition to all other powers of the Authority
conferred in this Act, including those related to clean energy
and the provision of clean water, drinking water, and

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wastewater treatment. The powers of the Authority to issue
bonds, notes, and other obligations to finance loans
administered by the Illinois Environmental Protection Agency
under the Public Water Supply Loan Program or the Water
Pollution Control Loan Program or other similar programs shall
not be limited or otherwise affected by this amendatory Act of
the 102nd General Assembly.
(b) In its role as the Climate Bank of the State, the
Authority shall have the power to: (i) administer programs and
funds appropriated by the General Assembly for clean energy
projects in eligible communities and environmental justice
communities or owned by eligible persons, (ii) support
investment in the clean energy and clean water, drinking
water, and wastewater treatment, (iii) support and otherwise
promote investment in clean energy projects to foster the
growth, development, and commercialization of clean energy
projects and related enterprises, and (iv) stimulate demand
for clean energy and the development of clean energy projects.
(c) In addition to, and not in limitation of, any other
power of the Authority set forth in this Section or any other
provisions of the general statutes, the Authority shall have
and may exercise the following powers in furtherance of or in
carrying out its clean energy powers and purposes:
(1) To enter into joint ventures and invest in and
participate with any person, including, without
limitation, government entities and private corporations,

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engaged primarily in the development of clean energy
projects, provided that members of the Authority or
officers may serve as directors, members, or officers of
any such business entity, and such service shall be deemed
to be in the discharge of the duties or within the scope of
the employment of any such member or officer, or Authority
or officers, as the case may be, so long as such member or
officer does not receive any compensation or direct or
indirect financial benefit as a result of serving in such
role.
(2) To utilize funding sources, including, but not
limited to:
(A) funds repurposed from existing programs
providing financing support for clean energy projects,
provided any transfer of funds from such existing
programs shall be subject to approval by the General
Assembly and shall be used for expenses of financing,
grants, and loans;
(B) any federal funds that can be used for clean
energy purposes;
(C) charitable gifts, grants, and contributions as
well as loans from individuals, corporations,
university endowment funds, and philanthropic
foundations for clean energy projects or for the
provision of clean water, drinking water, and
wastewater treatment; and

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(D) earnings and interest derived from financing
support activities for clean energy projects financed
by the Authority.
(3) To enter into contracts with private sources to
raise capital.
(d) The Authority may finance working capital, refinance
outstanding indebtedness of any person, and otherwise assist
in the investment of equity from any source, public or
private, in connection with clean energy projects or any other
projects authorized by this Act.
(e) The Authority may assess reasonable fees on its
financing activities to cover its reasonable costs and
expenses, as determined by the Authority.
(f) The Authority shall make information regarding the
rates, terms and conditions for all of its financing support
transactions available to the public for inspection, including
formal annual reviews by both a private auditor and the
Comptroller, and providing details to the public on the
Internet, provided public disclosure shall be restricted for
patentable ideas, trade secrets, and proprietary or
confidential commercial or financial information, disclosure
of which may cause commercial harm to a nongovernmental
recipient of such financing support and for other information
exempt from public records disclosure pursuant to Section
1-210.

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(20 ILCS 3501/850-15 new)
Sec. 850-15. Purposes; Climate Bank. In its role as the
Climate Bank for the State, the Authority shall consider the
following purposes:
(1) the distribution of the benefits of clean energy
in an equitable manner, including by evaluating benefits
to eligible communities and equity investment eligible
persons;
(2) making clean energy accessible to all, especially
eligible persons, through financing opportunities and
grants for minority-owned businesses, as defined in the
Business Enterprise for Minorities, Women, and Persons
with Disabilities Act, and for low-income communities,
eligible communities, environmental justice communities,
and the businesses that serve these communities; and
(3) accelerating the investment of private capital
into clean energy projects in a manner reflective of the
geographic, racial, ethnic, gender, and income-level
diversity of the State.
Article 10. Energy Community Reinvestment Act
Section 10-1. Short title. This Article may be cited as
the Energy Community Reinvestment Act. References in this
Article to "this Act" mean this Article.

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Section 10-5. Findings. The General Assembly finds that,
as part of putting Illinois on a path to 100% renewable energy,
the State of Illinois should ensure a just transition to that
goal, providing support for the transition of Illinois'
communities and workers impacted by closures or reduced use of
fossil fuel power plants, nuclear power plants, or coal mines
by allocating new economic development resources for business
tax incentives, workforce training, site clean-up and reuse,
and local tax revenue replacement.
The General Assembly finds and declares that the health,
safety, and welfare of the people of this State are dependent
upon a healthy economy and vibrant communities; that the
closure of fossil fuel power plants, nuclear power plants, and
coal mines across this State have a significant impact on
their surrounding communities; that the expansion of renewable
energy creates job growth and contributes to the health,
safety, and welfare of the people of this State; that the
continual encouragement, development, growth, and expansion of
renewable energy within this State requires a cooperative and
continuous partnership between government and the renewable
energy sector; and that there are certain areas in this State
that have lost, or will lose, jobs due to the closure of fossil
fuel power plants, nuclear power plants, and coal mines and
need the particular attention of government, labor, and the
residents of Illinois to help attract new investment into
these areas and directly aid the local community and its

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residents.
Therefore, it is declared to be the purpose of this Act to
explore ways of stimulating the growth of new private
investment, including renewable energy investment, in this
State and to foster job growth in areas impacted by the closure
of coal energy plants, coal mines, and nuclear energy plants.
Section 10-10. Definitions. As used in this Act, unless
the context otherwise requires:
"Agencies" or "State agencies" has the same meaning as
"State agencies" under Section 1-7 of the Illinois State
Auditing Act.
"Commission" means the Energy Transition Workforce
Commission created in Section 10-15.
"Department" means the Department of Commerce and Economic
Opportunity.
"Displaced energy worker" means an energy worker who has
lost employment, or is anticipated by the Department to lose
employment within the next 5 years, due to the reduced
operation or closure of a fossil fuel power plant, nuclear
power plant, or coal mine.
"Energy worker" means a person who has been employed
full-time for a period of one year or longer, and within the
previous 5 years, at a fossil fuel power plant, a nuclear power
plant, or a coal mine located within the State of Illinois,
whether or not they are employed by the owner of the power

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plant or mine. Energy workers are considered to be full-time
if they work at least 35 hours per week for 45 weeks a year or
the 1,820 work-hour equivalent with vacations, paid holidays,
and sick time, but not overtime, included in this computation.
Classification of an individual as an energy worker continues
for 5 years from the latest date of employment or the effective
date of this Act, whichever is later.
"Environmental justice communities" shall have the meaning
set forth in Section 1-56 of the Illinois Power Agency Act and
the most recent Commission-approved long-term renewable
resources procurement plan of the Illinois Power Agency.
"Fossil fuel power plant" means an electric generating
facility powered by gas, coal, other fossil fuels, or a
combination thereof.
"Local labor market area" means an economically integrated
area within which individuals reside and find employment
within a reasonable distance of their places of residence or
can readily change jobs without changing their places of
residence.
"Low-income" means persons and families whose income does
not exceed 80% of area median income, adjusted for family size
and revised every 2 years.
"Renewable energy enterprise" means a company that is
engaged in the production, manufacturing, distribution, or
development of renewable energy resources and associated
technologies.

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"Renewable energy project" means a project conducted by a
renewable energy enterprise for the purpose of generating
renewable energy resources or energy storage.
"Renewable energy resources" has the meaning set forth in
Section 1-10 of the Illinois Power Agency Act.
"Rule" has the meaning set forth in Section 1-70 of the
Illinois Administrative Procedure Act.
Section 10-15. Energy Transition Workforce Commission.
(a) The Energy Transition Workforce Commission is hereby
created within the Department of Commerce and Economic
Opportunity.
(b) The Commission shall consist of the following members:
(1) the Director of Commerce and Economic Opportunity;
(2) the Director of Labor, or his or her designee, who
shall serve as chairperson;
(3) 5 members appointed by the Governor, with the
advice and consent of the Senate, of which at least one
shall be a representative of a local labor organization,
at least one shall be a resident of an environmental
justice community, at least one shall be a representative
of a national labor organization, and at least one shall
be a representative of the administrator of workforce
training programs created by this Act. Designees shall be
appointed within 60 days after a vacancy; and
(4) the 3 Regional Administrators selected under

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Section 5-15 of the Energy Transition Act.
(c) Members of the Commission shall serve without
compensation, but may be reimbursed for necessary expenses
incurred in the performance of their duties from funds
appropriated for that purpose. The Department of Commerce and
Economic Opportunity shall provide administrative support to
the Commission.
(d) Within 240 days after the effective date of this Act,
the Commission shall produce an Energy Transition Workforce
Report regarding the anticipated impact of the energy
transition and a comprehensive set of recommendations to
address changes to the Illinois workforce during the period of
2020 through 2050, or a later year. The report shall contain
the following elements, designed to be used for the programs
created in this Act:
(1) Information related to the impact on current
workers, including:
(A) a comprehensive accounting of all employees
who currently work in fossil fuel energy generation,
nuclear energy generation, and coal mining in the
State; upon receipt of the employee's written
authorization for the employer's release of such
information to the Commission, this shall include
information on their location, employer, salary
ranges, full-time or part-time status, nature of their
work, educational attainment, union status, and other

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factors the Commission finds relevant;
(B) the anticipated schedule of closures of fossil
fuel power plants, nuclear power plants, and coal
mines across the State; when information is
unavailable to provide exact data, the report shall
include approximations based upon the best available
information;
(C) an estimate of worker impacts due to scheduled
closures, including layoffs, early retirements, salary
changes, and other factors the Commission finds
relevant; and
(D) the likely outcome for workers who are
employed by facilities that are anticipated to close
or have significant layoffs during their tenure or
lifetime.
(2) Information regarding impact on communities and
local governments, including:
(A) changes in the revenue for units of local
government in areas that currently or recently have
had a closure or reduction in operation of a fossil
fuel power plant, nuclear power plant, coal mine, or
related industry;
(B) environmental impacts in areas that currently
or recently have had fossil fuel power plants, coal
mines, nuclear power plants, or related industry; and
(C) economic impacts of the energy transition,

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including, but not limited to, the supply chain
impacts of the energy transition shift toward new
energy sources across the State.
(3) Information on emerging industries and State
economic development opportunities in regions that have
historically been the site of fossil fuel power plants,
nuclear power plants, or coal mining.
(e) Following the completion of each report, or if the
Department finds that it is prudent to begin before the
completion of a report, the Department shall coordinate with
the Commission to create a comprehensive draft plan for
designing, maintaining, and funding programs established under
this Act, including the Displaced Energy Workers Bill of
Rights provided under Section 10-25. The draft plan shall
include, at a minimum, the following information:
(1) A detailed accounting of the anticipated costs for
each program and the anticipated amount of funding that
will be provided for each program.
(2) Information on the locations at which each program
shall have services provided; if this information is not
yet known by the Department at the time of the plan's
drafting, the Department shall generally explain how they
intend to determine the program locations. Within 240 days
after the effective date of this Act, the Department shall
publish the draft plan online. The Department shall take
public comments on the draft plan for a period of no less

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than 45 days and publish the final plan within 60 days
after the closing of the comment period.
(f) The Department shall periodically review its findings
in the developed reports and make modifications to the report
and programs based on new findings. The Department shall
conduct a comprehensive reevaluation of the report, and
publish a modified version, on each of the following years
following initial publication: 2023; 2027; 2030; 2035; 2040;
and any year thereafter which the Department determines is
necessary or prudent.
Section 10-20. Energy Transition Community Grants.
(a) Subject to appropriation, the Department shall
establish an Energy Transition Community Grant Program to
award grants to promote economic development in eligible
communities.
(b) Funds shall be made available from the Energy
Transition Assistance Fund to the Department to provide these
grants.
(c) Communities eligible to receive these grants must meet
one or more of the following:
(1) the area contains a fossil fuel or nuclear power
plant that was retired from service or has significantly
reduced service within 10 years before the application for
designation or will be retired or have service
significantly reduced within 10 years following the

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application for designation;
(2) the area contains a coal mine that was closed or
had operations significantly reduced within 10 years
before the application for designation or is anticipated
to be closed or have operations significantly reduced
within 10 years following the application for designation;
or
(3) the area contains a nuclear power plant that was
decommissioned, but continued storing nuclear waste before
the effective date of this Act.
(d) Local units of governments in eligible areas may join
with any other local unit of government, economic development
organization, local educational institutions, community-based
groups, or with any number or combination thereof to apply for
the Energy Transition Community Grant.
(e) To receive grant funds, an eligible community must
submit an application to the Department, using a form
developed by the Department.
(f) For grants awarded to counties or other entities that
are not the city that hosts or has hosted the investor-owned
electric generating plant, a resolution of support for the
project from the city or cities that hosts or has hosted the
investor-owned electric generating plant is required to be
submitted with the application.
(g) Grants must be used to plan for or address the economic
and social impact on the community or region of plant

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retirement or transition.
(h) Project applications should include community input
and consultation with a diverse set of stakeholders,
including, but not limited to: Regional Planning Councils,
where applicable; economic development organizations;
low-income or environmental justice communities; educational
institutions; elected and appointed officials; organizations
representing workers; and other relevant organizations.
(i) Grant costs are authorized to procure third-party
vendors for grant writing and implementation costs, including
for guidance and opportunities to apply for additional
federal, State, local, and private funding resources. If the
application is approved for pre-award, one-time reimbursable
costs to apply for the Energy Transition Community Grant are
authorized up to 3% of the award.
Section 10-25. Displaced Energy Workers Bill of Rights.
(a) The Department, in collaboration with the Department
of Employment Security, shall have the authority to implement
the Displaced Energy Workers Bill of Rights, and shall be
responsible for the implementation of the Displaced Energy
Workers Bill of Rights programs and rights created under this
Section. The Department shall provide the following benefits
to displaced energy workers listed in paragraphs (1) through
(4) of this subsection:
(1) Advance notice of power plant or coal mine

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closure.
(A) The Department shall notify all energy workers
of the upcoming closure of any qualifying facility as
far in advance of the scheduled closing date as it can.
The Department shall engage the employer and energy
workers no later than within 30 days of a closure or
deactivation notice being filed by the plant owner to
the Regional Transmission Organization of
jurisdiction, within 30 days of the announced closure
of a coal mine, within 30 days of a WARN notice being
filed with the Department, or within 30 days of an
announcement or requirement of cessation of operations
of a plant or mine from another authoritative source,
whichever is first.
(B) In providing the advance notice described in
this paragraph (1), the Department shall take
reasonable steps to ensure that all displaced energy
workers are educated on the various programs available
through the Department to assist with the energy
transition.
(2) Education on programs. The Department shall take
reasonable steps to ensure that all displaced energy
workers are educated on the various programs available
through the Department to assist with the energy
transition, including, but not limited to, the Illinois
Dislocated Worker and Rapid Response programs. The

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Department will develop an outreach strategy, workforce
toolkit and quick action plan to deploy when closures are
announced. This strategy will include identifying any
additional resources that may be needed to aid worker
transitions that would require contracting services.
(3) Employment assistance and career services. The
Department shall provide displaced energy workers with
assistance in finding new sources of employment through
the Energy Workforce Development Program established in
this Act. The Department shall provide information and
consultation to displaced energy workers on various
employment and educational opportunities available to
them, supportive services, and advise workers on which
opportunities meet their skills, needs, and preferences.
(A) Available services will include reemployment
services, training services, work-based learning
services, and financial and retirement planning
support.
(B) The Department will provide skills matching as
part of career counseling services to enable
assessment of the displaced energy worker's skills and
map those skills to emerging occupations in the region
or nationally, or both, depending on the displaced
worker's preferences.
(C) For energy workers who may be interested in
entrepreneurial pursuits, the Department will connect

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these individuals with their area Small Business
Development Center, procurement technical assistance
centers, and economic development organization to
engage in services, including, but not limited to,
business consulting, business planning, regulatory
compliance, marketing, training, accessing capital,
and government bid certification assistance.
(4) Financial planning services. Displaced energy
workers shall be entitled to services as described in the
energy worker programs in this subsection, including
financial planning services.
(5) Insurance alternatives. Displaced energy workers
may purchase health insurance plans from Illinois Health
Benefits Exchanges which offer a similar level of
benefits, including, but not limited to, coverage,
in-network providers, deductibles, and copayments covered
during the previous 12 months of their employment.
(b) Plant owners and the owners of coal mines located in
Illinois shall be required to comply with the requirements set
out in this subsection (b). The owners shall be required to
take the following actions:
(1) Provide written notice of deactivation or closure
filing with the Regional Transmission Organization of
jurisdiction to the Department within 48 hours, if
applicable.
(2) Provide employment information for energy workers;

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90 days prior to the closure of an electric generating
unit or mine, the owners of the power plant or mine shall
provide energy workers information on whether there are
employment opportunities provided by their employer.
(3) Annually report to the Department on announced
closures of qualifying facilities. The report must include
information on expected closure date, number of employees,
planning processes, services offered for employees (such
as training opportunities) leading up to the closure,
efforts made to retain employees through other employment
opportunities within the company, and any other
information that the Department requires in order to
implement this Section.
(4) Ninety days prior to closure date, provide a final
closure report to the Department that includes expected
closure date, number of employees and salaries, transition
support the company is providing to employee and
timelines, including assistance for training
opportunities, transportation support or child care
resources to attend training, career counseling, resume
support, and others. The closure report will be made
available to the chief elected official of each municipal
and county government within which the employment loss,
relocation, or mass layoff occurs. It shall not be made
publicly available.
(5) Ninety days prior to closure date, provide job

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descriptions for each employee at the plant or mine to the
Department and the entity providing career and training
counseling.
(6) Ninety days prior to closure date, make available
to the Department and the entity providing career and
training counseling any industry-related certifications
and on-the-job training the employee earned to allow union
training programs, community colleges, or other
certification programs to award credit for life
experiences in order to reduce the amount of time to
complete training, certificates, or degrees for the
dislocated employee.
(7) Maintain responsible retirement account
portfolios.
Section 10-30. Displaced Energy Worker Dependent
Transition Scholarship.
(a) Subject to appropriation, the benefits of this Section
shall be administered by and paid for out of funds made
available to the Illinois Student Assistance Commission.
(b) Any natural child, legally adopted child, or stepchild
of an eligible displaced energy worker who possesses all
necessary entrance requirements shall, upon application and
proper proof, be awarded a transition scholarship consisting
of the equivalent of one calendar year of full-time
enrollment, including summer terms, to the State-supported

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Illinois institution of higher learning of his or her choice.
(c) As used in this Section, "eligible displaced energy
worker" means an energy worker who has lost employment due to
the reduced operation or closure of a fossil fuel power plant
or coal mine.
(d) Full-time enrollment means 12 or more semester hours
of courses per semester, or 12 or more quarter hours of courses
per quarter, or the equivalent thereof per term. Scholarships
utilized by dependents enrolled in less than full-time study
shall be computed in the proportion which the number of hours
so carried bears to full-time enrollment.
(e) Scholarships awarded under this Section may be used by
a child without regard to his or her age. The holder of a
Scholarship awarded under this Section shall be subject to all
examinations and academic standards, including the maintenance
of minimum grade levels, that are applicable generally to
other enrolled students at the Illinois institution of higher
learning where the scholarship is being used.
(f) An applicant is eligible for a scholarship under this
Section when the Commission finds the applicant:
(1) is the natural child, legally adopted child, or
stepchild of an eligible displaced energy worker; and
(2) in the absence of transition scholarship
assistance, will be deterred by financial considerations
from completing an educational program at the
State-supported Illinois institution of higher learning of

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his or her choice.
(g) Funds may be made available from the Energy Transition
Assistance Fund to the Commission to provide these grants.
(h) The scholarship shall only cover tuition and fees at
the rates offered to students residing within the State or in
the district, but shall not exceed the cost equivalent of one
calendar year of full-time enrollment, including summer terms,
at the University of Illinois. The Commission shall determine
the grant amount for each student.
Section 10-35. Consideration of energy worker employment.
(a) All State departments and agencies shall conduct a
review of the Department of Commerce and Economic
Opportunity's registry of energy workers to determine whether
any qualified candidates are displaced energy workers before
making a final hiring decision for a position in State
employment.
(b) The Department of Commerce and Economic Opportunity
shall inform all State agencies and departments of the
obligations created by this Section and take steps to ensure
compliance.
(c) Nothing in this Section shall be interpreted to
indicate that the State is required to hire displaced energy
workers for any position.
(d) No part of this Section shall be interpreted to be in
conflict with federal or State civil rights or employment law.

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Section 10-40. Energy Community Reinvestment Report.
Beginning 365 days after the effective date of this Act, and at
least once each calendar year thereafter, the Department shall
create or commission the creation of a report on the energy
worker and transition programs created in this Act and publish
the report on its website. The report shall, at a minimum,
contain information on program metrics, the demographics of
participants, program impact, and recommendations for future
modifications to the services provided by the Department under
these programs.
Section 10-70. Administrative review. All final
administrative decisions, including, but not limited to,
funding allocation and rules issued by the Department under
this Act are subject to judicial review under the
Administrative Review Law. No action may be commenced under
this Section prior to 60 days after the complainant has given
notice in writing of the action to the Department.
Section 10-90. Repealer. This Act is repealed 14 years
after the effective date of this Act.
Article 15. Community Energy, Climate, and Jobs Planning Act
Section 15-1. Short title. This Article may be cited as

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the Community Energy, Climate, and Jobs Planning Act.
References in this Article to "this Act" mean this Article.
Section 15-5. Findings. The General Assembly makes the
following findings:
(1) The health, welfare, and prosperity of Illinois
residents require that Illinois take all steps possible to
combat climate change, address harmful environmental
impacts deriving from the generation of electricity,
maximize quality job creation in the emerging clean energy
economy, ensure affordable utility service, equitable and
affordable access to transportation, and clean, safe, and
affordable housing.
(2) The achievement of these goals will depend on
strong community engagement to ensure that programs and
policy solutions meet the needs of disparate communities.
(3) Ensuring that these goals are met without adverse
impacts on utility bill affordability, housing
affordability, and other essential services will depend on
the coordination of policies and programs within local
communities.
Section 15-10. Definitions. As used in this Act:
"Alternative energy improvement" means the installation or
upgrade of electrical wiring, outlets, or charging stations to
charge a motor vehicle that is fully or partially powered by

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electricity; photovoltaic, energy storage, or thermal
resource; or any combination thereof.
"Disadvantaged worker" means an individual who is defined
as: (1) being homeless; (2) being a custodial single parent;
(3) being a recipient of public assistance; (4) lacking a high
school diploma or high school equivalency; (5) having a
criminal record or other involvement in the criminal justice
system; (6) suffering from chronic unemployment; (7) being
previously in the child welfare system; or (8) being a
veteran.
"Energy efficiency improvement" means equipment, devices,
or materials intended to decrease energy consumption or
promote a more efficient use of electricity, natural gas,
propane, or other forms of energy on property, including, but
not limited to:
(1) insulation in walls, roofs, floors, foundations,
or heating and cooling distribution systems;
(2) storm windows and doors, multi-glazed windows and
doors, heat-absorbing or heat-reflective glazed and coated
window and door systems, and additional glazing,
reductions in glass area, and other window and door system
modifications that reduce energy consumption;
(3) automated energy control systems;
(4) high efficiency heating, ventilating, or
air-conditioning and distribution system modifications or
replacements;

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(5) caulking, weather-stripping, and air sealing;
(6) replacement or modification of lighting fixtures
to reduce the energy use of the lighting system;
(7) energy controls or recovery systems;
(8) day lighting systems;
(9) any energy efficiency project, as defined in
Section 825-65 of the Illinois Finance Authority Act; and
(10) any other installation or modification of
equipment, devices, or materials approved as a utility
cost-saving measure by the governing body.
"Energy project" means the installation or modification of
an alternative energy improvement, energy efficiency
improvement, or water use improvement, or the acquisition,
installation, or improvement of a renewable energy system that
is affixed to a stabilized existing property, including new
construction.
"Environmental justice communities" means the proposed
definition of that term based on existing methodologies and
findings used by the Illinois Power Agency and its
Administrator in its Illinois Solar for All Program.
"Equity investment eligible community" or "eligible
community" are synonymous and mean the geographic areas
throughout Illinois which would most benefit from equitable
investments by the State designed to combat discrimination and
foster sustainable economic growth. Specifically, eligible
communities shall be defined as the following areas:

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(1) R3 Areas as established pursuant to Section 10-40
of the Cannabis Regulation and Tax Act, where residents
have historically been excluded from economic
opportunities, including opportunities in the energy
sector; and
(2) Environmental justice communities, as defined by
the Illinois Power Agency pursuant to the Illinois Power
Agency Act, where residents have historically been subject
to disproportionate burdens of pollution, including
pollution from the energy sector.
"Equity investment eligible person" or "eligible person"
are synonymous and mean the persons who would most benefit
from equitable investments by the State designed to combat
discrimination and foster sustainable economic growth.
Specifically, "eligible person" means the following people:
(1) a person whose primary residence is in an equity
investment eligible community;
(2) a person who is a graduate of or currently
enrolled in the foster care system; or
(3) a person who was formerly incarcerated.
"Governing body" means the county board or board of county
commissioners of a county, the city council of a municipality,
or the board of trustees of a village.
"Local Employment Plan" means a bidding option that public
agencies may include in requests for proposals to incentivize
bidders to voluntarily plan to retain and create high-skilled

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local manufacturing jobs; invest in preapprenticeship,
apprenticeship, and training opportunities; and develop
family-sustaining career pathways into clean energy industries
for disadvantaged workers in a specified local area. The Local
Employment Plan only applies to work that is not financed with
federal money.
"Local unit of government" means a county, municipality,
or village.
"Natural climate solutions" means conservation,
restoration, or improved land management actions that increase
carbon storage or avoid greenhouse gas emissions on natural
and working lands.
"Nature-based approaches for climate adaptation" means
actions that preserve, enhance, or expand functions provided
by nature that increase capacity to manage adverse conditions
created or exacerbated by climate change. "Nature-based
approaches for climate adaptation" includes, but is not
limited to, the restoration of native ecosystems, especially
floodplains; installation of bioswales, rain gardens, and
other green stormwater infrastructure; and practices that
increase soil health and reduce urban heat island effects.
"Public agency" means the State of Illinois or any of its
government bodies and subdivisions, including the various
counties, townships, municipalities, school districts,
educational service regions, special road districts, public
water supply districts, drainage districts, levee districts,

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sewer districts, housing authorities, and transit agencies.
"Renewable energy resource" includes energy and its
associated renewable energy credit or renewable energy credits
from wind energy, solar thermal energy, geothermal energy,
photovoltaic cells and panels, biodiesel, anaerobic digestion,
and hydropower that does not involve new construction or
significant expansion of hydropower dams. For purposes of this
Act, landfill gas produced in the State is considered a
renewable energy resource. "Renewable energy resource" does
not include the incineration or burning of any solid material.
"Renewable energy system" means a fixture, product,
device, or interacting group of fixtures, products, or devices
on the customer's side of the meter that use one or more
renewable energy resources to generate electricity, and
specifically includes any renewable energy project, as defined
in Section 825-65 of the Illinois Finance Authority Act.
"U.S. Employment Plan" means a bidding option that public
agencies may include in requests for proposals to incentivize
bidders to voluntarily plan to retain and create high-skilled
U.S. manufacturing jobs; invest in preapprenticeship,
apprenticeship, and training opportunities; and develop
family-sustaining career pathways into clean energy industries
for disadvantaged workers throughout the U.S. The U.S.
Employment Plan only applies to work financed with federal
Money.
"Water use improvement" means any fixture, product,

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system, device, or interacting group thereof for or serving
any property that has the effect of conserving water resources
through improved water management, efficiency, or thermal
resource.
Section 15-15. Community Energy, Climate, and Jobs Plans;
creation.
(a) Pursuant to the procedures in Section 15-20, a local
unit of government may establish Community Energy, Climate,
and Jobs Plans and identify boundaries and areas covered by
the Plans.
(b) Community Energy, Climate, and Jobs Plans are intended
to aid local governments in developing a comprehensive
approach to combining different energy, climate, and jobs
programs and funding resources to achieve complementary
impact. An effective planning process may:
(1) help communities discover ways that their local
government, businesses, and residents can control their
energy use and lower their bills;
(2) ensure a cost-effective transition away from
fossil fuels in the transportation sector;
(3) expand access to workforce development and job
training opportunities for disadvantaged workers in the
emerging clean energy economy;
(4) incentivize the creation and retention of quality
Illinois jobs (when federal funds are not involved) in the

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emerging clean energy economy;
(5) incentivize the creation and retention of quality
U.S. jobs in the emerging clean energy economy;
(6) promote economic development through improvements
in community infrastructure, transit, and support for
local business;
(7) improve the health of Illinois communities,
especially eligible communities, by reducing emissions,
addressing existing brownfield areas, and promoting the
integration of distributed energy resources;
(8) enable greater customer engagement, empowerment,
and options for energy services, and ultimately reduce
utility bills for Illinoisans;
(9) bring the benefits of grid modernization and the
deployment of distributed energy resources to economically
disadvantaged communities and eligible communities
throughout Illinois;
(10) support existing Illinois policy goals promoting
energy efficiency, demand response, and investments in
renewable energy resources;
(11) enable communities to better respond to extreme
heat and cold emergencies;
(12) explore opportunities to expand and improve
recreational amenities, wildlife habitat, flood
mitigation, agricultural production, tourism, and similar
co-benefits by deploying natural climate solutions and

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nature-based approaches for climate adaptation; and
(13) ensure eligible persons, minorities, women,
people with disabilities, and veterans meaningfully
participate in the transition to a clean energy economy.
(c) A Community Energy, Climate, and Jobs Plan may include
discussion of:
(1) the demographics of the community, including
information on the mix of residential and commercial areas
and populations, ages, languages, education, and workforce
training, including an examination of the average utility
bills paid within the community by class and zip code, the
percentage and locations of individuals requiring energy
assistance, and participation of community members in
other assistance programs;
(2) an examination of the community's energy use, for
electricity, natural gas, transportation, and other fuels;
(3) the geography of the community, including the
amount of green space, brownfield sites, farmland,
waterways, flood zones, heat islands, areas for potential
development, location of critical infrastructure such as
emergency response facilities, health care and education
facilities, and public transportation routes;
(4) information on economic development opportunities,
commercial usage, and employment opportunities;
(5) the current status of zero emission vehicles
operated by or on behalf of public agencies within the

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community; and
(6) other topics deemed applicable by the community.
(d) A Community Energy, Climate, and Jobs Plan may address
the following areas:
(1) distributed energy resources, including energy
efficiency, demand response, dynamic pricing, energy
storage, and solar (thermal, rooftop, and community);
(2) building codes, both commercial and residential;
(3) alternative transportation funding;
(4) transit options, including individual car
ownership, ridesharing, buses, trains, bicycles, and
pedestrian walkways;
(5) community assets related to extreme heat and cold
emergencies, such as cooling and warming centers;
(6) public agency procurements of zero emission,
electric vehicles; and
(7) networks of natural resources and infrastructure.
(e) A Community Energy, Climate, and Jobs Plan may
conclude with proposals to:
(1) increase the use of electricity as a
transportation fuel at multi-unit dwellings;
(2) maximize the system-wide benefits of
transportation electrification;
(3) direct public agencies to implement tools, such as
the U.S. Employment Plan or a Local Employment Plan, to
incentivize manufacturers in clean energy industries to

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create and retain quality jobs and invest in training,
workforce development, and apprenticeship programs in
connection to a major contract;
(4) test innovative load management programs or rate
structures associated with the use of electric vehicles by
residential customers to achieve customer fuel cost
savings relative to gasoline or diesel fuels and to
optimize grid efficiency;
(5) increase the integration of distributed energy
resources in the community;
(6) significantly expand the percentage of net-zero
housing and net-zero buildings in the community;
(7) improve utility bill affordability;
(8) increase mass transit ridership;
(9) decrease vehicle miles traveled;
(10) reduce local emissions of greenhouse gases, NOx,
SOx, particulate matter, and other air pollutants;
(11) improve community assets that help residents
respond to extreme heat and cold emergencies; and
(12) expand opportunities for eligible persons,
minorities, women, people with disabilities, and veterans
to meaningfully participate in the transition to a clean
energy economy.
(f) A Community Energy, Climate, and Jobs Plan may be
administered by one or more program administrators or the
local unit of government.

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Section 15-20. Community Energy, Climate, and Jobs
Planning process.
(a) An effective planning process shall engage a diverse
set of stakeholders in local communities, including:
environmental justice organizations; economic development
organizations; faith-based nonprofit organizations;
educational institutions; interested residents; health care
institutions; tenant organizations; housing institutions,
developers, and owners; elected and appointed officials; and
representatives reflective of each local community.
(b) An effective planning process shall engage individual
members of the community to the extent possible to ensure that
the Plans receive input from as diverse a set of perspectives
as possible.
(c) Plan materials and meetings related to the Plan shall
be translated into languages that reflect the makeup of the
local community.
(d) The planning process shall be conducted in an ethical,
transparent fashion, and continually review its policies and
practices to determine how best to meet its objectives.
(e) The Community, Energy, and Climate Plans shall take
into account other applicable or relevant economic development
plans, such as a Comprehensive Economic Development Strategy,
developed by a local unit of government, economic development
organization, or Regional Planning Council.

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Section 15-25. Joint Community Energy, Climate, and Jobs
Plans. A local unit of government may join with any other local
unit of government, or with any public or private person, or
with any number or combination thereof, under the
Intergovernmental Cooperation Act, by contract or otherwise as
may be permitted by law, for the implementation of a Community
Energy, Climate, and Jobs Plan, in whole or in part.
Section 15-90. Repealer. This Act is repealed 14 years
after the effective date of this Act.
Article 20. Illinois Clean Energy
Jobs and Justice Fund Act
Section 20-1. Short title. This Article may be cited as
the Clean Energy Jobs and Justice Fund Act. References in this
Article to "this Act" mean this Article.
Section 20-5. Purpose. The purpose of this Act is to
promote the health, welfare, and prosperity of all the
residents of this State by ensuring access to financial
products that allow Illinois residents and businesses to
invest in clean energy. Furthermore, the Clean Energy Jobs and
Justice Fund, is designed to fill the following purposes:
(1) ensure that the benefits of the clean energy

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economy are equitably distributed;
(2) make clean energy accessible to all through the
provision of innovative financing opportunities and grants
for Minority Business Enterprises (MBE) and other
contractors of color, and for low-income, environmental
justice, and BIPOC communities and the businesses that
serve these communities;
(3) prioritize the provision of public and private
capital for clean energy investment to MBEs and other
contractors of color, and to businesses serving
low-income, environmental justice, and BIPOC communities;
(4) accelerate the flow of private capital into clean
energy markets;
(5) assist low-income, environmental justice, and
BIPOC community utility customers in paying for solar and
energy efficiency upgrades through energy cost savings;
(6) increase access to no-cost and low-cost loans for
MBE and other contractors of color;
(7) develop financing products designed to compensate
for historical and structural barriers preventing
low-income, environmental justice, and BIPOC communities
from accessing traditional financing;
(8) leverage private investment in clean energy
projects and in projects developed by MBEs and other
contractors of color; and
(9) pursue financial self-sustainability through

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innovative financing products.
Section 20-10. Definitions. As used in this Act:
"Black, indigenous, and people of color" or "BIPOC" means
people who are members of the groups described in
subparagraphs (a) through (e) of paragraph (A) of subsection
(1) of Section 2 of the Business Enterprise for Minorities,
Women, and Persons with Disabilities Act.
"Board" means the Board of Directors of the Clean Energy
Jobs and Justice Fund.
"Contractor of color" means a business entity that is at
least 51% owned by one or more BIPOC persons, or in the case of
a corporation, at least 51% of the corporation's stock is
owned by one or more BIPOC persons, and the management and
daily business operations of which are controlled by one or
more of the BIPOC persons who own it. A contractor of color may
also be a nonprofit entity with a board of directors composed
of at least 51% BIPOC persons or a nonprofit entity certified
by the State of Illinois to be minority-led.
"Environmental justice communities" means the definition
of that term based on existing methodologies and findings used
by the Illinois Power Agency and its Administrator of the
Illinois Solar for All Program.
"Fund" means the Clean Energy Jobs and Justice Fund.
"Low-income" means households whose income does not exceed
80% of Area Median Income (AMI), adjusted for family size and

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revised every 5 years.
"Low-income community" means a census tract where at least
half of households are low-income.
"Minority-owned business enterprise" or "MBE" means a
business certified as such by an authorized unit of government
or other authorized entity in Illinois.
"Municipality" means a city, village, or incorporated
town.
"Person" means any natural person, firm, partnership,
corporation, either domestic or foreign, company, association,
limited liability company, joint stock company, or association
and includes any trustee, receiver, assignee, or personal
representative thereof.
Section 20-15. Clean Energy Jobs and Justice Fund.
(a) Not later than 30 days after the effective date of this
Act, there shall be incorporated a nonprofit corporation to be
known as the "Clean Energy Jobs and Justice Fund".
(b) The Fund shall not be an agency or instrumentality of
the State Government.
(c) The full faith and credit of the State of Illinois
shall not extend to the Fund.
(d) The Fund shall:
(1) Be an organization described in subsection (c) of
Section 501 of the Internal Revenue Code of 1986 and
exempt from taxation under subsection (a) of Section 501

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of that Code;
(2) Ensure that no part of the income or assets of the
Fund shall inure to the benefit of any director, officer,
or employee, except as reasonable compensation for
services or reimbursement for expenses; and
(3) Not contribute to or otherwise support any
political party or candidate for elective office.
Section 20-20. Board of Directors.
(a) The Fund shall be managed by, and its powers,
functions, and duties shall be exercised through, a Board to
be composed of 11 members. The initial members of the Board
shall be appointed by the Governor with the advice and consent
of the Senate within 60 days after the effective date of this
Act. Members of the Board shall be broadly representative of
the communities that the Fund is designed to serve. Of such
members:
(1) at least one member shall be selected from each of
the following geographic regions in the State: northeast,
northwest, central, and southern;
(2) at least 2 members shall have experience in
providing energy-related services to low-income,
environmental justice, or BIPOC communities;
(3) at least one member shall own or be employed by an
MBE or BIPOC-owned business focused on the deployment of
clean energy;

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(4) at least one member shall be a policy or
implementation expert in serving low-income, environmental
justice or BIPOC communities or individuals, including
environmental justice communities, BIPOC communities,
formerly convicted persons, persons who are or were in the
child welfare system, displaced energy workers, gender
nonconforming and transgender individuals, or youth; and
(5) at least one member shall be from a
community-based organization with a specific mission to
support racially and socioeconomically diverse
environmental justice communities.
(a-5) The terms of the initial members of the Board shall
be as follows:
(1) 5 members appointed and confirmed shall have
initial 5-year terms;
(2) 3 members appointed and confirmed shall have
initial 4-year terms; and
(3) 3 members appointed and confirmed shall have
initial 3-year terms.
(b) Subsequent composition and terms.
(1) Except for the selection of the initial members of
the Board for their initial terms under paragraph (1) of
subsection (a) of this Section, the members of the Board
shall be elected by the members of the Board.
(2) A member of the Board shall be disqualified from
voting for any position on the Board for which such member

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is a candidate.
(3) All members elected pursuant to paragraph (2) of
subsection (a) of this Section shall have a term of 5
years.
(c) The members of the Board shall be broadly
representative of the communities that the Fund is designed to
serve and shall collectively have expertise in environmental
justice, energy efficiency, distributed renewable energy,
workforce development, finance and investments, clean
transportation, and climate resilience. Of such members:
(1) not fewer than 2 shall be selected from each of the
following geographic regions in the State: northeast,
northwest, central, and southern;
(2) not fewer than 2 shall be from an MBE or
BIPOC-owned business focused on the deployment of clean
energy;
(3) not fewer than 2 shall be from a community-based
organization with a specific mission to support racially
and socioeconomically diverse environmental justice
communities; and
(4) not fewer than 2 shall be from an organization
specializing in providing energy-related services to
low-income, environmental justice, or BIPOC communities.
(5) Members of the Board can fulfill multiple
criteria, such as representing the southern region and an
MBE or BIPOC-owned business focused on the deployment of

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clean energy.
(d) No officer or employee of the State or any other level
of government may be appointed or elected as a member of the
Board.
(e) Seven members of the Board shall constitute a quorum.
(f) The Board shall adopt, and may amend, such bylaws as
are necessary for the proper management and functioning of the
Fund. Such bylaws shall include designation of officers of the
Fund and the duties of such officers.
(g) No person who is an employee in any managerial or
supervisory capacity, director, officer or agent or who is a
member of the immediate family of any such employee, director,
officer, or agent of any public utility is eligible to be a
director. No director may hold any elective position, be a
candidate for any elective position, be a State public
official, be employed by the Illinois Commerce Commission, or
be employed in a governmental position exempt from the
Illinois Personnel Code.
(h) No director, nor member of his or her immediate family
shall, either directly or indirectly, be employed for
compensation as a staff member or consultant of the Fund.
(i) The Board shall hold regular meetings at least once
every 3 months on such dates and at such places as it may
determine. Meetings may be held by teleconference or
videoconference. Special meetings may be called by the
president or by a majority of the directors upon at least 7

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days' advance written notice. The act of the majority of the
directors, present at a meeting at which a quorum is present,
shall be the act of the Board of Directors unless the act of a
greater number is required by this Act or bylaws. A summary of
the minutes of every Board meeting shall be made available to
each public library in the State upon request and to
individuals upon request. Board of Directors meeting minutes
shall be posted on the Fund's website within 14 days after
Board approval of the minutes.
(j) A director may not receive any compensation for his or
her services but shall be reimbursed for necessary expenses,
including travel expenses incurred in the discharge of duties.
The Board shall establish standard allowances for mileage,
room and meals and the purposes for which such allowances may
be made and shall determine the reasonableness and necessity
for such reimbursements.
(k) In the event of a vacancy on the Board, the Board of
Directors shall appoint a temporary member, consistent with
the requirements of the Board composition, to serve the
remainder of the term for the vacant seat.
(l) The Board shall adopt rules for its own management and
government, including bylaws and a conflict of interest
policy.
(m) The Board of Directors of the Fund shall adopt written
procedures for:
(1) adopting an annual budget and plan of operations,

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including a requirement of Board approval before the
budget or plan may take effect;
(2) hiring, dismissing, promoting, and compensating
employees of the Fund, including an affirmative action
policy and a requirement of Board approval before a
position may be created or a vacancy filled;
(3) acquiring real and personal property and personal
services, including a requirement of Board approval for
any non-budgeted expenditure in excess of $5,000;
(4) contracting for financial, legal, bond
underwriting and other professional services, including
requirements that the Fund (i) solicit proposals at least
once every 3 years for each such service that it uses, and
(ii) ensure equitable contracting with diverse suppliers;
(5) issuing and retiring bonds, bond anticipation
notes, and other obligations of the Fund; and
(6) awarding loans, grants and other financial
assistance, including (i) eligibility criteria, the
application process and the role played by the Fund's
staff and Board of Directors, and (ii) ensuring racial
equity in the awarding of loans, grants, and other
financial assistance.
(n) The Board shall develop a robust set of metrics to
measure the degree to which the program is meeting the
purposes set forth in Section 20-5 of this Act, and especially
measuring adherence to the racial equity purposes set forth

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there, and a reporting format and schedule to be adhered to by
the Fund officers and staff. These metrics and reports shall
be posted quarterly on the Fund's website.
(o) The Board of Directors has the responsibility to make
program adjustments necessary to ensure that the Clean Energy
Jobs and Justice Fund is meeting the purposes set forth in this
Act. Fund officers and staff and the Board of Directors are
responsible for ensuring capital providers and Fund officers
and staff, partners, and financial institutions are held to
state and federal standards for ethics and predatory lending
practices and shall immediately remove any offending products
and sponsoring organizations from Fund participation.
(p) The Board shall issue annually a report reviewing the
activities of the Fund in detail and shall provide a copy of
such report to the joint standing committees of the General
Assembly having cognizance of matters relating to energy and
commerce. The report shall be published on the Fund's website
within 3 days after its submission to the General Assembly.
Section 20-25. Powers and duties.
(a) The Fund shall endeavor to perform the following
actions, but is not limited to these specified actions:
(1) Develop programs to finance and otherwise support
clean energy investment and projects as determined by the
Fund in keeping with the purposes of this Act.
(2) Support financing or other expenditures that

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promote investment in clean energy sources in order to (i)
foster the development and commercialization of clean
energy projects, including projects serving low-income,
environmental justice, and BIPOC communities, and (ii)
support project development by MBE and other contractors
of color.
(3) Prioritize the provision of public and private
capital for clean energy investment to MBEs and other
contractors of color, and to clean energy investment in
low-income, environmental justice, and BIPOC communities.
(4) Provide access to grants, no-cost, and low-cost
loans to MBEs and other contractors of color, including
those participating in the Clean Energy Primes Contractor
Accelerator Program.
(5) Provide financial assistance in the form of
grants, loans, loan guarantees or debt and equity
investments, as approved in accordance with written
procedures.
(6) Assume or take title to any real property, convey
or dispose of its assets and pledge its revenues to secure
any borrowing, convey or dispose of its assets and pledge
its revenues to secure any borrowing, for the purpose of
developing, acquiring, constructing, refinancing,
rehabilitating or improving its assets or supporting its
programs, provided each such borrowing or mortgage, unless
otherwise provided by the Board or the Fund, shall be a

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special obligation of the Fund, which obligation may be in
the form of bonds, bond anticipation notes, or other
obligations that evidence an indebtedness to the extent
permitted under this Act to fund, refinance and refund the
same and provide for the rights of holders thereof, and to
secure the same by pledge of revenues, notes and mortgages
of others, and which shall be payable solely from the
assets, revenues and other resources of the Fund and such
bonds may be secured by a special capital reserve fund
contributed to by the State.
(7) Contract with community-based organizations to
design and implement program marketing, communications,
and outreach to potential users of the Fund's products,
particularly potential users in low-income, environmental
justice, and BIPOC communities. These contracts shall
include funding to ensure that the contracted
community-based organizations provide materials and
outreach support, including payments for time and
expenses, to other community organizations, professional
organizations, and subcontractors that have an interest in
the Fund's financial products.
(8) Collect the following data and perform monthly and
quarterly reporting to the Board in accordance with the
reporting format and schedule developed by the Board of
Directors:
(A) baseline data on capital sources or providers,

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loan recipients, projects funded, loan terms, and
other relevant financial data;
(B) diversity and equity data, including race,
gender, socioeconomic, and geographic region; and
(C) program administration and servicing data.
These reports shall be published to the Fund's website
monthly and quarterly. Reports published to the
website may be anonymized to protect the data of
individual program participants.
(9) Have the purposes as provided by resolution of the
Fund's Board of Directors, which purposes shall be
consistent with this Section and Section 20-5 of this Act.
No further action is required for the establishment of the
Fund, except the adoption of a resolution for the Fund.
(b) In addition to, and not in limitation of, any other
power of the Fund set forth in this Section or any other
provision of the general statutes, the Fund shall have and may
exercise the following powers in furtherance of or in carrying
out its purposes:
(1) have perpetual succession as a body corporate and
to adopt bylaws, policies, and procedures for the
regulation of its affairs and the conduct of its business;
(2) make and enter into all contracts and agreements
that are necessary or incidental to the conduct of its
business;
(3) invest in, acquire, lease, purchase, own, manage,

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hold, sell, and dispose of real or personal property or
any interest therein;
(4) borrow money or guarantee a return to investors or
lenders;
(5) hold patents, copyrights, trademarks, marketing
rights, licenses, or other rights in intellectual
property;
(6) employ such assistants, agents, and employees as
may be necessary or desirable; establish all necessary or
appropriate personnel practices and policies, including
those relating to hiring, promotion, compensation and
retirement, and engage consultants, attorneys, financial
advisers, appraisers, and other professional advisers as
may be necessary or desirable;
(7) invest any funds not needed for immediate use or
disbursement pursuant to investment policies adopted by
the Fund's Board of Directors;
(8) procure insurance against any loss or liability
with respect to its property or business of such types, in
such amounts and from such insurers as it deems desirable;
(9) enter into joint ventures and invest in, and
participate with any person, including, without
limitation, government entities and private corporations,
in the formation, ownership, management and operation of
business entities, including stock and nonstock
corporations, limited liability companies and general or

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limited partnerships, formed to advance the purposes of
the Fund, provided members of the Board of Directors or
officers or employees of the Fund may serve as directors,
members or officers of any such business entity, and such
service shall be deemed to be in the discharge of the
duties or within the scope of the employment of any such
director, officer or employee, as the case may be, so long
as such director, officer or employee does not receive any
compensation or financial benefit as a result of serving
in such role; and
(10) all other acts necessary or convenient to carry
out the purposes of this Act.
(c) Before making any loan, loan guarantee, or such other
form of financing support or risk management for a clean
energy project, the Fund shall develop standards to govern the
administration of the Fund through rules, policies, and
procedures that specify borrower eligibility, terms, and
conditions of support, and other relevant criteria, standards,
or procedures.
(d) Funding sources specifically authorized include, but
are not limited to:
(1) funds repurposed from existing programs providing
financing support for clean energy projects, provided any
transfer of funds from such existing programs shall be
subject to approval by the General Assembly and shall be
used for expenses of financing, grants, and loans;

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(2) any federal funds that can be used for the
purposes specified in this Act;
(3) charitable gifts, grants, contributions, as well
as loans from individuals, corporations, university
endowment funds, and philanthropic foundations; and
(4) earnings and interest derived from financing
support activities for clean energy projects backed by the
Fund.
(e) The Fund may enter into agreements with private
sources to raise capital.
(f) The Fund may assess reasonable fees on its financing
activities to cover its reasonable costs and expenses, as
determined by the Board.
(g) The Fund shall make information regarding the rates,
terms and conditions for all of its financing support
transactions available to the public for inspection, including
formal annual reviews by both a private auditor conducted
pursuant this Section and the Comptroller, and provide details
to the public on the Internet, provided public disclosure
shall be restricted for patentable ideas, trade secrets,
proprietary or confidential commercial or financial
information, disclosure of which may cause commercial harm to
a nongovernmental recipient of such financing support and for
other information exempt from public records disclosure.
(h) The powers enumerated in this Section shall be
interpreted broadly to effectuate the purposes established in

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this Section and shall not be construed as a limitation of
powers.
Section 20-30. Primary responsibilities in early program
development.
(a) Consistent with the goals of this Act, the Fund has the
authority to pursue a broad range of financial products and
services. In early development of products and services
offered, the Fund should consider the following programs as
its initial set of investment initiatives:
(1) a solar lease, power-purchase agreement, or
loan-to-own product specifically designed to complement
and grow the Illinois Solar for All Program;
(2) direct capitalization of contractors of color
participating in or graduating from the workforce and
business development programs established in the Energy
Transition Act;
(3) providing direct capitalization of community-based
projects in environmental justice communities through
upfront grants. Project applications should provide a
community benefit, align with environmental justice
communities, be in support of this Act's contractor and
workforce development goals, and support upfront planning,
development, and start up costs that often are not covered
prior to applying for program incentives and other loan
products;

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(4) providing loan loss reserve products to secure
stable and low-interest financing for individual projects
and portfolios consistent with the goals of this Act that
would be otherwise unable to receive financing; and
(5) offering financing and administrative services for
municipal utilities and rural electric cooperatives to
create their own version of the on-bill Equitable Energy
Upgrade Program such as the Pay As You Save program
developed by the Energy Efficiency Institute.
Section 20-35. Executive director and fund management.
(a) The executive director hired by the Board shall have
the same qualifications as a director pursuant to subsections
(d), (g), and (h) of Section 20-20 of this Act. The executive
director may not be a candidate for the Board of Directors
while serving as executive director. The executive director
must have 5 or more years of experience in equitable and
inclusive financing serving racially and socioeconomically
diverse communities.
(b) To hire the executive director, the Board shall adhere
to any applicable State or federal law prohibiting
discrimination in employment.
(c) The Board shall require all applicants for the
position of executive director of the Fund to file a financial
statement consistent with requirements established by the
Board. The Board shall require the executive director to file

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a current statement annually.
(d) The Fund shall be administered by the executive
director and the staff and overseen by the Board of Directors.
Fund officers and staff shall receive training in how to best
provide services and support to low-income, environmental
justice, and BIPOC communities and on supporting borrowers
with loan applications, loan underwriting, and loan services.
Section 20-40. Dissolution. The Fund may dissolve or be
dissolved under the General Not for Profit Corporation Act.
Section 20-90. Repealer. This Act is repealed 14 years
after the effective date of this Act.
Article 90.
Section 90-1. Legislative findings. The General Assembly
finds and declares:
(1) The overall objectives of regulation of the
electric utility industry in this State, as expressed by
the General Assembly in the Illinois Power Agency Act and
the Public Utilities Act, include the provision of
adequate, efficient, reliable, environmentally safe, and
least-cost utility services at prices that accurately
reflect the long-term cost of such services and that are
equitable to all citizens.

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(2) For many years, a significant portion of the
electricity consumed by consumers and businesses in this
State, particularly in the downstate region, has been
produced by large coal-fueled electric generating stations
located in the downstate region. However, in recent years,
the prices for electric generating capacity and energy
available to coal-fueled electric generating stations
located in the downstate region of this State have been
insufficient to enable many electric generating facilities
located within the downstate region to remain in
operation, and have placed other electric generating
stations at risk of closure. Changes in environmental
regulations and, significantly, increasing concerns about
the effects of carbon emissions on the climate, have also
contributed to the retirement of coal-fueled generating
stations in the downstate region. As a result, the vast
majority of the coal-fueled generation located in
Illinois, and particularly in the downstate region, has
recently been retired or will be retired by no later than
the end of 2027.
(3) Reliable electric service at all times is
essential to the functioning of a modern economy and of
society in general. The health, welfare, and prosperity of
Illinois citizens, including the attractiveness of the
State of Illinois to business and industry, requires the
availability of sufficient electric generating capacity,

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including energy storage capacity, to meet the demands of
consumers and businesses in this State at all times.
However, to a significant extent, electricity, when
generated, cannot be stored for future use in any
significant amount relative to the total amount of
electricity that existing generating facilities can
produce. Rather, for the most part, electricity must be
produced instantaneously at the time and in the amount
that it is demanded by residential and business consumers.
The development of energy storage facilities provides some
opportunity to store some amounts of electricity for use
at later times; but energy storage facilities with
sufficient capacity to deliver electricity to meet the
demands of consumers in this State, 24 hours per day, 7
days per week on every day of the year, have not yet been
built.
(4) Both the Midcontinent Independent System Operator,
Inc., which is the independent transmission system
operator for downstate Illinois, and its Independent
Market Monitor, have expressed concerns about the
sufficiency of electric generating resources in downstate
Illinois over the next several years, due primarily to the
announced and anticipated retirements of coal-fueled
electric generating facilities and concerns about how
quickly and extensively new wind and solar generating
facilities will be placed into service. Concerns have also

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been expressed, based on the intermittent nature of wind
and solar generating facilities, as to whether the grid
can operate reliably without sufficient dispatchable
generation resources or significant additions of energy
storage facilities to balance the output of renewable
generating facilities. The General Assembly believes that
the State cannot afford to find itself in a situation of
insufficient electric generating resources to meet the
needs of Illinois residential and business consumers 24
hours a day, 7 days a week. Thus, consistent with the
overall objectives of the regulation of the electric
utility industry in this State and the interests of the
State in protecting the health and welfare of its
residents, regulation should ensure that sufficient
generating resources, including energy storage resources,
are available to enable the electric utility grid to meet
the demands of Illinois electricity consumers at all
times.
(5) Through previous enactments beginning in 2007, the
General Assembly has provided financial incentives for the
construction and operation of wind, solar, and other types
of renewable energy facilities to serve load in Illinois.
In such enactments, the General Assembly has recognized
that providing opportunities to enter into long-term
contracts for the purchase of renewable energy credits
from renewable energy facilities creates incentives, and

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in fact is necessary, for the construction and operation
of such resources. Developers typically cannot,
financially, develop new, large-scale renewable energy
generating resources without having secured long-term
contracts for the renewable energy credits that the new
facilities will produce.
(6) The permitting and siting of new wind and solar
generating facilities in Illinois are subject to local
governmental control, and in many areas of this State,
there has been strong opposition to the siting and
construction of new utility-scale wind and solar
generating facilities, which in turn has resulted in the
denial of, or withdrawal of requests for, necessary
approvals for some projects and the enactment of local
zoning ordinances imposing requirements and restrictions
that increase the costs and reduce the economic
attractiveness of such projects. This has resulted in
delay or cancellation of a number of renewable energy
projects. This experience demonstrates the advantages of
targeting the installation of new utility-scale renewable
energy facilities at sites that are already suitable for
installation of such facilities and can be readily
permitted.
(7) In light of the intermittent nature of many types
of renewable energy facilities, such as wind and solar
generation, the installation and operation of electricity

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storage facilities in conjunction with the installation
and operation of renewable generation facilities can
enhance the value of renewable energy resources to the
electric grid.
(8) The sites of many of the large coal-fueled
electric generating stations located in the downstate
region of this State that have recently been retired or
announced for retirement, or are at risk of retirement,
have existing infrastructure and other characteristics
which make them suitable potential sites for development
of new renewable energy generating facilities and
electricity storage facilities. This infrastructure and
other characteristics include large amounts of available
land situated at a suitable distance from populated areas,
suitable levels of exposure to sunlight, and high voltage
interconnections to nearby bulk electric system
transmission grid facilities at strategic locations.
Development of these generating plant sites for
large-scale renewable energy generating facilities,
particularly photovoltaic facilities which require large
amounts of space, and electricity storage facilities, can
help advance this State's objective of increasing the
portion of the State's total electricity usage that is
supplied by zero emission resources, and reducing the
proportion of the electricity produced in this State that
is produced by carbon-emitting resources, while supporting

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the reliability of electric service in the downstate
region. Accordingly, the General Assembly finds that it is
in the public interest to encourage the redevelopment of
the sites of retired and still-operating coal-fueled
electric generating stations as locations for renewable
energy generating facilities and electricity storage
facilities.
(9) Many, if not all, of the coal-fueled electric
generating plants in this State that have recently been
retired or announced for retirement, or are at near-term
risk of retirement, were at one time owned, at whole or in
part, by a public utility as defined in Section 3-105 of
the Public Utilities Act and were thereby devoted to
public service and the public use in Illinois, with their
costs paid for by rates paid by public utility ratepayers
in Illinois. The General Assembly finds that it is
appropriate to provide incentives to the owners of the
sites of coal-fueled electric generating facilities in
this State that were once owned by public utilities, to
repurpose those sites in a manner that continues to
benefit the public by providing for the generation of
carbon-free, non-emitting electricity and reliable bulk
electric service.
(10) The General Assembly finds it is appropriate for
the State of Illinois to establish a program to provide
incentives for the installation and operation of new

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renewable energy facilities, along with energy storage
facilities, at the sites of retired and at-risk
coal-fueled electric generating facilities in this State,
to help expedite the transition of this State's electric
generation fleet to lower-emitting resources while
ensuring the availability of sufficient electric energy
resources to meet the demands of residential and business
electricity consumers in this State.
(11) In light of the foregoing findings, the purpose
of the program established in subsection (c-5) of Section
1-75 of the Illinois Power Agency Act is to incentivize
and support conversion and development of unused (or to be
unused) sites of recently retired and soon to-be-retired
coal-fueled power plants in this State to productive new
uses as sites for the generation and provision of
electricity from renewable energy facilities and energy
storage facilities, thereby contributing to the State's
efforts to reduce carbon emissions from facilities in this
State and increase the production of the State's
electricity needs from clean energy resources. The
provisions of this Act also will support the reliability
of the bulk power grid in this State by incentivizing and
supporting installation of new generating facilities and
energy storage facilities at locations on the grid where
synchronous generation was formerly located.

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Section 90-3. The Illinois Administrative Procedure Act is
amended by adding 5-45.9 as follows:
(5 ILCS 100/5-45.9 new)
Sec. 5-45.9. Emergency rulemaking; Multi-Year Integrated
Grid Plans. To provide for the expeditious and timely
implementation of Section 16-105.17 of the Public Utilities
Act, emergency rules implementing Section 16-105.17 of the
Public Utilities Act may be adopted in accordance with Section
5-45 by the Illinois Commerce Commission. The adoption of
emergency rules authorized by Section 5-45 and this Section is
deemed to be necessary for the public interest, safety, and
welfare.
This Section is repealed one year after the effective date
of this amendatory Act of the 102nd General Assembly.
Section 90-5. The Illinois Governmental Ethics Act is
amended by adding Section 1-121 and by changing Sections
4A-102 and 4A-103 as follows:
(5 ILCS 420/1-121 new)
Sec. 1-121. Public utility. "Public utility" has the
meaning provided in Section 3-105 of the Public Utilities Act.
(5 ILCS 420/4A-102) (from Ch. 127, par. 604A-102)
Sec. 4A-102. The statement of economic interests required

10200SB0018sam001 - 170 - LRB102 12600 LNS 28802 a
by this Article shall include the economic interests of the
person making the statement as provided in this Section. The
interest (if constructively controlled by the person making
the statement) of a spouse or any other party, shall be
considered to be the same as the interest of the person making
the statement. Campaign receipts shall not be included in this
statement.
(a) The following interests shall be listed by all
persons required to file:
(1) The name, address and type of practice of any
professional organization or individual professional
practice in which the person making the statement was
an officer, director, associate, partner or
proprietor, or served in any advisory capacity, from
which income in excess of $1200 was derived during the
preceding calendar year;
(2) The nature of professional services (other
than services rendered to the unit or units of
government in relation to which the person is required
to file) and the nature of the entity to which they
were rendered if fees exceeding $5,000 were received
during the preceding calendar year from the entity for
professional services rendered by the person making
the statement.
(3) The identity (including the address or legal
description of real estate) of any capital asset from

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which a capital gain of $5,000 or more was realized in
the preceding calendar year.
(4) The name of any unit of government which has
employed the person making the statement during the
preceding calendar year other than the unit or units
of government in relation to which the person is
required to file.
(5) The name of any entity from which a gift or
gifts, or honorarium or honoraria, valued singly or in
the aggregate in excess of $500, was received during
the preceding calendar year.
(b) The following interests shall also be listed by
persons listed in items (a) through (f), item (l), item
(n), and item (p) of Section 4A-101:
(1) The name and instrument of ownership in any
entity doing business in the State of Illinois, in
which an ownership interest held by the person at the
date of filing is in excess of $5,000 fair market value
or from which dividends of in excess of $1,200 were
derived during the preceding calendar year. (In the
case of real estate, location thereof shall be listed
by street address, or if none, then by legal
description). No time or demand deposit in a financial
institution, nor any debt instrument need be listed;
(2) Except for professional service entities, the
name of any entity and any position held therein from

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which income of in excess of $1,200 was derived during
the preceding calendar year, if the entity does
business in the State of Illinois. No time or demand
deposit in a financial institution, nor any debt
instrument need be listed.
(3) The identity of any compensated lobbyist with
whom the person making the statement maintains a close
economic association, including the name of the
lobbyist and specifying the legislative matter or
matters which are the object of the lobbying activity,
and describing the general type of economic activity
of the client or principal on whose behalf that person
is lobbying.
(c) The following interests shall also be listed by
persons listed in items (a) through (c) and item (e) of
Section 4A-101.5:
(1) The name and instrument of ownership in any
entity doing business with a unit of local government
in relation to which the person is required to file if
the ownership interest of the person filing is greater
than $5,000 fair market value as of the date of filing
or if dividends in excess of $1,200 were received from
the entity during the preceding calendar year. (In the
case of real estate, location thereof shall be listed
by street address, or if none, then by legal
description). No time or demand deposit in a financial

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institution, nor any debt instrument need be listed.
(2) Except for professional service entities, the
name of any entity and any position held therein from
which income in excess of $1,200 was derived during
the preceding calendar year if the entity does
business with a unit of local government in relation
to which the person is required to file. No time or
demand deposit in a financial institution, nor any
debt instrument need be listed.
(3) The name of any entity and the nature of the
governmental action requested by any entity which has
applied to a unit of local government in relation to
which the person must file for any license, franchise
or permit for annexation, zoning or rezoning of real
estate during the preceding calendar year if the
ownership interest of the person filing is in excess
of $5,000 fair market value at the time of filing or if
income or dividends in excess of $1,200 were received
by the person filing from the entity during the
preceding calendar year.
(d) The following interest shall also be listed by
persons listed in items (a) through (f) of Section 4A-101:
the name of any spouse or immediate family member living
with such person employed by a public utility in this
State and the name of the public utility that employs such
person.

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For the purposes of this Section, the unit of local
government in relation to which a person is required to file
under item (e) of Section 4A-101.5 shall be the unit of local
government that contributes to the pension fund of which such
person is a member of the board.
(Source: P.A. 101-221, eff. 8-9-19.)
(5 ILCS 420/4A-103) (from Ch. 127, par. 604A-103)
Sec. 4A-103. The statement of economic interests required
by this Article to be filed with the Secretary of State or
county clerk shall be filled in by typewriting or hand
printing, shall be verified, dated, and signed by the person
making the statement and shall contain substantially the
following:
STATEMENT OF ECONOMIC INTERESTS
INSTRUCTIONS:
You may find the following documents helpful to you in
completing this form:
(1) federal income tax returns, including any related
schedules, attachments, and forms; and
(2) investment and brokerage statements.
To complete this form, you do not need to disclose
specific amounts or values or report interests relating either
to political committees registered with the Illinois State

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Board of Elections or to political committees, principal
campaign committees, or authorized committees registered with
the Federal Election Commission.
The information you disclose will be available to the
public.
You must answer all 6 questions. Certain questions will
ask you to report any applicable assets or debts held in, or
payable to, your name; held jointly by, or payable to, you with
your spouse; or held jointly by, or payable to, you with your
minor child. If you have any concerns about whether an
interest should be reported, please consult your department's
ethics officer, if applicable.
Please ensure that the information you provide is complete
and accurate. If you need more space than the form allows,
please attach additional pages for your response. If you are
subject to the State Officials and Employees Ethics Act, your
ethics officer must review your statement of economic
interests before you file it. Failure to complete the
statement in good faith and within the prescribed deadline may
subject you to fines, imprisonment, or both.
BASIC INFORMATION:
Name:........................................................
Job title:...................................................
Office, department, or agency that requires you to file this
form:........................................................

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Other offices, departments, or agencies that require you to
file a Statement of Economic Interests form: ................
Full mailing address:........................................
Preferred e-mail address (optional):.........................
QUESTIONS:
1. If you have any single asset that was worth more than
$10,000 as of the end of the preceding calendar year and is
held in, or payable to, your name, held jointly by, or payable
to, you with your spouse, or held jointly by, or payable to,
you with your minor child, list such assets below. In the case
of investment real estate, list the city and state where the
investment real estate is located. If you do not have any such
assets, list "none" below.
.............................................................
.............................................................
.............................................................
.............................................................
.............................................................
2. Excluding the position for which you are required to
file this form, list the source of any income in excess of
$7,500 required to be reported during the preceding calendar
year. If you sold an asset that produced more than $7,500 in
capital gains in the preceding calendar year, list the name of
the asset and the transaction date on which the sale or
transfer took place. If you had no such sources of income or

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assets, list "none" below.
Source of Income / Name of Date Sold (if applicable)
Asset
............................... ...............................
............................... ...............................
............................... ...............................
3. Excluding debts incurred on terms available to the
general public, such as mortgages, student loans, and credit
card debts, if you owed any single debt in the preceding
calendar year exceeding $10,000, list the creditor of the debt
below. If you had no such debts, list "none" below.
List the creditor for all applicable debts owed by you,
owed jointly by you with your spouse, or owed jointly by you
with your minor child. In addition to the types of debts listed
above, you do not need to report any debts to or from financial
institutions or government agencies, such as debts secured by
automobiles, household furniture or appliances, as long as the
debt was made on terms available to the general public, debts
to members of your family, or debts to or from a political
committee registered with the Illinois State Board of
Elections or any political committee, principal campaign
committee, or authorized committee registered with the Federal
Election Commission.
.............................................................
.............................................................

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.............................................................
.............................................................
4. List the name of each unit of government of which you or
your spouse were an employee, contractor, or office holder
during the preceding calendar year other than the unit or
units of government in relation to which the person is
required to file and the title of the position or nature of the
contractual services.
Name of Unit of Government Title or Nature of Services
............................... ...............................
............................... ...............................
............................... ...............................
5. If you maintain an economic relationship with a
lobbyist or if a member of your family is known to you to be a
lobbyist registered with any unit of government in the State
of Illinois, list the name of the lobbyist below and identify
the nature of your relationship with the lobbyist. If you do
not have an economic relationship with a lobbyist or a family
member known to you to be a lobbyist registered with any unit
of government in the State of Illinois, list "none" below.
Name of Lobbyist Relationship to Filer
............................... ...............................
............................... ...............................
............................... ...............................

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6. List the name of each person, organization, or entity
that was the source of a gift or gifts, or honorarium or
honoraria, valued singly or in the aggregate in excess of $500
received during the preceding calendar year and the type of
gift or gifts, or honorarium or honoraria, excluding any gift
or gifts from a member of your family that was not known to be
a lobbyist registered with any unit of government in the State
of Illinois. If you had no such gifts, list "none" below.
.............................................................
.............................................................
.............................................................
7. List the name of any spouse or immediate family member
living with the person making this statement employed by a
public utility in this State and the name of the public utility
that employs the relative.
Name and Relation Public Utility
............................... ...............................
............................... ...............................
............................... ...............................
VERIFICATION:
"I declare that this statement of economic interests
(including any attachments) has been examined by me and to the
best of my knowledge and belief is a true, correct and complete
statement of my economic interests as required by the Illinois
Governmental Ethics Act. I understand that the penalty for

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willfully filing a false or incomplete statement is a fine not
to exceed $2,500 or imprisonment in a penal institution other
than the penitentiary not to exceed one year, or both fine and
imprisonment."
Printed Name of Filer:.......................................
Date:........................................................
Signature:...................................................
If this statement of economic interests requires ethics
officer review prior to filing, the applicable ethics officer
must complete the following:
CERTIFICATION OF ETHICS OFFICER REVIEW:
"In accordance with law, as Ethics Officer, I reviewed
this statement of economic interests prior to its filing."
Printed Name of Ethics Officer:..............................
Date:........................................................
Signature:...................................................
Preferred e-mail address (optional):.........................
STATEMENT OF ECONOMIC INTEREST
(TYPE OR HAND PRINT)
.............................................................
(name)
.............................................................
(each office or position of employment for which this

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statement is filed)
.............................................................
(full mailing address)
GENERAL DIRECTIONS:
The interest (if constructively controlled by the person
making the statement) of a spouse or any other party, shall be
considered to be the same as the interest of the person making
the statement.
Campaign receipts shall not be included in this statement.
If additional space is needed, please attach supplemental
listing.
1. List the name and instrument of ownership in any entity
doing business in the State of Illinois, in which the
ownership interest held by the person at the date of filing is
in excess of $5,000 fair market value or from which dividends
in excess of $1,200 were derived during the preceding calendar
year. (In the case of real estate, location thereof shall be
listed by street address, or if none, then by legal
description.) No time or demand deposit in a financial
institution, nor any debt instrument need be listed.
Business Entity Instrument of Ownership
............................... ...............................
............................... ...............................
............................... ...............................
............................... ...............................
2. List the name, address and type of practice of any

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professional organization in which the person making the
statement was an officer, director, associate, partner or
proprietor or served in any advisory capacity, from which
income in excess of $1,200 was derived during the preceding
calendar year.
Name Address Type of Practice
.................... .................... .....................
.................... .................... .....................
.................... .................... .....................
3. List the nature of professional services rendered
(other than to the State of Illinois) to each entity from which
income exceeding $5,000 was received for professional services
rendered during the preceding calendar year by the person
making the statement.
.............................................................
.............................................................
4. List the identity (including the address or legal
description of real estate) of any capital asset from which a
capital gain of $5,000 or more was realized during the
preceding calendar year.
.............................................................
.............................................................
5. List the identity of any compensated lobbyist with whom
the person making the statement maintains a close economic
association, including the name of the lobbyist and specifying
the legislative matter or matters which are the object of the

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lobbying activity, and describing the general type of economic
activity of the client or principal on whose behalf that
person is lobbying.
Lobbyist Legislative Matter Client or Principal
.................... .................... .....................
.................... .................... .....................
6. List the name of any entity doing business in the State
of Illinois from which income in excess of $1,200 was derived
during the preceding calendar year other than for professional
services and the title or description of any position held in
that entity. (In the case of real estate, location thereof
shall be listed by street address, or if none, then by legal
description). No time or demand deposit in a financial
institution nor any debt instrument need be listed.
Entity Position Held
............................... ...............................
............................... ...............................
............................... ...............................
7. List the name of any unit of government which employed
the person making the statement during the preceding calendar
year other than the unit or units of government in relation to
which the person is required to file.
.............................................................
.............................................................
8. List the name of any entity from which a gift or gifts,
or honorarium or honoraria, valued singly or in the aggregate

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in excess of $500, was received during the preceding calendar
year.
.............................................................
VERIFICATION:
"I declare that this statement of economic interests
(including any accompanying schedules and statements) has been
examined by me and to the best of my knowledge and belief is a
true, correct and complete statement of my economic interests
as required by the Illinois Governmental Ethics Act. I
understand that the penalty for willfully filing a false or
incomplete statement shall be a fine not to exceed $1,000 or
imprisonment in a penal institution other than the
penitentiary not to exceed one year, or both fine and
imprisonment."
................ ..........................................
(date of filing) (signature of person making the statement)
(Source: P.A. 95-173, eff. 1-1-08.)
Section 90-10. The State Officials and Employees Ethics
Act is amended by changing Section 5-50 as follows:
(5 ILCS 430/5-50)
Sec. 5-50. Ex parte communications; special government
agents.
(a) This Section applies to ex parte communications made
to any agency listed in subsection (e).

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(b) "Ex parte communication" means any written or oral
communication by any person that imparts or requests material
information or makes a material argument regarding potential
action concerning regulatory, quasi-adjudicatory, investment,
or licensing matters pending before or under consideration by
the agency. "Ex parte communication" does not include the
following: (i) statements by a person publicly made in a
public forum; (ii) statements regarding matters of procedure
and practice, such as format, the number of copies required,
the manner of filing, and the status of a matter; and (iii)
statements made by a State employee of the agency to the agency
head or other employees of that agency.
(b-5) An ex parte communication received by an agency,
agency head, or other agency employee from an interested party
or his or her official representative or attorney shall
promptly be memorialized and made a part of the record.
(c) An ex parte communication received by any agency,
agency head, or other agency employee, other than an ex parte
communication described in subsection (b-5), shall immediately
be reported to that agency's ethics officer by the recipient
of the communication and by any other employee of that agency
who responds to the communication. The ethics officer shall
require that the ex parte communication be promptly made a
part of the record. The ethics officer shall promptly file the
ex parte communication with the Executive Ethics Commission,
including all written communications, all written responses to

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the communications, and a memorandum prepared by the ethics
officer stating the nature and substance of all oral
communications, the identity and job title of the person to
whom each communication was made, all responses made, the
identity and job title of the person making each response, the
identity of each person from whom the written or oral ex parte
communication was received, the individual or entity
represented by that person, any action the person requested or
recommended, and any other pertinent information. The
disclosure shall also contain the date of any ex parte
communication.
(d) "Interested party" means a person or entity whose
rights, privileges, or interests are the subject of or are
directly affected by a regulatory, quasi-adjudicatory,
investment, or licensing matter. For purposes of an ex parte
communication received by either the Illinois Commerce
Commission or the Illinois Power Agency, "interested party"
also includes: (1) an organization comprised of 2 or more
businesses, persons, nonprofit entities, or any combination
thereof, that are working in concert to advance public policy
advocated by the organization, or (2) any party selling
renewable energy resources procured by the Illinois Power
Agency pursuant to Section 16-111.5 of the Public Utilities
Act and Section 1-75 of the Illinois Power Agency Act.
(e) This Section applies to the following agencies:
Executive Ethics Commission

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Illinois Commerce Commission
Illinois Power Agency
Educational Labor Relations Board
State Board of Elections
Illinois Gaming Board
Health Facilities and Services Review Board
Illinois Workers' Compensation Commission
Illinois Labor Relations Board
Illinois Liquor Control Commission
Pollution Control Board
Property Tax Appeal Board
Illinois Racing Board
Illinois Purchased Care Review Board
Department of State Police Merit Board
Motor Vehicle Review Board
Prisoner Review Board
Civil Service Commission
Personnel Review Board for the Treasurer
Merit Commission for the Secretary of State
Merit Commission for the Office of the Comptroller
Court of Claims
Board of Review of the Department of Employment Security
Department of Insurance
Department of Professional Regulation and licensing boards
under the Department
Department of Public Health and licensing boards under the

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Department
Office of Banks and Real Estate and licensing boards under
the Office
State Employees Retirement System Board of Trustees
Judges Retirement System Board of Trustees
General Assembly Retirement System Board of Trustees
Illinois Board of Investment
State Universities Retirement System Board of Trustees
Teachers Retirement System Officers Board of Trustees
(f) Any person who fails to (i) report an ex parte
communication to an ethics officer, (ii) make information part
of the record, or (iii) make a filing with the Executive Ethics
Commission as required by this Section or as required by
Section 5-165 of the Illinois Administrative Procedure Act
violates this Act.
(Source: P.A. 95-331, eff. 8-21-07; 96-31, eff. 6-30-09.)
Section 90-15. The Department of Commerce and Economic
Opportunity Law of the Civil Administrative Code of Illinois
is amended by adding Section 605-1075 as follows:
(20 ILCS 605/605-1075 new)
Sec. 605-1075. Energy Transition Assistance Fund.
(a) The General Assembly hereby declares that management
of several economic development programs requires a
consolidated funding source to improve resource efficiency.

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The General Assembly specifically recognizes that properly
serving communities and workers impacted by the energy
transition requires that the Department of Commerce and
Economic Opportunity have access to the resources required for
the execution of the programs for workforce and contractor
development, just transition investments and community
support, and the implementation and administration of energy
and justice efforts by the State.
(b) The Department shall be responsible for the
administration of the Energy Transition Assistance Fund and
shall allocate funding on the basis of priorities established
in this Section. Each year, the Department shall determine the
available amount of resources in the Fund that can be
allocated to the programs identified in this Section, and
allocate the funding accordingly. The Department shall, to the
extent practical, consider both the short-term and long-term
costs of the programs and allocate funding so that the
Department is able to cover both the short-term and long-term
costs of these programs using projected revenue.
The available funding for each year shall be allocated
from the Fund in the following order of priority:
(1) for costs related to the Clean Jobs Workforce
Network Program, up to $21,000,000 annually prior to June
1, 2023 and $24,333,333 annually thereafter;
(2) for costs related to the Clean Energy Contractor
Incubator Program, up to $21,000,000 annually;

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(3) for costs related to the Clean Energy Primes
Contractor Accelerator Program, up to $9,000,000 annually;
(4) for costs related to the Barrier Reduction
Program, up to $21,000,000 annually;
(5) for costs related to the Jobs and Environmental
Justice Grant Program, up to $34,000,000 annually;
(6) for costs related to the Returning Residents Clean
Jobs Training Program, up to $6,000,000 annually;
(7) for costs related to Energy Transition Navigators,
up to $6,000,000 annually;
(8) for costs related to the Illinois Climate Works
Preapprenticeship Program, up to $10,000,000 annually;
(9) for costs related to Energy Transition Community
Support Grants, up to $40,000,000 annually;
(10) for costs related to the Displaced Energy Worker
Dependent Scholarship, upon request by the Illinois
Student Assistance Commission, up to $1,100,000 annually;
(11) up to $10,000,000 annually shall be transferred
to the Public Utilities Fund for use by the Illinois
Commerce Commission for costs of administering the changes
made to the Public Utilities Act by this amendatory Act of
the 102nd General Assembly;
(12) up to $4,000,000 annually shall be transferred to
the Illinois Power Agency Operations Fund for use by the
Illinois Power Agency; and
(13) for costs related to the Clean Energy Jobs and

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Justice Fund, up to $1,000,000 annually.
The Department is authorized to utilize up to 10% of the
Energy Transition Assistance Fund for administrative and
operational expenses to implement the requirements of this
Act.
(c) Within 30 days after the effective date of this
amendatory Act of the 102nd General Assembly, each electric
utility serving more than 500,000 customers in the State shall
report to the Department its total kilowatt-hours of energy
delivered during the 12 months ending on the immediately
preceding May 31. By October 31, 2021 and each October 31
thereafter, each electric utility serving more than 500,000
customers in the State shall report to the Department its
total kilowatt-hours of energy delivered during the 12 months
ending on the immediately preceding May 31.
(d) The Department shall, within 60 days after the
effective date of this amendatory Act of the 102nd General
Assembly:
(1) determine the amount necessary, but not more than
$140,000,000, to meet the funding needs of the programs
reliant upon the Energy Transition Assistance Fund as a
revenue source for the period between the effective date
of this amendatory Act of the 102nd General Assembly and
December 31, 2021;
(2) determine, based on the kilowatt-hour deliveries
for the 12 months ending May 31, 2021 reported by the

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electric utilities under subsection (c), the total energy
transition assistance charge to be allocated to each
electric utility for the period between the effective date
of this amendatory Act of the 102nd General Assembly and
December 31, 2021; and
(3) report the total energy transition assistance
charge applicable until December 31, 2021 to each electric
utility serving more than 500,000 customers in the State
and the Illinois Commerce Commission for purposes of
filing the tariff pursuant to Section 16-108.30 of the
Public Utilities Act.
(e) The Department shall by November 30, 2021, and each
November 30 thereafter:
(1) determine the amount necessary, but not more than
$140,000,000, to meet the funding needs of the programs
reliant upon the Energy Transition Assistance Fund as a
revenue source for the immediately following calendar
year;
(2) determine, based on the kilowatt-hour deliveries
for the 12 months ending on the immediately preceding May
31 reported to it by the electric utilities under
subsection (c), the total energy transition assistance
charge to be allocated to each electric utility for the
immediately following calendar year; and
(3) report the energy transition assistance charge
applicable for the immediately following calendar year to

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each electric utility serving more than 500,000 customers
in the State and the Illinois Commerce Commission for
purposes of filing the tariff pursuant to Section
16-108.30 of the Public Utilities Act.
(f) The energy transition assistance charge may not exceed
$140,000,000 annually. If, at the end of the calendar year,
any surplus remains in the Energy Transition Assistance Fund,
the Department may allocate the surplus from the fund in the
following order of priority:
(1) for costs related to the development of the
Stretch Energy Codes and other standards at the Capital
Development Board, up to $500,000 annually, at the request
of the Board;
(2) up to $7,000,000 annually shall be transferred to
the Energy Efficiency Trust Fund and Clean Air Act Permit
Fund for use by the Environmental Protection Agency for
costs related to energy efficiency and weatherization, and
costs of implementation, administration, and enforcement
of the Clean Air Act; and
(3) for costs related to State fleet electrification
at the Department of Central Management Services, up to
$10,000,000 annually, at the request of the Department.
Section 90-20. The Electric Vehicle Act is amended by
changing Section 15 and by adding Sections 40, 45, 50, 55, and
60 as follows:

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(20 ILCS 627/15)
Sec. 15. Electric Vehicle Coordinator. The Governor, with
the advice and consent of the Senate, shall appoint a person
within the Illinois Environmental Protection Agency Department
of Commerce and Economic Opportunity to serve as the Electric
Vehicle Coordinator for the State of Illinois. This person may
be an existing employee with other duties. The Coordinator
shall act as a point person for electric vehicle-related and
electric vehicle charging-related electric vehicle related
policies and activities in Illinois, including, but not
limited to, the issuance of electric vehicle rebates for
consumers and electric vehicle charging rebates for
organizations and companies.
(Source: P.A. 97-89, eff. 7-11-11.)
(20 ILCS 627/40 new)
Sec. 40. Rulemaking; resources. The Agency shall adopt
rules as necessary and dedicate sufficient resources to
implement Sections 45, 50, and 55.
(20 ILCS 627/45 new)
Sec. 45. Beneficial electrification.
(a) It is the intent of the General Assembly to decrease
reliance on fossil fuels, reduce pollution from the
transportation sector, increase access to electrification for

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

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

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

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

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electric vehicles and extended-range electric vehicles that
are also equipped with conventional fueled propulsion or
auxiliary engines.
"Electric vehicle charging station" means a station that
delivers electricity from a source outside an electric vehicle
into one or more electric vehicles.
"Environmental justice communities" means the definition
of that term based on existing methodologies and findings,
used and as may be updated by the Illinois Power Agency and its
program administrator in the Illinois Solar for All Program.
"Equity investment eligible community" or "eligible
community" means the geographic areas throughout Illinois
which would most benefit from equitable investments by the
State designed to combat discrimination and foster sustainable
economic growth. Specifically, "eligible community" means the
following areas:
(1) areas where residents have been historically
excluded from economic opportunities, including
opportunities in the energy sector, as defined pursuant to
Section 10-40 of the Cannabis Regulation and Tax Act; and
(2) areas where residents have been historically
subject to disproportionate burdens of pollution,
including pollution from the energy sector, as established
by environmental justice communities as defined by the
Illinois Power Agency pursuant to Illinois Power Agency
Act, excluding any racial or ethnic indicators.

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"Equity investment eligible person" or "eligible person"
means the persons who would most benefit from equitable
investments by the State designed to combat discrimination and
foster sustainable economic growth. Specifically, "eligible
person" means the following people:
(1) persons whose primary residence is in an equity
investment eligible community;
(2) persons who are graduates of or currently enrolled
in the foster care system; or
(3) persons who were formerly incarcerated.
"Low-income" means persons and families whose income does
not exceed 80% of the state median income for the current State
fiscal year as established by the U.S. Department of Health
and Human Services.
"Make-ready infrastructure" means the electrical and
construction work necessary between the distribution circuit
to the connection point of charging equipment.
"Optimized charging programs" mean programs whereby owners
of electric vehicles can set their vehicles to be charged
based on the electric system's current demand, retail or
wholesale market rates, incentives, the carbon or other
pollution intensity of the electric generation mix, the
provision of grid services, efficient use of the electric
grid, or the availability of clean energy generation.
Optimized charging programs may be operated by utilities as
well as third parties.

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(c) The Commission shall initiate a workshop process no
later than November 30, 2021 for the purpose of soliciting
input on the design of beneficial electrification programs
that the utility shall offer. The workshop shall be
coordinated by the Staff of the Commission, or a facilitator
retained by Staff, and shall be organized and facilitated in a
manner that encourages representation from diverse
stakeholders, including stakeholders representing
environmental justice and low-income communities, and ensures
equitable opportunities for participation, without requiring
formal intervention or representation by an attorney.
The stakeholder workshop process shall take into
consideration the benefits of electric vehicle adoption and
barriers to adoption, including:
(1) the benefit of lower bills for customers who do
not charge electric vehicles;
(2) benefits to the distribution system from electric
vehicle usage;
(3) the avoidance and reduction in capacity costs from
optimized charging and off-peak charging;
(4) energy price and cost reductions;
(5) environmental benefits, including greenhouse gas
emission and other pollution reductions;
(6) current barriers to mass-market adoption,
including cost of ownership and availability of charging
stations;

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(7) current barriers to increasing access among
populations that have limited access to electric vehicle
ownership, communities significantly impacted by
transportation-related pollution, and market segments that
create disproportionate pollution impacts;
(8) benefits of and incentives for medium-duty and
heavy-duty fleet vehicle electrification;
(9) opportunities for eligible communities to benefit
from electrification;
(10) geographic areas and market segments that should
be prioritized for electrification infrastructure
investment.
The workshops shall consider barriers, incentives,
enabling rate structures, and other opportunities for the bill
reduction and environmental benefits described in this
subsection.
The workshop process shall conclude no later than February
28, 2022. Following the workshop, the Staff of the Commission,
or the facilitator retained by the Staff, shall prepare and
submit a report, no later than March 31, 2022, to the
Commission that includes, but is not limited to,
recommendations for transportation electrification investment
or incentives in the following areas:
(i) publicly accessible Level 2 and fast-charging
stations, with a focus on bringing access to
transportation electrification in densely populated areas

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

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Beneficial Electrification Plan with the Illinois Commerce
Commission for programs that start no later than January 1,
2023. The plan shall take into consideration recommendations
from the workshop report described in this Section. Within 45
days after the filing of the Beneficial Electrification Plan,
the Commission shall, with reasonable notice, open an
investigation to consider whether the plan meets the
objectives and contains the information required by this
Section. The Commission shall determine if the proposed plan
is cost-beneficial and in the public interest. When
considering if the plan is in the public interest and
determining appropriate levels of cost recovery for
investments and expenditures related to programs proposed by
an electric utility, the Commission shall consider whether the
investments and other expenditures are designed and reasonably
expected to:
(1) maximize total energy cost savings and rate
reductions so that nonparticipants can benefit;
(2) address environmental justice interests by
ensuring there are significant opportunities for residents
and businesses in eligible communities to directly
participate in and benefit from beneficial electrification
programs;
(3) support at least a 40% investment of make-ready
infrastructure incentives to facilitate the rapid
deployment of charging equipment in or serving

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

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

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entered prior to the initial filing date. The Beneficial
Electrification Plan shall specifically address, at a minimum,
the following:
(i) make-ready investments to facilitate the rapid
deployment of charging equipment throughout the State,
facilitate the electrification of public transit and other
vehicle fleets in the light-duty, medium-duty, and
heavy-duty sectors, and align with Agency-issued rebates
for charging equipment;
(ii) the development and implementation of beneficial
electrification programs, including time-of-use rates and
their benefit for electric vehicle users and for all
customers, optimized charging programs to achieve savings
identified, and new contracts and compensation for
services in those programs, through signals that allow
electric vehicle charging to respond to local system
conditions, manage critical peak periods, serve as a
demand response or peak resource, and maximize renewable
energy use and integration into the grid;
(iii) optional commercial tariffs utilizing
alternatives to traditional demand-based rate structures
to facilitate charging for light duty, heavy duty, and
fleet electric vehicles;
(iv) financial and other challenges to electric
vehicle usage in low-income communities, and strategies
for overcoming those challenges, particularly in

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communities and for people for whom car ownership is not
an option;
(v) methods of minimizing ratepayer impacts and
exempting or minimizing, to the extent possible,
low-income ratepayers from the costs associated with
facilitating the expansion of electric vehicle charging;
(vi) plans to increase access to Level 3 Public
Electric Vehicle Charging Infrastructure to serve vehicles
that need quicker charging times and vehicles of persons
who have no other access to charging infrastructure,
regardless of whether those projects participate in
optimized charging programs;
(vii) whether to establish charging standards for type
of plugs eligible for investment or incentive programs,
and if so, what standards;
(viii) opportunities for coordination and cohesion
with electric vehicle and electric vehicle charging
equipment incentives established by any agency,
department, board, or commission of the State, any other
unit of government in the State, any national programs, or
any unit of the federal government;
(ix) ideas for the development of online tools,
applications, and data sharing that provide essential
information to those charging electric vehicles, and
enable an automated charging response to price signals,
emission signals, real-time renewable generation

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production, and other Commission-approved or
customer-desired indicators of beneficial charging times;
and
(x) customer education, outreach, and incentive
programs that increase awareness of the programs and the
benefits of transportation electrification, including
direct outreach to eligible communities;
(e) Proceedings under this Section shall proceed according
to the rules provided by Article IX of the Public Utilities
Act. Information contained in the approved plan shall be
considered part of the record in any Commission proceeding
under Section 16-107.6 of the Public Utilities Act, provided
that a final order has not been entered prior to the initial
filing date.
(f) The utility shall file an update to the plan on July 1,
2024 and every 3 years thereafter. This update shall describe
transportation investments made during the prior plan period,
investments planned for the following 24 months, and updates
to the information required by this Section. Beginning with
the first update, the utility shall develop the plan in
conjunction with the distribution system planning process
described in Section 16-105.17, including incorporation of
stakeholder feedback from that process.
(g) Within 35 days after the utility files its report, the
Commission shall, upon its own initiative, open an
investigation regarding the utility's plan update to

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investigate whether the objectives described in this Section
are being achieved. The Commission shall determine whether
investment targets should be increased based on achievement of
spending goals outlined in the Beneficial Electrification Plan
and consistency with outcomes directed in the plan stakeholder
workshop report. If the Commission finds, after notice and
hearing, that the utility's plan is materially deficient, the
Commission shall issue an order requiring the utility to
devise a corrective action plan, subject to Commission
approval, to bring the plan into compliance with the goals of
this Section. The Commission's order shall be entered within
270 days after the utility files its annual report. The
contents of a plan filed under this Section shall be available
for evidence in Commission proceedings. However, omission from
an approved plan shall not render any future utility
expenditure to be considered unreasonable or imprudent. The
Commission may, upon sufficient evidence, allow expenditures
that were not part of any particular distribution plan. The
Commission shall consider revenues from electric vehicles in
the utility's service territory in evaluating the retail rate
impact. The retail rate impact from the development of
electric vehicle infrastructure shall not exceed 1% per year
of the total annual revenue requirements of the utility.
(h) In meeting the requirements of this Section, the
utility shall demonstrate efforts to increase the use of
contractors and electric vehicle charging station installers

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that meet multiple workforce equity actions, including, but
not limited to:
(1) the business is headquartered in or the person
resides in an eligible community;
(2) the business is majority owned by eligible person
or the contractor is an eligible person;
(3) the business or person is certified by another
municipal, State, federal, or other certification for
disadvantaged businesses;
(4) the business or person meets the eligibility
criteria for a certification program such as:
(A) certified under Section 2 of the Business
Enterprise for Minorities, Women, and Persons with
Disabilities Act;
(B) certified by another municipal, State,
federal, or other certification for disadvantaged
businesses;
(C) submits an affidavit showing that the vendor
meets the eligibility criteria for a certification
program such as those in items (A) and (B); or
(D) if the vendor is a nonprofit, meets any of the
criteria in those in item (A), (B), or (C) with the
exception that the nonprofit is not required to meet
any criteria related to being a for-profit entity, or
is controlled by a board of directors that consists of
51% or greater individuals who are equity investment

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eligible persons; or
(E) ensuring that program implementation
contractors and electric vehicle charging station
installers pay employees working on electric vehicle
charging installations at or above the prevailing wage
rate when such a wage rate has been published by the
Department of Labor and pay employees working on
energy efficiency programs at or above the median wage
rate for a similar job description in the nearest
metropolitan area when there is no applicable
published prevailing wage rate.
If necessary, utilities may conduct surveys to establish
the median wage rate for a given job description. Utilities
shall establish reporting procedures for vendors that ensure
compliance with this subsection, but are structured to avoid,
wherever possible, placing an undue administrative burden on
vendors.
(i) Program data collection.
(1) In order to ensure that the benefits provided to
Illinois residents and business by the clean energy
economy are equitably distributed across the State, it is
necessary to accurately measure the applicants and
recipients of this Program. The purpose of this paragraph
is to require the implementing utilities to collect all
data from Program applicants and beneficiaries to track
and improve equitable distribution of benefits across

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Illinois communities. The further purpose is to measure
any potential impact of racial discrimination on the
distribution of benefits and provide the utilities the
information necessary to correct any discrimination
through methods consistent with State and federal law.
(2) The implementing utilities shall collect
demographic and geographic data for each applicant and
each person or business awarded benefits or contracts
under this Program.
(3) The implementing utilities shall collect the
following information from applicants and Program or
procurement beneficiaries where applicable:
(A) demographic information, including racial or
ethnic identity for real persons employed, contracted,
or subcontracted through the program;
(B) demographic information, including racial or
ethnic identity of business owners;
(C) geographic location of the residency of real
persons or geographic location of the headquarters for
businesses; and
(D) any other information necessary for the
purpose of achieving the purpose of this paragraph.
(4) The utility shall publish, at least annually,
aggregated information on the demographics of program and
procurement applicants and beneficiaries. The utilities
shall protect personal and confidential business

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information as necessary.
(5) The utilities shall conduct a regular review
process to confirm the accuracy of reported data.
(6) On a quarterly basis, utilities shall collect data
necessary to ensure compliance with this Section and shall
communicate progress toward compliance to program
implementation contractors and electric vehicle charging
station installation vendors.
(7) Utilities filing Beneficial Electrification Plans
under this Section shall report annually to the Illinois
Commerce Commission and the General Assembly on how
hiring, contracting, job training, and other practices
related to its Beneficial electrification programs enhance
the diversity of vendors working on such programs. These
reports must include data on vendor and employee
diversity.
(j) The provisions of this Section are severable under
Section 1.31 of the Statute on Statutes.
(20 ILCS 627/50 new)
Sec. 50. Plan updates. The utility shall file an update to
the plan on July 1, 2024 and every 3 years thereafter. This
update shall describe transportation investments made during
the prior plan period, investments planned for the following
24 months, and updates to the information required by this
Section. Within 35 days after the utility files its report,

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the Commission shall, upon its own initiative, open an
investigation regarding the utility's plan update to
investigate whether the objectives described in this Section
are being achieved. If the Commission finds, after notice and
hearing, that the utility's plan is materially deficient, the
Commission shall issue an order requiring the utility to
devise a corrective action plan, subject to Commission
approval, to bring the plan into compliance with the goals of
this Section. The Commission's order shall be entered within
270 days after the utility files its annual report.
The contents of a plan filed under this Section shall be
available for evidence in Commission proceedings. However,
omission from an approved plan shall not render any future
utility expenditure to be considered unreasonable or
imprudent. The Commission may, upon sufficient evidence, allow
expenditures that were not part of any particular distribution
plan.
(20 ILCS 627/55 new)
Sec. 55. Charging rebate program.
(a) In order to substantially offset the installation
costs of electric vehicle charging infrastructure, beginning
July 1, 2022, and continuing as long as funds are available,
the Agency shall issue rebates, consistent with the
Commission-approved Beneficial Electrification Plans in
accordance with Section 45, to public and private

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organizations and companies to install and maintain Level 2 or
Level 3 charging stations.
(b) The Agency shall award rebates or grants that fund up
to 80% of the cost of the installation of charging stations.
The Agency shall award additional incentives per port for
every charging station installed in an eligible community and
every charging station located to support eligible persons. In
order to be eligible to receive a rebate or grant, the
organization or company must submit an application to the
Agency and commit to paying the prevailing wage for the
installation project. The Agency shall by rule provide
application and other programmatic details and requirements,
including additional incentives for eligible communities. The
Agency may determine per port or project caps based on a review
of best practices and stakeholder engagement. The Agency shall
accept applications on a rolling basis and shall award rebates
or grants within 60 days of each application. The Agency may
not award rebates or grants to an organization or company that
does not pay the prevailing wage for the installation of a
charging station for which it seeks a rebate or grant.
(20 ILCS 627/60 new)
Sec. 60. Study on loss infrastructure funds and
replacement options. The Illinois Department of Transportation
shall conduct a study to be delivered to the members of the
Illinois General Assembly and made available to the public no

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later than September 30, 2022. The study shall consider how
the proliferation of electric vehicles will adversely affect
resources needed for transportation infrastructure and take
into consideration any relevant federal actions. The study
shall identify the potential revenue loss and offer multiple
options for replacing those lost revenues. The Illinois
Department of Transportation shall collaborate with
organizations representing businesses involved in designing
and building transportation infrastructure, organized labor,
the general business community, and users of the system. In
addition, the Illinois Department of Transportation may
collaborate with other state agencies, including but not
limited to the Illinois Secretary of State and the Illinois
Department of Revenue.
This Section is repealed on January 1, 2024.
Section 90-23. The Illinois Enterprise Zone Act is amended
by changing Section 5.5 as follows:
(20 ILCS 655/5.5) (from Ch. 67 1/2, par. 609.1)
Sec. 5.5. High Impact Business.
(a) In order to respond to unique opportunities to assist
in the encouragement, development, growth, and expansion of
the private sector through large scale investment and
development projects, the Department is authorized to receive
and approve applications for the designation of "High Impact

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Businesses" in Illinois subject to the following conditions:
(1) such applications may be submitted at any time
during the year;
(2) such business is not located, at the time of
designation, in an enterprise zone designated pursuant to
this Act;
(3) the business intends to do one or more of the
following:
(A) the business intends to make a minimum
investment of $12,000,000 which will be placed in
service in qualified property and intends to create
500 full-time equivalent jobs at a designated location
in Illinois or intends to make a minimum investment of
$30,000,000 which will be placed in service in
qualified property and intends to retain 1,500
full-time retained jobs at a designated location in
Illinois. The business must certify in writing that
the investments would not be placed in service in
qualified property and the job creation or job
retention would not occur without the tax credits and
exemptions set forth in subsection (b) of this
Section. The terms "placed in service" and "qualified
property" have the same meanings as described in
subsection (h) of Section 201 of the Illinois Income
Tax Act; or
(B) the business intends to establish a new

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electric generating facility at a designated location
in Illinois. "New electric generating facility", for
purposes of this Section, means a newly-constructed
electric generation plant or a newly-constructed
generation capacity expansion at an existing electric
generation plant, including the transmission lines and
associated equipment that transfers electricity from
points of supply to points of delivery, and for which
such new foundation construction commenced not sooner
than July 1, 2001. Such facility shall be designed to
provide baseload electric generation and shall operate
on a continuous basis throughout the year; and (i)
shall have an aggregate rated generating capacity of
at least 1,000 megawatts for all new units at one site
if it uses natural gas as its primary fuel and
foundation construction of the facility is commenced
on or before December 31, 2004, or shall have an
aggregate rated generating capacity of at least 400
megawatts for all new units at one site if it uses coal
or gases derived from coal as its primary fuel and
shall support the creation of at least 150 new
Illinois coal mining jobs, or (ii) shall be funded
through a federal Department of Energy grant before
December 31, 2010 and shall support the creation of
Illinois coal-mining jobs, or (iii) shall use coal
gasification or integrated gasification-combined cycle

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units that generate electricity or chemicals, or both,
and shall support the creation of Illinois coal-mining
jobs. The business must certify in writing that the
investments necessary to establish a new electric
generating facility would not be placed in service and
the job creation in the case of a coal-fueled plant
would not occur without the tax credits and exemptions
set forth in subsection (b-5) of this Section. The
term "placed in service" has the same meaning as
described in subsection (h) of Section 201 of the
Illinois Income Tax Act; or
(B-5) the business intends to establish a new
gasification facility at a designated location in
Illinois. As used in this Section, "new gasification
facility" means a newly constructed coal gasification
facility that generates chemical feedstocks or
transportation fuels derived from coal (which may
include, but are not limited to, methane, methanol,
and nitrogen fertilizer), that supports the creation
or retention of Illinois coal-mining jobs, and that
qualifies for financial assistance from the Department
before December 31, 2010. A new gasification facility
does not include a pilot project located within
Jefferson County or within a county adjacent to
Jefferson County for synthetic natural gas from coal;
or

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(C) the business intends to establish production
operations at a new coal mine, re-establish production
operations at a closed coal mine, or expand production
at an existing coal mine at a designated location in
Illinois not sooner than July 1, 2001; provided that
the production operations result in the creation of
150 new Illinois coal mining jobs as described in
subdivision (a)(3)(B) of this Section, and further
provided that the coal extracted from such mine is
utilized as the predominant source for a new electric
generating facility. The business must certify in
writing that the investments necessary to establish a
new, expanded, or reopened coal mine would not be
placed in service and the job creation would not occur
without the tax credits and exemptions set forth in
subsection (b-5) of this Section. The term "placed in
service" has the same meaning as described in
subsection (h) of Section 201 of the Illinois Income
Tax Act; or
(D) the business intends to construct new
transmission facilities or upgrade existing
transmission facilities at designated locations in
Illinois, for which construction commenced not sooner
than July 1, 2001. For the purposes of this Section,
"transmission facilities" means transmission lines
with a voltage rating of 115 kilovolts or above,

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including associated equipment, that transfer
electricity from points of supply to points of
delivery and that transmit a majority of the
electricity generated by a new electric generating
facility designated as a High Impact Business in
accordance with this Section. The business must
certify in writing that the investments necessary to
construct new transmission facilities or upgrade
existing transmission facilities would not be placed
in service without the tax credits and exemptions set
forth in subsection (b-5) of this Section. The term
"placed in service" has the same meaning as described
in subsection (h) of Section 201 of the Illinois
Income Tax Act; or
(E) the business intends to establish a new wind
power facility at a designated location in Illinois.
For purposes of this Section, "new wind power
facility" means a newly constructed electric
generation facility, or a newly constructed expansion
of an existing electric generation facility, placed in
service on or after July 1, 2009, that generates
electricity using wind energy devices, and such
facility shall be deemed to include all associated
transmission lines, substations, and other equipment
related to the generation of electricity from wind
energy devices. For purposes of this Section, "wind

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energy device" means any device, with a nameplate
capacity of at least 0.5 megawatts, that is used in the
process of converting kinetic energy from the wind to
generate electricity; or
(E-5) the business intends to establish a new
utility-scale solar facility at a designated location
in Illinois. For purposes of this Section, "new
utility-scale solar power facility" means a newly
constructed electric generation facility, or a newly
constructed expansion of an existing electric
generation facility, placed in service on or after
July 1, 2021, that (i) generates electricity using
photovoltaic cells and (ii) has a nameplate capacity
that is greater than 5,000 kilowatts, and such
facility shall be deemed to include all associated
transmission lines, substations, energy storage
facilities, and other equipment related to the
generation and storage of electricity from
photovoltaic cells; or
(F) the business commits to (i) make a minimum
investment of $500,000,000, which will be placed in
service in a qualified property, (ii) create 125
full-time equivalent jobs at a designated location in
Illinois, (iii) establish a fertilizer plant at a
designated location in Illinois that complies with the
set-back standards as described in Table 1: Initial

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Isolation and Protective Action Distances in the 2012
Emergency Response Guidebook published by the United
States Department of Transportation, (iv) pay a
prevailing wage for employees at that location who are
engaged in construction activities, and (v) secure an
appropriate level of general liability insurance to
protect against catastrophic failure of the fertilizer
plant or any of its constituent systems; in addition,
the business must agree to enter into a construction
project labor agreement including provisions
establishing wages, benefits, and other compensation
for employees performing work under the project labor
agreement at that location; for the purposes of this
Section, "fertilizer plant" means a newly constructed
or upgraded plant utilizing gas used in the production
of anhydrous ammonia and downstream nitrogen
fertilizer products for resale; for the purposes of
this Section, "prevailing wage" means the hourly cash
wages plus fringe benefits for training and
apprenticeship programs approved by the U.S.
Department of Labor, Bureau of Apprenticeship and
Training, health and welfare, insurance, vacations and
pensions paid generally, in the locality in which the
work is being performed, to employees engaged in work
of a similar character on public works; this paragraph
(F) applies only to businesses that submit an

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application to the Department within 60 days after
July 25, 2013 (the effective date of Public Act
98-109) this amendatory Act of the 98th General
Assembly; and
(4) no later than 90 days after an application is
submitted, the Department shall notify the applicant of
the Department's determination of the qualification of the
proposed High Impact Business under this Section.
(b) Businesses designated as High Impact Businesses
pursuant to subdivision (a)(3)(A) of this Section shall
qualify for the credits and exemptions described in the
following Acts: Section 9-222 and Section 9-222.1A of the
Public Utilities Act, subsection (h) of Section 201 of the
Illinois Income Tax Act, and Section 1d of the Retailers'
Occupation Tax Act; provided that these credits and exemptions
described in these Acts shall not be authorized until the
minimum investments set forth in subdivision (a)(3)(A) of this
Section have been placed in service in qualified properties
and, in the case of the exemptions described in the Public
Utilities Act and Section 1d of the Retailers' Occupation Tax
Act, the minimum full-time equivalent jobs or full-time
retained jobs set forth in subdivision (a)(3)(A) of this
Section have been created or retained. Businesses designated
as High Impact Businesses under this Section shall also
qualify for the exemption described in Section 5l of the
Retailers' Occupation Tax Act. The credit provided in

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subsection (h) of Section 201 of the Illinois Income Tax Act
shall be applicable to investments in qualified property as
set forth in subdivision (a)(3)(A) of this Section.
(b-5) Businesses designated as High Impact Businesses
pursuant to subdivisions (a)(3)(B), (a)(3)(B-5), (a)(3)(C),
and (a)(3)(D) of this Section shall qualify for the credits
and exemptions described in the following Acts: Section 51 of
the Retailers' Occupation Tax Act, Section 9-222 and Section
9-222.1A of the Public Utilities Act, and subsection (h) of
Section 201 of the Illinois Income Tax Act; however, the
credits and exemptions authorized under Section 9-222 and
Section 9-222.1A of the Public Utilities Act, and subsection
(h) of Section 201 of the Illinois Income Tax Act shall not be
authorized until the new electric generating facility, the new
gasification facility, the new transmission facility, or the
new, expanded, or reopened coal mine is operational, except
that a new electric generating facility whose primary fuel
source is natural gas is eligible only for the exemption under
Section 5l of the Retailers' Occupation Tax Act.
(b-6) Businesses designated as High Impact Businesses
pursuant to subdivision (a)(3)(E) of this Section shall
qualify for the exemptions described in Section 5l of the
Retailers' Occupation Tax Act; any business so designated as a
High Impact Business being, for purposes of this Section, a
"Wind Energy Business".
(b-7) Beginning on January 1, 2021, businesses designated

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as High Impact Businesses by the Department shall qualify for
the High Impact Business construction jobs credit under
subsection (h-5) of Section 201 of the Illinois Income Tax Act
if the business meets the criteria set forth in subsection (i)
of this Section. The total aggregate amount of credits awarded
under the Blue Collar Jobs Act (Article 20 of Public Act 101-9
this amendatory Act of the 101st General Assembly) shall not
exceed $20,000,000 in any State fiscal year.
(c) High Impact Businesses located in federally designated
foreign trade zones or sub-zones are also eligible for
additional credits, exemptions and deductions as described in
the following Acts: Section 9-221 and Section 9-222.1 of the
Public Utilities Act; and subsection (g) of Section 201, and
Section 203 of the Illinois Income Tax Act.
(d) Except for businesses contemplated under subdivision
(a)(3)(E) of this Section, existing Illinois businesses which
apply for designation as a High Impact Business must provide
the Department with the prospective plan for which 1,500
full-time retained jobs would be eliminated in the event that
the business is not designated.
(e) Except for new wind power facilities contemplated
under subdivision (a)(3)(E) of this Section, new proposed
facilities which apply for designation as High Impact Business
must provide the Department with proof of alternative
non-Illinois sites which would receive the proposed investment
and job creation in the event that the business is not

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designated as a High Impact Business.
(f) Except for businesses contemplated under subdivision
(a)(3)(E) of this Section, in the event that a business is
designated a High Impact Business and it is later determined
after reasonable notice and an opportunity for a hearing as
provided under the Illinois Administrative Procedure Act, that
the business would have placed in service in qualified
property the investments and created or retained the requisite
number of jobs without the benefits of the High Impact
Business designation, the Department shall be required to
immediately revoke the designation and notify the Director of
the Department of Revenue who shall begin proceedings to
recover all wrongfully exempted State taxes with interest. The
business shall also be ineligible for all State funded
Department programs for a period of 10 years.
(g) The Department shall revoke a High Impact Business
designation if the participating business fails to comply with
the terms and conditions of the designation. However, the
penalties for new wind power facilities or Wind Energy
Businesses or new utility-scale solar power facilities for
failure to comply with any of the terms or conditions of the
Illinois Prevailing Wage Act shall be only those penalties
identified in the Illinois Prevailing Wage Act, and the
Department shall not revoke a High Impact Business designation
as a result of the failure to comply with any of the terms or
conditions of the Illinois Prevailing Wage Act in relation to

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a new wind power facility or a Wind Energy Business or new
utility-scale solar power facility.
(h) Prior to designating a business, the Department shall
provide the members of the General Assembly and Commission on
Government Forecasting and Accountability with a report
setting forth the terms and conditions of the designation and
guarantees that have been received by the Department in
relation to the proposed business being designated.
(i) High Impact Business construction jobs credit.
Beginning on January 1, 2021, a High Impact Business may
receive a tax credit against the tax imposed under subsections
(a) and (b) of Section 201 of the Illinois Income Tax Act in an
amount equal to 50% of the amount of the incremental income tax
attributable to High Impact Business construction jobs credit
employees employed in the course of completing a High Impact
Business construction jobs project. However, the High Impact
Business construction jobs credit may equal 75% of the amount
of the incremental income tax attributable to High Impact
Business construction jobs credit employees if the High Impact
Business construction jobs credit project is located in an
underserved area.
The Department shall certify to the Department of Revenue:
(1) the identity of taxpayers that are eligible for the High
Impact Business construction jobs credit; and (2) the amount
of High Impact Business construction jobs credits that are
claimed pursuant to subsection (h-5) of Section 201 of the

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Illinois Income Tax Act in each taxable year. Any business
entity that receives a High Impact Business construction jobs
credit shall maintain a certified payroll pursuant to
subsection (j) of this Section.
As used in this subsection (i):
"High Impact Business construction jobs credit" means an
amount equal to 50% (or 75% if the High Impact Business
construction project is located in an underserved area) of the
incremental income tax attributable to High Impact Business
construction job employees. The total aggregate amount of
credits awarded under the Blue Collar Jobs Act (Article 20 of
Public Act 101-9 this amendatory Act of the 101st General
Assembly) shall not exceed $20,000,000 in any State fiscal
year
"High Impact Business construction job employee" means a
laborer or worker who is employed by an Illinois contractor or
subcontractor in the actual construction work on the site of a
High Impact Business construction job project.
"High Impact Business construction jobs project" means
building a structure or building or making improvements of any
kind to real property, undertaken and commissioned by a
business that was designated as a High Impact Business by the
Department. The term "High Impact Business construction jobs
project" does not include the routine operation, routine
repair, or routine maintenance of existing structures,
buildings, or real property.

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"Incremental income tax" means the total amount withheld
during the taxable year from the compensation of High Impact
Business construction job employees.
"Underserved area" means a geographic area that meets one
or more of the following conditions:
(1) the area has a poverty rate of at least 20%
according to the latest federal decennial census;
(2) 75% or more of the children in the area
participate in the federal free lunch program according to
reported statistics from the State Board of Education;
(3) at least 20% of the households in the area receive
assistance under the Supplemental Nutrition Assistance
Program (SNAP); or
(4) the area has an average unemployment rate, as
determined by the Illinois Department of Employment
Security, that is more than 120% of the national
unemployment average, as determined by the U.S. Department
of Labor, for a period of at least 2 consecutive calendar
years preceding the date of the application.
(j) Each contractor and subcontractor who is engaged in
and executing a High Impact Business Construction jobs
project, as defined under subsection (i) of this Section, for
a business that is entitled to a credit pursuant to subsection
(i) of this Section shall:
(1) make and keep, for a period of 5 years from the
date of the last payment made on or after June 5, 2021 (the

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effective date of Public Act 101-9) this amendatory Act of
the 101st General Assembly on a contract or subcontract
for a High Impact Business Construction Jobs Project,
records for all laborers and other workers employed by the
contractor or subcontractor on the project; the records
shall include:
(A) the worker's name;
(B) the worker's address;
(C) the worker's telephone number, if available;
(D) the worker's social security number;
(E) the worker's classification or
classifications;
(F) the worker's gross and net wages paid in each
pay period;
(G) the worker's number of hours worked each day;
(H) the worker's starting and ending times of work
each day;
(I) the worker's hourly wage rate; and
(J) the worker's hourly overtime wage rate;
(2) no later than the 15th day of each calendar month,
provide a certified payroll for the immediately preceding
month to the taxpayer in charge of the High Impact
Business construction jobs project; within 5 business days
after receiving the certified payroll, the taxpayer shall
file the certified payroll with the Department of Labor
and the Department of Commerce and Economic Opportunity; a

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certified payroll must be filed for only those calendar
months during which construction on a High Impact Business
construction jobs project has occurred; the certified
payroll shall consist of a complete copy of the records
identified in paragraph (1) of this subsection (j), but
may exclude the starting and ending times of work each
day; the certified payroll shall be accompanied by a
statement signed by the contractor or subcontractor or an
officer, employee, or agent of the contractor or
subcontractor which avers that:
(A) he or she has examined the certified payroll
records required to be submitted by the Act and such
records are true and accurate; and
(B) the contractor or subcontractor is aware that
filing a certified payroll that he or she knows to be
false is a Class A misdemeanor.
A general contractor is not prohibited from relying on a
certified payroll of a lower-tier subcontractor, provided the
general contractor does not knowingly rely upon a
subcontractor's false certification.
Any contractor or subcontractor subject to this
subsection, and any officer, employee, or agent of such
contractor or subcontractor whose duty as an officer,
employee, or agent it is to file a certified payroll under this
subsection, who willfully fails to file such a certified
payroll on or before the date such certified payroll is

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required by this paragraph to be filed and any person who
willfully files a false certified payroll that is false as to
any material fact is in violation of this Act and guilty of a
Class A misdemeanor.
The taxpayer in charge of the project shall keep the
records submitted in accordance with this subsection on or
after June 5, 2021 (the effective date of Public Act 101-9)
this amendatory Act of the 101st General Assembly for a period
of 5 years from the date of the last payment for work on a
contract or subcontract for the High Impact Business
construction jobs project.
The records submitted in accordance with this subsection
shall be considered public records, except an employee's
address, telephone number, and social security number, and
made available in accordance with the Freedom of Information
Act. The Department of Labor shall accept any reasonable
submissions by the contractor that meet the requirements of
this subsection (j) and shall share the information with the
Department in order to comply with the awarding of a High
Impact Business construction jobs credit. A contractor,
subcontractor, or public body may retain records required
under this Section in paper or electronic format.
(k) Upon 7 business days' notice, each contractor and
subcontractor shall make available for inspection and copying
at a location within this State during reasonable hours, the
records identified in this subsection (j) to the taxpayer in

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charge of the High Impact Business construction jobs project,
its officers and agents, the Director of the Department of
Labor and his or her deputies and agents, and to federal,
State, or local law enforcement agencies and prosecutors.
(Source: P.A. 101-9, eff. 6-5-19; revised 7-12-19.)
Section 90-24. The Department of Labor Law of the Civil
Administrative Code of Illinois is amended by changing Section
1505-215 and by adding Section 1505-220 as follows:
(20 ILCS 1505/1505-215)
Sec. 1505-215. Bureau on Apprenticeship Programs and Clean
Energy Jobs ; Advisory Board.
(a) For purposes of this Section:
"Clean energy jobs" means jobs in the clean energy sector.
"Clean energy jobs" includes constructing, development,
planning, administrative, sales, and other support functions
within these industries.
"Clean energy sector" means solar energy, wind energy,
energy efficiency, solar thermal, green hydrogen, geothermal,
and electric vehicle industries and other renewable energy
industries, industries achieving emission reductions, and
related industries that manufacture, develop, build, maintain,
or provide ancillary services to renewable energy resources or
energy efficiency products or services, including the
manufacture and installation of healthier building materials

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that contain fewer hazardous chemicals.
(b) There is created within the Department of Labor a
Bureau on Apprenticeship Programs and Clean Energy Jobs. This
Bureau shall work to increase minority participation in active
apprentice programs in Illinois that are approved by the
United States Department of Labor and in clean energy jobs in
Illinois. The Bureau shall identify barriers to minorities
gaining access to construction careers and careers in clean
energy jobs and make recommendations to the Governor and the
General Assembly for policies to remove those barriers. The
Department may hire staff to perform outreach in promoting
diversity in active apprenticeship programs approved by the
United States Department of Labor and compile reports and
diversity, equity, and inclusion plans for clean energy sector
jobs. The Bureau and the Department shall coordinate with the
Department of Commerce and Economic Opportunity, Energy
Workforce Advisory Council, and the Energy Transition
Navigators in its efforts to compile information and remove
barriers to participation in clean energy jobs.
(c) The Bureau shall annually compile racial and gender
workforce diversity information from contractors receiving
State or other public funds and by labor unions with members
working on projects receiving State or other public funds that
are not otherwise subject to subsection (d).
(d) The Bureau shall compile racial and gender workforce
diversity information from certified transcripts of payroll

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reports filed in the preceding year pursuant to the Prevailing
Wage Act for all clean energy sector construction projects.
The Bureau shall also compile racial and gender workforce
diversity information from all corporations, nonprofits,
developers, contractors, and other entities receiving State or
other public funds for projects in the clean energy sector.
The Bureau shall work with the Department of Commerce and
Economic Opportunity, the Illinois Power Agency, the Illinois
Commerce Commission, and other agencies, as necessary, to
receive and share data and reporting on racial and gender
workforce diversity, demographic data, and any other data
necessary to achieve the goals of this Section. The Bureau
shall work with the Department of Commerce and Economic
Opportunity to review the workforce recruiting and hiring
database developed in accordance with subsection (c-25) of
Section 1-75 of the Illinois Power Agency Act to verify
equitable recruiting and hiring practices by contractors and
employers in clean energy jobs.
(e) By April 15, 2022 and every April 15 thereafter, the
Bureau shall publish and make available on the Department's
website a report summarizing the racial and gender diversity
of the workforce on all clean energy sector projects by
county. The report shall use a consistent structure for
information requests and presentation, with an easy-to-use
table of contents, to enable comparable year-over-year
solicitation and benchmarking of data. The development of the

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report structure shall be open to a public review and comment
period. That report shall compare the race, ethnicity, and
gender of the workers on clean energy projects to the general
population of the county in which the project is located. The
report shall also disaggregate such data to compare the race,
ethnicity, and gender of workers employed by union and
nonunion contractors and compare the race, ethnicity, and
gender of workers who reside in Illinois and those who reside
outside of Illinois. The report shall also include the race,
ethnicity, and gender of the workers by prevailing wage
classification.
(f) If the race, ethnicity, and gender of the workforce on
a clean energy sector project does not meet or exceed that of
the general population of the county in which the project is
located or, in the case of a project in which any of the
workers are represented by a union, the geographic
jurisdiction of that union, the Bureau shall request a written
explanation from the contractors that employed workers on such
project and any unions representing those workers, as
applicable. If deemed necessary by the Bureau, the contractors
and any unions representing workers on such project shall be
required by the Bureau to develop a plan to increase
diversity, equity, and inclusion on future clean energy sector
projects in that county or, in the case of a union, the
geographic jurisdiction covered by the union. The plan should
include: (i) areas of work and clean energy jobs each entity

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will actively seek more participation in during the next year;
(ii) an outline of the plan to alert and encourage potential
workers to seek clean energy jobs; (iii) an explanation of the
challenges faced in finding quality workers and suggestions
for what the Bureau could do to aid in identifying potential
workers; (iv) a list of certifications, if any, the entity
requires for workers to obtain clean energy jobs; (v) the
point of contact for any potential worker seeking a clean
energy job or other opportunity with the entity; and (vi) any
success stories to encourage other entities to emulate the
best practices.
The Bureau and all entities subject to the requirements of
subsection (d) shall hold an annual workshop open to the
public in 2022 and every year thereafter on the state of racial
and gender workforce diversity in the clean energy sector in
order to collaboratively seek solutions to structural
impediments to achieving diversity, equity, and inclusion
goals, including testimony from each participating entity,
subject matter experts, and advocates.
(g) The Bureau shall publish each annual report prepared
and filed pursuant to subsection (d) on the Department of
Labor's website for at least 5 years.
(Source: P.A. 101-170, eff. 1-1-20; 101-601, eff. 1-1-20;
revised 10-22-20.)
(20 ILCS 1505/1505-220 new)

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Sec. 1505-220. Small Clean Energy Contractor Prevailing
Wage Act Assistance. The General Assembly finds that small
clean energy businesses, especially those in or serving
underserved or historically disinvested communities, need
assistance and resources to help them comply with the
Prevailing Wage Act. Therefore, the Department of Labor shall
develop and administer a statewide program to assist small
clean energy contractors in administering and complying with
the Prevailing Wage Act requirements. This Program shall
provide training and ongoing technical assistance pertaining
to compliance with the Prevailing Wage Act, including
certified payroll reporting requirements. Ongoing assistance
shall include, but is not limited to, answering contractor
questions, recommending tools and process improvements,
establishing an account with and utilizing the Certified
Transcript of Payroll Portal and alerting businesses when
certified payroll reports are incomplete or incorrect,
building administrative expertise within individual
businesses, and any other assistance businesses identify as
needed based on verbal or other input. All Program training,
technical assistance, materials, services, and systems shall
be structured to accommodate and address real-world
circumstances encountered by small clean energy contractors;
shall be developed, refined, and adjusted as necessary in
consultation with such contractors; and shall be administered
to serve businesses that operate in languages other than

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English and do so at a level of service equivalent to that
offered to businesses that operate in English. The Department
may enter into agreements with contractors with experience in
supporting small businesses in underserved or historically
disinvested communities to implement portions or all of the
program, ensuring such capacity is developed in northern,
central, and southern Illinois regions. The Department shall
communicate and market program services to small clean energy
contractors statewide, and may do so in coordination with the
Department of Commerce and Economic Opportunity.
Section 90-25. The Energy Efficient Building Act is
amended by changing Sections 10, 15, 20, 30, and 45 and by
adding Section 55 as follows:
(20 ILCS 3125/10)
Sec. 10. Definitions.
"Board" means the Capital Development Board.
"Building" includes both residential buildings and
commercial buildings.
"Code" means the latest published edition of the
International Code Council's International Energy Conservation
Code as adopted by the Board, including any published
supplements adopted by the Board and any amendments and
adaptations to the Code that are made by the Board.
"Commercial building" means any building except a building

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that is a residential building, as defined in this Section.
"Department" means the Department of Commerce and Economic
Opportunity.
"Municipality" means any city, village, or incorporated
town.
"Residential building" means (i) a detached one-family or
2-family dwelling or (ii) any building that is 3 stories or
less in height above grade that contains multiple dwelling
units, in which the occupants reside on a primarily permanent
basis, such as a townhouse, a row house, an apartment house, a
convent, a monastery, a rectory, a fraternity or sorority
house, a dormitory, and a rooming house; provided, however,
that when applied to a building located within the boundaries
of a municipality having a population of 1,000,000 or more,
the term "residential building" means a building containing
one or more dwelling units, not exceeding 4 stories above
grade, where occupants are primarily permanent.
"Site energy index" means a scalar published by the
Pacific Northwest National Laboratories representing the ratio
of the site energy performance of an evaluated code compared
to the site energy performance of the 2006 International
Energy Conservation Code. A "site energy index" includes only
conservation measures and excludes net energy credit for any
on-site or off-site energy production.
(Source: P.A. 101-144, eff. 7-26-19.)

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(20 ILCS 3125/15)
Sec. 15. Energy Efficient Building Code. The Board, in
consultation with the Department, shall adopt the Code as
minimum requirements for commercial buildings, applying to the
construction of, renovations to, and additions to all
commercial buildings in the State. The Board, in consultation
with the Department, shall also adopt the Code as the minimum
and maximum requirements for residential buildings, applying
to the construction of, renovations to, and additions to all
residential buildings in the State, except as provided for in
Section 45 of this Act. The Board may appropriately adapt the
International Energy Conservation Code to apply to the
particular economy, population distribution, geography, and
climate of the State and construction therein, consistent with
the public policy objectives of this Act.
(Source: P.A. 96-778, eff. 8-28-09.)
(20 ILCS 3125/20)
Sec. 20. Applicability.
(a) The Board shall review and adopt the Code within one
year after its publication. The Code shall take effect within
6 months after it is adopted by the Board, except that,
beginning January 1, 2012, the Code adopted in 2012 shall take
effect on January 1, 2013. Except as otherwise provided in
this Act, the Code shall apply to (i) any new building or
structure in this State for which a building permit

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application is received by a municipality or county and (ii)
beginning on the effective date of this amendatory Act of the
100th General Assembly, each State facility specified in
Section 4.01 of the Capital Development Board Act. In the case
of any addition, alteration, renovation, or repair to an
existing residential or commercial structure, the Code adopted
under this Act applies only to the portions of that structure
that are being added, altered, renovated, or repaired. The
changes made to this Section by this amendatory Act of the 97th
General Assembly shall in no way invalidate or otherwise
affect contracts entered into on or before the effective date
of this amendatory Act of the 97th General Assembly.
(b) The following buildings shall be exempt from the Code:
(1) Buildings otherwise exempt from the provisions of
a locally adopted building code and buildings that do not
contain a conditioned space.
(2) Buildings that do not use either electricity or
fossil fuel for comfort conditioning. For purposes of
determining whether this exemption applies, a building
will be presumed to be heated by electricity, even in the
absence of equipment used for electric comfort heating,
whenever the building is provided with electrical service
in excess of 100 amps, unless the code enforcement
official determines that this electrical service is
necessary for purposes other than providing electric
comfort heating.

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(3) Historic buildings. This exemption shall apply to
those buildings that are listed on the National Register
of Historic Places or the Illinois Register of Historic
Places, and to those buildings that have been designated
as historically significant by a local governing body that
is authorized to make such designations.
(4) (Blank).
(5) Other buildings specified as exempt by the
International Energy Conservation Code.
(c) Additions, alterations, renovations, or repairs to an
existing building, building system, or portion thereof shall
conform to the provisions of the Code as they relate to new
construction without requiring the unaltered portion of the
existing building or building system to comply with the Code.
The following need not comply with the Code, provided that the
energy use of the building is not increased: (i) storm windows
installed over existing fenestration, (ii) glass-only
replacements in an existing sash and frame, (iii) existing
ceiling, wall, or floor cavities exposed during construction,
provided that these cavities are filled with insulation, and
(iv) construction where the existing roof, wall, or floor is
not exposed.
(d) A unit of local government that does not regulate
energy efficient building standards is not required to adopt,
enforce, or administer the Code; however, any energy efficient
building standards adopted by a unit of local government must

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comply with this Act. If a unit of local government does not
regulate energy efficient building standards, any
construction, renovation, or addition to buildings or
structures is subject to the provisions contained in this Act.
(Source: P.A. 100-729, eff. 8-3-18.)
(20 ILCS 3125/30)
Sec. 30. Enforcement. The Board, in consultation with the
Department, shall determine procedures for compliance with the
Code. These procedures may include but need not be limited to
certification by a national, State, or local accredited energy
conservation program or inspections from private
Code-certified inspectors using the Code. For purposes of the
Illinois Stretch Energy Code under Section 55, the Board shall
allow and encourage, as an alternative compliance mechanism,
project certification by a nationally recognized nonprofit
certification organization specializing in high-performance
passive buildings and offering climate-specific building
energy standards that require equal or better energy
performance than the Illinois Stretch Energy Code.
(Source: P.A. 93-936, eff. 8-13-04.)
(20 ILCS 3125/45)
Sec. 45. Home rule.
(a) (Blank). No unit of local government, including any
home rule unit, may regulate energy efficient building

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standards for commercial buildings in a manner that is less
stringent than the provisions contained in this Act.
(b) No unit of local government, including any home rule
unit, may regulate energy efficient building standards for
residential buildings in a manner that is either less or more
stringent than the standards established pursuant to this Act;
provided, however, that the following entities may regulate
energy efficient building standards for residential or
commercial buildings in a manner that is more stringent than
the provisions contained in this Act: (i) a unit of local
government, including a home rule unit, that has, on or before
May 15, 2009, adopted or incorporated by reference energy
efficient building standards for residential or commercial
buildings that are equivalent to or more stringent than the
2006 International Energy Conservation Code, (ii) a unit of
local government, including a home rule unit, that has, on or
before May 15, 2009, provided to the Capital Development
Board, as required by Section 10.18 of the Capital Development
Board Act, an identification of an energy efficient building
code or amendment that is equivalent to or more stringent than
the 2006 International Energy Conservation Code, (ii-5) a
municipality that has adopted the Illinois Stretch Energy
Code, and (iii) a municipality with a population of 1,000,000
or more.
(c) No unit of local government, including any home rule
unit or unit of local government that is subject to State

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regulation under the Code as provided in Section 15 of this
Act, may hereafter enact any annexation ordinance or
resolution, or require or enter into any annexation agreement,
that imposes energy efficient building standards for
residential or commercial buildings that are either less or
more stringent than the energy efficiency standards in effect,
at the time of construction, throughout the unit of local
government, except for the Illinois Stretch Energy Code.
(d) This Section is a denial and limitation of home rule
powers and functions under subsection (i) of Section 6 of
Article VII of the Illinois Constitution on the concurrent
exercise by home rule units of powers and functions exercised
by the State. Nothing in this Section, however, prevents a
unit of local government from adopting an energy efficiency
code or standards for commercial buildings that are more
stringent than the Code under this Act.
(Source: P.A. 99-639, eff. 7-28-16.)
(20 ILCS 3125/55 new)
Sec. 55. Illinois Stretch Energy Code.
(a) The Board, in consultation with the Department, shall
create and adopt the Illinois Stretch Energy Code, to allow
municipalities and projects authorized or funded by the Board
to achieve more energy efficiency in buildings than the
Illinois Energy Conservation Code through a consistent pathway
across the State. The Illinois Stretch Energy Code shall be

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available for adoption by any municipality and shall set
minimum energy efficiency requirements, taking the place of
the Illinois Energy Conservation Code within any municipality
that adopts the Illinois Stretch Energy Code.
(b) The Illinois Stretch Energy Code shall have separate
components for commercial and residential buildings, which may
be adopted by the municipality jointly or separately.
(c) The Illinois Stretch Energy Code shall apply to all
projects to which an energy conservation code is applicable
that are authorized or funded in any part by the Board after
January 1, 2023.
(d) Development of the Illinois Stretch Energy Code shall
be completed and available for adoption by municipalities by
December 31, 2023.
(e) Consistent with the requirements under paragraph (2.5)
of subsection (g) of Section 8-103B of the Public Utilities
Act and under paragraph (2) of subsection (j) of Section
8-104.1 of the Public Utilities Act, municipalities that adopt
the Illinois Stretch Energy Code may use utility programs to
support compliance with the Illinois Stretch Energy Code. The
amount of savings from such utility efforts that may be
counted toward achievement of their annual savings goals shall
be based on reasonable estimates of the increase in savings
resulting from the utility efforts, relative to reasonable
approximations of what would have occurred absent the utility
involvement.

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(f) The Illinois Stretch Energy Code's residential
components shall:
(1) apply to residential buildings as defined under
Section 10;
(2) set performance targets using a site energy index
with reductions relative to the 2006 International Energy
Conservation Code; and
(3) include stretch energy codes with site energy
index standards and adoption dates as follows: by no later
than December 31, 2022, the Board shall create and adopt a
stretch energy code with a site energy index no greater
than 0.50 of the 2006 International Energy Conservation
Code; by no later than December 31, 2025, the Board shall
create and adopt a stretch energy code with a site energy
index no greater than 0.40 of the 2006 International
Energy Conservation Code, unless the Board identifies
unanticipated burdens associated with the stretch energy
code adopted in 2022, in which case the Board may adopt a
stretch energy code with a site energy index no greater
than 0.42 of the 2006 International Energy Conservation
Code, provided that the more relaxed standard has a site
energy index that is at least 0.05 more restrictive than
the 2024 International Energy Conservation Code; by no
later than December 31, 2028, the Board shall create and
adopt a stretch energy code with a site energy index no
greater than 0.33 of the 2006 International Energy

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Conservation Code, unless the Board identifies
unanticipated burdens associated with the stretch energy
code adopted in 2025, in which case the Board may adopt a
stretch energy code with a site energy index no greater
than 0.35 of the 2006 International Energy Conservation
Code, but only if that more relaxed standard has a site
energy index that is at least 0.05 more restrictive than
the 2027 International Energy Conservation Code; and by no
later than December 31, 2031, the Board shall create and
adopt a stretch energy code with a site energy index no
greater than 0.25 of the 2006 International Energy
Conservation Code.
(g) The Illinois Stretch Energy Code's commercial
components shall:
(1) apply to commercial buildings as defined under
Section 10;
(2) set performance targets using a site energy index
with reductions relative to the 2006 International Energy
Conservation Code; and
(3) include stretch energy codes with site energy
index standards and adoption dates as follows: by no later
than December 31, 2022, the Board shall create and adopt a
stretch energy code with a site energy index no greater
than 0.60 of the 2006 International Energy Conservation
Code; by no later than December 31, 2025, the Board shall
create and adopt a stretch energy code with a site energy

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index no greater than 0.50 of the 2006 International
Energy Conservation Code; by no later than December 31,
2028, the Board shall create and adopt a stretch energy
code with a site energy index no greater than 0.44 of the
2006 International Energy Conservation Code; and by no
later than December 31, 2031, the Board shall create and
adopt a stretch energy code with a site energy index no
greater than 0.39 of the 2006 International Energy
Conservation Code.
(h) The process for the creation of the Illinois Stretch
Energy Code includes:
(1) within 60 days after the effective date of this
amendatory Act of the 102nd General Assembly, the Capital
Development Board shall establish an Illinois Stretch
Energy Code Task Force to advise and provide technical
assistance and recommendations to the Capital Development
Board for the Illinois Stretch Energy Code, which shall:
(A) advise the Capital Development Board on
creation of interim performance targets, code
requirements, and an implementation plan for the
Illinois Stretch Energy Code;
(B) recommend amendments to proposed rules issued
by the Capital Development Board;
(C) recommend complementary programs or policies;
(D) complete recommendations and development for
the Illinois Stretch Energy Code elements and

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requirements by July 31, 2022;
(E) be composed of, but not limited to,
representatives, or their designees, from the
following entities:
(i) a representative from a group that
represents environmental justice;
(ii) a representative of a nonprofit or
professional association advocating for the
environment;
(iii) a representative of an organization
representing local governments in the metropolitan
Chicago region;
(iv) a representative of the City of Chicago;
(v) a representative of an organization
representing local governments outside the
metropolitan Chicago region;
(vi) a representative for the investor-owned
utilities of Illinois;
(vii) an energy-efficiency advocate with
technical expertise in single-family residential
buildings;
(viii) an energy-efficiency advocate with
technical expertise in commercial buildings;
(ix) an energy-efficiency advocate with
technical expertise in multifamily buildings, such
as an affordable housing developer;

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(x) a representative from the architecture or
engineering industry;
(xi) a representative from a home builders
association;
(xii) a representative from the commercial
building industry;
(xiii) a representative of the enforcement
industry, such as a code official or energy rater;
(xiv) a representative of organized labor; and
(xv) other experts or organizations deemed
necessary by the Capital Development Board; and
(F) be co-chaired by:
(i) a representative of the environmental
community;
(ii) a representative of the environmental
justice community; and
(iii) a municipal representative.
(2) As part of its deliberations, the Illinois Stretch
Energy Code Task Force shall actively solicit input from
other energy code stakeholders and interested parties.
Section 90-30. The Illinois Power Agency Act is amended by
changing Sections 1-5, 1-10, 1-20, 1-35, 1-56, 1-70, 1-75,
1-92, and 1-125 and by adding Section 1-128 as follows:
(20 ILCS 3855/1-5)

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Sec. 1-5. Legislative declarations and findings. The
General Assembly finds and declares:
(1) The health, welfare, and prosperity of all
Illinois residents citizens require the provision of
adequate, reliable, affordable, efficient, and
environmentally sustainable electric service at the lowest
total cost over time, taking into account any benefits of
price stability.
(1.5) To provide the highest quality of life for the
residents of Illinois and to provide for a clean and
healthy environment, it is the policy of this State to
rapidly transition to 100% clean energy by 2050.
(2) (Blank).
(3) (Blank).
(4) It is necessary to improve the process of
procuring electricity to serve Illinois residents, to
promote investment in energy efficiency and
demand-response measures, and to maintain and support
development of clean coal technologies, generation
resources that operate at all hours of the day and under
all weather conditions, zero emission facilities, and
renewable resources.
(5) Procuring a diverse electricity supply portfolio
will ensure the lowest total cost over time for adequate,
reliable, efficient, and environmentally sustainable
electric service.

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(6) Including renewable resources and zero emission
credits from zero emission facilities in that portfolio
will reduce long-term direct and indirect costs to
consumers by decreasing environmental impacts and by
avoiding or delaying the need for new generation,
transmission, and distribution infrastructure. Developing
new renewable energy resources in Illinois, including
brownfield solar projects and community solar projects,
will help to diversify Illinois electricity supply, avoid
and reduce pollution, reduce peak demand, and enhance
public health and well-being of Illinois residents.
(7) Developing community solar projects in Illinois
will help to expand access to renewable energy resources
to more Illinois residents.
(8) Developing brownfield solar projects in Illinois
will help return blighted or contaminated land to
productive use while enhancing public health and the
well-being of Illinois residents, including those in
environmental justice communities.
(9) Energy efficiency, demand-response measures, zero
emission energy, and renewable energy are resources
currently underused in Illinois. These resources should be
used, when cost effective, to reduce costs to consumers,
improve reliability, and improve environmental quality and
public health.
(10) The State should encourage the use of advanced

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clean coal technologies that capture and sequester carbon
dioxide emissions to advance environmental protection
goals and to demonstrate the viability of coal and
coal-derived fuels in a carbon-constrained economy.
(10.5) The State should encourage the development of
interregional high voltage direct current (HVDC)
transmission lines that benefit Illinois. All ratepayers
in the State served by the regional transmission
organization where the HVDC converter station is
interconnected benefit from the long-term price stability
and market access provided by interregional HVDC
transmission facilities. The benefits to Illinois include:
reduction in wholesale power prices; access to lower-cost
markets; enabling the integration of additional renewable
generating units within the State through near
instantaneous dispatchability and the provision of
ancillary services; creating good-paying union jobs in
Illinois; and, enhancing grid reliability and climate
resilience via HVDC facilities that are installed
underground.
(10.6) The health, welfare, and safety of the people
of the State are advanced by developing new HVDC
transmission lines predominantly along transportation
rights-of-way, with an HVDC converter station that is
located in the service territory of a public utility as
defined in Section 3-105 of the Public Utilities Act

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serving more than 3,000,000 retail customers, and with a
project labor agreement as defined in Section 1-10 of this
Act.
(11) The General Assembly enacted Public Act 96-0795
to reform the State's purchasing processes, recognizing
that government procurement is susceptible to abuse if
structural and procedural safeguards are not in place to
ensure independence, insulation, oversight, and
transparency.
(12) The principles that underlie the procurement
reform legislation apply also in the context of power
purchasing.
(13) To ensure that the benefits of installing
renewable resources are available to all Illinois
residents and located across the State, subject to
appropriation, it is necessary for the Agency to provide
public information and educational resources on how
residents can benefit from the expansion of renewable
energy in Illinois and participate in the Illinois Solar
for All Program established in Section 1-56, the
Adjustable Block program established in Section 1-75, the
job training programs established by paragraph (1) of
subsection (a) of Section 16-108.12 of the Public
Utilities Act, and the programs and resources established
by the Energy Transition Act.
The General Assembly therefore finds that it is necessary

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to create the Illinois Power Agency and that the goals and
objectives of that Agency are to accomplish each of the
following:
(A) Develop electricity procurement plans to ensure
adequate, reliable, affordable, efficient, and
environmentally sustainable electric service at the lowest
total cost over time, taking into account any benefits of
price stability, for electric utilities that on December
31, 2005 provided electric service to at least 100,000
customers in Illinois and for small multi-jurisdictional
electric utilities that (i) on December 31, 2005 served
less than 100,000 customers in Illinois and (ii) request a
procurement plan for their Illinois jurisdictional load.
The procurement plan shall be updated on an annual basis
and shall include renewable energy resources and,
beginning with the delivery year commencing June 1, 2017,
zero emission credits from zero emission facilities
sufficient to achieve the standards specified in this Act.
(B) Conduct the competitive procurement processes
identified in Public Act 99-906 this Act.
(C) Develop electric generation and co-generation
facilities that use indigenous coal or renewable
resources, or both, financed with bonds issued by the
Illinois Finance Authority.
(D) Supply electricity from the Agency's facilities at
cost to one or more of the following: municipal electric

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systems, governmental aggregators, or rural electric
cooperatives in Illinois.
(E) Ensure that the process of power procurement is
conducted in an ethical and transparent fashion, immune
from improper influence.
(F) Continue to review its policies and practices to
determine how best to meet its mission of providing the
lowest cost power to the greatest number of people, at any
given point in time, in accordance with applicable law.
(G) Operate in a structurally insulated, independent,
and transparent fashion so that nothing impedes the
Agency's mission to secure power at the best prices the
market will bear, provided that the Agency meets all
applicable legal requirements.
(H) Implement renewable energy procurement and
training programs throughout the State to diversify
Illinois electricity supply, improve reliability, avoid
and reduce pollution, reduce peak demand, and enhance
public health and well-being of Illinois residents,
including low-income residents.
(Source: P.A. 99-906, eff. 6-1-17.)
(20 ILCS 3855/1-10)
Sec. 1-10. Definitions.
"Agency" means the Illinois Power Agency.
"Agency loan agreement" means any agreement pursuant to

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which the Illinois Finance Authority agrees to loan the
proceeds of revenue bonds issued with respect to a project to
the Agency upon terms providing for loan repayment
installments at least sufficient to pay when due all principal
of, interest and premium, if any, on those revenue bonds, and
providing for maintenance, insurance, and other matters in
respect of the project.
"Authority" means the Illinois Finance Authority.
"Brownfield site photovoltaic project" means photovoltaics
that are either:
(1) interconnected to an electric utility as defined
in this Section, a municipal utility as defined in this
Section, a public utility as defined in Section 3-105 of
the Public Utilities Act, or an electric cooperative, as
defined in Section 3-119 of the Public Utilities Act; and
(2) located at a site that is regulated by any of the
following entities under the following programs:
(A) the United States Environmental Protection
Agency under the federal Comprehensive Environmental
Response, Compensation, and Liability Act of 1980, as
amended;
(B) the United States Environmental Protection
Agency under the Corrective Action Program of the
federal Resource Conservation and Recovery Act, as
amended;
(C) the Illinois Environmental Protection Agency

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under the Illinois Site Remediation Program; or
(D) the Illinois Environmental Protection Agency
under the Illinois Solid Waste Program; or .
(2) located at the site of a coal mine that has
permanently ceased coal production, permanently halted any
re-mining operations, and is no longer accepting any coal
combustion residues; has both completed all clean-up and
remediation obligations under the federal Surface Mining
and Reclamation Act of 1977 and all applicable Illinois
rules and any other clean-up, remediation, or ongoing
monitoring to safeguard the health and well-being of the
people of the State of Illinois, as well as demonstrated
compliance with all applicable federal and State
environmental rules and regulations, including, but not
limited, to 35 Ill. Adm. Code Part 845 and any rules for
historic fill of coal combustion residuals, including any
rules finalized in Subdocket A of Illinois Pollution
Control Board docket R2020-019.
"Clean coal facility" means an electric generating
facility that uses primarily coal as a feedstock and that
captures and sequesters carbon dioxide emissions at the
following levels: at least 50% of the total carbon dioxide
emissions that the facility would otherwise emit if, at the
time construction commences, the facility is scheduled to
commence operation before 2016, at least 70% of the total
carbon dioxide emissions that the facility would otherwise

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emit if, at the time construction commences, the facility is
scheduled to commence operation during 2016 or 2017, and at
least 90% of the total carbon dioxide emissions that the
facility would otherwise emit if, at the time construction
commences, the facility is scheduled to commence operation
after 2017. The power block of the clean coal facility shall
not exceed allowable emission rates for sulfur dioxide,
nitrogen oxides, carbon monoxide, particulates and mercury for
a natural gas-fired combined-cycle facility the same size as
and in the same location as the clean coal facility at the time
the clean coal facility obtains an approved air permit. All
coal used by a clean coal facility shall have high volatile
bituminous rank and greater than 1.7 pounds of sulfur per
million btu content, unless the clean coal facility does not
use gasification technology and was operating as a
conventional coal-fired electric generating facility on June
1, 2009 (the effective date of Public Act 95-1027).
"Clean coal SNG brownfield facility" means a facility that
(1) has commenced construction by July 1, 2015 on an urban
brownfield site in a municipality with at least 1,000,000
residents; (2) uses a gasification process to produce
substitute natural gas; (3) uses coal as at least 50% of the
total feedstock over the term of any sourcing agreement with a
utility and the remainder of the feedstock may be either
petroleum coke or coal, with all such coal having a high
bituminous rank and greater than 1.7 pounds of sulfur per

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million Btu content unless the facility reasonably determines
that it is necessary to use additional petroleum coke to
deliver additional consumer savings, in which case the
facility shall use coal for at least 35% of the total feedstock
over the term of any sourcing agreement; and (4) captures and
sequesters at least 85% of the total carbon dioxide emissions
that the facility would otherwise emit.
"Clean coal SNG facility" means a facility that uses a
gasification process to produce substitute natural gas, that
sequesters at least 90% of the total carbon dioxide emissions
that the facility would otherwise emit, that uses at least 90%
coal as a feedstock, with all such coal having a high
bituminous rank and greater than 1.7 pounds of sulfur per
million btu content, and that has a valid and effective permit
to construct emission sources and air pollution control
equipment and approval with respect to the federal regulations
for Prevention of Significant Deterioration of Air Quality
(PSD) for the plant pursuant to the federal Clean Air Act;
provided, however, a clean coal SNG brownfield facility shall
not be a clean coal SNG facility.
"Clean energy" means energy generation that is 90% or
greater free of carbon dioxide emissions.
"Commission" means the Illinois Commerce Commission.
"Community renewable generation project" means an electric
generating facility that:
(1) is powered by wind, solar thermal energy,

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photovoltaic cells or panels, biodiesel, crops and
untreated and unadulterated organic waste biomass, tree
waste, and hydropower that does not involve new
construction or significant expansion of hydropower dams;
(2) is interconnected at the distribution system level
of an electric utility as defined in this Section, a
municipal utility as defined in this Section that owns or
operates electric distribution facilities, a public
utility as defined in Section 3-105 of the Public
Utilities Act, or an electric cooperative, as defined in
Section 3-119 of the Public Utilities Act;
(3) credits the value of electricity generated by the
facility to the subscribers of the facility; and
(4) is limited in nameplate capacity to less than or
equal to 5,000 2,000 kilowatts.
"Costs incurred in connection with the development and
construction of a facility" means:
(1) the cost of acquisition of all real property,
fixtures, and improvements in connection therewith and
equipment, personal property, and other property, rights,
and easements acquired that are deemed necessary for the
operation and maintenance of the facility;
(2) financing costs with respect to bonds, notes, and
other evidences of indebtedness of the Agency;
(3) all origination, commitment, utilization,
facility, placement, underwriting, syndication, credit

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enhancement, and rating agency fees;
(4) engineering, design, procurement, consulting,
legal, accounting, title insurance, survey, appraisal,
escrow, trustee, collateral agency, interest rate hedging,
interest rate swap, capitalized interest, contingency, as
required by lenders, and other financing costs, and other
expenses for professional services; and
(5) the costs of plans, specifications, site study and
investigation, installation, surveys, other Agency costs
and estimates of costs, and other expenses necessary or
incidental to determining the feasibility of any project,
together with such other expenses as may be necessary or
incidental to the financing, insuring, acquisition, and
construction of a specific project and starting up,
commissioning, and placing that project in operation.
"Delivery services" has the same definition as found in
Section 16-102 of the Public Utilities Act.
"Delivery year" means the consecutive 12-month period
beginning June 1 of a given year and ending May 31 of the
following year.
"Department" means the Department of Commerce and Economic
Opportunity.
"Director" means the Director of the Illinois Power
Agency.
"Demand-response" means measures that decrease peak
electricity demand or shift demand from peak to off-peak

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periods.
"Distributed renewable energy generation device" means a
device that is:
(1) powered by wind, solar thermal energy,
photovoltaic cells or panels, biodiesel, crops and
untreated and unadulterated organic waste biomass, tree
waste, and hydropower that does not involve new
construction or significant expansion of hydropower dams,
waste heat to power systems, or qualified combined heat
and power systems;
(2) interconnected at the distribution system level of
either an electric utility as defined in this Section, a
municipal utility as defined in this Section that owns or
operates electric distribution facilities, or a rural
electric cooperative as defined in Section 3-119 of the
Public Utilities Act;
(3) located on the customer side of the customer's
electric meter and is primarily used to offset that
customer's electricity load; and
(4) (blank). limited in nameplate capacity to less
than or equal to 2,000 kilowatts.
"Energy efficiency" means measures that reduce the amount
of electricity or natural gas consumed in order to achieve a
given end use. "Energy efficiency" includes voltage
optimization measures that optimize the voltage at points on
the electric distribution voltage system and thereby reduce

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electricity consumption by electric customers' end use
devices. "Energy efficiency" also includes measures that
reduce the total Btus of electricity, natural gas, and other
fuels needed to meet the end use or uses.
"Electric utility" has the same definition as found in
Section 16-102 of the Public Utilities Act.
"Equitable Energy Future Certification" and "EEFC" are
synonymous and mean a certification provided to an applicant
by the Illinois Power Agency where an applicant commits that a
project will meet one or more of the following criteria: (i)
more than 50% of the work on the project have or will be
performed by eligible persons; or (ii) more than 50% of the
work on the project have or will be done by equity eligible
contractors. The Agency will establish Equitable Energy Future
Certification standards for entities where certification by
individual project is infeasible, which can include
certification of a portfolio of projects if an entity can
demonstrate consistent EEFC eligibility across that portfolio.
"Equity investment eligible community" or "eligible
community" are synonymous and mean the geographic areas
throughout Illinois which would most benefit from equitable
investments by the State designed to combat discrimination.
Specifically, the eligible communities shall be defined as the
following areas:
(1) R3 Areas as established pursuant to Section 10-40
of the Cannabis Regulation and Tax Act, where residents

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have historically been excluded from economic
opportunities, including opportunities in the energy
sector; and
(2) Environmental justice communities, as defined by
the Illinois Power Agency pursuant to the Illinois Power
Agency Act, where residents have historically been subject
to disproportionate burdens of pollution, including
pollution from the energy sector.
"Equity eligible persons" or "eligible persons" means
persons who would most benefit from equitable investments by
the State designed to combat discrimination, specifically:
(1) persons who graduate from or are current or former
participants in the Clean Jobs Workforce Network Program,
the Clean Energy Contractor Incubator Program, the
Illinois Climate Works Preapprenticeship Program,
Returning Residents Clean Jobs Training Program, or the
Clean Energy Primes Contractor Accelerator Program, and
the solar training pipeline and multi-cultural jobs
program created in paragraphs (a)(1) and (a)(3) of Section
16-108.21 of the Public Utilities Act;
(2) persons who are graduates of or currently enrolled
in the foster care system;
(3) persons who were formerly incarcerated;
(4) persons whose primary residence is in an equity
investment eligible community.
"Equity eligible contractor" means a business that is

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majority-owned by eligible persons, or a nonprofit or
cooperative that is majority-governed by eligible persons, or
is a natural person that is an eligible person offering
personal services as an independent contractor.
"Facility" means an electric generating unit or a
co-generating unit that produces electricity along with
related equipment necessary to connect the facility to an
electric transmission or distribution system.
"General Contractor" means the entity or organization with
main responsibility for the building of a construction project
and who is the party signing the prime construction contract
for the project.
"Governmental aggregator" means one or more units of local
government that individually or collectively procure
electricity to serve residential retail electrical loads
located within its or their jurisdiction.
"High voltage direct current converter station" means the
collection of equipment that converts direct current energy
from a high voltage direct current transmission line into
alternating current using Voltage Source Conversion technology
and that is interconnected with transmission or distribution
assets located in Illinois.
"High voltage direct current renewable energy credit"
means a renewable energy credit associated with a renewable
energy resource where the renewable energy resource has
entered into a contract to transmit the energy associated with

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such renewable energy credit over high voltage direct current
transmission facilities.
"High voltage direct current transmission facilities"
means the collection of installed equipment that converts
alternating current energy in one location to direct current
and transmits that direct current energy to a high voltage
direct current converter station using Voltage Source
Conversion technology. "High voltage direct current
transmission facilities" includes the high voltage direct
current converter station itself and associated high voltage
direct current transmission lines. Notwithstanding the
preceding, an otherwise qualifying collection of equipment
does not qualify as high voltage direct current transmission
facilities unless its developer entered into a project labor
agreement, is capable of transmitting electricity at 525kv
with an Illinois converter station located and interconnected
in the region of the PJM Interconnection, LLC, and the system
does not operate as a public utility, as that term is defined
in Section 3-105 of the Public Utilities Act.
"Index price" means the real-time energy settlement price
at the applicable Illinois trading hub, such as PJM-NIHUB or
MISO-IL, for a given settlement period.
"Indexed renewable energy credit" means a tradable credit
that represents the environmental attributes of one megawatt
hour of energy produced from a renewable energy resource, the
price of which shall be calculated by subtracting the strike

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price offered by a new utility-scale wind project or a new
utility-scale photovoltaic project from the index price in a
given settlement period.
"Indexed renewable energy credit counterparty" has the
same meaning as "public utility" as defined in Section 3-105
of the Public Utilities Act.
"Local government" means a unit of local government as
defined in Section 1 of Article VII of the Illinois
Constitution.
"Municipality" means a city, village, or incorporated
town.
"Municipal utility" means a public utility owned and
operated by any subdivision or municipal corporation of this
State.
"Nameplate capacity" means the aggregate inverter
nameplate capacity in kilowatts AC.
"Person" means any natural person, firm, partnership,
corporation, either domestic or foreign, company, association,
limited liability company, joint stock company, or association
and includes any trustee, receiver, assignee, or personal
representative thereof.
"Project" means the planning, bidding, and construction of
a facility.
"Project labor agreement" means a pre-hire collective
bargaining agreement that covers all terms and conditions of
employment on a specific construction project and must include

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the following:
(1) provisions establishing the minimum hourly wage
for each class of labor organization employee;
(2) provisions establishing the benefits and other
compensation for each class of labor organization
employee;
(3) provisions establishing that no strike or disputes
will be engaged in by the labor organization employees;
(4) provisions establishing that no lockout or
disputes will be engaged in by the general contractor
building the project; and
(5) provisions for minorities and women, as defined
under the Business Enterprise for Minorities, Women, and
Persons with Disabilities Act, setting forth goals for
apprenticeship hours to be performed by minorities and
women and setting forth goals for total hours to be
performed by underrepresented minorities and women.
A labor organization and the general contractor building
the project shall have the authority to include other terms
and conditions as they deem necessary.
"Public utility" has the same definition as found in
Section 3-105 of the Public Utilities Act.
"Qualified combined heat and power systems" means systems
that, either simultaneously or sequentially, produce
electricity and useful thermal energy from a single fuel
source. Such systems are eligible for "renewable energy

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credits" in an amount equal to its total energy output where a
renewable fuel is consumed or in an amount equal to the net
reduction in nonrenewable fuel consumed on a total energy
output basis.
"Real property" means any interest in land together with
all structures, fixtures, and improvements thereon, including
lands under water and riparian rights, any easements,
covenants, licenses, leases, rights-of-way, uses, and other
interests, together with any liens, judgments, mortgages, or
other claims or security interests related to real property.
"Renewable energy credit" means a tradable credit that
represents the environmental attributes of one megawatt hour
of energy produced from a renewable energy resource.
"Renewable energy resources" includes energy and its
associated renewable energy credit or renewable energy credits
from wind, solar thermal energy, photovoltaic cells and
panels, biodiesel, anaerobic digestion, crops and untreated
and unadulterated organic waste biomass, tree waste, and
hydropower that does not involve new construction or
significant expansion of hydropower dams, waste heat to power
systems, or qualified combined heat and power systems. For
purposes of this Act, landfill gas produced in the State is
considered a renewable energy resource. "Renewable energy
resources" does not include the incineration or burning of
tires, garbage, general household, institutional, and
commercial waste, industrial lunchroom or office waste,

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landscape waste other than tree waste, railroad crossties,
utility poles, or construction or demolition debris, other
than untreated and unadulterated waste wood. "Renewable energy
resources" also includes high voltage direct current renewable
energy credits and the associated energy converted to
alternating current by a high voltage direct current converter
station to the extent that: (1) the generator of such
renewable energy resource contracted with a third party to
transmit the energy over the high voltage direct current
transmission facilities, and (2) the third-party contracting
for delivery of renewable energy resources over the high
voltage direct current transmission facilities have ownership
rights over the unretired associated high voltage direct
current renewable energy credit.
"Retail customer" has the same definition as found in
Section 16-102 of the Public Utilities Act.
"Revenue bond" means any bond, note, or other evidence of
indebtedness issued by the Authority, the principal and
interest of which is payable solely from revenues or income
derived from any project or activity of the Agency.
"Seller" means the supplier of a renewable energy credit
produced from a new utility-scale wind project or a new
utility-scale photovoltaic project.
"Sequester" means permanent storage of carbon dioxide by
injecting it into a saline aquifer, a depleted gas reservoir,
or an oil reservoir, directly or through an enhanced oil

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recovery process that may involve intermediate storage,
regardless of whether these activities are conducted by a
clean coal facility, a clean coal SNG facility, a clean coal
SNG brownfield facility, or a party with which a clean coal
facility, clean coal SNG facility, or clean coal SNG
brownfield facility has contracted for such purposes.
"Service area" has the same definition as found in Section
16-102 of the Public Utilities Act.
"Settlement period" means the period of time utilized by
MISO and PJM and their successor organizations as the basis
for settlement calculations in the real-time energy market.
"Sourcing agreement" means (i) in the case of an electric
utility, an agreement between the owner of a clean coal
facility and such electric utility, which agreement shall have
terms and conditions meeting the requirements of paragraph (3)
of subsection (d) of Section 1-75, (ii) in the case of an
alternative retail electric supplier, an agreement between the
owner of a clean coal facility and such alternative retail
electric supplier, which agreement shall have terms and
conditions meeting the requirements of Section 16-115(d)(5) of
the Public Utilities Act, and (iii) in case of a gas utility,
an agreement between the owner of a clean coal SNG brownfield
facility and the gas utility, which agreement shall have the
terms and conditions meeting the requirements of subsection
(h-1) of Section 9-220 of the Public Utilities Act.
"Strike price" means a contract price for energy and

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renewable energy credits from a new utility-scale wind project
or a new utility-scale photovoltaic project.
"Subscriber" means a person who (i) takes delivery service
from an electric utility, and (ii) has a subscription of no
less than 200 watts to a community renewable generation
project that is located in the electric utility's service
area. No subscriber's subscriptions may total more than 40% of
the nameplate capacity of an individual community renewable
generation project. Entities that are affiliated by virtue of
a common parent shall not represent multiple subscriptions
that total more than 40% of the nameplate capacity of an
individual community renewable generation project.
"Subscription" means an interest in a community renewable
generation project expressed in kilowatts, which is sized
primarily to offset part or all of the subscriber's
electricity usage.
"Substitute natural gas" or "SNG" means a gas manufactured
by gasification of hydrocarbon feedstock, which is
substantially interchangeable in use and distribution with
conventional natural gas.
"Total resource cost test" or "TRC test" means a standard
that is met if, for an investment in energy efficiency or
demand-response measures, the benefit-cost ratio is greater
than one. The benefit-cost ratio is the ratio of the net
present value of the total benefits of the program to the net
present value of the total costs as calculated over the

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lifetime of the measures. A total resource cost test compares
the sum of avoided electric utility costs, representing the
benefits that accrue to the system and the participant in the
delivery of those efficiency measures and including avoided
costs associated with reduced use of natural gas or other
fuels, avoided costs associated with reduced water
consumption, and avoided costs associated with reduced
operation and maintenance costs, as well as other quantifiable
societal benefits, to the sum of all incremental costs of
end-use measures that are implemented due to the program
(including both utility and participant contributions), plus
costs to administer, deliver, and evaluate each demand-side
program, to quantify the net savings obtained by substituting
the demand-side program for supply resources. In calculating
avoided costs of power and energy that an electric utility
would otherwise have had to acquire, reasonable estimates
shall be included of financial costs likely to be imposed by
future regulations and legislation on emissions of greenhouse
gases. In discounting future societal costs and benefits for
the purpose of calculating net present values, a societal
discount rate based on actual, long-term Treasury bond yields
should be used. Notwithstanding anything to the contrary, the
TRC test shall not include or take into account a calculation
of market price suppression effects or demand reduction
induced price effects.
"Utility-scale solar project" means an electric generating

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facility that:
(1) generates electricity using photovoltaic cells;
and
(2) has a nameplate capacity that is greater than
5,000 2,000 kilowatts.
"Utility-scale wind project" means an electric generating
facility that:
(1) generates electricity using wind; and
(2) has a nameplate capacity that is greater than
5,000 2,000 kilowatts.
"Waste Heat to Power Systems" means systems that capture
and generate electricity from energy that would otherwise be
lost to the atmosphere without the use of additional fuel.
"Zero emission credit" means a tradable credit that
represents the environmental attributes of one megawatt hour
of energy produced from a zero emission facility.
"Zero emission facility" means a facility that: (1) is
fueled by nuclear power; and (2) is interconnected with PJM
Interconnection, LLC or the Midcontinent Independent System
Operator, Inc., or their successors.
(Source: P.A. 98-90, eff. 7-15-13; 99-906, eff. 6-1-17.)
(20 ILCS 3855/1-20)
Sec. 1-20. General powers and duties of the Agency.
(a) The Agency is authorized to do each of the following:
(1) Develop electricity procurement plans to ensure

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adequate, reliable, affordable, efficient, and
environmentally sustainable electric service at the lowest
total cost over time, taking into account any benefits of
price stability, for electric utilities that on December
31, 2005 provided electric service to at least 100,000
customers in Illinois and for small multi-jurisdictional
electric utilities that (A) on December 31, 2005 served
less than 100,000 customers in Illinois and (B) request a
procurement plan for their Illinois jurisdictional load.
Except as provided in paragraph (1.5) of this subsection
(a), the electricity procurement plans shall be updated on
an annual basis and shall include electricity generated
from renewable resources sufficient to achieve the
standards specified in this Act. Beginning with the
delivery year commencing June 1, 2017, develop procurement
plans to include zero emission credits generated from zero
emission facilities sufficient to achieve the standards
specified in this Act. Beginning with the delivery year
commencing on June 1, 2022, the Agency is authorized to
develop carbon mitigation credit procurement plans to
include carbon mitigation credits generated from
carbon-free energy resources sufficient to achieve the
standards specified in this Act.
(1.5) Develop a long-term renewable resources
procurement plan in accordance with subsection (c) of
Section 1-75 of this Act for renewable energy credits in

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amounts sufficient to achieve the standards specified in
this Act for delivery years commencing June 1, 2017 and
for the programs and renewable energy credits specified in
Section 1-56 of this Act. Electricity procurement plans
for delivery years commencing after May 31, 2017, shall
not include procurement of renewable energy resources.
(2) Conduct competitive procurement processes to
procure the supply resources identified in the electricity
procurement plan, pursuant to Section 16-111.5 of the
Public Utilities Act, and, for the delivery year
commencing June 1, 2017, conduct procurement processes to
procure zero emission credits from zero emission
facilities, under subsection (d-5) of Section 1-75 of this
Act. For the delivery year commencing June 1, 2022, the
Agency is authorized to conduct procurement processes to
procure carbon mitigation credits from carbon-free energy
resources, under subsection (d-10) of Section 1-75 of this
Act.
(2.5) Beginning with the procurement for the 2017
delivery year, conduct competitive procurement processes
and implement programs to procure renewable energy credits
identified in the long-term renewable resources
procurement plan developed and approved under subsection
(c) of Section 1-75 of this Act and Section 16-111.5 of the
Public Utilities Act.
(2.10) Oversee the procurement by electric utilities

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that served more than 300,000 customers in this State as
of January 1, 2019 of renewable energy credits from new
renewable energy facilities to be installed, along with
energy storage facilities, at or adjacent to the sites of
electric generating facilities that burned coal as their
primary fuel source as of January 1, 2016 in accordance
with subsection (c-5) of Section 1-75 of this Act.
(3) Develop electric generation and co-generation
facilities that use indigenous coal or renewable
resources, or both, financed with bonds issued by the
Illinois Finance Authority.
(4) Supply electricity from the Agency's facilities at
cost to one or more of the following: municipal electric
systems, governmental aggregators, or rural electric
cooperatives in Illinois.
(b) Except as otherwise limited by this Act, the Agency
has all of the powers necessary or convenient to carry out the
purposes and provisions of this Act, including without
limitation, each of the following:
(1) To have a corporate seal, and to alter that seal at
pleasure, and to use it by causing it or a facsimile to be
affixed or impressed or reproduced in any other manner.
(2) To use the services of the Illinois Finance
Authority necessary to carry out the Agency's purposes.
(3) To negotiate and enter into loan agreements and
other agreements with the Illinois Finance Authority.

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(4) To obtain and employ personnel and hire
consultants that are necessary to fulfill the Agency's
purposes, and to make expenditures for that purpose within
the appropriations for that purpose.
(5) To purchase, receive, take by grant, gift, devise,
bequest, or otherwise, lease, or otherwise acquire, own,
hold, improve, employ, use, and otherwise deal in and
with, real or personal property whether tangible or
intangible, or any interest therein, within the State.
(6) To acquire real or personal property, whether
tangible or intangible, including without limitation
property rights, interests in property, franchises,
obligations, contracts, and debt and equity securities,
and to do so by the exercise of the power of eminent domain
in accordance with Section 1-21; except that any real
property acquired by the exercise of the power of eminent
domain must be located within the State.
(7) To sell, convey, lease, exchange, transfer,
abandon, or otherwise dispose of, or mortgage, pledge, or
create a security interest in, any of its assets,
properties, or any interest therein, wherever situated.
(8) To purchase, take, receive, subscribe for, or
otherwise acquire, hold, make a tender offer for, vote,
employ, sell, lend, lease, exchange, transfer, or
otherwise dispose of, mortgage, pledge, or grant a
security interest in, use, and otherwise deal in and with,

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bonds and other obligations, shares, or other securities
(or interests therein) issued by others, whether engaged
in a similar or different business or activity.
(9) To make and execute agreements, contracts, and
other instruments necessary or convenient in the exercise
of the powers and functions of the Agency under this Act,
including contracts with any person, including personal
service contracts, or with any local government, State
agency, or other entity; and all State agencies and all
local governments are authorized to enter into and do all
things necessary to perform any such agreement, contract,
or other instrument with the Agency. No such agreement,
contract, or other instrument shall exceed 40 years.
(10) To lend money, invest and reinvest its funds in
accordance with the Public Funds Investment Act, and take
and hold real and personal property as security for the
payment of funds loaned or invested.
(11) To borrow money at such rate or rates of interest
as the Agency may determine, issue its notes, bonds, or
other obligations to evidence that indebtedness, and
secure any of its obligations by mortgage or pledge of its
real or personal property, machinery, equipment,
structures, fixtures, inventories, revenues, grants, and
other funds as provided or any interest therein, wherever
situated.
(12) To enter into agreements with the Illinois

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Finance Authority to issue bonds whether or not the income
therefrom is exempt from federal taxation.
(13) To procure insurance against any loss in
connection with its properties or operations in such
amount or amounts and from such insurers, including the
federal government, as it may deem necessary or desirable,
and to pay any premiums therefor.
(14) To negotiate and enter into agreements with
trustees or receivers appointed by United States
bankruptcy courts or federal district courts or in other
proceedings involving adjustment of debts and authorize
proceedings involving adjustment of debts and authorize
legal counsel for the Agency to appear in any such
proceedings.
(15) To file a petition under Chapter 9 of Title 11 of
the United States Bankruptcy Code or take other similar
action for the adjustment of its debts.
(16) To enter into management agreements for the
operation of any of the property or facilities owned by
the Agency.
(17) To enter into an agreement to transfer and to
transfer any land, facilities, fixtures, or equipment of
the Agency to one or more municipal electric systems,
governmental aggregators, or rural electric agencies or
cooperatives, for such consideration and upon such terms
as the Agency may determine to be in the best interest of

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the residents citizens of Illinois.
(18) To enter upon any lands and within any building
whenever in its judgment it may be necessary for the
purpose of making surveys and examinations to accomplish
any purpose authorized by this Act.
(19) To maintain an office or offices at such place or
places in the State as it may determine.
(20) To request information, and to make any inquiry,
investigation, survey, or study that the Agency may deem
necessary to enable it effectively to carry out the
provisions of this Act.
(21) To accept and expend appropriations.
(22) To engage in any activity or operation that is
incidental to and in furtherance of efficient operation to
accomplish the Agency's purposes, including hiring
employees that the Director deems essential for the
operations of the Agency.
(23) To adopt, revise, amend, and repeal rules with
respect to its operations, properties, and facilities as
may be necessary or convenient to carry out the purposes
of this Act, subject to the provisions of the Illinois
Administrative Procedure Act and Sections 1-22 and 1-35 of
this Act.
(24) To establish and collect charges and fees as
described in this Act.
(25) To conduct competitive gasification feedstock

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procurement processes to procure the feedstocks for the
clean coal SNG brownfield facility in accordance with the
requirements of Section 1-78 of this Act.
(26) To review, revise, and approve sourcing
agreements and mediate and resolve disputes between gas
utilities and the clean coal SNG brownfield facility
pursuant to subsection (h-1) of Section 9-220 of the
Public Utilities Act.
(27) To request, review and accept proposals, execute
contracts, purchase renewable energy credits and otherwise
dedicate funds from the Illinois Power Agency Renewable
Energy Resources Fund to create and carry out the
objectives of the Illinois Solar for All Program program
in accordance with Section 1-56 of this Act.
(28) To ensure Illinois residents and business benefit
from programs administered by the Agency and are properly
protected from any deceptive or misleading marketing
practices by participants in the Agency's programs and
procurements.
(c) In conducting the procurement of electricity or other
products, the Agency shall not procure any products or
services from persons or organizations that are in violation
of the Displaced Energy Workers Bill of Rights, as provided
under the Energy Community Reinvestment Act at the time of the
procurement event or fail to comply the labor standards
established in subparagraph (Q) of paragraph (1) of subsection

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(c) of Section 1-75.
(Source: P.A. 99-906, eff. 6-1-17.)
(20 ILCS 3855/1-35)
Sec. 1-35. Agency rules. The Agency shall adopt rules as
may be necessary and appropriate for the operation of the
Agency. In addition to other rules relevant to the operation
of the Agency, the Agency shall adopt rules that accomplish
each of the following:
(1) Establish procedures for monitoring the
administration of any contract administered directly or
indirectly by the Agency; except that the procedures shall
not extend to executed contracts between electric
utilities and their suppliers.
(2) If deemed necessary by the Agency, establish
Establish procedures for the recovery of costs incurred in
connection with the development and construction of a
facility should the Agency cancel a project, provided that
no such costs shall be passed on to public utilities or
their customers or paid from the Illinois Power Agency
Operations Fund.
(3) Implement accounting rules and a system of
accounts, in accordance with State law, permitting all
reporting (i) required by the State, (ii) required under
this Act, (iii) required by the Authority, or (iv)
required under the Public Utilities Act.

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The Agency shall not adopt any rules that infringe upon
the authority granted to the Commission.
(Source: P.A. 95-481, eff. 8-28-07.)
(20 ILCS 3855/1-56)
Sec. 1-56. Illinois Power Agency Renewable Energy
Resources Fund; Illinois Solar for All Program.
(a) The Illinois Power Agency Renewable Energy Resources
Fund is created as a special fund in the State treasury.
(b) The Illinois Power Agency Renewable Energy Resources
Fund shall be administered by the Agency as described in this
subsection (b), provided that the changes to this subsection
(b) made by this amendatory Act of the 99th General Assembly
shall not interfere with existing contracts under this
Section.
(1) The Illinois Power Agency Renewable Energy
Resources Fund shall be used to purchase renewable energy
credits according to any approved procurement plan
developed by the Agency prior to June 1, 2017.
(2) The Illinois Power Agency Renewable Energy
Resources Fund shall also be used to create the Illinois
Solar for All Program, which provides shall include
incentives for low-income distributed generation and
community solar projects, and other associated approved
expenditures. The objectives of the Illinois Solar for All
Program are to bring photovoltaics to low-income

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communities in this State in a manner that maximizes the
development of new photovoltaic generating facilities, to
create a long-term, low-income solar marketplace
throughout this State, to integrate, through interaction
with stakeholders, with existing energy efficiency
initiatives, and to minimize administrative costs. The
Illinois Solar for All Program shall be implemented in a
manner that seeks to minimize administrative costs, and
maximize efficiencies and synergies available through
coordination with similar initiatives, including the
Adjustable Block program described in subparagraphs (K)
through (M) of paragraph (1) of subsection (c) of Section
1-75, energy efficiency programs, job training programs,
and community action agencies. The Agency shall strive to
ensure that renewable energy credits procured through the
Illinois Solar for All Program and each of its subprograms
are purchased from projects across the breadth of
low-income and environmental justice communities in
Illinois, including both urban and rural communities, are
not concentrated in a few communities, and do not exclude
particular low-income or environmental justice
communities. The Agency shall include a description of its
proposed approach to the design, administration,
implementation and evaluation of the Illinois Solar for
All Program, as part of the long-term renewable resources
procurement plan authorized by subsection (c) of Section

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1-75 of this Act, and the program shall be designed to grow
the low-income solar market. The Agency or utility, as
applicable, shall purchase renewable energy credits from
the (i) photovoltaic distributed renewable energy
generation projects and (ii) community solar projects that
are procured under procurement processes authorized by the
long-term renewable resources procurement plans approved
by the Commission.
The Illinois Solar for All Program shall include the
program offerings described in subparagraphs (A) through
(E) (D) of this paragraph (2), which the Agency shall
implement through contracts with third-party providers
and, subject to appropriation, pay the approximate amounts
identified using monies available in the Illinois Power
Agency Renewable Energy Resources Fund. Each contract that
provides for the installation of solar facilities shall
provide that the solar facilities will produce energy and
economic benefits, at a level determined by the Agency to
be reasonable, for the participating low income customers.
The monies available in the Illinois Power Agency
Renewable Energy Resources Fund and not otherwise
committed to contracts executed under subsection (i) of
this Section, as well as, in the case of the programs
described under subparagraphs (A) through (E) of this
paragraph (2), funding authorized pursuant to subparagraph
(O) of paragraph (1) of subsection (c) of Section 1-75 of

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this Act, shall initially be allocated among the programs
described in this paragraph (2), as follows: 35% 22.5% of
these funds shall be allocated to programs described in
subparagraphs subparagraph (A) and (E) of this paragraph
(2), 40% 37.5% of these funds shall be allocated to
programs described in subparagraph (B) of this paragraph
(2), and 25% 15% of these funds shall be allocated to
programs described in subparagraph (C) of this paragraph
(2), and 25% of these funds, but in no event more than
$50,000,000, shall be allocated to programs described in
subparagraph (D) of this paragraph (2). The allocation of
funds among subparagraphs (A), (B), or (C), and (E) of
this paragraph (2) may be changed if the Agency, after
receiving input through a stakeholder process, or
administrator, through delegated authority, determines
incentives in subparagraphs (A), (B), or (C), or (E) of
this paragraph (2) have not been adequately subscribed to
fully utilize available Illinois Solar for All Program
funds the Illinois Power Agency Renewable Energy Resources
Fund. The determination shall include input through a
stakeholder process. The program offerings described in
subparagraphs (A) through (D) of this paragraph (2) shall
also be implemented through contracts funded from such
additional amounts as are allocated to one or more of the
programs in the long-term renewable resources procurement
plans as specified in subsection (c) of Section 1-75 of

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this Act and subparagraph (O) of paragraph (1) of such
subsection (c).
Contracts that will be paid with funds in the Illinois
Power Agency Renewable Energy Resources Fund shall be
executed by the Agency. Contracts that will be paid with
funds collected by an electric utility shall be executed
by the electric utility.
Contracts under the Illinois Solar for All Program
shall include an approach, as set forth in the long-term
renewable resources procurement plans, to ensure the
wholesale market value of the energy is credited to
participating low-income customers or organizations and to
ensure tangible economic benefits flow directly to program
participants, except in the case of low-income
multi-family housing where the low-income customer does
not directly pay for energy. Priority shall be given to
projects that demonstrate meaningful involvement of
low-income community members in designing the initial
proposals. Acceptable proposals to implement projects must
demonstrate the applicant's ability to conduct initial
community outreach, education, and recruitment of
low-income participants in the community. Projects must
include job training opportunities if available, with the
specific level of trainee usage to be determined through
the Agency's long-term renewable resources procurement
plan, and the Illinois Solar for All Program Administrator

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shall endeavor to coordinate with the job training
programs described in paragraph (1) of subsection (a) of
Section 16-108.12 of the Public Utilities Act and in the
Energy Transition Act.
The Agency shall make every effort to ensure that
small and emerging businesses, particularly those located
in low-income and environmental justice communities, are
able to participate in the Illinois Solar for All Program.
These efforts may include, but shall not be limited to,
proactive support from the program administrator,
different or preferred access to subprograms and
administrator-identified customers or grassroots
education provider-identified customers, and different
incentive levels. The Agency shall report on progress and
barriers to participation of small and emerging businesses
in the Illinois Solar for All Program at least once a year.
The report shall be made available on the Agency's website
and, in years when the Agency is updating its long-term
renewable resources procurement plan, included in that
Plan.
(A) Low-income single-family and small multifamily
solar distributed generation incentive. This program
will provide incentives to low-income customers,
either directly or through solar providers, to
increase the participation of low-income households in
photovoltaic on-site distributed generation at

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residential buildings containing one to 4 units.
Companies participating in this program that install
solar panels shall commit to hiring job trainees for a
portion of their low-income installations, and an
administrator shall facilitate partnering the
companies that install solar panels with entities that
provide solar panel installation job training. It is a
goal of this program that a minimum of 25% of the
incentives for this program be allocated to projects
located within environmental justice communities.
Contracts entered into under this paragraph may be
entered into with an entity that will develop and
administer the program and shall also include
contracts for renewable energy credits from the
photovoltaic distributed generation that is the
subject of the program, as set forth in the long-term
renewable resources procurement plan. Additionally:
(i) The Agency shall reserve a portion of this
program for projects that promote energy
sovereignty through ownership of projects by
low-income households, not-for-profit
organizations providing services to low-income
households, affordable housing owners, community
cooperatives, or community-based limited liability
companies providing services to low-income
households. Projects that feature energy ownership

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should ensure that local people have control of
the project and reap benefits from the project
over and above energy bill savings. The Agency may
consider the inclusion of projects that promote
ownership over time or that involve partial
project ownership by communities, as promoting
energy sovereignty. Incentives for projects that
promote energy sovereignty may be higher than
incentives for equivalent projects that do not
promote energy sovereignty under this same
program.
(ii) Through its long-term renewable resources
procurement plan, the Agency shall consider
additional program and contract requirements to
ensure faithful compliance by applicants
benefiting from preferences for projects
designated to promote energy sovereignty. The
Agency shall make every effort to enable solar
providers already participating in the Adjustable
Block-Program under subparagraph (K) of paragraph
(1) of subsection (c) of Section 1-75 of this Act,
and particularly solar providers developing
projects under item (i) of subparagraph (K) of
paragraph (1) of subsection (c) of Section 1-75 of
this Act to easily participate in the Low-Income
Distributed Generation Incentive program described

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under this subparagraph (A), and vice versa. This
effort may include, but shall not be limited to,
utilizing similar or the same application systems
and processes, similar or the same forms and
formats of communication, and providing active
outreach to companies participating in one program
but not the other. The Agency shall report on
efforts made to encourage this cross-participation
in its long-term renewable resources procurement
plan.
(B) Low-Income Community Solar Project Initiative.
Incentives shall be offered to low-income customers,
either directly or through developers, to increase the
participation of low-income subscribers of community
solar projects. The developer of each project shall
identify its partnership with community stakeholders
regarding the location, development, and participation
in the project, provided that nothing shall preclude a
project from including an anchor tenant that does not
qualify as low-income. Companies participating in this
program that develop or install solar projects shall
commit to hiring job trainees for a portion of their
low-income installations, and an administrator shall
facilitate partnering the companies that install solar
projects with entities that provide solar installation
and related job training. Incentives should also be

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offered to community solar projects that are 100%
low-income subscriber owned, which includes low-income
households, not-for-profit organizations, and
affordable housing owners. It is a goal of this
program that a minimum of 25% of the incentives for
this program be allocated to community photovoltaic
projects in environmental justice communities. The
Agency shall reserve a portion of this program for
projects that promote energy sovereignty through
ownership of projects by low-income households,
not-for-profit organizations providing services to
low-income households, affordable housing owners, or
community-based limited liability companies providing
services to low-income households. Projects that
feature energy ownership should ensure that local
people have control of the project and reap benefits
from the project over and above energy bill savings.
The Agency may consider the inclusion of projects that
promote ownership over time or that involve partial
project ownership by communities, as promoting energy
sovereignty. Incentives for projects that promote
energy sovereignty may be higher than incentives for
equivalent projects that do not promote energy
sovereignty under this same program. Contracts entered
into under this paragraph may be entered into with
developers and shall also include contracts for

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renewable energy credits related to the program.
(C) Incentives for non-profits and public
facilities. Under this program funds shall be used to
support on-site photovoltaic distributed renewable
energy generation devices to serve the load associated
with not-for-profit customers and to support
photovoltaic distributed renewable energy generation
that uses photovoltaic technology to serve the load
associated with public sector customers taking service
at public buildings. Companies participating in this
program that develop or install solar projects shall
commit to hiring job trainees for a portion of their
low-income installations, and an administrator shall
facilitate partnering the companies that install solar
projects with entities that provide solar installation
and related job training. Through its long-term
renewable resources procurement plan, the Agency shall
consider additional program and contract requirements
to ensure faithful compliance by applicants benefiting
from preferences for projects designated to promote
energy sovereignty. It is a goal of this program that
at least 25% of the incentives for this program be
allocated to projects located in environmental justice
communities. Contracts entered into under this
paragraph may be entered into with an entity that will
develop and administer the program or with developers

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and shall also include contracts for renewable energy
credits related to the program.
(D) (Blank). Low-Income Community Solar Pilot
Projects. Under this program, persons, including, but
not limited to, electric utilities, shall propose
pilot community solar projects. Community solar
projects proposed under this subparagraph (D) may
exceed 2,000 kilowatts in nameplate capacity, but the
amount paid per project under this program may not
exceed $20,000,000. Pilot projects must result in
economic benefits for the members of the community in
which the project will be located. The proposed pilot
project must include a partnership with at least one
community-based organization. Approved pilot projects
shall be competitively bid by the Agency, subject to
fair and equitable guidelines developed by the Agency.
Funding available under this subparagraph (D) may not
be distributed solely to a utility, and at least some
funds under this subparagraph (D) must include a
project partnership that includes community ownership
by the project subscribers. Contracts entered into
under this paragraph may be entered into with an
entity that will develop and administer the program or
with developers and shall also include contracts for
renewable energy credits related to the program. A
project proposed by a utility that is implemented

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under this subparagraph (D) shall not be included in
the utility's ratebase.
(E) Low-income large multifamily solar incentive.
This program shall provide incentives to low-income
customers, either directly or through solar providers,
to increase the participation of low-income households
in photovoltaic on-site distributed generation at
residential buildings with 5 or more units. Companies
participating in this program that develop or install
solar projects shall commit to hiring job trainees for
a portion of their low-income installations, and an
administrator shall facilitate partnering the
companies that install solar projects with entities
that provide solar installation and related job
training. It is a goal of this program that a minimum
of 25% of the incentives for this program be allocated
to projects located within environmental justice
communities. The Agency shall reserve a portion of
this program for projects that promote energy
sovereignty through ownership of projects by
low-income households, not-for-profit organizations
providing services to low-income households,
affordable housing owners, or community-based limited
liability companies providing services to low-income
households. Projects that feature energy ownership
should ensure that local people have control of the

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project and reap benefits from the project over and
above energy bill savings. The Agency may consider the
inclusion of projects that promote ownership over time
or that involve partial project ownership by
communities, as promoting energy sovereignty.
Incentives for projects that promote energy
sovereignty may be higher than incentives for
equivalent projects that do not promote energy
sovereignty under this same program. Contracts entered
into under this paragraph may be entered into with an
entity that will develop and administer the program
and shall include contracts for renewable energy
credits from the photovoltaic distributed generation
that is the subject of the program, as set forth in the
long-term renewable resources procurement plan.
The requirement that a qualified person, as defined in
paragraph (1) of subsection (i) of this Section, install
photovoltaic devices does not apply to the Illinois Solar
for All Program described in this subsection (b).
In addition to the programs outlined in paragraphs (A)
through (E), the Agency and other parties may propose
additional programs through the Long-Term Renewable
Resources Procurement Plan developed and approved under
paragraph (5) of subsection (b) of Section 16-111.5 of the
Public Utilities Act. Additional programs may target
market segments not specified above and may also include

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incentives targeted to increase the uptake of
nonphotovoltaic technologies by low-income customers,
including energy storage paired with photovoltaics, if the
Commission determines that the Illinois Solar for All
Program would provide greater benefits to the public
health and well-being of low-income residents through also
supporting that additional program versus supporting
programs already authorized.
(3) Costs associated with the Illinois Solar for All
Program and its components described in paragraph (2) of
this subsection (b), including, but not limited to, costs
associated with procuring experts, consultants, and the
program administrator referenced in this subsection (b)
and related incremental costs, costs related to income
verification and facilitating customer participation in
the program, and costs related to the evaluation of the
Illinois Solar for All Program, may be paid for using
monies in the Illinois Power Agency Renewable Energy
Resources Fund, and funds allocated pursuant to
subparagraph (O) of paragraph (1) of subsection (c) of
Section 1-75, but the Agency or program administrator
shall strive to minimize costs in the implementation of
the program. The Agency or contracting electric utility
shall purchase renewable energy credits from generation
that is the subject of a contract under subparagraphs (A)
through (E) (D) of this paragraph (2) of this subsection

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(b), and may pay for such renewable energy credits through
an upfront payment per installed kilowatt of nameplate
capacity paid once the device is interconnected at the
distribution system level of the interconnecting utility
and verified as is energized. Payments for renewable
energy credits The payment shall be in exchange for an
assignment of all renewable energy credits generated by
the system during the first 15 years of operation and
shall be structured to overcome barriers to participation
in the solar market by the low-income community. The
incentives provided for in this Section may be implemented
through the pricing of renewable energy credits where the
prices paid for the credits are higher than the prices
from programs offered under subsection (c) of Section 1-75
of this Act to account for the additional capital
necessary to successfully access targeted market segments
incentives. The Agency shall ensure collaboration with
community agencies, and allocate up to 5% of the funds
available under the Illinois Solar for All Program to
community-based groups to assist in grassroots education
efforts related to the Illinois Solar for All Program. The
Agency or contracting electric utility shall retire any
renewable energy credits purchased under from this program
and the credits shall count towards the obligation under
subsection (c) of Section 1-75 of this Act for the
electric utility to which the project is interconnected,

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if applicable.
The Agency shall direct that up to 5% of the funds
available under the Illinois Solar for All Program to
community-based groups and other qualifying organizations
to assist in community-driven education efforts related to
the Illinois Solar for All Program, including general
energy education, job training program outreach efforts,
and other activities deemed to be qualified by the Agency.
Grassroots education funding shall not be used to support
the marketing by solar project development firms and
organizations, unless such education provides equal
opportunities for all applicable firms and organizations.
(4) The Agency shall, consistent with the requirements
of this subsection (b), propose the Illinois Solar for All
Program terms, conditions, and requirements, including the
prices to be paid for renewable energy credits, and which
prices may be determined through a formula, through the
development, review, and approval of the Agency's
long-term renewable resources procurement plan described
in subsection (c) of Section 1-75 of this Act and Section
16-111.5 of the Public Utilities Act. In the course of the
Commission proceeding initiated to review and approve the
plan, including the Illinois Solar for All Program
proposed by the Agency, a party may propose an additional
low-income solar or solar incentive program, or
modifications to the programs proposed by the Agency, and

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the Commission may approve an additional program, or
modifications to the Agency's proposed program, if the
additional or modified program more effectively maximizes
the benefits to low-income customers after taking into
account all relevant factors, including, but not limited
to, the extent to which a competitive market for
low-income solar has developed. Following the Commission's
approval of the Illinois Solar for All Program, the Agency
or a party may propose adjustments to the program terms,
conditions, and requirements, including the price offered
to new systems, to ensure the long-term viability and
success of the program. The Commission shall review and
approve any modifications to the program through the plan
revision process described in Section 16-111.5 of the
Public Utilities Act.
(5) The Agency shall issue a request for
qualifications for a third-party program administrator or
administrators to administer all or a portion of the
Illinois Solar for All Program. The third-party program
administrator shall be chosen through a competitive bid
process based on selection criteria and requirements
developed by the Agency, including, but not limited to,
experience in administering low-income energy programs and
overseeing statewide clean energy or energy efficiency
services. If the Agency retains a program administrator or
administrators to implement all or a portion of the

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Illinois Solar for All Program, each administrator shall
periodically submit reports to the Agency and Commission
for each program that it administers, at appropriate
intervals to be identified by the Agency in its long-term
renewable resources procurement plan, provided that the
reporting interval is at least quarterly. The third-party
program administrator may be, but need not be, the same
administrator as for the Adjustable Block program
described in subparagraphs (K) through (M) of paragraph
(1) of subsection (c) of Section 1-75. The Agency, through
its long-term renewable resources procurement plan
approval process, shall also determine if individual
subprograms of the Illinois Solar for All Program are
better served by a different or separate Program
Administrator.
The third-party administrator's responsibilities
shall also include facilitating placement for graduates of
Illinois-based renewable energy-specific job training
programs, including the Clean Jobs Workforce Network
Program and the Illinois Climate Works Preapprenticeship
Program administered by the Department of Commerce and
Economic Opportunity and programs administered under
Section 16-108.12 of the Public Utilities Act. To increase
the uptake of trainees by participating firms, the
administrator shall also develop a web-based clearinghouse
for information available to both job training program

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graduates and firms participating, directly or indirectly,
in Illinois solar incentive programs. The program
administrator shall also coordinate its activities with
entities implementing electric and natural gas
income-qualified energy efficiency programs, including
customer referrals to and from such programs, and connect
prospective low-income solar customers with any existing
deferred maintenance programs where applicable.
(6) The long-term renewable resources procurement plan
shall also provide for an independent evaluation of the
Illinois Solar for All Program. At least every 2 years,
the Agency shall select an independent evaluator to review
and report on the Illinois Solar for All Program and the
performance of the third-party program administrator of
the Illinois Solar for All Program. The evaluation shall
be based on objective criteria developed through a public
stakeholder process. The process shall include feedback
and participation from Illinois Solar for All Program
stakeholders, including participants and organizations in
environmental justice and historically underserved
communities. The report shall include a summary of the
evaluation of the Illinois Solar for All Program based on
the stakeholder developed objective criteria. The report
shall include the number of projects installed; the total
installed capacity in kilowatts; the average cost per
kilowatt of installed capacity to the extent reasonably

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obtainable by the Agency; the number of jobs or job
opportunities created; economic, social, and environmental
benefits created; and the total administrative costs
expended by the Agency and program administrator to
implement and evaluate the program. The report shall be
delivered to the Commission and posted on the Agency's
website, and shall be used, as needed, to revise the
Illinois Solar for All Program. The Commission shall also
consider the results of the evaluation as part of its
review of the long-term renewable resources procurement
plan under subsection (c) of Section 1-75 of this Act.
(7) If additional funding for the programs described
in this subsection (b) is available under subsection (k)
of Section 16-108 of the Public Utilities Act, then the
Agency shall submit a procurement plan to the Commission
no later than September 1, 2018, that proposes how the
Agency will procure programs on behalf of the applicable
utility. After notice and hearing, the Commission shall
approve, or approve with modification, the plan no later
than November 1, 2018.
(8) As part of the development and update of the
long-term renewable resources procurement plan authorized
by subsection (c) of Section 1-75 of this Act, the Agency
shall plan for: (A) actions to refer customers from the
Illinois Solar for All Program to electric and natural gas
income-qualified energy efficiency programs, and vice

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versa, with the goal of increasing participation in both
of these programs; (B) effective procedures for data
sharing, as needed, to effectuate referrals between the
Illinois Solar for All Program and both electric and
natural gas income-qualified energy efficiency programs,
including sharing customer information directly with the
utilities, as needed and appropriate; and (C) efforts to
identify any existing deferred maintenance programs for
which prospective Solar for All Program customers may be
eligible and connect prospective customers for whom
deferred maintenance is or may be a barrier to solar
installation to those programs.
As used in this subsection (b), "low-income households"
means persons and families whose income does not exceed 80% of
area median income, adjusted for family size and revised every
5 years.
For the purposes of this subsection (b), the Agency shall
define "environmental justice community" based on the
methodologies and findings established by the Agency and the
Administrator for the Illinois Solar for All Program in its
initial long-term renewable resources procurement plan and as
updated by the Agency and the Administrator for the Illinois
Solar for All Program as part of the long-term renewable
resources procurement plan update development, to ensure, to
the extent practicable, compatibility with other agencies'
definitions and may, for guidance, look to the definitions

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used by federal, state, or local governments.
(b-5) After the receipt of all payments required by
Section 16-115D of the Public Utilities Act, no additional
funds shall be deposited into the Illinois Power Agency
Renewable Energy Resources Fund unless directed by order of
the Commission.
(b-10) After the receipt of all payments required by
Section 16-115D of the Public Utilities Act and payment in
full of all contracts executed by the Agency under subsections
(b) and (i) of this Section, if the balance of the Illinois
Power Agency Renewable Energy Resources Fund is under $5,000,
then the Fund shall be inoperative and any remaining funds and
any funds submitted to the Fund after that date, shall be
transferred to the Supplemental Low-Income Energy Assistance
Fund for use in the Low-Income Home Energy Assistance Program,
as authorized by the Energy Assistance Act.
(c) (Blank).
(d) (Blank).
(e) All renewable energy credits procured using monies
from the Illinois Power Agency Renewable Energy Resources Fund
shall be permanently retired.
(f) The selection of one or more third-party program
managers or administrators, the selection of the independent
evaluator, and the procurement processes described in this
Section are exempt from the requirements of the Illinois
Procurement Code, under Section 20-10 of that Code.

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(g) All disbursements from the Illinois Power Agency
Renewable Energy Resources Fund shall be made only upon
warrants of the Comptroller drawn upon the Treasurer as
custodian of the Fund upon vouchers signed by the Director or
by the person or persons designated by the Director for that
purpose. The Comptroller is authorized to draw the warrant
upon vouchers so signed. The Treasurer shall accept all
warrants so signed and shall be released from liability for
all payments made on those warrants.
(h) The Illinois Power Agency Renewable Energy Resources
Fund shall not be subject to sweeps, administrative charges,
or chargebacks, including, but not limited to, those
authorized under Section 8h of the State Finance Act, that
would in any way result in the transfer of any funds from this
Fund to any other fund of this State or in having any such
funds utilized for any purpose other than the express purposes
set forth in this Section.
(h-5) The Agency may assess fees to each bidder to recover
the costs incurred in connection with a procurement process
held under this Section. Fees collected from bidders shall be
deposited into the Renewable Energy Resources Fund.
(i) Supplemental procurement process.
(1) Within 90 days after the effective date of this
amendatory Act of the 98th General Assembly, the Agency
shall develop a one-time supplemental procurement plan
limited to the procurement of renewable energy credits, if

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

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

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

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parties to aggregate distributed renewable energy. These
third parties shall enter into and administer contracts
with individual distributed renewable energy generation
device owners. An individual distributed renewable energy
generation device owner shall have the ability to measure
the output of his or her distributed renewable energy
generation device.
In developing the supplemental procurement plan, the
Agency shall hold at least one workshop open to the public
within 90 days after the effective date of this amendatory
Act of the 98th General Assembly and shall consider any
comments made by stakeholders or the public. Upon
development of the supplemental procurement plan within
this 90-day period, copies of the supplemental procurement
plan shall be posted and made publicly available on the
Agency's and Commission's websites. All interested parties
shall have 14 days following the date of posting to
provide comment to the Agency on the supplemental
procurement plan. All comments submitted to the Agency
shall be specific, supported by data or other detailed
analyses, and, if objecting to all or a portion of the
supplemental procurement plan, accompanied by specific
alternative wording or proposals. All comments shall be
posted on the Agency's and Commission's websites. Within
14 days following the end of the 14-day review period, the
Agency shall revise the supplemental procurement plan as

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

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

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design, rules, protocols, and policy-related
matters;
(vii) consult with the procurement
administrator regarding the development and use of
benchmark criteria, standard form contracts,
credit policies, and bid documents; and
(viii) perform, with respect to the
supplemental procurement process, any other
procurement monitor duties specifically delineated
within subsection (i) of this Section.
(C) Solicitation, pre-qualification, and
registration of bidders. The procurement administrator
shall disseminate information to potential bidders to
promote a procurement event, notify potential bidders
that the procurement administrator may enter into a
post-bid price negotiation with bidders that meet the
applicable benchmarks, provide supply requirements,
and otherwise explain the competitive procurement
process. In addition to such other publication as the
procurement administrator determines is appropriate,
this information shall be posted on the Agency's and
the Commission's websites. The procurement
administrator shall also administer the
prequalification process, including evaluation of
credit worthiness, compliance with procurement rules,
and agreement to the standard form contract developed

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

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

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

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

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Illinois Power Agency Renewable Energy Resources Fund. The
Agency shall enter into an interagency agreement with the
Commission to reimburse the Commission for its costs
associated with the procurement monitor for the
supplemental procurement process.
(Source: P.A. 98-672, eff. 6-30-14; 99-906, eff. 6-1-17.)
(20 ILCS 3855/1-70)
Sec. 1-70. Agency officials.
(a) The Agency shall have a Director who meets the
qualifications specified in Section 5-222 of the Civil
Administrative Code of Illinois.
(b) Within the Illinois Power Agency, the Agency shall
establish a Planning and Procurement Bureau and may establish
a Resource Development Bureau. Each Bureau shall report to the
Director.
(c) The Chief of the Planning and Procurement Bureau shall
be appointed by the Director, at the Director's sole
discretion, and (i) shall have at least 5 years of direct
experience in electricity supply planning and procurement and
(ii) shall also hold an advanced degree in risk management,
law, business, or a related field.
(d) The Chief of the Resource Development Bureau may be
appointed by the Director and (i) shall have at least 5 years
of direct experience in electric generating project
development and (ii) shall also hold an advanced degree in

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economics, engineering, law, business, or a related field.
(e) For terms ending before December 31, 2019, the
Director shall receive an annual salary of $100,000 or as set
by the Executive Ethics Commission based on a review of
comparable State agency director salaries, whichever is
higher. No annual salary for the Director or a Bureau Chief
shall exceed the amount of salary set by law for the Governor
that is in effect on July 1 of that fiscal year. Compensation
Review Board, whichever is higher. For terms ending before
December 31, 2019, the Bureau Chiefs shall each receive an
annual salary of $85,000 or as set by the Compensation Review
Board, whichever is higher. For terms beginning after the
effective date of this amendatory Act of the 100th General
Assembly, the annual salaries for the Director and the Bureau
Chiefs shall be an amount equal to 15% more than the respective
position's annual salary as of December 31, 2018. The
calculation of the 2018 salary base for this adjustment shall
not include any cost of living adjustments, as authorized by
Senate Joint Resolution 192 of the 86th General Assembly, for
the period beginning July 1, 2009 to June 30, 2019. Beginning
July 1, 2019 and each July 1 thereafter, the Director and the
Bureau Chiefs shall receive an increase in salary based on a
cost of living adjustment as authorized by Senate Joint
Resolution 192 of the 86th General Assembly.
(f) The Director and Bureau Chiefs shall not, for 2 years
prior to appointment or for 2 years after he or she leaves his

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or her position, be employed by an electric utility,
independent power producer, power marketer, or alternative
retail electric supplier regulated by the Commission or the
Federal Energy Regulatory Commission.
(g) The Director and Bureau Chiefs are prohibited from:
(i) owning, directly or indirectly, 5% or more of the voting
capital stock of an electric utility, independent power
producer, power marketer, or alternative retail electric
supplier; (ii) being in any chain of successive ownership of
5% or more of the voting capital stock of any electric utility,
independent power producer, power marketer, or alternative
retail electric supplier; (iii) receiving any form of
compensation, fee, payment, or other consideration from an
electric utility, independent power producer, power marketer,
or alternative retail electric supplier, including legal fees,
consulting fees, bonuses, or other sums. These limitations do
not apply to any compensation received pursuant to a defined
benefit plan or other form of deferred compensation, provided
that the individual has otherwise severed all ties to the
utility, power producer, power marketer, or alternative retail
electric supplier. Through its long-term renewable resources
procurement plan, the Agency shall consider additional program
and contract requirements to ensure faithful compliance by
applicants benefiting from preferences for projects designated
to promote energy sovereignty.
(Source: P.A. 99-536, eff. 7-8-16; 100-1179, eff. 1-18-19.)

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(20 ILCS 3855/1-75)
Sec. 1-75. Planning and Procurement Bureau. The Planning
and Procurement Bureau has the following duties and
responsibilities:
(a) The Planning and Procurement Bureau shall each year,
beginning in 2008, develop procurement plans and conduct
competitive procurement processes in accordance with the
requirements of Section 16-111.5 of the Public Utilities Act
for the eligible retail customers of electric utilities that
on December 31, 2005 provided electric service to at least
100,000 customers in Illinois. Beginning with the delivery
year commencing on June 1, 2017, the Planning and Procurement
Bureau shall develop plans and processes for the procurement
of zero emission credits from zero emission facilities in
accordance with the requirements of subsection (d-5) of this
Section. Beginning on the effective date of this amendatory
Act of the 102nd General Assembly, the Planning and
Procurement Bureau shall develop plans and processes for the
procurement of carbon mitigation credits from carbon-free
energy resources in accordance with the requirements of
subsection (d-10) of this Section. The Planning and
Procurement Bureau shall also develop procurement plans and
conduct competitive procurement processes in accordance with
the requirements of Section 16-111.5 of the Public Utilities
Act for the eligible retail customers of small

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multi-jurisdictional electric utilities that (i) on December
31, 2005 served less than 100,000 customers in Illinois and
(ii) request a procurement plan for their Illinois
jurisdictional load. This Section shall not apply to a small
multi-jurisdictional utility until such time as a small
multi-jurisdictional utility requests the Agency to prepare a
procurement plan for their Illinois jurisdictional load. For
the purposes of this Section, the term "eligible retail
customers" has the same definition as found in Section
16-111.5(a) of the Public Utilities Act.
Beginning with the plan or plans to be implemented in the
2017 delivery year, the Agency shall no longer include the
procurement of renewable energy resources in the annual
procurement plans required by this subsection (a), except as
provided in subsection (q) of Section 16-111.5 of the Public
Utilities Act, and shall instead develop a long-term renewable
resources procurement plan in accordance with subsection (c)
of this Section and Section 16-111.5 of the Public Utilities
Act.
In accordance with subsection (c-5) of this Section, the
Planning and Procurement Bureau shall oversee the procurement
by electric utilities that served more than 300,000 retail
customers in this State as of January 1, 2019 of renewable
energy credits from new utility-scale solar projects to be
installed, along with energy storage facilities, at or
adjacent to the sites of electric generating facilities that,

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as of January 1, 2016, burned coal as their primary fuel
source.
(1) The Agency shall each year, beginning in 2008, as
needed, issue a request for qualifications for experts or
expert consulting firms to develop the procurement plans
in accordance with Section 16-111.5 of the Public
Utilities Act. In order to qualify an expert or expert
consulting firm must have:
(A) direct previous experience assembling
large-scale power supply plans or portfolios for
end-use customers;
(B) an advanced degree in economics, mathematics,
engineering, risk management, or a related area of
study;
(C) 10 years of experience in the electricity
sector, including managing supply risk;
(D) expertise in wholesale electricity market
rules, including those established by the Federal
Energy Regulatory Commission and regional transmission
organizations;
(E) expertise in credit protocols and familiarity
with contract protocols;
(F) adequate resources to perform and fulfill the
required functions and responsibilities; and
(G) the absence of a conflict of interest and
inappropriate bias for or against potential bidders or

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the affected electric utilities.
(2) The Agency shall each year, as needed, issue a
request for qualifications for a procurement administrator
to conduct the competitive procurement processes in
accordance with Section 16-111.5 of the Public Utilities
Act. In order to qualify an expert or expert consulting
firm must have:
(A) direct previous experience administering a
large-scale competitive procurement process;
(B) an advanced degree in economics, mathematics,
engineering, or a related area of study;
(C) 10 years of experience in the electricity
sector, including risk management experience;
(D) expertise in wholesale electricity market
rules, including those established by the Federal
Energy Regulatory Commission and regional transmission
organizations;
(E) expertise in credit and contract protocols;
(F) adequate resources to perform and fulfill the
required functions and responsibilities; and
(G) the absence of a conflict of interest and
inappropriate bias for or against potential bidders or
the affected electric utilities.
(3) The Agency shall provide affected utilities and
other interested parties with the lists of qualified
experts or expert consulting firms identified through the

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request for qualifications processes that are under
consideration to develop the procurement plans and to
serve as the procurement administrator. The Agency shall
also provide each qualified expert's or expert consulting
firm's response to the request for qualifications. All
information provided under this subparagraph shall also be
provided to the Commission. The Agency may provide by rule
for fees associated with supplying the information to
utilities and other interested parties. These parties
shall, within 5 business days, notify the Agency in
writing if they object to any experts or expert consulting
firms on the lists. Objections shall be based on:
(A) failure to satisfy qualification criteria;
(B) identification of a conflict of interest; or
(C) evidence of inappropriate bias for or against
potential bidders or the affected utilities.
The Agency shall remove experts or expert consulting
firms from the lists within 10 days if there is a
reasonable basis for an objection and provide the updated
lists to the affected utilities and other interested
parties. If the Agency fails to remove an expert or expert
consulting firm from a list, an objecting party may seek
review by the Commission within 5 days thereafter by
filing a petition, and the Commission shall render a
ruling on the petition within 10 days. There is no right of
appeal of the Commission's ruling.

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(4) The Agency shall issue requests for proposals to
the qualified experts or expert consulting firms to
develop a procurement plan for the affected utilities and
to serve as procurement administrator.
(5) The Agency shall select an expert or expert
consulting firm to develop procurement plans based on the
proposals submitted and shall award contracts of up to 5
years to those selected.
(6) The Agency shall select an expert or expert
consulting firm, with approval of the Commission, to serve
as procurement administrator based on the proposals
submitted. If the Commission rejects, within 5 days, the
Agency's selection, the Agency shall submit another
recommendation within 3 days based on the proposals
submitted. The Agency shall award a 5-year contract to the
expert or expert consulting firm so selected with
Commission approval.
(b) The experts or expert consulting firms retained by the
Agency shall, as appropriate, prepare procurement plans, and
conduct a competitive procurement process as prescribed in
Section 16-111.5 of the Public Utilities Act, to ensure
adequate, reliable, affordable, efficient, and environmentally
sustainable electric service at the lowest total cost over
time, taking into account any benefits of price stability, for
eligible retail customers of electric utilities that on
December 31, 2005 provided electric service to at least

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100,000 customers in the State of Illinois, and for eligible
Illinois retail customers of small multi-jurisdictional
electric utilities that (i) on December 31, 2005 served less
than 100,000 customers in Illinois and (ii) request a
procurement plan for their Illinois jurisdictional load.
(c) Renewable portfolio standard.
(1)(A) The Agency shall develop a long-term renewable
resources procurement plan that shall include procurement
programs and competitive procurement events necessary to
meet the goals set forth in this subsection (c). The
initial long-term renewable resources procurement plan
shall be released for comment no later than 160 days after
June 1, 2017 (the effective date of Public Act 99-906).
The Agency shall review, and may revise on an expedited
basis, the long-term renewable resources procurement plan
at least every 2 years, which shall be conducted in
conjunction with the procurement plan under Section
16-111.5 of the Public Utilities Act to the extent
practicable to minimize administrative expense. No later
than 120 days after the effective date of this amendatory
Act of the 102nd General Assembly, the Agency shall
release for comment a revision to the long-term renewable
resources procurement plan, updating elements of the most
recently approved plan as needed to comply with this
amendatory Act of the 102nd General Assembly, and any
long-term renewable resources procurement plan update

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published by the Agency but not yet approved by the
Illinois Commerce Commission shall be withdrawn. The
long-term renewable resources procurement plans shall be
subject to review and approval by the Commission under
Section 16-111.5 of the Public Utilities Act.
(B) Subject to subparagraph (F) of this paragraph (1),
the long-term renewable resources procurement plan shall
attempt to meet include the goals for procurement of
renewable energy credits at levels of to meet at least the
following overall percentages: 13% by the 2017 delivery
year; increasing by at least 1.5% each delivery year
thereafter to at least 25% by the 2025 delivery year;
increasing by at least 3% each delivery year thereafter to
at least 40% by the 2030 delivery year, and continuing at
no less than 40% 25% for each delivery year thereafter.
The Agency shall attempt to procure 50% by delivery year
2040. The Agency shall determine the annual increase
between delivery year 2030 and delivery year 2040, if any,
taking into account energy demand, other energy resources,
and other public policy goals. In the event of a conflict
between these goals and the new wind and new photovoltaic
procurement requirements described in items (i) through
(iii) of subparagraph (C) of this paragraph (1), the
long-term plan shall prioritize compliance with the new
wind and new photovoltaic procurement requirements
described in items (i) through (iii) of subparagraph (C)

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of this paragraph (1) over the annual percentage targets
described in this subparagraph (B). The Agency shall not
comply with the annual percentage targets described in
this subparagraph (B) by procuring renewable energy
credits that are unlikely to lead to the development of
new renewable resources.
For the delivery year beginning June 1, 2017, the
procurement plan shall attempt to include, subject to the
prioritization outlined in this subparagraph (B),
cost-effective renewable energy resources equal to at
least 13% of each utility's load for eligible retail
customers and 13% of the applicable portion of each
utility's load for retail customers who are not eligible
retail customers, which applicable portion shall equal 50%
of the utility's load for retail customers who are not
eligible retail customers on February 28, 2017.
For the delivery year beginning June 1, 2018, the
procurement plan shall attempt to include, subject to the
prioritization outlined in this subparagraph (B),
cost-effective renewable energy resources equal to at
least 14.5% of each utility's load for eligible retail
customers and 14.5% of the applicable portion of each
utility's load for retail customers who are not eligible
retail customers, which applicable portion shall equal 75%
of the utility's load for retail customers who are not
eligible retail customers on February 28, 2017.

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For the delivery year beginning June 1, 2019, and for
each year thereafter, the procurement plans shall attempt
to include, subject to the prioritization outlined in this
subparagraph (B), cost-effective renewable energy
resources equal to a minimum percentage of each utility's
load for all retail customers as follows: 16% by June 1,
2019; increasing by 1.5% each year thereafter to 25% by
June 1, 2025; and 25% by June 1, 2026; increasing by at
least 3% each delivery year thereafter to at least 40% by
the 2030 delivery year, and continuing at no less than 40%
for each delivery year thereafter. The Agency shall
attempt to procure 50% by delivery year 2040. The Agency
shall determine the annual increase between delivery year
2030 and delivery year 2040, if any, taking into account
energy demand, other energy resources, and other public
policy goals.
For each delivery year, the Agency shall first
recognize each utility's obligations for that delivery
year under existing contracts. Any renewable energy
credits under existing contracts, including renewable
energy credits as part of renewable energy resources,
shall be used to meet the goals set forth in this
subsection (c) for the delivery year.
(C) Of the renewable energy credits procured under
this subsection (c), at least 75% shall come from wind and
photovoltaic projects. The long-term renewable resources

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procurement plan described in subparagraph (A) of this
paragraph (1) shall include the procurement of renewable
energy credits from new projects in amounts equal to at
least the following:
(i) 10,000,000 renewable energy credits delivered
annually by the end of the 2021 delivery year, and
increasing ratably to reach 45,000,000 renewable
energy credits delivered annually from new wind and
solar projects by the end of delivery year 2030 such
that the goals in subparagraph (B) of this paragraph
(1) are met entirely by procurements of renewable
energy credits from new wind and photovoltaic
projects. Of By the end of the 2020 delivery year: At
least 2,000,000 renewable energy credits for each
delivery year shall come from new wind projects; and
At least 2,000,000 renewable energy credits for each
delivery year shall come from new photovoltaic
projects; of that amount, to the extent possible, the
Agency shall procure 45% from wind projects and 55%
from photovoltaic projects. Of the amount to be
procured from photovoltaic projects, the Agency shall
procure: at least 50% from solar photovoltaic projects
using the program outlined in subparagraph (K) of this
paragraph (1) from distributed renewable energy
generation devices or community renewable generation
projects; at least 47% 40% from utility-scale solar

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projects; at least 3% 2% from brownfield site
photovoltaic projects that are not community renewable
generation projects; and the remainder shall be
determined through the long-term planning process
described in subparagraph (A) of this paragraph (1).
In developing the long-term renewable resources
procurement plan, the Agency shall consider other
approaches, in addition to competitive procurements,
that can be used to procure renewable energy credits
from brownfield site photovoltaic projects and thereby
help return blighted or contaminated land to
productive use while enhancing public health and the
well-being of Illinois residents, including those in
environmental justice communities, as defined using
existing methodologies and findings used by the Agency
and its Administrator in its Illinois Solar for All
Program.
(ii) In any given delivery year, if forecasted
expenses are less than the maximum budget available
under subparagraph (E) of this paragraph (1), the
Agency shall continue to procure new renewable energy
credits until that budget is exhausted in the manner
outlined in item (i) of this subparagraph (C). By the
end of the 2025 delivery year:
At least 3,000,000 renewable energy credits
for each delivery year shall come from new wind

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projects; and
At least 3,000,000 renewable energy credits
for each delivery year shall come from new
photovoltaic projects; of that amount, to the
extent possible, the Agency shall procure: at
least 50% from solar photovoltaic projects using
the program outlined in subparagraph (K) of this
paragraph (1) from distributed renewable energy
devices or community renewable generation
projects; at least 40% from utility-scale solar
projects; at least 2% from brownfield site
photovoltaic projects that are not community
renewable generation projects; and the remainder
shall be determined through the long-term planning
process described in subparagraph (A) of this
paragraph (1).
(iii) By the end of the 2030 delivery year:
At least 4,000,000 renewable energy credits
for each delivery year shall come from new wind
projects; and
At least 4,000,000 renewable energy credits
for each delivery year shall come from new
photovoltaic projects; of that amount, to the
extent possible, the Agency shall procure: at
least 50% from solar photovoltaic projects using
the program outlined in subparagraph (K) of this

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paragraph (1) from distributed renewable energy
devices or community renewable generation
projects; at least 40% from utility-scale solar
projects; at least 2% from brownfield site
photovoltaic projects that are not community
renewable generation projects; and the remainder
shall be determined through the long-term planning
process described in subparagraph (A) of this
paragraph (1).
(iii) For purposes of this Section:
"New wind projects" means wind renewable energy
facilities that are energized after June 1, 2017 for
the delivery year commencing June 1, 2017 or within 3
years after the date the Commission approves contracts
for subsequent delivery years.
"New photovoltaic projects" means photovoltaic
renewable energy facilities that are energized after
June 1, 2017. Photovoltaic projects developed under
Section 1-56 of this Act shall not apply towards the
new photovoltaic project requirements in this
subparagraph (C).
For purposes of calculating whether the Agency has
procured enough new wind and solar renewable energy
credits required by this subparagraph (C), renewable
energy facilities that have a multi-year renewable
energy credit delivery contract with the utility

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through at least delivery year 2030 shall be
considered new, however no renewable energy credits
from contracts entered into before June 1, 2021 shall
be used to calculate whether the Agency has procured
the correct proportion of new wind and new solar
contracts described in this subparagraph (C) for
delivery year 2021 and thereafter.
(D) Renewable energy credits shall be cost effective.
For purposes of this subsection (c), "cost effective"
means that the costs of procuring renewable energy
resources do not cause the limit stated in subparagraph
(E) of this paragraph (1) to be exceeded and, for
renewable energy credits procured through a competitive
procurement event, do not exceed benchmarks based on
market prices for like products in the region. For
purposes of this subsection (c), "like products" means
contracts for renewable energy credits from the same or
substantially similar technology, same or substantially
similar vintage (new or existing), the same or
substantially similar quantity, and the same or
substantially similar contract length and structure.
Benchmarks shall reflect development, financing, or
related costs resulting from requirements imposed through
other provisions of State law, including, but not limited
to, requirements in subparagraphs (P) and (Q) of this
paragraph (1) and the Renewable Energy Facilities

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Agricultural Impact Mitigation Act. Confidential
benchmarks Benchmarks shall be developed by the
procurement administrator, in consultation with the
Commission staff, Agency staff, and the procurement
monitor and shall be subject to Commission review and
approval. If price benchmarks for like products in the
region are not available, the procurement administrator
shall establish price benchmarks based on publicly
available data on regional technology costs and expected
current and future regional energy prices. The benchmarks
in this Section shall not be used to curtail or otherwise
reduce contractual obligations entered into by or through
the Agency prior to June 1, 2017 (the effective date of
Public Act 99-906).
(E) For purposes of this subsection (c), the required
procurement of cost-effective renewable energy resources
for a particular year commencing prior to June 1, 2017
shall be measured as a percentage of the actual amount of
electricity (megawatt-hours) supplied by the electric
utility to eligible retail customers in the delivery year
ending immediately prior to the procurement, and, for
delivery years commencing on and after June 1, 2017, the
required procurement of cost-effective renewable energy
resources for a particular year shall be measured as a
percentage of the actual amount of electricity
(megawatt-hours) delivered by the electric utility in the

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delivery year ending immediately prior to the procurement,
to all retail customers in its service territory. For
purposes of this subsection (c), the amount paid per
kilowatthour means the total amount paid for electric
service expressed on a per kilowatthour basis. For
purposes of this subsection (c), the total amount paid for
electric service includes without limitation amounts paid
for supply, transmission, capacity, distribution,
surcharges, and add-on taxes.
Notwithstanding the requirements of this subsection
(c), the total of renewable energy resources procured
under the procurement plan for any single year shall be
subject to the limitations of this subparagraph (E). Such
procurement shall be reduced for all retail customers
based on the amount necessary to limit the annual
estimated average net increase due to the costs of these
resources included in the amounts paid by eligible retail
customers in connection with electric service to no more
than 4.25% the greater of 2.015% of the amount paid per
kilowatthour by those customers during the year ending May
31, 2009 2007 or the incremental amount per kilowatthour
paid for these resources in 2011. To arrive at a maximum
dollar amount of renewable energy resources to be procured
for the particular delivery year, the resulting per
kilowatthour amount shall be applied to the actual amount
of kilowatthours of electricity delivered, or applicable

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portion of such amount as specified in paragraph (1) of
this subsection (c), as applicable, by the electric
utility in the delivery year immediately prior to the
procurement to all retail customers in its service
territory. The calculations required by this subparagraph
(E) shall be made only once for each delivery year at the
time that the renewable energy resources are procured.
Once the determination as to the amount of renewable
energy resources to procure is made based on the
calculations set forth in this subparagraph (E) and the
contracts procuring those amounts are executed, no
subsequent rate impact determinations shall be made and no
adjustments to those contract amounts shall be allowed.
All costs incurred under such contracts shall be fully
recoverable by the electric utility as provided in this
Section.
(F) If the limitation on the amount of renewable
energy resources procured in subparagraph (E) of this
paragraph (1) prevents the Agency from meeting all of the
goals in this subsection (c), the Agency's long-term plan
shall prioritize compliance with the requirements of this
subsection (c) regarding renewable energy credits in the
following order:
(i) renewable energy credits under existing
contractual obligations as of June 1, 2021;
(i-5) funding for the Illinois Solar for All

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Program, as described in subparagraph (O) of this
paragraph (1);
(ii) renewable energy credits necessary to comply
with the new wind and new photovoltaic procurement
requirements described in items (i) through (iii) of
subparagraph (C) of this paragraph (1); and
(iii) renewable energy credits necessary to meet
the remaining requirements of this subsection (c).
(G) The following provisions shall apply to the
Agency's procurement of renewable energy credits under
this subsection (c):
(i) Notwithstanding whether a long-term renewable
resources procurement plan has been approved, the
Agency shall conduct an initial forward procurement
for renewable energy credits from new utility-scale
wind projects within 160 days after June 1, 2017 (the
effective date of Public Act 99-906). For the purposes
of this initial forward procurement, the Agency shall
solicit 15-year contracts for delivery of 1,000,000
renewable energy credits delivered annually from new
utility-scale wind projects to begin delivery on June
1, 2019, if available, but not later than June 1, 2021,
unless the project has delays in the establishment of
an operating interconnection with the applicable
transmission or distribution system as a result of the
actions or inactions of the transmission or

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

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majeure as outlined in the procurement contract, in
which case, not later than June 1, 2022. The Agency may
structure this initial procurement in one or more
discrete procurement events. Payments to suppliers of
renewable energy credits shall commence upon delivery.
Renewable energy credits procured under this initial
procurement shall be included in the Agency's
long-term plan and shall apply to all renewable energy
goals in this subsection (c).
(iii) Notwithstanding whether the Commission has
approved the periodic long-term renewable resources
procurement plan revision described in Section
16-111.5 of the Public Utilities Act, the Agency shall
conduct at least one subsequent forward procurement
for renewable energy credits from new utility-scale
wind projects, new utility-scale solar projects, and
new brownfield site photovoltaic projects within 240
days after the effective date of this amendatory Act
of the 102nd General Assembly in quantities necessary
to meet the requirements of subparagraph (C) of this
paragraph (1) through the delivery year beginning June
1, 2021. Subsequent forward procurements for
utility-scale wind projects shall solicit at least
1,000,000 renewable energy credits delivered annually
per procurement event and shall be planned, scheduled,
and designed such that the cumulative amount of

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renewable energy credits delivered from all new wind
projects in each delivery year shall not exceed the
Agency's projection of the cumulative amount of
renewable energy credits that will be delivered from
all new photovoltaic projects, including utility-scale
and distributed photovoltaic devices, in the same
delivery year at the time scheduled for wind contract
delivery.
(iv) Notwithstanding whether the Commission has
approved the periodic long-term renewable resources
procurement plan revision described in Section
16-111.5 of the Public Utilities Act, the Agency shall
open capacity for each category in the Adjustable
Block program within 90 days after the effective date
of this amendatory Act of the 102nd General Assembly
manner:
(1) The Agency shall open the first block of
annual capacity for the category described in item
(i) of subparagraph (K) of this paragraph (1). The
first block of annual capacity for item (i) shall
be for at least 75 megawatts of total nameplate
capacity. The price of the renewable energy credit
for this block of capacity shall be 4% less than
the price of the last open block in this category.
Projects on a waitlist shall be awarded contracts
first in the order in which they appear on the

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waitlist. Notwithstanding anything to the
contrary, for those renewable energy credits that
qualify and are procured under this subitem (1) of
this item (iv), the renewable energy credit
delivery contract value shall be paid in full,
based on the estimated generation during the first
15 years of operation, by the contracting
utilities at the time that the facility producing
the renewable energy credits is interconnected at
the distribution system level of the utility and
verified as energized and in compliance by the
Program Administrator. The electric utility shall
receive and retire all renewable energy credits
generated by the project for the first 15 years of
operation. Renewable energy credits generated by
the project thereafter shall not be transferred
under the renewable energy credit delivery
contract with the counterparty electric utility.
(2) The Agency shall open the first block of
annual capacity for the category described in item
(ii) of subparagraph (K) of this paragraph (1).
The first block of annual capacity for item (ii)
shall be for at least 75 megawatts of total
nameplate capacity.
(A) The price of the renewable energy
credit for any project on a waitlist for this

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category before the opening of this block
shall be 4% less than the price of the last
open block in this category. Projects on the
waitlist shall be awarded contracts first in
the order in which they appear on the
waitlist. Any projects that are less than or
equal to 25 kilowatts in size on the waitlist
for this capacity shall be moved to the
waitlist for paragraph (1) of this item (iv).
Notwithstanding anything to the contrary,
projects that were on the waitlist prior to
opening of this block shall not be required to
be in compliance with the requirements of
subparagraph (Q) of this paragraph (1) of this
subsection (c). Notwithstanding anything to
the contrary, for those renewable energy
credits procured from projects that were on
the waitlist for this category before the
opening of this block 20% of the renewable
energy credit delivery contract value, based
on the estimated generation during the first
15 years of operation, shall be paid by the
contracting utilities at the time that the
facility producing the renewable energy
credits is interconnected at the distribution
system level of the utility and verified as

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energized by the Program Administrator. The
remaining portion shall be paid ratably over
the subsequent 4-year period. The electric
utility shall receive and retire all renewable
energy credits generated by the project during
the first 15 years of operation. Renewable
energy credits generated by the project
thereafter shall not be transferred under the
renewable energy credit delivery contract with
the counterparty electric utility.
(B) The price of renewable energy credits
for any project not on the waitlist for this
category before the opening of the block shall
be determined and published by the Agency.
Projects not on a waitlist as of the opening
of this block shall be subject to the
requirements of subparagraph (Q) of this
paragraph (1), as applicable. Projects not on
a waitlist as of the opening of this block
shall be subject to the contract provisions
outlined in item (iii) of subparagraph (L) of
this paragraph (1). The Agency shall strive to
publish updated prices and an updated
renewable energy credit delivery contract as
quickly as possible.
(3) For opening the first 2 blocks of annual

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capacity for projects participating in item (iii)
of subparagraph (K) of paragraph (1) of subsection
(c), projects shall be selected exclusively from
those projects on the ordinal waitlists of
community renewable generation projects
established by the Agency based on the status of
those ordinal waitlists as of December 31, 2020,
and only those projects previously determined to
be eligible for the Agency's April 2019 community
solar project selection process.
The first 2 blocks of annual capacity for item
(iii) shall be for 250 megawatts of total
nameplate capacity, with both blocks opening
simultaneously under the schedule outlined in the
paragraphs below. Projects shall be selected as
follows:
(A) The geographic balance of selected
projects shall follow the Group classification
found in the Agency's Revised Long-Term
Renewable Resources Procurement Plan, with 70%
of capacity allocated to projects on the Group
B waitlist and 30% of capacity allocated to
projects on the Group A waitlist.
(B) Contract awards for waitlisted
projects shall be allocated proportionate to
the total nameplate capacity amount across

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both ordinal waitlists associated with that
applicant firm or its affiliates, subject to
the following conditions.
(i) Each applicant firm having a
waitlisted project eligible for selection
shall receive no less than 500 kilowatts
in awarded capacity across all groups, and
no approved vendor may receive more than
20% of each Group's waitlist allocation.
(ii) Each applicant firm, upon
receiving an award of program capacity
proportionate to its waitlisted capacity,
may then determine which waitlisted
projects it chooses to be selected for a
contract award up to that capacity amount.
(iii) Assuming all other program
requirements are met, applicant firms may
adjust the nameplate capacity of applicant
projects without losing waitlist
eligibility, so long as no project is
greater than 2,000 kilowatts in size.
(iv) Assuming all other program
requirements are met, applicant firms may
adjust the expected production associated
with applicant projects, subject to
verification by the Program Administrator.

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(C) After a review of affiliate
information and the current ordinal waitlists,
the Agency shall announce the nameplate
capacity award amounts associated with
applicant firms no later than 90 days after
the effective date of this amendatory Act of
the 102nd General Assembly.
(D) Applicant firms shall submit their
portfolio of projects used to satisfy those
contract awards no less than 90 days after the
Agency's announcement. The total nameplate
capacity of all projects used to satisfy that
portfolio shall be no greater than the
Agency's nameplate capacity award amount
associated with that applicant firm. An
applicant firm may decline, in whole or in
part, its nameplate capacity award without
penalty, with such unmet capacity rolled over
to the next block opening for project
selection under item (iii) of subparagraph (K)
of this subsection (c). Any projects not
included in an applicant firm's portfolio may
reapply without prejudice upon the next block
reopening for project selection under item
(iii) of subparagraph (K) of this subsection
(c).

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(E) The renewable energy credit delivery
contract shall be subject to the contract and
payment terms outlined in item (iv) of
subparagraph (L) of this subsection (c).
Contract instruments used for this
subparagraph shall contain the following
terms:
(i) Renewable energy credit prices
shall be fixed, without further adjustment
under any other provision of this Act or
for any other reason, at 10% lower than
prices applicable to the last open block
for this category, inclusive of any adders
available for achieving a minimum of 50%
of subscribers to the project's nameplate
capacity being residential or small
commercial customers with subscriptions of
below 25 kilowatts in size;
(ii) A requirement that a minimum of
50% of subscribers to the project's
nameplate capacity be residential or small
commercial customers with subscriptions of
below 25 kilowatts in size;
(iii) Permission for the ability of a
contract holder to substitute projects
with other waitlisted projects without

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penalty should a project receive a
non-binding estimate of costs to construct
the interconnection facilities and any
required distribution upgrades associated
with that project of greater than 30 cents
per watt AC of that project's nameplate
capacity. In developing the applicable
contract instrument, the Agency may
consider whether other circumstances
outside of the control of the applicant
firm should also warrant project
substitution rights.
The Agency shall publish a finalized
updated renewable energy credit delivery
contract developed consistent with these terms
and conditions no less than 30 days before
applicant firms must submit their portfolio of
projects pursuant to item (D).
(F) To be eligible for an award, the
applicant firm shall certify that not less
than prevailing wage, as determined pursuant
to the Illinois Prevailing Wage Act, was or
will be paid to employees who are engaged in
construction activities associated with a
selected project.
(4) The Agency shall open the first block of

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annual capacity for the category described in item
(iv) of subparagraph (K) of this paragraph (1).
The first block of annual capacity for item (iv)
shall be for at least 50 megawatts of total
nameplate capacity. Renewable energy credit prices
shall be fixed, without further adjustment under
any other provision of this Act or for any other
reason, at the price in the last open block in the
category described in item (ii) of subparagraph
(K) of this paragraph (1). Pricing for future
blocks of annual capacity for this category may be
adjusted in the Agency's second revision to its
Long-Term Renewable Resources Procurement Plan.
Projects in this category shall be subject to the
contract terms outlined in item (iv) of
subparagraph (L) of this paragraph (1).
(5) The Agency shall open the equivalent of 2
years of annual capacity for the category
described in item (v) of subparagraph (K) of this
paragraph (1). The first block of annual capacity
for item (v) shall be for at least 10 megawatts of
total nameplate capacity. Notwithstanding the
provisions of item (v) of subparagraph (K) of this
paragraph (1), for the purpose of this initial
block, the agency shall accept new project
applications intended to increase the diversity of

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areas hosting community solar projects, the
business models of projects, and the size of
projects, as described by the Agency in its
long-term renewable resources procurement plan
that is approved as of the effective date of this
amendatory Act of the 102nd General Assembly.
Projects in this category shall be subject to the
contract terms outlined in item (iii) of
subsection (L) of this paragraph (1).
(6) The Agency shall open the first blocks of
annual capacity for the category described in item
(vi) of subparagraph (K) of this paragraph (1),
with allocations of capacity within the block
generally matching the historical share of block
capacity allocated between the category described
in items (i) and (ii) of subparagraph (K) of this
paragraph (1). The first two blocks of annual
capacity for item (vi) shall be for at least 75
megawatts of total nameplate capacity. The price
of renewable energy credits for the blocks of
capacity shall be 4% less than the price of the
last open blocks in the categories described in
items (i) and (ii) of subparagraph (K) of this
paragraph (1). Pricing for future blocks of annual
capacity for this category may be adjusted in the
Agency's second revision to its Long-Term

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Renewable Resources Procurement Plan. Projects in
this category shall be subject to the applicable
contract terms outlined in items (ii) and (iii) of
subparagraph (L) of this paragraph (1). If, at any
time after the time set for delivery of renewable
energy credits pursuant to the initial
procurements in items (i) and (ii) of this
subparagraph (G), the cumulative amount of
renewable energy credits projected to be delivered
from all new wind projects in a given delivery
year exceeds the cumulative amount of renewable
energy credits projected to be delivered from all
new photovoltaic projects in that delivery year by
200,000 or more renewable energy credits, then the
Agency shall within 60 days adjust the procurement
programs in the long-term renewable resources
procurement plan to ensure that the projected
cumulative amount of renewable energy credits to
be delivered from all new wind projects does not
exceed the projected cumulative amount of
renewable energy credits to be delivered from all
new photovoltaic projects by 200,000 or more
renewable energy credits, provided that nothing in
this Section shall preclude the projected
cumulative amount of renewable energy credits to
be delivered from all new photovoltaic projects

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from exceeding the projected cumulative amount of
renewable energy credits to be delivered from all
new wind projects in each delivery year and
provided further that nothing in this item (iv)
shall require the curtailment of an executed
contract. The Agency shall update, on a quarterly
basis, its projection of the renewable energy
credits to be delivered from all projects in each
delivery year. Notwithstanding anything to the
contrary, the Agency may adjust the timing of
procurement events conducted under this
subparagraph (G). The long-term renewable
resources procurement plan shall set forth the
process by which the adjustments may be made.
(v) Upon the effective date of this amendatory Act
of the 102nd General Assembly, for all competitive
procurements and any procurements of renewable energy
credit from new utility-scale wind and new
utility-scale photovoltaic projects, the Agency shall
procure indexed renewable energy credits and direct
respondents to offer a strike price.
(1) The purchase price of the indexed
renewable energy credit payment shall be
calculated for each settlement period. That
payment, for any settlement period, shall be equal
to the difference resulting from subtracting the

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strike price from the index price for that
settlement period. If this difference results in a
negative number, the indexed REC counterparty
shall owe the seller the absolute value multiplied
by the quantity of energy produced in the relevant
settlement period. If this difference results in a
positive number, the seller shall owe the indexed
REC counterparty this amount multiplied by the
quantity of energy produced in the relevant
settlement period.
(2) Parties shall cash settle every month,
summing up all settlements (both positive and
negative, if applicable) for the prior month.
(3) To ensure funding in the annual budget
established under subparagraph (E) for indexed
renewable energy credit procurements for each year
of the term of such contracts, which must have a
minimum tenure of 20 calendar years, the
procurement administrator, Agency, Commission
staff, and procurement monitor shall quantify the
annual cost of the contract by utilizing an
industry-standard, third-party forward price curve
for energy at the appropriate hub or load zone,
including the estimated magnitude and timing of
the price effects related to federal carbon
controls. Each forward price curve shall contain a

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specific value of the forecasted market price of
electricity for each annual delivery year of the
contract. For procurement planning purposes, the
impact on the annual budget for the cost of
indexed renewable energy credits for each delivery
year shall be determined as the expected annual
contract expenditure for that year, equaling the
difference between (i) the sum across all relevant
contracts of the applicable strike price
multiplied by contract quantity and (ii) the sum
across all relevant contracts of the forward price
curve for the applicable load zone for that year
multiplied by contract quantity. The contracting
utility shall not assume an obligation in excess
of the estimated annual cost of the contracts for
indexed renewable energy credits. Forward curves
shall be revised on an annual basis as updated
forward price curves are released and filed with
the Commission in the proceeding approving the
Agency's most recent long-term renewable resources
procurement plan. If the expected contract spend
is higher or lower than the total quantity of
contracts multiplied by the forward price curve
value for that year, the forward price curve shall
be updated by the procurement administrator, in
consultation with the Agency, Commission staff,

10200SB0018sam001 - 363 - LRB102 12600 LNS 28802 a
and procurement monitors, using then-currently
available price forecast data and additional
budget dollars shall be obligated or reobligated
as appropriate.
(4) To ensure that indexed renewable energy
credit prices remain predictable and affordable,
the Agency may consider the institution of a price
collar on REC prices paid under indexed renewable
energy credit procurements establishing floor and
ceiling REC prices applicable to indexed REC
contract prices. Any price collars applicable to
indexed REC procurements shall be proposed by the
Agency through its long-term renewable resources
procurement plan.
(vi) (v) All procurements under this subparagraph
(G) shall comply with the geographic requirements in
subparagraph (I) of this paragraph (1) and shall
follow the procurement processes and procedures
described in this Section and Section 16-111.5 of the
Public Utilities Act to the extent practicable, and
these processes and procedures may be expedited to
accommodate the schedule established by this
subparagraph (G).
(H) The procurement of renewable energy resources for
a given delivery year shall be reduced as described in
this subparagraph (H) if an alternative retail electric

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

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shall notify the Agency and the applicable utility, no
later than February 28 of the year preceding the
applicable delivery year or 15 days after June 1, 2017
(the effective date of Public Act 99-906), whichever
is later, of its election under item (ii) of this
subparagraph (H) to supply renewable energy credits to
retail customers of the utility. Such election shall
identify the amount of renewable energy credits to be
supplied by the alternative retail electric supplier
to the utility's retail customers and the source of
the renewable energy credits identified in the
informational filing as described in item (i) of this
subparagraph (H), subject to the following
limitations:
For the delivery year beginning June 1, 2018,
the maximum amount of renewable energy credits to
be supplied by an alternative retail electric
supplier under this subparagraph (H) shall be 68%
multiplied by 25% multiplied by 14.5% multiplied
by the amount of metered electricity
(megawatt-hours) delivered by the alternative
retail electric supplier to Illinois retail
customers during the delivery year ending May 31,
2016.
For delivery years beginning June 1, 2019 and
each year thereafter, the maximum amount of

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renewable energy credits to be supplied by an
alternative retail electric supplier under this
subparagraph (H) shall be 68% multiplied by 50%
multiplied by 16% multiplied by the amount of
metered electricity (megawatt-hours) delivered by
the alternative retail electric supplier to
Illinois retail customers during the delivery year
ending May 31, 2016, provided that the 16% value
shall increase by 1.5% each delivery year
thereafter to 25% by the delivery year beginning
June 1, 2025, and thereafter the 25% value shall
apply to each delivery year.
For each delivery year, the total amount of
renewable energy credits supplied by all alternative
retail electric suppliers under this subparagraph (H)
shall not exceed 9% of the Illinois target renewable
energy credit quantity. The Illinois target renewable
energy credit quantity for the delivery year beginning
June 1, 2018 is 14.5% multiplied by the total amount of
metered electricity (megawatt-hours) delivered in the
delivery year immediately preceding that delivery
year, provided that the 14.5% shall increase by 1.5%
each delivery year thereafter to 25% by the delivery
year beginning June 1, 2025, and thereafter the 25%
value shall apply to each delivery year.
If the requirements set forth in items (i) through

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(iii) of this subparagraph (H) are met, the charges
that would otherwise be applicable to the retail
customers of the alternative retail electric supplier
under paragraph (6) of this subsection (c) for the
applicable delivery year shall be reduced by the ratio
of the quantity of renewable energy credits supplied
by the alternative retail electric supplier compared
to that supplier's target renewable energy credit
quantity. The supplier's target renewable energy
credit quantity for the delivery year beginning June
1, 2018 is 14.5% multiplied by the total amount of
metered electricity (megawatt-hours) delivered by the
alternative retail supplier in that delivery year,
provided that the 14.5% shall increase by 1.5% each
delivery year thereafter to 25% by the delivery year
beginning June 1, 2025, and thereafter the 25% value
shall apply to each delivery year.
On or before April 1 of each year, the Agency shall
annually publish a report on its website that
identifies the aggregate amount of renewable energy
credits supplied by alternative retail electric
suppliers under this subparagraph (H).
(I) The Agency shall design its long-term renewable
energy procurement plan to maximize the State's interest
in the health, safety, and welfare of its residents,
including but not limited to minimizing sulfur dioxide,

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nitrogen oxide, particulate matter and other pollution
that adversely affects public health in this State,
increasing fuel and resource diversity in this State,
enhancing the reliability and resiliency of the
electricity distribution system in this State, meeting
goals to limit carbon dioxide emissions under federal or
State law, and contributing to a cleaner and healthier
environment for the citizens of this State. In order to
further these legislative purposes, renewable energy
credits shall be eligible to be counted toward the
renewable energy requirements of this subsection (c) if
they are generated from facilities located in this State.
The Agency may qualify renewable energy credits from
facilities located in states adjacent to Illinois or
renewable energy credits associated with the electricity
generated by a utility-scale wind energy facility or
utility-scale photovoltaic facility and transmitted by a
qualifying direct current project described in subsection
(b-5) of Section 8-406 of the Public Utilities Act to a
delivery point on the electric transmission grid located
in this State or a state adjacent to Illinois, if the
generator demonstrates and the Agency determines that the
operation of such facility or facilities will help promote
the State's interest in the health, safety, and welfare of
its residents based on the public interest criteria
described above. For the purposes of this Section,

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renewable resources that are delivered via a high voltage
direct current converter station located in Illinois shall
be deemed generated in Illinois at the time and location
the energy is converted to alternating current by the high
voltage direct current converter station if the high
voltage direct current transmission line: (i) was
constructed with a project labor agreement; (ii) is
capable of transmitting electricity at 525kv; (iii) has an
Illinois converter station located and interconnected in
the region of the PJM Interconnection, LLC; (iv) does not
operate as a public utility; and (v) if the high voltage
direct current transmission line was energized after June
1, 2023. To ensure that the public interest criteria are
applied to the procurement and given full effect, the
Agency's long-term procurement plan shall describe in
detail how each public interest factor shall be considered
and weighted for facilities located in states adjacent to
Illinois.
(J) In order to promote the competitive development of
renewable energy resources in furtherance of the State's
interest in the health, safety, and welfare of its
residents, renewable energy credits shall not be eligible
to be counted toward the renewable energy requirements of
this subsection (c) if they are sourced from a generating
unit whose costs were being recovered through rates
regulated by this State or any other state or states on or

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after January 1, 2017. Each contract executed to purchase
renewable energy credits under this subsection (c) shall
provide for the contract's termination if the costs of the
generating unit supplying the renewable energy credits
subsequently begin to be recovered through rates regulated
by this State or any other state or states; and each
contract shall further provide that, in that event, the
supplier of the credits must return 110% of all payments
received under the contract. Amounts returned under the
requirements of this subparagraph (J) shall be retained by
the utility and all of these amounts shall be used for the
procurement of additional renewable energy credits from
new wind or new photovoltaic resources as defined in this
subsection (c). The long-term plan shall provide that
these renewable energy credits shall be procured in the
next procurement event.
Notwithstanding the limitations of this subparagraph
(J), renewable energy credits sourced from generating
units that are constructed, purchased, owned, or leased by
an electric utility as part of an approved project,
program, or pilot under Section 1-56 of this Act shall be
eligible to be counted toward the renewable energy
requirements of this subsection (c), regardless of how the
costs of these units are recovered. As long as a
generating unit or an identifiable portion of a generating
unit has not had and does not have its costs recovered

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through rates regulated by this State or any other state,
HVDC renewable energy credits associated with that
generating unit or identifiable portion thereof shall be
eligible to be counted toward the renewable energy
requirements of this subsection (c).
(K) The long-term renewable resources procurement plan
developed by the Agency in accordance with subparagraph
(A) of this paragraph (1) shall include an Adjustable
Block program for the procurement of renewable energy
credits from new photovoltaic projects that are
distributed renewable energy generation devices or new
photovoltaic community renewable generation projects. The
Adjustable Block program shall be generally designed to
provide for the steady, predictable, and sustainable
growth of new solar photovoltaic development in Illinois.
To this end, the Adjustable Block program shall provide a
transparent annual schedule of prices and quantities to
enable the photovoltaic market to scale up and for
renewable energy credit prices to adjust at a predictable
rate over time. The prices set by the Adjustable Block
program can be reflected as a set value or as the product
of a formula.
The Adjustable Block program shall include for each
category of eligible projects for each delivery year: a
single block of nameplate capacity, a price for renewable
energy credits within that block, and the terms and

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conditions for securing a spot on a waitlist once the
block is : a schedule of standard block purchase prices to
be offered; a series of steps, with associated nameplate
capacity and purchase prices that adjust from step to
step; and automatic opening of the next step as soon as the
nameplate capacity and available purchase prices for an
open step are fully committed or reserved. Except as
outlined below, the waitlist of projects in a given year
will carry over to apply to the subsequent year when
another block is opened. Only projects energized on or
after June 1, 2017 shall be eligible for the Adjustable
Block program. For each category for each delivery year
block group the Agency shall determine the number of
blocks, the amount of generation capacity in each block,
and the purchase price for each block, provided that the
purchase price provided and the total amount of generation
in all blocks for all categories block groups shall be
sufficient to meet the goals in this subsection (c). The
Agency shall strive to issue a single block sized to
provide for stability and market growth. The Agency shall
establish program eligibility requirements that ensure
that projects that enter the program are sufficiently
mature to indicate a demonstrable path to completion. The
Agency may periodically review its prior decisions
establishing the number of blocks, the amount of
generation capacity in each block, and the purchase price

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for each block, and may propose, on an expedited basis,
changes to these previously set values, including but not
limited to redistributing these amounts and the available
funds as necessary and appropriate, subject to Commission
approval as part of the periodic plan revision process
described in Section 16-111.5 of the Public Utilities Act.
The Agency may define different block sizes, purchase
prices, or other distinct terms and conditions for
projects located in different utility service territories
if the Agency deems it necessary to meet the goals in this
subsection (c).
The Adjustable Block program shall include at least
the following categories block groups in at least the
following amounts, which may be adjusted upon review by
the Agency and approval by the Commission as described in
this subparagraph (K):
(i) At least 20% 25% from distributed renewable
energy generation devices with a nameplate capacity of
no more than 25 10 kilowatts.
(ii) At least 20% 25% from distributed renewable
energy generation devices with a nameplate capacity of
more than 25 10 kilowatts and no more than 5,000 2,000
kilowatts. The Agency may create sub-categories within
this category to account for the differences between
projects for small commercial customers, large
commercial customers, and public or non-profit

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customers.
(iii) At least 30% 25% from photovoltaic community
renewable generation projects. Capacity for this
category for the first 2 delivery years after the
effective date of this amendatory Act of the 102nd
General Assembly shall be allocated to waitlist
projects as provided in paragraph (3) of item (iv) of
subparagraph (G). Starting in the third delivery year
after the effective date of this amendatory Act of the
102nd General Assembly or earlier if the Agency
determines there is additional capacity needed for to
meet previous delivery year requirements, the
following shall apply:
(1) the Agency shall select projects on a
first-come, first-serve basis, however the Agency
may suggest additional methods to prioritize
projects that are submitted at the same time;
(2) projects shall have subscriptions of 25 kW
or less for at least 50% of the facility's
nameplate capacity and the Agency shall price the
renewable energy credits with that as a factor;
(3) projects shall not be colocated with one
or more other community renewable generation
projects, as defined in the Agency's first revised
long-term renewable resources procurement plan
approved by the Commission on February 18, 2020,

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such that the aggregate nameplate capacity exceeds
5,000 kilowatts; and
(4) projects greater than 2 MW may not apply
until after the approval of the Agency's revised
Long-Term Renewable Resources Procurement Plan
after the effective date of this amendatory Act of
the 102nd General Assembly.
(iv) At least 15% from distributed renewable
generation devices or photovoltaic community renewable
generation projects installed at public schools. The
Agency may create subcategories within this category
to account for the differences between project size or
location. Projects located within environmental
justice communities or within Organizational Units
that fall within Tier 1 or Tier 2 shall be given
priority. Each of the Agency's periodic updates to its
long-term renewable resources procurement plan to
incorporate the procurement described in this
subparagraph (iv) shall also include the proposed
quantities or blocks, pricing, and contract terms
applicable to the procurement as indicated herein. In
each such update and procurement, the Agency shall set
the renewable energy credit price and establish
payment terms for the renewable energy credits
procured pursuant to this subparagraph (iv) that make
it feasible and affordable for public schools to

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install photovoltaic distributed renewable energy
devices on their premises, including, but not limited
to, those public schools subject to the prioritization
provisions of this subparagraph. For the purposes of
this item (iv):
"Environmental Justice Community" shall have the
same meaning set forth in the Agency's long-term
renewable resources procurement plan;
"Organization Unit", "Tier 1" and "Tier 2" shall
have the meanings set for in Section 18-8.15 of the
School Code;
"Public schools" shall have the meaning set forth
in Section 1-3 of the School Code.
(v) At least 5% from community-driven community
solar projects intended to provide more direct and
tangible connection and benefits to the communities
which they serve or in which they operate and,
additionally, to increase the variety of community
solar locations, models, and options in Illinois. As
part of its long-term renewable resources procurement
plan, the Agency shall develop selection criteria for
projects participating in this category. Nothing in
this Section shall preclude the Agency from creating a
selection process that maximizes community ownership
and community benefits in selecting projects to
receive renewable energy credits. Selection criteria

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shall include:
(1) community ownership or community
wealth-building;
(2) additional direct and indirect community
benefit, beyond project participation as a
subscriber, including, but not limited to,
economic, environmental, social, cultural, and
physical benefits;
(3) meaningful involvement in project
organization and development by community members
or nonprofit organizations or public entities
located in or serving the community;
(4) engagement in project operations and
management by nonprofit organizations, public
entities, or community members; and
(5) whether a project is developed in response
to a site-specific RFP developed by community
members or a nonprofit organization or public
entity located in or serving the community.
Selection criteria may also prioritize projects
that:
(1) are developed in collaboration with or to
provide complementary opportunities for the Clean
Jobs Workforce Network Program, the Illinois
Climate Works Preapprenticeship Program, the
Returning Residents Clean Jobs Training Program,

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the Clean Energy Contractor Incubator Program, or
the Clean Energy Primes Contractor Accelerator
Program;
(2) increase the diversity of locations of
community solar projects in Illinois, including by
locating in urban areas and population centers;
(3) are located in Equity Investment Eligible
Communities;
(4) are not greenfield projects;
(5) serve only local subscribers;
(6) have a nameplate capacity that does not
exceed 500 kW;
(7) are managed by an Energy Equity-Certified
Contractor, as defined in the Energy Equity
Eligible Contractor Registration Act, whose
initial certification is not more than 3 years old -
Energy Equity-Certified Contractors working
under a waiver or corrective action plan would not
be considered; or
(8) otherwise meaningfully advance the goals
of providing more direct and tangible connection
and benefits to the communities which they serve
or in which they operate and increasing the
variety of community solar locations, models, and
options in Illinois.
For the purposes of this item (v):

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"Community" means a social unit in which people
come together regularly to effect change; a social
unit in which participants are marked by a cooperative
spirit, a common purpose, or shared interests or
characteristics; or a space understood by its
residents to be delineated through geographic
boundaries or landmarks.
"Community benefit" means a range of services and
activities that provide affirmative, economic,
environmental, social, cultural, or physical value to
a community; or a mechanism that enables economic
development, high-quality employment, and education
opportunities for local workers and residents, or
formal monitoring and oversight structures such that
community members may ensure that those services and
activities respond to local knowledge and needs.
"Community ownership" means an arrangement in
which an electric generating facility is, or over time
will be, in significant part, owned collectively by
members of the community to which an electric
generating facility provides benefits; members of that
community participate in decisions regarding the
governance, operation, maintenance, and upgrades of
and to that facility; and members of that community
benefit from regular use of that facility.
Terms and guidance within these criteria that are

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not defined in this item (v) shall be defined by the
Agency, with stakeholder input, during the development
of the Agency's long-term renewable resources
procurement plan. The Agency shall develop regular
opportunities for projects to submit applications for
projects under this category, and develop selection
criteria that gives preference to projects that better
meet individual criteria as well as projects that
address a higher number of criteria.
(vi) At least 10% from distributed renewable
energy generation devices or photovoltaic community
renewable generation projects from applicants that are
equity eligible contractors. The Agency may create
subcategories within this category to account for the
differences between project size and type. The Agency
shall propose to increase this item over time to 40%
based on factors such as, but not limited to, the
number of equity eligible contractors and capacity
used in this item in previous delivery years.
The Agency shall propose a payment structure for
contracts executed pursuant to this paragraph under
which, upon a demonstration of qualification or need,
applicant firms are advanced capital disbursed after
contract execution but before the contracted project's
energization. The amount or percentage of capital
advanced prior to project energization shall be

10200SB0018sam001 - 381 - LRB102 12600 LNS 28802 a
sufficient to both cover any increase in development
costs resulting from prevailing wage requirements or
project-labor agreements, and designed to overcome
barriers in access to capital faced by Equity Eligible
Contractors. The amount or percentage of advanced
capital may vary by subcategory within this category
and by an applicant's demonstration of need, with such
levels to be established through the Long-Term
Renewable Resources Procurement Plan authorized under
subparagraph (A) of paragraph (1) of subsection (c) of
this Section.
Contracts developed featuring capital advanced
prior to a project's energization shall feature
provisions to ensure both the successful development
of applicant projects and the delivery of the
renewable energy credits for the full term of the
contract, including ongoing collateral requirements
and other provisions deemed necessary by the Agency,
and may include energization timelines longer than for
comparable project types. The percentage or amount of
capital advanced prior to project energization shall
not operate to increase the overall contract value,
however contracts executed under this subparagraph may
feature renewable energy credit prices higher than
those offered to similar projects participating in
other categories. Capital advanced prior to

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energization shall serve to reduce the ratable
payments made after energization under items (ii) and
(iii) of subparagraph (L) or payments made for each
renewable energy credit delivery under item (iv) of
subparagraph (L).
(vii) (iv) The remaining capacity 25% shall be
allocated as specified by the Agency in order to
respond to market demand the long-term renewable
resources procurement plan. The Agency shall allocate
any discretionary capacity prior to the beginning of
each delivery year.
To the extent there is uncontracted capacity from any
block in any of categories (i) through (vi) at the end of a
delivery year, the Agency shall redistribute that capacity
to one or more other categories giving priority to
categories with projects on a waitlist. The redistributed
capacity shall be added to the annual capacity in the
subsequent delivery year, and the price for renewable
energy credits shall be the price for the new delivery
year. Redistributed capacity shall not be considered
redistributed when determining whether the goals in this
subsection (K) have been met.
Notwithstanding anything to the contrary, as the
Agency increases the capacity in item (vi) to 40% over
time, the Agency may reduce the capacity of items (i)
through (v) proportionate to the capacity of the

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categories of projects in item (vi), to achieve a balance
of project types.
The Adjustable Block program shall be designed to
ensure that renewable energy credits are procured from
photovoltaic distributed renewable energy generation
devices and new photovoltaic community renewable energy
generation projects in diverse locations and are not
concentrated in a few regional geographic areas.
(L) Notwithstanding provisions for advancing capital
prior to project energization found in item (vi) of
subparagraph (K), the The procurement of photovoltaic
renewable energy credits under items (i) through (vi) (iv)
of subparagraph (K) of this paragraph (1) shall otherwise
be subject to the following contract and payment terms:
(i) (Blank). The Agency shall procure contracts of at
least 15 years in length.
(ii) For those renewable energy credits that
qualify and are procured under item (i) of
subparagraph (K) of this paragraph (1), and any
similar category projects that are procured under item
(vi) of subparagraph (K) of this paragraph (1) that
qualify and are procured under item (vi), the contract
length shall be 15 years. The renewable energy credit
delivery contract value purchase price shall be paid
in full, based on the estimated generation during the
first 15 years of operation, by the contracting

10200SB0018sam001 - 384 - LRB102 12600 LNS 28802 a
utilities at the time that the facility producing the
renewable energy credits is interconnected at the
distribution system level of the utility and verified
as energized and compliant by the Program
Administrator energized. The electric utility shall
receive and retire all renewable energy credits
generated by the project for the first 15 years of
operation. Renewable energy credits generated by the
project thereafter shall not be transferred under the
renewable energy credit delivery contract with the
counterparty electric utility.
(iii) For those renewable energy credits that
qualify and are procured under item (ii) and (v) (iii)
of subparagraph (K) of this paragraph (1) and any like
projects similar category that qualify and are
procured under item (vi), the contract length shall be
15 years. 15% any additional categories of distributed
generation included in the long-term renewable
resources procurement plan and approved by the
Commission, 20 percent of the renewable energy credit
delivery contract value, based on the estimated
generation during the first 15 years of operation,
purchase price shall be paid by the contracting
utilities at the time that the facility producing the
renewable energy credits is interconnected at the
distribution system level of the utility and verified

10200SB0018sam001 - 385 - LRB102 12600 LNS 28802 a
as energized and compliant by the Program
Administrator. The remaining portion shall be paid
ratably over the subsequent 6-year 4-year period. The
electric utility shall receive and retire all
renewable energy credits generated by the project for
the first 15 years of operation. Renewable energy
credits generated by the project thereafter shall not
be transferred under the renewable energy credit
delivery contract with the counterparty electric
utility.
(iv) For those renewable energy credits that
qualify and are procured under items (iii) and (iv) of
subparagraph (K) of this paragraph (1), and any like
projects that qualify and are procured under item
(vi), the renewable energy credit delivery contract
length shall be 20 years and shall be paid over the
delivery term, not to exceed during each delivery year
the contract price multiplied by the estimated annual
renewable energy credit generation amount. If
generation of renewable energy credits during a
delivery year exceeds the estimated annual generation
amount, the excess renewable energy credits shall be
carried forward to future delivery years and shall not
expire during the delivery term. If generation of
renewable energy credits during a delivery year,
including carried forward excess renewable energy

10200SB0018sam001 - 386 - LRB102 12600 LNS 28802 a
credits, if any, is less than the estimated annual
generation amount, payments during such delivery year
will not exceed the quantity generated plus the
quantity carried forward multiplied by the contract
price. The electric utility shall receive all
renewable energy credits generated by the project
during the first 20 years of operation and retire all
renewable energy credits paid for under this item (iv)
and return at the end of the delivery term all
renewable energy credits that were not paid for.
Renewable energy credits generated by the project
thereafter shall not be transferred under the
renewable energy credit delivery contract with the
counterparty electric utility. Notwithstanding the
preceding, for those projects participating under item
(iii) of subparagraph (K), the contract price for a
delivery year shall be based on subscription levels as
measured on the higher of the first business day of the
delivery year or the first business day 6 months after
the first business day of the delivery year.
Subscription of 90% of nameplate capacity or greater
shall be deemed to be fully subscribed for the
purposes of this item (iv). For projects receiving a
20-year delivery contract, REC prices shall be
adjusted downward for consistency with the incentive
levels previously determined to be necessary to

10200SB0018sam001 - 387 - LRB102 12600 LNS 28802 a
support projects under 15-year delivery contracts,
taking into consideration any additional new
requirements placed on the projects, including, but
not limited to, labor standards.
(v) (iv) Each contract shall include provisions to
ensure the delivery of the estimated quantity of
renewable energy credits and ongoing collateral
requirements and other provisions deemed appropriate
by the Agency for the full term of the contract.
(vi) (v) The utility shall be the counterparty to
the contracts executed under this subparagraph (L)
that are approved by the Commission under the process
described in Section 16-111.5 of the Public Utilities
Act. No contract shall be executed for an amount that
is less than one renewable energy credit per year.
(vii) (vi) If, at any time, approved applications
for the Adjustable Block program exceed funds
collected by the electric utility or would cause the
Agency to exceed the limitation described in
subparagraph (E) of this paragraph (1) on the amount
of renewable energy resources that may be procured,
then the Agency may shall consider future uncommitted
funds to be reserved for these contracts on a
first-come, first-served basis, with the delivery of
renewable energy credits required beginning at the
time that the reserved funds become available.

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(viii) (vii) Nothing in this Section shall require
the utility to advance any payment or pay any amounts
that exceed the actual amount of revenues anticipated
to be collected by the utility under paragraph (6) of
this subsection (c) and subsection (k) of Section
16-108 of the Public Utilities Act inclusive of
eligible funds collected in prior years and
alternative compliance payments for use by the
utility, and contracts executed under this Section
shall expressly incorporate this limitation.
(ix) Notwithstanding other requirements of this
subparagraph (L), no modification shall be required to
Adjustable Block program contracts if they were
already executed prior to the establishment, approval,
and implementation of new contract forms as a result
of this amendatory Act of the 102nd General Assembly.
(x) Contracts may be assignable, but only to
entities first deemed by the Agency to have met
program terms and requirements applicable to direct
program participation. In developing contracts for the
delivery of renewable energy credits, the Agency shall
be permitted to establish fees applicable to each
contract assignment.
(M) The Agency shall be authorized to retain one or
more experts or expert consulting firms to develop,
administer, implement, operate, and evaluate the

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Adjustable Block program described in subparagraph (K) of
this paragraph (1), and the Agency shall retain the
consultant or consultants in the same manner, to the
extent practicable, as the Agency retains others to
administer provisions of this Act, including, but not
limited to, the procurement administrator. The selection
of experts and expert consulting firms and the procurement
process described in this subparagraph (M) are exempt from
the requirements of Section 20-10 of the Illinois
Procurement Code, under Section 20-10 of that Code. The
Agency shall strive to minimize administrative expenses in
the implementation of the Adjustable Block program.
The Program Administrator may charge application fees
to participating firms to cover the cost of program
administration. Any application fee amounts shall
initially be determined through the long-term renewable
resources procurement plan, and modifications to any
application fee that deviate more than 25% from the
Commission's approved value must be approved by the
Commission as a long-term plan revision under Section
16-111.5 of the Public Utilities Act. The Agency shall
consider stakeholder feedback when making adjustments to
application fees and shall notify stakeholders in advance
of any planned changes.
In addition to covering the costs of program
administration, the Agency, in conjunction with its

10200SB0018sam001 - 390 - LRB102 12600 LNS 28802 a
Program Administrator, may also use the proceeds of such
fees charged to participating firms to support public
education and ongoing regional and national coordination
with nonprofit organizations, public bodies, and others
engaged in the implementation of renewable energy
incentive programs or similar initiatives. This work may
include developing papers and reports, hosting regional
and national conferences, and other work deemed necessary
by the Agency to position the State of Illinois as a
national leader in renewable energy incentive program
development and administration.
The Agency and its consultant or consultants shall
monitor block activity, share program activity with
stakeholders and conduct quarterly regularly scheduled
meetings to discuss program activity and market
conditions. If necessary, the Agency may make prospective
administrative adjustments to the Adjustable Block program
design, such as redistributing available funds or making
adjustments to purchase prices as necessary to achieve the
goals of this subsection (c). Program modifications to any
block price, capacity block, or other program element that
do not deviate from the Commission's approved value by
more than 10% 25% shall take effect immediately and are
not subject to Commission review and approval. Program
modifications to any block price, capacity block, or other
program element that deviate more than 10% 25% from the

10200SB0018sam001 - 391 - LRB102 12600 LNS 28802 a
Commission's approved value must be approved by the
Commission as a long-term plan amendment under Section
16-111.5 of the Public Utilities Act. The Agency shall
consider stakeholder feedback when making adjustments to
the Adjustable Block design and shall notify stakeholders
in advance of any planned changes.
The Agency and its program administrators for both the
Adjustable Block program and the Illinois Solar for All
Program, consistent with the requirements of this
subsection (c) and subsection (b) of Section 1-56 of this
Act, shall propose the Adjustable Block program terms,
conditions, and requirements, including the prices to be
paid for renewable energy credits, where applicable, and
requirements applicable to participating entities and
project applications, through the development, review, and
approval of the Agency's long-term renewable resources
procurement plan described in this subsection (c) and
paragraph (5) of subsection (b) of Section 16-111.5 of the
Public Utilities Act. Terms, conditions, and requirements
for program participation shall include the following:
(i) The Agency shall establish a registration
process for entities seeking to qualify for
program-administered incentive funding and establish
baseline qualifications for vendor approval. The
Agency must maintain a list of approved entities on
each program's website, and may revoke a vendor's

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ability to receive program-administered incentive
funding status upon a determination that the vendor
failed to comply with contract terms, the law, or
other program requirements.
(ii) The Agency shall establish program
requirements and the contract terms process to ensure
projects are properly installed and produce their
expected amounts of energy. Program requirements may
include on-site inspections and photo documentation of
projects under construction. The Agency may require
repairs, alterations, or additions to remedy any
material deficiencies discovered. Vendors who have a
disproportionately high number of deficient systems
may lose their eligibility to continue to receive
State-administered incentive funding through Agency
programs and procurements.
(iii) To discourage deceptive marketing or other
bad faith business practices, the Agency may require
direct program participants, including agents
operating on their behalf, to provide standardized
disclosures to a customer prior to that customer's
execution of a contract for the development of a
distributed generation system or a subscription to a
community solar project.
(iv) The Agency shall establish one or multiple
Consumer Complaints Centers to accept complaints

10200SB0018sam001 - 393 - LRB102 12600 LNS 28802 a
regarding businesses that participate in, or otherwise
benefit from, State-administered incentive funding
through Agency-administered programs. The Agency shall
maintain a public database of complaints with any
confidential or particularly sensitive information
redacted from public entries.
(v) Through a filing in the proceeding for the
approval of its long-term renewable energy resources
procurement plan, the Agency shall provide an annual
written report to the Illinois Commerce Commission
documenting the frequency and nature of complaints and
any enforcement actions taken in response to those
complaints.
(vi) The Agency shall schedule regular meetings
with representatives of the Office of the Attorney
General, the Illinois Commerce Commission, consumer
protection groups, and other interested stakeholders
to share relevant information about consumer
protection, project compliance, and complaints
received.
(vii) To the extent that complaints received
implicate the jurisdiction of the Office of the
Attorney General, the Illinois Commerce Commission, or
local, State, or federal law enforcement, the Agency
shall also refer complaints to those entities as
appropriate.

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(N) The long-term renewable resources procurement plan
required by this subsection (c) shall include a community
renewable generation program. The Agency shall establish
the terms, conditions, and program requirements for
photovoltaic community renewable generation projects with
a goal to expand renewable energy generating facility
access to a broader group of energy consumers, to ensure
robust participation opportunities for residential and
small commercial customers and those who cannot install
renewable energy on their own properties. Subject to
reasonable limitations, any Any plan approved by the
Commission shall allow subscriptions to community
renewable generation projects to be portable and
transferable. For purposes of this subparagraph (N),
"portable" means that subscriptions may be retained by the
subscriber even if the subscriber relocates or changes its
address within the same utility service territory; and
"transferable" means that a subscriber may assign or sell
subscriptions to another person within the same utility
service territory.
Through the development of its long-term renewable
resources procurement plan, the Agency may consider
whether community renewable generation projects utilizing
technologies other than photovoltaics should be supported
through State-administered incentive funding, and may
issue requests for information to gauge market demand.

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Electric utilities shall provide a monetary credit to
a subscriber's subsequent bill for service for the
proportional output of a community renewable generation
project attributable to that subscriber as specified in
Section 16-107.5 of the Public Utilities Act.
The Agency shall purchase renewable energy credits
from subscribed shares of photovoltaic community renewable
generation projects through the Adjustable Block program
described in subparagraph (K) of this paragraph (1) or
through the Illinois Solar for All Program described in
Section 1-56 of this Act. The electric utility shall
purchase any unsubscribed energy from community renewable
generation projects that are Qualifying Facilities ("QF")
under the electric utility's tariff for purchasing the
output from QFs under Public Utilities Regulatory Policies
Act of 1978.
The owners of and any subscribers to a community
renewable generation project shall not be considered
public utilities or alternative retail electricity
suppliers under the Public Utilities Act solely as a
result of their interest in or subscription to a community
renewable generation project and shall not be required to
become an alternative retail electric supplier by
participating in a community renewable generation project
with a public utility.
(O) For the delivery year beginning June 1, 2018, the

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long-term renewable resources procurement plan required by
this subsection (c) shall provide for the Agency to
procure contracts to continue offering the Illinois Solar
for All Program described in subsection (b) of Section
1-56 of this Act, and the contracts approved by the
Commission shall be executed by the utilities that are
subject to this subsection (c). The long-term renewable
resources procurement plan shall allocate up to
$50,000,000 5% of the funds available under the plan for
the applicable delivery year, or $10,000,000 per delivery
year, whichever is greater, to fund the programs, and the
plan shall determine the amount of funding to be
apportioned to the programs identified in subsection (b)
of Section 1-56 of this Act; provided that for the
delivery years beginning June 1, 2021, June 1, 2022, and
June 1, 2023, the long-term renewable resources
procurement plan may average the annual budgets over a
3-year period to account for program ramp-up. For for the
delivery years beginning June 1, 2017, June 1, 2021, and
June 1, 2024 2025, June 1, 2027, and June 1, 2030 and
additional the long-term renewable resources procurement
plan shall allocate 10% of the funds available under the
plan for the applicable delivery year, or $20,000,000 per
delivery year, whichever is greater, and $10,000,000 of
such funds in such year shall be provided to the
Department of Commerce and Economic Opportunity to

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implement the workforce development programs and reporting
as outlined in used by an electric utility that serves
more than 3,000,000 retail customers in the State to
implement a Commission-approved plan under Section
16-108.12 of the Public Utilities Act. In making the
determinations required under this subparagraph (O), the
Commission shall consider the experience and performance
under the programs and any evaluation reports. The
Commission shall also provide for an independent
evaluation of those programs on a periodic basis that are
funded under this subparagraph (O).
(P) All programs and procurements under this
subsection (c) shall be designed to encourage
participating projects to use a diverse and equitable
workforce and a diverse set of contractors, including
minority-owned businesses, disadvantaged businesses,
trade unions, graduates of any workforce training programs
administered under this Act, and small businesses.
The Agency shall develop a method to optimize
procurement of renewable energy credits from proposed
utility-scale projects that are located in communities
eligible to receive Energy Transition Community Grants
pursuant to Section 10-20 of the Energy Community
Reinvestment Act. If this requirement conflicts with other
provisions of law or the Agency determines that full
compliance with the requirements of this subparagraph (P)

10200SB0018sam001 - 398 - LRB102 12600 LNS 28802 a
would be unreasonably costly or administratively
impractical, the Agency is to propose alternative
approaches to achieve development of renewable energy
resources in communities eligible to receive Energy
Transition Community Grants pursuant to Section 10-20 of
the Energy Community Reinvestment Act or seek an exemption
from this requirement from the Commission.
(Q) Each facility listed in subitems (i) through
(viii) of item (1) of this subparagraph (Q) for which a
renewable energy credit delivery contract is signed after
the effective date of this amendatory Act of the 102nd
General Assembly is subject to the following requirements
through the Agency's long-term renewable resources
procurement plan:
(1) Each facility shall be subject to the
prevailing wage requirements included in the
Prevailing Wage Act. The Agency shall require
verification that all construction performed on the
facility by the renewable energy credit delivery
contract holder, its contractors, or its
subcontractors relating to construction of the
facility is performed by construction employees
receiving an amount for that work equal to or greater
than the general prevailing rate, as that term is
defined in Section 3 of the Prevailing Wage Act. For
purposes of this item (1), "house of worship" means

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property that is both (1) used exclusively by a
religious society or body of persons as a place for
religious exercise or religious worship and (2)
recognized as exempt from taxation pursuant to Section
15-40 of the Property Tax Code. This item (1) shall
apply to any the following:
(i) all new utility-scale wind projects;
(ii) all new utility-scale photovoltaic
projects;
(iii) all new brownfield photovoltaic
projects;
(iv) all new photovoltaic community renewable
energy facilities that qualify for item (iii) of
subparagraph (K) of this paragraph (1);
(v) all new community driven community
photovoltaic projects that qualify for item (v) of
subparagraph (K) of this paragraph (1);
(vi) all new photovoltaic distributed
renewable energy generation devices on schools
that qualify for item (iv) of subparagraph (K) of
this paragraph (1);
(vii) all new photovoltaic distributed
renewable energy generation devices that (1)
qualify for item (i) of subparagraph (K) of this
paragraph (1); (2) are not projects that serve
single-family or multi-family residential

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buildings; and (3) are not houses of worship where
the aggregate capacity including collocated
projects would not exceed 100 kilowatts;
(viii) all new photovoltaic distributed
renewable energy generation devices that (1)
qualify for item (ii) of subparagraph (K) of this
paragraph (1); (2) are not projects that serve
single-family or multi-family residential
buildings; and (3) are not houses of worship where
the aggregate capacity including collocated
projects would not exceed 100 kilowatts.
(2) Renewable energy credits procured from new
utility-scale wind projects, new utility-scale solar
projects, and new brownfield solar projects pursuant
to Agency procurement events occurring after the
effective date of this amendatory Act of the 102nd
General Assembly must be from facilities built by
general contractors that must enter into a project
labor agreement, as defined by this Act, prior to
construction. The project labor agreement shall be
filed with the Director in accordance with procedures
established by the Agency through its long-term
renewable resources procurement plan. Any information
submitted to the Agency in this item (2) shall be
considered commercially sensitive information. At a
minimum, the project labor agreement must provide the

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names, addresses, and occupations of the owner of the
plant and the individuals representing the labor
organization employees participating in the project
labor agreement consistent with the Project Labor
Agreements Act. The agreement must also specify the
terms and conditions as defined by this Act.
(3) It is the intent of this Section to ensure that
economic development occurs across Illinois
communities, that emerging businesses may grow, and
that there is improved access to the clean energy
economy by persons who have greater economic burdens
to success. The Agency shall take into consideration
the unique cost of compliance of this subparagraph (Q)
that might be borne by equity eligible contractors,
shall include such costs when determining the price of
renewable energy credits in the Adjustable Block
program, and shall take such costs into consideration
in a nondiscriminatory manner when comparing bids for
competitive procurements. The Agency shall consider
costs associated with compliance whether in the
development, financing, or construction of projects.
The Agency shall periodically review the assumptions
in these costs and may adjust prices, in compliance
with subparagraph (M) of this paragraph (1).
(R) In its long-term renewable resources procurement
plan, the Agency shall establish a self-direct renewable

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portfolio standard compliance program for eligible
self-direct customers that purchase renewable energy
credits from utility-scale wind and solar projects through
long-term agreements for purchase of renewable energy
credits as described in this Section. Such long-term
agreements may include the purchase of energy or other
products on a physical or financial basis and may involve
an alternative retail electric supplier as defined in
Section 16-102 of the Public Utilities Act. This program
shall take effect in the delivery year commencing June 1,
2023.
(1) For the purposes of this subparagraph:
"Eligible self-direct customer" means any retail
customers of an electric utility that serves 3,000,000
or more retail customers in the State and whose total
highest 30-minute demand was more than 10,000
kilowatts, or any retail customers of an electric
utility that serves less than 3,000,000 retail
customers but more than 500,000 retail customers in
the State and whose total highest 15-minute demand was
more than 10,000 kilowatts.
"Retail customer" has the meaning set forth in
Section 16-102 of the Public Utilities Act and
multiple retail customer accounts under the same
corporate parent may aggregate their account demands
to meet the 10,000 kilowatt threshold. The criteria

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for determining whether this subparagraph is
applicable to a retail customer shall be based on the
12 consecutive billing periods prior to the start of
the year in which the application is filed.
(2) For renewable energy credits to count toward
the self-direct renewable portfolio standard
compliance program, they must:
(i) qualify as renewable energy credits as
defined in Section 1-10 of this Act;
(ii) be sourced from one or more renewable
energy generating facilities that comply with the
geographic requirements as set forth in
subparagraph (I) of paragraph (1) of subsection
(c) as interpreted through the Agency's long-term
renewable resources procurement plan, or, where
applicable, the geographic requirements that
governed utility-scale renewable energy credits at
the time the eligible self-direct customer entered
into the applicable renewable energy credit
purchase agreement;
(iii) be procured through long-term contracts
with term lengths of at least 10 years either
directly with the renewable energy generating
facility or through a bundled power purchase
agreement, a virtual power purchase agreement, an
agreement between the renewable generating

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facility, an alternative retail electric supplier,
and the customer, or such other structure as is
permissible under this subparagraph (R);
(iv) be equivalent in volume to at least 40%
of the eligible self-direct customer's usage,
determined annually by the eligible self-direct
customer's usage during the previous delivery
year, measured to the nearest megawatt-hour;
(v) be retired by or on behalf of the large
energy customer;
(vi) be sourced from new utility-scale wind
projects or new utility-scale solar projects; and
(vii) if the contracts for renewable energy
credits are entered into after the effective date
of this amendatory Act of the 102nd General
Assembly, the new utility-scale wind projects or
new utility-scale solar projects must comply with
the requirements established in subparagraphs (P)
and (Q) of paragraph (1) of this subsection (c)
and subsection (c-10).
(3) The self-direct renewable portfolio standard
compliance program shall be designed to allow eligible
self-direct customers to procure new renewable energy
credits from new utility-scale wind projects or new
utility-scale photovoltaic projects. The Agency shall
annually determine the amount of utility-scale

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renewable energy credits it will include each year
from the self-direct renewable portfolio standard
compliance program, subject to receiving qualifying
applications. In making this determination, the Agency
shall evaluate publicly available analyses and studies
of the potential market size for utility-scale
renewable energy long-term purchase agreements by
commercial and industrial energy customers and make
that report publicly available. If demand for
participation in the self-direct renewable portfolio
standard compliance program exceeds availability, the
Agency shall ensure participation is evenly split
between commercial and industrial users to the extent
there is sufficient demand from both customer classes.
Each renewable energy credit procured pursuant to this
subparagraph (R) by a self-direct customer shall
reduce the total volume of renewable energy credits
the Agency is otherwise required to procure from new
utility-scale projects pursuant to subparagraph (C) of
paragraph (1) of this subsection (c) on behalf of
contracting utilities where the eligible self-direct
customer is located. The self-direct customer shall
file an annual compliance report with the Agency
pursuant to terms established by the Agency through
its long-term renewable resources procurement plan to
be eligible for participation in this program.

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Customers must provide the Agency with their most
recent electricity billing statements or other
information deemed necessary by the Agency to
demonstrate they are an eligible self-direct customer.
(4) The Commission shall approve a reduction in
the volumetric charges collected pursuant to Section
16-108 of the Public Utilities Act for approved
eligible self-direct customers equivalent to the
anticipated cost of renewable energy credit deliveries
under contracts for new utility-scale wind and new
utility-scale solar entered for each delivery year
after the large energy customer begins retiring
eligible new utility scale renewable energy credits
for self-compliance. The self-direct credit amount
shall be determined annually and is equal to the
estimated portion of the cost authorized by
subparagraph (E) of paragraph (1) of this subsection
(c) that supported the annual procurement of
utility-scale renewable energy credits in the prior
delivery year using a methodology described in the
long-term renewable resources procurement plan,
expressed on a per kilowatthour basis, and does not
include (i) costs associated with any contracts
entered into before the delivery year in which the
customer files the initial compliance report to be
eligible for participation in the self-direct program,

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and (ii) costs associated with procuring renewable
energy credits through existing and future contracts
through the Adjustable Block Program, subsection (c-5)
of this Section 1-75, and the Solar for All Program.
The Agency shall assist the Commission in determining
the current and future costs. The Agency must
determine the self-direct credit amount for new and
existing eligible self-direct customers and submit
this to the Commission in an annual compliance filing.
The Commission must approve the self-direct credit
amount by June 1, 2023 and June 1 of each delivery year
thereafter.
(5) Customers described in this subparagraph (R)
shall apply, on a form developed by the Agency, to the
Agency to be designated as a self-direct eligible
customer. Thereafter, application may be made not less
than 18 months before the filing date of the long-term
renewable resources procurement plan described in this
Act. At a minimum, such application shall contain the
following:
(i) the customer's certification that, at the
time of the customer's application, the customer
qualifies to be a self-direct eligible customer,
including documents demonstrating that
qualification;
(ii) the customer's certification that the

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customer has entered into or will enter into by
the beginning of the applicable procurement year,
one or more bilateral contracts for new wind
projects or new photovoltaic projects, including
supporting documentation;
(iii) certification that the contract or
contracts for new renewable energy resources are
long-term contracts with term lengths of at least
10 years, including supporting documentation;
(iv) certification of the quantities of
renewable energy credits that the customer will
purchase each year under such contract or
contracts, including supporting documentation;
(v) proof that the contract is sufficient to
produce renewable energy credits to be equivalent
in volume to at least 40% of the large energy
customer's usage from the previous delivery year,
measured to the nearest megawatt-hour; and
(vi) certification that the customer intends
to maintain the contract for the duration of the
length of the contract.
(6) If a customer receives the self-direct credit
but fails to properly procure and retire renewable
energy credits as required under this subparagraph
(R), the Commission, on petition from the Agency and
after notice and hearing, may direct such customer's

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utility to recover the cost of the wrongfully received
self-direct credits plus interest through an adder to
charges assessed pursuant to Section 16-108 of the
Public Utilities Act. Self-direct customers who
knowingly fail to properly procure and retire
renewable energy credits and do not notify the Agency
are ineligible for continued participation in the
self-direct renewable portfolio standard compliance
program.
(2) (Blank).
(3) (Blank).
(4) The electric utility shall retire all renewable
energy credits used to comply with the standard.
(5) Beginning with the 2010 delivery year and ending
June 1, 2017, an electric utility subject to this
subsection (c) shall apply the lesser of the maximum
alternative compliance payment rate or the most recent
estimated alternative compliance payment rate for its
service territory for the corresponding compliance period,
established pursuant to subsection (d) of Section 16-115D
of the Public Utilities Act to its retail customers that
take service pursuant to the electric utility's hourly
pricing tariff or tariffs. The electric utility shall
retain all amounts collected as a result of the
application of the alternative compliance payment rate or
rates to such customers, and, beginning in 2011, the

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utility shall include in the information provided under
item (1) of subsection (d) of Section 16-111.5 of the
Public Utilities Act the amounts collected under the
alternative compliance payment rate or rates for the prior
year ending May 31. Notwithstanding any limitation on the
procurement of renewable energy resources imposed by item
(2) of this subsection (c), the Agency shall increase its
spending on the purchase of renewable energy resources to
be procured by the electric utility for the next plan year
by an amount equal to the amounts collected by the utility
under the alternative compliance payment rate or rates in
the prior year ending May 31.
(6) The electric utility shall be entitled to recover
all of its costs associated with the procurement of
renewable energy credits under plans approved under this
Section and Section 16-111.5 of the Public Utilities Act.
These costs shall include associated reasonable expenses
for implementing the procurement programs, including, but
not limited to, the costs of administering and evaluating
the Adjustable Block program, through an automatic
adjustment clause tariff in accordance with subsection (k)
of Section 16-108 of the Public Utilities Act.
(7) Renewable energy credits procured from new
photovoltaic projects or new distributed renewable energy
generation devices under this Section after June 1, 2017
(the effective date of Public Act 99-906) must be procured

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from devices installed by a qualified person in compliance
with the requirements of Section 16-128A of the Public
Utilities Act and any rules or regulations adopted
thereunder.
In meeting the renewable energy requirements of this
subsection (c), to the extent feasible and consistent with
State and federal law, the renewable energy credit
procurements, Adjustable Block solar program, and
community renewable generation program shall provide
employment opportunities for all segments of the
population and workforce, including minority-owned and
female-owned business enterprises, and shall not,
consistent with State and federal law, discriminate based
on race or socioeconomic status.
(c-5) Procurement of renewable energy credits from new
renewable energy facilities installed at or adjacent to the
sites of electric generating facilities that burn or burned
coal as their primary fuel source.
(1) In addition to the procurement of renewable energy
credits pursuant to long-term renewable resources
procurement plans in accordance with subsection (c) of
this Section and Section 16-111.5 of the Public Utilities
Act, the Agency shall conduct procurement events in
accordance with this subsection (c-5) for the procurement
by electric utilities that served more than 300,000 retail
customers in this State as of January 1, 2019 of renewable

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energy credits from new renewable energy facilities to be
installed at or adjacent to the sites of electric
generating facilities that, as of January 1, 2016, burned
coal as their primary fuel source and meet the other
criteria specified in this subsection (c-5). For purposes
of this subsection (c-5), "new renewable energy facility"
means a new utility-scale solar project as defined in this
Section 1-75. The renewable energy credits procured
pursuant to this subsection (c-5) may be included or
counted for purposes of compliance with the amounts of
renewable energy credits required to be procured pursuant
to subsection (c) of this Section to the extent that there
are otherwise shortfalls in compliance with such
requirements. The procurement of renewable energy credits
by electric utilities pursuant to this subsection (c-5)
shall be funded solely by revenues collected from the Coal
to Solar and Energy Storage Initiative Charge provided for
in this subsection (c-5) and subsection (i-5) of Section
16-108 of the Public Utilities Act, shall not be funded by
revenues collected through any of the other funding
mechanisms provided for in subsection (c) of this Section,
and shall not be subject to the limitation imposed by
subsection (c) on charges to retail customers for costs to
procure renewable energy resources pursuant to subsection
(c), and shall not be subject to any other requirements or
limitations of subsection (c).

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(2) The Agency shall conduct 2 procurement events to
select owners of electric generating facilities meeting
the eligibility criteria specified in this subsection
(c-5) to enter into long-term contracts to sell renewable
energy credits to electric utilities serving more than
300,000 retail customers in this State as of January 1,
2019. The first procurement event shall be conducted no
later than January 30, 2022, unless the Agency elects to
deny it, until no later than March 31, 2022, due to its
overall volume of work, and shall be to select owners of
electric generating facilities located in this State and
south of federal Interstate Highway 80 that meet the
eligibility criteria specified in this subsection (c-5).
The second procurement event shall be conducted no sooner
than September 30, 2022 and no later than October 31, 2022
and shall be to select owners of electric generating
facilities located anywhere in this State that meet the
eligibility criteria specified in this subsection (c-5).
The Agency shall establish and announce a time period,
which shall begin no later than 30 days prior to the
scheduled date for the procurement event, during which
applicants may submit applications to be selected as
suppliers of renewable energy credits pursuant to this
subsection (c-5). The eligibility criteria for selection
as a supplier of renewable energy credits pursuant to this
subsection (c-5) shall be as follows:

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(A) The applicant owns an electric generating
facility located in this State that: (i) is located
south of federal Interstate Highway 80; (ii) as of
January 1, 2016, burned coal as its primary fuel to
generate electricity; (iii) has, or had prior to
retirement, an electric generating capacity of at
least 150 megawatts; and (iv) if the electric
generating facility is physically interconnected to
the PJM Interconnection, LLC transmission grid, had a
generating capacity of less than 1,200 megawatts as of
January 1, 2021. The electric generating facility can
be either: (i) retired as of the date of the
procurement event; or (ii) still operating as of the
date of the procurement event.
(B) The applicant is not (i) an electric
cooperative as defined in Section 3-119 of the Public
Utilities Act, or (ii) an entity described in
subsection (b)(1) of Section 3-105 of the Public
Utilities Act, or an association or consortium of or
an entity owned by entities described in (i) or (ii);
and the coal-fueled electric generating facility was
at one time owned, in whole or in part, by a public
utility as defined in Section 3-105 of the Public
Utilities Act.
(C) If participating in the first procurement
event, the applicant proposes and commits to construct

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and operate, at the site, and if necessary for
sufficient space on property adjacent to the existing
property, at which the electric generating facility
identified in paragraph (A) is located: (i) a new
renewable energy facility of at least 20 megawatts but
no more than 100 megawatts of electric generating
capacity, and (ii) an energy storage facility having a
storage capacity equal to at least 2 megawatts and at
most 10 megawatts. If participating in the second
procurement event, the applicant proposes and commits
to construct and operate, at the site, and if
necessary for sufficient space on property adjacent to
the existing property, at which the electric
generating facility identified in paragraph (A) is
located: (i) a new renewable energy facility of at
least 5 megawatts but no more than 20 megawatts of
electric generating capacity, and (ii) an energy
storage facility having a storage capacity equal to at
least 0.5 megawatts and at most one megawatt.
(D) The applicant agrees that the new renewable
energy facility and the energy storage facility will
be constructed or installed by a qualified entity or
entities in compliance with the requirements of
subsection (g) of Section 16-128A of the Public
Utilities Act and any rules adopted thereunder.
(E) The applicant agrees that personnel operating

10200SB0018sam001 - 416 - LRB102 12600 LNS 28802 a
the new renewable energy facility and the energy
storage facility will have the requisite skills,
knowledge, training, experience, and competence, which
may be demonstrated by completion or current
participation and ultimate completion by employees of
an accredited or otherwise recognized apprenticeship
program for the employee's particular craft, trade, or
skill, including through training and education
courses and opportunities offered by the owner to
employees of the coal-fueled electric generating
facility or by previous employment experience
performing the employee's particular work skill or
function.
(F) The applicant commits that not less than the
prevailing wage, as determined pursuant to the
Prevailing Wage Act, will be paid to the applicant's
employees engaged in construction activities
associated with the new renewable energy facility and
the new energy storage facility and to the employees
of applicant's contractors engaged in construction
activities associated with the new renewable energy
facility and the new energy storage facility, and
that, on or before the commercial operation date of
the new renewable energy facility, the applicant shall
file a report with the Agency certifying that the
requirements of this subparagraph (F) have been met.

10200SB0018sam001 - 417 - LRB102 12600 LNS 28802 a
(G) The applicant commits that if selected, it
will negotiate a project labor agreement for the
construction of the new renewable energy facility and
associated energy storage facility that includes
provisions requiring the parties to the agreement to
work together to establish diversity threshold
requirements and to ensure best efforts to meet
diversity targets, improve diversity at the applicable
job site, create diverse apprenticeship opportunities,
and create opportunities to employ former coal-fired
power plant workers.
(H) The applicant commits to enter into a contract
or contracts for the applicable duration to provide
specified numbers of renewable energy credits each
year from the new renewable energy facility to
electric utilities that served more than 300,000
retail customers in this State as of January 1, 2019,
at a price of $30 per renewable energy credit. The
price per renewable energy credit shall be fixed at
$30 for the applicable duration and the renewable
energy credits shall not be indexed renewable energy
credits as provided for in item (v) of subparagraph
(G) of paragraph (1) of subsection (c) of Section 1-75
of this Act. The applicable duration of each contract
shall be 20 years.
(I) The applicant's application is certified by an

10200SB0018sam001 - 418 - LRB102 12600 LNS 28802 a
officer of the applicant and by an officer of the
applicant's ultimate parent company, if any.
(3) An applicant may submit applications to contract
to supply renewable energy credits from more than one new
renewable energy facility to be constructed at or adjacent
to one or more qualifying electric generating facilities
owned by the applicant. The Agency may select new
renewable energy facilities to be located at or adjacent
to the sites of more than one qualifying electric
generation facility owned by an applicant to contract with
electric utilities to supply renewable energy credits from
such facilities.
(4) The Agency shall assess fees to each applicant to
recover the Agency's costs incurred in receiving and
evaluating applications, conducting the procurement event,
developing contracts for sale, delivery and purchase of
renewable energy credits, and monitoring the
administration of such contracts, as provided for in this
subsection (c-5), including fees paid to a procurement
administrator retained by the Agency for one or more of
these purposes.
(5) The Agency shall select the applicants and the new
renewable energy facilities to contract with electric
utilities to supply renewable energy credits in accordance
with this subsection (c-5). In the first procurement
event, the Agency shall select applicants and new

10200SB0018sam001 - 419 - LRB102 12600 LNS 28802 a
renewable energy facilities to supply renewable energy
credits, at a price of $30 per renewable energy credit,
aggregating to no less than 400,000 renewable energy
credits per year for the 20 years, assuming sufficient
qualifying applications to supply, in the aggregate, at
least that amount of renewable energy credits per year;
and not more than 600,000 renewable energy credits per
year for the 20 years. In the second procurement event,
the Agency shall select applicants and new renewable
energy facilities to supply renewable energy credits, at a
prices of $30 per renewable energy credit, aggregating to
no more than 625,000 renewable energy credits per year
less the amount of renewable energy credits each year
contracted for as a result of the first procurement event,
for the applicable durations.
(6) The obligation to purchase renewable energy
credits from the applicants and their new renewable energy
facilities selected by the Agency shall be allocated to
the electric utilities based on their respective
percentages of kilowatthours delivered to delivery
services customers to the aggregate kilowatthour
deliveries by the electric utilities to delivery services
customers for the year ended December 31, 2021. In order
to achieve these allocation percentages between or among
the electric utilities, the Agency shall require each
applicant that is selected in the procurement event to

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enter into a contract with each electric utility for the
sale and purchase of renewable energy credits from each
new renewable energy facility to be constructed and
operated by the applicant, with the sale and purchase
obligations under the contracts to aggregate to the total
number of renewable energy credits per year to be supplied
by the applicant from the new renewable energy facility.
(7) The Agency shall submit its proposed selection of
applicants, new renewable energy facilities to be
constructed, and renewable energy credit amounts for each
procurement event to the Commission for approval. The
Commission shall, within 2 business days after receipt of
the Agency's proposed selections, approve the proposed
selections if it determines that the applicants and the
new renewable energy facilities to be constructed meet the
selection criteria set forth in this subsection (c-5) and
that the Agency seeks approval for contracts of 20 years'
duration aggregating to no more than the maximum amount of
renewable energy credits per year authorized by this
subsection (c-5) for the procurement event, at a price of
$30 per renewable energy credit.
(8) The Agency, in conjunction with its procurement
administrator if one is retained, the electric utilities,
and potential applicants for contracts to produce and
supply renewable energy credits pursuant to this
subsection (c-5), shall develop a standard form contract

10200SB0018sam001 - 421 - LRB102 12600 LNS 28802 a
for the sale, delivery and purchase of renewable energy
credits pursuant to this subsection (c-5). Each contract
resulting from the first procurement event shall allow for
a commercial operation date for the new renewable energy
facility of either June 1, 2023 or June 1, 2024, with such
dates subject to adjustment as provided in this paragraph.
Each contract resulting from the second procurement event
shall provide for a commercial operation date on June 1
next occurring up to 48 months after execution of the
contract. Each contract shall provide that the owner shall
receive payments for renewable energy credits for the
applicable durations beginning with the commercial
operation date of the new renewable energy facility. The
form contract shall provide for adjustments to the
commercial operation and payment start dates as needed due
to any delays in completing the procurement and
contracting processes, in finalizing interconnection
agreements and installing interconnection facilities, and
in obtaining other necessary governmental permits and
approvals. The form contract shall be, to the maximum
extent possible, consistent with standard electric
industry contracts for sale, delivery, and purchase of
renewable energy credits while taking into account the
specific requirements of this subsection (c-5). The form
contract shall provide for over-delivery and
under-delivery of renewable energy credits within

10200SB0018sam001 - 422 - LRB102 12600 LNS 28802 a
reasonable ranges during each 12-month period and penalty,
default, and enforcement provisions for failure of the
selling party to deliver renewable energy credits as
specified in the contract and to comply with the
requirements of this subsection (c-5). The standard form
contract shall specify that all renewable energy credits
delivered to the electric utility pursuant to the contract
shall be retired. The Agency shall make the proposed
contracts available for a reasonable period for comment by
potential applicants, and shall publish the final form
contract at least 30 days before the date of the first
procurement event.
(9) Coal to Solar and Energy Storage Initiative
Charge.
(A) By no later than July 1, 2022, each electric
utility that served more than 300,000 retail customers
in this State as of January 1, 2019 shall file a tariff
with the Commission for the billing and collection of
a Coal to Solar and Energy Storage Initiative Charge
in accordance with subsection (i-5) of Section 16-108
of the Public Utilities Act, with such tariff to be
effective, following review and approval or
modification by the Commission, beginning January 1,
2023. The tariff shall provide for the calculation and
setting of the electric utility's Coal to Solar and
Energy Storage Initiative Charge to collect revenues

10200SB0018sam001 - 423 - LRB102 12600 LNS 28802 a
estimated to be sufficient, in the aggregate, (i) to
enable the electric utility to pay for the renewable
energy credits it has contracted to purchase in the
delivery year beginning June 1, 2023 and each delivery
year thereafter from new renewable energy facilities
located at the sites of qualifying electric generating
facilities, and (ii) to fund the grant payments to be
made in each delivery year by the Department of
Commerce and Economic Opportunity, or any successor
department or agency, which shall be referred to in
this subsection (c-5) as the Department, pursuant to
paragraph (10) of this subsection (c-5). The electric
utility's tariff shall provide for the billing and
collection of the Coal to Solar and Energy Storage
Initiative Charge on each kilowatthour of electricity
delivered to its delivery services customers within
its service territory and shall provide for an annual
reconciliation of revenues collected with actual
costs, in accordance with subsection (i-5) of Section
16-108 of the Public Utilities Act.
(B) Each electric utility shall remit on a monthly
basis to the State Treasurer, for deposit in the Coal
to Solar and Energy Storage Initiative Fund provided
for in this subsection (c-5), the electric utility's
collections of the Coal to Solar and Energy Storage
Initiative Charge in the amount estimated to be needed

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by the Department for grant payments pursuant to grant
contracts entered into by the Department pursuant to
paragraph (10) of this subsection (c-5).
(10) Coal to Solar and Energy Storage Initiative Fund.
(A) The Coal to Solar and Energy Storage
Initiative Fund is established as a special fund in
the State treasury. The Coal to Solar and Energy
Storage Initiative Fund is authorized to receive, by
statutory deposit, that portion specified in item (B)
of paragraph (9) of this subsection (c-5) of moneys
collected by electric utilities through imposition of
the Coal to Solar and Energy Storage Initiative Charge
required by this subsection (c-5). The Coal to Solar
and Energy Storage Initiative Fund shall be
administered by the Department to provide grants to
support the installation and operation of energy
storage facilities at the sites of qualifying electric
generating facilities meeting the criteria specified
in this paragraph (10).
(B) The Coal to Solar and Energy Storage
Initiative Fund shall not be subject to sweeps,
administrative charges, or chargebacks, including, but
not limited to, those authorized under Section 8h of
the State Finance Act, that would in any way result in
the transfer of those funds from the Coal to Solar and
Energy Storage Initiative Fund to any other fund of

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this State or in having any such funds utilized for any
purpose other than the express purposes set forth in
this paragraph (10).
(C) The Department shall utilize up to
$280,500,000 in the Coal to Solar and Energy Storage
Initiative Fund for grants, assuming sufficient
qualifying applicants, to support installation of
energy storage facilities at the sites of up to 5
qualifying electric generating facilities located in
the Midcontinent Independent System Operator, Inc.,
region in Illinois that meet the criteria set forth in
this subparagraph (C). The criteria for receipt of a
grant pursuant to this subparagraph (C) are as
follows:
(1) the electric generating facility at the
site has, or had prior to retirement, an electric
generating capacity of at least 150 megawatts;
(2) the electric generating facility burns (or
burned prior to retirement) coal as its primary
source of fuel;
(3) if the electric generating facility is
retired, it was retired subsequent to January 1,
2016;
(4) the owner of the electric generating
facility has not been selected by the Agency
pursuant to this subsection (c-5) of this Section

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to enter into a contract to sell renewable energy
credits to one or more electric utilities from a
new renewable energy facility located or to be
located at or adjacent to the site at which the
electric generating facility is located;
(5) the electric generating facility located
at the site was at one time owned, in whole or in
part, by a public utility as defined in Section
3-105 of the Public Utilities Act;
(6) the electric generating facility at the
site is not owned by (i) an electric cooperative
as defined in Section 3-119 of the Public
Utilities Act, or (ii) an entity described in
subsection (b)(1) of Section 3-105 of the Public
Utilities Act, or an association or consortium of
or an entity owned by entities described in items
(i) or (ii);
(7) the proposed energy storage facility at
the site will have energy storage capacity of at
least 37 megawatts;
(8) the owner commits to place the energy
storage facility into commercial operation on
either June 1, 2024 or June 1, 2025, with such date
subject to adjustment as needed due to any delays
in completing the grant contracting process, in
finalizing interconnection agreements and in

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installing interconnection facilities, and in
obtaining necessary governmental permits and
approvals;
(9) the owner agrees that the new energy
storage facility will be constructed or installed
by a qualified entity or entities consistent with
the requirements of subsection (g) of Section
16-128A of the Public Utilities Act and any rules
adopted under that Section;
(10) the owner agrees that personnel operating
the energy storage facility will have the
requisite skills, knowledge, training, experience,
and competence, which may be demonstrated by
completion or current participation and ultimate
completion by employees of an accredited or
otherwise recognized apprenticeship program for
the employee's particular craft, trade, or skill,
including through training and education courses
and opportunities offered by the owner to
employees of the coal-fueled electric generating
facility or by previous employment experience
performing the employee's particular work skill or
function;
(11) the owner commits that not less than the
prevailing wage, as determined pursuant to the
Prevailing Wage Act, will be paid to the owner's

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employees engaged in construction activities
associated with the new energy storage facility
and to the employees of the owner's contractors
engaged in construction activities associated with
the new energy storage facility, and that, on or
before the commercial operation date of the new
energy storage facility, the owner shall file a
report with the Department certifying that the
requirements of this subparagraph (11) have been
met; and
(12) the owner commits that if selected to
receive a grant, it will negotiate a project labor
agreement for the construction of the new energy
storage facility that includes provisions
requiring the parties to the agreement to work
together to establish diversity threshold
requirements and to ensure best efforts to meet
diversity targets, improve diversity at the
applicable job site, create diverse apprenticeship
opportunities, and create opportunities to employ
former coal-fired power plant workers.
The Department shall accept applications for this
grant program until March 31, 2022 and shall announce
the award of grants no later than June 1, 2022. The
Department shall make the grant payments to a
recipient in equal annual amounts for 10 years

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following the date the energy storage facility is
placed into commercial operation. The annual grant
payments to a qualifying energy storage facility shall
be $110,000 per megawatt of energy storage capacity,
with total annual grant payments pursuant to this
subparagraph (C) for qualifying energy storage
facilities not to exceed $28,050,000 in any year.
(D) Grants of funding for energy storage
facilities pursuant to subparagraph (C) of this
paragraph (10), from the Coal to Solar and Energy
Storage Initiative Fund, shall be memorialized in
grant contracts between the Department and the
recipient. The grant contracts shall specify the date
or dates in each year on which the annual grant
payments shall be paid.
(E) All disbursements from the Coal to Solar and
Energy Storage Initiative Fund shall be made only upon
warrants of the Comptroller drawn upon the Treasurer
as custodian of the Fund upon vouchers signed by the
Director of the Department or by the person or persons
designated by the Director of the Department for that
purpose. The Comptroller is authorized to draw the
warrants upon vouchers so signed. The Treasurer shall
accept all written warrants so signed and shall be
released from liability for all payments made on those
warrants.

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(11) Diversity, equity, and inclusion plans.
(A) Each applicant selected in a procurement event
to contract to supply renewable energy credits in
accordance with this subsection (c-5) and each owner
selected by the Department to receive a grant or
grants to support the construction and operation of a
new energy storage facility or facilities in
accordance with this subsection (c-5) shall, within 60
days following the Commission's approval of the
applicant to contract to supply renewable energy
credits or within 60 days following execution of a
grant contract with the Department, as applicable,
submit to the Commission a diversity, equity, and
inclusion plan setting forth the applicant's or
owner's numeric goals for the diversity composition of
its supplier entities for the new renewable energy
facility or new energy storage facility, as
applicable, which shall be referred to for purposes of
this paragraph (11) as the project, and the
applicant's or owner's action plan and schedule for
achieving those goals.
(B) For purposes of this paragraph (11), diversity
composition shall be based on the percentage, which
shall be a minimum of 25%, of eligible expenditures
for contract awards for materials and services (which
shall be defined in the plan) to business enterprises

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owned by minority persons, women, or persons with
disabilities as defined in Section 2 of the Business
Enterprise for Minorities, Women, and Persons with
Disabilities Act, to LGBTQ business enterprises, to
veteran-owned business enterprises, and to business
enterprises located in environmental justice
communities. The diversity composition goals of the
plan may include eligible expenditures in areas for
vendor or supplier opportunities in addition to
development and construction of the project, and may
exclude from eligible expenditures materials and
services with limited market availability, limited
production and availability from suppliers in the
United States, such as solar panels and storage
batteries, and material and services that are subject
to critical energy infrastructure or cybersecurity
requirements or restrictions. The plan may provide
that the diversity composition goals may be met
through Tier 1 Direct or Tier 2 subcontracting
expenditures or a combination thereof for the project.
(C) The plan shall provide for, but not be limited
to: (i) internal initiatives, including multi-tier
initiatives, by the applicant or owner, or by its
engineering, procurement and construction contractor
if one is used for the project, which for purposes of
this paragraph (11) shall be referred to as the EPC

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contractor, to enable diverse businesses to be
considered fairly for selection to provide materials
and services; (ii) requirements for the applicant or
owner or its EPC contractor to proactively solicit and
utilize diverse businesses to provide materials and
services; and (iii) requirements for the applicant or
owner or its EPC contractor to hire a diverse
workforce for the project. The plan shall include a
description of the applicant's or owner's diversity
recruiting efforts both for the project and for other
areas of the applicant's or owner's business
operations. The plan shall provide for the imposition
of financial penalties on the applicant's or owner's
EPC contractor for failure to exercise best efforts to
comply with and execute the EPC contractor's diversity
obligations under the plan. The plan may provide for
the applicant or owner to set aside a portion of the
work on the project to serve as an incubation program
for qualified businesses, as specified in the plan,
owned by minority persons, women, persons with
disabilities, LGBTQ persons, and veterans, and
businesses located in environmental justice
communities, seeking to enter the renewable energy
industry.
(D) The applicant or owner may submit a revised or
updated plan to the Commission from time to time as

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circumstances warrant. The applicant or owner shall
file annual reports with the Commission detailing the
applicant's or owner's progress in implementing its
plan and achieving its goals and any modifications the
applicant or owner has made to its plan to better
achieve its diversity, equity and inclusion goals. The
applicant or owner shall file a final report on the
fifth June 1 following the commercial operation date
of the new renewable energy resource or new energy
storage facility, but the applicant or owner shall
thereafter continue to be subject to the reporting
requirements of Section 5-117 of the Public Utilities
Act.
(c-10) Equity accountability system. It is the purpose of
this subsection (c-10) to create an equity accountability
system, which includes the minimum equity standards for all
renewable energy procurements, the equity category of the
Adjustable Block Program, and the equity prioritization for
noncompetitive procurements, that is successful in advancing
priority access to the clean energy economy for businesses and
workers from communities that have been excluded from economic
opportunities in the energy sector, have been subject to
disproportionate levels of pollution, and have
disproportionately experienced negative public health
outcomes. Further, it is the purpose of this subsection to
ensure that this equity accountability system is successful in

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advancing equity across Illinois by providing access to the
clean energy economy for businesses and workers from
communities that have been historically excluded from economic
opportunities in the energy sector, have been subject to
disproportionate levels of pollution, and have
disproportionately experienced negative public health
outcomes.
(1) Minimum equity standards. All applications for
renewable energy credit procurements shall comply with
specific minimum equity commitments. Starting in the
delivery year immediately following the next long-term
renewable resources procurement plan, at least 10% of the
project workforce for each entity participating in a
procurement program outlined in this subsection (c-10)
must be done by equity eligible persons or equity eligible
contractors. The Agency shall increase the minimum
percentage each delivery year thereafter by increments
that ensure a statewide average of 30% of the project
workforce for each entity participating in a procurement
program is done by equity eligible persons or equity
eligible contractors by 2030. The Agency shall propose a
schedule of percentage increases to the minimum equity
standards in its draft revised renewable energy resources
procurement plan submitted to the Commission for approval
pursuant to paragraph (5) of subsection (b) of Section
16-111.5 of the Public Utilities Act. In determining these

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annual increases, the Agency shall have the discretion to
establish different minimum equity standards for different
types of procurements and different regions of the State
if the Agency finds that doing so will further the
purposes of this subsection (c-10). The proposed schedule
of annual increases shall be revisited and updated on an
annual basis. Revisions shall be developed with
stakeholder input, including from equity eligible persons,
equity eligible contractors, clean energy industry
representatives, and community-based organizations that
work with such persons and contractors.
(A) At the start of each delivery year, the Agency
shall require a compliance plan from each entity
participating in a procurement program of subsection
(c) of this Section that demonstrates how they will
achieve compliance with the minimum equity standard
percentage for work completed in that delivery year.
If an entity applies for its approved vendor or
designee status between delivery years, the Agency
shall require a compliance plan at the time of
application.
(B) Halfway through each delivery year, the Agency
shall require each entity participating in a
procurement program to confirm that it will achieve
compliance in that delivery year, when applicable. The
Agency may offer corrective action plans to entities

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that are not on track to achieve compliance.
(C) At the end of each delivery year, each entity
participating and completing work in that delivery
year in a procurement program of subsection (c) shall
submit a report to the Agency that demonstrates how it
achieved compliance with the minimum equity standards
percentage for that delivery year.
(D) The Agency shall prohibit participation in
procurement programs by an approved vendor or
designee, as applicable, or entities with which an
approved vendor or designee, as applicable, shares a
common parent company if an approved vendor or
designee, as applicable, failed to meet the minimum
equity standards for the prior delivery year. Waivers
approved for lack of equity eligible persons or equity
eligible contractors in a geographic area of a project
shall not count against the approved vendor or
designee. The Agency shall offer a corrective action
plan for any such entities to assist them in obtaining
compliance and shall allow continued access to
procurement programs upon an approved vendor or
designee demonstrating compliance.
(E) The Agency shall pursue efficiencies achieved
by combining with other approved vendor or designee
reporting.
(2) Equity accountability system within the Adjustable

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Block program. The equity category described in item (vi)
of subparagraph (K) of subsection (c) is only available to
applicants that can demonstrate Equity Eligible Future
Certification or Equity Eligible Contractor Certification
for their project or portfolio of projects. The Agency
shall create a system for tracking and verifying Equitable
Energy Future Certifications. Equitable Energy Future
Certification can be earned by demonstrating that at least
50% of the project workforce, or other appropriate
workforce measure as determined by the Agency where
certification is on a non-project basis, is done by equity
eligible contractors or equity eligible persons.
(3) Equity accountability system within competitive
procurements. Through its long-term renewable resources
procurement plan, the Agency shall develop requirements
for ensuring that competitive procurement processes,
including utility-scale solar, utility-scale wind, and
brownfield site photovoltaic projects, advance the equity
goals of this subsection (c-10). Subject to Commission
approval, the Agency shall develop bid application
requirements and a bid evaluation methodology for ensuring
that utilization of equity eligible contractors, whether
as bidders or as participants on project development, is
optimized, including requiring that winning or successful
applicants for utility-scale projects are or will partner
with equity eligible contractors and giving preference to

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bids through which a higher portion of contract value
flows to equity eligible contractors. To the extent
practicable, entities participating in competitive
procurements shall also be required to meet all the equity
accountability requirements for approved vendors and their
designees under this subsection (c-10). In developing
these requirements, the Agency shall also consider whether
equity goals can be further advanced through additional
measures.
(4) In the first revision to the long-term renewable
energy resources procurement plan and each revision
thereafter, the Agency shall include the following:
(A) The current status and number of equity
eligible contractors listed in the Energy Workforce
Equity Database designed in subsection (c-25),
including the number of equity eligible contractors
with current certifications as issued by the Agency.
(B) A mechanism for measuring, tracking, and
reporting project workforce at the approved vendor or
designee level, as applicable, which shall include a
measurement methodology and records to be made
available for audit by the Agency or the Program
Administrator.
(C) A program for approved vendors, designees,
eligible persons, and equity eligible contractors to
receive trainings, guidance, and other support from

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the Agency or its designee regarding the equity
category outlined in item (vi) of subparagraph (K) of
paragraph (1) of subsection (c) and in meeting the
minimum equity standards of this subsection (c-10).
(D) A process for certifying equity eligible
contractors and equity eligible persons. The
certification process shall coordinate with the Energy
Workforce Equity Database set forth in subsection
(c-25).
(E) An application for waiver of the minimum
equity standards of this subsection, which the Agency
shall have the discretion to grant in rare
circumstances. The Agency may grant such a waiver
where the applicant provides evidence of significant
efforts toward meeting the minimum equity commitment,
including: use of the Energy Workforce Equity
Database; efforts to hire or contract with entities
that hire eligible persons; and efforts to establish
contracting relationships with eligible contractors.
The Agency shall support applicants in understanding
the Energy Workforce Equity Database and other
resources for pursuing compliance of the minimum
equity standards. Waivers shall be project-specific,
unless the Agency deems it necessary to grant a waiver
across a portfolio of projects, and in effect for no
longer than one year. Any waiver extension or

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subsequent waiver request from an applicant shall be
subject to the requirements of this Section and shall
specify efforts made to reach compliance. When
considering whether to grant a waiver, and to what
extent, the Agency shall consider the degree to which
similarly situated applicants have been able to meet
these minimum equity commitments. For repeated waiver
requests for specific lack of eligible persons or
eligible contractors available, the Agency shall make
recommendations to target recruitment to add such
eligible persons or eligible contractors to the
database.
(5) The Agency shall collect information about work on
projects or portfolios of projects subject to these
minimum equity standards to ensure compliance with this
subsection (c-10). Reporting in furtherance of this
requirement may be combined with other annual reporting
requirements. Such reporting shall include proof of
certification of each equity eligible contractor or equity
eligible person during the applicable time period.
(6) The Agency shall keep confidential all information
and communication that provides private or personal
information.
(7) Modifications to the equity accountability system.
As part of the update of the long-term renewable resources
procurement plan to be initiated in 2023, or sooner if the

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Agency deems necessary, the Agency shall determine the
extent to which the equity accountability system described
in this subsection (c-10) has advanced the goals of this
amendatory Act of the 102nd General Assembly, including
through the inclusion of equity eligible persons, equity
eligible contractors, and Equitable Energy Future
Certification in renewable energy credit projects. If the
Agency finds that the equity accountability system has
failed to meet those goals to its fullest potential, the
Agency may revise the following criteria for future Agency
procurements: (A) the percentage of project workforce, or
other appropriate workforce measure, certified as equity
eligible persons or equity eligible contractors, as
required to meet the thresholds for Equitable Energy
Future Certification; (B) definitions for equity
investment eligible persons and equity investment eligible
community; and (C) such other modifications necessary to
advance the goals of this amendatory Act of the 102nd
General Assembly effectively. Such revised criteria may
also establish distinct equity accountability systems for
different types of procurements or different regions of
the State if the Agency finds that doing so will further
the purposes of such programs. Revisions shall be
developed with stakeholder input, including from equity
eligible persons, equity eligible contractors, and
community-based organizations that work with such persons

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and contractors.
(c-15) Racial discrimination elimination powers and
process.
(1) Purpose. It is the purpose of this subsection to
empower the Agency and other State actors to remedy racial
discrimination in Illinois' clean energy economy as
effectively and expediently as possible, including through
the use of race-conscious remedies, such as race-conscious
contracting and hiring goals, as consistent with State and
federal law.
(2) Racial disparity and discrimination review
process.
(A) Within one year after awarding contracts using
the equity actions processes established in this
Section, the Agency shall publish a report evaluating
the effectiveness of the equity actions point criteria
of this Section in increasing participation of equity
eligible persons and equity eligible contractors. The
report shall disaggregate participating workers and
contractors by race and ethnicity. The report shall be
forwarded to the Governor, the General Assembly, and
the Illinois Commerce Commission and be made available
to the public.
(B) As soon as is practicable thereafter, the
Agency, in consultation with the Department of
Commerce and Economic Opportunity, Department of

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Labor, and other agencies that may be relevant, shall
commission and publish a disparity and availability
study that measures the presence and impact of
discrimination on minority businesses and workers in
Illinois' clean energy economy. The Agency may hire
consultants and experts to conduct the disparity and
availability study, with the retention of those
consultants and experts exempt from the requirements
of Section 20-10 of the Illinois Procurement Code. The
Illinois Power Agency shall forward a copy of its
findings and recommendations to the Governor, the
General Assembly, and the Illinois Commerce
Commission. If the disparity and availability study
establishes a strong basis in evidence that there is
discrimination in Illinois' clean energy economy, the
Agency, Department of Commerce and Economic
Opportunity, Department of Labor, Department of
Corrections, and other appropriate agencies shall take
appropriate remedial actions, including race-conscious
remedial actions as consistent with State and federal
law, to effectively remedy this discrimination. Such
remedies may include modification of the equity
accountability system as described in subsection
(c-10).
(c-20) Program data collection.
(1) Purpose. Data collection, data analysis, and

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reporting are critical to ensure that the benefits of the
clean energy economy provided to Illinois residents and
businesses are equitably distributed across the State. The
Agency shall collect data from program applicants in order
to track and improve equitable distribution of benefits
across Illinois communities for all procurements the
Agency conducts. The Agency shall use this data to, among
other things, measure any potential impact of racial
discrimination on the distribution of benefits and provide
information necessary to correct any discrimination
through methods consistent with State and federal law.
(2) Agency collection of program data. The Agency
shall collect demographic and geographic data for each
entity awarded contracts under any Agency-administered
program.
(3) Required information to be collected. The Agency
shall collect the following information from applicants
and program participants where applicable:
(A) demographic information, including racial or
ethnic identity for real persons employed, contracted,
or subcontracted through the program and owners of
businesses or entities that apply to receive renewable
energy credits from the Agency;
(B) geographic location of the residency of real
persons employed, contracted, or subcontracted through
the program and geographic location of the

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headquarters of the business or entity that applies to
receive renewable energy credits from the Agency; and
(C) any other information the Agency determines is
necessary for the purpose of achieving the purpose of
this subsection.
(4) Publication of collected information. The Agency
shall publish, at least annually, information on the
demographics of program participants on an aggregate
basis.
(5) Nothing in this subsection shall be interpreted to
limit the authority of the Agency, or other agency or
department of the State, to require or collect demographic
information from applicants of other State programs.
(c-25) Energy Workforce Equity Database.
(1) The Agency, in consultation with the Department of
Commerce and Economic Opportunity, shall create an Energy
Workforce Equity Database, and may contract with a third
party to do so ("database program administrator"). If the
Department decides to contract with a third party, that
third party shall be exempt from the requirements of
Section 20-10 of the Illinois Procurement Code. The Energy
Workforce Equity Database shall be a searchable database
of suppliers, vendors, and subcontractors for clean energy
industries that is:
(A) publicly accessible;
(B) easy for people to find and use;

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(C) organized by company specialty or field;
(D) region-specific; and
(E) populated with information including, but not
limited to, contacts for suppliers, vendors, or
subcontractors who are minority and women-owned
business enterprise certified or who participate or
have participated in any of the programs described in
this Act.
(2) The Agency shall create an easily accessible,
public facing online tool using the database information
that includes, at a minimum, the following:
(A) a map of environmental justice and equity
investment eligible communities;
(B) job postings and recruiting opportunities;
(C) a means by which recruiting clean energy
companies can find and interact with current or former
participants of clean energy workforce training
programs;
(D) information on workforce training service
providers and training opportunities available to
prospective workers;
(E) renewable energy company diversity reporting;
(F) a list of equity eligible contractors with
their contact information, types of work performed,
and locations worked in;
(G) reporting on outcomes of the programs

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described in the workforce programs of the Energy
Transition Act, including information such as, but not
limited to, retention rate, graduation rate, and
placement rates of trainees; and
(H) information about the Jobs and Environmental
Justice Grant Program, the Clean Energy Jobs and
Justice Fund, and other sources of capital.
(3) The Agency shall ensure the database is regularly
updated to ensure information is current and shall
coordinate with the Department of Commerce and Economic
Opportunity to ensure that it includes information on
individuals and entities that are or have participated in
the Clean Jobs Workforce Network Program, Clean Energy
Contractor Incubator Program, Returning Residents Clean
Jobs Training Program, or Clean Energy Primes Contractor
Accelerator Program.
(c-30) Enforcement of equity accountability system.
(1) Enforcement of minimum equity standards. All
entities seeking renewable energy credits must submit an
annual report to demonstrate compliance with each of the
equity commitments required under subsection (c-10). If
the Agency concludes the entity has not met or maintained
its minimum equity standards required under the applicable
subparagraphs under subsection (c-10), the Agency shall
deny the entity's ability to participate in procurement
programs in subsection (c), including by withholding

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approved vendor or designee status. The Agency may require
the entity to enter into a corrective action plan. An
entity that is not recertified for failing to meet
required equity actions in subparagraph (c-10) may reapply
once they have a corrective action plan and achieve
compliance with the minimum equity standards.
(2) Enforcement of Equitable Energy Future
Certification. All entities using Equitable Energy Future
Certification in applying for renewable energy credit
procurements must submit a report at project energization
demonstrating that they met the required Equitable Energy
Future Certification thresholds. The Agency shall
determine an appropriate reporting frequency for entities
that are granted Equitable Energy Future Certification for
a portfolio of projects. The Agency may impose penalties
on entities that fail to meet the Equitable Energy Future
Certification thresholds, which may include, but are not
limited to: reduction in final REC price, contributions to
the Clean Jobs Workforce Hubs, and suspension from using
Equitable Energy Future Certification for future projects
or a portfolio of projects.
(d) Clean coal portfolio standard.
(1) The procurement plans shall include electricity
generated using clean coal. Each utility shall enter into
one or more sourcing agreements with the initial clean
coal facility, as provided in paragraph (3) of this

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subsection (d), covering electricity generated by the
initial clean coal facility representing at least 5% of
each utility's total supply to serve the load of eligible
retail customers in 2015 and each year thereafter, as
described in paragraph (3) of this subsection (d), subject
to the limits specified in paragraph (2) of this
subsection (d). It is the goal of the State that by January
1, 2025, 25% of the electricity used in the State shall be
generated by cost-effective clean coal facilities. For
purposes of this subsection (d), "cost-effective" means
that the expenditures pursuant to such sourcing agreements
do not cause the limit stated in paragraph (2) of this
subsection (d) to be exceeded and do not exceed cost-based
benchmarks, which shall be developed to assess all
expenditures pursuant to such sourcing agreements covering
electricity generated by clean coal facilities, other than
the initial clean coal facility, by the procurement
administrator, in consultation with the Commission staff,
Agency staff, and the procurement monitor and shall be
subject to Commission review and approval.
A utility party to a sourcing agreement shall
immediately retire any emission credits that it receives
in connection with the electricity covered by such
agreement.
Utilities shall maintain adequate records documenting
the purchases under the sourcing agreement to comply with

10200SB0018sam001 - 450 - LRB102 12600 LNS 28802 a
this subsection (d) and shall file an accounting with the
load forecast that must be filed with the Agency by July 15
of each year, in accordance with subsection (d) of Section
16-111.5 of the Public Utilities Act.
A utility shall be deemed to have complied with the
clean coal portfolio standard specified in this subsection
(d) if the utility enters into a sourcing agreement as
required by this subsection (d).
(2) For purposes of this subsection (d), the required
execution of sourcing agreements with the initial clean
coal facility for a particular year shall be measured as a
percentage of the actual amount of electricity
(megawatt-hours) supplied by the electric utility to
eligible retail customers in the planning year ending
immediately prior to the agreement's execution. For
purposes of this subsection (d), the amount paid per
kilowatthour means the total amount paid for electric
service expressed on a per kilowatthour basis. For
purposes of this subsection (d), the total amount paid for
electric service includes without limitation amounts paid
for supply, transmission, distribution, surcharges and
add-on taxes.
Notwithstanding the requirements of this subsection
(d), the total amount paid under sourcing agreements with
clean coal facilities pursuant to the procurement plan for
any given year shall be reduced by an amount necessary to

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limit the annual estimated average net increase due to the
costs of these resources included in the amounts paid by
eligible retail customers in connection with electric
service to:
(A) in 2010, no more than 0.5% of the amount paid
per kilowatthour by those customers during the year
ending May 31, 2009;
(B) in 2011, the greater of an additional 0.5% of
the amount paid per kilowatthour by those customers
during the year ending May 31, 2010 or 1% of the amount
paid per kilowatthour by those customers during the
year ending May 31, 2009;
(C) in 2012, the greater of an additional 0.5% of
the amount paid per kilowatthour by those customers
during the year ending May 31, 2011 or 1.5% of the
amount paid per kilowatthour by those customers during
the year ending May 31, 2009;
(D) in 2013, the greater of an additional 0.5% of
the amount paid per kilowatthour by those customers
during the year ending May 31, 2012 or 2% of the amount
paid per kilowatthour by those customers during the
year ending May 31, 2009; and
(E) thereafter, the total amount paid under
sourcing agreements with clean coal facilities
pursuant to the procurement plan for any single year
shall be reduced by an amount necessary to limit the

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estimated average net increase due to the cost of
these resources included in the amounts paid by
eligible retail customers in connection with electric
service to no more than the greater of (i) 2.015% of
the amount paid per kilowatthour by those customers
during the year ending May 31, 2009 or (ii) the
incremental amount per kilowatthour paid for these
resources in 2013. These requirements may be altered
only as provided by statute.
No later than June 30, 2015, the Commission shall
review the limitation on the total amount paid under
sourcing agreements, if any, with clean coal facilities
pursuant to this subsection (d) and report to the General
Assembly its findings as to whether that limitation unduly
constrains the amount of electricity generated by
cost-effective clean coal facilities that is covered by
sourcing agreements.
(3) Initial clean coal facility. In order to promote
development of clean coal facilities in Illinois, each
electric utility subject to this Section shall execute a
sourcing agreement to source electricity from a proposed
clean coal facility in Illinois (the "initial clean coal
facility") that will have a nameplate capacity of at least
500 MW when commercial operation commences, that has a
final Clean Air Act permit on June 1, 2009 (the effective
date of Public Act 95-1027), and that will meet the

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definition of clean coal facility in Section 1-10 of this
Act when commercial operation commences. The sourcing
agreements with this initial clean coal facility shall be
subject to both approval of the initial clean coal
facility by the General Assembly and satisfaction of the
requirements of paragraph (4) of this subsection (d) and
shall be executed within 90 days after any such approval
by the General Assembly. The Agency and the Commission
shall have authority to inspect all books and records
associated with the initial clean coal facility during the
term of such a sourcing agreement. A utility's sourcing
agreement for electricity produced by the initial clean
coal facility shall include:
(A) a formula contractual price (the "contract
price") approved pursuant to paragraph (4) of this
subsection (d), which shall:
(i) be determined using a cost of service
methodology employing either a level or deferred
capital recovery component, based on a capital
structure consisting of 45% equity and 55% debt,
and a return on equity as may be approved by the
Federal Energy Regulatory Commission, which in any
case may not exceed the lower of 11.5% or the rate
of return approved by the General Assembly
pursuant to paragraph (4) of this subsection (d);
and

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(ii) provide that all miscellaneous net
revenue, including but not limited to net revenue
from the sale of emission allowances, if any,
substitute natural gas, if any, grants or other
support provided by the State of Illinois or the
United States Government, firm transmission
rights, if any, by-products produced by the
facility, energy or capacity derived from the
facility and not covered by a sourcing agreement
pursuant to paragraph (3) of this subsection (d)
or item (5) of subsection (d) of Section 16-115 of
the Public Utilities Act, whether generated from
the synthesis gas derived from coal, from SNG, or
from natural gas, shall be credited against the
revenue requirement for this initial clean coal
facility;
(B) power purchase provisions, which shall:
(i) provide that the utility party to such
sourcing agreement shall pay the contract price
for electricity delivered under such sourcing
agreement;
(ii) require delivery of electricity to the
regional transmission organization market of the
utility that is party to such sourcing agreement;
(iii) require the utility party to such
sourcing agreement to buy from the initial clean

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coal facility in each hour an amount of energy
equal to all clean coal energy made available from
the initial clean coal facility during such hour
times a fraction, the numerator of which is such
utility's retail market sales of electricity
(expressed in kilowatthours sold) in the State
during the prior calendar month and the
denominator of which is the total retail market
sales of electricity (expressed in kilowatthours
sold) in the State by utilities during such prior
month and the sales of electricity (expressed in
kilowatthours sold) in the State by alternative
retail electric suppliers during such prior month
that are subject to the requirements of this
subsection (d) and paragraph (5) of subsection (d)
of Section 16-115 of the Public Utilities Act,
provided that the amount purchased by the utility
in any year will be limited by paragraph (2) of
this subsection (d); and
(iv) be considered pre-existing contracts in
such utility's procurement plans for eligible
retail customers;
(C) contract for differences provisions, which
shall:
(i) require the utility party to such sourcing
agreement to contract with the initial clean coal

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facility in each hour with respect to an amount of
energy equal to all clean coal energy made
available from the initial clean coal facility
during such hour times a fraction, the numerator
of which is such utility's retail market sales of
electricity (expressed in kilowatthours sold) in
the utility's service territory in the State
during the prior calendar month and the
denominator of which is the total retail market
sales of electricity (expressed in kilowatthours
sold) in the State by utilities during such prior
month and the sales of electricity (expressed in
kilowatthours sold) in the State by alternative
retail electric suppliers during such prior month
that are subject to the requirements of this
subsection (d) and paragraph (5) of subsection (d)
of Section 16-115 of the Public Utilities Act,
provided that the amount paid by the utility in
any year will be limited by paragraph (2) of this
subsection (d);
(ii) provide that the utility's payment
obligation in respect of the quantity of
electricity determined pursuant to the preceding
clause (i) shall be limited to an amount equal to
(1) the difference between the contract price
determined pursuant to subparagraph (A) of

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paragraph (3) of this subsection (d) and the
day-ahead price for electricity delivered to the
regional transmission organization market of the
utility that is party to such sourcing agreement
(or any successor delivery point at which such
utility's supply obligations are financially
settled on an hourly basis) (the "reference
price") on the day preceding the day on which the
electricity is delivered to the initial clean coal
facility busbar, multiplied by (2) the quantity of
electricity determined pursuant to the preceding
clause (i); and
(iii) not require the utility to take physical
delivery of the electricity produced by the
facility;
(D) general provisions, which shall:
(i) specify a term of no more than 30 years,
commencing on the commercial operation date of the
facility;
(ii) provide that utilities shall maintain
adequate records documenting purchases under the
sourcing agreements entered into to comply with
this subsection (d) and shall file an accounting
with the load forecast that must be filed with the
Agency by July 15 of each year, in accordance with
subsection (d) of Section 16-111.5 of the Public

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Utilities Act;
(iii) provide that all costs associated with
the initial clean coal facility will be
periodically reported to the Federal Energy
Regulatory Commission and to purchasers in
accordance with applicable laws governing
cost-based wholesale power contracts;
(iv) permit the Illinois Power Agency to
assume ownership of the initial clean coal
facility, without monetary consideration and
otherwise on reasonable terms acceptable to the
Agency, if the Agency so requests no less than 3
years prior to the end of the stated contract
term;
(v) require the owner of the initial clean
coal facility to provide documentation to the
Commission each year, starting in the facility's
first year of commercial operation, accurately
reporting the quantity of carbon emissions from
the facility that have been captured and
sequestered and report any quantities of carbon
released from the site or sites at which carbon
emissions were sequestered in prior years, based
on continuous monitoring of such sites. If, in any
year after the first year of commercial operation,
the owner of the facility fails to demonstrate

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that the initial clean coal facility captured and
sequestered at least 50% of the total carbon
emissions that the facility would otherwise emit
or that sequestration of emissions from prior
years has failed, resulting in the release of
carbon dioxide into the atmosphere, the owner of
the facility must offset excess emissions. Any
such carbon offsets must be permanent, additional,
verifiable, real, located within the State of
Illinois, and legally and practicably enforceable.
The cost of such offsets for the facility that are
not recoverable shall not exceed $15 million in
any given year. No costs of any such purchases of
carbon offsets may be recovered from a utility or
its customers. All carbon offsets purchased for
this purpose and any carbon emission credits
associated with sequestration of carbon from the
facility must be permanently retired. The initial
clean coal facility shall not forfeit its
designation as a clean coal facility if the
facility fails to fully comply with the applicable
carbon sequestration requirements in any given
year, provided the requisite offsets are
purchased. However, the Attorney General, on
behalf of the People of the State of Illinois, may
specifically enforce the facility's sequestration

10200SB0018sam001 - 460 - LRB102 12600 LNS 28802 a
requirement and the other terms of this contract
provision. Compliance with the sequestration
requirements and offset purchase requirements
specified in paragraph (3) of this subsection (d)
shall be reviewed annually by an independent
expert retained by the owner of the initial clean
coal facility, with the advance written approval
of the Attorney General. The Commission may, in
the course of the review specified in item (vii),
reduce the allowable return on equity for the
facility if the facility willfully fails to comply
with the carbon capture and sequestration
requirements set forth in this item (v);
(vi) include limits on, and accordingly
provide for modification of, the amount the
utility is required to source under the sourcing
agreement consistent with paragraph (2) of this
subsection (d);
(vii) require Commission review: (1) to
determine the justness, reasonableness, and
prudence of the inputs to the formula referenced
in subparagraphs (A)(i) through (A)(iii) of
paragraph (3) of this subsection (d), prior to an
adjustment in those inputs including, without
limitation, the capital structure and return on
equity, fuel costs, and other operations and

10200SB0018sam001 - 461 - LRB102 12600 LNS 28802 a
maintenance costs and (2) to approve the costs to
be passed through to customers under the sourcing
agreement by which the utility satisfies its
statutory obligations. Commission review shall
occur no less than every 3 years, regardless of
whether any adjustments have been proposed, and
shall be completed within 9 months;
(viii) limit the utility's obligation to such
amount as the utility is allowed to recover
through tariffs filed with the Commission,
provided that neither the clean coal facility nor
the utility waives any right to assert federal
pre-emption or any other argument in response to a
purported disallowance of recovery costs;
(ix) limit the utility's or alternative retail
electric supplier's obligation to incur any
liability until such time as the facility is in
commercial operation and generating power and
energy and such power and energy is being
delivered to the facility busbar;
(x) provide that the owner or owners of the
initial clean coal facility, which is the
counterparty to such sourcing agreement, shall
have the right from time to time to elect whether
the obligations of the utility party thereto shall
be governed by the power purchase provisions or

10200SB0018sam001 - 462 - LRB102 12600 LNS 28802 a
the contract for differences provisions;
(xi) append documentation showing that the
formula rate and contract, insofar as they relate
to the power purchase provisions, have been
approved by the Federal Energy Regulatory
Commission pursuant to Section 205 of the Federal
Power Act;
(xii) provide that any changes to the terms of
the contract, insofar as such changes relate to
the power purchase provisions, are subject to
review under the public interest standard applied
by the Federal Energy Regulatory Commission
pursuant to Sections 205 and 206 of the Federal
Power Act; and
(xiii) conform with customary lender
requirements in power purchase agreements used as
the basis for financing non-utility generators.
(4) Effective date of sourcing agreements with the
initial clean coal facility. Any proposed sourcing
agreement with the initial clean coal facility shall not
become effective unless the following reports are prepared
and submitted and authorizations and approvals obtained:
(i) Facility cost report. The owner of the initial
clean coal facility shall submit to the Commission,
the Agency, and the General Assembly a front-end
engineering and design study, a facility cost report,

10200SB0018sam001 - 463 - LRB102 12600 LNS 28802 a
method of financing (including but not limited to
structure and associated costs), and an operating and
maintenance cost quote for the facility (collectively
"facility cost report"), which shall be prepared in
accordance with the requirements of this paragraph (4)
of subsection (d) of this Section, and shall provide
the Commission and the Agency access to the work
papers, relied upon documents, and any other backup
documentation related to the facility cost report.
(ii) Commission report. Within 6 months following
receipt of the facility cost report, the Commission,
in consultation with the Agency, shall submit a report
to the General Assembly setting forth its analysis of
the facility cost report. Such report shall include,
but not be limited to, a comparison of the costs
associated with electricity generated by the initial
clean coal facility to the costs associated with
electricity generated by other types of generation
facilities, an analysis of the rate impacts on
residential and small business customers over the life
of the sourcing agreements, and an analysis of the
likelihood that the initial clean coal facility will
commence commercial operation by and be delivering
power to the facility's busbar by 2016. To assist in
the preparation of its report, the Commission, in
consultation with the Agency, may hire one or more

10200SB0018sam001 - 464 - LRB102 12600 LNS 28802 a
experts or consultants, the costs of which shall be
paid for by the owner of the initial clean coal
facility. The Commission and Agency may begin the
process of selecting such experts or consultants prior
to receipt of the facility cost report.
(iii) General Assembly approval. The proposed
sourcing agreements shall not take effect unless,
based on the facility cost report and the Commission's
report, the General Assembly enacts authorizing
legislation approving (A) the projected price, stated
in cents per kilowatthour, to be charged for
electricity generated by the initial clean coal
facility, (B) the projected impact on residential and
small business customers' bills over the life of the
sourcing agreements, and (C) the maximum allowable
return on equity for the project; and
(iv) Commission review. If the General Assembly
enacts authorizing legislation pursuant to
subparagraph (iii) approving a sourcing agreement, the
Commission shall, within 90 days of such enactment,
complete a review of such sourcing agreement. During
such time period, the Commission shall implement any
directive of the General Assembly, resolve any
disputes between the parties to the sourcing agreement
concerning the terms of such agreement, approve the
form of such agreement, and issue an order finding

10200SB0018sam001 - 465 - LRB102 12600 LNS 28802 a
that the sourcing agreement is prudent and reasonable.
The facility cost report shall be prepared as follows:
(A) The facility cost report shall be prepared by
duly licensed engineering and construction firms
detailing the estimated capital costs payable to one
or more contractors or suppliers for the engineering,
procurement and construction of the components
comprising the initial clean coal facility and the
estimated costs of operation and maintenance of the
facility. The facility cost report shall include:
(i) an estimate of the capital cost of the
core plant based on one or more front end
engineering and design studies for the
gasification island and related facilities. The
core plant shall include all civil, structural,
mechanical, electrical, control, and safety
systems.
(ii) an estimate of the capital cost of the
balance of the plant, including any capital costs
associated with sequestration of carbon dioxide
emissions and all interconnects and interfaces
required to operate the facility, such as
transmission of electricity, construction or
backfeed power supply, pipelines to transport
substitute natural gas or carbon dioxide, potable
water supply, natural gas supply, water supply,

10200SB0018sam001 - 466 - LRB102 12600 LNS 28802 a
water discharge, landfill, access roads, and coal
delivery.
The quoted construction costs shall be expressed
in nominal dollars as of the date that the quote is
prepared and shall include capitalized financing costs
during construction, taxes, insurance, and other
owner's costs, and an assumed escalation in materials
and labor beyond the date as of which the construction
cost quote is expressed.
(B) The front end engineering and design study for
the gasification island and the cost study for the
balance of plant shall include sufficient design work
to permit quantification of major categories of
materials, commodities and labor hours, and receipt of
quotes from vendors of major equipment required to
construct and operate the clean coal facility.
(C) The facility cost report shall also include an
operating and maintenance cost quote that will provide
the estimated cost of delivered fuel, personnel,
maintenance contracts, chemicals, catalysts,
consumables, spares, and other fixed and variable
operations and maintenance costs. The delivered fuel
cost estimate will be provided by a recognized third
party expert or experts in the fuel and transportation
industries. The balance of the operating and
maintenance cost quote, excluding delivered fuel

10200SB0018sam001 - 467 - LRB102 12600 LNS 28802 a
costs, will be developed based on the inputs provided
by duly licensed engineering and construction firms
performing the construction cost quote, potential
vendors under long-term service agreements and plant
operating agreements, or recognized third party plant
operator or operators.
The operating and maintenance cost quote
(including the cost of the front end engineering and
design study) shall be expressed in nominal dollars as
of the date that the quote is prepared and shall
include taxes, insurance, and other owner's costs, and
an assumed escalation in materials and labor beyond
the date as of which the operating and maintenance
cost quote is expressed.
(D) The facility cost report shall also include an
analysis of the initial clean coal facility's ability
to deliver power and energy into the applicable
regional transmission organization markets and an
analysis of the expected capacity factor for the
initial clean coal facility.
(E) Amounts paid to third parties unrelated to the
owner or owners of the initial clean coal facility to
prepare the core plant construction cost quote,
including the front end engineering and design study,
and the operating and maintenance cost quote will be
reimbursed through Coal Development Bonds.

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(5) Re-powering and retrofitting coal-fired power
plants previously owned by Illinois utilities to qualify
as clean coal facilities. During the 2009 procurement
planning process and thereafter, the Agency and the
Commission shall consider sourcing agreements covering
electricity generated by power plants that were previously
owned by Illinois utilities and that have been or will be
converted into clean coal facilities, as defined by
Section 1-10 of this Act. Pursuant to such procurement
planning process, the owners of such facilities may
propose to the Agency sourcing agreements with utilities
and alternative retail electric suppliers required to
comply with subsection (d) of this Section and item (5) of
subsection (d) of Section 16-115 of the Public Utilities
Act, covering electricity generated by such facilities. In
the case of sourcing agreements that are power purchase
agreements, the contract price for electricity sales shall
be established on a cost of service basis. In the case of
sourcing agreements that are contracts for differences,
the contract price from which the reference price is
subtracted shall be established on a cost of service
basis. The Agency and the Commission may approve any such
utility sourcing agreements that do not exceed cost-based
benchmarks developed by the procurement administrator, in
consultation with the Commission staff, Agency staff and
the procurement monitor, subject to Commission review and

10200SB0018sam001 - 469 - LRB102 12600 LNS 28802 a
approval. The Commission shall have authority to inspect
all books and records associated with these clean coal
facilities during the term of any such contract.
(6) Costs incurred under this subsection (d) or
pursuant to a contract entered into under this subsection
(d) shall be deemed prudently incurred and reasonable in
amount and the electric utility shall be entitled to full
cost recovery pursuant to the tariffs filed with the
Commission.
(d-5) Zero emission standard.
(1) Beginning with the delivery year commencing on
June 1, 2017, the Agency shall, for electric utilities
that serve at least 100,000 retail customers in this
State, procure contracts with zero emission facilities
that are reasonably capable of generating cost-effective
zero emission credits in an amount approximately equal to
16% of the actual amount of electricity delivered by each
electric utility to retail customers in the State during
calendar year 2014. For an electric utility serving fewer
than 100,000 retail customers in this State that
requested, under Section 16-111.5 of the Public Utilities
Act, that the Agency procure power and energy for all or a
portion of the utility's Illinois load for the delivery
year commencing June 1, 2016, the Agency shall procure
contracts with zero emission facilities that are
reasonably capable of generating cost-effective zero

10200SB0018sam001 - 470 - LRB102 12600 LNS 28802 a
emission credits in an amount approximately equal to 16%
of the portion of power and energy to be procured by the
Agency for the utility. The duration of the contracts
procured under this subsection (d-5) shall be for a term
of 10 years ending May 31, 2027. The quantity of zero
emission credits to be procured under the contracts shall
be all of the zero emission credits generated by the zero
emission facility in each delivery year; however, if the
zero emission facility is owned by more than one entity,
then the quantity of zero emission credits to be procured
under the contracts shall be the amount of zero emission
credits that are generated from the portion of the zero
emission facility that is owned by the winning supplier.
The 16% value identified in this paragraph (1) is the
average of the percentage targets in subparagraph (B) of
paragraph (1) of subsection (c) of this Section for the 5
delivery years beginning June 1, 2017.
The procurement process shall be subject to the
following provisions:
(A) Those zero emission facilities that intend to
participate in the procurement shall submit to the
Agency the following eligibility information for each
zero emission facility on or before the date
established by the Agency:
(i) the in-service date and remaining useful
life of the zero emission facility;

10200SB0018sam001 - 471 - LRB102 12600 LNS 28802 a
(ii) the amount of power generated annually
for each of the years 2005 through 2015, and the
projected zero emission credits to be generated
over the remaining useful life of the zero
emission facility, which shall be used to
determine the capability of each facility;
(iii) the annual zero emission facility cost
projections, expressed on a per megawatthour
basis, over the next 6 delivery years, which shall
include the following: operation and maintenance
expenses; fully allocated overhead costs, which
shall be allocated using the methodology developed
by the Institute for Nuclear Power Operations;
fuel expenditures; non-fuel capital expenditures;
spent fuel expenditures; a return on working
capital; the cost of operational and market risks
that could be avoided by ceasing operation; and
any other costs necessary for continued
operations, provided that "necessary" means, for
purposes of this item (iii), that the costs could
reasonably be avoided only by ceasing operations
of the zero emission facility; and
(iv) a commitment to continue operating, for
the duration of the contract or contracts executed
under the procurement held under this subsection
(d-5), the zero emission facility that produces

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the zero emission credits to be procured in the
procurement.
The information described in item (iii) of this
subparagraph (A) may be submitted on a confidential
basis and shall be treated and maintained by the
Agency, the procurement administrator, and the
Commission as confidential and proprietary and exempt
from disclosure under subparagraphs (a) and (g) of
paragraph (1) of Section 7 of the Freedom of
Information Act. The Office of Attorney General shall
have access to, and maintain the confidentiality of,
such information pursuant to Section 6.5 of the
Attorney General Act.
(B) The price for each zero emission credit
procured under this subsection (d-5) for each delivery
year shall be in an amount that equals the Social Cost
of Carbon, expressed on a price per megawatthour
basis. However, to ensure that the procurement remains
affordable to retail customers in this State if
electricity prices increase, the price in an
applicable delivery year shall be reduced below the
Social Cost of Carbon by the amount ("Price
Adjustment") by which the market price index for the
applicable delivery year exceeds the baseline market
price index for the consecutive 12-month period ending
May 31, 2016. If the Price Adjustment is greater than

10200SB0018sam001 - 473 - LRB102 12600 LNS 28802 a
or equal to the Social Cost of Carbon in an applicable
delivery year, then no payments shall be due in that
delivery year. The components of this calculation are
defined as follows:
(i) Social Cost of Carbon: The Social Cost of
Carbon is $16.50 per megawatthour, which is based
on the U.S. Interagency Working Group on Social
Cost of Carbon's price in the August 2016
Technical Update using a 3% discount rate,
adjusted for inflation for each year of the
program. Beginning with the delivery year
commencing June 1, 2023, the price per
megawatthour shall increase by $1 per
megawatthour, and continue to increase by an
additional $1 per megawatthour each delivery year
thereafter.
(ii) Baseline market price index: The baseline
market price index for the consecutive 12-month
period ending May 31, 2016 is $31.40 per
megawatthour, which is based on the sum of (aa)
the average day-ahead energy price across all
hours of such 12-month period at the PJM
Interconnection LLC Northern Illinois Hub, (bb)
50% multiplied by the Base Residual Auction, or
its successor, capacity price for the rest of the
RTO zone group determined by PJM Interconnection

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LLC, divided by 24 hours per day, and (cc) 50%
multiplied by the Planning Resource Auction, or
its successor, capacity price for Zone 4
determined by the Midcontinent Independent System
Operator, Inc., divided by 24 hours per day.
(iii) Market price index: The market price
index for a delivery year shall be the sum of
projected energy prices and projected capacity
prices determined as follows:
(aa) Projected energy prices: the
projected energy prices for the applicable
delivery year shall be calculated once for the
year using the forward market price for the
PJM Interconnection, LLC Northern Illinois
Hub. The forward market price shall be
calculated as follows: the energy forward
prices for each month of the applicable
delivery year averaged for each trade date
during the calendar year immediately preceding
that delivery year to produce a single energy
forward price for the delivery year. The
forward market price calculation shall use
data published by the Intercontinental
Exchange, or its successor.
(bb) Projected capacity prices:
(I) For the delivery years commencing

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June 1, 2017, June 1, 2018, and June 1,
2019, the projected capacity price shall
be equal to the sum of (1) 50% multiplied
by the Base Residual Auction, or its
successor, price for the rest of the RTO
zone group as determined by PJM
Interconnection LLC, divided by 24 hours
per day and, (2) 50% multiplied by the
resource auction price determined in the
resource auction administered by the
Midcontinent Independent System Operator,
Inc., in which the largest percentage of
load cleared for Local Resource Zone 4,
divided by 24 hours per day, and where
such price is determined by the
Midcontinent Independent System Operator,
Inc.
(II) For the delivery year commencing
June 1, 2020, and each year thereafter,
the projected capacity price shall be
equal to the sum of (1) 50% multiplied by
the Base Residual Auction, or its
successor, price for the ComEd zone as
determined by PJM Interconnection LLC,
divided by 24 hours per day, and (2) 50%
multiplied by the resource auction price

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determined in the resource auction
administered by the Midcontinent
Independent System Operator, Inc., in
which the largest percentage of load
cleared for Local Resource Zone 4, divided
by 24 hours per day, and where such price
is determined by the Midcontinent
Independent System Operator, Inc.
For purposes of this subsection (d-5):
"Rest of the RTO" and "ComEd Zone" shall have
the meaning ascribed to them by PJM
Interconnection, LLC.
"RTO" means regional transmission
organization.
(C) No later than 45 days after June 1, 2017 (the
effective date of Public Act 99-906), the Agency shall
publish its proposed zero emission standard
procurement plan. The plan shall be consistent with
the provisions of this paragraph (1) and shall provide
that winning bids shall be selected based on public
interest criteria that include, but are not limited
to, minimizing carbon dioxide emissions that result
from electricity consumed in Illinois and minimizing
sulfur dioxide, nitrogen oxide, and particulate matter
emissions that adversely affect the citizens of this
State. In particular, the selection of winning bids

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shall take into account the incremental environmental
benefits resulting from the procurement, such as any
existing environmental benefits that are preserved by
the procurements held under Public Act 99-906 and
would cease to exist if the procurements were not
held, including the preservation of zero emission
facilities. The plan shall also describe in detail how
each public interest factor shall be considered and
weighted in the bid selection process to ensure that
the public interest criteria are applied to the
procurement and given full effect.
For purposes of developing the plan, the Agency
shall consider any reports issued by a State agency,
board, or commission under House Resolution 1146 of
the 98th General Assembly and paragraph (4) of
subsection (d) of this Section, as well as publicly
available analyses and studies performed by or for
regional transmission organizations that serve the
State and their independent market monitors.
Upon publishing of the zero emission standard
procurement plan, copies of the plan shall be posted
and made publicly available on the Agency's website.
All interested parties shall have 10 days following
the date of posting to provide comment to the Agency on
the plan. All comments shall be posted to the Agency's
website. Following the end of the comment period, but

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no more than 60 days later than June 1, 2017 (the
effective date of Public Act 99-906), the Agency shall
revise the plan as necessary based on the comments
received and file its zero emission standard
procurement plan with the Commission.
If the Commission determines that the plan will
result in the procurement of cost-effective zero
emission credits, then the Commission shall, after
notice and hearing, but no later than 45 days after the
Agency filed the plan, approve the plan or approve
with modification. For purposes of this subsection
(d-5), "cost effective" means the projected costs of
procuring zero emission credits from zero emission
facilities do not cause the limit stated in paragraph
(2) of this subsection to be exceeded.
(C-5) As part of the Commission's review and
acceptance or rejection of the procurement results,
the Commission shall, in its public notice of
successful bidders:
(i) identify how the winning bids satisfy the
public interest criteria described in subparagraph
(C) of this paragraph (1) of minimizing carbon
dioxide emissions that result from electricity
consumed in Illinois and minimizing sulfur
dioxide, nitrogen oxide, and particulate matter
emissions that adversely affect the citizens of

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this State;
(ii) specifically address how the selection of
winning bids takes into account the incremental
environmental benefits resulting from the
procurement, including any existing environmental
benefits that are preserved by the procurements
held under Public Act 99-906 and would have ceased
to exist if the procurements had not been held,
such as the preservation of zero emission
facilities;
(iii) quantify the environmental benefit of
preserving the resources identified in item (ii)
of this subparagraph (C-5), including the
following:
(aa) the value of avoided greenhouse gas
emissions measured as the product of the zero
emission facilities' output over the contract
term multiplied by the U.S. Environmental
Protection Agency eGrid subregion carbon
dioxide emission rate and the U.S. Interagency
Working Group on Social Cost of Carbon's price
in the August 2016 Technical Update using a 3%
discount rate, adjusted for inflation for each
delivery year; and
(bb) the costs of replacement with other
zero carbon dioxide resources, including wind

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and photovoltaic, based upon the simple
average of the following:
(I) the price, or if there is more
than one price, the average of the prices,
paid for renewable energy credits from new
utility-scale wind projects in the
procurement events specified in item (i)
of subparagraph (G) of paragraph (1) of
subsection (c) of this Section; and
(II) the price, or if there is more
than one price, the average of the prices,
paid for renewable energy credits from new
utility-scale solar projects and
brownfield site photovoltaic projects in
the procurement events specified in item
(ii) of subparagraph (G) of paragraph (1)
of subsection (c) of this Section and,
after January 1, 2015, renewable energy
credits from photovoltaic distributed
generation projects in procurement events
held under subsection (c) of this Section.
Each utility shall enter into binding contractual
arrangements with the winning suppliers.
The procurement described in this subsection
(d-5), including, but not limited to, the execution of
all contracts procured, shall be completed no later

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than May 10, 2017. Based on the effective date of
Public Act 99-906, the Agency and Commission may, as
appropriate, modify the various dates and timelines
under this subparagraph and subparagraphs (C) and (D)
of this paragraph (1). The procurement and plan
approval processes required by this subsection (d-5)
shall be conducted in conjunction with the procurement
and plan approval processes required by subsection (c)
of this Section and Section 16-111.5 of the Public
Utilities Act, to the extent practicable.
Notwithstanding whether a procurement event is
conducted under Section 16-111.5 of the Public
Utilities Act, the Agency shall immediately initiate a
procurement process on June 1, 2017 (the effective
date of Public Act 99-906).
(D) Following the procurement event described in
this paragraph (1) and consistent with subparagraph
(B) of this paragraph (1), the Agency shall calculate
the payments to be made under each contract for the
next delivery year based on the market price index for
that delivery year. The Agency shall publish the
payment calculations no later than May 25, 2017 and
every May 25 thereafter.
(E) Notwithstanding the requirements of this
subsection (d-5), the contracts executed under this
subsection (d-5) shall provide that the zero emission

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facility may, as applicable, suspend or terminate
performance under the contracts in the following
instances:
(i) A zero emission facility shall be excused
from its performance under the contract for any
cause beyond the control of the resource,
including, but not restricted to, acts of God,
flood, drought, earthquake, storm, fire,
lightning, epidemic, war, riot, civil disturbance
or disobedience, labor dispute, labor or material
shortage, sabotage, acts of public enemy,
explosions, orders, regulations or restrictions
imposed by governmental, military, or lawfully
established civilian authorities, which, in any of
the foregoing cases, by exercise of commercially
reasonable efforts the zero emission facility
could not reasonably have been expected to avoid,
and which, by the exercise of commercially
reasonable efforts, it has been unable to
overcome. In such event, the zero emission
facility shall be excused from performance for the
duration of the event, including, but not limited
to, delivery of zero emission credits, and no
payment shall be due to the zero emission facility
during the duration of the event.
(ii) A zero emission facility shall be

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permitted to terminate the contract if legislation
is enacted into law by the General Assembly that
imposes or authorizes a new tax, special
assessment, or fee on the generation of
electricity, the ownership or leasehold of a
generating unit, or the privilege or occupation of
such generation, ownership, or leasehold of
generation units by a zero emission facility.
However, the provisions of this item (ii) do not
apply to any generally applicable tax, special
assessment or fee, or requirements imposed by
federal law.
(iii) A zero emission facility shall be
permitted to terminate the contract in the event
that the resource requires capital expenditures in
excess of $40,000,000 that were neither known nor
reasonably foreseeable at the time it executed the
contract and that a prudent owner or operator of
such resource would not undertake.
(iv) A zero emission facility shall be
permitted to terminate the contract in the event
the Nuclear Regulatory Commission terminates the
resource's license.
(F) If the zero emission facility elects to
terminate a contract under subparagraph (E) of this
paragraph (1), then the Commission shall reopen the

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docket in which the Commission approved the zero
emission standard procurement plan under subparagraph
(C) of this paragraph (1) and, after notice and
hearing, enter an order acknowledging the contract
termination election if such termination is consistent
with the provisions of this subsection (d-5).
(2) For purposes of this subsection (d-5), the amount
paid per kilowatthour means the total amount paid for
electric service expressed on a per kilowatthour basis.
For purposes of this subsection (d-5), the total amount
paid for electric service includes, without limitation,
amounts paid for supply, transmission, distribution,
surcharges, and add-on taxes.
Notwithstanding the requirements of this subsection
(d-5), the contracts executed under this subsection (d-5)
shall provide that the total of zero emission credits
procured under a procurement plan shall be subject to the
limitations of this paragraph (2). For each delivery year,
the contractual volume receiving payments in such year
shall be reduced for all retail customers based on the
amount necessary to limit the net increase that delivery
year to the costs of those credits included in the amounts
paid by eligible retail customers in connection with
electric service to no more than 1.65% of the amount paid
per kilowatthour by eligible retail customers during the
year ending May 31, 2009. The result of this computation

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shall apply to and reduce the procurement for all retail
customers, and all those customers shall pay the same
single, uniform cents per kilowatthour charge under
subsection (k) of Section 16-108 of the Public Utilities
Act. To arrive at a maximum dollar amount of zero emission
credits to be paid for the particular delivery year, the
resulting per kilowatthour amount shall be applied to the
actual amount of kilowatthours of electricity delivered by
the electric utility in the delivery year immediately
prior to the procurement, to all retail customers in its
service territory. Unpaid contractual volume for any
delivery year shall be paid in any subsequent delivery
year in which such payments can be made without exceeding
the amount specified in this paragraph (2). The
calculations required by this paragraph (2) shall be made
only once for each procurement plan year. Once the
determination as to the amount of zero emission credits to
be paid is made based on the calculations set forth in this
paragraph (2), no subsequent rate impact determinations
shall be made and no adjustments to those contract amounts
shall be allowed. All costs incurred under those contracts
and in implementing this subsection (d-5) shall be
recovered by the electric utility as provided in this
Section.
No later than June 30, 2019, the Commission shall
review the limitation on the amount of zero emission

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credits procured under this subsection (d-5) and report to
the General Assembly its findings as to whether that
limitation unduly constrains the procurement of
cost-effective zero emission credits.
(3) Six years after the execution of a contract under
this subsection (d-5), the Agency shall determine whether
the actual zero emission credit payments received by the
supplier over the 6-year period exceed the Average ZEC
Payment. In addition, at the end of the term of a contract
executed under this subsection (d-5), or at the time, if
any, a zero emission facility's contract is terminated
under subparagraph (E) of paragraph (1) of this subsection
(d-5), then the Agency shall determine whether the actual
zero emission credit payments received by the supplier
over the term of the contract exceed the Average ZEC
Payment, after taking into account any amounts previously
credited back to the utility under this paragraph (3). If
the Agency determines that the actual zero emission credit
payments received by the supplier over the relevant period
exceed the Average ZEC Payment, then the supplier shall
credit the difference back to the utility. The amount of
the credit shall be remitted to the applicable electric
utility no later than 120 days after the Agency's
determination, which the utility shall reflect as a credit
on its retail customer bills as soon as practicable;
however, the credit remitted to the utility shall not

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exceed the total amount of payments received by the
facility under its contract.
For purposes of this Section, the Average ZEC Payment
shall be calculated by multiplying the quantity of zero
emission credits delivered under the contract times the
average contract price. The average contract price shall
be determined by subtracting the amount calculated under
subparagraph (B) of this paragraph (3) from the amount
calculated under subparagraph (A) of this paragraph (3),
as follows:
(A) The average of the Social Cost of Carbon, as
defined in subparagraph (B) of paragraph (1) of this
subsection (d-5), during the term of the contract.
(B) The average of the market price indices, as
defined in subparagraph (B) of paragraph (1) of this
subsection (d-5), during the term of the contract,
minus the baseline market price index, as defined in
subparagraph (B) of paragraph (1) of this subsection
(d-5).
If the subtraction yields a negative number, then the
Average ZEC Payment shall be zero.
(4) Cost-effective zero emission credits procured from
zero emission facilities shall satisfy the applicable
definitions set forth in Section 1-10 of this Act.
(5) The electric utility shall retire all zero
emission credits used to comply with the requirements of

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this subsection (d-5).
(6) Electric utilities shall be entitled to recover
all of the costs associated with the procurement of zero
emission credits through an automatic adjustment clause
tariff in accordance with subsection (k) and (m) of
Section 16-108 of the Public Utilities Act, and the
contracts executed under this subsection (d-5) shall
provide that the utilities' payment obligations under such
contracts shall be reduced if an adjustment is required
under subsection (m) of Section 16-108 of the Public
Utilities Act.
(7) This subsection (d-5) shall become inoperative on
January 1, 2028.
(d-10) Nuclear Plant Assistance; carbon mitigation
credits.
(1) The General Assembly finds:
(A) The health, welfare, and prosperity of all
Illinois citizens require that the State of Illinois act
to avoid and not increase carbon emissions from electric
generation sources while continuing to ensure affordable,
stable, and reliable electricity to all citizens.
(B) Absent immediate action by the State to preserve
existing carbon-free energy resources, those resources may
retire, and the electric generation needs of Illinois'
retail customers may be met instead by facilities that
emit significant amounts of carbon pollution and other

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harmful air pollutants at a high social and economic cost
until Illinois is able to develop other forms of clean
energy.
(C) The General Assembly finds that nuclear power
generation is necessary for the State's transition to 100%
clean energy, and ensuring continued operation of nuclear
plants advances environmental and public health interests
through providing carbon-free electricity while reducing
the air pollution profile of the Illinois energy
generation fleet.
(D) The clean energy attributes of nuclear generation
facilities support the State in its efforts to achieve
100% clean energy.
(E) The State currently invests in various forms of
clean energy, including, but not limited to, renewable
energy, energy efficiency, and low-emission vehicles,
among others.
(F) The Environmental Protection Agency commissioned
an independent audit which provided a detailed assessment
of the financial condition of the Illinois nuclear fleet
to evaluate its financial viability and whether the
environmental benefits of such resources were at risk. The
report identified the risk of losing the environmental
benefits of several specific nuclear units. The report
also identified that the LaSalle County Generating Station
will continue to operate through 2026 and therefore is not

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eligible to participate in the carbon mitigation credit
program.
(G) Nuclear plants provide carbon-free energy, which
helps to avoid many health-related negative impacts for
Illinois residents.
(H) The procurement of carbon mitigation credits
representing the environmental benefits of carbon-free
generation will further the State's efforts at achieving
100% clean energy and decarbonizing the electricity sector
in a safe, reliable, and affordable manner. Further, the
procurement of carbon emission credits will enhance the
health and welfare of Illinois residents through decreased
reliance on more highly polluting generation.
(I) The General Assembly therefore finds it necessary
to establish carbon mitigation credits to ensure decreased
reliance on more carbon-intensive energy resources, for
transitioning to a fully decarbonized electricity sector,
and to help ensure health and welfare of the State's
residents.
(2) As used in this subsection:
"Baseline costs" means costs used to establish a customer
protection cap that have been evaluated through an independent
audit of a carbon-free energy resource conducted by the
Environmental Protection Agency that evaluated projected
annual costs for operation and maintenance expenses; fully
allocated overhead costs, which shall be allocated using the

10200SB0018sam001 - 491 - LRB102 12600 LNS 28802 a
methodology developed by the Institute for Nuclear Power
Operations; fuel expenditures; nonfuel capital expenditures;
spent fuel expenditures; a return on working capital; the cost
of operational and market risks that could be avoided by
ceasing operation; and any other costs necessary for continued
operations, provided that "necessary" means, for purposes of
this definition, that the costs could reasonably be avoided
only by ceasing operations of the carbon-free energy resource.
"Carbon mitigation credit" means a tradable credit that
represents the carbon emission reduction attributes of one
megawatt-hour of energy produced from a carbon-free energy
resource.
"Carbon-free energy resource" means a generation facility
that: (1) is fueled by nuclear power; and (2) is
interconnected to PJM Interconnection, LLC.
(3) Procurement.
(A) Beginning with the delivery year commencing on
June 1, 2022, the Agency shall, for electric utilities
serving at least 3,000,000 retail customers in the State,
seek to procure contracts for no more than approximately
54,500,000 cost-effective carbon mitigation credits from
carbon-free energy resources because such credits are
necessary to support current levels of carbon-free energy
generation and ensure the State meets its carbon dioxide
emissions reduction goals. The Agency shall not make a
partial award of a contract for carbon mitigation credits

10200SB0018sam001 - 492 - LRB102 12600 LNS 28802 a
covering a fractional amount of a carbon-free energy
resource's projected output.
(B) Each carbon-free energy resource that intends to
participate in a procurement shall be required to submit
to the Agency the following information for the resource
on or before the date established by the Agency:
(i) the in-service date and remaining useful life
of the carbon-free energy resource;
(ii) the amount of power generated annually for
each of the past 10 years, which shall be used to
determine the capability of each facility;
(iii) a commitment to be reflected in any contract
entered into pursuant to this subsection (d-10) to
continue operating the carbon-free energy resource at
a capacity factor of at least 88% annually on average
for the duration of the contract or contracts executed
under the procurement held under this subsection
(d-10), except in an instance described in
subparagraph (E) of paragraph (1) of subsection (d-5)
of this Section or made impracticable as a result of
compliance with law or regulation;
(iv) financial need and the risk of loss of the
environmental benefits of such resource, which shall
include the following information:
(I) the carbon-free energy resource's cost
projections, expressed on a per megawatt-hour

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basis, over the next 5 delivery years, which shall
include the following: operation and maintenance
expenses; fully allocated overhead costs, which
shall be allocated using the methodology developed
by the Institute for Nuclear Power Operations;
fuel expenditures; nonfuel capital expenditures;
spent fuel expenditures; a return on working
capital; the cost of operational and market risks
that could be avoided by ceasing operation; and
any other costs necessary for continued
operations, provided that "necessary" means, for
purposes of this subitem (I), that the costs could
reasonably be avoided only by ceasing operations
of the carbon-free energy resource; and
(II) the carbon-free energy resource's revenue
projections, including energy, capacity, ancillary
services, any other direct State support, known or
anticipated federal attribute credits, known or
anticipated tax credits, and any other direct
federal support.
The information described in this subparagraph (B) may
be submitted on a confidential basis and shall be treated
and maintained by the Agency, the procurement
administrator, and the Commission as confidential and
proprietary and exempt from disclosure under subparagraphs
(a) and (g) of paragraph (1) of Section 7 of the Freedom of

10200SB0018sam001 - 494 - LRB102 12600 LNS 28802 a
Information Act. The Office of the Attorney General shall
have access to, and maintain the confidentiality of, such
information pursuant to Section 6.5 of the Attorney
General Act.
(C) The Agency shall solicit bids for the contracts
described in this subsection (d-10) from carbon-free
energy resources that have satisfied the requirements of
subparagraph (B) of this paragraph (3). The contracts
procured pursuant to a procurement event shall reflect,
and be subject to, the following terms, requirements, and
limitations:
(i) Contracts are for delivery of carbon
mitigation credits, and are not energy or capacity
sales contracts requiring physical delivery. Pursuant
to item (iii), contract payments shall fully deduct
the value of any monetized federal production tax
credits, credits issued pursuant to a federal clean
energy standard, and other federal credits if
applicable.
(ii) Contracts for carbon mitigation credits shall
commence with the delivery year beginning on June 1,
2022 and shall be for a term of 5 delivery years
concluding on May 31, 2027.
(iii) The price per carbon mitigation credit to be
paid under a contract for a given delivery year shall
be equal to an accepted bid price less the sum of:

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(I) one of the following energy price indices,
selected by the bidder at the time of the bid for
the term of the contract:
(aa) the weighted-average hourly day-ahead
price for the applicable delivery year at the
busbar of all resources procured pursuant to
this subsection (d-10), weighted by actual
production from the resources; or
(bb) the projected energy price for the
PJM Interconnection, LLC Northern Illinois Hub
for the applicable delivery year determined
according to subitem (aa) of item (iii) of
subparagraph (B) of paragraph (1) of
subsection (d-5).
(II) the Base Residual Auction Capacity Price
for the ComEd zone as determined by PJM
Interconnection, LLC, divided by 24 hours per day,
for the applicable delivery year for the first 3
delivery years, and then any subsequent delivery
years unless the PJM Interconnection, LLC applies
the Minimum Offer Price Rule to participating
carbon-free energy resources because they supply
carbon mitigation credits pursuant to this Section
at which time, upon notice by the carbon-free
energy resource to the Commission and subject to
the Commission's confirmation, the value under

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this subitem shall be zero, as further described
in the carbon mitigation credit procurement plan;
and
(III) any value of monetized federal tax
credits, direct payments, or similar subsidy
provided to the carbon-free energy resource from
any unit of government that is not already
reflected in energy prices.
If the price-per-megawatt-hour calculation
performed under item (iii) of this subparagraph (C)
for a given delivery year results in a net positive
value, then the electric utility counterparty to the
contract shall multiply such net value by the
applicable contract quantity and remit the amount to
the supplier.
To protect retail customers from retail rate
impacts that may arise upon the initiation of carbon
policy changes, if the price-per-megawatt-hour
calculation performed under item (iii) of this
subparagraph (C) for a given delivery year results in
a net negative value, then the supplier counterparty
to the contract shall multiply such net value by the
applicable contract quantity and remit such amount to
the electric utility counterparty. The electric
utility shall reflect such amounts remitted by
suppliers as a credit on its retail customer bills as

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soon as practicable.
(iv) to ensure that retail customers in Northern
Illinois do not pay more for carbon mitigation credits
than the value such credits provide, and
notwithstanding the provisions of this subsection
(d-10), the Agency shall not accept bids for contracts
that exceed a customer protection cap equal to the
baseline costs of carbon-free energy resources.
The baseline costs for the applicable year shall
be the following:
(I) For the delivery year beginning June 1,
2022, the baseline costs shall be an amount equal
to $30.30 per megawatt-hour.
(II) For the delivery year beginning June 1,
2023, the baseline costs shall be an amount equal
to $32.50 per megawatt-hour.
(III) For the delivery year beginning June 1,
2024, the baseline costs shall be an amount equal
to $33.43 per megawatt-hour.
(IV) For the delivery year beginning June 1,
2025, the baseline costs shall be an amount equal
to $33.50 per megawatt-hour.
(V) For the delivery year beginning June 1,
2026, the baseline costs shall be an amount equal
to $34.50 per megawatt-hour.
An Environmental Protection Agency consultant

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forecast, included in a report issued April 14, 2021,
projects that a carbon-free energy resource has the
opportunity to earn on average approximately $30.28
per megawatt-hour, for the sale of energy and capacity
during the time period between 2022 and 2027.
Therefore, the sale of carbon mitigation credits
provides the opportunity to receive an additional
amount per megawatt-hour in addition to the projected
prices for energy and capacity.
Although actual energy and capacity prices may
vary from year-to-year, the General Assembly finds
that this customer protection cap will help ensure
that the cost of carbon mitigation credits will be
less than its value, based upon the social cost of
carbon identified in the Technical Support Document
issued in February 2021 by the U.S. Interagency
Working Group on Social Cost of Greenhouse Gases and
the PJM Interconnection, LLC carbon dioxide marginal
emission rate for 2020, and that a carbon-free energy
resource receiving payment for carbon mitigation
credits receives no more than necessary to keep those
units in operation.
(D) No later than 7 days after the effective date of
this amendatory Act of the 102nd General Assembly, the
Agency shall publish its proposed carbon mitigation credit
procurement plan. The Plan shall provide that winning bids

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shall be selected by taking into consideration which
resources best match public interest criteria that
include, but are not limited to, minimizing carbon dioxide
emissions that result from electricity consumed in
Illinois and minimizing sulfur dioxide, nitrogen oxide,
and particulate matter emissions that adversely affect the
citizens of this State. The selection of winning bids
shall also take into account the incremental environmental
benefits resulting from the procurement or procurements,
such as any existing environmental benefits that are
preserved by a procurement held under this subsection
(d-10) and would cease to exist if the procurement were
not held, including the preservation of carbon-free energy
resources. For those bidders having the same public
interest criteria score, the relative ranking of such
bidders shall be determined by price. The Plan shall
describe in detail how each public interest factor shall
be considered and weighted in the bid selection process to
ensure that the public interest criteria are applied to
the procurement. The Plan shall, to the extent practical
and permissible by federal law, ensure that successful
bidders make commercially reasonable efforts to apply for
federal tax credits, direct payments, or similar subsidy
programs that support carbon-free generation and for which
the successful bidder is eligible. Upon publishing of the
carbon mitigation credit procurement plan, copies of the

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plan shall be posted and made publicly available on the
Agency's website. All interested parties shall have 7 days
following the date of posting to provide comment to the
Agency on the plan. All comments shall be posted to the
Agency's website. Following the end of the comment period,
but no more than 19 days later than the effective date of
this amendatory Act of the 102nd General Assembly, the
Agency shall revise the plan as necessary based on the
comments received and file its carbon mitigation credit
procurement plan with the Commission.
(E) If the Commission determines that the plan is
likely to result in the procurement of cost-effective
carbon mitigation credits, then the Commission shall,
after notice and hearing and opportunity for comment, but
no later than 42 days after the Agency filed the plan,
approve the plan or approve it with modification. For
purposes of this subsection (d-10), "cost-effective" means
carbon mitigation credits that are procured from
carbon-free energy resources at prices that are within the
limits specified in this paragraph (3). As part of the
Commission's review and acceptance or rejection of the
procurement results, the Commission shall, in its public
notice of successful bidders:
(i) identify how the selected carbon-free energy
resources satisfy the public interest criteria
described in this paragraph (3) of minimizing carbon

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dioxide emissions that result from electricity
consumed in Illinois and minimizing sulfur dioxide,
nitrogen oxide, and particulate matter emissions that
adversely affect the citizens of this State;
(ii) specifically address how the selection of
carbon-free energy resources takes into account the
incremental environmental benefits resulting from the
procurement, including any existing environmental
benefits that are preserved by the procurements held
under this amendatory Act of the 102nd General
Assembly and would have ceased to exist if the
procurements had not been held, such as the
preservation of carbon-free energy resources;
(iii) quantify the environmental benefit of
preserving the carbon-free energy resources procured
pursuant to this subsection (d-10), including the
following:
(I) an assessment value of avoided greenhouse
gas emissions measured as the product of the
carbon-free energy resources' output over the
contract term, using generally accepted
methodologies for the valuation of avoided
emissions; and
(II) an assessment of costs of replacement
with other carbon-free energy resources and
renewable energy resources, including wind and

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photovoltaic generation, based upon an assessment
of the prices paid for renewable energy credits
through programs and procurements conducted
pursuant to subsection (c) of Section 1-75 of this
Act, and the additional storage necessary to
produce the same or similar capability of matching
customer usage patterns.
(F) The procurements described in this paragraph (3),
including, but not limited to, the execution of all
contracts procured, shall be completed no later than
December 3, 2021. The procurement and plan approval
processes required by this paragraph (3) shall be
conducted in conjunction with the procurement and plan
approval processes required by Section 16-111.5 of the
Public Utilities Act, to the extent practicable. However,
the Agency and Commission may, as appropriate, modify the
various dates and timelines under this subparagraph and
subparagraphs (D) and (E) of this paragraph (3) to meet
the December 3, 2021 contract execution deadline.
Following the completion of such procurements, and
consistent with this paragraph (3), the Agency shall
calculate the payments to be made under each contract in a
timely fashion.
(F-1) Costs incurred by the electric utility pursuant
to a contract authorized by this subsection (d-10) shall
be deemed prudently incurred and reasonable in amount, and

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the electric utility shall be entitled to full cost
recovery pursuant to a tariff or tariffs filed with the
Commission.
(G) The counterparty electric utility shall retire all
carbon mitigation credits used to comply with the
requirements of this subsection (d-10).
(H) If a carbon-free energy resource is sold to
another owner, the rights, obligations, and commitments
under this subsection (d-10) shall continue to the
subsequent owner.
(I) This subsection (d-10) shall become inoperative on
January 1, 2028.
(e) The draft procurement plans are subject to public
comment, as required by Section 16-111.5 of the Public
Utilities Act.
(f) The Agency shall submit the final procurement plan to
the Commission. The Agency shall revise a procurement plan if
the Commission determines that it does not meet the standards
set forth in Section 16-111.5 of the Public Utilities Act.
(g) The Agency shall assess fees to each affected utility
to recover the costs incurred in preparation of the annual
procurement plan for the utility.
(h) The Agency shall assess fees to each bidder to recover
the costs incurred in connection with a competitive
procurement process.
(i) A renewable energy credit, carbon emission credit, or

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zero emission credit, or carbon mitigation credit can only be
used once to comply with a single portfolio or other standard
as set forth in subsection (c), subsection (d), or subsection
(d-5) of this Section, respectively. A renewable energy
credit, carbon emission credit, or zero emission credit, or
carbon mitigation credit cannot be used to satisfy the
requirements of more than one standard. If more than one type
of credit is issued for the same megawatt hour of energy, only
one credit can be used to satisfy the requirements of a single
standard. After such use, the credit must be retired together
with any other credits issued for the same megawatt hour of
energy.
(Source: P.A. 100-863, eff. 8-14-18; 101-81, eff. 7-12-19;
101-113, eff. 1-1-20.)
(20 ILCS 3855/1-92)
Sec. 1-92. Aggregation of electrical load by
municipalities, townships, and counties.
(a) The corporate authorities of a municipality, township
board, or county board of a county may adopt an ordinance under
which it may aggregate in accordance with this Section
residential and small commercial retail electrical loads
located, respectively, within the municipality, the township,
or the unincorporated areas of the county and, for that
purpose, may solicit bids and enter into service agreements to
facilitate for those loads the sale and purchase of

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electricity and related services and equipment.
The corporate authorities, township board, or county board
may also exercise such authority jointly with any other
municipality, township, or county. Two or more municipalities,
townships, or counties, or a combination of both, may initiate
a process jointly to authorize aggregation by a majority vote
of each particular municipality, township, or county as
required by this Section.
If the corporate authorities, township board, or the
county board seek to operate the aggregation program as an
opt-out program for residential and small commercial retail
customers, then prior to the adoption of an ordinance with
respect to aggregation of residential and small commercial
retail electric loads, the corporate authorities of a
municipality, the township board, or the county board of a
county shall submit a referendum to its residents to determine
whether or not the aggregation program shall operate as an
opt-out program for residential and small commercial retail
customers. Any county board that seeks to submit such a
referendum to its residents shall do so only in unincorporated
areas of the county where no electric aggregation ordinance
has been adopted.
In addition to the notice and conduct requirements of the
general election law, notice of the referendum shall state
briefly the purpose of the referendum. The question of whether
the corporate authorities, the township board, or the county

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board shall adopt an opt-out aggregation program for
residential and small commercial retail customers shall be
submitted to the electors of the municipality, township board,
or county board at a regular election and approved by a
majority of the electors voting on the question. The corporate
authorities, township board, or county board must certify to
the proper election authority, which must submit the question
at an election in accordance with the Election Code.
The election authority must submit the question in
substantially the following form:
Shall the (municipality, township, or county in which
the question is being voted upon) have the authority to
arrange for the supply of electricity for its residential
and small commercial retail customers who have not opted
out of such program?
The election authority must record the votes as "Yes" or "No".
If a majority of the electors voting on the question vote
in the affirmative, then the corporate authorities, township
board, or county board may implement an opt-out aggregation
program for residential and small commercial retail customers.
A referendum must pass in each particular municipality,
township, or county that is engaged in the aggregation
program. If the referendum fails, then the corporate
authorities, township board, or county board shall operate the
aggregation program as an opt-in program for residential and
small commercial retail customers.

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An ordinance under this Section shall specify whether the
aggregation will occur only with the prior consent of each
person owning, occupying, controlling, or using an electric
load center proposed to be aggregated. Nothing in this
Section, however, authorizes the aggregation of electric loads
that are served or authorized to be served by an electric
cooperative as defined by and pursuant to the Electric
Supplier Act or loads served by a municipality that owns and
operates its own electric distribution system. No aggregation
shall take effect unless approved by a majority of the members
of the corporate authority, township board, or county board
voting upon the ordinance.
A governmental aggregator under this Section is not a
public utility or an alternative retail electric supplier.
For purposes of this Section, "township" means the portion
of a township that is an unincorporated portion of a county
that is not otherwise a part of a municipality. In addition to
such other limitations as are included in this Section, a
township board shall only have authority to aggregate
residential and small commercial customer loads in accordance
with this Section if the county board of the county in which
the township is located (i) is not also submitting a
referendum to its residents at the same general election that
the township board proposes to submit a referendum under this
subsection (a), (ii) has not received authorization through
passage of a referendum to operate an opt-out aggregation

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program for residential and small commercial retail customers
under this subsection (a), and (iii) has not otherwise enacted
an ordinance under this subsection (a) authorizing the
operation of an opt-in aggregation program for residential and
small commercial retail customers as described in this
Section.
(b) Upon the applicable requisite authority under this
Section, the corporate authorities, the township board, or the
county board, with assistance from the Illinois Power Agency,
shall develop a plan of operation and governance for the
aggregation program so authorized. Before adopting a plan
under this Section, the corporate authorities, township board,
or county board shall hold at least 2 public hearings on the
plan. Before the first hearing, the corporate authorities,
township board, or county board shall publish notice of the
hearings once a week for 2 consecutive weeks in a newspaper of
general circulation in the jurisdiction. The notice shall
summarize the plan and state the date, time, and location of
each hearing. Any load aggregation plan established pursuant
to this Section shall:
(1) provide for universal access to all applicable
residential customers and equitable treatment of
applicable residential customers;
(2) describe demand management and energy efficiency
services to be provided to each class of customers; and
(3) meet any requirements established by law

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concerning aggregated service offered pursuant to this
Section.
(c) The process for soliciting bids for electricity and
other related services and awarding proposed agreements for
the purchase of electricity and other related services shall
be conducted in the following order:
(1) The corporate authorities, township board, or
county board may solicit bids for electricity and other
related services. The bid specifications may include a
provision requiring the bidder to disclose the fuel type
of electricity to be procured or generated on behalf of
the aggregation program customers. The corporate
authorities, township board, or county board may consider
the proposed source of electricity to be procured or
generated to be put into the grid on behalf of aggregation
program customers in the competitive bidding process. The
Agency and Commission may collaborate to issue joint
guidance on voluntary uniform standards for bidder
disclosures of the source of electricity to be procured or
generated to be put into the grid on behalf of aggregation
program customers.
(1.5) A township board shall request from the electric
utility those residential and small commercial customers
within their aggregate area either by zip code or zip
codes or other means as determined by the electric
utility. The electric utility shall then provide to the

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township board the residential and small commercial
customers, including the names and addresses of
residential and small commercial customers,
electronically. The township board shall be responsible
for authenticating the residential and small commercial
customers contained in this listing and providing edits of
the data to affirm, add, or delete the residential and
small commercial customers located within its
jurisdiction. The township board shall provide the edited
list to the electric utility in an electronic format or
other means selected by the electric utility and certify
that the information is accurate.
(2) Notwithstanding Section 16-122 of the Public
Utilities Act and Section 2HH of the Consumer Fraud and
Deceptive Business Practices Act, an electric utility that
provides residential and small commercial retail electric
service in the aggregate area must, upon request of the
corporate authorities, township board, or the county board
in the aggregate area, submit to the requesting party, in
an electronic format, those account numbers, names, and
addresses of residential and small commercial retail
customers in the aggregate area that are reflected in the
electric utility's records at the time of the request;
provided, however, that any township board has first
provided an accurate customer list to the electric utility
as provided for herein.

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Any corporate authority, township board, or county board
receiving customer information from an electric utility shall
be subject to the limitations on the disclosure of the
information described in Section 16-122 of the Public
Utilities Act and Section 2HH of the Consumer Fraud and
Deceptive Business Practices Act, and an electric utility
shall not be held liable for any claims arising out of the
provision of information pursuant to this item (2).
(d) If the corporate authorities, township board, or
county board operate under an opt-in program for residential
and small commercial retail customers, then the corporate
authorities, township board, or county board shall comply with
all of the following:
(1) Within 60 days after receiving the bids, the
corporate authorities, township board, or county board
shall allow residential and small commercial retail
customers to commit to the terms and conditions of a bid
that has been selected by the corporate authorities,
township board, or county board.
(2) If (A) the corporate authorities, township board,
or county board award proposed agreements for the purchase
of electricity and other related services and (B) an
agreement is reached between the corporate authorities,
township board, or county board for those services, then
customers committed to the terms and conditions according
to item (1) of this subsection (d) shall be committed to

10200SB0018sam001 - 512 - LRB102 12600 LNS 28802 a
the agreement.
(e) If the corporate authorities, township board, or
county board operate as an opt-out program for residential and
small commercial retail customers, then it shall be the duty
of the aggregated entity to fully inform residential and small
commercial retail customers in advance that they have the
right to opt out of the aggregation program. The disclosure
shall prominently state all charges to be made and shall
include full disclosure of the cost to obtain service pursuant
to Section 16-103 of the Public Utilities Act, how to access
it, and the fact that it is available to them without penalty,
if they are currently receiving service under that Section.
The Illinois Power Agency shall furnish, without charge, to
any citizen a list of all supply options available to them in a
format that allows comparison of prices and products.
(f) Any person or entity retained by a municipality or
county, or jointly by more than one such unit of local
government, to provide input, guidance, or advice in the
selection of an electricity supplier for an aggregation
program shall disclose in writing to the involved units of
local government the nature of any relationship through which
the person or entity may receive, either directly or
indirectly, commissions or other remuneration as a result of
the selection of any particular electricity supplier. The
written disclosure must be made prior to formal approval by
the involved units of local government of any professional

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services agreement with the person or entity, or no later than
October 1, 2012 with respect to any such professional services
agreement entered into prior to the effective date of this
amendatory Act of the 97th General Assembly. The disclosure
shall cover all direct and indirect relationships through
which commissions or remuneration may result, including the
pooling of commissions or remuneration among multiple persons
or entities, and shall identify all involved electricity
suppliers. The disclosure requirements in this subsection (f)
are to be liberally construed to ensure that the nature of
financial interests are fully revealed, and these disclosure
requirements shall apply regardless of whether the involved
person or entity is licensed under Section 16-115C of the
Public Utilities Act. Any person or entity that fails to make
the disclosure required under this subsection (f) is liable to
the involved units of local government in an amount equal to
all compensation paid to such person or entity by the units of
local government for the input, guidance, or advice in the
selection of an electricity supplier, plus reasonable
attorneys fees and court costs incurred by the units of local
government in connection with obtaining such amount.
(g) The Illinois Power Agency shall provide assistance to
municipalities, townships, counties, or associations working
with municipalities to help complete the plan and bidding
process.
(h) This Section does not prohibit municipalities or

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counties from entering into an intergovernmental agreement to
aggregate residential and small commercial retail electric
loads.
(i) No later than December 31, 2022, the Illinois Power
Agency shall produce a report assessing how aggregation of
electrical load by municipalities, townships, and counties can
be used to help meet the renewable energy goals outlined in
this Act. This report shall contain, at a minimum, an
assessment of other states' utilization of load aggregation in
meeting renewable energy goals, any known or expected barriers
in utilizing load aggregation for meeting renewable energy
goals, and recommendations for possible changes in State law
necessary for electrical load aggregation to be a driver of
new renewable energy project development. This report shall be
published on the Agency's website and delivered to the
Governor and General Assembly. To assist with developing this
report, the Agency may retain the services of its expert
consulting firm used to develop its procurement plans as
provided in paragraph (1) of subsection (a) of Section 1-75.
(Source: P.A. 97-338, eff. 8-12-11; 97-823, eff. 7-18-12;
97-1067, eff. 8-24-12; 98-404, eff. 1-1-14; 98-434, eff.
1-1-14; 98-463, eff. 8-16-13; 98-756, eff. 7-16-14.)
(20 ILCS 3855/1-125)
Sec. 1-125. Agency annual reports.
(a) By February 15 of each year, the Agency shall report

10200SB0018sam001 - 515 - LRB102 12600 LNS 28802 a
annually to the Governor and the General Assembly on the
operations and transactions of the Agency. The annual report
shall include, but not be limited to, each of the following:
(1) The average quantity, price, and term of all
contracts for electricity procured under the procurement
plans for electric utilities.
(2) (Blank).
(3) The quantity, price, and rate impact of all energy
efficiency and demand response measures purchased for
electric utilities, and any measures included in the
procurement plan pursuant to Section 16-111.5B of the
Public Utilities Act.
(4) The amount of power and energy produced by each
Agency facility.
(5) The quantity of electricity supplied by each
Agency facility to municipal electric systems,
governmental aggregators, or rural electric cooperatives
in Illinois.
(6) The revenues as allocated by the Agency to each
facility.
(7) The costs as allocated by the Agency to each
facility.
(8) The accumulated depreciation for each facility.
(9) The status of any projects under development.
(10) Basic financial and operating information
specifically detailed for the reporting year and

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including, but not limited to, income and expense
statements, balance sheets, and changes in financial
position, all in accordance with generally accepted
accounting principles, debt structure, and a summary of
funds on a cash basis.
(11) The average quantity, price, contract type and
term, and rate impact of all renewable resources procured
purchased under the long-term renewable resources
electricity procurement plans for electric utilities.
(12) A comparison of the costs associated with the
Agency's procurement of renewable energy resources to (A)
the Agency's costs associated with electricity generated
by other types of generation facilities and (B) the
benefits associated with the Agency's procurement of
renewable energy resources.
(13) An analysis of the rate impacts associated with
the Illinois Power Agency's procurement of renewable
resources, including, but not limited to, any long-term
contracts, on the eligible retail customers of electric
utilities. The analysis shall include the Agency's
estimate of the total dollar impact that the Agency's
procurement of renewable resources has had on the annual
electricity bills of the customer classes that comprise
each eligible retail customer class taking service from an
electric utility.
(14) (Blank). An analysis of how the operation of the

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alternative compliance payment mechanism, any long-term
contracts, or other aspects of the applicable renewable
portfolio standards impacts the rates of customers of
alternative retail electric suppliers.
(b) In addition to reporting on the transactions and
operations of the Agency, the Agency shall also endeavor to
report on the following items through its annual report,
recognizing that full and accurate information may not be
available for certain items:
(1) The overall nameplate capacity amount of installed
and scheduled renewable energy generation capacity
physically located in Illinois.
(2) The percentage of installed and scheduled
renewable energy generation capacity as a share of overall
electricity generation capacity physically located in
Illinois.
(3) The amount of megawatt hours produced by renewable
energy generation capacity physically located in Illinois
for the preceding delivery year.
(4) The percentage of megawatt hours produced by
renewable energy generation capacity physically located in
Illinois as a share of overall electricity generation from
facilities physically located in Illinois for the
preceding delivery year.
(5) The renewable portfolio standard expenditures made
pursuant to paragraph (1) of subsection (c) of Section

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1-75 and the total scheduled and installed renewable
generation capacity expected to result from these
investments. This information shall include the total cost
of REC delivery contracts of the renewable portfolio
standard by project category, including, but not limited
to, renewable energy credits delivery contracts entered
into pursuant to subparagraphs (C), (G), (K), and (R) of
paragraph (1) of subsection (c) Section 1-75. The Agency
shall also report on the total amount of customer load
featuring renewable portfolio standard compliance
obligations scheduled to be met by self-direct customers
pursuant to subparagraph (R) of paragraph (1) of
subsection (c) of Section 1-75, as well as the minimum
annual quantities of renewable energy credits scheduled to
be retired by those customers and amount of installed
renewable energy generating capacity used to meet the
requirements of subparagraph (R) of paragraph (1) of
subsection (c) of Section 1-75.
The Agency may seek assistance from the Illinois Commerce
Commission in developing its annual report and may also retain
the services of its expert consulting firm used to develop its
procurement plans as outlined in paragraph (1) of subsection
(a) of Section 1-75. Confidential or commercially sensitive
business information provided by retail customers, alternative
retail electric suppliers, or other parties shall be kept
confidential by the Agency consistent with Section 1-120, but

10200SB0018sam001 - 519 - LRB102 12600 LNS 28802 a
may be publicly reported in aggregate form.
(Source: P.A. 99-536, eff. 7-8-16.)
(20 ILCS 3855/1-128 new)
Sec. 1-128. Nonprofit Electric Generation Task Force.
(a) By January 1, 2028, the Nonprofit Electric Generation
Task Force shall be established to assess the technological,
economic, and regulatory feasibility as well as legislative
support mechanisms necessary to achieve the carbon emission
reduction targets described in Section 9.15 of the
Environmental Protection Act through the use of carbon
capture, sequestration, and utilization technology.
(b) The Task Force shall consist of the following members:
(1) one representative of the Prairie Research
Institute at the University of Illinois, appointed by the
Governor with the advice and consent of the Senate;
(2) one representative of an association representing
municipal utilities, joint municipal electric power
agencies, or municipal electric generators with an
ownership interest in Prairie State Generating Company,
appointed by the Governor with the advice and consent of
the Senate;
(3) one representative of an association of electric
cooperatives with ownership interests in Prairie State
Generating Company, appointed by the Governor with the
advice and consent of the Senate;

10200SB0018sam001 - 520 - LRB102 12600 LNS 28802 a
(4) one representative of a labor union or building
trade with technical experience at a coal generation
facility, appointed by the Governor with the advice and
consent of the Senate;
(5) the Director of Natural Resources, or his or her
designee;
(6) the Governor, or his or her designee;
(7) one expert in power sector reliability, appointed
by the Governor with the advice and consent of the Senate;
(8) one expert in financing large scale power sector
carbon reduction projects, appointed by the Governor with
the advice and consent of the Senate;
(9) one designee of the President of the Senate;
(10) one designee of the Speaker of the House;
(11) one designee of the Senate Minority Leader; and
(12) one designee of the House Minority Leader.
(c) The Task Force shall have the following duties:
(1) investigating the technical and financial options
to install carbon capture, sequestration, utilization, and
direct air capture at the Prairie State Generation Campus;
(2) assessing the existing regulatory construct and
any legislative support mechanisms necessary to reduce
carbon at the Prairie State Generating Company in
accordance with Section 9.15 of the Environmental
Protection Act; and
(3) preparing and filing a report with the Governor

10200SB0018sam001 - 521 - LRB102 12600 LNS 28802 a
and the General Assembly that sets forth the Task Force's
findings.
(d) The Task Force may hire an independent third-party
auditor with relevant financial expertise to conduct a
financial audit of the Prairie State Generating Company,
including an examination of potential financial solutions to
alleviate the existing indirect debt obligations facing the
joint indirect Prairie State Generating Company owners in
Illinois. The audit shall include a review of the existing
debt structure for the Prairie State Generating Company and
the individual finances of each joint direct company owner in
Illinois in order to recommend an appropriate and equitable
method for allocating any funds, whether from the State or
federal government, or any other legal source, that may be
provided to support the joint indirect owners in Illinois. Any
commercially sensitive information reviewed pursuant to this
audit shall be reasonably redacted from the Task Force's final
report and shall not be subject to disclosure under the
Freedom of Information Act.
Section 90-35. The State Finance Act is amended by adding
Sections 5.935, 5.936, and 5.937 as follows:
(30 ILCS 105/5.935 new)
Sec. 5.935. The Coal to Solar and Energy Storage
Initiative Fund.

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(30 ILCS 105/5.936 new)
Sec. 5.936. The Energy Transition Assistance Fund.
(30 ILCS 105/5.937 new)
Sec. 5.937. The Consumer Intervenor Compensation Fund.
Section 90-36. The Illinois Procurement Code is amended by
changing Section 1-10 as follows:
(30 ILCS 500/1-10)
Sec. 1-10. Application.
(a) This Code applies only to procurements for which
bidders, offerors, potential contractors, or contractors were
first solicited on or after July 1, 1998. This Code shall not
be construed to affect or impair any contract, or any
provision of a contract, entered into based on a solicitation
prior to the implementation date of this Code as described in
Article 99, including, but not limited to, any covenant
entered into with respect to any revenue bonds or similar
instruments. All procurements for which contracts are
solicited between the effective date of Articles 50 and 99 and
July 1, 1998 shall be substantially in accordance with this
Code and its intent.
(b) This Code shall apply regardless of the source of the
funds with which the contracts are paid, including federal

10200SB0018sam001 - 523 - LRB102 12600 LNS 28802 a
assistance moneys. This Code shall not apply to:
(1) Contracts between the State and its political
subdivisions or other governments, or between State
governmental bodies, except as specifically provided in
this Code.
(2) Grants, except for the filing requirements of
Section 20-80.
(3) Purchase of care, except as provided in Section
5-30.6 of the Illinois Public Aid Code and this Section.
(4) Hiring of an individual as employee and not as an
independent contractor, whether pursuant to an employment
code or policy or by contract directly with that
individual.
(5) Collective bargaining contracts.
(6) Purchase of real estate, except that notice of
this type of contract with a value of more than $25,000
must be published in the Procurement Bulletin within 10
calendar days after the deed is recorded in the county of
jurisdiction. The notice shall identify the real estate
purchased, the names of all parties to the contract, the
value of the contract, and the effective date of the
contract.
(7) Contracts necessary to prepare for anticipated
litigation, enforcement actions, or investigations,
provided that the chief legal counsel to the Governor
shall give his or her prior approval when the procuring

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agency is one subject to the jurisdiction of the Governor,
and provided that the chief legal counsel of any other
procuring entity subject to this Code shall give his or
her prior approval when the procuring entity is not one
subject to the jurisdiction of the Governor.
(8) (Blank).
(9) Procurement expenditures by the Illinois
Conservation Foundation when only private funds are used.
(10) (Blank).
(11) Public-private agreements entered into according
to the procurement requirements of Section 20 of the
Public-Private Partnerships for Transportation Act and
design-build agreements entered into according to the
procurement requirements of Section 25 of the
Public-Private Partnerships for Transportation Act.
(12) Contracts for legal, financial, and other
professional and artistic services entered into on or
before December 31, 2018 by the Illinois Finance Authority
in which the State of Illinois is not obligated. Such
contracts shall be awarded through a competitive process
authorized by the Board of the Illinois Finance Authority
and are subject to Sections 5-30, 20-160, 50-13, 50-20,
50-35, and 50-37 of this Code, as well as the final
approval by the Board of the Illinois Finance Authority of
the terms of the contract.
(13) Contracts for services, commodities, and

10200SB0018sam001 - 525 - LRB102 12600 LNS 28802 a
equipment to support the delivery of timely forensic
science services in consultation with and subject to the
approval of the Chief Procurement Officer as provided in
subsection (d) of Section 5-4-3a of the Unified Code of
Corrections, except for the requirements of Sections
20-60, 20-65, 20-70, and 20-160 and Article 50 of this
Code; however, the Chief Procurement Officer may, in
writing with justification, waive any certification
required under Article 50 of this Code. For any contracts
for services which are currently provided by members of a
collective bargaining agreement, the applicable terms of
the collective bargaining agreement concerning
subcontracting shall be followed.
On and after January 1, 2019, this paragraph (13),
except for this sentence, is inoperative.
(14) Contracts for participation expenditures required
by a domestic or international trade show or exhibition of
an exhibitor, member, or sponsor.
(15) Contracts with a railroad or utility that
requires the State to reimburse the railroad or utilities
for the relocation of utilities for construction or other
public purpose. Contracts included within this paragraph
(15) shall include, but not be limited to, those
associated with: relocations, crossings, installations,
and maintenance. For the purposes of this paragraph (15),
"railroad" means any form of non-highway ground

10200SB0018sam001 - 526 - LRB102 12600 LNS 28802 a
transportation that runs on rails or electromagnetic
guideways and "utility" means: (1) public utilities as
defined in Section 3-105 of the Public Utilities Act, (2)
telecommunications carriers as defined in Section 13-202
of the Public Utilities Act, (3) electric cooperatives as
defined in Section 3.4 of the Electric Supplier Act, (4)
telephone or telecommunications cooperatives as defined in
Section 13-212 of the Public Utilities Act, (5) rural
water or waste water systems with 10,000 connections or
less, (6) a holder as defined in Section 21-201 of the
Public Utilities Act, and (7) municipalities owning or
operating utility systems consisting of public utilities
as that term is defined in Section 11-117-2 of the
Illinois Municipal Code.
(16) Procurement expenditures necessary for the
Department of Public Health to provide the delivery of
timely newborn screening services in accordance with the
Newborn Metabolic Screening Act.
(17) Procurement expenditures necessary for the
Department of Agriculture, the Department of Financial and
Professional Regulation, the Department of Human Services,
and the Department of Public Health to implement the
Compassionate Use of Medical Cannabis Program and Opioid
Alternative Pilot Program requirements and ensure access
to medical cannabis for patients with debilitating medical
conditions in accordance with the Compassionate Use of

10200SB0018sam001 - 527 - LRB102 12600 LNS 28802 a
Medical Cannabis Program Act.
(18) This Code does not apply to any procurements
necessary for the Department of Agriculture, the
Department of Financial and Professional Regulation, the
Department of Human Services, the Department of Commerce
and Economic Opportunity, and the Department of Public
Health to implement the Cannabis Regulation and Tax Act if
the applicable agency has made a good faith determination
that it is necessary and appropriate for the expenditure
to fall within this exemption and if the process is
conducted in a manner substantially in accordance with the
requirements of Sections 20-160, 25-60, 30-22, 50-5,
50-10, 50-10.5, 50-12, 50-13, 50-15, 50-20, 50-21, 50-35,
50-36, 50-37, 50-38, and 50-50 of this Code; however, for
Section 50-35, compliance applies only to contracts or
subcontracts over $100,000. Notice of each contract
entered into under this paragraph (18) that is related to
the procurement of goods and services identified in
paragraph (1) through (9) of this subsection shall be
published in the Procurement Bulletin within 14 calendar
days after contract execution. The Chief Procurement
Officer shall prescribe the form and content of the
notice. Each agency shall provide the Chief Procurement
Officer, on a monthly basis, in the form and content
prescribed by the Chief Procurement Officer, a report of
contracts that are related to the procurement of goods and

10200SB0018sam001 - 528 - LRB102 12600 LNS 28802 a
services identified in this subsection. At a minimum, this
report shall include the name of the contractor, a
description of the supply or service provided, the total
amount of the contract, the term of the contract, and the
exception to this Code utilized. A copy of any or all of
these contracts shall be made available to the Chief
Procurement Officer immediately upon request. The Chief
Procurement Officer shall submit a report to the Governor
and General Assembly no later than November 1 of each year
that includes, at a minimum, an annual summary of the
monthly information reported to the Chief Procurement
Officer. This exemption becomes inoperative 5 years after
June 25, 2019 (the effective date of Public Act 101-27)
this amendatory Act of the 101st General Assembly.
(19) Procurement expenditures necessary for the
Illinois Commerce Commission to hire third-party
facilitators pursuant to Sections 16-105.17 and Section
16-108.18 of the Public Utilities Act.
Notwithstanding any other provision of law, for contracts
entered into on or after October 1, 2017 under an exemption
provided in any paragraph of this subsection (b), except
paragraph (1), (2), or (5), each State agency shall post to the
appropriate procurement bulletin the name of the contractor, a
description of the supply or service provided, the total
amount of the contract, the term of the contract, and the
exception to the Code utilized. The chief procurement officer

10200SB0018sam001 - 529 - LRB102 12600 LNS 28802 a
shall submit a report to the Governor and General Assembly no
later than November 1 of each year that shall include, at a
minimum, an annual summary of the monthly information reported
to the chief procurement officer.
(c) This Code does not apply to the electric power
procurement process provided for under Section 1-75 of the
Illinois Power Agency Act and Section 16-111.5 of the Public
Utilities Act.
(d) Except for Section 20-160 and Article 50 of this Code,
and as expressly required by Section 9.1 of the Illinois
Lottery Law, the provisions of this Code do not apply to the
procurement process provided for under Section 9.1 of the
Illinois Lottery Law.
(e) This Code does not apply to the process used by the
Capital Development Board to retain a person or entity to
assist the Capital Development Board with its duties related
to the determination of costs of a clean coal SNG brownfield
facility, as defined by Section 1-10 of the Illinois Power
Agency Act, as required in subsection (h-3) of Section 9-220
of the Public Utilities Act, including calculating the range
of capital costs, the range of operating and maintenance
costs, or the sequestration costs or monitoring the
construction of clean coal SNG brownfield facility for the
full duration of construction.
(f) (Blank).
(g) (Blank).

10200SB0018sam001 - 530 - LRB102 12600 LNS 28802 a
(h) This Code does not apply to the process to procure or
contracts entered into in accordance with Sections 11-5.2 and
11-5.3 of the Illinois Public Aid Code.
(i) Each chief procurement officer may access records
necessary to review whether a contract, purchase, or other
expenditure is or is not subject to the provisions of this
Code, unless such records would be subject to attorney-client
privilege.
(j) This Code does not apply to the process used by the
Capital Development Board to retain an artist or work or works
of art as required in Section 14 of the Capital Development
Board Act.
(k) This Code does not apply to the process to procure
contracts, or contracts entered into, by the State Board of
Elections or the State Electoral Board for hearing officers
appointed pursuant to the Election Code.
(l) This Code does not apply to the processes used by the
Illinois Student Assistance Commission to procure supplies and
services paid for from the private funds of the Illinois
Prepaid Tuition Fund. As used in this subsection (l), "private
funds" means funds derived from deposits paid into the
Illinois Prepaid Tuition Trust Fund and the earnings thereon.
(Source: P.A. 100-43, eff. 8-9-17; 100-580, eff. 3-12-18;
100-757, eff. 8-10-18; 100-1114, eff. 8-28-18; 101-27, eff.
6-25-19; 101-81, eff. 7-12-19; 101-363, eff. 8-9-19; revised
9-17-19.)

10200SB0018sam001 - 531 - LRB102 12600 LNS 28802 a
Section 90-36a. The Business Enterprise for Minorities,
Women, and Persons with Disabilities Act is amended by
changing Sections 4f and 7 as follows:
(30 ILCS 575/4f)
(Text of Section before amendment by P.A. 101-657, Article
40, Section 40-130)
(Section scheduled to be repealed on June 30, 2024)
Sec. 4f. Award of State contracts.
(1) It is hereby declared to be the public policy of the
State of Illinois to promote and encourage each State agency
and public institution of higher education to use businesses
owned by minorities, women, and persons with disabilities in
the area of goods and services, including, but not limited to,
insurance services, investment management services,
information technology services, accounting services,
architectural and engineering services, and legal services.
Furthermore, each State agency and public institution of
higher education shall utilize such firms to the greatest
extent feasible within the bounds of financial and fiduciary
prudence, and take affirmative steps to remove any barriers to
the full participation of such firms in the procurement and
contracting opportunities afforded.
(a) When a State agency or public institution of
higher education, other than a community college, awards a

10200SB0018sam001 - 532 - LRB102 12600 LNS 28802 a
contract for insurance services, for each State agency or
public institution of higher education, it shall be the
aspirational goal to use insurance brokers owned by
minorities, women, and persons with disabilities as
defined by this Act, for not less than 20% of the total
annual premiums or fees; provided that, contracts
representing at least 11% of the total annual premiums or
fees shall be awarded to businesses owned by minorities;
contracts representing at least 7% of the total annual
premiums or fees shall be awarded to women-owned
businesses; and contracts representing at least 2% of the
total annual premiums or fees shall be awarded to
businesses owned by persons with disabilities.
(b) When a State agency or public institution of
higher education, other than a community college, awards a
contract for investment services, for each State agency or
public institution of higher education, it shall be the
aspirational goal to use emerging investment managers
owned by minorities, women, and persons with disabilities
as defined by this Act, for not less than 20% of the total
funds under management; provided that, contracts
representing at least 11% of the total funds under
management shall be awarded to businesses owned by
minorities; contracts representing at least 7% of the
total funds under management shall be awarded to
women-owned businesses; and contracts representing at

10200SB0018sam001 - 533 - LRB102 12600 LNS 28802 a
least 2% of the total funds under management shall be
awarded to businesses owned by persons with disabilities.
Furthermore, it is the aspirational goal that not less
than 20% of the direct asset managers of the State funds be
minorities, women, and persons with disabilities.
(c) When a State agency or public institution of
higher education, other than a community college, awards
contracts for information technology services, accounting
services, architectural and engineering services, and
legal services, for each State agency and public
institution of higher education, it shall be the
aspirational goal to use such firms owned by minorities,
women, and persons with disabilities as defined by this
Act and lawyers who are minorities, women, and persons
with disabilities as defined by this Act, for not less
than 20% of the total dollar amount of State contracts;
provided that, contracts representing at least 11% of the
total dollar amount of State contracts shall be awarded to
businesses owned by minorities or minority lawyers;
contracts representing at least 7% of the total dollar
amount of State contracts shall be awarded to women-owned
businesses or women who are lawyers; and contracts
representing at least 2% of the total dollar amount of
State contracts shall be awarded to businesses owned by
persons with disabilities or persons with disabilities who
are lawyers.

10200SB0018sam001 - 534 - LRB102 12600 LNS 28802 a
(d) When a community college awards a contract for
insurance services, investment services, information
technology services, accounting services, architectural
and engineering services, and legal services, it shall be
the aspirational goal of each community college to use
businesses owned by minorities, women, and persons with
disabilities as defined in this Act for not less than 20%
of the total amount spent on contracts for these services
collectively; provided that, contracts representing at
least 11% of the total amount spent on contracts for these
services shall be awarded to businesses owned by
minorities; contracts representing at least 7% of the
total amount spent on contracts for these services shall
be awarded to women-owned businesses; and contracts
representing at least 2% of the total amount spent on
contracts for these services shall be awarded to
businesses owned by persons with disabilities. When a
community college awards contracts for investment
services, contracts awarded to investment managers who are
not emerging investment managers as defined in this Act
shall not be considered businesses owned by minorities,
women, or persons with disabilities for the purposes of
this Section.
(e) When a State agency or public institution of
higher education issues competitive solicitations and the
award history for a service or supply category shows

10200SB0018sam001 - 535 - LRB102 12600 LNS 28802 a
awards to a class of business owners that are
underrepresented, the Council shall determine the reason
for the disparity and shall identify potential and
appropriate methods to minimize or eliminate the cause for
the disparity.
If any State agency or public institution of higher
education contract is eligible to be paid for or
reimbursed, in whole or in part, with federal-aid funds,
grants, or loans, and the provisions of this paragraph (e)
would result in the loss of those federal-aid funds,
grants, or loans, then the contract is exempt from the
provisions of this paragraph (e) in order to remain
eligible for those federal-aid funds, grants, or loans.
(2) As used in this Section:
"Accounting services" means the measurement,
processing and communication of financial information
about economic entities including, but is not limited to,
financial accounting, management accounting, auditing,
cost containment and auditing services, taxation and
accounting information systems.
"Architectural and engineering services" means
professional services of an architectural or engineering
nature, or incidental services, that members of the
architectural and engineering professions, and individuals
in their employ, may logically or justifiably perform,
including studies, investigations, surveying and mapping,

10200SB0018sam001 - 536 - LRB102 12600 LNS 28802 a
tests, evaluations, consultations, comprehensive
planning, program management, conceptual designs, plans
and specifications, value engineering, construction phase
services, soils engineering, drawing reviews, preparation
of operating and maintenance manuals, and other related
services.
"Emerging investment manager" means an investment
manager or claims consultant having assets under
management below $10 billion or otherwise adjudicating
claims.
"Information technology services" means, but is not
limited to, specialized technology-oriented solutions by
combining the processes and functions of software,
hardware, networks, telecommunications, web designers,
cloud developing resellers, and electronics.
"Insurance broker" means an insurance brokerage firm,
claims administrator, or both, that procures, places all
lines of insurance, or administers claims with annual
premiums or fees of at least $5,000,000 but not more than
$10,000,000.
"Legal services" means work performed by a lawyer
including, but not limited to, contracts in anticipation
of litigation, enforcement actions, or investigations.
(3) Each State agency and public institution of higher
education shall adopt policies that identify its plan and
implementation procedures for increasing the use of service

10200SB0018sam001 - 537 - LRB102 12600 LNS 28802 a
firms owned by minorities, women, and persons with
disabilities.
(4) Except as provided in subsection (5), the Council
shall file no later than March 1 of each year an annual report
to the Governor, the Bureau on Apprenticeship Programs and
Clean Energy Jobs, and the General Assembly. The report filed
with the General Assembly shall be filed as required in
Section 3.1 of the General Assembly Organization Act. This
report shall: (i) identify the service firms used by each
State agency and public institution of higher education, (ii)
identify the actions it has undertaken to increase the use of
service firms owned by minorities, women, and persons with
disabilities, including encouraging non-minority-owned firms
to use other service firms owned by minorities, women, and
persons with disabilities as subcontractors when the
opportunities arise, (iii) state any recommendations made by
the Council to each State agency and public institution of
higher education to increase participation by the use of
service firms owned by minorities, women, and persons with
disabilities, and (iv) include the following:
(A) For insurance services: the names of the insurance
brokers or claims consultants used, the total of risk
managed by each State agency and public institution of
higher education by insurance brokers, the total
commissions, fees paid, or both, the lines or insurance
policies placed, and the amount of premiums placed; and

10200SB0018sam001 - 538 - LRB102 12600 LNS 28802 a
the percentage of the risk managed by insurance brokers,
the percentage of total commission, fees paid, or both,
the lines or insurance policies placed, and the amount of
premiums placed with each by the insurance brokers owned
by minorities, women, and persons with disabilities by
each State agency and public institution of higher
education.
(B) For investment management services: the names of
the investment managers used, the total funds under
management of investment managers; the total commissions,
fees paid, or both; the total and percentage of funds
under management of emerging investment managers owned by
minorities, women, and persons with disabilities,
including the total and percentage of total commissions,
fees paid, or both by each State agency and public
institution of higher education.
(C) The names of service firms, the percentage and
total dollar amount paid for professional services by
category by each State agency and public institution of
higher education.
(D) The names of service firms, the percentage and
total dollar amount paid for services by category to firms
owned by minorities, women, and persons with disabilities
by each State agency and public institution of higher
education.
(E) The total number of contracts awarded for services

10200SB0018sam001 - 539 - LRB102 12600 LNS 28802 a
by category and the total number of contracts awarded to
firms owned by minorities, women, and persons with
disabilities by each State agency and public institution
of higher education.
(5) For community college districts, the Business
Enterprise Council shall only report the following information
for each community college district: (i) the name of the
community colleges in the district, (ii) the name and contact
information of a person at each community college appointed to
be the single point of contact for vendors owned by
minorities, women, or persons with disabilities, (iii) the
policy of the community college district concerning certified
vendors, (iv) the certifications recognized by the community
college district for determining whether a business is owned
or controlled by a minority, woman, or person with a
disability, (v) outreach efforts conducted by the community
college district to increase the use of certified vendors,
(vi) the total expenditures by the community college district
in the prior fiscal year in the divisions of work specified in
paragraphs (a), (b), and (c) of subsection (1) of this Section
and the amount paid to certified vendors in those divisions of
work, and (vii) the total number of contracts entered into for
the divisions of work specified in paragraphs (a), (b), and
(c) of subsection (1) of this Section and the total number of
contracts awarded to certified vendors providing these
services to the community college district. The Business

10200SB0018sam001 - 540 - LRB102 12600 LNS 28802 a
Enterprise Council shall not make any utilization reports
under this Act for community college districts for Fiscal Year
2015 and Fiscal Year 2016, but shall make the report required
by this subsection for Fiscal Year 2017 and for each fiscal
year thereafter. The Business Enterprise Council shall report
the information in items (i), (ii), (iii), and (iv) of this
subsection beginning in September of 2016. The Business
Enterprise Council may collect the data needed to make its
report from the Illinois Community College Board.
(6) The status of the utilization of services shall be
discussed at each of the regularly scheduled Business
Enterprise Council meetings. Time shall be allotted for the
Council to receive, review, and discuss the progress of the
use of service firms owned by minorities, women, and persons
with disabilities by each State agency and public institution
of higher education; and any evidence regarding past or
present racial, ethnic, or gender-based discrimination which
directly impacts a State agency or public institution of
higher education contracting with such firms. If after
reviewing such evidence the Council finds that there is or has
been such discrimination against a specific group, race or
sex, the Council shall establish sheltered markets or adjust
existing sheltered markets tailored to address the Council's
specific findings for the divisions of work specified in
paragraphs (a), (b), and (c) of subsection (1) of this
Section.

10200SB0018sam001 - 541 - LRB102 12600 LNS 28802 a
(Source: P.A. 100-391, eff. 8-25-17; 101-170, eff. 1-1-20;
101-657, Article 5, Section 5-10, eff. 7-1-21 (See Section 25
of P.A. 102-29 for effective date of P.A. 101-657, Article 5,
Section 5-10); 102-29, eff. 6-25-21.)
(Text of Section after amendment by P.A. 101-657, Article
40, Section 40-130)
(Section scheduled to be repealed on June 30, 2024)
Sec. 4f. Award of State contracts.
(1) It is hereby declared to be the public policy of the
State of Illinois to promote and encourage each State agency
and public institution of higher education to use businesses
owned by minorities, women, and persons with disabilities in
the area of goods and services, including, but not limited to,
insurance services, investment management services,
information technology services, accounting services,
architectural and engineering services, and legal services.
Furthermore, each State agency and public institution of
higher education shall utilize such firms to the greatest
extent feasible within the bounds of financial and fiduciary
prudence, and take affirmative steps to remove any barriers to
the full participation of such firms in the procurement and
contracting opportunities afforded.
(a) When a State agency or public institution of
higher education, other than a community college, awards a
contract for insurance services, for each State agency or

10200SB0018sam001 - 542 - LRB102 12600 LNS 28802 a
public institution of higher education, it shall be the
aspirational goal to use insurance brokers owned by
minorities, women, and persons with disabilities as
defined by this Act, for not less than 20% of the total
annual premiums or fees; provided that, contracts
representing at least 11% of the total annual premiums or
fees shall be awarded to businesses owned by minorities;
contracts representing at least 7% of the total annual
premiums or fees shall be awarded to women-owned
businesses; and contracts representing at least 2% of the
total annual premiums or fees shall be awarded to
businesses owned by persons with disabilities.
(b) When a State agency or public institution of
higher education, other than a community college, awards a
contract for investment services, for each State agency or
public institution of higher education, it shall be the
aspirational goal to use emerging investment managers
owned by minorities, women, and persons with disabilities
as defined by this Act, for not less than 20% of the total
funds under management; provided that, contracts
representing at least 11% of the total funds under
management shall be awarded to businesses owned by
minorities; contracts representing at least 7% of the
total funds under management shall be awarded to
women-owned businesses; and contracts representing at
least 2% of the total funds under management shall be

10200SB0018sam001 - 543 - LRB102 12600 LNS 28802 a
awarded to businesses owned by persons with disabilities.
Furthermore, it is the aspirational goal that not less
than 20% of the direct asset managers of the State funds be
minorities, women, and persons with disabilities.
(c) When a State agency or public institution of
higher education, other than a community college, awards
contracts for information technology services, accounting
services, architectural and engineering services, and
legal services, for each State agency and public
institution of higher education, it shall be the
aspirational goal to use such firms owned by minorities,
women, and persons with disabilities as defined by this
Act and lawyers who are minorities, women, and persons
with disabilities as defined by this Act, for not less
than 20% of the total dollar amount of State contracts;
provided that, contracts representing at least 11% of the
total dollar amount of State contracts shall be awarded to
businesses owned by minorities or minority lawyers;
contracts representing at least 7% of the total dollar
amount of State contracts shall be awarded to women-owned
businesses or women who are lawyers; and contracts
representing at least 2% of the total dollar amount of
State contracts shall be awarded to businesses owned by
persons with disabilities or persons with disabilities who
are lawyers.
(d) When a community college awards a contract for

10200SB0018sam001 - 544 - LRB102 12600 LNS 28802 a
insurance services, investment services, information
technology services, accounting services, architectural
and engineering services, and legal services, it shall be
the aspirational goal of each community college to use
businesses owned by minorities, women, and persons with
disabilities as defined in this Act for not less than 20%
of the total amount spent on contracts for these services
collectively; provided that, contracts representing at
least 11% of the total amount spent on contracts for these
services shall be awarded to businesses owned by
minorities; contracts representing at least 7% of the
total amount spent on contracts for these services shall
be awarded to women-owned businesses; and contracts
representing at least 2% of the total amount spent on
contracts for these services shall be awarded to
businesses owned by persons with disabilities. When a
community college awards contracts for investment
services, contracts awarded to investment managers who are
not emerging investment managers as defined in this Act
shall not be considered businesses owned by minorities,
women, or persons with disabilities for the purposes of
this Section.
(2) As used in this Section:
"Accounting services" means the measurement,
processing and communication of financial information
about economic entities including, but is not limited to,

10200SB0018sam001 - 545 - LRB102 12600 LNS 28802 a
financial accounting, management accounting, auditing,
cost containment and auditing services, taxation and
accounting information systems.
"Architectural and engineering services" means
professional services of an architectural or engineering
nature, or incidental services, that members of the
architectural and engineering professions, and individuals
in their employ, may logically or justifiably perform,
including studies, investigations, surveying and mapping,
tests, evaluations, consultations, comprehensive
planning, program management, conceptual designs, plans
and specifications, value engineering, construction phase
services, soils engineering, drawing reviews, preparation
of operating and maintenance manuals, and other related
services.
"Emerging investment manager" means an investment
manager or claims consultant having assets under
management below $10 billion or otherwise adjudicating
claims.
"Information technology services" means, but is not
limited to, specialized technology-oriented solutions by
combining the processes and functions of software,
hardware, networks, telecommunications, web designers,
cloud developing resellers, and electronics.
"Insurance broker" means an insurance brokerage firm,
claims administrator, or both, that procures, places all

10200SB0018sam001 - 546 - LRB102 12600 LNS 28802 a
lines of insurance, or administers claims with annual
premiums or fees of at least $5,000,000 but not more than
$10,000,000.
"Legal services" means work performed by a lawyer
including, but not limited to, contracts in anticipation
of litigation, enforcement actions, or investigations.
(3) Each State agency and public institution of higher
education shall adopt policies that identify its plan and
implementation procedures for increasing the use of service
firms owned by minorities, women, and persons with
disabilities. All plan and implementation procedures for
increasing the use of service firms owned by minorities,
women, and persons with disabilities must be submitted to and
approved by the Commission on Equity and Inclusion on an
annual basis.
(4) Except as provided in subsection (5), the Council
shall file no later than March 1 of each year an annual report
to the Governor, the Bureau on Apprenticeship Programs and
Clean Energy Jobs, and the General Assembly. The report filed
with the General Assembly shall be filed as required in
Section 3.1 of the General Assembly Organization Act. This
report shall: (i) identify the service firms used by each
State agency and public institution of higher education, (ii)
identify the actions it has undertaken to increase the use of
service firms owned by minorities, women, and persons with
disabilities, including encouraging non-minority-owned firms

10200SB0018sam001 - 547 - LRB102 12600 LNS 28802 a
to use other service firms owned by minorities, women, and
persons with disabilities as subcontractors when the
opportunities arise, (iii) state any recommendations made by
the Council to each State agency and public institution of
higher education to increase participation by the use of
service firms owned by minorities, women, and persons with
disabilities, and (iv) include the following:
(A) For insurance services: the names of the insurance
brokers or claims consultants used, the total of risk
managed by each State agency and public institution of
higher education by insurance brokers, the total
commissions, fees paid, or both, the lines or insurance
policies placed, and the amount of premiums placed; and
the percentage of the risk managed by insurance brokers,
the percentage of total commission, fees paid, or both,
the lines or insurance policies placed, and the amount of
premiums placed with each by the insurance brokers owned
by minorities, women, and persons with disabilities by
each State agency and public institution of higher
education.
(B) For investment management services: the names of
the investment managers used, the total funds under
management of investment managers; the total commissions,
fees paid, or both; the total and percentage of funds
under management of emerging investment managers owned by
minorities, women, and persons with disabilities,

10200SB0018sam001 - 548 - LRB102 12600 LNS 28802 a
including the total and percentage of total commissions,
fees paid, or both by each State agency and public
institution of higher education.
(C) The names of service firms, the percentage and
total dollar amount paid for professional services by
category by each State agency and public institution of
higher education.
(D) The names of service firms, the percentage and
total dollar amount paid for services by category to firms
owned by minorities, women, and persons with disabilities
by each State agency and public institution of higher
education.
(E) The total number of contracts awarded for services
by category and the total number of contracts awarded to
firms owned by minorities, women, and persons with
disabilities by each State agency and public institution
of higher education.
(5) For community college districts, the Business
Enterprise Council shall only report the following information
for each community college district: (i) the name of the
community colleges in the district, (ii) the name and contact
information of a person at each community college appointed to
be the single point of contact for vendors owned by
minorities, women, or persons with disabilities, (iii) the
policy of the community college district concerning certified
vendors, (iv) the certifications recognized by the community

10200SB0018sam001 - 549 - LRB102 12600 LNS 28802 a
college district for determining whether a business is owned
or controlled by a minority, woman, or person with a
disability, (v) outreach efforts conducted by the community
college district to increase the use of certified vendors,
(vi) the total expenditures by the community college district
in the prior fiscal year in the divisions of work specified in
paragraphs (a), (b), and (c) of subsection (1) of this Section
and the amount paid to certified vendors in those divisions of
work, and (vii) the total number of contracts entered into for
the divisions of work specified in paragraphs (a), (b), and
(c) of subsection (1) of this Section and the total number of
contracts awarded to certified vendors providing these
services to the community college district. The Business
Enterprise Council shall not make any utilization reports
under this Act for community college districts for Fiscal Year
2015 and Fiscal Year 2016, but shall make the report required
by this subsection for Fiscal Year 2017 and for each fiscal
year thereafter. The Business Enterprise Council shall report
the information in items (i), (ii), (iii), and (iv) of this
subsection beginning in September of 2016. The Business
Enterprise Council may collect the data needed to make its
report from the Illinois Community College Board.
(6) The status of the utilization of services shall be
discussed at each of the regularly scheduled Business
Enterprise Council meetings. Time shall be allotted for the
Council to receive, review, and discuss the progress of the

10200SB0018sam001 - 550 - LRB102 12600 LNS 28802 a
use of service firms owned by minorities, women, and persons
with disabilities by each State agency and public institution
of higher education; and any evidence regarding past or
present racial, ethnic, or gender-based discrimination which
directly impacts a State agency or public institution of
higher education contracting with such firms. If after
reviewing such evidence the Council finds that there is or has
been such discrimination against a specific group, race or
sex, the Council shall establish sheltered markets or adjust
existing sheltered markets tailored to address the Council's
specific findings for the divisions of work specified in
paragraphs (a), (b), and (c) of subsection (1) of this
Section.
(Source: P.A. 101-170, eff. 1-1-20; 101-657, Article 5,
Section 5-10, eff. 7-1-21 (See Section 25 of P.A. 102-29 for
effective date of P.A. 101-657, Article 5, Section 5-10);
101-657, Article 40, Section 40-130, eff. 1-1-22; 102-29, eff.
6-25-21.)
(30 ILCS 575/7) (from Ch. 127, par. 132.607)
(Text of Section before amendment by P.A. 101-657)
(Section scheduled to be repealed on June 30, 2024)
Sec. 7. Exemptions; waivers; publication of data.
(1) Individual contract exemptions. The Council, at the
written request of the affected agency, public institution of
higher education, or recipient of a grant or loan of State

10200SB0018sam001 - 551 - LRB102 12600 LNS 28802 a
funds of $250,000 or more complying with Section 45 of the
State Finance Act, may permit an individual contract or
contract package, (related contracts being bid or awarded
simultaneously for the same project or improvements) be made
wholly or partially exempt from State contracting goals for
businesses owned by minorities, women, and persons with
disabilities prior to the advertisement for bids or
solicitation of proposals whenever there has been a
determination, reduced to writing and based on the best
information available at the time of the determination, that
there is an insufficient number of businesses owned by
minorities, women, and persons with disabilities to ensure
adequate competition and an expectation of reasonable prices
on bids or proposals solicited for the individual contract or
contract package in question. Any such exemptions shall be
given by the Council to the Bureau on Apprenticeship Programs
and Clean Energy Jobs.
(a) Written request for contract exemption. A written
request for an individual contract exemption must include,
but is not limited to, the following:
(i) a list of eligible businesses owned by
minorities, women, and persons with disabilities;
(ii) a clear demonstration that the number of
eligible businesses identified in subparagraph (i)
above is insufficient to ensure adequate competition;
(iii) the difference in cost between the contract

10200SB0018sam001 - 552 - LRB102 12600 LNS 28802 a
proposals being offered by businesses owned by
minorities, women, and persons with disabilities and
the agency or public institution of higher education's
expectations of reasonable prices on bids or proposals
within that class; and
(iv) a list of eligible businesses owned by
minorities, women, and persons with disabilities that
the contractor has used in the current and prior
fiscal years.
(b) Determination. The Council's determination
concerning an individual contract exemption must consider,
at a minimum, the following:
(i) the justification for the requested exemption,
including whether diligent efforts were undertaken to
identify and solicit eligible businesses owned by
minorities, women, and persons with disabilities;
(ii) the total number of exemptions granted to the
affected agency, public institution of higher
education, or recipient of a grant or loan of State
funds of $250,000 or more complying with Section 45 of
the State Finance Act that have been granted by the
Council in the current and prior fiscal years; and
(iii) the percentage of contracts awarded by the
agency or public institution of higher education to
eligible businesses owned by minorities, women, and
persons with disabilities in the current and prior

10200SB0018sam001 - 553 - LRB102 12600 LNS 28802 a
fiscal years.
(2) Class exemptions.
(a) Creation. The Council, at the written request of
the affected agency or public institution of higher
education, may permit an entire class of contracts be made
exempt from State contracting goals for businesses owned
by minorities, women, and persons with disabilities
whenever there has been a determination, reduced to
writing and based on the best information available at the
time of the determination, that there is an insufficient
number of qualified businesses owned by minorities, women,
and persons with disabilities to ensure adequate
competition and an expectation of reasonable prices on
bids or proposals within that class. Any such exemption
shall be given by the Council to the Bureau on
Apprenticeship Programs and Clean Energy Jobs.
(a-1) Written request for class exemption. A written
request for a class exemption must include, but is not
limited to, the following:
(i) a list of eligible businesses owned by
minorities, women, and persons with disabilities;
(ii) a clear demonstration that the number of
eligible businesses identified in subparagraph (i)
above is insufficient to ensure adequate competition;
(iii) the difference in cost between the contract
proposals being offered by eligible businesses owned

10200SB0018sam001 - 554 - LRB102 12600 LNS 28802 a
by minorities, women, and persons with disabilities
and the agency or public institution of higher
education's expectations of reasonable prices on bids
or proposals within that class; and
(iv) the number of class exemptions the affected
agency or public institution of higher education
requested in the current and prior fiscal years.
(a-2) Determination. The Council's determination
concerning class exemptions must consider, at a minimum,
the following:
(i) the justification for the requested exemption,
including whether diligent efforts were undertaken to
identify and solicit eligible businesses owned by
minorities, women, and persons with disabilities;
(ii) the total number of class exemptions granted
to the requesting agency or public institution of
higher education that have been granted by the Council
in the current and prior fiscal years; and
(iii) the percentage of contracts awarded by the
agency or public institution of higher education to
eligible businesses owned by minorities, women, and
persons with disabilities the current and prior fiscal
years.
(b) Limitation. Any such class exemption shall not be
permitted for a period of more than one year at a time.
(3) Waivers. Where a particular contract requires a

10200SB0018sam001 - 555 - LRB102 12600 LNS 28802 a
contractor to meet a goal established pursuant to this Act,
the contractor shall have the right to request a waiver from
such requirements. The Council shall grant the waiver where
the contractor demonstrates that there has been made a good
faith effort to comply with the goals for participation by
businesses owned by minorities, women, and persons with
disabilities. Any such waiver shall also be transmitted in
writing to the Bureau on Apprenticeship Programs and Clean
Energy Jobs.
(a) Request for waiver. A contractor's request for a
waiver under this subsection (3) must include, but is not
limited to, the following, if available:
(i) a list of eligible businesses owned by
minorities, women, and persons with disabilities that
pertain to the class of contracts in the requested
waiver;
(ii) a clear demonstration that the number of
eligible businesses identified in subparagraph (i)
above is insufficient to ensure competition;
(iii) the difference in cost between the contract
proposals being offered by businesses owned by
minorities, women, and persons with disabilities and
the agency or the public institution of higher
education's expectations of reasonable prices on bids
or proposals within that class; and
(iv) a list of businesses owned by minorities,

10200SB0018sam001 - 556 - LRB102 12600 LNS 28802 a
women, and persons with disabilities that the
contractor has used in the current and prior fiscal
years.
(b) Determination. The Council's determination
concerning waivers must include following:
(i) the justification for the requested waiver,
including whether the requesting contractor made a
good faith effort to identify and solicit eligible
businesses owned by minorities, women, and persons
with disabilities;
(ii) the total number of waivers the contractor
has been granted by the Council in the current and
prior fiscal years;
(iii) the percentage of contracts awarded by the
agency or public institution of higher education to
eligible businesses owned by minorities, women, and
persons with disabilities in the current and prior
fiscal years; and
(iv) the contractor's use of businesses owned by
minorities, women, and persons with disabilities in
the current and prior fiscal years.
(3.5) (Blank).
(4) Conflict with other laws. In the event that any State
contract, which otherwise would be subject to the provisions
of this Act, is or becomes subject to federal laws or
regulations which conflict with the provisions of this Act or

10200SB0018sam001 - 557 - LRB102 12600 LNS 28802 a
actions of the State taken pursuant hereto, the provisions of
the federal laws or regulations shall apply and the contract
shall be interpreted and enforced accordingly.
(5) Each chief procurement officer, as defined in the
Illinois Procurement Code, shall maintain on his or her
official Internet website a database of the following: (i)
waivers granted under this Section with respect to contracts
under his or her jurisdiction; (ii) a State agency or public
institution of higher education's written request for an
exemption of an individual contract or an entire class of
contracts; and (iii) the Council's written determination
granting or denying a request for an exemption of an
individual contract or an entire class of contracts. The
database, which shall be updated periodically as necessary,
shall be searchable by contractor name and by contracting
State agency.
(6) Each chief procurement officer, as defined by the
Illinois Procurement Code, shall maintain on its website a
list of all firms that have been prohibited from bidding,
offering, or entering into a contract with the State of
Illinois as a result of violations of this Act.
Each public notice required by law of the award of a State
contract shall include for each bid or offer submitted for
that contract the following: (i) the bidder's or offeror's
name, (ii) the bid amount, (iii) the name or names of the
certified firms identified in the bidder's or offeror's

10200SB0018sam001 - 558 - LRB102 12600 LNS 28802 a
submitted utilization plan, and (iv) the bid's amount and
percentage of the contract awarded to businesses owned by
minorities, women, and persons with disabilities identified in
the utilization plan.
(Source: P.A. 100-391, eff. 8-25-17; 101-170, eff. 1-1-20;
101-601, eff. 1-1-20; 102-29, eff. 6-25-21.)
(Text of Section after amendment by P.A. 101-657)
(Section scheduled to be repealed on June 30, 2024)
Sec. 7. Exemptions; waivers; publication of data.
(1) Individual contract exemptions. The Council, at the
written request of the affected agency, public institution of
higher education, or recipient of a grant or loan of State
funds of $250,000 or more complying with Section 45 of the
State Finance Act, may permit an individual contract or
contract package, (related contracts being bid or awarded
simultaneously for the same project or improvements) be made
wholly or partially exempt from State contracting goals for
businesses owned by minorities, women, and persons with
disabilities prior to the advertisement for bids or
solicitation of proposals whenever there has been a
determination, reduced to writing and based on the best
information available at the time of the determination, that
there is an insufficient number of businesses owned by
minorities, women, and persons with disabilities to ensure
adequate competition and an expectation of reasonable prices

10200SB0018sam001 - 559 - LRB102 12600 LNS 28802 a
on bids or proposals solicited for the individual contract or
contract package in question. Any such exemptions shall be
given by the Council to the Bureau on Apprenticeship Programs
and Clean Energy Jobs.
(a) Written request for contract exemption. A written
request for an individual contract exemption must include,
but is not limited to, the following:
(i) a list of eligible businesses owned by
minorities, women, and persons with disabilities;
(ii) a clear demonstration that the number of
eligible businesses identified in subparagraph (i)
above is insufficient to ensure adequate competition;
(iii) the difference in cost between the contract
proposals being offered by businesses owned by
minorities, women, and persons with disabilities and
the agency or public institution of higher education's
expectations of reasonable prices on bids or proposals
within that class; and
(iv) a list of eligible businesses owned by
minorities, women, and persons with disabilities that
the contractor has used in the current and prior
fiscal years.
(b) Determination. The Council's determination
concerning an individual contract exemption must consider,
at a minimum, the following:
(i) the justification for the requested exemption,

10200SB0018sam001 - 560 - LRB102 12600 LNS 28802 a
including whether diligent efforts were undertaken to
identify and solicit eligible businesses owned by
minorities, women, and persons with disabilities;
(ii) the total number of exemptions granted to the
affected agency, public institution of higher
education, or recipient of a grant or loan of State
funds of $250,000 or more complying with Section 45 of
the State Finance Act that have been granted by the
Council in the current and prior fiscal years; and
(iii) the percentage of contracts awarded by the
agency or public institution of higher education to
eligible businesses owned by minorities, women, and
persons with disabilities in the current and prior
fiscal years.
(2) Class exemptions.
(a) Creation. The Council, at the written request of
the affected agency or public institution of higher
education, may permit an entire class of contracts be made
exempt from State contracting goals for businesses owned
by minorities, women, and persons with disabilities
whenever there has been a determination, reduced to
writing and based on the best information available at the
time of the determination, that there is an insufficient
number of qualified businesses owned by minorities, women,
and persons with disabilities to ensure adequate
competition and an expectation of reasonable prices on

10200SB0018sam001 - 561 - LRB102 12600 LNS 28802 a
bids or proposals within that class. Any such exemption
shall be given by the Council to the Bureau on
Apprenticeship Programs and Clean Energy Jobs.
(a-1) Written request for class exemption. A written
request for a class exemption must include, but is not
limited to, the following:
(i) a list of eligible businesses owned by
minorities, women, and persons with disabilities;
(ii) a clear demonstration that the number of
eligible businesses identified in subparagraph (i)
above is insufficient to ensure adequate competition;
(iii) the difference in cost between the contract
proposals being offered by eligible businesses owned
by minorities, women, and persons with disabilities
and the agency or public institution of higher
education's expectations of reasonable prices on bids
or proposals within that class; and
(iv) the number of class exemptions the affected
agency or public institution of higher education
requested in the current and prior fiscal years.
(a-2) Determination. The Council's determination
concerning class exemptions must consider, at a minimum,
the following:
(i) the justification for the requested exemption,
including whether diligent efforts were undertaken to
identify and solicit eligible businesses owned by

10200SB0018sam001 - 562 - LRB102 12600 LNS 28802 a
minorities, women, and persons with disabilities;
(ii) the total number of class exemptions granted
to the requesting agency or public institution of
higher education that have been granted by the Council
in the current and prior fiscal years; and
(iii) the percentage of contracts awarded by the
agency or public institution of higher education to
eligible businesses owned by minorities, women, and
persons with disabilities the current and prior fiscal
years.
(b) Limitation. Any such class exemption shall not be
permitted for a period of more than one year at a time.
(3) Waivers. Where a particular contract requires a
contractor to meet a goal established pursuant to this Act,
the contractor shall have the right to request a waiver from
such requirements prior to the contract award. The Council
shall grant the waiver when the contractor demonstrates that
there has been made a good faith effort to comply with the
goals for participation by businesses owned by minorities,
women, and persons with disabilities. Any such waiver shall
also be transmitted in writing to the Bureau on Apprenticeship
Programs and Clean Energy Jobs.
(a) Request for waiver. A contractor's request for a
waiver under this subsection (3) must include, but is not
limited to, the following, if available:
(i) a list of eligible businesses owned by

10200SB0018sam001 - 563 - LRB102 12600 LNS 28802 a
minorities, women, and persons with disabilities that
pertain to the scope of work of the contract. Eligible
businesses are only eligible if the business is
certified for the products or work advertised in the
solicitation;
(ii) (blank);
(iia) a clear demonstration that the contractor
selected portions of the work to be performed by
eligible businesses owned by minorities, women, and
persons with disabilities, solicited through all
reasonable and available means eligible businesses,
and negotiated in good faith with interested eligible
businesses;
(iib) documentation demonstrating that businesses
owned by minorities, women, and persons with
disabilities are not rejected as being unqualified
without sound reasons based on a thorough
investigation of their capabilities;
(iii) documentation demonstrating that the
contract proposals being offered by businesses owned
by minorities, women, and persons with disabilities
are excessive or unreasonable; and
(iv) a list of businesses owned by minorities,
women, and persons with disabilities that the
contractor has used in the current and prior fiscal
years.

10200SB0018sam001 - 564 - LRB102 12600 LNS 28802 a
(b) Determination. The Council's determination
concerning waivers must include following:
(i) the justification for the requested waiver,
including whether the requesting contractor made a
good faith effort to identify and solicit eligible
businesses owned by minorities, women, and persons
with disabilities;
(ii) the total number of waivers the contractor
has been granted by the Council in the current and
prior fiscal years;
(iii) (blank); and
(iv) the contractor's use of businesses owned by
minorities, women, and persons with disabilities in
the current and prior fiscal years.
(3.5) (Blank).
(4) Conflict with other laws. In the event that any State
contract, which otherwise would be subject to the provisions
of this Act, is or becomes subject to federal laws or
regulations which conflict with the provisions of this Act or
actions of the State taken pursuant hereto, the provisions of
the federal laws or regulations shall apply and the contract
shall be interpreted and enforced accordingly.
(5) Each chief procurement officer, as defined in the
Illinois Procurement Code, shall maintain on his or her
official Internet website a database of the following: (i)
waivers granted under this Section with respect to contracts

10200SB0018sam001 - 565 - LRB102 12600 LNS 28802 a
under his or her jurisdiction; (ii) a State agency or public
institution of higher education's written request for an
exemption of an individual contract or an entire class of
contracts; and (iii) the Council's written determination
granting or denying a request for an exemption of an
individual contract or an entire class of contracts. The
database, which shall be updated periodically as necessary,
shall be searchable by contractor name and by contracting
State agency.
(6) Each chief procurement officer, as defined by the
Illinois Procurement Code, shall maintain on its website a
list of all firms that have been prohibited from bidding,
offering, or entering into a contract with the State of
Illinois as a result of violations of this Act.
Each public notice required by law of the award of a State
contract shall include for each bid or offer submitted for
that contract the following: (i) the bidder's or offeror's
name, (ii) the bid amount, (iii) the name or names of the
certified firms identified in the bidder's or offeror's
submitted utilization plan, and (iv) the bid's amount and
percentage of the contract awarded to businesses owned by
minorities, women, and persons with disabilities identified in
the utilization plan.
(Source: P.A. 101-170, eff. 1-1-20; 101-601, eff. 1-1-20;
101-657, eff. 1-1-22; 102-29, eff. 6-25-21.)

10200SB0018sam001 - 566 - LRB102 12600 LNS 28802 a
(35 ILCS 5/206 rep.)
Section 90-37. The Illinois Income Tax Act is amended by
repealing Section 206.
Section 90-38. The Gas Use Tax Law is amended by changing
Section 5-10 as follows:
(35 ILCS 173/5-10)
Sec. 5-10. Imposition of tax.
(a) Beginning October 1, 2003, a tax is imposed upon the
privilege of using in this State gas obtained in a purchase of
out-of-state gas at the rate of 2.4 cents per therm or 5% of
the purchase price for the billing period, whichever is the
lower rate. Such tax rate shall be referred to as the
"self-assessing purchaser tax rate". Beginning with bills
issued by delivering suppliers on and after October 1, 2003,
purchasers may elect an alternative tax rate of 2.4 cents per
therm to be paid under the provisions of Section 5-15 of this
Law to a delivering supplier maintaining a place of business
in this State. Such tax rate shall be referred to as the
"alternate tax rate". The tax imposed under this Section shall
not apply to gas used by business enterprises certified under
Section 9-222.1 of the Public Utilities Act, as amended, to
the extent of such exemption and during the period of time
specified by the Department of Commerce and Economic
Opportunity.

10200SB0018sam001 - 567 - LRB102 12600 LNS 28802 a
(b) The General Assembly finds it is reasonable to reduce
the rate of tax on gas purchased for use in the manufacturing
process because such reduction has the potential to create and
preserve well-paid jobs in the State. The tax imposed under
subsection (a) of this Section applies to gas used by any
eligible business enterprise at a rate of 2.4 cents per therm
or 2.5% of the purchase price for the billing period,
whichever is the lower rate. For purposes of this Section,
"eligible business enterprise" means any business enterprise
with one of the following Standard Industrial Classifications,
as designated in the Standard Industrial Classification Manual
prepared by the federal Office of Management and Budget: 10;
12; 13; 14; 21; 22; 23; 24; 25; 26; 27; 28; 29; 30; 31; 32; 33;
34; 35; 36; 37; 38; or 39.
(Source: P.A. 93-31, eff. 10-1-03; 94-793, eff. 5-19-06.)
Section 90-39. The Property Tax Code is amended by
changing Sections 10-5 and 10-610 as follows:
(35 ILCS 200/10-5)
Sec. 10-5. Solar energy systems; definitions. It is the
policy of this State that the use of solar energy systems
should be encouraged because they conserve nonrenewable
resources, reduce pollution and promote the health and
well-being of the people of this State, and should be valued in
relation to these benefits.

10200SB0018sam001 - 568 - LRB102 12600 LNS 28802 a
(a) "Solar energy" means radiant energy received from the
sun at wave lengths suitable for heat transfer, photosynthetic
use, or photovoltaic use.
(b) "Solar collector" means
(1) An assembly, structure, or design, including
passive elements, used for gathering, concentrating, or
absorbing direct and indirect solar energy, specially
designed for holding a substantial amount of useful
thermal energy and to transfer that energy to a gas,
solid, or liquid or to use that energy directly; or
(2) A mechanism that absorbs solar energy and converts
it into electricity; or
(3) A mechanism or process used for gathering solar
energy through wind or thermal gradients; or
(4) A component used to transfer thermal energy to a
gas, solid, or liquid, or to convert it into electricity.
(c) "Solar storage mechanism" means equipment or elements
(such as piping and transfer mechanisms, containers, heat
exchangers, or controls thereof, and gases, solids, liquids,
or combinations thereof) that are utilized for storing solar
energy, gathered by a solar collector, for subsequent use.
(d) "Solar energy system" means
(1)(A) A complete assembly, structure, or design of
solar collector, or a solar storage mechanism, which uses
solar energy for generating electricity that is primarily
consumed on the property on which the solar energy system

10200SB0018sam001 - 569 - LRB102 12600 LNS 28802 a
resides, or for heating or cooling gases, solids, liquids,
or other materials for the primary benefit of the property
on which the solar energy system resides;
(B) The design, materials, or elements of a system and
its maintenance, operation, and labor components, and the
necessary components, if any, of supplemental conventional
energy systems designed or constructed to interface with a
solar energy system; and
(C) Any legal, financial, or institutional orders,
certificates, or mechanisms, including easements, leases,
and agreements, required to ensure continued access to
solar energy, its source, or its use in a solar energy
system, and including monitoring and educational elements
of a demonstration project; or .
(D) Photovoltaic electricity generation systems
subject to power purchase agreements or leases for solar
energy between a third-party owner, an operator, or both,
and an end user of electricity, where such systems are
located on the end user of electricity's side of the
electric meter and which primarily are used to offset the
electricity load of the end user behind whose electric
meter the system is connected. A system primarily is used
to offset the electricity load of the end user of
electricity if the system is estimated to produce 110% or
fewer kilowatt-hours of electricity than consumed by the
end user of electricity at such meter in the last 12 full

10200SB0018sam001 - 570 - LRB102 12600 LNS 28802 a
months prior to the system being placed in service.
(2) "Solar energy system" does not include:
(A) Distribution equipment that is equally usable
in a conventional energy system except for those
components of the equipment that are necessary for
meeting the requirements of efficient solar energy
utilization;
(B) Components of a solar energy system that serve
structural, insulating, protective, shading,
aesthetic, or other non-solar energy utilization
purposes, as defined in the regulations of the
Department of Commerce and Economic Opportunity; or
and
(C) A commercial solar energy system, as defined
by this Code, in counties with fewer than 3,000,000
inhabitants.
(3) The solar energy system shall conform to the
standards for those systems established by regulation of
the Department of Commerce and Economic Opportunity.
(Source: P.A. 100-781, eff. 8-10-18.)
(35 ILCS 200/10-610)
Sec. 10-610. Applicability.
(a) The provisions of this Division apply for assessment
years 2007 through 2035 2021.
(b) The provisions of this Division do not apply to wind

10200SB0018sam001 - 571 - LRB102 12600 LNS 28802 a
energy devices that are owned by any person or entity that is
otherwise exempt from taxation under the Property Tax Code.
(Source: P.A. 99-825, eff. 8-16-16.)
Section 90-40. The Gas Revenue Tax Act is amended by
changing Section 2 as follows:
(35 ILCS 615/2) (from Ch. 120, par. 467.17)
Sec. 2. (a) A tax is imposed upon persons engaged in the
business of distributing, supplying, furnishing or selling gas
to persons for use or consumption and not for resale at the
rate of 2.4 cents per therm of all gas which is so distributed,
supplied, furnished, sold or transported to or for each
customer in the course of such business, or 5% of the gross
receipts received from each customer from such business,
whichever is the lower rate as applied to each customer for
that customer's billing period, provided that any change in
rate imposed by this amendatory Act of 1985 shall become
effective only with bills having a meter reading date on or
after January 1, 1986. However, such taxes are not imposed
with respect to any business in interstate commerce, or
otherwise to the extent to which such business may not, under
the Constitution and statutes of the United States, be made
the subject of taxation by this State.
(b) The General Assembly finds it is reasonable to reduce
the rate of tax on gas purchased for use in the manufacturing

10200SB0018sam001 - 572 - LRB102 12600 LNS 28802 a
process because such reduction has the potential to create and
preserve well-paid jobs in the State. The tax imposed under
subsection (a) of this Section applies to gas used by any
eligible business enterprise at a rate of 2.4 cents per therm
or 2.5% of the purchase price for the billing period,
whichever is the lower rate. For purposes of this Section,
"eligible business enterprise" means any business enterprise
with one of the following Standard Industrial Classifications,
as designated in the Standard Industrial Classification Manual
prepared by the federal Office of Management and Budget: 10;
12; 13; 14; 21; 22; 23; 24; 25; 26; 27; 28; 29; 30; 31; 32; 33;
34; 35; 36; 37; 38; or 39.
(c) Nothing in this amendatory Act of 1985 shall impose a
tax with respect to any transaction with respect to which no
tax was imposed immediately preceding the effective date of
this amendatory Act of 1985.
(d) Beginning with bills issued to customers on and after
October 1, 2003, no tax shall be imposed under this Act on
transactions with customers who incur a tax liability under
the Gas Use Tax Law.
(Source: P.A. 93-31, eff. 10-1-03.)
Section 90-41. The Electricity Excise Tax Law is amended
by changing Sections 2-2 and 2-4 as follows:
(35 ILCS 640/2-2)

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Sec. 2-2. Findings and intent.
(a) The General Assembly finds that the deregulation and
restructuring of the electric utility industry in this State
mandated and implemented by this amendatory Act of 1997,
including the unbundling of services and the authorization of
competition in the provision of those services such that
consumers may in the future transact with multiple providers
to obtain the services that were formerly provided by a single
franchised monopoly supplier of electricity, renders the
system of taxation embodied in the Public Utilities Revenue
Act impracticable and infeasible. The General Assembly further
finds that the deregulation and restructuring of the electric
utility industry necessitate changes to the existing system of
taxation in order to preserve revenue neutrality in tax
collections for the State of Illinois, to avoid placing any
supplier engaged in the business of distributing, supplying,
furnishing, selling, transmitting or delivering electricity at
a competitive disadvantage, to minimize additional
administrative costs and burdens of collection, and to avoid
the imposition of increased tax burdens on individual
consumers of electricity, particularly residential electric
users virtually all of whom, pursuant to Section 2 of the
Public Utilities Revenue Act, presently bear the economic
burden of the tax imposed thereunder at the rate of .32 cents
per kilowatt-hour distributed, supplied, furnished, sold,
transmitted or delivered to them. The General Assembly further

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finds that to change the current rates at which
non-residential users bear the economic burden of the Public
Utilities Revenue Tax, thereby resulting in increases in the
amount of tax for which non-residential users bear the
economic burden, could impose additional cost burdens on
businesses in this State and adversely affect economic
development and business retention in Illinois unless such
users are provided options for paying an excise tax on the
basis of purchase price. The General Assembly therefore finds
that there is a compelling public need to modify the system of
taxation embodied in the Public Utilities Revenue Act by
repealing the tax imposed by Section 2 of that Act and imposing
this electricity excise tax so as to:
(1) Impose the electricity excise tax on the privilege
of electric use measured by the kilowatt-hours delivered
to the purchaser;
(2) As part of this amendatory Act of 1997, repeal the
tax imposed by Section 2-202 of the Public Utilities Act
as applicable to electric utilities and establish the
rates of tax imposed under the electricity excise tax in
order to collect substantially the same amount of revenue
as was collected under Section 2-202 of that Act; and
(3) Allow non-residential consumers of electricity to
elect to register with the Department of Revenue as
self-assessing purchasers and to pay the electricity
excise tax directly to the Department at a rate which is

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established as a percentage of such consumer's purchase
price for electricity distributed, supplied, furnished,
sold, transmitted or delivered to the purchaser.
(b) The General Assembly further finds that it is
reasonable to reduce the rate of tax on electricity purchased
for use in the manufacturing process because such reduction
has the potential to create and preserve well-paid jobs in the
State.
(Source: P.A. 90-561, eff. 8-1-98.)
(35 ILCS 640/2-4)
Sec. 2-4. Tax imposed.
(a) Except as provided in subsection (b), a tax is imposed
on the privilege of using in this State electricity purchased
for use or consumption and not for resale, other than by
municipal corporations owning and operating a local
transportation system for public service, at the following
rates per kilowatt-hour delivered to the purchaser:
(i) For the first 2000 kilowatt-hours used or consumed
in a month: 0.330 cents per kilowatt-hour;
(ii) For the next 48,000 kilowatt-hours used or
consumed in a month: 0.319 cents per kilowatt-hour;
(iii) For the next 50,000 kilowatt-hours used or
consumed in a month: 0.303 cents per kilowatt-hour;
(iv) For the next 400,000 kilowatt-hours used or
consumed in a month: 0.297 cents per kilowatt-hour;

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(v) For the next 500,000 kilowatt-hours used or
consumed in a month: 0.286 cents per kilowatt-hour;
(vi) For the next 2,000,000 kilowatt-hours used or
consumed in a month: 0.270 cents per kilowatt-hour;
(vii) For the next 2,000,000 kilowatt-hours used or
consumed in a month: 0.254 cents per kilowatt-hour;
(viii) For the next 5,000,000 kilowatt-hours used or
consumed in a month: 0.233 cents per kilowatt-hour;
(ix) For the next 10,000,000 kilowatt-hours used or
consumed in a month: 0.207 cents per kilowatt-hour;
(x) For all electricity in excess of 20,000,000
kilowatt-hours used or consumed in a month: 0.202 cents
per kilowatt-hour.
Provided, that in lieu of the foregoing rates, the tax is
imposed on a self-assessing purchaser that is not an eligible
business enterprise at the rate of 5.1% of the self-assessing
purchaser's purchase price for all electricity distributed,
supplied, furnished, sold, transmitted and delivered to the
self-assessing purchaser in a month. The tax is imposed on a
self-assessing purchaser that is an eligible business
enterprise at the rate of 2.55% of the self-assessing
purchaser's price for all electricity distributed, supplied,
furnished, sold, transmitted, and delivered to the
self-assessing purchaser in a month. For purposes of this
Section, "eligible business enterprise" means any business
enterprise with one of the following Standard Industrial

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Classifications, as designated in the Standard Industrial
Classification Manual prepared by the federal Office of
Management and Budget: 10; 12; 13; 14; 21; 22; 23; 24; 25; 26;
27; 28; 29; 30; 31; 32; 33; 34; 35; 36; 37; 38; or 39.
(b) A tax is imposed on the privilege of using in this
State electricity purchased from a municipal system or
electric cooperative, as defined in Article XVII of the Public
Utilities Act, which has not made an election as permitted by
either Section 17-200 or Section 17-300 of such Act, at the
lesser of 0.32 cents per kilowatt hour of all electricity
distributed, supplied, furnished, sold, transmitted, and
delivered by such municipal system or electric cooperative to
the purchaser or 5% of each such purchaser's purchase price
for all electricity distributed, supplied, furnished, sold,
transmitted, and delivered by such municipal system or
electric cooperative to the purchaser, whichever is the lower
rate as applied to each purchaser in each billing period.
(c) The tax imposed by this Section 2-4 is not imposed with
respect to any use of electricity by business enterprises
certified under Section 9-222.1 or 9-222.1A of the Public
Utilities Act, as amended, to the extent of such exemption and
during the time specified by the Department of Commerce and
Economic Opportunity; or with respect to any transaction in
interstate commerce, or otherwise, to the extent to which such
transaction may not, under the Constitution and statutes of
the United States, be made the subject of taxation by this

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State.
(Source: P.A. 94-793, eff. 5-19-06.)
Section 90-43. The School Code is amended by changing
Section 10-22.11 as follows:
(105 ILCS 5/10-22.11) (from Ch. 122, par. 10-22.11)
Sec. 10-22.11. Lease of school property.
(a) To lease school property to another school district,
municipality or body politic and corporate for a term of not to
exceed 25 years, except as otherwise provided in this Section,
and upon such terms and conditions as may be agreed if in the
opinion of the school board use of such property will not be
needed by the district during the term of such lease;
provided, the school board shall not make or renew any lease
for a term longer than 10 years, nor alter the terms of any
lease whose unexpired term may exceed 10 years without the
vote of 2/3 of the full membership of the board.
(b) Whenever the school board considers such action
advisable and in the best interests of the school district, to
lease vacant school property for a period not exceeding 51
years to a private not for profit school organization for use
in the care of persons with a mental disability who are
trainable and educable in the district or in the education of
the gifted children in the district. Before leasing such
property to a private not for profit school organization, the

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school board must adopt a resolution for the leasing of such
property, fixing the period and price therefor, and order
submitted to referendum at an election to be held in the
district as provided in the general election law, the question
of whether the lease should be entered into. Thereupon, the
secretary shall certify to the proper election authorities the
proposition for submission in accordance with the general
election law. If the majority of the voters voting upon the
proposition vote in favor of the leasing, the school board may
proceed with the leasing. The proposition shall be in
substantially the following form:
-------------------------------------------------------------
Shall School District No. ..... of
..... County, Illinois lease to YES
..... (here name and identify the
lessee) the following described vacant ---------------------
school property (here describe the
property) for a term of ..... years NO
for the sum of ..... Dollars?
-------------------------------------------------------------
This paragraph (b) shall not be construed in such a manner
as to relieve the responsibility of the Board of Education as
set out in Article 14 of the School Code.
(c) To lease school buildings and land to suitable lessees
for educational purposes or for any other purpose which serves
the interests of the community, for a term not to exceed 25

10200SB0018sam001 - 580 - LRB102 12600 LNS 28802 a
years and upon such terms and conditions as may be agreed upon
by the parties, when such buildings and land are declared by
the board to be unnecessary or unsuitable or inconvenient for
a school or the uses of the district during the term of the
lease and when, in the opinion of the board, the best interests
of the residents of the school district will be enhanced by
entering into such a lease. Such leases shall include
provisions for adequate insurance for both liability and
property damage or loss, and reasonable charges for
maintenance and depreciation of such buildings and land.
(d) Notwithstanding any other provision to the contrary, a
lease for vacant school property may exceed 25 years for
renewable energy resources, as defined in Section 1-10 of the
Illinois Power Agency Act.
(Source: P.A. 99-143, eff. 7-27-15.)
Section 90-45. The University of Illinois Act is amended
by adding Section 120 as follows:
(110 ILCS 305/120 new)
Sec. 120. Carbon capture, utilization, and storage report.
(a) Subject to appropriation, the Prairie Research
Institute at the University of Illinois at Urbana-Champaign,
in consultation with an intergovernmental advisory committee,
must file a report on the potential for carbon capture,
utilization, and storage as a climate mitigation technology

10200SB0018sam001 - 581 - LRB102 12600 LNS 28802 a
throughout Illinois with the Governor and the General Assembly
no later than December 31, 2022. The report shall provide an
assessment of Illinois subsurface storage resources, a
description of existing and selected subsurface storage
projects, and best practices for carbon storage. Additionally,
the report shall provide recommendations for policy and
regulatory needs at the State level based on its findings, and
shall, at a minimum, address all the following areas:
(1) carbon capture, utilization, and storage current
status and future storage resource potential in the State.
Enhanced Oil Recovery shall remain outside the scope of
this study;
(2) procedures, standards, and safeguards for the
storage of carbon dioxide;
(3) permitting processes and the coordination with
applicable federal law or regulatory commissions,
including the Class VI injection well permitting process;
(4) economic impact, job creation, and job retention
from carbon capture, utilization, and storage that both
protects the environment and supports short-term and
long-term economic growth;
(5) development of knowledge capacity of appropriate
State agencies and stakeholders;
(6) environmental justice and stakeholder issues
related to carbon capture, utilization, and storage
throughout the State;

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(7) leveraging federal policies and public-private
partnerships for research, design, and development to
benefit the State;
(8) liability for the storage and monitoring
maintenance of the carbon dioxide after the completion of
a carbon capture, utilization, and storage project;
(9) acquisition, ownership, and amalgamation of pore
space for carbon capture, utilization, and storage;
(10) methodologies to establish any necessary fees,
costs, or offsets; and
(11) any risks to health, safety, the environment, and
property uses or values.
(b) In developing the report under this Section, the
Prairie Research Institute shall form an advisory committee,
which shall be composed of all the following members:
(1) the Director of the Environmental Protection
Agency, or his or her designee;
(2) the Director of Natural Resources, or his or her
designee;
(3) the Director of Commerce and Economic Opportunity,
or his or her designee;
(4) the Director of the Illinois Emergency Management
Agency, or his or her designee;
(5) the Director of Agriculture, or his or her
designee;
(6) the Attorney General, or his or her designee;

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(7) one member of the Senate, appointed by the
President of the Senate;
(8) one member of the House of Representatives,
appointed by the Speaker of the House of Representatives;
(9) one member of the Senate, appointed by the
Minority Leader of the Senate; and
(10) one member of the House of Representatives,
appointed by the Minority Leader of the House of
Representatives.
(c) No later than 60 days after the effective date of this
amendatory Act of the 102nd General Assembly, the advisory
committee shall hold its first meeting at the call of the
Executive Director of the Prairie Research Institute, at which
meeting the members shall select a chairperson from among
themselves. After its first meeting, the committee shall meet
at the call of the chairperson. Members of the committee shall
serve without compensation. The Prairie Research Committee
shall provide administrative support to the committee.
(d) The Prairie Research Institute shall also engage with
interested stakeholders throughout the State to gain insights
into socio-economic perspectives from environmental justice
organizations, environmental non-governmental organizations,
industry, landowners, farm bureaus, manufacturing, labor
unions, and others.
(e) This Section is repealed on January 1, 2023.

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Section 90-50. The Public Utilities Act is amended by
changing Sections 5-117, 8-103B, 8-406, 9-241, 16-107.5,
16-107.6, 16-108, 16-111.5, and 16-127 and by adding Sections
4-604, 4-604.5, 4-605, 8-201.8, 8-201.10, 8-218, 8-402.2,
8-512, 9-228, 9-229, 16-105.5, 16-105.6, 16-105.7, 16-105.10,
16-105.17, 16-108.18, 16-108.19, 16-108.20, 16-108.21,
16-108.25, 16-108.30, 16-111.10, 16-135, and 17-900 as
follows:
(220 ILCS 5/4-604 new)
Sec. 4-604. Electric and gas public utilities ethical
conduct and transparency.
(a) It is the policy of this State that, as regulated,
monopoly entities providing essential services, public
utilities must adhere to the highest standards of ethical
conduct. It is in the public interest to ensure ethical public
utility conduct of the highest standards. It is therefore
necessary for the public interest, safety, and welfare of the
State and of public utility customers to develop rigorous
ethical standards and scrutinize and limit public utility
actions, expenditures, and contracting. It is also necessary
to provide increased transparency to ensure ethical public
utility conduct.
(b) The standards set forth in this Section and the
Illinois Administrative Code rules implementing this Section
shall apply, to the extent practicable, to electric and gas

10200SB0018sam001 - 585 - LRB102 12600 LNS 28802 a
public utilities and their holding or parent companies,
affiliates, and service companies.
(c) Public Utility Ethics and Compliance Monitor. To
ensure that public utilities meet the highest level of ethical
standards, including, but not limited to, those standards
established in this Section, the Commission shall, within 60
days after the effective date of this amendatory Act of the
102nd General Assembly, establish an Ethics and Accountability
Division at the Commission and shall create a new position of
Public Utility Ethics and Compliance Monitor who reports to
the Executive Director of the Commission. The role of the
Public Utility Ethics and Compliance Monitor shall be to
oversee electric and gas public utilities' compliance with the
standards established in this Section, the Illinois
Administrative Code, and any other regulatory or statutory
obligation regarding standards of ethical conduct. The
responsibilities of the Public Utility Ethics and Compliance
Monitor shall include:
(1) Hiring additional staff for the Ethics and
Accountability Division, as deemed necessary to fulfill
the duties imposed under this Section.
(2) Overseeing each public utility's Chief Compliance
and Ethics Officer's monitoring, auditing, investigation,
enforcement, reporting, disciplinary activities, and any
other actions required of the Chief Compliance and Ethics
Officer pursuant to subsection (d) of this Section. If the

10200SB0018sam001 - 586 - LRB102 12600 LNS 28802 a
Public Utility Ethics and Compliance Monitor finds a
public utility has not complied with the standards set
forth in this Section, or with administrative rules
implementing this Section, the Public Utility Ethics and
Compliance Monitor shall detail such deficiencies in a
report to the Commission and shall include a
recommendation for Commission action.
(3) Documenting violations of the standards in this
Section or in related Sections of the Illinois
Administrative Code and, in coordination with the
utility's Chief Compliance and Ethics Officer, ensuring
each public utility administers appropriate internal
disciplinary actions and provides transparent reporting to
the Commission. If there are violations of the standards
in this Section or in related Sections of the Illinois
Administrative Code where the public utility does not take
disciplinary action or where that action is not aligned
with the recommendation of the Public Utility Ethics and
Compliance Monitor, the Public Utility Ethics and
Compliance Monitor shall, within 30 days, report the
violation, the recommended disciplinary action, and the
public utility's actual disciplinary action, to the
Executive Director of the Commission. Such reports shall
be included in the annual ethics report required by
paragraph (5) of this subsection (c) and must describe the
violation and related recommendations.

10200SB0018sam001 - 587 - LRB102 12600 LNS 28802 a
(4) Reviewing and keeping informed regarding internal
controls, code of ethical conduct, practices, procedures,
and conduct of each public utility. The Public Utilities
Ethics and Compliance Monitor may recommend any new
internal controls, policies, practices or procedures the
public utility should undertake in order to ensure
compliance with this Section and with relevant Sections of
the Illinois Administrative Code.
(5) Publishing an annual ethics audit for each
electric and gas public utility describing the public
utility's internal controls, policies, practices, and
procedures to comply with statutes, rules, court orders,
or other applicable authority. The report shall include a
record of any disciplinary actions taken related to
unethical conduct as well as any recommendations made by
the Public Utility Ethics and Compliance Monitor and the
public utility's response to each recommendation. This
report must be made public and the Commission may make
necessary redactions.
(6) Monitoring, auditing, and subpoenaing all records
necessary for the Public Utility Ethics and Compliance
Monitor to meet the responsibilities imposed under this
Section and related rules, including, but not limited to,
contracts with third party entities, accounting records,
communication with public officials or their staff,
lobbying activities, expenses on lobbyists and

10200SB0018sam001 - 588 - LRB102 12600 LNS 28802 a
consultants, legal expenses, and internal compliance
policies.
(d)(1) No later than 60 days after the effective date of
this amendatory Act of the 102nd General Assembly, each public
utility shall establish a position of Chief Ethics and
Compliance Officer if such position does not already exist
within the utility or at an affiliated company, provided that
if the position exists at an affiliated company such
individual may be designated to serve in this role for the
utility. The Chief Ethics and Compliance Officer shall be
responsible for ensuring that the public utility complies with
the highest standards of ethical conduct, including, but not
limited to, complying with the standards imposed under this
Section, those adopted pursuant to a rulemaking authorized by
this Section, and other applicable requirements of Illinois
law and rules.
(2) Each public utility's Chief Ethics and Compliance
Officer shall:
(A) oversee creation and implementation of a code of
ethical conduct for the public utility, applicable to all
directors, officers, employees, and lobbyists of the
public utility, as well as to all contractors,
consultants, agents, vendors, and business partners of the
public utility in connection with their activities with or
on behalf of the public utility;
(B) oversee training for public utility directors,

10200SB0018sam001 - 589 - LRB102 12600 LNS 28802 a
officers, and employees, as well as contractors,
consultants, lobbyists and political consultants, on the
public utility's code of ethical conduct, practices, and
procedures to advise agents, vendors, and business
partners of the public utility of the applicability of the
code of ethical conduct to their activities with or on
behalf of the public utility;
(C) oversee the ongoing monitoring of all contractors,
consultants, and vendors who are contracted for the
purpose of carrying out lobbying activities to ensure
their continued compliance with applicable ethical
standards;
(D) at least annually, oversee a review of the public
utility's internal controls, code of ethical conduct,
practices, and procedures to assess their continued
effectiveness to ensure the highest standards of ethical
conduct among the public utility's directors, officers,
employees, contractors, consultants, lobbyists, vendors,
agents and business partners; and
(E) maintain records of all conduct determined to be
in violation of Illinois law, rules, and regulations, and
the utility's response to that conduct, and make such
records available for inspection by the Public Utility
Ethics and Compliance Monitor.
(e) In addition to those standards established under this
Section, those adopted pursuant to a rulemaking authorized by

10200SB0018sam001 - 590 - LRB102 12600 LNS 28802 a
this Section, and other applicable requirements of Illinois
law and rules, each public utility Chief Ethics and Compliance
Officer shall oversee and ensure the development and
implementation of internal controls, policies, and procedures
to achieve the objectives set forth in paragraphs (1) through
(3) of this subsection. Such implementation shall begin no
later than 90 days after the effective date of this amendatory
Act of the 102nd General Assembly.
(1) The hiring of contractors, consultants and vendors
for the purpose of carrying out lobbying pursuant to the
Lobbyist Registration Act shall be reviewed and approved
by the Chief Ethics and Compliance Officer.
(2) No agreement between a public utility and a
contractor, consultant, or vendor engaged for the purpose
of carrying out lobbying pursuant to the Lobbyist
Registration Act shall permit that contractor, consultant,
or vendor to subcontract any portion of that work.
(3) Public utilities shall require contractors,
consultants, and vendors who are contracted for the
purpose of carrying out lobbying pursuant to the Lobbyist
Registration Act to provide detailed invoices and reports
describing activities taken and amounts billed for such
activities, including all persons involved and anything of
value requested or solicited or provided to public
officials or their staff, including hiring requests. No
such contractor, consultant, or vendor shall be paid

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without having first submitted a detailed invoice or
report.
For purposes of this Section, "anything of value"
includes, but is not limited to, money, gifts,
entertainment, hiring referrals and recommendations to the
public utility, campaign contributions, vendor referrals,
and contributions to charitable organizations solicited by
or on behalf of the public official.
(f) Each public utility shall be required to submit an
annual ethics and compliance report to the Commission no later
than May 1 of each year, beginning May 1, 2022. The utility's
Chief Ethics and Compliance Officer shall oversee the
preparation and submission of the report and shall certify it.
Each report shall describe in detail the public utility's
internal controls, codes of ethical conduct, practices, and
procedures. The reporting implemented during the reporting
period to comply with the standards set forth in this Section,
rules adopted by the Commission, and other applicable
requirements of Illinois law and rules. Each report shall also
identify any material changes implemented to such internal
controls, code of ethical conduct, practices, and procedures
during the reporting period, as well as any material changes
implemented, or anticipated to be implemented, in the calendar
year in which the report is filed. Each report shall, for the
applicable reporting period include at least the following
information:

10200SB0018sam001 - 592 - LRB102 12600 LNS 28802 a
(1) a summary and description of the public utility's
system of financial and accounting procedures, internal
controls, and practices, including an explanation of how
this system is reasonably designed to ensure the
maintenance of fair and accurate books, records, and
accounts and to provide reasonable assurances that
transactions are recorded as necessary to permit
preparation of financial statements in conformity with
generally accepted accounting principles and Commission
requirements and to maintain accountability for assets;
(2) a summary and description of the public utility's
process for conducting an assessment of ethics and
compliance risks and a representation that an assessment
was conducted in accordance with those risks and shared
with the public utility's senior management and board of
directors;
(3) a summary of the public utility's implementation
of mechanisms, including, but not limited to, training
programs designed to ensure that its internal controls,
code of ethical conduct, practices, and procedures are
effectively communicated to all directors, officers,
employees, contractors, consultants, lobbyists, vendors,
agents, and business partners;
(4) a summary of the public utility's efforts to
ensure that its directors and senior management provide
strong, explicit, and visible support and commitment to

10200SB0018sam001 - 593 - LRB102 12600 LNS 28802 a
its corporate policy against violations of federal and
State law;
(5) a summary of the public utility's implementation
of mechanisms designed to effectively enforce its internal
controls, code of ethical conduct, practices, and
procedures, including appropriately providing incentives
for compliance, disciplining violators, and applying such
code, controls, policies, practices, and procedures
consistently and fairly regardless of the position held
by, or the importance of, the director, officer, or
employee; and
(6) a summary of the public utility's implementation
of procedures to ensure that, where misconduct is
discovered, reasonable steps are taken to remedy the harm
resulting from such misconduct, including disciplinary
action, logging the conduct and the utility's response as
required by item (E) of paragraph (2) of subsection (d) of
this Section and assessing and modifying as appropriate
the internal controls, code, policies, practices and
procedures necessary to ensure that the compliance program
is effective.
For purposes of this Section, "reporting period" means
the most recent 12-month calendar year period preceding
the applicable May 1 annual report filing date.
(g) Notwithstanding the provisions of this Section, the
Commission shall initiate a management audit pursuant to

10200SB0018sam001 - 594 - LRB102 12600 LNS 28802 a
Section 8-102 of this Act by the later of 18 months after the
effective date of this amendatory Act of the 102nd General
Assembly or 18 months after a conviction or a plea or agreement
of each public utility that, on or after January 1, 2020, has
been found guilty or entered a guilty plea regarding any
felony offense or has entered into a Deferred Prosecution
Agreement for a felony offense. Such audit shall address, at a
minimum, the topics identified in paragraphs (1) through (6)
of subsection (f).
(h) Each public utility that files a report pursuant to
subsection (f) must submit the specified filing fee at the
time the Chief Clerk of the Commission accepts the filing. The
filing fees applicable to each annual report are as follows:
$15,000 for public utilities that serve fewer than 100,000
customers in the State; $75,000 for public utilities that
serve at least 100,000 customers but not more than 500,000
customers in the State; $200,000 for public utilities that
serve at least 500,000 customers in the State but not more than
3,000,000; and $500,000 for public utilities that serve at
least 3,000,000 customers in the State.
(i) In the event the Public Utility Ethics and Compliance
Monitor finds a public utility does not comply with any
portion of this Section, or with the rules adopted under this
Section, the Public Utility Ethics and Compliance Monitor
shall issue a Report to the Commission detailing the public
utility's deficiencies. The Commission shall have authority to

10200SB0018sam001 - 595 - LRB102 12600 LNS 28802 a
open an investigation and shall order remediation and
penalties, including fines, as appropriate.
(j) Each year, each public utility in the State shall
remit amounts necessary for the Commission to pay the wages,
overhead, travel expenses, and other costs of the Public
Utility Ethics and Compliance Monitor. The public utility
shall remit payment to the Commission in an amount determined
by the Commission based on that public utility's proportional
share, by number of customers.
(k) A public utility's cost of compliance with this
Section is not a cost of service and shall not be recoverable
in rates.
(l) The costs of a public utility that arise from a
criminal investigation or result from an investigation
initiated by the Commission as the result of an ethics
violation are not costs of service and shall not be
recoverable in rates.
(m) The Commission shall have the authority to adopt rules
and emergency rules where applicable to implement this
Section.
(220 ILCS 5/4-604.5 new)
Sec. 4-604.5. Restitution for misconduct.
(a) It is the policy of this State that public utility
ethical and criminal misconduct shall not be tolerated. The
General Assembly finds it necessary to collect restitution, to

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be distributed as described in subsection (e), from a public
utility that has been found guilty of violations of criminal
law or that has entered into a Deferred Prosecution Agreement
that details violations of criminal law that result in harm to
ratepayers.
(b) In light of such violations, the Illinois Commerce
Commission shall, within 150 days after the effective date of
this amendatory Act of the 102nd General Assembly, initiate an
investigation as to whether Commonwealth Edison collected,
spent, allocated, transferred, remitted, or caused in any
other way to be expended ratepayer funds in connection with
the conduct detailed in the Deferred Prosecution Agreement of
July 16, 2020 between the United States Attorney for the
Northern District of Illinois and Commonwealth Edison. The
investigation shall also determine whether any ratepayer funds
were used to pay the criminal penalty agreed to in the Deferred
Prosecution Agreement. The investigation shall determine
whether the public utility collected, spent, allocated,
transferred, remitted, or caused in any other way to be
expended ratepayer funds that were not lawfully recoverable
through rates, and which should accordingly be refunded to
ratepayers and calculate such benefits to initiate a refund to
ratepayers as a result of such conduct. The investigation
shall conclude no later than 330 days following initiation and
shall be conducted as a contested case, as defined in Section
1-30 of the Illinois Administrative Procedure Act.

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(c) If regulated entities are found guilty of criminal
conduct, the Commission may initiate an investigation, impose
penalties, order restitution and such other remedies it deems
necessary, and initiate refunds to ratepayers as described in
subsection (b). Such investigation and proceeding may commence
within 150 days of a finding of guilt. Any funds collected
pursuant to this subsection shall be distributed as described
in subsection (e). The Commission may order any other remedies
it deems necessary.
(d) Pursuant to subsection (e), the investigation shall
calculate a schedule for remittance to State funds and to
ratepayers, over a period of no more than 4 years, to be paid
by the public utility from profits, returns, or shareholder
dollars. No costs related to the investigation or contested
proceeding authorized by this Section, restitution, or refunds
may be recoverable through rates.
(e) Funds collected pursuant to this Section, for the
purposes of restitution, shall be repaid by the public utility
as a per therm or per-kilowatt-hour credit to the public
utility's ratepayers as a separate line item on the utility
bill.
(f) No public utility may use ratepayer funds to pay a
criminal penalty imposed by any local, State, or federal law
enforcement entity or court.
(g) Any penalties, restitution, refunds, or remedies
provided for in this Section are in addition to and not a

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substitution for other remedies that may be provided for by
law.
(220 ILCS 5/4-605 new)
Sec. 4-605. Reliability mitigation plan findings. The
General Assembly finds that reducing carbon dioxide and
copollutant emissions in a manner that does not threaten
electric reliability and resource adequacy is essential to the
health and safety of all Illinois citizens. Therefore, the
Commission shall review reliability mitigation plans filed
pursuant to Section 9.15 of the Environmental Protection Act
to ensure adequate, reliable, affordable, efficient, and
environmentally sustainable electric service is available to
ratepayers by approving reliability mitigation plans that
permit the Illinois Pollution Control Board to enforce
emission reductions in a manner that preserves reliability and
resource adequacy in wholesale and retail electricity markets.
(220 ILCS 5/5-117)
Sec. 5-117. Supplier diversity goals.
(a) The public policy of this State is to collaboratively
work with companies that serve Illinois residents to improve
their supplier diversity in a non-antagonistic manner.
(b) The Commission shall require all gas, electric, and
water companies with at least 100,000 customers under its
authority, as well as suppliers of wind energy, solar energy,

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hydroelectricity, nuclear energy, and any other supplier of
energy within this State other than wind energy and solar
energy required to comply with the reporting requirements
under Section 1505-215 of the Department of Labor Law of the
Civil Administrative Code of Illinois, to submit an annual
report by April 15, 2015 and every April 15 thereafter, in a
searchable Adobe PDF format, on all procurement goals and
actual spending for female-owned, minority-owned,
veteran-owned, and small business enterprises in the previous
calendar year. These goals shall be expressed as a percentage
of the total work performed by the entity submitting the
report, and the actual spending for all female-owned,
minority-owned, veteran-owned, and small business enterprises
shall also be expressed as a percentage of the total work
performed by the entity submitting the report.
(c) Each participating company in its annual report shall
include the following information:
(1) an explanation of the plan for the next year to
increase participation;
(2) an explanation of the plan to increase the goals;
(3) the areas of procurement each company shall be
actively seeking more participation in in the next year;
(4) an outline of the plan to alert and encourage
potential vendors in that area to seek business from the
company;
(5) an explanation of the challenges faced in finding

10200SB0018sam001 - 600 - LRB102 12600 LNS 28802 a
quality vendors and offer any suggestions for what the
Commission could do to be helpful to identify those
vendors;
(6) a list of the certifications the company
recognizes;
(7) the point of contact for any potential vendor who
wishes to do business with the company and explain the
process for a vendor to enroll with the company as a
minority-owned, women-owned, or veteran-owned company; and
(8) any particular success stories to encourage other
companies to emulate best practices.
(d) Each annual report shall include as much
State-specific data as possible. If the submitting entity does
not submit State-specific data, then the company shall include
any national data it does have and explain why it could not
submit State-specific data and how it intends to do so in
future reports, if possible.
(e) Each annual report shall include the rules,
regulations, and definitions used for the procurement goals in
the company's annual report.
(f) The Commission and all participating entities shall
hold an annual workshop open to the public in 2015 and every
year thereafter on the state of supplier diversity to
collaboratively seek solutions to structural impediments to
achieving stated goals, including testimony from each
participating entity as well as subject matter experts and

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advocates. The Commission shall publish a database on its
website of the point of contact for each participating entity
for supplier diversity, along with a list of certifications
each company recognizes from the information submitted in each
annual report. The Commission shall publish each annual report
on its website and shall maintain each annual report for at
least 5 years.
(Source: P.A. 98-1056, eff. 8-26-14; 99-906, eff. 6-1-17;
revised 7-22-19.)
(220 ILCS 5/8-103B)
Sec. 8-103B. Energy efficiency and demand-response
measures.
(a) It is the policy of the State that electric utilities
are required to use cost-effective energy efficiency and
demand-response measures to reduce delivery load. Requiring
investment in cost-effective energy efficiency and
demand-response measures will reduce direct and indirect costs
to consumers by decreasing environmental impacts and by
avoiding or delaying the need for new generation,
transmission, and distribution infrastructure. It serves the
public interest to allow electric utilities to recover costs
for reasonably and prudently incurred expenditures for energy
efficiency and demand-response measures. As used in this
Section, "cost-effective" means that the measures satisfy the
total resource cost test. The low-income measures described in

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subsection (c) of this Section shall not be required to meet
the total resource cost test. For purposes of this Section,
the terms "energy-efficiency", "demand-response", "electric
utility", and "total resource cost test" have the meanings set
forth in the Illinois Power Agency Act. "Black, indigenous,
and people of color" and "BIPOC" means people who are members
of the groups described in subparagraphs (a) through (e) of
paragraph (A) of subsection (1) of Section 2 of the Business
Enterprise for Minorities, Women, and Persons with
Disabilities Act.
(a-5) This Section applies to electric utilities serving
more than 500,000 retail customers in the State for those
multi-year plans commencing after December 31, 2017.
(b) For purposes of this Section, electric utilities
subject to this Section that serve more than 3,000,000 retail
customers in the State shall be deemed to have achieved a
cumulative persisting annual savings of 6.6% from energy
efficiency measures and programs implemented during the period
beginning January 1, 2012 and ending December 31, 2017, which
percent is based on the deemed average weather normalized
sales of electric power and energy during calendar years 2014,
2015, and 2016 of 88,000,000 MWhs. For the purposes of this
subsection (b) and subsection (b-5), the 88,000,000 MWhs of
deemed electric power and energy sales shall be reduced by the
number of MWhs equal to the sum of the annual consumption of
customers that have opted out of are exempt from subsections

10200SB0018sam001 - 603 - LRB102 12600 LNS 28802 a
(a) through (j) of this Section under paragraph (1) of
subsection (l) of this Section, as averaged across the
calendar years 2014, 2015, and 2016. After 2017, the deemed
value of cumulative persisting annual savings from energy
efficiency measures and programs implemented during the period
beginning January 1, 2012 and ending December 31, 2017, shall
be reduced each year, as follows, and the applicable value
shall be applied to and count toward the utility's achievement
of the cumulative persisting annual savings goals set forth in
subsection (b-5):
(1) 5.8% deemed cumulative persisting annual savings
for the year ending December 31, 2018;
(2) 5.2% deemed cumulative persisting annual savings
for the year ending December 31, 2019;
(3) 4.5% deemed cumulative persisting annual savings
for the year ending December 31, 2020;
(4) 4.0% deemed cumulative persisting annual savings
for the year ending December 31, 2021;
(5) 3.5% deemed cumulative persisting annual savings
for the year ending December 31, 2022;
(6) 3.1% deemed cumulative persisting annual savings
for the year ending December 31, 2023;
(7) 2.8% deemed cumulative persisting annual savings
for the year ending December 31, 2024;
(8) 2.5% deemed cumulative persisting annual savings
for the year ending December 31, 2025;

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(9) 2.3% deemed cumulative persisting annual savings
for the year ending December 31, 2026;
(10) 2.1% deemed cumulative persisting annual savings
for the year ending December 31, 2027;
(11) 1.8% deemed cumulative persisting annual savings
for the year ending December 31, 2028;
(12) 1.7% deemed cumulative persisting annual savings
for the year ending December 31, 2029; and
(13) 1.5% deemed cumulative persisting annual savings
for the year ending December 31, 2030; .
(14) 1.3% deemed cumulative persisting annual savings
for the year ending December 31, 2031;
(15) 1.1% deemed cumulative persisting annual savings
for the year ending December 31, 2032;
(16) 0.9% deemed cumulative persisting annual savings
for the year ending December 31, 2033;
(17) 0.7% deemed cumulative persisting annual savings
for the year ending December 31, 2034;
(18) 0.5% deemed cumulative persisting annual savings
for the year ending December 31, 2035;
(19) 0.4% deemed cumulative persisting annual savings
for the year ending December 31, 2036;
(20) 0.3% deemed cumulative persisting annual savings
for the year ending December 31, 2037;
(21) 0.2% deemed cumulative persisting annual savings
for the year ending December 31, 2038;

10200SB0018sam001 - 605 - LRB102 12600 LNS 28802 a
(22) 0.1% deemed cumulative persisting annual savings
for the year ending December 31, 2039; and
(23) 0.0% deemed cumulative persisting annual savings
for the year ending December 31, 2040 and all subsequent
years.
For purposes of this Section, "cumulative persisting
annual savings" means the total electric energy savings in a
given year from measures installed in that year or in previous
years, but no earlier than January 1, 2012, that are still
operational and providing savings in that year because the
measures have not yet reached the end of their useful lives.
(b-5) Beginning in 2018, electric utilities subject to
this Section that serve more than 3,000,000 retail customers
in the State shall achieve the following cumulative persisting
annual savings goals, as modified by subsection (f) of this
Section and as compared to the deemed baseline of 88,000,000
MWhs of electric power and energy sales set forth in
subsection (b), as reduced by the number of MWhs equal to the
sum of the annual consumption of customers that have opted out
of are exempt from subsections (a) through (j) of this Section
under paragraph (1) of subsection (l) of this Section as
averaged across the calendar years 2014, 2015, and 2016,
through the implementation of energy efficiency measures
during the applicable year and in prior years, but no earlier
than January 1, 2012:
(1) 7.8% cumulative persisting annual savings for the

10200SB0018sam001 - 606 - LRB102 12600 LNS 28802 a
year ending December 31, 2018;
(2) 9.1% cumulative persisting annual savings for the
year ending December 31, 2019;
(3) 10.4% cumulative persisting annual savings for the
year ending December 31, 2020;
(4) 11.8% cumulative persisting annual savings for the
year ending December 31, 2021;
(5) 13.1% cumulative persisting annual savings for the
year ending December 31, 2022;
(6) 14.4% cumulative persisting annual savings for the
year ending December 31, 2023;
(7) 15.7% cumulative persisting annual savings for the
year ending December 31, 2024;
(8) 17% cumulative persisting annual savings for the
year ending December 31, 2025;
(9) 17.9% cumulative persisting annual savings for the
year ending December 31, 2026;
(10) 18.8% cumulative persisting annual savings for
the year ending December 31, 2027;
(11) 19.7% cumulative persisting annual savings for
the year ending December 31, 2028;
(12) 20.6% cumulative persisting annual savings for
the year ending December 31, 2029; and
(13) 21.5% cumulative persisting annual savings for
the year ending December 31, 2030.
No later than December 31, 2021, the Illinois Commerce

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Commission shall establish additional cumulative persisting
annual savings goals for the years 2031 through 2035. No later
than December 31, 2024, the Illinois Commerce Commission shall
establish additional cumulative persisting annual savings
goals for the years 2036 through 2040. The Commission shall
also establish additional cumulative persisting annual savings
goals every 5 years thereafter to ensure that utilities always
have goals that extend at least 11 years into the future. The
cumulative persisting annual savings goals beyond the year
2030 shall increase by 0.9 percentage points per year, absent
a Commission decision to initiate a proceeding to consider
establishing goals that increase by more or less than that
amount. Such a proceeding must be conducted in accordance with
the procedures described in subsection (f) of this Section. If
such a proceeding is initiated, the cumulative persisting
annual savings goals established by the Commission through
that proceeding shall reflect the Commission's best estimate
of the maximum amount of additional savings that are forecast
to be cost-effectively achievable unless such best estimates
would result in goals that represent less than 0.5 percentage
point annual increases in total cumulative persisting annual
savings. The Commission may only establish goals that
represent less than 0.5 percentage point annual increases in
cumulative persisting annual savings if it can demonstrate,
based on clear and convincing evidence and through independent
analysis, that 0.5 percentage point increases are not

10200SB0018sam001 - 608 - LRB102 12600 LNS 28802 a
cost-effectively achievable. The Commission shall inform its
decision based on an energy efficiency potential study that
conforms to the requirements of this Section.
(b-10) For purposes of this Section, electric utilities
subject to this Section that serve less than 3,000,000 retail
customers but more than 500,000 retail customers in the State
shall be deemed to have achieved a cumulative persisting
annual savings of 6.6% from energy efficiency measures and
programs implemented during the period beginning January 1,
2012 and ending December 31, 2017, which is based on the deemed
average weather normalized sales of electric power and energy
during calendar years 2014, 2015, and 2016 of 36,900,000 MWhs.
For the purposes of this subsection (b-10) and subsection
(b-15), the 36,900,000 MWhs of deemed electric power and
energy sales shall be reduced by the number of MWhs equal to
the sum of the annual consumption of customers that have opted
out of are exempt from subsections (a) through (j) of this
Section under paragraph (1) of subsection (l) of this Section,
as averaged across the calendar years 2014, 2015, and 2016.
After 2017, the deemed value of cumulative persisting annual
savings from energy efficiency measures and programs
implemented during the period beginning January 1, 2012 and
ending December 31, 2017, shall be reduced each year, as
follows, and the applicable value shall be applied to and
count toward the utility's achievement of the cumulative
persisting annual savings goals set forth in subsection

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(b-15):
(1) 5.8% deemed cumulative persisting annual savings
for the year ending December 31, 2018;
(2) 5.2% deemed cumulative persisting annual savings
for the year ending December 31, 2019;
(3) 4.5% deemed cumulative persisting annual savings
for the year ending December 31, 2020;
(4) 4.0% deemed cumulative persisting annual savings
for the year ending December 31, 2021;
(5) 3.5% deemed cumulative persisting annual savings
for the year ending December 31, 2022;
(6) 3.1% deemed cumulative persisting annual savings
for the year ending December 31, 2023;
(7) 2.8% deemed cumulative persisting annual savings
for the year ending December 31, 2024;
(8) 2.5% deemed cumulative persisting annual savings
for the year ending December 31, 2025;
(9) 2.3% deemed cumulative persisting annual savings
for the year ending December 31, 2026;
(10) 2.1% deemed cumulative persisting annual savings
for the year ending December 31, 2027;
(11) 1.8% deemed cumulative persisting annual savings
for the year ending December 31, 2028;
(12) 1.7% deemed cumulative persisting annual savings
for the year ending December 31, 2029; and
(13) 1.5% deemed cumulative persisting annual savings

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for the year ending December 31, 2030; .
(14) 1.3% deemed cumulative persisting annual savings
for the year ending December 31, 2031;
(15) 1.1% deemed cumulative persisting annual savings
for the year ending December 31, 2032;
(16) 0.9% deemed cumulative persisting annual savings
for the year ending December 31, 2033;
(17) 0.7% deemed cumulative persisting annual savings
for the year ending December 31, 2034;
(18) 0.5% deemed cumulative persisting annual savings
for the year ending December 31, 2035;
(19) 0.4% deemed cumulative persisting annual savings
for the year ending December 31, 2036;
(20) 0.3% deemed cumulative persisting annual savings
for the year ending December 31, 2037;
(21) 0.2% deemed cumulative persisting annual savings
for the year ending December 31, 2038;
(22) 0.1% deemed cumulative persisting annual savings
for the year ending December 31, 2039; and
(23) 0.0% deemed cumulative persisting annual savings
for the year ending December 31, 2040 and all subsequent
years.
(b-15) Beginning in 2018, electric utilities subject to
this Section that serve less than 3,000,000 retail customers
but more than 500,000 retail customers in the State shall
achieve the following cumulative persisting annual savings

10200SB0018sam001 - 611 - LRB102 12600 LNS 28802 a
goals, as modified by subsection (b-20) and subsection (f) of
this Section and as compared to the deemed baseline as reduced
by the number of MWhs equal to the sum of the annual
consumption of customers that have opted out of are exempt
from subsections (a) through (j) of this Section under
paragraph (1) of subsection (l) of this Section as averaged
across the calendar years 2014, 2015, and 2016, through the
implementation of energy efficiency measures during the
applicable year and in prior years, but no earlier than
January 1, 2012:
(1) 7.4% cumulative persisting annual savings for the
year ending December 31, 2018;
(2) 8.2% cumulative persisting annual savings for the
year ending December 31, 2019;
(3) 9.0% cumulative persisting annual savings for the
year ending December 31, 2020;
(4) 9.8% cumulative persisting annual savings for the
year ending December 31, 2021;
(5) 10.6% cumulative persisting annual savings for the
year ending December 31, 2022;
(6) 11.4% cumulative persisting annual savings for the
year ending December 31, 2023;
(7) 12.2% cumulative persisting annual savings for the
year ending December 31, 2024;
(8) 13% cumulative persisting annual savings for the
year ending December 31, 2025;

10200SB0018sam001 - 612 - LRB102 12600 LNS 28802 a
(9) 13.6% cumulative persisting annual savings for the
year ending December 31, 2026;
(10) 14.2% cumulative persisting annual savings for
the year ending December 31, 2027;
(11) 14.8% cumulative persisting annual savings for
the year ending December 31, 2028;
(12) 15.4% cumulative persisting annual savings for
the year ending December 31, 2029; and
(13) 16% cumulative persisting annual savings for the
year ending December 31, 2030.
No later than December 31, 2021, the Illinois Commerce
Commission shall establish additional cumulative persisting
annual savings goals for the years 2031 through 2035. No later
than December 31, 2024, the Illinois Commerce Commission shall
establish additional cumulative persisting annual savings
goals for the years 2036 through 2040. The Commission shall
also establish additional cumulative persisting annual savings
goals every 5 years thereafter to ensure that utilities always
have goals that extend at least 11 years into the future. The
cumulative persisting annual savings goals beyond the year
2030 shall increase by 0.6 percentage points per year, absent
a Commission decision to initiate a proceeding to consider
establishing goals that increase by more or less than that
amount. Such a proceeding must be conducted in accordance with
the procedures described in subsection (f) of this Section. If
such a proceeding is initiated, the cumulative persisting

10200SB0018sam001 - 613 - LRB102 12600 LNS 28802 a
annual savings goals established by the Commission through
that proceeding shall reflect the Commission's best estimate
of the maximum amount of additional savings that are forecast
to be cost-effectively achievable unless such best estimates
would result in goals that represent less than 0.4 percentage
point annual increases in total cumulative persisting annual
savings. The Commission may only establish goals that
represent less than 0.4 percentage point annual increases in
cumulative persisting annual savings if it can demonstrate,
based on clear and convincing evidence and through independent
analysis, that 0.4 percentage point increases are not
cost-effectively achievable. The Commission shall inform its
decision based on an energy efficiency potential study that
conforms to the requirements of this Section.
The difference between the cumulative persisting annual
savings goal for the applicable calendar year and the
cumulative persisting annual savings goal for the immediately
preceding calendar year is 0.8% for the period of January 1,
2018 through December 31, 2025 and 0.6% for the period of
January 1, 2026 through December 31, 2030.
(b-20) Each electric utility subject to this Section may
include cost-effective voltage optimization measures in its
plans submitted under subsections (f) and (g) of this Section,
and the costs incurred by a utility to implement the measures
under a Commission-approved plan shall be recovered under the
provisions of Article IX or Section 16-108.5 of this Act. For

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purposes of this Section, the measure life of voltage
optimization measures shall be 15 years. The measure life
period is independent of the depreciation rate of the voltage
optimization assets deployed. Utilities may claim savings from
voltage optimization on circuits for more than 15 years if
they can demonstrate that they have made additional
investments necessary to enable voltage optimization savings
to continue beyond 15 years. Such demonstrations must be
subject to the review of independent evaluation.
Within 270 days after June 1, 2017 (the effective date of
Public Act 99-906), an electric utility that serves less than
3,000,000 retail customers but more than 500,000 retail
customers in the State shall file a plan with the Commission
that identifies the cost-effective voltage optimization
investment the electric utility plans to undertake through
December 31, 2024. The Commission, after notice and hearing,
shall approve or approve with modification the plan within 120
days after the plan's filing and, in the order approving or
approving with modification the plan, the Commission shall
adjust the applicable cumulative persisting annual savings
goals set forth in subsection (b-15) to reflect any amount of
cost-effective energy savings approved by the Commission that
is greater than or less than the following cumulative
persisting annual savings values attributable to voltage
optimization for the applicable year:
(1) 0.0% of cumulative persisting annual savings for

10200SB0018sam001 - 615 - LRB102 12600 LNS 28802 a
the year ending December 31, 2018;
(2) 0.17% of cumulative persisting annual savings for
the year ending December 31, 2019;
(3) 0.17% of cumulative persisting annual savings for
the year ending December 31, 2020;
(4) 0.33% of cumulative persisting annual savings for
the year ending December 31, 2021;
(5) 0.5% of cumulative persisting annual savings for
the year ending December 31, 2022;
(6) 0.67% of cumulative persisting annual savings for
the year ending December 31, 2023;
(7) 0.83% of cumulative persisting annual savings for
the year ending December 31, 2024; and
(8) 1.0% of cumulative persisting annual savings for
the year ending December 31, 2025 and all subsequent
years.
(b-25) In the event an electric utility jointly offers an
energy efficiency measure or program with a gas utility under
plans approved under this Section and Section 8-104 of this
Act, the electric utility may continue offering the program,
including the gas energy efficiency measures, in the event the
gas utility discontinues funding the program. In that event,
the energy savings value associated with such other fuels
shall be converted to electric energy savings on an equivalent
Btu basis for the premises. However, the electric utility
shall prioritize programs for low-income residential customers

10200SB0018sam001 - 616 - LRB102 12600 LNS 28802 a
to the extent practicable. An electric utility may recover the
costs of offering the gas energy efficiency measures under
this subsection (b-25).
For those energy efficiency measures or programs that save
both electricity and other fuels but are not jointly offered
with a gas utility under plans approved under this Section and
Section 8-104 or not offered with an affiliated gas utility
under paragraph (6) of subsection (f) of Section 8-104 of this
Act, the electric utility may count savings of fuels other
than electricity toward the achievement of its annual savings
goal, and the energy savings value associated with such other
fuels shall be converted to electric energy savings on an
equivalent Btu basis at the premises.
In no event shall more than 10% of each year's applicable
annual total savings requirement incremental goal as defined
in paragraph (7.5) (7) of subsection (g) of this Section be met
through savings of fuels other than electricity.
(b-27) Beginning in 2022, an electric utility may offer
and promote measures that electrify space heating, water
heating, cooling, drying, cooking, industrial processes, and
other building and industrial end uses that would otherwise be
served by combustion of fossil fuel at the premises, provided
that the electrification measures reduce total energy
consumption at the premises. The electric utility may count
the reduction in energy consumption at the premises toward
achievement of its annual savings goals. The reduction in

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energy consumption at the premises shall be calculated as the
difference between: (A) the reduction in Btu consumption of
fossil fuels as a result of electrification, converted to
kilowatt-hour equivalents by dividing by 3,412 Btu's per
kilowatt hour; and (B) the increase in kilowatt hours of
electricity consumption resulting from the displacement of
fossil fuel consumption as a result of electrification. An
electric utility may recover the costs of offering and
promoting electrification measures under this subsection
(b-27).
In no event shall electrification savings counted toward
each year's applicable annual total savings requirement, as
defined in paragraph (7.5) of subsection (g) of this Section,
be greater than:
(1) 5% per year for each year from 2022 through 2025;
(2) 10% per year for each year from 2026 through 2029;
and
(3) 15% per year for 2030 and all subsequent years.
In addition, a minimum of 25% of all electrification savings
counted toward a utility's applicable annual total savings
requirement must be from electrification of end uses in
low-income housing. The limitations on electrification savings
that may be counted toward a utility's annual savings goals
are separate from and in addition to the subsection (b-25)
limitations governing the counting of the other fuel savings
resulting from efficiency measures and programs.

10200SB0018sam001 - 618 - LRB102 12600 LNS 28802 a
As part of the annual informational filing to the
Commission that is required under paragraph (9) of subsection
(g) of this Section, each utility shall identify the specific
electrification measures offered under this subjection (b-27);
the quantity of each electrification measure that was
installed by its customers; the average total cost, average
utility cost, average reduction in fossil fuel consumption,
and average increase in electricity consumption associated
with each electrification measure; the portion of
installations of each electrification measure that were in
low-income single-family housing, low-income multifamily
housing, non-low-income single-family housing, non-low-income
multifamily housing, commercial buildings, and industrial
facilities; and the quantity of savings associated with each
measure category in each customer category that are being
counted toward the utility's applicable annual total savings
requirement. Prior to installing an electrification measure,
the utility shall provide a customer with an estimate of the
impact of the new measure on the customer's average monthly
electric bill and total annual energy expenses.
(c) Electric utilities shall be responsible for overseeing
the design, development, and filing of energy efficiency plans
with the Commission and may, as part of that implementation,
outsource various aspects of program development and
implementation. A minimum of 10%, for electric utilities that
serve more than 3,000,000 retail customers in the State, and a

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minimum of 7%, for electric utilities that serve less than
3,000,000 retail customers but more than 500,000 retail
customers in the State, of the utility's entire portfolio
funding level for a given year shall be used to procure
cost-effective energy efficiency measures from units of local
government, municipal corporations, school districts, public
housing, and community college districts, provided that a
minimum percentage of available funds shall be used to procure
energy efficiency from public housing, which percentage shall
be equal to public housing's share of public building energy
consumption.
The utilities shall also implement energy efficiency
measures targeted at low-income households, which, for
purposes of this Section, shall be defined as households at or
below 80% of area median income, and expenditures to implement
the measures shall be no less than $40,000,000 $25,000,000 per
year for electric utilities that serve more than 3,000,000
retail customers in the State and no less than $13,000,000
$8,350,000 per year for electric utilities that serve less
than 3,000,000 retail customers but more than 500,000 retail
customers in the State. The ratio of spending on efficiency
programs targeted at low-income multifamily buildings to
spending on efficiency programs targeted at low-income
single-family buildings shall be designed to achieve levels of
savings from each building type that are approximately
proportional to the magnitude of cost-effective lifetime

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savings potential in each building type. Investment in
low-income whole-building weatherization programs shall
constitute a minimum of 80% of a utility's total budget
specifically dedicated to serving low-income customers.
The utilities shall work to bundle low-income energy
efficiency offerings with other programs that serve low-income
households to maximize the benefits going to these households.
The utilities shall market and implement low-income energy
efficiency programs in coordination with low-income assistance
programs, the Illinois Solar for All Program, and
weatherization whenever practicable. The program implementer
shall walk the customer through the enrollment process for any
programs for which the customer is eligible. The utilities
shall also pilot targeting customers with high arrearages,
high energy intensity (ratio of energy usage divided by home
or unit square footage), or energy assistance programs with
energy efficiency offerings, and then track reduction in
arrearages as a result of the targeting. This targeting and
bundling of low-income energy programs shall be offered to
both low-income single-family and multifamily customers
(owners and residents).
The utilities shall invest in health and safety measures
appropriate and necessary for comprehensively weatherizing a
home or multifamily building, and shall implement a health and
safety fund of at least 15% of the total income-qualified
weatherization budget that shall be used for the purpose of

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making grants for technical assistance, construction,
reconstruction, improvement, or repair of buildings to
facilitate their participation in the energy efficiency
programs targeted at low-income single-family and multifamily
households. These funds may also be used for the purpose of
making grants for technical assistance, construction,
reconstruction, improvement, or repair of the following
buildings to facilitate their participation in the energy
efficiency programs created by this Section: (1) buildings
that are owned or operated by registered 501(c)(3) public
charities; and (2) day care centers, day care homes, or group
day care homes, as defined under 89 Ill. Adm. Code Part 406,
407, or 408, respectively.
Each electric utility shall assess opportunities to
implement cost-effective energy efficiency measures and
programs through a public housing authority or authorities
located in its service territory. If such opportunities are
identified, the utility shall propose such measures and
programs to address the opportunities. Expenditures to address
such opportunities shall be credited toward the minimum
procurement and expenditure requirements set forth in this
subsection (c).
Implementation of energy efficiency measures and programs
targeted at low-income households should be contracted, when
it is practicable, to independent third parties that have
demonstrated capabilities to serve such households, with a

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preference for not-for-profit entities and government agencies
that have existing relationships with or experience serving
low-income communities in the State.
Each electric utility shall develop and implement
reporting procedures that address and assist in determining
the amount of energy savings that can be applied to the
low-income procurement and expenditure requirements set forth
in this subsection (c). Each electric utility shall also track
the types and quantities or volumes of insulation and air
sealing materials, and their associated energy saving
benefits, installed in energy efficiency programs targeted at
low-income single-family and multifamily households.
The electric utilities shall participate in also convene a
low-income energy efficiency accountability advisory committee
("the committee"), which will directly inform to assist in the
design, implementation, and evaluation of the low-income and
public-housing energy efficiency programs. The committee shall
be comprised of the electric utilities subject to the
requirements of this Section, the gas utilities subject to the
requirements of Section 8-104.1 8-104 of this Act, the
utilities' low-income energy efficiency implementation
contractors, nonprofit organizations, community action
agencies, advocacy groups, State and local governmental
agencies, public-housing organizations, and representatives of
community-based organizations, especially those living in or
working with environmental justice communities and BIPOC

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communities. The committee shall be composed of 2
geographically differentiated subcommittees: one for
stakeholders in northern Illinois and one for stakeholders in
central and southern Illinois. The subcommittees shall meet
together at least twice per year.
There shall be one statewide leadership committee led by
and composed of community-based organizations that are
representative of BIPOC and environmental justice communities
and that includes equitable representation from BIPOC
communities. The leadership committee shall be composed of an
equal number of representatives from the 2 subcommittees. The
subcommittees shall address specific programs and issues, with
the leadership committee convening targeted workgroups as
needed. The leadership committee may elect to work with an
independent facilitator to solicit and organize feedback,
recommendations and meeting participation from a wide variety
of community-based stakeholders. If a facilitator is used,
they shall be fair and responsive to the needs of all
stakeholders involved in the committee.
All committee meetings must be accessible, with rotating
locations if meetings are held in-person, virtual
participation options, and materials and agendas circulated in
advance.
There shall also be opportunities for direct input by
committee members outside of committee meetings, such as via
individual meetings, surveys, emails and calls, to ensure

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robust participation by stakeholders with limited capacity and
ability to attend committee meetings. Committee meetings shall
emphasize opportunities to bundle and coordinate delivery of
low-income energy efficiency with other programs that serve
low-income communities, such as the Illinois Solar for All
Program and bill payment assistance programs. Meetings shall
include educational opportunities for stakeholders to learn
more about these additional offerings, and the committee shall
assist in figuring out the best methods for coordinated
delivery and implementation of offerings when serving
low-income communities. The committee shall directly and
equitably influence and inform utility low-income and
public-housing energy efficiency programs and priorities.
Participating utilities shall implement recommendations from
the committee whenever possible.
Participating utilities shall track and report how input
from the committee has led to new approaches and changes in
their energy efficiency portfolios. This reporting shall occur
at committee meetings and in quarterly energy efficiency
reports to the Stakeholder Advisory Group and Illinois
Commerce Commission, and other relevant reporting mechanisms.
Participating utilities shall also report on relevant equity
data and metrics requested by the committee, such as energy
burden data, geographic, racial, and other relevant
demographic data on where programs are being delivered and
what populations programs are serving.

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The Illinois Commerce Commission shall oversee and have
relevant staff participate in the committee. The committee
shall have a budget of 0.25% of each utility's entire
efficiency portfolio funding for a given year. The budget
shall be overseen by the Commission. The budget shall be used
to provide grants for community-based organizations serving on
the leadership committee, stipends for community-based
organizations participating in the committee, grants for
community-based organizations to do energy efficiency outreach
and education, and relevant meeting needs as determined by the
leadership committee. The education and outreach shall
include, but is not limited to, basic energy efficiency
education, information about low-income energy efficiency
programs, and information on the committee's purpose,
structure, and activities.
(d) Notwithstanding any other provision of law to the
contrary, a utility providing approved energy efficiency
measures and, if applicable, demand-response measures in the
State shall be permitted to recover all reasonable and
prudently incurred costs of those measures from all retail
customers, except as provided in subsection (l) of this
Section, as follows, provided that nothing in this subsection
(d) permits the double recovery of such costs from customers:
(1) The utility may recover its costs through an
automatic adjustment clause tariff filed with and approved
by the Commission. The tariff shall be established outside

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the context of a general rate case. Each year the
Commission shall initiate a review to reconcile any
amounts collected with the actual costs and to determine
the required adjustment to the annual tariff factor to
match annual expenditures. To enable the financing of the
incremental capital expenditures, including regulatory
assets, for electric utilities that serve less than
3,000,000 retail customers but more than 500,000 retail
customers in the State, the utility's actual year-end
capital structure that includes a common equity ratio,
excluding goodwill, of up to and including 50% of the
total capital structure shall be deemed reasonable and
used to set rates.
(2) A utility may recover its costs through an energy
efficiency formula rate approved by the Commission under a
filing under subsections (f) and (g) of this Section,
which shall specify the cost components that form the
basis of the rate charged to customers with sufficient
specificity to operate in a standardized manner and be
updated annually with transparent information that
reflects the utility's actual costs to be recovered during
the applicable rate year, which is the period beginning
with the first billing day of January and extending
through the last billing day of the following December.
The energy efficiency formula rate shall be implemented
through a tariff filed with the Commission under

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subsections (f) and (g) of this Section that is consistent
with the provisions of this paragraph (2) and that shall
be applicable to all delivery services customers. The
Commission shall conduct an investigation of the tariff in
a manner consistent with the provisions of this paragraph
(2), subsections (f) and (g) of this Section, and the
provisions of Article IX of this Act to the extent they do
not conflict with this paragraph (2). The energy
efficiency formula rate approved by the Commission shall
remain in effect at the discretion of the utility and
shall do the following:
(A) Provide for the recovery of the utility's
actual costs incurred under this Section that are
prudently incurred and reasonable in amount consistent
with Commission practice and law. The sole fact that a
cost differs from that incurred in a prior calendar
year or that an investment is different from that made
in a prior calendar year shall not imply the
imprudence or unreasonableness of that cost or
investment.
(B) Reflect the utility's actual year-end capital
structure for the applicable calendar year, excluding
goodwill, subject to a determination of prudence and
reasonableness consistent with Commission practice and
law. To enable the financing of the incremental
capital expenditures, including regulatory assets, for

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electric utilities that serve less than 3,000,000
retail customers but more than 500,000 retail
customers in the State, a participating electric
utility's actual year-end capital structure that
includes a common equity ratio, excluding goodwill, of
up to and including 50% of the total capital structure
shall be deemed reasonable and used to set rates.
(C) Include a cost of equity, which shall be
calculated as the sum of the following:
(i) the average for the applicable calendar
year of the monthly average yields of 30-year U.S.
Treasury bonds published by the Board of Governors
of the Federal Reserve System in its weekly H.15
Statistical Release or successor publication; and
(ii) 580 basis points.
At such time as the Board of Governors of the
Federal Reserve System ceases to include the monthly
average yields of 30-year U.S. Treasury bonds in its
weekly H.15 Statistical Release or successor
publication, the monthly average yields of the U.S.
Treasury bonds then having the longest duration
published by the Board of Governors in its weekly H.15
Statistical Release or successor publication shall
instead be used for purposes of this paragraph (2).
(D) Permit and set forth protocols, subject to a
determination of prudence and reasonableness

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consistent with Commission practice and law, for the
following:
(i) recovery of incentive compensation expense
that is based on the achievement of operational
metrics, including metrics related to budget
controls, outage duration and frequency, safety,
customer service, efficiency and productivity, and
environmental compliance; however, this protocol
shall not apply if such expense related to costs
incurred under this Section is recovered under
Article IX or Section 16-108.5 of this Act;
incentive compensation expense that is based on
net income or an affiliate's earnings per share
shall not be recoverable under the energy
efficiency formula rate;
(ii) recovery of pension and other
post-employment benefits expense, provided that
such costs are supported by an actuarial study;
however, this protocol shall not apply if such
expense related to costs incurred under this
Section is recovered under Article IX or Section
16-108.5 of this Act;
(iii) recovery of existing regulatory assets
over the periods previously authorized by the
Commission;
(iv) as described in subsection (e),

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amortization of costs incurred under this Section;
and
(v) projected, weather normalized billing
determinants for the applicable rate year.
(E) Provide for an annual reconciliation, as
described in paragraph (3) of this subsection (d),
less any deferred taxes related to the reconciliation,
with interest at an annual rate of return equal to the
utility's weighted average cost of capital, including
a revenue conversion factor calculated to recover or
refund all additional income taxes that may be payable
or receivable as a result of that return, of the energy
efficiency revenue requirement reflected in rates for
each calendar year, beginning with the calendar year
in which the utility files its energy efficiency
formula rate tariff under this paragraph (2), with
what the revenue requirement would have been had the
actual cost information for the applicable calendar
year been available at the filing date.
The utility shall file, together with its tariff, the
projected costs to be incurred by the utility during the
rate year under the utility's multi-year plan approved
under subsections (f) and (g) of this Section, including,
but not limited to, the projected capital investment costs
and projected regulatory asset balances with
correspondingly updated depreciation and amortization

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reserves and expense, that shall populate the energy
efficiency formula rate and set the initial rates under
the formula.
The Commission shall review the proposed tariff in
conjunction with its review of a proposed multi-year plan,
as specified in paragraph (5) of subsection (g) of this
Section. The review shall be based on the same evidentiary
standards, including, but not limited to, those concerning
the prudence and reasonableness of the costs incurred by
the utility, the Commission applies in a hearing to review
a filing for a general increase in rates under Article IX
of this Act. The initial rates shall take effect beginning
with the January monthly billing period following the
Commission's approval.
The tariff's rate design and cost allocation across
customer classes shall be consistent with the utility's
automatic adjustment clause tariff in effect on June 1,
2017 (the effective date of Public Act 99-906); however,
the Commission may revise the tariff's rate design and
cost allocation in subsequent proceedings under paragraph
(3) of this subsection (d).
If the energy efficiency formula rate is terminated,
the then current rates shall remain in effect until such
time as the energy efficiency costs are incorporated into
new rates that are set under this subsection (d) or
Article IX of this Act, subject to retroactive rate

10200SB0018sam001 - 632 - LRB102 12600 LNS 28802 a
adjustment, with interest, to reconcile rates charged with
actual costs.
(3) The provisions of this paragraph (3) shall only
apply to an electric utility that has elected to file an
energy efficiency formula rate under paragraph (2) of this
subsection (d). Subsequent to the Commission's issuance of
an order approving the utility's energy efficiency formula
rate structure and protocols, and initial rates under
paragraph (2) of this subsection (d), the utility shall
file, on or before June 1 of each year, with the Chief
Clerk of the Commission its updated cost inputs to the
energy efficiency formula rate for the applicable rate
year and the corresponding new charges, as well as the
information described in paragraph (9) of subsection (g)
of this Section. Each such filing shall conform to the
following requirements and include the following
information:
(A) The inputs to the energy efficiency formula
rate for the applicable rate year shall be based on the
projected costs to be incurred by the utility during
the rate year under the utility's multi-year plan
approved under subsections (f) and (g) of this
Section, including, but not limited to, projected
capital investment costs and projected regulatory
asset balances with correspondingly updated
depreciation and amortization reserves and expense.

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The filing shall also include a reconciliation of the
energy efficiency revenue requirement that was in
effect for the prior rate year (as set by the cost
inputs for the prior rate year) with the actual
revenue requirement for the prior rate year
(determined using a year-end rate base) that uses
amounts reflected in the applicable FERC Form 1 that
reports the actual costs for the prior rate year. Any
over-collection or under-collection indicated by such
reconciliation shall be reflected as a credit against,
or recovered as an additional charge to, respectively,
with interest calculated at a rate equal to the
utility's weighted average cost of capital approved by
the Commission for the prior rate year, the charges
for the applicable rate year. Such over-collection or
under-collection shall be adjusted to remove any
deferred taxes related to the reconciliation, for
purposes of calculating interest at an annual rate of
return equal to the utility's weighted average cost of
capital approved by the Commission for the prior rate
year, including a revenue conversion factor calculated
to recover or refund all additional income taxes that
may be payable or receivable as a result of that
return. Each reconciliation shall be certified by the
participating utility in the same manner that FERC
Form 1 is certified. The filing shall also include the

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charge or credit, if any, resulting from the
calculation required by subparagraph (E) of paragraph
(2) of this subsection (d).
Notwithstanding any other provision of law to the
contrary, the intent of the reconciliation is to
ultimately reconcile both the revenue requirement
reflected in rates for each calendar year, beginning
with the calendar year in which the utility files its
energy efficiency formula rate tariff under paragraph
(2) of this subsection (d), with what the revenue
requirement determined using a year-end rate base for
the applicable calendar year would have been had the
actual cost information for the applicable calendar
year been available at the filing date.
For purposes of this Section, "FERC Form 1" means
the Annual Report of Major Electric Utilities,
Licensees and Others that electric utilities are
required to file with the Federal Energy Regulatory
Commission under the Federal Power Act, Sections 3,
4(a), 304 and 209, modified as necessary to be
consistent with 83 Ill. Admin. Code Part 415 as of May
1, 2011. Nothing in this Section is intended to allow
costs that are not otherwise recoverable to be
recoverable by virtue of inclusion in FERC Form 1.
(B) The new charges shall take effect beginning on
the first billing day of the following January billing

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period and remain in effect through the last billing
day of the next December billing period regardless of
whether the Commission enters upon a hearing under
this paragraph (3).
(C) The filing shall include relevant and
necessary data and documentation for the applicable
rate year. Normalization adjustments shall not be
required.
Within 45 days after the utility files its annual
update of cost inputs to the energy efficiency formula
rate, the Commission shall with reasonable notice,
initiate a proceeding concerning whether the projected
costs to be incurred by the utility and recovered during
the applicable rate year, and that are reflected in the
inputs to the energy efficiency formula rate, are
consistent with the utility's approved multi-year plan
under subsections (f) and (g) of this Section and whether
the costs incurred by the utility during the prior rate
year were prudent and reasonable. The Commission shall
also have the authority to investigate the information and
data described in paragraph (9) of subsection (g) of this
Section, including the proposed adjustment to the
utility's return on equity component of its weighted
average cost of capital. During the course of the
proceeding, each objection shall be stated with
particularity and evidence provided in support thereof,

10200SB0018sam001 - 636 - LRB102 12600 LNS 28802 a
after which the utility shall have the opportunity to
rebut the evidence. Discovery shall be allowed consistent
with the Commission's Rules of Practice, which Rules of
Practice shall be enforced by the Commission or the
assigned administrative law judge. The Commission shall
apply the same evidentiary standards, including, but not
limited to, those concerning the prudence and
reasonableness of the costs incurred by the utility,
during the proceeding as it would apply in a proceeding to
review a filing for a general increase in rates under
Article IX of this Act. The Commission shall not, however,
have the authority in a proceeding under this paragraph
(3) to consider or order any changes to the structure or
protocols of the energy efficiency formula rate approved
under paragraph (2) of this subsection (d). In a
proceeding under this paragraph (3), the Commission shall
enter its order no later than the earlier of 195 days after
the utility's filing of its annual update of cost inputs
to the energy efficiency formula rate or December 15. The
utility's proposed return on equity calculation, as
described in paragraphs (7) through (9) of subsection (g)
of this Section, shall be deemed the final, approved
calculation on December 15 of the year in which it is filed
unless the Commission enters an order on or before
December 15, after notice and hearing, that modifies such
calculation consistent with this Section. The Commission's

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determinations of the prudence and reasonableness of the
costs incurred, and determination of such return on equity
calculation, for the applicable calendar year shall be
final upon entry of the Commission's order and shall not
be subject to reopening, reexamination, or collateral
attack in any other Commission proceeding, case, docket,
order, rule, or regulation; however, nothing in this
paragraph (3) shall prohibit a party from petitioning the
Commission to rehear or appeal to the courts the order
under the provisions of this Act.
(e) Beginning on June 1, 2017 (the effective date of
Public Act 99-906), a utility subject to the requirements of
this Section may elect to defer, as a regulatory asset, up to
the full amount of its expenditures incurred under this
Section for each annual period, including, but not limited to,
any expenditures incurred above the funding level set by
subsection (f) of this Section for a given year. The total
expenditures deferred as a regulatory asset in a given year
shall be amortized and recovered over a period that is equal to
the weighted average of the energy efficiency measure lives
implemented for that year that are reflected in the regulatory
asset. The unamortized balance shall be recognized as of
December 31 for a given year. The utility shall also earn a
return on the total of the unamortized balances of all of the
energy efficiency regulatory assets, less any deferred taxes
related to those unamortized balances, at an annual rate equal

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to the utility's weighted average cost of capital that
includes, based on a year-end capital structure, the utility's
actual cost of debt for the applicable calendar year and a cost
of equity, which shall be calculated as the sum of the (i) the
average for the applicable calendar year of the monthly
average yields of 30-year U.S. Treasury bonds published by the
Board of Governors of the Federal Reserve System in its weekly
H.15 Statistical Release or successor publication; and (ii)
580 basis points, including a revenue conversion factor
calculated to recover or refund all additional income taxes
that may be payable or receivable as a result of that return.
Capital investment costs shall be depreciated and recovered
over their useful lives consistent with generally accepted
accounting principles. The weighted average cost of capital
shall be applied to the capital investment cost balance, less
any accumulated depreciation and accumulated deferred income
taxes, as of December 31 for a given year.
When an electric utility creates a regulatory asset under
the provisions of this Section, the costs are recovered over a
period during which customers also receive a benefit which is
in the public interest. Accordingly, it is the intent of the
General Assembly that an electric utility that elects to
create a regulatory asset under the provisions of this Section
shall recover all of the associated costs as set forth in this
Section. After the Commission has approved the prudence and
reasonableness of the costs that comprise the regulatory

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asset, the electric utility shall be permitted to recover all
such costs, and the value and recoverability through rates of
the associated regulatory asset shall not be limited, altered,
impaired, or reduced.
(f) Beginning in 2017, each electric utility shall file an
energy efficiency plan with the Commission to meet the energy
efficiency standards for the next applicable multi-year period
beginning January 1 of the year following the filing,
according to the schedule set forth in paragraphs (1) through
(3) of this subsection (f). If a utility does not file such a
plan on or before the applicable filing deadline for the plan,
it shall face a penalty of $100,000 per day until the plan is
filed.
(1) No later than 30 days after June 1, 2017 (the
effective date of Public Act 99-906), each electric
utility shall file a 4-year energy efficiency plan
commencing on January 1, 2018 that is designed to achieve
the cumulative persisting annual savings goals specified
in paragraphs (1) through (4) of subsection (b-5) of this
Section or in paragraphs (1) through (4) of subsection
(b-15) of this Section, as applicable, through
implementation of energy efficiency measures; however, the
goals may be reduced if the utility's expenditures are
limited pursuant to subsection (m) of this Section or, for
a utility that serves less than 3,000,000 retail
customers, if each of the following conditions are met:

10200SB0018sam001 - 640 - LRB102 12600 LNS 28802 a
(A) the plan's analysis and forecasts of the utility's
ability to acquire energy savings demonstrate that
achievement of such goals is not cost effective; and (B)
the amount of energy savings achieved by the utility as
determined by the independent evaluator for the most
recent year for which savings have been evaluated
preceding the plan filing was less than the average annual
amount of savings required to achieve the goals for the
applicable 4-year plan period. Except as provided in
subsection (m) of this Section, annual increases in
cumulative persisting annual savings goals during the
applicable 4-year plan period shall not be reduced to
amounts that are less than the maximum amount of
cumulative persisting annual savings that is forecast to
be cost-effectively achievable during the 4-year plan
period. The Commission shall review any proposed goal
reduction as part of its review and approval of the
utility's proposed plan.
(2) No later than March 1, 2021, each electric utility
shall file a 4-year energy efficiency plan commencing on
January 1, 2022 that is designed to achieve the cumulative
persisting annual savings goals specified in paragraphs
(5) through (8) of subsection (b-5) of this Section or in
paragraphs (5) through (8) of subsection (b-15) of this
Section, as applicable, through implementation of energy
efficiency measures; however, the goals may be reduced if

10200SB0018sam001 - 641 - LRB102 12600 LNS 28802 a
either (1) clear and convincing evidence demonstrates,
through independent analysis, that the expenditure limits
in subsection (m) of this Section preclude full
achievement of the goals or (2) the utility's expenditures
are limited pursuant to subsection (m) of this Section or,
each of the following conditions are met: (A) the plan's
analysis and forecasts of the utility's ability to acquire
energy savings demonstrate by clear and convincing
evidence and through independent analysis that achievement
of such goals is not cost effective; and (B) the amount of
energy savings achieved by the utility as determined by
the independent evaluator for the most recent year for
which savings have been evaluated preceding the plan
filing was less than the average annual amount of savings
required to achieve the goals for the applicable 4-year
plan period. If there is not clear and convincing evidence
that achieving the savings goals specified in paragraph
(b-5) or (b-15) of this Section is possible both
cost-effectively and within the expenditure limits in
subsection (m), such savings goals shall not be reduced.
Except as provided in subsection (m) of this Section,
annual increases in cumulative persisting annual savings
goals during the applicable 4-year plan period shall not
be reduced to amounts that are less than the maximum
amount of cumulative persisting annual savings that is
forecast to be cost-effectively achievable during the

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4-year plan period. The Commission shall review any
proposed goal reduction as part of its review and approval
of the utility's proposed plan, taking into account the
results of the potential study required under this
Section.
(3) No later than March 1, 2025, each electric utility
shall file a 4-year 5-year energy efficiency plan
commencing on January 1, 2026 that is designed to achieve
the cumulative persisting annual savings goals specified
in paragraphs (9) through (12) (13) of subsection (b-5) of
this Section or in paragraphs (9) through (12) (13) of
subsection (b-15) of this Section, as applicable, through
implementation of energy efficiency measures; however, the
goals may be reduced if either (1) clear and convincing
evidence demonstrates, through independent analysis, that
the expenditure limits in subsection (m) of this Section
preclude full achievement of the goals or (2) the
utility's expenditures are limited pursuant to subsection
(m) of this Section or, each of the following conditions
are met: (A) the plan's analysis and forecasts of the
utility's ability to acquire energy savings demonstrate by
clear and convincing evidence and through independent
analysis that achievement of such goals is not cost
effective; and (B) the amount of energy savings achieved
by the utility as determined by the independent evaluator
for the most recent year for which savings have been

10200SB0018sam001 - 643 - LRB102 12600 LNS 28802 a
evaluated preceding the plan filing was less than the
average annual amount of savings required to achieve the
goals for the applicable 4-year 5-year plan period. If
there is not clear and convincing evidence that achieving
the savings goals specified in paragraphs (b-5) or (b-15)
of this Section is possible both cost-effectively and
within the expenditure limits in subsection (m), such
savings goals shall not be reduced. Except as provided in
subsection (m) of this Section, annual increases in
cumulative persisting annual savings goals during the
applicable 4-year 5-year plan period shall not be reduced
to amounts that are less than the maximum amount of
cumulative persisting annual savings that is forecast to
be cost-effectively achievable during the 4-year 5-year
plan period. The Commission shall review any proposed goal
reduction as part of its review and approval of the
utility's proposed plan, taking into account the results
of the potential study required by this Section.
(4) No later than March 1, 2029, and every 4 years
thereafter, each electric utility shall file a 4-year
energy efficiency plan commencing on January 1, 2030, and
every 4 years thereafter, respectively, that is designed
to achieve the cumulative persisting annual savings goals
established by the Illinois Commerce Commission pursuant
to direction of subsections (b-5) and (b-15) of this
Section, as applicable, through implementation of energy

10200SB0018sam001 - 644 - LRB102 12600 LNS 28802 a
efficiency measures; however, the goals may be reduced if
either (1) clear and convincing evidence and independent
analysis demonstrates that the expenditure limits in
subsection (m) of this Section preclude full achievement
of the goals or (2) each of the following conditions are
met: (A) the plan's analysis and forecasts of the
utility's ability to acquire energy savings demonstrate by
clear and convincing evidence and through independent
analysis that achievement of such goals is not
cost-effective; and (B) the amount of energy savings
achieved by the utility as determined by the independent
evaluator for the most recent year for which savings have
been evaluated preceding the plan filing was less than the
average annual amount of savings required to achieve the
goals for the applicable 4-year plan period. If there is
not clear and convincing evidence that achieving the
savings goals specified in paragraphs (b-5) or (b-15) of
this Section is possible both cost-effectively and within
the expenditure limits in subsection (m), such savings
goals shall not be reduced. Except as provided in
subsection (m) of this Section, annual increases in
cumulative persisting annual savings goals during the
applicable 4-year plan period shall not be reduced to
amounts that are less than the maximum amount of
cumulative persisting annual savings that is forecast to
be cost-effectively achievable during the 4-year plan

10200SB0018sam001 - 645 - LRB102 12600 LNS 28802 a
period. The Commission shall review any proposed goal
reduction as part of its review and approval of the
utility's proposed plan.
Each utility's plan shall set forth the utility's
proposals to meet the energy efficiency standards identified
in subsection (b-5) or (b-15), as applicable and as such
standards may have been modified under this subsection (f),
taking into account the unique circumstances of the utility's
service territory and results of an energy efficiency
potential study as described in subsection (f-5) of this
Section. For those plans commencing on January 1, 2018, the
Commission shall seek public comment on the utility's plan and
shall issue an order approving or disapproving each plan no
later than 105 days after June 1, 2017 (the effective date of
Public Act 99-906). For those plans commencing after December
31, 2021, the Commission shall seek public comment on the
utility's plan and shall issue an order approving or
disapproving each plan within 6 months after its submission.
If the Commission disapproves a plan, the Commission shall,
within 30 days, describe in detail the reasons for the
disapproval and describe a path by which the utility may file a
revised draft of the plan to address the Commission's concerns
satisfactorily. If the utility does not refile with the
Commission within 60 days, the utility shall be subject to
penalties at a rate of $100,000 per day until the plan is
filed. This process shall continue, and penalties shall

10200SB0018sam001 - 646 - LRB102 12600 LNS 28802 a
accrue, until the utility has successfully filed a portfolio
of energy efficiency and demand-response measures. Penalties
shall be deposited into the Energy Efficiency Trust Fund.
(g) In submitting proposed plans and funding levels under
subsection (f) of this Section to meet the savings goals
identified in subsection (b-5) or (b-15) of this Section, as
applicable, the utility shall:
(1) Demonstrate that its proposed energy efficiency
measures will achieve the applicable requirements that are
identified in subsection (b-5) or (b-15) of this Section,
as modified by subsection (f) of this Section.
(2) (Blank). Present specific proposals to implement
new building and appliance standards that have been placed
into effect.
(2.5) Demonstrate consideration of program options for
(A) advancing new building codes, appliance standards, and
municipal regulations governing existing and new building
efficiency improvements and (B) supporting efforts to
improve compliance with new building codes, appliance
standards and municipal regulations, as potentially
cost-effective means of acquiring energy savings to count
toward savings goals.
(3) Demonstrate that its overall portfolio of
measures, not including low-income programs described in
subsection (c) of this Section, is cost-effective using
the total resource cost test or complies with paragraphs

10200SB0018sam001 - 647 - LRB102 12600 LNS 28802 a
(1) through (3) of subsection (f) of this Section and
represents a diverse cross-section of opportunities for
customers of all rate classes, other than those customers
described in subsection (l) of this Section, to
participate in the programs. Individual measures need not
be cost effective.
(3.5) Demonstrate that the utility's plan integrates
the delivery of energy efficiency programs with natural
gas efficiency programs, programs promoting distributed
solar, programs promoting demand response and other
efforts to address bill payment issues, including, but not
limited to, LIHEAP and the Percentage of Income Payment
Plan, to the extent such integration is practical and has
the potential to enhance customer engagement, minimize
market confusion, or reduce administrative costs.
(4) Present a third-party energy efficiency
implementation program subject to the following
requirements:
(A) beginning with the year commencing January 1,
2019, electric utilities that serve more than
3,000,000 retail customers in the State shall fund
third-party energy efficiency programs in an amount
that is no less than $25,000,000 per year, and
electric utilities that serve less than 3,000,000
retail customers but more than 500,000 retail
customers in the State shall fund third-party energy

10200SB0018sam001 - 648 - LRB102 12600 LNS 28802 a
efficiency programs in an amount that is no less than
$8,350,000 per year;
(B) during 2018, the utility shall conduct a
solicitation process for purposes of requesting
proposals from third-party vendors for those
third-party energy efficiency programs to be offered
during one or more of the years commencing January 1,
2019, January 1, 2020, and January 1, 2021; for those
multi-year plans commencing on January 1, 2022 and
January 1, 2026, the utility shall conduct a
solicitation process during 2021 and 2025,
respectively, for purposes of requesting proposals
from third-party vendors for those third-party energy
efficiency programs to be offered during one or more
years of the respective multi-year plan period; for
each solicitation process, the utility shall identify
the sector, technology, or geographical area for which
it is seeking requests for proposals; the solicitation
process must be either for programs that fill gaps in
the utility's program portfolio and for programs that
target low-income customers, business sectors,
building types, geographies, or other specific parts
of its customer base with initiatives that would be
more effective at reaching these customer segments
than the utilities' programs filed in its energy
efficiency plans;

10200SB0018sam001 - 649 - LRB102 12600 LNS 28802 a
(C) the utility shall propose the bidder
qualifications, performance measurement process, and
contract structure, which must include a performance
payment mechanism and general terms and conditions;
the proposed qualifications, process, and structure
shall be subject to Commission approval; and
(D) the utility shall retain an independent third
party to score the proposals received through the
solicitation process described in this paragraph (4),
rank them according to their cost per lifetime
kilowatt-hours saved, and assemble the portfolio of
third-party programs.
The electric utility shall recover all costs
associated with Commission-approved, third-party
administered programs regardless of the success of those
programs.
(4.5) Implement cost-effective demand-response
measures to reduce peak demand by 0.1% over the prior year
for eligible retail customers, as defined in Section
16-111.5 of this Act, and for customers that elect hourly
service from the utility pursuant to Section 16-107 of
this Act, provided those customers have not been declared
competitive. This requirement continues until December 31,
2026.
(5) Include a proposed or revised cost-recovery tariff
mechanism, as provided for under subsection (d) of this

10200SB0018sam001 - 650 - LRB102 12600 LNS 28802 a
Section, to fund the proposed energy efficiency and
demand-response measures and to ensure the recovery of the
prudently and reasonably incurred costs of
Commission-approved programs.
(6) Provide for an annual independent evaluation of
the performance of the cost-effectiveness of the utility's
portfolio of measures, as well as a full review of the
multi-year plan results of the broader net program impacts
and, to the extent practical, for adjustment of the
measures on a going-forward basis as a result of the
evaluations. The resources dedicated to evaluation shall
not exceed 3% of portfolio resources in any given year.
(7) For electric utilities that serve more than
3,000,000 retail customers in the State:
(A) Through December 31, 2025, provide for an
adjustment to the return on equity component of the
utility's weighted average cost of capital calculated
under subsection (d) of this Section:
(i) If the independent evaluator determines
that the utility achieved a cumulative persisting
annual savings that is less than the applicable
annual incremental goal, then the return on equity
component shall be reduced by a maximum of 200
basis points in the event that the utility
achieved no more than 75% of such goal. If the
utility achieved more than 75% of the applicable

10200SB0018sam001 - 651 - LRB102 12600 LNS 28802 a
annual incremental goal but less than 100% of such
goal, then the return on equity component shall be
reduced by 8 basis points for each percent by
which the utility failed to achieve the goal.
(ii) If the independent evaluator determines
that the utility achieved a cumulative persisting
annual savings that is more than the applicable
annual incremental goal, then the return on equity
component shall be increased by a maximum of 200
basis points in the event that the utility
achieved at least 125% of such goal. If the
utility achieved more than 100% of the applicable
annual incremental goal but less than 125% of such
goal, then the return on equity component shall be
increased by 8 basis points for each percent by
which the utility achieved above the goal. If the
applicable annual incremental goal was reduced
under paragraphs (1) or (2) of subsection (f) of
this Section, then the following adjustments shall
be made to the calculations described in this item
(ii):
(aa) the calculation for determining
achievement that is at least 125% of the
applicable annual incremental goal shall use
the unreduced applicable annual incremental
goal to set the value; and

10200SB0018sam001 - 652 - LRB102 12600 LNS 28802 a
(bb) the calculation for determining
achievement that is less than 125% but more
than 100% of the applicable annual incremental
goal shall use the reduced applicable annual
incremental goal to set the value for 100%
achievement of the goal and shall use the
unreduced goal to set the value for 125%
achievement. The 8 basis point value shall
also be modified, as necessary, so that the
200 basis points are evenly apportioned among
each percentage point value between 100% and
125% achievement.
(B) For the period January 1, 2026 through
December 31, 2029 and in all subsequent 4-year periods
2030, provide for an adjustment to the return on
equity component of the utility's weighted average
cost of capital calculated under subsection (d) of
this Section:
(i) If the independent evaluator determines
that the utility achieved a cumulative persisting
annual savings that is less than the applicable
annual incremental goal, then the return on equity
component shall be reduced by a maximum of 200
basis points in the event that the utility
achieved no more than 66% of such goal. If the
utility achieved more than 66% of the applicable

10200SB0018sam001 - 653 - LRB102 12600 LNS 28802 a
annual incremental goal but less than 100% of such
goal, then the return on equity component shall be
reduced by 6 basis points for each percent by
which the utility failed to achieve the goal.
(ii) If the independent evaluator determines
that the utility achieved a cumulative persisting
annual savings that is more than the applicable
annual incremental goal, then the return on equity
component shall be increased by a maximum of 200
basis points in the event that the utility
achieved at least 134% of such goal. If the
utility achieved more than 100% of the applicable
annual incremental goal but less than 134% of such
goal, then the return on equity component shall be
increased by 6 basis points for each percent by
which the utility achieved above the goal. If the
applicable annual incremental goal was reduced
under paragraph (3) of subsection (f) of this
Section, then the following adjustments shall be
made to the calculations described in this item
(ii):
(aa) the calculation for determining
achievement that is at least 134% of the
applicable annual incremental goal shall use
the unreduced applicable annual incremental
goal to set the value; and

10200SB0018sam001 - 654 - LRB102 12600 LNS 28802 a
(bb) the calculation for determining
achievement that is less than 134% but more
than 100% of the applicable annual incremental
goal shall use the reduced applicable annual
incremental goal to set the value for 100%
achievement of the goal and shall use the
unreduced goal to set the value for 134%
achievement. The 6 basis point value shall
also be modified, as necessary, so that the
200 basis points are evenly apportioned among
each percentage point value between 100% and
134% achievement.
(C) Notwithstanding the provisions of
subparagraphs (A) and (B) of this paragraph (7), if
the applicable annual incremental goal for an electric
utility is ever less than 0.6% of deemed average
weather normalized sales of electric power and energy
during calendar years 2014, 2015, and 2016, an
adjustment to the return on equity component of the
utility's weighted average cost of capital calculated
under subsection (d) of this Section shall be made as
follows:
(i) If the independent evaluator determines
that the utility achieved a cumulative persisting
annual savings that is less than would have been
achieved had the applicable annual incremental

10200SB0018sam001 - 655 - LRB102 12600 LNS 28802 a
goal been achieved, then the return on equity
component shall be reduced by a maximum of 200
basis points if the utility achieved no more than
75% of its applicable annual total savings
requirement as defined in paragraph (7.5) of this
subsection. If the utility achieved more than 75%
of the applicable annual total savings requirement
but less than 100% of such goal, then the return on
equity component shall be reduced by 8 basis
points for each percent by which the utility
failed to achieve the goal.
(ii) If the independent evaluator determines
that the utility achieved a cumulative persisting
annual savings that is more than would have been
achieved had the applicable annual incremental
goal been achieved, then the return on equity
component shall be increased by a maximum of 200
basis points if the utility achieved at least 125%
of its applicable annual total savings
requirement. If the utility achieved more than
100% of the applicable annual total savings
requirement but less than 125% of such goal, then
the return on equity component shall be increased
by 8 basis points for each percent by which the
utility achieved above the applicable annual total
savings requirement. If the applicable annual

10200SB0018sam001 - 656 - LRB102 12600 LNS 28802 a
incremental goal was reduced under paragraph (1)
or (2) of subsection (f) of this Section, then the
following adjustments shall be made to the
calculations described in this item (ii):
(aa) the calculation for determining
achievement that is at least 125% of the
applicable annual total savings requirement
shall use the unreduced applicable annual
incremental goal to set the value; and
(bb) the calculation for determining
achievement that is less than 125% but more
than 100% of the applicable annual total
savings requirement shall use the reduced
applicable annual incremental goal to set the
value for 100% achievement of the goal and
shall use the unreduced goal to set the value
for 125% achievement. The 8 basis point value
shall also be modified, as necessary, so that
the 200 basis points are evenly apportioned
among each percentage point value between 100%
and 125% achievement.
(7.5) For purposes of this Section, the term
"applicable annual incremental goal" means the difference
between the cumulative persisting annual savings goal for
the calendar year that is the subject of the independent
evaluator's determination and the cumulative persisting

10200SB0018sam001 - 657 - LRB102 12600 LNS 28802 a
annual savings goal for the immediately preceding calendar
year, as such goals are defined in subsections (b-5) and
(b-15) of this Section and as these goals may have been
modified as provided for under subsection (b-20) and
paragraphs (1) through (3) of subsection (f) of this
Section. Under subsections (b), (b-5), (b-10), and (b-15)
of this Section, a utility must first replace energy
savings from measures that have expired reached the end of
their measure lives and would otherwise have to be
replaced to meet the applicable savings goals identified
in subsection (b-5) or (b-15) of this Section before any
progress towards achievement of its applicable annual
incremental goal may be counted. Savings may expire
because measures installed in previous years have reached
the end of their lives, because measures installed in
previous years are producing lower savings in the current
year than in the previous year, or for other reasons
identified by independent evaluators. Notwithstanding
anything else set forth in this Section, the difference
between the actual annual incremental savings achieved in
any given year, including the replacement of energy
savings from measures that have expired, and the
applicable annual incremental goal shall not affect
adjustments to the return on equity for subsequent
calendar years under this subsection (g).
In this Section, "applicable annual total savings

10200SB0018sam001 - 658 - LRB102 12600 LNS 28802 a
requirement" means the total amount of new annual savings
that the utility must achieve in any given year to achieve
the applicable annual incremental goal. This is equal to
the applicable annual incremental goal plus the total new
annual savings that are required to replace savings that
expired in or at the end of the previous year.
(8) For electric utilities that serve less than
3,000,000 retail customers but more than 500,000 retail
customers in the State:
(A) Through December 31, 2025, the applicable
annual incremental goal shall be compared to the
annual incremental savings as determined by the
independent evaluator.
(i) The return on equity component shall be
reduced by 8 basis points for each percent by
which the utility did not achieve 84.4% of the
applicable annual incremental goal.
(ii) The return on equity component shall be
increased by 8 basis points for each percent by
which the utility exceeded 100% of the applicable
annual incremental goal.
(iii) The return on equity component shall not
be increased or decreased if the annual
incremental savings as determined by the
independent evaluator is greater than 84.4% of the
applicable annual incremental goal and less than

10200SB0018sam001 - 659 - LRB102 12600 LNS 28802 a
100% of the applicable annual incremental goal.
(iv) The return on equity component shall not
be increased or decreased by an amount greater
than 200 basis points pursuant to this
subparagraph (A).
(B) For the period of January 1, 2026 through
December 31, 2029 and in all subsequent 4-year periods
2030, the applicable annual incremental goal shall be
compared to the annual incremental savings as
determined by the independent evaluator.
(i) The return on equity component shall be
reduced by 6 basis points for each percent by
which the utility did not achieve 100% of the
applicable annual incremental goal.
(ii) The return on equity component shall be
increased by 6 basis points for each percent by
which the utility exceeded 100% of the applicable
annual incremental goal.
(iii) The return on equity component shall not
be increased or decreased by an amount greater
than 200 basis points pursuant to this
subparagraph (B).
(C) Notwithstanding provisions in subparagraphs
(A) and (B) of paragraph (7) of this subsection, if the
applicable annual incremental goal for an electric
utility is ever less than 0.6% of deemed average

10200SB0018sam001 - 660 - LRB102 12600 LNS 28802 a
weather normalized sales of electric power and energy
during calendar years 2014, 2015 and 2016, an
adjustment to the return on equity component of the
utility's weighted average cost of capital calculated
under subsection (d) of this Section shall be made as
follows:
(i) The return on equity component shall be
reduced by 8 basis points for each percent by
which the utility did not achieve 100% of the
applicable annual total savings requirement.
(ii) The return on equity component shall be
increased by 8 basis points for each percent by
which the utility exceeded 100% of the applicable
annual total savings requirement.
(iii) The return on equity component shall not
be increased or decreased by an amount greater
than 200 basis points pursuant to this
subparagraph (C).
(D) (C) If the applicable annual incremental goal
was reduced under paragraph paragraphs (1), (2), or
(3), or (4) of subsection (f) of this Section, then the
following adjustments shall be made to the
calculations described in subparagraphs (A), and (B),
and (C) of this paragraph (8):
(i) The calculation for determining
achievement that is at least 125% or 134%, as

10200SB0018sam001 - 661 - LRB102 12600 LNS 28802 a
applicable, of the applicable annual incremental
goal or the applicable annual total savings
requirement, as applicable, shall use the
unreduced applicable annual incremental goal to
set the value.
(ii) For the period through December 31, 2025,
the calculation for determining achievement that
is less than 125% but more than 100% of the
applicable annual incremental goal or the
applicable annual total savings requirement, as
applicable, shall use the reduced applicable
annual incremental goal to set the value for 100%
achievement of the goal and shall use the
unreduced goal to set the value for 125%
achievement. The 8 basis point value shall also be
modified, as necessary, so that the 200 basis
points are evenly apportioned among each
percentage point value between 100% and 125%
achievement.
(iii) For the period of January 1, 2026
through December 31, 2029 and all subsequent
4-year periods, the calculation for determining
achievement that is less than 125% or 134%, as
applicable, but more than 100% of the applicable
annual incremental goal or the applicable annual
total savings requirement, as applicable, shall

10200SB0018sam001 - 662 - LRB102 12600 LNS 28802 a
use the reduced applicable annual incremental goal
to set the value for 100% achievement of the goal
and shall use the unreduced goal to set the value
for 125% achievement. The 6 basis-point value or 8
basis-point value, as applicable, shall also be
modified, as necessary, so that the 200 basis
points are evenly apportioned among each
percentage point value between 100% and 125% or
between 100% and 134% achievement, as applicable
2030, the calculation for determining achievement
that is less than 134% but more than 100% of the
applicable annual incremental goal shall use the
reduced applicable annual incremental goal to set
the value for 100% achievement of the goal and
shall use the unreduced goal to set the value for
125% achievement. The 6 basis point value shall
also be modified, as necessary, so that the 200
basis points are evenly apportioned among each
percentage point value between 100% and 134%
achievement.
(9) The utility shall submit the energy savings data
to the independent evaluator no later than 30 days after
the close of the plan year. The independent evaluator
shall determine the cumulative persisting annual savings
for a given plan year, as well as an estimate of job
impacts and other macroeconomic impacts of the efficiency

10200SB0018sam001 - 663 - LRB102 12600 LNS 28802 a
programs for that year, no later than 120 days after the
close of the plan year. The utility shall submit an
informational filing to the Commission no later than 160
days after the close of the plan year that attaches the
independent evaluator's final report identifying the
cumulative persisting annual savings for the year and
calculates, under paragraph (7) or (8) of this subsection
(g), as applicable, any resulting change to the utility's
return on equity component of the weighted average cost of
capital applicable to the next plan year beginning with
the January monthly billing period and extending through
the December monthly billing period. However, if the
utility recovers the costs incurred under this Section
under paragraphs (2) and (3) of subsection (d) of this
Section, then the utility shall not be required to submit
such informational filing, and shall instead submit the
information that would otherwise be included in the
informational filing as part of its filing under paragraph
(3) of such subsection (d) that is due on or before June 1
of each year.
For those utilities that must submit the informational
filing, the Commission may, on its own motion or by
petition, initiate an investigation of such filing,
provided, however, that the utility's proposed return on
equity calculation shall be deemed the final, approved
calculation on December 15 of the year in which it is filed

10200SB0018sam001 - 664 - LRB102 12600 LNS 28802 a
unless the Commission enters an order on or before
December 15, after notice and hearing, that modifies such
calculation consistent with this Section.
The adjustments to the return on equity component
described in paragraphs (7) and (8) of this subsection (g)
shall be applied as described in such paragraphs through a
separate tariff mechanism, which shall be filed by the
utility under subsections (f) and (g) of this Section.
(9.5) The utility must demonstrate how it will ensure
that program implementation contractors and energy
efficiency installation vendors will promote workforce
equity and quality jobs.
(9.6) Utilities shall collect data necessary to ensure
compliance with paragraph (9.5) no less than quarterly and
shall communicate progress toward compliance with
paragraph (9.5) to program implementation contractors and
energy efficiency installation vendors no less than
quarterly. Utilities shall work with relevant vendors,
providing education, training, and other resources needed
to ensure compliance and, where necessary, adjusting or
terminating work with vendors that cannot assist with
compliance.
(10) Utilities required to implement efficiency
programs under subsections (b-5) and (b-10) shall report
annually to the Illinois Commerce Commission and the
General Assembly on how hiring, contracting, job training,

10200SB0018sam001 - 665 - LRB102 12600 LNS 28802 a
and other practices related to its energy efficiency
programs enhance the diversity of vendors working on such
programs. These reports must include data on vendor and
employee diversity, including data on the implementation
of paragraphs (9.5) and (9.6). If the utility is not
meeting the requirements of paragraphs (9.5) and (9.6),
the utility shall submit a plan to adjust their activities
so that they meet the requirements of paragraphs (9.5) and
(9.6) within the following year.
(h) No more than 4% 6% of energy efficiency and
demand-response program revenue may be allocated for research,
development, or pilot deployment of new equipment or measures.
Electric utilities shall work with interested stakeholders to
formulate a plan for how these funds should be spent,
incorporate statewide approaches for these allocations, and
file a 4-year plan that demonstrates that collaboration. If a
utility files a request for modified annual energy savings
goals with the Commission, then a utility shall forgo spending
portfolio dollars on research and development proposals.
(i) When practicable, electric utilities shall incorporate
advanced metering infrastructure data into the planning,
implementation, and evaluation of energy efficiency measures
and programs, subject to the data privacy and confidentiality
protections of applicable law.
(j) The independent evaluator shall follow the guidelines
and use the savings set forth in Commission-approved energy

10200SB0018sam001 - 666 - LRB102 12600 LNS 28802 a
efficiency policy manuals and technical reference manuals, as
each may be updated from time to time. Until such time as
measure life values for energy efficiency measures implemented
for low-income households under subsection (c) of this Section
are incorporated into such Commission-approved manuals, the
low-income measures shall have the same measure life values
that are established for same measures implemented in
households that are not low-income households.
(k) Notwithstanding any provision of law to the contrary,
an electric utility subject to the requirements of this
Section may file a tariff cancelling an automatic adjustment
clause tariff in effect under this Section or Section 8-103,
which shall take effect no later than one business day after
the date such tariff is filed. Thereafter, the utility shall
be authorized to defer and recover its expenditures incurred
under this Section through a new tariff authorized under
subsection (d) of this Section or in the utility's next rate
case under Article IX or Section 16-108.5 of this Act, with
interest at an annual rate equal to the utility's weighted
average cost of capital as approved by the Commission in such
case. If the utility elects to file a new tariff under
subsection (d) of this Section, the utility may file the
tariff within 10 days after June 1, 2017 (the effective date of
Public Act 99-906), and the cost inputs to such tariff shall be
based on the projected costs to be incurred by the utility
during the calendar year in which the new tariff is filed and

10200SB0018sam001 - 667 - LRB102 12600 LNS 28802 a
that were not recovered under the tariff that was cancelled as
provided for in this subsection. Such costs shall include
those incurred or to be incurred by the utility under its
multi-year plan approved under subsections (f) and (g) of this
Section, including, but not limited to, projected capital
investment costs and projected regulatory asset balances with
correspondingly updated depreciation and amortization reserves
and expense. The Commission shall, after notice and hearing,
approve, or approve with modification, such tariff and cost
inputs no later than 75 days after the utility filed the
tariff, provided that such approval, or approval with
modification, shall be consistent with the provisions of this
Section to the extent they do not conflict with this
subsection (k). The tariff approved by the Commission shall
take effect no later than 5 days after the Commission enters
its order approving the tariff.
No later than 60 days after the effective date of the
tariff cancelling the utility's automatic adjustment clause
tariff, the utility shall file a reconciliation that
reconciles the moneys collected under its automatic adjustment
clause tariff with the costs incurred during the period
beginning June 1, 2016 and ending on the date that the electric
utility's automatic adjustment clause tariff was cancelled. In
the event the reconciliation reflects an under-collection, the
utility shall recover the costs as specified in this
subsection (k). If the reconciliation reflects an

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

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private energy customers for the purposes of this
subsection (l). A determination of whether this subsection
is applicable to a customer shall be made for each
multi-year plan beginning after December 31, 2017. The
criteria for determining whether this subsection (l) is
applicable to a retail customer shall be based on the 12
consecutive billing periods prior to the start of the
first year of each such multi-year plan.
(2) Within 45 days after the effective date of this
amendatory Act of the 102nd General Assembly, the
Commission shall prescribe the form for notice required
for opting out of energy efficiency programs. The notice
must be submitted to the retail electric utility 12 months
before the next energy efficiency planning cycle. However,
within 120 days after the Commission's initial issuance of
the form for notice, eligible large private energy
customers may submit a form for notice to an electric
utility. The form for notice for opting out of energy
efficiency programs shall include all of the following:
(A) a statement indicating that the customer has
elected to opt out;
(B) the account numbers for the customer accounts
to which the opt out shall apply;
(C) the mailing address associated with the
customer accounts identified under subparagraph (B);
(D) an American Society of Heating, Refrigerating,

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and Air-Conditioning Engineers (ASHRAE) level 2 or
higher audit report conducted by an independent
third-party expert identifying cost-effective energy
efficiency project opportunities that could be
invested in over the next 10 years. A retail customer
with specialized processes may utilize a self-audit
process in lieu of the ASHRAE audit;
(E) a description of the customer's plans to
reallocate the funds toward internal energy efficiency
efforts identified in the subparagraph (D) report,
including, but not limited to: (i) strategic energy
management or other programs, including descriptions
of targeted buildings, equipment and operations; (ii)
eligible energy efficiency measures; and (iii)
expected energy savings, itemized by technology. If
the subparagraph (D) audit report identifies that the
customer currently utilizes the best available energy
efficient technology, equipment, programs, and
operations, the customer may provide a statement that
more efficient technology, equipment, programs, and
operations are not reasonably available as a means of
satisfying this subparagraph (E); and
(F) the effective date of the opt out, which will
be the next January 1 following notice of the opt out.
(3) Upon receipt of a properly and timely noticed
request for opt out submitted by an eligible large private

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energy customer, the retail electric utility shall grant
the request, file the request with the Commission and,
beginning January 1 of the following year, the opted out
customer shall no longer be assessed the costs of the plan
and shall be prohibited from participating in that 4-year
plan cycle to give the retail utility the certainty to
design program plan proposals.
(4) Upon a customer's election to opt out under
paragraphs (1) and (2) of this subsection (l) and
commencing on the effective date of said opt out, the
account properly identified in the customer's notice under
paragraph (2) shall not be subject to any cost recovery
and shall not be eligible to participate in, or directly
benefit from, compliance with energy efficiency cumulative
persisting savings requirements under subsections (a)
through (j).
(5) A utility's cumulative persisting annual savings
targets will exclude any opted out load.
(6) The request to opt out is only valid for the
requested plan cycle. An eligible large private energy
customer must also request to opt out for future energy
plan cycles, otherwise the customer will be included in
the future energy plan cycle. For the calendar years
covered by a multi-year plan commencing after December 31,
2017, subsections (a) through (j) of this Section do not
apply to any retail customers of an electric utility that

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serves more than 3,000,000 retail customers in the State
and whose total highest 30 minute demand was more than
10,000 kilowatts, or any retail customers of an electric
utility that serves less than 3,000,000 retail customers
but more than 500,000 retail customers in the State and
whose total highest 15 minute demand was more than 10,000
kilowatts. For purposes of this subsection (l), "retail
customer" has the meaning set forth in Section 16-102 of
this Act. A determination of whether this subsection is
applicable to a customer shall be made for each multi-year
plan beginning after December 31, 2017. The criteria for
determining whether this subsection (l) is applicable to a
retail customer shall be based on the 12 consecutive
billing periods prior to the start of the first year of
each such multi-year plan.
(m) Notwithstanding the requirements of this Section, as
part of a proceeding to approve a multi-year plan under
subsections (f) and (g) of this Section if the multi-year plan
has been designed to maximize savings, but does not meet the
cost cap limitations of this Section, the Commission shall
reduce the amount of energy efficiency measures implemented
for any single year, and whose costs are recovered under
subsection (d) of this Section, by an amount necessary to
limit the estimated average net increase due to the cost of the
measures to no more than
(1) 3.5% for each of the 4 years beginning January 1,

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2018,
(2) (blank), 3.75% for each of the 4 years beginning
January 1, 2022, and
(3) 4% for each of the 4 5 years beginning January 1,
2022 2026,
(4) 4.25% for the 4 years beginning January 1, 2026,
and
(5) 4.25% plus an increase sufficient to account for
the rate of inflation between January 1, 2026 and January
1 of the first year of each subsequent 4-year plan cycle,
of the average amount paid per kilowatthour by residential
eligible retail customers during calendar year 2015. An
electric utility may plan to spend up to 10% more in any year
during an applicable multi-year plan period to
cost-effectively achieve additional savings so long as the
average over the applicable multi-year plan period does not
exceed the percentages defined in items (1) through (5). To
determine the total amount that may be spent by an electric
utility in any single year, the applicable percentage of the
average amount paid per kilowatthour shall be multiplied by
the total amount of energy delivered by such electric utility
in the calendar year 2015, adjusted to reflect the proportion
of the utility's load attributable to customers that have
opted out of who are exempt from subsections (a) through (j) of
this Section under subsection (l) of this Section. For
purposes of this subsection (m), the amount paid per

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kilowatthour includes, without limitation, estimated amounts
paid for supply, transmission, distribution, surcharges, and
add-on taxes. For purposes of this Section, "eligible retail
customers" shall have the meaning set forth in Section
16-111.5 of this Act. Once the Commission has approved a plan
under subsections (f) and (g) of this Section, no subsequent
rate impact determinations shall be made.
(n) A utility shall take advantage of the efficiencies
available through existing Illinois Home Weatherization
Assistance Program infrastructure and services, such as
enrollment, marketing, quality assurance and implementation,
which can reduce the need for similar services at a lower cost
than utility-only programs, subject to capacity constraints at
community action agencies, for both single-family and
multifamily weatherization services, to the extent Illinois
Home Weatherization Assistance Program CAAs provide
multifamily services. A utility's plan shall demonstrate that
in formulating annual weatherization budgets, it has sought
input and coordination with community action agencies
regarding agencies' capacity to expand and maximize Illinois
Home Weatherization Assistance Program delivery using the
ratepayer dollars collected under this Section.
(Source: P.A. 100-840, eff. 8-13-18; 101-81, eff. 7-12-19.)
(220 ILCS 5/8-201.8 new)
Sec. 8-201.8. Prohibition on late payment fees for

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low-income residential customers or applicants.
(a) Notwithstanding any other provision of this Act, as of
the effective date of this amendatory Act of the 102nd General
Assembly, an electric utility shall not charge a low-income
residential customer or applicant a fee, charge, or penalty
for late payment of any utility bill or invoice.
Notwithstanding any other provision of this Act, as of January
1, 2023, a natural gas utility shall not charge a low-income
residential customer or applicant a fee, charge, or penalty
for late payment of any utility bill or invoice.
(b) As used in this Section, "low-income residential
customer or applicant" means: (i) a member of a household at or
below 80% of the latest median household income as reported by
the United States Census Bureau for the most applicable
community or county; (ii) a member of a household at or below
150% of the federal poverty level; (iii) a person who is
eligible for the Illinois Low Income Home Energy Assistance
Program (LIHEAP) as defined in the Energy Assistance Act; (iv)
a person who is eligible to participate in the Percentage of
Income Payment Plan (PIPP or PIP Plan) as defined in the Energy
Assistance Act; or (v) a person who is eligible to receive
Lifeline service as defined in the Universal Service Telephone
Service Protection Law of 1985.
(220 ILCS 5/8-201.10 new)
Sec. 8-201.10. Disconnection and credit and collections

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reporting.
(a) The Commission shall require all gas, electric, water
and sewer public utilities under its authority to submit an
annual report by May 1, 2022 and every May 1 thereafter,
reporting and making publicly available in executable,
electronic spreadsheet format, by zip code, on the number of
disconnections for nonpayment and reconnections that occurred
in the immediately preceding calendar year.
(b) Each such public utility in its annual report shall
report to the Commission and make publicly available in
executable, electronic spreadsheet format the following
information, by zip code, for the immediately preceding
calendar year:
(1) the number of customers, by customer class and
type of utility service provided, during each month;
(2) the number of customers, by customer class and
type of utility service, receiving disconnection notices
during each month;
(3) the number of customers, by customer class and
type of utility service, disconnected for nonpayment
during each month;
(4) the number of customers, by customer class and
type of utility service, reconnected because they have
paid in full or set up payment arrangements during each
month;
(5) the number of new deferred payment agreements, by

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customer class and type of utility service, each month;
(6) the number of customers, by customer class and
type of utility service, taking service at the beginning
of the month under existing deferred payment arrangements;
(7) the number of customers, by customer class and
type of utility service, completing deferred payment
arrangements during the month;
(8) the number of payment agreements, by customer
class and type of utility service, that failed during each
month;
(9) the number of customers, by customer class and
type of utility service, renegotiating deferred payment
arrangements during the month;
(10) the number of customers, by customer class and
type of utility service, assessed late payment fees or
charges during the month;
(11) the number of customers, by customer class and
type of utility service, taking service at the beginning
of the month under existing medical payment arrangements;
(12) the number of customers, by utility service,
completing medical payment arrangements during the month;
(13) the number of customers, by utility service,
enrolling in new medical payment arrangements during the
month;
(14) the number of customers, by utility service,
renegotiating medical payment arrangements plans during

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the month;
(15) the number of customers, by customer class and
utility service, with required deposits with the company
at the beginning of the month;
(16) the number of customers, by customer class and
utility service, required to submit new deposits or
increased deposits during the month;
(17) the number of customers, by customer class and
utility service, whose required deposits were reduced in
part or forgone during the month;
(18) the number of customers, by customer class and
utility service, whose deposits were returned in full
during the month;
(19) the number of customers, by customer class and
utility service, with past due amounts greater than 30
days past due at the beginning of the month and taking
service at the beginning of the month under existing
deferred payment arrangements;
(20) the dollar volume of past due accounts, by
customer class and utility service, for customers with
past due amounts greater than 30 days past due at the
beginning of the month and taking service at the beginning
of the month under existing deferred payment arrangements;
(21) the number of customers, by customer class and
utility service, with past due amounts greater than 30
days past due at the beginning of the month and not taking

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service at the beginning of the month under existing
deferred payment arrangements; and
(22) the dollar volume of past due accounts, by
customer class and utility service, for customers with
past due amounts greater than 30 days past due at the
beginning of the month and not taking service at the
beginning of the month under existing deferred payment
arrangements.
(c) The Commission may specify the executable, electronic
spreadsheet format that utilities must adhere to when
submitting the information required by this Section.
Notwithstanding the requirements of this Section, the
Commission may establish an online reporting system and
require each public utility to report using the online
reporting system instead of filing information in executable,
electronic spreadsheet format. The Commission shall make each
annual report submitted by each public utility publicly
available on its website within 30 days of receipt.
(d) The Commission shall require all gas, electric, water
and sewer public utilities under its authority to submit an
annual report by May 1, 2022 and every May 1 thereafter,
detailing the number of disconnections for nonpayment and
reconnections that occurred in the immediately preceding
calendar year.
(e) Each such public utility in its annual report shall
include the following information for the immediately

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preceding calendar year:
(1) the number of customers, by customer class, during
each month;
(2) the number of customers, by customer class,
disconnected for nonpayment during each month;
(3) the number of customers, by customer class,
reconnected because they have paid in full or set up
payment arrangements during each month; and
(4) the number of customers, by customer class, who
have set up payment arrangements each month.
(f) The Commission shall make each annual report submitted
by each public utility publicly available on its website
within 30 days of receipt.
(220 ILCS 5/8-218 new)
Sec. 8-218. Utility-scale pilot projects.
(a) Electric utilities serving greater than 500,000
customers but less than 3,000,000 customers may propose, plan
for, construct, install, control, own, manage, or operate up
to 2 pilot projects consisting of utility-scale photovoltaic
energy generation facilities. Energy storage facilities that
are planned for, constructed, installed, controlled, owned,
managed, or operated may be constructed in connection with the
photovoltaic electricity generation pilot projects.
(b) Pilot projects shall be sited in equity investment
eligible communities in or near the towns of Peoria and East

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St. Louis and must result in economic benefits for the members
of the communities in which the project will be located. The
amount paid per pilot project with or without energy storage
facilities cannot exceed $20,000,000. The electric utility's
costs of planning for, constructing, installing, controlling,
owning, managing, or operating the photovoltaic electricity
generation facilities and energy storage facilities may be
recovered, on a kilowatt hour basis, in the electric utility's
rates for delivery service established pursuant to Article XVI
or Article IX of this Act, and for purposes of cost recovery
the photovoltaic electricity production facilities, may be
treated as distribution assets, provided: (1) the Commission
shall have the authority to determine the reasonableness of
the costs of the facilities, and (2) any monetary value of
power and energy from the facilities shall be credited against
the delivery services revenue requirement.
(c) Any electric utility seeking to propose, plan for,
construct, install, control, own, manage, or operate a pilot
project pursuant to this Section must commit to using a
diverse and equitable workforce and a diverse set of
contractors, including minority-owned businesses,
disadvantaged businesses, trade unions, graduates of any
workforce training programs established by this amendatory Act
of the 102nd General Assembly, and small businesses. An
electric utility must comply with the equity commitment
requirements in subsection (c-10) of Section 1-75 of the

10200SB0018sam001 - 682 - LRB102 12600 LNS 28802 a
Illinois Power Agency Act. The electric utility must certify
that not less than the prevailing wage will be paid to
employees engaged in construction activities associated with
the pilot project. The electric utility must file a project
labor agreement, as defined in the Illinois Power Agency Act,
with the Commission prior to constructing, installing,
controlling, or owning a pilot project authorized by this
Section.
(220 ILCS 5/8-402.2 new)
Sec. 8-402.2. Public Schools Carbon-Free Assessment
programs.
(a) Within one year after the effective date of this
amendatory Act of the 102nd General Assembly, each electric
utility serving over 500,000 retail customers in this State
shall implement a Public Schools Carbon-Free Assessment
program.
(b) Each utility's Public Schools Carbon-Free Assessment
program shall include the following requirements:
(1) Each plan shall be designed to offer within the
utility's service territory to assist public schools, as
defined by Section 1-3 of the School Code, to increase the
efficiency of their energy usage, to reduce the carbon
emissions associated with their energy usage, and to move
toward a goal of public schools being carbon-free in their
energy usage by 2030. The program shall include a target

10200SB0018sam001 - 683 - LRB102 12600 LNS 28802 a
of completing Public Schools Carbon-Free Assessment for
all public schools in the utility's service territory by
December 31, 2029.
(2) The Public Schools Carbon-Free Assessment shall be
a generally standardized assessment, but may incorporate
flexibility to reflect the circumstances of individual
public schools and public school districts.
(3) The Public Schools Carbon-Free Assessment shall
include, but not be limited to, comprehensive analyses of
the following subjects:
(A) The top energy efficiency savings
opportunities for the public school, by energy saved;
(B) The total achievable solar energy potential on
or nearby a public school's premises and able to
provide power to a school;
(C) The infrastructure required to support
electrification of the facility's space heating and
water heating needs;
(D) The infrastructure requirements to support
electrification of a school's transportation needs;
and
(E) The investments required to achieve a WELL
Certification or similar certification as determined
through methods developed and updated by the
International WELL Building Institute or similar or
successor organizations.

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(4) The Public Schools Carbon-Free Assessment also
shall include, but not be limited to, mechanical
insulation evaluation inspection and inspection of the
building envelope(s).
(5) With respect to those public school construction
projects for public schools within the service territory
of a utility serving over 500,000 retail customers in this
State and for which a public school district applies for a
grant under Section 5-40 of the School Construction Law on
or after June 1, 2023, the district must submit a copy of
the applicable Public Schools Carbon-Free Assessment
report, or, if no such Public Schools Carbon-Free
Assessment has been performed, request the applicable
utility to perform such a Public Schools Carbon-Free
Assessment and submit a copy of the Public Schools
Carbon-Free Assessment report promptly when it becomes
available. The Public Schools Carbon-Free Assessment
report shall include, but not limited to, an energy audit
of both the building envelope and the building's
mechanical insulation system. It shall also include an
inspection of both the building envelope and the
mechanical insulation system. The district must
demonstrate how the construction project is designed and
managed to achieve the goals that all public elementary
and secondary school facilities in the State are able to
be powered by clean energy by 2030, and for such

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facilities to achieve carbon-free energy sources for space
heat, water heat, and transportation by 2050.
(6) The results of each Public Schools Carbon-Free
Assessment shall be memorialized by the utility or by a
third party acting on behalf of the utility in a usable
report form and shall be provided to the applicable public
school. Each utility shall be required to retain a copy of
each Public Schools Carbon-Free Assessment report and to
provide confidential copies of each report to the Illinois
Power Agency and the Illinois Capital Development Board
within 3 months of its completion.
(7) The Public Schools Carbon-Free Assessment shall be
conducted in coordination with each utility's energy
efficiency and demand-response plans under Sections 8-103,
8-103A, and 8-103B of this Act, to the extent applicable.
Nothing in this Section is intended to modify or require
modification of those plans. However, the utility may
request a modification of a plan approved by the
Commission, and the Commission may approve the requested
modification, if the modification is consistent with the
provisions of this Section and Section 8-103B of this Act.
(8) If there are no other providers of assessments
that are substantively the same as those being performed
by utilities pursuant to this Section by 2024, a utility
that has a Public Schools Carbon-Free Assessment program
may offer assessments to public schools that are not

10200SB0018sam001 - 686 - LRB102 12600 LNS 28802 a
served by a utility subject to this Section at the
utility's cost.
(9) The Public Schools Carbon-Free Assessment shall be
offered to and performed for public schools in the
utility's service territory on a complimentary basis by
each utility, with no Assessment fee charged to the public
schools for the Assessments. Nothing in this Section is
intended to prohibit the utility from recovering through
rates approved by the Commission the utility's prudent and
reasonable costs of complying with this Section.
(10) Utilities shall make efforts to prioritize the
completion of Public Schools Carbon-Free Assessments for
the following school districts by December 31, 2022: East
St. Louis School District 189, Harvey School District 152,
Thornton Township High School District 205.
(220 ILCS 5/8-406) (from Ch. 111 2/3, par. 8-406)
Sec. 8-406. Certificate of public convenience and
necessity.
(a) No public utility not owning any city or village
franchise nor engaged in performing any public service or in
furnishing any product or commodity within this State as of
July 1, 1921 and not possessing a certificate of public
convenience and necessity from the Illinois Commerce
Commission, the State Public Utilities Commission or the
Public Utilities Commission, at the time this amendatory Act

10200SB0018sam001 - 687 - LRB102 12600 LNS 28802 a
of 1985 goes into effect, shall transact any business in this
State until it shall have obtained a certificate from the
Commission that public convenience and necessity require the
transaction of such business.
(b) No public utility shall begin the construction of any
new plant, equipment, property or facility which is not in
substitution of any existing plant, equipment, property or
facility or any extension or alteration thereof or in addition
thereto, unless and until it shall have obtained from the
Commission a certificate that public convenience and necessity
require such construction. Whenever after a hearing the
Commission determines that any new construction or the
transaction of any business by a public utility will promote
the public convenience and is necessary thereto, it shall have
the power to issue certificates of public convenience and
necessity. The Commission shall determine that proposed
construction will promote the public convenience and necessity
only if the utility demonstrates: (1) that the proposed
construction is necessary to provide adequate, reliable, and
efficient service to its customers and is the least-cost means
of satisfying the service needs of its customers or that the
proposed construction will promote the development of an
effectively competitive electricity market that operates
efficiently, is equitable to all customers, and is the least
cost means of satisfying those objectives; (2) that the
utility is capable of efficiently managing and supervising the

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construction process and has taken sufficient action to ensure
adequate and efficient construction and supervision thereof;
and (3) that the utility is capable of financing the proposed
construction without significant adverse financial
consequences for the utility or its customers.
(b-5) As used in this subsection (b-5):
"Qualifying direct current applicant" means an entity that
seeks to provide direct current bulk transmission service for
the purpose of transporting electric energy in interstate
commerce.
"Qualifying direct current project" means a high voltage
direct current electric service line that crosses at least one
Illinois border, the Illinois portion of which is physically
located within the region of the Midcontinent Independent
System Operator, Inc., or its successor organization, and runs
through the counties of Pike, Scott, Greene, Macoupin,
Montgomery, Christian, Shelby, Cumberland, and Clark, is
capable of transmitting electricity at voltages of 345kv or
above, and may also include associated interconnected
alternating current interconnection facilities in this State
that are part of the proposed project and reasonably necessary
to connect the project with other portions of the grid.
Notwithstanding any other provision of this Act, a
qualifying direct current applicant that does not own,
control, operate, or manage, within this State, any plant,
equipment, or property used or to be used for the transmission

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of electricity at the time of its application or of the
Commission's order may file an application on or before
December 31, 2023 with the Commission pursuant to this Section
or Section 8-406.1 for, and the Commission may grant, a
certificate of public convenience and necessity to construct,
operate, and maintain a qualifying direct current project. The
qualifying direct current applicant may also include in the
application requests for authority under Section 8-503. The
Commission shall grant the application for a certificate of
public convenience and necessity and requests for authority
under Section 8-503 if it finds that the qualifying direct
current applicant and the proposed qualifying direct current
project satisfy the requirements of this subsection and
otherwise satisfy the criteria of this Section or Section
8-406.1 and the criteria of Section 8-503, as applicable to
the application and to the extent such criteria are not
superseded by the provisions of this subsection. The
Commission's order on the application for the certificate of
public convenience and necessity shall also include the
Commission's findings and determinations on the request or
requests for authority pursuant to Section 8-503. Prior to
filing its application under either this Section or Section
8-406.1, the qualifying direct current applicant shall conduct
3 public meetings in accordance with subsection (h) of this
Section. If the qualifying direct current applicant
demonstrates in its application that the proposed qualifying

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direct current project is designed to deliver electricity to a
point or points on the electric transmission grid in either or
both the PJM Interconnection, LLC or the Midcontinent
Independent System Operator, Inc., or their respective
successor organizations, the proposed qualifying direct
current project shall be deemed to be, and the Commission
shall find it to be, for public use. If the qualifying direct
current applicant further demonstrates in its application that
the proposed transmission project has a capacity of 1,000
megawatts or larger and a voltage level of 345 kilovolts or
greater, the proposed transmission project shall be deemed to
satisfy, and the Commission shall find that it satisfies, the
criteria stated in item (1) of subsection (b) of this Section
or in paragraph (1) of subsection (f) of Section 8-406.1, as
applicable to the application, without the taking of
additional evidence on these criteria. Prior to the transfer
of functional control of any transmission assets to a regional
transmission organization, a qualifying direct current
applicant shall request Commission approval to join a regional
transmission organization in an application filed pursuant to
this subsection (b-5) or separately pursuant to Section 7-102
of this Act. The Commission may grant permission to a
qualifying direct current applicant to join a regional
transmission organization if it finds that the membership, and
associated transfer of functional control of transmission
assets, benefits Illinois customers in light of the attendant

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costs and is otherwise in the public interest. Nothing in this
subsection (b-5) requires a qualifying direct current
applicant to join a regional transmission organization.
Nothing in this subsection (b-5) requires the owner or
operator of a high voltage direct current transmission line
that is not a qualifying direct current project to obtain a
certificate of public convenience and necessity to the extent
it is not otherwise required by this Section 8-406 or any other
provision of this Act.
(c) After the effective date of this amendatory Act of
1987, no construction shall commence on any new nuclear power
plant to be located within this State, and no certificate of
public convenience and necessity or other authorization shall
be issued therefor by the Commission, until the Director of
the Illinois Environmental Protection Agency finds that the
United States Government, through its authorized agency, has
identified and approved a demonstrable technology or means for
the disposal of high level nuclear waste, or until such
construction has been specifically approved by a statute
enacted by the General Assembly.
As used in this Section, "high level nuclear waste" means
those aqueous wastes resulting from the operation of the first
cycle of the solvent extraction system or equivalent and the
concentrated wastes of the subsequent extraction cycles or
equivalent in a facility for reprocessing irradiated reactor
fuel and shall include spent fuel assemblies prior to fuel

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reprocessing.
(d) In making its determination, the Commission shall
attach primary weight to the cost or cost savings to the
customers of the utility. The Commission may consider any or
all factors which will or may affect such cost or cost savings,
including the public utility's engineering judgment regarding
the materials used for construction.
(e) The Commission may issue a temporary certificate which
shall remain in force not to exceed one year in cases of
emergency, to assure maintenance of adequate service or to
serve particular customers, without notice or hearing, pending
the determination of an application for a certificate, and may
by regulation exempt from the requirements of this Section
temporary acts or operations for which the issuance of a
certificate will not be required in the public interest.
A public utility shall not be required to obtain but may
apply for and obtain a certificate of public convenience and
necessity pursuant to this Section with respect to any matter
as to which it has received the authorization or order of the
Commission under the Electric Supplier Act, and any such
authorization or order granted a public utility by the
Commission under that Act shall as between public utilities be
deemed to be, and shall have except as provided in that Act the
same force and effect as, a certificate of public convenience
and necessity issued pursuant to this Section.
No electric cooperative shall be made or shall become a

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party to or shall be entitled to be heard or to otherwise
appear or participate in any proceeding initiated under this
Section for authorization of power plant construction and as
to matters as to which a remedy is available under The Electric
Supplier Act.
(f) Such certificates may be altered or modified by the
Commission, upon its own motion or upon application by the
person or corporation affected. Unless exercised within a
period of 2 years from the grant thereof authority conferred
by a certificate of convenience and necessity issued by the
Commission shall be null and void.
No certificate of public convenience and necessity shall
be construed as granting a monopoly or an exclusive privilege,
immunity or franchise.
(g) A public utility that undertakes any of the actions
described in items (1) through (3) of this subsection (g) or
that has obtained approval pursuant to Section 8-406.1 of this
Act shall not be required to comply with the requirements of
this Section to the extent such requirements otherwise would
apply. For purposes of this Section and Section 8-406.1 of
this Act, "high voltage electric service line" means an
electric line having a design voltage of 100,000 or more. For
purposes of this subsection (g), a public utility may do any of
the following:
(1) replace or upgrade any existing high voltage
electric service line and related facilities,

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notwithstanding its length;
(2) relocate any existing high voltage electric
service line and related facilities, notwithstanding its
length, to accommodate construction or expansion of a
roadway or other transportation infrastructure; or
(3) construct a high voltage electric service line and
related facilities that is constructed solely to serve a
single customer's premises or to provide a generator
interconnection to the public utility's transmission
system and that will pass under or over the premises owned
by the customer or generator to be served or under or over
premises for which the customer or generator has secured
the necessary right of way.
(h) A public utility seeking to construct a high-voltage
electric service line and related facilities (Project) must
show that the utility has held a minimum of 2 pre-filing public
meetings to receive public comment concerning the Project in
each county where the Project is to be located, no earlier than
6 months prior to filing an application for a certificate of
public convenience and necessity from the Commission. Notice
of the public meeting shall be published in a newspaper of
general circulation within the affected county once a week for
3 consecutive weeks, beginning no earlier than one month prior
to the first public meeting. If the Project traverses 2
contiguous counties and where in one county the transmission
line mileage and number of landowners over whose property the

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proposed route traverses is one-fifth or less of the
transmission line mileage and number of such landowners of the
other county, then the utility may combine the 2 pre-filing
meetings in the county with the greater transmission line
mileage and affected landowners. All other requirements
regarding pre-filing meetings shall apply in both counties.
Notice of the public meeting, including a description of the
Project, must be provided in writing to the clerk of each
county where the Project is to be located. A representative of
the Commission shall be invited to each pre-filing public
meeting.
(i) For applications filed after the effective date of
this amendatory Act of the 99th General Assembly, the
Commission shall by registered mail notify each owner of
record of land, as identified in the records of the relevant
county tax assessor, included in the right-of-way over which
the utility seeks in its application to construct a
high-voltage electric line of the time and place scheduled for
the initial hearing on the public utility's application. The
utility shall reimburse the Commission for the cost of the
postage and supplies incurred for mailing the notice.
(Source: P.A. 99-399, eff. 8-18-15.)
(220 ILCS 5/8-512 new)
Sec. 8-512. Renewable energy access plan.
(a) It is the policy of this State to promote

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cost-effective transmission system development that ensures
reliability of the electric transmission system, lowers carbon
emissions, minimizes long-term costs for consumers, and
supports the electric policy goals of this State. The General
Assembly finds that:
(1) Transmission planning, primarily for reliability
purposes, but also for economic and public policy reasons
is conducted by regional transmission organizations in
which transmission-owning Illinois utilities and other
stakeholders are members.
(2) Order No. 1000 of the Federal Energy Regulatory
Commission requires regional transmission organizations to
plan for transmission system needs in light of State
public policies and to accept input from states during the
transmission system planning processes.
(3) The State of Illinois does not currently have a
comprehensive power and environmental policy planning
process to identify transmission infrastructure needs that
can serve as a vital input into the regional and
interregional transmission organization planning
processes conducted under Order No. 1000 and other laws
and regulations.
(4) This State is an electricity generation and power
transmission hub, and can leverage that position to invest
in infrastructure that enables new and existing Illinois
generators to meet the public policy goals of the State of

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Illinois and of interconnected states while
cost-effectively supporting tens of thousands of jobs in
the renewable energy sector in this State.
(5) The nation has a need to readily access this
State's low-cost, clean electric power, and this State
also desires access to clean energy resources in other
states to develop and support its low-carbon economy and
keep electricity prices low in Illinois and interconnected
States.
(6) Existing transmission infrastructure may constrain
the State's achievement of 100% renewable energy by 2050,
the accelerated adoption of electric vehicles in a just
and equitable way, and electrification of additional
sectors of the Illinois economy.
(7) Transmission system congestion within this State
and the regional transmission organizations serving this
State limits the ability of this State's existing and new
electric generation facilities that do not emit carbon
dioxide, including renewable energy resources and zero
emission facilities, to serve the public policy goals of
this State and other states, which constrains investment
in this State.
(8) Investment in infrastructure to support existing
and new electric generation facilities that do not emit
carbon dioxide, including renewable energy resources and
zero emission facilities, stimulates significant economic

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development and job growth in this State, as well as
creates environmental and public health benefits in this
State.
(9) Creating a forward-looking plan for this State's
electric transmission infrastructure, as opposed to
relying on case-by-case development and repeated marginal
upgrades, will achieve a lower-cost system for Illinois'
electricity customers. A forward-looking plan can also
help integrate and achieve a comprehensive set of
objectives and multiple state, regional, and national
policy goals.
(10) Alternatives to overhead electric transmission
lines can achieve cost-effective resolution of system
impacts and warrant investigation of the circumstances
under which those alternatives should be considered and
approved. The alternatives are likely to be beneficial as
investment in electric transmission infrastructure moves
forward.
(11) Because transmission planning is conducted
primarily by the regional transmission organizations, the
Commission should be advocating for the State's interests
at the regional transmission organizations to ensure that
such planning facilitates the State's policies and goals,
including overall consumer savings, power system
reliability, economic development, environmental
improvement, and carbon reduction.

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(b) Consistent with the findings identified in subsection
(a), the Commission shall open an investigation to develop and
adopt a renewable energy access plan no later than December
31, 2022. To assist and support the Commission in the
development of the plan, the Commission shall retain the
services of technical and policy experts with relevant fields
of expertise, solicit technical and policy analysis from the
public, and provide for a 120-day open public comment period
after publication of a draft report, which shall be published
no later than 90 days after the comment period ends. The plan
shall, at a minimum, do the following:
(1) designate renewable energy access plan zones
throughout this State in areas in which renewable energy
resources and suitable land areas are sufficient for
developing generating capacity from renewable energy
technologies;
(2) develop a plan to achieve transmission capacity
necessary to deliver the electric output from renewable
energy technologies in the renewable energy access plan
zones to customers in Illinois and other states in a
manner that is most beneficial and cost-effective to
customers;
(3) use this State's position as an electricity
generation and power transmission hub to create new
investment in this State's renewable energy resources;
(4) consider programs, policies, and electric

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transmission projects that can be adopted within this
State that promote the cost-effective delivery of power
from renewable energy resources interconnected to the bulk
electric system to meet the renewable portfolio standard
targets under subsection (c) of Section 1-75 of the
Illinois Power Agency Act;
(5) consider proposals to improve regional
transmission organizations' regional and interregional
system planning processes, especially proposals that
reduce costs and emissions, create jobs, and increase
State and regional power system reliability to prevent
high-cost outages that can endanger lives, and analyze of
how those proposals would improve reliability and
cost-effective delivery of electricity in Illinois and the
region;
(6) make findings and policy recommendations based on
technical and policy analysis regarding locations of
renewable energy access plan zones and the transmission
system developments needed to cost-effectively achieve the
public policy goals identified herein; and
(7) present the Commission's conclusions and proposed
recommendations based on its analysis and use the findings
and policy recommendations to determine actions that the
Commission should take.
(c) No later than December 31, 2025, and every other year
thereafter, the Commission shall open an investigation to

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develop and adopt an updated renewable energy access plan
that, at a minimum, evaluates the implementation and
effectiveness of the renewable energy access plan, recommends
improvements to the renewable energy access plan, and provides
changes to transmission capacity necessary to deliver electric
output from the renewable energy access plan zones.
(220 ILCS 5/9-228 new)
Sec. 9-228. Limits on public utility expenses. The
Commission shall not consider any of the following as an
expense of any public utility company, including any
allocation of those costs to the public utility from an
affiliate or corporate parent, for the purpose of determining
any rate or charge, any amount expended for:
(1) the pension or other post-employment benefits for
an employee convicted of committing a criminal act in the
course of his or her work with the utility;
(2) any severance or post-employment costs for an
employee convicted of committing a criminal act in the
course of his or her work with the utility; or
(3) criminal penalties, fines, fees, and costs related
to criminal charges, criminal investigations, or deferred
prosecution agreements.
(220 ILCS 5/9-229)
Sec. 9-229. Consideration of attorney and expert

10200SB0018sam001 - 702 - LRB102 12600 LNS 28802 a
compensation as an expense and intervenor compensation fund.
(a) The Commission shall specifically assess the justness
and reasonableness of any amount expended by a public utility
to compensate attorneys or technical experts to prepare and
litigate a general rate case filing. This issue shall be
expressly addressed in the Commission's final order.
(b) The State of Illinois shall create a Consumer
Intervenor Compensation Fund subject to the following:
(1) Provision of compensation for Consumer Interest
Representatives that intervene in Illinois Commerce
Commission proceedings will increase public engagement,
encourage additional transparency, expand the information
available to the Commission, and improve decision-making.
(2) As used in this Section, "Consumer interest
representative" means:
(A) a residential utility customer or group of
residential utility customers represented by a
not-for-profit group or organization registered with
the Illinois Attorney General under the Solicitation
of Charity Act;
(B) representatives of not-for-profit groups or
organizations whose membership is limited to
residential utility customers; or
(C) representatives of not-for-profit groups or
organizations whose membership includes Illinois
residents and that address the community, economic,

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environmental, or social welfare of Illinois
residents, except government agencies or intervenors
specifically authorized by Illinois law to participate
in Commission proceedings on behalf of Illinois
consumers.
(3) A consumer interest representative is eligible to
receive compensation from the consumer intervenor
compensation fund if its participation included lay or
expert testimony or legal briefing and argument concerning
the expenses, investments, rate design, rate impact, or
other matters affecting the pricing, rates, costs or other
charges associated with utility service, the Commission
adopts a material recommendation related to a significant
issue in the docket, and participation caused a
significant financial hardship to the participant;
however, no consumer interest representative shall be
eligible to receive an award pursuant to this Section if
the consumer interest representative receives any
compensation, funding, or donations, directly or
indirectly, from parties that have a financial interest in
the outcome of the proceeding.
(4) Within 30 days after the effective date of this
amendatory Act of the 102nd General Assembly, each utility
that files a request for an increase in rates under
Article IX or Article XVI shall deposit an amount equal to
one half of the rate case attorney and expert expense

10200SB0018sam001 - 704 - LRB102 12600 LNS 28802 a
allowed by the Commission, but not to exceed $500,000,
into the fund within 35 days of the date of the
Commission's final Order in the rate case or 20 days after
the denial of rehearing under Section 10-113 of this Act,
whichever is later. The Consumer Intervenor Compensation
Fund shall be used to provide payment to consumer interest
representatives as described in this Section.
(5) An electric public utility with 3,000,000 or more
retail customers shall contribute $450,000 to the Consumer
Intervenor Compensation Fund within 60 days after the
effective date of this amendatory Act of the 102nd General
Assembly. A combined electric and gas public utility
serving fewer than 3,000,000 but more than 500,000 retail
customers shall contribute $225,000 to the Consumer
Intervenor Compensation Fund within 60 days after the
effective date of this amendatory Act of the 102nd General
Assembly. A gas public utility with 1,500,000 or more
retail customers that is not a combined electric and gas
public utility shall contribute $225,000 to the Consumer
Intervenor Compensation Fund within 60 days after the
effective date of this amendatory Act of the 102nd General
Assembly. A gas public utility with fewer than 1,500,000
retail customers but more than 300,000 retail customers
that is not a combined electric and gas public utility
shall contribute $80,000 to the Consumer Intervenor
Compensation Fund within 60 days after the effective date

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of this amendatory Act of the 102nd General Assembly. A
gas public utility with fewer than 300,000 retail
customers that is not a combined electric and gas public
utility shall contribute $20,000 to the Consumer
Intervenor Compensation Fund within 60 days after the
effective date of this amendatory Act of the 102nd General
Assembly. A combined electric and gas public utility
serving fewer than 500,000 retail customers shall
contribute $20,000 to the Consumer Intervenor Compensation
Fund within 60 days after the effective date of this
amendatory Act of the 102nd General Assembly. A water or
sewer public utility serving more than 100,000 retail
customers shall contribute $80,000, and a water or sewer
public utility serving fewer than 100,000 but more than
10,000 retail customers shall contribute $20,000.
(6)(A) Prior to the entry of a Final Order in a
docketed case, the Commission Administrator shall provide
a payment to a consumer interest representative that
demonstrates through a verified application for funding
that the consumer interest representative's participation
or intervention without an award of fees or costs imposes
a significant financial hardship based on a schedule to be
developed by the Commission. The Administrator may require
verification of costs incurred, including statements of
hours spent, as a condition to paying the consumer
interest representative prior to the entry of a Final

10200SB0018sam001 - 706 - LRB102 12600 LNS 28802 a
Order in a docketed case.
(B) If the Commission adopts a material recommendation
related to a significant issue in the docket and
participation caused a financial hardship to the
participant, then the consumer interest representative
shall be allowed payment for some or all of the consumer
interest representative's reasonable attorney's or
advocate's fees, reasonable expert witness fees, and other
reasonable costs of preparation for and participation in a
hearing or proceeding. Expenses related to travel or meals
shall not be compensable.
(C) The consumer interest representative shall submit
an itemized request for compensation to the Consumer
Intervenor Compensation Fund, including the advocate's or
attorney's reasonable fee rate, the number of hours
expended, reasonable expert and expert witness fees, and
other reasonable costs for the preparation for and
participation in the hearing and briefing within 30 days
of the Commission's final order after denial or decision
on rehearing, if any.
(7) Administration of the Fund.
(A) The Consumer Intervenor Compensation Fund is
created as a special fund in the State treasury. All
disbursements from the Consumer Intervenor Compensation
Fund shall be made only upon warrants of the Comptroller
drawn upon the Treasurer as custodian of the Fund upon

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vouchers signed by the Executive Director of the
Commission or by the person or persons designated by the
Director for that purpose. The Comptroller is authorized
to draw the warrant upon vouchers so signed. The Treasurer
shall accept all warrants so signed and shall be released
from liability for all payments made on those warrants.
The Consumer Intervenor Compensation Fund shall be
administered by an Administrator that is a person or
entity that is independent of the Commission. The
administrator will be responsible for the prudent
management of the Consumer Intervenor Compensation Fund
and for recommendations for the award of consumer
intervenor compensation from the Consumer Intervenor
Compensation Fund. The Commission shall issue a request
for qualifications for a third-party program administrator
to administer the Consumer Intervenor Compensation Fund.
The third-party administrator shall be chosen through a
competitive bid process based on selection criteria and
requirements developed by the Commission. The Illinois
Procurement Code does not apply to the hiring or payment
of the Administrator. All Administrator costs may be paid
for using monies from the Consumer Intervenor Compensation
Fund, but the Program Administrator shall strive to
minimize costs in the implementation of the program.
(B) The computation of compensation awarded from the
fund shall take into consideration the market rates paid

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to persons of comparable training and experience who offer
similar services, but may not exceed the comparable market
rate for services paid by the public utility as part of its
rate case expense.
(C)(1) Recommendations on the award of compensation by
the administrator shall include consideration of whether
the Commission adopted a material recommendation related
to a significant issue in the docket and whether
participation caused a financial hardship to the
participant and the payment of compensation is fair, just
and reasonable.
(2) Recommendations on the award of compensation by
the administrator shall be submitted to the Commission for
approval. Unless the Commission initiates an investigation
within 45 days after the notice to the Commission, the
award of compensation shall be allowed 45 days after
notice to the Commission. Such notice shall be given by
filing with the Commission on the Commission's e-docket
system, and keeping open for public inspection the award
for compensation proposed by the Administrator. The
Commission shall have power, and it is hereby given
authority, either upon complaint or upon its own
initiative without complaint, at once, and if it so
orders, without answer or other formal pleadings, but upon
reasonable notice, to enter upon a hearing concerning the
propriety of the award.

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(c) The Commission may adopt rules to implement this
Section.
(Source: P.A. 96-33, eff. 7-10-09.)
(220 ILCS 5/9-241) (from Ch. 111 2/3, par. 9-241)
Sec. 9-241. No public utility shall, as to rates or other
charges, services, facilities or in other respect, make or
grant any preference or advantage to any corporation or person
or subject any corporation or person to any prejudice or
disadvantage. No public utility shall establish or maintain
any unreasonable difference as to rates or other charges,
services, facilities, or in any other respect, either as
between localities or as between classes of service.
However, nothing in this Section shall be construed as
limiting the authority of the Commission to permit the
establishment of economic development rates as incentives to
economic development either in enterprise zones as designated
by the State of Illinois or in other areas of a utility's
service area. Such rates should be available to existing
businesses which demonstrate an increase to existing load as
well as new businesses which create new load for a utility so
as to create a more balanced utilization of generating
capacity. The Commission shall ensure that such rates are
established at a level which provides a net benefit to
customers within a public utility's service area.
On or before January 1, 2023, the Commission shall conduct

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a comprehensive study to assess whether low-income discount
rates for electric and natural gas residential customers are
appropriate and the potential design and implementation of any
such rates. The Commission shall include its findings,
together with the appropriate recommendations, in a report to
be provided to the General Assembly. Upon completion of the
study, the Commission shall have the authority to permit or
require electric and natural gas utilities to file a tariff
establishing low-income discount rates.
Such study shall assess, at a minimum, the following:
(1) customer eligibility requirements, including
income-based eligibility and eligibility based on
participation in or eligibility for certain public
assistance programs;
(2) appropriate rate structures, including
consideration of tiered discounts for different income
levels;
(3) appropriate recovery mechanisms, including the
consideration of volumetric charges and customer charges;
(4) appropriate verification mechanisms;
(5) measures to ensure customer confidentiality and
data safeguards;
(6) outreach and consumer education procedures; and
(7) the impact that a low-income discount rate would
have on the affordability of delivery service to
low-income customers and customers overall.

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The Commission shall adopt rules requiring utility
companies to produce information, in the form of a mailing,
and other approved methods of distribution, to its consumers,
to inform the consumers of available rebates, discounts,
credits, and other cost-saving mechanisms that can help them
lower their monthly utility bills, and send out such
information semi-annually, unless otherwise provided by this
Article.
Prior to October 1, 1989, no public utility providing
electrical or gas service shall consider the use of solar or
other nonconventional renewable sources of energy by a
customer as a basis for establishing higher rates or charges
for any service or commodity sold to such customer; nor shall a
public utility subject any customer utilizing such energy
source or sources to any other prejudice or disadvantage on
account of such use. No public utility shall without the
consent of the Commission, charge or receive any greater
compensation in the aggregate for a lesser commodity, product,
or service than for a greater commodity, product or service of
like character.
The Commission, in order to expedite the determination of
rate questions, or to avoid unnecessary and unreasonable
expense, or to avoid unjust or unreasonable discrimination
between classes of customers, or, whenever in the judgment of
the Commission public interest so requires, may, for rate
making and accounting purposes, or either of them, consider

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one or more municipalities either with or without the adjacent
or intervening rural territory as a regional unit where the
same public utility serves such region under substantially
similar conditions, and may within such region prescribe
uniform rates for consumers or patrons of the same class.
Any public utility, with the consent and approval of the
Commission, may as a basis for the determination of the
charges made by it classify its service according to the
amount used, the time when used, the purpose for which used,
and other relevant factors.
(Source: P.A. 91-357, eff. 7-29-99.)
(220 ILCS 5/16-105.5 new)
Sec. 16-105.5. Rate case filing and revenue-neutral rate
design.
(a) An electric utility that files a general rate case
pursuant to Section 9-201 of this Act or a Multi-Year Rate Plan
pursuant to Section 16-108.18 of this Act may omit the rate
design component of such filing and subsequently separately
file this component with the Commission, subject to the
requirements of subsections (b) and (c) of this Section.
(b) If the electric utility makes the election described
in this Section, then the filing shall be consistent with the
rate design and cost allocation across customer classes
approved in the Commission's most recent order regarding the
electric utility's request for a general adjustment to its

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rates entered under Section 9-201, subsection (e) of Section
16-108.5, or Section 16-108.18 of this Act, as applicable.
(c) If the electric utility makes the election described
in this Section, then the following provisions apply to the
separate filing of the revenue-neutral rate design component:
(1) No later than one year after the tariffs
implementing the general rate case filing or Multi-year
Rate Plan filing, as described in subsection (b) of this
Section, are placed into effect, the electric utility
shall make a filing with the Commission that proposes
changes to the tariffs to incorporate the findings of any
final rate design orders of the Commission applicable to
the electric utility and entered subsequent to the
Commission's approval of the tariffs. If no such orders
have been entered, then the electric utility must submit
its separate revenue-neutral rate design filing no later
than 3 years after the date on which the Commission's most
recent final rate design order was entered for the
electric utility. The electric utility's separate
revenue-neutral rate design filing may either propose
revenue-neutral tariff changes or refile the existing
tariffs without change, which shall present the Commission
with an opportunity to suspend the tariffs and consider
revenue-neutral tariff changes related to rate design. The
Commission shall, after notice and hearing, enter its
order approving, or approving with modification, the

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proposed changes to the tariffs within 240 days after the
electric utility's filing. Any changes ordered by the
Commission shall become effective at the commencement of
the first January monthly billing period that begins no
earlier than 30 days after the Commission issues its order
adopting such changes.
(2) Following Commission approval under paragraph (1)
of this subsection (c), the electric utility shall make a
filing with the Commission during each subsequent 3-year
period that either proposes revenue-neutral tariff changes
or refiles the existing tariffs without change, which
shall present the Commission with an opportunity to
suspend the tariffs and consider revenue-neutral tariff
changes related to rate design. The requirements of this
paragraph (2) shall terminate at the time that the
electric utility files a general rate case or Multi-Year
Rate Plan that includes the rate design component.
(220 ILCS 5/16-105.6 new)
Sec. 16-105.6. Amortization of charges or credits.
(a) It is in the public interest to mitigate the customer
bill impacts of large expenses incurred by electric utilities
by directing that expenses exceeding the applicable threshold
specified in this Section be amortized over the prescribed
period. Such amortization will levelize customer bill impacts
and, in many instances, better align the period of cost

10200SB0018sam001 - 715 - LRB102 12600 LNS 28802 a
recovery with the period over which customers receive the
benefit of the expenditure. Accordingly, an electric utility
that files a general rate increase under Section 9-201 of this
Act or a Multi-Year Rate Plan under Section 16-108.18 of this
Act shall amortize, over a 5-year period, each charge or
credit that exceeds the applicable amount identified in
subsection (b) of this Section and that relates to (1) a
workforce reduction program's severance costs; (2) changes in
accounting rules; (3) changes in law; (4) compliance with any
Commission-initiated audit; and (5) a single storm or weather
system, or other similar expense.
Any unamortized balance shall be reflected in rate base.
In this Section, "changes in law" includes any enactment,
repeal, or amendment in a law, ordinance, rule, regulation,
interpretation, permit, license, consent, or order, including
those relating to taxes, accounting, or environmental matters,
or in the interpretation or application thereof by any
governmental authority occurring after the effective date of
this amendatory Act of the 102nd General Assembly.
Nothing in this Section is intended to prohibit the
Commission from reviewing the prudence and reasonableness of
the costs amortized pursuant to this Section.
(b) An electric utility that serves more than 3,000,000
customers in the State shall amortize the full amount of each
charge or credit described in subsection (a) of this Section
that exceeds $10,000,000 in the applicable calendar year, and

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an electric utility that serves less than 3,000,000 customers
in the State shall amortize the full amount of each such charge
or credit that exceeds $3,700,000 in the applicable calendar
year.
(220 ILCS 5/16-105.7 new)
Sec. 16-105.7. Revenue balancing adjustments.
(a) It is in the public interest to decouple electric
utility sales and revenues, to mitigate the impact on
utilities of energy savings goals, to mitigate a utility's
disincentive to promote energy efficiency, and to recognize
changes in sales attributable to weather, electric vehicles
and other electrification, adoption of distributed energy
resources, and other volatile or uncontrollable factors
without adversely affecting utility customers.
(b) For the purposes of this Section, "reconciliation
period" means a period beginning with the January monthly
billing period and extending through the December monthly
billing period of the same calendar year.
(c) As set forth in subsection (d) of this Section, the
Commission shall approve a tariff by which distribution
revenues shall be compared annually to the revenue requirement
or requirements approved by the Commission on which the rates
giving rise to those revenues were based to prevent
undercollections or overcollections. An electric utility shall
submit an annual revenue balancing reconciliation report to

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the Commission reflecting the difference between the actual
delivery service revenue and multi-year rate case revenue
requirement for the applicable reconciliation and identifying
the charges or credits to be applied thereafter. Such
reconciliation and calculation of associated charges or
credits shall be conducted on a customer class basis. The
annual revenue balancing reconciliation report shall be filed
with the Commission no later than March 20 of the year
following a reconciliation period. The Commission may initiate
a review of the revenue balancing reconciliation report each
year to determine if any subsequent adjustment is necessary to
align actual delivery service revenue and rate case revenue
requirement. If the Commission elects to initiate such review,
the Commission shall, after notice and hearing, enter an order
approving, or approving as modified, such revenue balancing
reconciliation report no later than 120 days after the utility
files its report with the Commission. If the Commission does
not initiate such a review, the revenue balancing
reconciliation report and the identified charges or credits
shall be deemed accepted and approved 120 days after the
utility files the report and shall not be subject to review in
any other proceeding. Any balancing adjustment shall take
effect during the following January monthly billing period.
(d) Each electric utility shall file a tariff in
compliance with the provisions of this Section within 120 days
after the effective date of this amendatory Act of the 102nd

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General Assembly. The Commission shall approve the tariff if
it finds that it is consistent with the provisions of the
Section. If the Commission does not so find, it shall approve
the tariff with modification to conform it to the requirements
of this Section or otherwise reject the tariff and explain how
the utility can modify the tariff and refile to comply with the
requirements of this Section.
(220 ILCS 5/16-105.10 new)
Sec. 16-105.10. Independent baseline assessment.
(a) Prior to the filing of the initial Multi-Year
Integrated Grid Plan described in Section 16-105.17 of this
Act, the General Assembly finds that an independent audit of
the current state of the grid, and of the expenditures made
since 2012, will need to be made.
Specifically, the General Assembly finds:
(1) Pursuant to the Energy Infrastructure
Modernization Act and subsequent clarifying legislation,
electric utilities in this State that serve over 300,000
retail customers have made substantial investments in the
grid and advanced metering infrastructure.
(2) Before a Multi-Year Integrated Grid Plan is filed
under Section 16-105.17, it is necessary to understand the
benefits of these investments to the grid and to customers
and to evaluate the current condition of the distribution
grid.

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(3) It is also necessary for electric utilities, the
Commission, and stakeholders to have an independently
verified set of data to establish the baseline for future
distribution grid spending.
(4) The Commission has authority to order and
implement the requirements of this Section under Section
8-102 of this Act.
(b) Terms used in this Section have the meanings given to
those terms in Sections 16-102, 16-107.6, and 16-108 of this
Act.
(c) Within 30 days after the effective date of this
amendatory Act of the 102nd General Assembly, the Commission
shall issue an order initiating an audit of each electric
utility serving over 300,000 retail customers in the State,
which shall examine the following:
(1) An assessment of the distribution grid, as
described in paragraph (2) of subsection (a) of this
Section. The Commission shall have the authority to
require additional items which it deems necessary.
(2) An analysis of the utility's capital projects
placed into service in the preceding 9 years, including,
but not limited to, assessing the value of deploying
advanced metering infrastructure to modernize and optimize
the grid and deliver value to customers.
(3) An analysis of the utility's initiatives to
optimize the reliability and resiliency of the grid, other

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than through capital spending.
(4) Creation of a data baseline to inform the
beginning of the multi-year integrated grid planning
process described in Section 16-105.17 of this Act.
(5) Identification of any deficiencies in data which
may impact the planning process.
(d) It is contemplated that the auditor will utilize
materials filed with the Commission by the utilities with
respect to their expenditures in the preceding 9 years;
however, the auditor may also, with Commission approval,
assess other information deemed necessary to make its report.
(e) The results of the audit described in this Section
shall be reflected in a report delivered to the Commission,
describing the information specified in this Section. Such
report is to be delivered no later than 180 days after the
Commission enters its order pursuant to subsection (c) of this
Section. It is understood that any public report may not
contain items that are confidential or proprietary.
(f) The costs of an electric utility's audit described in
this Section shall not exceed $500,000 and shall be paid for by
the electric utility that is the subject of the audit. Such
costs shall be a recoverable expense.
(g) The Commission shall have the authority to retain the
services of an auditor to assist with the distribution
planning process, as well as in docketed proceedings. Such
expenses for these activities shall also be borne by the

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

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including utility-scale renewable energy resources,
community renewable generation, and distributed renewable
energy resources, support beneficial electrification,
including electric vehicle use and adoption, promote
opportunities for third-party investment in
nontraditional, grid-related technologies and resources
such as batteries, solar photovoltaic panels, and smart
thermostats, reduce energy usage generally and especially
during times of greatest reliance on fossil fuels, and
enhance customer engagement opportunities.
(3) Inclusive distribution system planning is an
essential tool for the Commission, public utilities, and
stakeholders to effectively coordinate environmental,
consumer, reliability, and equity goals at fair and
reasonable costs, and for ensuring transparent utility
accountability for meeting those goals.
(4) Any planning process should advance Illinois
energy policy goals while ensuring utility investments are
cost-effective. Such a process should maximize the sharing
of information, minimize overlap with existing filing
requirements to ensure robust stakeholder participation,
and recognize the responsibility of the utility to manage
the grid in a safe, reliable manner.
(5) The General Assembly is concerned that, in the
absence of a transparent, meaningful distribution system
planning process, utility investments may not always serve

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customers' best interests, appropriately promote the
expansion of clean distributed energy resources, and
advance equity and environmental justice.
(6) The General Assembly is also encouraged by the
opportunities presented by nontraditional solutions to
utility, customer, and grid needs that may be more
efficient and cost-effective, and less environmentally
harmful than traditional solutions. Nontraditional
solutions include distributed energy resources owned or
implemented by customers and independent third parties,
controllable load, beneficial electrification, or rate
design that encourages efficient energy use.
(7) The General Assembly finds that Illinois
utilities' current processes for planning their
distribution system should be made more accessible and
transparent to individuals and communities, and that more
inclusive and accessible distribution system planning
processes would be in the interests of all Illinois
residents.
(8) The General Assembly finds it would be beneficial
to require utilities to demonstrate how their spending
promotes identified State clean energy goals, such as
integrating renewable energy, empowering customers to make
informed choices, supporting electric vehicles, beneficial
electrification, and energy storage, achieving equity
goals, enhancing resilience, and maintaining reliability.

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The General Assembly therefore directs the utilities to
implement distribution system planning as described in this
Section in order to accelerate progress on Illinois clean
energy and environmental goals and hold electric utilities
publicly accountable for their performance.
(b) Unless otherwise specified, the terms used in this
Section shall have the same meanings as defined in Sections
16-102 and 16-107.6. As used in this Section:
"Demand response" means measures that decrease peak
electricity demand or shift demand from peak to off-peak
periods.
"Distributed energy resources" or "DER" means a wide range
of technologies that are connected to the grid, including
those that are located on the customer side of the customer's
electric meter and can provide value to the distribution
system, including, but not limited to, distributed generation,
energy storage, electric vehicles, and demand response
technologies.
"Environmental justice communities" means the definition
of that term based on existing methodologies and findings,
used and as may be updated by the Illinois Power Agency and its
Program Administrator in the Illinois Solar for All Program.
(c) This Section applies to electric utilities serving
more than 500,000 retail customers in the State.
(d) The Multi-Year Integrated Grid Plan ("the Plan") shall
be designed to:

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(1) ensure coordination of the State's renewable
energy goals, climate and environmental goals with the
utility's distribution system investments, and programs
and policies over a 5-year planning horizon to maximize
the benefits of each while ensuring utility expenditures
are cost-effective;
(2) optimize utilization of electricity grid assets
and resources to minimize total system costs;
(3) support efforts to bring the benefits of grid
modernization and clean energy, including, but not limited
to, deployment of distributed energy resources, to all
retail customers, and support efforts to bring at least
40% of the benefits of those benefits to Equity Investment
Eligible Communities. Nothing in this paragraph is meant
to require a specific amount of spending in a particular
geographic area;
(4) enable greater customer engagement, empowerment,
and options for energy services;
(5) reduce grid congestion, minimize the time and
expense associated with interconnection, and increase the
capacity of the distribution grid to host increasing
levels of distributed energy resources, to facilitate
availability and development of distributed energy
resources, particularly in locations that enhance consumer
and environmental benefits;
(6) ensure opportunities for robust public

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participation through open, transparent planning
processes.
(7) provide for the analysis of the cost-effectiveness
of proposed system investments, which takes into account
environmental costs and benefits;
(8) to the maximum extent practicable, achieve or
support the achievement of Illinois environmental goals,
including those described in Section 9.10 of the
Environmental Protection Act and Section 1-75 of the
Illinois Power Agency Act, and emissions reductions
required to improve the health, safety, and prosperity of
all Illinois residents;
(9) support existing Illinois policy goals promoting
the long-term growth of energy efficiency, demand
response, and investments in renewable energy resources;
(10) provide sufficient public information to the
Commission, stakeholders, and market participants in order
to enable nonemitting customer-owned or third-party
distributed energy resources, acting individually or in
aggregate, to seamlessly and easily connect to the grid,
provide grid benefits, support grid services, and achieve
environmental outcomes, without necessarily requiring
utility ownership or controlling interest over those
resources, and enable those resources to act as
alternatives to utility capital investments; and
(11) provide delivery services at rates that are

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affordable to all customers, including low-income
customers.
(e) Plan Development Stakeholder Process.
(1) To promote the transparency of utility
distributions system planned investments and the planning
process for those investments, the Commission shall
convene a workshop process, over a period of no less than 5
months, for each such utility for the purpose of
establishing an open, inclusive, and cooperative forum
regarding such investments. The workshops shall be
facilitated by an independent, third-party facilitator
selected by the Commission. Data and projections provided
through the workshop process shall be designed to provide
participants with information about the electric utility's
(i) historic distribution system investments for at least
the 5 years prior to the year in which the workshop is held
and (ii) planned investments for the 5-year period
following the year in which the workshop is held. The
workshop process shall recognize that estimates for later
years will be less reliable and indicative of future
conduct than estimates for earlier years and that the
electric utility is subject to financial and system
planning processes. No later than January 1, 2022, the
facilitator shall initiate a series of workshops for each
electric utility subject to this Section. The series of
workshops shall include no fewer than 6 workshops and

10200SB0018sam001 - 728 - LRB102 12600 LNS 28802 a
shall conclude no later than June 1, 2022.
(2) The workshops shall be designed to achieve the
following objectives:
(A) review utilities' planned capital investments
and supporting data;
(B) review how utilities plan to invest in their
distribution system in order to meet the system's
projected needs;
(C) review system and locational data on
reliability, resiliency, DER, and service quality
provided by the utilities;
(D) solicit and consider input from diverse
stakeholders, including representatives from
environmental justice communities, geographically
diverse communities, low-income representatives,
consumer representatives, environmental
representatives, organized labor representatives,
third-party technology providers, and utilities;
(E) consider proposals from utilities and
stakeholders on programs and policies necessary to
achieve the objectives in subsection (d) of this
Section;
(F) consider proposals applicable to each
component of the utilities' Multi-Year Integrated Grid
Plan filings under paragraph (2) of subsection (f) of
this Section;

10200SB0018sam001 - 729 - LRB102 12600 LNS 28802 a
(G) educate and equip interested stakeholders so
that they can effectively and efficiently provide
feedback and input to the electric utility; and
(H) review planned capital investment to ensure
that delivery services are provided at rates that are
affordable to all customers, including low-income
customers.
(3) To the extent any of the information in
subparagraphs (A) through (H) of paragraph (2) of this
subsection is designated as confidential and proprietary
under the Commission's rules, the proponent of the
designation shall have the burden of making the requisite
showing under the Commission's rules. For data that is
determined to be confidential or that includes personally
identifiable information, the Commission may develop
procedures and processes to enable data sharing with
parties and stakeholders while ensuring the
confidentiality of the information.
(4) Workshops should be organized and facilitated in a
manner that encourages representation from diverse
stakeholders, ensuring equitable opportunities for
participation, without requiring formal intervention or
representation by an attorney. Workshops should be held
during both day and evening hours, in a variety of
locations within each electric utility's service
territory, and should allow remote participation.

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(5) It is a goal of the State that this workshop
process will provide a forum for interested stakeholders
to effectively and efficiently provide feedback and input
to the electric utility. It is also a goal of the State
that stakeholder participation in this process will
prepare stakeholders to more capably participate in
Multi-Year Rate Plan proceedings conducted pursuant to
Section 16-108.18 of this Act, if they so elect. As part of
the workshop process, the electric utility shall submit to
the Commission the electric utility's capital investments
proposal, and supporting data described in subparagraphs
(A) through (C) of paragraph (2) of this subsection (e)
before the start of workshops to allow interested
stakeholders to reasonably review data before attending
workshops. The Commission shall make public the utility
capital investments proposal by posting it on the
Commission's website and set the location and time of any
workshop to be held as part of the workshop process, and
establish a data request process, consistent with the
Commission's rules, that affords workshop participants
opportunities to submit data requests to the utility, and
receive responses in accordance with the utility's
obligations under the law, prior to the workshop,
regarding the information described in this paragraph (5).
Upon the written request of a workshop participant, the
utility shall also present at a given workshop at least

10200SB0018sam001 - 731 - LRB102 12600 LNS 28802 a
one appropriate company representative who can address the
specific written questions or written categories of
questions identified in advance by the workshop
participant regarding issues related to the utility's
Multi-Year Integrated Grid Plan. To facilitate public
feedback, the administrator facilitating the workshops
shall, throughout the workshop process, develop questions
for stakeholder input on topics being considered. This may
include, but is not limited to: design of the workshop
process, locational data and information provided by
utilities, alignment of plans, programs, investments and
objectives, and other topics as deemed appropriate by the
Commission facilitation staff. Stakeholder feedback shall
not be limited to these questions. The information
provided as part of the workshop process pursuant to this
subsection (e) is intended to be informational and to
provide a preliminary view of costs and investments, which
may change. Accordingly, the information provided pursuant
to this subsection (e) shall not be binding on the utility
and shall not be the sole basis for a finding in any
Commission proceeding of imprudence, unreasonableness, or
lack of use or usefulness of any individual or aggregate
level of utility plant or other investment or expenditure
addressed; however, information contained in the plan may
be used in a proceeding before the Commission, with weight
of such evidence to be determined by the Commission.

10200SB0018sam001 - 732 - LRB102 12600 LNS 28802 a
(6) Workshops shall not be considered settlement
negotiations, compromise negotiations, or offers to
compromise for the purposes of Illinois Rule of Evidence
408. All materials shared as a part of the workshop
process, and that are not determined to be confidential as
described in paragraph (3) of this subsection (e), shall
be made publicly available on a website made available by
the Commission.
(7) On conclusion of the workshops, the Commission
shall open a comment period that allows interested and
diverse stakeholders to submit comments and
recommendations regarding the utility's Multi-Year
Integrated Grid Plan filing. Based on the workshop process
and stakeholder comments and recommendations offered
verbally or in writing during the workshops and in writing
during the comment period following the workshops, the
independent third-party facilitator shall prepare a
report, to be submitted to the Commission no later than
July 1, 2022, describing the stakeholders, discussions,
proposals, and areas of consensus and disagreement from
the workshop process, and making recommendations to the
Commission regarding the utility's Multi-Year Integrated
Grid Plan. Interested stakeholders shall have an
opportunity to provide comment on the independent
third-party facilitator report.
(8) Based on discussions in the workshops, the

10200SB0018sam001 - 733 - LRB102 12600 LNS 28802 a
independent third-party facilitator report, and
stakeholder comments and recommendations made during and
following the workshop process, the Commission shall issue
initiating orders no later than August 1, 2022, requiring
the electric utilities subject to this Section to file the
first Multi-Year Integrated Grid Plan no later than
January 20, 2023. The initiating orders shall specify the
requirements applicable to the utilities' Multi-Year
Integrated Grid Plans, which shall supplement and not
replace those requirements described in subsection (f) of
this Section.
(f) Multi-Year Integrated Grid Plan.
(1) Pursuant to this subsection (f) and the initiating
orders of the Commission, each electric utility subject to
this Section shall, no later than January 20, 2023, submit
its first Multi-Year Integrated Grid Plan. No later than
January 20, 2026, and every 4 years thereafter, the
utility shall submit its subsequent Plan. Each Plan shall:
(A) incorporate requirements established by the
Commission in its initiating order; and
(B) propose distribution system investment
programs, policies, and plans designed to optimize
achievement of the objectives set forth in subsection
(d) of this Section and achieve the metrics approved
by the Commission pursuant to Section 16-108.18 of
this Act.

10200SB0018sam001 - 734 - LRB102 12600 LNS 28802 a
To the extent practicable and reasonable, all
programs, policies, and initiatives proposed by the
utility in its plan should be informed by stakeholder
input received during the workshop process pursuant to
subsection (e) of this Section. Where specific stakeholder
input has not been incorporated in proposed programs,
policies, and plans, the electric utility shall provide an
explanation as to why that input was not incorporated.
(2) In order to ensure electric utilities' ability to
meet the goals and objectives set forth in this Section,
the Multi-Year Integrated Grid Plans must include, at
minimum, the following information:
(A) A description of the utility's distribution
system planning process, including:
(i) the overview of the process, including
frequency and duration of the process, roles, and
responsibilities of utility personnel and
departments involved;
(ii) a summary of the meetings with
stakeholders conducted prior to filing of the plan
with the Commission.
(iii) the description of any coordination of
the processes with any other planning process
internal or external to the utility, including
those required by a regional transmission
operator.

10200SB0018sam001 - 735 - LRB102 12600 LNS 28802 a
(B) A detailed description of the current
operating conditions for the distribution system
separately presented for each of the utility's
operating areas, where possible, including a detailed
description, with supporting data, of system
conditions, including baseline data regarding the
utility's distribution system from the utility's
annual report to the Commission, total distribution
system substation capacity in kVa, total miles of
primary overhead distribution wire, and total miles of
primary underground distribution cable, distributed
energy resource deployment by type, size, customer
class, and geographic dispersion as to those DERs that
have completed the interconnection process, the most
current distribution line loss study, current and
expected System Average Interruption Frequency Index
and Customer Average Interruption Duration Index data
for the system, identification of the system model
software currently used and planned software
deployments, and other data needs as requested by the
Commission or as determined through Commission rules.
The description shall also include the utility's most
recent system load and peak demand forecast for at
least the next 5 years, and up to 10 years if
available, a discussion of how the forecast was
prepared and how distributed energy resources and

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energy efficiency were factored into the forecast, and
identification of the forecasting software currently
used and planned software deployments.
(C) Financial Data.
(i) For each of the preceding 5 years, the
utility's distribution system investments by the
investment categories tracked by the utility,
including, but not limited to, new business,
facility relocation, capacity expansion, system
performance, preventive maintenance, corrective
maintenance, the total amount of investments
associated with the integration of DERs, the total
amount of charges to DER developers and retail
customers for interconnection of DERs to the
distribution system, and a list of each major
investment category the utility used to maintain
its routine standing operational activities and
the associated plant in service amount for each
category in which the plant in service amount is
at least $2,000,000;
(ii) For each of the preceding 5 years, data
on and a discussion of the utility's distribution
system operation and maintenance expenses;
(iii) A 5-year long-range forecast of
distribution system capital investments and
operational and maintenance expenses, including a

10200SB0018sam001 - 737 - LRB102 12600 LNS 28802 a
discussion of any projections for expenses for the
categories listed in subparagraph (i) of this item
(C).
(D) System data on DERs on the utility's
distribution system, including the total number and
nameplate capacity of DERs that completed
interconnection in the prior year, current DER
deployment by type, size, and geographic dispersion,
to the extent that granular geographic information
does not disclose personally identifiable information,
and other data as requested by the Commission or
determined by Commission rules.
(E) Hosting Capacity and Interconnection
Requirements.
(i) The utility shall make available on its
website the hosting capacity analysis results that
shall include mapping and GIS capability, as well
as any other requirements requested by the
Commission or determined through Commission rules.
The plan shall identify where the hosting capacity
analysis results shall be made publicly available.
This shall also include an assessment of the
impact of utility investments over the next 5
years on hosting capacity and a narrative
discussion of how the hosting capacity analysis
advances customer-sited distributed energy

10200SB0018sam001 - 738 - LRB102 12600 LNS 28802 a
resources, including electric vehicles, energy
storage systems, and photovoltaic resources, and
how the identification of interconnection points
on the distribution system will support the
continued development of distributed energy
resources.
(ii) Discussion of the utility's
interconnection requirements and how they comply
with the Commission's applicable regulations.
(F) Identification and discussion of the scenarios
considered in the development of the utility's
Multi-Year Integrated Grid Plan, including DER
scenarios, and discussion of base-case and alternative
scenarios, how the scenarios were developed and
selected, and how the scenarios include a reasonable
mix of DERs scenarios, types, and geographic
dispersion. Scenarios shall at least consider the
5-year forecast horizon of the Multi-Year Integrated
Grid Plan, but may also consider longer-term scenarios
where data is available. The plan shall also include
requirements requested by the Commission or determined
through Commission rules.
(G) An evaluation of the short-term and long-run
benefits and costs of distributed energy resources
located on the distribution system, including, but not
limited to, the locational, temporal, and

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performance-based benefits and costs of distributed
energy resources. The utility shall use the results of
this evaluation to inform its analysis of Solution
Sourcing Opportunities, including nonwires
alternatives, under subparagraph (K) of paragraph (2)
subsection (f) of this Section. The Commission may use
the data produced through this evaluation to, among
other use-cases, inform the Commission's investigation
and establishment of tariffs and compensation for
distributed energy resources interconnecting to the
utility's distribution system, including rebates
provided by the electric utility pursuant to Section
16-107.6 of this Act.
(H) Long-term Distribution System Investment Plan.
(i) The utility's planned distribution capital
investments for the period covered by the planning
process required by this Section, by the
investment categories used by the utility, and
with discussion of any individual planned projects
with a planned total investment gross amount of
$3,000,000 or more and of the alternatives
considered by the utility to such individual
projects including any non-traditional
alternatives and DER alternatives, and supporting
data. This shall provide sufficiently detailed
explanations of how the planned investments shall

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support the goals in subsection (d) of this
Section.
(ii) Discussion of how the utility's capital
investments plan is consistent with Commission
orders regarding the procurement of renewable
resources as discussed in Section 16-111.5 of this
Act, energy efficiency plans as discussed in
Section 8-103B, distributed generation rebates as
discussed in Section 16-107.6, and any other
Commission order affecting the goals described in
subsection (d) of this Section.
(iii) A plan for achieving the applicable
metrics that were approved by the Commission for
the utility pursuant to subsection (e) of Section
16-108.18 of this Act.
(iv) A narrative discussion of the utility's
vision for the distribution system over the next 5
years.
(v) Any additional information requested by
the Commission or determined through Commission
rules.
(I) A detailed description of historic
distribution system operations and maintenance
expenditures for the preceding 5 years and of planned
or projected operations and maintenance expenditures
for the period covered by the planning process

10200SB0018sam001 - 741 - LRB102 12600 LNS 28802 a
required by this Section, as well as the data,
reasoning and explanation supporting planned or
projected expenditures. Any additional information
requested by the Commission or determined through
Commission rules.
(J) A detailed plan for achieving the applicable
metrics that were approved by the Commission for the
utility pursuant to subsection (e) of Section
16-108.18 of this Act, including, but not limited to,
the following:
(i) A description of, exclusive of low-income
rate relief programs and other income-qualified
programs, how the utility is supporting efforts to
bring 40% of benefits from programs, policies, and
initiatives proposed in their Multi-Year
Integrated Grid Plan to ratepayers in low-income
and environmental justice communities. This shall
also include any information requested by the
Commission or determined through Commission rules.
Nothing in this subparagraph is meant to require a
specific amount of spending in a particular
geographic area.
(ii) A detailed analysis of current and
projected flexible resources, including resource
type, size (in MW and MWh), location and
environmental impact, as well as anticipated needs

10200SB0018sam001 - 742 - LRB102 12600 LNS 28802 a
that can be met using flexible resources, to meet
the goals described in subsection (d) of this
Section, to meet the applicable metrics that were
approved by the Commission for the utility
pursuant to subsection (e) of Section 16-108.18 of
this Act, and any other Commission order affecting
the goals described in subsection (d) of this
Section.
(iii) Any additional information requested by
the Commission or determined through Commission
rules.
(K) Identification of potential cost-effective
solutions from nontraditional and third-party owned
investments that could meet anticipated grid needs,
including, but not limited to, distributed energy
resources procurements, tariffs or contracts,
programmatic solutions, rate design options,
technologies or programs that facilitate load
flexibility, nonwires alternatives, and other
solutions that are intended to meet the objectives
described at subsection (d). It is the policy of this
State that cost-effective third-party or
customer-owned distributed energy resources create
robust competition and customer choice and shall be
considered as appropriate. The Commission shall
establish rules determining data or methods for

10200SB0018sam001 - 743 - LRB102 12600 LNS 28802 a
Solution Sourcing Opportunities.
(L) A detailed description of the utility's
interoperability plan, which must describe the manner
in which the electric utility's current and planned
distribution system investments will work together and
exchange information and data, the extent to which the
utility is implementing open standards and interfaces
with third-party distributed energy resource owners
and aggregators, and the utility's plan for
interoperability testing and certification.
(3) To the extent any information in utilities'
Multi-Year Integrated Grid Plans is designated as
confidential and proprietary under the Commission's rules,
the proponent of the designation shall have the burden of
making the requisite showing under the Commission's rules.
For data that is determined to be confidential or that
includes personally identifiable information, the
Commission may develop procedures and processes to enable
data sharing with parties and stakeholders while ensuring
the confidentiality of the information. All confidential
information exchanged, submitted, or shared by a utility
pursuant to this Section shall be protected from
intentional and accidental dissemination. The Commission
shall have authority to supervise, protect, and restrict
access to all confidential, commercially sensitive, or
system security related information and data, and shall be

10200SB0018sam001 - 744 - LRB102 12600 LNS 28802 a
authorized to take all necessary steps to protect that
information from unauthorized disclosure. This paragraph
shall not be interpreted to require a utility to make
publicly available any information or data that could
compromise the physical or cyber security of a utility's
distribution system. Any party that accidentally
disseminates confidential information obtained pursuant to
a proceeding initiated in accordance with this Section, or
is the victim of a cyber-security breach, must notify the
affected utility, the Illinois Attorney General, and the
Commission staff with 24 hours of knowledge of such
dissemination or breach. Any party that fails to provide
required notification of such a breach shall be subject to
remedies available to the Commission and the Illinois
Attorney General.
(4) It is the policy of this State that holistic
consideration of all related investments, planning
processes, tariffs, rate design options, programs, and
other utility policies and plans shall be required. To
that end, the Commission shall consider, comprehensively,
the impact of all related plans, tariffs, programs, and
policies on the Plan and on each other, including:
(A) time-of-use pricing program pursuant to
Section 16-107.7 of this Act, hourly pricing program
pursuant to Section 16-107 of this Act, and any other
time-variant or dynamic pricing program;

10200SB0018sam001 - 745 - LRB102 12600 LNS 28802 a
(B) distributed generation rebate pursuant to
Section 16-107.6 of this Act;
(C) net electricity metering, pursuant to Section
16-107.5 of this Act;
(D) energy efficiency programs pursuant to Section
8-103B of this Act;
(E) beneficial electrification programs pursuant
to Section 16-107.8 of this Act;
(F) Equitable Energy Upgrade Program pursuant to
Section 16-111.10 of this Act;
(G) renewable energy programs and procurements set
forth in the Illinois Power Agency Act, including, but
not limited to, those set forth in the long-term
renewable resources procurement plan developed
pursuant to Section 1-20 of that Act; and
(H) other plans, programs, and policies that are
relevant to distribution grid investments, costs,
planning, and other categories as requested by the
Commission.
The Plan shall comprehensively detail the relationship
between these plans, tariffs, and programs and to the
electric utility's achievement of the objectives in
subsection (d). The Plan shall be designed to coordinate
each of these plans, programs, and tariffs with the
electric utility's long-term distribution system
investment planning in order to maximize the benefits of

10200SB0018sam001 - 746 - LRB102 12600 LNS 28802 a
each.
(5) The initiating order for the initial Multi-Year
Integrated Grid Plan, as well as each electric utility's
subsequent Integrated Grid Plans under subsection (g),
shall begin a contested proceeding as described in
subsection (d) of Section 10-101.1 of this Act.
(A) In evaluating a utility's Plan, the Commission
shall consider, at minimum, whether the Plan:
(1) meets the objectives of this Section;
(2) includes the components in paragraph (2)
of subsection (f) of this Section;
(3) considers and incorporates, where
practicable, input from interested stakeholders,
including parties and people who offer public
comment without legal representation;
(4) considers nontraditional, including
third-party owned, investment alternatives that
can meet grid needs and provide additional
benefits (including consumer, economic, and
environmental benefits) beyond comparable,
traditional utility-planned capital investments;
(5) equitably benefits environmental justice
communities; and
(6) maximizes consumer, environmental,
economic, and community benefits over a 10-year
horizon.

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(B) The Commission, after notice and hearing,
shall modify each electric utility's Plan as necessary
to comply with the objectives of this Section. The
Commission may approve, or modify and approve, a Plan
only if it finds that the Plan is reasonable, complies
with the objectives and requirements of this Section,
and reasonably incorporates input from parties. The
Commission may reject each electric utility's Plan if
it finds that the Plan does not comply with the
objectives and requirements of this Section. If the
Commission enters an order rejecting a Plan, the
utility must refile a Plan within 3 months after that
order, and until the Commission approves a Plan, the
utility's existing Plan will remain in effect.
(C) For the initial Integrated Grid Plan filings,
the Commission shall enter an order approving,
modifying, or rejecting the Plan no later than
December 15, 2023. For subsequent Integrated Grid Plan
filings, the Commission shall enter an order
approving, modifying, or rejecting the Plan no later
than December 15 of the year in which it was filed.
(D) Each electric utility shall file its proposed
Initial Multi-Year Integrated Grid Plan no later than
January 20, 2023. Prior to that date and following the
initiating order, the Commission shall initiate a case
management conference and shall take any appropriate

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steps to begin meaningful consideration of issues,
including enabling interested parties to begin
conducting discovery.
(6) As part of its order approving a utility's
Multi-Year Integrated Grid Plan, including any
modifications required, the Commission may create a
subsequent implementation plan docket, or multiple
implementation plan dockets, if the Commission determines
that multiple dockets would be preferable, to consider a
utility's detailed plan or plans, as directed in the
Commission's order.
(g) No later than January 20, 2026 and every 4 years
thereafter, each electric utility subject to this Section
shall file a new Multi-Year Integrated Grid Plan for the
subsequent 4 delivery years after the completion of the
then-effective Plan. Each Plan shall meet the requirements
described in subsection (f) of this Section, and shall be
preceded by a workshop process which meets the same
requirements described in subsection (e). If appropriate, the
Commission may require additional implementation dockets to
follow Subsequent Multi-Year Integrated Grid Plan filings.
(h) During the period leading to approval of the first
Multi-Year Integrated Grid Plan, each electric utility will
necessarily continue to invest in its distribution grid. Those
investments will be subject to a determination of prudence and
reasonableness consistent with Commission practice and law.

10200SB0018sam001 - 749 - LRB102 12600 LNS 28802 a
Any failure of such investments to conform to the Multi-Year
Integrated Grid Plan ultimately approved shall not imply
imprudence or unreasonableness.
(i) The Commission shall adopt rules to carry out the
provisions of this Section under the emergency rulemaking
provisions set forth in Section 5-45 of the Illinois
Administrative Procedure Act, and such emergency rules shall
be effective no later than 90 days after the effective date of
this amendatory Act of the 102nd General Assembly.
(220 ILCS 5/16-107.5)
Sec. 16-107.5. Net electricity metering.
(a) The General Assembly Legislature finds and declares
that a program to provide net electricity metering, as defined
in this Section, for eligible customers can encourage private
investment in renewable energy resources, stimulate economic
growth, enhance the continued diversification of Illinois'
energy resource mix, and protect the Illinois environment.
Further, to achieve the goals of this Act that robust options
for customer-site distributed generation continue to thrive in
Illinois, the General Assembly finds that a predictable
transition must be ensured for customers between full net
metering at the retail electricity rate to the distribution
generation rebate described in Section 16-107.6.
(b) As used in this Section, (i) "community renewable
generation project" shall have the meaning set forth in

10200SB0018sam001 - 750 - LRB102 12600 LNS 28802 a
Section 1-10 of the Illinois Power Agency Act; (ii) "eligible
customer" means a retail customer that owns, hosts, or
operates, including any third-party owned systems, a solar,
wind, or other eligible renewable electrical generating
facility with a rated capacity of not more than 2,000
kilowatts that is located on the customer's premises or
customer's side of the billing meter and is intended primarily
to offset the customer's own current or future electrical
requirements; (iii) "electricity provider" means an electric
utility or alternative retail electric supplier; (iv)
"eligible renewable electrical generating facility" means a
generator, which may include the co-location of an energy
storage system, that is interconnected under rules adopted by
the Commission and is powered by solar electric energy, wind,
dedicated crops grown for electricity generation, agricultural
residues, untreated and unadulterated wood waste, landscape
trimmings, livestock manure, anaerobic digestion of livestock
or food processing waste, fuel cells or microturbines powered
by renewable fuels, or hydroelectric energy; (v) "net
electricity metering" (or "net metering") means the
measurement, during the billing period applicable to an
eligible customer, of the net amount of electricity supplied
by an electricity provider to the customer customer's premises
or provided to the electricity provider by the customer or
subscriber; (vi) "subscriber" shall have the meaning as set
forth in Section 1-10 of the Illinois Power Agency Act; and

10200SB0018sam001 - 751 - LRB102 12600 LNS 28802 a
(vii) "subscription" shall have the meaning set forth in
Section 1-10 of the Illinois Power Agency Act; (viii) "energy
storage system" means commercially available technology that
is capable of absorbing energy and storing it for a period of
time for use at a later time, including, but not limited to,
electrochemical, thermal, and electromechanical technologies,
and may be interconnected behind the customer's meter or
interconnected behind its own meter; and (ix) "future
electrical requirements" means modeled electrical requirements
upon occupation of a new or vacant property, and other
reasonable expectations of future electrical use, as well as,
for occupied properties, a reasonable approximation of the
annual load of 2 electric vehicles and, for non-electric
heating customers, a reasonable approximation of the
incremental electric load associated with fuel switching. The
approximations shall be applied to the appropriate net
metering tariff and do not need to be unique to each individual
eligible customer. The utility shall submit these
approximations to the Commission for review, modification, and
approval.
(c) A net metering facility shall be equipped with
metering equipment that can measure the flow of electricity in
both directions at the same rate.
(1) For eligible customers whose electric service has
not been declared competitive pursuant to Section 16-113
of this Act as of July 1, 2011 and whose electric delivery

10200SB0018sam001 - 752 - LRB102 12600 LNS 28802 a
service is provided and measured on a kilowatt-hour basis
and electric supply service is not provided based on
hourly pricing, this shall typically be accomplished
through use of a single, bi-directional meter. If the
eligible customer's existing electric revenue meter does
not meet this requirement, the electricity provider shall
arrange for the local electric utility or a meter service
provider to install and maintain a new revenue meter at
the electricity provider's expense, which may be the smart
meter described by subsection (b) of Section 16-108.5 of
this Act.
(2) For eligible customers whose electric service has
not been declared competitive pursuant to Section 16-113
of this Act as of July 1, 2011 and whose electric delivery
service is provided and measured on a kilowatt demand
basis and electric supply service is not provided based on
hourly pricing, this shall typically be accomplished
through use of a dual channel meter capable of measuring
the flow of electricity both into and out of the
customer's facility at the same rate and ratio. If such
customer's existing electric revenue meter does not meet
this requirement, then the electricity provider shall
arrange for the local electric utility or a meter service
provider to install and maintain a new revenue meter at
the electricity provider's expense, which may be the smart
meter described by subsection (b) of Section 16-108.5 of

10200SB0018sam001 - 753 - LRB102 12600 LNS 28802 a
this Act.
(3) For all other eligible customers, until such time
as the local electric utility installs a smart meter, as
described by subsection (b) of Section 16-108.5 of this
Act, the electricity provider may arrange for the local
electric utility or a meter service provider to install
and maintain metering equipment capable of measuring the
flow of electricity both into and out of the customer's
facility at the same rate and ratio, typically through the
use of a dual channel meter. If the eligible customer's
existing electric revenue meter does not meet this
requirement, then the costs of installing such equipment
shall be paid for by the customer.
(d) An electricity provider shall measure and charge or
credit for the net electricity supplied to eligible customers
or provided by eligible customers whose electric service has
not been declared competitive pursuant to Section 16-113 of
this Act as of July 1, 2011 and whose electric delivery service
is provided and measured on a kilowatt-hour basis and electric
supply service is not provided based on hourly pricing in the
following manner:
(1) If the amount of electricity used by the customer
during the billing period exceeds the amount of
electricity produced by the customer, the electricity
provider shall charge the customer for the net electricity
supplied to and used by the customer as provided in

10200SB0018sam001 - 754 - LRB102 12600 LNS 28802 a
subsection (e-5) of this Section.
(2) If the amount of electricity produced by a
customer during the billing period exceeds the amount of
electricity used by the customer during that billing
period, the electricity provider supplying that customer
shall apply a 1:1 kilowatt-hour credit to a subsequent
bill for service to the customer for the net electricity
supplied to the electricity provider. The electricity
provider shall continue to carry over any excess
kilowatt-hour credits earned and apply those credits to
subsequent billing periods to offset any
customer-generator consumption in those billing periods
until all credits are used or until the end of the
annualized period.
(3) At the end of the year or annualized over the
period that service is supplied by means of net metering,
or in the event that the retail customer terminates
service with the electricity provider prior to the end of
the year or the annualized period, any remaining credits
in the customer's account shall expire.
(d-5) An electricity provider shall measure and charge or
credit for the net electricity supplied to eligible customers
or provided by eligible customers whose electric service has
not been declared competitive pursuant to Section 16-113 of
this Act as of July 1, 2011 and whose electric delivery service
is provided and measured on a kilowatt-hour basis and electric

10200SB0018sam001 - 755 - LRB102 12600 LNS 28802 a
supply service is provided based on hourly pricing or
time-of-use rates in the following manner:
(1) If the amount of electricity used by the customer
during any hourly period or time-of-use period exceeds the
amount of electricity produced by the customer, the
electricity provider shall charge the customer for the net
electricity supplied to and used by the customer according
to the terms of the contract or tariff to which the same
customer would be assigned to or be eligible for if the
customer was not a net metering customer.
(2) If the amount of electricity produced by a
customer during any hourly period or time-of-use period
exceeds the amount of electricity used by the customer
during that hourly period or time-of-use period, the
energy provider shall apply a credit for the net
kilowatt-hours produced in such period. The credit shall
consist of an energy credit and a delivery service credit.
The energy credit shall be valued at the same price per
kilowatt-hour as the electric service provider would
charge for kilowatt-hour energy sales during that same
hourly period or time-of-use period. The delivery credit
shall be equal to the net kilowatt-hours produced in such
hourly period or time-of-use period times a credit that
reflects all kilowatt-hour based charges in the customer's
electric service rate, excluding energy charges.
(e) An electricity provider shall measure and charge or

10200SB0018sam001 - 756 - LRB102 12600 LNS 28802 a
credit for the net electricity supplied to eligible customers
whose electric service has not been declared competitive
pursuant to Section 16-113 of this Act as of July 1, 2011 and
whose electric delivery service is provided and measured on a
kilowatt demand basis and electric supply service is not
provided based on hourly pricing in the following manner:
(1) If the amount of electricity used by the customer
during the billing period exceeds the amount of
electricity produced by the customer, then the electricity
provider shall charge the customer for the net electricity
supplied to and used by the customer as provided in
subsection (e-5) of this Section. The customer shall
remain responsible for all taxes, fees, and utility
delivery charges that would otherwise be applicable to the
net amount of electricity used by the customer.
(2) If the amount of electricity produced by a
customer during the billing period exceeds the amount of
electricity used by the customer during that billing
period, then the electricity provider supplying that
customer shall apply a 1:1 kilowatt-hour credit that
reflects the kilowatt-hour based charges in the customer's
electric service rate to a subsequent bill for service to
the customer for the net electricity supplied to the
electricity provider. The electricity provider shall
continue to carry over any excess kilowatt-hour credits
earned and apply those credits to subsequent billing

10200SB0018sam001 - 757 - LRB102 12600 LNS 28802 a
periods to offset any customer-generator consumption in
those billing periods until all credits are used or until
the end of the annualized period.
(3) At the end of the year or annualized over the
period that service is supplied by means of net metering,
or in the event that the retail customer terminates
service with the electricity provider prior to the end of
the year or the annualized period, any remaining credits
in the customer's account shall expire.
(e-5) An electricity provider shall provide electric
service to eligible customers who utilize net metering at
non-discriminatory rates that are identical, with respect to
rate structure, retail rate components, and any monthly
charges, to the rates that the customer would be charged if not
a net metering customer. An electricity provider shall not
charge net metering customers any fee or charge or require
additional equipment, insurance, or any other requirements not
specifically authorized by interconnection standards
authorized by the Commission, unless the fee, charge, or other
requirement would apply to other similarly situated customers
who are not net metering customers. The customer will remain
responsible for all taxes, fees, and utility delivery charges
that would otherwise be applicable to the net amount of
electricity used by the customer. Subsections (c) through (e)
of this Section shall not be construed to prevent an
arms-length agreement between an electricity provider and an

10200SB0018sam001 - 758 - LRB102 12600 LNS 28802 a
eligible customer that sets forth different prices, terms, and
conditions for the provision of net metering service,
including, but not limited to, the provision of the
appropriate metering equipment for non-residential customers.
(f) Notwithstanding the requirements of subsections (c)
through (e-5) of this Section, an electricity provider must
require dual-channel metering for customers operating eligible
renewable electrical generating facilities with a nameplate
rating up to 2,000 kilowatts and to whom the provisions of
neither subsection (d), (d-5), nor (e) of this Section apply.
In such cases, electricity charges and credits shall be
determined as follows:
(1) The electricity provider shall assess and the
customer remains responsible for all taxes, fees, and
utility delivery charges that would otherwise be
applicable to the gross amount of kilowatt-hours supplied
to the eligible customer by the electricity provider.
(2) Each month that service is supplied by means of
dual-channel metering, the electricity provider shall
compensate the eligible customer for any excess
kilowatt-hour credits at the electricity provider's
avoided cost of electricity supply over the monthly period
or as otherwise specified by the terms of a power-purchase
agreement negotiated between the customer and electricity
provider.
(3) For all eligible net metering customers taking

10200SB0018sam001 - 759 - LRB102 12600 LNS 28802 a
service from an electricity provider under contracts or
tariffs employing hourly or time-of-use time of use rates,
any monthly consumption of electricity shall be calculated
according to the terms of the contract or tariff to which
the same customer would be assigned to or be eligible for
if the customer was not a net metering customer. When
those same customer-generators are net generators during
any discrete hourly or time-of-use time of use period, the
net kilowatt-hours produced shall be valued at the same
price per kilowatt-hour as the electric service provider
would charge for retail kilowatt-hour sales during that
same time-of-use time of use period.
(g) For purposes of federal and State laws providing
renewable energy credits or greenhouse gas credits, the
eligible customer shall be treated as owning and having title
to the renewable energy attributes, renewable energy credits,
and greenhouse gas emission credits related to any electricity
produced by the qualified generating unit. The electricity
provider may not condition participation in a net metering
program on the signing over of a customer's renewable energy
credits; provided, however, this subsection (g) shall not be
construed to prevent an arms-length agreement between an
electricity provider and an eligible customer that sets forth
the ownership or title of the credits.
(h) Within 120 days after the effective date of this
amendatory Act of the 95th General Assembly, the Commission

10200SB0018sam001 - 760 - LRB102 12600 LNS 28802 a
shall establish standards for net metering and, if the
Commission has not already acted on its own initiative,
standards for the interconnection of eligible renewable
generating equipment to the utility system. The
interconnection standards shall address any procedural
barriers, delays, and administrative costs associated with the
interconnection of customer-generation while ensuring the
safety and reliability of the units and the electric utility
system. The Commission shall consider the Institute of
Electrical and Electronics Engineers (IEEE) Standard 1547 and
the issues of (i) reasonable and fair fees and costs, (ii)
clear timelines for major milestones in the interconnection
process, (iii) nondiscriminatory terms of agreement, and (iv)
any best practices for interconnection of distributed
generation.
(h-5) Within 90 days after the effective date of this
amendatory Act of the 102nd General Assembly, the Commission
shall:
(1) establish an Interconnection Working Group. The
working group shall include representatives from electric
utilities, developers of renewable electric generating
facilities, other industries that regularly apply for
interconnection with the electric utilities,
representatives of distributed generation customers, the
Commission Staff, and such other stakeholders with a
substantial interest in the topics addressed by the

10200SB0018sam001 - 761 - LRB102 12600 LNS 28802 a
Interconnection Working Group. The Interconnection Working
Group shall address at least the following issues:
(A) cost and best available technology for
interconnection and metering, including the
standardization and publication of standard costs;
(B) transparency, accuracy and use of the
distribution interconnection queue and hosting
capacity maps;
(C) distribution system upgrade cost avoidance
through use of advanced inverter functions;
(D) predictability of the queue management process
and enforcement of timelines;
(E) benefits and challenges associated with group
studies and cost sharing;
(F) minimum requirements for application to the
interconnection process and throughout the
interconnection process to avoid queue clogging
behavior;
(G) process and customer service for
interconnecting customers adopting distributed energy
resources, including energy storage;
(H) options for metering distributed energy
resources, including energy storage;
(I) interconnection of new technologies, including
smart inverters and energy storage;
(J) collect, share, and examine data on Level 1

10200SB0018sam001 - 762 - LRB102 12600 LNS 28802 a
interconnection costs, including cost and type of
upgrades required for interconnection, and use this
data to inform the final standardized cost of Level 1
interconnection; and
(K) such other technical, policy, and tariff
issues related to and affecting interconnection
performance and customer service as determined by the
Interconnection Working Group.
The Commission may create subcommittees of the
Interconnection Working Group to focus on specific issues
of importance, as appropriate. The Interconnection Working
Group shall report to the Commission on recommended
improvements to interconnection rules and tariffs and
policies as determined by the Interconnection Working
Group at least every 6 months. Such reports shall include
consensus recommendations of the Interconnection Working
Group and, if applicable, additional recommendations for
which consensus was not reached. The Commission shall use
the report from the Interconnection Working Group to
determine whether processes should be commenced to
formally codify or implement the recommendations;
(2) create or contract for an Ombudsman to resolve
interconnection disputes through non-binding arbitration.
The Ombudsman may be paid in full or in part through fees
levied on the initiators of the dispute; and
(3) determine a single standardized cost for Level 1

10200SB0018sam001 - 763 - LRB102 12600 LNS 28802 a
interconnections, which shall not exceed $200.
(i) All electricity providers shall begin to offer net
metering no later than April 1, 2008.
(j) An electricity provider shall provide net metering to
eligible customers according to subsections (d), (d-5), and
(e). Eligible renewable electrical generating facilities for
which eligible customers registered for net metering before
January 1, 2025 shall continue to receive net metering
services according to subsections (d), (d-5), and (e) of this
Section for the lifetime of the system, regardless of whether
those retail customers change electricity providers or whether
the retail customer benefiting from the system changes. On and
after January 1, 2025, any eligible customer that applies for
net metering and previously would have qualified under
subsections (d), (d-5), or (e) shall only be eligible for net
metering as described in subsection (n). until the load of its
net metering customers equals 5% of the total peak demand
supplied by that electricity provider during the previous
year. After such time as the load of the electricity
provider's net metering customers equals 5% of the total peak
demand supplied by that electricity provider during the
previous year, eligible customers that begin taking net
metering shall only be eligible for netting of energy.
(k) Each electricity provider shall maintain records and
report annually to the Commission the total number of net
metering customers served by the provider, as well as the

10200SB0018sam001 - 764 - LRB102 12600 LNS 28802 a
type, capacity, and energy sources of the generating systems
used by the net metering customers. Nothing in this Section
shall limit the ability of an electricity provider to request
the redaction of information deemed by the Commission to be
confidential business information.
(l)(1) Notwithstanding the definition of "eligible
customer" in item (ii) of subsection (b) of this Section, each
electricity provider shall allow net metering as set forth in
this subsection (l) and for the following projects, provided
that only electric utilities serving more than 200,000
customers as of January 1, 2021 shall provide net metering for
projects that are eligible for subparagraph (C) of this
paragraph (1) and have energized after the effective date of
this amendatory Act of the 102nd General Assembly:
(A) properties owned or leased by multiple customers
that contribute to the operation of an eligible renewable
electrical generating facility through an ownership or
leasehold interest of at least 200 watts in such facility,
such as a community-owned wind project, a community-owned
biomass project, a community-owned solar project, or a
community methane digester processing livestock waste from
multiple sources, provided that the facility is also
located within the utility's service territory;
(B) individual units, apartments, or properties
located in a single building that are owned or leased by
multiple customers and collectively served by a common

10200SB0018sam001 - 765 - LRB102 12600 LNS 28802 a
eligible renewable electrical generating facility, such as
an office or apartment building, a shopping center or
strip mall served by photovoltaic panels on the roof; and
(C) subscriptions to community renewable generation
projects, including community renewable generation
projects on the customer's side of the billing meter of a
host facility and partially used for the customer's own
load.
In addition, the nameplate capacity of the eligible
renewable electric generating facility that serves the demand
of the properties, units, or apartments identified in
paragraphs (1) and (2) of this subsection (l) shall not exceed
5,000 2,000 kilowatts in nameplate capacity in total. Any
eligible renewable electrical generating facility or community
renewable generation project that is powered by photovoltaic
electric energy and installed after the effective date of this
amendatory Act of the 99th General Assembly must be installed
by a qualified person in compliance with the requirements of
Section 16-128A of the Public Utilities Act and any rules or
regulations adopted thereunder.
(2) Notwithstanding anything to the contrary, an
electricity provider shall provide credits for the electricity
produced by the projects described in paragraph (1) of this
subsection (l). The electricity provider shall provide credits
that include at least energy supply, capacity, transmission,
and, if applicable, the purchased energy adjustment at the

10200SB0018sam001 - 766 - LRB102 12600 LNS 28802 a
subscriber's energy supply rate on the subscriber's monthly
bill equal to the subscriber's share of the production of
electricity from the project, as determined by paragraph (3)
of this subsection (l). For customers with transmission or
capacity charges not charged on a kilowatt-hour basis, the
electricity provider shall prepare a reasonable approximation
of the kilowatt-hour equivalent value and provide that value
as a monetary credit. The electricity provider shall submit
these approximation methodologies to the Commission for
review, modification, and approval. Notwithstanding anything
to the contrary, customers on payment plans or participating
in budget billing programs shall have credits applied on a
monthly basis.
(3) Notwithstanding anything to the contrary and
regardless of whether a subscriber to an eligible community
renewable generation project receives power and energy service
from the electric utility or an alternative retail electric
supplier, for projects eligible under paragraph (C) of
subparagraph (1) of this subsection (l), electric utilities
serving more than 200,000 customers as of January 1, 2021
shall provide the monetary credits to a subscriber's
subsequent bill for the electricity produced by community
renewable generation projects. The electric utility shall
provide monetary credits to a subscriber's subsequent bill at
the utility's total price to compare equal to the subscriber's
share of the production of electricity from the project, as

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determined by paragraph (5) of this subsection (l). For the
purposes of this subsection, "total price to compare" means
the rate or rates published by the Illinois Commerce
Commission for energy supply for eligible customers receiving
supply service from the electric utility, and shall include
energy, capacity, transmission, and the purchased energy
adjustment. Notwithstanding anything to the contrary,
customers on payment plans or participating in budget billing
programs shall have credits applied on a monthly basis. Any
applicable credit or reduction in load obligation from the
production of the community renewable generating projects
receiving a credit under this subsection shall be credited to
the electric utility to offset the cost of providing the
credit. To the extent that the credit or load obligation
reduction does not completely offset the cost of providing the
credit to subscribers of community renewable generation
projects as described in this subsection, the electric utility
may recover the remaining costs through its Multi-Year Rate
Plan. All electric utilities serving 200,000 or fewer
customers as of January 1, 2021 shall only provide the
monetary credits to a subscriber's subsequent bill for the
electricity produced by community renewable generation
projects if the subscriber receives power and energy service
from the electric utility. Alternative retail electric
suppliers providing power and energy service to a subscriber
located within the service territory of an electric utility

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not subject to Sections 16-108.18 and 16-118 shall provide the
monetary credits to the subscriber's subsequent bill for the
electricity produced by community renewable generation
projects.
(4) If requested by the owner or operator of a community
renewable generating project, an electric utility serving more
than 200,000 customers as of January 1, 2021 shall enter into a
net crediting agreement with the owner or operator to include
a subscriber's subscription fee on the subscriber's monthly
electric bill and provide the subscriber with a net credit
equivalent to the total bill credit value for that generation
period minus the subscription fee, provided the subscription
fee is structured as a fixed percentage of bill credit value.
The net crediting agreement shall set forth payment terms from
the electric utility to the owner or operator of the community
renewable generating project, and the electric utility may
charge a net crediting fee to the owner or operator of a
community renewable generating project that may not exceed 2%
of the bill credit value. Notwithstanding anything to the
contrary, an electric utility serving 200,000 customers or
fewer as of January 1, 2021 shall not be obligated to enter
into a net crediting agreement with the owner or operator of a
community renewable generating project.
(5) (3) For the purposes of facilitating net metering, the
owner or operator of the eligible renewable electrical
generating facility or community renewable generation project

10200SB0018sam001 - 769 - LRB102 12600 LNS 28802 a
shall be responsible for determining the amount of the credit
that each customer or subscriber participating in a project
under this subsection (l) is to receive in the following
manner:
(A) The owner or operator shall, on a monthly basis,
provide to the electric utility the kilowatthours of
generation attributable to each of the utility's retail
customers and subscribers participating in projects under
this subsection (l) in accordance with the customer's or
subscriber's share of the eligible renewable electric
generating facility's or community renewable generation
project's output of power and energy for such month. The
owner or operator shall electronically transmit such
calculations and associated documentation to the electric
utility, in a format or method set forth in the applicable
tariff, on a monthly basis so that the electric utility
can reflect the monetary credits on customers' and
subscribers' electric utility bills. The electric utility
shall be permitted to revise its tariffs to implement the
provisions of this amendatory Act of the 102nd General
Assembly this amendatory Act of the 99th General Assembly.
The owner or operator shall separately provide the
electric utility with the documentation detailing the
calculations supporting the credit in the manner set forth
in the applicable tariff.
(B) For those participating customers and subscribers

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

10200SB0018sam001 - 771 - LRB102 12600 LNS 28802 a
amendatory Act of the 102nd General Assembly this amendatory
Act of the 99th General Assembly, each electric utility
subject to this Section shall file a tariff or tariffs to
implement the provisions of subsection (l) of this Section,
which shall, consistent with the provisions of subsection (l),
describe the terms and conditions under which owners or
operators of qualifying properties, units, or apartments may
participate in net metering. The Commission shall approve, or
approve with modification, the tariff within 120 days after
the effective date of this amendatory Act of the 102nd General
Assembly this amendatory Act of the 99th General Assembly.
(m) Nothing in this Section shall affect the right of an
electricity provider to continue to provide, or the right of a
retail customer to continue to receive service pursuant to a
contract for electric service between the electricity provider
and the retail customer in accordance with the prices, terms,
and conditions provided for in that contract. Either the
electricity provider or the customer may require compliance
with the prices, terms, and conditions of the contract.
(n) On and after January 1, 2025 At such time, if any, that
the load of the electricity provider's net metering customers
equals 5% of the total peak demand supplied by that
electricity provider during the previous year, as specified in
subsection (j) of this Section, the net metering services
described in subsections (d), (d-5), and (e), (e-5), and (f)
of this Section shall no longer be offered, except as to those

10200SB0018sam001 - 772 - LRB102 12600 LNS 28802 a
eligible renewable electrical generating facilities for which
retail customers that are receiving net metering service under
these subsections at the time the net metering services under
those subsections are no longer offered; those systems shall
continue to receive net metering services described in
subsections (d), (d-5), and (e) of this Section for the
lifetime of the system, regardless of if those retail
customers change electricity providers or whether the retail
customer benefiting from the system changes. The electric
utility serving more than 200,000 customers as of January 1,
2021 is responsible for ensuring the billing credits continue
without lapse for the lifetime of systems, as required in
subsection (o). Those retail customers that begin taking net
metering service after the date that net metering services are
no longer offered under such subsections shall be subject to
the provisions set forth in the following paragraphs (1)
through (3) of this subsection (n):
(1) An electricity provider shall charge or credit for
the net electricity supplied to eligible customers or
provided by eligible customers whose electric supply
service is not provided based on hourly pricing in the
following manner:
(A) If the amount of electricity used by the
customer during the monthly billing period exceeds the
amount of electricity produced by the customer, then
the electricity provider shall charge the customer for

10200SB0018sam001 - 773 - LRB102 12600 LNS 28802 a
the net kilowatt-hour based electricity charges
reflected in the customer's electric service rate
supplied to and used by the customer as provided in
paragraph (3) of this subsection (n).
(B) If the amount of electricity produced by a
customer during the monthly billing period exceeds the
amount of electricity used by the customer during that
billing period, then the electricity provider
supplying that customer shall apply a 1:1
kilowatt-hour energy or monetary credit kilowatt-hour
supply charges to the customer's subsequent bill. The
customer shall choose between 1:1 kilowatt-hour or
monetary credit at the time of application. For the
purposes of this subsection, "kilowatt-hour supply
charges" means the kilowatt-hour equivalent values for
energy, capacity, transmission, and the purchased
energy adjustment, if applicable. Notwithstanding
anything to the contrary, customers on payment plans
or participating in budget billing programs shall have
credits applied on a monthly basis. that reflects the
kilowatt-hour based energy charges in the customer's
electric service rate to a subsequent bill for service
to the customer for the net electricity supplied to
the electricity provider. The electricity provider
shall continue to carry over any excess kilowatt-hour
or monetary energy credits earned and apply those

10200SB0018sam001 - 774 - LRB102 12600 LNS 28802 a
credits to subsequent billing periods. For customers
with transmission or capacity charges not charged on a
kilowatt-hour basis, the electricity provider shall
prepare a reasonable approximation of the
kilowatt-hour equivalent value and provide that value
as a monetary credit. The electricity provider shall
submit these approximation methodologies to the
Commission for review, modification, and approval. to
offset any customer-generator consumption in those
billing periods until all credits are used or until
the end of the annualized period.
(C) (Blank). At the end of the year or annualized
over the period that service is supplied by means of
net metering, or in the event that the retail customer
terminates service with the electricity provider prior
to the end of the year or the annualized period, any
remaining credits in the customer's account shall
expire.
(2) An electricity provider shall charge or credit for
the net electricity supplied to eligible customers or
provided by eligible customers whose electric supply
service is provided based on hourly pricing in the
following manner:
(A) If the amount of electricity used by the
customer during any hourly period exceeds the amount
of electricity produced by the customer, then the

10200SB0018sam001 - 775 - LRB102 12600 LNS 28802 a
electricity provider shall charge the customer for the
net electricity supplied to and used by the customer
as provided in paragraph (3) of this subsection (n).
(B) If the amount of electricity produced by a
customer during any hourly period exceeds the amount
of electricity used by the customer during that hourly
period, the energy provider shall calculate an energy
credit for the net kilowatt-hours produced in such
period, and shall apply that credit as a monetary
credit to the customer's subsequent bill. The value of
the energy credit shall be calculated using the same
price per kilowatt-hour as the electric service
provider would charge for kilowatt-hour energy sales
during that same hourly period and shall also include
values for capacity and transmission. For customers
with transmission or capacity charges not charged on a
kilowatt-hour basis, the electricity provider shall
prepare a reasonable approximation of the
kilowatt-hour equivalent value and provide that value
as a monetary credit. The electricity provider shall
submit these approximation methodologies to the
Commission for review, modification, and approval.
Notwithstanding anything to the contrary, customers on
payment plans or participating in budget billing
programs shall have credits applied on a monthly
basis.

10200SB0018sam001 - 776 - LRB102 12600 LNS 28802 a
(3) An electricity provider shall provide electric
service to eligible customers who utilize net metering at
non-discriminatory rates that are identical, with respect
to rate structure, retail rate components, and any monthly
charges, to the rates that the customer would be charged
if not a net metering customer. An electricity provider
shall charge the customer for the net electricity supplied
to and used by the customer according to the terms of the
contract or tariff to which the same customer would be
assigned or be eligible for if the customer was not a net
metering customer. An electricity provider shall not
charge net metering customers any fee or charge or require
additional equipment, insurance, or any other requirements
not specifically authorized by interconnection standards
authorized by the Commission, unless the fee, charge, or
other requirement would apply to other similarly situated
customers who are not net metering customers. The charge
or credit that the customer receives for net electricity
shall be at a rate equal to the customer's energy supply
rate. The customer remains responsible for the gross
amount of delivery services charges, supply-related
charges that are kilowatt based, and all taxes and fees
related to such charges. The customer also remains
responsible for all taxes and fees that would otherwise be
applicable to the net amount of electricity used by the
customer. Paragraphs (1) and (2) of this subsection (n)

10200SB0018sam001 - 777 - LRB102 12600 LNS 28802 a
shall not be construed to prevent an arms-length agreement
between an electricity provider and an eligible customer
that sets forth different prices, terms, and conditions
for the provision of net metering service, including, but
not limited to, the provision of the appropriate metering
equipment for non-residential customers. Nothing in this
paragraph (3) shall be interpreted to mandate that a
utility that is only required to provide delivery services
to a given customer must also sell electricity to such
customer.
(o) Within 90 days after the effective date of this
amendatory Act of the 102nd General Assembly, each electric
utility subject to this Section shall file a tariff, which
shall, consistent with the provisions of this Section, propose
the terms and conditions under which a customer may
participate in net metering. The tariff for electric utilities
serving more than 200,000 customers as of January 1, 2021
shall also provide a streamlined and transparent bill
crediting system for net metering to be managed by the
electric utilities. The terms and conditions shall include,
but are not limited to, that an electric utility shall manage
and maintain billing of net metering credits and charges
regardless of if the eligible customer takes net metering
under an electric utility or alternative retail electric
supplier. The electric utility serving more than 200,000
customers as of January 1, 2021 shall process and approve all

10200SB0018sam001 - 778 - LRB102 12600 LNS 28802 a
net metering applications, even if an eligible customer is
served by an alternative retail electric supplier; and the
utility shall forward application approval to the appropriate
alternative retail electric supplier. Eligibility for net
metering shall remain with the owner of the utility billing
address such that, if an eligible renewable electrical
generating facility changes ownership, the net metering
eligibility transfers to the new owner. The electric utility
serving more than 200,000 customers as of January 1, 2021
shall manage net metering billing for eligible customers to
ensure full crediting occurs on electricity bills, including,
but not limited to, ensuring net metering crediting begins
upon commercial operation date, net metering billing transfers
immediately if an eligible customer switches from an electric
utility to alternative retail electric supplier or vice versa,
and net metering billing transfers between ownership of a
valid billing address. All transfers referenced in the
preceding sentence shall include transfer of all banked
credits. All electric utilities serving 200,000 or fewer
customers as of January 1, 2021 shall manage net metering
billing for eligible customers receiving power and energy
service from the electric utility to ensure full crediting
occurs on electricity bills, ensuring net metering crediting
begins upon commercial operation date, net metering billing
transfers immediately if an eligible customer switches from an
electric utility to alternative retail electric supplier or

10200SB0018sam001 - 779 - LRB102 12600 LNS 28802 a
vice versa, and net metering billing transfers between
ownership of a valid billing address. Alternative retail
electric suppliers providing power and energy service to
eligible customers located within the service territory of an
electric utility serving 200,000 or fewer customers as of
January 1, 2021 shall manage net metering billing for eligible
customers to ensure full crediting occurs on electricity
bills, including, but not limited to, ensuring net metering
crediting begins upon commercial operation date, net metering
billing transfers immediately if an eligible customer switches
from an electric utility to alternative retail electric
supplier or vice versa, and net metering billing transfers
between ownership of a valid billing address.
(Source: P.A. 99-906, eff. 6-1-17.)
(220 ILCS 5/16-107.6)
Sec. 16-107.6. Distributed generation rebate.
(a) In this Section:
"Additive services" means the services that distributed
energy resources provide to the energy system and society that
are not (1) already included in the base rebates for
system-wide grid services; or (2) otherwise already
compensated. Additive services may reflect, but shall not be
limited to, any geographic, time-based, performance-based, and
other benefits of distributed energy resources, as well as the
present and future technological capabilities of distributed

10200SB0018sam001 - 780 - LRB102 12600 LNS 28802 a
energy resources and present and future grid needs.
"Distributed energy resource" means a wide range of
technologies that are located on the customer side of the
customer's electric meter, including, but not limited to,
distributed generation, energy storage, electric vehicles, and
demand response technologies.
"Energy storage system" means commercially available
technology that is capable of absorbing energy and storing it
for a period of time for use at a later time, including, but
not limited to, electrochemical, thermal, and
electromechanical technologies, and may be interconnected
behind the customer's meter or interconnected behind its own
meter.
"Smart inverter" means a device that converts direct
current into alternating current and meets the IEEE 1547-2018
equipment standards. Until devices that meet the IEEE
1547-2018 standard are available, devices that meet the UL
1741 SA standard are acceptable. can autonomously contribute
to grid support during excursions from normal operating
voltage and frequency conditions by providing each of the
following: dynamic reactive and real power support, voltage
and frequency ride-through, ramp rate controls, communication
systems with ability to accept external commands, and other
functions from the electric utility.
"Subscriber" has the meaning set forth in Section 1-10 of
the Illinois Power Agency Act.

10200SB0018sam001 - 781 - LRB102 12600 LNS 28802 a
"Subscription" has the meaning set forth in Section 1-10
of the Illinois Power Agency Act.
"System-wide grid services" means the benefits that a
distributed energy resource provides to the distribution grid
for a period of no less than 25 years. System-wide grid
services do not vary by location, time, or the performance
characteristics of the distributed energy resource.
System-wide grid services include, but are not limited to,
avoided or deferred distribution capacity costs, resilience
and reliability benefits, avoided or deferred distribution
operation and maintenance costs, distribution voltage and
power quality benefits, and line loss reductions.
"Threshold date" means December 31, 2024 or the date on
which the utility's tariff or tariffs setting the new
compensation values established under subsection (e) take
effect, whichever is later. the load of an electricity
provider's net metering customers equals 5% of the total peak
demand supplied by that electricity provider during the
previous year, as specified under subsection (j) of Section
16-107.5 of this Act.
(b) An electric utility that serves more than 200,000
customers in the State shall file a petition with the
Commission requesting approval of the utility's tariff to
provide a rebate to the owner or operator of a retail customer
who owns or operates distributed generation, including
third-party owned systems, that meets the following criteria:

10200SB0018sam001 - 782 - LRB102 12600 LNS 28802 a
(1) has a nameplate generating capacity no greater
than 5,000 2,000 kilowatts and is primarily used to offset
a that customer's electricity load;
(2) is located on the customer's side of the billing
meter and premises, for the customer's own use, and not
for commercial use or sales, including, but not limited
to, wholesale sales of electric power and energy;
(3) is located in the electric utility's service
territory; and
(3) (4) is interconnected to electric distribution
facilities owned by the electric utility under rules
adopted by the Commission by means of the inverter or
smart inverter required by this Section, as applicable.
For purposes of this Section, "distributed generation"
shall satisfy the definition of distributed renewable energy
generation device set forth in Section 1-10 of the Illinois
Power Agency Act to the extent such definition is consistent
with the requirements of this Section.
In addition, any new photovoltaic distributed generation
that is installed after June 1, 2017 (the effective date of
Public Act 99-906) this amendatory Act of the 99th General
Assembly must be installed by a qualified person, as defined
by subsection (i) of Section 1-56 of the Illinois Power Agency
Act.
The tariff shall include a base rebate that compensates
distributed generation for the system-wide grid services

10200SB0018sam001 - 783 - LRB102 12600 LNS 28802 a
associated with distributed generation and, after the
proceeding described in subsection (e) of this Section, an
additional payment or payments for the additive services. The
tariff shall provide that the smart inverter associated with
the distributed generation shall provide autonomous response
to grid conditions through its default settings as approved by
the Commission. Default settings may not be changed after the
execution of the interconnection agreement except by mutual
agreement between the utility and the owner or operator of the
distributed generation. provide that the utility shall be
permitted to operate and control the smart inverter associated
with the distributed generation that is the subject of the
rebate for the purpose of preserving reliability during
distribution system reliability events and shall address the
terms and conditions of the operation and the compensation
associated with the operation. Nothing in this Section shall
negate or supersede Institute of Electrical and Electronics
Engineers equipment interconnection requirements or standards
or other similar standards or requirements. The tariff shall
not limit the ability of the smart inverter or other
distributed energy resource to provide wholesale market
products such as regulation, demand response, or other
services, or limit the ability of the owner of the smart
inverter or the other distributed energy resource to receive
compensation for providing those wholesale market products or
services. The tariff shall also provide for additional uses of

10200SB0018sam001 - 784 - LRB102 12600 LNS 28802 a
the smart inverter that shall be separately compensated and
which may include, but are not limited to, voltage and VAR
support, regulation, and other grid services. As part of the
proceeding described in subsection (e) of this Section, the
Commission shall review and determine whether smart inverters
can provide any additional uses or services. If the Commission
determines that an additional use or service would be
beneficial, the Commission shall determine the terms and
conditions of the operation and how the use or service should
be separately compensated.
(b-5) Within 30 days after the effective date of this
amendatory Act of the 102nd General Assembly, each electric
public utility with 3,000,000 or more retail customers shall
file a tariff with the Commission that further compensates any
retail customer that installs or has installed photovoltaic
facilities paired with energy storage facilities on or
adjacent to its premises for the benefits the facilities
provide to the distribution grid. The tariff shall provide
that, in addition to the other rebates identified in this
Section, the electric utility shall rebate to such retail
customer (i) the previously incurred and future costs of
installing interconnection facilities and related
infrastructure to enable full participation in the PJM
Interconnection, LLC or its successor organization frequency
regulation market; and (ii) all wholesale demand charges
incurred after the effective date of this amendatory Act of

10200SB0018sam001 - 785 - LRB102 12600 LNS 28802 a
the 102nd General Assembly. The Commission shall approve, or
approve with modification, the tariff within 120 days after
the utility's filing.
(c) The proposed tariff authorized by subsection (b) of
this Section shall include the following participation terms
for and formulae to calculate the value of the rebates to be
applied under this Section for distributed generation that
satisfies the criteria set forth in subsection (b) of this
Section:
(1) The owner or operator of distributed generation
that services (1) Until the utility files its tariff or
tariffs to place into effect the rebate values established
by the Commission under subsection (e) of this Section,
non-residential customers not eligible for net metering
under subsection (d), (d-5), or (e) of Section 16-107.5 of
this Act that are taking service under a net metering
program offered by an electricity provider under the terms
of Section 16-107.5 of this Act may apply for a rebate as
provided for in this Section. Until the threshold date,
the The value of the rebate shall be $250 per kilowatt of
nameplate generating capacity, measured as nominal DC
power output, of that a non-residential customer's
distributed generation. To the extent the distributed
generation also has an associated energy storage, then the
energy storage system shall be separately compensated with
a base rebate of $250 per kilowatt-hour of nameplate

10200SB0018sam001 - 786 - LRB102 12600 LNS 28802 a
capacity. Any distributed generation device that is
compensated for storage in this subsection (1) before the
threshold date shall participate in one or more programs
determined through the Multi-Year Integrated Grid Planning
process that are designed to meet peak reduction and
flexibility. After the threshold date, the value of the
base rebate and additional compensation for any additive
services shall be as determined by the Commission in the
proceeding described in subsection (e) of this Section,
provided that the value of the base rebate for system-wide
grid services shall not be lower than $250 per kilowatt of
nameplate generating capacity of distributed generation or
community renewable generation project.
(2) The owner or operator of distributed generation
that, before the threshold date, would have been eligible
for net metering under subsection (d), (d-5), or (e) of
Section 16-107.5 of this Act and that has not previously
received a distributed generation rebate, may apply for a
rebate as provided for in this Section. Until the
threshold date, the value of the base rebate shall be $300
per kilowatt of nameplate generating capacity, measured as
nominal DC power output, of the distributed generation.
The owner or operator of distributed generation that,
before the threshold date, is eligible for net metering
under subsection (d), (d-5), or (e) of Section 16-107.5 of
this Act may apply for a base rebate for an energy storage

10200SB0018sam001 - 787 - LRB102 12600 LNS 28802 a
device that uses the same smart inverter as the
distributed generation, regardless of whether the
distributed generation applies for a rebate for the
distributed generation device. The energy storage system
shall be separately compensated at a base payment of $300
per kilowatt-hour of nameplate capacity. Any distributed
generation device that is compensated for storage in this
subsection (2) before the threshold date shall participate
in a peak time rebate program, hourly pricing program, or
time-of-use rate program offered by the applicable
electric utility. After the threshold date, the value of
the base rebate and additional compensation for any
additive services shall be as determined by the Commission
in the proceeding described in subsection (e) of this
Section, provided that, prior to December 31, 2029, the
value of the base rebate for system-wide services shall
not be lower than $300 per kilowatt of nameplate
generating capacity of distributed generation, after which
it shall not be lower than $250 per kilowatt of nameplate
capacity.
(2) After the utility's tariff or tariffs setting the
new rebate values established under subsection (d) of this
Section take effect, retail customers may, as applicable,
make the following elections:
(A) Residential customers that are taking service
under a net metering program offered by an electricity

10200SB0018sam001 - 788 - LRB102 12600 LNS 28802 a
provider under the terms of Section 16-107.5 of this
Act on the threshold date may elect to either continue
to take such service under the terms of such program as
in effect on such threshold date for the useful life of
the customer's eligible renewable electric generating
facility as defined in such Section, or file an
application to receive a rebate under the terms of
this Section, provided that such application must be
submitted within 6 months after the effective date of
the tariff approved under subsection (d) of this
Section. The value of the rebate shall be the amount
established by the Commission and reflected in the
utility's tariff pursuant to subsection (e) of this
Section.
(B) Non-residential customers that are taking
service under a net metering program offered by an
electricity provider under the terms of Section
16-107.5 of this Act on the threshold date may apply
for a rebate as provided for in this Section. The value
of the rebate shall be the amount established by the
Commission and reflected in the utility's tariff
pursuant to subsection (e) of this Section.
(3) Upon approval of a rebate application submitted
under this subsection (c), the retail customer shall no
longer be entitled to receive any delivery service credits
for the excess electricity generated by its facility and

10200SB0018sam001 - 789 - LRB102 12600 LNS 28802 a
shall be subject to the provisions of subsection (n) of
Section 16-107.5 of this Act.
(4) To be eligible for a rebate described in this
subsection (c), the owner or operator of the distributed
generation customers who begin taking service after the
effective date of this amendatory Act of the 99th General
Assembly under a net metering program offered by an
electricity provider under the terms of Section 16-107.5
of this Act must have a smart inverter installed and in
operation on the associated with the customer's
distributed generation.
(d) The Commission shall review the proposed tariff
authorized by subsection submitted under subsections (b) and
(c) of this Section and may make changes to the tariff that are
consistent with this Section and with the Commission's
authority under Article IX of this Act, subject to notice and
hearing. Following notice and hearing, the Commission shall
issue an order approving, or approving with modification, such
tariff no later than 240 days after the utility files its
tariff. Upon the effective date of this amendatory Act of the
102nd General Assembly, an electric utility shall file a
petition with the Commission to amend and update any existing
tariffs to comply with subsections (b) and (c).
(e) By no later than June 30, 2023, When the total
generating capacity of the electricity provider's net metering
customers is equal to 3%, the Commission shall open an

10200SB0018sam001 - 790 - LRB102 12600 LNS 28802 a
independent, statewide investigation into the value of, and
compensation for, distributed energy resources. The Commission
shall conduct the investigation, but may arrange for experts
or consultants independent of the utilities and selected by
the Commission to assist with the investigation. The cost of
the investigation shall be shared by the utilities filing
tariffs under subsection (b) of this Section but may be
recovered as an expense through normal ratemaking procedures.
an annual process and formula for calculating the value of
rebates for the retail customers described in subsections (b)
and (f) of this Section that submit rebate applications after
the threshold date for an electric utility that elected to
file a tariff pursuant to this Section.
(1) The Commission shall ensure that the investigation
includes, at minimum, diverse sets of stakeholders; a
review of best practices in calculating the value of
distributed energy resource benefits; a review of the full
value of the distributed energy resources and the manner
in which each component of that value is or is not
otherwise compensated; and assessments of how the value of
distributed energy resources may evolve based on the
present and future technological capabilities of
distributed energy resources and based on present and
future grid needs.
(2) The Commission's final order concluding this
investigation shall establish an annual process and

10200SB0018sam001 - 791 - LRB102 12600 LNS 28802 a
formula for the compensation of distributed generation and
energy storage systems, and an initial set of inputs for
that formula. The Commission's final order concluding this
investigation shall establish base rebates that compensate
distributed generation, community renewable generation
projects and energy storage systems for the system-wide
grid services that they provide. Those base rebate values
shall be consistent across the state, and shall not vary
by customer, customer class, customer location, or any
other variable. With respect to rebates for distributed
generation or community renewable generation projects,
that rebate shall not be lower than $250 per kilowatt of
nameplate generating capacity of the distributed
generation or community renewable generation project. The
Commission's final order concluding this proceeding shall
also direct the utilities to update the formula, on an
annual basis, with inputs derived from their integrated
grid plans developed pursuant to Section 16-105.17. The
base rebate shall be updated annually based on the annual
updates to the formula inputs, but, with respect to
rebates for distributed generation or community renewable
generation projects, shall be no lower than $250 per
kilowatt of nameplate generating capacity of the
distributed generation or community renewable generation
project.
(3) The Commission shall also determine, as a part of

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its investigation under this subsection, whether
distributed energy resources can provide any additive
services. Those additive services may include services
that are provided through utility-controlled responses to
grid conditions. If the Commission determines that
distributed energy resources can provide additive grid
services, the Commission shall determine the terms and
conditions for the operation and compensation of those
services. That compensation shall be above and beyond the
base rebate that the distributed energy generation,
community renewable generation project and energy storage
system receives. Compensation for additive services may
vary by location, time, performance characteristics,
technology types, or other variables.
(4) The Commission shall ensure that compensation for
distributed energy resources, including base rebates and
any payments for additive services, shall reflect all
reasonably known and measurable values of the distributed
generation over its full expected useful life.
Compensation for additive services shall reflect, but
shall not be limited to, any geographic, time-based,
performance-based, and other benefits of distributed
generation, as well as the present and future
technological capabilities of distributed energy resources
and present and future grid needs.
(5) The Commission shall consider the electric

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utility's integrated grid plan developed pursuant to
Section 16-105.17 of this Act to help identify the value
of distributed energy resources for the purpose of
calculating the compensation described in this subsection.
(6) The Commission shall determine additional
compensation for distributed energy resources that creates
savings and value on the distribution system by being
co-located or in close proximity to electric vehicle
charging infrastructure in use by medium-duty and
heavy-duty vehicles, primarily serving environmental
justice communities, as outlined in the utility integrated
grid planning process under Section 16-105.17 of this Act.
No later than 60 days after the Commission enters its
final order under this subsection (e), each utility shall file
its updated tariff or tariffs in compliance with the order,
including new tariffs for the recovery of costs incurred under
this subsection (e) that shall provide for volumetric-based
cost recovery, and the Commission shall approve, or approve
with modification, the tariff or tariffs within 240 days after
the utility's filing.
The investigation shall include diverse sets of
stakeholders, calculations for valuing distributed energy
resource benefits to the grid based on best practices, and
assessments of present and future technological capabilities
of distributed energy resources. The value of such rebates
shall reflect the value of the distributed generation to the

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distribution system at the location at which it is
interconnected, taking into account the geographic,
time-based, and performance-based benefits, as well as
technological capabilities and present and future grid needs.
No later than 10 days after the Commission enters its final
order under this subsection (e), the utility shall file its
tariff or tariffs in compliance with the order, and the
Commission shall approve, or approve with modification, the
tariff or tariffs within 45 days after the utility's filing.
For those rebate applications filed after the threshold date
but before the utility's tariff or tariffs filed pursuant to
this subsection (e) take effect, the value of the rebate shall
remain at the value established in subsection (c) of this
Section until the tariff is approved.
(f) Notwithstanding any provision of this Act to the
contrary, the owner or operator , developer, or subscriber of
a community renewable generation project as defined in Section
1-10 of the Illinois Power Agency Act facility that is part of
a net metering program provided under subsection (l) of
Section 16-107.5 shall also be eligible to apply for the
rebate described in this Section. The owner or operator of the
community renewable A subscriber to the generation project
facility may apply for a rebate in the amount of the
subscriber's subscription only if the owner or operator, or
previous owner or operator, of the community renewable
generation project , developer, or previous subscriber to the

10200SB0018sam001 - 795 - LRB102 12600 LNS 28802 a
same panel or panels has not already submitted an application,
and, regardless of whether the subscriber is a residential or
non-residential customer, may be allowed the amount identified
in paragraph (1) of subsection (c) or in subsection (e) of this
Section applicable to such customer on the date that the
application is submitted. An application for a rebate for a
portion of a project described in this subsection (f) may be
submitted at or after the time that a related request for net
metering is made.
(g) The owner of the distributed generation or community
renewable generation project may apply for the rebate or
rebates approved under this Section at the time of execution
of an interconnection agreement with the distribution utility
and shall receive the value available at that time of
execution of the interconnection agreement, provided the
project reaches mechanical completion within 24 months after
execution of the interconnection agreement. If the project has
not reached mechanical completion within 24 months after
execution, the owner may reapply for the rebate or rebates
approved under this Section available at the time of
application and shall receive the value available at the time
of application. The utility shall issue the rebate no No later
than 60 days after the project is energized. utility receives
an application for a rebate under its tariff approved under
subsection (d) or (e) of this Section, the utility shall issue
a rebate to the applicant under the terms of the tariff. In the

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event the application is incomplete or the utility is
otherwise unable to calculate the payment based on the
information provided by the owner, the utility shall issue the
payment no later than 60 days after the application is
complete or all requested information is received.
(h) An electric utility shall recover from its retail
customers all of the costs of the rebates made under a tariff
or tariffs approved under subsection (d) of placed into effect
under this Section, including, but not limited to, the value
of the rebates and all costs incurred by the utility to comply
with and implement subsections (b) and (c) of this Section,
but not including costs incurred by the utility to comply with
and implement subsection (e) of this Section, consistent with
the following provisions:
(1) The utility shall defer the full amount of its
costs incurred under this Section as a regulatory asset.
The total costs deferred as a regulatory asset shall be
amortized over a 15-year period. The unamortized balance
shall be recognized as of December 31 for a given year. The
utility shall also earn a return on the total of the
unamortized balance of the regulatory assets, less any
deferred taxes related to the unamortized balance, at an
annual rate equal to the utility's weighted average cost
of capital that includes, based on a year-end capital
structure, the utility's actual cost of debt for the
applicable calendar year and a cost of equity, which shall

10200SB0018sam001 - 797 - LRB102 12600 LNS 28802 a
be calculated as the sum of (i) the average for the
applicable calendar year of the monthly average yields of
30-year U.S. Treasury bonds published by the Board of
Governors of the Federal Reserve System in its weekly H.15
Statistical Release or successor publication; and (ii) 580
basis points, including a revenue conversion factor
calculated to recover or refund all additional income
taxes that may be payable or receivable as a result of that
return.
When an electric utility creates a regulatory asset
under the provisions of this paragraph (1) of subsection
(h) Section, the costs are recovered over a period during
which customers also receive a benefit, which is in the
public interest. Accordingly, it is the intent of the
General Assembly that an electric utility that elects to
create a regulatory asset under the provisions of this
paragraph (1) Section shall recover all of the associated
costs, including, but not limited to, its cost of capital
as set forth in this paragraph (1) Section. After the
Commission has approved the prudence and reasonableness of
the costs that comprise the regulatory asset, the electric
utility shall be permitted to recover all such costs, and
the value and recoverability through rates of the
associated regulatory asset shall not be limited, altered,
impaired, or reduced. To enable the financing of the
incremental capital expenditures, including regulatory

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

10200SB0018sam001 - 799 - LRB102 12600 LNS 28802 a
recover or refund all additional income taxes that may be
payable or receivable as a result of that return, of the
revenue requirement reflected in rates for each calendar
year, beginning with the calendar year in which the
utility files its automatic adjustment clause tariff under
this subsection (h), with what the revenue requirement
would have been had the actual cost information for the
applicable calendar year been available at the filing
date. The Commission shall review the proposed tariff and
may make changes to the tariff that are consistent with
this Section and with the Commission's authority under
Article IX of this Act, subject to notice and hearing.
Following notice and hearing, the Commission shall issue
an order approving, or approving with modification, such
tariff no later than 240 days after the utility files its
tariff.
(i) An electric utility shall recover from its retail
customers, on a volumetric basis, all of the costs of the
rebates made under a tariff or tariffs placed into effect
under subsection (e) of this Section, including, but not
limited to, the value of the rebates and all costs incurred by
the utility to comply with and implement subsection (e) of
this Section, consistent with the following provisions:
(1) The utility may defer a portion of its costs as a
regulatory asset. The Commission shall determine the
portion that may be appropriately deferred as a regulatory

10200SB0018sam001 - 800 - LRB102 12600 LNS 28802 a
asset. Factors that the Commission shall consider in
determining the portion of costs that shall be deferred as
a regulatory asset include, but are not limited to: (i)
whether and the extent to which a cost effectively
deferred or avoided other distribution system operating
costs or capital expenditures; (ii) the extent to which a
cost provides environmental benefits; (iii) the extent to
which a cost improves system reliability or resilience;
(iv) the electric utility's distribution system plan
developed pursuant to Section 16-105.17 of this Act; (v)
the extent to which a cost advances equity principles; and
(vi) such other factors as the Commission deems
appropriate. The remainder of costs shall be deemed an
operating expense and shall be recoverable if found
prudent and reasonable by the Commission.
The total costs deferred as a regulatory asset shall be
amortized over a 15-year period. The unamortized balance shall
be recognized as of December 31 for a given year. The utility
shall also earn a return on the total of the unamortized
balance of the regulatory assets, less any deferred taxes
related to the unamortized balance, at an annual rate equal to
the utility's weighted average cost of capital that includes,
based on a year-end capital structure, the utility's actual
cost of debt for the applicable calendar year and a cost of
equity, which shall be calculated as the sum of: (I) the
average for the applicable calendar year of the monthly

10200SB0018sam001 - 801 - LRB102 12600 LNS 28802 a
average yields of 30-year U.S. Treasury bonds published by the
Board of Governors of the Federal Reserve System in its weekly
H.15 Statistical Release or successor publication; and (II)
580 basis points, including a revenue conversion factor
calculated to recover or refund all additional income taxes
that may be payable or receivable as a result of that return.
The total costs deferred as a regulatory asset shall be
amortized over a 15-year period. The unamortized balance shall
be recognized as of December 31 for a given year. The utility
shall also earn a return on the total of the unamortized
balance of the regulatory assets, less any deferred taxes
related to the unamortized balance, at an annual rate equal to
the utility's weighted average cost of capital that includes,
based on a year-end capital structure, the utility's actual
cost of debt for the applicable calendar year and a cost of
equity, which shall be calculated as the sum of: (I) the
average for the applicable calendar year of the monthly
average yields of 30-year U.S. Treasury bonds published by the
Board of Governors of the Federal Reserve System in its weekly
H.15 Statistical Release or successor publication; and (II)
580 basis points, including a revenue conversion factor
calculated to recover or refund all additional income taxes
that may be payable or receivable as a result of that return.
(2) The utility may recover all of the costs through
an automatic adjustment clause tariff, on a volumetric
basis. The utility may file its proposed cost-recovery

10200SB0018sam001 - 802 - LRB102 12600 LNS 28802 a
tariff together with the tariff it files under subsection
(e) of this Section or at a later time. The proposed tariff
shall provide for an annual reconciliation, less any
deferred taxes related to the reconciliation, with
interest at an annual rate of return equal to the
utility's weighted average cost of capital as calculated
under paragraph (1) of this subsection (i), including a
revenue conversion factor calculated to recover or refund
all additional income taxes that may be payable or
receivable as a result of that return, of the revenue
requirement reflected in rates for each calendar year,
beginning with the calendar year in which the utility
files its automatic adjustment clause tariff under this
subsection (i), with what the revenue requirement would
have been had the actual cost information for the
applicable calendar year been available at the filing
date. The Commission shall review the proposed tariff and
may make changes to the tariff that are consistent with
this Section and with the Commission's authority under
Article IX of this Act, subject to notice and hearing.
Following notice and hearing, the Commission shall issue
an order approving, or approving with modification, such
tariff no later than 240 days after the utility files its
tariff.
(j) (i) No later than 90 days after the Commission enters
an order, or order on rehearing, whichever is later, approving

10200SB0018sam001 - 803 - LRB102 12600 LNS 28802 a
an electric utility's proposed tariff under subsection (d) of
this Section, the electric utility shall provide notice of the
availability of rebates under this Section. Subsequent to the
utility's notice, any entity that offers in the State, for
sale or lease, distributed generation and estimates the dollar
saving attributable to such distributed generation shall
provide estimates based on both delivery service credits and
the rebates available under this Section.
(Source: P.A. 99-906, eff. 6-1-17.)
(220 ILCS 5/16-108)
Sec. 16-108. Recovery of costs associated with the
provision of delivery and other services.
(a) An electric utility shall file a delivery services
tariff with the Commission at least 210 days prior to the date
that it is required to begin offering such services pursuant
to this Act. An electric utility shall provide the components
of delivery services that are subject to the jurisdiction of
the Federal Energy Regulatory Commission at the same prices,
terms and conditions set forth in its applicable tariff as
approved or allowed into effect by that Commission. The
Commission shall otherwise have the authority pursuant to
Article IX to review, approve, and modify the prices, terms
and conditions of those components of delivery services not
subject to the jurisdiction of the Federal Energy Regulatory
Commission, including the authority to determine the extent to

10200SB0018sam001 - 804 - LRB102 12600 LNS 28802 a
which such delivery services should be offered on an unbundled
basis. In making any such determination the Commission shall
consider, at a minimum, the effect of additional unbundling on
(i) the objective of just and reasonable rates, (ii) electric
utility employees, and (iii) the development of competitive
markets for electric energy services in Illinois.
(b) The Commission shall enter an order approving, or
approving as modified, the delivery services tariff no later
than 30 days prior to the date on which the electric utility
must commence offering such services. The Commission may
subsequently modify such tariff pursuant to this Act.
(c) The electric utility's tariffs shall define the
classes of its customers for purposes of delivery services
charges. Delivery services shall be priced and made available
to all retail customers electing delivery services in each
such class on a nondiscriminatory basis regardless of whether
the retail customer chooses the electric utility, an affiliate
of the electric utility, or another entity as its supplier of
electric power and energy. Charges for delivery services shall
be cost based, and shall allow the electric utility to recover
the costs of providing delivery services through its charges
to its delivery service customers that use the facilities and
services associated with such costs. Such costs shall include
the costs of owning, operating and maintaining transmission
and distribution facilities. The Commission shall also be
authorized to consider whether, and if so to what extent, the

10200SB0018sam001 - 805 - LRB102 12600 LNS 28802 a
following costs are appropriately included in the electric
utility's delivery services rates: (i) the costs of that
portion of generation facilities used for the production and
absorption of reactive power in order that retail customers
located in the electric utility's service area can receive
electric power and energy from suppliers other than the
electric utility, and (ii) the costs associated with the use
and redispatch of generation facilities to mitigate
constraints on the transmission or distribution system in
order that retail customers located in the electric utility's
service area can receive electric power and energy from
suppliers other than the electric utility. Nothing in this
subsection shall be construed as directing the Commission to
allocate any of the costs described in (i) or (ii) that are
found to be appropriately included in the electric utility's
delivery services rates to any particular customer group or
geographic area in setting delivery services rates.
(d) The Commission shall establish charges, terms and
conditions for delivery services that are just and reasonable
and shall take into account customer impacts when establishing
such charges. In establishing charges, terms and conditions
for delivery services, the Commission shall take into account
voltage level differences. A retail customer shall have the
option to request to purchase electric service at any delivery
service voltage reasonably and technically feasible from the
electric facilities serving that customer's premises provided

10200SB0018sam001 - 806 - LRB102 12600 LNS 28802 a
that there are no significant adverse impacts upon system
reliability or system efficiency. A retail customer shall also
have the option to request to purchase electric service at any
point of delivery that is reasonably and technically feasible
provided that there are no significant adverse impacts on
system reliability or efficiency. Such requests shall not be
unreasonably denied.
(e) Electric utilities shall recover the costs of
installing, operating or maintaining facilities for the
particular benefit of one or more delivery services customers,
including without limitation any costs incurred in complying
with a customer's request to be served at a different voltage
level, directly from the retail customer or customers for
whose benefit the costs were incurred, to the extent such
costs are not recovered through the charges referred to in
subsections (c) and (d) of this Section.
(f) An electric utility shall be entitled but not required
to implement transition charges in conjunction with the
offering of delivery services pursuant to Section 16-104. If
an electric utility implements transition charges, it shall
implement such charges for all delivery services customers and
for all customers described in subsection (h), but shall not
implement transition charges for power and energy that a
retail customer takes from cogeneration or self-generation
facilities located on that retail customer's premises, if such
facilities meet the following criteria:

10200SB0018sam001 - 807 - LRB102 12600 LNS 28802 a
(i) the cogeneration or self-generation facilities
serve a single retail customer and are located on that
retail customer's premises (for purposes of this
subparagraph and subparagraph (ii), an industrial or
manufacturing retail customer and a third party contractor
that is served by such industrial or manufacturing
customer through such retail customer's own electrical
distribution facilities under the circumstances described
in subsection (vi) of the definition of "alternative
retail electric supplier" set forth in Section 16-102,
shall be considered a single retail customer);
(ii) the cogeneration or self-generation facilities
either (A) are sized pursuant to generally accepted
engineering standards for the retail customer's electrical
load at that premises (taking into account standby or
other reliability considerations related to that retail
customer's operations at that site) or (B) if the facility
is a cogeneration facility located on the retail
customer's premises, the retail customer is the thermal
host for that facility and the facility has been designed
to meet that retail customer's thermal energy requirements
resulting in electrical output beyond that retail
customer's electrical demand at that premises, comply with
the operating and efficiency standards applicable to
"qualifying facilities" specified in title 18 Code of
Federal Regulations Section 292.205 as in effect on the

10200SB0018sam001 - 808 - LRB102 12600 LNS 28802 a
effective date of this amendatory Act of 1999;
(iii) the retail customer on whose premises the
facilities are located either has an exclusive right to
receive, and corresponding obligation to pay for, all of
the electrical capacity of the facility, or in the case of
a cogeneration facility that has been designed to meet the
retail customer's thermal energy requirements at that
premises, an identified amount of the electrical capacity
of the facility, over a minimum 5-year period; and
(iv) if the cogeneration facility is sized for the
retail customer's thermal load at that premises but
exceeds the electrical load, any sales of excess power or
energy are made only at wholesale, are subject to the
jurisdiction of the Federal Energy Regulatory Commission,
and are not for the purpose of circumventing the
provisions of this subsection (f).
If a generation facility located at a retail customer's
premises does not meet the above criteria, an electric utility
implementing transition charges shall implement a transition
charge until December 31, 2006 for any power and energy taken
by such retail customer from such facility as if such power and
energy had been delivered by the electric utility. Provided,
however, that an industrial retail customer that is taking
power from a generation facility that does not meet the above
criteria but that is located on such customer's premises will
not be subject to a transition charge for the power and energy

10200SB0018sam001 - 809 - LRB102 12600 LNS 28802 a
taken by such retail customer from such generation facility if
the facility does not serve any other retail customer and
either was installed on behalf of the customer and for its own
use prior to January 1, 1997, or is both predominantly fueled
by byproducts of such customer's manufacturing process at such
premises and sells or offers an average of 300 megawatts or
more of electricity produced from such generation facility
into the wholesale market. Such charges shall be calculated as
provided in Section 16-102, and shall be collected on each
kilowatt-hour delivered under a delivery services tariff to a
retail customer from the date the customer first takes
delivery services until December 31, 2006 except as provided
in subsection (h) of this Section. Provided, however, that an
electric utility, other than an electric utility providing
service to at least 1,000,000 customers in this State on
January 1, 1999, shall be entitled to petition for entry of an
order by the Commission authorizing the electric utility to
implement transition charges for an additional period ending
no later than December 31, 2008. The electric utility shall
file its petition with supporting evidence no earlier than 16
months, and no later than 12 months, prior to December 31,
2006. The Commission shall hold a hearing on the electric
utility's petition and shall enter its order no later than 8
months after the petition is filed. The Commission shall
determine whether and to what extent the electric utility
shall be authorized to implement transition charges for an

10200SB0018sam001 - 810 - LRB102 12600 LNS 28802 a
additional period. The Commission may authorize the electric
utility to implement transition charges for some or all of the
additional period, and shall determine the mitigation factors
to be used in implementing such transition charges; provided,
that the Commission shall not authorize mitigation factors
less than 110% of those in effect during the 12 months ended
December 31, 2006. In making its determination, the Commission
shall consider the following factors: the necessity to
implement transition charges for an additional period in order
to maintain the financial integrity of the electric utility;
the prudence of the electric utility's actions in reducing its
costs since the effective date of this amendatory Act of 1997;
the ability of the electric utility to provide safe, adequate
and reliable service to retail customers in its service area;
and the impact on competition of allowing the electric utility
to implement transition charges for the additional period.
(g) The electric utility shall file tariffs that establish
the transition charges to be paid by each class of customers to
the electric utility in conjunction with the provision of
delivery services. The electric utility's tariffs shall define
the classes of its customers for purposes of calculating
transition charges. The electric utility's tariffs shall
provide for the calculation of transition charges on a
customer-specific basis for any retail customer whose average
monthly maximum electrical demand on the electric utility's
system during the 6 months with the customer's highest monthly

10200SB0018sam001 - 811 - LRB102 12600 LNS 28802 a
maximum electrical demands equals or exceeds 3.0 megawatts for
electric utilities having more than 1,000,000 customers, and
for other electric utilities for any customer that has an
average monthly maximum electrical demand on the electric
utility's system of one megawatt or more, and (A) for which
there exists data on the customer's usage during the 3 years
preceding the date that the customer became eligible to take
delivery services, or (B) for which there does not exist data
on the customer's usage during the 3 years preceding the date
that the customer became eligible to take delivery services,
if in the electric utility's reasonable judgment there exists
comparable usage information or a sufficient basis to develop
such information, and further provided that the electric
utility can require customers for which an individual
calculation is made to sign contracts that set forth the
transition charges to be paid by the customer to the electric
utility pursuant to the tariff.
(h) An electric utility shall also be entitled to file
tariffs that allow it to collect transition charges from
retail customers in the electric utility's service area that
do not take delivery services but that take electric power or
energy from an alternative retail electric supplier or from an
electric utility other than the electric utility in whose
service area the customer is located. Such charges shall be
calculated, in accordance with the definition of transition
charges in Section 16-102, for the period of time that the

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

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

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Department of Commerce and Economic Opportunity, or any
successor department or agency, which for purposes of this
subsection (i-5) shall be referred to as the Department, to
make grant payments during such delivery year from the Coal to
Solar and Energy Storage Initiative Fund pursuant to grant
contracts entered into pursuant to subsection (c-5) of Section
1-75 of the Illinois Power Agency Act, and using the electric
utility's kilowatthour deliveries to its delivery services
customers during the delivery year ended May 31 of the
preceding calendar year. On or before November 1 of each year
beginning November 1, 2022, the Department shall notify the
electric utilities of the amount of the Department's estimated
obligations for grant payments during the delivery year
beginning the following June 1 pursuant to grant contracts
entered into pursuant to subsection (c-5) of Section 1-75 of
the Illinois Power Agency Act; and each electric utility shall
incorporate in the calculation of its Coal to Solar and Energy
Storage Initiative Charge the fractional portion of the
Department's estimated obligations equal to the electric
utility's kilowatthour deliveries to its delivery services
customers in the delivery year ended the preceding May 31 to
the aggregate deliveries of both electric utilities to
delivery services customers in such delivery year. The
electric utility shall remit on a monthly basis to the State
Treasurer, for deposit in the Coal to Solar and Energy Storage
Initiative Fund provided for in subsection (c-5) of Section

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

10200SB0018sam001 - 816 - LRB102 12600 LNS 28802 a
payments shall be deducted from or added to, on a
per-kilowatthour basis, the Coal to Solar and Energy Storage
Initiative Charge, over the 6-month period beginning October 1
of that calendar year.
(j) If a retail customer that obtains electric power and
energy from cogeneration or self-generation facilities
installed for its own use on or before January 1, 1997,
subsequently takes service from an alternative retail electric
supplier or an electric utility other than the electric
utility in whose service area the customer is located for any
portion of the customer's electric power and energy
requirements formerly obtained from those facilities
(including that amount purchased from the utility in lieu of
such generation and not as standby power purchases, under a
cogeneration displacement tariff in effect as of the effective
date of this amendatory Act of 1997), the transition charges
otherwise applicable pursuant to subsections (f), (g), or (h)
of this Section shall not be applicable in any year to that
portion of the customer's electric power and energy
requirements formerly obtained from those facilities,
provided, that for purposes of this subsection (j), such
portion shall not exceed the average number of kilowatt-hours
per year obtained from the cogeneration or self-generation
facilities during the 3 years prior to the date on which the
customer became eligible for delivery services, except as
provided in subsection (f) of Section 16-110.

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(k) The electric utility shall be entitled to recover
through tariffed charges all of the costs associated with the
purchase of zero emission credits from zero emission
facilities to meet the requirements of subsection (d-5) of
Section 1-75 of the Illinois Power Agency Act and all of the
costs associated with the purchase of carbon mitigation
credits from carbon-free energy resources to meet the
requirements of subsection (d-10) of Section 1-75 of the
Illinois Power Agency Act. Such costs shall include the costs
of procuring the zero emission credits and carbon mitigation
credits from carbon-free energy resources, as well as the
reasonable costs that the utility incurs as part of the
procurement processes and to implement and comply with plans
and processes approved by the Commission under subsections
such subsection (d-5) and (d-10). The costs shall be allocated
across all retail customers through a single, uniform cents
per kilowatt-hour charge applicable to all retail customers,
which shall appear as a separate line item on each customer's
bill. Beginning June 1, 2017, the electric utility shall be
entitled to recover through tariffed charges all of the costs
associated with the purchase of renewable energy resources to
meet the renewable energy resource standards of subsection (c)
of Section 1-75 of the Illinois Power Agency Act, under
procurement plans as approved in accordance with that Section
and Section 16-111.5 of this Act. Such costs shall include the
costs of procuring the renewable energy resources, as well as

10200SB0018sam001 - 818 - LRB102 12600 LNS 28802 a
the reasonable costs that the utility incurs as part of the
procurement processes and to implement and comply with plans
and processes approved by the Commission under such Sections.
The costs associated with the purchase of renewable energy
resources shall be allocated across all retail customers in
proportion to the amount of renewable energy resources the
utility procures for such customers through a single, uniform
cents per kilowatt-hour charge applicable to such retail
customers, which shall appear as a separate line item on each
such customer's bill. The credits, costs, and penalties
associated with the self-direct renewable portfolio standard
compliance program described in subparagraph (R) of paragraph
(1) of subsection (c) of Section 1-75 of the Illinois Power
Agency Act shall be allocated to approved eligible self-direct
customers by the utility in a cents per kilowatt-hour credit,
cost, or penalty, which shall appear as a separate line item on
each such customer's bill.
Notwithstanding whether the Commission has approved the
initial long-term renewable resources procurement plan as of
June 1, 2017, an electric utility shall place new tariffed
charges into effect beginning with the June 2017 monthly
billing period, to the extent practicable, to begin recovering
the costs of procuring renewable energy resources, as those
charges are calculated under the limitations described in
subparagraph (E) of paragraph (1) of subsection (c) of Section
1-75 of the Illinois Power Agency Act. Notwithstanding the

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date on which the utility places such new tariffed charges
into effect, the utility shall be permitted to collect the
charges under such tariff as if the tariff had been in effect
beginning with the first day of the June 2017 monthly billing
period. For the delivery years commencing June 1, 2017, June
1, 2018, and June 1, 2019, and each delivery year thereafter,
the electric utility shall deposit into a separate interest
bearing account of a financial institution the monies
collected under the tariffed charges. Money collected from
customers for the procurement of renewable energy resources in
a given delivery year may be spent by the utility for the
procurement of renewable resources over any of the following 5
delivery years, after which unspent money shall be credited
back to retail customers. The electric utility shall spend all
money collected in earlier delivery years that has not yet
been returned to customers, first, before spending money
collected in later delivery years. Any interest earned shall
be credited back to retail customers under the reconciliation
proceeding provided for in this subsection (k), provided that
the electric utility shall first be reimbursed from the
interest for the administrative costs that it incurs to
administer and manage the account. Any taxes due on the funds
in the account, or interest earned on it, will be paid from the
account or, if insufficient monies are available in the
account, from the monies collected under the tariffed charges
to recover the costs of procuring renewable energy resources.

10200SB0018sam001 - 820 - LRB102 12600 LNS 28802 a
Monies deposited in the account shall be subject to the
review, reconciliation, and true-up process described in this
subsection (k) that is applicable to the funds collected and
costs incurred for the procurement of renewable energy
resources.
The electric utility shall be entitled to recover all of
the costs identified in this subsection (k) through automatic
adjustment clause tariffs applicable to all of the utility's
retail customers that allow the electric utility to adjust its
tariffed charges consistent with this subsection (k). The
determination as to whether any excess funds were collected
during a given delivery year for the purchase of renewable
energy resources, and the crediting of any excess funds back
to retail customers, shall not be made until after the close of
the delivery year, which will ensure that the maximum amount
of funds is available to implement the approved long-term
renewable resources procurement plan during a given delivery
year. The amount of excess funds eligible to be credited back
to retail customers shall be reduced by an amount equal to the
payment obligations required by any contracts entered into by
an electric utility under contracts described in subsection
(b) of Section 1-56 and subsection (c) of Section 1-75 of the
Illinois Power Agency Act, even if such payments have not yet
been made and regardless of the delivery year in which those
payment obligations were incurred. Notwithstanding anything to
the contrary, including in tariffs authorized by this

10200SB0018sam001 - 821 - LRB102 12600 LNS 28802 a
subsection (k) in effect prior to the effective date of this
amendatory Act of the 102nd General Assembly, all unspent
funds as of May 31, 2021 shall remain in the utility account
and shall on a first in, first out basis be used toward utility
payment obligations under contracts described in subsection
(b) of Section 1-56 and subsection (c) of Section 1-75 of the
Illinois Power Agency Act. The electric utility's collections
under such automatic adjustment clause tariffs to recover the
costs of renewable energy resources, and zero emission credits
from zero emission facilities, and carbon mitigation credits
from carbon-free energy resources shall be subject to separate
annual review, reconciliation, and true-up against actual
costs by the Commission under a procedure that shall be
specified in the electric utility's automatic adjustment
clause tariffs and that shall be approved by the Commission in
connection with its approval of such tariffs. The procedure
shall provide that any difference between the electric
utility's collections for zero emission credits and carbon
mitigation credits under the automatic adjustment charges for
an annual period and the electric utility's actual costs of
renewable energy resources and zero emission credits from zero
emission facilities and carbon mitigation credits from
carbon-free energy resources for that same annual period shall
be refunded to or collected from, as applicable, the electric
utility's retail customers in subsequent periods.
Nothing in this subsection (k) is intended to affect,

10200SB0018sam001 - 822 - LRB102 12600 LNS 28802 a
limit, or change the right of the electric utility to recover
the costs associated with the procurement of renewable energy
resources for periods commencing before, on, or after June 1,
2017, as otherwise provided in the Illinois Power Agency Act.
Notwithstanding anything to the contrary, the Commission
shall not conduct an annual review, reconciliation, and
true-up associated with renewable energy resources'
collections and costs for the delivery years commencing June
1, 2017, June 1, 2018, June 1, 2019, and June 1, 2020, and
shall instead conduct a single review, reconciliation, and
true-up associated with renewable energy resources'
collections and costs for the 4-year period beginning June 1,
2017 and ending May 31, 2021, provided that the review,
reconciliation, and true-up shall not be initiated until after
August 31, 2021. During the 4-year period, the utility shall
be permitted to collect and retain funds under this subsection
(k) and to purchase renewable energy resources under an
approved long-term renewable resources procurement plan using
those funds regardless of the delivery year in which the funds
were collected during the 4-year period.
If the amount of funds collected during the delivery year
commencing June 1, 2017, exceeds the costs incurred during
that delivery year, then up to half of this excess amount, as
calculated on June 1, 2018, may be used to fund the programs
under subsection (b) of Section 1-56 of the Illinois Power
Agency Act in the same proportion the programs are funded

10200SB0018sam001 - 823 - LRB102 12600 LNS 28802 a
under that subsection (b). However, any amount identified
under this subsection (k) to fund programs under subsection
(b) of Section 1-56 of the Illinois Power Agency Act shall be
reduced if it exceeds the funding shortfall. For purposes of
this Section, "funding shortfall" means the difference between
$200,000,000 and the amount appropriated by the General
Assembly to the Illinois Power Agency Renewable Energy
Resources Fund during the period that commences on the
effective date of this amendatory act of the 99th General
Assembly and ends on August 1, 2018.
If the amount of funds collected during the delivery year
commencing June 1, 2018, exceeds the costs incurred during
that delivery year, then up to half of this excess amount, as
calculated on June 1, 2019, may be used to fund the programs
under subsection (b) of Section 1-56 of the Illinois Power
Agency Act in the same proportion the programs are funded
under that subsection (b). However, any amount identified
under this subsection (k) to fund programs under subsection
(b) of Section 1-56 of the Illinois Power Agency Act shall be
reduced if it exceeds the funding shortfall.
If the amount of funds collected during the delivery year
commencing June 1, 2019, exceeds the costs incurred during
that delivery year, then up to half of this excess amount, as
calculated on June 1, 2020, may be used to fund the programs
under subsection (b) of Section 1-56 of the Illinois Power
Agency Act in the same proportion the programs are funded

10200SB0018sam001 - 824 - LRB102 12600 LNS 28802 a
under that subsection (b). However, any amount identified
under this subsection (k) to fund programs under subsection
(b) of Section 1-56 of the Illinois Power Agency Act shall be
reduced if it exceeds the funding shortfall.
The funding available under this subsection (k), if any,
for the programs described under subsection (b) of Section
1-56 of the Illinois Power Agency Act shall not reduce the
amount of funding for the programs described in subparagraph
(O) of paragraph (1) of subsection (c) of Section 1-75 of the
Illinois Power Agency Act. If funding is available under this
subsection (k) for programs described under subsection (b) of
Section 1-56 of the Illinois Power Agency Act, then the
long-term renewable resources plan shall provide for the
Agency to procure contracts in an amount that does not exceed
the funding, and the contracts approved by the Commission
shall be executed by the applicable utility or utilities.
(l) A utility that has terminated any contract executed
under subsection (d-5) or (d-10) of Section 1-75 of the
Illinois Power Agency Act shall be entitled to recover any
remaining balance associated with the purchase of zero
emission credits prior to such termination, and such utility
shall also apply a credit to its retail customer bills in the
event of any over-collection.
(m)(1) An electric utility that recovers its costs of
procuring zero emission credits from zero emission facilities
through a cents-per-kilowatthour charge under to subsection

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(k) of this Section shall be subject to the requirements of
this subsection (m). Notwithstanding anything to the contrary,
such electric utility shall, beginning on April 30, 2018, and
each April 30 thereafter until April 30, 2026, calculate
whether any reduction must be applied to such
cents-per-kilowatthour charge that is paid by retail customers
of the electric utility that have opted out of are exempt from
subsections (a) through (j) of Section 8-103B of this Act
under subsection (l) of Section 8-103B. Such charge shall be
reduced for such customers for the next delivery year
commencing on June 1 based on the amount necessary, if any, to
limit the annual estimated average net increase for the prior
calendar year due to the future energy investment costs to no
more than 1.3% of 5.98 cents per kilowatt-hour, which is the
average amount paid per kilowatthour for electric service
during the year ending December 31, 2015 by Illinois
industrial retail customers, as reported to the Edison
Electric Institute.
The calculations required by this subsection (m) shall be
made only once for each year, and no subsequent rate impact
determinations shall be made.
(2) For purposes of this Section, "future energy
investment costs" shall be calculated by subtracting the
cents-per-kilowatthour charge identified in subparagraph (A)
of this paragraph (2) from the sum of the
cents-per-kilowatthour charges identified in subparagraph (B)

10200SB0018sam001 - 826 - LRB102 12600 LNS 28802 a
of this paragraph (2):
(A) The cents-per-kilowatthour charge identified in
the electric utility's tariff placed into effect under
Section 8-103 of the Public Utilities Act that, on
December 1, 2016, was applicable to those retail customers
that have opted out of are exempt from subsections (a)
through (j) of Section 8-103B of this Act under subsection
(l) of Section 8-103B.
(B) The sum of the following cents-per-kilowatthour
charges applicable to those retail customers that have
opted out of are exempt from subsections (a) through (j)
of Section 8-103B of this Act under subsection (l) of
Section 8-103B, provided that if one or more of the
following charges has been in effect and applied to such
customers for more than one calendar year, then each
charge shall be equal to the average of the charges
applied over a period that commences with the calendar
year ending December 31, 2017 and ends with the most
recently completed calendar year prior to the calculation
required by this subsection (m):
(i) the cents-per-kilowatthour charge to recover
the costs incurred by the utility under subsection
(d-5) of Section 1-75 of the Illinois Power Agency
Act, adjusted for any reductions required under this
subsection (m); and
(ii) the cents-per-kilowatthour charge to recover

10200SB0018sam001 - 827 - LRB102 12600 LNS 28802 a
the costs incurred by the utility under Section
16-107.6 of the Public Utilities Act.
If no charge was applied for a given calendar year
under item (i) or (ii) of this subparagraph (B), then the
value of the charge for that year shall be zero.
(3) If a reduction is required by the calculation
performed under this subsection (m), then the amount of the
reduction shall be multiplied by the number of years reflected
in the averages calculated under subparagraph (B) of paragraph
(2) of this subsection (m). Such reduction shall be applied to
the cents-per-kilowatthour charge that is applicable to those
retail customers that have opted out of are exempt from
subsections (a) through (j) of Section 8-103B of this Act
under subsection (l) of Section 8-103B beginning with the next
delivery year commencing after the date of the calculation
required by this subsection (m).
(4) The electric utility shall file a notice with the
Commission on May 1 of 2018 and each May 1 thereafter until May
1, 2026 containing the reduction, if any, which must be
applied for the delivery year which begins in the year of the
filing. The notice shall contain the calculations made
pursuant to this Section. By October 1 of each year beginning
in 2018, each electric utility shall notify the Commission if
it appears, based on an estimate of the calculation required
in this subsection (m), that a reduction will be required in
the next year.

10200SB0018sam001 - 828 - LRB102 12600 LNS 28802 a
(Source: P.A. 99-906, eff. 6-1-17.)
(220 ILCS 5/16-108.18 new)
Sec. 16-108.18. Performance-based ratemaking.
(a) The General Assembly finds:
(1) That improving the alignment of utility customer
and company interests is critical to ensuring equity,
rapid growth of distributed energy resources, electric
vehicles, and other new technologies that substantially
change the makeup of the grid and protect Illinois
residents and businesses from potential economic and
environmental harm from the State's energy systems.
(2) There is urgency around addressing increasing
threats from climate change and assisting communities that
have borne disproportionate impacts from climate change,
including air pollution, greenhouse gas emissions, and
energy burdens. Addressing this problem requires changes
to the business model under which utilities in Illinois
have traditionally functioned.
(3) Providing targeted incentives to support change
through a new performance-based structure to enhance
ratemaking is intended to enable alignment of utility,
customer, community, and environmental goals.
(4) Though Illinois has taken some measures to move
utilities to performance-based ratemaking through the
establishment of performance incentives and a

10200SB0018sam001 - 829 - LRB102 12600 LNS 28802 a
performance-based formula rate under the Energy
Infrastructure Modernization Act, these measures have not
been sufficiently transformative in urgently moving
electric utilities toward the State's ambitious energy
policy goals: protecting a healthy environment and
climate, improving public health, and creating quality
jobs and economic opportunities, including wealth
building, especially in economically disadvantaged
communities and communities of color.
(5) These measures were not developed through a
process to understand first what performance measures and
penalties would help drive the sought-after behavior by
the utilities.
(6) While the General Assembly has not made a finding
that the spending related to the Energy Infrastructure and
Modernization Act and its performance metrics was not
reasonable, it is important to address concerns that these
measures may have resulted in excess utility spending and
guaranteed profits without meaningful improvements in
customer experience, rate affordability, or equity.
(7) Discussions of performance incentive mechanisms
must always take into account the affordability of
customer rates and bills for all customers, including
low-income customers.
(8) The General Assembly therefore directs the
Illinois Commerce Commission to complete a transition that

10200SB0018sam001 - 830 - LRB102 12600 LNS 28802 a
includes a comprehensive performance-based regulation
framework for electric utilities serving more than 500,000
customers. The breadth of this framework should revise
existing utility regulations to position Illinois electric
utilities to effectively and efficiently achieve current
and anticipated future energy needs of this State, while
ensuring affordability for consumers.
(b) As used in this Section:
"Commission" means the Illinois Commerce Commission.
"Demand response" means measures that decrease peak
electricity demand or shift demand from peak to off-peak
periods.
"Distributed energy resources" or "DER" means a wide range
of technologies that are connected to the grid including those
that are located on the customer side of the customer's
electric meter and can provide value to the distribution
system, including, but not limited to, distributed generation,
energy storage, electric vehicles, and demand response
technologies.
"Economically disadvantaged communities" means areas of
one or more census tracts where average household income does
not exceed 80% of area median income.
"Environmental justice communities" means the definition
of that term as used and as may be updated in the long-term
renewable resources procurement plan by the Illinois Power
Agency and its Program Administrator in the Illinois Solar for

10200SB0018sam001 - 831 - LRB102 12600 LNS 28802 a
All Program.
"Equity investment eligible community" means the
geographic areas throughout Illinois which would most benefit
from equitable investments by the State designed to combat
discrimination. Specifically, the equity investment eligible
communities shall be defined as the following areas:
(1) R3 Areas as established pursuant to Section 10-40
of the Cannabis Regulation and Tax Act, where residents
have historically been excluded from economic
opportunities, including opportunities in the energy
sector; and
(2) Environmental justice communities, as defined by
the Illinois Power Agency pursuant to the Illinois Power
Agency Act, where residents have historically been subject
to disproportionate burdens of pollution, including
pollution from the energy sector.
"Performance incentive mechanism" means an instrument by
which utility performance is incentivized, which could include
a monetary performance incentive.
"Performance metric" means a manner of measurement for a
particular utility activity.
(c) Through coordinated, comprehensive system planning,
ratemaking, and performance incentives, the performance-based
ratemaking framework should be designed to accomplish the
following objectives:
(1) maintain and improve service reliability and

10200SB0018sam001 - 832 - LRB102 12600 LNS 28802 a
safety, including and particularly in environmental
justice, low-income and equity investment eligible
communities;
(2) decarbonize utility systems at a pace that meets
or exceeds State climate goals, while also ensuring the
affordability of rates for all customers, including
low-income customers;
(3) direct electric utilities to make cost-effective
investments that support achievement of Illinois' clean
energy policies, including, at a minimum, investments
designed to integrate distributed energy resources, comply
with critical infrastructure protection standards, plans,
and industry best practices, and support and take
advantage of potential benefits from the electric vehicle
charging and other electrification, while mitigating the
impacts;
(4) choose cost-effective assets and services, whether
utility-supplied or through third-party contracting,
considering both economic and environmental costs and the
effects on utility rates, to deliver high-quality service
to customers at least cost;
(5) maintain the affordability of electric delivery
services for all customers, including low-income
customers;
(6) maintain and grow a diverse workforce, diverse
supplier procurement base and, for relevant programs,

10200SB0018sam001 - 833 - LRB102 12600 LNS 28802 a
diverse approved-vendor pools, including increased
opportunities for minority-owned, female-owned,
veteran-owned, and disability-owned business enterprises;
(7) improve customer service performance and
engagement;
(8) address the particular burdens faced by consumers
in environmental justice and equity investment eligible
communities, including shareholder, consumer, and publicly
funded bill payment assistance and credit and collection
policies, and ensure equitable disconnections, late fees,
or arrearages as a result of utility credit and collection
practices, which may include consideration of impact by
zip code; and
(9) implement or otherwise enhance current supplier
diversity programs to increase diverse contractor
participation in professional services, subcontracting,
and prime contracting opportunities with programs that
address barriers to access. Supplier diversity programs
shall address specific barriers related to RFP and
contract access, access to capital, information technology
and cyber security access and costs, administrative
burdens, and quality control with specific metrics,
outcomes, and demographic data reported.
(d) Multi-Year Rate Plan.
(1) If an electric utility had a performance-based
formula rate in effect under Section 16-108.5 as of

10200SB0018sam001 - 834 - LRB102 12600 LNS 28802 a
December 31, 2020, then the utility may file a petition
proposing tariffs implementing a 4-year Multi-Year Rate
Plan as provided in this Section no later than, January
20, 2023, for delivery service rates to be effective for
the billing periods January 1, 2024 through December 31,
2027. The Commission shall issue an order approving or
approving as modified the utility's plan no later than
December 20, 2023. The term "Multi-Year Rate Plan" refers
to a plan establishing the base rates the utility shall
charge for each delivery year of the 4-year period to be
covered by the plan, which shall be subject to
modification only as expressly allowed in this Section.
(2) A utility proposing a Multi-Year Rate Plan shall
provide a 4-year investment plan and a description of the
utility's major planned investments, including, at a
minimum, all investments of $2,000,000 or greater over the
plan period for an electric utility that serves more than
3,000,000 retail customers in the State or $500,000 for an
electric utility that serves less than 3,000,000 retail
customers in the State but more than 500,000 retail
customers in the State. The 4-year investment plan must be
consistent with the Multi-Year Integrated Grid Plan
described in Section 16-105.17 of this Act. The investment
plan shall provide sufficiently detailed information, as
required by the Commission, including, at a minimum, a
description of each investment, the location of the

10200SB0018sam001 - 835 - LRB102 12600 LNS 28802 a
investment, and an explanation of the need for and benefit
of such an investment to the extent known.
(3) The Multi-Year Rate Plan shall be implemented
through a tariff filed with the Commission consistent with
the provisions of this paragraph (3) that shall apply to
all delivery service customers. The Commission shall
initiate and conduct an investigation of the tariff in a
manner consistent with the provisions of this paragraph
(3) and the provisions of Article IX of this Act, to the
extent they do not conflict with this paragraph (3). The
Multi-Year Rate Plan approved by the Commission shall do
the following:
(A) Provide for the recovery of the utility's
forecasted rate base, based on the 4-year investment
plan and the utility's Integrated Grid Plan. The
forecasted rate base must include the utility's
planned capital investments, with rates based on
average annual plant investment, and
investment-related costs, including income tax
impacts, depreciation, and ratemaking adjustments and
costs that are prudently incurred and reasonable in
amount consistent with Commission practice and law.
The process used to develop the forecasts must be
iterative, rigorous, and lead to forecasts that
reasonably represent the utility's investments during
the forecasted period and ensure that the investments

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are projected to be used and useful during the annual
investment period and least cost, consistent with the
provisions of Articles VIII and IX of this Act.
(B) The cost of equity shall be approved by the
Commission consistent with Commission practice and
law.
(C) The revenue requirement shall reflect the
utility's actual capital structure for the applicable
calendar year. A year-end capital structure that
includes a common equity ratio of up to and including
50% of the total capital structure shall be deemed
prudent and reasonable. A higher common equity ratio
must be specifically approved by the Commission.
(E) Provide for recovery of prudent and reasonable
projected operating expenses, giving effect to
ratemaking adjustments, consistent with Commission
practice and law under Article IX of this Act.
Operating expenses for years after the first year of
the Multi-Year Rate Plan may be estimated by the use of
known and measurable changes, expense reductions
associated with planned capital investments as
appropriate, and reasonable and appropriate
escalators, indices, or other metrics.
(F) Amortize the amount of unprotected
property-related excess accumulated deferred income
taxes in rates as of January 1, 2023 over a period

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ending December 31, 2027, unless otherwise required to
amortize the excess deferred income tax pursuant to
Section 16-108.21 of this Act.
(G) Allow recovery of incentive compensation
expense that is based on the achievement of
operational metrics, including metrics related to
budget controls, outage duration and frequency,
safety, customer service, efficiency and productivity,
environmental compliance and attainment of
affordability and environmental goals, and other goals
and metrics approved by the Commission. Incentive
compensation expense that is based on net income or an
affiliate's earnings per share shall not be
recoverable.
(H) To the maximum extent practicable, align the
4-year investment plan and annual capital budgets with
the electric utility's Multi-Year Integrated Grid
Plan.
(4) The Commission shall establish annual rates for
each year of the Multi-Year Rate Plan that accurately
reflect and are based only upon the utility's reasonable
and prudent costs of service over the term of the plan,
including the effect of all ratemaking adjustments
consistent with Commission practice and law as determined
by the Commission, provided that the costs are not being
recovered elsewhere in rates. Tariff riders authorized by

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the Commission may continue outside of a plan authorized
under this Section to the extent such costs are not
recovered elsewhere in rates. For the first multi-year
rate plan, the burden of proof shall be on the electric
utility to establish the prudence of investments and
expenditures and to establish that such investments
consistent with and reasonably necessary to meet the
requirements of the utility's first approved Multi-Year
Integrated Grid Plan described in Section 16-105.17 of
this Act. For subsequent Multi-Year Rate Plans, the burden
of proof shall be on the electric utility to establish the
prudence of investments and expenditures and to establish
that such investments are consistent with and reasonably
necessary to meet the requirements of the utility's most
recently approved Multi-Year Integrated Grid Plan
described in Section 16-105.17 of this Act. The sole fact
that a cost differs from that incurred in a prior period or
that an investment is different from that described in the
Multi-Year Integrated Grid Plan shall not imply the
imprudence or unreasonableness of that cost or investment.
The sole fact that an investment is the same or similar to
that described in the Multi-Year Integrated Grid Plan
shall not imply prudence and reasonableness of that
investment.
(5) To facilitate public transparency, all materials,
data, testimony, and schedules shall be provided to the

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Commission in an editable, machine-readable electronic
format including .doc, .docx, .xls, .xlsx, and similar
file formats, but not including .pdf or .exif. Should
utilities designate any materials confidential, they shall
have an affirmative duty to explain why the particular
information is marked confidential. In determining
prudence and reasonableness of rates, the Commission shall
make its determination based upon the record, including
each public comment filed or provided orally at open
meetings consistent with the Commission's rules and
practices.
(6) The Commission may, by order, establish terms,
conditions, and procedures for submitting and approving a
Multi-Year Rate Plan necessary to implement this Section
and ensure that rates remain just and reasonable during
the course of the plan, including terms and procedures for
rate adjustment.
(7) An electric utility that files a tariff pursuant
to paragraph (3) of this subsection (e) must submit a
one-time $300,000 filing fee at the time the Chief Clerk
of the Commission accepts the filing, which shall be a
recoverable expense.
(8) An electric utility operating under a Multi-Year
Rate Plan shall file a new Multi-Year Rate Plan at least
300 days prior to the end of the initial Multi-Year Rate
Plan unless it elects to file a general rate case pursuant

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to paragraph (9), and every 4 years thereafter, with a
rate-effective date of the proposed tariffs such that,
after the Commission suspension period, the rates would
take effect immediately at the close of the final year of
the initial Multi-Year Rate Plan. In subsequent Multi-Year
Rate Plans, as in the initial plans, utilities and
stakeholders may propose additional metrics that achieve
the outcomes described in paragraph (2) of subsection (f)
of this Section.
(9) Election of Rate Case.
(A) On or before the date prescribed by
subparagraph (B) of paragraph (9) of this Section,
electric utilities that serve more than 500,000 retail
customers in the State shall file either a general
rate case under Section 9-201 of this Act, or a
Multi-Year Rate Plan, as set forth in paragraph (1) of
this subsection (d).
(B) Electric utilities described in subparagraph
(A) of paragraph (9) of this Section shall file their
initial general rate case or Multi-Year Rate Plan, as
applicable, with the Commission no later than January
20, 2023.
(C) Notwithstanding which rate filing option an
electric utility elects to file on the date prescribed
by subparagraph (B) of paragraph (9) of this Section,
the electric utility shall be subject to the

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Multi-year Integrated Plan filing requirements.
(D) Following its initial rate filing pursuant to
paragraph (2), an electric utility subject to the
requirements of this Section shall thereafter be
permitted to elect a different rate filing option
consistent with any filing intervals established for a
general rate case or Multi-Year Rate Plan, as follows:
(i) An electric utility that initially elected
to file a Multi-Year Rate Plan and thereafter
elects to transition to a general rate case may do
so upon completion of the 4-year Multi-Year Rate
Plan by filing a general rate case at the same time
that the utility would have filed its subsequent
Multi-Year Rate Plan, as specified in paragraph
(8) of this subsection (d). Notwithstanding this
election, the annual adjustment of the final year
of the Multi-Year Rate Plan shall proceed as
specified in paragraph (6) of subsection (f).
(ii) An electric utility that initially
elected to a file general rate case and thereafter
elects to transition to a Multi-Year Rate Plan may
do so only at the 4-year filing intervals
identified by paragraph (8) of this subsection
(d).
(10) The Commission shall approve tariffs establishing
rate design for all delivery service customers unless the

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electric utility makes the election specified in Section
16-105.5, in which case the rate design shall be subject
to the provisions of that Section.
(11) The Commission shall establish requirements for
annual performance evaluation reports to be submitted
annually for performance metrics. Such reports shall
include, but not be limited to, a description of the
utility's performance under each metric and an
identification of any extraordinary events that adversely
affected the utility's performance.
(12) For the first Multi-Year Rate Plan, the
Commission shall consolidate its investigation with the
proceeding under Section 16-105.17 to establish the
Multi-Year Integrated Grid Plan no later than 45 days
after plan filing.
(13) Where a rate change under a Multi-Year Rate Plan
will result in a rate increase, an electric utility may
propose a rate phase-in plan that the Commission shall
approve with or without modification or deny in its final
order approving the new delivery services rates. A
proposed rate phase-in plan under this paragraph (13) must
allow the new delivery services rates to be implemented in
no more than 2 steps, as follows: in the first step, at
least 50% of the approved rate increase must be reflected
in rates, and, in the second step, 100% of the rate
increase must be reflected in rates. The second step's

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rates must take effect no later than 12 months after the
first step's rates were placed into effect. The portion of
the approved rate increase not implemented in the first
step shall be recorded on the electric utility's books as
a regulatory asset, and shall accrue carrying costs to
ensure that the utility does not recover more or less than
it otherwise would because of the deferral. This portion
shall be recovered, with such carrying costs at the
weighted average cost of capital, through a surcharge
applied to retail customer bills that (i) begins no later
than 12 months after the date on which the second step's
rates went into effect and (ii) is applied over a period
not to exceed 24 months. Nothing in this paragraph is
intended to limit the Commission's authority to mitigate
the impact of rates caused by rate plans, or any other
instance on a revenue-neutral basis; nor shall it mitigate
or a utility's ability to make proposals to mitigate the
impact of rates. When a deferral, or similar method, is
used to mitigate the impact of rates, the utility should
be allowed to recover carrying costs.
(14) Notwithstanding the provisions of Section (13),
the Commission may, on its own initiative, take
revenue-neutral measures to relieve the impact of rate
increases on customers. Such initiatives may be taken by
the Commission in the first Multi-Year Rate Plan,
subsequent multi-year plans, or in other instances

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described in this Act.
(15) Whenever during the pendency of a Multi-year Rate
Plan, an electric utility subject to this Section becomes
aware that, due to circumstances beyond its control,
prudent operating practices will require the utility to
make adjustments to the Multi-Year Rate Plan, the electric
utility may file a petition with the Commission requesting
modification of the approved annual revenue requirements
included in the Multi-Year Rate Plan. The electric utility
must support its request with evidence demonstrating why a
modification is necessary, due to circumstances beyond the
utility's control, to follow prudent operating practices
and must set forth the changes to each annual revenue
requirement to be approved, and the basis for any changes
in anticipated operating expenses or capital investment
levels. The utility shall affirmatively address the impact
of the changes on the Multi-Year Integrated Grid Plan and
Multi-Year Rate Plan originally submitted and approved by
the Commission. Any interested party may file an objection
to the changes proposed, or offer alternatives to the
utility's proposal, as supported by testimony and
evidence. After notice and hearing, the Commission shall
issue a final order regarding the electric utility's
request no later than 180 days after the filing of the
petition.
(e) Performance incentive mechanisms.

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(1) The electric industry is undergoing rapid
transformation, including fundamental changes in how
electricity is generated, procured, and delivered and how
customers are choosing to participate in the supply and
delivery of electricity to and from the electric grid.
Building upon the State's goals to increase the
procurement of electricity from renewable energy
resources, including distributed generation and storage
devices, the General Assembly finds that electric
utilities should make cost-effective investments that
support moving forward on Illinois' clean energy policies.
It is therefore in the State's interest for the Commission
to establish performance incentive mechanisms in order to
better tie utility revenues to performance and customer
benefits, accelerate progress on Illinois energy and other
goals, ensure equity and affordability of rates for all
customers, including low-income customers, and hold
utilities publicly accountable.
(2) The Commission shall approve, based on the
substantial evidence proffered in the proceeding initiated
pursuant to this subsection performance metrics that, to
the extent practicable and achievable by the electric
utility, encourage cost-effective, equitable utility
achievement of the outcomes described in this subsection
(e) while ensuring no degradation in the significant
performance improvement achieved through previously

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established performance metrics. For each electric
utility, the Commission shall approve metrics designed to
achieve incremental improvements over baseline performance
values and targets, over a performance period of up to 10
years, and no less than 4 years.
(A) The Commission shall approve no more than 8
metrics, with at least one metric from each of the
categories below, for each electric utility, from
subparagraphs (i) through (vi) of this subsection (A).
Upon a utility request, the Commission may approve the
use of a specific, measurable, and achievable tracking
metric described in paragraph (3) of subsection (e) as
a performance metric pursuant to paragraph (2) of
subsection (e).
(i) Metrics designed to ensure the utility
maintains and improves the high standards of both
overall and locational reliability and resiliency,
and makes improvements in power quality, including
and particularly in environmental justice and
equity investment eligible communities.
(ii) Peak load reductions attributable to
demand response programs.
(iii) Supplier diversity expansion, including
diverse contractor participation in professional
services, subcontracting, and prime contracting
opportunities, development of programs that

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address the barriers to access, aligning
demographics of contractors to the demographics in
the utility's service territory, establish
long-term mentoring relationships that develop and
remove barriers to access for diverse and
underserved contractors. The utilities shall
provide solutions, resources, and tools to address
complex barriers of entry related to costly and
time-intensive cyber security requirements,
increasingly complex information technology
requirements, insurance barriers, service provider
sign-up process barriers, administrative process
barriers, and other barriers that inhibit access
to RFPs and contracts. For programs with contracts
over $1,000,000, winning bidders must demonstrate
a subcontractor development or mentoring
relationship with at least one of their diverse
subcontracting partners for a core component of
the scope of the project. The mentoring time and
cost shall be taken into account in the creation
of RFP and shall include a structured and measured
plan by the prime contractor to increase the
capabilities of the subcontractor in their
proposed scope. The metric shall include reporting
on all supplier diversity programs by goals,
program results, demographics and geography, with

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separate reporting by category of minority-owned,
female-owned, veteran-owned, and disability-owned
business enterprise metrics. The report shall
include resources and expenses committed to the
programs and conversion rates of new diverse
utility contractors.
(iv) Achieve affordable customer delivery
service costs, with particular emphasis on keeping
the bills of lower-income households, households
in equity investment eligible communities, and
household in environmental justice communities
within a manageable portion of their income and
adopting credit and collection policies that
reduce disconnections for these households
specifically and for customers overall to ensure
equitable disconnections, late fees, or arrearages
as a result of utility credit and collection
practices, which may include consideration of
impact by zip code.
(v) Metrics designed around the utility's
timeliness to customer requests for
interconnection in key milestone areas, such as:
initial response, supplemental review, and system
feasibility study; improved average service
reliability index for those customers that have
interconnected a distributed renewable energy

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generation device to the utility's distribution
system and are lawfully taking service under an
applicable tariff; offering a variety of
affordable rate options, including demand
response, time of use rates for delivery and
supply, real-time pricing rates for supply;
comprehensive and predictable net metering, and
maximizing the benefits of grid modernization and
clean energy for ratepayers; and improving
customer access to utility system information
according to consumer demand and interest.
(vi) Metrics designed to measure the utility's
customer service performance, which may include
the average length of time to answer a customer's
call by a customer service representative, the
abandoned call rate and the relative ranking of
the electric utility, by a reputable third-party
organization, in customer service satisfaction
when compared to other similar electric utilities
in the Midwest region.
(B) Performance metrics shall include a
description of the metric, a calculation method, a
data collection method, annual performance targets,
and any incentives or penalties for the utility's
achievement of, or failure to achieve, their
performance targets, provided that the total amount of

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potential incentives and penalties shall be
symmetrical. Incentives shall be rewards or penalties
or both, reflected as basis points added to, or
subtracted from, the utility's cost of equity. The
metrics and incentives shall apply for the entire time
period covered by a Multi-Year Rate Plan. The total
for all metrics shall be equal to 40 basis points,
however, the Commission may adjust the basis points
upward or downward by up to 20 basis points for any
given Multi-Year Rate Plan, as appropriate, but in no
event may the total exceed 60 basis points or fall
below 20 basis points.
(C) Metrics related to reliability shall be
implemented to ensure equitable benefits to
environmental justice and equity investment eligible
communities, as defined in this Act.
(D) The Commission shall approve performance
metrics that are reasonably within control of the
utility to achieve. The Commission also shall not
approve a metric that is solely expected to have the
effect of reducing the workforce. Performance metrics
should measure outcomes and actual, rather than
projected, results where possible. Nothing in this
paragraph is intended to require that different
electric utilities must be subject to the same
metrics, goals, or incentives.

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(E) Increases or enhancements to an existing
performance goal or target shall be considered in
light of other metrics, cost-effectiveness, and other
factors the Commission deems appropriate. Performance
metrics shall include one year of tracking data
collected in a consistent manner, verifiable by an
independent evaluator in order to establish a baseline
and measure outcomes and actual results against
projections where possible.
(F) For the purpose of determining reasonable
performance metrics and related incentives, the
Commission shall develop a methodology to calculate
net benefits that includes customer and societal costs
and benefits and quantifies the effect on delivery
rates. In determining the appropriate level of a
performance incentive, the Commission shall consider:
the extent to which the amount is likely to encourage
the utility to achieve the performance target in the
least cost manner; the value of benefits to customers,
the grid, public health and safety, and the
environment from achievement of the performance
target, including in particular benefits to equity
investment eligible community; the affordability of
customer's electric bills, including low-income
customers, the utility's revenue requirement, the
promotion of renewable and distributed energy, and

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other such factors that the Commission deems
appropriate. The consideration of these factors shall
result in an incentive level that ensures benefits
exceed costs for customers.
(G) Achievement of performance metrics are based
on the assumptions that the utility will adopt or
implement the technology and equipment, and make the
investments to the extent reasonably necessary to
achieve the goal. If the electric utility is unable to
meet the performance metrics as a result of
extraordinary circumstances outside of its control,
including but not limited to government-declared
emergencies, then the utility shall be permitted to
file a petition with the Commission requesting that
the utility be excused from compliance with the
applicable performance goal or goals and the
associated financial incentives and penalties. The
burden of proof shall be on the utility, consistent
with Article IX, and the utility's petition shall be
supported by substantial evidence. The Commission
shall, after notice and hearing, enter its order
approving or denying, in whole or in part, the
utility's petition based on the extent to which the
utility demonstrated that its achievement of the
affected metrics and performance goals was hindered by
extraordinary circumstances outside of the utility's

10200SB0018sam001 - 853 - LRB102 12600 LNS 28802 a
control.
(3) The Commission shall approve reasonable and
appropriate tracking metrics to collect and monitor data
for the purpose of measuring and reporting utility
performance and for establishing future performance
metrics. These additional tracking metrics shall include
at least one metric from each of the following categories
of performance:
(A) Minimize emissions of greenhouse gases and
other air pollutants that harm human health,
particularly in environmental justice and equity
investment eligible communities, through minimizing
total emissions by accelerating electrification of
transportation, buildings and industries where such
electrification results in net reductions, across all
fuels and over the life of electrification measures,
of greenhouse gases and other pollutants, taking into
consideration the fuel mix used to produce electricity
at the relevant hour and the effect of accelerating
electrification on electricity delivery services
rates, supply prices and peak demand, provided the
revenues the utility receives from accelerating
electrification of transportation, buildings and
industries exceed the costs.
(B) Enhance the grid's flexibility to adapt to
increased deployment of nondispatchable resources,

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improve the ability and performance of the grid on
load balancing, and offer a variety of rate plans to
match consumer consumption patterns and lower consumer
bills for electricity delivery and supply.
(C) Ensure rates reflect cost savings attributable
to grid modernization and utilize distributed energy
resources that allow the utility to defer or forgo
traditional grid investments that would otherwise be
required to provide safe and reliable service.
(D) Metrics designed to create and sustain
full-time-equivalent jobs and opportunities for all
segments of the population and workforce, including
minority-owned businesses, women-owned businesses,
veteran-owned businesses, and businesses owned by a
person or persons with a disability, and that do not,
consistent with State and federal law, discriminate
based on race or socioeconomic status as a result of
this amendatory Act of the 102nd General Assembly.
(E) Maximize and prioritize the allocation of grid
planning benefits to environmental justice and
economically disadvantaged customers and communities,
such that all metrics provide equitable benefits
across the utility's service territory and maintain
and improve utility customers' access to uninterrupted
utility services.
(4) The Commission may establish new tracking and

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performance metrics in future Multi-Year Rate Plans to
further measure achievement of the outcomes set forth in
paragraph (2) of subsection (f) of this Section and the
other goals and requirements of this Section.
(5) The Commission shall also evaluate metrics that
were established in prior Multi-Year Rate Plans to
determine if there has been an unanticipated material
change in circumstances such that adjustments are required
to improve the likelihood of the outcomes described in
paragraph (2) of subsection (f). For metrics that were
established in prior Multi-Year Rate Plan proceedings and
that the Commission elects to continue, the design of
these metrics, including the goals of tracking metrics and
the targets and incentive levels and structures of
performance metrics, may be adjusted pursuant to the
requirements in this Section. The Commission may also
change, adjust or phase out tracking and performance
metrics that were established in prior Multi-Year Rate
Plan proceedings if these metrics no longer meet the
requirements of this Section or if they are rendered
obsolete by the changing needs and technology of an
evolving grid. Additionally, performance metrics that no
longer require an incentive to create improved utility
performance may become tracking metrics in a Multi-Year
Rate Plan proceeding.
(6) The Commission shall initiate a workshop process

10200SB0018sam001 - 856 - LRB102 12600 LNS 28802 a
no later than August 1, 2021, or 15 days after the
effective date of this amendatory Act of the 102nd General
Assembly, whichever is later, for the purpose of
facilitating the development of metrics for each utility.
The workshop shall be coordinated by the staff of the
Commission, or a facilitator retained by staff, and shall
be organized and facilitated in a manner that encourages
representation from diverse stakeholders and ensures
equitable opportunities for participation, without
requiring formal intervention or representation by an
attorney. Working with staff of the Commission the
facilitator may conduct a combination of workshops
specific to a utility or applicable to multiple utilities
where content and stakeholders are substantially similar.
The workshop process shall conclude no later than October
31, 2021. Following the workshop, the staff of the
Commission, or the facilitator retained by the Staff,
shall prepare and submit a report to the Commission that
identifies the participants in the process, the metrics
proposed during the process, any material issues that
remained unresolved at the conclusions of such process,
and any recommendations for workshop process improvements.
Any workshop participant may file comments and reply
comments in response to the Staff report.
(A) No later than January, 20, 2022, each electric
utility that intends to file a petition pursuant to

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subsection (b) of this Section shall file a petition
with the Commission seeking approval of its
performance metrics, which shall include for each
metric, at a minimum, (i) a detailed description, (ii)
the calculation of the baseline, (iii) the performance
period and overall performance goal, provided that the
performance period shall not commence prior to January
1, 2024, (iv) each annual performance goal, (v) the
performance adjustment, which shall be a symmetrical
basis point increase or decrease to the utility's cost
of equity based on the extent to which the utility
achieved the annual performance goal, and (vi) the new
or modified tariff mechanism that will apply the
performance adjustments. The Commission shall issue
its order approving, or approving with modification,
the utility's proposed performance metrics no later
than September 30, 2022.
(B) No later than August 1, 2025, the Commission
shall initiate a workshop process that conforms to the
workshop purpose and requirements of this paragraph
(6) of this Section to the extent they do not conflict.
The workshop process shall conclude no later than
October 31, 2025, and the staff of the Commission, or
the facilitator retained by the Staff, shall prepare
and submit a report consistent with the requirements
described in this paragraph (6) of this Section. No

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later than January 20, 2026, each electric utility
subject to the requirements of this Section shall file
a petition the reflects, and is consistent with, the
components required in this paragraph (6) of this
Section, and the Commission shall issue its order
approving, or approving with modification, the
utility's proposed performance metrics no later than
September 30, 2026.
(f) On May 1 of each year, following the approval of the
first Multi-Year Rate Plan and its initial year, the
Commission shall open an annual performance evaluation
proceeding to evaluate the utilities' performance on their
metric targets during the year just completed, as well as the
appropriate Annual Adjustment as defined in paragraph (6). The
Commission shall determine the performance and annual
adjustments to be applied through a surcharge in the following
calendar year.
(1) On February 15 of each year, prior to the annual
performance evaluation proceeding, each utility shall file
a performance evaluation report with the Commission that
includes a description of and all data supporting how the
utility performed under each performance metric and an
identification of any extraordinary events that adversely
impacted the utility's performance.
(2) The metrics approved under this Section are based
on the assumptions that the utility may fully implement

10200SB0018sam001 - 859 - LRB102 12600 LNS 28802 a
the technology and equipment, and make the investments,
required to achieve the metrics and performance goals. If
the utility is unable to meet the metrics and performance
goals because it was hindered by unanticipated technology
or equipment implementation delays, government-declared
emergencies, or other investment impediments, then the
utility shall be permitted to file a petition with the
Commission on or before the date that its report is due
pursuant to paragraph (1) of this subsection (f)
requesting that the utility be excused from compliance
with the applicable performance goal or goals. The burden
of proof shall be on the utility, consistent with Article
IX, and the utility's petition shall be supported by
substantial evidence. No later than 90 days after the
utility files its petition, the Commission shall, after
notice and hearing, enter its order approving or denying,
in whole or in part, the utility's petition based on the
extent to which the utility demonstrated that its
achievement of the affected metrics and performance goals
was hindered by unanticipated technology or equipment
implementation delays, or other investment impediments,
that were reasonably outside of the utility's control.
(3) The electric utility shall provide for an annual
independent evaluation of its performance on metrics. The
independent evaluator shall review the utility's
assumptions, baselines, targets, calculation

10200SB0018sam001 - 860 - LRB102 12600 LNS 28802 a
methodologies, and other relevant information, especially
ensuring that the utility's data for establishing
baselines matches actual performance, and shall provide a
report to the Commission in each annual performance
evaluation describing the results. The independent
evaluator shall present this report as evidence as a
nonparty participant and shall not be represented by the
utility's legal counsel. The independent evaluator shall
be hired through a competitive bidding process with
approval of the contract by the Commission.
The Commission shall consider the report of the
independent evaluator in determining the utility's
achievement of performance targets. Discrepancies between
the utility's assumptions, baselines, targets, or
calculations and those of the independent evaluator shall
be closely scrutinized by the Commission. If the
Commission finds that the utility's reported data for any
metric or metrics significantly and incorrectly deviates
from the data reported by the independent evaluator, then
the Commission shall order the utility to revise its data
collection and calculation process within 60 days, with
specifications where appropriate.
(4) The Commission shall, after notice and hearing in
the annual performance evaluation proceeding, enter an
order approving the utility's performance adjustment based
on its achievement of or failure to achieve its

10200SB0018sam001 - 861 - LRB102 12600 LNS 28802 a
performance targets no later than December 20 each year.
The Commission-approved penalties or incentives shall be
applied beginning with the next calendar year.
(5) In order to promote the transparency of utility
investments during the effective period of a multi-year
rate plan, inform the Commission's investigation and
adjustment of rates in the annual adjustment process, and
to facilitate the participation of stakeholders in the
annual adjustment process, an electric utility with an
effective Multi-Year Rate Plan shall, within 90 days of
the close of each quarter during the Multi-Year Rate Plan
period, submit to the Commission a report that summarizes
the additions to utility plant that were placed into
service during the prior quarter, which for purposes of
the report shall be the most recently closed fiscal
quarter. The report shall also summarize the utility plant
the electric utility projects it will place into service
through the end of the calendar year in which the report is
filed. The projections, estimates, plans, and
forward-looking information that are provided in the
reports pursuant to this paragraph (5) are for planning
purposes and are intended to be illustrative of the
investments that the utility proposes to make as of the
time of submittal. Nothing in this paragraph (5)
precludes, or is intended to limit, a utility's ability to
modify and update its projections, estimates, plans, and

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forward-looking information previously submitted in order
to reflect stakeholder input or other new or updated
information and analysis, including, but not limited to,
changes in specific investment needs, customer electric
use patterns, customer applications and preferences, and
commercially available equipment and technologies, however
the utility shall explain any changes or deviations
between the projected investments from the quarterly
reports and actual investments in the annual report. The
reports submitted pursuant to this subsection are intended
to be flexible planning tools, and are expected to evolve
as new information becomes available. Within 7 days of
receiving a quarterly report, the Commission shall timely
make such report available to the public by posting it on
the Commission's website. Each quarterly report shall
include the following detail:
(A) The total dollar value of the additions to
utility plant placed in service during the prior
quarter;
(B) A list of the major investment categories the
electric utility used to manage its routine standing
operational activities during the prior quarter
including the total dollar amount for the work
reflected in each investment category in which utility
plant in service is equal to or greater than
$2,000,000 for an electric utility that serves more

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than 3,000,000 customers in the State or $500,000 for
an electric utility that serves less than 3,000,000
customers but more than 500,000 customers in the State
as of the last day of the quarterly reporting period,
as well as a summary description of each investment
category;
(C) A list of the projects which the electric
utility has identified by a unique investment tracking
number for utility plant placed in service during the
prior quarter for utility plant placed in service with
a total dollar value as of the last day of the
quarterly reporting period that is equal to or greater
than $2,000,000 for an electric utility that serves
more than 3,000,000 customers in the State or $500,000
for an electric utility that serves less than
3,000,000 retail customers but more than $500,000
retail customers in the State, as well as a summary of
each project;
(D) The estimated total dollar value of the
additions to utility plant projected to be placed in
service through the end of the calendar year in which
the report is filed;
(E) A list of the major investment categories the
electric utility used to manage its routine standing
operational activities with utility plant projected to
be placed in service through the end of the calendar

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year in which the report is filed, including the total
dollar amount for the work reflected in each
investment category in which utility plant in service
is projected to be equal to or greater than $2,000,000
for an electric utility that serves more than
3,000,000 customers in the State or $500,000 for an
electric utility that serves less than 3,000,000
retail customers but more than 500,000 retail
customers in the State, as well as a summary
description of each investment category; and
(F) A list of the projects for which the electric
utility has identified by a unique investment tracking
number for utility plant projected to be placed in
service through the end of the calendar year in which
the report is filed with an estimated dollar value
that is equal to or greater than $2,000,000 for an
electric utility that serves more than 3,000,000
customers in the State or $500,000 for an electric
utility that serves less than 3,000,000 retails
customers but more than $500,000 retail customers in
the State, as well as a summary description of each
project.
(6) As part of the Annual Performance Adjustment, the
electric utility shall submit evidence sufficient to
support a determination of its actual revenue requirement
for the applicable calendar year, consistent with the

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provisions of paragraphs (d) and (f) of this subsection.
The electric utility shall bear the burden of
demonstrating that its costs were prudent and reasonable,
subject to the provisions of paragraph (4) of this
subsection (f). The Commission's review of the electric
utility's annual adjustment shall be based on the same
evidentiary standards, including, but not limited to,
those concerning the prudence and reasonableness of the
known and measurable costs forecasted to be incurred by
the utility, and the used and usefulness of the actual
plant investment pursuant to Section 9-211 of this Act,
that the Commission applies in a proceeding to review a
filing for changes in rates pursuant to Section 9-201 of
this Act. The Commission shall determine the prudence and
reasonableness of the actual costs incurred by the utility
during the applicable calendar year, as well as determine
the original cost of plant in service as of the end of the
applicable calendar year. The Commission shall then
determine the Annual Adjustment, which shall mean the
amount by which, the electric utility's actual revenue
requirement for the applicable year of the Multi-Year Rate
Plan either exceeded, or was exceeded by, the revenue
requirement approved by the Commission for such calendar
year, plus carrying costs calculated at the weighted
average cost of capital approved for the Multi-Year Rate
Plan.

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The Commission's determination of the electric
utility's actual revenue requirement for the applicable
calendar year shall be based on:
(A) the Commission-approved used and useful,
prudent and reasonable actual costs for the applicable
calendar year, which shall be determined pursuant to
the following criteria:
(i) The overall level of actual costs incurred
during the calendar year, provided that the
Commission may not allow recovery of actual costs
that are more than 105% of the approved revenue
requirement calculated as provided in item (ii) of
this subparagraph (A), except to the extent the
Commission approves a modification of the
Multi-Year Rate Plan to permit such recovery.
(ii) The calculation of 105% of the revenue
requirement required by this subparagraph (A)
shall exclude the revenue requirement impacts of
the following volatile and fluctuating variables
that occurred during the year: (i) storms and
weather-related events for which the utility
provides sufficient evidence to demonstrate that
such expenses were not foreseeable and not in
control of the utility; (ii) new business; (iii)
changes in interest rates; (iv) changes in taxes;
(v) facility relocations; (vi) changes in pension

10200SB0018sam001 - 867 - LRB102 12600 LNS 28802 a
or post-retirement benefits costs due to
fluctuations in interest rates, market returns or
actuarial assumptions; (vii) amortization expenses
related to costs; and (viii) changes in the timing
of when an expenditure or investment is made such
that it is accelerated to occur during the
applicable year or deferred to occur in a
subsequent year.
(B) the year-end rate base;
(C) the cost of equity approved in the multi-year
rate plan; and
(D) the electric utility's actual year-end capital
structure, provided that the common equity ratio in
such capital structure may not exceed the common
equity ratio that was approved by the Commission in
the Multi-Year Rate Plan.
(2) The Commission's determinations of the prudence
and reasonableness of the costs incurred for the
applicable year, and of the original cost of plant in
service as of the end of the applicable calendar year,
shall be final upon entry of the Commission's order and
shall not be subject to collateral attack in any other
Commission proceeding, case, docket, order, rule, or
regulation; however, nothing in this Section shall
prohibit a party from petitioning the Commission to rehear
or appeal to the courts the order pursuant to the

10200SB0018sam001 - 868 - LRB102 12600 LNS 28802 a
provisions of this Act.
(g) During the period leading to approval of the first
Multi-Year Integrated Grid Plan, each electric utility will
necessarily continue to invest in its distribution grid. Those
investments will be subject to a determination of prudence and
reasonableness consistent with Commission practice and law.
Any failure to conform to the Multi-Year Integrated Grid Plan
ultimately approved shall not imply imprudence or
unreasonableness.
(h) After calculating the Performance Adjustment and
Annual Adjustment, the Commission shall order the electric
utility to collect the amount in excess of the revenue
requirement from customers, or issue a refund to customers, as
applicable, to be applied through a surcharge beginning with
the next calendar year.
Electric utilities subject to the requirements of this
Section shall be permitted to file new or revised tariffs to
comply with the provisions of, and Commission orders entered
pursuant to, this Section.
(220 ILCS 5/16-108.19 new)
Sec. 16-108.19. Division of Integrated Distribution
Planning.
(a) The Commission shall establish the Division of
Integrated Distribution Planning within the Bureau of Public
Utilities. The Division shall be staffed by no less than 13

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professionals, including engineers, rate analysts,
accountants, policy analysts, utility research and analysis
analysts, cybersecurity analysts, informational technology
specialists, and lawyers to review and evaluate Integrated
Grid Plans, updates to Integrated Grid Plans, audits, and
other duties as assigned by the Chief of the Public Utilities
Bureau.
(b) The Division of Integrated Distribution Planning shall
be established by January 1, 2022.
(220 ILCS 5/16-108.20 new)
Sec. 16-108.20. Cost-effectiveness incentive.
(a) The General Assembly finds that it is critical to
maintain this focus on utility bill affordability as the State
transitions to a clean energy economy. The General Assembly
accordingly finds that it may be in the public interest to
incentivize electric utilities to reduce spending where
practicable and where such reduction will not have an adverse
impact on the State's clean energy goals; this Act's
overarching objectives of efficiency, environmental quality,
reliability, and equity; or the utility's achievement on its
metrics.
(b) In addition to the performance metrics established and
approved by the Commission pursuant to Section 16-108.18 of
this Act, the Commission may also determine whether each
electric utility that serves more than 500,000 retail

10200SB0018sam001 - 870 - LRB102 12600 LNS 28802 a
customers in the State may also be subject to a performance
metric that incentivizes the utility to make cost-effective
choices and stretch to achieve cost savings for public utility
customers where it can do so without adverse impact (on
efficiency, environmental quality, reliability or equity).
(c) The Commission shall initiate a docket on the subject
of cost-effective shared savings, and shall make a
determination if it would be in the public interest and the
best interest of electric utility customers to establish a
performance metric that incentivizes utilities to reduce their
costs while meeting all other performance metrics and
addressing state goals as found in this Act.
(d) At the conclusion of the docket, if the Commission
determines that such an incentive is in the best interest of
consumers, the Commission shall have the authority to set a
specific metric as part of the performance metric process
pursuant to Section 16-108.18. Such metric shall include a
determination of the percentage of the shared savings to be
returned to the customers and to the utility. Such percentage
shall be set so as to incentivize the utility to make savings,
while providing substantial benefits to consumers.
(220 ILCS 5/16-108.21 new)
Sec. 16-108.21. Accelerated repayment of excess deferred
income tax.
(a) The General Assembly finds:

10200SB0018sam001 - 871 - LRB102 12600 LNS 28802 a
(1) That a portion of each utility's compensation from
ratepayers is attributable to reimbursement for federal
taxes paid by the utility.
(2) Due to the enactment of the 2017 Tax Cut and Jobs
Act, the federal income tax rate for corporations was
lowered, resulting in excess deferred income tax for
distribution utilities in the State that serve more than
100,000 customers.
(3) In proceedings before the Commission, it was
determined that the repayment period to ratepayers by the
utilities which serve more than 100,000 customers in this
State for this excess deferred income tax would be 39.5
years.
(4) The COVID-19 pandemic has harmed many customers of
all rate classes in the State, and resulted in the
Commission adopting a number of measures to provide relief
for customers.
(5) Electric utilities with greater than 3,000,000
customers have sufficient resources to refund excess tax
reserve to their ratepayers without experiencing financial
hardship.
(6) It would be in the interest of the State for the
repayment of the excess deferred income tax referenced in
Commission Dockets 19-0387 and 20-0393 to be paid back to
ratepayers on a timetable greatly accelerated from that
set forth in the dockets.

10200SB0018sam001 - 872 - LRB102 12600 LNS 28802 a
(b) Notwithstanding the Commission Orders in Dockets
19-0387 and 20-0383, the excess deferred income tax referenced
in those dockets shall be fully refunded to ratepayers by the
respective utilities no later than December 31, 2025.
(c) The Commission shall initiate a docket to provide for
the refunding of these excess deferred income taxes to
ratepayers of the utilities referenced in those dockets, and
shall set forth any necessary provisions to accomplish the
reimbursement on the schedule delineated in subsection (b).
(220 ILCS 5/16-108.25 new)
Sec. 16-108.25. Tariff regarding transition in rates. Each
electric utility that files a Multi-Year Rate Plan pursuant to
Section 16-108.18 of this Act or a general rate case as
described in this Act shall also file a tariff that sets forth
the processes and procedures by which the electric utility
will transition from its current rates and ratemaking
mechanism to the new Multi-Year Rate Plan or a general rate
case and rates that will take effect under that multi-year
plan. The proposed tariff shall be consistent with the tariff
approved by the Commission in Docket No. 20-0426 and covers
the period until the new delivery rates are effective and all
required processes and procedures described in the tariff have
been completed.
Each electric utility subject to this Section shall file
its proposed tariff no later than 30 days after the effective

10200SB0018sam001 - 873 - LRB102 12600 LNS 28802 a
date of this amendatory Act of the 102nd General Assembly, and
the Commission shall enter its order approving the tariff no
later than 120 days after it was filed if the Commission finds
that the proposed tariff is consistent with the tariff
previously approved in Docket No. 20-0426 for the period until
the new delivery rates are effective and all required
processes and procedures described in the tariff have been
completed. If the Commission does not so find, then the
Commission shall approve the utility's tariff with those
modifications that are required to make the proposed tariff
consistent with the tariff approved in Docket 20-0426 until
the new delivery rates are effective and all required
processes and procedures described in the tariff have been
completed.
An electric utility that has a tariff in effect on the
effective date of this amendatory Act of the 102nd General
Assembly that provides for the transition from its current
rates and ratemaking mechanism to new base rates approved
pursuant to Article IX of this Act, shall file a compliance
tariff modifying its existing tariff to comply with the
provisions of this Section. The compliance tariff shall go
into effect on 45 days' notice.
(220 ILCS 5/16-108.30 new)
Sec. 16-108.30. Energy Transition Assistance Fund.
(a) The Energy Transition Assistance Fund is hereby

10200SB0018sam001 - 874 - LRB102 12600 LNS 28802 a
created as a special fund in the State Treasury. The Energy
Transition Assistance Fund is authorized to receive moneys
collected pursuant to this Section. Subject to appropriation,
the Department of Commerce and Economic Opportunity shall use
moneys from the Energy Transition Assistance Fund consistent
with the purposes of this Act.
(b) An electric utility serving more than 500,000
customers in the State shall assess an energy transition
assistance charge on all its retail customers for the Energy
Transition Assistance Fund. The utility's total charge shall
be set based upon the value determined by the Department of
Commerce and Economic Opportunity pursuant to subsection (d)
or (e), as applicable, of Section 605-1075 of the Department
of Commerce and Economic Opportunity Law of the Civil
Administrative Code of Illinois. For each utility, the charge
shall be recovered through a single, uniform cents per
kilowatt-hour charge applicable to all retail customers. For
each utility, the charge shall not exceed 1% of the amount paid
per kilowatthour by those customers during the year ending May
31, 2009.
(c) Within 75 days of the effective date of this
amendatory Act of the 102nd General Assembly, each electric
utility serving more than 500,000 customers in the State shall
file with the Illinois Commerce Commission tariffs
incorporating the energy transition assistance charge in other
charges stated in such tariffs, which shall become effective

10200SB0018sam001 - 875 - LRB102 12600 LNS 28802 a
no later than the beginning of the first billing cycle
following such filing. Each electric utility serving more than
500,000 customers in the State shall, prior to the beginning
of each calendar year starting with calendar year 2021, file
with the Illinois Commerce Commission tariff revisions to
incorporate annual revisions to the energy transition
assistance charge as prescribed by the Department of Commerce
and Economic Opportunity pursuant to Section 605-1075 of the
Department of Commerce and Economic Opportunity Law of the
Civil Administrative Code of Illinois so that such revision
becomes effective no later than the beginning of the first
billing cycle in each respective year.
(d) The energy transition assistance charge shall be
considered a charge for public utility service.
(e) By the 20th day of the month following the month in
which the charges imposed by this Section were collected, each
electric utility serving more than 500,000 customers in the
State shall remit to Department of Revenue all moneys received
as payment of the energy transition assistance charge on a
return prescribed and furnished by the Department of Revenue
showing such information as the Department of Revenue may
reasonably require. If a customer makes a partial payment, a
public utility may apply such partial payments first to
amounts owed to the utility. No customer may be subjected to
disconnection of his or her utility service for failure to pay
the energy transition assistance charge.

10200SB0018sam001 - 876 - LRB102 12600 LNS 28802 a
If any payment provided for in this subsection exceeds the
electric utility's liabilities under this Act, as shown on an
original return, the Department may authorize the electric
utility to credit such excess payment against liability
subsequently to be remitted to the Department under this Act,
in accordance with reasonable rules adopted by the Department.
All the provisions of Sections 4, 5, 5a, 5b, 5c, 5d, 5e,
5f, 5g, 5i, 5j, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 11a, 12, and 13
of the Retailers' Occupation Tax Act that are not inconsistent
with this Act apply, as far as practicable, to the charge
imposed by this Act to the same extent as if those provisions
were included in this Act. References in the incorporated
Sections of the Retailers' Occupation Tax Act to retailers, to
sellers, or to persons engaged in the business of selling
tangible personal property mean persons required to remit the
charge imposed under this Act.
(f) The Department of Revenue shall deposit into the
Energy Transition Assistance Fund all moneys remitted to it in
accordance with this Section.
(g) The Department of Revenue may establish such rules as
it deems necessary to implement this Section.
(h) The Department of Commerce and Economic Opportunity
may establish such rules as it deems necessary to implement
this Section.
(220 ILCS 5/16-111.5)

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Sec. 16-111.5. Provisions relating to procurement.
(a) An electric utility that on December 31, 2005 served
at least 100,000 customers in Illinois shall procure power and
energy for its eligible retail customers in accordance with
the applicable provisions set forth in Section 1-75 of the
Illinois Power Agency Act and this Section. Beginning with the
delivery year commencing on June 1, 2017, such electric
utility shall also procure zero emission credits from zero
emission facilities in accordance with the applicable
provisions set forth in Section 1-75 of the Illinois Power
Agency Act, and, for years beginning on or after June 1, 2017,
the utility shall procure renewable energy resources in
accordance with the applicable provisions set forth in Section
1-75 of the Illinois Power Agency Act and this Section.
Beginning with the delivery year commencing on June 1, 2022,
an electric utility serving over 3,000,000 customers shall
also procure carbon mitigation credits from carbon-free energy
resources in accordance with the applicable provisions set
forth in Section 1-75 of the Illinois Power Agency Act and this
Section. A small multi-jurisdictional electric utility that on
December 31, 2005 served less than 100,000 customers in
Illinois may elect to procure power and energy for all or a
portion of its eligible Illinois retail customers in
accordance with the applicable provisions set forth in this
Section and Section 1-75 of the Illinois Power Agency Act.
This Section shall not apply to a small multi-jurisdictional

10200SB0018sam001 - 878 - LRB102 12600 LNS 28802 a
utility until such time as a small multi-jurisdictional
utility requests the Illinois Power Agency to prepare a
procurement plan for its eligible retail customers. "Eligible
retail customers" for the purposes of this Section means those
retail customers that purchase power and energy from the
electric utility under fixed-price bundled service tariffs,
other than those retail customers whose service is declared or
deemed competitive under Section 16-113 and those other
customer groups specified in this Section, including
self-generating customers, customers electing hourly pricing,
or those customers who are otherwise ineligible for
fixed-price bundled tariff service. For those customers that
are excluded from the procurement plan's electric supply
service requirements, and the utility shall procure any supply
requirements, including capacity, ancillary services, and
hourly priced energy, in the applicable markets as needed to
serve those customers, provided that the utility may include
in its procurement plan load requirements for the load that is
associated with those retail customers whose service has been
declared or deemed competitive pursuant to Section 16-113 of
this Act to the extent that those customers are purchasing
power and energy during one of the transition periods
identified in subsection (b) of Section 16-113 of this Act.
(b) A procurement plan shall be prepared for each electric
utility consistent with the applicable requirements of the
Illinois Power Agency Act and this Section. For purposes of

10200SB0018sam001 - 879 - LRB102 12600 LNS 28802 a
this Section, Illinois electric utilities that are affiliated
by virtue of a common parent company are considered to be a
single electric utility. Small multi-jurisdictional utilities
may request a procurement plan for a portion of or all of its
Illinois load. Each procurement plan shall analyze the
projected balance of supply and demand for those retail
customers to be included in the plan's electric supply service
requirements over a 5-year period, with the first planning
year beginning on June 1 of the year following the year in
which the plan is filed. The plan shall specifically identify
the wholesale products to be procured following plan approval,
and shall follow all the requirements set forth in the Public
Utilities Act and all applicable State and federal laws,
statutes, rules, or regulations, as well as Commission orders.
Nothing in this Section precludes consideration of contracts
longer than 5 years and related forecast data. Unless
specified otherwise in this Section, in the procurement plan
or in the implementing tariff, any procurement occurring in
accordance with this plan shall be competitively bid through a
request for proposals process. Approval and implementation of
the procurement plan shall be subject to review and approval
by the Commission according to the provisions set forth in
this Section. A procurement plan shall include each of the
following components:
(1) Hourly load analysis. This analysis shall include:
(i) multi-year historical analysis of hourly

10200SB0018sam001 - 880 - LRB102 12600 LNS 28802 a
loads;
(ii) switching trends and competitive retail
market analysis;
(iii) known or projected changes to future loads;
and
(iv) growth forecasts by customer class.
(2) Analysis of the impact of any demand side and
renewable energy initiatives. This analysis shall include:
(i) the impact of demand response programs and
energy efficiency programs, both current and
projected; for small multi-jurisdictional utilities,
the impact of demand response and energy efficiency
programs approved pursuant to Section 8-408 of this
Act, both current and projected; and
(ii) supply side needs that are projected to be
offset by purchases of renewable energy resources, if
any.
(3) A plan for meeting the expected load requirements
that will not be met through preexisting contracts. This
plan shall include:
(i) definitions of the different Illinois retail
customer classes for which supply is being purchased;
(ii) the proposed mix of demand-response products
for which contracts will be executed during the next
year. For small multi-jurisdictional electric
utilities that on December 31, 2005 served fewer than

10200SB0018sam001 - 881 - LRB102 12600 LNS 28802 a
100,000 customers in Illinois, these shall be defined
as demand-response products offered in an energy
efficiency plan approved pursuant to Section 8-408 of
this Act. The cost-effective demand-response measures
shall be procured whenever the cost is lower than
procuring comparable capacity products, provided that
such products shall:
(A) be procured by a demand-response provider
from those retail customers included in the plan's
electric supply service requirements;
(B) at least satisfy the demand-response
requirements of the regional transmission
organization market in which the utility's service
territory is located, including, but not limited
to, any applicable capacity or dispatch
requirements;
(C) provide for customers' participation in
the stream of benefits produced by the
demand-response products;
(D) provide for reimbursement by the
demand-response provider of the utility for any
costs incurred as a result of the failure of the
supplier of such products to perform its
obligations thereunder; and
(E) meet the same credit requirements as apply
to suppliers of capacity, in the applicable

10200SB0018sam001 - 882 - LRB102 12600 LNS 28802 a
regional transmission organization market;
(iii) monthly forecasted system supply
requirements, including expected minimum, maximum, and
average values for the planning period;
(iv) the proposed mix and selection of standard
wholesale products for which contracts will be
executed during the next year, separately or in
combination, to meet that portion of its load
requirements not met through pre-existing contracts,
including but not limited to monthly 5 x 16 peak period
block energy, monthly off-peak wrap energy, monthly 7
x 24 energy, annual 5 x 16 energy, other standardized
energy or capacity products designed to provide
eligible retail customer benefits from commercially
deployed advanced technologies including but not
limited to high voltage direct current converter
stations, as such term is defined in Section 1-10 of
the Illinois Power Agency Act, whether or not such
product is currently available in wholesale markets,
annual off-peak wrap energy, annual 7 x 24 energy,
monthly capacity, annual capacity, peak load capacity
obligations, capacity purchase plan, and ancillary
services;
(v) proposed term structures for each wholesale
product type included in the proposed procurement plan
portfolio of products; and

10200SB0018sam001 - 883 - LRB102 12600 LNS 28802 a
(vi) an assessment of the price risk, load
uncertainty, and other factors that are associated
with the proposed procurement plan; this assessment,
to the extent possible, shall include an analysis of
the following factors: contract terms, time frames for
securing products or services, fuel costs, weather
patterns, transmission costs, market conditions, and
the governmental regulatory environment; the proposed
procurement plan shall also identify alternatives for
those portfolio measures that are identified as having
significant price risk and mitigation in the form of
additional retail customer and ratepayer price,
reliability, and environmental benefits from
standardized energy products delivered from
commercially deployed advanced technologies,
including, but not limited to, high voltage direct
current converter stations, as such term is defined in
Section 1-10 of the Illinois Power Agency Act, whether
or not such product is currently available in
wholesale markets.
(4) Proposed procedures for balancing loads. The
procurement plan shall include, for load requirements
included in the procurement plan, the process for (i)
hourly balancing of supply and demand and (ii) the
criteria for portfolio re-balancing in the event of
significant shifts in load.

10200SB0018sam001 - 884 - LRB102 12600 LNS 28802 a
(5) Long-Term Renewable Resources Procurement Plan.
The Agency shall prepare a long-term renewable resources
procurement plan for the procurement of renewable energy
credits under Sections 1-56 and 1-75 of the Illinois Power
Agency Act for delivery beginning in the 2017 delivery
year.
(i) The initial long-term renewable resources
procurement plan and all subsequent revisions shall be
subject to review and approval by the Commission. For
the purposes of this Section, "delivery year" has the
same meaning as in Section 1-10 of the Illinois Power
Agency Act. For purposes of this Section, "Agency"
shall mean the Illinois Power Agency.
(ii) The long-term renewable resources planning
process shall be conducted as follows:
(A) Electric utilities shall provide a range
of load forecasts to the Illinois Power Agency
within 45 days of the Agency's request for
forecasts, which request shall specify the length
and conditions for the forecasts including, but
not limited to, the quantity of distributed
generation expected to be interconnected for each
year.
(B) The Agency shall publish for comment the
initial long-term renewable resources procurement
plan no later than 120 days after the effective

10200SB0018sam001 - 885 - LRB102 12600 LNS 28802 a
date of this amendatory Act of the 99th General
Assembly and shall review, and may revise, the
plan at least every 2 years thereafter. To the
extent practicable, the Agency shall review and
propose any revisions to the long-term renewable
energy resources procurement plan in conjunction
with the Agency's other planning and approval
processes conducted under this Section. The
initial long-term renewable resources procurement
plan shall:
(aa) Identify the procurement programs and
competitive procurement events consistent with
the applicable requirements of the Illinois
Power Agency Act and shall be designed to
achieve the goals set forth in subsection (c)
of Section 1-75 of that Act.
(bb) Include a schedule for procurements
for renewable energy credits from
utility-scale wind projects, utility-scale
solar projects, and brownfield site
photovoltaic projects consistent with
subparagraph (G) of paragraph (1) of
subsection (c) of Section 1-75 of the Illinois
Power Agency Act.
(cc) Identify the process whereby the
Agency will submit to the Commission for

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review and approval the proposed contracts to
implement the programs required by such plan.
Copies of the initial long-term renewable
resources procurement plan and all subsequent
revisions shall be posted and made publicly
available on the Agency's and Commission's
websites, and copies shall also be provided to
each affected electric utility. An affected
utility and other interested parties shall have 45
days following the date of posting to provide
comment to the Agency on the initial long-term
renewable resources procurement plan and all
subsequent revisions. All comments submitted to
the Agency shall be specific, supported by data or
other detailed analyses, and, if objecting to all
or a portion of the procurement plan, accompanied
by specific alternative wording or proposals. All
comments shall be posted on the Agency's and
Commission's websites. During this 45-day comment
period, the Agency shall hold at least one public
hearing within each utility's service area that is
subject to the requirements of this paragraph (5)
for the purpose of receiving public comment.
Within 21 days following the end of the 45-day
review period, the Agency may revise the long-term
renewable resources procurement plan based on the

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comments received and shall file the plan with the
Commission for review and approval.
(C) Within 14 days after the filing of the
initial long-term renewable resources procurement
plan or any subsequent revisions, any person
objecting to the plan may file an objection with
the Commission. Within 21 days after the filing of
the plan, the Commission shall determine whether a
hearing is necessary. The Commission shall enter
its order confirming or modifying the initial
long-term renewable resources procurement plan or
any subsequent revisions within 120 days after the
filing of the plan by the Illinois Power Agency.
(D) The Commission shall approve the initial
long-term renewable resources procurement plan and
any subsequent revisions, including expressly the
forecast used in the plan and taking into account
that funding will be limited to the amount of
revenues actually collected by the utilities, if
the Commission determines that the plan will
reasonably and prudently accomplish the
requirements of Section 1-56 and subsection (c) of
Section 1-75 of the Illinois Power Agency Act. The
Commission shall also approve the process for the
submission, review, and approval of the proposed
contracts to procure renewable energy credits or

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implement the programs authorized by the
Commission pursuant to a long-term renewable
resources procurement plan approved under this
Section.
In approving any long-term renewable resources
procurement plan after the effective date of this
amendatory Act of the 102nd General Assembly, the
Commission shall approve or modify the Agency's
proposal for minimum equity standards pursuant to
subsection (c-10) of Section 1-75 of the Illinois
Power Agency Act. The Commission shall consider
any analysis performed by the Agency in developing
its proposal, including past performance,
availability of equity eligible contractors, and
availability of equity eligible persons at the
time the long-term renewable resources procurement
plan is approved.
(iii) The Agency or third parties contracted by
the Agency shall implement all programs authorized by
the Commission in an approved long-term renewable
resources procurement plan without further review and
approval by the Commission. Third parties shall not
begin implementing any programs or receive any payment
under this Section until the Commission has approved
the contract or contracts under the process authorized
by the Commission in item (D) of subparagraph (ii) of

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paragraph (5) of this subsection (b) and the third
party and the Agency or utility, as applicable, have
executed the contract. For those renewable energy
credits subject to procurement through a competitive
bid process under the plan or under the initial
forward procurements for wind and solar resources
described in subparagraph (G) of paragraph (1) of
subsection (c) of Section 1-75 of the Illinois Power
Agency Act, the Agency shall follow the procurement
process specified in the provisions relating to
electricity procurement in subsections (e) through (i)
of this Section.
(iv) An electric utility shall recover its costs
associated with the procurement of renewable energy
credits under this Section and pursuant to subsection
(c-5) of Section 1-75 of the Illinois Power Agency Act
through an automatic adjustment clause tariff under
subsection (k) or a tariff pursuant to subsection
(i-5), as applicable, of Section 16-108 of this Act. A
utility shall not be required to advance any payment
or pay any amounts under this Section that exceed the
actual amount of revenues collected by the utility
under paragraph (6) of subsection (c) of Section 1-75
of the Illinois Power Agency Act, subsection (c-5) of
Section 1-75 of the Illinois Power Agency Act, and
subsection (k) or subsection (i-5), as applicable, of

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Section 16-108 of this Act, and contracts executed
under this Section shall expressly incorporate this
limitation.
(v) For the public interest, safety, and welfare,
the Agency and the Commission may adopt rules to carry
out the provisions of this Section on an emergency
basis immediately following the effective date of this
amendatory Act of the 99th General Assembly.
(vi) On or before July 1 of each year, the
Commission shall hold an informal hearing for the
purpose of receiving comments on the prior year's
procurement process and any recommendations for
change.
(b-5) An electric utility that as of January 1, 2019
served more than 300,000 retail customers in this State shall
purchase renewable energy credits from new renewable energy
facilities constructed at or adjacent to the sites of
coal-fueled electric generating facilities in this State in
accordance with subsection (c-5) of Section 1-75 of the
Illinois Power Agency Act. Except as expressly provided in
this Section, the plans and procedures for such procurements
shall not be included in the procurement plans provided for in
this Section, but rather shall be conducted and implemented
solely in accordance with subsection (c-5) of Section 1-75 of
the Illinois Power Agency Act.
(c) The provisions of this subsection (c) shall not apply

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to procurements conducted pursuant to subsection (c-5) of
Section 1-75 of the Illinois Power Agency Act. However, the
Agency may retain a procurement administrator to assist the
Agency in planning and carrying out the procurement events and
implementing the other requirements specified in such
subsection (c-5) of Section 1-75 of the Illinois Power Agency
Act, with the costs incurred by the Agency for the procurement
administrator to be recovered through fees charged to
applicants for selection to sell and deliver renewable energy
credits to electric utilities pursuant to subsection (c-5) of
Section 1-75 of the Illinois Power Agency Act. The procurement
process set forth in Section 1-75 of the Illinois Power Agency
Act and subsection (e) of this Section shall be administered
by a procurement administrator and monitored by a procurement
monitor.
(1) The procurement administrator shall:
(i) design the final procurement process in
accordance with Section 1-75 of the Illinois Power
Agency Act and subsection (e) of this Section
following Commission approval of the procurement plan;
(ii) develop benchmarks in accordance with
subsection (e)(3) to be used to evaluate bids; these
benchmarks shall be submitted to the Commission for
review and approval on a confidential basis prior to
the procurement event;
(iii) serve as the interface between the electric

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utility and suppliers;
(iv) manage the bidder pre-qualification and
registration process;
(v) obtain the electric utilities' agreement to
the final form of all supply contracts and credit
collateral agreements;
(vi) administer the request for proposals process;
(vii) have the discretion to negotiate to
determine whether bidders are willing to lower the
price of bids that meet the benchmarks approved by the
Commission; any post-bid negotiations with bidders
shall be limited to price only and shall be completed
within 24 hours after opening the sealed bids and
shall be conducted in a fair and unbiased manner; in
conducting the negotiations, there shall be no
disclosure of any information derived from proposals
submitted by competing bidders; if information is
disclosed to any bidder, it shall be provided to all
competing bidders;
(viii) maintain confidentiality of supplier and
bidding information in a manner consistent with all
applicable laws, rules, regulations, and tariffs;
(ix) submit a confidential report to the
Commission recommending acceptance or rejection of
bids;
(x) notify the utility of contract counterparties

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and contract specifics; and
(xi) administer related contingency procurement
events.
(2) The procurement monitor, who shall be retained by
the Commission, shall:
(i) monitor interactions among the procurement
administrator, suppliers, and utility;
(ii) monitor and report to the Commission on the
progress of the procurement process;
(iii) provide an independent confidential report
to the Commission regarding the results of the
procurement event;
(iv) assess compliance with the procurement plans
approved by the Commission for each utility that on
December 31, 2005 provided electric service to at
least 100,000 customers in Illinois and for each small
multi-jurisdictional utility that on December 31, 2005
served less than 100,000 customers in Illinois;
(v) preserve the confidentiality of supplier and
bidding information in a manner consistent with all
applicable laws, rules, regulations, and tariffs;
(vi) provide expert advice to the Commission and
consult with the procurement administrator regarding
issues related to procurement process design, rules,
protocols, and policy-related matters; and
(vii) consult with the procurement administrator

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regarding the development and use of benchmark
criteria, standard form contracts, credit policies,
and bid documents.
(d) Except as provided in subsection (j), the planning
process shall be conducted as follows:
(1) Beginning in 2008, each Illinois utility procuring
power pursuant to this Section shall annually provide a
range of load forecasts to the Illinois Power Agency by
July 15 of each year, or such other date as may be required
by the Commission or Agency. The load forecasts shall
cover the 5-year procurement planning period for the next
procurement plan and shall include hourly data
representing a high-load, low-load, and expected-load
scenario for the load of those retail customers included
in the plan's electric supply service requirements. The
utility shall provide supporting data and assumptions for
each of the scenarios.
(2) Beginning in 2008, the Illinois Power Agency shall
prepare a procurement plan by August 15th of each year, or
such other date as may be required by the Commission. The
procurement plan shall identify the portfolio of
demand-response and power and energy products to be
procured. Cost-effective demand-response measures shall be
procured as set forth in item (iii) of subsection (b) of
this Section. Copies of the procurement plan shall be
posted and made publicly available on the Agency's and

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Commission's websites, and copies shall also be provided
to each affected electric utility. An affected utility
shall have 30 days following the date of posting to
provide comment to the Agency on the procurement plan.
Other interested entities also may comment on the
procurement plan. All comments submitted to the Agency
shall be specific, supported by data or other detailed
analyses, and, if objecting to all or a portion of the
procurement plan, accompanied by specific alternative
wording or proposals. All comments shall be posted on the
Agency's and Commission's websites. During this 30-day
comment period, the Agency shall hold at least one public
hearing within each utility's service area for the purpose
of receiving public comment on the procurement plan.
Within 14 days following the end of the 30-day review
period, the Agency shall revise the procurement plan as
necessary based on the comments received and file the
procurement plan with the Commission and post the
procurement plan on the websites.
(3) Within 5 days after the filing of the procurement
plan, any person objecting to the procurement plan shall
file an objection with the Commission. Within 10 days
after the filing, the Commission shall determine whether a
hearing is necessary. The Commission shall enter its order
confirming or modifying the procurement plan within 90
days after the filing of the procurement plan by the

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Illinois Power Agency.
(4) The Commission shall approve the procurement plan,
including expressly the forecast used in the procurement
plan, if the Commission determines that it will ensure
adequate, reliable, affordable, efficient, and
environmentally sustainable electric service at the lowest
total cost over time, taking into account any benefits of
price stability.
(4.5) The Commission shall review the Agency's
recommendations for the selection of applicants to enter
into long-term contracts for the sale and delivery of
renewable energy credits from new renewable energy
facilities to be constructed at or adjacent to the sites
of coal-fueled electric generating facilities in this
State in accordance with the provisions of subsection
(c-5) of Section 1-75 of the Illinois Power Agency Act,
and shall approve the Agency's recommendations if the
Commission determines that the applicants recommended by
the Agency for selection, the proposed new renewable
energy facilities to be constructed, the amounts of
renewable energy credits to be delivered pursuant to the
contracts, and the other terms of the contracts, are
consistent with the requirements of subsection (c-5) of
Section 1-75 of the Illinois Power Agency Act.
(e) The procurement process shall include each of the
following components:

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(1) Solicitation, pre-qualification, and registration
of bidders. The procurement administrator shall
disseminate information to potential bidders to promote a
procurement event, notify potential bidders that the
procurement administrator may enter into a post-bid price
negotiation with bidders that meet the applicable
benchmarks, provide supply requirements, and otherwise
explain the competitive procurement process. In addition
to such other publication as the procurement administrator
determines is appropriate, this information shall be
posted on the Illinois Power Agency's and the Commission's
websites. The procurement administrator shall also
administer the prequalification process, including
evaluation of credit worthiness, compliance with
procurement rules, and agreement to the standard form
contract developed pursuant to paragraph (2) of this
subsection (e). The procurement administrator shall then
identify and register bidders to participate in the
procurement event.
(2) Standard contract forms and credit terms and
instruments. The procurement administrator, in
consultation with the utilities, the Commission, and other
interested parties and subject to Commission oversight,
shall develop and provide standard contract forms for the
supplier contracts that meet generally accepted industry
practices. Standard credit terms and instruments that meet

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generally accepted industry practices shall be similarly
developed. The procurement administrator shall make
available to the Commission all written comments it
receives on the contract forms, credit terms, or
instruments. If the procurement administrator cannot reach
agreement with the applicable electric utility as to the
contract terms and conditions, the procurement
administrator must notify the Commission of any disputed
terms and the Commission shall resolve the dispute. The
terms of the contracts shall not be subject to negotiation
by winning bidders, and the bidders must agree to the
terms of the contract in advance so that winning bids are
selected solely on the basis of price.
(3) Establishment of a market-based price benchmark.
As part of the development of the procurement process, the
procurement administrator, in consultation with the
Commission staff, Agency staff, and the procurement
monitor, shall establish benchmarks for evaluating the
final prices in the contracts for each of the products
that will be procured through the procurement process. The
benchmarks shall be based on price data for similar
products for the same delivery period and same delivery
hub, or other delivery hubs after adjusting for that
difference. The price benchmarks may also be adjusted to
take into account differences between the information
reflected in the underlying data sources and the specific

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products and procurement process being used to procure
power for the Illinois utilities. The benchmarks shall be
confidential but shall be provided to, and will be subject
to Commission review and approval, prior to a procurement
event.
(4) Request for proposals competitive procurement
process. The procurement administrator shall design and
issue a request for proposals to supply electricity in
accordance with each utility's procurement plan, as
approved by the Commission. The request for proposals
shall set forth a procedure for sealed, binding commitment
bidding with pay-as-bid settlement, and provision for
selection of bids on the basis of price.
(5) A plan for implementing contingencies in the event
of supplier default or failure of the procurement process
to fully meet the expected load requirement due to
insufficient supplier participation, Commission rejection
of results, or any other cause.
(i) Event of supplier default: In the event of
supplier default, the utility shall review the
contract of the defaulting supplier to determine if
the amount of supply is 200 megawatts or greater, and
if there are more than 60 days remaining of the
contract term. If both of these conditions are met,
and the default results in termination of the
contract, the utility shall immediately notify the

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Illinois Power Agency that a request for proposals
must be issued to procure replacement power, and the
procurement administrator shall run an additional
procurement event. If the contracted supply of the
defaulting supplier is less than 200 megawatts or
there are less than 60 days remaining of the contract
term, the utility shall procure power and energy from
the applicable regional transmission organization
market, including ancillary services, capacity, and
day-ahead or real time energy, or both, for the
duration of the contract term to replace the
contracted supply; provided, however, that if a needed
product is not available through the regional
transmission organization market it shall be purchased
from the wholesale market.
(ii) Failure of the procurement process to fully
meet the expected load requirement: If the procurement
process fails to fully meet the expected load
requirement due to insufficient supplier participation
or due to a Commission rejection of the procurement
results, the procurement administrator, the
procurement monitor, and the Commission staff shall
meet within 10 days to analyze potential causes of low
supplier interest or causes for the Commission
decision. If changes are identified that would likely
result in increased supplier participation, or that

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would address concerns causing the Commission to
reject the results of the prior procurement event, the
procurement administrator may implement those changes
and rerun the request for proposals process according
to a schedule determined by those parties and
consistent with Section 1-75 of the Illinois Power
Agency Act and this subsection. In any event, a new
request for proposals process shall be implemented by
the procurement administrator within 90 days after the
determination that the procurement process has failed
to fully meet the expected load requirement.
(iii) In all cases where there is insufficient
supply provided under contracts awarded through the
procurement process to fully meet the electric
utility's load requirement, the utility shall meet the
load requirement by procuring power and energy from
the applicable regional transmission organization
market, including ancillary services, capacity, and
day-ahead or real time energy, or both; provided,
however, that if a needed product is not available
through the regional transmission organization market
it shall be purchased from the wholesale market.
(6) The procurement processes process described in
this subsection and in subsection (c-5) of Section 1-75 of
the Illinois Power Agency Act are is exempt from the
requirements of the Illinois Procurement Code, pursuant to

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Section 20-10 of that Code.
(f) Within 2 business days after opening the sealed bids,
the procurement administrator shall submit a confidential
report to the Commission. The report shall contain the results
of the bidding for each of the products along with the
procurement administrator's recommendation for the acceptance
and rejection of bids based on the price benchmark criteria
and other factors observed in the process. The procurement
monitor also shall submit a confidential report to the
Commission within 2 business days after opening the sealed
bids. The report shall contain the procurement monitor's
assessment of bidder behavior in the process as well as an
assessment of the procurement administrator's compliance with
the procurement process and rules. The Commission shall review
the confidential reports submitted by the procurement
administrator and procurement monitor, and shall accept or
reject the recommendations of the procurement administrator
within 2 business days after receipt of the reports.
(g) Within 3 business days after the Commission decision
approving the results of a procurement event, the utility
shall enter into binding contractual arrangements with the
winning suppliers using the standard form contracts; except
that the utility shall not be required either directly or
indirectly to execute the contracts if a tariff that is
consistent with subsection (l) of this Section has not been
approved and placed into effect for that utility.

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(h) For the procurement of standard wholesale products,
the names of the successful bidders and the load weighted
average of the winning bid prices for each contract type and
for each contract term shall be made available to the public at
the time of Commission approval of a procurement event. For
procurements conducted to meet the requirements of subsection
(b) of Section 1-56 or subsection (c) of Section 1-75 of the
Illinois Power Agency Act governed by the provisions of this
Section, the address and nameplate capacity of the new
renewable energy generating facility proposed by a winning
bidder shall also be made available to the public at the time
of Commission approval of a procurement event, along with the
business address and contact information for any winning
bidder. An estimate or approximation of the nameplate capacity
of the new renewable energy generating facility may be
disclosed if necessary to protect the confidentiality of
individual bid prices.
The Commission, the procurement monitor, the procurement
administrator, the Illinois Power Agency, and all participants
in the procurement process shall maintain the confidentiality
of all other supplier and bidding information in a manner
consistent with all applicable laws, rules, regulations, and
tariffs. Confidential information, including the confidential
reports submitted by the procurement administrator and
procurement monitor pursuant to subsection (f) of this
Section, shall not be made publicly available and shall not be

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discoverable by any party in any proceeding, absent a
compelling demonstration of need, nor shall those reports be
admissible in any proceeding other than one for law
enforcement purposes. The names of the successful bidders and
the load weighted average of the winning bid prices for each
contract type and for each contract term shall be made
available to the public at the time of Commission approval of a
procurement event. The Commission, the procurement monitor,
the procurement administrator, the Illinois Power Agency, and
all participants in the procurement process shall maintain the
confidentiality of all other supplier and bidding information
in a manner consistent with all applicable laws, rules,
regulations, and tariffs. Confidential information, including
the confidential reports submitted by the procurement
administrator and procurement monitor pursuant to subsection
(f) of this Section, shall not be made publicly available and
shall not be discoverable by any party in any proceeding,
absent a compelling demonstration of need, nor shall those
reports be admissible in any proceeding other than one for law
enforcement purposes.
(i) Within 2 business days after a Commission decision
approving the results of a procurement event or such other
date as may be required by the Commission from time to time,
the utility shall file for informational purposes with the
Commission its actual or estimated retail supply charges, as
applicable, by customer supply group reflecting the costs

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associated with the procurement and computed in accordance
with the tariffs filed pursuant to subsection (l) of this
Section and approved by the Commission.
(j) Within 60 days following August 28, 2007 (the
effective date of Public Act 95-481), each electric utility
that on December 31, 2005 provided electric service to at
least 100,000 customers in Illinois shall prepare and file
with the Commission an initial procurement plan, which shall
conform in all material respects to the requirements of the
procurement plan set forth in subsection (b); provided,
however, that the Illinois Power Agency Act shall not apply to
the initial procurement plan prepared pursuant to this
subsection. The initial procurement plan shall identify the
portfolio of power and energy products to be procured and
delivered for the period June 2008 through May 2009, and shall
identify the proposed procurement administrator, who shall
have the same experience and expertise as is required of a
procurement administrator hired pursuant to Section 1-75 of
the Illinois Power Agency Act. Copies of the procurement plan
shall be posted and made publicly available on the
Commission's website. The initial procurement plan may include
contracts for renewable resources that extend beyond May 2009.
(i) Within 14 days following filing of the initial
procurement plan, any person may file a detailed objection
with the Commission contesting the procurement plan
submitted by the electric utility. All objections to the

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electric utility's plan shall be specific, supported by
data or other detailed analyses. The electric utility may
file a response to any objections to its procurement plan
within 7 days after the date objections are due to be
filed. Within 7 days after the date the utility's response
is due, the Commission shall determine whether a hearing
is necessary. If it determines that a hearing is
necessary, it shall require the hearing to be completed
and issue an order on the procurement plan within 60 days
after the filing of the procurement plan by the electric
utility.
(ii) The order shall approve or modify the procurement
plan, approve an independent procurement administrator,
and approve or modify the electric utility's tariffs that
are proposed with the initial procurement plan. The
Commission shall approve the procurement plan if the
Commission determines that it will ensure adequate,
reliable, affordable, efficient, and environmentally
sustainable electric service at the lowest total cost over
time, taking into account any benefits of price stability.
(k) (Blank).
(k-5) (Blank).
(l) An electric utility shall recover its costs incurred
under this Section and subsection (c-5) of Section 1-75 of the
Illinois Power Agency Act, including, but not limited to, the
costs of procuring power and energy demand-response resources

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under this Section and its costs for purchasing renewable
energy credits pursuant to subsection (c-5) of Section 1-75 of
the Illinois Power Agency Act. The utility shall file with the
initial procurement plan its proposed tariffs through which
its costs of procuring power that are incurred pursuant to a
Commission-approved procurement plan and those other costs
identified in this subsection (l), will be recovered. The
tariffs shall include a formula rate or charge designed to
pass through both the costs incurred by the utility in
procuring a supply of electric power and energy for the
applicable customer classes with no mark-up or return on the
price paid by the utility for that supply, plus any just and
reasonable costs that the utility incurs in arranging and
providing for the supply of electric power and energy. The
formula rate or charge shall also contain provisions that
ensure that its application does not result in over or under
recovery due to changes in customer usage and demand patterns,
and that provide for the correction, on at least an annual
basis, of any accounting errors that may occur. A utility
shall recover through the tariff all reasonable costs incurred
to implement or comply with any procurement plan that is
developed and put into effect pursuant to Section 1-75 of the
Illinois Power Agency Act and this Section, and for the
procurement of renewable energy credits pursuant to subsection
(c-5) of Section 1-75 of the Illinois Power Agency Act,
including any fees assessed by the Illinois Power Agency,

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costs associated with load balancing, and contingency plan
costs. The electric utility shall also recover its full costs
of procuring electric supply for which it contracted before
the effective date of this Section in conjunction with the
provision of full requirements service under fixed-price
bundled service tariffs subsequent to December 31, 2006. All
such costs shall be deemed to have been prudently incurred.
The pass-through tariffs that are filed and approved pursuant
to this Section shall not be subject to review under, or in any
way limited by, Section 16-111(i) of this Act. All of the costs
incurred by the electric utility associated with the purchase
of zero emission credits in accordance with subsection (d-5)
of Section 1-75 of the Illinois Power Agency Act, all costs
incurred by the electric utility associated with the purchase
of carbon mitigation credits in accordance with subsection
(d-10) of Section 1-75 of the Illinois Power Agency Act, and,
beginning June 1, 2017, all of the costs incurred by the
electric utility associated with the purchase of renewable
energy resources in accordance with Sections 1-56 and 1-75 of
the Illinois Power Agency Act, and all of the costs incurred by
the electric utility in purchasing renewable energy credits in
accordance with subsection (c-5) of Section 1-75 of the
Illinois Power Agency Act, shall be recovered through the
electric utility's tariffed charges applicable to all of its
retail customers, as specified in subsection (k) or subsection
(i-5), as applicable, of Section 16-108 of this Act, and shall

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not be recovered through the electric utility's tariffed
charges for electric power and energy supply to its eligible
retail customers.
(m) The Commission has the authority to adopt rules to
carry out the provisions of this Section. For the public
interest, safety, and welfare, the Commission also has
authority to adopt rules to carry out the provisions of this
Section on an emergency basis immediately following August 28,
2007 (the effective date of Public Act 95-481).
(n) Notwithstanding any other provision of this Act, any
affiliated electric utilities that submit a single procurement
plan covering their combined needs may procure for those
combined needs in conjunction with that plan, and may enter
jointly into power supply contracts, purchases, and other
procurement arrangements, and allocate capacity and energy and
cost responsibility therefor among themselves in proportion to
their requirements.
(o) On or before June 1 of each year, the Commission shall
hold an informal hearing for the purpose of receiving comments
on the prior year's procurement process and any
recommendations for change.
(p) An electric utility subject to this Section may
propose to invest, lease, own, or operate an electric
generation facility as part of its procurement plan, provided
the utility demonstrates that such facility is the least-cost
option to provide electric service to those retail customers

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included in the plan's electric supply service requirements.
If the facility is shown to be the least-cost option and is
included in a procurement plan prepared in accordance with
Section 1-75 of the Illinois Power Agency Act and this
Section, then the electric utility shall make a filing
pursuant to Section 8-406 of this Act, and may request of the
Commission any statutory relief required thereunder. If the
Commission grants all of the necessary approvals for the
proposed facility, such supply shall thereafter be considered
as a pre-existing contract under subsection (b) of this
Section. The Commission shall in any order approving a
proposal under this subsection specify how the utility will
recover the prudently incurred costs of investing in, leasing,
owning, or operating such generation facility through just and
reasonable rates charged to those retail customers included in
the plan's electric supply service requirements. Cost recovery
for facilities included in the utility's procurement plan
pursuant to this subsection shall not be subject to review
under or in any way limited by the provisions of Section
16-111(i) of this Act. Nothing in this Section is intended to
prohibit a utility from filing for a fuel adjustment clause as
is otherwise permitted under Section 9-220 of this Act.
(q) If the Illinois Power Agency filed with the
Commission, under Section 16-111.5 of this Act, its proposed
procurement plan for the period commencing June 1, 2017, and
the Commission has not yet entered its final order approving

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the plan on or before the effective date of this amendatory Act
of the 99th General Assembly, then the Illinois Power Agency
shall file a notice of withdrawal with the Commission, after
the effective date of this amendatory Act of the 99th General
Assembly, to withdraw the proposed procurement of renewable
energy resources to be approved under the plan, other than the
procurement of renewable energy credits from distributed
renewable energy generation devices using funds previously
collected from electric utilities' retail customers that take
service pursuant to electric utilities' hourly pricing tariff
or tariffs and, for an electric utility that serves less than
100,000 retail customers in the State, other than the
procurement of renewable energy credits from distributed
renewable energy generation devices. Upon receipt of the
notice, the Commission shall enter an order that approves the
withdrawal of the proposed procurement of renewable energy
resources from the plan. The initially proposed procurement of
renewable energy resources shall not be approved or be the
subject of any further hearing, investigation, proceeding, or
order of any kind.
This amendatory Act of the 99th General Assembly preempts
and supersedes any order entered by the Commission that
approved the Illinois Power Agency's procurement plan for the
period commencing June 1, 2017, to the extent it is
inconsistent with the provisions of this amendatory Act of the
99th General Assembly. To the extent any previously entered

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order approved the procurement of renewable energy resources,
the portion of that order approving the procurement shall be
void, other than the procurement of renewable energy credits
from distributed renewable energy generation devices using
funds previously collected from electric utilities' retail
customers that take service under electric utilities' hourly
pricing tariff or tariffs and, for an electric utility that
serves less than 100,000 retail customers in the State, other
than the procurement of renewable energy credits for
distributed renewable energy generation devices.
(Source: P.A. 99-906, eff. 6-1-17.)
(220 ILCS 5/16-111.10 new)
Sec. 16-111.10. Equitable Energy Upgrade Program.
(a) The General Assembly finds and declares that Illinois
homes and businesses can contribute to the creation of a clean
energy economy, conservation of natural resources, and
reliability of the electricity grid through the installation
of cost-effective renewable energy generation, energy
efficiency and demand response equipment, and energy storage
systems. Further, a large portion of Illinois residents and
businesses that would benefit from the installation of energy
efficiency, storage, and renewable energy generation systems
are unable to purchase systems due to capital or credit
barriers. This State should pursue options to enable many more
Illinoisans to access the health, environmental, and financial

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benefits of new clean energy technology.
(b) As used in this Section:
"Commission" means the Illinois Commerce Commission.
"Energy project" means renewable energy generation
systems, including solar projects, energy efficiency upgrades,
energy storage systems, demand response equipment, or any
combination thereof.
"Fund" means the Clean Energy Jobs and Justice Fund
established in the Clean Energy Jobs and Justice Fund Act.
"Program" means the Equitable Energy Upgrade Program
established under subsection (c).
"Utility" means electric public utilities providing
services to 500,000 or more customers under this Act.
(c) The Commission shall open an investigation into and
direct all electric public utilities in this State to adopt an
Equitable Energy Upgrade Program that permits customers to
finance the construction of energy projects through an
optional tariff payable directly through their utility bill,
modeled after the Pay As You Save system, developed by the
Energy Efficiency Institute. The Program model shall enable
utilities to offer to make investments in energy projects to
customer properties with low-cost capital and use an opt-in
tariff to recover the costs. The Program shall be designed to
provide customers with immediate financial savings if they
choose to participate. The Program shall allow residential
electric utility customers that own the property, or renters

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that have permission of the property owner, for which they
subscribe to utility service to agree to the installation of
an energy project. The Program shall ensure:
(1) eligible projects do not require upfront payments;
however, customers may pay down the costs for projects
with a payment to the installing contractor in order to
qualify projects that would otherwise require upfront
payments;
(2) eligible projects have sufficient estimated
savings and estimated life span to produce significant,
immediate net savings;
(3) participants shall agree the utility can recover
its costs for the projects at their location by paying for
the project through an optional tariff directly through
the participant's electricity bill, allowing participants
to benefit from installation of energy projects without
traditional loans;
(4) accessibility by lower-income residents and
environmental justice community residents; and
(5) the utility must ensure that customers who are
interested in participating are notified that if they are
income qualified, they may also be eligible for the
Percentage of Income Payment Plan program and free energy
improvements through other programs and provide contact
information.
(d) The Commission shall establish Program guidelines with

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the anticipated schedule of Program availability as follows:
(1) Year 1: Beginning in the first year of operation,
each utility is required to obtain low-cost capital of at
least $20,000,000 annually for investments in energy
projects.
(2) Year 2: Beginning in the second year of operation,
each utility is required to obtain low-cost capital for
investments in energy projects of at least $40,000,000
annually.
(3) Year 3: Beginning in the third year of operation,
each utility is required to obtain low-cost capital for
investments in as many systems as customers demand,
subject to available capital provided by the utility,
State, or other lenders.
(e) In the design of the Program, the Commission shall:
(1) Within 270 days after the effective date of this
amendatory Act of the 102nd General Assembly, convene a
workshop during which interested participants may discuss
issues and submit comments related to the Program.
(2) Establish Program guidelines for implementation of
the Program in accordance with the Pay As You Save
Essential Elements and Minimum Program Requirements that
electric utilities must abide by when implementing the
Program. Program guidelines established by the Commission
shall include the following elements:
(A) The Commission shall establish conditions

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under which utilities secure capital to fund the
energy projects. The Commission may allow utilities to
raise capital independently, work with third-party
lenders to secure the capital for participants, or a
combination thereof. Any process the Commission
approves must use a market mechanism to identify the
least costly sources of capital funds so as to pass on
maximum savings to participants. The State or the
Clean Energy Jobs and Justice Fund may also provide
capital for the Program.
(B) Customer protection guidelines should be
designed consistent with Pay As You Save Essential
Elements and Minimum Program Requirements.
(C) The Commission shall establish conditions by
which utilities may connect Program participants to
energy project vendors. In setting conditions for
connection, the Commission may prioritize vendors that
have a history of good relations with the State,
including vendors that have hired participants from
State-created job training programs.
(D) Guarantee that conservative estimates of
financial savings will immediately and significantly
exceed Program costs for Program participants.
(f) Within 120 days after the Commission releases the
Program conditions established under this Section, each
utility subject to the requirements of this Section shall

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submit an informational filing to the Commission that
describes its plan for implementing the provisions of this
Section. If the Commission finds that the submission does not
properly comply with the statutory or regulatory requirements
of the Program, the Commission may require that the utility
make modifications to its filing.
(g) An independent process evaluation shall be conducted
after one year of the Program's operation. An independent
impact evaluation shall be conducted after 3 years of
operation, excluding one-time startup costs and results from
the first 12 months of the Program. The Commission shall
convene an advisory council of stakeholders, including
representation of low-income and environmental justice
community members to make recommendations in response to the
findings of the independent evaluation.
(h) The Program shall be designed using the Pay As You Save
system guidelines to be cost-effective for customers. Only
projects that are deemed to be cost-effective and can be
reasonably expected to ensure customer savings are eligible
for funding through the Program, unless, as specified in
paragraph (1) of subsection (c), customers able to make
upfront copayments to installers buy down the cost of projects
so it can be deemed cost-effective.
(i) Eligible customers must be:
(1) property renters with permission of the property
owner; or

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(2) property owners.
(j) The calculation of project cost-effectiveness shall be
based upon the Pay As You Save system requirements.
(1) The calculation of cost-effectiveness must be
conducted by an objective process approved by the
Commission and based on rates in effect at the time of
installation.
(2) A project shall be considered cost-effective only
if it is estimated to produce significant immediate net
savings, not counting copayments voluntarily made by
customers. The Commission may establish guidelines by
which this required savings is estimated.
(k) The Program should be modeled after the Pay As You Save
system, by which Program participants finance energy projects
using the savings that the energy project creates with a
tariffed on-bill program. Eligible projects shall not create
personal debt for the customer, result in a lien in the event
of nonpayment, or require customers to pay monthly charges for
any upgrade that fails and is not repaired within 21 days. The
utility may restart charges once the upgrade is repaired and
functioning and extend the term of payments to recover its
costs for missed payments and deferred cost recovery,
providing the upgrade continues to function.
(l) Any energy project that is defective or damaged due to
no fault of the participant must be either replaced or
repaired with parts that meet industry standards at the cost

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of the utility or vendor, as specified by the Commission, and
charges shall be suspended until repairs or replacement is
completed. The Commission may establish, increase, or replace
the requirements imposed in this subsection. The Commission
may determine that this responsibility is best handled by
participating project vendors in the form of insurance,
contractual guarantees, or other mechanisms, and issue rules
detailing this requirement. Customers shall not be charged
monthly payments for upgrades that are no longer functioning.
(m) In the event of nonpayment, the remaining balance due
to pay off the system shall remain with the utility meter at an
upgraded location. The Commission shall establish conditions
subject to this constraint in the event of nonpayment that are
in accordance with the Pay As You Save system.
(n) If the demand by utility customers exceeds the Program
capital supply in a given year, utilities shall ensure that
50% of participants are:
(1) customers in neighborhoods where a majority of
households make 150% or less of area median income; or
(2) residents of environmental justice communities.
(o) Utilities shall endeavor to inform customers about the
availability of the Program, their potential eligibility for
participation in the Program, and whether they are likely to
save money on the basis of an estimate conducted using
variables consistent with the Program that the utility has at
its disposal. The Commission may establish guidelines by which

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utilities must abide by this directive and alternatives if the
Commission deems utilities' efforts as inadequate.
(p) Subject to Commission specifications under subsection
(c), each utility shall work with certified project vendors
selected using a request for proposals process to establish
the terms and processes under which a utility can install
eligible renewable energy generation and energy storage
systems using the capital to fit the Equitable Energy Upgrade
model. The certified project vendor shall explain and offer
the approved upgrades to customers and shall assist customers
in applying for financing through the Program. As part of the
process, vendors shall also provide participants with
information about any other relevant incentives that may be
available.
(q) An electric utility shall recover all of the prudently
incurred costs of offering a program approved by the
Commission under this Section. For investor-owned utilities,
shareholder incentives will be proportional to meeting
Commission approved thresholds for the number of customers
served and the amount of its investments in those locations.
(r) The Commission shall adopt all rules necessary for the
administration of this Section.
(220 ILCS 5/16-127)
Sec. 16-127. Environmental disclosure.
(a) Every Effective January 1, 2013, every electric

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utility and alternative retail electric supplier shall provide
the following information, to the maximum extent practicable,
to its customers on a quarterly basis:
(i) the known sources of electricity supplied,
broken-out by percentages, of biomass power, coal-fired
power, hydro power, natural gas-fired power, nuclear
power, oil-fired power, solar power, wind power and other
resources, respectively;
(ii) a pie chart that graphically depicts the
percentages of the sources of the electricity supplied as
set forth in subparagraph (i) of this subsection;
(iii) a pie chart that graphically depicts the
quantity of renewable energy resources procured pursuant
to Section 1-75 of the Illinois Power Agency Act as a
percentage of electricity supplied to serve eligible
retail customers as defined in Section 16-111.5(a) of this
Act; and
(iv) after May, 31, 2017, a pie chart that graphically
depicts the quantity of zero emission credits from zero
emission facilities procured under Section 1-75 of the
Illinois Power Agency Act as a percentage of the actual
load of retail customers within its service area and, for
an electric utility serving over 3,000,000 customers, the
quantity of carbon mitigation credits from carbon-free
energy resources procured under Section 1-75 of the
Illinois Power Agency Act, which may be depicted in

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combination with the zero emission credits procured.
(b) In addition, every electric utility and alternative
retail electric supplier shall provide, to the maximum extent
practicable, to its customers on a quarterly basis, a
standardized chart in a format to be determined by the
Commission in a rule following notice and hearings which
provides the amounts of carbon dioxide, nitrogen oxides and
sulfur dioxide emissions and nuclear waste attributable to the
known sources of electricity supplied as set forth in
subparagraph (i) of subsection (a) of this Section.
(c) The electric utilities and alternative retail electric
suppliers may provide their customers with such other
information as they believe relevant to the information
required in subsections (a) and (b) of this Section. All of the
information required in subsections (a) and (b) of this
Section shall be made available by the electric utilities or
alternative retail electric suppliers either in an electronic
medium, such as on a website or by electronic mail, or through
the U.S. Postal Service.
(d) For the purposes of subsection (a) of this Section,
"biomass" means dedicated crops grown for energy production
and organic wastes.
(e) All of the information provided in subsections (a) and
(b) of this Section shall be presented to the Commission for
inclusion in its World Wide Web Site.
(Source: P.A. 99-906, eff. 6-1-17.)

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(220 ILCS 5/16-135 new)
Sec. 16-135. Energy Storage Program.
(a) The Illinois General Assembly hereby finds and
declares that:
(1) Energy storage systems provide opportunities to:
(A) reduce costs to ratepayers directly or
indirectly by avoiding or deferring the need for
investment in new generation and for upgrades to
systems for the transmission and distribution of
electricity;
(B) reduce the use of fossil fuels for meeting
demand during peak load periods;
(C) provide ancillary services such as frequency
response, load following, and voltage support;
(D) assist electric utilities with integrating
sources of renewable energy into the grid for the
transmission and distribution of electricity, and with
maintaining grid stability;
(E) support diversification of energy resources;
(F) enhance the resilience and reliability of the
electric grid; and
(G) reduce greenhouse gas emissions and other air
pollutants resulting from power generation, thereby
minimizing public health impacts that result from
power generation.

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(2) There are significant barriers to obtaining the
benefits of energy storage systems, including inadequate
valuation of the services that energy storage can provide
to the grid and the public.
(3) It is in the public interest to:
(A) develop a robust competitive market for
existing and new providers of energy storage systems
in order to leverage Illinois' position as a leader in
advanced energy and to capture the potential for
economic development;
(B) implement targets and programs to achieve
deployment of energy storage systems; and
(C) modernize distributed energy resource programs
and interconnection standards to lower costs and
efficiently deploy energy storage systems in order to
increase economic development and job creation within
the state's clean energy economy.
(b) In this Section:
"Energy storage peak standard" means a percentage of
annual retail electricity sales during peak hours that an
electric utility must derive from electricity discharged from
eligible energy storage systems.
"Deployment" means the installation of energy storage
systems through a variety of mechanisms, including utility
procurement, customer installation, or other processes.
"Electric utility" has the same meaning as provided in

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Section 16-102 of this Act.
"Energy storage system" means a technology that is capable
of absorbing zero-carbon energy, storing it for a period of
time, and redelivering that energy after it has been stored in
order to provide direct or indirect benefits to the broader
electricity system. The term includes, but is not limited to,
electrochemical, thermal, and electromechanical technologies.
"Nonwires alternatives solicitation" means a utility
solicitation for third-party-owned or utility-owned
distributed energy resources that uses nontraditional
solutions to defer or replace planned investment on the
distribution or transmission system.
"Total peak demand" means the highest hourly electricity
demand for an electric utility in a given year, measured in
megawatts, from all of the electric utility's customers of
distribution service.
(c) The Commission, in consultation with the Illinois
Power Agency, shall initiate a proceeding to examine specific
programs, mechanisms, and policies that could support the
deployment of energy storage systems. The Illinois Commerce
Commission shall engage a broad group of Illinois
stakeholders, including electric utilities, the energy storage
industry, the renewable energy industry, and others to inform
the proceeding. The proceeding must, at minimum:
(1) develop a framework to identify and measure the
potential costs, benefits, that deployment of energy

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storage could produce, as well as barriers to realizing
such benefits, including, but not limited to:
(A) avoided cost and deferred investments in
generation, transmission, and distribution facilities;
(B) reduced ancillary services costs;
(C) reduced transmission and distribution
congestion;
(D) lower peak power costs and reduced capacity
costs;
(E) reduced costs for emergency power supplies
during outages;
(F) reduced curtailment of renewable energy
generators;
(G) reduced greenhouse gas emissions and other
criteria air pollutants;
(H) increased grid hosting capacity of renewable
energy generators that produce energy on an
intermittent basis;
(I) increased reliability and resilience of the
electric grid;
(J) reduced line losses;
(K) increased resource diversification;
(L) increased economic development;
(2) analyze and estimate:
(A) the impact on the system's ability to
integrate renewable resources;

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(B) the benefits of addition of storage at
specific locations, such as at existing peaking units
or locations on the grid close to large load centers;
(C) the impact on grid reliability and power
quality; and
(D) the effect on retail electric rates and supply
rates over the useful life of a given energy storage
system; and
(3) Evaluate and identify cost-effective policies and
programs to support the deployment of energy storage
systems, including, but not limited to:
(A) incentive programs;
(B) energy storage peak standards;
(C) nonwires alternative solicitation;
(D) peak demand reduction programs for
behind-the-meter storage for all customer classes;
(E) value of distributed energy resources
programs;
(F) tax incentives;
(G) time-varying rates;
(H) updating of interconnection processes and
metering standards; and
(I) procurement by the Illinois Power Agency of
energy storage resources.
(d) The Commission shall, no later than May 31, 2022,
submit to the General Assembly and the Governor any

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recommendations for additional legislative, regulatory, or
executive actions based on the findings of the proceeding.
(e) At the conclusion of the proceeding required under
subsection (c), the Commission shall consider and recommend to
the Governor and General Assembly energy storage deployment
targets, if any, for each electric utility that serves more
than 200,000 customers to be achieved by December 31, 2032,
including recommended interim targets.
(f) In setting recommendations for energy storage
deployment targets, the Commission shall:
(1) take into account the costs and benefits of
procuring energy storage according to the framework
developed in the proceeding under subsection (c);
(2) consider establishing specific subcategories of
deployment of systems by point of interconnection or
application in addition to the 10% requirement for
behind-the-meter energy storage in item (D) of paragraph
(3) of subsection (c).
(220 ILCS 5/17-900 new)
Sec. 17-900. Customer self-generation of electricity.
(a) The General Assembly finds and declares that municipal
systems and electric cooperatives shall continue to be
governed by their respective governing bodies, but that such
governing bodies should recognize and implement policies to
provide the opportunity for their residential and small

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commercial customers who wish to self-generate electricity and
for reasonable credits to customers for excess electricity,
balanced against the rights of the other non-self-generating
customers. This includes creating consistent, fair policies
that are accessible to all customers and transparent, fair
processes for raising and addressing any concerns.
(b) Customers have the right to install renewable
generating facilities to be located on the customer's premises
or customer's side of the billing meter and that are intended
primarily to offset the customer's own electrical requirements
and produce, consume, and store their own renewable energy
without discriminatory repercussions from an electric
cooperative or municipal system. This includes a customer's
rights to:
(1) generate, consume, and deliver excess renewable
energy to the distribution grid and reduce his or her use
of electricity obtained from the grid;
(2) use technology to store energy at his or her
residence;
(3) interconnect his or her electrical system that
generates renewable energy, stores energy, or any
combination thereof, with the electricity meter on the
customer's premises that is provided by an electric
cooperative or municipal system:
(A) in a timely manner;
(B) in accordance with requirements established by

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the electric cooperative or municipal utility to
ensure the safety of utility workers; and
(C) after providing written notice to the electric
cooperative or municipal utility system providing
service in the service territory, installing a
nomenclature plate on the electrical meter panel and
meeting all applicable State and local safety and
electrical code requirements associated with
installing a parallel distributed generation system;
and
(4) receive fair credit for excess energy delivered to
the distribution grid.
(c) The policies of municipal systems and electric
cooperatives regarding self-generation and credits for excess
electricity may reasonably differ from those required of other
entities by Article XVI of the Public Utilities Act or other
Acts. The credits must recognize the value of self-generation
to the distribution grid and benefits to other customers.
(d) Within 180 days after this amendatory Act of the 102nd
General Assembly, each electric cooperative and municipal
system shall update its policies for the interconnection and
fair crediting of customer self-generation and storage if
necessary, to comply with the standards of subsection (b) of
this Section. Each electric cooperative and municipal system
shall post its updated policies to a public-facing area of its
website.

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(e) An electric cooperative or municipal system customer
who produces, consumes, and stores his or her own renewable
energy shall not face discriminatory rate design, fees or
charges, treatment, or excessive compliance requirements that
would unreasonably affect that customer's right to
self-generate electricity as provided for in this Section.
(f) An electric cooperative or municipal utility system
customer shall have a right to appeal any decision related to
self-generation and storage that violates these rights to
self-generation and non-discrimination pursuant to the
provisions of this Section through a complaint under the
Administrative Review Law or similar legal process.
Section 90-52. If and only if Senate Bill 2017 of the 102nd
General Assembly becomes law in the form in which it passed
both houses on June 1, 2021, then the Energy Assistance Act is
amended by changing Sections 13 and 18 as follows:
(305 ILCS 20/13)
(Section scheduled to be repealed on January 1, 2025)
Sec. 13. Supplemental Low-Income Energy Assistance Fund.
(a) The Supplemental Low-Income Energy Assistance Fund is
hereby created as a special fund in the State Treasury.
Notwithstanding any other law to the contrary, the
Supplemental Low-Income Energy Assistance Fund is not subject
to sweeps, administrative charge-backs, or any other fiscal or

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budgetary maneuver that would in any way transfer any amounts
from the Supplemental Low-Income Energy Assistance Fund into
any other fund of the State. The Supplemental Low-Income
Energy Assistance Fund is authorized to receive moneys from
voluntary donations from individuals, foundations,
corporations, and other sources, moneys received pursuant to
Section 17, and, by statutory deposit, the moneys collected
pursuant to this Section. The Fund is also authorized to
receive voluntary donations from individuals, foundations,
corporations, and other sources. Subject to appropriation, the
Department shall use moneys from the Supplemental Low-Income
Energy Assistance Fund for payments to electric or gas public
utilities, municipal electric or gas utilities, and electric
cooperatives on behalf of their customers who are participants
in the program authorized by Sections 4 and 18 of this Act, for
the provision of weatherization services and for
administration of the Supplemental Low-Income Energy
Assistance Fund. All other deposits outside of the Energy
Assistance Charge as set forth in subsection (b) are not
subject to the percentage restrictions related to
administrative and weatherization expenses provided in this
subsection. The yearly expenditures for weatherization may not
exceed 10% of the amount collected during the year pursuant to
this Section, except when unspent funds from the Supplemental
Low-Income Energy Assistance Fund are reallocated from a
previous year; any unspent balance of the 10% weatherization

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allowance may be utilized for weatherization expenses in the
year they are reallocated. The yearly administrative expenses
of the Supplemental Low-Income Energy Assistance Fund may not
exceed 13% of the amount collected during that year pursuant
to this Section, except when unspent funds from the
Supplemental Low-Income Energy Assistance Fund are reallocated
from a previous year; any unspent balance of the 13%
administrative allowance may be utilized for administrative
expenses in the year they are reallocated. Of the 13%
administrative allowance, no less than 8% shall be provided to
Local Administrative Agencies for administrative expenses.
(b) Notwithstanding the provisions of Section 16-111 of
the Public Utilities Act but subject to subsection (k) of this
Section, each public utility, electric cooperative, as defined
in Section 3.4 of the Electric Supplier Act, and municipal
utility, as referenced in Section 3-105 of the Public
Utilities Act, that is engaged in the delivery of electricity
or the distribution of natural gas within the State of
Illinois shall, effective January 1, 2022 2021, assess each of
its customer accounts a monthly Energy Assistance Charge for
the Supplemental Low-Income Energy Assistance Fund. The
delivering public utility, municipal electric or gas utility,
or electric or gas cooperative for a self-assessing purchaser
remains subject to the collection of the fee imposed by this
Section. The monthly charge shall be as follows:
(1) Base Energy Assistance Charge per month on each

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account for residential electrical service;
(2) Base Energy Assistance Charge per month on each
account for residential gas service;
(3) Ten times the Base Energy Assistance Charge per
month on each account for non-residential electric service
which had less than 10 megawatts of peak demand during the
previous calendar year;
(4) Ten times the Base Energy Assistance Charge per
month on each account for non-residential gas service
which had distributed to it less than 4,000,000 therms of
gas during the previous calendar year;
(5) Three hundred and seventy-five times the Base
Energy Assistance Charge per month on each account for
non-residential electric service which had 10 megawatts or
greater of peak demand during the previous calendar year;
and
(6) Three hundred and seventy-five times the Base
Energy Assistance Charge per month on each account for For
non-residential gas service which had 4,000,000 or more
therms of gas distributed to it during the previous
calendar year.
The Base Energy Assistance Charge shall be $0.48 per month
for the calendar year beginning January 1, 2022 and shall
increase by $0.16 per month for any calendar year, provided no
less than 80% of the previous State fiscal year's available
Supplemental Low-Income Energy Assistance Fund funding was

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exhausted. The maximum Base Energy Assistance Charge shall not
exceed $0.96 per month for any calendar year.
The incremental change to such charges imposed by Public
Act 99-933 and this amendatory Act of the 102nd General
Assembly shall not (i) be used for any purpose other than to
directly assist customers and (ii) be applicable to utilities
serving less than 100,000 25,000 customers in Illinois on
January 1, 2021. The incremental change to such charges
imposed by this amendatory Act of the 102nd General Assembly
are intended to increase utilization of the Percentage of
Income Payment Plan (PIPP or PIP Plan) and shall be applied
such that PIP Plan enrollment is at least doubled, as compared
to 2020 enrollment, by 2024.
In addition, electric and gas utilities have committed,
and shall contribute, a one-time payment of $22 million to the
Fund, within 10 days after the effective date of the tariffs
established pursuant to Sections 16-111.8 and 19-145 of the
Public Utilities Act to be used for the Department's cost of
implementing the programs described in Section 18 of this
amendatory Act of the 96th General Assembly, the Arrearage
Reduction Program described in Section 18, and the programs
described in Section 8-105 of the Public Utilities Act. If a
utility elects not to file a rider within 90 days after the
effective date of this amendatory Act of the 96th General
Assembly, then the contribution from such utility shall be
made no later than February 1, 2010.

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(c) For purposes of this Section:
(1) "residential electric service" means electric
utility service for household purposes delivered to a
dwelling of 2 or fewer units which is billed under a
residential rate, or electric utility service for
household purposes delivered to a dwelling unit or units
which is billed under a residential rate and is registered
by a separate meter for each dwelling unit;
(2) "residential gas service" means gas utility
service for household purposes distributed to a dwelling
of 2 or fewer units which is billed under a residential
rate, or gas utility service for household purposes
distributed to a dwelling unit or units which is billed
under a residential rate and is registered by a separate
meter for each dwelling unit;
(3) "non-residential electric service" means electric
utility service which is not residential electric service;
and
(4) "non-residential gas service" means gas utility
service which is not residential gas service.
(d) Within 30 days after the effective date of this
amendatory Act of the 96th General Assembly, each public
utility engaged in the delivery of electricity or the
distribution of natural gas shall file with the Illinois
Commerce Commission tariffs incorporating the Energy
Assistance Charge in other charges stated in such tariffs,

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which shall become effective no later than the beginning of
the first billing cycle following such filing.
(e) The Energy Assistance Charge assessed by electric and
gas public utilities shall be considered a charge for public
utility service.
(f) By the 20th day of the month following the month in
which the charges imposed by the Section were collected, each
public utility, municipal utility, and electric cooperative
shall remit to the Department of Revenue all moneys received
as payment of the Energy Assistance Charge on a return
prescribed and furnished by the Department of Revenue showing
such information as the Department of Revenue may reasonably
require; provided, however, that a utility offering an
Arrearage Reduction Program or Supplemental Arrearage
Reduction Program pursuant to Section 18 of this Act shall be
entitled to net those amounts necessary to fund and recover
the costs of such Programs as authorized by that Section that
is no more than the incremental change in such Energy
Assistance Charge authorized by Public Act 96-33. If a
customer makes a partial payment, a public utility, municipal
utility, or electric cooperative may elect either: (i) to
apply such partial payments first to amounts owed to the
utility or cooperative for its services and then to payment
for the Energy Assistance Charge or (ii) to apply such partial
payments on a pro-rata basis between amounts owed to the
utility or cooperative for its services and to payment for the

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Energy Assistance Charge.
If any payment provided for in this Section exceeds the
distributor's liabilities under this Act, as shown on an
original return, the Department may authorize the distributor
to credit such excess payment against liability subsequently
to be remitted to the Department under this Act, in accordance
with reasonable rules adopted by the Department. If the
Department subsequently determines that all or any part of the
credit taken was not actually due to the distributor, the
distributor's discount shall be reduced by an amount equal to
the difference between the discount as applied to the credit
taken and that actually due, and that distributor shall be
liable for penalties and interest on such difference.
(g) The Department of Revenue shall deposit into the
Supplemental Low-Income Energy Assistance Fund all moneys
remitted to it in accordance with subsection (f) of this
Section. The utilities shall coordinate with the Department to
establish an equitable and practical methodology for
implementing this subsection (g) beginning with the 2010
program year.
(h) On or before December 31, 2002, the Department shall
prepare a report for the General Assembly on the expenditure
of funds appropriated from the Low-Income Energy Assistance
Block Grant Fund for the program authorized under Section 4 of
this Act.
(i) The Department of Revenue may establish such rules as

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it deems necessary to implement this Section.
(j) The Department of Commerce and Economic Opportunity
may establish such rules as it deems necessary to implement
this Section.
(k) The charges imposed by this Section shall only apply
to customers of municipal electric or gas utilities and
electric or gas cooperatives if the municipal electric or gas
utility or electric or gas cooperative makes an affirmative
decision to impose the charge. If a municipal electric or gas
utility or an electric cooperative makes an affirmative
decision to impose the charge provided by this Section, the
municipal electric or gas utility or electric cooperative
shall inform the Department of Revenue in writing of such
decision when it begins to impose the charge. If a municipal
electric or gas utility or electric or gas cooperative does
not assess this charge, the Department may not use funds from
the Supplemental Low-Income Energy Assistance Fund to provide
benefits to its customers under the program authorized by
Section 4 of this Act.
In its use of federal funds under this Act, the Department
may not cause a disproportionate share of those federal funds
to benefit customers of systems which do not assess the charge
provided by this Section.
This Section is repealed on January 1, 2025 unless renewed
by action of the General Assembly.
(Source: P.A. 99-457, eff. 1-1-16; 99-906, eff. 6-1-17;

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99-933, eff. 1-27-17; 100-863, eff. 8-14-18; 100-1171, eff.
1-4-19; 10200SB2017enr.)
(305 ILCS 20/18)
Sec. 18. Financial assistance; payment plans.
(a) The Percentage of Income Payment Plan (PIPP or PIP
Plan) is hereby created as a mandatory bill payment assistance
program for low-income residential customers of utilities
serving more than 100,000 retail customers as of January 1,
2021 2009. The PIP Plan will:
(1) bring participants' gas and electric bills into
the range of affordability;
(2) provide incentives for participants to make timely
payments;
(3) encourage participants to reduce usage and
participate in conservation and energy efficiency measures
that reduce the customer's bill and payment requirements;
and
(4) identify participants whose homes are most in need
of weatherization; and .
(5) endeavor to maximize participation and spend at
least 80% of the funding available for the year.
(b) For purposes of this Section:
(1) "LIHEAP" means the energy assistance program
established under the Illinois Energy Assistance Act and
the Low-Income Home Energy Assistance Act of 1981.

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(2) "Plan participant" is an eligible participant who
is also eligible for the PIPP and who will receive either a
percentage of income payment credit under the PIPP
criteria set forth in this Act or a benefit pursuant to
Section 4 of this Act. Plan participants are a subset of
eligible participants.
(3) "Pre-program arrears" means the amount a plan
participant owes for gas or electric service at the time
the participant is determined to be eligible for the PIPP
or the program set forth in Section 4 of this Act.
(4) "Eligible participant" means any person who has
applied for, been accepted and is receiving residential
service from a gas or electric utility and who is also
eligible for LIHEAP or otherwise satisfies the eligibility
criteria set forth in paragraph (1) of subsection (c).
(c) The PIP Plan shall be administered as follows:
(1) The Department shall coordinate with Local
Administrative Agencies (LAAs), to determine eligibility
for the Illinois Low Income Home Energy Assistance Program
(LIHEAP) pursuant to the Energy Assistance Act, provided
that eligible income shall be no more than 150% of the
poverty level or 60% of the State median income, except
that for the period from the effective date of this
amendatory Act of the 101st General Assembly through June
30, 2021, eligible income shall be no more than 200% of the
poverty level. Applicants will be screened to determine

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whether the applicant's projected payments for electric
service or natural gas service over a 12-month period
exceed the criteria established in this Section. The
Department, in consultation with the Policy Advisory
Council, may adjust the percentage of poverty level
annually to determine income eligibility. To maintain the
financial integrity of the program, the Department may
limit eligibility to households with income below 125% of
the poverty level.
(2) The Department shall establish the percentage of
income formula to determine the amount of a monthly credit
for participants with eligible income based on poverty
level. , not to exceed $150 per month per household, not to
exceed $1,800 annually; however, for the period from the
effective date of this amendatory Act of the 101st General
Assembly through June 30, 2021, the monthly credit for
participants with eligible income over 100% of the poverty
level may be as much as $200 per month per household, not
to exceed $2,400 annually, and, the monthly credit for
participants with eligible income 100% or less of the
poverty level may be as much as $250 per month per
household, not to exceed $3,000 annually. Credits will be
applied to PIP Plan participants' utility bills based on
the portion of the bill that is the responsibility of the
participant provided that the percentage shall be no more
than a total of 6% of the relevant income for gas and

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electric utility bills combined, but in any event no less
than $10 per month, unless the household does not pay
directly for heat, in which case its payment shall be 2.4%
of income but in any event no less than $5 per month. The
Department, in consultation with the Policy Advisory
Council, may adjust such monthly credit amounts annually
and may establish a minimum credit amount based on the
cost of administering the program and may deny credits to
otherwise eligible participants if the cost of
administering the credit exceeds the actual amount of any
monthly credit to a participant. If the participant takes
both gas and electric service, 50% 66.67% of the credit
shall be allocated to the entity that provides the
participant's primary energy supply for heating. Each
participant shall enter into a levelized payment plan for,
as applicable, gas and electric service and such plans
shall be implemented by the utility so that a
participant's usage and required payments are reviewed and
adjusted regularly, but no more frequently than quarterly.
Nothing in this Section is intended to prohibit a
customer, who is otherwise eligible for LIHEAP, from
participating in the program described in Section 4 of
this Act. Eligible participants who receive such a benefit
shall be considered plan participants and shall be
eligible to participate in the Arrearage Reduction Program
described in item (5) of this subsection (c).

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(3) The Department shall remit, through the LAAs, to
the utility or participating alternative supplier that
portion of the plan participant's bill that is not the
responsibility of the participant. In the event that the
Department fails to timely remit payment to the utility,
the utility shall be entitled to recover all costs related
to such nonpayment through the automatic adjustment clause
tariffs established pursuant to Section 16-111.8 and
Section 19-145 of the Public Utilities Act. For purposes
of this item (3) of this subsection (c), payment is due on
the date specified on the participant's bill. The
Department, the Department of Revenue and LAAs shall adopt
processes that provide for the timely payment required by
this item (3) of this subsection (c).
(4) A plan participant is responsible for all actual
charges for utility service in excess of the PIPP credit.
Pre-program arrears that are included in the Arrearage
Reduction Program described in item (5) of this subsection
(c) shall not be included in the calculation of the
levelized payment plan. Emergency or crisis assistance
payments shall not affect the amount of any PIPP credit to
which a participant is entitled.
(5) Electric and gas utilities subject to this Section
shall implement an Arrearage Reduction Program (ARP) for
plan participants as follows: for each month that a plan
participant timely pays his or her utility bill, the

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utility shall apply a credit to a portion of the
participant's pre-program arrears, if any, equal to
one-twelfth of such arrearage provided that the total
amount of arrearage credits shall equal no more than
$1,000 annually for each participant for gas and no more
than $1,000 annually for each participant for electricity.
In the third year of the PIPP, the Department, in
consultation with the Policy Advisory Council established
pursuant to Section 5 of this Act, shall determine by rule
an appropriate per participant total cap on such amounts,
if any. Those plan participants participating in the ARP
shall not be subject to the imposition of any additional
late payment fees on pre-program arrears covered by the
ARP. In all other respects, the utility shall bill and
collect the monthly bill of a plan participant pursuant to
the same rules, regulations, programs and policies as
applicable to residential customers generally.
Participation in the Arrearage Reduction Program shall be
limited to the maximum amount of funds available as set
forth in subsection (f) of Section 13 of this Act. In the
event any donated funds under Section 13 of this Act are
specifically designated for the purpose of funding the
ARP, the Department shall remit such amounts to the
utilities upon verification that such funds are needed to
fund the ARP. Nothing in this Section shall preclude a
utility from continuing to implement, and apply credits

10200SB0018sam001 - 946 - LRB102 12600 LNS 28802 a
under, an ARP in the event that the PIPP or LIHEAP is
suspended due to lack of funding such that the plan
participant does not receive a benefit under either the
PIPP or LIHEAP.
(5.5) In addition to the ARP described in paragraph
(5) of this subsection (c), utilities may also implement a
Supplemental Arrearage Reduction Program (SARP) for
eligible participants who are not able to become plan
participants due to PIPP timing or funding constraints. If
a utility elects to implement a SARP, it shall be
administered as follows: for each month that a SARP
participant timely pays his or her utility bill, the
utility shall apply a credit to a portion of the
participant's pre-program arrears, if any, equal to
one-twelfth of such arrearage, provided that the utility
may limit the total amount of arrearage credits to no more
than $1,000 annually for each participant for gas and no
more than $1,000 annually for each participant for
electricity. SARP participants shall not be subject to the
imposition of any additional late payment fees on
pre-program arrears covered by the SARP. In all other
respects, the utility shall bill and collect the monthly
bill of a SARP participant under the same rules,
regulations, programs, and policies as applicable to
residential customers generally. Participation in the SARP
shall be limited to the maximum amount of funds available

10200SB0018sam001 - 947 - LRB102 12600 LNS 28802 a
as set forth in subsection (f) of Section 13 of this Act.
In the event any donated funds under Section 13 of this Act
are specifically designated for the purpose of funding the
SARP, the Department shall remit such amounts to the
utilities upon verification that such funds are needed to
fund the SARP.
(6) The Department may terminate a plan participant's
eligibility for the PIP Plan upon notification by the
utility that the participant's monthly utility payment is
more than 75 45 days past due. One-twelfth of a customer's
arrearage shall be deducted from the total arrearage owed
for each on-time payment made by the customer.
(7) The Department, in consultation with the Policy
Advisory Council, may adjust the number of PIP Plan
participants annually, if necessary, to match the
availability of funds. Any plan participant who qualifies
for a PIPP credit under a utility's PIPP shall be entitled
to participate in and receive a credit under such
utility's ARP for so long as such utility has ARP funds
available, regardless of whether the customer's
participation under another utility's PIPP or ARP has been
curtailed or limited because of a lack of funds.
(8) The Department shall fully implement the PIPP at
the earliest possible date it is able to effectively
administer the PIPP. Within 90 days of the effective date
of this amendatory Act of the 96th General Assembly, the

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Department shall, in consultation with utility companies,
participating alternative suppliers, LAAs and the Illinois
Commerce Commission (Commission), issue a detailed
implementation plan which shall include detailed testing
protocols and analysis of the capacity for implementation
by the LAAs and utilities. Such consultation process also
shall address how to implement the PIPP in the most
cost-effective and timely manner, and shall identify
opportunities for relying on the expertise of utilities,
LAAs and the Commission. Following the implementation of
the testing protocols, the Department shall issue a
written report on the feasibility of full or gradual
implementation. The PIPP shall be fully implemented by
September 1, 2011, but may be phased in prior to that date.
(9) As part of the screening process established under
item (1) of this subsection (c), the Department and LAAs
shall assess whether any energy efficiency or demand
response measures are available to the plan participant at
no cost, and if so, the participant shall enroll in any
such program for which he or she is eligible. The LAAs
shall assist the participant in the applicable enrollment
or application process.
(10) Each alternative retail electric and gas supplier
serving residential customers shall elect whether to
participate in the PIPP or ARP described in this Section.
Any such supplier electing to participate in the PIPP

10200SB0018sam001 - 949 - LRB102 12600 LNS 28802 a
shall provide to the Department such information as the
Department may require, including, without limitation,
information sufficient for the Department to determine the
proportionate allocation of credits between the
alternative supplier and the utility. If a utility in
whose service territory an alternative supplier serves
customers contributes money to the ARP fund which is not
recovered from ratepayers, then an alternative supplier
which participates in ARP in that utility's service
territory shall also contribute to the ARP fund in an
amount that is commensurate with the number of alternative
supplier customers who elect to participate in the
program.
(11) The PIPP shall be designed and implemented each
year to maximize participation and spend at least 80% of
the funding available for the year.
(d) The Department, in consultation with the Policy
Advisory Council, shall develop and implement a program to
educate customers about the PIP Plan and about their rights
and responsibilities under the percentage of income component.
The Department, in consultation with the Policy Advisory
Council, shall establish a process that LAAs shall use to
contact customers in jeopardy of losing eligibility due to
late payments. The Department shall ensure that LAAs are
adequately funded to perform all necessary educational tasks.
(e) The PIPP shall be administered in a manner which

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ensures that credits to plan participants will not be counted
as income or as a resource in other means-tested assistance
programs for low-income households or otherwise result in the
loss of federal or State assistance dollars for low-income
households.
(f) In order to ensure that implementation costs are
minimized, the Department and utilities shall work together to
identify cost-effective ways to transfer information
electronically and to employ available protocols that will
minimize their respective administrative costs as follows:
(1) The Commission may require utilities to provide
such information on customer usage and billing and payment
information as required by the Department to implement the
PIP Plan and to provide written notices and communications
to plan participants.
(2) Each utility and participating alternative
supplier shall file annual reports with the Department and
the Commission that cumulatively summarize and update
program information as required by the Commission's rules.
The reports shall track implementation costs and contain
such information as is necessary to evaluate the success
of the PIPP.
(2.5) The Department shall annually prepare and submit
a report to the General Assembly, the Commission, and the
Policy Advisory Council that identifies the following
amounts for the most recently completed year: total monies

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collected under subsection (b) of Section 13 of this Act
for all PIPPs implemented in the State; monies allocated
to each utility for implementation of its PIPP; and monies
allocated to each utility for other purposes, including a
description of each of those purposes. The Commission
shall publish the report on its website.
(3) The Department and the Commission shall have the
authority to promulgate rules and regulations necessary to
execute and administer the provisions of this Section.
(g) Each utility shall be entitled to recover reasonable
administrative and operational costs incurred to comply with
this Section from the Supplemental Low Income Energy
Assistance Fund. The utility may net such costs against monies
it would otherwise remit to the Funds, and each utility shall
include in the annual report required under subsection (f) of
this Section an accounting for the funds collected.
(Source: P.A. 101-636, eff. 6-10-20.)
Section 90-55. The Environmental Protection Act is amended
by adding Sections 3.131 and 9.18 and by changing Sections
9.15 and 22.59 as follows:
(415 ILCS 5/3.131 new)
Sec. 3.131. Clean energy. "Clean energy" means energy
generation that is substantially free (90% or greater) of
carbon dioxide emissions.

10200SB0018sam001 - 952 - LRB102 12600 LNS 28802 a
(415 ILCS 5/9.15)
Sec. 9.15. Greenhouse gases.
(a) An air pollution construction permit shall not be
required due to emissions of greenhouse gases if the
equipment, site, or source is not subject to regulation, as
defined by 40 CFR 52.21, as now or hereafter amended, for
greenhouse gases or is otherwise not addressed by the Board in
regulations for greenhouse gases. These exemptions do . This
exemption does not relieve an owner or operator from the
obligation to comply with other applicable rules or
regulations.
(b) An air pollution operating permit shall not be
required due to emissions of greenhouse gases if the
equipment, site, or source is not subject to regulation, as
defined by Section 39.5 of this Act, for greenhouse gases or is
otherwise not addressed by the Board in regulations for
greenhouse gases. These exemptions do . This exemption does not
relieve an owner or operator from the obligation to comply
with other applicable rules or regulations.
(c) (Blank). Notwithstanding any provision to the contrary
in this Section, an air pollution construction or operating
permit shall not be required due to emissions of greenhouse
gases if any of the following events occur:
(1) enactment of federal legislation depriving the
Administrator of the USEPA of authority to regulate

10200SB0018sam001 - 953 - LRB102 12600 LNS 28802 a
greenhouse gases under the Clean Air Act;
(2) the issuance of any opinion, ruling, judgment,
order, or decree by a federal court depriving the
Administrator of the USEPA of authority to regulate
greenhouse gases under the Clean Air Act; or
(3) action by the President of the United States or
the President's authorized agent, including the
Administrator of the USEPA, to repeal or withdraw the
Greenhouse Gas Tailoring Rule (75 Fed. Reg. 31514, June 3,
2010).
This subsection (c) does not relieve an owner or operator
from the obligation to comply with applicable rules or
regulations other than those relating to greenhouse gases.
(d) (Blank). If any event listed in subsection (c) of this
Section occurs, permits issued after such event shall not
impose permit terms or conditions addressing greenhouse gases
during the effectiveness of any event listed in subsection
(c).
(e) (Blank). If an event listed in subsection (c) of this
Section occurs, any owner or operator with a permit that
includes terms or conditions addressing greenhouse gases may
elect to submit an application to the Agency to address a
revision or repeal of such terms or conditions. The Agency
shall expeditiously process such permit application in
accordance with applicable laws and regulations.
(f) As used in this Section:

10200SB0018sam001 - 954 - LRB102 12600 LNS 28802 a
"Carbon dioxide emission" means the plant annual CO2 total
output emission as measured by the United States Environmental
Protection Agency in its Emissions & Generation Resource
Integrated Database (eGrid).
"Carbon dioxide equivalent emissions" or "CO2e" means the
sum total of the mass amount of emissions in tons per year,
calculated by multiplying the mass amount of each of the 6
greenhouse gases specified in Section 3.207, in tons per year,
by its associated global warming potential as set forth in 40
CFR 98, subpart A, table A-1 or its successor, and then adding
them all together.
"Cogeneration" or "combined heat and power" refers to any
system that, either simultaneously or sequentially, produces
electricity and useful thermal energy from a single fuel
source.
"Copollutants" refers to the 6 criteria pollutants that
have been identified by the United States Environmental
Protection Agency pursuant to the Clean Air Act.
"Electric generating unit" or "EGU" means a fossil
fuel-fired stationary boiler, combustion turbine, or combined
cycle system that serves as a generator that has a nameplate
capacity greater than 25 MWe and produces electricity for
sale.
"Environmental justice community" means the definition of
that term based on existing methodologies and findings, used
and as may be updated by the Illinois Power Agency and its

10200SB0018sam001 - 955 - LRB102 12600 LNS 28802 a
program administrator in the Illinois Solar for All Program.
"Equity investment eligible community" or "eligible
community" means the geographic areas throughout Illinois that
would most benefit from equitable investments by the State
designed to combat discrimination and foster sustainable
economic growth. Specifically, eligible community means the
following areas:
(1) areas where residents have been historically
excluded from economic opportunities, including
opportunities in the energy sector, as defined as R3 areas
pursuant to Section 10-40 of the Cannabis Regulation and
Tax Act; and
(2) areas where residents have been historically
subject to disproportionate burdens of pollution,
including pollution from the energy sector, as established
by environmental justice communities as defined by the
Illinois Power Agency pursuant to the Illinois Power
Agency Act, excluding any racial or ethnic indicators.
"Equity investment eligible person" or "eligible person"
means the persons who would most benefit from equitable
investments by the State designed to combat discrimination and
foster sustainable economic growth. Specifically, eligible
person means the following people:
(1) persons whose primary residence is in an equity
investment eligible community;
(2) persons whose primary residence is in a

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municipality, or a county with a population under 100,000,
where the closure of an electric generating unit or mine
has been publicly announced or the electric generating
unit or mine is in the process of closing or closed within
the last 5 years;
(3) persons who are graduates of or currently enrolled
in the foster care system; or
(4) persons who were formerly incarcerated.
"Green hydrogen" means a power plant technology in which
an EGU creates electric power exclusively from electrolytic
hydrogen, in a manner that produces zero carbon and
copollutant emissions, using hydrogen fuel that is
electrolyzed using a 100% renewable zero carbon emission
energy source.
"Large greenhouse gas-emitting unit" or "large
GHG-emitting unit" means a unit that is an electric generating
unit or other fossil fuel-fired unit that itself has a
nameplate capacity or serves a generator that has a nameplate
capacity greater than 25 MWe and that produces electricity,
including, but not limited to, coal-fired, coal-derived,
oil-fired, natural gas-fired, and cogeneration units.
"NOx emission rate" means the "plant annual NOx total
output emission rate" as measured by the United States
Environmental Protection Agency in its Emissions & Generation
Resource Integrated Database (eGrid), in the most recent year
for which data is available.

10200SB0018sam001 - 957 - LRB102 12600 LNS 28802 a
"Public greenhouse gas-emitting units" or "public
GHG-emitting unit" means large greenhouse gas-emitting units,
including EGUs, that are wholly owned, directly or indirectly,
by one or more municipalities, municipal corporations, joint
municipal electric power agencies, electric cooperatives, or
other governmental or nonprofit entities, whether organized
and created under the laws of Illinois or another state.
"SO2 emission rate" means the "plant annual SO2 total
output emission rate" as measured by the United States
Environmental Protection Agency in its Emissions & Generation
Resource Integrated Database (eGrid), in the most recent year
for which data is available.
(g) All EGUs and large greenhouse gas-emitting units that
use coal or oil as a fuel and are not public GHG-emitting units
shall permanently reduce all CO2e and copollutant emissions to
zero no later than January 1, 2030.
(h) All public GHG-emitting units that use coal as a fuel
source shall reduce carbon dioxide emissions by 105% of the
unit's 2021 annual carbon emission amount. At least 95% of the
carbon dioxide emission reductions shall be attained through
carbon capture and sequestration or unit retirement by 2045.
The remainder of the total carbon dioxide emission reductions
required by this subsection by 2045 and thereafter shall be
attained through direct air carbon capture or any other
available technology proven to directly remove carbon dioxide
from the atmosphere. If a public GHG-emitting unit with less

10200SB0018sam001 - 958 - LRB102 12600 LNS 28802 a
than 700 megawatts of nameplate capacity attains 100% carbon
dioxide emission reductions through unit retirement, it is
exempt from the requirements of this subsection. All EGUs and
large greenhouse gas-emitting units that use coal as a fuel
and are public GHG-emitting units that are greater than 700
megawatts of nameplate capacity shall:
(1) As of the effective date of this amendatory Act of
the 102nd General Assembly, be authorized to begin
purchasing renewable energy credits, without regard to the
commercial operations date of the resource and without
regard to the location of the resource, and carbon dioxide
offsets that may be retired in 2035 to meet the
requirements of paragraph (3).
(2) No later than January 1, 2027, file a plan with the
Illinois Power Agency, Illinois Commerce Commission, and
the Board describing the public GHG-emitting unit's plan,
including the means for achieving compliance and the
associated anticipated carbon dioxide emission reduction,
to meet the carbon emission reduction requirements under
this subsection. This plan should describe the public
GHG-emitting unit's plan to achieve 105% reduction of the
unit's 2019 annual carbon emission amount by 2045 and
maintain this net negative carbon emission for the life of
the unit. The public GHG-emitting unit shall use carbon
dioxide reduction credit accounting sourced from
technology commercially proven to reduce carbon emissions

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to meet the carbon dioxide reduction targets in paragraph
(3). For purposes of this subsection, "carbon dioxide
reduction credit accounting" includes the following
compliance measures: operational changes and efficiency
improvements, carbon capture, carbon utilization, carbon
storage, direct air capture, unit retirement, emission
control technology, purchase of renewable energy credits
by the public GHG-emitting unit or its owners from
anywhere in the continental United States, investment in
carbon offset credits that result in carbon dioxide or CO2e
emission reductions, investment in demand response,
investment in energy efficiency, or public electric
vehicle adoption incentives based on nationally recognized
standards to meet its carbon emission reduction
requirements. One renewable energy credit shall be
sufficient to offset the carbon dioxide emission of one
megawatt-hour of electricity generated by the public
GHG-emitting unit. For purposes of this paragraph,
"renewable energy credit" means a tradable credit that
represents the environmental attributes of one megawatt
hour of energy produced from a renewable energy resource.
Offset credits that are not renewable energy credits must
be unique, real, permanent, verified, and enforceable
reductions that are additional to standard business
practices, employ competent and reliable scientific and
accounting methods to quantify claimed emission

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reductions, and result from a specific activity or set of
activities that actually reduce greenhouse gas emissions,
increase the storage of carbon, or enhance greenhouse gas
removal from the atmosphere.
(3) No later than January 1, 2035, reduce carbon
dioxide emissions by 20% of the unit's 2021 annual carbon
emission amount through use of the carbon dioxide
reduction credit accounting compliance measures under
paragraph (2).
(4) No later than January 1, 2040, reduce carbon
dioxide emissions by 50% of the unit's 2021 annual carbon
emission amount. At least 45% of the carbon dioxide
emission reductions shall be attained through carbon
capture and sequestration or unit retirement. Up to 5% of
the carbon dioxide emission reductions shall be attained
through direct air carbon capture.
(i) All EGUs and large greenhouse gas-emitting units that
use gas as a fuel and are not public GHG-emitting units shall
permanently reduce all CO2e and copollutant emissions to zero,
including through the use of 100% green hydrogen or other
similar technology that is commercially proven to achieve zero
carbon emissions, according to the following:
(1) No later than January 1, 2030: all EGUs and large
greenhouse gas-emitting units that have a NOx emissions
rate of greater than 0.12 lbs/MWh or a SO2 emission rate of
greater than 0.006 lb/MWh, and are located in or within 3

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miles of an environmental justice community or an equity
investment eligible community.
(2) No later than January 1, 2035: all EGUs and large
greenhouse gas-emitting units that have a NOx emission
rate of greater than 0.12 lbs/MWh or a SO2 emission rate
greater than 0.006 lb/MWh, and are not located in or
within 3 miles of an environmental justice community or an
equity investment eligible community.
(3) No later than January 1, 2040: all EGUs and large
greenhouse gas-emitting units that began operation prior
to the effective date of this amendatory Act of the 102nd
General Assembly and have a NOx emission rate of less than
or equal to 0.12 lb/MWh and a SO2 emission rate less than
or equal to 0.006 lb/MWh, but not including any EGUs and
large greenhouse gas-emitting units that have a heat rate
less than or equal to 7000 BTU/kWh.
(4) No later than January 1, 2045: all remaining EGUs
and large greenhouse gas-emitting units that began
operation subsequent to the effective date of this
amendatory Act of the 102nd General Assembly and have a NOx
emission rate less than 0.12 lb/MWh and a SO2 emission rate
less than 0.006 lb/MWh.
(j) All EGUs and large greenhouse gas-emitting units that
use gas as a fuel and are public GHG-emitting units shall
permanently reduce all CO2e and copollutant emissions to zero,
including through the use of 100% green hydrogen or other

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similar technology that is commercially proven to achieve zero
carbon emissions by January 1, 2045.
(k) All EGUs and large greenhouse gas-emitting units that
utilize combined heat and power or cogeneration technology
shall permanently reduce all CO2e and copollutant emissions to
zero, including through the use of 100% green hydrogen or
other similar technology that is commercially proven to
achieve zero carbon emissions by January 1, 2045.
(l) Notwithstanding subsections (g) through (k), large
GHG-emitting units including EGUs may temporarily continue
emitting greenhouse gases after any applicable deadline
specified in any of subsections (g) through (k) if it has been
determined, as described in paragraphs (1) and (2) of this
subsection, that ongoing operation of the EGU is necessary to
maintain power grid supply and reliability or ongoing
operation of large GHG-emitting unit that is not an EGU is
necessary to serve as an emergency backup to operations. Up to
and including the occurrence of an emission reduction deadline
under subsection (i), all EGUs and large GHG-emitting units
must comply with the following terms:
(1) if an EGU or large GHG-emitting unit that is a
participant in a regional transmission organization
intends to retire, it must submit documentation to the
appropriate regional transmission organization by the
appropriate deadline that meets all applicable regulatory
requirements necessary to obtain approval to permanently

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cease operating the large GHG-emitting unit;
(2) if any EGU or large GHG-emitting unit that is a
participant in a regional transmission organization
receives notice that the regional transmission
organization has determined that continued operation of
the unit is required, the unit may continue operating
until the issue identified by the regional transmission
organization is resolved. The owner or operator of the
unit must cooperate with the regional transmission
organization in resolving the issue and must reduce its
emissions to zero, consistent with the requirements under
subsection (g), (h), (i), (j), or (k), as applicable, as
soon as practicable when the issue identified by the
regional transmission organization is resolved; and
(3) any large GHG-emitting unit that is not a
participant in a regional transmission organization shall
be allowed to continue emitting greenhouse gases after the
zero-emission date specified in subsection (g), (h), (i),
(j), or (k), as applicable, in the capacity of an
emergency backup unit if approved by the Illinois Commerce
Commission.
(m) No variance, adjusted standard, or other regulatory
relief otherwise available in this Act may be granted to the
emissions reduction and elimination obligations in this
Section.
(n) By June 30 of each year, beginning in 2025, the Agency

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shall prepare and publish on its website a report setting
forth the actual greenhouse gas emissions from individual
units and the aggregate statewide emissions from all units for
the prior year.
(o) Every 5 years beginning in 2025, the Environmental
Protection Agency, Illinois Power Agency, and Illinois
Commerce Commission shall jointly prepare, and release
publicly, a report to the General Assembly that examines the
State's current progress toward its renewable energy resource
development goals, the status of CO2e and copollutant
emissions reductions, the current status and progress toward
developing and implementing green hydrogen technologies, the
current and projected status of electric resource adequacy and
reliability throughout the State for the period beginning 5
years ahead, and proposed solutions for any findings. The
report should also describe whether the emission reductions
required by this Section will cause load serving entities in
the State and regional transmission organizations to rely on
energy generated out of State. The Environmental Protection
Agency, Illinois Power Agency, and Illinois Commerce
Commission shall consult PJM Interconnection, LLC and
Midcontinent Independent System Operator, Inc., or their
respective successor organizations regarding forecasted
resource adequacy and reliability needs, anticipated new
generation interconnection, new transmission development or
upgrades, and any announced large GHG-emitting unit closure

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dates and include this information in the report. The report
shall be released publicly by no later than December 15 of the
year it is prepared. If the Environmental Protection Agency,
Illinois Power Agency, and Illinois Commerce Commission
conclude the CO2e and copollutant emissions reductions
required by subsection (i) reasonably demonstrate that a
resource adequacy shortfall will occur, that the regional
transmission operators determine that a reliability violation
will occur, or that a potential to increase emissions by
replacing generation with generation from a large GHG-emitting
unit or units that produce more greenhouse gas emissions
during the time frame the study is evaluating, then the
Illinois Power Agency, in conjunction with the Environmental
Protection Agency shall develop a plan to reduce or delay CO2e
and copollutant emissions reductions requirement only to the
extent and for the duration necessary to meet the resource
adequacy and reliability needs of the State, including
allowing any plants whose emission reduction deadline has been
identified in the plan as creating a reliability concern to
continue operating, including operating with reduced emissions
or as emergency backup where appropriate.
(1) In developing the plan, the Environmental
Protection Agency and the Illinois Power Agency shall hold
at least one workshop open to the public and shall
consider any comments made by stakeholders or the public.
Upon development of the plan, copies of the plan shall be

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posted and made publicly available on the Environmental
Protection Agency's, the Illinois Power Agency's, and the
Illinois Commerce Commission's websites. All interested
parties shall have 60 days following the date of posting
to provide comment to the Environmental Protection Agency
and the Illinois Power Agency on the plan. All comments
submitted to the Environmental Protection Agency and the
Illinois Power Agency shall be specific, supported by data
or other detailed analyses, and, if objecting to all or a
portion of the plan, accompanied by specific alternative
wording or proposals. All comments shall be posted on the
Environmental Protection Agency's, the Illinois Power
Agency's, and the Illinois Commerce Commission's websites.
Within 30 days following the end of the 60-day review
period, the Environmental Protection Agency and the
Illinois Power Agency shall revise the plan as necessary
based on the comments received and file its revised plan
with the Illinois Commerce Commission for approval.
(2) Within 30 days after the filing of the revised
plan at the Illinois Commerce Commission, any person
objecting to the plan shall file an objection with the
Illinois Commerce Commission. Within 30 days after the
expiration of the comment period, the Illinois Commerce
Commission shall determine whether an evidentiary hearing
is necessary. The Illinois Commerce Commission shall also
host 3 public hearings within 90 days after the plan is

10200SB0018sam001 - 967 - LRB102 12600 LNS 28802 a
filed. Following the evidentiary and public hearings, the
Illinois Commerce Commission shall enter its order
approving or approving with modifications the reliability
mitigation plan within 180 days.
(3) The Illinois Commerce Commission shall approve the
plan, if the Illinois Commerce Commission determines that
it will ensure adequate, reliable, affordable, efficient,
and environmentally sustainable electric service in the
form of at the lowest total cost over time, taking into
account any potential for increases in emissions.
(4) If the resource adequacy or reliability deficiency
identified in the reliability mitigation plan is resolved,
the Environmental Protection Agency and the Illinois Power
Agency may file an amended plan adjusting the reduction or
delay in CO2e and copollutant emission reduction
requirements identified in the plan.
(Source: P.A. 97-95, eff. 7-12-11.)
(415 ILCS 5/9.18 new)
Sec. 9.18. Commission on market-based carbon pricing
solutions.
(a) In the United States, state-based market policies to
reduce greenhouse gases have been in operation since 2009.
More than a quarter of the US population lives in a state with
carbon pricing and these states represent one-third of the
United States' gross domestic product. Market-based policies

10200SB0018sam001 - 968 - LRB102 12600 LNS 28802 a
have proved effective at reducing emissions in states across
the United States, and around the world. Additionally,
well-designed carbon pricing incentivizes energy efficiency
and drives investments in low-carbon solutions and
technologies, such as renewables, hydrogen, biofuels, and
carbon capture, use, and storage. Illinois must assess
available suites of programs and policies to support a rapid,
economy-wide decarbonization and spur the development of a
clean energy economy in the State, while maintaining Illinois'
competitive advantage.
(b) The Governor is hereby authorized to create a carbon
pricing commission to study the short-term and long-term
impacts of joining, implementing, or designing a sector-based,
statewide, or regional carbon pricing program. The commission
shall analyze and compare the relative cost of, and greenhouse
gas reductions from, various carbon pricing programs available
to Illinois and the Midwest, including, but not limited to:
the Regional Greenhouse Gas Initiative (RGGI), the
Transportation and Climate Initiative (TCI), California's
cap-and-trade program, California's low carbon fuel standard,
Washington State's cap-and-invest program, the Oregon Clean
Fuels Program, and other relevant market-based programs. At
the conclusion of the study, no later than December 31, 2022,
the commission shall issue a public report containing its
findings.
(c) This Section is repealed on January 1, 2024.

10200SB0018sam001 - 969 - LRB102 12600 LNS 28802 a
(415 ILCS 5/22.59)
Sec. 22.59. CCR surface impoundments.
(a) The General Assembly finds that:
(1) the State of Illinois has a long-standing policy
to restore, protect, and enhance the environment,
including the purity of the air, land, and waters,
including groundwaters, of this State;
(2) a clean environment is essential to the growth and
well-being of this State;
(3) CCR generated by the electric generating industry
has caused groundwater contamination and other forms of
pollution at active and inactive plants throughout this
State;
(4) environmental laws should be supplemented to
ensure consistent, responsible regulation of all existing
CCR surface impoundments; and
(5) meaningful participation of State residents,
especially vulnerable populations who may be affected by
regulatory actions, is critical to ensure that
environmental justice considerations are incorporated in
the development of, decision-making related to, and
implementation of environmental laws and rulemaking that
protects and improves the well-being of communities in
this State that bear disproportionate burdens imposed by
environmental pollution.

10200SB0018sam001 - 970 - LRB102 12600 LNS 28802 a
Therefore, the purpose of this Section is to promote a
healthful environment, including clean water, air, and land,
meaningful public involvement, and the responsible disposal
and storage of coal combustion residuals, so as to protect
public health and to prevent pollution of the environment of
this State.
The provisions of this Section shall be liberally
construed to carry out the purposes of this Section.
(b) No person shall:
(1) cause or allow the discharge of any contaminants
from a CCR surface impoundment into the environment so as
to cause, directly or indirectly, a violation of this
Section or any regulations or standards adopted by the
Board under this Section, either alone or in combination
with contaminants from other sources;
(2) construct, install, modify, operate, or close any
CCR surface impoundment without a permit granted by the
Agency, or so as to violate any conditions imposed by such
permit, any provision of this Section or any regulations
or standards adopted by the Board under this Section; or
(3) cause or allow, directly or indirectly, the
discharge, deposit, injection, dumping, spilling, leaking,
or placing of any CCR upon the land in a place and manner
so as to cause or tend to cause a violation this Section or
any regulations or standards adopted by the Board under
this Section.

10200SB0018sam001 - 971 - LRB102 12600 LNS 28802 a
(c) For purposes of this Section, a permit issued by the
Administrator of the United States Environmental Protection
Agency under Section 4005 of the federal Resource Conservation
and Recovery Act, shall be deemed to be a permit under this
Section and subsection (y) of Section 39.
(d) Before commencing closure of a CCR surface
impoundment, in accordance with Board rules, the owner of a
CCR surface impoundment must submit to the Agency for approval
a closure alternatives analysis that analyzes all closure
methods being considered and that otherwise satisfies all
closure requirements adopted by the Board under this Act.
Complete removal of CCR, as specified by the Board's rules,
from the CCR surface impoundment must be considered and
analyzed. Section 3.405 does not apply to the Board's rules
specifying complete removal of CCR. The selected closure
method must ensure compliance with regulations adopted by the
Board pursuant to this Section.
(e) Owners or operators of CCR surface impoundments who
have submitted a closure plan to the Agency before May 1, 2019,
and who have completed closure prior to 24 months after July
30, 2019 (the effective date of Public Act 101-171) this
amendatory Act of the 101st General Assembly shall not be
required to obtain a construction permit for the surface
impoundment closure under this Section.
(f) Except for the State, its agencies and institutions, a
unit of local government, or not-for-profit electric

10200SB0018sam001 - 972 - LRB102 12600 LNS 28802 a
cooperative as defined in Section 3.4 of the Electric Supplier
Act, any person who owns or operates a CCR surface impoundment
in this State shall post with the Agency a performance bond or
other security for the purpose of: (i) ensuring closure of the
CCR surface impoundment and post-closure care in accordance
with this Act and its rules; and (ii) insuring remediation of
releases from the CCR surface impoundment. The only acceptable
forms of financial assurance are: a trust fund, a surety bond
guaranteeing payment, a surety bond guaranteeing performance,
or an irrevocable letter of credit.
(1) The cost estimate for the post-closure care of a
CCR surface impoundment shall be calculated using a
30-year post-closure care period or such longer period as
may be approved by the Agency under Board or federal
rules.
(2) The Agency is authorized to enter into such
contracts and agreements as it may deem necessary to carry
out the purposes of this Section. Neither the State, nor
the Director, nor any State employee shall be liable for
any damages or injuries arising out of or resulting from
any action taken under this Section.
(3) The Agency shall have the authority to approve or
disapprove any performance bond or other security posted
under this subsection. Any person whose performance bond
or other security is disapproved by the Agency may contest
the disapproval as a permit denial appeal pursuant to

10200SB0018sam001 - 973 - LRB102 12600 LNS 28802 a
Section 40.
(g) The Board shall adopt rules establishing construction
permit requirements, operating permit requirements, design
standards, reporting, financial assurance, and closure and
post-closure care requirements for CCR surface impoundments.
Not later than 8 months after July 30, 2019 (the effective date
of Public Act 101-171) this amendatory Act of the 101st
General Assembly the Agency shall propose, and not later than
one year after receipt of the Agency's proposal the Board
shall adopt, rules under this Section. The Board shall not be
deemed in noncompliance with the rulemaking deadline due to
delays in adopting rules as a result of the Joint Commission on
Administrative Rules oversight process. The rules must, at a
minimum:
(1) be at least as protective and comprehensive as the
federal regulations or amendments thereto promulgated by
the Administrator of the United States Environmental
Protection Agency in Subpart D of 40 CFR 257 governing CCR
surface impoundments;
(2) specify the minimum contents of CCR surface
impoundment construction and operating permit
applications, including the closure alternatives analysis
required under subsection (d);
(3) specify which types of permits include
requirements for closure, post-closure, remediation and
all other requirements applicable to CCR surface

10200SB0018sam001 - 974 - LRB102 12600 LNS 28802 a
impoundments;
(4) specify when permit applications for existing CCR
surface impoundments must be submitted, taking into
consideration whether the CCR surface impoundment must
close under the RCRA;
(5) specify standards for review and approval by the
Agency of CCR surface impoundment permit applications;
(6) specify meaningful public participation procedures
for the issuance of CCR surface impoundment construction
and operating permits, including, but not limited to,
public notice of the submission of permit applications, an
opportunity for the submission of public comments, an
opportunity for a public hearing prior to permit issuance,
and a summary and response of the comments prepared by the
Agency;
(7) prescribe the type and amount of the performance
bonds or other securities required under subsection (f),
and the conditions under which the State is entitled to
collect moneys from such performance bonds or other
securities;
(8) specify a procedure to identify areas of
environmental justice concern in relation to CCR surface
impoundments;
(9) specify a method to prioritize CCR surface
impoundments required to close under RCRA if not otherwise
specified by the United States Environmental Protection

10200SB0018sam001 - 975 - LRB102 12600 LNS 28802 a
Agency, so that the CCR surface impoundments with the
highest risk to public health and the environment, and
areas of environmental justice concern are given first
priority;
(10) define when complete removal of CCR is achieved
and specify the standards for responsible removal of CCR
from CCR surface impoundments, including, but not limited
to, dust controls and the protection of adjacent surface
water and groundwater; and
(11) describe the process and standards for
identifying a specific alternative source of groundwater
pollution when the owner or operator of the CCR surface
impoundment believes that groundwater contamination on the
site is not from the CCR surface impoundment.
(h) Any owner of a CCR surface impoundment that generates
CCR and sells or otherwise provides coal combustion byproducts
pursuant to Section 3.135 shall, every 12 months, post on its
publicly available website a report specifying the volume or
weight of CCR, in cubic yards or tons, that it sold or provided
during the past 12 months.
(i) The owner of a CCR surface impoundment shall post all
closure plans, permit applications, and supporting
documentation, as well as any Agency approval of the plans or
applications on its publicly available website.
(j) The owner or operator of a CCR surface impoundment
shall pay the following fees:

10200SB0018sam001 - 976 - LRB102 12600 LNS 28802 a
(1) An initial fee to the Agency within 6 months after
July 30, 2019 (the effective date of Public Act 101-171)
this amendatory Act of the 101st General Assembly of:
$50,000 for each closed CCR surface impoundment;
and
$75,000 for each CCR surface impoundment that have
not completed closure.
(2) Annual fees to the Agency, beginning on July 1,
2020, of:
$25,000 for each CCR surface impoundment that has
not completed closure; and
$15,000 for each CCR surface impoundment that has
completed closure, but has not completed post-closure
care.
(k) All fees collected by the Agency under subsection (j)
shall be deposited into the Environmental Protection Permit
and Inspection Fund.
(l) The Coal Combustion Residual Surface Impoundment
Financial Assurance Fund is created as a special fund in the
State treasury. Any moneys forfeited to the State of Illinois
from any performance bond or other security required under
this Section shall be placed in the Coal Combustion Residual
Surface Impoundment Financial Assurance Fund and shall, upon
approval by the Governor and the Director, be used by the
Agency for the purposes for which such performance bond or
other security was issued. The Coal Combustion Residual

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Surface Impoundment Financial Assurance Fund is not subject to
the provisions of subsection (c) of Section 5 of the State
Finance Act.
(m) The provisions of this Section shall apply, without
limitation, to all existing CCR surface impoundments and any
CCR surface impoundments constructed after July 30, 2019 (the
effective date of Public Act 101-171) this amendatory Act of
the 101st General Assembly, except to the extent prohibited by
the Illinois or United States Constitutions.
(Source: P.A. 101-171, eff. 7-30-19; revised 10-22-19.)
Section 90-60. The Illinois Worker Adjustment and
Retraining Notification Act is amended by changing Section 10
as follows:
(820 ILCS 65/10)
Sec. 10. Notice.
(a) An employer may not order a mass layoff, relocation,
or employment loss unless, 60 days before the order takes
effect, the employer gives written notice of the order to the
following:
(1) affected employees and representatives of affected
employees; and
(2) the Department of Commerce and Economic
Opportunity and the chief elected official of each
municipal and county government within which the

10200SB0018sam001 - 978 - LRB102 12600 LNS 28802 a
employment loss, relocation, or mass layoff occurs.
(a-5) An owner of an investor-owned electric generating
plant or coal mining operation may not order a mass layoff,
relocation, or employment loss unless, 2 years before the
order takes effect, the employer gives written notice of the
order to the following:
(1) affected employees and representatives of affected
employees; and
(2) the Department of Commerce and Economic
Opportunity and the chief elected official of each
municipal and county government within which the
employment loss, relocation, or mass layoff occurs.
(b) An employer required to give notice of any mass
layoff, relocation, or employment loss under this Act shall
include in its notice the elements required by the federal
Worker Adjustment and Retraining Notification Act (29 U.S.C.
2101 et seq.).
(c) Notwithstanding the requirements of subsection (a), an
employer is not required to provide notice if a mass layoff,
relocation, or employment loss is necessitated by a physical
calamity or an act of terrorism or war.
(d) The mailing of notice to an employee's last known
address or inclusion of notice in the employee's paycheck
shall be considered acceptable methods for fulfillment of the
employer's obligation to give notice to each affected employee
under this Act.

10200SB0018sam001 - 979 - LRB102 12600 LNS 28802 a
(e) In the case of a sale of part or all of an employer's
business, the seller shall be responsible for providing notice
for any plant closing or mass layoff in accordance with this
Section, up to and including the effective date of the sale.
After the effective date of the sale of part or all of an
employer's business, the purchaser shall be responsible for
providing notice for any plant closing or mass layoff in
accordance with this Section. Notwithstanding any other
provision of this Act, any person who is an employee of the
seller (other than a part-time employee) as of the effective
date of the sale shall be considered an employee of the
purchaser immediately after the effective date of the sale.
(f) An employer which is receiving State or local economic
development incentives for doing or continuing to do business
in this State may be required to provide additional notice
pursuant to Section 15 of the Business Economic Support Act.
(g) The rights and remedies provided to employees by this
Act are in addition to, and not in lieu of, any other
contractual or statutory rights and remedies of the employees,
and are not intended to alter or affect such rights and
remedies, except that the period of notification required by
this Act shall run concurrently with any period of
notification required by contract or by any other law.
(h) It is the sense of the General Assembly that an
employer who is not required to comply with the notice
requirements of this Section should, to the extent possible,

10200SB0018sam001 - 980 - LRB102 12600 LNS 28802 a
provide notice to its employees about a proposal to close a
plant or permanently reduce its workforce.
(Source: P.A. 93-915, eff. 1-1-05.)
Article 99. Miscellaneous Provisions; Effective Date
Section 99-95. No acceleration or delay. Where this Act
makes changes in a statute that is represented in this Act by
text that is not yet or no longer in effect (for example, a
Section represented by multiple versions), the use of that
text does not accelerate or delay the taking effect of (i) the
changes made by this Act or (ii) provisions derived from any
other Public Act.
Section 99-97. Severability. The provisions of this Act
are severable under Section 1.31 of the Statute on Statutes.
Section 99-99. Effective date. This Act takes effect upon
becoming law.".