Bill Text: IL HB0587 | 2023-2024 | 103rd General Assembly | Chaptered

Bill Title: Creates the Electric Transmission Systems Construction Standards Act. Requires all utilities and construction contractors responsible for the construction, installation, maintenance, or repair of electric transmission systems to pay employees performing the construction, installation, maintenance, or repair work of such systems wages and benefits consistent with the Prevailing Wage Act. Contains provisions concerning training, competence, and safety training requirements for electric utility workers; a Diversity Plan requirement for construction contractors; and rulemaking authority for the Illinois Commerce Commission. Amends the Illinois Enterprise Zone Act. Provides that a business that intends to construct a new battery energy storage solution facility or a new high voltage direct current converter station at a designated location in Illinois may be designated as a High Impact Business. Defines "new battery energy storage solution facility" and "high voltage direct current converter station". Amends the Illinois Power Agency Act. In a provision concerning the Illinois Solar for All Program, directs the area median income to be revised every year (rather than every 5 years) for purposes of identifying households that qualify as low-income households. Requires the Agency's Planning and Procurement Bureau to develop plans and processes for the procurement of energy storage. Authorizes the procurement of renewable energy credits that are delivered from repowered wind projects and retooled hydropower facilities to be included in the long-term renewable resources procurement plan developed by the Agency. Authorizes the Agency to propose adjustments to the percentages of renewable energy credits procured from different sources and to consider and propose various approaches, in addition to competitive procurements, to procure renewable energy credits from repowered wind projects. Sets out additional requirements for the energy storage procurement plan to be developed by the Agency. Amends the Public Utilities Act. In a provision concerning distributed generation rebates, makes changes concerning inverters. Amends the Prevailing Wage Act. Provides that the term "public works" includes the construction of a new battery energy storage solution facility or a high voltage direct current converter station by a business designated as a High Impact Business under the Illinois Enterprise Zone Act. Makes technical changes. Effective immediately.

Sponsorship: Partisan Bill (Democrat 38)

Status: (Passed) 2025-02-20 - Public Act . . . . . . . . . 103-1066 [HB0587 Detail]

Download: Illinois-2023-HB0587-Chaptered.html
 


Public Act 103-1066

HB0587 EnrolledLRB103 04172 CPF 49178 b


    AN ACT concerning regulation.

    Be it enacted by the People of the State of Illinois, 
represented in the General Assembly:

    Section 1. Short title. This Act may be cited as the 
Electric Transmission Systems Construction Standards Act.

    Section 5. Definitions. For the purposes of this Act:
    "Commission" means the Illinois Commerce Commission. 
    "Construction contractor" means any entity responsible for 
the construction, installation, maintenance, or repair of 
electric transmission systems subject to this Act.
    "Electric transmission systems" means an electrical 
transmission system designed and constructed with the 
capability of being safely and reliably energized at 69 
kilovolts or more, including transmission lines, transmission 
towers, conductors, insulators, foundations, grounding 
systems, access roads, and all associated transmission 
facilities, including transmission substations. "Electric 
transmission systems" does not include projects located on the 
electric generating facility's side of the facility's point of 
interconnection.
    "OSHA" means Occupational Safety and Health 
Administration.
    "Utility" has the meaning given to that term in Section 
3-105 of the Public Utilities Act.

    Section 10. Policy. The State of Illinois adopts the 
following policies to ensure that electric transmission 
systems are constructed to the highest standards of safety, 
competency, and reliability:
        (1) Mandate the use of qualified, properly trained 
 employees on all electric transmission systems. 
        (2) Protect workers by ensuring fair compensation in 
 accordance with the Prevailing Wage Act. 
        (3) Promote public safety through OSHA-certified 
 safety training and adherence to apprenticeship standards.

    Section 15. Requirements for contractors.
    (a) Prevailing wage compliance. All utilities and 
construction contractors responsible for the construction, 
installation, maintenance, or repair of electric transmission 
systems shall pay employees performing the construction, 
installation, maintenance, or repair work of such systems 
wages and benefits consistent with the Prevailing Wage Act.
    (b) Training and competence requirement. To ensure safety 
and reliability in the construction, installation, 
maintenance, and repair of electric transmission systems, each 
electric utility and construction contractor must demonstrate 
the competence of their employees who are performing the work 
of construction, installation, maintenance, or repair of 
electric transmission systems, which shall be consistent with 
the standards required by Illinois utilities as of January 1, 
2007, or greater. Competence must include, at a minimum: (1) 
completion, or active participation with ultimate completion, 
in an accredited or recognized apprenticeship program for the 
relevant craft, trade, or skill; or (2) a minimum of 2 years of 
direct employment in the specific work function. 
    The Commission shall oversee compliance to ensure 
employees meet these standards.
    (c) Safety training. All employees engaged in the 
construction, installation, maintenance, or repair of electric 
transmission systems must successfully complete OSHA-certified 
safety training required for their specific roles on the 
project site.
    (d) Diversity Plan.
        (1) All construction contractors engaged in the 
 construction, installation, maintenance, or repair of 
 electric transmission systems shall develop a Diversity 
 Plan that sets forth:
            (A) the goals for apprenticeship hours to be 
 performed by minorities and women;
            (B) the goals for total hours to be performed by 
 underrepresented minorities and women; and
            (C) spending for women-owned, minority-owned, 
 veteran-owned, and small business enterprises in the 
 previous calendar year.
        (2) These goals shall be expressed as a percentage of 
 the total work performed by the construction contractor 
 submitting the plan and the actual spending for all 
 women-owned, minority-owned, veteran-owned, and small 
 business enterprises shall also be expressed as a 
 percentage of the total work performed by the construction 
 contractor submitting the Diversity Plan.
        (3) For purposes of the Diversity Plan, minorities and 
 women shall have the same definition as defined in the 
 Business Enterprise for Minorities, Women, and Persons 
 with Disabilities Act.
        (4) The construction contractor shall submit the 
 Diversity Plan to the Commission.

    Section 20. Rulemaking authority. The Commission shall 
adopt rules to implement and enforce this Act, including 
investigation procedures, penalties, and reporting 
requirements.

    Section 50. 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 
Businesses" in Illinois, for an initial term of 20 years with 
an option for renewal for a term not to exceed 20 years, 
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, except for grocery stores, as defined in the 
 Grocery Initiative Act, and a new battery energy storage 
 solution facility, as defined by subparagraph (I) of 
 paragraph (3) of this subsection (a);
        (3) the business intends to do, commits to do, or is 
 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 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 
 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 
 units that generate electricity or chemicals, or both, 
 and shall support the creation of Illinois coal mining 
 jobs. 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
            (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 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, 
 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 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, a newly constructed expansion of 
 an existing electric generation facility, or the 
 replacement of an existing electric generation 
 facility, including the demolition and removal of an 
 electric generation facility irrespective of whether 
 it will be replaced, placed in service or replaced on 
 or after July 1, 2009, that generates electricity 
 using wind energy devices, and such facility shall be 
 deemed to include any permanent structures associated 
 with the electric generation facility and all 
 associated transmission lines, substations, and other 
 equipment related to the generation of electricity 
 from wind energy devices. For purposes of this 
 Section, "wind 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 
 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 
 application to the Department within 60 days after 
 July 25, 2013 (the effective date of Public Act 
 98-109); or 
            (G) the business intends to establish a new 
 cultured cell material food production facility at a 
 designated location in Illinois. As used in this 
 paragraph (G):
            "Cultured cell material food production facility" 
 means a facility (i) at which cultured animal cell 
 food is developed using animal cell culture 
 technology, (ii) at which production processes occur 
 that include the establishment of cell lines and cell 
 banks, manufacturing controls, and all components and 
 inputs, and (iii) that complies with all existing 
 registrations, inspections, licensing, and approvals 
 from all applicable and participating State and 
 federal food agencies, including the Department of 
 Agriculture, the Department of Public Health, and the 
 United States Food and Drug Administration, to ensure 
 that all food production is safe and lawful under 
 provisions of the Federal Food, Drug and Cosmetic Act 
 related to the development, production, and storage of 
 cultured animal cell food.
            "New cultured cell material food production 
 facility" means a newly constructed cultured cell 
 material food production facility that is placed in 
 service on or after June 7, 2023 (the effective date of 
 Public Act 103-9) or a newly constructed expansion of 
 an existing cultured cell material food production 
 facility, in a controlled environment, when the 
 improvements are placed in service on or after June 7, 
 2023 (the effective date of Public Act 103-9); or
            (H) the business is an existing or planned grocery 
 store, as that term is defined in Section 5 of the 
 Grocery Initiative Act, and receives financial support 
 under that Act within the 10 years before submitting 
 its application under this Act; or and    
            (I) the business intends to establish a new 
 battery energy storage solution facility at a 
 designated location in Illinois. As used in this 
 paragraph (I):
            "New battery energy storage solution facility" 
 means a newly constructed battery energy storage 
 facility, a newly constructed expansion of an existing 
 battery energy storage facility, or the replacement of 
 an existing battery energy storage facility that 
 stores electricity using battery devices and other 
 means. "New battery energy storage solution facility" 
 includes any permanent structures associated with the 
 new battery energy storage facility and all associated 
 transmission lines, substations, and other equipment 
 that is related to the storage and transmission of 
 electric power and that has a capacity of not less than 
 20 megawatt and storage capability of not less than 40 
 megawatt hours of energy; or    
            (J) the business intends to construct a new high 
 voltage direct current converter station at a 
 designated location in Illinois. As used in this 
 paragraph, "high voltage direct current converter 
 station" has the same meaning given to that term in 
 Section 1-10 of the Illinois Power Act; 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 
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), 
(a)(3)(D), (a)(3)(G), and (a)(3)(H) 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, the new, expanded, or reopened 
coal mine, the new cultured cell material food production 
facility, or the existing or planned grocery store 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), or (a)(3)(E-5), (A)(3)(I), 
or (a)(3)(J) 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 
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) 
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), (a)(3)(E-5), (a)(3)(G), or (a)(3)(H), (A)(3)(I), or 
(a)(3)(J) 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 businesses contemplated under 
subdivision (a)(3)(E), subdivision (a)(3)(G), or subdivision 
(a)(3)(H), or subdivision (a)(3)(J) 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 
designated as a High Impact Business.
    (f) Except for businesses contemplated under subdivision 
(a)(3)(E), subdivision (a)(3)(G), or subdivision (a)(3)(H), or 
subdivision (a)(3)(J) 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.
    (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 
Illinois Income Tax Act in each taxable year. 
    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) 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 a 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.
    "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 American Community Survey; 
        (2) 35% or more of the families with children in the 
 area are living below 130% of the poverty line, according 
 to the latest American Community Survey; 
        (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) (Blank). 
    (j-5) Annually, until construction is completed, a company 
seeking High Impact Business Construction Job credits shall 
submit a report that, at a minimum, describes the projected 
project scope, timeline, and anticipated budget. Once the 
project has commenced, the annual report shall include actual 
data for the prior year as well as projections for each 
additional year through completion of the project. The 
Department shall issue detailed reporting guidelines 
prescribing the requirements of construction-related reports. 
    In order to receive credit for construction expenses, the 
company must provide the Department with evidence that a 
certified third-party executed an Agreed-Upon Procedure (AUP) 
verifying the construction expenses or accept the standard 
construction wage expense estimated by the Department. 
    Upon review of the final project scope, timeline, budget, 
and AUP, the Department shall issue a tax credit certificate 
reflecting a percentage of the total construction job wages 
paid throughout the completion of the project. 
    (k) Upon 7 business days' notice, each taxpayer shall make 
available to each State agency and to federal, State, or local 
law enforcement agencies and prosecutors for inspection and 
copying at a location within this State during reasonable 
hours, the report under subsection (j-5). 
    (l) The changes made to this Section by Public Act 
102-1125, other than the changes in subsection (a), apply to 
High Impact Businesses that submit applications on or after 
February 3, 2023 (the effective date of Public Act 102-1125). 
(Source: P.A. 102-108, eff. 1-1-22; 102-558, eff. 8-20-21; 
102-605, eff. 8-27-21; 102-662, eff. 9-15-21; 102-673, eff. 
11-30-21; 102-813, eff. 5-13-22; 102-1125, eff. 2-3-23; 103-9, 
eff. 6-7-23; 103-561, eff. 1-1-24; 103-595, eff. 6-26-24; 
103-605, eff. 7-1-24.)

    Section 55. The Energy Community Reinvestment Act is 
amended by changing Section 10-20 as follows:

    (20 ILCS 735/10-20)
    (Section scheduled to be repealed on September 15, 2045)
    Sec. 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 6 years before the application for 
 designation or will be retired or have service 
 significantly reduced within 6 years following the 
 application for designation; 
        (2) the area contains a coal mine that was closed or 
 had operations significantly reduced within 6 years before 
 the application for designation or is anticipated to be 
 closed or have operations significantly reduced within 6 
 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 
retirement or transition. 
    (h) Project applications shall 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.
    (j) Units of local government that are taxing authorities 
for a nuclear plant that was decommissioned before January 1, 
2021 shall receive grants in proportional shares of $15 per 
kilogram of spent nuclear fuel stored at such a facility, less 
any payments made to such communities from the federal 
government based on the amount of waste stored at a 
decommissioned nuclear plant and any property tax payments. 
75% of grant funds received by taxing authorities must be used 
for property tax abatement purposes.    
(Source: P.A. 102-662, eff. 9-15-21.)

    Section 60. The Illinois Power Agency Act is amended by 
changing Sections 1-56 and 1-75 as follows:

    (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 Public Act 99-906 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 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 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 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) 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 
 this Act, shall initially be allocated among the programs 
 described in this paragraph (2), as follows: 35% of these 
 funds shall be allocated to programs described in 
 subparagraphs (A) and (E) of this paragraph (2), 40% of 
 these funds shall be allocated to programs described in 
 subparagraph (B) of this paragraph (2), and 25% of these 
 funds shall be allocated to programs described in 
 subparagraph (C) of this paragraph (2). The allocation of 
 funds among subparagraphs (A), (B), (C), and (E) of this 
 paragraph (2) may be changed if the Agency, after 
 receiving input through a stakeholder process, determines 
 incentives in subparagraphs (A), (B), (C), or (E) of this 
 paragraph (2) have not been adequately subscribed to fully 
 utilize available Illinois Solar for All Program funds.
        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 
 shall 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 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 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 
 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 
 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. 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 
 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 
 and shall also include contracts for renewable energy 
 credits related to the program.
            (D) (Blank). 
            (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 
 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. 
        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 
 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) of paragraph (2) of this subsection (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 energized. Payments for renewable energy 
 credits shall be in exchange for 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. The Agency or contracting electric utility shall 
 retire any renewable energy credits purchased under this 
 program and the credits shall count toward the obligation 
 under subsection (c) of Section 1-75 of this Act for the 
 electric utility to which the project is interconnected, 
 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 
 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 
 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 
 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 
 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 
 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 
year 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. 
    (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.
    (b-15) The prevailing wage requirements set forth in the 
Prevailing Wage Act apply to each project that is undertaken 
pursuant to one or more of the programs of incentives and 
initiatives described in subsection (b) of this Section and 
for which a project application is submitted to the program 
after the effective date of this amendatory Act of the 103rd 
General Assembly, except (i) projects that serve single-family 
or multi-family residential buildings and (ii) projects with 
an aggregate capacity of less than 100 kilowatts that serve 
houses of worship. The Agency shall require verification that 
all construction performed on a project by the renewable 
energy credit delivery contract holder, its contractors, or 
its subcontractors relating to the construction of the 
facility is performed by workers receiving an amount for that 
work that is greater than or equal to the general prevailing 
rate of wages as that term is defined in the Prevailing Wage 
Act, and the Agency may adjust renewable energy credit prices 
to account for increased labor costs.
    In this subsection (b-15), "house of worship" has the 
meaning given in subparagraph (Q) of paragraph (1) of 
subsection (c) of Section 1-75. 
    (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.
    (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 June 30, 2014 (the effective 
 date of Public Act 98-672), the Agency shall develop a 
 one-time supplemental procurement plan limited to the 
 procurement of renewable energy credits, if 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 
 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 
 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 
 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 June 30, 2014 (the effective date of 
 Public Act 98-672) 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 
 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 
 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 
 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, prequalification, 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 
 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 
 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.
        (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 
 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 
 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. 102-662, eff. 9-15-21; 103-188, eff. 6-30-23; 
103-605, eff. 7-1-24.)

    (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 
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, 
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 
 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 
 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.
        (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 
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 103rd 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 103rd General Assembly, and any 
 long-term renewable resources procurement plan update 
 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 the goals for procurement of renewable 
 energy credits at levels of 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% 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, new photovoltaic, and hydropower 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, new 
 photovoltaic, and hydropower procurement requirements 
 described in items (i) through (iii) of subparagraph (C) 
 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 or new, modernized, or retooled 
 hydropower facilities. 
        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. 
        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) The long-term renewable resources procurement plan 
 described in subparagraph (A) of this paragraph (1) shall 
 include the procurement of renewable energy credits from 
 new projects pursuant to the following terms: 
            (i) At least 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, from repowered wind projects, 
 or from retooled hydropower facilities 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 that amount, to the 
 extent possible, the Agency shall endeavor to procure 
 45% from new and repowered wind and hydropower 
 projects and shall procure at least 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% from utility-scale solar 
 projects; at least 3% from brownfield site 
 photovoltaic projects that are not community renewable 
 generation projects. The Agency may propose 
 adjustments to these percentages, including 
 establishing percentage-based goals for the 
 procurement of renewable energy credits from 
 modernized or retooled hydropower facilities and 
 repowered wind projects, through its long-term 
 renewable resources plan described in subparagraph (A) 
 of this paragraph (1) as necessary based on developer 
 interest, market conditions, budget considerations, 
 resource adequacy needs, or other factors.    
            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. The Agency shall also consider other 
 approaches, in addition to competitive procurements, 
 to procure renewable energy credits from new and 
 existing hydropower facilities to support the 
 development and maintenance of these facilities. The 
 Agency shall explore options to convert existing dams 
 but shall not consider approaches to develop new dams 
 where they do not already exist. To encourage the 
 continued operation of utility-scale wind projects, 
 the Agency shall consider and may propose other 
 approaches in addition to competitive procurements to 
 procure renewable energy credits from repowered wind 
 projects.    
            (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).
            (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.
            "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). 
            "Repowered wind projects" means utility-scale wind 
 projects featuring the removal, replacement, or 
 expansion of turbines at an existing project site, as 
 defined in the long-term renewable resources 
 procurement plan, after the effective date of this 
 amendatory Act of the 103rd General Assembly. 
 Renewable energy credit contract awards used to 
 support repowered wind projects shall only cover the 
 incremental increase in facility electricity 
 production resultant from repowering.    
            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 
 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 
 Agricultural Impact Mitigation Act. Confidential 
 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 
 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), and except as provided in subparagraph (E-5) of 
 paragraph (1) 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% of 
 the amount paid per kilowatthour by those customers during 
 the year ending May 31, 2009. 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 
 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 between the 
 seller and applicable electric utility, no subsequent rate 
 impact determinations shall be made and no adjustments to 
 those contract amounts shall be allowed. As provided in 
 subparagraph (E-5) of paragraph (1) of this subsection 
 (c), the seller shall be entitled to full, prompt, and 
 uninterrupted payment under the applicable contract 
 notwithstanding the application of this subparagraph (E), 
 and all All costs incurred under such contracts shall be 
 fully recoverable by the electric utility as provided in 
 this Section. 
        (E-5) If, for a particular delivery year, the 
 limitation on the amount of renewable energy resources to 
 be procured, as calculated pursuant to subparagraph (E) of 
 paragraph (1) of this subsection (c), would result in an 
 insufficient collection of funds to fully pay amounts due 
 to a seller under existing contracts executed under this 
 Section or executed under Section 1-56 of this Act, then 
 the following provisions shall apply to ensure full and 
 uninterrupted payment is made to such seller or sellers:
            (i) If the electric utility has retained unspent 
 funds in an interest-bearing account as prescribed in 
 subsection (k) of Section 16-108 of the Public 
 Utilities Act, then the utility shall use those funds 
 to remit full payment to the sellers to ensure prompt 
 and uninterrupted payment of existing contractual 
 obligation.
            (ii) If the funds described in item (i) of this 
 subparagraph (E-5) are insufficient to satisfy all 
 existing contractual obligations, then the electric 
 utility shall, nonetheless, remit full payment to the 
 sellers to ensure prompt and uninterrupted payment of 
 existing contractual obligations, provided that the 
 full costs shall be recoverable by the utility in 
 accordance with part (ee) of item (iv) of this 
 subsection (E-5).
            (iii) The Agency shall promptly notify the 
 Commission that existing contractual obligations are 
 reasonably expected to exceed the maximum collection 
 authorized under subparagraph (E) of paragraph (1) of 
 this subsection (c) for the applicable delivery year. 
 The Agency shall also explain and confirm how the 
 operation of items (i) and (ii) of this subparagraph 
 (E-5) ensures that the electric utility will continue 
 to make prompt and uninterrupted payment under 
 existing contractual obligations. The Agency shall 
 provide this information to the Commission through a 
 notice filed in the Commission docket approving the 
 Agency's operative Long-Term Renewable Resources 
 Procurement Plan that includes the applicable delivery 
 year.
            (iv) The Agency shall suspend or reduce new 
 contract awards for the procurement of renewable 
 energy credits until an Agency determination is made 
 under subparagraph (E) that additional procurements 
 would not cause the rate impact limitation of 
 subparagraph (E) to be exceeded. At least once 
 annually after the notice provided for in item (iii) 
 of this subparagraph (E-5) is made, the Agency shall 
 analyze existing contract obligations, projected 
 prices for indexed renewable energy credit contracts 
 executed under item (v) of subparagraph (G) of 
 paragraph (1) of subsection (c) of Section 1-75 of 
 this Act, and expected collections authorized under 
 subparagraph (E) to determine whether and to what 
 extent the limitations of subparagraph (E) would be 
 exceeded by additional renewable energy credit 
 procurement contract awards.
                (aa) If the Agency determines that additional 
 renewable energy credit procurement contract 
 awards could be made without exceeding the 
 limitations of subparagraph (E), then the 
 procurements shall be authorized at a scale 
 determined not to exceed the limitations of 
 subparagraph (E) in a manner consistent with the 
 priorities of this Section.
                (bb) If the Agency determines that additional 
 renewable energy credit procurement contract 
 awards cannot be made without exceeding the 
 limitations of subparagraph (E), then the Agency 
 shall suspend any new contract awards for the 
 procurement of renewable energy credits until a 
 new rate impact determination is made under 
 subparagraph (E).
                (cc) Agency determinations made under this 
 item (iv) shall be detailed and comprehensive and, 
 if not made through the Agency's Long-Term 
 Renewable Resources Procurement Plan, shall be 
 filed as a compliance filing in the most recent 
 docketed proceeding approving the Agency's 
 Long-Term Renewable Resources Procurement Plan.
                (dd) With respect to the procurement of 
 renewable energy credits authorized through 
 programs administered under subsection (b) of 
 Section 1-56 and subparagraphs (K) through (M) of 
 paragraph (1) of subsection (k) of Section 1-75 of 
 this Act, the award of contracts for the 
 procurement of renewable energy credits shall be 
 suspended or reduced only at the conclusion of the 
 program year in which the notice provided for 
 under item (iii) of this subparagraph (E-5) is 
 made.    
                (ee) The contract shall provide that, so long 
 as at least one of: (i) the cost recovery 
 mechanisms referenced in subsection (k) of Section 
 16-108 and subsection (l) of Section 16-111.5 of 
 the Public Utilities Act remains in full force 
 without limitation or (ii) the utility is 
 otherwise authorized and or entitled to full, 
 prompt, and uninterrupted recovery of its costs 
 through any other mechanism, then such seller 
 shall be entitled to full, prompt, and 
 uninterrupted payment under the applicable 
 contract notwithstanding the application of this 
 subparagraph (E).    
        (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 
 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 
 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 
 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.
            (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 
 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 
 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 
 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 
 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 
 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.
                    (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).
                    (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 
 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 
 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 
 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 
 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).
            (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 
 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 
 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, 
 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) All procurements under this subparagraph (G), 
 including the procurement of renewable energy credits 
 from hydropower facilities, 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).
            (vii) On and after the effective date of this 
 amendatory Act of the 103rd General Assembly, for all 
 procurements of renewable energy credits from 
 hydropower facilities, the Agency shall establish 
 contract terms designed to optimize existing 
 hydropower facilities through modernization or 
 retooling and establish new hydropower facilities at 
 existing dams. Procurements made under this item (vii) 
 shall prioritize projects located in designated 
 environmental justice communities, as defined in 
 subsection (b) of Section 1-56 of this Act, or in 
 projects located in units of local government with 
 median incomes that do not exceed 82% of the median 
 income of the State. 
        (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 
 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 
 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 
 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 
 (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, 
 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, 
 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) after the 
 effective date of this amendatory Act of the 102nd General 
 Assembly, 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 
 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 
 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 
 conditions for securing a spot on a waitlist once the 
 block is 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 the Agency shall 
 determine 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 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 
 amount of generation capacity in each block, and the 
 purchase price 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 the 
 following categories in at least the following amounts:
            (i) At least 20% from distributed renewable energy 
 generation devices with a nameplate capacity of no 
 more than 25 kilowatts.
            (ii) At least 20% from distributed renewable 
 energy generation devices with a nameplate capacity of 
 more than 25 kilowatts and no more than 5,000 
 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 
 customers.
            (iii) At least 30% 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, 
 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 on public school land. 
 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 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 and includes public 
 institutions of higher education, as defined in the 
 Board of Higher Education Act.
            (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 
 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, 
 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 developed by an equity eligible 
 contractor; 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):
            "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 
 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, which includes distributed 
 renewable energy devices with a nameplate capacity 
 under 5,000 kilowatts 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 the percentage in this item 
 (vi) over time to 40% based on factors, including, but 
 not limited to, the number of equity eligible 
 contractors and capacity used in this item (vi) 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 
 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 
 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) The remaining capacity shall be allocated by 
 the Agency in order to respond to market demand. 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 
 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 
 projects in diverse locations and are not concentrated in 
 a few regional areas.
        (L) Notwithstanding provisions for advancing capital 
 prior to project energization found in item (vi) of 
 subparagraph (K), the procurement of photovoltaic 
 renewable energy credits under items (i) through (vi) of 
 subparagraph (K) of this paragraph (1) shall otherwise be 
 subject to the following contract and payment terms:
        (i) (Blank). 
            (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 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 
 compliant 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. 
            (iii) For those renewable energy credits that 
 qualify and are procured under item (ii) and (v) 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% 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 energized and compliant by the 
 Program Administrator. The remaining portion shall be 
 paid ratably over the subsequent 6-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 
 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 
 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) 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. 
            (vi) 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) 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 
 consider future uncommitted funds to be reserved for 
 these contracts on a first-come, first-served basis.
            (viii) 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 
 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 
 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 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 making 
 adjustments to purchase prices as necessary to achieve the 
 goals of this subsection (c). Program modifications to any 
 block price that do not deviate from the Commission's 
 approved value by more than 10% shall take effect 
 immediately and are not subject to Commission review and 
 approval. Program modifications to any block price that 
 deviate more than 10% from the 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 
 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 minimum contract terms 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 
 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. 
        (N) The Agency shall establish the terms, conditions, 
 and program requirements for photovoltaic community 
 renewable generation projects with a goal to expand 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 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. 
        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 
 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 per delivery year 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 the 
 delivery years beginning June 1, 2021, June 1, 2024, June 
 1, 2027, and June 1, 2030 and additional $10,000,000 shall 
 be provided to the Department of Commerce and Economic 
 Opportunity to implement the workforce development 
 programs and reporting as outlined in 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) 
 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 (ix) 
 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 
 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 and repowered wind 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 projects on public 
 school land 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 
 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;
                (ix) all new, modernized, or retooled 
 hydropower facilities. 
            (2) Renewable energy credits procured from new 
 utility-scale wind projects, new utility-scale solar 
 projects, and new brownfield solar projects, repowered 
 wind projects, and retooled hydropower facilities    
 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 
 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 
 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 
 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 
 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 
 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. 
 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, 
 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. Once the Agency determines that a 
 self-direct customer is eligible for participation in 
 the program, the self-direct customer will remain 
 eligible until the end of the term of the contract. 
 Thereafter, application may be made not less than 12 
 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 
 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 
 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 
 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 
 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 
 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).
        (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 March 31, 2022, unless the Agency elects to 
 delay it, until no later than May 1, 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:
            (A) The applicant owns an electric generating 
 facility located in this State that: (i) as of January 
 1, 2016, burned coal as its primary fuel to generate 
 electricity; and (ii) has, or had prior to retirement, 
 an electric generating capacity of at least 150 
 megawatts. 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 
 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 
 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.
            (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, unless the applicant is physically 
 interconnected to the PJM Interconnection, LLC 
 transmission grid and had a generating capacity of at 
 least 1,200 megawatts as of January 1, 2021, in which 
 case the applicable duration of the contract shall be 
 15 years.
            (I) The applicant's application is certified by an 
 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 
 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 applicable duration, assuming 
 sufficient qualifying applications to supply, in the 
 aggregate, at least that amount of renewable energy 
 credits per year; and not more than 580,000 renewable 
 energy credits per year for the applicable duration. In 
 the second procurement event, the Agency shall select 
 applicants and new renewable energy facilities to supply 
 renewable energy credits, at a price 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. The number of renewable energy credits to be 
 procured as specified in this paragraph (5) shall not be 
 reduced based on renewable energy credits procured in the 
 self-direct renewable energy credit compliance program 
 established pursuant to subparagraph (R) of paragraph (1) 
 of subsection (c) of Section 1-75.
        (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 
 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 applicable 
 durations 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 
 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 
 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 
 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 
 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 
 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 3 
 qualifying electric generating facilities located in 
 the Midcontinent Independent System Operator, Inc., 
 region in Illinois and the sites of up to 2 qualifying 
 electric generating facilities located in the PJM 
 Interconnection, LLC 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 
 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, 2023, 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 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 
 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 
 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.
        (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 
 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 
 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 
 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 applicable 
 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 
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. The Agency shall create 
 programs with the purpose of increasing access to and 
 development of equity eligible contractors, who are prime 
 contractors and subcontractors, across all of the programs 
 it manages. 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 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 
 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 
 Block program. The equity category described in item (vi) 
 of subparagraph (K) of subsection (c) is only available to 
 applicants that are equity eligible contractors.
        (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 
 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 
 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 
 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 
 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 and 
 equity eligible contractors 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; (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 
 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 
 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 
 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 
 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;
            (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 
 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 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 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.
    (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 
 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 
 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 
 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 
 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 
 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
                (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 
 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 
 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 
 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 
 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 
 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 
 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 
 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 
 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, 
 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 
 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 
 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, 
 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 
 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.
        (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 
 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 
 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;
                (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 
 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 
 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 
 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 
 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 
 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 
 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 
 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 
 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 
 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 
 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 
 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 
 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 
 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 
 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 
 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 
 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 
 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 
 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 
 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 
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 
 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 
 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 
 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:
                (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 
 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 
 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 
 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 
 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 
 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 
 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 
 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 
 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, 
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, 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. 102-662, eff. 9-15-21; 103-380, eff. 1-1-24; 
103-580, eff. 12-8-23.)

    Section 65. The Public Utilities Act is amended by 
changing Sections 8-406, 8-406.1, 16-107.6, 16-108, 16-111.5, 
and 16-135 as follows:

    (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 Public Act 84-617 
goes into effect (January 1, 1986), 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. A 
certificate of public convenience and necessity requiring the 
transaction of public utility business in any area of this 
State shall include authorization to the public utility 
receiving the certificate of public convenience and necessity 
to construct such plant, equipment, property, or facility as 
is provided for under the terms and conditions of its tariff 
and as is necessary to provide utility service and carry out 
the transaction of public utility business by the public 
utility in the designated area.
    (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 
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 345 
kilovolts 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 
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 
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 
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) As used in this subsection (c):
    "Decommissioning" has the meaning given to that term in 
subsection (a) of Section 8-508.1.
    "Nuclear power reactor" has the meaning given to that term 
in Section 8 of the Nuclear Safety Law of 2004. 
    After the effective date of this amendatory Act of the 
103rd General Assembly, no construction shall commence on any 
new nuclear power reactor with a nameplate capacity of more 
than 300 megawatts of electricity 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 Illinois Emergency Management Agency and 
Office of Homeland Security, in consultation with the Illinois 
Environmental Protection Agency and the Illinois Department of 
Natural Resources, 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. Beginning January 1, 2026, construction may commence 
on a new nuclear power reactor with a nameplate capacity of 300 
megawatts of electricity or less within this State if the 
entity constructing the new nuclear power reactor has obtained 
all permits, licenses, permissions, or approvals governing the 
construction, operation, and funding of decommissioning of 
such nuclear power reactors required by: (1) this Act; (2) any 
rules adopted by the Illinois Emergency Management Agency and 
Office of Homeland Security under the authority of this Act; 
(3) any applicable federal statutes, including, but not 
limited to, the Atomic Energy Act of 1954, the Energy 
Reorganization Act of 1974, the Low-Level Radioactive Waste 
Policy Amendments Act of 1985, and the Energy Policy Act of 
1992; (4) any regulations promulgated or enforced by the U.S. 
Nuclear Regulatory Commission, including, but not limited to, 
those codified at Title X, Parts 20, 30, 40, 50, 70, and 72 of 
the Code of Federal Regulations, as from time to time amended; 
and (5) any other federal or State statute, rule, or 
regulation governing the permitting, licensing, operation, or 
decommissioning of such nuclear power reactors. None of the 
rules developed by the Illinois Emergency Management Agency 
and Office of Homeland Security or any other State agency, 
board, or commission pursuant to this Act shall be construed 
to supersede the authority of the U.S. Nuclear Regulatory 
Commission. The changes made by this amendatory Act of the 
103rd General Assembly shall not apply to the uprate, renewal, 
or subsequent renewal of any license for an existing nuclear 
power reactor that began operation prior to the effective date 
of this amendatory Act of the 103rd General Assembly. 
    None of the changes made in this amendatory Act of the 
103rd General Assembly are intended to authorize the 
construction of nuclear power plants powered by nuclear power 
reactors that are not either: (1) small modular nuclear 
reactors; or (2) nuclear power reactors licensed by the U.S. 
Nuclear Regulatory Commission to operate in this State prior 
to the effective date of this amendatory Act of the 103rd 
General Assembly. 
    (d) In making its determination under subsection (b) of 
this Section, 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 
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, 
 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 
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.
    (h-5) A public utility seeking to construct a high-voltage 
electric service line and related facilities must also show 
that the Project has complied with training and competence 
requirements under subsection (b) of Section 15 of the 
Electric Transmission Systems Construction Standards Act.    
    (i) For applications filed after August 18, 2015 (the 
effective date of Public Act 99-399), the Commission shall, by 
certified 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. 102-609, eff. 8-27-21; 102-662, eff. 9-15-21; 
102-813, eff. 5-13-22; 102-931, eff. 5-27-22; 103-569, eff. 
6-1-24.)

    (220 ILCS 5/8-406.1)
    Sec. 8-406.1. Certificate of public convenience and 
necessity; expedited procedure.
    (a) A public utility may apply for a certificate of public 
convenience and necessity pursuant to this Section for the 
construction of any new high voltage electric service line and 
related facilities (Project). To facilitate the expedited 
review process of an application filed pursuant to this 
Section, an application shall include all of the following:
        (1) Information in support of the application that 
 shall include the following:
            (A) A detailed description of the Project, 
 including location maps and plot plans to scale 
 showing all major components.
            (B) The following engineering data:
                (i) a detailed Project description including:
                    (I) name and destination of the Project;
                    (II) design voltage rating (kV);
                    (III) operating voltage rating (kV); and
                    (IV) normal peak operating current rating;
                (ii) a conductor, structures, and substations 
 description including:
                    (I) conductor size and type;
                    (II) type of structures;
                    (III) height of typical structures;
                    (IV) an explanation why these structures 
 were selected;
                    (V) dimensional drawings of the typical 
 structures to be used in the Project; and
                    (VI) a list of the names of all new (and 
 existing if applicable) substations or 
 switching stations that will be associated 
 with the proposed new high voltage electric 
 service line;
                (iii) the location of the site and 
 right-of-way including:
                    (I) miles of right-of-way;
                    (II) miles of circuit;
                    (III) width of the right-of-way; and
                    (IV) a brief description of the area 
 traversed by the proposed high voltage 
 electric service line, including a description 
 of the general land uses in the area and the 
 type of terrain crossed by the proposed line;
                (iv) assumptions, bases, formulae, and methods 
 used in the development and preparation of the 
 diagrams and accompanying data, and a technical 
 description providing the following information:
                    (I) number of circuits, with 
 identification as to whether the circuit is 
 overhead or underground;
                    (II) the operating voltage and frequency; 
 and
                    (III) conductor size and type and number 
 of conductors per phase;
                (v) if the proposed interconnection is an 
 overhead line, the following additional 
 information also must be provided:
                    (I) the wind and ice loading design 
 parameters;
                    (II) a full description and drawing of a 
 typical supporting structure, including 
 strength specifications;
                    (III) structure spacing with typical 
 ruling and maximum spans;
                    (IV) conductor (phase) spacing; and
                    (V) the designed line-to-ground and 
 conductor-side clearances;
                (vi) if an underground or underwater 
 interconnection is proposed, the following 
 additional information also must be provided:
                    (I) burial depth;
                    (II) type of cable and a description of 
 any required supporting equipment, such as 
 insulation medium pressurizing or forced 
 cooling;
                    (III) cathodic protection scheme; and
                    (IV) type of dielectric fluid and 
 safeguards used to limit potential spills in 
 waterways;
                (vii) technical diagrams that provide 
 clarification of any item under this item (1) 
 should be included; and
                (viii) applicant shall provide and identify a 
 primary right-of-way and one or more alternate 
 rights-of-way for the Project as part of the 
 filing. To the extent applicable, for each 
 right-of-way, an applicant shall provide the 
 information described in this subsection (a). Upon 
 a showing of good cause in its filing, an 
 applicant may be excused from providing and 
 identifying alternate rights-of-way.
        (2) An application fee of $100,000, which shall be 
 paid into the Public Utility Fund at the time the Chief 
 Clerk of the Commission deems it complete and accepts the 
 filing.
        (3) Information showing that the utility has held a 
 minimum of 3 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 
 the filing of the application. 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 proposed route traverses is 1/5 or 
 less of the transmission line mileage and number of such 
 landowners of the other county, then the utility may 
 combine the 3 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.
    For applications filed after the effective date of this 
amendatory Act of the 99th General Assembly, the Commission 
shall, by certified mail, notify each owner of record of the 
land, as identified in the records of the relevant county tax 
assessor, included in the primary or alternate rights-of-way 
identified in the utility's application of the time and place 
scheduled for the initial hearing upon the public utility's 
application. The utility shall reimburse the Commission for 
the cost of the postage and supplies incurred for mailing the 
notice. 
    (b) At the first status hearing the administrative law 
judge shall set a schedule for discovery that shall take into 
consideration the expedited nature of the proceeding. 
    (c) Nothing in this Section prohibits a utility from 
requesting, or the Commission from approving, protection of 
confidential or proprietary information under applicable law. 
The public utility may seek confidential protection of any of 
the information provided pursuant to this Section, subject to 
Commission approval.
    (d) The public utility shall publish notice of its 
application in the official State newspaper within 10 days 
following the date of the application's filing.
    (e) The public utility shall establish a dedicated website 
for the Project 3 weeks prior to the first public meeting and 
maintain the website until construction of the Project is 
complete. The website address shall be included in all public 
notices.
    (f) The Commission shall, after notice and hearing, grant 
a certificate of public convenience and necessity filed in 
accordance with the requirements of this Section if, based 
upon the application filed with the Commission and the 
evidentiary record, it finds the Project will promote the 
public convenience and necessity and that all of the following 
criteria are satisfied:
        (1) That the Project is necessary to provide adequate, 
 reliable, and efficient service to the public utility's 
 customers and is the least-cost means of satisfying the 
 service needs of the public utility's customers or that 
 the Project 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 public utility is capable of efficiently 
 managing and supervising the construction process and has 
 taken sufficient action to ensure adequate and efficient 
 construction and supervision of the construction.
        (3) That the public utility is capable of financing 
 the proposed construction without significant adverse 
 financial consequences for the utility or its customers.
        (4) That the Project has complied with training and 
 competence and Diversity Plan requirements under 
 subsections (b) and (d) of Section 15 of the Electric 
 Transmission Systems Construction Standards Act.    
    (g) The Commission shall issue its decision with findings 
of fact and conclusions of law granting or denying the 
application no later than 150 days after the application is 
filed. The Commission may extend the 150-day deadline upon 
notice by an additional 75 days if, on or before the 30th day 
after the filing of the application, the Commission finds that 
good cause exists to extend the 150-day period.
    (h) In the event the Commission grants a public utility's 
application for a certificate pursuant to this Section, the 
public utility shall pay a one-time construction fee to each 
county in which the Project is constructed within 30 days 
after the completion of construction. The construction fee 
shall be $20,000 per mile of high voltage electric service 
line constructed in that county, or a proportionate fraction 
of that fee. The fee shall be in lieu of any permitting fees 
that otherwise would be imposed by a county. Counties 
receiving a payment under this subsection (h) may distribute 
all or portions of the fee to local taxing districts in that 
county.
    (i) Notwithstanding any other provisions of this Act, a 
decision granting a certificate under this Section shall 
include an order pursuant to Section 8-503 of this Act 
authorizing or directing the construction of the high voltage 
electric service line and related facilities as approved by 
the Commission, in the manner and within the time specified in 
said order.
(Source: P.A. 102-931, eff. 5-27-22.)

    (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 
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.
    "Subscriber" has the meaning set forth in Section 1-10 of 
the Illinois Power Agency Act.
    "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.
    (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 distributed 
generation, including third-party owned systems, that meets 
the following criteria:
        (1) has a nameplate generating capacity no greater 
 than 5,000 kilowatts and is primarily used to offset a 
 customer's electricity load;
        (2) is located on the customer's side of the billing 
 meter and for the customer's own use;
        (3) is interconnected to electric distribution 
 facilities owned by the electric utility under rules 
 adopted by the Commission by means of one or more 
 inverters the inverter or smart inverters 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) 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 
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 or smart 
inverters 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. Nothing in this Section shall negate or supersede 
Institute of Electrical and Electronics Engineers equipment 
standards or other similar standards or requirements. The 
tariff shall not limit the ability of the smart inverter or 
smart inverters 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.
    (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 
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 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 customers not eligible for net metering 
 under subsection (d), (d-5), or (e) of Section 16-107.5 of 
 this Act may apply for a rebate as provided for in this 
 Section. Until the threshold date, the value of the rebate 
 shall be $250 per kilowatt of nameplate generating 
 capacity, measured as nominal DC power output, of that 
 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 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 associated    
 energy storage device behind the same retail customer 
 meter 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. The eligibility of energy storage devices that 
 are interconnected behind the same retail customer meter 
 as the distributed generation shall not be limited to 
 energy storage devices interconnected after the effective 
 date of this amendatory Act of the 103rd General Assembly. 
 To the extent that an electric utility's tariffs are 
 inconsistent with the requirements of this paragraph (2) 
 as modified by this amendatory Act of the 103rd General 
 Assembly, such electric utility shall, within 30 days, 
 file modified tariffs consistent with the requirements of 
 this paragraph (2).    
        (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 
 shall be subject to the provisions of subsection (n) of 
 Section 16-107.5 of this Act unless the owner or operator 
 receives a rebate only for an energy storage device and 
 not for the distributed generation device.
        (4) To be eligible for a rebate described in this 
 subsection (c), the owner or operator of the distributed 
 generation must have a smart inverter installed and in 
 operation on the distributed generation.
    (d) The Commission shall review the proposed tariff 
authorized by subsection (b) 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, the Commission shall 
open an 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.
        (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 
 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 
 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 
 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. 
    (f) Notwithstanding any provision of this Act to the 
contrary, the owner or operator of a community renewable 
generation project as defined in Section 1-10 of the Illinois 
Power Agency Act shall also be eligible to apply for the rebate 
described in this Section. The owner or operator of the 
community renewable generation project may apply for a rebate 
only if the owner or operator, or previous owner or operator, 
of the community renewable generation project 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) applicable on the date that the application is 
submitted.
    (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 later 
than 60 days after the project is energized. In the 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 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 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 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), 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) shall recover all of the associated costs, including, 
 but not limited to, its cost of capital as set forth in 
 this paragraph (1). 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 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 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) 
 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 
 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 
 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 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 
 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) No later than 90 days after the Commission enters an 
order, or order on rehearing, whichever is later, approving an 
electric utility's proposed tariff under this Section, the 
electric utility shall provide notice of the availability of 
rebates under this Section.
(Source: P.A. 102-662, eff. 9-15-21; 102-1031, eff. 5-27-22.)

    (220 ILCS 5/16-135)
    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.
        (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 
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 
 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;
            (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 
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.
    (g) The Commission, in its role as the relevant electric 
retail regulatory authority for Illinois, shall initiate a 
workshop process no later than February 1, 2025, for the 
purpose of facilitating the development of an initial forward 
storage procurement process and model contract for the 
procurement of utility-scale energy storage resources, 
hereafter "initial procurement". The workshops shall be 
coordinated by the staff of the Commission, or a facilitator 
or any other experts or consultants retained by the staff of 
the Commission, in consultation with the Illinois Power 
Agency. The workshop process shall be designed to develop an 
effective initial procurement of no more than 1,500 megawatts 
of utility-scale stand-alone energy storage resources whereby 
the Illinois Power Agency shall be positioned to have 
developed a confidential benchmark and solicited, received, 
and opened sealed bids for such initial procurement to 
conclude not later than August 26, 2025. The workshop process 
shall conclude no later than April 1, 2025. Following the 
workshop process, the staff of the Commission, or the 
facilitator retained by the staff, shall prepare and submit a 
report to the Governor, the General Assembly, and the 
Commission no later than May 1, 2025, that summarizes the 
information obtained through the workshop process and 
recommends the most effective procurement process, structure, 
and contract terms that would result in a successful initial 
procurement.
    Specifically, for the purposes of this initial procurement 
only, the report shall at a minimum include:
        (1) a definition and key terms of contracting 
 structures, including, but not limited to, tolling 
 agreements and indexed credits, and whether they are used 
 in other states;    
        (2) an assessment of changes to the contract 
 structures, and the identification of appropriate 
 signatories, used by other states necessary to fit the 
 legal and regulatory structures of Illinois;    
        (3) commercial terms required for the contract to be 
 financeable without creating contractual obligations on 
 the utilities that are not contingent on full and timely 
 cost recovery;    
        (4) contract structures that avoid a requirement that 
 contracting utilities consider such agreement a lease 
 under generally accepted accounting principles, or that 
 such an agreement is reflected as debt on a contracting 
 utility's balance sheet;    
        (5) necessary or appropriate roles for the owner of an 
 energy storage system selected in a procurement to, either 
 directly or through a third-party administrator which may 
 be an affiliate, be responsible for operation, 
 maintenance, dispatch, and other operational functions of 
 the energy storage system;    
        (6) other allocations of rights and responsibilities 
 between the winning bidder, the electric utility, and, if 
 applicable, the third-party administrator;    
        (7) an assessment of whether a contract length 
 different from 20 years is financeable, and whether other 
 contract lengths would impact the net benefits of the 
 storage procurement;    
        (8) a model of a standard contract, including contract 
 terms and conditions, to be used by the Illinois Power 
 Agency and its procurement administrator for the initial 
 procurement;    
        (9) an analysis of whether 1,500 megawatts is the 
 appropriate size for the initial procurement and whether 
 additional procurements beyond August 2025 are valuable to 
 Illinois taking into consideration the amount of projects 
 in advanced stages of development and Illinois' need for 
 storage energy systems in order to ensure it can meet its 
 clean energy goals and to prevent or minimize any 
 anticipated resource adequacy shortfalls;    
        (10) an assessment of the appropriate cost recovery 
 and allocation structure that ensures electric utilities 
 can recover all of the costs associated with the 
 procurement of energy storage resources and any other 
 costs associated with proposed utility participation;    
        (11) an assessment of the appropriate geographic 
 location for the battery storage systems, including, but 
 not limited to:
            (A) the geographic split of the megawatts of 
 capacity of the energy storage resources procured 
 pursuant to this initial procurement between those 
 interconnected to the Midcontinent ISO, Inc. and PJM 
 Interconnection, LLC; and    
            (B) the potential benefits of procuring one or 
 more projects within an area designated as an area of 
 the State certified by the Department of Commerce and 
 Economic Opportunity as an Enterprise zone or Energy 
 Transition Grant Community;    
        (12) an assessment of minimum application 
 requirements, such as having achieved interconnection 
 milestones, including, but not limited to:    
            (A) projects that have applied for approval for 
 surplus interconnection service or to transfer 
 existing capacity interconnection rights to the 
 relevant regional transmission organization and have 
 received a completeness determination following 
 completion of the initial review process and whether 
 it is beneficial if such projects are also colocated 
 with a renewable energy resource;    
            (B) for projects interconnected to MISO, projects 
 that have signed an interconnection agreement, or are 
 in the MISO Generating Facility Replacement Process, 
 or have provided the most current deposit in the MISO 
 definitive planning phase (DPP) cycle 2021 or an 
 earlier definitive planning phase cycle; or    
            (C) for projects interconnected to PJM 
 Interconnection, LLC, projects that have received a 
 Phase 2 study;    
        (13) an assessment of the impact of the costs and 
 benefits to Illinois ratepayers of these issues related to 
 this initial procurement; and    
        (14) recommendations for the inclusion, or adaptation, 
 of minimum equity standards and an equity accountability 
 system to the procurement process.    
    Given the rapid actions required pursuant to this Section, 
the procurement of any facilitator, expert, or consultant 
pursuant to this subsection is exempt from the requirements of 
Section 20-10 of the Illinois Procurement Code.    
(Source: P.A. 102-662, eff. 9-15-21.)

    Section 70. The Prevailing Wage Act is amended by changing 
Section 2 as follows:

    (820 ILCS 130/2)
    Sec. 2. This Act applies to the wages of laborers, 
mechanics and other workers employed in any public works, as 
hereinafter defined, by any public body and to anyone under 
contracts for public works. This includes any maintenance, 
repair, assembly, or disassembly work performed on equipment 
whether owned, leased, or rented.
    As used in this Act, unless the context indicates 
otherwise:
    "Public works" means all fixed works constructed or 
demolished by any public body, or paid for wholly or in part 
out of public funds. "Public works" as defined herein includes 
all projects financed in whole or in part with bonds, grants, 
loans, or other funds made available by or through the State or 
any of its political subdivisions, including but not limited 
to: bonds issued under the Industrial Project Revenue Bond Act 
(Article 11, Division 74 of the Illinois Municipal Code), the 
Industrial Building Revenue Bond Act, the Illinois Finance 
Authority Act, the Illinois Sports Facilities Authority Act, 
or the Build Illinois Bond Act; loans or other funds made 
available pursuant to the Build Illinois Act; loans or other 
funds made available pursuant to the Riverfront Development 
Fund under Section 10-15 of the River Edge Redevelopment Zone 
Act; or funds from the Fund for Illinois' Future under Section 
6z-47 of the State Finance Act, funds for school construction 
under Section 5 of the General Obligation Bond Act, funds 
authorized under Section 3 of the School Construction Bond 
Act, funds for school infrastructure under Section 6z-45 of 
the State Finance Act, and funds for transportation purposes 
under Section 4 of the General Obligation Bond Act. "Public 
works" also includes (i) all projects financed in whole or in 
part with funds from the Environmental Protection Agency under 
the Illinois Renewable Fuels Development Program Act for which 
there is no project labor agreement; (ii) all work performed 
pursuant to a public private agreement under the Public 
Private Agreements for the Illiana Expressway Act or the 
Public-Private Agreements for the South Suburban Airport Act; 
(iii) all projects undertaken under a public-private agreement 
under the Public-Private Partnerships for Transportation Act 
or the Department of Natural Resources World Shooting and 
Recreational Complex Act; and (iv) all transportation 
facilities undertaken under a design-build contract or a 
Construction Manager/General Contractor contract under the 
Innovations for Transportation Infrastructure Act. "Public 
works" also includes all projects at leased facility property 
used for airport purposes under Section 35 of the Local 
Government Facility Lease Act. "Public works" also includes 
the construction of a new wind power facility by a business 
designated as a High Impact Business under Section 
5.5(a)(3)(E) of the Illinois Enterprise Zone Act, and the 
construction of a new utility-scale solar power facility by a 
business designated as a High Impact Business under Section 
5.5(a)(3)(E-5) of the Illinois Enterprise Zone Act, the 
construction of a new battery energy storage solution facility 
by a business designated as a High Impact Business under 
Section 5.5(a)(3)(I) of the Illinois Enterprise Zone Act, and 
the construction of a high voltage direct current converter 
station by a business designated as a High Impact Business 
under Section 5.5(a)(3)(J) of the Illinois Enterprise Zone 
Act. "Public works" also includes electric vehicle charging 
station projects financed pursuant to the Electric Vehicle Act 
and renewable energy projects required to pay the prevailing 
wage pursuant to the Illinois Power Agency Act. "Public works" 
also includes power washing projects by a public body or paid 
for wholly or in part out of public funds in which steam or 
pressurized water, with or without added abrasives or 
chemicals, is used to remove paint or other coatings, oils or 
grease, corrosion, or debris from a surface or to prepare a 
surface for a coating. "Public works" also includes all 
electric transmission systems projects subject to the Electric 
Transmission Systems Construction Standards Act. "Public 
works" does not include work done directly by any public 
utility company, whether or not done under public supervision 
or direction, or paid for wholly or in part out of public 
funds. "Public works" also includes construction projects 
performed by a third party contracted by any public utility, 
as described in subsection (a) of Section 2.1, in public 
rights-of-way, as defined in Section 21-201 of the Public 
Utilities Act, whether or not done under public supervision or 
direction, or paid for wholly or in part out of public funds. 
"Public works" also includes construction projects that exceed 
15 aggregate miles of new fiber optic cable, performed by a 
third party contracted by any public utility, as described in 
subsection (b) of Section 2.1, in public rights-of-way, as 
defined in Section 21-201 of the Public Utilities Act, whether 
or not done under public supervision or direction, or paid for 
wholly or in part out of public funds. "Public works" also 
includes any corrective action performed pursuant to Title XVI 
of the Environmental Protection Act for which payment from the 
Underground Storage Tank Fund is requested. "Public works" 
also includes all construction projects involving fixtures or 
permanent attachments affixed to light poles that are owned by 
a public body, including street light poles, traffic light 
poles, and other lighting fixtures, whether or not done under 
public supervision or direction, or paid for wholly or in part 
out of public funds, unless the project is performed by 
employees employed directly by the public body. "Public works" 
also includes work performed subject to the Mechanical 
Insulation Energy and Safety Assessment Act. "Public works" 
also includes the removal, hauling, and transportation of 
biosolids, lime sludge, and lime residue from a water 
treatment plant or facility and the disposal of biosolids, 
lime sludge, and lime residue removed from a water treatment 
plant or facility at a landfill. "Public works" does not 
include projects undertaken by the owner at an owner-occupied 
single-family residence or at an owner-occupied unit of a 
multi-family residence. "Public works" does not include work 
performed for soil and water conservation purposes on 
agricultural lands, whether or not done under public 
supervision or paid for wholly or in part out of public funds, 
done directly by an owner or person who has legal control of 
those lands. 
    "Construction" means all work on public works involving 
laborers, workers or mechanics. This includes any maintenance, 
repair, assembly, or disassembly work performed on equipment 
whether owned, leased, or rented.
    "Locality" means the county where the physical work upon 
public works is performed, except (1) that if there is not 
available in the county a sufficient number of competent 
skilled laborers, workers and mechanics to construct the 
public works efficiently and properly, "locality" includes any 
other county nearest the one in which the work or construction 
is to be performed and from which such persons may be obtained 
in sufficient numbers to perform the work and (2) that, with 
respect to contracts for highway work with the Department of 
Transportation of this State, "locality" may at the discretion 
of the Secretary of the Department of Transportation be 
construed to include two or more adjacent counties from which 
workers may be accessible for work on such construction.
    "Public body" means the State or any officer, board or 
commission of the State or any political subdivision or 
department thereof, or any institution supported in whole or 
in part by public funds, and includes every county, city, 
town, village, township, school district, irrigation, utility, 
reclamation improvement or other district and every other 
political subdivision, district or municipality of the state 
whether such political subdivision, municipality or district 
operates under a special charter or not.
    "Labor organization" means an organization that is the 
exclusive representative of an employer's employees recognized 
or certified pursuant to the National Labor Relations Act. 
    The terms "general prevailing rate of hourly wages", 
"general prevailing rate of wages" or "prevailing rate of 
wages" when used in this Act mean the hourly cash wages plus 
annualized 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.
(Source: P.A. 102-9, eff. 1-1-22; 102-444, eff. 8-20-21; 
102-673, eff. 11-30-21; 102-813, eff. 5-13-22; 102-1094, eff. 
6-15-22; 103-8, eff. 6-7-23; 103-327, eff. 1-1-24; 103-346, 
eff. 1-1-24; 103-359, eff. 7-28-23; 103-447, eff. 8-4-23; 
103-605, eff. 7-1-24.)

    Section 99. Effective date. This Act takes effect upon 
becoming law.


 
         


        
        
      


      

  

      
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